Chapter DWD 60

DWD 60.06(1)(b) (b) The applicant shall be blind.

DWD 60.06(1)(c) (c) The applicant shall have adequate training to operate the business enterprise efficiently and in accordance with this chapter, as evidenced by successful completion of a training program or equivalent experience, in either case as approved by the department. In offering training opportunities, preference shall be given by the department to persons who need employment.

DWD 60.06(1)(d) (d) The applicant shall be otherwise capable of operating the business enterprise, as determined by the department.

DWD 60.06(2) (2) Issuance of license.

DWD 60.06(2)(a) (a) A license shall be issued by the department for an indefinite period subject to suspension or termination.

DWD 60.06(2)(b) (b) A license is not transferable.

DWD 60.06 History History: Cr. Register, May, 1983, No. 329, eff. 6-1-83.

DWD 60.07 DWD 60.07 Selection of suitable locations.

DWD 60.07(1) (1) Determination.

DWD 60.07(1)(a) (a) The department may establish a business at a particular location only if establishment of the enterprise at that location is likely to contribute to the development of significant economic opportunities for the blind and is likely to provide for the most productive use of program assets.

DWD 60.07(1)(b) (b) The determination under par. (a) shall be made on the basis of an evaluation of relevant factors disclosed and recorded as the result of a survey of the location. Factors to be evaluated shall include population, traffic, competition, continued availability of the location, type of premises and potential return on investment.

DWD 60.07(2) (2) Effect of loss of sales.

DWD 60.07(2)(a) (a) Closing or converting the business. If the business enterprise established under sub. (1) is adversely affected by factors beyond the control of the department or of the operator so that there is at least a 35% decline in sales at that location from one 3-month period to the next or a reduction to zero sales in a shorter period of time, the department may close that business enterprise or convert it to a vending machine operation and may establish a new business enterprise under sub. (1) at a different location. The amount of loss shall be reviewed and verified by the department.

DWD 60.07(2)(b) (b) Transfer following loss of sales.

DWD 60.07(2)(b)1. 1. The operator affected by par. (a) may request transfer to another location, and, subject to par. (c), shall be given preference in the selection process under s. DWD 60.08 when the next 2 program vacancies occur, regardless of income or location of the program vacancies within the state, except that preferential transfer rights shall not apply to seasonal operators.

DWD 60.07(2)(b)2. 2. If the operator affected by par. (a) elects not to transfer to one of the next 2 available openings, his or her priority for transfer shall be exhausted and further transfer shall be in accordance with s. DWD 60.08.

DWD 60.07(2)(c) (c) Transfer dependent on satisfactory performance and ability to handle new tasks. An operator may transfer under this subsection only if his or her past performance is judged satisfactory by the department with the active participation of the committee and with consideration of the views of building management in the affected location, and if the department finds that the operator is able to perform the anticipated new tasks. The new tasks may result from a change in management responsibilities, increased scope of the business, change in number and type of employes or change in overall job duties. If an otherwise competent operator lacks the skills needed in the new enterprise, the department shall help the operator acquire those skills through an appropriate retraining program.

DWD 60.07(2)(d) (d) Probationary period following transfer. An operator who transfers to a new location under this subsection shall serve a probationary period as described in s. DWD 60.08 (6).

DWD 60.07 History History: Cr. Register, May, 1983, No. 329, eff. 6-1-83; r. and recr. Register, April, 1987, No. 376, eff. 5-1-87.

DWD 60.08 DWD 60.08 Selection of operators.

DWD 60.08(1) (1) Department responsibility. The department shall select operators for business enterprises from among persons licensed to operate business enterprises. The licensee deemed to be best suited for an available business enterprise shall be selected. The department may appoint a committee of operators and department staff to make a recommendation about the best suited licensee for the available business enterprise.

DWD 60.08(2) (2) Notification of vacancies. The department shall notify all licensees in writing of vacancies in business enterprises throughout the state with instruction for applying to fill the vacancies.

DWD 60.08(3) (3) Order of preference. In selecting an operator for a vacancy, the department shall first consider applicants who are currently operators and thereafter applicants who are licensees but not currently operators, except that preference shall be given to a licensee who was an operator and has requested transfer to a new location in accordance with s. DWD 60.07 (2) (b).

DWD 60.08(4) (4) Method of notifying a successful applicant. The department shall notify the successful applicant in writing by return receipt requested mail of its offer of a vacant operator position to that individual. Within 5 working days after receipt of an offer, the successful applicant shall notify the department in writing by return receipt requested mail that he or she accepts or refuses the offer. Refusal of an offer is final and irrevocable. An applicant who changes his or her mind after accepting an offer and who was an operator at another location at the time of acceptance is not permitted to recover the operator position vacated upon acceptance of the new position unless all affected licensees, the committee and the department agree.

DWD 60.08(5) (5) Inventory. When a new operator takes over a business enterprise, the department and the operator or the operator’s representative shall immediately conduct a physical inventory of equipment, accessories and merchandise.

DWD 60.08(6) (6) Probationary period. All operators shall serve a probationary period of 6 months, including operators who have been promoted or transferred. The department may shorten the probationary period to 3 months following an operator’s satisfactory management of the business enterprise during that period, or the department may lengthen the probationary period to one year.

DWD 60.08(7) (7) Co-management.

DWD 60.08(7)(a) (a) Definition. In this subsection, “assessment” means an examination of operational requirements that include but are not limited to operating hours or days, volume of merchandise sold, number of peak sales periods per day, complexity and extensiveness of product line and inventory, number of employes, total labor hours per day, ratio of employe hours to management hours, sales generated per employe, required management skill level, the scope of managerial responsibilities and stipulations of agreement with building management.

DWD 60.08(7)(b) (b) Need.

DWD 60.08(7)(b)1. 1. A co-manager position may be established only when department staff, with participation of the committee, determine that an additional operator is necessary to satisfy the management needs of the enterprise.

DWD 60.08(7)(b)2. 2. Department staff shall determine management need on the basis of an assessment of operational requirements undertaken with participation of the committee.

DWD 60.08(7)(b)3. 3. A new facility shall have an assessment before any vacancy is posted. If the need for co-management is uncertain, the vacancy announcement shall indicate that co-management may be needed in the future.

DWD 60.08(7)(b)4. 4. A facility that is operational shall have an assessment when department staff determine that an assessment is appropriate or when an operator requests an assessment.

DWD 60.08(7)(c) (c) Criteria for co-management.

DWD 60.08(7)(c)1. 1. At an existing facility, a co-manager position may be added when department staff determine it is needed for facility management, as identified in one of the following ways:

DWD 60.08(7)(c)1.a. a. Through an assessment done in accordance with par. (b); or

DWD 60.08(7)(c)1.b. b. Through an assessment after department staff have determined that existing management deficiencies threaten the ongoing operation of the business.

DWD 60.08(7)(c)2. 2. A co-manager position may be eliminated only when that position is vacant and department staff, with participation of the committee, determine that the management need of the business is satisfied without it. This assessment shall indicate the need for any additional employe hours with the elimination of the co-manager position. The position may not be eliminated if additional employe hours exceed 9 hours per day or 45 hours per week.

DWD 60.08(7)(d) (d) Managerial duty list.

DWD 60.08(7)(d)1. 1. When a co-manager position is announced, the announcement shall contain an existing or proposed managerial duty list. The duty list may not be revised while the position is vacant.

DWD 60.08(7)(d)2. 2. For a facility opened after June 1, 1994 the approved co-managers shall submit the managerial duty list to the department within 60 days after the opening date of the business. Department staff may, within 30 days after receiving the duty list, and with the advice of the committee, reject the duty list or require that it be revised. If a co-manager disagrees with the action of the department, he or she may file a grievance in accordance with s. DWD 60.05.

DWD 60.08(7)(d)3. 3. For a facility that is in operation on June 1, 1994 the approved co-managers shall submit the managerial duty list to the department within 60 days after June 1, 1994.

DWD 60.08(7)(d)4. 4. Co-managers of a business that has had a duty list previously approved by the department may revise the duty list, subject to approval of the department. The revised duty list shall reflect a new co-manager’s previous work experience and shall be further revised as his or her skill level progresses. The committee may participate in the approval process at the request of an affected operator or the department. Within 30 days after receiving a revised duty list, department staff may reject that list or require additional changes in it. If a co-manager disagrees with the action of the department, he or she may file a grievance under s. DWD 60.05. Pending a decision on the grievance, the original duty list shall remain in effect except for those items that are not in dispute.

DWD 60.08(7)(e) (e) Equal responsibility and equal income sharing.

DWD 60.08(7)(e)1. 1. Co-managers shall be equally responsible for business operations and for complying with this chapter.

DWD 60.08(7)(e)2. 2. Co-managers shall equally share the income of the business unless they and the department agree on a different distribution or if the effect of equal sharing is to reduce the percentage or share of the income of the business received by a co-manager who was a co-manager on June 1, 1994.

DWD 60.08 History History: Cr. Register, May, 1983, No. 329, eff. 6-1-83; am. (1) and (3), renum. (4) and (5) to be (5) and (6), cr. (4), Register, April, 1987, No. 376, eff. 5-1-87; cr. (7), Register, May, 1994, No. 461, eff. 6-1-94.

DWD 60.09 DWD 60.09 Setting up the business enterprise.

DWD 60.09(1) (1) Equipment.

DWD 60.09(1)(a) (a) Department responsibility. The department shall provide each business enterprise with suitable equipment and shall arrange for all normal repair and replacement of this equipment except for an enterprise which has vendor owned equipment.

DWD 60.09(1)(b) (b) Title to equipment.

DWD 60.09(1)(b)1. 1. ‘Department ownership.’ All rights, title to and interest in business enterprise equipment, other than equipment owned and maintained by vending machine companies or suppliers, is vested in the department unless the operator exercises the option to purchase the equipment as provided in subd. 2.

DWD 60.09(1)(b)2. 2. ‘Vendor ownership.’

DWD 60.09(1)(b)2.a. a. All rights, title to and interest in business enterprise equipment may be vested in an operator, as authorized by s. 47.03 (4), Stats., and the Randolph-Sheppard Act, provided that the operator has competently operated the business enterprise under supervision of the department for one year, and if the organization responsible for the building in which the business enterprise is located grants permission. The vendor-owner shall remain under supervision of the department.

DWD 60.09(1)(b)2.b. b. The business enterprise equipment shall be sold at a fair value based on the condition and serviceability of the equipment at the time of sale. Merchandise shall be sold at the original purchase price. Total payment shall be due to the department when the bill of sale is signed.

DWD 60.09(1)(b)2.c. c. A bill of sale between the operator and the department shall contain the terms and conditions of the sale, in accordance with this chapter and the conditions of any permit or contract governing the premises on which the business enterprise is located. Upon completion of the sale the operator shall be responsible for maintaining, repairing, and replacing all business enterprise equipment, and the set-aside charge for these services is suspended. In the event the operator fails to meet all obligations to provide proper maintenance, repair and replacement of equipment, the department may elect to make the necessary repair or replacement and charge the vendor-owner for such repair or replacement.

DWD 60.09(1)(b)2.d. d. The department retains a first option to repurchase within 90 days the equipment and stock in the event the vendor-owner dies, ceases to be a licensee, transfers to another business enterprise, or requests in writing purchase by the department. If the option to repurchase is not exercised, the department shall, if requested, provide a written statement to the vendor-owner giving the reasons for not exercising the option.

DWD 60.09(1)(c) (c) Receipt of equipment. Equipment furnished to the operator or removed by the department from the operator shall be acknowledged by a receipt signed by the operator or his or her agent or by the department’s representative, as is appropriate.

DWD 60.09(1)(d) (d) Care of equipment. Equipment furnished by the department shall be used only for the purpose stated in the operator’s agreement. The operator shall exercise reasonable care in the use and maintenance of that equipment in order to keep it in good condition.

DWD 60.09(1)(e) (e) Change or addition of equipment. The operator shall not add to or change any piece of equipment without prior written approval of the department.

DWD 60.09(2) (2) Initial stock.

DWD 60.09(2)(a) (a) Department responsibility.

DWD 60.09(2)(a)1. 1. The department shall provide each business enterprise with an adequate initial stock, including merchandise, supplies, and operating capital, as determined by the department to be adequate to begin operation. This level shall be adjusted annually by an index determined by current wholesale prices for such stock.

DWD 60.09(2)(a)2. 2. The department shall reimburse the operator if he or she leaves a particular location due to transfer, resignation or dismissal, for any usable and salable stocks and supplies above the current adjusted level. The operator shall reimburse the department if the closing inventory is less than the current adjusted level. In the event of an operator’s death, the estate shall be reimbursed accordingly or the estate shall reimburse the department. The department shall determine the amount to be paid to or collected from an operator or an operator’s estate within 60 calendar days after completion of the closing inventory. Payment or collection shall occur within 30 days after determination of the amount to be paid or collected.

DWD 60.09(2)(b) (b) Operator responsibility.

DWD 60.09(2)(b)1. 1. The operator shall acknowledge initial stock furnished by the department by signing a receipt to that effect.

DWD 60.09(2)(b)2. 2. The operator shall maintain a stock level and amount of operating capital adequate to conduct the business enterprise efficiently and effectively, as determined by the department.

DWD 60.09(3) (3) Bonding. All operators except vendor-owners shall be bonded and shall be assessed an annual bonding charge by the department.

DWD 60.09(4) (4) Income from vending machines.

DWD 60.09(4)(a) (a) Income from vending machines on state or other property within reasonable proximity to and in direct competition with a business enterprise shall be assigned to the operator of such business enterprise. A vending machine is in reasonable proximity to and in direct competition with a business enterprise if it vends articles of a type authorized in the permit and is so located that it attracts customers who would otherwise patronize the business enterprise.

DWD 60.09(4)(b) (b) Income from vending machines not within reasonable proximity to or in direct competition with a business enterprise may be used for management services for the business enterprise program.

DWD 60.09(4)(c) (c) In all cases, income from vending machines shall be distributed as provided under the Randolph-Sheppard Act and 34 CFR 395.8.

DWD 60.09(5) (5) Insurance.

DWD 60.09(5)(a) (a) Every business enterprise shall have adequate liability and fire insurance at levels established by the state of Wisconsin office of risk management.

DWD 60.09(5)(b) (b) If the department obtains the necessary insurance coverage, the operator shall reimburse the department.

DWD 60.09(5)(c) (c) Unless otherwise agreed, the first premium for insurance coverage for each new business enterprise shall be paid by the department as a part of the initial installation costs.

DWD 60.09(6) (6) Licenses and permits.

DWD 60.09(6)(a) (a) Each business enterprise shall have all licenses and permits required by law for the conduct of the business enterprise.

DWD 60.09(6)(b) (b) If the department obtains the required licenses and permits, the operator shall reimburse the department for them.

DWD 60.09 History History: Cr. Register, May, 1983, No. 329, eff. 6-1-83; correction in (1) (b) 2. a. made under s. 13.93 (2m) (b) 7., Stats.

DWD 60.10 DWD 60.10 Operating the business enterprise.

DWD 60.10(1) (1) Operator behavior.

DWD 60.10(1)(a) (a) General. The operator shall:

DWD 60.10(1)(a)1. 1. Perform faithfully and to the best of his or her ability all duties necessary to the proper conduct and operation of the business enterprise;

DWD 60.10(1)(a)2. 2. Operate the business in compliance with all applicable provisions of federal, state, and local law;

DWD 60.10(1)(a)3. 3. Operate the business in accordance with this chapter and the permit or contract with the controlling body or organization of the building or property in which the business is located; and

DWD 60.10(1)(a)4. 4. Cooperate with duly authorized representatives of the department in the performance of their official responsibilities.

DWD 60.10(1)(b) (b) Prohibited behavior by operator and employes. The operator or any employe of the operator, while engaged in the pursuit of duties and responsibilities as operator on the premises where the business enterprise is located or elsewhere, shall refrain from any action or conduct which may bring or reflect discredit to the business enterprise operation, to the owner or manager of the premises where the business enterprise is located or to the department’s business enterprise program. Such prohibited action or conduct shall include, but shall not be limited to, the following:

DWD 60.10(1)(b)1. 1. Use of alcoholic beverages, controlled substances as defined in ch. 961, Stats., or other drugs unless prescribed by a physician for the user;