Legislative Program Review and Investigations Committee
Scope of Study
BESB VENDING MACHINE OPERATIONS
Under a state law enacted in 1945, the Board of Education and Services for the Blind (BESB) has exclusive rights to operate vending facilities, which include cafeterias, snack bars, newsstands, and automatic vending machines, on any state or municipal property. (Federal legislation gives BESB similar authority in federal buildings.) The income from vending machines must be used to pay for fringe benefits, training, and support of vending facility operators, and to provide entrepreneurial and independent-living training and equipment to blind adults and children who are blind or visually impaired.
At present, BESB runs the vending machines in most state and federal buildings. It is seeking to expand operations in municipal buildings where it now controls less than 25 percent of vending machines. In 1999, the agency signed an exclusive long-term contract with one outside vendor (Coca Cola) to provide all BESB vending machine services.
AREA OF FOCUS
The study would determine if state policies and procedures related to BESB vending machine operations provide adequate accountability and promote the most efficient and effective use of the revenues generated.
AREAS OF ANALYSIS
A. Evaluate the extent to which current policies and procedures ensure accountability and identify possible improvements.
1. What is BESB's authority regarding vending operations?
2. What policies and procedures govern BESB vending machine operations?
3. Do state contracting requirements and other general controls (e.g., competitive bidding, review by attorney general) apply to the process?
4. How does the BESB process compare with procedures for the federal program and similar programs in other states?
5. Is BESB in compliance with existing policies and procedures?
6. Do existing policies and procedures result in sound business practices and decisions made in the public interest?
7. What if any changes would strengthen oversight of the program?
B. Evaluate the impact of the current uses of vending machine revenues and possible alternative uses.
1. What revenues are generated from BESB vending machine operations and how are they used?
2. Are the revenues being used for their intended purpose?
3. Could the revenues be used for alternative purposes?
4. What if any changes would permit more efficient and effective use of the resources generated?