Section 650.30  Rights and Responsibilities of Vendors in the Program

a)         Vendors have the following rights:

1)         to grieve disciplinary actions under Section 650.130;

2)         to grieve dissatisfaction with any action arising from the operation or administration of the Program under 89 Ill. Adm. Code 510;

3)         to participate in the election of representatives to ICBV;

4)         to receive the net income from the management and operation of the facilities to which vendors are assigned;

5)         to bid on facilities for which a vendor is certified under Section 650.70; and

6)         to review his/her personnel file and provide comments pursuant to 89 Ill. Adm. Code 505.10.

b)         Vendors, or those on probation for licensing, are engaged in a "trade or business" as defined by the Self-Employment Contribution Act (26 USC 1401-1403) and their net income from the management and operation of a facility constitutes self‑employment income as defined in Internal Revenue Ruling 54-255 (Rev Rul 54‑255, 1954-2 CB 326 with no subsequent amendments or editions). A copy of this information will be distributed to the vendors.

c)         The vendor is responsible for:

1)         maintaining the facility pursuant to the conditions of the facility's contract, permit, or MOU, and 34 CFR 395 (2009);

2)         abiding by good business practices, specified in Section 650.100, as well as abiding by the provisions of this Part;

3)         making all appropriate payments for local, State and federal taxes, and fees (if applicable), related to sales, operations of the facility, and facility employees, within prescribed due dates;

4)         providing liability insurance protection in the following minimum amounts:  public liability $500,000/1 million, property damage $50,000/100,000 and food products liability $500,000/1 million;

5)         devoting full time (minimum of 37.5 hours per week) to the affairs of the assigned facility; carrying out assigned activities, responsibilities and relationships in accordance with this Part;

6)         considering advice presented by the business consultant or other Program personnel employed by DHS or the nominee agency (e.g., advice concerning loss control, security, equipment maintenance and repair, and customer relations);

7)         notifying DHS of the vendor's current address, electronic address, TTY and telephone number within five days after a change; and

8)         abiding by the signed "Vendor Agreement" and any provisions for purchase of initial stock and facility equipment.

(Source:  Amended at 34 Ill. Reg. 1535, effective January 19, 2010)