Common use of COMMERCIAL LINES OF BUSINESS Clause in Contracts

COMMERCIAL LINES OF BUSINESS. The Commission authorizes use of Program Fee for commercial efforts to the extent that the commercial efforts are intended to have a direct benefit to the Program mission and do not otherwise detract from the CNA’s performance or are considered unallowable under this Agreement. The CNA shall provide the Commission PMO with a business plan prior to investing Program Fee in a commercial effort. The CNA must submit a business plan after conducting research but prior to moving to the development of a commercial effort. The CNA will provide an update on each commercial effort in research and development in each quarterly report. The business plan shall be submitted no later than thirty (30) days after conclusion of research and shall include details of how the product or service will be developed and how it will benefit the Program. For example, what studies, if any, will be conducted and once conducted, what are the results? Will new assistive technology or methods be developed? Are there any new training packages or techniques that will be implemented and if so, what is the projected net gain? The Commission staff shall review the plan and provide concurrence or non-concurrence to use Program Fee for the proposed commercial effort within thirty (30) days of receiving the plan. Also, when using the Program Fee for commercial efforts, the CNA shall provide an annual commercial lines of business report. The report shall have an itemized breakdown of Program Fee expended and revenue generated. The itemization shall detail responses to the aforementioned plan details as well as: • Total amount of revenue invested back into the AbilityOne Program (with specific information as to how it was reinvested); • Total number of jobs (as well as for people who are blind or severely disabled) that resulted from the Commercial Lines of Business; • Total Direct Labor Hours (DLH) resulting from Commercial Lines of Business, also breaking out blind/significantly disabled; • How much revenue that was invested in the Commercial Lines of Business came from Program Fee; and • How much revenue will be used for grants/scholarships to NPAs, detailing the specific grants/scholarships.

COMMERCIAL LINES OF BUSINESS. The Commission authorizes use of Program Fee for commercial efforts to the extent that the commercial efforts are intended to have a direct benefit to the Program mission and do not otherwise detract from the CNA’s performance or are considered unallowable under this Agreement. The Commission’s Administrative Memorandum Number 11, Central Nonprofit Agency (CNA) Fee Ceiling Determination Process, states CNAs are authorized to set fees to “generate revenue within their approved business plan, to incentivize the expansion of employment opportunities and to assist in start-ups.” Accordingly, the CNA shall provide the Commission PMO with a business plan prior to investing Program Fee in a commercial effort. The CNA must submit a business plan after conducting research but prior to moving to the development of a commercial effort. The CNA will provide an update on each commercial effort in research and development in each quarterly report. The business plan shall be submitted no later than thirty (30) days after conclusion of research and shall include details of how the product or service will be developed and how it will benefit the Program. For example, what studies, if any, will be conducted and once conducted, what are the results? Will new assistive technology or methods be developed? Are there any new training packages or techniques that will be implemented and if so, what is the projected net gain? The Commission staff shall review the plan and provide concurrence or non-concurrence to use Program Fee for the proposed commercial effort within thirty (30) days of receiving the plan. Also, when using the Program Fee for commercial efforts, the CNA shall provide an annual commercial lines of business report. The report shall have an itemized breakdown of Program Fee expended and revenue generated. The itemization shall detail responses to the aforementioned plan details as well as: • Total amount of revenue invested back into the AbilityOne Program (with specific information as to how it was reinvested); • Total number of jobs (as well as for people who are blind or severely disabled) that resulted from the Commercial Lines of Business; • Total Direct Labor Hours (DLH) resulting from Commercial Lines of Business, also breaking out blind/significantly disabled; • How much revenue that was invested in the Commercial Lines of Business came from Program Fee; and • How much revenue will be used for grants/scholarships to NPAs, detailing the specific grants/scholarships.

COMMERCIAL LINES OF BUSINESS. The Commission authorizes use of Program Fee for commercial efforts to the extent that the commercial efforts are intended to have a direct benefit to the Program mission and do not otherwise detract from the CNA’s performance or are considered unallowable under this Agreement. The Commission’s Administrative Memorandum Number 11, Central Nonprofit Agency (CNA) Fee Ceiling Determination Process, states CNAs are authorized to set fees to “generate revenue within their approved business plan, to incentivize the expansion of employment opportunities and to assist in start-ups.” Accordingly, the CNA shall provide the Commission PMO with a business plan prior to investing Program Fee in a commercial effort. The CNA must submit a business plan after conducting research but prior to moving to the development of a commercial effort. The CNA will provide an update on each commercial effort in research and development in each quarterly report. The business plan shall be submitted no later than thirty (30) days after conclusion of research and shall include details of how the product or service will be developed and how it will benefit the Program. For example, what studies, if any, will be conducted and once conducted, what are the results? Will new assistive technology or methods be developed? Are there any new training packages or techniques that will be implemented and if so, what is the projected net gain? The Commission staff shall review the plan and provide concurrence or non-concurrence to use Program Fee for the proposed commercial effort within thirty (30) days of receiving the plan. Also, when using the Program Fee for commercial efforts, the CNA shall provide an annual commercial lines of business report. The report shall have an itemized breakdown of Program Fee expended and revenue generated. The itemization shall detail responses to the aforementioned plan details as well as: •  Total amount of revenue invested back into the AbilityOne Program (with specific information as to how it was reinvested); •  Total number of jobs (as well as for people who are blind or severely disabled) that resulted from the Commercial Lines of Business; •  Total Direct Labor Hours (DLH) resulting from Commercial Lines of Business, also breaking out blind/significantly disabled; •  How much revenue that was invested in the Commercial Lines of Business came from Program Fee; and •  How much revenue will be used for grants/scholarships to NPAs, detailing the specific grants/scholarships.

COMMERCIAL LINES OF BUSINESS. The Commission authorizes use of Program Fee for commercial efforts to the extent that the commercial efforts are intended to have a direct benefit to the Program mission and do not otherwise detract from the CNA’s performance or are considered unallowable under this Agreement. The Commission’s Administrative Memorandum Number 11, Central Nonprofit Agency (CNA) Fee Ceiling Determination Process, states CNAs are authorized to set fees to “generate revenue within their approved business plan, to incentivize the expansion of employment opportunities and to assist in start-ups.” Accordingly, the CNA shall provide the Commission PMO with a business plan prior to investing Program Fee in a commercial effort. The CNA must submit a business This plan after conducting research but prior to moving to the development of a commercial effort. The CNA will provide an update on each commercial effort in research and development in each quarterly report. The business plan shall be submitted no later than thirty (30) days after conclusion of research and shall include details of how the product or service will be is being developed and how it will benefit the Program. For example, what studies, if any, will be conducted and once conducted, what are the results? Will new assistive technology or methods be developed? Are there any new training packages or techniques that will be implemented and if so, what is the projected net gain? The Commission staff shall review the plan and provide concurrence approve or non-concurrence to deny the use of Program Fee for the proposed commercial effort within thirty (30) days of receiving the planeffort. Also, when using the Program Fee for commercial efforts, the CNA shall provide an annual commercial lines of business report. The report shall have an itemized breakdown of Program Fee expended and revenue generated. The itemization shall detail responses to the aforementioned plan details as well as: • Total amount of revenue invested back into the AbilityOne Program (with specific information as to how it was reinvested); • Total number of jobs (as well as for people who are blind or severely disabled) that resulted from the Commercial Lines of Business; • Total Direct Labor Hours (DLH) resulting from Commercial Lines of Business, also breaking out blind/significantly disabled; • How much revenue that was invested in the Commercial Lines of Business came from Program Fee; and • How much revenue will be used for grants/scholarships to NPAs, detailing the specific grants/scholarships.