BOP Program Statement 3721.07 § 14

a. All vending machines at Bureau facilities will be classified into one of the following

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categories:

 Class 1. All vending machines located in an institution’s visiting room are accessible to

both inmates and visitors.

 Class 2. All vending machines located in areas are off limits to the inmate population

(e.g., staff lounges, training centers).

b. The Bureau is required by law to give priority in the operation of Class 1 and Class 2 vending

machines on Bureau property to blind persons licensed by the state licensing agencies (SLA) for

the blind. See the Randolph-Sheppard Act, Title 20 U.S.C. §107. An SLA is a state vocational

rehabilitation agency, which has been designated by the Secretary of the U.S. Department of

Education to issue licenses to blind persons for the operation of vending facilities on federal

property. SLAs have been designated in every state except Wyoming and Montana.

c. The Business Administrator at each Bureau institution will ensure the appropriate SLA is

aware of the Class 1 and Class 2 vending opportunities available at the institution. If the SLA

determines Class 1 and Class 2 vending opportunities at the institution can support a blind

vendor, a blind vendor licensed by the SLA must have priority to operate the Class 1 and Class 2

vending machines at the institution. In this case, the employee organization at the institution will

not be authorized to provide Class 1 and Class 2 vending services.

d. If the SLA determines the institution’s Class 1 and Class 2 vending opportunities will not

support a blind vendor, the employee organization at the institution may provide Class 1 and

Class 2 vending services. A written agreement between the employee organization and the

institution concerning the use of Bureau facilities for the operation of vending machines and the

payment due to the Bureau for space rental will be executed and maintained.

(1) Institutions with vending machines and other appliances operated on the premises, with

profits from these machines and appliances used for the benefit of employee

organizations, should establish a recommended mark-up for the selling price of each

good sold based on 30 to 40 percent of the cost of inventory.

(2) Space rental is $1.15 per square foot of floor space per month for all space occupied by

reserve stock of goods.

(3) Reimbursement to the government for vending machines, other appliances and space may

be made quarterly, semi-annually, or annually as determined locally.

(4) Collections from the SLA or Employee’s Club for space rental must be deposited by the

institution’s Financial Management Department (FMD) into Fund REC3220, General

Fund Proprietary Receipts, Not Otherwise Classified.

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(5) A written agreement between the institution and the employees’ group shall be executed,

revised from time to time as necessary, and maintained on file.

(6) Any employee’s time devoted to vending machine operations, such as filling machines,

collecting proceeds, etc., will occur on the employee’s personal time and not during duty

hours.

e. Employee organizations may not install electronic equipment, with the exception of approved

vending machines within the institution’s secure perimeter. Electronic equipment may be

installed in training centers, if the center is physically located outside of the institution’s secure

perimeter. The security of supplies and materials must be maintained at all times. If vending

machines are placed in training centers, consideration must be given to the security of the

machines and to the possible damage to the government property should theft occur.

f. The sale, distribution, and use of cigarettes, smokeless tobacco, and covered tobacco products

in vending machines set forth in the Food and Drug Administration regulations, Title 21 CFR

Part 1140 Subpart A, are prohibited.

g. The Warden has the authority to require the removal of any items from vending machines that

pose a risk to the safety and/or security of the institution.