BOB DOLE KANSAS 141 SENATE HART BUILDING FINANCE (202) 224­652 COMMITTEES: AGRICULTURE, NUTRITION, AND FORESTRY FINANCE RULES United States Senate WASHINGTON, DC 20510-1601 April 24, 1991 The Honorable Louis w. Sullivan Secretary of Health and Human Services 200 Independence Avenue, S.W. Washington, D.C. 20201 Dear Mr. Secretary: I am writing to express my concern over a Social Security Administration decision to terminate a two-year demonstration grant to the National Association of Rehabilitation Facilities. NARF's "Incentive-Based Vocational Rehabilitation Project" was established to demonstrate the feasibility of an incentive-based system for vocational rehabilitation service providers. Under this project, service providers only receive compensation for expenses after a beneficiary has maintained employment for nine months at the Substantial Gainful Activity level. The purpose of the project's risk/reward system is to encourage the employment of people with disabilities. In late March, NARF was notified by telephone of SSA's intention to prematurely terminate the Vocational Rehabilitation Demonstration grant. In a subsequent letter to NARF, SSA explained this decision by stating that the project was "not relevant to the goals and objectives of its disability program." Termination of the project, which was only operational for nine months, underscores a potential problem with SSA's disability program. SSA's actions have caused difficulty for both SSDI beneficiaries and community-based service providers. The financial and human investments in this project have been extensive, and the decision by SSA eliminates the investment's return. Consequently, NARF will be unable to propose specific recommendations on an effective return-to-work program for SSDI recipients. I support NARF's efforts and strongly encourage you to review SSA's decision to prematurely terminate the demonstration project. Sincerely, BOB DOLE United States Senate PRINTED ON RECYCLED PAPER