DEPARTMENT OF LABOR AND ECONOMIC OPPORTUNITY  
MICHIGAN REHABILITATION SERVICES  
VOCATIONAL REHABILITATION  
(By authority conferred on the director of the department of labor and economic  
opportunity by sections 2a and 2b of the proprietary schools act, 1943 PA 148, MCL  
395.102a and 395.102b, and sections 3, 4, and 6 of the rehabilitation act of 1964, 1964  
PA 232, MCL 395.83, 395.84, and 395.86; Executive Reorganization Order Nos. 1999-1,  
2003-1, 2012-5, and 2019-3, MCL 408.40, 445.2011, 445.2033, and 125.1998; and in  
accord with the workforce innovation and opportunity act , Public Law 113-128)  
PART 1. ELIGIBILITY FOR REHABILITATION SERVICE  
R 395.1 Rescinded.  
History: 1954 AC; 1979 AC; 1998-2000 AACS; 2015 AACS.  
R 395.2 Rescinded.  
History: 1954 AC; Rescinded 1954 ACS 24, Eff. Nov. 12, 1960.  
R 395.3 Rescinded.  
History: 1954 AC; 1979 AC; 2005 AACS; 2015 AACS.  
R 395.4 Rescinded.  
History: 1954 AC; 1979 AC; 2005 AACS; 2015 AACS.  
R 395.5 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.6 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
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R 395.7 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.8 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.21 Rescinded.  
History: 1954 AC; 1979 AC; 1998-2000 AACS; 2015 AACS.  
R 395.22 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.23 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.24 Rescinded.  
History: 1979 AC; 2015 AACS.  
R 395.31 Rescinded.  
History: 1954 AC; 1979 AC; 2005 AACS; 2015 AACS.  
R 395.32 Rescinded.  
History: 1954 AC; 1979 AC; 2005 AACS; 2015 AACS.  
R 395.33 Rescinded.  
History: 1954 AC; 1979 AC; 2005 AACS; 2015 AACS.  
R 395.34 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
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R 395.35 Rescinded.  
History: 1954 AC; 1979 AC; 2015 AACS.  
R 395.41 Rescinded.  
History: 1979 AC; 2015 AACS.  
R 395.42 Rescinded.  
History: 1979 AC. 2015 AACS.  
R 395.51 Definitions.  
Rule 1. As used in these rules:  
(a) “Clear and convincing evidence” means there is a high degree of certainty that  
the individual is incapable of benefiting from services in terms of an employment  
outcome.  
(b) The “Client Assistance Program” or the “CAP” means the program under the  
rehabilitation act of 1973, 29 USC 732. The CAP provides assistance in informing and  
advising all applicants and individuals eligible for vocational rehabilitation services of all  
available benefits under the rehabilitation act of 1973, 29 USC 701 to 7961. Upon request  
of such applicants or eligible individuals, the CAP assists and advocates for such  
applicants or eligible individuals in their relationships with projects, programs, and  
services provided under the rehabilitation act of 1973, 29 USC 701 to 7961, including  
assistance and advocacy in pursuing legal, administrative, or other appropriate remedies  
to ensure the protection of the rights of such individuals under the rehabilitation act of  
1973, 29 USC 701 to 7961 and to facilitate access to the services funded under the  
rehabilitation act of 1973, 29 USC 701 to 7961 through individual and systemic  
advocacy.  
(c) “Comparable services and benefits” means services and benefits, not including  
awards and scholarships based on merit, that are provided or paid for, in whole, or in part,  
by other federal, state, or local public agencies, by health insurance, or by employee  
benefits that are available to the individual at the time needed to ensure the progress of  
the individual toward achieving the employment outcome in the individual’s IPE and that  
are commensurate to the services the individual would otherwise receive from MRS.  
(d) “Competitive integrated employment” means work that complies with the  
following:  
(i) Is performed on a full-time or part-time basis, including self-employment, and  
for which an individual is compensated at a rate that includes all of the following:  
(A) Is not less than the higher of the rate specified in section 6(a)(1) of the fair labor  
standards act of 1938, 29 USC 206 or the rate required under the applicable state or local  
minimum wage law for the place of employment.  
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(B) Is not less than the customary rate paid by the employer for the same or similar  
work performed by other employees who are not individuals with disabilities and who are  
similarly situated in similar occupations by the same employer and who have similar  
training, experience, and skills.  
(C) In the case of an individual who is self-employed, yields an income that is  
comparable to the income received by other individuals who are not individuals with  
disabilities and who are self-employed in similar occupations or on similar tasks and who  
have similar training, experience, and skills.  
(D) Is eligible for the level of benefits provided to other employees.  
(ii) Is at a location where the employee with a disability interacts for the purpose of  
performing the duties of the position with other individuals, for example, other  
employees, customers and vendors, who are not individuals with disabilities, not  
including supervisory personnel or individuals who are providing services to such  
employee, to the same extent that employees who are not individuals with disabilities and  
who are in comparable positions interact with these individuals.  
(iii) Presents, as appropriate, opportunities for advancement that are similar to those  
for other employees who are not individuals with disabilities and who have similar  
positions.  
(e) “Cost of attendance” means the total amount it will cost a student to attend  
school in a year.  
(f) “Employment outcome” means, with respect to the individual, entering,  
advancing in, or retaining full-time, or, if appropriate, part-time competitive integrated  
employment, including customized employment, self-employment, telecommuting, or  
business ownership, or supported employment that is consistent with an individual’s  
strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed  
choice.  
(g) “Individualized plan for employment” or “IPE” means an individualized plan for  
employment as described in R 395.67 to R 395.71.  
(h) “Michigan Rehabilitation Services or “MRS” means the part of a network of  
vocational rehabilitation programs across the United States authorized by the  
rehabilitation act of 1973, 29 USC 701 to 7961.  
(i) “Part-time employment” means employment that is permanently assigned to an  
employee that is less than 30 hours of work per week.  
(j) “Post-employment services” means one or more vocational rehabilitation services  
that are provided subsequent to the achievement of an employment outcome and that are  
necessary for an individual to maintain, regain, or advance in employment, consistent  
with the individual’s unique strengths, resources, priorities, concerns, abilities,  
capabilities, interests, and informed choice.”  
(k) “Pre-employment transition services” or “Pre-ETS” means the required activities  
and authorized activities specified in 34 CFR 361.48(a)(2) and (3).  
(l) “Rehabilitation technology” means the systematic application of technologies,  
engineering methodologies, or scientific principles to meet the needs of and address the  
barriers confronted by individuals with disabilities.  
(m) “Substantial impediment to employment” means that a physical or mental  
impairment hinders an individual from preparing for, entering into, engaging in,  
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advancing in, or retaining employment consistent with the individual’s abilities and  
capabilities.  
(n) “Vocational rehabilitation services” or “VRS” means those services, if provided  
to an individual, listed in 34 CFR 361.48, and, if provided for the benefit of groups of  
individuals, those services listed in 34 CFR 361.49.  
History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.52 Implementation of processes; policy.  
Rule 2. MRS shall publish and make available to the public procedures for the  
implementation of these rules.  
History: 2015 AACS.  
R 395.53 Purpose.  
Rule 3. (1) MRS shall assess, plan, develop, and provide vocational rehabilitation  
services for eligible individuals with disabilities, consistent with their unique strengths,  
resources, priorities, concerns, abilities, capabilities, interests, and informed choice, to  
prepare for and engage in competitive integrated employment and achieve economic self-  
sufficiency.  
(2) MRS shall make available Pre-ETS statewide to all students with disabilities,  
regardless of whether the student has applied or been determined eligible for vocational  
rehabilitation services.  
(3) MRS shall engage with employers to increase job opportunities for individuals  
with disabilities.  
(4) MRS provides services in accordance with the provisions of an IPE. Each IPE  
must be designed to achieve a specific employment outcome that is selected by the  
customer consistent with the customer’s unique strengths, resources, priorities, concerns,  
abilities, capabilities, interests, and informed choice. Each IPE must include a description  
of the specific vocational rehabilitation services needed to achieve the employment  
outcome. Services provided must be needed to achieve the customer’s employment  
outcome and must be provided at the least cost, and of sufficient quality, to meet the  
individual’s rehabilitation needs.  
History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.54 General requirements.  
Rule 4. (1) MRS shall not discriminate on the basis of race, religion, age, national  
origin, color, height, weight, marital status, sex, sexual orientation, gender identity or  
expression, political beliefs, disability, participant status in a workforce innovation and  
opportunity act-funded program, or discriminate against certain non-citizens as defined  
by section 188 of the workforce innovation and opportunity act, 29 USC 3248.  
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(2) MRS shall not impose, as part of determining an individual’s eligibility for  
vocational rehabilitation services, a duration of residence requirement that excludes any  
applicant who is legally present in this state.  
(3) Throughout the individual’s rehabilitation program, every opportunity must be  
provided to the individual to make informed choices regarding the rehabilitation process.  
MRS shall maintain documentation of opportunities for making informed choices in the  
individual’s case record.  
(4) MRS shall establish and maintain a case record for each individual and recipient  
of vocational rehabilitation services, which includes data necessary to comply with MRS  
and federal Rehabilitation Services Administration requirements.  
(5) MRS shall make administrative decisions about the district and office boundaries  
in which individuals are served. Individuals do not have a right to select the office or  
district in which they are served or the counselor who will serve them.  
(6) Individuals are served in geographic MRS districts and offices according to their  
residence. Individuals who change their residence may have the option to have their  
cases transferred, with supervisory approval, to the district or office to which they have  
moved.  
(7) Individuals have the right to appeal the denial of a request to change counselors  
within an office.  
(8) Case service expenditures, whether assessment or IPE services, require written  
authorization by MRS before or simultaneously with the initiation of the service.  
Retroactive authorizations are allowed if the MRS customer made reasonable efforts to  
ensure MRS was able to provide the service and failure to authorize payment for services  
is due to MRS error or delay.  
(9) Goods and services must be provided subject to the statewide availability of  
funds. Each IPE must be developed and implemented in a manner that gives the  
individual the opportunity to exercise informed choice in selecting the vocational  
rehabilitation services needed to achieve the employment outcome, including the settings  
in which services will be provided, and the entity or entities that will provide the  
vocational rehabilitation services.  
(10) When appropriate, MRS counselor shall provide the referral necessary to  
support the individual with disabilities in securing needed services from other agencies  
and organizations.  
(11) The MRS counselor shall inform each individual of the right to obtain review of  
determinations made by MRS that affect the provision of vocational rehabilitation  
services, including the right to pursue mediation and provide applicants and eligible  
individuals with notice of the availability of the CAP to assist the applicant or recipient  
during mediation sessions or impartial due process hearings.  
History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.55 Confidentiality.  
Rule 5. (1) MRS shall keep all personal information concerning individuals,  
including but not limited to, photographs and lists of names, confidential.  
(2) MRS may release personal information only to individuals or entities directly  
connected with the administration of the vocational rehabilitation program and only to the  
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extent permitted under federal regulations governing the vocational rehabilitation  
program. Information containing identifiable personal information shall not be shared  
with advisory or other bodies that do not have official responsibility for administration of  
the program.  
(3) MRS shall release personal information only with the informed, written consent  
of the individual. MRS shall release personal information without informed, written  
consent of the individual as needed to protect the applicant from physical harm to self or  
others and in response to any of the following:  
(a) Law enforcement, fraud, or abuse investigations.  
(b) In response to a judicial order.  
(c) When required by federal statute or regulation.  
(d) For audit, research, or evaluation purposes as allowed under the federal  
regulations 34 CFR 361.38(d).  
(e) In a suspected case of abuse, neglect, exploitation, or endangerment of the  
individual.  
(4) Information obtained from another agency or organization shall be released only  
by, or under the conditions established by, the other agency/organization.  
(5) When requested in writing by an individual, MRS shall make the information  
requested accessible to the individual and release the information to the individual or the  
individual’s representative in a timely manner.  
(6) Medical, psychological, and other information that may be potentially harmful  
to the individual shall not be directly released to the individual but shall be released  
instead to a third party chosen by the individual that may include any of the following:  
(a) A qualified medical or mental health professional.  
(b) Advocate.  
(c) Family member.  
(d) Legal guardian.  
(7) MRS may release information to parents or legal guardians of individuals who  
are minors under the same conditions as it may be released directly to individuals.  
(8) Release of information to an individual, agency, or organization other than those  
specified in these rules shall contain a statement precluding its further release.  
(9) MRS counselors shall advise individuals and providers of information of the  
confidentiality and release restrictions in this rule through appropriate means of  
communication.  
History: 2015 AACS.  
R 395.56 Application for MRS services.  
Rule 6. To apply for MRS services, an individual, or his or her representative as  
appropriate, shall do all of the following:  
Complete and sign an MRS application form or otherwise request services and  
provide the equivalent information.  
Provide information necessary to determine eligibility and priority for services.  
Be available to complete the assessment process.  
History: 2015 AACS.  
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R 395.57 Eligibility criteria.  
Rule 7. (1) An individual is eligible for MRS services if, after an assessment has  
been conducted, MRS determines that the individual meets both of the following:  
(a) Has a physical or mental impairment which, for the individual, constitutes or  
results in a substantial impediment to employment.  
(b) Requires MRS to prepare for, secure, retain, advance in, or regain employment  
consistent with the individual’s unique strengths, resources, priorities, concerns, abilities,  
capabilities, interests, and informed choice. For purposes of an assessment for  
determining eligibility and vocational rehabilitation needs under the act, an individual  
shall be presumed to have a goal of an employment outcome.  
History: 2015 AACS.  
R 395.58 Presumption of benefit.  
Rule 8. All individuals who apply for services, including individuals who have been  
determined to have a disability under social security disability insurance and  
supplemental security income, are presumed to be able to benefit in terms of an  
employment outcome from VRS unless found to be ineligible for services due to the  
severity of the disability by clear and convincing evidence.  
History: 2015 AACS.  
R 395.59 Eligibility determination.  
Rule 9. The responsibility for making an eligibility determination shall be made by  
a qualified vocational rehabilitation counselor employed by MRS and shall not be  
delegated to any other individual or agency.  
History: 2015 AACS.  
R 395.60 Time frame for eligibility determination.  
Rule 10. (1) MRS shall make an eligibility determination for MRS services no later  
than 60 days from the date of application unless the individual is notified in writing of  
either of the following:  
(a) That the eligibility period is being extended because exceptional and unforeseen  
circumstances beyond control of the MRS counselor preclude the MRS counselor from  
completing the determination within the prescribed time frame, and the individual agrees  
that a specific extension of time is warranted.  
(b) When extended assessment through an extended evaluation plan or trial work  
experiences are necessary to determine if the individual is capable of benefiting, in terms  
of an employment outcome, from vocational rehabilitation services.  
(2) Extending the eligibility determination period as described in R 395.64 is not  
applicable to supplemental security income recipients or social security disability  
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insurance beneficiaries seeking MRS services pursuant to the federal requirements under  
34 CFR 361.42(a)3(B)(ii). The MRS counselor shall make an eligibility determination  
for recipients of social security disability benefits no later than 60 days from the date of  
application.  
(3) The only exception to this federal requirement is when the case record is moved  
to Trial Work Experiences (TWE) or Extended Evaluation (EE) within 60 days of the  
date of application. Trial work or further evaluation under an extended evaluation plan is  
only done when the MRS counselor has serious doubt about the individual’s ability to  
benefit from MRS services to achieve an employment outcome.  
History: 2015 AACS.  
R 395.61 Extended assessment; extended evaluation plan and trial work  
experiences.  
Rule 11. (1) Before an individual with a significant disability can be determined to  
be incapable of benefiting from services in terms of an employment outcome, MRS shall  
provide an extended assessment.  
(2) The presumption of employability continues during the extended assessment  
and may be refuted only if MRS demonstrates by clear and convincing evidence that the  
individual cannot benefit from services in terms of an employment outcome.  
(3) During the extended assessment, MRS shall explore the individual's abilities,  
capabilities, and capacity to perform in work situations in the most integrated settings  
through the use of trial work experiences with appropriate supports except under limited  
circumstances when an individual cannot or is not ready to take advantage of such  
experiences. These circumstances include individuals who are medically unstable and  
require treatment to achieve stability and individuals whose disabilities are not treatable,  
remediable, or who are near death.  
(4) Trial work experiences shall be of sufficient variety and over a sufficient period  
of time, and with appropriate supports, so that a MRS counselor may determine the  
eligibility of the individual or to determine the existence of clear and convincing  
evidence that the individual is incapable of benefiting in terms of an employment  
outcome from vocational rehabilitation services due to the severity of the individual's  
disability.  
(5) A MRS counselor shall develop a written extended assessment plan that  
includes identification of the services necessary to determine eligibility and the nature  
and scope of services required to achieve an employment outcome.  
(6) An individual, or his or her representative, shall be a full and active participant  
in the development of his or her extended assessment plan and in the selection of services  
and service providers and shall sign and be provided a copy of the written document.  
(7) A MRS counselor shall regularly and routinely evaluate progress toward  
achieving the assessment outcomes.  
(8) A MRS counselor shall terminate the extended assessment at any time an  
eligibility determination can be made, or after 12 months, unless substantial need for  
additional time is documented.  
History: 2015 AACS.  
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R 395.62 Presumption of eligibility for recipients of social security disability  
benefits.  
Rule 12. (1) All of the following apply to individuals who are recipients of social  
security disability benefits, based on a disability:  
(a) Considered to be an individual with a significant disability.  
(b) Presumed to be eligible for vocational rehabilitation services, provided the  
individual intends to achieve an employment outcome consistent with the unique  
strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed  
choice of the individual, unless the vocational rehabilitation counselor can demonstrate,  
by clear and convincing evidence, that the individual is incapable of benefiting due to the  
severity of the disability of the individual.  
(c) Once an individual has been informed of the employment nature of the program,  
the completion of a MRS application for services shall be considered as intent to achieve  
an employment outcome.  
(2) For an individual desiring to enter the workforce who are entitled to benefits  
under title II or XVI of the social security act, 42 U.S.C. 401 et seq, on the basis of a  
disability or blindness, the designated state unit shall provide to that individual general  
information on additional supports and assistance for individuals with disabilities desiring  
to enter the workforce, including assistance with benefits planning.  
(3) The MRS counselor shall make an eligibility determination for recipients of  
social security disability benefits no later than 60 days from the date of application unless  
the individual’s ability to benefit is in question and the case is moved to extended  
assessment.  
History: 2015 AACS.  
R 395.63 Use of existing information.  
Rule 13. (1) To the maximum extent possible, the MRS counselor shall make an  
eligibility determination based on existing and current information, including any of the  
following:  
(a) Information available from other programs and providers.  
(b) Schools.  
(c) Social security administration.  
(d) Information provided by the individual and the family.  
(2) To the maximum extent appropriate, the MRS counselor shall rely on  
information obtained from experiences in integrated employment settings in the  
community and in other integrated community settings.  
History: 2015 AACS.  
R 395.64 Ineligibility.  
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Rule 14. (1) In all cases where the counselor determines that an individual does not  
meet the requirements for eligibility, the case record shall include a certification of  
ineligibility.  
(2) The certification shall be signed and dated by the counselor and include  
documentation of the reasons for the ineligibility determination.  
(3) Ineligibility decisions concerning the severity of a disability must be based on  
clear and convincing evidence that the individual is incapable of benefiting in terms of an  
employment outcome due to the severity of the individual’s disability as of the date of the  
determination, and require the counselor to explore the individual’s abilities, capabilities,  
and capacity to perform in work situations through the use of trial work experiences. The  
ineligibility determination shall be both of the following:  
(a) An individualized one, based on the available data, and shall not be based on  
assumptions about broad categories of disabilities.  
(b) Made only after providing an opportunity for full consultation with the  
individual or, as appropriate, the individual’s representative.  
(4) The individual, or as appropriate, the individual’s representative, shall be  
informed in writing, supplemented as necessary by other appropriate modes of  
communication consistent with the informed choice of the individual, of the ineligibility  
determination, including the clear and convincing evidence that forms the basis for the  
determination of ineligibility, including both of the following:  
(a) The reasons for the determination.  
(b) A description of the means by which the individual may express, and seek a  
remedy for, any dissatisfaction with the determination, including the procedures for  
review by an impartial hearing officer.  
History: 2015 AACS.  
R 395.65 Rescinded  
History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.66 Comprehensive assessment of rehabilitation needs.  
Rule 16. (1) A MRS counselor shall conduct a vocational needs assessment to  
determine the goals, nature, and scope of rehabilitation services to be included in the IPE.  
(2) The assessment described in this rule shall begin simultaneously with the  
assessment for eligibility and be carried out in integrated settings to the extent  
appropriate and consistent with the individual's informed choice.  
(3) The emphasis in the assessment shall be on using existing and current  
information to the maximum extent possible, and information provided by the individual  
and by the individual's family, as appropriate.  
(4) When current or existing information is not sufficient to assess vocational  
rehabilitation needs, a comprehensive assessment shall be provided which shall include  
all of the following concerning the individual:  
(a) Strengths.  
(b) Resources.  
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(c) Priorities.  
(d) Concerns.  
(e) Abilities.  
(f) Capabilities.  
(g) Rehabilitation needs, including the need for supported employment.  
(5) The individual shall be an active participant in the choice of assessments and  
providers.  
(6) The comprehensive assessment is limited to information that is necessary to  
identify the rehabilitation needs of the individual and to develop an IPE. To the degree  
needed, the comprehensive assessment shall include the following:  
(a) An assessment of the individual’s personality; career interests; interpersonal  
skills; intelligence and related functional capacities; educational achievements; work  
experience; vocational aptitudes; personal and social adjustment; employment  
opportunities available to the individual; medical, psychiatric, psychological, and other  
pertinent vocational, educational, cultural, social, recreational, and environmental factors  
that affect the employment and rehabilitation needs of the individual.  
(b) An appraisal of the individual’s work behavior and services needed to acquire  
occupational skills, and to develop work attitudes, work habits, work tolerance, and social  
and behavioral patterns necessary for successful job performance, including the  
utilization of work in real job situations to assess and develop the capacities of the  
individual to perform adequately in the work environment.  
(c) Where appropriate, the provision of rehabilitation technology services to assess  
and develop the capacities of the individual to perform in an integrated work  
environment.  
History: 2015 AACS.  
R 395.67 Individualized plan for employment (IPE).  
Rule 17 (1) The MRS counselor shall design the IPE to achieve an employment  
outcome of the individual, consistent with the unique strengths, resources, priorities,  
concerns, abilities, capabilities, career interests, and informed choice of the individual.  
(2) The case record must support the selection of the vocational goal.  
(3) The IPE shall be signed by the individual or, as appropriate, the individual's  
representative and by a qualified MRS rehabilitation counselor. The IPE is not a legal  
contract between MRS and the individual.  
(4) Planning and approval of the IPE shall be conducted within the framework of a  
counseling relationship.  
(5) MRS counselor approval of an IPE verifies that the IPE is consistent with MRS  
policies and guidelines, is complete, and is expected to lead to an employment outcome.  
MRS counselors shall provide a copy of the IPE, and any amendments, to the eligible  
individual.  
(6) Vocational rehabilitation goods and services may only be provided in  
accordance with the IPE.  
(7) MRS shall provide individuals with written notification of appeal rights,  
including the name and address of the person with whom an appeal may be filed, and the  
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availability of the CAP during IPE development, and whenever MRS-authorized services  
are denied, reduced, suspended, or terminated.  
(8) The MRS shall notify individuals in writing 10 working days before the  
termination, reduction, or suspension of a MRS authorized service.  
History: 2015 AACS.  
R 395.68 Standards for development; review.  
Rule 18. (1) The IPE shall be completed promptly by both the MRS counselor and  
the individual, but no more than 90 days following eligibility certification, unless the  
individual and MRS counselor require more time to arrive at an agreed upon IPE.  
(2) The IPE will be reviewed at least annually by a qualified vocational  
rehabilitation counselor and the individual or, as appropriate, the individual’s  
representative, to assess the individual’s progress in achieving the identified employment  
outcome.  
History: 2015 AACS.  
R 395.69 IPE development extension.  
Rule 19. (1) If more than 90 days are required to develop the IPE, an IPE  
development extension shall be requested providing all of the following:  
(a) Reason for extension.  
(b) Activities or services planned to complete the IPE.  
(c) The agreed upon plan extension date.  
(2) For students in the K-12 educational system who are eligible for MRS services,  
the IPE shall be developed and completed before the student leaves the school setting.  
An agreed upon delay in developing an IPE is not an option for eligible transition  
students if the delay in development extends beyond the student’s exit from school.  
History: 2015 AACS.  
R 395.70 Options for developing IPE.  
Rule 20. (1) The MRS counselor shall provide the individual, or the individual’s  
representative, information on the individual’s options for developing an IPE.  
(2) MRS shall not pay for an agency, or a representative, to develop an IPE.  
(3) The options for developing all or part of the IPE include the following:  
(a) With assistance from a MRS vocational rehabilitation counselor, to the extent  
determined to be appropriate by the individual.  
(b) With technical assistance from the MRS program, or other representatives  
selected by the individual.  
(c) The individual alone without assistance.  
History: 2015 AACS.  
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R 395.71 Required components of IPE.  
Rule 21. The IPE shall include the following:  
(a) Specific vocational goal, which must be based on the assessment for  
determining vocational rehabilitation needs, including the individual’s career interests,  
and must be in an integrated setting.  
(b) A description of the specific vocational rehabilitation services that meet both of  
the following:  
(i) Needed to achieve the vocational goal, including, as appropriate, the provision of  
assistive technology services and personal assistance services, including training in the  
management of such services.  
(ii) Provided in the most integrated setting that is appropriate for the service  
involved, and is consistent with the informed choice of the individual.  
(c) Timelines for the achievement of the employment outcome, and for the initiation  
of the services.  
(d) A description of the entity chosen by the individual, or as appropriate, the  
individual’s representative that will provide the vocational rehabilitation services and the  
methods used to procure such services.  
(e) Description of the criteria to evaluate the progress towards achievement of the  
employment outcome.  
(f) The terms and conditions of the IPE, including, as appropriate, information  
describing all of the following:  
(i) The responsibilities of MRS.  
(ii) The responsibilities that the individual will assume in relation to the vocational  
goal.  
(iii) The responsibility of the individual with regard to applying for and securing  
comparable benefits.  
(g) For individuals for whom an employment outcome in a supported-employment  
setting has been determined to be appropriate, information identifying both of the  
following:  
(i) The extended services needed by the individual after closure.  
(ii) The source of extended services, or to the extent that the source of extended  
services cannot be identified at the time of the development of the IPE, a description of  
the basis for concluding that there is a reasonable expectation that such source will  
become available.  
(h) As determined to be necessary, a statement of projected need for post-  
employment services.  
(i) An assurance that the individual has been informed of his or her rights and the  
means by which the individual may express and seek remedy for any dissatisfaction,  
including the opportunity for a review of the rehabilitation determination, as described in  
R 395.83 to R 395.87 and assurance that the individual has been provided a detailed  
explanation of the availability of the resources within the CAP.  
History: 2015 AACS.  
R 395.72 Participation; individuals with disabilities; cost of IPE services.  
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Rule 22. (1) Individuals shall be encouraged to participate in the cost of the services  
listed in their IPE to the extent they are able to do so.  
(2) Financial participation in the cost of services is not required except in the areas  
of college and vocational training.  
History: 2015 AACS.  
R 395.73 Comparable benefits and services in the IPE.  
Rule 23. (1) If comparable services and benefits are available to the individual, the  
services and benefits must be utilized to meet, in whole or part, the cost of vocational  
rehabilitation services.  
(2) If comparable services or benefits exist under any other program, but are not  
available to the individual at the time needed to satisfy the rehabilitation objectives in the  
individual’s IPE, MRS shall provide vocational rehabilitation services until those  
comparable services and benefits become available.  
(3) The utilization of comparable services and benefits do not apply in the following  
situations:  
(a) If the determination of the availability could delay or interrupt the progress of  
the individual toward achieving the employment outcome identified in the individualized  
plan for employment.  
(b) If the determination of the availability would delay the provision of vocational  
rehabilitation to any individual who is at extreme medical risk, based on medical  
evidence provided by an appropriate qualified medical professional.  
(c) If an immediate job placement would be lost due to a delay in the provision of  
comparable benefits.  
(4) The following categories of service are exempt from a determination of the  
availability of comparable services and benefits:  
(a) Assessment for determining eligibility, priority for services, and vocational  
rehabilitation needs.  
(b) Vocational rehabilitation counseling, guidance, and referral services.  
(c) Vocational and other training services, such as personal and vocational  
adjustment services, books, tools, and other training material not associated with training  
in an institute of higher education, that are defined as colleges and universities,  
community and junior colleges, vocational and technical schools or institutes, and  
hospital schools of nursing.  
(d) Awards and scholarships based on merit.  
(e) Rehabilitation technology services, including vehicle modifications.  
(f) Placement services.  
History: 2015 AACS.  
R 395.74 Services; general.  
Rule 24. (1) The services MRS counselors may provide, arrange, or purchase for an  
individual with a disability include those services related to an IPE necessary to assist the  
individual in preparing for, securing, retaining, or regaining an employment outcome in  
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an integrated setting that is consistent with the individual’s strengths, resources,  
priorities, concerns, abilities, capabilities, interests, and informed choice.  
(2) MRS services provided shall be published in MRS policy and be made available  
to the public.  
History: 2015 AACS.  
R 395.75 Post-secondary education and vocational training financial needs test.  
Rule 25. (1) College or vocational training may be provided as an IPE-related  
service when an individual requires new knowledge and skills to achieve an employment  
goal consistent with the individual’s abilities, capabilities, and informed choice.  
(2) Individuals shall make maximum effort to secure grant assistance in whole or in  
part from other sources to pay for post-secondary training. Counselors shall inform  
individuals considering post-secondary education that they must make timely annual  
application for post-secondary financial aid.  
(3) MRS shall not provide financial assistance for any item covered in the cost of  
training attendance if the individual, or individual’s family as applicable, fails to make  
maximum effort to apply for, or refuses to accept, federal, state, institutional, and other  
grants, need-based scholarships, or tuition waivers for which they may be eligible.  
(4) Financial support for college or vocational training shall be consistent with  
MRS’ policy of purchasing the service that meets the individual’s vocational  
rehabilitation needs at least cost to MRS.  
(5) MRS shall impose a financial needs test for the student’s cost of attendance of  
training at a post-secondary educational institution. The financial needs test utilized shall  
be the federally established needs test using the Free Application for Federal Student Aid  
(FAFSA) or its equivalent, as required by the post-secondary institution, to determine  
student eligibility for state and federal financial aid.  
(6) MRS shall not replace the expected family contribution, as determined by the  
post-secondary institution’s financial aid officer using the federal student aid report, in  
contributing toward the individual’s cost of attendance at a post-secondary institution.  
(7) MRS shall not replace insurance benefits received, wholly or in part, as a  
settlement of liability for vocational rehabilitation services, in contributing toward the  
individual’s cost of attendance at a post-secondary institution.  
(8) MRS may provide maximum financial support toward an individual’s cost of  
college or vocational training during the academic year of $3,500.00 and $1,200.00 for  
the summer semester. MRS may consider an exception to the maximum when other  
forms of student aid are excluded due to disability-related factors. MRS shall  
periodically adjust the maximum financial support figures in accordance with increases in  
the cost of living.  
(9) Individuals who are eligible for social security benefits under Title II and Title  
XVI of the social security act shall be exempted from financial need test requirements.  
(10) MRS customers attending Michigan Career and Technical Institute are exempt  
from financial need test requirements and financial aid limitations for the cost of  
attendance.  
History: 2015 AACS.  
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R 395.76 Rates of payment.  
Rule 26. (1) MRS shall maintain a fee schedule for select vocational rehabilitation  
services. The fee schedule is a complete list of established rates of payment used to  
authorize and pay for specified services.  
(2) The MRS fee schedule for vocational rehabilitation services is not absolute and  
MRS shall allow exceptions to the fee schedule so that individual needs can be addressed.  
The MRS fee schedule for vocational rehabilitation services must not be so low as to  
effectively deny an individual a necessary service.  
(3) MRS shall authorize for services not listed on the fee schedule at the least cost to  
MRS that will ensure sufficient quality of services to meet the individual’s vocational  
rehabilitation need.  
(4) MRS shall not place an absolute dollar limit on specific service categories or on  
the total services provided to an individual.  
(5) MRS is not responsible for the cost of out-of-state services in excess of the cost  
of in-state services if either service would meet the individual’s vocational rehabilitation  
needs.  
History: 2015 AACS.; 2024 MR 6, Eff. March 13, 2024.  
R 395.77 Case closure prior to eligibility.  
Rule 27. The MRS counselor shall close an individual’s case record under any of  
the following conditions:  
(a) It is determined that the individual does not meet MRS eligibility criteria.  
(b) The individual selects an extended sheltered employment outcome after being  
informed of the integrated employment purpose of the program.  
(c) The individual declines to participate in or is unavailable during an extended  
period to complete an eligibility assessment, and MRS has made a reasonable number of  
attempts to contact the individual or, as appropriate, the individual’s representative to  
encourage participation.  
(d) The individual has chosen to assign his or her Ticket to Work to an alternative  
third party vocational rehabilitation service with which MRS does not have an  
Employment Network Agreement.  
(e) The individual refuses services, is deceased, or is institutionalized.  
History: 2015 AACS.  
R 395.78 Case closure; severity of disability.  
Rule 28. (1) A MRS counselor shall not close a case due to the severity of the  
individual's disability except when on the basis of clear and convincing evidence, and  
after a period of extended assessment or rehabilitation services have been provided, MRS  
determines that an employment outcome cannot be achieved.  
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(2) The individual, or parent or guardian as appropriate, shall be provided an  
opportunity to discuss an ineligibility decision before the individual's case is closed due  
to ineligibility.  
(3) A MRS counselor shall prepare a certificate of ineligibility signed and dated by  
the MRS counselor for case closures due to ineligibility.  
(4) Before closing a case non-rehabilitated for reasons of ineligibility due to  
severity of disability, the MRS counselor shall ensure that as part of the test of clear and  
convincing evidence, accommodation services and assistive technology would not enable  
the individual to become employed.  
History: 2015 AACS.  
R 395.79 Requirements for closing the record of services of an individual who  
has achieved an employment outcome.  
Rule 29. The record of services of an individual who has achieved an employment  
outcome may be closed only if all of the following requirements are met:  
(a) The individual has achieved the employment outcome that is described in the  
individual’s IPE.  
(b) The employment outcome is consistent with the individual's unique strengths,  
resources, priorities, concerns, abilities, capabilities, interests, and informed choice.  
(c) The individual has maintained the employment outcome for an appropriate  
period of time, but not less than 90 days, necessary to ensure the stability of the  
employment outcome, and the individual no longer needs vocational rehabilitation  
services.  
(d) The individual and MRS counselor consider the employment to be satisfactory  
and agree the individual is performing well on the job.  
(e) The individual is informed through appropriate modes of communication of the  
availability of post-employment services.  
History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.80 Individual not rehabilitated; case closure.  
Rule 30. (1) The MRS counselor may close the case record of an individual as not  
rehabilitated.  
(2) Reasons for closing a case not rehabilitated other than for ineligibility include  
any of the following:  
(a) Inability to locate the individual or the individual has moved out of state.  
(b) Individual working with another employment network.  
(c) Death of the individual.  
(d) Extended services were not available for the individual.  
(e) The individual was placed in a non-integrated setting for a public or nonprofit  
organization under extended employment.  
(f) The individual will be in a facility such as a hospital, nursing home, or treatment  
center for a considerable period of time.  
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(g) The individual has been incarcerated in a prison, jail, or other criminal  
correction facility.  
(h) The individual does not require MRS to prepare for, enter into, engage in, or  
retain gainful employment consistent with his or her strengths, resources, priorities,  
concerns, abilities, capabilities, and informed choice.  
(i) The individual is no longer interested in receiving services or further services,  
including an individual whose actions or non-actions make it impossible to begin or  
continue the vocational rehabilitation program.  
(j) The individual has transferred to another agency.  
(k) Transportation is not possible or available.  
(l) The individual has committed an act of violence or threatened violence.  
History: 2015 AACS.  
R 395.81 Rehabilitation case closure; supported employment.  
Rule 31. (1) The MRS counselor shall close rehabilitated in supported employment  
under any of the following circumstances:  
(a) The employment represents competitive employment in an integrated setting.  
(b) The individual is working towards competitive employment and is in an  
integrated work setting.  
(c) The individual is part of a work group of not more than 8 employees with  
disabilities and regularly interacts with individuals who do not have disabilities, including  
the general public, while performing job duties.  
(2) There shall be confirmation of extended support services after case closure by  
the third party identified in the IPE before a case is closed in supported employment.  
History: 2015 AACS.  
R 395.82 Notice of case closure.  
Rule 32. (1) An individual whose case is closed for any reason, except for death or  
no known address, shall be notified in writing of his or her case closure. The case closure  
notice shall include all of the following:  
(a) The effective date of closure.  
(b) A narrative description of the reason or reasons for closure.  
(c) The right to appeal, including mediation, the closure decision.  
(d) The process for seeking appeal and mediation, including the availability of the  
CAP to assist with an appeal.  
(2) An individual shall be provided an opportunity to discuss case closure prior to  
the closure decision.  
History: 2015 AACS.  
R 395.83 Rescinded.  
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History: 2015 AACS; 2024 MR 6, Eff. March 13, 2024.  
R 395.84 Review; hearing; costs.  
Rule 34. (1) Individuals or, if appropriate, their representatives, have the right to  
appeal any decision made by MRS personnel that affects the provision of VRS with  
which they are dissatisfied by requesting a hearing.  
(2) Written notification of the right to appeal, including the name and address of the  
person with whom an appeal may be filed, and the availability of the CAP, shall be  
provided to individuals at the following stages:  
(a) At application.  
(b) Case closure.  
(c) When assigned an order of selection category.  
(d) When an IPE is developed.  
(e) Whenever an authorized service is reduced, suspended, or terminated.  
(3) MRS shall provide any reasonable accommodations needed by an individual to  
participate in mediation and/or a hearing.  
(4) Mediation and/or a hearing are provided at no cost to the individual.  
(5) MRS is not responsible for any costs associated with the individual’s  
representation at the mediation session or hearing or with any cost associated with the  
appearance of witnesses presented by the individual at the mediation session or hearing.  
History: 2015 AACS.  
R 395.85 Informal review.  
Rule 35. (1) Whenever possible, MRS shall attempt to resolve disagreements  
informally, prior to mediation or a hearing.  
(2) An individual may request a meeting with the MRS counselor, the appropriate  
supervisor, and/or a CAP representative, if desired, to explore options for resolving  
disputes. An individual may request a meeting with the MRS counselor, the appropriate  
supervisor, and/or a CAP or individual’s representative, if desired, to explore options for  
resolving disputes.  
(3) An individual may request mediation or a hearing immediately without  
undergoing the informal review.  
(4) The informal review may not be used to deny or delay the individual’s right to  
pursue mediation or the hearing within the specified time period.  
History: 2015 AACS.  
R 395.86 Continuation of services pending completion of hearing.  
Rule 36. Assessment, plan development, or IPE-related services that have been  
initiated shall not be suspended, reduced, or terminated pending mediation or the hearing  
decision unless the applicant or eligible individual or his or her representative so requests  
or there is evidence that the services have been obtained through misrepresentation,  
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fraud, collusion, or criminal conduct on the part of the applicant, eligible individual, or  
his or her representative.  
History: 2015 AACS.  
R 395.87 Mediation.  
Rule 37. (1) Mediation is a voluntary process conducted by a qualified and  
impartial mediator. At any point during the mediation process, either party, or the  
mediator, may elect to terminate the mediation.  
(2) An individual may request mediation after his or her request for a hearing is  
received.  
(3) MRS shall send the request for mediation to the hearings coordinator. The  
hearings coordinator will assign, on a random basis, a qualified impartial mediator. The  
hearings coordinator must schedule mediation in a timely manner.  
(4) Mediation will be held in a location that is convenient to the parties in the  
dispute.  
(5) An individual appealing MRS decisions has the right to submit evidence or  
relevant information and present witnesses to support his or her position at mediation.  
(6) An agreement reached in the mediation process shall be set forth in a written  
mediation agreement and must be signed by both parties.  
(7) Discussions that occur during the mediation process are confidential and may  
not be used as evidence in any subsequent due process hearing or civil proceeding.  
(8) Either party may enter the written signed mediation agreement as evidence in a  
subsequent hearing or civil proceeding.  
(9) The individual may be represented at the mediation or hearing, including but not  
limited to, representation by the CAP.  
(10) The mediation process may not be used to deny or delay the individual’s right  
to pursue a hearing within the specified time period.  
History: 2015 AACS.  
R 395.88 Hearing.  
Rule 38. (1) An individual who is dissatisfied with any determination made by  
MRS concerning the provision of VRS may seek a redetermination of agency action  
before an impartial hearing officer.  
(2) The individual must submit a written appeal within 30 calendar days of the  
agency notice regarding its determination or decision.  
(3) Agency notice regarding the provision or denial of a service is not required to  
be in writing, unless it is a suspension, reduction, or termination of authorized services in  
an IPE.  
(4) Individuals will be notified in writing 10 working days before the termination,  
reduction, or suspension of authorized services being provided under an IPE.  
(5) If no request for hearing is made within 30 calendar days, the agency decision is  
considered final.  
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(6) The request for hearing shall be in writing, and shall describe the decision  
being appealed. MRS shall accommodate an individual’s disability and offer assistance,  
if appropriate, in the appeal process. The request for hearing shall be sent to the director  
of MRS who shall immediately forward the request to the hearings coordinator.  
(7) The hearings coordinator shall forward the request for hearing to the Michigan  
Administrative Hearing System (MAHS) to be scheduled for a hearing with a qualified  
impartial hearing officer.  
(8) The hearing shall be held within 60 calendar days of receipt of the request for  
hearing.  
(9) The individual may waive the 60-day time frame to hold the hearing if both  
parties agree to an extension of time in writing.  
(10) A hearing may be dismissed by MAHS if the individual or his or her  
representative does either of the following:  
(a) Withdraws the hearing request in writing.  
(b) Fails to appear at the hearing without good cause.  
(11) The hearing shall be conducted by MAHS and shall include an opportunity for  
the individual or the individual’s representative to present witnesses and relevant  
evidence.  
(12) The hearing officer shall issue a full written report of the findings and grounds  
for the decision within 30 days of the completion of the hearing.  
(13) The hearing officer’s decision is final unless either party commences a civil  
action.  
(14) Any party that disagrees with the final decision of the hearing officer has the  
right to file a civil action challenging the decision of the hearing officer. The action may  
be brought in any state court of competent jurisdiction or in a district court of the United  
States of competent jurisdiction without regard to the amount in controversy.  
History: 2015 AACS.  
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;