Rehabilitation Services Vocational Rehabilitation Grants to States

CFDA 84.126 Active Formula Grants
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Program Funding

Annual program obligations reported to SAM.gov.

Latest annual funding (estimated)
$3.96B FY2025
$3.12B
FY16
$3.12B
FY17
$3.18B
FY18
$3.26B
FY19
$3.35B
FY20
$3.41B
FY21
$3.51B
FY22
$3.39B
FY23
$3.67B
FY24*
$3.96B
FY25*
* estimated

Funded Projects

Examples of what this program has supported.

FY2024 No Current Data Available.

Program Objective

To assist States in operating comprehensive, coordinated, effective, efficient and accountable programs of vocational rehabilitation (VR); to assess, plan, develop, and provide VR services for individuals with disabilities, consistent with their strengths, resources, priorities, concerns, abilities, capabilities, and informed choice so they may prepare for and engage in an employment outcome.

Eligibility

Eligible Applicants

  • State
  • U.S. territories

Eligible applicants include the 50 States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands. State agencies designated to administer the VR program will receive funds with the submission and approval of the State Unified or Combined State plan under WIOA, including a VR services portion of that Plan.

Beneficiaries

  • 45

In order to be eligible for VR services, an individual must have a physical and/or mental impairment, which, for such an individual, constitutes or results in a substantial impediment to employment, and requires VR services to achieve an employment outcome.

How to Apply

Application Procedure

State VR agencies are required to submit a VR services portion of the Unified or Combined State Plan every four years describing the manner in which they will administer the VR and Supported Employment programs in their States including assurances. State agencies are required to update descriptions and submit amendments and modifications as required to the VR services portion of the Unified or Combined State Plan.

Award Procedure

Grant awards are made to State VR agencies with an approved VR services portion of the Unified or Combined State plan. States are notified of their annual allotment under the funding formula. Grant funds are withdrawn under the Electronic Transfer System.

Approval of the Unified or Combined State Plan, including approval of the VR services portion of that plan, is governed by section 102 of Title I of WIOA.

Program details & compliance

Use of Funds

Allowed Uses

Federal and State funds are used to cover the costs of providing VR services to eligible individuals with disabilities under an individualized plan for employment. Such services include: assessment, counseling, vocational and other training, job placement, reader services for the blind, interpreter services for the deaf, medical and related services and prosthetic and orthotic devices, rehabilitation technology, transportation to secure VR services, maintenance during rehabilitation, and other goods and services necessary for an eligible individual with a disability to achieve an employment outcome. Services are provided to families of individuals with disabilities when such services contribute substantially to the rehabilitation of such individuals who are receiving VR services. Funds can also be used to provide VR services for the benefit of groups of individuals with disabilities including the construction and establishment of community rehabilitation programs. Each State is also required to reserve and use at least 15 percent of its Federal VR State Grant award to provide or arrange for the provision of pre-employment transition services for students with disabilities in accordance with section 113 of the Rehabilitation Act.

Required Documentation

The State agency must certify the availability of State funds for matching purposes.

Matching Requirements

The matching requirement is 78.7 percent Federal and 21.3 percent Non-Federal funds of the total of all expenditures incurred under the VR program. This program has a maintenance of effort (MOE) requirement. The MOE level is based on the total amount of the State's non-Federal expenditures under the VR program for the Federal fiscal year two years earlier; see funding agency for further details.

Matching requirements are mandatory.

Reporting & Compliance

Audit Required
Yes

Applicable 2 CFR 200 Subparts

  • Subpart B — General Provisions
  • Subpart C — Pre-Federal Award Requirements
  • Subpart D — Post-Federal Award Requirements
  • Subpart E — Cost Principles
  • Subpart F — Audit Requirements

Formula

Section 110 of The Rehabilitation Act.

Contacts

Suzanne Mitchell
(202)245-6301
Department of Education, OSERS Rehabilitation Services Administration 400 Maryland Ave., S.W., Washington , DC 20202
Data from SAM.gov Federal Assistance Listings. Source published: 2024-10-21. Spec v1.0. Last synced: 2026-06-02 02:43:30.