Section 82.36. Determination of performance of a useful business function.

Latest version.

Factors that the department may consider in determining whether a disabled veteran-owned entity is performing a useful business function include the following:

(1) The degree to which the business has customers other than the state.

(2) The adequacy of the business's resources to carry out its business functions.

(3) The degree to which the business is independent of control or substantial influence by another business. Business relationships that tend to defeat the useful business function include shared space, equipment, employees, or other resources, and financing agreements.

(4) Whether the business acts as a conduit to transfer funds to a business that is not owned by a disabled veteran, unless doing so is a normal industry practice.

History: EmR1041 : emerg. cr., eff. 11-14-10; CR 11-004 : cr. Register September 2011 No. 669 , eff. 10-1-11.

                    
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