Relating to qualified nonprofit agencies for individuals with disabilities.

Requires that qualified nonprofit agencies for individuals with disabilities employ individuals with disabilities for not less than 50 percent of the work hours of direct labor required for manufacturing or providing products or services. Requires that a service provider that enters into a contract with a public agency to provide goods or services after the public agency terminated or declined to renew a previous contract with a different service provider must reimburse individuals with disabilities who were employed under the previous contract for amounts the individuals with disabilities paid for continuation coverage and must in the new contract provide health benefits that are as favorable as, or more favorable than, the health benefits available under the previous contract. Requires the new contract to provide the health benefits at the first opportunity in which employee enrollment in the new employer's benefit plan becomes available, but not later than one year after the effective date of the new contract.