“Individual with a disability” means:
1. Any individual who has a physical or mental disability which constitutes a substantial impediment to employment for which vocational rehabilitation services may reasonably be expected to prepare the individual to engage in competitive integrated employment which is consistent with the capacities and abilities of the individual.
2. Any individual who has a physical or mental disability which constitutes a substantial impediment to employment for which vocational rehabilitation services are necessary to determine the rehabilitation potential of the individual.