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> FOR IMMEDIATE RELEASE
>
> June 7, 2001

####### **VA Calls for Increase in Veteran Education Benefits**

> WASHINGTON -- With the support of President George W. Bush, Secretary
> of Veterans Affairs Anthony J. Principi today urged a congressional
> subcommittee to pass legislation that would pay a greater share of
> tuition costs for veterans under the Montgomery GI Bill.
>
> \"The GI Bill simply has not kept up with rising tuition costs,\"
> Principi said. \"The promise of a higher education is critical to
> attracting promising young men and women to military duty, but when
> they face today\'s college costs, only about half actually use the
> benefit, often because they can\'t afford to make up the difference.\"
>
> Congressional leaders have said that the cost of the improvements
> would stay within spending limits agreed to by the White House and
> Congress. The measure, formally known as \"the 21^st^ Century
> Montgomery GI Bill Enhancement Act\" (H.R. 1291), is scheduled for
> markup June 13 by the House Veterans' Affairs subcommittee on
> benefits.
>
> The bill would raise the payment for veterans with at least three
> years of active-duty service in full-time studies from the current
> rate of \$650 a month to \$1,100 monthly by the 2004-2005 academic
> year. The typical benefit for a four-year degree would rise during the
> same period from \$23,400 to almost \$40,000.
>
> Principi, the first secretary of the Department of Veterans Affairs
> (VA) to support a substantive increase in GI Bill benefits in years,
> told the House subcommittee at a hearing today that he discussed
> veterans educational needs with President Bush yesterday and the
> President strongly supports the program and acknowledged its great
> importance to veterans and the nation. Principi praised the members of
> the subcommittee from both parties for their initiative in developing
> the improvements.
>
> **- More -**
>
> **MGIB 2/2/2/2**
>
> Principi said the administration will not stop at simply raising the
> GI Bill benefit levels, but will continue to look at changes that will
> allow more veterans to use their benefits. Some specialized technical
> courses, for example, are presented in an accelerated manner and do
> not fit the traditional mold of semesters or quarters used to
> calculate benefits, he noted.
>
> Service members contribute to the Montgomery GI Bill program while in
> uniform by having \$100 a month deducted from their pay for a year.
>
> Experts report that tuition for higher education currently costs about
> \$1,025 per month. Under the phased-in approach of H.R.1291, eligible
> veterans would receive monthly benefits of \$800 for 2002, \$950 for
> 2003 and \$1,100 for 2004. The figure would be adjusted for inflation
> thereafter.
>
> \"This does not return veterans to the benefit level of the original
> GI Bill after World War II, but is a step toward fixing the problem of
> an educational benefit that young men and women can\'t afford to use
> when they leave the military today, particularly if they are
> supporting a family,\" Secretary Principi said.
>
> Before being named secretary of veterans affairs by President Bush,
> Principi chaired a congressionally chartered commission that examined
> programs for the transition needs of military members. In its 1999
> report, the commission called for enhancement of the education
> benefit, calling it the chief vehicle to ensure that military veterans
> have the means to create success in life when their service concludes.
>
> Its report also recognized a strong GI Bill as being critical to the
> military meeting recruitment goals and attracting high-quality
> college-bound high school graduates.
>
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