89–006 

116TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 116–164 

RYAN KULES SPECIALLY ADAPTIVE HOUSING 

IMPROVEMENT ACT OF 2019 

JULY 22, 2019.—Committed to the Committee of the Whole House on the State of 

the Union and ordered to be printed 

Mr. TAKANO, from the Committee on Veterans’ Affairs, 

submitted the following 

R E P O R T 

together with 

MINORITY VIEWS 

[To accompany H.R. 3504] 

The Committee on Veterans’ Affairs, to whom was referred the 

bill (H.R. 3504) to amend title 38, United States Code, to provide 

for improvements to the specially adapted housing program of the 

Department of Veterans Affairs, and for other purposes, having 

considered the same, report favorably thereon with amendments 

and recommend that the bill as amended do pass. 

CONTENTS 

Page 

Purpose and Summary ............................................................................................ 6 

Background and Need for Legislation .................................................................... 7 

Hearings ................................................................................................................... 9 

Subcommittee Consideration .................................................................................. 10 

Committee Consideration ........................................................................................ 10 

Committee Votes ...................................................................................................... 10 

Committee Oversight Findings ............................................................................... 10 

Statement of General Performance Goals and Objectives .................................... 10 

New Budget Authority, Entitlement Authority, and Tax Expenditures ............. 11 

Earmarks and Tax and Tariff Benefits .................................................................. 11 

Committee Cost Estimate ....................................................................................... 11 

Congressional Budget Office Estimate ................................................................... 11 

Federal Mandates Statement ................................................................................. 11 

Advisory Committee Statement .............................................................................. 11 

Constitutional Authority Statement ...................................................................... 11 

Applicability to Legislative Branch ........................................................................ 12 

Statement on Duplication of Federal Programs .................................................... 12 

Disclosure of Directed Rulemaking ........................................................................ 12 

Section-by-Section Analysis of the Legislation ...................................................... 12 


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Changes in Existing Law Made by the Bill as Reported ...................................... 13 

Minority Views ......................................................................................................... 36 

The amendments are as follows: 

Strike all after the enacting clause and insert the following: 

SECTION 1. SHORT TITLE. 

This Act may be cited as the ‘‘Ryan Kules Specially Adaptive Housing Improvement Act of 2019’’. 

SEC. 2. PRIORITY IN AWARD OF SPECIALLY ADAPTED HOUSING GRANTS TO SERIOUSLY ILL 

VETERANS. 

(a) IN GENERAL.—Section 2101 of title 38, United States Code, is amended by adding at the end the following new subsection: 

‘‘(d) PRIORITY FOR SERIOUSLY ILL VETERANS.—(1) In providing assistance under 

this section, the Secretary shall give priority to seriously ill veterans. 

‘‘(2) In this section, the term ‘seriously ill veteran’ shall have the meaning given 

such term by the Secretary.’’. 

(b) DEFINITION OF SERIOUSLY ILL VETERAN.— (1) IN GENERAL.—By not later than 90 days after the date of the enactment 

of this Act, the Secretary of Veterans Affairs shall— 

(A) determine the meaning of the term ‘‘seriously ill veteran’’ for purposes 

of subsection (d) of section 2101 of title 38, United States Code, as added 

by subsection (a); and 

(B) submit to the Committees on Veterans’ Affairs of the Senate and 

House of Representatives the meaning of such term as so determined. 

(2) APPLICABILITY.—The definition of ‘‘seriously ill veteran’’ as determined 

under paragraph (1) shall apply for purposes of such subsection (d) beginning 

on the date that is 30 days after the date on which the Secretary submits to 

the Committees on Veterans’ Affairs of the Senate and House of Representatives the definition of such term as so determined. 

(c) EFFECTIVE DATE.—The amendment made by subsection (a) shall take effect on 

October 1, 2020, and apply with respect to assistance provided on or after that date. 

SEC. 3. INCREASE IN AMOUNTS OF ASSISTANCE PROVIDED. 

(a) INCREASE OF NUMBER OF GRANTS PER VETERAN.—Section 2102(d)(3) of such 

title is amended by striking ‘‘three’’ and inserting ‘‘six’’. 

(b) INCREASE IN NUMBER OF APPLICATIONS AUTHORIZED TO BE APPROVED.—Section 2101(a)(4) of such title is amended by striking ‘‘30 applications’’ and inserting 

‘‘120 applications’’. 

(c) INCREASE IN MAXIMUM AMOUNT OF ASSISTANCE FOR ADAPTATION TO VETERAN’S

RESIDENCE.—Section 2102(b)(2) of such title is amended by striking ‘‘$12,000’’ and inserting ‘‘$19,733’’. 

(d) INCREASE IN AGGREGATE AMOUNT OF ASSISTANCE FOR ACQUISITION OF HOUS- ING WITH SPECIAL FEATURES.—Section 2102(d)(1) of such title is amended by strik- ing ‘‘$63,780’’ and inserting ‘‘$98,492’’. 

(e) INCREASE IN AGGREGATE AMOUNT OF ASSISTANCE FOR ADAPTATIONS TO VETERANS’ RESIDENCES.—Section 2102(d)(2) of such title is amended by striking 

‘‘$12,756’’ and inserting ‘‘$19,733’’. 

(f) EFFECTIVE DATE AND APPLICATION.—The amendments made by this section 

shall take effect on October 1, 2020. The amendments made by subsections (c) and 

(d) shall apply with respect to individuals who have not received the maximum 

amount of assistance under section 2101 of title 38, United States Code, before such 

date. 

SEC. 4. PROVISION OF ADDITIONAL AMOUNTS OF SPECIALLY ADAPTED HOUSING ASSISTANCE FOR CERTAIN VETERANS. 

Section 2102 of such title is amended by adding at the end the following new subsection: 

‘‘(f)(1) Notwithstanding the aggregate amounts specified in subsection (d), a covered veteran may apply for and receive an additional amount of assistance under 

subsection (a) or (b) of section 2101 of this title in an amount that does not exceed 

half of the amount specified in subsection (d). 

‘‘(2) In this subsection, a covered veteran is a veteran who— 

‘‘(A) is described in section 2101(a)(2) of this title; 

‘‘(B) first receives assistance under this chapter on or after October 1, 2020; 

‘‘(C) as of the date of the veteran’s application for assistance under paragraph 

(1), most recently received assistance under this chapter more than ten years 

before such date; and 

‘‘(D) lives in a home that the Secretary determines does not have adaptations 

that are reasonably necessary because of the veteran’s disability.’’. 


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SEC. 5. IMPROVEMENT TO WORK-STUDY ALLOWANCE PROGRAM. 

(a) PAYMENT OF ALLOWANCE.—Subsection (a) of section 3485 of title 38, United 

States Code, is amended— 

(1) in paragraph (1), by striking ‘‘Individuals’’ and inserting ‘‘In accordance 

with paragraph (4), individuals’’; 

(2) by redesignating paragraphs (4), (5), and (6) as paragraphs (5), (6), and 

(7), respectively; and 

(3) by inserting after paragraph (3) the following new paragraph: 

‘‘(4)(A) The Secretary shall carry out this section by providing to educational institutions an annual amount for the institution to use in paying work-study allowance 

under paragraph (1) to individuals enrolled at the institution. 

‘‘(B) With respect to an educational institution that participated in the work-study 

program under this section during the academic year beginning August 1, 2018, the 

Secretary shall determine the annual amount to provide to the educational institution under subparagraph (A) as follows: 

‘‘(i) For the academic year beginning August 1, 2020, the amount shall be the 

total amount the Secretary paid under this section to individuals enrolled at 

such educational institution during the academic year beginning August 1, 

2018. 

‘‘(ii) Except as provided by subparagraph (D)(ii), for each academic year beginning on or after August 1, 2021, the amount shall be the total amount the educational institution paid under this section for work-study allowance to individuals enrolled at such educational institution during the previous academic year 

in which individuals participated in the work-study program. 

‘‘(C) With respect to an educational institution that did not participate in the 

work-study program under this section during the academic year beginning August 

1, 2018, the Secretary shall determine the annual amount to provide to the educational institution under subparagraph (A) as follows: 

‘‘(i) For the first academic year in which the educational institution participates in the work-study program beginning on or after August 1, 2020, the 

amount shall be an amount the Secretary determines appropriate based on 

amounts provided to similar educational institutions pursuant to subparagraph 

(B). 

‘‘(ii) Except as provided by subparagraph (D)(ii), for each academic year occurring after the academic year specified in clause (i), the amount shall be the total 

amount the educational institution paid under this section for work-study allowance to individuals enrolled at such educational institution during the previous 

academic year in which individuals enrolled at such educational institution participated in the work-study program. 

‘‘(D)(i) Except as provided in clause (ii), if the Secretary provides an annual 

amount to an educational institution under subparagraph (B) or (C) that is more 

than the total amount the educational institution pays to individuals under paragraph (1), the educational institution shall return to the Secretary the unpaid 

amount and the Secretary shall transfer such amount into the general fund of the 

Treasury. 

‘‘(ii) If the annual amount provided to an educational institution under subparagraph (B) or (C) is more, but less than 25 percent more, than the total amount the 

educational institution pays to individuals under paragraph (1), and the educational 

institution plans to participate in the work-study program under this section during 

the subsequent academic year, the educational institution may retain the amount 

of the overpayment if the educational institution notifies the Secretary of the 

amount of the overpayment and the intention of the educational institution to retain 

such amount. Any amount retained by an educational institution under this clause 

may only be used by the educational institution to provide work-study allowance to 

individuals enrolled at the educational institution. 

‘‘(iii) At any time an educational institution may request the Secretary to increase 

the annual amount that the Secretary provides the educational institution under 

subparagraph (B) or (C). 

‘‘(E) Pursuant to section 3690(c), section 3693, and other provisions of chapter 36 

of this title, the Secretary shall ensure that educational institutions carry out the 

work-study allowance program in compliance with this section.’’. 

(b) CONFORMING AMENDMENT.—Subsection (e)(1) of such section is amended by 

striking ‘‘subsection (a)(4)’’ and inserting ‘‘subsection (a)(5)’’. 

(c) APPLICATION.—The amendments made by this section shall apply with respect 

to a quarter, semester, or term, as applicable, commencing on or after August 1, 

2020. 


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SEC. 6. EXPANSION OF ELIGIBILITY FOR FRY SCHOLARSHIP TO CHILDREN AND SPOUSES OF 

CERTAIN DECEASED MEMBERS OF THE ARMED FORCES. 

(a) IN GENERAL.—Subsection (b) of section 3311 of title 38, United States Code, 

is amended— 

(1) by redesignating paragraph (10) as paragraph (12); and 

(2) by inserting after paragraph (9) the following new paragraphs (10) and 

(11): 

‘‘(10) An individual who is the child or spouse of a person who, on or after 

September 11, 2001, dies in line of duty while serving on duty other than active 

duty as a member of the Armed Forces. 

‘‘(11) An individual who is the child or spouse of a member of the Selected 

Reserve who dies on or after September 11, 2001— 

‘‘(A) from a service-connected disability; and 

‘‘(B) not later than four years after the date of the last discharge or release of that member from active duty or active duty for training.’’. 

(b) APPLICABILITY DATE.—The amendments made by subsection (a) apply with respect to a quarter, semester, or term, as applicable, commencing on or after August 

1, 2020. 

(c) CONFORMING AMENDMENTS.— 

(1) Subsection (f) of such section is amended by striking ‘‘paragraph (9)’’ each 

place it appears and inserting ‘‘paragraphs (9), (10), and (11)’’. 

(2) Section 3322 of such title is amended— 

(A) in subsection (e), by striking both ‘‘sections 3311(b)(9) and 3319’’ and 

inserting ‘‘section 3319 and paragraph (9), (10), or (11) of section 3311 of 

this title’’; 

(B) in subsection (f), by striking ‘‘section 3311(b)(9)’’ and inserting ‘‘paragraph (9), (10), or (11) of section 3311 of this title’’; and 

(C) in subsection (h)(2), by striking ‘‘either section 3311(b)(9) or chapter 

35’’ and inserting ‘‘either chapter 35 or paragraph (9), (10), or (11) of section 

3311’’. 

SEC. 7. TREATMENT OF CERTAIN PREPARATORY COURSES AS PROGRAMS OF EDUCATION 

FOR PURPOSES OF DEPARTMENT OF VETERANS AFFAIRS EDUCATIONAL ASSISTANCE PROGRAMS. 

(a) IN GENERAL.—Chapter 33 of title 38, United States Code, is amended by inserting after section 3315A the following new section: 

‘‘§ 3315B. Preparatory courses for licensure, certification, or national tests 

‘‘(a) IN GENERAL.—An individual entitled to educational assistance under this 

chapter shall also be entitled to payment for a preparatory course for a licensing 

or certification test that is required or used to enter into, maintain, or advance in 

employment in a predetermined and identified vocation or profession. 

‘‘(b) AMOUNT.—The amount of educational assistance payable under this chapter 

for a course described in subsection (a) is the lesser of— 

‘‘(1) the fee charged for the course; or 

‘‘(2) the amount of entitlement available to the individual under this chapter 

at the time of payment for the course under this section. 

‘‘(c) CHARGE AGAINST ENTITLEMENT.—The number of months of entitlement 

charged an individual under this chapter for a course described in subsection (a) 

shall be pro-rated based on the actual amount of the fee charged for the course relative to the rate for 1 month payable— 

‘‘(1) for the academic year beginning on August 1, 2020, $1,460; or 

‘‘(2) for an academic year beginning on any subsequent August 1, the amount 

for the previous academic year beginning on August 1 under this subsection, as 

increased by the percentage increase equal to the most recent percentage increase determined under section 3015(h).’’. 

(b) CLERICAL AMENDMENT.—The table of sections at the beginning of such chapter 

is amended by inserting after the item relating to section 3315A the following new 

item: 

‘‘3315B. Preparatory courses for licensure, certification, or national tests.’’. 

(c) CONFORMING AMENDMENTS.—Section 3532(g) of title 38, United States Code, 

is amended— 

(1) in paragraph (1), by inserting ‘‘or a preparatory course described in section 

3315B(a) of this title’’ after ‘‘or national test providing an opportunity for course 

credit at institutions of higher learning described in section 3501(a)(5) of this 

title’’; and 

(2) in paragraphs (2) and (3), by inserting ‘‘or preparatory course’’ after ‘‘test’’ 

everywhere it appears. 


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(d) EFFECTIVE DATE.—The amendment made by subsection (a) shall apply with 

respect to months beginning after the date of the enactment of this Act. 

SEC. 8. ADJUSTMENT OF LOAN FEES. 

Section 3729(b)(2) of title 38, United States Code, is amended by striking the loan 

fee table and inserting the following: 

‘‘Type of loan Active duty 

veteran Reservist Other obligor 

(A)(i) Initial loan described in section 3710(a) to 

purchase or construct a dwelling with 0- 

down, or any other initial loan described in 

section 3710(a) other than with 5-down or 10- 

down (closed on or after October 1, 2004, and 

before January 1, 2020) 

2.15 2.40 NA 

(A)(ii) Initial loan described in section 3710(a) 

to purchase or construct a dwelling with 0- 

down, or any other initial loan described in 

section 3710(a) other than with 5-down or 10- 

down (closed on or after January 1, 2020, and 

before October 1, 2027) 

2.30 2.30 NA 

(A)(iii) Initial loan described in section 3710(a) 

to purchase or construct a dwelling with 0- 

down, or any other initial loan described in 

section 3710(a) other than with 5-down or 10- 

down (closed on or after October 1, 2027, and 

before October 1, 2029) 

2.15 2.15 NA 

(A)(iv) Initial loan described in section 3710(a) 

to purchase or construct a dwelling with 0- 

down, or any other initial loan described in 

section 3710(a) other than with 5-down or 10- 

down (closed on or after October 1, 2029) 

1.40 1.40 NA 

(B)(i) Subsequent loan described in section 

3710(a) to purchase or construct a dwelling 

with 0-down, or any other subsequent loan 

described in section 3710(a) (closed on or 

after October 1, 2004, and before January 1, 

2020) 

3.30 3.30 NA 

(B)(ii) Subsequent loan described in section 

3710(a) to purchase or construct a dwelling 

with 0-down, or any other subsequent loan 

described in section 3710(a) (closed on or 

after January 1, 2020, and before October 1, 

2027) 

3.60 3.60 NA 

(B)(iii) Subsequent loan described in section 

3710(a) to purchase or construct a dwelling 

with 0-down, or any other subsequent loan 

described in section 3710(a) (closed on or 

after October 1, 2027, and before October 1, 

2029) 

3.30 3.30 NA 

(B)(iv) Subsequent loan described in section 

3710(a) to purchase or construct a dwelling 

with 0-down, or any other subsequent loan 

described in section 3710(a) (closed on or 

after October 1, 2029) 

1.25 1.25 NA 

(C)(i) Loan described in section 3710(a) to purchase or construct a dwelling with 5-down 

(closed before January 1, 2020) 

1.50 1.75 NA 

(C)(ii) Loan described in section 3710(a) to purchase or construct a dwelling with 5-down 

(closed on or after January 1, 2020, and before October 1, 2027) 

1.65 1.65 NA 

(C)(iii) Loan described in section 3710(a) to purchase or construct a dwelling with 5-down 

(closed on or after October 1, 2027, and before October 1, 2029) 

1.50 1.50 NA 


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‘‘Type of loan Active duty 

veteran Reservist Other obligor 

(C)(iv) Loan described in section 3710(a) to purchase or construct a dwelling with 5-down 

(closed on or after October 1, 2029) 

0.75 0.75 NA 

(D)(i) Loan described in section 3710(a) to purchase or construct a dwelling with 10-down 

(closed before January 1, 2020) 

1.25 1.50 NA 

(D)(ii) Loan described in section 3710(a) to purchase or construct a dwelling with 10-down 

(closed on or after January 1, 2020, and before October 1, 2027) 

1.40 1.40 NA 

(D)(iii) Loan described in section 3710(a) to purchase or construct a dwelling with 10-down 

(closed on or after October 1, 2027, and before October 1, 2029) 

1.25 1.25 NA 

(D)(iv) Loan described in section 3710(a) to purchase or construct a dwelling with 10-down 

(closed on or after October 1, 2029) 

0.50 0.50 NA 

(E) Interest rate reduction refinancing loan 0.50 0.50 NA 

(F) Direct loan under section 3711 1.00 1.00 NA 

(G) Manufactured home loan under section 

3712 (other than an interest rate reduction 

refinancing loan) 

1.00 1.00 NA 

(H) Loan to Native American veteran under 

section 3762 (other than an interest rate reduction refinancing loan) 

1.25 1.25 NA 

(I) Loan assumption under section 3714 0.50 0.50 0.50 

(J) Loan under section 3733(a) 2.25 2.25 2.25’’. 

SEC. 9. AUTHORITY OF SECRETARY OF VETERANS AFFAIRS TO ASSIST BLIND VETERANS WHO 

HAVE NOT LOST USE OF A LEG IN ACQUIRING SPECIALLY ADAPTED HOUSING. 

Section 2101 of title 38, United States Code, is amended— 

(1) in subsection (a)(2)(B)(ii)— 

(A) in the matter preceding subclause (I), by striking ‘‘due to—’’ and inserting ‘‘due to blindness in both eyes, having central visual acuity of 20/ 

200 or less in the better eye with the use of a standard correcting lens. For 

the purposes of this clause, an eye with a limitation in the fields of vision 

such that the widest diameter of the visual field subtends an angle no 

greater than 20 degrees shall be considered as having a central visual acuity of 20/200 or less.’’; and 

(B) by striking subclauses (I) and (II); and 

(2) in subsection (b)(2)— 

(A) by striking subparagraph (A); and 

(B) by redesignating subparagraphs (B) and (C) as subparagraphs (A) and 

(B), respectively. 

Amend the title so as to read: 

A bill to amend title 38, United States Code, to provide for improvements to the specially adapted housing program and educational assistance programs of the Department of Veterans Affairs, and for other purposes. 

PURPOSE AND SUMMARY

H.R. 3504, the ‘‘Ryan Kules Specially Adaptive Housing Improvement of 2019,’’ was introduced by Representative Gus Bilirakis, the 

Ranking Member of the Subcommittee on Economic Opportunity, 

on June 29, 2019. Representative Mike Levin, the Chairman of the 

Subcommittee on Economic Opportunity, joined Mr. Bilirakis as an 

original cosponsor of the legislation. H.R. 3504 makes several improvements to the specially adapted (SAH) grant program administered by the Department of Veterans’ Affairs (VA). The legislation 

does this by prioritizing grants to seriously ill veterans, raising the 

cap on the total number of grants issued to a veteran, increasing 


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the total applications authorized for a year from 30 to 120, increasing the maximum benefit from $63,780 to $98,492, and allowing 

veterans to reapply for SAH grants ten years after they exhaust 

their grants. 

H.R. 3504, as amended, would authorize institutions of higher 

learning to directly pay participants in the VA work-study program, authorize veterans to use their education entitlement to take 

preparatory courses for vocational or professional licensure, increase the VA home loan funding fees from 2022 to 2027, and expand eligibility for the Fry Scholarship to include children and 

spouses of reservist and guardsmen who died in the line of duty or 

from service connected injuries or illness within four years of the 

deceased veteran’s last separation date. 

H.R. 3504, as amended, would also expand the eligibility for 

able-bodied blind veterans to receive SAH program grants. 

BACKGROUND AND NEED FOR LEGISLATION

Prior to the creation of the Veterans Administration in 1930, 

Congress understood the need to provide care for disabled veterans. 

In 1865, Congress created the National Home for Disabled Volunteer Soldiers to provide support for veterans of the Civil War, and 

ensuing wars, who could not support themselves due to disability. 

The National Home for Disabled Volunteer Soldiers was the first 

Congressionally mandated specially adapted facilities for veterans. 

The Specially Adapted Housing (SAH) Program, which allowed veterans to purchase homes with accessibility modification was introduced in 1948 (P.L. 80–702) after the inception of the Veterans Administration. The SAH program allowed the Veterans Administration to provide more support for disabled veterans around the country without the veterans having to move a domiciliary. The program initially targeted veterans with a total service-connected disability from the loss of or use of both lower extremities. 

Over the years, Congress amended the law to expand the range 

of disabilities eligible for assistance. In 1959, Congress expanded 

eligibility to veterans who were blind but still have use of one leg 

(P.L. 86–239), to those who require the aid of braces, crutches, 

canes, or a wheelchair for mobility (P.L. 86–239), to those who lost 

the use of one upper extremity (P.L. 95–117), and to those with severe burn injuries that reduce mobility in two or more extremities 

(P.L. 110–289). 

Thanks to advancements in medical technology, more veterans 

are surviving the grave injuries and severe trauma from combat 

zones, but many who survive have life-changing disabilities that 

evolve and change over time. With proper medical treatment veterans can survive for decades with their disabilities, like retired 

Army Captain Ryan Kules, the namesake of H.R. 3504. 

H.R. 3504 seeks to correct the gaps in the SAH program that 

Kules and many other disabled veterans have encountered. Under 

the current statute, section 2101, title 38 of U.S. Code (U.S.C), veterans who meet the SAH grants cap when modifying their home 

cannot be awarded additional SAH grants to modify another house 

should they move or add any additional modifications to their current residence. 

The Committee is concerned that Congress is failing in its task 

to provide adequate housing for disabled veterans. Currently, the 


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SAH program, administered by the VA Loan Guaranty Service, 

provides grants capped at only $64,000 and limits the number of 

grants to modify a home to accommodate a veteran’s service-connected disabilities (38 U.S.C section 2102(d)(3). 

H.R. 3504 would authorize the Secretary of Veterans Affairs to 

increase funding for the SAH grant program, increase the number 

of authorized SAH program grants, prioritize severely ill and disabled veterans in the SAH grant application process, expand eligibility for blind veterans who have two working legs, and allow veterans to reapply for SAH grant after ten years. 

Section 5. Improvement to work-study allowance program 

For years, the VA work-study program, established by P.L. 92– 

540, has paired veterans with jobs in their school or at local VA 

facilities, allowing them to focus on their studies and earn extra 

money. However, VA’s increasing inability to process work-study 

benefits in a consistent or timely manner means that some students are now waiting weeks without getting paid for their work. 

This section amends section 3485, title 38, U.S.C. to authorize 

VA to pay schools a lump sum for all students participating in the 

VA work-study program and requires that schools then pay students for participating in the VA work-study program. This aligns 

the VA work-study program with the federal work-study program 

administered by the Department of Education (P.L. 89–329), which 

has the same funding disbursement method. 

Section 6. Expansion of eligibility for Fry Scholarship to children 

and spouses of certain deceased members of the Armed Forces 

Currently section 3311(b), title 38, U.S.C does not have parity between children and spouses of active duty members of the Armed 

Forces and children and spouses of reservist and members of the 

national guardsmen in terms of eligibility for the Fry Scholarship. 

Dependents of reservist and national guardsmen who die while on 

duty, but not while on active duty are not eligible for the Fry 

Scholarship. Further, dependents of reservist and national guardsmen who die from service-connected injuries and illnesses within 

four years from their last discharge date are ineligible for Fry 

Scholarship, despite active duty military dependents being eligible 

for the Fry Scholarship in the former and latter scenarios. 

This section creates parity between children and spouses of active duty members of the Armed Forces and children and spouses 

of reservists and members of the national guard. 

Section 7. Treatment of certain preparatory courses as program of 

education for purposes of Department of Veterans Affairs Educational Assistance Programs 

This section amends Chapter 33 of title 38 U.S.C. to allow the 

benefits to cover the cost of approved preparatory courses for professional license and certification exams. By covering these courses 

under the GI Bill, veterans and their eligible family members will 

have better access to the support they need to enter in-demand careers in health care, teaching, technology, and other fields that 

may require government-recognized licenses and certifications. 


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Section 8. Adjustment of loan fees 

This section amends Section 3729(b)(2) to extend the existing VA 

housing loans fees from 2022 to 2027. 

Section 9. Authority of Secretary of Veterans Affairs to assist blind 

veterans who have not lost use of a leg in acquiring Specially 

Adapted Housing 

Currently, only veterans who meet one or more seven narrow 

categories of disability are eligible for SAH grants. In 38 U.S.C. 

section 2101, blind veterans are only eligible for grants if they have 

also lost the use of one or both legs. This means that VA must turn 

away blind veterans in need of housing assistance for the sole reason that they have use of both legs. 

This section alters section 2101, title 38, U.S.C to expand the eligibility for able bodied blind veterans to receive SAH program resources. 

HEARINGS

For the purposes of section 103(i) of H. Res. 6 of the 116th Congress—the following hearings and meetings were used to develop 

or consider H.R. 3504. 

On June 20, 2019, the Committee on Veterans’ Affairs conducted 

a legislative hearing on various bills introduced during the 116th 

Congress, including H.R. 3504. 

The following witnesses testified: 

The Honorable Gilbert Cisneros, Member of Congress. The Honorable Seth Moulton, Member of Congress. The Honorable Luis 

Correa, Member of Congress. The Honorable Earl Blumenauer, 

Member of Congress. The Honorable Phil Roe, Member of Congress. The Honorable Scott Tipton, Member of Congress. Mr. Adrian Atizado, Deputy National Legislative Director, Disabled American Veterans. Mr. Travis Horr, Director, Government Affairs, Iraq 

and Afghanistan Veterans of America. Dr. Igor Grant, M.D., 

F.R.C.P.(C), Director, Center for Medicinal Cannabis Research, 

University of California. Mr. Carlos Fuentes, Director, National 

Legislative Service, Veterans of Foreign Wars. Mr. Derek 

Fronabarger, Director, Government Affairs, Wounded Warrior 

Project. Mr. Larry Mole, BA, PharmD, Chief Consultant, Population Health Services, Patient Care Services, Veterans Health Administration. 

Statements for the record were submitted by: 

Ms. Thelma Roach-Serry, BSN, RN, NE–BC, President, Nurses 

Organization of Veterans Affairs (NOVA). Mr. Eric Goepel, Founder & CEO, Veterans Cannabis Coalition (VCC). Mr. Morgan D. 

Brown, National Legislative Director, Paralyzed Veterans of America (PVA). Mr. J. David Cox, Sr., National President, American 

Federation of Government Employees (AFGE). Mr. Randy Erwin, 

National President, National Federation of Federal Employees 

(NFFE). Mr. William Attig, Executive Director, Union Veterans 

Council, AFL–CIO. Mr. Brett W. Copeland, Executive Director, 

Veterans Healthcare Policy Institute. Mr. David J. Holway, National Association of Government Employees (NAGE). Mr. Justin 

Strekal, Political Director, National Organization for the Reform of 

Marijuana Laws—(NORML). 


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SUBCOMMITTEE CONSIDERATION

H.R. 3504 was not considered in subcommittee. 

COMMITTEE CONSIDERATION

On July 11, 2019, the Committee on Veterans’ Affairs met in an 

open markup session, a quorum being present, and ordered H.R. 

3504, as amended, reported favorably to the House of Representatives by voice vote. During the July 11, 2019 consideration, the 

Committee considered an A.N.S. to H.R. 3504 offered by Rep. Bilirakis of Florida. An amendment to the A.N.S. to H.R. 3504 offered 

by Rep. Sablan of the Northern Mariana Islands was adopted by 

voice vote. An amendment to the A.N.S. to H.R. 3504 offered by 

Rep. Luria of Virginia was adopted by voice vote. The A.N.S. to 

H.R. 3504 was adopted by voice vote, and H.R. 3504, as amended 

was agreed to by voice vote. 

COMMITTEE VOTES

Clause 3(b) of rule XIII of the Rules of the House of Representatives requires the Committee to list the recorded votes on the motion to report the legislation and amendments thereto. Mr. Sablan’s 

amendment to H.R. 3504 to add a new entitlement for the payment 

of preparatory courses was agreed to by voice vote. Ms. Luria’s 

amendment to H.R. 3504 to expand SAH benefits to blind veterans 

who have not lost use of a leg, was agreed to by voice vote. Mr. 

Bilirakis’s A.N.S. was agreed to by voice vote, and a motion by 

Ranking Member Phil Roe of Tennessee to report H.R. 3504, as 

amended favorably to the House of Representatives was agreed to 

by voice vote. There were no recorded votes on the consideration of 

amendments or on reporting H.R. 3504 as amended to the House. 

COMMITTEE OVERSIGHT FINDINGS

In compliance with clause 3(c)(1) of rule XIII and clause (2)(b)(1) 

of rule X of the Rules of the House of Representatives, the Committee’s oversight findings and recommendations are reflected in the 

descriptive portions of this report. 

STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

In accordance with clause 3(c)(4) of rule XIII of the Rules of the 

House of Representatives, the Committee’s performance goals and 

objectives are to improve the living conditions of disabled veterans 

by increasing funding and eligibility to the SAH program, increase 

economic opportunities for children and spouses of decreased service members by expanding eligibility of the Fry Scholarship, increase economic opportunities for veterans by authorizing veterans 

to use educational entitlements to pay for vocational and professional licensure preparatory classes, and reduce financial instability of student veterans by authorizing higher education institutions to individuals participating in the VA work-study program. 


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NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX

EXPENDITURES

In compliance with clause 3(c)(2) of rule XIII of the Rules of the 

House of Representatives, the Committee adopts as its own the estimate of new budget authority, entitlement authority, or tax expenditures or revenues contained in the cost estimate prepared by 

the Director of the Congressional Budget Office pursuant to section 

402 of the Congressional Budget Act of 1974. 

EARMARKS AND TAX AND TARIFF BENEFITS

H.R. 3504, as amended, does not contain any Congressional earmarks, limited tax benefits, or limited tariff benefits as defined in 

clause 9 of rule XXI of the Rules of the House of Representatives. 

COMMITTEE COST ESTIMATE

The Committee adopts as its own the cost estimate on H.R. 3504, 

as amended, prepared by the Director of the Congressional Budget 

Office pursuant to section 402 of the Congressional Budget Act of 

1974. 

CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

With respect to the requirements of clause 3(c)(2) of rule XIII of 

the Rules of the House of Representatives and section 308(a) of the 

Congressional Budget Act of 1974 and with respect to requirements 

of clause (3)(c)(3) of rule XIII of the Rules of the House of Representatives and section 402 of the Congressional Budget Act of 

1974, the Committee has requested but not received a cost estimate 

for this bill from the Director of Congressional Budget Office. The 

Committee has requested but not received from the Director of the 

Congressional Budget Office a statement as to whether this bill 

contains any new budget authority, spending authority, credit authority, or an increase or decrease in revenues or tax expenditures. 

FEDERAL MANDATES STATEMENT

The Committee adopts as its own the estimate of Federal mandates regarding H.R. 3504, as amended, prepared by the Director 

of the Congressional Budget Office pursuant to section 423 of the 

Unfunded Mandates Reform Act. 

ADVISORY COMMITTEE STATEMENT

No advisory committees within the meaning of section 5(b) of the 

Federal Advisory Committee Act would be created by H.R. 3504, as 

amended. 

CONSTITUTIONAL AUTHORITY STATEMENT

Pursuant to Article I, section 8 of the United States Constitution, 

H.R. 3504, as amended, is authorized by Congress’ power to ‘‘provide for the common Defense and general Welfare of the United 

States.’’ 


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APPLICABILITY TO LEGISLATIVE BRANCH

The Committee finds that H.R. 3504, as amended, does not relate 

to the terms and conditions of employment or access to public services or accommodations within the legislative branch. 

STATEMENT ON DUPLICATION OF FEDERAL PROGRAMS

Pursuant to clause 3(c)(5) of rule XIII of the Rules of the House 

of Representatives, the Committee finds that no provision of H.R. 

3504, as amended, establishes or reauthorizes a program of the 

Federal Government known to be duplicative of another Federal 

program, a program that was included in any report from the Government Accountability Office to Congress pursuant to section 21 

of Public Law 111 139, or a program related to a program identified in the most recent Catalog of Federal Domestic Assistance. 

DISCLOSURE OF DIRECTED RULEMAKING

Pursuant to clause 3(c)(5) of rule XIII, the Committee estimates 

that H.R. 3504 contains rulemaking to require the Secretary to prescribe regulations regarding the definition of ‘‘seriously ill veteran.’’ 

SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION

Section 1: Short title: Section one would establish the short title 

‘‘Ryan Kules Specially Adaptive Housing Improvement Act of 

2019’’. 

Section 2: Would prioritize the awarding of SAH grants to ‘‘seriously ill veterans’’. The Secretary must define the term ‘‘seriously 

ill veterans’’ and report the definition to the committees of jurisdiction. 

The effective date of this section is October 1, 2020. 

Section 3: Would increase the number of grants veterans can 

apply for from 3 to 6. It would increase the number of applications 

that can be approved from 30 to 120. It would increase the maximum amount of assistance for acquiring a residence already 

adapted with special features from $12,000 to $19,733. It would 

also increase the aggregate amount of assistance for the acquisition 

of housing with accessible features from $63,780 to $98,462. Finally, it would increase the aggregate amount of assistance for adaptations to a residence owned by a veteran from $12,756 to 

$19,733. The effective date of this section is October 1, 2020. 

Section 4: Would allow veterans who first receive a SAH grant 

on or after October 1, 2020 to reapply for SAH grants after ten 

years, as long as their existing residence does not meet their needs. 

Section 5: Would authorize schools, rather than VA, to make payments to students for the work they are performing under the VA 

work-study program. VA would provide the schools with batch 

funds to use specifically for this purpose. 

The effective date of this section is August 1, 2020 and applies 

to semester, quarters, or terms starting on or after August 1, 2020. 

Section 6: Would expand eligibility of the Fry Scholarship to children and spouses of a reservist or national guardsmen who died in 

the line of duty or from a service-connected disability within four 

years after their last discharge date. 


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The effective date of this section is August 1, 2020 and applies 

to semester, quarters, or terms starting on or after August 1, 2020. 

Section 7: Would authorize veterans to use educational benefits 

to pay for preparatory courses for vocational or professional licensure. The amount of entitlement expended at the rate of one month 

per every $1,460 spent on the course. 

Section 8: Would increase VA housing loans fees from 2022 to 

2027. 

Section 9: Would expand eligibility of the SAH grant program to 

include veterans who meet the Social Security Administration definition of blindness and have the use of all their extremities. 

Changes the title of the bill to ‘‘A bill to amend title 38, United 

States Code, to provide for improvements to the specially adapted 

housing program and educational assistance programs of the Department of Veterans Affairs, and for other purposes.’’ 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

and existing law in which no change is proposed is shown in 

roman): 

TITLE 38, UNITED STATES CODE 

* * * * * * * 

PART II—GENERAL BENEFITS 

* * * * * * * 

CHAPTER 21—SPECIALLY ADAPTED HOUSING FOR 

DISABLED VETERANS 

* * * * * * * 

§ 2101. Acquisition and adaptation of housing: eligible veterans 

(a) ACQUISITION OF HOUSING WITH SPECIAL FEATURES.—(1) Subject to paragraphs (3) and (4), the Secretary may assist a disabled 

veteran described in paragraph (2) in acquiring a suitable housing 

unit with special fixtures or movable facilities made necessary by 

the nature of the veteran’s disability, and necessary land therefor. 

(2)(A) A veteran is described in this paragraph if the veteran— 

(i) is entitled to compensation under chapter 11 of this title 

for a permanent and total service-connected disability that 

meets any of the criteria described in subparagraph (B); or 

(ii) served in the Armed Forces on or after September 11, 

2001, and is entitled to compensation under chapter 11 of this 

title for a permanent service-connected disability that meets 

the criterion described in subparagraph (C). 

(B) The criteria described in this subparagraph are as follows: 


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(i) The disability is due to the loss, or loss of use, of both 

lower extremities such as to preclude locomotion without the 

aid of braces, crutches, canes, or a wheelchair. 

(ii) The disability is ødue to—¿ due to blindness in both eyes, 

having central visual acuity of 20/200 or less in the better eye 

with the use of a standard correcting lens. For the purposes of 

this clause, an eye with a limitation in the fields of vision such 

that the widest diameter of the visual field subtends an angle 

no greater than 20 degrees shall be considered as having a central visual acuity of 20/200 or less. 

ø(I) blindness in both eyes, having only light perception, 

plus 

ø(II) loss or loss of use of one lower extremity.¿ 

(iii) The disability is due to the loss or loss of use of one 

lower extremity together with— 

(I) residuals of organic disease or injury; or 

(II) the loss or loss of use of one upper extremity, 

which so affect the functions of balance or propulsion as to preclude 

locomotion without the aid of braces, crutches, canes, or a wheelchair. 

(iv) The disability is due to the loss, or loss of use, of both 

upper extremities such as to preclude use of the arms at or 

above the elbows. 

(v) The disability is due to a severe burn injury (as determined pursuant to regulations prescribed by the Secretary). 

(C) The criterion described in this subparagraph is that the disability— 

(i) was incurred on or after September 11, 2001; and 

(ii) is due to the loss or loss of use of one or more lower extremities which so affects the functions of balance or propulsion as to preclude ambulating without the aid of braces, 

crutches, canes, or a wheelchair. 

(3) The regulations prescribed under subsection (d) shall require 

that assistance under paragraph (1) may be provided to a veteran 

only if the Secretary finds that— 

(A) it is medically feasible for the veteran to reside in the 

proposed housing unit and in the proposed locality; 

(B) the proposed housing unit bears a proper relation to the 

veteran’s present and anticipated income and expenses; and 

(C) the nature and condition of the proposed housing unit 

are such as to be suitable to the veteran’s needs for dwelling 

purposes. 

(4) In any fiscal year, the Secretary may not approve more than 

ø30 applications¿ 120 applications for assistance under paragraph 

(1) for disabled veterans described in paragraph (2)(A)(ii). 

(b) ADAPTATIONS TO RESIDENCE OF VETERAN.—(1) Subject to 

paragraph (3), the Secretary shall assist any disabled veteran described in paragraph (2) (other than a veteran who is eligible for 

assistance under subsection (a))— 

(A) in acquiring such adaptations to such veteran’s residence 

as are determined by the Secretary to be reasonably necessary 

because of such disability; or 

(B) in acquiring a residence already adapted with special features determined by the Secretary to be reasonably necessary 

for the veteran because of such disability. 


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(2) A veteran is described in this paragraph if the veteran is entitled to compensation under chapter 11 of this title for a service-connected disability that meets any of the following criteria: 

ø(A) The disability is due to blindness in both eyes, having 

central visual acuity of 20/200 or less in the better eye with the 

use of a standard correcting lens. For the purposes of this subparagraph, an eye with a limitation in the fields of vision such 

that the widest diameter of the visual field subtends an angle 

no greater than 20 degrees shall be considered as having a central visual acuity of 20/200 or less.¿ 

ø(B)¿ (A) A permanent and total disability that includes the 

anatomical loss or loss of use of both hands. 

ø(C)¿ (B) A permanent and total disability that is due to a 

severe burn injury (as so determined). 

(3) Assistance under paragraph (1) may be provided only to a 

veteran who the Secretary determines— 

(A) is residing in and reasonably intends to continue residing 

in a residence owned by such veteran or by a member of such 

veteran’s family; or 

(B) if the veteran’s residence is to be constructed or purchased, will be residing in and reasonably intends to continue 

residing in a residence owned by such veteran or by a member 

of such veteran’s family. 

(c) REGULATIONS.—Assistance under this section shall be provided in accordance with such regulations as the Secretary may 

prescribe. 

(d) PRIORITY FOR SERIOUSLY ILL VETERANS.—(1) In providing assistance under this section, the Secretary shall give priority to seriously ill veterans. 

(2) In this section, the term ‘‘seriously ill veteran’’ shall have the 

meaning given such term by the Secretary. 

* * * * * * * 

§ 2102. Limitations on assistance furnished 

(a) The assistance authorized by section 2101(a) of this title shall 

be afforded under one of the following plans, at the option of the 

individual— 

(1) where the individual elects to construct a housing unit on 

land to be acquired by such individual, the Secretary shall pay 

not to exceed 50 percent of the total cost to the individual of 

(A) the housing unit and (B) the necessary land upon which it 

is to be situated; 

(2) where the individual elects to construct a housing unit on 

land acquired by such individual prior to application for assistance under this chapter, the Secretary shall pay not to exceed 

the smaller of the following sums: (A) 50 percent of the total 

cost to the individual of the housing unit and the land necessary for such housing unit, or (B) 50 percent of the cost to 

the individual of the housing unit plus the full amount of the 

unpaid balance, if any, of the cost to the individual of the land 

necessary for such housing unit; 

(3) where the individual elects to remodel a dwelling which 

is not adapted to the requirements of such individual’s disability, acquired by such individual prior to application for assistance under this chapter, the Secretary shall pay not to exVerDate Sep 11 2014 04:15 Jul 23, 2019 Jkt 089006 PO 00000 Frm 00015 Fmt 6659 Sfmt 6601 E:\HR\OC\HR164.XXX HR164

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ceed (A) the cost to the individual of such remodeling; or (B) 

50 percent of the cost to the individual of such remodeling; 

plus the smaller of the following sums: (i) 50 percent of the 

cost to the individual of such dwelling and the necessary land 

upon which it is situated, or (ii) the full amount of the unpaid 

balance, if any, of the cost to the individual of such dwelling 

and the necessary land upon which it is situated; and 

(4) where the individual has acquired a suitable housing 

unit, the Secretary shall pay not to exceed the smaller of the 

following sums: (A) 50 percent of the cost to the individual of 

such housing unit and the necessary land upon which it is situated, or (B) the full amount of the unpaid balance, if any, of 

the cost to the individual of such housing unit and the necessary land upon which it is situated. 

(b) Except as provided in section 2104(b) of this title, the assistance authorized by section 2101(b) of this title shall be limited to 

the lesser of— 

(1) the actual cost, or, in the case of an individual acquiring 

a residence already adapted with special features, the fair market value, of the adaptations determined by the Secretary 

under such section 2101(b) to be reasonably necessary, or 

(2) ø$12,000¿ $19,733. (c) The amount of assistance afforded under subsection (a) for an 

individual authorized assistance by section 2101(a) of this title 

shall not be reduced by reason that title to the housing unit, which 

is vested in the individual, is also vested in any other person, if the 

individual resides in the housing unit. 

(d)(1) The aggregate amount of assistance available to an individual under section 2101(a) of this title shall be limited to 

ø$63,780¿ $98,492. (2) The aggregate amount of assistance available to an individual 

under section 2101(b) of this title shall be limited to ø$12,756¿ 

$19,733. (3) No veteran may receive more than øthree¿ six grants of assistance under this chapter. 

(e)(1) Effective on October 1 of each year (beginning in 2009), the 

Secretary shall increase the amounts described in subsection (b)(2) 

and paragraphs (1) and (2) of subsection (d) in accordance with this 

subsection. 

(2) The increase in amounts under paragraph (1) to take effect 

on October 1 of a year shall be by an amount of such amounts 

equal to the percentage by which— 

(A) the residential home cost-of-construction index for the 

preceding calendar year, exceeds 

(B) the residential home cost-of-construction index for the 

year preceding the year described in subparagraph (A). 

(3) The Secretary shall establish a residential home cost-of-construction index for the purposes of this subsection. The index shall 

reflect a uniform, national average change in the cost of residential 

home construction, determined on a calendar year basis. The Secretary may use an index developed in the private sector that the 

Secretary determines is appropriate for purposes of this subsection. 

(f)(1) Notwithstanding the aggregate amounts specified in subsection (d), a covered veteran may apply for and receive an additional amount of assistance under subsection (a) or (b) of section 


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2101 of this title in an amount that does not exceed half of the 

amount specified in subsection (d). 

(2) In this subsection, a covered veteran is a veteran who— 

(A) is described in section 2101(a)(2) of this title; 

(B) first receives assistance under this chapter on or after October 1, 2020; 

(C) as of the date of the veteran’s application for assistance 

under paragraph (1), most recently received assistance under 

this chapter more than ten years before such date; and 

(D) lives in a home that the Secretary determines does not 

have adaptations that are reasonably necessary because of the 

veteran’s disability. 

* * * * * * * 

PART III—READJUSTMENT AND RELATED 

BENEFITS 

* * * * * * * 

CHAPTER 33—POST–9/11 EDUCATIONAL ASSISTANCE 

* * * * * * * 

SUBCHAPTER II—EDUCATIONAL ASSISTANCE 

Sec. 

3311. Educational assistance for service in the Armed Forces commencing on or 

after September 11, 2001: entitlement. 

* * * * * * * 

3315B. Preparatory courses for licensure, certification, or national tests. 

* * * * * * * 

SUBCHAPTER II—EDUCATIONAL ASSISTANCE 

§ 3311. Educational assistance for service in the Armed 

Forces commencing on or after September 11, 2001: 

entitlement 

(a) ENTITLEMENT.—Subject to subsections (d) and (e), each individual described in subsection (b) is entitled to educational assistance under this chapter. 

(b) COVERED INDIVIDUALS.—An individual described in this subsection is any individual as follows: 

(1) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 36 months on active duty in the 

Armed Forces (including service on active duty in entry 

level and skill training); and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty; or 

(ii) is discharged or released from active duty as described in subsection (c). 

(2) An individual who— 

(A) commencing on or after September 11, 2001, serves 

at least 30 continuous days on active duty in the Armed 

Forces; and 


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(B) after completion of service described in subparagraph 

(A), is discharged or released from active duty in the 

Armed Forces for a service-connected disability. 

(3) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 30 months, but less than 36 

months, on active duty in the Armed Forces (including 

service on active duty in entry level and skill training); 

and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 36 months; or 

(ii) before completion of service on active duty of an 

aggregate of 36 months, is discharged or released from 

active duty as described in subsection (c). 

(4) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 24 months, but less than 30 

months, on active duty in the Armed Forces (including 

service on active duty in entry level and skill training); 

and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 30 months; or 

(ii) before completion of service on active duty of an 

aggregate of 30 months, is discharged or released from 

active duty as described in subsection (c). 

(5) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 18 months, but less than 24 

months, on active duty in the Armed Forces (excluding 

service on active duty in entry level and skill training); 

and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 24 months; or 

(ii) before completion of service on active duty of an 

aggregate of 24 months, is discharged or released from 

active duty as described in subsection (c). 

(6) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 12 months, but less than 18 

months, on active duty in the Armed Forces (excluding 

service on active duty in entry level and skill training); 

and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 18 months; or 

(ii) before completion of service on active duty of an 

aggregate of 18 months, is discharged or released from 

active duty as described in subsection (c). 


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(7) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 6 months, but less than 12 

months, on active duty in the Armed Forces (excluding 

service on active duty in entry level and skill training); 

and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 12 months; or 

(ii) before completion of service on active duty of an 

aggregate of 12 months, is discharged or released from 

active duty as described in subsection (c). 

(8) An individual who— 

(A) commencing on or after September 11, 2001, serves 

an aggregate of at least 90 days, but less than 6 months, 

on active duty in the Armed Forces (excluding service on 

active duty in entry level and skill training); and 

(B) after completion of service described in subparagraph 

(A)— 

(i) continues on active duty for an aggregate of less 

than 6 months; or 

(ii) before completion of service on active duty of an 

aggregate of 6 months, is discharged or released from 

active duty as described in subsection (c). 

(9) An individual who is the child or spouse of a person who, 

on or after September 11, 2001, dies in line of duty while serving on active duty as a member of the Armed Forces. 

(10) An individual who is the child or spouse of a person 

who, on or after September 11, 2001, dies in line of duty while 

serving on duty other than active duty as a member of the 

Armed Forces. 

(11) An individual who is the child or spouse of a member 

of the Selected Reserve who dies on or after September 11, 

2001— 

(A) from a service-connected disability; and 

(B) not later than four years after the date of the last discharge or release of that member from active duty or active 

duty for training. 

ø(10)¿ (12) An individual who is awarded the Purple Heart 

for service in the Armed Forces occurring on or after September 11, 2001, and continues to serve on active duty in the 

Armed Forces or is discharged or released from active duty as 

described in subsection (c). 

(c) COVERED DISCHARGES AND RELEASES.—A discharge or release 

from active duty of an individual described in this subsection is a 

discharge or release as follows: 

(1) A discharge from active duty in the Armed Forces with 

an honorable discharge. 

(2) A release after service on active duty in the Armed 

Forces characterized by the Secretary concerned as honorable 

service and placement on the retired list, transfer to the Fleet 

Reserve or Fleet Marine Corps Reserve, or placement on the 

temporary disability retired list. 


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(3) A release from active duty in the Armed Forces for further service in a reserve component of the Armed Forces after 

service on active duty characterized by the Secretary concerned 

as honorable service. 

(4) A discharge or release from active duty in the Armed 

Forces after service on active duty in the Armed Forces characterized by the Secretary concerned as honorable service for— 

(A) a medical condition which preexisted the service of 

the individual as described in the applicable paragraph of 

subsection (b) and which the Secretary determines is not 

service-connected; 

(B) hardship; or 

(C) a physical or mental condition that was not characterized as a disability and did not result from the individual’s own willful misconduct but did interfere with the individual’s performance of duty, as determined by the Secretary concerned in accordance with regulations prescribed 

by the Secretary of Defense. 

(d) PROHIBITION ON TREATMENT OF CERTAIN SERVICE AS PERIOD

OF ACTIVE DUTY.—The following periods of service shall not be considered a part of the period of active duty on which an individual’s 

entitlement to educational assistance under this chapter is based: 

(1) A period of service on active duty of an officer pursuant 

to an agreement under section 2107(b) of title 10. 

(2) A period of service on active duty of an officer pursuant 

to an agreement under section 7448, 8459, or 9448 of title 10 

or section 182 of title 14. 

(3) A period of service that is terminated because of a defective enlistment and induction based on— 

(A) the individual’s being a minor for purposes of service 

in the Armed Forces; 

(B) an erroneous enlistment or induction; or 

(C) a defective enlistment agreement. 

(e) TREATMENT OF INDIVIDUALS ENTITLED UNDER MULTIPLE PROVISIONS.—In the event an individual entitled to educational assistance under this chapter is entitled by reason of both paragraphs 

(4) and (5) of subsection (b), the individual shall be treated as being 

entitled to educational assistance under this chapter by reason of 

paragraph (5) of subsection (b). 

(f) MARINE GUNNERY SERGEANT JOHN DAVID FRY SCHOLARSHIP.— 

(1) IN GENERAL.—Educational assistance payable by reason 

of øparagraph (9)¿ paragraphs (9), (10), and (11) of subsection 

(b) shall be known as the ‘‘Marine Gunnery Sergeant John 

David Fry scholarship’’. 

(2) LIMITATION.—The entitlement of an individual to assistance under subsection (a) pursuant to øparagraph (9)¿ paragraphs (9), (10), and (11) of subsection (b) because the individual was a spouse of a person described in such paragraph 

shall expire on the earlier of— 

(A) the date that is 15 years after the date on which the 

person died; or 

(B) the date on which the individual remarries. 

(3) ELECTION ON RECEIPT OF CERTAIN BENEFITS.—Except as 

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ance under subsection (a) pursuant to øparagraph (9)¿ paragraphs (9), (10), and (11) of subsection (b) who is also entitled 

to educational assistance under chapter 35 of this title may not 

receive assistance under both this section and such chapter, 

but shall make an irrevocable election (in such form and manner as the Secretary may prescribe) under which section or 

chapter to receive educational assistance. 

(4) EXCEPTION FOR CERTAIN ELECTIONS.— 

(A) IN GENERAL.—An election made under paragraph (3) 

by a spouse described in subparagraph (B) may not be 

treated as irrevocable if such election occurred before the 

date of the enactment of this paragraph. 

(B) ELIGIBLE SURVIVING SPOUSE.—A spouse described in 

this subparagraph is an individual— 

(i) who is entitled to assistance under subsection (a) 

pursuant to øparagraph (9)¿ paragraphs (9), (10), and 

(11) of subsection (b); and 

(ii) who was the spouse of a member of the Armed 

Forces who died during the period beginning on September 11, 2001, and ending on December 31, 2005. 

(5) DEFINITION OF CHILD.—For purposes of øparagraph (9)¿ 

paragraphs (9), (10), and (11) of subsection (b), the term ‘‘child’’ 

includes a married individual or an individual who is above the 

age of twenty-three years. 

* * * * * * * 

§ 3315B. Preparatory courses for licensure, certification, or 

national tests 

(a) IN GENERAL.—An individual entitled to educational assistance 

under this chapter shall also be entitled to payment for a preparatory course for a licensing or certification test that is required 

or used to enter into, maintain, or advance in employment in a predetermined and identified vocation or profession. 

(b) AMOUNT.—The amount of educational assistance payable 

under this chapter for a course described in subsection (a) is the 

lesser of— 

(1) the fee charged for the course; or 

(2) the amount of entitlement available to the individual 

under this chapter at the time of payment for the course under 

this section. 

(c) CHARGE AGAINST ENTITLEMENT.—The number of months of 

entitlement charged an individual under this chapter for a course 

described in subsection (a) shall be pro-rated based on the actual 

amount of the fee charged for the course relative to the rate for 1 

month payable— 

(1) for the academic year beginning on August 1, 2020, 

$1,460; or 

(2) for an academic year beginning on any subsequent August 

1, the amount for the previous academic year beginning on August 1 under this subsection, as increased by the percentage increase equal to the most recent percentage increase determined 

under section 3015(h). 

* * * * * * * 


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22 

SUBCHAPTER III—ADMINISTRATIVE PROVISIONS 

* * * * * * * 

§ 3322. Bar to duplication of educational assistance benefits 

(a) IN GENERAL.—An individual entitled to educational assistance under this chapter who is also eligible for educational assistance under chapter 30, 31, 32, or 35 of this title, chapter 107, 1606, 

or 1607 or section 510 of title 10, or the provisions of the Hostage 

Relief Act of 1980 (Public Law 96–449; 5 U.S.C. 5561 note) may not 

receive assistance under two or more such programs concurrently, 

but shall elect (in such form and manner as the Secretary may prescribe) under which chapter or provisions to receive educational assistance. 

(b) INAPPLICABILITY OF SERVICE TREATED UNDER EDUCATIONAL

LOAN REPAYMENT PROGRAMS.—A period of service counted for purposes of repayment of an education loan under chapter 109 of title 

10 may not be counted as a period of service for entitlement to educational assistance under this chapter. 

(c) SERVICE IN SELECTED RESERVE.—An individual who serves in 

the Selected Reserve may receive credit for such service under only 

one of this chapter, chapter 30 of this title, and chapters 1606 and 

1607 of title 10, and shall elect (in such form and manner as the 

Secretary may prescribe) under which chapter such service is to be 

credited. 

(d) ADDITIONAL COORDINATION MATTERS.—In the case of an individual entitled to educational assistance under chapter 30, 31, 32, 

or 35 of this title, chapter 107, 1606, or 1607 of title 10, or the provisions of the Hostage Relief Act of 1980, or making contributions 

toward entitlement to educational assistance under chapter 30 of 

this title, as of August 1, 2009, coordination of entitlement to educational assistance under this chapter, on the one hand, and such 

chapters or provisions, on the other, shall be governed by the provisions of section 5003(c) of the Post-9/11 Veterans Educational Assistance Act of 2008. 

(e) BAR TO CONCURRENT RECEIPT OF TRANSFERRED EDUCATION

BENEFITS AND MARINE GUNNERY SERGEANT JOHN DAVID FRY

SCHOLARSHIP ASSISTANCE.—An individual entitled to educational 

assistance under both øsections 3311(b)(9) and 3319¿ section 3319 

and paragraph (9), (10), or (11) of section 3311 of this title may not 

receive assistance under both provisions concurrently, but shall 

elect (in such form and manner as the Secretary may prescribe) 

under which provision to receive educational assistance. 

(f) BAR TO RECEIPT OF COMPENSATION AND PENSION AND MARINE

GUNNERY SERGEANT JOHN DAVID FRY SCHOLARSHIP ASSISTANCE.— The commencement of a program of education under øsection 

3311(b)(9)¿ paragraph (9), (10), or (11) of section 3311 of this title 

shall be a bar to the following: 

(1) Subsequent payments of dependency and indemnity compensation or pension based on the death of a parent to an eligible person over the age of 18 years by reason of pursuing a 

course in an educational institution. 

(2) Increased rates, or additional amounts, of compensation, 

dependency and indemnity compensation, or pension because 

of such a person, whether eligibility is based upon the death 

of the parent. 


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(g) BAR TO CONCURRENT RECEIPT OF TRANSFERRED EDUCATION

BENEFITS.—A spouse or child who is entitled to educational assistance under this chapter based on a transfer of entitlement from 

more than one individual under section 3319 may not receive assistance based on transfers from more than one such individual 

concurrently, but shall elect (in such form and manner as the Secretary may prescribe) under which source to utilize such assistance 

at any one time. 

(h) BAR TO DUPLICATION OF ELIGIBILITY BASED ON A SINGLE

EVENT OR PERIOD OF SERVICE.— (1) ACTIVE-DUTY SERVICE.—An individual with qualifying 

service in the Armed Forces that establishes eligibility on the 

part of such individual for educational assistance under this 

chapter, chapter 30 or 32 of this title, and chapter 1606 or 

1607 of title 10, shall elect (in such form and manner as the 

Secretary may prescribe) under which authority such service is 

to be credited. 

(2) ELIGIBILITY FOR EDUCATIONAL ASSISTANCE BASED ON PARENT’S SERVICE.—A child of a member of the Armed Forces who, 

on or after September 11, 2001, dies in the line of duty while 

serving on active duty, who is eligible for educational assistance under øeither section 3311(b)(9) or chapter 35¿ either 

chapter 35 or paragraph (9), (10), or (11) of section 3311 of this 

title based on the parent’s death may not receive such assistance under both this chapter and chapter 35 of this title, but 

shall elect (in such form and manner as the Secretary may prescribe) under which chapter to receive such assistance. 

* * * * * * * 

CHAPTER 34—VETERANS’ EDUCATIONAL ASSISTANCE 

* * * * * * * 

SUBCHAPTER IV—PAYMENTS TO ELIGIBLE VETERANS; 

VETERAN-STUDENT SERVICES 

* * * * * * * 

§ 3485. Work-study allowance 

(a)(1) øIndividuals¿ In accordance with paragraph (4), individuals utilized under the authority of subsection (b) shall be paid an 

additional educational assistance allowance (hereinafter in this section referred to as ‘‘work-study allowance’’). Such allowance shall 

be paid in return for an individual’s entering into an agreement described in paragraph (3). 

(2) Such work-study allowance shall be paid in an amount equal 

to the product of— 

(A) the applicable hourly minimum wage; and 

(B) the number of hours worked during the applicable period. 

(3) An agreement described in this paragraph is an agreement of 

an individual to perform services, during or between periods of enrollment, aggregating not more than a number of hours equal to 25 

times the number of weeks in the semester or other applicable enrollment period, required in connection with a qualifying workstudy activity. 


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(4)(A) The Secretary shall carry out this section by providing to 

educational institutions an annual amount for the institution to use 

in paying work-study allowance under paragraph (1) to individuals 

enrolled at the institution. 

(B) With respect to an educational institution that participated in 

the work-study program under this section during the academic 

year beginning August 1, 2018, the Secretary shall determine the 

annual amount to provide to the educational institution under subparagraph (A) as follows: 

(i) For the academic year beginning August 1, 2020, the 

amount shall be the total amount the Secretary paid under this 

section to individuals enrolled at such educational institution 

during the academic year beginning August 1, 2018. 

(ii) Except as provided by subparagraph (D)(ii), for each academic year beginning on or after August 1, 2021, the amount 

shall be the total amount the educational institution paid under 

this section for work-study allowance to individuals enrolled at 

such educational institution during the previous academic year 

in which individuals participated in the work-study program. 

(C) With respect to an educational institution that did not participate in the work-study program under this section during the academic year beginning August 1, 2018, the Secretary shall determine 

the annual amount to provide to the educational institution under 

subparagraph (A) as follows: 

(i) For the first academic year in which the educational institution participates in the work-study program beginning on or 

after August 1, 2020, the amount shall be an amount the Secretary determines appropriate based on amounts provided to 

similar educational institutions pursuant to subparagraph (B). 

(ii) Except as provided by subparagraph (D)(ii), for each academic year occurring after the academic year specified in clause 

(i), the amount shall be the total amount the educational institution paid under this section for work-study allowance to individuals enrolled at such educational institution during the previous academic year in which individuals enrolled at such educational institution participated in the work-study program. 

(D)(i) Except as provided in clause (ii), if the Secretary provides 

an annual amount to an educational institution under subparagraph (B) or (C) that is more than the total amount the educational 

institution pays to individuals under paragraph (1), the educational 

institution shall return to the Secretary the unpaid amount and the 

Secretary shall transfer such amount into the general fund of the 

Treasury. 

(ii) If the annual amount provided to an educational institution 

under subparagraph (B) or (C) is more, but less than 25 percent 

more, than the total amount the educational institution pays to individuals under paragraph (1), and the educational institution 

plans to participate in the work-study program under this section 

during the subsequent academic year, the educational institution 

may retain the amount of the overpayment if the educational institution notifies the Secretary of the amount of the overpayment and 

the intention of the educational institution to retain such amount. 

Any amount retained by an educational institution under this 

clause may only be used by the educational institution to provide 


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25 

work-study allowance to individuals enrolled at the educational institution. 

(iii) At any time an educational institution may request the Secretary to increase the annual amount that the Secretary provides the 

educational institution under subparagraph (B) or (C). 

(E) Pursuant to section 3690(c), section 3693, and other provisions 

of chapter 36 of this title, the Secretary shall ensure that educational institutions carry out the work-study allowance program in 

compliance with this section. 

ø(4)¿ (5) For the purposes of this section, the term ‘‘qualifying 

work-study activity’’ means any of the following: 

(A) The outreach services program under chapter 63 of this 

title as carried out under the supervision of a Department employee or, during the period preceding June 30, 2013, or any 

time on or after June 30, 2017, outreach services to 

servicemembers and veterans furnished by employees of a 

State approving agency. 

(B) The preparation and processing of necessary papers and 

other documents at educational institutions or regional offices 

or facilities of the Department. 

(C) The provision of hospital and domiciliary care and medical treatment under chapter 17 of this title, including, during 

the period preceding June 30, 2013, or any time on or after 

June 30, 2017, the provision of such care to veterans in a State 

home for which payment is made under section 1741 of this 

title. 

(D) Any other activity of the Department as the Secretary 

determines appropriate. 

(E) In the case of an individual who is receiving educational 

assistance under chapter 1606 or 1607 of title 10, an activity 

relating to the administration of that chapter at Department 

of Defense, Coast Guard, or National Guard facilities. 

(F) During the period preceding June 30, 2013, or any time 

on or after June 30, 2017, an activity relating to the administration of a national cemetery or a State veterans’ cemetery. 

(G) Any activity of a State veterans agency related to providing assistance to veterans in obtaining any benefit under 

the laws administered by the Secretary or the laws of the 

State. 

(H) A position working in a Center of Excellence for Veteran 

Student Success, as established pursuant to part T of title VIII 

of the Higher Education Act of 1965 (20 U.S.C. 1161t et seq.). 

(I) A position working in a cooperative program carried out 

jointly by the Department and an institution of higher learning. 

(J) Any other veterans-related position in an institution of 

higher learning. 

ø(5)¿ (6) An individual may elect, in a manner prescribed by the 

Secretary, to be paid in advance an amount equal to 40 percent of 

the total amount of the work-study allowance agreed to be paid 

under the agreement in return for the individual’s agreement to 

perform the number of hours of work specified in the agreement 

(but not more than an amount equal to 50 times the applicable 

hourly minimum wage). 


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26 

ø(6)¿ (7) For the purposes of this subsection and subsection (e), 

the term ‘‘applicable hourly minimum wages’’ means— 

(A) the hourly minimum wage under section 6(a) of the Fair 

Labor Standards Act of 1938 (29 U.S.C. 206(a)); or 

(B) the hourly minimum wage under comparable law of the 

State in which the services are to be performed, if such wage 

is higher than the wage referred to in subparagraph (A) and 

the Secretary has made a determination to pay such higher 

wage. 

(b) Notwithstanding any other provision of law, the Secretary 

shall, subject to the provisions of subsection (e) of this section, utilize, in connection with the activities specified in subsection (a)(1) 

of this section, the service of individuals who are pursuing programs of rehabilitation, education, or training under chapter 30, 

31, 32, 33, or 34 of this title or chapter 1606 or 1607 of title 10, 

at a rate equal to at least three-quarters of that required of a fulltime student. In carrying out this section, the Secretary, wherever 

feasible, shall give priority to veterans with disabilities rated at 30 

percent or more for purposes of chapter 11 of this title. In the event 

an individual ceases to be at least a three-quarter-time student before completing such agreement, the individual may, with the approval of the Secretary, be permitted to complete such agreement. 

(c) The Secretary shall determine the number of individuals 

whose services the Department of Veterans Affairs can effectively 

utilize and the types of services that such individuals may be required to perform, on the basis of a survey, which the Secretary 

shall conduct annually, of each Department of Veterans Affairs regional office in order to determine the numbers of individuals 

whose services can effectively be utilized during an enrollment period in each geographical area where Department of Veterans Affairs activities are conducted, and shall determine which individuals shall be offered agreements under this section in accordance 

with regulations which the Secretary shall prescribe, including as 

criteria (1) the need of the individual to augment the veteran’s educational assistance or subsistence allowance; (2) the availability to 

the individual of transportation to the place where the individual’s 

services are to be performed; (3) the motivation of the individual; 

and (4) in the case of a disabled veteran pursuing a course of vocational rehabilitation under chapter 31 of this title, the compatibility 

of the work assignment to the veteran’s physical condition. 

(d) While performing the services authorized by this section, individuals shall be deemed employees of the United States for the 

purposes of the benefits of chapter 81 of title 5 but not for the purposes of laws administrated by the Office of Personnel Management. 

(e)(1) Subject to paragraph (2) of this subsection, the Secretary 

may, notwithstanding any other provision of law, enter into an 

agreement with an individual under this section, or a modification 

of such an agreement, whereby the individual agrees to perform a 

qualifying work-study activity described in øsubsection (a)(4)¿ subsection (a)(5) and agrees that the Secretary shall, in lieu of paying 

the work-study allowance payable for such services, as provided in 

subsection (a) of this section, deduct the amount of the allowance 

from the amount which the individual has been determined to be 

indebted to the United States by virtue of such individual’s particiVerDate Sep 11 2014 04:15 Jul 23, 2019 Jkt 089006 PO 00000 Frm 00026 Fmt 6659 Sfmt 6601 E:\HR\OC\HR164.XXX HR164

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pation in a benefits program under this chapter, chapter 30, 31, 32, 

33, 35, or 36 of this title, or chapter 1606 or 1607 of title 10 (other 

than an indebtedness arising from a refund penalty imposed under 

section 2135 of such title). 

(2)(A) Subject to subparagraph (B) of this paragraph, the provisions of this section (other than those provisions which are determined by the Secretary to be inapplicable to an agreement under 

this subsection) shall apply to any agreement authorized under 

paragraph (1) of this subsection. 

(B) For the purposes of this subsection, the Secretary may— 

(i) waive, in whole or in part, the limitations in subsection 

(a) of this section concerning the number of hours and periods 

during which services can be performed by the individual and 

the provisions of subsection (b) of this section requiring the individual’s pursuit of a program of rehabilitation, education, or 

training; 

(ii) in accordance with such terms and conditions as may be 

specified in the agreement under this subsection, waive or 

defer charging interest and administrative costs pursuant to 

section 5315 of this title on the indebtedness to be satisfied by 

performance of the agreement; and 

(iii) notwithstanding the indebtedness offset provisions of 

section 5314 of this title, waive or defer until the termination 

of an agreement under this subsection the deduction of all or 

any portion of the amount of indebtedness covered by the 

agreement from future payments to the individual as described 

in section 5314 of this title. 

(3)(A) Subject to the provisions of subparagraphs (B) and (C) of 

this paragraph, an agreement authorized under this subsection 

shall terminate in accordance with the provisions of this section 

and the terms and conditions of the agreement which are consistent with this subsection. 

(B) In no event shall an agreement under this subsection continue in force after the total amount of the individual’s indebtedness described in paragraph (1) of this subsection has been recouped, waived, or otherwise liquidated. 

(C) Notwithstanding the provisions of subparagraphs (A) and (B) 

of this paragraph, if the Secretary finds that an individual was 

without fault and was allowed to perform services described in the 

agreement after its termination, the Secretary shall, as reasonable 

compensation therefor, pay the individual at the applicable hourly 

minimum wage rate for such services as the Secretary determines 

were satisfactorily performed. 

(4) The Secretary shall promulgate regulations to carry out this 

subsection. 

* * * * * * * 

CHAPTER 35—SURVIVORS’ AND DEPENDENTS’ 

EDUCATIONAL ASSISTANCE 

* * * * * * * 

SUBCHAPTER IV—PAYMENTS TO ELIGIBLE PERSONS 

* * * * * * * 


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§ 3532. Computation of educational assistance allowance 

(a)(1) The educational assistance allowance on behalf of an eligible person who is pursuing a program of education consisting of institutional courses shall be paid at the monthly rate of $1,224 for 

full-time, $967 for three-quarter-time, or $710 for half-time pursuit. 

(2) The educational assistance allowance on behalf of an eligible 

person pursuing a program of education on less than a half-time 

basis shall be paid at the rate of the lesser of— 

(A) the established charges for tuition and fees that the educational institution involved requires similarly circumstanced 

nonveterans enrolled in the same program to pay; or (B) $1,224 per month for a full-time course. 

(b) The educational assistance allowance to be paid on behalf of 

an eligible person who is pursuing a full-time program of education 

which consists of institutional courses and alternate phases of 

training in a business or industrial establishment with the training 

in the business or industrial establishment being strictly supplemental to the institutional portion, shall be computed at the rate 

of $1,224 per month. 

(c)(1) An eligible person who is enrolled in an educational institution for a ‘‘farm cooperative’’ program consisting of institutional agricultural courses prescheduled to fall within forty-four weeks of 

any period of twelve consecutive months and who pursues such 

program on— 

(A) a full-time basis (a minimum of ten clock hours per week 

or four hundred and forty clock hours in such year 

prescheduled to provide not less than eighty clock hours in any 

three-month period), 

(B) a three-quarter-time basis (a minimum of seven clock 

hours per week), or 

(C) a half-time basis (a minimum of five clock hours per 

week), 

shall be eligible to receive an educational assistance allowance at 

the appropriate rate provided in paragraph (2) of this subsection, 

if such eligible person is concurrently engaged in agricultural employment which is relevant to such institutional agricultural 

courses as determined under standards prescribed by the Secretary. In computing the foregoing clock hour requirements there 

shall be included the time involved in field trips and individual and 

group instruction sponsored and conducted by the educational institution through a duly authorized instructor of such institution in 

which the person is enrolled. 

(2) The monthly educational assistance allowance to be paid on 

behalf of an eligible person pursuing a farm cooperative program 

under this chapter shall be $636 for full-time, $477 for three-quarter-time, or $319 for half-time pursuit. 

(d) If a program of education is pursued by an eligible person at 

an institution located in the Republic of the Philippines, the educational assistance allowance computed for such person under this 

section shall be paid at the rate of $0.50 for each dollar. 

(e) In the case of an eligible person who is pursuing a program 

of education under this chapter while incarcerated in a Federal, 

State, local, or other penal institution or correctional facility for 

conviction of a felony, the educational assistance allowance shall be 

paid in the same manner prescribed in section 3482(g) of this title 


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29 

for incarcerated veterans, except that the references therein to the 

monthly educational assistance allowance prescribed for a veteran 

with no dependents shall be deemed to refer to the applicable allowance payable to an eligible person under corresponding provisions of this chapter or chapter 36 of this title, as determined by 

the Secretary. 

(f)(1) Subject to paragraph (3), the amount of educational assistance payable under this chapter for a licensing or certification test 

described in section 3501(a)(5) of this title is the lesser of $2,000 

or the fee charged for the test. 

(2) The number of months of entitlement charged in the case of 

any individual for such licensing or certification test is equal to the 

number (including any fraction) determined by dividing the total 

amount paid to such individual for such test by the full-time 

monthly institutional rate of the educational assistance allowance 

which, except for paragraph (1), such individual would otherwise be 

paid under this chapter. 

(3) In no event shall payment of educational assistance under 

this subsection for such a test exceed the amount of the individual’s 

available entitlement under this chapter. 

(g)(1) Subject to paragraph (3), the amount of educational assistance payable under this chapter for a national test for admission 

or national test providing an opportunity for course credit at institutions of higher learning described in section 3501(a)(5) of this 

title or a preparatory course described in section 3315B(a) of this 

title is the amount of the fee charged for the test. 

(2) The number of months of entitlement charged in the case of 

any individual for a test or preparatory course described in paragraph (1) is equal to the number (including any fraction) determined by dividing the total amount of educational assistance paid 

such individual for such test or preparatory course by the full-time 

monthly institutional rate of educational assistance, except for 

paragraph (1), such individual would otherwise be paid under this 

chapter. 

(3) In no event shall payment of educational assistance under 

this subsection for a test or preparatory course described in paragraph (1) exceed the amount of the individual’s available entitlement under this chapter. 

* * * * * * * 

CHAPTER 37—HOUSING AND SMALL BUSINESS LOANS 

* * * * * * * 

SUBCHAPTER III—ADMINISTRATIVE PROVISIONS 

* * * * * * * 

§ 3729. Loan fee 

(a) REQUIREMENT OF FEE.—(1) Except as provided in subsection 

(c), a fee shall be collected from each person obtaining a housing 

loan guaranteed, insured, or made under this chapter, and each 

person assuming a loan to which section 3714 of this title applies. 

No such loan may be guaranteed, insured, made, or assumed until 

the fee payable under this section has been remitted to the Secretary. 


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(2) The fee may be included in the loan and paid from the proceeds thereof. 

(b) DETERMINATION OF FEE.—(1) The amount of the fee shall be 

determined from the loan fee table in paragraph (2). The fee is expressed as a percentage of the total amount of the loan guaranteed, 

insured, or made, or, in the case of a loan assumption, the unpaid 

principal balance of the loan on the date of the transfer of the property. 

(2) The loan fee table referred to in paragraph (1) is as follows: 

øType of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(A)(i) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after October 1, 2004, and 

before January 1, 2020) 

2.15 2.40 NA 

(A)(ii) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after January 1, 2020, 

and before January 1, 2022) 

2.30 2.30 NA 

(A)(iii) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after January 1, 2022, 

and before October 1, 2029) 

2.15 2.15 NA 

(A)(iv) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after October 1, 2029) 

1.40 1.40 NA 

(B)(i) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other 

subsequent loan described in section 

3710(a) (closed on or after October 1, 

2004, and before January 1, 2020) 

3.30 3.30 NA 


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31 

øType of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(B)(ii) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other 

subsequent loan described in section 

3710(a) (closed on or after January 1, 

2020, and before January 1, 2022) 

3.60 3.60 NA 

(B)(iii) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other 

subsequent loan described in section 

3710(a) (closed on or after January 1, 

2022, and before October 1, 2029) 

3.30 3.30 NA 

(B)(iv) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other 

subsequent loan described in section 

3710(a) (closed on or after October 1, 

2029) 

1.25 1.25 NA 

(C)(i) Loan described in section 3710(a) to 

purchase or construct a dwelling with 

5-down (closed before January 1, 2020) 

1.50 1.75 NA 

(C)(ii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after January 1, 2020, and before January 1, 

2022) 

1.65 1.65 NA 

(C)(iii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after January 1, 2022, and before October 1, 

2029) 

1.50 1.50 NA 

(C)(iv) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after October 

1, 2029) 

0.75 0.75 NA 

(D)(i) Loan described in section 3710(a) to 

purchase or construct a dwelling with 

10-down (closed before January 1, 

2020) 

1.25 1.50 NA 

(D)(ii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after January 1, 2020, and before January 1, 

2022) 

1.40 1.40 NA 

(D)(iii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after January 1, 2022, and before October 1, 

2029) 

1.25 1.25 NA 


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32 

øType of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(D)(iv) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after October 1, 2029) 

0.50 0.50 NA 

(E) Interest rate reduction refinancing 

loan 

0.50 0.50 NA 

(F) Direct loan under section 3711 1.00 1.00 NA 

(G) Manufactured home loan under section 3712 (other than an interest rate 

reduction refinancing loan) 

1.00 1.00 NA 

(H) Loan to Native American veteran 

under section 3762 (other than an interest rate reduction refinancing loan) 

1.25 1.25 NA 

(I) Loan assumption under section 3714 0.50 0.50 0.50 

(J) Loan under section 3733(a) 2.25 2.25 2.25¿ 

Type of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(A)(i) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after October 1, 2004, and 

before January 1, 2020) 

2.15 2.40 NA 

(A)(ii) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after January 1, 2020, 

and before October 1, 2027) 

2.30 2.30 NA 

(A)(iii) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after October 1, 2027, and 

before October 1, 2029) 

2.15 2.15 NA 


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33 

Type of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(A)(iv) Initial loan described in section 

3710(a) to purchase or construct a 

dwelling with 0-down, or any other initial loan described in section 3710(a) 

other than with 5-down or 10-down 

(closed on or after October 1, 2029) 

1.40 1.40 NA 

(B)(i) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other subsequent loan described in section 

3710(a) (closed on or after October 1, 

2004, and before January 1, 2020) 

3.30 3.30 NA 

(B)(ii) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other subsequent loan described in section 

3710(a) (closed on or after January 1, 

2020, and before October 1, 2027) 

3.60 3.60 NA 

(B)(iii) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other subsequent loan described in section 

3710(a) (closed on or after October 1, 

2027, and before October 1, 2029) 

3.30 3.30 NA 

(B)(iv) Subsequent loan described in section 3710(a) to purchase or construct a 

dwelling with 0-down, or any other subsequent loan described in section 

3710(a) (closed on or after October 1, 

2029) 

1.25 1.25 NA 

(C)(i) Loan described in section 3710(a) to 

purchase or construct a dwelling with 

5-down (closed before January 1, 2020) 

1.50 1.75 NA 

(C)(ii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after January 1, 2020, and before October 1, 2027) 

1.65 1.65 NA 

(C)(iii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after October 

1, 2027, and before October 1, 2029) 

1.50 1.50 NA 

(C)(iv) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 5-down (closed on or after October 

1, 2029) 

0.75 0.75 NA 

(D)(i) Loan described in section 3710(a) to 

purchase or construct a dwelling with 

10-down (closed before January 1, 

2020) 

1.25 1.50 NA 


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34 

Type of loan 

Active 

duty 

veteran 

Reservist Other 

obligor 

(D)(ii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after January 1, 2020, and before October 1, 2027) 

1.40 1.40 NA 

(D)(iii) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after October 1, 2027, and before October 1, 2029) 

1.25 1.25 NA 

(D)(iv) Loan described in section 3710(a) 

to purchase or construct a dwelling 

with 10-down (closed on or after October 1, 2029) 

0.50 0.50 NA 

(E) Interest rate reduction refinancing 

loan 

0.50 0.50 NA 

(F) Direct loan under section 3711 1.00 1.00 NA 

(G) Manufactured home loan under section 3712 (other than an interest rate 

reduction refinancing loan) 

1.00 1.00 NA 

(H) Loan to Native American veteran 

under section 3762 (other than an interest rate reduction refinancing loan) 

1.25 1.25 NA 

(I) Loan assumption under section 3714 0.50 0.50 0.50 

(J) Loan under section 3733(a) 2.25 2.25 2.25 

(3) Any reference to a section in the ‘‘Type of loan’’ column in the 

loan fee table in paragraph (2) refers to a section of this title. 

(4) For the purposes of paragraph (2): 

(A) The term ‘‘active duty veteran’’ means any veteran eligible for the benefits of this chapter other than a Reservist. 

(B) The term ‘‘Reservist’’ means a veteran described in section 3701(b)(5)(A) of this title who is eligible under section 

3702(a)(2)(E) of this title. 

(C) The term ‘‘other obligor’’ means a person who is not a 

veteran, as defined in section 101 of this title or other provision of this chapter. 

(D) The term ‘‘initial loan’’ means a loan to a veteran guaranteed under section 3710 or made under section 3711 of this 

title if the veteran has never obtained a loan guaranteed under 

section 3710 or made under section 3711 of this title. 

(E) The term ‘‘subsequent loan’’ means a loan to a veteran, 

other than an interest rate reduction refinancing loan, guaranteed under section 3710 or made under section 3711 of this 

title if the veteran has previously obtained a loan guaranteed 

under section 3710 or made under section 3711 of this title. 

(F) The term ‘‘interest rate reduction refinancing loan’’ 

means a loan described in section 3710(a)(8), 3710(a)(9)(B)(i), 

3710(a)(11), 3712(a)(1)(F), or 3762(h) of this title. 


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35 

(G) The term ‘‘0-down’’ means a downpayment, if any, of less 

than 5 percent of the total purchase price or construction cost 

of the dwelling. 

(H) The term ‘‘5-down’’ means a downpayment of at least 5 

percent or more, but less than 10 percent, of the total purchase 

price or construction cost of the dwelling. 

(I) The term ‘‘10-down’’ means a downpayment of 10 percent 

or more of the total purchase price or construction cost of the 

dwelling. 

(c) WAIVER OF FEE.—(1) A fee may not be collected under this 

section from a veteran who is receiving compensation (or who, but 

for the receipt of retirement pay or active service pay, would be entitled to receive compensation), from a surviving spouse of any veteran (including a person who died in the active military, naval, or 

air service) who died from a service-connected disability, or from a 

member of the Armed Forces who is serving on active duty and 

who provides, on or before the date of loan closing, evidence of having been awarded the Purple Heart. 

(2)(A) A veteran described in subparagraph (B) shall be treated 

as receiving compensation for purposes of this subsection as of the 

date of the rating described in such subparagraph without regard 

to whether an effective date of the award of compensation is established as of that date. 

(B) A veteran described in this subparagraph is a veteran who 

is rated eligible to receive compensation— 

(i) as the result of a pre-discharge disability examination and 

rating; or 

(ii) based on a pre-discharge review of existing medical evidence (including service medical and treatment records) that 

results in the issuance of a memorandum rating. 

* * * * * * * 


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(36) 

MINORITY VIEWS 

The Minority offers the following Minority views regarding H.R. 

3504, as amended. 

The Minority supports, H.R. 3504, as amended, but believes that 

bill would have been improved if the Majority considered and 

adopted an amendment to the amendment in the nature of a substitute (ANS) to H.R. 3504 that was offered by Representative Roy 

of Texas. The ANS to H.R. 3504 makes various improvements to 

programs within the Department of Veteran’s Affairs (VA) Veterans Benefits Administration including specially adapted housing 

grants, work-study, and the Fry Scholarship. Representative Roy’s 

amendment would have added to those improvements by codifying 

VA’s practice of not sending personally identifying information 

(PII) on beneficiaries to the Federal Bureau of Investigation’s National Instant Criminal Background Check System (NICS) solely 

based on an adjudication of service-connection for a disability. 

Under current law, Section 922(g)(4) of Title 18, United States 

Code, an individual ‘‘who has been adjudicated as a mental defective or committed to a mental institution’’ may not ‘‘ship or transport in interstate or foreign commerce, or possess in or affecting 

commerce, any firearm or ammunition; or to receive any firearm or 

ammunition which has been shipped or transported in interstate or 

foreign commerce.’’ Section 922(d) makes it a felony to knowingly 

sell a firearm or ammunition to such individuals. The Brady Handgun Violence Prevention Act of 1993, Public Law 103–159 (Brady 

Act), requires federal agencies, upon the request of the Attorney 

General, to report PII of certain individuals, including those adjudicated as a mental defective, to the FBI’s National Instant Criminal Background Check System (NICS). NICS is a database that 

federal firearms licensees use to verify if an individual may lawfully purchase a firearm or ammunition. Currently, VA does not report PII of veterans based solely on an adjudication for service-connected disability compensation benefits. 

On February 28, 2019, the House passed H.R. 1112, as amended, 

The Enhanced Background Checks Act of 2019, by a recorded vote 

of 228–198. H.R. 1112, as amended, would change the language in 

Section 922(g)(4) and (d)(4) of Title 18 from ‘‘adjudicated as a mental defective’’ to ‘‘adjudicated with mental illness, severe developmental disability, or severe emotional instability’’. Veterans and 

veterans’ advocates have raised concerns that, if H.R. 1112, as 

amended, was enacted, VA could interpret an adjudication of an 

award of service-connected disability compensation for PTSD or 

any other mental disorder or disability as sufficient reason to report veterans to the NICS list. To put this into perspective, according to information provided by VA, more than one million veterans 

receive disability benefits for mental illness. If H.R. 1112, as 

amended, is enacted, VA could begin reporting veterans to NICS 


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37 

1 Enhanced Background Checks Act of 2019, Congressional Record, daily edition, vol. 165 (February 28, 2019), pp. H2281. 

without evidence that the individual is a danger to themselves or 

others. 

Despite the devastating and far-reaching implications H.R. 1112, 

as amended, may have on veteran’s constitutional rights by potentially requiring VA to report information on veterans, H.R. 1112, 

as amended, was never considered or debated within the Committee. As such, prior to floor consideration of H.R. 1112, as 

amended, Ranking Member Roe offered an amendment at the 

House Rules Committee to clarify that veterans with a VA identified mental illness and other affected VA adjudications should be 

exempt from the standard in H.R. 1112, as amended. However, 

Ranking Member Roe’s amendment was ruled out of order on February 25, 2019. 

In response to concerns raised by Veterans of Foreign Wars, during floor consideration of H.R. 1112, Chairman Jerrold Nadler of 

the House Committee on Judiciary (Judiciary Committee) clarified 

that the bill was not intended to change current law and that he 

would work with stakeholders to address the problems identified.1

Although the Minority was encouraged by Chairman Nadler’s 

statement, as of the date of the markup, the Judiciary Committee 

had not presented any legislation that would address the concerns 

stated above. Due to the lack of action by the Judiciary Committee 

Majority, Representative Roy introduced H.R. 3450, a bill that is 

similar to the amendment Ranking Member Roe offered at the 

Rules Committee. Ranking Member Roe requested that H.R. 3450 

be included on the June 20, 2019 Full Committee Legislative Hearing and July 11, 2019 markup agenda, but both these requests 

were denied. 

During the Full Committee markup of H.R. 3504, Representative 

Roy offered an amendment to codify VA’s existing practice of not 

sending certain personally identifying information to NICS, solely 

on an adjudication that a veteran has a service-connected disability. Both the ANS to H.R. 3504 and the amendment to the ANS 

offered by Representative Roy, pertain to benefits administered by 

the Under Secretary for Benefits. Representative Conor Lamb of 

Pennsylvania, however, raised a point of order pertaining to germaneness. Despite the Minority’s objections to the use of procedure 

to avoid debating and voting on the merits of the amendment, 

Chairman Takano ruled the amendment non-germane. Representative Roy moved to appeal Chairman Takano’s ruling. However, 

Representative Lamb successfully moved to table the appeal. Representative Lamb’s motion was agreed to by a recorded vote of 15– 

12, with 15 members the Majority voting to end debate on the germaneness of the amendment and one member of the Majority joining with 11 members of the Minority in voting to continue debating 

the germaneness of the amendment. 

The Minority is concerned that veterans might not seek VA benefits because they fear they will lose a constitutional right. As the 

National Alliance for Mental Illness states, ‘‘creating new federal 

or state gun laws based on mental illness could have the effect of 

creating more barriers to people being willing to seek treatment 


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38 

2https://www.nami.org/leam-more/mental-health-public-policy/violence-and-gun-reporting-laws. 

3 U.S. Department of Veterans Affairs, National Strategy for Preventing Veteran Suicide: 

2018–2028 

when they need it most. Solutions to gun violence associated with 

mental illness lie in improving access to treatment, not in preventing people from seeking treatment in the first place.’’ 2 Representative Roy’s amendment would have provided veterans with 

the assurance that their Second Amendment rights are protected 

if they seek care or benefits from VA. The Minority feels strongly 

that veterans with a service-connected mental disability should not 

be stigmatized as dangerous or suicidal because of their disability 

rating. We agree that an individual who a court rules is a threat 

to themselves or to others should not be permitted to possess a firearm. However, a VA employee granting a compensation claim for 

PTSD or depression is not the same as a judicial ruling or a physician finding that a veteran is a danger to himself/herself or society. 

Equating the threat of violence with a mental health diagnosis reinforces dangerous stereotypes that can prevent veterans from getting help and increase feelings of shame, isolation, and suicidal ideation.3

The Minority disagrees with the manner in which Chairman 

Takano used parliamentary procedure for partisan purposes to 

avoid debating the amendment. Chairman Takano ’s decision to 

deny consideration of Representative Roy’s amendment is an affront to the bipartisan manner this Committee has worked in the 

past to find solutions both sides of the aisle can agree on. The Minority would have welcomed ideas from the Majority to address the 

issue Representative Roy’s amendment sought to correct. Regrettably, the Majority has refused to entertain any discussion on the 

problem created, and acknowledged, by Chairman Nadler with passage of H.R. 1112. 

The Minority appreciates Veterans of Foreign Wars of the United 

States, Vietnam Veterans of America, and Heritage Action for 

America for supporting the amendment. 

DAVID P. ROE, M.D. 

Ranking Member, Committee 

on Veterans’ Affairs, House 

of Representatives. 

Æ 


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