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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2481 Referred in Senate (RFS)]

113th CONGRESS
  1st Session
                                H. R. 2481

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                            October 29, 2013

Received; read twice and referred to the Committee on Veterans' Affairs

_______________________________________________________________________

                                 AN ACT

 
To make certain improvements in the laws administered by the Secretary 
   of Veterans Affairs relating to benefits, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Veterans Economic 
Opportunity Act of 2013''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to title 38, United States Code.
Sec. 3. Scoring of budgetary effects.
Sec. 4. Establishment of Veterans Economic Opportunity Administration 
                            of Department of Veterans Affairs.
Sec. 5. Under Secretary for Veterans Economic Opportunity.
Sec. 6. Five-year extension of homeless veterans reintegration 
                            programs.
Sec. 7. Entitlement of children of certain deceased veterans to 
                            educational assistance under the Post-9/11 
                            Educational Assistance Program of the 
                            Department of Veterans Affairs.
Sec. 8. Recodification and improvement of election process for Post-9/
                            11 Educational Assistance Program.
Sec. 9. Centralized reporting of veteran enrollment by certain groups, 
                            districts, and consortiums of educational 
                            institutions.
Sec. 10. Extension of loan guaranty fee for certain subsequent loans.
Sec. 11. Mortgage protection for members of the Armed Forces, surviving 
                            spouses, and certain veterans.
Sec. 12. Treatment of relocation for active duty for purposes of 
                            mortgage refinancing.
Sec. 13. Requirements for lending institutions that are creditors for 
                            obligations and liabilities covered by the 
                            Servicemembers Civil Relief Act.
Sec. 14. Protection of child custody arrangements for parents who are 
                            members of the Armed Forces.

SEC. 2. REFERENCES TO TITLE 38, UNITED STATES CODE.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to , or 
repeal of, a section or other provision, the reference shall be 
considered to be made to a section or other provision of title 38 , 
United States Code.

SEC. 3. SCORING OF BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the House Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.

SEC. 4. ESTABLISHMENT OF VETERANS ECONOMIC OPPORTUNITY ADMINISTRATION 
              OF DEPARTMENT OF VETERANS AFFAIRS.

    (a) Economic Opportunity Administration.--
            (1) In general.--Part V is amended by adding at the end the 
        following new chapter:

       ``CHAPTER 80--VETERANS ECONOMIC OPPORTUNITY ADMINISTRATION

``8001. Organization of Administration.
``8002. Functions of Administration.
``Sec. 8001. Organization of Administration
    ``(a) Veterans Economic Opportunity Administration.--There is in 
the Department of Veterans Affairs a Veterans Economic Opportunity 
Administration. The primary function of the Veterans Economic 
Opportunity Administration is the administration of the programs of the 
Department which provide assistance related to economic opportunity to 
veterans and their dependents and survivors.
    ``(b) Under Secretary for Economic Opportunity.--The Veterans 
Economic Opportunity Administration is under the Under Secretary for 
Veterans Economic Opportunity, who is directly responsible to the 
Secretary for the operations of the Administration.
``Sec. 8002. Functions of Administration
    ``The Veterans Economic Opportunity Administration is responsible 
for the administration of the following programs of the Department:
            ``(1) Vocational rehabilitation and employment programs.
            ``(2) Educational assistance programs.
            ``(3) Veterans' housing loan and related programs.
            ``(4) The veterans small business program under section 
        8127 of this title.''.
            (2) Clerical amendments.--The tables of chapters at the 
        beginning of title 38, United States Code, and of part V of 
        title 38, United States Code, are each amended by inserting 
        after the item relating to chapter 79 the following new item:

``80.  Veterans Economic Opportunity Administration.........    8001''.
    (b) Effective Date.--Chapter 80 of title 38, United States Code, as 
added by subsection (a) shall take effect on October 1, 2014.

SEC. 5. UNDER SECRETARY FOR VETERANS ECONOMIC OPPORTUNITY.

    (a) Under Secretary.--
            (1) In general.--Chapter 3 is amended by inserting after 
        section 306 the following new section:
``Sec. 306A. Under Secretary for Veterans Economic Opportunity
    ``(a) Under Secretary.--There is in the Department an Under 
Secretary for Veterans Economic Opportunity, who is appointed by the 
President, by and with the advice and consent of the Senate. The Under 
Secretary for Veterans Economic Opportunity shall be appointed without 
regard to political affiliation or activity and solely on the basis of 
demonstrated ability in--
            ``(1) information technology; and
            ``(2) the administration of programs within the Veterans 
        Economic Opportunity Administration or programs of similar 
        content and scope.
    ``(b) Responsibilities.--The Under Secretary for Veterans Economic 
Opportunity is the head of, and is directly responsible to the 
Secretary for the operations of, the Veterans Economic Opportunity 
Administration.
    ``(c) Vacancies.--(1) Whenever a vacancy in the position of Under 
Secretary for Veterans Economic Opportunity occurs or is anticipated, 
the Secretary shall establish a commission to recommend individuals to 
the President for appointment to the position.
    ``(2) A commission established under this subsection shall be 
composed of the following members appointed by the Secretary:
            ``(A) Three persons representing education and training, 
        vocational rehabilitation, employment, real estate, mortgage 
        finance and related industries, and survivor benefits 
        activities affected by the Veterans Economic Opportunity 
        Administration.
            ``(B) Two persons representing veterans served by the 
        Veterans Economic Opportunity Administration.
            ``(C) Two persons who have experience in the management of 
        private sector benefits programs of similar content and scope 
        to the economic opportunity programs of the Department.
            ``(D) The Deputy Secretary of Veterans Affairs.
            ``(E) The chairman of the Veterans' Advisory Committee on 
        Education formed under section 3692 of this title.
            ``(F) One person who has held the position of Under 
        Secretary for Veterans Economic Opportunity, if the Secretary 
        determines that it is desirable for such person to be a member 
        of the commission.
    ``(3) A commission established under this subsection shall 
recommend at least three individuals for appointment to the position of 
Under Secretary for Veterans Economic Opportunity. The commission shall 
submit all recommendations to the Secretary. The Secretary shall 
forward the recommendations to the President and the Committees on 
Veterans' Affairs of the Senate and House of Representatives with any 
comments the Secretary considers appropriate. Thereafter, the President 
may request the commission to recommend additional individuals for 
appointment.
    ``(4) The Assistant Secretary or Deputy Assistant Secretary of 
Veterans Affairs who performs personnel management and labor relations 
functions shall serve as the executive secretary of a commission 
established under this subsection.
    ``(d) Qualifications of Recommended Individuals.--Each individual 
recommended to the President by the commission for appointment to the 
position of Under Secretary for Veterans Economic Opportunity shall be 
an individual who has held a senior level position in the private 
sector with responsibilities relating to at least one of the following:
            ``(1) Education policy.
            ``(2) Vocational rehabilitation.
            ``(3) Employment.
            ``(4) Home loan finance.
            ``(5) Small business development.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of such chapter is amended by inserting after the 
        item relating to section 306 the following new item:

``306A. Under Secretary for Veterans Economic Opportunity.''.
    (b) Conforming Amendments.--Title 38, United States Code, is 
further amended--
            (1) in section 306(c)(2), by striking subparagraphs (A) and 
        (E) and redesignating subparagraphs (B), (C), (D), and (F), as 
        subparagraphs (A) through (D), respectively;
            (2) in section 317(d), by inserting after ``Under Secretary 
        for Benefits,'' the following: ``the Under Secretary for 
        Veterans Economic Opportunity,'';
            (3) in section 318(d)(2), by inserting after ``Under 
        Secretary for Benefits,'' the following: ``the Under Secretary 
        for Veterans Economic Opportunity,'';
            (4) in section 516(e)(2)(C), by striking ``Health and the 
        Under Secretary for Benefits'' and inserting ``Health, the 
        Under Secretary for Benefits, and the Under Secretary for 
        Veterans Economic Opportunity'';
            (5) in section 541(a)(2)(B), by striking ``Health and the 
        Under Secretary for Benefits'' and inserting ``Health, the 
        Under Secretary for Benefits, and the Under Secretary for 
        Veterans Economic Opportunity'';
            (6) in section 542(a)(2)(B)(iii), by striking ``Health and 
        the Under Secretary for Benefits'' and inserting ``Health, the 
        Under Secretary for Benefits, and the Under Secretary for 
        Veterans Economic Opportunity'';
            (7) in section 544(a)(2)(B)(vi), by striking ``Health and 
        the Under Secretary for Benefits'' and inserting ``Health, the 
        Under Secretary for Benefits, and the Under Secretary for 
        Veterans Economic Opportunity'';
            (8) in section 709(c)(2)(A), by inserting after ``Under 
        Secretary for Benefits,'' the following: ``the Under Secretary 
        for Veterans Economic Opportunity,''.
            (9) in section 7701(a), by inserting after ``assistance'' 
        the following: ``, other than assistance related to economic 
        opportunity,''; and
            (10) in section 7703, by striking paragraphs (2) and (3) 
        and redesignating paragraphs (4) and (5) as paragraphs (2) and 
        (3), respectively.
    (c) Full-Time Employees.--For fiscal years 2014 and 2015, the 
aggregate number of full-time equivalent employees authorized for the 
Veterans Benefit Administration and the Veterans Economic Opportunity 
Administration, as established under chapter 80 of title 38, United 
States Code, as added by section 2, may not exceed 20,851.
    (d) Effective Date.--Section 306A of title 38, United States Code, 
as added by subsection (a), and the amendments made by this section, 
shall take effect on October 1, 2014.

SEC. 6. FIVE-YEAR EXTENSION OF HOMELESS VETERANS REINTEGRATION 
              PROGRAMS.

    Section 2021(e)(F) of title 38, United States Code, is amended by 
striking ``2013'' and inserting ``2018''.

SEC. 7. ENTITLEMENT OF CHILDREN OF CERTAIN DECEASED VETERANS TO 
              EDUCATIONAL ASSISTANCE UNDER THE POST-9/11 EDUCATIONAL 
              ASSISTANCE PROGRAM OF THE DEPARTMENT OF VETERANS AFFAIRS.

    (a) In General.--Section 3311(b)(9) is amended--
            (1) by striking ``2001, dies in line of duty while serving 
        on active duty as a member of the Armed Forces.'' and inserting 
        ``2001--''; and
            (2) by adding at the end the following new subparagraphs:
                    ``(A) dies in line of duty while serving on active 
                duty as a member of the Armed Forces; or
                    ``(B) is awarded the Purple Heart for an injury and 
                dies as a result of that injury during the 31-day 
                period beginning on the date of the person's discharge 
                or release from active duty service in the Armed 
                Forces.''.
    (b) Applicability.--The amendments made by subsection (a) shall 
apply with respect to a person who dies on or after September 11, 2001.
    (c) Effective Date.--The amendments made by subsection (a) shall 
take effect on October 1, 2014, and apply to payments of educational 
assistance for programs of education pursued after that date.

SEC. 8. RECODIFICATION AND IMPROVEMENT OF ELECTION PROCESS FOR POST-9/
              11 EDUCATIONAL ASSISTANCE PROGRAM.

    (a) In General.--Subchapter III of chapter 33 is amended by adding 
at the end the following new section:
``Sec. 3326. Election to receive educational assistance
    ``(a) Individuals Eligible To Elect Participation in Post-9/11 
Educational Assistance.--An individual may elect to receive educational 
assistance under this chapter if such individual--
            ``(1) as of August 1, 2009--
                    ``(A) is entitled to basic educational assistance 
                under chapter 30 of the title and has used, but retains 
                unused, entitlement under that chapter;
                    ``(B) is entitled to educational assistance under 
                chapter 107, 1606, or 1607 of title 10 and has used, 
                but retains unused, entitlement under the applicable 
                chapter;
                    ``(C) is entitled to basic educational assistance 
                under chapter 30 of this title but has not used any 
                entitlement under that chapter;
                    ``(D) is entitled to educational assistance under 
                chapter 107, 1606, or 1607 of title 10 but has not used 
                any entitlement under such chapter;
                    ``(E) is a member of the Armed Forces who is 
                eligible for receipt of basic educational assistance 
                under chapter 30 this title and is making contributions 
                toward such assistance under section 3011(b) or 3012(c) 
                of this title; or
                    ``(F) is a member of the Armed Forces who is not 
                entitled to basic educational assistance under chapter 
                30 of this title by reason of an election under section 
                3011(c)(1) or 3012(d)(1) of this title; and
            ``(2) as of the date of the individual's election under 
        this paragraph, meets the requirements for entitlement to 
        educational assistance under this chapter.
    ``(b) Cessation of Contributions Toward GI Bill.--Effective as of 
the first month beginning on or after the date of an election under 
subsection (a) of an individual described by paragraph (1)(E) of that 
subsection, the obligation of the individual to make contributions 
under section 3011(b) or 3012(c) of this title, as applicable, shall 
cease, and the requirements of such section shall be deemed to be no 
longer applicable to the individual.
    ``(c) Revocation of Remaining Transferred Entitlement.--
            ``(1) Election to revoke.--If, on the date an individual 
        described in paragraph (1)(A) or (1)(C) of subsection (a) makes 
        an election under that subsection, a transfer of the 
        entitlement of the individual to basic educational assistance 
        under section 3020 of this title is in effect and a number of 
        months of the entitlement so transferred remain unutilized, the 
        individual may elect to revoke all or a portion of the 
        entitlement so transferred that remains unutilized.
            ``(2) Availability of revoked entitlement.--Any entitlement 
        revoked by an individual under this paragraph shall no longer 
        be available to the dependent to whom transferred, but shall be 
        available to the individual instead for educational assistance 
        under chapter 33 of this title in accordance with the 
        provisions of this section.
            ``(3) Availability of unrevoked entitlement.--Any 
        entitlement described in paragraph (1) that is not revoked by 
        an individual in accordance with that paragraph shall remain 
        available to the dependent or dependents concerned in 
        accordance with the current transfer of such entitlement under 
        section 3020 of this title.
    ``(d) Post-9/11 Educational Assistance.--
            ``(1) In general.--Subject to paragraph (2) and except as 
        provided in subsection (e), an individual making an election 
        under subsection (a) shall be entitled to educational 
        assistance under this chapter in accordance with the provisions 
        of this chapter, instead of basic educational assistance under 
        chapter 30 this title, or educational assistance under chapter 
        107, 1606, or 1607 of title 10, as applicable.
            ``(2) Limitation on entitlement for certain individuals.--
        In the case of an individual making an election under 
        subsection (a) who is described by paragraph (1)(A) of that 
        subsection, the number of months of entitlement of the 
        individual to educational assistance under this chapter 33 
        shall be the number of months equal to--
                    ``(A) the number of months of unused entitlement of 
                the individual under chapter 30 of this title, as of 
                the date of the election, plus
                    ``(B) the number of months, if any, of entitlement 
                revoked by the individual under subsection (c)(1).
    ``(e) Continuing Entitlement to Educational Assistance Not 
Available Under 9/11 Assistance Program.--
            ``(1) In general.--In the event educational assistance to 
        which an individual making an election under subsection (a) 
        would be entitled under chapter 30 of this title, or chapter 
        107, 1606, or 1607 of title 10, as applicable, is not 
        authorized to be available to the individual under the 
        provisions of this chapter the individual shall remain entitled 
        to such educational assistance in accordance with the 
        provisions of the applicable chapter.
            ``(2) Charge for use of entitlement.--The utilization by an 
        individual of entitlement under paragraph (1) shall be 
        chargeable against the entitlement of the individual to 
        educational assistance under this chapter at the rate of one 
        month of entitlement under this chapter for each month of 
        entitlement utilized by the individual under paragraph (1) (as 
        determined as if such entitlement were utilized under the 
        provisions of chapter 30 of this title, or chapter 107, 1606, 
        or 1607 of title 10, as applicable).
    ``(f) Additional Post-9/11 Assistance for Members Having Made 
Contributions Toward GI Bill.--
            ``(1) Additional assistance.--In the case of an individual 
        making an election under subsection (a) who is described by 
        subparagraph (A), (C), or (E) of paragraph (1) of that 
        subsection, the amount of educational assistance payable to the 
        individual under this chapter 33 as a monthly stipend payable 
        under paragraph (1)(B) of section 3313(c) of this title, or 
        under paragraphs (2) through (7) of that section (as 
        applicable), shall be the amount otherwise payable as a monthly 
        stipend under the applicable paragraph increased by the amount 
        equal to--
                    ``(A) the total amount of contributions toward 
                basic educational assistance made by the individual 
                under section 3011(b) or 3012(c) of this title, as of 
                the date of the election, multiplied by
                    ``(B) the fraction--
                            ``(i) the numerator of which is--
                                    ``(I) the number of months of 
                                entitlement to basic educational 
                                assistance under chapter 30 of this 
                                title remaining to the individual at 
                                the time of the election; plus
                                    ``(II) the number of months, if 
                                any, of entitlement under such chapter 
                                30 revoked by the individual under 
                                subsection (c)(1); and
                            ``(ii) the denominator of which is 36 
                        months.
            ``(2) Months of remaining entitlement for certain 
        individuals.--In the case of an individual covered by paragraph 
        (1) who is described by subsection (a)(1)(E), the number of 
        months of entitlement to basic educational assistance remaining 
        to the individual for purposes of paragraph (1)(B)(i)(II) shall 
        be 36 months.
            ``(3) Timing of payment.--The amount payable with respect 
        to an individual under paragraph (1) shall be paid to the 
        individual together with the last payment of the monthly 
        stipend payable to the individual under paragraph (1)(B) of 
        section 3313(c) of this title, or under subsections (b) through 
        (g) of that section (as applicable), before the exhaustion of 
        the individual's entitlement to educational assistance under 
        this chapter.
    ``(g) Continuing Entitlement to Additional Assistance for Critical 
Skills or Speciality and Additional Service.--An individual making an 
election under subsection (a)(1) who, at the time of the election, is 
entitled to increased educational assistance under section 3015(d) of 
this title, or section 16131(i) of title 10, or supplemental 
educational assistance under subchapter III of chapter 30 of this 
title, shall remain entitled to such increased educational assistance 
or supplemental educational assistance in the utilization of 
entitlement to educational assistance under this chapter, in an amount 
equal to the quarter, semester, or term, as applicable, equivalent of 
the monthly amount of such increased educational assistance or 
supplemental educational assistance payable with respect to the 
individual at the time of the election.
    ``(h) Alternative Election by Secretary.--
            ``(1) In general.--In the case of an individual who, on or 
        after October 1, 2014, submits to the Secretary an election 
        under this section that the Secretary determines is clearly 
        against the interests of the individual, the Secretary may make 
        an alternative election on behalf of the individual that the 
        Secretary determines is in the best interests of the 
        individual.
            ``(2) Notice.--If the Secretary makes an election on behalf 
        of an individual under this subsection, the Secretary shall 
        notify the individual by not later than seven days after making 
        such election and shall provide the individual with a 30-day 
        period, beginning on the date of the individual's receipt of 
        such notice, during which the individual may modify or revoke 
        the election made by the Secretary on the individual's behalf. 
        The Secretary shall include, as part of such notice, a clear 
        statement of why the alternative election made by the Secretary 
        is in the best interests of the individual as compared to the 
        election submitted by the individual. The Secretary shall 
        provide the notice required under this paragraph by electronic 
        means whenever possible.
    ``(i) Irrevocability of Elections.--An election under subsection 
(a) or (c)(1) is irrevocable.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``3326. Election to receive educational assistance.''.
    (c) Conforming Repeal.--Subsection (c) of section 5003 of the Post-
9/11 Veterans Educational Assistance Act of 2008 (Public Law 110-252; 
38 U.S.C. 3301 note) is hereby repealed.

SEC. 9. CENTRALIZED REPORTING OF VETERAN ENROLLMENT BY CERTAIN GROUPS, 
              DISTRICTS, AND CONSORTIUMS OF EDUCATIONAL INSTITUTIONS.

    (a) In General.--Section 3684(a) is amended--
            (1) in paragraph (1), by inserting ``32, 33,'' after 
        ``31,''; and
            (2) by adding at the end the following new paragraph:
    ``(4) For purposes of this subsection, the term `educational 
institution' may include a group, district, or consortium of separately 
accredited educational institutions located in the same State that are 
organized in a manner that facilitates the centralized reporting of the 
enrollments in such group, district, or consortium of institutions.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to reports submitted on or after the date of the 
enactment of this Act.

SEC. 10. EXTENSION OF LOAN GUARANTY FEE FOR CERTAIN SUBSEQUENT LOANS.

    (a) Extension.--Section 3729(b)(2)(B) is amended--
            (1) in clause (i), by striking ``October 1, 2017'' and 
        inserting ``October 1, 2018''; and
            (2) in clause (ii), by striking ``October 1, 2017'' and 
        inserting ``October 1, 2018''.

SEC. 11. MORTGAGE PROTECTION FOR MEMBERS OF THE ARMED FORCES, SURVIVING 
              SPOUSES, AND CERTAIN VETERANS.

    (a) Members of the Armed Forces, Surviving Spouses, and Certain 
Disabled Veterans.--
            (1) In general.--Title III of the Servicemembers Civil 
        Relief Act (50 U.S.C. App. 501 et seq.) is amended by inserting 
        after section 303 the following new section:

``SEC. 303A. MORTGAGES AND TRUST DEEDS OF CERTAIN SERVICEMEMBERS, 
              SURVIVING SPOUSES, AND DISABLED VETERANS.

    ``(a) Mortgage as Security.--This section applies only to an 
obligation on real or personal property owned by a covered individual 
that--
            ``(1) originated at any time and for which the covered 
        individual is still obligated; and
            ``(2) is secured by a mortgage, trust deed, or other 
        security in the nature of a mortgage.
    ``(b) Stay of Proceedings.--
            ``(1) In general.--In accordance with subsection (d)(1), in 
        a judicial action pending or in a nonjudicial action commenced 
        during a covered time period to enforce an obligation described 
        in subsection (a), a court--
                    ``(A) may, after a hearing and on its own motion, 
                stay the proceedings until the end of the covered time 
                period; and
                    ``(B) shall, upon application by a covered 
                individual, stay the proceedings until the end of the 
                covered time period.
            ``(2) Obligation to stop proceedings.--Upon receipt of 
        notice provided under subsection (d)(1), a mortgagee, trustee, 
        or other creditor seeking to foreclose on real property secured 
        by an obligation covered by this section using any judicial or 
        nonjudicial proceedings shall immediately stop any such 
        proceeding until the end of the covered time period.
    ``(c) Sale or Foreclosure.--A sale, judicial or nonjudicial 
foreclosure, or seizure of property for a breach of an obligation 
described in subsection (a) that is not stayed under subsection (b) 
shall not be valid during a covered time period except--
            ``(1) upon a court order granted before such sale, judicial 
        or nonjudicial foreclosure, or seizure with a return made and 
        approved by the court; or
            ``(2) if made pursuant to an agreement as provided in 
        section 107.
    ``(d) Notice Required.--
            ``(1) In general.--To be covered under this section, a 
        covered individual shall provide to the mortgagee, trustee, or 
        other creditor written notice that such individual is so 
        covered.
            ``(2) Manner.--Written notice under paragraph (1) may be 
        provided electronically.
            ``(3) Time.--Notice provided under paragraph (1) shall be 
        provided during the covered time period.
            ``(4) Contents.--With respect to a servicemember described 
        in subsection (g)(1)(A), notice shall include--
                    ``(A) a copy of the servicemember's official 
                military orders, or any notification, certification, or 
                verification from a servicemember's commanding officer 
                that provides evidence of servicemember's eligibility 
                for special pay as described in subsection (g)(1)(A); 
                or
                    ``(B) an official notice using a form designed 
                under paragraph (5).
            ``(5) Official forms.--
                    ``(A) In general.--The Secretary of Defense shall 
                design and distribute an official Department of Defense 
                form that can be used by an individual to give notice 
                under paragraph (1).
                    ``(B) Use of official form not required.--Failure 
                by any individual to use a form designed or distributed 
                under subparagraph (A) to provide notice shall not make 
                such provision of notice invalid.
    ``(e) Aggregate Duration.--The aggregate duration for which a 
covered individual (except a servicemember described in subsection 
(g)(1)(A)) may be covered under this section is one year.
    ``(f) Misdemeanor.--A person who knowingly makes or causes to be 
made a sale, foreclosure, or seizure of property that is prohibited by 
subsection (c), or who knowingly attempts to do so, shall be fined as 
provided in title 18, United States Code, or imprisoned for not more 
than one year, or both.
    ``(g) Definitions.--In this section:
            ``(1) Covered individual.--The term `covered individual' 
        means the following individuals:
                    ``(A) A servicemember who is or was eligible for 
                hostile fire or imminent danger special pay under 
                section 310 of title 37, United States Code, during a 
                period of military service.
                    ``(B) A servicemember placed on convalescent 
                status, including a servicemember transferred to the 
                temporary disability retired list under section 1202 or 
                1205 of title 10, United States Code.
                    ``(C) A veteran who was medically discharged and 
                retired under chapter 61 of title 10, United States 
                Code, except for a veteran described in section 1207 of 
                such title.
                    ``(D) A surviving spouse (as defined in section 
                101(3) of title 38, United States Code, and in 
                accordance with section 103 of such title) of a 
                servicemember who died while in military service if 
                such spouse is the successor in interest to property 
                covered under subsection (a).
            ``(2) Covered time period.--The term `covered time period' 
        means the following time periods:
                    ``(A) With respect to a servicemember who is or was 
                eligible for hostile fire or imminent danger special 
                pay under section 310 of title 37, United States Code, 
                during a period of military service, during the period 
                beginning on the first day on which the servicemember 
                is or was eligible for such special pay during such 
                period of military service and ending on the date that 
                is one year after the last day of such period of 
                military service.
                    ``(B) With respect to a servicemember described in 
                paragraph (1)(B), during the one-year period beginning 
                on the date on which the servicemember is placed on 
                convalescent status or transferred to the temporary 
                disability retired list under section 1202 or 1205 of 
                title 10, United States Code.
                    ``(C) With respect to a veteran described in 
                paragraph (1)(C), during the one-year period beginning 
                on the date of the retirement of such veteran.
                    ``(D) With respect to a surviving spouse of a 
                servicemember as described in paragraph (1)(D), during 
                the one-year period beginning on the date on which the 
                spouse receives notice of the death of the 
                servicemember.''.
            (2) Clerical amendment.--The table of contents in section 
        1(b) of such Act is amended by inserting after the item 
        relating to section 303 the following new item:

``Sec. 303A. Mortgages and trust deeds of certain servicemembers, 
                            surviving spouses, and disabled 
                            veterans.''.
            (3) Conforming amendment.--Section 107 of the 
        Servicemembers Civil Relief Act (50 U.S.C. App. 517) is amended 
        by adding at the end the following:
    ``(e) Other Individuals.--For purposes of this section, the term 
`servicemember' includes any covered individual under section 303A.''.
    (b) Increased Civil Penalties for Mortgage Violations.--Paragraph 
(3) of section 801(b) of the Servicemembers Civil Relief Act (50 U.S.C. 
App. 597(b)(3)) is amended to read as follows:
            ``(3) to vindicate the public interest, assess a civil 
        penalty--
                    ``(A) with respect to a violation of section 207, 
                303, or 303A regarding real property--
                            ``(i) in an amount not exceeding $110,000 
                        for a first violation; and
                            ``(ii) in an amount not exceeding $220,000 
                        for any subsequent violation; and
                    ``(B) with respect to any other violation of this 
                Act--
                            ``(i) in an amount not exceeding $55,000 
                        for a first violation; and
                            ``(ii) in an amount not exceeding $110,000 
                        for any subsequent violation.''.
    (c) Credit Discrimination.--Section 108 of such Act (50 U.S.C. App. 
518) is amended--
            (1) by striking ``Application by'' and inserting ``(a) 
        Application or Receipt.--Application by''; and
            (2) by adding at the end the following new subsection:
    ``(b) Eligibility.--In addition to the protections under subsection 
(a), an individual who is entitled to any right or protection provided 
under this Act may not be denied or refused credit or be subject to any 
other action described under paragraphs (1) through (6) of subsection 
(a) solely by reason of such entitlement.''.
    (d) Effective Date.--Section 303A of the Servicemembers Civil 
Relief Act, as added by subsection (a), and the amendments made by this 
section, shall take effect on October 1, 2014.

SEC. 12. TREATMENT OF RELOCATION FOR ACTIVE DUTY FOR PURPOSES OF 
              MORTGAGE REFINANCING.

    (a) In General.--Title III of the Servicemembers Civil Relief Act 
(50 U.S.C. App. 531 et seq.) is amended by inserting after section 
303A, as added by section 11(a)(1), the following new section:

``SEC. 303B. TREATMENT OF RELOCATION FOR ACTIVE DUTY FOR PURPOSES OF 
              MORTGAGE REFINANCING.

    ``(a) Treatment of Absence From Residence Due to Active Duty.--
            ``(1) In general.--Subject to paragraph (2), if, at any 
        time that a servicemember who is the mortgagor under an 
        existing mortgage does not reside in the residence that secures 
        the existing mortgage because of relocation described in 
        subsection (c)(1)(B), such servicemember inquires about or 
        applies for a covered refinancing mortgage, such servicemember 
        shall be, for all purposes relating to the covered refinancing 
        mortgage, including such inquiry or application and eligibility 
        for and compliance with any underwriting criteria and standards 
        regarding such covered refinancing mortgage, considered to 
        occupy the residence that secures the existing mortgage to be 
        paid or prepaid by such covered refinancing mortgage as the 
        principal residence of the servicemember during the period of 
        any such relocation.
            ``(2) Limitation.--Paragraph (1) shall not apply with 
        respect to a servicemember at any time if, during the five-year 
        period preceding such time, the servicemember entered into a 
        covered refinancing mortgage pursuant to this section.
    ``(b) Mortgages Originated Before Period Military Service.--If a 
covered refinancing mortgage is entered into pursuant to this section 
with respect to an existing mortgage that originated before the period 
of the servicemember's military service, such covered refinancing 
mortgage shall be deemed to be an obligation that originated before the 
period of the servicemember's military service and for which the 
servicemember is still obligated for purposes of section 303(a)(1).
    ``(c) Definitions.--In this section:
            ``(1) Existing mortgage.--The term `existing mortgage' 
        means a mortgage that is secured by a 1- to 4-family residence, 
        including a condominium or a share in a cooperative ownership 
        housing association, that was the principal residence of a 
        servicemember for a period that--
                    ``(A) had a duration of 13 consecutive months or 
                longer; and
                    ``(B) ended upon the relocation of the 
                servicemember caused by the servicemember receiving 
                military orders for a permanent change of station or to 
                deploy with a military unit, or as an individual in 
                support of a military operation, for a period of not 
                less than 90 days that did not allow the servicemember 
                to continue to occupy such residence as a principal 
                residence.
            ``(2) Covered refinancing mortgage.--The term `covered 
        refinancing mortgage' means any mortgage--
                    ``(A) that is made for the purpose of paying or 
                prepaying, and extinguishing, the outstanding 
                obligations under an existing mortgage or mortgages; 
                and
                    ``(B) that is secured by the same residence that 
                secured such existing mortgage or mortgages.''.
    (b) Clerical Amendment.--The table of contents for such Act is 
amended by inserting after the item relating to section 303A the 
following new item:

``Sec. 303B. Treatment of relocation for active duty for purposes of 
                            mortgage refinancing.''.
    (c) Effective Date.--Section 303B of the Servicemembers Civil 
Relief Act, as added by subsection (a), and the amendments made by this 
section, shall take effect on October 1, 2014.

SEC. 13. REQUIREMENTS FOR LENDING INSTITUTIONS THAT ARE CREDITORS FOR 
              OBLIGATIONS AND LIABILITIES COVERED BY THE SERVICEMEMBERS 
              CIVIL RELIEF ACT.

    Section 207 of the Servicemembers Civil Relief Act (50 U.S.C. App. 
527) is amended--
            (1) by redesignating subsections (d) and (e) as subsections 
        (e) and (f), respectively; and
            (2) by inserting after subsection (c) the following new 
        subsection (d):
    ``(d) Lending Institution Requirements.--
            ``(1) Compliance officers.--Each lending institution 
        subject to the requirements of this section shall designate an 
        employee of the institution as a compliance officer who is 
        responsible for ensuring the institution's compliance with this 
        section and for distributing information to servicemembers 
        whose obligations and liabilities are covered by this section.
            ``(2) Toll-free telephone number.--During any fiscal year, 
        a lending institution subject to the requirements of this 
        section that had annual assets for the preceding fiscal year of 
        $10,000,000,000 or more shall maintain a toll-free telephone 
        number and shall make such telephone number available on the 
        primary Internet website of the institution.''.

SEC. 14. PROTECTION OF CHILD CUSTODY ARRANGEMENTS FOR PARENTS WHO ARE 
              MEMBERS OF THE ARMED FORCES.

    (a) Child Custody Protection.--Title II of the Servicemembers Civil 
Relief Act (50 U.S.C. App. 521 et seq.) is amended by adding at the end 
the following new section:

``SEC. 208. CHILD CUSTODY PROTECTION.

    ``(a) Restriction on Temporary Custody Order.--If a court renders a 
temporary order for custodial responsibility for a child based solely 
on a deployment or anticipated deployment of a parent who is a 
servicemember, then the court shall require that, upon the return of 
the servicemember from deployment, the custody order that was in effect 
immediately preceding the temporary order shall be reinstated, unless 
the court finds that such a reinstatement is not in the best interest 
of the child, except that any such finding shall be subject to 
subsection (b).
    ``(b) Limitation on Consideration of Member's Deployment in 
Determination of Child's Best Interest.--If a motion or a petition is 
filed seeking a permanent order to modify the custody of the child of a 
servicemember, no court may consider the absence of the servicemember 
by reason of deployment, or the possibility of deployment, as the sole 
factor in determining the best interest of the child.
    ``(c) No Federal Jurisdiction or Right of Action or Removal.--
Nothing in this section shall create a Federal right of action or 
otherwise give rise to Federal jurisdiction or create a right of 
removal.
    ``(d) Preemption.--In any case where State law applicable to a 
child custody proceeding involving a temporary order as contemplated in 
this section provides a higher standard of protection to the rights of 
the parent who is a deploying servicemember than the rights provided 
under this section with respect to such temporary order, the 
appropriate court shall apply the higher State standard.
    ``(e) Deployment Defined.--In this section, the term `deployment' 
means the movement or mobilization of a servicemember to a location for 
a period of longer than 60 days and not longer than 540 days pursuant 
to temporary or permanent official orders--
            ``(1) that are designated as unaccompanied;
            ``(2) for which dependent travel is not authorized; or
            ``(3) that otherwise do not permit the movement of family 
        members to that location.''.
    (b) Clerical Amendment.--The table of contents in section 1(b) of 
such Act is amended by adding at the end of the items relating to title 
II the following new item:

``208. Child custody protection.''.

            Passed the House of Representatives October 28, 2013.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.
```