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[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1336 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 1336

To amend title 38, United States Code, to make certain improvements in 
the basic educational assistance program administered by the Secretary 
              of Veterans Affairs, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             March 5, 2009

   Ms. Herseth Sandlin (for herself and Mr. Boozman) introduced the 
   following bill; which was referred to the Committee on Veterans' 
  Affairs, and in addition to the Committee on Armed Services, for a 
 period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL

 
To amend title 38, United States Code, to make certain improvements in 
the basic educational assistance program administered by the Secretary 
              of Veterans Affairs, 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.

    This Act may be cited as the ``Veterans Education Improvement Act 
of 2009''.

SEC. 2. USE OF EDUCATIONAL ASSISTANCE FOR BUSINESS COURSES AND 
              SEMINARS.

    (a) In General.--The Secretary of Veterans Affairs shall ensure 
that individuals entitled to educational assistance under laws 
administered by the Secretary are entitled to use such assistance for 
business courses and seminars, if such courses or seminars are related 
to the operation of a business, and for continuing education courses. 
The Secretary shall treat the courses referred to in the preceding 
sentence in a similar manner as licensing and certification courses.
    (b) Effective Date.--Subsection (a) shall take effect on September 
1, 2010.

SEC. 3. USE OF EDUCATIONAL ASSISTANCE FOR COURSES TAKEN TO PREPARE FOR 
              LICENSING OR CERTIFICATION TESTS.

    (a) Basic Educational Assistance.--Section 3452(b) of title 38, 
United States Code, is amended by inserting after the fourth sentence 
the following new sentence: ``Such term also includes preparatory 
courses for licensing or certification tests described in the preceding 
sentence, as designated by the Secretary.''.
    (b) Survivors' and Dependents' Educational Assistance.--Section 
3501(a)(5) of title 38, United States Code, is amended by inserting 
after the second sentence the following new sentence: ``Such term also 
includes preparatory courses for licensing or certification tests 
described in the preceding sentence, as designated by the Secretary.''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on September 1, 2010.

SEC. 4. USE OF EDUCATIONAL ASSISTANCE TO REPAY FEDERAL STUDENT LOANS.

    (a) Montgomery GI Bill.--
            (1) In general.--Subchapter II of chapter 30 of title 38, 
        United States Code, is amended by inserting after section 3020 
        the following new section:
``Sec. 3020A. Use of educational assistance benefits for the repayment 
              of Federal student loans for certain courses of education
    ``(a) Use of Benefits.--Notwithstanding any other provision of this 
chapter, and subject to subsections (b) through (e), an individual who 
is serving on active duty and who is entitled to educational assistance 
under this subchapter may apply amounts of such educational assistance 
otherwise available to the individual to repay some or all of any 
Federal student loan balance owed by the individual for a course of 
education pursued by the individual.
    ``(b) Limitations on Payments.--(1) The amount of an individual's 
entitlement to educational assistance that the individual may apply to 
the repayment of a student loan balance under subsection (a) may not 
exceed $7,000 in any 12-month period.
    ``(2) In no event shall payment of educational assistance under 
this section exceed the amount of the individual's available 
entitlement under this chapter.
    ``(3) An individual entitled to educational assistance under this 
subchapter may not apply such educational assistance to any of the 
following:
            ``(A) A loan made to the parents of a dependent student 
        under section 428B of the Higher Education Act of 1965.
            ``(B) A Federal Direct PLUS Loan made to the parents of a 
        dependent student.
            ``(C) A loan made under section 428C or 455(g) of such Act, 
        to the extent that such loan was used to repay--
                    ``(i) a loan made to the parent of a dependent 
                student under section 428B of such Act; or
                    ``(ii) a Federal Direct PLUS Loan made to the 
                parents of a dependent student.
    ``(c) Amount of Payments.--The Secretary shall make monthly 
payments under this section in such amounts as the individual may elect 
for the repayment of a Federal student loan of such an individual.
    ``(d) Arrangements To Make Payments.--The Secretary shall enter 
into such arrangements, and shall prescribe such regulations, as may be 
necessary to carry out this section.
    ``(e) Federal Student Loan Defined.--In this section, the term 
`Federal student loan' means any loan made under title IV of the Higher 
Education Act of 1965 (20 U.S.C. 1070 et seq.).''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of such chapter is amended by inserting after the 
        item relating to section 3020 the following new item:

``3020A. Use of educational assistance benefits for the repayment of 
                            Federal student loans for certain courses 
                            of education.''.
    (b) Post-9-11 Educational Assistance Program.--
            (1) In general.--Subchapter II of chapter 33 of title 38, 
        United States Code, is amended by inserting after section 3319 
        the following new section:
``Sec. 3320. Use of educational assistance benefits for the repayment 
              of Federal student loans for certain courses of education
    ``(a) Use of Benefits.--Notwithstanding any other provision of this 
chapter, and subject to subsections (b) through (e), an individual who 
is serving on active duty and who is entitled to educational assistance 
under this subchapter may apply amounts of such educational assistance 
otherwise available to the individual to repay some or all of any 
Federal student loan balance owed by the individual for a course of 
education pursued by the individual.
    ``(b) Limitations on Payments.--
            ``(1) Limitation on amount in any 12-month period.--The 
        amount of an individual's entitlement to educational assistance 
        that the individual may apply to the repayment of a student 
        loan balance under subsection (a) may not exceed $6,000 in any 
        12-month period.
            ``(2) Limitation on total amount.--In no event shall 
        payment of educational assistance under this section exceed the 
        amount of the individual's available entitlement under this 
        chapter.
            ``(3) Prohibition on use for certain loans.--An individual 
        entitled to educational assistance under this subchapter may 
        not apply such educational assistance to any of the following:
                    ``(A) A loan made to the parents of a dependent 
                student under section 428B of the Higher Education Act 
                of 1965.
                    ``(B) A Federal Direct PLUS Loan made to the 
                parents of a dependent student.
                    ``(C) A loan made under section 428C or 455(g) of 
                such Act, to the extent that such loan was used to 
                repay--
                            ``(i) a loan made to the parent of a 
                        dependent student under section 428B of such 
                        Act; or
                            ``(ii) a Federal Direct PLUS Loan made to 
                        the parents of a dependent student.
    ``(c) Amount of Payments.--The Secretary shall make monthly 
payments under this section in such amounts as the individual may elect 
for the repayment of a Federal student loan of such an individual.
    ``(d) Arrangements To Make Payments.--The Secretary shall enter 
into such arrangements, and shall prescribe such regulations, as may be 
necessary to carry out this section.
    ``(e) Federal Student Loan Defined.--In this section, the term 
`Federal student loan' means any loan made under title IV of the Higher 
Education Act of 1965 (20 U.S.C. 1070 et seq.).''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of such chapter is amended by inserting after the 
        item relating to section 3319 the following new item:

``3320. Use of educational assistance benefits for the repayment of 
                            Federal student loans for certain courses 
                            of education.''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to educational assistance paid for months beginning 
on or after September 1, 2010.

SEC. 5. OPPORTUNITY TO WITHDRAW ELECTION NOT TO ENROLL IN EDUCATIONAL 
              ASSISTANCE PROGRAM.

    (a) Basic Educational Assistance for Active Duty Service.--
            (1) Opportunity to withdraw.--Subsection (c) of section 
        3011 of title 38, United States Code, is amended by adding at 
        the end the following new paragraph:
    ``(4) An individual who makes an election not to receive 
educational assistance under paragraph (1) may withdraw that election 
at any time and, after making such withdrawal, shall be entitled to 
educational assistance under this chapter in the same manner as if the 
individual had never made that election, if, at the time the individual 
makes such withdrawal, the individual is serving on active duty as a 
member of the Armed Forces.''.
            (2) Conforming amendment.--Paragraph (1) of such subsection 
        is amended in the third sentence by striking ``Any individual'' 
        and inserting ``Except as provided in paragraph (4), any 
        individual''.
    (b) Basic Educational Assistance for Service in the Selected 
Reserve.--
            (1) Opportunity to withdraw.--Subsection (d) of section 
        3012 of title 38, United States Code, is amended by adding at 
        the end the following new paragraph:
    ``(4) An individual who makes an election not to receive 
educational assistance under paragraph (1) may withdraw that election 
at any time and, after making such withdrawal, shall be entitled to 
educational assistance under this chapter in the same manner as if the 
individual had never made that election, if, at the time the individual 
makes such withdrawal, the individual is serving on active duty as a 
member of the Armed Forces.''.
            (2) Conforming amendment.--Paragraph (1) of such subsection 
        is amended in the third sentence by striking ``Any individual'' 
        and inserting ``Except as provided in paragraph (4), any 
        individual''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on September 1, 2010, and shall apply with respect to 
an individual who is serving on active duty as a member of the Armed 
Forces on or after that date.

SEC. 6. EXTENSION OF INCREASE IN BENEFIT FOR CERTAIN INDIVIDUALS 
              PURSUING APPRENTICESHIPS OR ON-JOB TRAINING.

    (a) Members of the Selected Reserve.--Subsection (d) of section 103 
of the Veterans Earn and Learn Act of 2004 (Public Law 108-454; 38 
U.S.C. 3032 note) is amended by striking ``January 1, 2008'' and 
inserting ``January 1, 2014''.
    (b) Survivors and Dependents.--Subsection (c) of such section is 
amended by striking ``January 1, 2008'' and inserting ``January 1, 
2014''.
    (c) Certain Other Individuals.--Subsection (a) of such section is 
amended by striking ``January 1, 2008'' and inserting ``January 1, 
2014''.
    (d) Effective Date.--The amendments made by this section shall take 
effect on September 1, 2010.

SEC. 7. PROVISION OF BASIC EDUCATIONAL ASSISTANCE BENEFITS FOR VETERANS 
              DISCHARGED FROM ACTIVE DUTY WITH GENERAL DISCHARGE.

    (a) Montgomery GI Bill.--
            (1) Active duty service.--Section 3011(a)(3)(B) of title 
        38, United States Code, is amended by inserting ``or a general 
        discharge (under honorable conditions)'' before the period at 
        the end.
            (2) Service in selected reserve.--Section 3012(a)(3)(A) of 
        such title is amended by inserting ``or a general discharge 
        (under honorable conditions)'' before the semicolon.
    (b) Post-9-11 Educational Assistance Program.--Section 3311(c)(1) 
of such title is amended by inserting ``or a general discharge (under 
honorable conditions)'' before the period at the end.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall apply with respect to an individual who is discharged from 
service in the Armed Forces on or after September 1, 2010.

SEC. 8. INCREASE IN AMOUNT OF REPORTING FEE PAYABLE TO EDUCATIONAL 
              INSTITUTIONS THAT ENROLL VETERANS RECEIVING EDUCATIONAL 
              ASSISTANCE.

    (a) Increase in Amount of Fee.--Subsection (c) of section 3684 of 
title 38, United States Code, is amended--
            (1) by striking ``$7'' and inserting ``$21''; and
            (2) by striking ``$11'' and inserting ``$21''.
    (b) Technical Correction.--Subsection (a) of such section is 
amended by striking the second comma after ``34''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on September 1, 2010.

SEC. 9. PROVISION OF ADDITIONAL AREAS OF WORK-STUDY FOR VETERANS.

    (a) In General.--Subsection (a)(4) of section 3485 of title 38, 
United States Code, is amended by adding at the end the following new 
subparagraph:
            ``(G) The provision of placement services described in 
        section 3104(a)(5) of this title at an educational institution 
        carried out under the supervision of a Department employee.''.
    (b) Work Study for Students Enrolled on Half-Time Basis.--
Subsection (b) of such section is amended--
            (1) in the first sentence, by striking ``three-quarters'' 
        and inserting ``half''; and
            (2) in the third sentence, by striking ``three-quarter-
        time'' and inserting ``half-time''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to agreements entered into under section 3485 of 
title 38, United States Code, on or after September 1, 2010.

SEC. 10. 5-YEAR PILOT PROGRAM FOR ON-CAMPUS WORK-STUDY POSITIONS.

    (a) Establishment of Pilot Program.--Beginning not later than two 
years after the date of the enactment of this Act, the Secretary of 
Veterans Affairs shall conduct a five-year pilot project to test the 
feasibility and advisability of expanding the scope of qualifying work-
study activities under subsection (a)(4) of section 3485 of title 38, 
United States Code, including work-study positions available on site at 
educational institutions.
    (b) Type of Work-Study Positions.--The work-study positions 
referred to in subsection (a) may include positions in academic 
departments (including positions as tutors or research, teaching, and 
lab assistants) and in student services (including positions in career 
centers and financial aid, campus orientation, cashiers, admissions, 
records, and registration offices).
    (c) Regulations.--The Secretary shall prescribe regulations to 
carry out the pilot project under this section, including regulations 
providing for the supervision of work-study positions referred to in 
subsection (a) by appropriate personnel.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary $10,000,000 for each of the fiscal years 
during which the Secretary carries out the pilot project under this 
section.

SEC. 11. MODIFICATION OF ADVANCE PAYMENT OF INITIAL EDUCATIONAL 
              ASSISTANCE OR SUBSISTENCE ALLOWANCE.

    (a) Modification.--Section 3680(d)(2) of title 38, United States 
Code, is amended by inserting after the third sentence the following 
new sentence: ``For purposes of the entitlement to educational 
assistance of the veteran or person receiving an advance payment under 
this subsection, the advance payment shall be charged against the final 
month of the entitlement of the person or veteran and, if necessary, 
the penultimate such month. In no event may any veteran or person 
receive more than one advance payment under this subsection during any 
academic year.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to an advance payment of educational assistance made 
on or after September 1, 2010.

SEC. 12. CONSIDERATION OF ADDITIONAL CONTRIBUTIONS AND PAYMENTS IN 
              CALCULATING ENTITLEMENT CHARGE FOR CERTAIN PROGRAMS OF 
              EDUCATION.

    (a) Tuition Assistance.--Section 3014(b)(2)(C) of title 38, United 
States Code, is amended by striking ``or (e)(1) of section 3015 of this 
title,'' and inserting ``(e)(1), or (g) of section 3015 of this title, 
or section 16131(I) of title 10,''.
    (b) Flight Training.--Section 3032(e)(3) of such title is amended 
by striking ``or (e)(1) of section 3015 of this title,'' and inserting 
``(e)(1), or (g) of section 3015 of this title, or section 16131(I) of 
title 10,''.
    (c) Licensing and Certification Tests.--Section 3032(f)(2) of such 
title is amended by striking ``or (e)(1) of section 3015 of this 
title,'' and inserting ``(e)(1), or (g) of section 3015 of this title, 
or section 16131(I) of title 10,''.

SEC. 13. ACCELERATED PAYMENT OF EDUCATIONAL ASSISTANCE.

    (a) In General.--Chapter 33 of title 38, United States Code, as 
amended by section 4, is further amended by inserting after section 
3320, as added by section 4, the following new section:
``Sec. 3320A. Accelerated payment of educational assistance
    ``(a) Payment on Accelerated Basis.--The educational assistance 
allowance payable under this chapter with respect to an eligible person 
described in subsection (b) may, upon the election of such eligible 
person, be paid on an accelerated basis in accordance with this 
section.
    ``(b) Eligible Person.--An eligible person described in this 
subsection is a member of a reserve component entitled to educational 
assistance under this chapter who is--
            ``(1) enrolled in an approved program of education not 
        exceeding two years in duration and not leading to an 
        associate, bachelors, masters, or other degree, subject to 
        subsection (g); and
            ``(2) charged tuition and fees for the program of education 
        that, when divided by the number of months (and fractions 
        thereof) in the enrollment period, exceeds the amount equal to 
        200 percent of the monthly rate of educational assistance 
        allowance otherwise payable with respect to the person under 
        section 3313 of this title.
    ``(c) Amount of Accelerated Payment.--
            ``(1) Amount.--The amount of the accelerated payment of 
        educational assistance payable with respect to an eligible 
        person making an election under subsection (a) for a program of 
        education shall be the lesser of--
                    ``(A) the amount equal to 60 percent of the 
                established charges for the program of education; or
                    ``(B) the aggregate amount of educational 
                assistance allowance to which the person remains 
                entitled under this chapter at the time of the payment.
            ``(2) Established charges.--
                    ``(A) Definition.--In this subsection, except as 
                provided in subparagraph (B), the term `established 
                charges', in the case of a program of education, means 
                the actual charges (as determined pursuant to 
                regulations prescribed by the Secretary of Veterans 
                Affairs) for tuition and fees which similarly 
                circumstanced individuals who are not eligible for 
                benefits under this chapter and who are enrolled in the 
                program of education would be required to pay. 
                Established charges shall be determined on the 
                following basis:
                            ``(i) In the case of an individual enrolled 
                        in a program of education offered on a term, 
                        quarter, or semester basis, the tuition and 
                        fees charged the individual for the term, 
                        quarter, or semester.
                            ``(ii) In the case of an individual 
                        enrolled in a program of education not offered 
                        on a term, quarter, or semester basis, the 
                        tuition and fees charged the individual for the 
                        entire program of education.
            ``(B) Exception.--In this subsection, the term `established 
        charges' does not include any fees or payments attributable to 
        the purchase of a vehicle.
            ``(3) Certification by educational institution.--The 
        educational institution providing the program of education for 
        which an accelerated payment of educational assistance 
        allowance is elected by an eligible person under subsection (a) 
        shall certify to the Secretary of Veterans Affairs the amount 
        of the established charges for the program of education.
    ``(d) Time of Payment.--An accelerated payment of educational 
assistance allowance made with respect to an eligible person under this 
section for a program of education shall be made not later than the 
last day of the month immediately following the month in which the 
Secretary of Veterans Affairs receives a certification from the 
educational institution regarding--
            ``(1) the person's enrollment in and pursuit of the program 
        of education; and
            ``(2) the amount of the established charges for the program 
        of education.
    ``(e) Charge Against Entitlement.--For each accelerated payment of 
educational assistance allowance made with respect to an eligible 
person under this section, the person's entitlement to educational 
assistance under this chapter shall be charged the number of months 
(and any fraction thereof) determined by dividing the amount of the 
accelerated payment by the full-time monthly rate of educational 
assistance allowance otherwise payable with respect to the person under 
section 3313 of this title as of the beginning date of the enrollment 
period for the program of education for which the accelerated payment 
is made.
    ``(f) Regulations.--The Secretary shall prescribe regulations to 
carry out this section. The regulations shall include requirements, 
conditions, and methods for the request, issuance, delivery, 
certification of receipt and use, and recovery of overpayment of an 
accelerated payment of educational assistance allowance under this 
section. The regulations may include such elements of the regulations 
prescribed under section 3014A of this title as the Secretary of 
Veterans Affairs considers appropriate for purposes of this section.
    ``(g) Limitation.--The aggregate amount of educational assistance 
payable under this section in any fiscal year for enrollments covered 
by subsection (b)(1) may not exceed $3,000,000.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
3320 the following new item:

``3320A. Accelerated payment of educational assistance.''.
                                 <all>
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