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[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 644 Introduced in Senate (IS)]

110th CONGRESS
  1st Session
                                 S. 644

  To amend title 38, United States Code, to recodify as part of that 
   title certain educational assistance programs for members of the 
 reserve components of the Armed Forces, to improve such programs, and 
                          for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           February 15, 2007

  Mrs. Lincoln (for herself, Ms. Collins, Mr. Dorgan, Ms. Snowe, Mr. 
 Coleman, and Mr. Leahy) introduced the following bill; which was read 
         twice and referred to the Committee on Armed Services

_______________________________________________________________________

                                 A BILL

 
  To amend title 38, United States Code, to recodify as part of that 
   title certain educational assistance programs for members of the 
 reserve components of the Armed Forces, to improve such programs, 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 ``Total Force Educational Assistance 
Enhancement and Integration Act of 2007''.

SEC. 2. RECODIFICATION IN TITLE 38, UNITED STATES CODE, AND IMPROVEMENT 
              OF CERTAIN EDUCATIONAL ASSISTANCE PROGRAMS FOR MEMBERS OF 
              THE RESERVE COMPONENTS.

    (a) Purpose.--The purpose of this section is to recodify in title 
38, United States Code, the provisions of chapters 1606 and 1607 of 
title 10, United States Code, relating to educational assistance for 
members of the reserve components of the Armed Forces, and to make 
certain improvements in such provisions as so recodified.
    (b) Recodification and Improvement of Educational Assistance 
Programs.--
            (1) In general.--Part III of title 38, United States Code, 
        is amended by inserting after chapter 32 the following new 
        chapter:

    ``CHAPTER 33--EDUCATIONAL ASSISTANCE FOR MEMBERS OF THE RESERVE 
                               COMPONENTS

             ``subchapter i--members of the selected reserve

``Sec.
``3301. Educational assistance program: purpose.
``3302. Eligibility.
``3302A. Eligibility of individuals entitled to educational assistance 
                            under former chapter 1606 of title 10.
``3303. Amount.
``3304. Termination of assistance.
``3305. Failure to participate satisfactorily; penalties.
``3306. Reports to Congress.
   ``subchapter ii--reserve component members supporting contingency 
                operations and certain other operations

``3321. Purpose.
``3322. Educational assistance program.
``3323. Eligibility.
``3323A. Eligibility of individuals entitled to educational assistance 
                            under former chapter 1607 of title 10.
``3324. Amount.
``3325. Time limitation for use of entitlement.
``3326. Termination of assistance.
                ``subchapter iii--administrative matters

``3341. Administration of programs.
``3342. Funding.

            ``SUBCHAPTER I--MEMBERS OF THE SELECTED RESERVE

``Sec. 3301. Educational assistance program: purpose
    ``To encourage membership in units of the Selected Reserve of the 
Ready Reserve, the Secretary of Veterans Affairs, in consultation with 
the Secretary of Defense and the Secretary of Homeland Security, with 
respect to the Coast Guard when it is not operating as a service in the 
Navy, shall carry out under this subchapter a program to provide 
educational assistance to members of the Selected Reserve of the Ready 
Reserve of the Armed Forces who agree to remain members of the Selected 
Reserve for a period of not less than six years.
``Sec. 3302. Eligibility
    ``(a) In General.--A person is entitled to educational assistance 
under the program of educational assistance under this subchapter if 
the person--
            ``(1) after October 1, 2008--
                    ``(A) enlists, reenlists, or extends an enlistment 
                as a Reserve for service in the Selected Reserve for a 
                period of not less than six years; or
                    ``(B) is appointed as, or is serving as, a reserve 
                officer and agrees to serve in the Selected Reserve for 
                a period of not less than six years in addition to any 
                other period of obligated service in the Selected 
                Reserve to which the person may be subject; and
            ``(2) before applying for benefits under this subchapter, 
        has completed the requirements of a secondary school diploma 
        (or an equivalency certificate).
    ``(b) Completion of Active Duty for Training.--Educational 
assistance may not be provided to a member under this subchapter until 
the member has completed the initial period of active duty for training 
required of the member.
    ``(c) Notice on Entitlement.--(1) Each person who becomes entitled 
to educational assistance under subsection (a) shall at the time the 
person becomes so entitled be given a statement in writing summarizing 
the provisions of this subchapter and stating clearly and prominently 
the substance of sections 3304 and 3305 of this title as such sections 
may apply to the person.
    ``(2) In accordance with a memorandum of understanding entered into 
between the Secretary of Veterans Affairs and the Secretary of Defense, 
the Secretary of Defense shall transmit a notice of entitlement for 
each member so entitled to the Secretary of Veterans Affairs.
    ``(d) Inapplicability of Certain Duty Toward Entitlement.--A person 
may not receive credit under this subchapter for service (in any grade) 
on full-time active duty or full-time National Guard duty for the 
purpose of organizing, administering, recruiting, instructing, or 
training the reserve components in a position which is included in the 
end strength required to be authorized each year by section 
115(a)(1)(B) of title 10.
    ``(e) Bar to Duplication of Educational Assistance.--The provisions 
of section 3033(a) of this title, relating to a bar on duplication of 
receipt of certain educational assistance benefits, apply with respect 
to the receipt of educational assistance under this subchapter.
``Sec. 3302A. Eligibility of individuals entitled to educational 
              assistance under former chapter 1606 of title 10
    ``(a) In General.--Subject to the provisions of this section, any 
individual entitled to educational assistance under chapter 1606 of 
title 10 as of October 1, 2008, shall be entitled to educational 
assistance under this subchapter thereafter for the programs of 
education, in the amounts, and subject to the conditions and 
limitations provided in sections 3303 through 3305 of this title.
    ``(b) Limitation on Months of Entitlement.--The number of months of 
entitlement to educational assistance under this subchapter of an 
individual described in subsection (a) by reason of this section as of 
October 1, 2008, shall be equal to the number of months of entitlement 
of such individual to educational assistance under chapter 1606 of 
title 10 that remain unutilized by such individual as of that date.
    ``(c) Time Limitation for Use of Entitlement.--(1) Except as 
provided in paragraph (2), the provisions of section 16133 of title 10, 
as in effect on September 30, 2008, shall apply to the time for the use 
by an individual described in subsection (a) of entitlement to 
educational assistance under this subchapter by reason of this section.
    ``(2) Clause (1) of section 16133(a) of title 10, as in effect on 
September 30, 2008, shall not apply to the time for the use by an 
individual described in subsection (a) of entitlement to educational 
assistance under this subchapter by reason of this section.
``Sec. 3303. Amount
    ``(a) In General.--(1) Subject to the provisions of this section, 
the Secretary shall provide for payment to each person entitled to 
educational assistance under this subchapter who is pursuing a program 
of education described by subsection (b) of an educational assistance 
allowance at the following rates:
            ``(A) $309 (as increased from time to time under paragraphs 
        (2) and (3)) per month for each month of full-time pursuit of a 
        program of education.
            ``(B) $231 (as increased from time to time under paragraphs 
        (2) and (3)) per month for each month of three-quarter-time 
        pursuit of a program of education.
            ``(C) $153 (as increased from time to time under paragraphs 
        (2) and (3)) per month for each month of half-time pursuit of a 
        program of education.
            ``(D) $77.25 (as increased from time to time under 
        paragraphs (2) and (3)) per month for each month of less than 
        half-time pursuit of a program of education, except that no 
        payment may be made to a person for less than half-time pursuit 
        if tuition assistance is otherwise available to the person for 
        such pursuit from the military department concerned.
    ``(2) With respect to any fiscal year, the Secretary shall provide 
a percentage increase (rounded to the nearest dollar) in the rates 
payable under subparagraphs (A) through (D) of paragraph (1) equal to 
the percentage increase provided under subsection (h) of section 3015 
of this title to the rates payable under subsection (a) of that 
section.
    ``(3) In the event of any increase by law (other than an increase 
under paragraph (2)) in the rates of basic educational assistance 
payable under section 3015(a) of this title, effective for months 
beginning on or after the month in which such increase goes into effect 
the Secretary shall provide a percentage increase (rounded to the 
nearest dollar) in the rates payable under subparagraphs (A) through 
(D) of paragraph (1) equal to such percentage increase in such rates of 
basic educational assistance by law.
    ``(b) Authorized Education Programs.--Educational assistance may be 
provided under this subchapter for pursuit of any program of education 
that is an approved program of education for purposes of chapter 30 of 
this title.
    ``(c) Maximum Months of Assistance.--(1) Subject to section 3695 of 
this title, the maximum number of months of educational assistance that 
may be provided to any person under this subchapter is 36 (or the 
equivalent thereof in part-time educational assistance).
    ``(2)(A) Notwithstanding any other provision of this subchapter or 
chapter 36 of this title, any payment of an educational assistance 
allowance described in subparagraph (B) shall not--
            ``(i) be charged against the entitlement of a person under 
        this subchapter; or
            ``(ii) be counted toward the aggregate period for which 
        section 3695 of this title limits a person's receipt of 
        assistance.
    ``(B) The payment of an educational assistance allowance referred 
to in subparagraph (A) is the payment of such an allowance to a person 
for pursuit of a course or courses under this subchapter if the 
Secretary finds that the person--
            ``(i) had to discontinue such course pursuit as a result of 
        being ordered to serve on active duty under section 12301(a), 
        12301(d), 12301(g), 12302, or 12304 of title 10; and
            ``(ii) failed to receive credit or training time toward 
        completion of the person's approved educational, professional, 
        or vocational objective as a result of having to discontinue, 
        as described in clause (i), the person's course pursuit.
    ``(C) The period for which, by reason of this paragraph, an 
educational assistance allowance is not charged against entitlement or 
counted toward the applicable aggregate period under section 3695 of 
this title shall not exceed the portion of the period of enrollment in 
the course or courses for which the person involved failed to receive 
credit or with respect to which such person lost training time, as 
determined under subparagraph (B)(ii).
    ``(d) Apprenticeships; On-Job Training.--(1) Educational assistance 
is payable under this subchapter to a person entitled to educational 
assistance under this subchapter for pursuit of a full-time program of 
apprenticeship or other on-job training.
    ``(2)(A) For purposes of this subchapter, the rate of payment of 
educational assistance allowances, and the charge against entitlement 
for receipt of such allowances, under this subsection shall be governed 
by the provisions of section 3032(c) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a person entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the monthly educational assistance 
        allowance otherwise payable to such individual' shall be deemed 
        to be a reference to the monthly educational assistance 
        allowance otherwise payable to the person concerned under this 
        subchapter (including any such allowance under subsection (a) 
        and any such allowance under subsection (i)).
    ``(e) Correspondence Courses.--(1) Educational assistance is 
payable under this subchapter to a person entitled to educational 
assistance under this subchapter who enters into an agreement to 
pursue, and pursues, a program of education exclusively by 
correspondence.
    ``(2)(A) For purposes of this subchapter, the rate of payment of 
educational assistance allowances, and the charge against entitlement 
for receipt of such allowances, under this subsection shall be governed 
by the provisions of section 3032(d) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference `an individual' shall be deemed to be a 
        reference to a person entitled to educational assistance under 
        this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the amount of monthly assistance 
        the individual would otherwise be eligible to receive for full-
        time pursuit of an institutional course' shall be deemed to be 
        a reference to the monthly educational assistance allowance 
        otherwise payable to the person concerned under this subchapter 
        (including any such allowance under subsection (a) and any such 
        allowance under subsection (i)).
    ``(f) Flight Training.--(1) Educational assistance is payable under 
this subchapter to a person entitled to educational assistance under 
this subchapter for pursuit of a program of education consisting of 
exclusively of flight training approved under section 3034(d) of this 
title, subject to the conditions specified in paragraphs (2) and (4) of 
section 3032(e) of this title.
    ``(2)(A) For purposes of this subchapter, the rate of payment of 
educational assistance allowances, and the charge against entitlement 
for receipt of such allowances, under this subsection shall be governed 
by the provisions of section 3032(e) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a person entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the monthly rate of education 
        assistance which such individual would otherwise be paid' shall 
        be deemed to be a reference to the monthly amount of 
        educational assistance otherwise payable to the person 
        concerned under this subchapter (including any such allowance 
        under subsection (a) and any such allowance under subsection 
        (i)).
    ``(g) Licensing and Certification Tests.--(1) Educational 
assistance is payable under this subchapter to a person entitled to 
educational assistance under this subchapter for a licensing or 
certification test described in section 3452(b) of this title.
    ``(2)(A) For purposes of this subchapter, the amount payable for a 
licensing or certification test, the charge against entitlement for 
receipt of such payment, and the effect of expiration of entitlement on 
payments, under this subsection is governed by the provisions of 
section 3032(f) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a person entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the full-time monthly institutional 
        rate of educational assistance which such individual would 
        otherwise be paid' shall be deemed to a reference to the 
        monthly amount of educational assistance allowance otherwise 
        payable to the person concerned under this subchapter 
        (including any such allowance under subsection (a) and any such 
        allowance under subsection (i)).
    ``(h) Individualized Tutorial Assistance.--(1) A person entitled to 
educational assistance under this subchapter is entitled to 
individualized tutorial assistance in accordance with the provisions of 
section 3492 of this title, subject to the conditions applicable to an 
eligible veteran under that section.
    ``(2) The amount of individualized tutorial assistance provided 
under this subsection shall be governed by the provisions of section 
3019(b) of this title.
    ``(3)(A) For purposes of this subchapter, the charge against 
entitlement of individualized tutorial assistance received under this 
subsection shall be governed by the provisions of section 3019(c) of 
this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a person entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the amount of monthly assistance 
        which the individual is otherwise eligible to receive for full-
        time pursuit of an institutional course' shall be deemed to be 
        a reference to the monthly amount of educational assistance 
        allowance otherwise payable to the person concerned under this 
        subchapter (including any such allowance under subsection (a) 
        and any such allowance under subsection (i)).
    ``(i) Increased Rate of Assistance for Persons With Certain 
Skills.--(1) In the case of a person who has a skill or specialty 
designated by the Secretary of Defense as a skill or specialty in which 
there is a critical shortage of personnel or for which it is difficult 
to recruit or, in the case of critical units, retain personnel, the 
Secretary of Veterans Affairs may increase the rate of the educational 
assistance allowance applicable to that person to such rate in excess 
of the rate prescribed under subparagraphs (A) through (D) of 
subsection (a)(1) as the Secretary of Veterans Affairs and the 
Secretary of Defense jointly consider appropriate, but the amount of 
any such increase may not exceed $350 per month.
    ``(2) In the case of a person who has a skill or specialty 
designated by the Secretary of Defense as a skill or specialty in which 
there is a critical shortage of personnel or for which it is difficult 
to recruit or, in the case of critical units, retain personnel, who is 
eligible for educational benefits under chapter 30 (other than section 
3012) of this title and who meets the eligibility criteria specified in 
subparagraphs (A) and (B) of section 3302(a)(1) of this title, the 
Secretary of Veterans Affairs may increase the rate of the educational 
assistance allowance applicable to that person to such rate in excess 
of the rate prescribed under section 3015 of this title as the 
Secretary of Veterans Affairs and the Secretary of Defense jointly 
consider appropriate, but the amount of any such increase may not 
exceed $350 per month.
    ``(3) The authority provided by paragraphs (1) and (2) shall be 
exercised by the Secretary of Veterans Affairs under regulations 
prescribed jointly by the Secretary of Veterans Affairs and the 
Secretary of Defense.
    ``(j) Continuation of Entitlement During Quarter or Semester of 
Exhaustion.--The provisions of section 3031(f) of this title shall 
apply to the period of entitlement of a person to educational 
assistance under this subchapter.
``Sec. 3304. Termination of assistance
    ``Educational assistance may not be provided under this 
subchapter--
            ``(1) to a member receiving financial assistance under 
        section 2107 of title 10 as a member of the Senior Reserve 
        Officers' Training Corps program; or
            ``(2) to a member who fails to participate satisfactorily 
        in required training as a member of the Selected Reserve.
``Sec. 3305. Failure to participate satisfactorily; penalties
    ``(a) Penalties.--At the option of the Secretary of the military 
department concerned, a member of the Selected Reserve of an Armed 
Force who does not participate satisfactorily in required training as a 
member of the Selected Reserve during a term of enlistment or other 
period of obligated service that created entitlement of the member to 
educational assistance under this subchapter, and during which the 
member has received such assistance, may--
            ``(1) be ordered to active duty for a period of two years 
        or the period of obligated service the person has remaining 
        under section 3302 of this title, whichever is less; or
            ``(2) be subject to the repayment provisions under section 
        303a(e) of title 37.
    ``(b) Effect of Repayment.--Any repayment under section 303a(e) of 
title 37 shall not affect the period of obligation of a member to serve 
as a Reserve in the Selected Reserve.
``Sec. 3306. Reports to Congress
    ``(a) Biennial Reports.--(1) The Secretary shall submit to 
Congress, not later than March 1 of each odd-numbered year, a report on 
the operation of the educational assistance program carried out under 
this subchapter during the preceding two fiscal years.
    ``(2) Each report under paragraph (1) shall include the number of 
members of the Selected Reserve of the Ready Reserve of each Armed 
Force receiving, and the number of such members entitled to receive, 
educational assistance under this subchapter during each fiscal year 
covered by such report.
    ``(b) Modification of Report Frequency and Report Coverage.--The 
Secretary may submit the report otherwise required by subsection (a) 
more frequently than is otherwise required by that subsection and 
adjust the period covered by the report accordingly.

   ``SUBCHAPTER II--RESERVE COMPONENT MEMBERS SUPPORTING CONTINGENCY 
                OPERATIONS AND CERTAIN OTHER OPERATIONS

``Sec. 3321. Purpose
    ``The purpose of this subchapter is to provide educational 
assistance to members of the reserve components called or ordered to 
active service in response to a war or national emergency declared by 
the President or Congress, in recognition of the sacrifices that those 
members make in answering the call to duty.
``Sec. 3322. Educational assistance program
    ``The Secretary of Veterans Affairs, in consultation with the 
Secretary of Defense and the Secretary of Homeland Security with 
respect to the Coast Guard when it is not operating as a service in the 
Navy, shall carry out under this subchapter a program to provide 
educational assistance to members of the Ready Reserve of the Armed 
Forces for the purpose specified in section 3321 of this title.
``Sec. 3323. Eligibility
    ``(a) In General.--On or after October 1, 2008, a member of a 
reserve component is entitled to educational assistance under this 
subchapter if the member--
            ``(1) serves on active duty in support of a contingency 
        operation for 90 consecutive days or more; or
            ``(2) in the case of a member of the Army National Guard of 
        the United States or Air National Guard of the United States, 
        performs full time National Guard duty under section 502(f) of 
        title 32 for 90 consecutive days or more when authorized by the 
        President or Secretary of Defense for the purpose of responding 
        to a national emergency declared by the President and supported 
        by Federal funds.
    ``(b) Notice on Entitlement.--(1) Each member who becomes entitled 
to educational assistance under subsection (a) shall be given a 
statement in writing prior to release from active service that 
summarizes the provisions of this subchapter and states clearly and 
prominently the substance of sections 3325 and 3326 of this title as 
such sections may apply to the member.
    ``(2) In accordance with a memorandum of understanding entered into 
between the Secretary of Veterans Affairs and the Secretary of Defense, 
the Secretary of Defense shall transmit a notice of entitlement under 
subsection (a) for each member so entitled to the Secretary of Veterans 
Affairs.
    ``(c) Applicability of Certain Service Toward Eligibility.--A 
member who qualifies for educational assistance under this subchapter 
may not receive credit for service under both the program established 
by chapter 30 of this title and the program established by this 
subchapter, but shall make an irrevocable election (in such form and 
manner as the Secretary may prescribe) as to the program to which such 
service is to be credited.
    ``(d) Bar to Duplication of Educational Assistance.--(1) Except as 
provided in paragraph (2), the provisions of section 3033(a) of this 
title, relating to a bar on duplication of receipt of certain 
educational assistance benefits, apply with respect to the receipt of 
educational assistance under this subchapter.
    ``(2) Paragraph (1) does not apply with respect to the entitlement 
of a member to educational assistance under section 3303(i) of this 
title.
``Sec. 3323A. Eligibility of individuals entitled to educational 
              assistance under former chapter 1607 of title 10
    ``(a) In General.--Subject to the provisions of this section, any 
individual entitled to educational assistance under chapter 1607 of 
title 10 as of October 1, 2008, shall be entitled to educational 
assistance under this subchapter thereafter for the programs of 
education, in the amounts, and subject to the conditions and 
limitations provided in sections 3324 through 3326 of this title.
    ``(b) Limitation on Months of Entitlement.--The number of months of 
entitlement to educational assistance under this subchapter of an 
individual described in subsection (a) by reason of this section as of 
October 1, 2008, shall be equal to the number of months of entitlement 
of such individual to educational assistance under chapter 1607 of 
title 10 that remain unutilized by such individual as of that date.
    ``(c) Time Limitation for Use of Entitlement.--(1) Except as 
provided in paragraph (2), the provisions of section 16164 of title 10, 
as in effect on September 30, 2008, shall apply to the time for the use 
by an individual described in subsection (a) of entitlement to 
educational assistance under this subchapter by reason of this section.
    ``(2) The provisions of section 3325(a)(2) of this title shall 
apply to the duration of the entitlement of an individual described by 
subsection (a) to educational assistance under this subchapter by 
reason of this section.
``Sec. 3324. Amount
    ``(a) In General.--(1) The educational assistance program under 
this subchapter shall provide for payment by the Secretary of an 
educational assistance allowance to each member entitled to educational 
assistance under this subchapter--
            ``(A) if the member is pursuing a program of education 
        authorized under subsection (b) on a full-time basis, at the 
        monthly rate of--
                    ``(i) for months occurring during fiscal year 2009, 
                the monthly rate payable under section 3015(a)(1)(D) of 
                this title for that fiscal year; and
                    ``(ii) for months occurring during a subsequent 
                fiscal year, the amount for months occurring during the 
                previous fiscal year as increased under paragraph (2); 
                or
            ``(B) if the member is pursuing a program of education 
        authorized under subsection (b) on less than a full-time basis, 
        at an appropriately reduced monthly rate, as determined under 
        regulations prescribed by the Secretary.
    ``(2)(A) With respect to any fiscal year, the Secretary shall 
provide a percentage increase (rounded to the nearest dollar) in the 
rate payable under paragraph (1)(A) equal to the percentage by which--
            ``(i) the Consumer Price Index (all items, United States 
        city average) for the 12-month period ending on the June 30 
        preceding the beginning of the fiscal year for which the 
        increase is made, exceeds
            ``(ii) such Consumer Price Index for the 12-month period 
        preceding the 12-month period described in clause (i).
    ``(B) Any rounding under subparagraph (A) shall be subject to the 
provisions of section 3015(h)(2) of this title.
    ``(b) Authorized Education Programs.--Educational assistance may be 
provided under this subchapter for pursuit of any program of education 
that is an approved program of education for purposes of chapter 30 of 
this title.
    ``(c) Treatment of Certain Duty as Counting Toward Entitlement.--
Any month of active duty, or full time National Guard duty, served by a 
member that contributes under section 3323(a) of this title to the 
entitlement of the member to educational assistance under this 
subchapter shall be counted as a month for which the member is entitled 
to educational assistance under this subchapter.
    ``(d) Maximum Months of Assistance.--(1) Subject to section 3695 of 
this title, the maximum number of months of educational assistance that 
may be provided to any member under this subchapter is 36 (or the 
equivalent thereof in part-time educational assistance).
    ``(2)(A) Notwithstanding any other provision of this subchapter or 
chapter 36 of this title, any payment of an educational assistance 
allowance described in subparagraph (B) shall not--
            ``(i) be charged against the entitlement of any member 
        under this subchapter; or
            ``(ii) be counted toward the aggregate period for which 
        section 3695 of this title limits a member's receipt of 
        assistance.
    ``(B) The payment of an educational assistance allowance referred 
to in subparagraph (A) is the payment of such an allowance to a member 
for pursuit of a course or courses under this subchapter if the 
Secretary finds that the member--
            ``(i) had to discontinue such course pursuit as a result of 
        being ordered to serve on active duty under section 12301(a), 
        12301(d), 12301(g), 12302, or 12304 of title 10; and
            ``(ii) failed to receive credit or training time toward 
        completion of the member's approved educational, professional, 
        or vocational objective as a result of having to discontinue, 
        as described in clause (i), the member's course pursuit.
    ``(C) The period for which, by reason of this subsection, an 
educational assistance allowance is not charged against entitlement or 
counted toward the applicable aggregate period under section 3695 of 
this title shall not exceed the portion of the period of enrollment in 
the course or courses for which the member involved failed to receive 
credit or with respect to which such member lost training time, as 
determined under subparagraph (B)(ii).
    ``(e) Flight Training.--(1) Educational assistance is payable under 
this subchapter to a person entitled to educational assistance under 
this subchapter for pursuit of a program of education consisting of 
exclusively of flight training approved under section 3034(d) of this 
title, subject to the conditions specified in paragraphs (2) and (4) of 
section 3032(e) of this title.
    ``(2)(A) For purposes of this subchapter, the rate of payment of 
educational assistance allowances, and the charge against entitlement 
for receipt of such allowances, under this subsection shall be governed 
by the provisions of section 3032(e) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a member entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the monthly rate of education 
        assistance which such individual would otherwise be paid' shall 
        be deemed to be a reference to the monthly amount payable under 
        subsection (a)(1)(A).
    ``(f) Licensing and Certification Tests.--(1) Educational 
assistance is payable under this subchapter to a member entitled to 
educational assistance under this subchapter for a licensing or 
certification test described in section 3452(b) of this title.
    ``(2)(A) For purposes of this subchapter, the amount payable for a 
licensing or certification test, the charge against entitlement for 
receipt of such payment, and the effect of expiration of entitlement on 
payments, under this subsection is governed by the provisions of 
section 3032(f) of this title.
    ``(B) In the administration of the provisions referred to in 
subparagraph (A) for purposes of this subchapter--
            ``(i) a reference to `an individual' shall be deemed to be 
        a reference to a member entitled to educational assistance 
        under this subchapter;
            ``(ii) a reference to `this chapter' shall be deemed to be 
        a reference to this subchapter; and
            ``(iii) a reference to `the full-time monthly institutional 
        rate of educational assistance which such individual would 
        otherwise be paid' shall be deemed to a reference to the 
        monthly amount payable under subsection (a)(1)(A).
``Sec. 3325. Time limitation for use of entitlement
    ``(a) Duration of Entitlement.--Except as provided in subsection 
(b), a member remains entitled to educational assistance under this 
subchapter--
            ``(1) while the member is serving--
                    ``(A) in the Selected Reserve of the Ready Reserve, 
                in the case of a member called or ordered to active 
                service while serving in the Selected Reserve; or
                    ``(B) in the Ready Reserve, in the case of a member 
                ordered to active duty while serving in the Ready 
                Reserve (other than the Selected Reserve); and
            ``(2) in the case of a member who separates from the Ready 
        Reserve upon the completion of a service contract under other 
        than dishonorable conditions, and, if applicable, the 
        fulfillment of an existing military service obligation in 
        accordance with section 651 of title 10, during the ten-year 
        period beginning on the date on which the member separates from 
        the Ready Reserve.
    ``(b) Duration of Entitlement for Disabled Members.--(1) In the 
case of a person who is separated from the Ready Reserve because of a 
disability which was not the result of the person's own willful 
misconduct incurred on or after the date on which such person became 
entitled to educational assistance under this subchapter, the person's 
entitlement to educational assistance expires at the end of the 10-year 
period beginning on the date on which the person became entitled to 
such assistance.
    ``(2) The provisions of subsections (d) and (f) of section 3031 of 
this title shall apply to the period of entitlement prescribed by 
paragraph (1).
``Sec. 3326. Termination of assistance
    ``(a) In General.--Except as provided in subsection (b), 
educational assistance may not be provided under this subchapter, or if 
being provided under this subchapter, shall be terminated--
            ``(1) if the member is receiving financial assistance under 
        section 2107 of title 10 as a member of the Senior Reserve 
        Officers' Training Corps program; or
            ``(2) when the member separates from the Ready Reserve, as 
        provided for under subparagraph (A) or (B) of paragraph (1) of 
        section 3325(a) of this title, as applicable, unless the member 
        is otherwise covered by paragraph (2) of such section.
    ``(b) Exception.--Under regulations prescribed by the Secretary of 
Defense, educational assistance may be provided under this subchapter 
to a member of the Selected Reserve of the Ready Reserve who incurs a 
break in service in the Selected Reserve of not more than 90 days if 
the member continues to serve in the Ready Reserve during and after 
such break in service.

                ``SUBCHAPTER III--ADMINISTRATIVE MATTERS

``Sec. 3341. Administration of programs
    ``The provisions of sections 3470, 3471, 3474, 3476, 3482(g), 3483, 
and 3485 of this title and the provisions of subchapters I and II of 
chapter 36 of this title (with the exception of sections 3686(a), 3687, 
and 3692) shall be applicable to the provision of educational 
assistance under subchapters I and II of this chapter. In the 
application of such provisions for purposes of subchapter I or II of 
this chapter, the terms `eligible veteran' and `a person', as used in 
such provisions, shall be deemed to refer to a person or member 
eligible for educational assistance under the applicable subchapter.
``Sec. 3342. Funding
    ``(a) Funding for Benefits Accruing After October 1, 2008.--(1) 
Payments for educational assistance under this chapter for persons 
entitled to such assistance under section 3302 or 3323 of this title 
shall be made from funds appropriated or otherwise made available to 
the Department of Veterans Affairs for the payment of readjustment 
benefits.
    ``(2) Payments for training and rehabilitation under section 
3323(b) of this title shall be made from funds appropriated or 
otherwise made available to the Department of Veterans Affairs for the 
payment of readjustment benefits.
    ``(b) Funding for Benefits Accruing Before October 1, 2008.--
Payments for educational assistance under this chapter for persons 
entitled to such assistance under section 3302A or 3323A of this title 
shall be made from amounts in the Department of Defense Education 
Benefits Fund under section 2006 of title 10 that are attributable to 
armed forces education liabilities under chapters 1606 and 1607 of 
title 10 that accrue before October 1, 2008. Amounts for such payments 
shall be made available to the Secretary in accordance with the 
provisions of section 2006(d) of title 10.''.
            (2) Clerical amendments.--The tables of chapters at the 
        beginning of title 38, United States Code, and at the beginning 
        of part III of such title, are each amended by inserting after 
        the item relating to chapter 32 the following new item:

``33. Educational Assistance for Members of the Reserve         3301''.
                            Components.
    (c) Conforming Amendments on Bar on Dual Eligibility for 
Benefits.--
            (1) Section 3033 of title 38, United States Code, is 
        amended--
                    (A) in subsection (a)(1), by striking ``chapter 106 
                or 107 of title 10'' and inserting ``under subchapter I 
                or subchapter II of chapter 33 of this title, under 
                chapter 107 of title 10''; and
                    (B) in subsection (c), by striking ``chapter 106 of 
                title 10'' and inserting ``subchapter I of chapter 33 
                of this title''.
            (2) Section 3221(f) of such title is amended by striking 
        ``chapter 106 of title 10'' and inserting ``subchapter I of 
        chapter 33 of this title''.
            (3) Section 3681 of such title is amended--
                    (A) in subsection (a), by striking ``34, 35, or 36 
                of this title or 106 or 107 of title 10,'' and 
                inserting ``33, 34, 35, or 36 of this title''; and
                    (B) in subsection (b)--
                            (i) in paragraph (1), by inserting before 
                        the period the following: ``, and subchapters I 
                        and II of chapter 33 of this title''; and
                            (ii) in paragraph (2), by striking 
                        ``Chapters 106 and'' and inserting ``Chapter 
                        107''.
    (d) Conforming Amendments Relating to Department of Defense 
Education Benefits Fund.--Section 2006(b) of title 10, United States 
Code, is amended--
            (1) in paragraph (1), by striking ``and chapters 1606 and 
        1607''; and
            (2) in paragraph (2)--
                    (A) by striking subparagraph (C); and
                    (B) by redesignating subparagraphs (D) and (E) as 
                subparagraphs (C) and (D), respectively.
    (e) Cross-Reference Amendments.--
            (1) Chapter 106 of title 10, united states code.--
                    (A) Section 2131 of title 10, United States Code, 
                is amended to read as follows:
``Sec. 2131. Reference to subchapter I of chapter 33 of title 38
    ``Provisions of law related to educational assistance for members 
of the Selected Reserve under the Montgomery GI Bill program, as 
formerly set forth in this chapter and chapter 1606 of this title, are 
set forth in subchapter I of chapter 33 of title 38 (beginning with 
section 3301 of title 38).''.
                    (B) The table of sections at the beginning of 
                chapter 106 of such title is amended by striking the 
                item relating to section 2131 and inserting the 
                following new item:

``2131. Reference to subchapter I of chapter 33 of title 38.''.
            (2) Chapter 1606 of title 10, united states code.--Chapter 
        1606 of such title is amended by striking all after the chapter 
        heading and inserting the following:

``Sec.
``16131. Reference to subchapter I of chapter 33 of title 38.
``Sec. 16131. Reference to subchapter I of chapter 33 of title 38
    ``Provisions of law related to educational assistance for members 
of the Selected Reserve under the Montgomery GI Bill program, as 
formerly set forth in this chapter, are set forth in subchapter I of 
chapter 33 of title 38 (beginning with section 3301 of that title).''.
            (3) Chapter 1607 of title 10, united states code.--Chapter 
        1607 of such title is amended by striking all after the chapter 
        heading and inserting the following:

``Sec.
``16161. Reference to subchapter II of chapter 33 of title 38.
``Sec. 16161. Reference to subchapter II of chapter 33 of title 38
    ``Provisions of law related to educational assistance for members 
of the reserve components of the armed forces supporting contingency 
operations and certain other operations, as formerly set forth in this 
chapter, are set forth in subchapter II of chapter 33 of title 38 
(beginning with section 3321 of that title).''.
    (f) Additional Conforming Amendments.--
            (1) Title 38, united states code.--
                    (A) Section 3485 of title 38, United States Code, 
                is amended--
                            (i) in subsection (a)(4)(E), by striking 
                        ``chapter 1606 or 1607 of title 10'' and 
                        inserting ``chapter 33 of this title'';
                            (ii) in subsection (b), by striking 
                        ``chapter 30, 31, 32, or 34 of this title or 
                        chapter 1606 or 1607 of title 10,'' and 
                        inserting ``chapter 30, 31, 32, 33, or 34 of 
                        this title''; and
                            (iii) in subsection (e)(1)--
                                    (I) by striking ``, chapter 30, 31, 
                                32, 35, or 36 of this title, or chapter 
                                1606 or 1607 of title 10'' and 
                                inserting ``or chapter 30, 31, 32, 33, 
                                35, or 36 of this title''; and
                                    (II) by striking ``section 2135 of 
                                such title'' and inserting ``section 
                                3305 of this title''.
                    (B) Section 3672(c) of such title is amended--
                            (i) in paragraph (3)(A), by striking 
                        ``chapters 30 and 35 of this title and chapter 
                        1606 of title 10'' and inserting ``chapters 30, 
                        33, and 35 of this title''; and
                            (ii) in paragraph (4), by striking 
                        ``chapter 30 or 35 of this title, or chapter 
                        1606 of title 10, as the case may be'' and 
                        inserting ``chapter 30, 33, or 35 of this 
                        title''.
                    (C) Section 3680A(d)(1) of such title is amended--
                            (i) by striking ``or under chapter 106 of 
                        title 10'' the first place it appears; and
                            (ii) by striking ``or chapter 30, 31, 32, 
                        or 35 of this title or under chapter 106 of 
                        title 10'' and inserting ``or chapter 30, 31, 
                        32, 33, or 35 of this title''.
                    (D) Section 3684A(a)(1) of such title is amended by 
                striking ``chapter 30 or 32 of this title or in chapter 
                106 of title 10'' and inserting ``chapter 30, 32, or 33 
                of this title''.
                    (E) Section 3688(b) of such title is amended by 
                striking ``, chapter 30, 32, or 35 of this title, or 
                chapter 106 of title 10'' and inserting ``or chapter 
                30, 32, 33, or 35 of this title''.
                    (F) Section 3689 of such title is amended by 
                inserting ``33,'' after ``32,'' each place it appears.
                    (G) Section 3692 of such title is amended--
                            (i) in subsection (a), by striking ``or 35 
                        of this title and chapter 1606 of title 10'' 
                        and inserting ``33, or 35 of this title''; and
                            (ii) in subsection (b), by striking ``, 
                        chapters 30, 32, and 35 of this title, and 
                        chapter 1606 of title 10'' and inserting ``and 
                        chapters 30, 32, 33, and 35 of this title''.
                    (H) Section 3695(a) of such title is amended--
                            (i) by striking paragraph (4) and inserting 
                        the following new paragraph (4):
            ``(4) Chapters 30, 32, 34, 35, and 36 of this title and 
        subchapters I and II of chapter 33 of this title.''; and
                            (ii) in paragraph (5), by striking ``, 
                        1606, 1607,''.
                    (I) Section 3697(a) of such title is amended by 
                striking ``chapter 30, 32, 34, or 35 of this title, or 
                chapter 106 of title 10,'' and inserting ``chapter 30, 
                32, 33, 34, or 35 of this title''.
                    (J) Section 3697A(b)(1) of such title is amended by 
                striking ``or 32 of this title or chapter 106 or 107 of 
                title 10'' and inserting ``32, or 33 of this title''.
            (2) Title 10, united states code.--Section 510(h) of title 
        10, United States Code, is amended--
                    (A) in paragraph (1)--
                            (i) in subparagraph (A), by striking 
                        ``additional educational assistance under 
                        chapter 1606 of this title or to basic 
                        educational assistance under subchapter II of 
                        chapter 30 of title 38'' and inserting ``basic 
                        educational assistance under subchapter II of 
                        chapter 30 of title 38 or educational 
                        assistance under subchapter I of chapter 33 of 
                        that title''; and
                            (ii) in subparagraph (B)--
                                    (I) by striking ``chapter 1606 of 
                                this title or chapter 30 of title 38'' 
                                and inserting ``chapter 30 or 
                                subchapter I of chapter 33 of title 
                                38''; and
                                    (II) by striking ``either such 
                                chapter'' each place it appears and 
                                inserting ``either such provisions''; 
                                and
                    (B) in paragraph (3)(A), by striking ``educational 
                assistance under chapter 1606 of this title'' and all 
                that follows through ``as the case may be'' and 
                inserting ``basic educational assistance under chapter 
                30 of title 38 or educational assistance under 
                subchapter I of chapter 33 of that title from an 
                entitlement to such basic educational assistance under 
                chapter 30 of that title or educational assistance 
                under subchapter I of chapter 33 of that title, as the 
                case may be''.
            (3) Elementary and secondary education act of 1965.--
        Section 2304(g) of the Elementary and Secondary Education Act 
        of 1965 (20 U.S.C. 6674(g)) is amended by striking ``chapter 30 
        of title 38 or chapter 1606 of title 10'' and inserting 
        ``chapter 30 or 33 of title 38''.
    (g) Effective Date.--
            (1) In general.--This section and the amendments made by 
        this section shall take effect on October 1, 2008.
            (2) No adjustment in assistance amounts for fiscal year 
        2009.--The adjustment in amounts of educational assistance 
        otherwise required for fiscal year 2009 under section 
        3303(a)(2) of title 38, United States Code (as amended by 
        subsection (b)), shall not be made.
                                 <all>
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