I

107TH CONGRESS

1ST SESSION H. R. 1958

To amend title 38, United States Code, to permit the transfer of entitlement

to educational assistance the Montgomery GI Bill by members of the

Armed Forces, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

MAY 23, 2001

Mr. ABERCROMBIE (for himself, Mrs. TAUSCHER, Ms. MCKINNEY, Mr. BARTLETT of Maryland, Mr. HANSEN, Mr. FILNER, Mrs. MINK of Hawaii, Mr.

KUCINICH, and Mr. ORTIZ) 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 permit the transfer of entitlement to educational assistance the Montgomery GI Bill by members of the Armed Forces, and

for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Helping Our Profes5 sionals Educationally Act of 2001’’.
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1 SEC. 2. TRANSFER OF ENTITLEMENT TO EDUCATIONAL AS2 SISTANCE UNDER MONTGOMERY GI BILL BY

3 MEMBERS OF THE ARMED FORCES WITH

4 CRITICAL MILITARY SKILLS.

5 (a) AUTHORITY TO TRANSFER TO FAMILY MEM6 BERS.—(1) Subchapter II of chapter 30 of title 38, United

7 States Code, is amended by adding at the end the fol8 lowing new section:

9 ‘‘§ 3020. Transfer of entitlement to basic educational

10 assistance: members of the Armed Forces

11 with critical military skills

12 ‘‘(a) IN GENERAL.—Subject to the provisions of this

13 section, each Secretary concerned may, for the purpose of

14 enhancing recruitment and retention of members of the

15 Armed Forces with critical military skills and at such Sec16 retary’s sole discretion, permit an individual described in

17 subsection (b) who is entitled to basic educational assist18 ance under this subchapter to elect to transfer, in whole

19 or in part, up to one-half of such individual’s entitlement

20 to such assistance to the dependents specified in sub21 section (c).

22 ‘‘(b) ELIGIBLE INDIVIDUALS.—An individual re23 ferred to in subsection (a) is any member of the Armed

24 Forces who, at the time of the approval by the Secretary

25 concerned of the member’s request to transfer entitlement

26 to basic educational assistance under this section—
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1 ‘‘(1) has completed six years of service in the

2 Armed Forces;

3 ‘‘(2) either—

4 ‘‘(A) has a critical military skill designated

5 by the Secretary concerned for purposes of this

6 section; or

7 ‘‘(B) is in a military specialty designated

8 by the Secretary concerned for purposes of this

9 section as requiring critical military skills; and

10 ‘‘(3) enters into an agreement to serve at least

11 four more years as a member of the Armed Forces.

12 ‘‘(c) ELIGIBLE DEPENDENTS.—An individual ap13 proved to transfer an entitlement to basic educational as14 sistance under this section may transfer the individual’s

15 entitlement as follows:

16 ‘‘(1) To the individual’s spouse.

17 ‘‘(2) To one or more of the individual’s chil18 dren.

19 ‘‘(3) To a combination of the individuals re20 ferred to in paragraphs (1) and (2).

21 ‘‘(d) LIMITATION ON MONTHS OF TRANSFER.—The

22 total number of months of entitlement transferred by an

23 individual under this section may not exceed 18 months.
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1 ‘‘(e) DESIGNATION OF TRANSFEREE.—An individual

2 transferring an entitlement to basic educational assistance

3 under this section shall—

4 ‘‘(1) designate the dependent or dependents to

5 whom such entitlement is being transferred and the

6 percentage of such entitlement to be transferred to

7 each such dependent; and

8 ‘‘(2) specify the period for which the transfer

9 shall be effective for each dependent designated

10 under paragraph (1).

11 ‘‘(f) TIME FOR TRANSFER; REVOCATION AND MODI12 FICATION.—(1) Subject to the time limitation for use of

13 entitlement under section 3031 of this title, an individual

14 approved to transfer entitlement to basic educational as15 sistance under this section may transfer such entitlement

16 at any time after the approval of individual’s request to

17 transfer such entitlement without regard to whether the

18 individual is a member of the Armed Forces when the

19 transfer is executed.

20 ‘‘(2)(A) An individual transferring entitlement under

21 this section may modify or revoke at any time the transfer

22 of any unused portion of the entitlement so transferred.

23 ‘‘(B) The modification or revocation of the transfer

24 of entitlement under this paragraph shall be made by the
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1 submittal of written notice of the action to both the Sec2 retary concerned and the Secretary of Veterans Affairs.

3 ‘‘(g) COMMENCEMENT OF USE.—A dependent to

4 whom entitlement to basic educational assistance is trans5 ferred under this section may not commence the use of

6 the transferred entitlement until the following:

7 ‘‘(1) In the case of entitlement transferred to a

8 spouse, the completion by the individual making the

9 transfer of 6 years of service in the Armed Forces.

10 ‘‘(2) In the case of entitlement transferred to a

11 child, both—

12 ‘‘(A) the completion by the individual mak13 ing the transfer of 10 years of service in the

14 Armed Forces; and

15 ‘‘(B) either—

16 ‘‘(i) the completion by the child of the

17 requirements of a secondary school di18 ploma (or equivalency certificate); or

19 ‘‘(ii) the attainment by the child of 18

20 years of age.

21 ‘‘(h) ADDITIONAL ADMINISTRATIVE MATTERS.—(1)

22 The use of any entitlement to basic educational assistance

23 transferred under this section shall be charged against the

24 entitlement of the individual making the transfer at the
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1 rate of one month for each month of transferred entitle2 ment that is used.

3 ‘‘(2) Except as provided under subsection (e)(2) and

4 subject to paragraphs (4) and (5), a dependent to whom

5 entitlement is transferred under this section is entitled to

6 basic educational assistance under this subchapter in the

7 same manner and at the same rate as the individual from

8 whom the entitlement was transferred.

9 ‘‘(3) The death of an individual transferring an enti10 tlement under this section shall not affect the use of the

11 entitlement by the individual to whom the entitlement is

12 transferred.

13 ‘‘(4) Notwithstanding section 3031 of this title, a

14 child to whom entitlement is transferred under this section

15 may not use any entitlement so transferred after attaining

16 the age of 26 years.

17 ‘‘(5) The administrative provisions of this chapter

18 (including the provisions set forth in section 3034(a)(1)

19 of this title) shall apply to the use of entitlement trans20 ferred under this section, except that the dependent to

21 whom the entitlement is transferred shall be treated as

22 the eligible veteran for purposes of such provisions.

23 ‘‘(6) The purposes for which a dependent to whom

24 entitlement is transferred under this section may use such

25 entitlement shall include the pursuit and completion of the
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1 requirements of a secondary school diploma (or equiva2 lency certificate).

3 ‘‘(i) OVERPAYMENT.—(1) In the event of an overpay4 ment of basic educational assistance with respect to a de5 pendent to whom entitlement is transferred under this sec6 tion, the dependent and the individual making the transfer

7 shall be jointly and severally liable to the United States

8 for the amount of the overpayment for purposes of section

9 3685 of this title.

10 ‘‘(2) Except as provided in paragraph (3), if an indi11 vidual transferring entitlement under this section fails to

12 complete the service agreed to by the individual under sub13 section (b)(3) in accordance with the terms of the agree14 ment of the individual under that subsection, the amount

15 of any transferred entitlement under this section that is

16 used by a dependent of the individual as of the date of

17 such failure shall be treated as an overpayment of basic

18 educational assistance under paragraph (1).

19 ‘‘(3) Paragraph (2) shall not apply in the case of an

20 individual who fails to complete service agreed to by the

21 individual—

22 ‘‘(A) by reason of the death of the individual;

23 or

24 ‘‘(B) for a reason referred to in section

25 3011(a)(1)(A)(ii)(I) of this title.
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1 ‘‘(j) APPROVALS OF TRANSFER SUBJECT TO AVAIL2 ABILITY OF APPROPRIATIONS.—The Secretary concerned

3 may approve transfers of entitlement to basic educational

4 assistance under this section in a fiscal year only to the

5 extent that appropriations for military personnel are avail6 able in the fiscal year for purposes of making transfers

7 of funds under section 2006 of title 10 with respect to

8 such transfers of entitlement.

9 ‘‘(k) REGULATIONS.—The Secretary of Defense shall

10 prescribe regulations for purposes of this section. Such

11 regulations shall specify the manner and effect of an elec12 tion to modify or revoke a transfer of entitlement under

13 subsection (f)(2), and shall specify the manner of the ap14 plicability of the administrative provisions referred to in

15 subsection (h)(5) to a dependent to whom entitlement is

16 transferred under this section.

17 ‘‘(l) ANNUAL REPORTS.—(1) Not later than January

18 31, 2003, and each year thereafter, each Secretary con19 cerned shall submit to the Committees on Armed Services

20 of the Senate and House of Representatives a report on

21 the transfers of entitlement to basic educational assistance

22 under this section that were approved by such Secretary

23 during the preceding year.

24 ‘‘(2) Each report shall set forth—
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1 ‘‘(A) the number of transfers of entitlement

2 under this section that were approved by such Sec3 retary during the preceding year; or

4 ‘‘(B) if no transfers of entitlement under this

5 section were approved by such Secretary during that

6 year, a justification for such Secretary’s decision not

7 to approve any such transfers of entitlement during

8 that year.

9 ‘‘(m) SECRETARY CONCERNED DEFINED.—Notwith10 standing section 101(25) of this title, in this section, the

11 term ‘Secretary concerned’ means—

12 ‘‘(1) the Secretary of the Army with respect to

13 matters concerning the Army;

14 ‘‘(2) the Secretary of the Navy with respect to

15 matters concerning the Navy or the Marine Corps;

16 ‘‘(3) the Secretary of the Air Force with respect

17 to matters concerning the Air Force; and

18 ‘‘(4) the Secretary of Defense with respect to

19 matters concerning the Coast Guard, or the Sec20 retary of Transportation when it is not operating as

21 a service in the Navy.’’.

22 (2) The table of sections at the beginning of such

23 chapter is amended by inserting after the item relating

24 to section 3019 the following new item:

‘‘3020. Transfer of entitlement to basic educational assistance: members of the

Armed Forces with critical military skills.’’.
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1 (b) TREATMENT UNDER DEPARTMENT OF DEFENSE

2 EDUCATION BENEFITS FUND.—Section 2006(b)(2) of

3 title 10, United States Code, is amended by adding at the

4 end the following:

5 ‘‘(D) The present value of the future bene6 fits payable from the Fund as a result of trans7 fers under section 3020 of title 38 of entitle8 ment to basic educational assistance under

9 chapter 30 of title 38.’’.

10 (c) PLAN FOR IMPLEMENTATION.—Not later than

11 June 30, 2002, the Secretary of Defense shall submit to

12 Congress a report describing the manner in which the Sec13 retaries of the military departments and the Secretary of

14 Transportation propose to exercise the authority granted

15 by section 3020 of title 38, United States Code, as added

16 by subsection (a).

17 SEC. 3. AUTHORITY FOR ACCELERATED PAYMENTS OF

18 BASIC EDUCATIONAL ASSISTANCE UNDER

19 MONTGOMERY GI BILL.

20 (a) IN GENERAL.—Section 3014 of title 38, United

21 States Code, is amended by adding at the end the fol22 lowing new subsection:

23 ‘‘(c)(1)(A) Notwithstanding any other provision of

24 this chapter and subject to subparagraph (B), an indi25 vidual entitled to basic educational assistance under this
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1 subchapter may elect to receive an accelerated payment

2 of the basic educational assistance allowance.

3 ‘‘(B) The Secretary may not make an accelerated

4 payment for a course to an individual who has received

5 an advance payment under section 3680(d) of this title

6 for the same enrollment period.

7 ‘‘(2)(A) Pursuant to an election under paragraph (1),

8 the Secretary shall make an accelerated payment to an

9 individual for a course in a lump-sum amount equal to

10 the lesser of—

11 ‘‘(i) the amount of the educational assistance

12 allowance for the month, or fraction thereof, in

13 which the course begins plus the educational assist14 ance allowance for each of the succeeding four

15 months; or

16 ‘‘(ii)(I) in the case of a course offered on a

17 quarter, semester, or term basis, the amount of ag18 gregate monthly educational assistance allowance

19 otherwise payable under this subchapter for the

20 course for the entire quarter, semester, or term; or

21 ‘‘(II) in the case of a course that is not offered

22 on a quarter, semester, or term basis, the amount of

23 aggregate monthly educational assistance allowance

24 otherwise payable under this subchapter for the en25 tire course.
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1 ‘‘(B) In the case of an adjustment under section

2 3015(h) of this title in the monthly rate of basic edu3 cational assistance that occurs during a period for which

4 an accelerated payment is made under this subsection, the

5 Secretary shall pay—

6 ‘‘(i) on an accelerated basis the amount of the

7 allowance otherwise payable under this subchapter

8 for the period without regard to the adjustment

9 under that section; and

10 ‘‘(ii) on the date of the adjustment any addi11 tional amount of the allowance that is payable for

12 the period as a result of the adjustment.

13 ‘‘(3) For each accelerated payment made to an indi14 vidual under this subsection, the individual’s entitlement

15 under this subchapter shall be charged at the same rate

16 at which the entitlement would be charged if the individual

17 had received a monthly educational assistance allowance

18 for the period of educational pursuit covered by the accel19 erated payment.

20 ‘‘(4) The Secretary shall prescribe regulations to

21 carry out this subsection. The regulations shall include the

22 requirements, conditions, and methods for the request,

23 issuance, delivery, certification of receipt and use, and re24 covery of overpayment of an accelerated payment under

25 this subsection.’’.
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1 (b) EFFECTIVE DATE.—The amendment made by

2 subsection (a) shall take effect on the date that is six

3 months after the date of the enactment of this Act, and

4 shall apply with respect to courses of education beginning

5 on or after that date.

6 SEC. 4. AVAILABILITY OF MONTGOMERY GI BILL BENEFITS

7 FOR TRAINING FOR TECHNOLOGICAL OCCU8 PATIONS OFFERED BY ENTITIES OTHER

9 THAN EDUCATIONAL INSTITUTIONS.

10 (a) IN GENERAL.—Section 3452(c) of title 38,

11 United States Code, is amended to read as follows:

12 ‘‘(c) The term ‘educational institution’ means the fol13 lowing:

14 ‘‘(1) Any public or private elementary school,

15 secondary school, vocational school, correspondence

16 school, business school, junior college, teachers’ col17 lege, college, normal school, professional school, uni18 versity, or scientific or technical institution, or other

19 institution furnishing education for adults.

20 ‘‘(2) Any entity that provides training required

21 for completion of any State-approved alternative

22 teacher certification program (as determined by the

23 Secretary).

24 ‘‘(3) Any entity that provides, either directly or

25 under an agreement with another entity, a course or
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1 courses to fulfill the requirements for the attainment

2 of a license or certificate generally recognized as

3 necessary to obtain, maintain, or advance in employ4 ment in a vocation or profession in a technological

5 occupation (as defined by the Secretary).’’.

6 (b) EFFECTIVE DATE.—The amendment made by

7 subsection (a) shall take effect on October 1, 2001, and

8 shall apply with respect to training courses, approved by

9 the Secretary of Veterans Affairs, for certification for

10 technological occupations beginning on or after that date.

11 SEC. 5. MODIFICATION OF TIME FOR USE BY CERTAIN

12 MEMBERS OF SELECTED RESERVE OF ENTI13 TLEMENT TO CERTAIN EDUCATIONAL AS14 SISTANCE.

15 Section 16133(b) of title 10, United States Code, is

16 amended by adding at the end the following new para17 graph:

18 ‘‘(5)(A) In the case of a person who continues to

19 serve as member of the Selected Reserve as of the end

20 of the 10-year period applicable to the person under sub21 section (a), as extended, if at all, under paragraph (4),

22 the period during which the person may use the person’s

23 entitlement shall expire at the end of the 5-year period

24 beginning on the date the person is separated from the

25 Selected Reserve.
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1 ‘‘(B) Subparagraph (A) shall not apply with respect

2 to an individual otherwise described by that subparagraph

3 who is separated from the armed forces under other than

4 honorable conditions.

5 ‘‘(C) The provisions of paragraph (4) shall apply with

6 respect to any period of active duty of a person referred

7 to in subparagraph (A) during the 5-year period referred

8 to in that subparagraph.’’.

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