SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Veterans Benefits Act of 2003’’.
(b) TABLE OF CONTENTS.—The table of contents of
this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Expansion of Montgomery GI Bill education benefits for certain self-em-
ployment training.
Sec. 3. Extension in period of eligibility for survivors’ and dependents’ edu-
cation benefits for individuals who are involuntarily ordered to
full-time National Guard duty.
Sec. 4. Extension of Veterans’ Advisory Committee on Education.
Sec. 5. Repeal of provisions relating to obsolete education loan program.
Sec. 6. Retention of Dependency and Indemnity Compensation for surviving
spouses remarrying after age 55.
Sec. 7. Eligibility of surviving spouses who remarry for burial in national ceme-
teries.
Sec. 8. Permanent authority for State cemetery grants.
Sec. 9. Reinstatement of veterans vocational training program for certain pen-
sion recipients.
Sec. 10. Increase in amounts for certain adaptive benefits for disabled veterans.
Sec. 11. Presumptions of service-connection relating to diseases and disabilities
of former prisoners of war.
Sec. 12. Extension of spina bifida benefits for children of Vietnam-era veterans.
Sec. 13. Permanent authority for housing loans for members of the Selected
Reserve.
Sec. 14. Adjustment to home loan fees and uniformity of fees for qualifying Re-
serve members with fees for active duty veterans.
Sec. 15. Reinstatement of minimum requirements for sale of vendee loans.
Sec. 16. Rate of payment of benefits for certain Filipino veterans and their sur-
vivors residing in the United States.
Sec. 17. Burial benefits for new Philippine scouts residing in the United States.
Sec. 18. Extension of authority to maintain regional office in the Republic of
the Philippines.
Sec. 19. Outstationing of transition assistance program personnel.
Sec. 20. Forfeiture of benefits for subversive activities.
Sec. 21. Technical amendments related to Jobs for Veterans Act.
Sec. 22. Technical and conforming relating to establishment of Social Security
Administration as an independent agency.
SEC. 2. EXPANSION OF MONTGOMERY GI BILL EDUCATION
BENEFITS FOR CERTAIN SELF-EMPLOYMENT
TRAINING.
(a) DEFINITION OF TRAINING ESTABLISHMENT.—
Section 3452(e) of title 38, United States Code, is amend-
ed by striking ‘‘means any’’ and all that follows and insert-
ing ‘‘means any of the following:
‘‘(1) An establishment providing apprentice or
other training on the job, including those under the
supervision of a college or university or any State
department of education.
‘‘(2) An establishment providing self-employ-
ment on-job training consisting of full-time training
for a period of less than six months that is needed
or accepted for purposes of obtaining licensure to
engage in a self-employment occupation or required
for ownership and operation of a franchise that is
the objective of the training.
‘‘(3) A State board of vocational education.
‘‘(4) A Federal or State apprenticeship registra-
tion agency.
‘‘(5) A joint apprenticeship committee estab-
lished pursuant to the Act of August 16, 1937, pop-
ularly known as the ‘National Apprenticeship Act’
(29 U.S.C. 50 et seq.).
‘‘(6) An agency of the Federal Government au-
thorized to supervise such training.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect on the date that is six
months after the date of the enactment of this Act and
shall apply to self-employment on-job training approved
and pursued on or after that date.
SEC. 3. EXTENSION IN PERIOD OF ELIGIBILITY FOR SUR-
VIVORS’ AND DEPENDENTS’ EDUCATION BEN-
EFITS FOR INDIVIDUALS WHO ARE INVOLUN-
TARILY ORDERED TO FULL-TIME NATIONAL
GUARD DUTY.
(a) IN GENERAL.—Section 3512(h) of title 38,
United States Code, is amended by inserting ‘‘or is invol-
untarily ordered to full-time National Guard duty under
section 502(f) of title 32,’’ after ‘‘title 10,’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect as of September 11, 2001.
SEC. 4. EXTENSION OF VETERANS’ ADVISORY COMMITTEE
ON EDUCATION.
(a) EXTENSION.—Subsection (c) of section 3692 of
title 38, United States Code, is amended by striking ‘‘De-
cember 31, 2003’’ and inserting ‘‘December 31, 2009’’.
(b) MODIFICATION
OF
MEMBERSHIP
REQUIRE-
MENTS.—The second sentence of subsection (a) of such
section is amended by striking ‘‘World War II, the Korean
conflict era, the post-Korean conflict era,’’.
(c) TECHNICAL AMENDMENT.—Such section is fur-
ther amended by striking ‘‘chapter 106’’ each place it ap-
pears and inserting ‘‘chapter 1606’’.
SEC. 5. REPEAL OF PROVISIONS RELATING TO OBSOLETE
EDUCATION LOAN PROGRAM.
(a) TERMINATION OF PROGRAM.—Subchapter III of
chapter 36 of title 38, United States Code, is repealed.
(b) TRANSFER
OF LOAN FUND BALANCE.—Any
balance as of the date of the enactment of this Act in the
Department of Veterans Affairs Education Loan Fund
shall be transferred to the Department of Veterans Affairs
Readjustment Benefits Account.
(c) DISCHARGE
OF LIABILITY.—The Secretary of
Veterans Affairs shall discharge any outstanding liability
of a veteran under such subchapter. Any overpayment de-
clared under section 3698(e)(1) of that subchapter shall
be waived without further process on the date on which
funds are transferred under subsection (b).
(d) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 36 of such title is amended
by striking the items relating to subchapter III and sec-
tions 3698 and 3699.
(e) 
CONFORMING
AMENDMENTS.—(1) 
Section
3462(a) of such title is amended by striking paragraph
(2).
(2) Section 3485(e)(1) of such title by striking
‘‘(other than an education loan under subchapter III)’’.
(3) Section 3512 of such title is amended by striking
subsection (f).
SEC. 6. RETENTION OF DEPENDENCY AND INDEMNITY
COMPENSATION FOR SURVIVING SPOUSES
REMARRYING AFTER AGE 55.
(a) EXCEPTION
TO TERMINATION
OF BENEFITS
UPON REMARRIAGE.—Section 103(d)(2)(B) of title 38,
United States Code, is amended by inserting ‘‘1311 or’’
after ‘‘under section’’.
(b) COORDINATION OF BENEFITS.—Section 1311 of
such title is amended by adding at the end the following
new subsection:
‘‘(e) In the case of an individual who is eligible for
dependency and indemnity compensation under this sec-
tion by reason of section 103(d)(2)(B) of this title who
is also eligible for benefits under another provision of law
by reason of such individual’s status as the surviving
spouse of a veteran, then, notwithstanding any other pro-
vision of law (other than section 5304(b)3 of this title),
no reduction in benefits under such other provision of law
shall be made by reason of such individual’s eligibility for
benefits under this section.’’.
(c) EFFECTIVE DATE.—The amendments made by
subsections (a) and (b) shall take effect on—
(1) the first day of the first month that begins
after the date of the enactment of this Act; or
(2) the first day of the fiscal year that begins
in the calendar year in which this Act is enacted, if
later than the date specified in paragraph (1).
(d) RETROACTIVE BENEFITS PROHIBITED.—No ben-
efit may be paid to any person by reason of the amend-
ment made by subsections (a) and (b) for any period be-
fore the effective date specified in subsection (c).
(e) APPLICATION FOR BENEFITS.—In the case of an
individual who but for having remarried would be eligible
for dependency and indemnity compensation under section
1311 of title 38, United States Code, and whose remar-
riage was before the date of the enactment of this Act
and after the individual had attained age 55, the indi-
vidual shall be eligible for such compensation by reason
of the amendment made by subsection (a) only if the indi-
vidual submits an application for such compensation to the
Secretary of Veterans Affairs not later than the end of
the one-year period beginning on the date of the enact-
ment of this Act.
(f) TECHNICAL CORRECTION.—Section 101(b) of the
Veterans Benefits Act of 2002 (Public Law 107–330; 116
Stat. 2821; 38 U.S.C. 103 note) is amended by striking
‘‘during the 1–year period’’ and all that follows through
‘‘(c)’’ and inserting ‘‘before the end of the one-year period
beginning on the date of the enactment of the Veterans
Benefits Act of 2003’’.
SEC. 7. ELIGIBILITY OF SURVIVING SPOUSES WHO RE-
MARRY FOR BURIAL IN NATIONAL CEME-
TERIES.
(a) ELIGIBILITY.—Section 2402(5) of title 38,
United States Code, is amended by striking ‘‘(which for
purposes of this chapter includes an unremarried surviving
spouse who had a subsequent remarriage which was termi-
nated by death or divorce)’’ and inserting ‘‘(which for pur-
poses of this chapter includes a surviving spouse who had
a subsequent remarriage)’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall apply with respect to deaths occurring
on or after January 1, 2000.
SEC. 8. PERMANENT AUTHORITY FOR STATE CEMETERY
GRANTS.
Paragraph (2) of section 2408(a) of title 38, United
States Code, is amended—
(1) by striking ‘‘for fiscal year 1999 and for
each succeeding fiscal year through fiscal year
2004’’; and
(2) by adding at the end the following new sen-
tence: ‘‘Funds appropriated under the preceding sen-
tence shall remain available until expended.’’.
SEC. 9. REINSTATEMENT OF VETERANS VOCATIONAL
TRAINING PROGRAM FOR CERTAIN PENSION
RECIPIENTS.
(a) ESTABLISHMENT OF NEW PROGRAM PERIOD.—
Subsection (a)(3) of section 1524 of title 38, United
States Code, is amended by striking ‘‘the period beginning
on February 1, 1985, and ending on December 31, 1995’’
and inserting ‘‘the five-year period beginning on the date
of the enactment of the Veterans Benefits Act of 2003’’.
(b) CONFORMING AMENDMENT.—Subsection (b)(4)
of such section is amended by striking ‘‘December 31,
1995’’ and inserting ‘‘the end of the program period’’.
(c) OUTREACH.—Such section is further amended by
adding at the end the following new subsection:
‘‘(f) The Secretary shall ensure that the availability
of vocational training under this section is made known
through a variety of means, including the Internet and an-
nouncements in Department publications and other vet-
erans’ publications.’’.
(d) REPORTS.—Such section, as amended by sub-
section (c), is further amended by adding at the end the
following new subsection:
‘‘(g) Not later than two years after the date of the
enactment of the Veterans Benefits Act of 2003, and each
year thereafter, the Secretary shall submit to the Commit-
tees on Veterans’ Affairs of the Senate and House of Rep-
resentatives a report on the operation of this section. The
report shall set forth an evaluation of the vocational train-
ing provided under this section for the period involved, and
shall include an analysis of the cost-effectiveness of the
vocational training provided under this section as well as
data on the entered-employment rate of veterans pursuing
such vocational training.’’.
(e) STYLISTIC AMENDMENTS.—Such section is fur-
ther amended—
(1) by striking ‘‘of Veterans Affairs’’ in sub-
section (a)(1); and
(2) by striking ‘‘of this section’’ in subsections
(a)(2), (b)(1), (b)(4) (both places it appears), (c),
(d), and (e).
SEC. 10. INCREASE IN AMOUNTS FOR CERTAIN ADAPTIVE
BENEFITS FOR DISABLED VETERANS.
(a) INCREASE IN ASSISTANCE AMOUNT FOR SPE-
CIALLY ADAPTED HOUSING.—Section 2102 of title 38,
United States Code, is amended—
(1) in the matter preceding paragraph (1) of
subsection (a), by striking ‘‘$48,000’’ and inserting
‘‘$50,000’’; and
(2) in subsection (b)(2), by striking ‘‘$9,250’’
and inserting ‘‘$10,000’’.
(b) INCREASE
IN AMOUNT
OF ASSISTANCE
FOR
AUTOMOBILE AND ADAPTIVE EQUIPMENT FOR CERTAIN
DISABLED VETERANS.—Section 3902(a) of such title is
amended by striking ‘‘$9,000’’ and inserting ‘‘$11,000’’.
(c) EFFECTIVE DATE.—The amendments made by
subsections (a) and (b) shall apply with respect to assist-
ance furnished on or after the date of the enactment of
this Act.
SEC. 11. PRESUMPTIONS OF SERVICE-CONNECTION RELAT-
ING TO DISEASES AND DISABILITIES OF
FORMER PRISONERS OF WAR.
Subsection (b) of section 1112 of title 38, United
States Code, is amended to read as follows:
‘‘(b)(1) For the purposes of section 1110 of this title
and subject to the provisions of section 1113 of this title,
in the case of a veteran who is a former prisoner of war—
‘‘(A) a disease specified in paragraph (2) shall
be considered to have been incurred in or aggravated
by such service, notwithstanding that there is no
record of such disease during the period of service;
and
‘‘(B) if the veteran was detained or interned as
a prisoner of war for not less than thirty days, a dis-
ease specified in paragraph (3) which became mani-
fest to a degree of 10 percent or more after active
military, naval, or air service shall be considered to
have been incurred in or aggravated by such service,
notwithstanding that there is no record of such dis-
ease during the period of service.
‘‘(2) The diseases specified in this paragraph are the
following:
‘‘(A) Psychosis.
‘‘(B) Any of the anxiety states.
‘‘(C) Dysthymic disorder (or depressive neu-
rosis).
‘‘(D) Organic residuals of frostbite, if the Sec-
retary determines that the veteran was interned in
climatic conditions consistent with the occurrence of
frostbite.
‘‘(E) Post-traumatic osteoarthritis.
‘‘(3) The diseases specified in this paragraph are the
following:
‘‘(A) Avitaminosis.
‘‘(B) Beriberi (including beriberi heart disease).
‘‘(C) Chronic dysentery.
‘‘(D) Helminthiasis.
‘‘(E) Malnutrition (including optic atrophy as-
sociated with malnutrition).
‘‘(F) Pellagra.
‘‘(G) Any other nutritional deficiency.
‘‘(H) Cirrhosis of the liver.
‘‘(I) Peripheral neuropathy except where di-
rectly related to infectious causes.
‘‘(J) Irritable bowel syndrome.
‘‘(K) Peptic ulcer disease.’’.
SEC. 12. EXTENSION OF SPINA BIFIDA BENEFITS FOR CHIL-
DREN OF VIETNAM-ERA VETERANS.
(a) ELIGIBLE CHILDREN.—Subchapter I of chapter
18 of title 38, United States Code, is amended by inserting
before section 1802 the following new section:
‘‘§ 1801. Persons eligible for benefits
‘‘An individual is an eligible child for purposes of this
subchapter if the individual is suffering from spina bifida
and is—
‘‘(1) a child as defined in section 1821(1) of
this title; or
‘‘(2) the natural child, regardless of age or mar-
ital status, of a parent who during the period begin-
ning on October 1 1967, and ending on May 7 1975,
performed active military, naval, or air service in the
Republic of Korea in the area between the south line
of the Demilitarized Zone and a line five miles south
of the Civilian Control Line established with respect
to the Demilitarized Zone, but only if the individual