ments made to an individual under this section may not 
exceed $82,500 over a total of five years, of which not more 
than $16,500 of such payments may be made in each year. 
‘‘(2) The total amount payable to an individual under 
this section for any year may not exceed the amount of the 
principal and interest on loans referred to in subsection 
(b)(3) that is paid by the individual during such year. 
‘‘(d) PAYMENTS.—(1) The Secretary shall make edu-
cation debt reduction payments under this section on an 
annual basis. 
‘‘(2) The Secretary shall make such a payment— 
‘‘(A) on the last day of the one-year period be-
ginning on the date on which the individual is ac-
cepted into the program established under subsection 
(a); or 
‘‘(B) in the case of an individual who received 
a payment under this section for the preceding fiscal 
year, on the last day of the one-year period beginning 
on the date on which the individual last received such 
a payment. 
‘‘(3) Notwithstanding any other provision of law, edu-
cation debt reduction payments under this section shall not 
be considered as income or resources in determining eligi-
bility for, or the amount of benefits under, any Federal or 
federally assisted program. 
VerDate Aug 31 2005 
22:11 Sep 14, 2006
Jkt 049196
PO 00000
Frm 00031
Fmt 6652
Sfmt 6203
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS
‘‘(e) PERFORMANCE REQUIREMENT.—The Secretary 
may make education debt reduction payments to an indi-
vidual under this section for a year only if the Secretary 
determines that the individual maintained an acceptable 
level of performance in the position or positions served by 
the individual during the year. 
‘‘(f) NOTIFICATION OF TERMS OF PROVISION OF PAY-
MENTS.—The Secretary shall provide to an individual who 
receives a payment under this section notice in writing of 
the terms and conditions that apply to such a payment. 
‘‘(g) COVERED COSTS.—For purposes of subsection 
(b)(3), costs relating to a course of education or training 
include— 
‘‘(1) ) tuition expenses; and 
‘‘(2) all other reasonable educational expenses, 
including fees, books, and laboratory expenses; 
‘‘§ 7904. Preferences in awarding financial assistance 
‘‘In awarding financial assistance under this chapter, 
the Secretary shall give a preference to qualified individuals 
who are otherwise eligible to receive the financial assistance 
in the following order of priority: 
‘‘(1) Veterans with service-connected disabilities. 
‘‘(2) Veterans. 
‘‘(3) Persons described in section 4215(a)(1)(B) 
of this title. 
VerDate Aug 31 2005 
22:11 Sep 14, 2006
Jkt 049196
PO 00000
Frm 00032
Fmt 6652
Sfmt 6203
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS
‘‘(4) Individuals who received or are pursuing 
degrees at institutions designated by the National Se-
curity Agency as Centers of Academic Excellence in 
Information Assurance Education. 
‘‘(5) Citizens of the United States. 
‘‘§ 7905. Requirement of honorable discharge for vet-
erans receiving assistance 
‘‘No veteran shall receive financial assistance under 
this chapter unless the veteran was discharged from the 
Armed Forces under honorable conditions. 
‘‘§ 7906. Regulations 
‘‘The Secretary shall prescribe regulations for the ad-
ministration of this chapter. 
‘‘§ 7907. Termination 
‘‘The authority of the Secretary to make a payment 
under this chapter shall terminate on July 31, 2017.’’. 
(b) GAO REPORT.—Not later than three years after 
the date of the enactment of this Act, the Comptroller Gen-
eral shall submit to Congress a report on the scholarship 
and education debt reduction programs under chapter 79 
of title 38, United States Code, as added by subsection (a). 
(c) APPLICABILITY OF SCHOLARSHIPS.—Section 7902 
of title 38, United States Code, as added by subsection (a), 
shall apply with respect to financial assistance provided for 
VerDate Aug 31 2005 
22:11 Sep 14, 2006
Jkt 049196
PO 00000
Frm 00033
Fmt 6652
Sfmt 6203
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS
an academic semester or term that begins on or after August 
1, 2007. 
(d) CLERICAL AMENDMENT.—The tables of chapters at 
the beginning of such title, and at the beginning of part 
V of such title, are amended by inserting after the item re-
lating to chapter 78 the following new item: 
‘‘79. Information Security Education Assistance Program .........................
7901’’. 
VerDate Aug 31 2005 
23:25 Sep 14, 2006
Jkt 049200
PO 00000
Frm 00034
Fmt 6652
Sfmt 6213
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS
VerDate Aug 31 2005 
22:11 Sep 14, 2006
Jkt 049196
PO 00000
Frm 00035
Fmt 6652
Sfmt 6211
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS
Union Calendar No. 387 
109TH CONGRESS 
2D SESSION 
H. R. 5835 
[Report No. 109–651, Part I] 
A BILL 
To amend title 38, United States Code, to improve 
information management within the Department 
of Veterans Affairs, and for other purposes. 
SEPTEMBER 13, 2006 
Reported from the Committee on Veterans’ Affairs with 
an amendment 
SEPTEMBER 13, 2006 
The Committee on Government Reform discharged; com-
mitted to the Committee of the Whole House on the 
State of the Union and ordered to be printed 
VerDate Aug 31 2005 
22:11 Sep 14, 2006
Jkt 049196
PO 00000
Frm 00036
Fmt 6651
Sfmt 6651
E:\BILLS\H5835.RH
H5835
rwilkins on PROD1PC63 with BILLS