H. R. 100—19
concerning the policy to the Secretary of Veterans Affairs as
required by regulations prescribed by the Secretary.
‘‘(d) POLICY MODIFICATION.—Upon application for protection
under this title, the insured and the insurer shall have construc-
tively agreed to any policy modification necessary to give this title
full force and effect.
‘‘SEC. 404. POLICIES ENTITLED TO PROTECTION AND LAPSE OF POLI-
CIES.
‘‘(a) DETERMINATION.—The Secretary of Veterans Affairs shall
determine whether a policy is entitled to protection under this
title and shall notify the insured and the insurer of that determina-
tion.
‘‘(b) LAPSE PROTECTION.—A policy that the Secretary deter-
mines is entitled to protection under this title shall not lapse
or otherwise terminate or be forfeited for the nonpayment of a
premium, or interest or indebtedness on a premium, after the
date on which the application for protection is received by the
Secretary.
‘‘(c) TIME APPLICATION.—The protection provided by this title
applies during the insured’s period of military service and for a
period of two years thereafter.
‘‘SEC. 405. POLICY RESTRICTIONS.
‘‘(a) DIVIDENDS.—While a policy is protected under this title,
a dividend or other monetary benefit under a policy may not be
paid to an insured or used to purchase dividend additions without
the approval of the Secretary of Veterans Affairs. If such approval
is not obtained, the dividends or benefits shall be added to the
value of the policy to be used as a credit when final settlement
is made with the insurer.
‘‘(b) SPECIFIC RESTRICTIONS.—While a policy is protected under
this title, cash value, loan value, withdrawal of dividend accumula-
tion, unearned premiums, or other value of similar character may
not be available to the insured without the approval of the Sec-
retary. The right of the insured to change a beneficiary designation
or select an optional settlement for a beneficiary shall not be
affected by the provisions of this title.
‘‘SEC. 406. DEDUCTION OF UNPAID PREMIUMS.
‘‘(a) SETTLEMENT OF PROCEEDS.—If a policy matures as a result
of a servicemember’s death or otherwise during the period of protec-
tion of the policy under this title, the insurer in making settlement
shall deduct from the insurance proceeds the amount of the unpaid
premiums guaranteed under this title, together with interest due
at the rate fixed in the policy for policy loans.
‘‘(b) INTEREST RATE.—If the interest rate is not specifically
fixed in the policy, the rate shall be the same as for policy loans
in other policies issued by the insurer at the time the insured’s
policy was issued.
‘‘(c) REPORTING REQUIREMENT.—The amount deducted under
this section, if any, shall be reported by the insurer to the Secretary
of Veterans Affairs.
‘‘SEC. 407. PREMIUMS AND INTEREST GUARANTEED BY UNITED
STATES.
‘‘(a) GUARANTEE OF PREMIUMS AND INTEREST BY THE UNITED
STATES.—
H. R. 100—20
‘‘(1) GUARANTEE.—Payment of premiums, and interest on
premiums at the rate specified in section 406, which become
due on a policy under the protection of this title is guaranteed
by the United States. If the amount guaranteed is not paid
to the insurer before the period of insurance protection under
this title expires, the amount due shall be treated by the
insurer as a policy loan on the policy.
‘‘(2) POLICY TERMINATION.—If, at the expiration of insur-
ance protection under this title, the cash surrender value of
a policy is less than the amount due to pay premiums and
interest on premiums on the policy, the policy shall terminate.
Upon such termination, the United States shall pay the insurer
the difference between the amount due and the cash surrender
value.
‘‘(b) RECOVERY FROM INSURED OF AMOUNTS PAID BY THE UNITED
STATES.—
‘‘(1) DEBT PAYABLE TO THE UNITED STATES.—The amount
paid by the United States to an insurer under this title shall
be a debt payable to the United States by the insured on
whose policy payment was made.
‘‘(2) COLLECTION.—Such amount may be collected by the
United States, either as an offset from any amount due the
insured by the United States or as otherwise authorized by
law.
‘‘(3) DEBT NOT DISCHARGEABLE IN BANKRUPTCY.—Such debt
payable to the United States is not dischargeable in bankruptcy
proceedings.
‘‘(c) CREDITING
OF
AMOUNTS
RECOVERED.—Any amounts
received by the United States as repayment of debts incurred by
an insured under this title shall be credited to the appropriation
for the payment of claims under this title.
‘‘SEC. 408. REGULATIONS.
‘‘The Secretary of Veterans Affairs shall prescribe regulations
for the implementation of this title.
‘‘SEC. 409. REVIEW OF FINDINGS OF FACT AND CONCLUSIONS OF LAW.
‘‘The findings of fact and conclusions of law made by the Sec-
retary of Veterans Affairs in administering this title are subject
to review on appeal to the Board of Veterans’ Appeals pursuant
to chapter 71 of title 38, United States Code, and to judicial review
only as provided in chapter 72 of such title.
‘‘TITLE V—TAXES AND PUBLIC LANDS
‘‘SEC. 
501. 
TAXES 
RESPECTING 
PERSONAL 
PROPERTY, 
MONEY,
CREDITS, AND REAL PROPERTY.
‘‘(a) APPLICATION.—This section applies in any case in which
a tax or assessment, whether general or special (other than a
tax on personal income), falls due and remains unpaid before or
during 
a 
period 
of 
military 
service 
with 
respect 
to 
a
servicemember’s—
‘‘(1) personal property (including motor vehicles); or
‘‘(2) real property occupied for dwelling, professional, busi-
ness, or agricultural purposes by a servicemember or the
servicemember’s dependents or employees—
H. R. 100—21
‘‘(A) before the servicemember’s entry into military
service; and
‘‘(B) during the time the tax or assessment remains
unpaid.
‘‘(b) SALE OF PROPERTY.—
‘‘(1) LIMITATION ON SALE OF PROPERTY TO ENFORCE TAX
ASSESSMENT.—Property described in subsection (a) may not
be sold to enforce the collection of such tax or assessment
except by court order and upon the determination by the court
that 
military 
service 
does 
not 
materially 
affect 
the
servicemember’s ability to pay the unpaid tax or assessment.
‘‘(2) STAY OF COURT PROCEEDINGS.—A court may stay a
proceeding to enforce the collection of such tax or assessment,
or sale of such property, during a period of military service
of the servicemember and for a period not more than 180
days after the termination of, or release of the servicemember
from, military service.
‘‘(c) REDEMPTION.—When property described in subsection (a)
is sold or forfeited to enforce the collection of a tax or assessment,
a servicemember shall have the right to redeem or commence an
action to redeem the servicemember’s property during the period
of military service or within 180 days after termination of or release
from military service. This subsection may not be construed to
shorten any period provided by the law of a State (including any
political subdivision of a State) for redemption.
‘‘(d) 
INTEREST
ON
TAX
OR
ASSESSMENT.—Whenever 
a
servicemember does not pay a tax or assessment on property
described in subsection (a) when due, the amount of the tax or
assessment due and unpaid shall bear interest until paid at the
rate of 6 percent per year. An additional penalty or interest shall
not be incurred by reason of nonpayment. A lien for such unpaid
tax or assessment may include interest under this subsection.
‘‘(e) JOINT OWNERSHIP APPLICATION.—This section applies to
all forms of property described in subsection (a) owned individually
by a servicemember or jointly by a servicemember and a dependent
or dependents.
‘‘SEC. 502. RIGHTS IN PUBLIC LANDS.
‘‘(a) RIGHTS NOT FORFEITED.—The rights of a servicemember
to lands owned or controlled by the United States, and initiated
or acquired by the servicemember under the laws of the United
States (including the mining and mineral leasing laws) before mili-
tary service, shall not be forfeited or prejudiced as a result of
being absent from the land, or by failing to begin or complete
any work or improvements to the land, during the period of military
service.
‘‘(b) TEMPORARY SUSPENSION OF PERMITS OR LICENSES.—If a
permittee or licensee under the Act of June 28, 1934 (43 U.S.C.
315 et seq.), enters military service, the permittee or licensee may
suspend the permit or license for the period of military service
and for 180 days after termination of or release from military
service.
‘‘(c) REGULATIONS.—Regulations prescribed by the Secretary of
the Interior shall provide for such suspension of permits and
licenses and for the remission, reduction, or refund of grazing
fees during the period of such suspension.
H. R. 100—22
‘‘SEC. 503. DESERT-LAND ENTRIES.
‘‘(a) DESERT-LAND RIGHTS NOT FORFEITED.—A desert-land entry
made or held under the desert-land laws before the entrance of
the entryman or the entryman’s successor in interest into military
service shall not be subject to contest or cancellation—
‘‘(1) for failure to expend any required amount per acre
per year in improvements upon the claim;
‘‘(2) for failure to effect the reclamation of the claim during
the period the entryman or the entryman’s successor in interest
is in the military service, or for 180 days after termination
of or release from military service; or
‘‘(3) during any period of hospitalization or rehabilitation
due to an injury or disability incurred in the line of duty.
The time within which the entryman or claimant is required to
make such expenditures and effect reclamation of the land shall
be exclusive of the time periods described in paragraphs (2) and
(3).
‘‘(b) SERVICE-RELATED DISABILITY.—If an entryman or claimant
is honorably discharged and is unable to accomplish reclamation
of, and payment for, desert land due to a disability incurred in
the line of duty, the entryman or claimant may make proof without
further reclamation or payments, under regulations prescribed by
the Secretary of the Interior, and receive a patent for the land
entered or claimed.
‘‘(c) FILING REQUIREMENT.—In order to obtain the protection
of this section, the entryman or claimant shall, within 180 days
after entry into military service, cause to be filed in the land
office of the district where the claim is situated a notice commu-
nicating the fact of military service and the desire to hold the
claim under this section.
‘‘SEC. 504. MINING CLAIMS.
‘‘(a) REQUIREMENTS SUSPENDED.—The provisions of section 2324
of the Revised Statutes of the United States (30 U.S.C. 28) specified
in subsection (b) shall not apply to a servicemember’s claims or
interests in claims, regularly located and recorded, during a period
of military service and 180 days thereafter, or during any period
of hospitalization or rehabilitation due to injuries or disabilities
incurred in the line of duty.
‘‘(b) REQUIREMENTS.—The provisions in section 2324 of the
Revised Statutes that shall not apply under subsection (a) are
those which require that on each mining claim located after May
10, 1872, and until a patent has been issued for such claim, not
less than $100 worth of labor shall be performed or improvements
made during each year.
‘‘(c) PERIOD OF PROTECTION FROM FORFEITURE.—A mining claim
or an interest in a claim owned by a servicemember that has
been regularly located and recorded shall not be subject to forfeiture
for nonperformance of annual assessments during the period of
military service and for 180 days thereafter, or for any period
of hospitalization or rehabilitation described in subsection (a).
‘‘(d) FILING REQUIREMENT.—In order to obtain the protections
of this section, the claimant of a mining location shall, before
the end of the assessment year in which military service is begun
or within 60 days after the end of such assessment year, cause
to be filed in the office where the location notice or certificate