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assistance under chapter 30 of
title 38, United States Code, re-
maining to the individual at the
time of the election; plus
(bb) the number of months, if
any, of entitlement under such
chapter 30 revoked by the indi-
vidual under paragraph (3)(A);
and
(II) the denominator of which is
36 months.
(B) MONTHS OF REMAINING ENTITLEMENT
FOR CERTAIN INDIVIDUALS.—In the case of an
individual covered by subparagraph (A) who is
described by paragraph (1)(A)(v), the number of
months of entitlement to basic educational assist-
ance remaining to the individual for purposes of
subparagraph (A)(ii)(I)(aa) shall be 36 months.
(C) TIMING
OF
PAYMENT.—The amount
payable with respect to an individual under sub-
paragraph (A) shall be paid to the individual to-
gether with the last payment of the monthly sti-
pend payable to the individual under paragraph
(1)(B) of section 3313(c) of title 38, United
States Code (as so added), or under paragraphs
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(2) through (7) of that section (as applicable),
before the exhaustion of the individual’s entitle-
ment to educational assistance under chapter 33
of such title (as so added).
(7) CONTINUING ENTITLEMENT TO ADDITIONAL
ASSISTANCE
FOR
CRITICAL
SKILLS
OR
SPECIALITY
AND
ADDITIONAL
SERVICE.—An individual making
an election under paragraph (1)(A) who, at the time
of the election, is entitled to increased educational as-
sistance under section 3015(d) of title 38, United
States Code, or section 16131(i) of title 10, United
States Code, or supplemental educational assistance
under subchapter III of chapter 30 of title 38, United
States Code, shall remain entitled to such increased
educational assistance or supplemental educational
assistance in the utilization of entitlement to edu-
cational assistance under chapter 33 of title 38,
United States Code (as so added), in an amount
equal to the quarter, semester, or term, as applicable,
equivalent of the monthly amount of such increased
educational assistance or supplemental educational
assistance payable with respect to the individual at
the time of the election.
(8) IRREVOCABILITY OF ELECTIONS.—An election
under paragraph (1) or (3)(A) is irrevocable.
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(d) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect on August 1,
2009.
SEC. 4004. INCREASE IN AMOUNTS OF BASIC EDUCATIONAL
ASSISTANCE UNDER THE MONTGOMERY GI
BILL.
(a) EDUCATIONAL ASSISTANCE BASED
ON THREE-
YEAR PERIOD OF OBLIGATED SERVICE.—Subsection (a)(1)
of section 3015 of title 38, United States Code, is
amended—
(1) by striking subparagraphs (A) through (C)
and inserting the following new subparagraph:
‘‘(A) for months occurring during the period be-
ginning on August 1, 2008, and ending on the last
day of fiscal year 2009, $1,321; and’’; and
(2) by redesignating subparagraph (D) as sub-
paragraph (B).
(b) EDUCATIONAL ASSISTANCE BASED ON TWO-YEAR
PERIOD
OF OBLIGATED SERVICE.—Subsection (b)(1) of
such section is amended—
(1) by striking subparagraphs (A) through (C)
and inserting the following new subparagraph:
‘‘(A) for months occurring during the period be-
ginning on August 1, 2008, and ending on the last
day of fiscal year 2009, $1,073; and’’; and
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(2) by redesignating subparagraph (D) as sub-
paragraph (B).
(c) MODIFICATION OF MECHANISM FOR COST-OF-LIV-
ING ADJUSTMENTS.—Subsection (h)(1) of such section is
amended by striking subparagraphs (A) and (B) and in-
serting the following new subparagraphs:
‘‘(A) the average cost of undergraduate tuition in
the United States, as determined by the National
Center for Education Statistics, for the last academic
year preceding the beginning of the fiscal year for
which the increase is made, exceeds
‘‘(B) the average cost of undergraduate tuition in
the United States, as so determined, for the academic
year preceding the academic year described in sub-
paragraph (A).’’.
(d) EFFECTIVE DATE.—
(1) IN
GENERAL.—The amendments made by
this section shall take effect on August 1, 2008.
(2) NO COST-OF-LIVING ADJUSTMENT FOR FISCAL
YEAR 2009.—The adjustment required by subsection
(h) of section 3015 of title 38, United States Code (as
amended by this section), in rates of basic educational
assistance payable under subsections (a) and (b) of
such section (as so amended) shall not be made for
fiscal year 2009.
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SEC. 4005. MODIFICATION OF AMOUNT AVAILABLE FOR RE-
IMBURSEMENT OF STATE AND LOCAL AGEN-
CIES ADMINISTERING VETERANS EDUCATION
BENEFITS.
Section 3674(a)(4) of title 38, United States Code, is
amended by striking ‘‘may not exceed’’ and all that follows
through the end and inserting ‘‘shall be $19,000,000.’’.
TITLE 
V—EMERGENCY 
UNEM-
PLOYMENT COMPENSATION
FEDERAL-STATE AGREEMENTS
SEC. 5001. (a) IN GENERAL.—Any State which desires
to do so may enter into and participate in an agreement
under this title with the Secretary of Labor (in this title
referred to as the ‘‘Secretary’’). Any State which is a party
to an agreement under this title may, upon providing 30
days written notice to the Secretary, terminate such agree-
ment.
(b) PROVISIONS
OF AGREEMENT.—Any agreement
under subsection (a) shall provide that the State agency of
the State will make payments of emergency unemployment
compensation to individuals who—
(1) have exhausted all rights to regular com-
pensation under the State law or under Federal law
with respect to a benefit year (excluding any benefit
year that ended before May 1, 2007);
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(2) have no rights to regular compensation or ex-
tended compensation with respect to a week under
such law or any other State unemployment compensa-
tion law or to compensation under any other Federal
law (except as provided under subsection (e)); and
(3) are not receiving compensation with respect
to such week under the unemployment compensation
law of Canada.
(c) EXHAUSTION OF BENEFITS.—For purposes of sub-
section (b)(1), an individual shall be deemed to have ex-
hausted such individual’s rights to regular compensation
under a State law when—
(1) no payments of regular compensation can be
made under such law because such individual has re-
ceived all regular compensation available to such in-
dividual based on employment or wages during such
individual’s base period; or
(2) such individual’s rights to such compensation
have been terminated by reason of the expiration of
the benefit year with respect to which such rights ex-
isted.
(d) WEEKLY BENEFIT AMOUNT, ETC.—For purposes
of any agreement under this title—
(1) the amount of emergency unemployment
compensation which shall be payable to any indi-
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vidual for any week of total unemployment shall be
equal to the amount of the regular compensation (in-
cluding dependents’ allowances) payable to such indi-
vidual during such individual’s benefit year under
the State law for a week of total unemployment;
(2) the terms and conditions of the State law
which apply to claims for regular compensation and
to the payment thereof shall apply to claims for emer-
gency unemployment compensation and the payment
thereof, except where otherwise inconsistent with the
provisions of this title or with the regulations or oper-
ating instructions of the Secretary promulgated to
carry out this title; and
(3) the maximum amount of emergency unem-
ployment compensation payable to any individual for
whom an emergency unemployment compensation ac-
count is established under section 5002 shall not ex-
ceed the amount established in such account for such
individual.
(e) ELECTION
BY
STATES.—Notwithstanding any
other provision of Federal law (and if State law permits),
the Governor of a State that is in an extended benefit period
may provide for the payment of emergency unemployment
compensation prior to extended compensation to individ-
uals who otherwise meet the requirements of this section.
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EMERGENCY UNEMPLOYMENT COMPENSATION ACCOUNT
SEC. 5002. (a) IN GENERAL.—Any agreement under
this title shall provide that the State will establish, for each
eligible individual who files an application for emergency
unemployment compensation, an emergency unemployment
compensation account with respect to such individual’s ben-
efit year.
(b) AMOUNT IN ACCOUNT.—
(1) IN GENERAL.—The amount established in an
account under subsection (a) shall be equal to the less-
er of—
(A) 50 percent of the total amount of reg-
ular compensation (including dependents’ allow-
ances) payable to the individual during the indi-
vidual’s benefit year under such law, or
(B) 13 times the individual’s average week-
ly benefit amount for the benefit year.
(2) WEEKLY BENEFIT AMOUNT.—For purposes of
this subsection, an individual’s weekly benefit amount
for any week is the amount of regular compensation
(including dependents’ allowances) under the State
law payable to such individual for such week for total
unemployment.
(c) SPECIAL RULE.—
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(1) IN
GENERAL.—Notwithstanding any other
provision of this section, if, at the time that the indi-
vidual’s account is exhausted or at any time there-
after, such individual’s State is in an extended benefit
period (as determined under paragraph (2)), then,
such account shall be augmented by an amount equal
to the amount originally established in such account
(as determined under subsection (b)(1)).
(2) EXTENDED BENEFIT PERIOD.—For purposes
of paragraph (1), a State shall be considered to be in
an extended benefit period, as of any given time, if—
(A) such a period is then in effect for such
State under the Federal-State Extended Unem-
ployment Compensation Act of 1970;
(B) such a period would then be in effect for
such State under such Act if section 203(d) of
such Act—
(i) were applied by substituting ‘‘4’’
for ‘‘5’’ each place it appears; and
(ii) did not include the requirement
under paragraph (1)(A); or
(C) such a period would then be in effect for
such State under such Act if—
(i) section 203(f) of such Act were ap-
plied to such State (regardless of whether