‘‘(3) The authority provided by paragraphs (1) and 
(2) shall be exercised by the Secretaries concerned under 
regulations prescribed by the Secretary of Defense. 
‘‘(j)(1) Subject to paragraph (3), the amount of edu-
cational assistance payable under this subchapter for a li-
censing or certification test described in section 3452(b) 
of this title is the lesser of $2,000 or the fee charged for 
the test. 
‘‘(2) The number of months of entitlement charged 
in the case of any individual for such licensing or certifi-
cation test is equal to the number (including any fraction) 
determined by dividing the total amount of educational as-
sistance paid such individual for such test by the full-time 
monthly institutional rate of educational assistance which, 
but for paragraph (1), such individual would otherwise be 
paid under subsection (b). 
‘‘(3) In no event shall payment of educational assist-
ance under this subsection for such a test exceed the 
amount of the individual’s available entitlement under this 
subchapter. 
‘‘§ 3302. Eligibility for educational assistance 
‘‘(a) A person who— 
‘‘(1) after June 30, 1985— 
‘‘(A) enlists, reenlists, or extends an enlist-
ment as a Reserve for service in the Selected 
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Reserve for a period of not less than six years; 
or 
‘‘(B) is appointed as, or is serving as, a re-
serve officer and agrees to serve in the Selected 
Reserve for a period of not less than six years 
in addition to any other period of obligated 
service in the Selected Reserve to which the 
person may be subject; and 
‘‘(2) before applying for benefits under this sec-
tion, has completed the requirements of a secondary 
school diploma (or an equivalency certificate); 
is entitled to educational assistance under section 3301 
of this title. 
‘‘(b) Educational assistance may not be provided to 
a member under this subchapter until the member has 
completed the initial period of active duty for training re-
quired of the member. 
‘‘(c) Each person who becomes entitled to educational 
assistance under subsection (a) shall at the time the per-
son becomes so entitled be given a statement in writing 
summarizing the provisions of this subchapter and stating 
clearly and prominently the substance of sections 3304 
and 3305 of this title as such sections may apply to the 
person. At the request of the Secretary of Veterans Af-
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fairs, the Secretary of Defense shall transmit a notice of 
entitlement for each such person to that Secretary. 
‘‘(d) A person who serves in the Selected Reserve may 
not receive credit for such service under both the program 
established by chapter 30 of this title and the program 
established by this subchapter but shall elect (in such form 
and manner as the Secretary of Veterans Affairs may pre-
scribe) the program to which such service is to be credited. 
However, a person may not receive credit under the pro-
gram established by this subchapter for service (in any 
grade) on full-time active duty or full-time National Guard 
duty for the purpose of organizing, administering, recruit-
ing, instructing, or training the reserve components in a 
position which is included in the end strength required to 
be authorized each year by section 115(a)(1)(B) of title 
10. 
‘‘§ 3303. Time limitation for use of entitlement 
‘‘(a) Except as provided in subsection (b), the period 
during which a person entitled to educational assistance 
under this subchapter may use such person’s entitlement 
expires (1) at the end of the 14-year period beginning on 
the date on which such person becomes entitled to such 
assistance, or (2) on the date the person is separated from 
the Selected Reserve, whichever occurs first. 
‘‘(b)(1) In the case of a person— 
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‘‘(A) who is separated from the Selected Re-
serve because of a disability which was not the result 
of the individual’s own willful misconduct incurred 
on or after the date on which such person became 
entitled to educational assistance under this sub-
chapter; or 
‘‘(B) who, on or after the date on which such 
person became entitled to educational assistance 
under this subchapter ceases to be a member of the 
Selected Reserve during the period beginning on Oc-
tober 1, 1991, and ending on December 31, 2001, 
by reason of the inactivation of the person’s unit of 
assignment or by reason of involuntarily ceasing to 
be designated as a member of the Selected Reserve 
pursuant to section 10143(a) of title 10, 
the period for using entitlement prescribed by sub-
section (a) shall be determined without regard to 
clause (2) of such subsection. 
‘‘(2) The provisions of section 3031(f) of this title 
shall apply to the period of entitlement prescribed by sub-
section (a). 
‘‘(3) The provisions of section 3031(d) of this title 
shall apply to the period of entitlement prescribed by sub-
section (a) in the case of a disability incurred in or aggra-
vated by service in the Selected Reserve. 
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‘‘(4) In the case of a member of the Selected Reserve 
of the Ready Reserve who serves on active duty pursuant 
to an order to active duty issued under section 12301(a), 
12301(d), 12301(g), 12302, or 12304 of title 10— 
‘‘(A) the period of such active duty service plus 
four months shall not be considered in determining 
the expiration date applicable to such member under 
subsection (a); and 
‘‘(B) the member may not be considered to 
have been separated from the Selected Reserve for 
the purposes of clause (2) of such subsection by rea-
son of the commencement of such active duty serv-
ice. 
‘‘§ 3304. Termination of assistance 
‘‘Educational assistance may not be provided under 
this subchapter— 
‘‘(1) to a member receiving financial assistance 
under section 2107 of title 10 as a member of the 
Senior Reserve Officers’ Training Corps program; or 
‘‘(2) to a member who fails to participate satis-
factorily in required training as a member of the Se-
lected Reserve. 
‘‘§ 3305. Failure to participate satisfactorily; penalties 
‘‘(a) PENALTIES.—At the option of the Secretary 
concerned, a member of the Selected Reserve of an armed 
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force who does not participate satisfactorily in required 
training as a member of the Selected Reserve during a 
term of enlistment or other period of obligated service that 
created entitlement of the member to educational assist-
ance under this subchapter, and during which the member 
has received such assistance, may— 
‘‘(1) be ordered to active duty for a period of 
two years or the period of obligated service the per-
son has remaining under section 3302 of this title, 
whichever is less; or 
‘‘(2) be subject to the repayment provisions 
under section 303a(e) of title 37. 
‘‘(b) EFFECT
OF
REPAYMENT.—Any repayment 
under section 303a(e) of title 37 shall not affect the period 
of obligation of a member to serve as a Reserve in the 
Selected Reserve. 
‘‘§ 3306. Administration of program 
‘‘(a) FUNDING FOR BENEFITS ACCRUING AFTER OC-
TOBER 1, 2008.—Payments for educational assistance 
under this subchapter shall be made from funds appro-
priated or otherwise made available to the Department of 
Veterans Affairs for the payment of readjustment benefits. 
‘‘(b) FUNDING FOR BENEFITS ACCRUING BEFORE 
OCTOBER 1, 2008.—Payments for educational assistance 
under this subchapter shall be made from amounts in the 
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Department of Defense Education Benefits Fund under 
section 2006 of title 10 that are attributable to armed 
forces education liabilities under chapter 1606 of title 10 
that accrue before October 1, 2008. Amounts for such 
payments shall be made available to the Secretary in ac-
cordance with the provisions of section 2006(d) of title 10. 
‘‘(c) PROGRAM MANAGEMENT.—Except as otherwise 
provided in this subchapter, the provisions of sections 
3470, 3471, 3474, 3476, 3482(g), 3483, and 3485 of this 
title and the provisions of subchapters I and II of chapter 
36 of this title (with the exception of sections 3686(a), 
3687, and 3692) shall be applicable to the provision of 
educational assistance under this subchapter. The term 
‘eligible veteran’ and the term ‘a person’, as used in those 
provisions, shall be deemed for the purpose of the applica-
tion of those provisions to this subchapter to refer to a 
person eligible for educational assistance under this sub-
chapter. 
‘‘(d) FLIGHT TRAINING.—The Secretary of Veterans 
Affairs may approve the pursuit of flight training (in addi-
tion to a course of flight training that may be approved 
under section 3680A(b) of this title) by an individual enti-
tled to educational assistance under this subchapter if— 
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‘‘(1) such training is generally accepted as nec-
essary for the attainment of a recognized vocational 
objective in the field of aviation; 
‘‘(2) the individual possesses a valid private 
pilot certificate and meets, on the day the individual 
begins a course of flight training, the medical re-
quirements necessary for a commercial pilot certifi-
cate; and 
‘‘(3) the flight school courses meet Federal 
Aviation Administration standards for such courses 
and are approved by the Federal Aviation Adminis-
tration and the State approving agency. 
‘‘§ 3307. Biennial report to Congress 
‘‘The Secretary of Defense shall submit to Congress 
a report not later than March 1 of each odd-numbered 
year concerning the operation of the educational assist-
ance program established by this subchapter during the 
preceding two fiscal years. Each such report shall include 
the number of members of the Selected Reserve of the 
Ready Reserve of each armed force receiving, and the 
number entitled to receive, educational assistance under 
this subchapter during those fiscal years. The Secretary 
may submit the report more frequently and adjust the pe-
riod covered by the report accordingly. 
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‘‘SUBCHAPTER II—RESERVE COMPONENT MEM-
BERS SUPPORTING CONTINGENCY OPER-
ATIONS AND CERTAIN OTHER OPERATIONS 
‘‘§ 3321. Purpose 
‘‘The purpose of this subchapter is to provide edu-
cational assistance to members of the reserve components 
called or ordered to active service in response to a war 
or national emergency declared by the President or Con-
gress, in recognition of the sacrifices that those members 
make in answering the call to duty. 
‘‘§ 3322. Educational assistance program 
‘‘(a) PROGRAM ESTABLISHMENT.—The Secretary of 
each military department, under regulations prescribed by 
the Secretary of Defense, and the Secretary of Homeland 
Security with respect to the Coast Guard when it is not 
operating as a service in the Navy, shall establish and 
maintain a program as prescribed in this subchapter to 
provide educational assistance to members of the Ready 
Reserve of the Armed Forces under the jurisdiction of the 
Secretary concerned. 
‘‘(b) AUTHORIZED EDUCATION PROGRAMS.—Edu-
cational assistance may be provided under this subchapter 
for pursuit of any program of education that is an ap-
proved program of education for purposes of chapter 30 
of this title. 
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‘‘(c) BENEFIT AMOUNT.—(1) The educational assist-
ance program established under subsection (a) shall pro-
vide for payment by the Secretary of Veterans Affairs of 
an educational assistance allowance to each member enti-
tled to educational assistance under this subchapter who 
is pursuing a program of education authorized under sub-
section (b). 
‘‘(2) The educational assistance allowance provided 
under this subchapter shall be based on the applicable per-
cent under paragraph (4) to the applicable rate provided 
under section 3015 of this title for a member whose enti-
tlement is based on completion of an obligated period of 
active duty of three years. 
‘‘(3) The educational assistance allowance provided 
under this section for a person who is undertaking a pro-
gram for which a reduced rate is specified in chapter 30 
of this title, that rate shall be further adjusted by the ap-
plicable percent specified in paragraph (4). 
‘‘(4) The adjusted educational assistance allowance 
under paragraph (2) or (3), as applicable, shall be— 
‘‘(A) 40 percent in the case of a member of a 
reserve component who performed active service for 
90 consecutive days but less than one continuous 
year; 
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‘‘(B) 60 percent in the case of a member of a 
reserve component who performed active service for 
one continuous year but less than two continuous 
years; or 
‘‘(C) 80 percent in the case of a member of a 
reserve component who performed active service for 
two continuous years or more. 
‘‘(d) MAXIMUM MONTHS OF ASSISTANCE.—(1) Sub-
ject to section 3695 of this title, the maximum number 
of months of educational assistance that may be provided 
to any member under this subchapter is 36 (or the equiva-
lent thereof in part-time educational assistance). 
‘‘(2)(A) Notwithstanding any other provision of this 
subchapter or chapter 36 of this title, any payment of an 
educational assistance allowance described in subpara-
graph (B) shall not— 
‘‘(i) be charged against the entitlement of any 
individual under this subchapter; or 
‘‘(ii) be counted toward the aggregate period for 
which section 3695 of this title limits an individual’s 
receipt of assistance. 
‘‘(B) The payment of the educational assistance al-
lowance referred to in subparagraph (A) is the payment 
of such an allowance to the individual for pursuit of a 
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course or courses under this subchapter if the Secretary 
of Veterans Affairs finds that the individual— 
‘‘(i) had to discontinue such course pursuit as 
a result of being ordered to serve on active duty 
under section 12301(a), 12301(d), 12301(g), 12302, 
or 12304 of title 10; and 
‘‘(ii) failed to receive credit or training time to-
ward completion of the individual’s approved edu-
cational, professional, or vocational objective as a re-
sult of having to discontinue, as described in clause 
(i), the individual’s course pursuit. 
‘‘(C) The period for which, by reason of this sub-
section, an educational assistance allowance is not charged 
against entitlement or counted toward the applicable ag-
gregate period under section 3695 of this title shall not 
exceed the portion of the period of enrollment in the 
course or courses for which the individual failed to receive 
credit or with respect to which the individual lost training 
time, as determined under subparagraph (B)(ii). 
‘‘(e) AVAILABILITY OF ASSISTANCE FOR LICENSING 
AND CERTIFICATION TESTS.—The provisions of section 
3301(j) of this title shall apply to the provision of edu-
cational assistance under this subchapter, except that, in 
applying such section under this subchapter, the reference 
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to subsection (b) in paragraph (2) of such section is 
deemed to be a reference to subsection (c) of this section. 
‘‘§ 3323. Eligibility for educational assistance 
‘‘(a) ELIGIBILITY.—On or after September 11, 2001, 
a member of a reserve component is entitled to educational 
assistance under this subchapter if the member— 
‘‘(1) served on active duty in support of a con-
tingency operation for 90 consecutive days or more; 
or 
‘‘(2) in the case of a member of the Army Na-
tional Guard of the United States or Air National 
Guard of the United States, performed full time Na-
tional Guard duty under section 502(f) of title 32 
for 90 consecutive days or more when authorized by 
the President or Secretary of Defense for the pur-
pose of responding to a national emergency declared 
by the President and supported by Federal funds. 
‘‘(b) DISABLED MEMBERS.—Notwithstanding the eli-
gibility requirements in subsection (a), a member who was 
ordered to active service as prescribed under subsection 
(a)(1) or (a)(2) but is released from duty before com-
pleting 90 consecutive days because of an injury, illness 
or disease incurred or aggravated in the line of duty shall 
be entitled to educational assistance under this subchapter 
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at the rate prescribed in section 3322(c)(4)(A) of this 
title. 
‘‘(c) WRITTEN NOTIFICATION.—(1) Each member 
who becomes entitled to educational assistance under sub-
section (a) shall be given a statement in writing prior to 
release from active service that summarizes the provisions 
of this subchapter and stating clearly and prominently the 
substance of section 3325 of this title as such section may 
apply to the member. 
‘‘(2) At the request of the Secretary of Veterans Af-
fairs, the Secretary concerned shall transmit a notice of 
entitlement for each such member to that Secretary. 
‘‘(d) BAR FROM DUAL ELIGIBILITY.—A member who 
qualifies for educational assistance under this subchapter 
may not receive credit for such service under both the pro-
gram established by chapter 30 of this title and the pro-
gram established by this subchapter but shall make an ir-
revocable election (in such form and manner as the Sec-
retary of Veterans Affairs may prescribe) as to the pro-
gram to which such service is to be credited. 
‘‘(e) BAR FROM DUPLICATION OF EDUCATIONAL AS-
SISTANCE ALLOWANCE.— 
‘‘(1) Except as provided in paragraph (2), an 
individual entitled to educational assistance under 
this subchapter who is also eligible for educational 
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assistance under subchapter I of this chapter, chap-
ter 30, 31, 32, or 35 of this title, or under the Hos-
tage Relief Act of 1980 (Public Law 96–449; 5 
U.S.C. 5561 note) may not receive assistance under 
more than one such programs and shall elect (in 
such form and manner as the Secretary of Veterans 
Affairs may prescribe) under which program the 
member elects to receive educational assistance. 
‘‘(2) The restriction on duplication of edu-
cational assistance under paragraph (1) does not 
apply to the entitlement of educational assistance 
under section 3301(i) of this title. 
‘‘§ 3324. Time limit for use of entitlement 
‘‘(a) DURATION OF ENTITLEMENT.—Except as pro-
vided in subsection (b), a member remains entitled to edu-
cational assistance under this subchapter while serving— 
‘‘(1) in the Selected Reserve of the Ready Re-
serve, in the case of a member called or ordered to 
active service while serving in the Selected Reserve; 
or 
‘‘(2) in the Ready Reserve, in the case of a 
member ordered to active duty while serving in the 
Ready Reserve (other than the Selected Reserve). 
‘‘(b) DURATION OF ENTITLEMENT FOR DISABLED 
MEMBERS.—(1) In the case of a person who is separated 
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from the Ready Reserve because of a disability which was 
not the result of the individual’s own willful misconduct 
incurred on or after the date on which such person became 
entitled to educational assistance under this subchapter, 
such person’s entitlement to educational assistance expires 
at the end of the 10-year period beginning on the date 
on which such person became entitled to such assistance. 
‘‘(2) The provisions of subsections (d) and (f) of sec-
tion 3031 of this title shall apply to the period of entitle-
ment prescribed by paragraph (1). 
‘‘§ 3325. Termination of assistance 
‘‘(a) IN GENERAL.—Except as provided in subsection 
(b), educational assistance may not be provided under this 
subchapter, or if being provided under this subchapter, 
shall be terminated— 
‘‘(1) if the member is receiving financial assist-
ance under section 2107 of title 10 as a member of 
the Senior Reserve Officers’ Training Corps pro-
gram; or 
‘‘(2) when the member separates from the 
Ready Reserve, as provided for under section 
3324(a)(1) or section 3324(a)(2), as applicable, of 
this title. 
‘‘(b) EXCEPTION.—Under regulations prescribed by 
the Secretary of Defense, educational assistance may be 
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provided under this subchapter to a member of the Se-
lected Reserve of the Ready Reserve who incurs a break 
in service in the Selected Reserve of not more than 90 
days if the member continues to serve in the Ready Re-
serve during and after such break in service. 
‘‘§ 3326. Administration of program 
‘‘(a) FUNDING FOR BENEFITS ACCRUING AFTER OC-
TOBER 1, 2008.—Payments for educational assistance 
under this subchapter shall be made from funds appro-
priated or otherwise made available to the Department of 
Veterans Affairs for the payment of readjustment benefits. 
‘‘(b) FUNDING FOR BENEFITS ACCRUING BEFORE 
OCTOBER 1, 2008.—Payments for educational assistance 
under this subchapter shall be made from amounts in the 
Department of Defense Education Benefits Fund under 
section 2006 of title 10 that are attributable to armed 
forces education liabilities under chapter 1607 of title 10 
that accrue before October 1, 2008. Amounts for such 
payments shall be made available to the Secretary in ac-
cordance with the provisions of section 2006(d) of title 10. 
‘‘(c) PROGRAM MANAGEMENT.—Except as otherwise 
provided in this subchapter, the provisions of sections 503, 
511, 3470, 3471, 3474, 3476, 3482(g), 3483, and 3485 
of this title and the provisions of subchapters I and II 
of chapter 36 of this title (with the exception of sections 
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3686(a), 3687, and 3692) shall be applicable to the provi-
sion of educational assistance under this subchapter. The 
term ‘eligible veteran’ and the term ‘person’, as used in 
those provisions, shall be deemed for the purpose of the 
application of those provisions to this subchapter to refer 
to a person eligible for educational assistance under this 
subchapter. 
‘‘(d) FLIGHT TRAINING.—The Secretary of Veterans 
Affairs may approve the pursuit of flight training (in addi-
tion to a course of flight training that may be approved 
under section 3680A(b) of this title) by an individual enti-
tled to educational assistance under this subchapter if— 
‘‘(1) such training is generally accepted as nec-
essary for the attainment of a recognized vocational 
objective in the field of aviation; 
‘‘(2) the individual possesses a valid private 
pilot certificate and meets, on the day the member 
begins a course of flight training, the medical re-
quirements necessary for a commercial pilot certifi-
cate; and 
‘‘(3) the flight school courses meet Federal 
Aviation Administration standards for such courses 
and are approved by the Federal Aviation Adminis-
tration and the State approving agency.’’. 
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(b) CLERICAL AMENDMENTS.—The tables of chap-
ters at the beginning of title 38, United States Code, and 
at the beginning of part III of such title, are each amend-
ed by inserting after the item relating to chapter 32 the 
following new item: 
‘‘33. Educational Assistance for Members of the Reserve 
Components ............................................................. 3301’’. 
SEC. 3. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) CONFORMING AMENDMENTS ON BAR ON DUAL 
ELIGIBILITY FOR BENEFITS.— 
(1) Section 3033 of title 38, United States 
Code, is amended— 
(A) in subsection (a)(1), by striking ‘‘chap-
ter 106 or 107 of title 10’’ and inserting 
‘‘under subchapter I or subchapter II of chap-
ter 33 of this title, under chapter 107 of title 
10’’; and 
(B) in subsection (c), by striking ‘‘chapter 
106 of title 10’’ and inserting ‘‘subchapter I of 
chapter 33 of this title’’. 
(2) Section 3221(f) of such title is amended by 
striking ‘‘chapter 106 of title 10’’ and inserting 
‘‘subchapter I of chapter 33 of this title’’. 
(3) Section 3681 of such title is amended— 
(A) in subsection (a), by striking ‘‘34, 35, 
or 36 of this title or 106 or 107 of title 10,’’ 
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and inserting ‘‘33, 34, 35, or 36 of this title’’; 
and 
(B) in subsection (b)— 
(i) in paragraph (1), by inserting be-
fore the period the following: ‘‘, and sub-
chapters I and II of chapter 33 of this 
title’’; and 
(ii) in paragraph (2), by striking 
‘‘Chapters 106 and’’ and inserting ‘‘Chap-
ter’’. 
(b) CONFORMING AMENDMENTS RELATING TO DE-
PARTMENT OF DEFENSE EDUCATION BENEFITS FUND.— 
(1) DEFINITION OF ARMED FORCES EDUCATION 
LIABILITIES.—Paragraph (1) of section 2006(b) of 
title 10, United States Code, is amended to read as 
follows: 
‘‘(1) The term ‘armed forces education liabil-
ities’ means liabilities of the armed forces for bene-
fits under chapters 30 and 33 of title 38 and for De-
partment of Defense benefits under paragraphs (3) 
and (4) of section 510(e) of this title, including 
funds provided by the Secretary of Homeland Secu-
rity for education liabilities for the Coast Guard 
when it is not operating as a service in the Depart-
ment of the Navy. The term includes Department of 
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Defense benefits under chapters 1606 and 1607 of 
this title, as in effect immediately before the date of 
the enactment of the Montgomery GI Bill Integra-
tion Act of 2007, for persons who became entitled 
to educational assistance under such chapters before 
that date and use, on or after that date, the benefits 
to which the persons became entitled.’’. 
(2) DEFINITION OF NORMAL COST.—Paragraph 
(2) of such section is amended by striking subpara-
graph (C) and inserting the following new subpara-
graph: 
‘‘(C) The present value of the future De-
partment of Defense benefits payable from the 
Fund (including funds from the Department in 
which the Coast Guard is operating) for— 
‘‘(i) 
educational 
assistance 
under 
chapter 33 of title 38 to persons who dur-
ing such period become entitled to such as-
sistance; and 
‘‘(ii) educational assistance under 
chapters 1606 and 1607 of this title, as in 
effect immediately before the date of the 
enactment of the Montgomery GI Bill Inte-
gration Act of 2007, to persons who be-
came entitled to such assistance under 
VerDate Aug 31 2005 
22:58 Mar 26, 2007
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pwalker on PROD1PC71 with BILLS