[Federal Register Volume 62, Number 243 (Thursday, December 18, 1997)] [Proposed Rules] [Pages 66320-66321] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 97-32989] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF VETERANS AFFAIRS 38 CFR Part 21 RIN 2900-AI88 Veterans' Education: Effective Date for Awards of Educational Assistance to Veterans Who Were Voluntarily Discharged AGENCY: Department of Veterans Affairs. ACTION: Proposed rule. ----------------------------------------------------------------------- SUMMARY: This document proposes to amend the educational-assistance and educational-benefit regulations of the Department of Veterans Affairs (VA). It proposes to establish effective dates of awards of educational assistance to certain voluntarily discharged veterans who are eligible for the Montgomery GI Bill--Active Duty (MGIB). The effective dates are intended to correspond with a statutory mandate for the effective dates. The proposed rule also clarifies that these veterans may not receive educational assistance for training that occurs before they pay the Federal government $1,200. DATES: Comments must be received on or before February 17, 1998. Applicability Dates: It is proposed that the effective dates be made retroactive from the effective dates of the statutory provisions. For more information concerning the proposed effective dates, see the SUPPLEMENTARY INFORMATION section. ADDRESSES: Mail or hand deliver written comments to: Director, Office of Regulations Management (02D), Department of Veterans Affairs, 810 Vermont Ave., NW, Room 1154, Washington, DC 20420. Comments should indicate that they are submitted in response to ``RIN 2900-AI88.'' All written comments will be available for public inspection at the above address in the Office of Regulations Management, Room 1158, between the hours of 8 a.m. and 4:30 p.m., Monday through Friday (except holidays). FOR FURTHER INFORMATION CONTACT: June C. Schaeffer, Assistant Director for Policy and Program Administration, Education Service, Veterans Benefits Administration, 202-273-7187. SUPPLEMENTARY INFORMATION: This document clarifies 38 CFR part 21, subpart K, regarding the effective dates for awards of educational assistance to certain voluntarily discharged veterans. Pub. L. 102-484 (sec. 4404, 38 U.S.C. 3018B) allows a veteran who was voluntarily separated under either 10 U.S.C. 1174a or 1175 before Oct. 23, 1992, to elect to receive educational assistance under the Montgomery GI Bill--Active Duty. The veteran was given until Oct. 23, 1993, to do so. The law also requires such a veteran to submit $1,200 to VA as a condition of receiving such educational assistance. However, the law does not specify a time limit for submitting the $1,200 and the proposed rule clarifies that there is no such time limit. The effective date of an award also is affected by when VA received the $1,200. VA is required by 38 U. S. C. 5113 to make the effective dates of the award of educational assistance, to the extent feasible, correspond to the effective dates relating to awards of disability compensation. The provisions of 38 U.S.C. 5110 and 5111 contain the rules for determining the effective date of an award of disability compensation. The general intent of 38 U.S.C. 5110 is to allow the effective date of an award of compensation to be the day following the date of discharge if application is filed within one year after discharge. Otherwise, the earliest date of the award shall be the date of receipt of application. Further, 38 U.S.C. 5103 provides, as to benefit claims generally, that information or evidence necessary to complete the claim must be submitted within one year of the date requested by VA; otherwise, no benefits are payable based on that claim. Accordingly, when payment of the $1,200 must be made as a condition of receiving benefits, it is proposed to establish effective dates for educational assistance consistent with the provisions of 38 U.S.C. 5103 and 5110. The Secretary of Veterans Affairs hereby certifies that this proposed rule will not have a significant economic impact on a substantial number of small entities as they are defined in the Regulatory Flexibility Act, 5 U.S.C. 601-612. The proposed rule will affect individual, not small entities. Therefore, pursuant to 5 U.S.C. 605(b), this proposed rule is exempt from the initial and final regulatory flexibility analyses requirements of sections 603 and 604. The Catalog of Federal Domestic Assistance number for the program affected by this proposed rule is 64.124. List of Subjects in 38 CFR Part 21 Administrative practice and procedure, Armed forces, Civil rights, Claims, Colleges and universities, Conflict of interests, Defense Department, Education, Educational institutions, Employment, Grant programs--education, Grant programs--veterans, Health care, Loan programs--education, Loan programs--veterans, Manpower training programs, Reporting and recordkeeping requirements, Travel and transportation expenses, Veterans, Vocational education, Vocational rehabilitation. Approved: December 5, 1997. Hershel W. Gober, Acting Secretary of Veterans Affairs. For the reasons set out above, 38 CFR part 21, subpart K, is proposed to be amended as set forth below. Subpart K--All Volunteer Force Educational Assistance Program (Montgomery GI Bill--Active Duty) 1. The authority citation for subpart K continues to read as follows: Authority: 38 U.S.C. 501(a), chs. 30 and 36, unless otherwise noted. 2. In Sec. 21.7131, paragraph (n) is added to read as follows: Sec. 21.7131 Commencing dates. * * * * * (n) Eligibility established under Sec. 21.7045(c). The effective date of an [[Page 66321]] award of educational assistance when the veteran has established eligibility under Sec. 21.7045(c) is as follows: (1) If the veteran is not entitled to receive educational assistance under 38 U.S.C. ch. 32 on the date he or she made a valid election to receive educational assistance under 38 U.S.C. ch. 30, the effective date of the award of educational assistance will be the latest of the following. (i) The commencing date as determined by paragraphs (a) through (c) and (f) through (j) of this section; or (ii) October 23, 1992, provided that VA received the $1,200 required to be collected pursuant to Sec. 21.7045(c)(2) and any other evidence necessary to establish that the election is valid before the later of: (A) October 23, 1993; or (B) One year from the date VA requested the $1,200 or the evidence necessary to establish a valid election; or (iii) The date VA received the $1,200 required to be collected pursuant to Sec. 21.7045(c)(2) and all other evidence needed to establish that the election is valid, if the provisions of paragraph (n)(1)(ii) of this section are not met. (2) If the veteran is entitled to receive educational assistance under 38 U.S.C. ch. 32 on the date he or she made a valid election to receive educational assistance under 38 U.S.C. ch. 30, the effective date of the award of educational assistance will be the latest of the following: (i) The commencing date as determined by paragraphs (a) through (c) and (f) through (j) of this section; or (ii) The date on which the veteran made a valid election to receive educational assistance under 38 U.S.C. chapter 30 provided that VA received the $1,200 required to be collected pursuant to Sec. 21.7045(c)(2) and any other evidence necessary to establish that the election is valid before the later of: (A) One year from the date VA received the valid election; or (B) One year from the date VA requested the $1,200 or the evidence necessary to establish a valid election; or (iii) The date VA received the $1,200 required to be collected pursuant to Sec. 21.7045(c)(2) and all other evidence needed to establish that the election is valid, if the provisions of paragraph (n)(2)(ii) of this section are not met. (Authority 38 U.S.C. 3018B) [FR Doc. 97-32989 Filed 12-17-97; 8:45 am] BILLING CODE 8320-01-P