110 HR 81 IH: Bartlett Montgomery GI Bill
U.S. House of Representatives
2007-01-04
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.Short title; table of
contents
(a)This Act may be cited as the Bartlett Montgomery GI Bill
Act
.
(b)The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents
Title I—Active Duty program
Sec. 101. Transfer of entitlement to basic educational
assistance under the Montgomery GI Bill
Sec. 102. Application of annual adjustment to rates of
educational assistance based on average costs of higher learning
Sec. 103. Additional opportunity for certain VEAP participants
to enroll in basic educational assistance under Montgomery GI Bill
Sec. 104. Reimbursement of reductions of basic pay
Title II—Selected Reserve
Sec. 201. Transfer of entitlement to educational assistance
under the Reserve Montgomery GI Bill
Sec. 202. Credit for cumulative active duty service in the
Selected Reserve
Sec. 203. Increase in rates of educational assistance under the
Reserve Montgomery GI Bill
Title III—Survivors' and dependents' educational
assistance
Sec. 301. Application of annual adjustment to rates of
educational assistance based on average costs of higher learning
<enum>I</enum><header>Active Duty
program</header>
<section id="H3A22A64C08D74E2985634D7FD7BAFE10"><enum>101.</enum><header>Transfer of
entitlement to basic educational assistance under the Montgomery GI
Bill</header>
<subsection id="H79C29C98FC264DC494DB9D36B7009F00"><enum>(a)</enum><header>All-volunteer
force educational assistance program</header><paragraph commented="no" display-inline="yes-display-inline" id="HFFD8891E2DA646E694A3F4C907EFA97"><enum>(1)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/38/3020">Section 3020</external-xref> of title 38,
United States Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H4755D39B821248DF9BD3E4129D396700" style="USC">
<section id="H2BDF9993B7C74B67B8D319E27603324F"><enum>3020.</enum><header>Transfer of
entitlement to basic educational assistance</header>
<subsection id="H8A351A343D594E6B8C31EBD2B5D86100"><enum>(a)</enum><header>Election to
transfer entitlement</header><paragraph commented="no" display-inline="yes-display-inline" id="HC9E2D02A2B9B444300023665D599652C"><enum>(1)</enum><text>An individual described
in subsection (b) who is entitled to basic educational assistance under this
subchapter may elect to transfer to one or more of the dependents specified in
subsection (c) a portion of such individual’s entitlement to such
assistance.</text>
</paragraph><paragraph id="H73DF4D116EA648D9955000E5F963F928" indent="up1"><enum>(2)</enum><text>An individual transferring
entitlement under this section shall submit written notice to the Secretary
concerned not later than the expiration date of the period described in section
3031 of this title that is applicable to such individual.</text>
</paragraph></subsection><subsection id="H38C59927A1AE40B684006732CC66007C"><enum>(b)</enum><header>Eligible
individuals</header><text display-inline="yes-display-inline">An individual
referred to in subsection (a) is any member of the Armed Forces who, at the
time of the approval by the Secretary concerned of the member's request to
transfer entitlement to basic educational assistance under this section—</text>
<paragraph id="HE6D8FFCDBE3B45DB87F77301A261CCD"><enum>(1)</enum><text display-inline="yes-display-inline">has completed six years of service in the
Armed Forces; and</text>
</paragraph><paragraph id="HD12B1C5CF9624F9EAD2BE077807684A2"><enum>(2)</enum><text display-inline="yes-display-inline">enters into an agreement to serve at least
four more years as a member of the Armed Forces.</text>
</paragraph></subsection><subsection id="HA9610A30475741D682DB4CBA60AAB3A9"><enum>(c)</enum><header>Eligible
dependents</header><text>An individual may transfer entitlement under this
section as follows:</text>
<paragraph id="H880616C34CE8408AA600C70B8FB62C3"><enum>(1)</enum><text>To the individual’s
spouse.</text>
</paragraph><paragraph id="H8AAC9A0DCEA84AAEADBBBFE8036C6203"><enum>(2)</enum><text>To one or more of
the individual’s children.</text>
</paragraph><paragraph id="H39DFD8FACA35468B9BE43000F33E73A3"><enum>(3)</enum><text>To a combination
of the individuals referred to in paragraphs (1) and (2).</text>
</paragraph></subsection><subsection id="H485A5F31F2F040E18E710060ED743098"><enum>(d)</enum><header>Designation of
transferee</header><text>An individual transferring entitlement under this
section shall—</text>
<paragraph id="HCDE4F67602044975B613002C50A021B2"><enum>(1)</enum><text>designate the
dependent or dependents to whom such entitlement is being transferred;</text>
</paragraph><paragraph id="H35048C6BAB74404E9B0742C158E6D1B0"><enum>(2)</enum><text>designate the
number of months of such entitlement to be transferred to each such dependent;
and</text>
</paragraph><paragraph id="H573F7558380044F1A66289FE92FB1533"><enum>(3)</enum><text>specify the period
for which the transfer shall be effective for each such dependent.</text>
</paragraph></subsection><subsection id="HBC118EACF017469E80406846717EC3EC"><enum>(e)</enum><header>Revocation and
modification</header><text>An individual transferring entitlement under this
section may modify or revoke at any time the transfer of any unused portion of
the entitlement so transferred. The modification or revocation of the transfer
of entitlement under this subsection shall be made by the submittal of written
notice of the action to both the Secretary concerned and the Secretary of
Veterans Affairs.</text>
</subsection><subsection id="HE78E9F1861A942279BB6BFE0E943D3A0"><enum>(f)</enum><header>Commencement of
use</header><text>If the dependent to whom entitlement is transferred under
this section is a child, the use of the transferred entitlement may not
commence until the child—</text>
<paragraph id="H720B8C06A8C14B868E646500C67D00BB"><enum>(1)</enum><text>completes the
requirements of a secondary school diploma (or equivalency certificate);
or</text>
</paragraph><paragraph id="H5FC8592858FE4A1683E145C51FB7277"><enum>(2)</enum><text>attains 18 years of
age.</text>
</paragraph></subsection><subsection id="HE7D6B6AF29C4454B9945ACE3CAFDA329"><enum>(g)</enum><header>Time limitation
for use of eligibility and entitlement</header><text>Notwithstanding section
3031 of this title, and subject to subsection (d)(3), a dependent to whom
entitlement is transferred under this section may use such entitlement not
later than the expiration date of a 15-year period beginning on the
commencement date of the period described in section 3031 of this title that is
applicable to the individual who transferred such entitlement to the
dependent.</text>
</subsection><subsection id="HDC13245BA3454760A3E9D2DAA1DBA500"><enum>(h)</enum><header>Additional
administrative matters</header><paragraph commented="no" display-inline="yes-display-inline" id="H030E70E528FD42439797FD9D40673B90"><enum>(1)</enum><text>The use of any
entitlement transferred under this section shall be charged against the
entitlement of the individual making the transfer at the rate of one month for
each month of transferred entitlement that is used.</text>
</paragraph><paragraph id="HF7B0F11A7B894E4CB0FDC3E5091758F3" indent="up1"><enum>(2)</enum><text>Except as provided under paragraphs
(2) and (3) of subsection (d) and subsection (g), and subject to paragraph (5),
a dependent to whom entitlement is transferred under this section is entitled
to basic educational assistance under this subchapter in the same manner as the
individual from whom entitlement was transferred.</text>
</paragraph><paragraph id="H3BEE57D7487A45889629925D3413F59B" indent="up1"><enum>(3)</enum><text>(A) Subject to subparagraph (B), the
monthly rate of educational assistance payable to a dependent to whom
entitlement is transferred under this section shall be the monthly amount
payable under sections 3015 and 3022 of this title to the individual making the
transfer.</text>
<subparagraph id="H2935B7F4AC9C4CB9B3CF1F7D6F00C0C9" indent="up1"><enum>(B)</enum><text>The monthly rate of assistance
payable to a dependent under subparagraph (A) shall be subject to the
provisions of section 3032 of this title, except that the provisions of
subsection (a)(1) of that section shall not apply even if the individual making
the transfer to the dependent under this section is on active duty during all
or any part of enrollment period of the dependent in which such entitlement is
used.</text>
</subparagraph></paragraph><paragraph id="HC2E7AFA2C7454432A8D4DEA5AD7C5ED8" indent="up1"><enum>(4)</enum><text>The death of an individual
transferring entitlement under this section shall not affect the use of the
transferred entitlement by the dependent to whom entitlement is
transferred.</text>
</paragraph><paragraph id="H3485993719654D0EA5F6CA3DB827F3DE" indent="up1"><enum>(5)</enum><text>Notwithstanding subsection (g) and
section 3031 of this title, a child to whom entitlement is transferred under
this section may not use any entitlement so transferred after attaining the age
of 26 years.</text>
</paragraph><paragraph id="H4329C73E3DE14400B93300439499C3D1" indent="up1"><enum>(6)</enum><text>Except as provided in subsection (f),
the purposes for which a dependent to whom entitlement is transferred under
this section may use such entitlement shall include the pursuit and completion
of the requirements of a secondary school diploma (or equivalency
certificate).</text>
</paragraph></subsection><subsection id="H5714037B363D4028AD43AA16FA085FC"><enum>(i)</enum><header>Overpayment</header><text>In
the event of an overpayment of basic educational assistance with respect to a
dependent to whom entitlement is transferred under this section, the dependent
and the individual making the transfer shall be jointly and severally liable to
the United States for the amount of the overpayment for purposes of section
3685 of this title.</text>
</subsection><subsection id="HD5F40810B6BF4AC9939566A934502852"><enum>(j)</enum><header>Authority for
certain individuals who opted out of educational assistance to transfer
entitlement</header><paragraph commented="no" display-inline="yes-display-inline" id="H822A44127B9048EC9E163C2CA7BEAD38"><enum>(1)</enum><text display-inline="yes-display-inline">Subject to the succeeding provisions of
this subsection, a specified individual may elect to transfer to one or more of
the dependents specified in subsection (c) such individual’s entitlement to
such assistance in the same manner, and under the same terms and conditions,
that apply to an individual referred to in subsection (a).</text>
</paragraph><paragraph id="H9E77C29B17864CF2835785704E27B593" indent="up1"><enum>(2)</enum><text>For purposes of this subsection, the
term <quote>specified individual</quote> means an individual—</text>
<subparagraph id="HD1B312DC4DB94E53AA2EED5CE355EE16"><enum>(A)</enum><text display-inline="yes-display-inline">who made an election under section
3011(c)(1) or 3012(d)(1) of this title, as the case may be;</text>
</subparagraph><subparagraph id="HEB9B3AEDEFD047CB8E1D70E26100D4B7"><enum>(B)</enum><text display-inline="yes-display-inline">who withdraws such election (in a form and
manner determined by the Secretary concerned) not later than one year after the
date of the enactment of the Bartlett Montgomery GI Bill Act;</text>
</subparagraph><subparagraph id="HC709EA2102374C398F9EF0E218A09BC3"><enum>(C)</enum><text>whose conditional delimiting period
(as described in paragraph (3)) has not expired; and</text>
</subparagraph><subparagraph id="HBB343BAC02F84993BDBA67692CAC4773"><enum>(D)</enum><text>from whom the Secretary has reduced
basic pay or collected payment as provided in paragraph (4).</text>
</subparagraph></paragraph><paragraph id="HBCF8362EAD2B4AA8BDE0856345CCA581" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">The conditional delimiting period referred
to in paragraph (2)(C) is the period described in section 3031 of this title
that would have been applicable to such individual but for the election made by
the individual under section 3011(c)(1) or 3012(d)(1) of this title, as the
case may be.</text>
</paragraph><paragraph id="H1073E39974A14C9A9E892E001EBA003E" indent="up1"><enum>(4)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H7641EC8B057A4707A260EA3F30C7C768"><enum>(A)</enum><text display-inline="yes-display-inline">Subject to subparagraph (B), with respect
to a specified individual who withdraws an election under paragraph (2)(B) to
transfer entitlement to basic educational assistance under this subchapter, the
basic pay of the specified individual shall be reduced (in a manner determined
by the Secretary concerned) until the total amount by which such basic pay is
reduced is $1,200.</text>
</subparagraph><subparagraph id="H72D87C804C224346BE64DC44F7FDA183" indent="up1"><enum>(B)</enum><text>To the extent that basic pay is not
reduced under subparagraph (A) before the specified individual's discharge or
release from active duty, at the election of the specified individual—</text>
<clause id="HA98FA68B107D42C89081C96958CA10F5"><enum>(i)</enum><text>the Secretary concerned shall collect
from the specified individual; or</text>
</clause><clause id="H7F9AE57478984C8D83A6A6D38F63239D"><enum>(ii)</enum><text display-inline="yes-display-inline">the Secretary concerned shall reduce the
retired or retainer pay of the specified individual by,</text>
</clause><continuation-text continuation-text-level="subparagraph">an
amount equal to the difference between $1,200 and the total amount of
reductions under subparagraph (A), which shall be paid into the Treasury of the
United States as miscellaneous receipts.</continuation-text></subparagraph></paragraph><paragraph id="H1137662ACB3544A09694EFDCC043B13C" indent="up1"><enum>(5)</enum><text>A specified individual may only
transfer, and may not use, entitlement under this chapter.</text>
</paragraph><paragraph id="HDB56ED4B1578465F9B9EDFC300C963D4" indent="up1"><enum>(6)</enum><text>In carrying out this
subsection—</text>
<subparagraph id="H5C0FF13352554E84AAFCDE6B969CC00"><enum>(A)</enum><text>the reference in subsection (a) to
<quote>not later than the expiration date of the period described in section
3031 of this title</quote> is deemed to be a reference to <quote>during the one
year period beginning on the date of the enactment of the Bartlett Montgomery
GI Bill Act</quote>; and</text>
</subparagraph><subparagraph id="HBB3920B0F9ED4F2297541054D2034C54"><enum>(B)</enum><text display-inline="yes-display-inline">the reference in subsection (f) to
<quote>commencement date of the period described in section 3031 of this
title</quote> is deemed to be a reference to the <quote>commencement date of
the conditional delimiting period under subsection (i)(3)</quote>.</text>
</subparagraph></paragraph></subsection><subsection id="H90F4709A213C485B82BC61E4B54C9FEC"><enum>(k)</enum><header>Regulations</header><text>The
Secretaries concerned shall prescribe regulations for purposes of this
section.</text>
</subsection><subsection id="H3C3CCFCE98FB476BBECBF9878D64A34"><enum>(l)</enum><header>Annual
report</header><text>Not later than January 31 each year (beginning in 2008),
the Secretary of Defense, in consultation with the other Secretaries concerned,
shall submit to the Committees on Armed Services and the Committees on
Veterans' Affairs of the Senate and House of Representatives a report on the
number of individuals transferring entitlement to educational assistance under
this section during the preceding fiscal year.</text>
</subsection><subsection id="H70AC1CE292B04379827043B0829BCF48"><enum>(m)</enum><header>Secretary
concerned defined</header><text>Notwithstanding section 101(25) of this title,
in this section the term <term>Secretary concerned</term> means—</text>
<paragraph id="H7E77238CDFD74183A56B77A03C006346"><enum>(1)</enum><text>the Secretary of
the Army with respect to matters concerning the Army;</text>
</paragraph><paragraph id="HA78D2703666C4F208FD3677659199D68"><enum>(2)</enum><text>the Secretary of
the Navy with respect to matters concerning the Navy or the Marine
Corps;</text>
</paragraph><paragraph id="HB887DA22A6444E6C91AA8907FCFAA5C0"><enum>(3)</enum><text>the Secretary of
the Air Force with respect to matters concerning the Air Force; and</text>
</paragraph><paragraph id="H1B966AF44A984CBF9DB1A87300C1DBE8"><enum>(4)</enum><text>the Secretary of
Defense with respect to matters concerning the Coast Guard, or the Secretary of
Homeland Security when it is not operating as a service in the
Navy.</text>
</paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H7AE6AB0146024626A822361404F95B2B"><enum>(b)</enum><header>Clerical
amendment</header><text>The table of sections at the beginning of chapter 30 of
such title is amended by striking the item relating to section 3020 and
inserting the following:</text>
<quoted-block id="HF8A04C045D0E4A96BAD1244119D1D7C" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">3020. Transfer of entitlement to basic
educational
assistance</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section id="H25D5E83779BF46689147B8F2480B6E1"><enum>102.</enum><header>Application of
annual adjustment to rates of educational assistance based on average costs of
higher learning</header>
<subsection id="H0F4F7A9FCBA44441002EC81142E8857"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Section 3015(h) of
title 38, United States Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HA75ACB36C94B4197B8D01467EFBDED95" style="USC">
<subsection id="H3822B860243949E9B2C62207C509D916"><enum>(h)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H13CCA104B3DE4A61B41F202245B2FE3"><enum>(1)</enum><text display-inline="yes-display-inline">With respect to any fiscal year, the
Secretary shall provide a percentage increase (rounded to the nearest dollar)
in the rates payable under subsections (a)(1) and (b)(1) equal to the
percentage (as determined by the Secretary) by which—</text>
<subparagraph id="H6D2920057AF84929BDD0A451110439E" indent="up1"><enum>(A)</enum><text display-inline="yes-display-inline">the average monthly costs of tuition and
expenses for commuter students at public institutions of higher learning that
award baccalaureate degrees for purposes of subsections (a)(1) and (b)(1) for
the fiscal year involved, exceeds</text>
</subparagraph><subparagraph id="H8A242078E66F4FD0B17E6C2CDB4F54A6" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">such average monthly costs for the
preceding fiscal year.</text>
</subparagraph></paragraph><paragraph id="H5347DF18032044D70033D074BD3ABBD" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">The Secretary shall make the determination
under paragraph (1) after consultation with the Secretary of Education.</text>
</paragraph><paragraph id="H84D853034EF045E1B38BE7F682B9F91E" indent="up1"><enum>(3)</enum><text display-inline="yes-display-inline">A
determination made under paragraph (1) in a year shall take effect on October 1
of that year and apply with respect to basic educational assistance allowances
payable under this section for the fiscal year beginning in that year.</text>
</paragraph><paragraph id="H7CAA2C7EE32249FC94FB81008804BAF5" indent="up1"><enum>(4)</enum><text display-inline="yes-display-inline">Not later than September 30 each year, the
Secretary shall publish in the Federal Register the average monthly costs of
tuition and expenses as determined under paragraph (1) in that
year.</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H346ADC1953EC4F15B4B49FC57CEC1324"><enum>(b)</enum><header>Effective
date</header><text display-inline="yes-display-inline">The amendment made by
subsection (a) shall apply to payments for months beginning after September 30,
2007.</text>
</subsection></section><section id="H5C0A48CDB39042D9BE4245A604ACABBF"><enum>103.</enum><header>Additional
opportunity for certain VEAP participants to enroll in basic educational
assistance under Montgomery GI Bill</header>
<subsection id="H094158D22C7E4984BCE9B98600E7B5B2"><enum>(a)</enum><header>Additional
one-year opportunity to enroll</header><text display-inline="yes-display-inline">Subsection (e) of section 3018C of title
38, United States Code, is amended by adding at the end the following new
paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HB982F4744A5942A9B86EAC2F92E1F24F" style="USC">
<paragraph id="HC0955BF4DAB948BAB465E02606C0685"><enum>(6)</enum><text display-inline="yes-display-inline">In addition to the one-year period
applicable under paragraph (1), a qualified individual (described in paragraph
(2)) may make an irrevocable election under this subsection during the one-year
period beginning on the date of the enactment of this paragraph, except that in
applying this subsection as modified by this paragraph, the reference in
paragraph (2)(B) to <quote>April, 1, 2000,</quote> is deemed to be a reference
to <quote>April, 1,
2007</quote>.</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H9C1F58D7C3EB473287CBCDE41B89B8E9"><enum>(b)</enum><header>Conforming
amendments</header><text display-inline="yes-display-inline">Subsection (e)(3)
of such section is amended by striking <quote>under paragraph (1)</quote> both
places it appears and inserting <quote>under this subsection</quote>.</text>
</subsection></section><section id="H5EAA53DF77E545FC91048522AB36F6A5"><enum>104.</enum><header>Reimbursement
of reductions of basic pay</header>
<subsection id="H260FC16C4AA64EDF95F2C38963530471"><enum>(a)</enum><header>Reimbursement
for extended active duty service</header><text>Sections 3011(b) and 3012(c) of
title 38, United States Code, are each amended by adding at the end the
following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H0AA8DA3B3D5E4A5DAD93DBDBC074AED1" style="USC">
<paragraph id="HAC3680F5A2C7483680109D12BBDA4072" indent="up1"><enum>(4)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H811F35214EE24C0D9E32D994312B7EE8"><enum>(A)</enum><text>Subject to subparagraph
(C), in the case of an individual who, after the date of completion of the
continuous period of active duty service applicable to the individual under
this section, continues to serve on active duty service, the Secretary shall
pay to the individual $100 for each consecutive12-month period of active duty
service served by the individual after such date.</text>
</subparagraph><subparagraph id="HB31A914CFE544858BB73757100E04645" indent="up1"><enum>(B)</enum><text>In the case of an individual who was
discharged or released from active duty for a condition described in section
3011(a)(1)(A)(i) of this title, the Secretary shall pay to such individual the
aggregate amount of reductions in basic pay made under paragraph (1).</text>
</subparagraph><subparagraph id="H64D07B4D99AD4C64A7391DC36603A371" indent="up1"><enum>(C)</enum><text>In no case may the amount of payments
to an individual under subparagraph (A) exceed the amount of reductions made
with respect to the individual under paragraph
(1).</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H54B19EF75497445B8900ADFE8854B0AD"><enum>(b)</enum><header>Conforming
amendment</header><text>Paragraph (2) of section 3017(b) of such title is
amended—</text>
<paragraph id="H24A988F83FEC4F5BA400CD72875E3491"><enum>(1)</enum><text>by striking
<quote>and</quote> at the end of paragraph (1);</text>
</paragraph><paragraph id="H7759B2858E424AC0BB00D5294D66D9F6"><enum>(2)</enum><text>by striking the
period at the end of paragraph (2) and inserting <quote>; and</quote> ;
and</text>
</paragraph><paragraph id="H1465CBF0207F439FA83E9FFC98089E61"><enum>(3)</enum><text>by adding at the
end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HD4CD4A69B4A546A99218C5BC43EF63F5" style="USC">
<subparagraph id="HB67434B8F9D1422F88CE08A02EDFFB02"><enum>(C)</enum><text>the amount paid to
the individual under section 3011(b)(4) or 3012(c)(4) of this title (as the
case may
be).</text>
</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H15C6F2C2BD364516B800A49EF8632C53"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to periods
of active duty served on or after the date of the enactment of this Act.</text>
</subsection></section><enum>II</enum><header>Selected
Reserve</header>
<section id="H3006D721F858495988FDD74F58846434"><enum>201.</enum><header>Transfer of
entitlement to educational assistance under the Reserve Montgomery GI
Bill</header>
<subsection id="H04E6375CD9A44CA39B25F6B6EB34F0BA"><enum>(a)</enum><header>Selected
Reserve</header><paragraph commented="no" display-inline="yes-display-inline" id="HDC0D66F087C041FD8C693462EE092000"><enum>(1)</enum><text>Chapter 1606 of title
10, United States Code, is amended by adding at the end the following new
section:</text>
<quoted-block display-inline="no-display-inline" id="H795372B69932408397A47C038EBC0100" style="USC">
<section id="H89EF3A27794B41CCB870461FD2CD0E9"><enum>16138.</enum><header>Transfer of
entitlement to educational assistance</header>
<subsection id="H62948C414C1E49B085B3CAC8A1CB7976"><enum>(a)</enum><header>In
general</header><text>An individual described in subsection (b) who is entitled
to educational assistance under this chapter may elect to transfer to one or
more of the dependents specified in subsection (c) a portion of such
individual’s entitlement to such assistance. An individual transferring
entitlement under this section shall submit written notice to the Secretary
concerned not later than the expiration date of the period described in section
16133 of this title that is applicable to such individual.</text>
</subsection><subsection display-inline="no-display-inline" id="HAD6256E3183C4FE7B6849FB8541952B"><enum>(b)</enum><header>Eligible
individuals</header><text display-inline="yes-display-inline">An individual
referred to in subsection (a) is any member of the Armed Forces who, at the
time of the approval by the Secretary concerned of the member's request to
transfer entitlement to basic educational assistance under this section—</text>
<paragraph id="H2067B0B647E049320068005BBFB9A3BD"><enum>(1)</enum><text display-inline="yes-display-inline">has completed six years of service in the
Selected Reserve; and</text>
</paragraph><paragraph id="HD4BB81AFFD17493BBB2545257614BBF9"><enum>(2)</enum><text display-inline="yes-display-inline">enters into an agreement to remain a member
of the Selected Reserve for a period of not less than four years.</text>
</paragraph></subsection><subsection id="HE2412157B96A4A5AABA58D416B65BCE8"><enum>(c)</enum><header>Eligible
dependents</header><text>An individual may transfer entitlement under this
section as follows:</text>
<paragraph id="H1E4E38FD9CB24BAEA09457AFBCD29711"><enum>(1)</enum><text>To the
individual’s spouse.</text>
</paragraph><paragraph id="HC9B350EA2C664CE987FF2C38F3C68E72"><enum>(2)</enum><text>To one or more of
the individual’s children.</text>
</paragraph><paragraph id="H432909F9E35B4DE4982B65E16C03F8B8"><enum>(3)</enum><text>To a combination
of the individuals referred to in paragraphs (1) and (2).</text>
</paragraph></subsection><subsection id="HDC64646838B141F099BF00186D5F8CF8"><enum>(d)</enum><header>Designation of
transferee</header><text>An individual transferring entitlement under this
section shall—</text>
<paragraph id="HC4B8E1C365C94E96A56188F5B1562E49"><enum>(1)</enum><text>designate the
dependent or dependents to whom such entitlement is being transferred;</text>
</paragraph><paragraph id="HE126B1B926E042199B2346BF65CF35E4"><enum>(2)</enum><text>designate the
number of months of such entitlement to be transferred to each such dependent;
and</text>
</paragraph><paragraph id="H504B05F462454423ABC024A1EFE138B"><enum>(3)</enum><text>specify the period
for which the transfer shall be effective for each such dependent.</text>
</paragraph></subsection><subsection id="HE1C621147A5849A3B73756E6D43676B7"><enum>(e)</enum><header>Revocation and
modification</header><text>An individual transferring entitlement under this
section may modify or revoke at any time the transfer of any unused portion of
the entitlement so transferred. The modification or revocation of the transfer
of entitlement under this subsection shall be made by the submittal of written
notice of the action to both the Secretary concerned and the Secretary of
Veterans Affairs.</text>
</subsection><subsection id="H2872524C006E42F8862CA3456F431494"><enum>(f)</enum><header>Commencement of
use</header><text>If the dependent to whom entitlement is transferred under
this section is a child, the use of the transferred entitlement may not
commence until the child—</text>
<paragraph id="H33C5C1B595CD42B2A406E022FF73BAB3"><enum>(1)</enum><text>completes the
requirements of a secondary school diploma (or equivalency certificate);
or</text>
</paragraph><paragraph id="H855AAF3FD87B434B9CC83CE6AFCE5FE4"><enum>(2)</enum><text>attains 18 years
of age.</text>
</paragraph></subsection><subsection id="H0F740A2396CE488594C3EA9DEA0040FC"><enum>(g)</enum><header>Time limitation
for use of eligibility and entitlement</header><text>Notwithstanding section
16133 of this title, and subject to subsection (d)(3), a dependent to whom
entitlement is transferred under this section may use such entitlement until
the later of—</text>
<paragraph id="HF56B66B5351346EC88B95ED980986D9D"><enum>(1)</enum><text>the expiration
date of a 15-year period beginning on the commencement date of the period
prescribed by section 16133(a)(1) that is applicable to the individual who
transferred such entitlement to the dependent; or</text>
</paragraph><paragraph id="H8E9DD8C5AEB44ACEB431385552007930"><enum>(2)</enum><text>the date that is
10 years after the date the individual who transferred such entitlement to the
dependent is separated from the Selected Reserve,</text>
</paragraph><continuation-text continuation-text-level="subsection">whichever
occurs first.</continuation-text></subsection><subsection id="HE90DE3230B49433AA61FF13B9B67F134"><enum>(h)</enum><header>Additional
administrative matters</header><paragraph commented="no" display-inline="yes-display-inline" id="H5107E54397224914ADAD3272C8629C72"><enum>(1)</enum><text>The use of any
entitlement transferred under this section shall be charged against the
entitlement of the individual making the transfer at the rate of one month for
each month of transferred entitlement that is used.</text>
</paragraph><paragraph id="H29B435E9A48F437D8B198503E2D5B113" indent="up1"><enum>(2)</enum><text>Except as provided under paragraphs
(2) and (3) of subsection (d) and subsection (g), and subject to paragraph (5),
a dependent to whom entitlement is transferred under this section is entitled
to educational assistance under this chapter in the same manner as the
individual from whom entitlement was transferred.</text>
</paragraph><paragraph id="HA07415A6B00046E10014C46325461C77" indent="up1"><enum>(3)</enum><text>The monthly rate of educational
assistance payable to a dependent to whom entitlement is transferred under this
section shall be the monthly amount payable under section 16131 of this title
to the individual making the transfer.</text>
</paragraph><paragraph id="H7EB27FF2564E487F907CAB9E8FD89B8" indent="up1"><enum>(4)</enum><text>The death of an individual
transferring entitlement under this section shall not affect the use of the
transferred entitlement by the dependent to whom entitlement is
transferred.</text>
</paragraph><paragraph id="HFCA8AA565F9D4B1ABCD7D584119BCA62" indent="up1"><enum>(5)</enum><text>Notwithstanding subsection (g) and
section 16133 of this title, a child to whom entitlement is transferred under
this section may not use any entitlement so transferred after attaining the age
of 26 years.</text>
</paragraph><paragraph id="H1D19B9044650406FB2942242046DA3B4" indent="up1"><enum>(6)</enum><text>Except as provided in subsection (f),
the purposes for which a dependent to whom entitlement is transferred under
this section may use such entitlement shall include the pursuit and completion
of the requirements of a secondary school diploma (or equivalency
certificate).</text>
</paragraph></subsection><subsection id="H2A7BD952B83249D0A0A7DF4F747695E9"><enum>(i)</enum><header>Overpayment</header><text>In
the event of an overpayment of basic educational assistance with respect to a
dependent to whom entitlement is transferred under this section, the dependent
and the individual making the transfer shall be jointly and severally liable to
the United States for the amount of the overpayment for purposes of section
3685 of title 38.</text>
</subsection><subsection id="H097538741FB746119B544E83E8B2CB68"><enum>(j)</enum><header>Regulations</header><text>The
Secretaries concerned shall prescribe regulations for purposes of this
section.</text>
</subsection><subsection id="H9C56F7F316B84A6B841EAC02028CC3FC"><enum>(k)</enum><header>Secretary
concerned defined</header><text>Notwithstanding section 101(a)(9), in this
section the term <term>Secretary concerned</term> means—</text>
<paragraph id="H37393C9CCE3046FD00F600F5D8976D93"><enum>(1)</enum><text>the Secretary of
the Army with respect to matters concerning the Army;</text>
</paragraph><paragraph id="HF1EF1AE795674ECCADEB7C3DAAF2D056"><enum>(2)</enum><text>the Secretary of
the Navy with respect to matters concerning the Navy or the Marine
Corps;</text>
</paragraph><paragraph id="H59C7C3232EB449E2A11E7839D8004963"><enum>(3)</enum><text>the Secretary of
the Air Force with respect to matters concerning the Air Force; and</text>
</paragraph><paragraph id="H1065CBD275B0423AB2A17E4DB99855D7"><enum>(4)</enum><text>the Secretary of
Defense with respect to matters concerning the Coast Guard, or the Secretary of
Homeland Security when it is not operating as a service in the
Navy.</text>
</paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="HAB71516AD105435DA0986BA94DE6FA15" indent="up1"><enum>(2)</enum><text>The table of sections at the
beginning of such chapter is amended by adding at the end the following new
item:</text>
<quoted-block id="H788D44CDF366496F8D35070078DA9DBD" style="USC">
<toc regeneration="no-regeneration">
<toc-entry level="section">16138. Transfer of entitlement to
educational
assistance</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HCECEAB6238FD45DF8D3693AE18BE69D1"><enum>(b)</enum><header>Conforming
amendments</header><paragraph commented="no" display-inline="yes-display-inline" id="H0D14929A0A0F4C948B34D11DE2243521"><enum>(1)</enum><text>Section 16133(a) of such
title is amended by inserting <quote>and section 16138</quote> after
<quote>subsection (b)</quote>.</text>
</paragraph><paragraph id="HDF397A544DCA482693DE4204D2CE5F70" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">Section 16137 of such title is amended by
inserting <quote>Each such report shall also include the number of members of
the Selected Reserve of the Ready Reserve of each armed force transferring
entitlement to educational assistance under section 16138.</quote> after
<quote>those fiscal years.</quote>.</text>
</paragraph></subsection></section><section display-inline="no-display-inline" id="H91B16DF6D5DE475AA467FF3048E0ECF8" section-type="subsequent-section"><enum>202.</enum><header>Credit for
cumulative active duty service in the Selected Reserve</header>
<subsection id="H6B2E5F8C273E4F1E87CBAF114DB19B7"><enum>(a)</enum><header>Entitlement</header><text>Section
3012(a)(1) of title 38, United States Code, is amended—</text>
<paragraph id="HF4E09B5575174886A9C603661C571F05"><enum>(1)</enum><text>in subparagraph
(B), by striking <quote>or</quote> at the end;</text>
</paragraph><paragraph id="HB158D8C162D048ECB2AAC1040448723D"><enum>(2)</enum><text>in subparagraph
(C), by adding <quote>or</quote> at the end; and</text>
</paragraph><paragraph id="HE7F557638E4449C3801F8FB921BB4349"><enum>(3)</enum><text>by inserting after
subparagraph (C) the following new subparagraph (D):</text>
<quoted-block id="HB10D4D2473A44A2891F7D7342568632D">
<subparagraph id="H3F51D5F49F13467A9308AE6E2B0098F8"><enum>(D)</enum><text>while in the
Selected Reserve—</text>
<clause id="HB67D175754A147BC8C83902677D906ED"><enum>(i)</enum><text>is
first ordered to serve on active duty in the Armed Forces under section
12301(a), 12301(d), 12301(g), 12302, or 12304 of title 10, during the period
beginning on September 11, 2001, and ending December 31, 2007; and</text>
</clause><clause id="H93C8530747D949548383517F5DE40229"><enum>(ii)</enum><text>serves on active
duty in the Armed Forces for one or more periods (whether continuous or
otherwise) aggregating not less than two years of service on active duty during
a five period beginning on the date the individual is first ordered to serve on
active duty during the period referred to in clause
(i);</text>
</clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HB6AD639CE2EE473FAC1934C0FCB6D032"><enum>(b)</enum><header>Duration of
assistance</header><text>Subsection (b) of section 3013 of such title is
amended by striking <quote>is entitled to</quote> and all that follows and
inserting the following:</text>
<quoted-block display-inline="yes-display-inline" id="H33116B3158B7455690845D177078025B">
<text>is entitled
to—</text><paragraph id="H81161FE97614486991C79D7F94890777"><enum>(1)</enum><text>one month of
educational assistance benefits under this chapter—</text>
<subparagraph id="HFF6A7E88DBCA4AE3A17B00D2EFBCB819"><enum>(A)</enum><text>in the case of an
individual described in section 3012(a)(1)(A) of this title, for each month of
continuous active duty served by such individual after June 30, 1985, as part
of the obligated period of active duty on which such entitlement is
based;</text>
</subparagraph><subparagraph id="H88FC589ADCF1441B89D5AF4D00CAC3BE"><enum>(B)</enum><text>in the case of an
individual described in section 3012(a)(1)(B) or section 3012(a)(1)(C) of this
title, for each month of continuous active duty served by such individual after
June 30, 1985;</text>
</subparagraph><subparagraph id="H7CA738E085714D5D81E492A98EEC9BF2"><enum>(C)</enum><text>in the case of an
individual described in section 3012(a)(1)(D) of this title, for each month of
active duty served by such individual after September 11, 2001, as part of the
aggregate period of active duty on which such entitlement is based; and</text>
</subparagraph></paragraph><paragraph id="HB363BEBD590A46B8AAD1D84BC6FB1F07"><enum>(2)</enum><text>one month of
educational assistance benefits under this chapter for each four months served
by such individual in the Selected Reserve after the applicable date specified
in paragraph (1) (other than any month in which the individual served on active
duty).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H1247F7E243054A6B99A9A12E86F3C973"><enum>(c)</enum><header>Amount of
assistance</header><text>Section 3015 of such title is amended by adding at the
end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="H96150080D18A415F91336DC3050206B9" style="USC">
<subsection id="HDB772B7FBA8F4A69A757A9B97B75B5BF"><enum>(i)</enum><text>In the case of an
individual entitled to an educational assistance allowance under section
3012(a)(1)(D) of this title, the amount of the basic educational assistance
allowance payable under this chapter is the amount determined under subsection
(b).</text>
</subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H67992D60A50846158FB03FDD32132969"><enum>(d)</enum><header>Contribution</header><text>Paragraph
(1) of section 3012(c) of such title is amended by inserting <quote>or
subsection (a)(1)(D)</quote> after <quote>subsection (a)(1)(A)</quote>.</text>
</subsection><subsection id="H4C04B5E72E034056ADDBD1D9589678EB"><enum>(e)</enum><header>Election to opt
out</header><text>Paragraph (1) of section 3012(d) of such title is
amended—</text>
<paragraph id="H403A63528AA7485B88AEE34FA13B8CE"><enum>(1)</enum><text>by
inserting <quote>(A)</quote> after <quote>(d)(1)</quote>;</text>
</paragraph><paragraph id="H9232BD2606CF4882888B1256CC906D8D"><enum>(2)</enum><text>by designating the
last sentence as subparagraph (C);</text>
</paragraph><paragraph id="HD51CA40E872B4B149D5CA67DF2D4B14"><enum>(3)</enum><text>in
subparagraph (C), as so designated, by striking <quote>such an election</quote>
and inserting <quote>an election under this paragraph</quote>; and</text>
</paragraph><paragraph id="HCF4312C7A51141A4ABC22E2600D0BF97"><enum>(4)</enum><text>by inserting
before subparagraph (C), as so designated, the following new subparagraph
(B):</text>
<quoted-block display-inline="no-display-inline" id="HBD6481470F27498E8122870081186407" style="USC">
<subparagraph id="HF9659A1D96E4485E95A5920404ACEAC2" indent="up2"><enum>(B)</enum><text display-inline="yes-display-inline">An individual described in subsection
(a)(1)(D) may make an election not to receive educational assistance under this
chapter. Any such election shall be made at the time the individual completes
the aggregate period of active duty service required under such
subsection.</text>
</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HBF2CDA5002B64749A02C81A4F383B71E"><enum>(f)</enum><header>Outreach</header><paragraph commented="no" display-inline="yes-display-inline" id="HF8C44EFF1FBD4C36987E1E233D53CC58"><enum>(1)</enum><text>The Secretaries
concerned shall take actions to inform members of the Selected Reserve who are
or may become entitled to basic educational assistance benefits under chapter
30 of title 38, United States Code, as a result of section 3012(a)(1)(D) of
such title (as amended by subsection (a) of this section) of the minimum
service requirements for entitlement to such benefits under that chapter and of
the scope and nature of such benefits.</text>
</paragraph><paragraph id="H9EA89B13BEED425D98DB1BBAA758D698" indent="up1"><enum>(2)</enum><text>In this subsection:</text>
<subparagraph id="HAA1A0134227E45A1901D7366C958C9A6"><enum>(A)</enum><text>The term <term>Secretary
concerned</term> has the meaning given such term in section 101(25) of title
38, United States Code.</text>
</subparagraph><subparagraph id="HE7347AAF0B6E48EA8D725943C4542E83"><enum>(B)</enum><text>The term <term>Selected Reserve</term>
has the meaning given such term in <external-xref legal-doc="usc" parsable-cite="usc/38/3002">section 3002(4)</external-xref> of title 38, United States
Code.</text>
</subparagraph></paragraph></subsection></section><section display-inline="no-display-inline" id="H54892BC0118A49459237EC5EB1466343" section-type="subsequent-section"><enum>203.</enum><header>Increase in rates of
educational assistance under the Reserve Montgomery GI Bill</header>
<subsection id="H4CA7E9E22B424209BC890059D0FC9100"><enum>(a)</enum><header>In
general</header><text><external-xref legal-doc="usc" parsable-cite="usc/10/16131">Section 16131(b)</external-xref> of title 10, United States Code, is
amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HEE719FC7038440F499EE5D2F5DBD8D38" style="USC">
<subsection id="HEE6B1F0718934104001F62539700C4A2"><enum>(b)</enum><text>Except as provided
in subsections (d) through (f), each educational assistance program established
under subsection (a) shall provide for payment by the Secretary concerned,
through the Secretary of Veterans Affairs, to each person entitled to
educational assistance under this chapter who is pursuing a program of
education of an educational assistance allowance at the following monthly
rates:</text>
<paragraph id="H206FC39B1A0243B6B7CAA96E864DB355"><enum>(1)</enum><text>For such a program
of education pursued on a full-time basis, at the monthly rate equal to 40
percent of the rate that applies for the month under section 3015(a)(1) of
title 38.</text>
</paragraph><paragraph id="H5D1DF197DEA8424391F51E1C1EDF27F6"><enum>(2)(A)</enum><text>Subject to
subparagraph (B), for such a program of education pursued on a less than a
full-time basis, at an appropriately reduced rate, as determined under
regulations which the Secretaries concerned shall prescribe.</text>
</paragraph><paragraph id="HAA61D8302243432B8FABF9959137E300"><enum>(B)</enum><text>No payment may be
made to a person for less than half-time pursuit of such a program of education
if tuition assistance is otherwise available to the person for such pursuit
from the military department
concerned.</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HD56CE0F427A4444EB446CED3B0AFE17C"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by subsection (a) shall apply with
respect to educational assistance allowances under section 16131(b) of such
title paid for months occurring on or after the date of the enactment of this
Act.</text>
</subsection><subsection id="H10735DFE36DD4EB8BB29D5EE250000F"><enum>(c)</enum><header>Conforming
increase to educational assistance rates under chapter
1607</header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/10/16162">section 16162(c)</external-xref> of title 10, United States
Code, is amended—</text>
<paragraph id="HF99D6A4495B04F3FA750F57040D532F4"><enum>(1)</enum><text>by striking
<quote>40 percent</quote> in subparagraph (A) and inserting <quote>50
percent</quote>; and</text>
</paragraph><paragraph id="H761A23E122394756B9170912A5F2EE1"><enum>(2)</enum><text>by
striking <quote>60 percent</quote> in subparagraph (B) and inserting <quote>65
percent</quote>.</text>
</paragraph></subsection></section><enum>III</enum><header>Survivors' and
dependents' educational assistance</header>
<section id="H27DCE877A92146888718B96439B81558"><enum>301.</enum><header>Application of
annual adjustment to rates of educational assistance based on average costs of
higher learning</header>
<subsection id="HD12FC3A084BA4464BE3329D7A42EC5BA"><enum>(a)</enum><header>In
general</header><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/38/3564">section 3564</external-xref> of title 38, United States
Code, is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H1299B80C33704DACAE8F375110AC4C2E" style="USC">
<subsection id="H148ACB27130E41C7BFFC70977D5FBFCF"><enum>(a)</enum><text display-inline="yes-display-inline">With respect to any fiscal year, the
Secretary shall provide for the same percentage increase in the rates payable
under sections 3532, 3534(b), and 3542(a) of this title as the Secretary
applies under subsection (h)(1) of section 3015 of this title to the rates
applicable under subsections (a)(1) and (b)(1) of such
section.</text>
</subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H4334A2043121448E847B490956E94B9F"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by subsection (a) shall apply to payments
for months beginning after September 30, 2007.</text>
</subsection></section>