[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 723 Introduced in Senate (IS)]







110th CONGRESS
  1st Session
                                 S. 723

 To provide certain enhancements to the Montgomery GI Bill Program for 
certain individuals who serve as members of the Armed Forces after the 
     September 11, 2001, terrorist attacks, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 1, 2007

Mr. Hagel (for himself and Mr. Kennedy) introduced the following bill; 
  which was read twice and referred to the Committee on Armed Services

_______________________________________________________________________

                                 A BILL


 
 To provide certain enhancements to the Montgomery GI Bill Program for 
certain individuals who serve as members of the Armed Forces after the 
     September 11, 2001, terrorist attacks, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Montgomery GI Bill Enhancement Act 
of 2007''.

SEC. 2. EXEMPTION FROM PAYMENT OF INDIVIDUAL CONTRIBUTIONS UNDER 
              MONTGOMERY GI BILL OF INDIVIDUALS WHO SERVE AS ACTIVE 
              DUTY MEMBERS OF THE ARMED FORCES UNDER EXECUTIVE ORDER 
              13235.

    (a) Active Duty Program.--Notwithstanding section 3011(b) of title 
38, United States Code, no reduction in basic pay otherwise required by 
such section shall be made in the case of a covered member of the Armed 
Forces.
    (b) Selected Reserve Program.--Notwithstanding section 3012(c) of 
such title, no reduction in basic pay otherwise required by such 
section shall be made in the case of a covered member of the Armed 
Forces.
    (c) Termination of On-Going Reductions in Basic Pay.--In the case 
of a covered member of the Armed Forces who first became a member of 
the Armed Forces or first entered on active duty as a member of the 
Armed Forces before the date of the enactment of this Act and whose 
basic pay would, but for subsection (a) or (b) of this section, be 
subject to reduction under section 3011(b) or 3012(c) of such title for 
any month beginning on or after that date, the reduction of basic pay 
of such covered member of the Armed Forces under such section 3011(b) 
or 3012(c), as applicable, shall cease commencing with the first month 
beginning on or after that date.
    (d) Refund of Contributions.--
            (1) In general.--In the case of any covered member of the 
        Armed Forces whose basic pay was reduced under section 3011(b) 
        or 3012(c) of such title for any month beginning before the 
        date of the enactment of this Act, the Secretary concerned 
        shall pay to such covered member of the Armed Forces an amount 
        equal to the aggregate amount of reductions of basic pay of 
        such member of the Armed Forces under such section 3011(b) or 
        3012(c), as applicable, as of that date.
            (2) Tax exemption.--Any amount paid to a covered member of 
        the Armed Forces under paragraph (1) shall not be included in 
        gross income under the Internal Revenue Code of 1986.
            (3) Derivation of funds.--Amounts for payments made by a 
        Secretary concerned under paragraph (1) during fiscal year 2007 
        shall be derived from amounts made available for such fiscal 
        year in an Act making supplemental appropriations for defense 
        and the reconstruction of Iraq.
            (4) Secretary concerned defined.--In this subsection, the 
        term ``Secretary concerned'' means--
                    (A) the Secretary of the Army, with respect to 
                matters concerning the Army;
                    (B) the Secretary of the Navy, with respect to 
                matters concerning the Navy or the Marine Corps;
                    (C) the Secretary of the Air Force, with respect to 
                matters concerning the Air Force; and
                    (D) the Secretary of Homeland Security, with 
                respect to matters concerning the Coast Guard.
    (e) Covered Member of the Armed Forces Defined.--In this section, 
the term ``covered member of the Armed Forces'' means any individual 
who serves on active duty as a member of the Armed Forces during the 
period--
            (1) beginning on November 16, 2001, the date of Executive 
        Order 13235, relating to National Emergency Construction 
        Authority; and
            (2) ending on the termination date of the Executive order 
        referred to in paragraph (1).

SEC. 3. OPPORTUNITY FOR INDIVIDUALS WHO SERVE AS ACTIVE DUTY MEMBERS OF 
              THE ARMED FORCES UNDER EXECUTIVE ORDER 13235 TO WITHDRAW 
              ELECTION NOT TO ENROLL IN MONTGOMERY GI BILL.

    Section 3018 of title 38, United States Code, is amended--
            (1) by redesignating subsections (c) and (d) as subsection 
        (d) and (e), respectively;
            (2) by inserting after subsection (b) the following new 
        subsection (c):
    ``(c)(1) Notwithstanding any other provision of this chapter, 
during the one-year period beginning on the date of the enactment of 
this subsection, an individual who--
            ``(A) serves on active duty as a member of the Armed Forces 
        during the period beginning on November 16, 2001, and ending on 
        the termination date of Executive Order 13235, relating to 
        National Emergency Construction Authority; and
            ``(B) has served continuously on active duty without a 
        break in service following the date the individual first 
        becomes a member or first enters on active duty as a member of 
        the Armed Forces,
shall have the opportunity, on such form as the Secretary of Defense 
shall prescribe, to withdraw an election under section 3011(c)(1) or 
3012(d)(1) of this title not to receive education assistance under this 
chapter.
    ``(2) An individual described in paragraph (1) who made an election 
under section 3011(c)(1) or 3012(d)(1) of this title and who--
            ``(A) while serving on active duty during the one-year 
        period beginning on the date of the enactment of this 
        subsection makes a withdrawal of such election;
            ``(B) continues to serve the period of service which such 
        individual was obligated to serve;
            ``(C) serves the obligated period of service described in 
        subparagraph (B) or before completing such obligated period of 
        service is described by subsection (b)(3)(B); and
            ``(D) meets the requirements set forth in paragraphs (4) 
        and (5) of subsection (b),
is entitled to basic educational assistance under this chapter.''; and
            (3) in subsection (e), as so redesignated, by inserting 
        ``or (c)(2)(A)'' after ``(b)(1)''.
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