[Congressional Record Volume 147, Number 91 (Wednesday, June 27, 2001)]
[Senate]
[Pages S6999-S7000]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. SPECTER:
  S. 1114. A bill to amend title 38, United States Code, to increase 
the amount of educational benefits for veterans under the Montgomery GI 
Bill; to the Committee on Veterans' Affairs.
  Mr. SPECTER. Mr. President, I have sought recognition at this time to 
comment briefly on legislation that I am introducing today to increase 
educational benefits paid to veterans under the Montgomery GI bill, 
MGIB. This bill is the same as a bill, H.R. 1291, that was passed by 
the House, under the leadership of the chairman of the House Committee 
on Veterans' Affairs, Representative Chris Smith, on June 19, 2001, by 
a vote of 416-0. I introduce the same legislation here in the Senate, 
and I urge my colleagues to join with me to complete the task of 
increasing veterans' Montgomery GI bill benefits.
  This legislation, once it is fully phased in over a three year 
period, would increase the basic monthly benefit paid to veterans with 
at least three years of service who have returned to school from $650 
to $1,100. With this 85 percent increase in MGIB benefits, the largest 
percentage increase in the history of the Montgomery GI bill, a veteran 
with three years of service would be able to afford the average cost of 
tuition, fees, books, and room and board at a four-year public college 
or university, and still have money left over for transportation 
expenses or other personal expenses. The legislation would provide 
greater educational freedom for veterans who are constrained by the 
current benefit amount; it would open up the possibility of attendance 
at more expensive universities. And it would promote the national 
security interests of the United States by providing a substantial 
inducement for young men and women to serve in the military.
  When I became chairman of the Senate Committee on Veterans' Affairs 
at the start of the 105th Congress in 1997, I committed to increasing 
MGIB benefits which, due to budget constraints, had been woefully 
inadequate. I am pleased to report that that picture has changed; the 
basic MGIB benefit has increased by 52 percent from $427 to 650 per 
month, and in addition, service members now have the opportunity to 
``buy-up'' an additional $150 in monthly benefits, bringing the total 
level of available benefits to $800 per month, an increase of 87 
percent since 1997. Despite this significant progress, however, I 
remain concerned that the benefit usage rate among young veterans is 
too low, and that it may not yet be a sufficient inducement to assist 
the Department of Defense in recruiting high quality young men and 
women to serve in the military.
  Of the young veterans eligible for MGIB benefits, only 57 percent 
choose to avail themselves of this extraordinary opportunity. According 
to a recent report by the Department of Veterans Affairs, VA, a 
significant reason for this relatively low usage rate is the inadequacy 
of the benefit amount. MGIB benefits have simply not kept pace with 
rising education costs. As a consequence, veterans who use the benefit 
must compromise on the educational programs they select; a low 
percentage of MGIB users, only 12 percent, attend private institutions, 
and a relatively high percentage of MGIB users, 27 percent, enroll in 
two-year college programs. Now I do not undervalue the role, 
contributions, or quality of our two-year colleges. The fact is, 
however, that many veterans who would choose to attend four-year 
institutions, even public institutions, cannot afford to do so with the 
current level of benefits. My legislation would move us closer to the 
day when the only limitation on veterans' educational choice would be 
their own interests and aspirations.
  One of the primary purposes of the MGIB is to assist the Department 
of Defense, DOD with service member recruitment. When DOD asked new 
recruits in 1997 to list the reasons they joined the military, money 
for college ranked second only to ``a chance to better myself in life'' 
among the answers given. Even so, tight labor market and the 
availability of other Federal education aid have resulted in DOD 
difficulty in meeting recruiting goals. The Assistant Secretary of 
Defense for Force Management Policy reports that a benefit level ``of 
approximately $1,000 per month . . . would increase high-quality 
accessions without having a negative impact on reenlistments. . . .'' 
Thus, my proposed legislation, which would, in phases, increase

[[Page S7000]]

the monthly benefit to $1,100, is consistent with DOD's position that 
increased MGIB benefits are necessary for it to attract high-quality 
recruits.
  Attracting high-quality young men and women into the military is not 
only in the interest of the Department of Defense, it is in the 
national interest of all of our citizens. The United States Commission 
on National Security/21st Century, chaired by our former colleagues, 
Senators Gary Hart and Warren Rudman, recently called on Congress to 
enhance national security by ``significantly enhanc[ing] the Montgomery 
GI Bill'' by providing a benefit that would pay for the average 
education costs of four-year U.S. colleges. The Commission emphasized 
that the ``GI bill is both a strong recruitment tool and, more 
importantly, a valuable institutional reward for service to the nation 
in uniform.'' I thank the Commission for recognizing the important role 
the GI bill has played, and will continue to play, in ensuring the 
security of our country.
  I commend the chairman of the House Committee on Veterans' Affairs, 
Representative Chris Smith, who has taken the lead on this issue in the 
House during this first year of his chairmanship. Under Mr. Smith's 
leadership, the House did its part on June 19, 2001, by passing H.R. 
1291 by a resounding vote of 416-0. I urge my Senate colleagues to join 
with me to complete the task here in the Senate.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1114

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

     SECTION 1. INCREASE IN RATES OF BASIC EDUCATIONAL ASSISTANCE 
                   UNDER MONTGOMERY GI BILL.

       (a) In General.--(1) Section 3015(a)(1) of title 38, United 
     States Code, is amended to read as follows:
       ``(1) for an approved program of education pursued on a 
     full-time basis, at the monthly rate of--
       ``(A) for months occurring during fiscal year 2002, $800,
       ``(B) for months occurring during fiscal year 2003, $950,
       ``(C) for months occurring during fiscal year 2004, $1,100, 
     and
       ``(D) for months occurring during a subsequent fiscal year, 
     the amount for months occurring during the previous fiscal 
     year increased under subsection (h); or''.
       (2) Section 3015(b)(1) of such title is amended to read as 
     follows:
       ``(1) for an approved program of education pursued on a 
     full-time basis, at the monthly rate of--
       ``(A) for months occurring during fiscal year 2002, $650,
       ``(B) for months occurring during fiscal year 2003, $772,
       ``(C) for months occurring during fiscal year 2004, $894, 
     and
       ``(D) for months occurring during a subsequent fiscal year, 
     the amount for months occurring during the previous fiscal 
     year increased under subsection (h); or''.
       (b) CPI Adjustment.--No adjustment in rates of educational 
     assistance shall be made under section 3015(h) of title 38, 
     United States Code, for fiscal years 2002, 2003, and 2004.
                                 ______