[Congressional Record Volume 150, Number 118 (Monday, September 27, 2004)]
[Senate]
[Pages S9723-S9724]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. HAGEL:
  S. 2849. A bill to provide certain enhancements to the Montgomery 
G.I. Bill Program for certain individuals who serve as members of the 
Armed Forces after the September 11, 2001, terrorist attacks, and for 
other purposes; to the Committee on Veterans' Affairs.
  Mr. HAGEL. Mr. President, I rise today to introduce the G.I. Bill 
Enhancement Act of 2004. My legislation would waive the Montgomery G.I. 
bill program's $1,200 enrollment fee for active duty members of our 
Nation's military.
  This legislation covers any member of the United States military, 
including Reserve and National Guard members, serving on active duty 
during the period after President Bush's November 2001 Executive order 
that placed the military on a wartime footing. This legislation would: 
waive the G.I. bill enrollment fee until President Bush's November 2001 
Executive order is rescinded; allow all servicemen and women to opt 
into the G.I. bill with no penalty or enrollment fee; and reimburse 
those servicemen and women covered by this bill who have already paid 
the $1,200 enrollment fee prior to the enactment of this legislation.
  The current Montgomery G.I. bill is tailored to serve members of our 
military in a time of peace. Upon enlistment, recruits are given the 
option of enrolling in the G.I. bill. If they choose to participate, 
they are charged a $1,200 enrollment fee which is deducted from their 
monthly pay over 12 months. However, we are now in a time of war and 
the demands on our service members and their families have been 
transformed and increased. To that end, changes must be made to the 
G.I. bill to ensure that it continues to provide realistic and relevant 
educational opportunities to those who are defending our country.

[[Page S9724]]

  This is an issue of fundamental fairness. The men and women serving 
our country in wartime should not have to choose between the long-term 
benefits of the G.I. bill and the short-term demands of their paycheck. 
The G.I. bill is one of the great legacies of military service to our 
country. Men and women sacrificing for their country in a time of war 
need to be assured that access to higher education is in their future. 
Congress must do all it can to ensure that education options for our 
veterans are accessible and real.
  The year 2004 marks the 60th anniversary of the Servicemen's 
Readjustment Act of 1944, better known as the G.I. bill. This bill has 
long been recognized as one of the most important congressional acts of 
post World War II America. The G.I. bill ensured that all who served 
their Nation would not be penalized as a result of their time away from 
their careers and communities in service to their country. The G.I. 
bill helped members of our ``greatest generation'' upon their return 
home by providing them with the educational tools necessary to pursue 
the opportunities enjoyed by all Americans.
  Over the last 60 years, the Federal Government has invested billions 
of dollars in education benefits for our Nation's veterans. Over 17.6 
million men and women have benefitted from the G.I. bill, resulting in 
a workforce that transformed American society. The bill's far-reaching 
impact can be seen here today, as Members of this body, including this 
Senator, have prospered as a result of the benefits of the G.I. bill.
  Every American should be proud of how we have responded to the 
challenges of terrorism following September 11, 2001. We owe much to 
the men and women who have fought professionally and bravely in 
Afghanistan and Iraq and who have kept guard around the world. This 
bill recognizes these sacrifices. I hope that my Senate colleagues will 
give serious consideration to this legislation.
  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. 2849

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

     SECTION 1. 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 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) 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) Amounts for payments under paragraph (1) shall be 
     derived from amounts appropriated or otherwise made available 
     to the Secretary concerned for military personnel in chapter 
     1 of title I of the Emergency Supplemental Appropriations Act 
     for Defense and for the Reconstruction of Iraq and 
     Afghanistan, 2004 (Public Law 108-106; 117 Stat. 1209).
       (4) 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. 2. 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 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)''.
                                 ______