[Federal Register Volume 59, Number 121 (Friday, June 24, 1994)] [Unknown Section] [Page 0] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-15352] [[Page Unknown]] [Federal Register: June 24, 1994] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF VETERANS AFFAIRS 38 CFR Part 21 RIN 2900-AG63 Dependents and Veterans Education: Mitigating Circumstances and Other Miscellaneous Amendments AGENCY: Department of Veterans Affairs. ACTION: Proposed rules. ----------------------------------------------------------------------- SUMMARY: These proposed regulations standardize the rules concerning submission of mitigating circumstances justifying a withdrawal from a course or courses or receipt of a nonpunitive grade for a course or courses for which an individual receives VA education benefits. This submission applies to eligible persons receiving Dependents' Educational Assistance and veterans and servicemembers receiving educational assistance under the Post-Vietnam Era Veterans' Educational Assistance Program (VEAP) and the Montgomery GI Bill--Active Duty, but the rules for doing this differ. Having different rules concerning an identical action required of VA beneficiaries is confusing not only to those beneficiaries, but also to other users of the regulations. This may result in erroneous awards. This proposal should serve to eliminate that confusion and thus result in more accurate awards of educational assistance. The proposed regulations also make additional, miscellaneous amendments. DATES: Comments must be received on or before August 23, 1994. Comments will be available for public inspection until September 2, 1994. ADDRESSES: All written comments concerning these proposed regulations should be addressed to: Secretary of Veterans Affairs (271A), Department of Veterans Affairs, 810 Vermont Avenue, NW., Washington, DC 20420. All written comments received will be available for public inspection only in the Veterans Services Unit, room 170 of the above address between the hours of 8 a.m. to 4:30 p.m., Monday through Friday (except holidays) until September 2, 1994. FOR FURTHER INFORMATION CONTACT: June C. Schaeffer, Assistant Director for Policy and Program Administration, Education Service, Veterans Benefits Administration, 202-233-2092. SUPPLEMENTARY INFORMATION: Veterans and eligible persons who discontinue a course or courses are not entitled to education benefits paid or payable for any portion of the course(s) unless they submit a description of the mitigating circumstances which caused the discontinuance. The regulations covering this matter for eligible people receiving dependents' educational assistance (Sec. 21.4137(h)) and veterans and servicemembers receiving educational assistance under VEAP (Sec. 21.4136(k)) provide time limits for both the submission of the description of those circumstances and the submission of any supporting evidence. The time limit for submission of a description of mitigating circumstances may be extended for good cause shown, but the time limit for submitting supporting evidence is inflexible. However, the parallel regulation for individuals receiving educational assistance under the Montgomery GI Bill--Active Duty (Sec. 21.7139(b)) provides a time limit for the submission of descriptions of the mitigating circumstances and is silent as to the time limits for submitting supporting evidence. This proposal would provide flexible time limits for all groups of beneficiaries and would impose a time limit for everyone for submission of supporting evidence. The provision of flexible time limits will bring both these paragraphs into agreement with other regulations VA has concerning time limits to submit other evidence. VA intends to propose similar regulations for those receiving educational assistance under the Montgomery GI Bill--Selected Reserve. This proposal also eliminates the requirement that schools maintain attendance records for all veterans enrolled in courses not leading to a standard college degree. Schools no longer have to report absences for these veterans to VA if the absences occurred after December 17, 1989. Hence, there is no longer any independent VA program requirement that schools offering accredited courses which do not lead to a standard college degree maintain attendance records, unless the school has adopted its own attendance standard. Title 38 U.S.C. 3474 requires that a school report to VA when a student fails to meet any attendance standard the school may have. It would be impossible to verify that a school is doing this unless it maintained adequate attendance records. Hence, the proposal still requires maintenance of adequate records to show that the school is enforcing its own attendance standard. In addition, the department is making minor corrections to various regulations. These corrections include eliminating a reference to another regulation that does not exist; inserting an omitted word into a sentence, etc. These are not substantive changes. The Secretary of Veterans Affairs has certified that these amended regulations, if promulgated, will not have a significant economic impact on a substantial number of small entities as they are defined in the Regulatory Flexibility Act (RFA), 5 U.S.C. 601-612. Pursuant to 5 U.S.C. 605(b), the amended regulations, therefore, are exempt from the initial and final regulatory flexibility analyses requirements of sections 603 and 604. This certification can be made even though the amendment to Sec. 21.4253 affects some small entities. However, VA does not think that the cost savings for some schools which will result from no longer having to maintain attendance records will have a significant economic impact on those small entities. The remainder of the amended regulations directly affect only individuals. They will have no significant economic impact on small entities, i.e., small businesses, small private and nonprofit organizations and small governmental jurisdictions. These regulations have been reviewed by OMB (the Office of Management and Budget) under provisions of E.O. 12866. The Catalog of Federal Domestic Assistance numbers for the programs affected by this proposal are 64.117, 64.120 and 64.124. List of Subjects in 38 CFR Part 21 Civil rights, Claims, Education, Grant programs--education, Loan programs--education, Reporting and recordkeeping requirements, Schools, Veterans, Vocational education, Vocational rehabilitation. Approved: March 14, 1994. Jesse Brown, Secretary of Veterans Affairs. For the reasons set out in the preamble, 38 CFR part 21, subparts D and K are proposed to be amended as set forth below. PART 21--VOCATIONAL REHABILITATION AND EDUCATION Subpart D--Administration of Educational Benefits; 38 U.S.C. Chapters 34, 35, and 36 1. The authority citation for part 21, subpart D continues to read as follows: Authority: 38 U.S.C. 501(a). 2. In Sec. 21.4136 paragraph (k)(1)(ii)(C) is revised to read as follows: Sec. 21.4136 Rates; educational assistance allowance; 38 U.S.C. Chapter 34. * * * * * (k) Mitigating circumstances. (1) * * * (ii) * * * (C) The veteran submits evidence supporting the existence of mitigating circumstances within one year of the date that evidence is requested by VA, or at a later date if the veteran is able to show good cause why the onmemberyear time limit should be extended to the date on which he or she submitted the evidence supporting the existence of mitigating circumstances. * * * * * 3. In Sec. 21.4137 paragraph (h)(1)(ii)(C) is revised to read as follows: Sec. 21.4137 Rates; educational assistance allowance; 38 U.S.C. Chapter 35. * * * * * (h) Mitigating circumstances. (1) * * * (ii) * * * (C) The eligible person submits evidence supporting the existence of mitigating circumstances within one year of the date that evidence is requested by VA, or at a later date if the eligible person is able to show good cause why the onmemberyear time limit should be extended to the date on which he or she submitted the evidence supporting the existence of mitigating circumstances. * * * * * Sec. 21.4234 [Amended] 4. In Sec. 21.4234(d)(2)(iii) remove the phrase ``Secs. 21.4230 and 21.4231'', and add, in its place, the phrase ``Sec. 21.4230''. 5. In Sec. 21.4253 paragraph (d)(5) is revised and an authority citation is added for paragraph (d) to read as follows: Sec. 21.4253 Accredited courses. * * * * * (d) School qualification. * * * (5) If the school has a standard of attendance, it maintains records of attendance for veterans and eligible persons enrolled in resident courses which are adequate to show the student meets the school's standard of attendance. (Authority: 38 U.S.C. 3474, 3675) * * * * * Sec. 21.4262 [Amended] 6. In Sec. 21.4262(c)(10) remove the phrase ``as by'' and add, in its place, the phrase ``as approved by''. 7. The authority citation for part 21, subpart K continues to read as follows: Authority: 38 U.S.C. chapter 30, Pub. L. 98-525; 38 U.S.C 501(a). Sec. 21.7042 [Amended] 8. In Sec. 21.7042(b)(9) remove the phrase ``subparagraph (8) of this subparagraph'', and add, in its place, the phrase ``paragraph (b)(8) of this section''. 9. In Sec. 21.7042(d)(2)(i)(A) remove the phrase ``paragraph (b)(b)'' and add, in its place, the phrase ``paragraph (b)''. 10. In Sec. 21.7139 paragraphs (b)(2) introductory text and (b)(2)(ii) are revised and paragraph (b)(2)(iii) is added to read as follows: Sec. 21.7139 Conditions which result in reduced rates. * * * * * (b) Withdrawals and nonpunitive grades. * * * (2) All of the following exist. (i) * * * (ii) The veteran or servicemember submits a description of the mitigating circumstances in writing to VA within one year from the date VA notifies the veteran or servicemember that he or she must submit a description of the mitigating circumstances, or at a later date if the veteran or servicemember is able to show good cause why the onmemberyear time limit should be extended to the date on which he or she submitted the description of the mitigating circumstances; and (iii) The veteran or servicemember submits evidence supporting the existence of mitigating circumstances within one year of the date that evidence is requested by VA, or at a later date if the veteran or servicemember is able to show good cause why the onmemberyear time limit should be extended to the date on which he or she submitted the evidence supporting the existence of mitigating circumstances. * * * * * [FR Doc. 94-15352 Filed 6-23-94; 8:45 am] BILLING CODE 8320-01-P