[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]


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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.

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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