[Federal Register Volume 60, Number 119 (Wednesday, June 21, 1995)]
[Rules and Regulations]
[Pages 32271-32272]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-15195]



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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: Final rule.

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SUMMARY: This document amends the Vocational Rehabilitation and 
Education regulations to standardize the periods for submission of 
mitigating circumstances justifying a withdrawal from a course. Failure 
to submit mitigating circumstances within the prescribed time period 
could result in the creation of overpayments of educational assistance. 
This final rule 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. This 
document also amends such regulations to remove attendance 
recordkeeping requirements for educational institutions that do not 
have attendance standards.

EFFECTIVE DATE: July 21, 1995.

FOR FURTHER INFORMATION CONTACT: June C. Schaeffer, Assistant Director 
for Policy and Program Administration, Education Service, Veterans 
Benefits Administration, (202) 273-7187.

SUPPLEMENTARY INFORMATION: The proposed rule was published in the 
Federal Register of June 24, 1994 (59 FR 32671). Interested persons 
were given 60 days to submit comments, suggestions or objections.
    VA received one letter from a concerned individual. He urged the 
department to adopt the proposed rule. For the reasons stated in the 
proposal, VA is adopting the proposed rule as a final rule without any 
changes.
    The Secretary of Veterans Affairs hereby certifies that these 
revised regulations will not have a significant economic impact on a 
substantial number of small entities as they are [[Page 32272]] defined 
in the Regulatory Flexibility Act (RFA), 5 U.S.C. 601-612. Pursuant to 
5 U.S.C. 605(b), the revised regulations, therefore, are exempt from 
the initial and final regulatory flexibility analyses requirements of 
sections 603 and 604.
    Any cost savings for schools which will result from no longer 
having to maintain attendance records will not have a significant 
economic impact on such schools. Further, other amendments directly 
affect only individuals.
    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 final rule 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 29, 1995.
Jesse Brown,
Secretary of Veterans Affairs.
    For the reasons set out in the preamble, 38 CFR part 21, subparts D 
and K are 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 subpart D of part 21 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 one-year 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 one-year 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''.

Subpart K--All Volunteer Force Educational Assistance Program (New 
GI Bill)

    7. The authority citation for subpart K of part 21 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 one-year 
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 one-year time limit 
should be extended to the date on which he or she submitted the 
evidence supporting the existence of mitigating circumstances.
* * * * *
[FR Doc. 95-15195 Filed 6-20-95; 8:45 am]
BILLING CODE 8320-01-P