[Federal Register Volume 62, Number 99 (Thursday, May 22, 1997)]
[Rules and Regulations]
[Pages 27963-27964]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-13372]
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DEPARTMENT OF DEFENSE
DEPARTMENT OF TRANSPORTATION
Coast Guard
DEPARTMENT OF VETERANS AFFAIRS
38 CFR Part 21
RIN 2900-AI54
Reservists' Education: Increase in Rates Payable Under the
Montgomery GI Bill--Selected Reserve
AGENCIES: Department of Defense; Coast Guard, DOT; and Department of
Veterans Affairs.
ACTION: Final rule.
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SUMMARY: By statute, the monthly rates of basic educational assistance
payable to reservists under the Montgomery GI Bill--Selected Reserve
must be adjusted each fiscal year. In accordance with the statutory
formula, the regulations governing rates of basic educational
assistance payable under the Montgomery GI Bill--Selected Reserve for
fiscal year 1997 (October 1, 1996, through September 30, 1997) are
changed to show a 2.7% increase in these rates. Furthermore, the
Veterans' Benefits Improvements Act of 1996 provides that the lower
rate of educational assistance payable to reservists pursuing
cooperative training was abolished effective October 9, 1996. They will
be paid at the same rate as those reservists pursuing residence
training. The regulations are changed to conform to statutory
requirements.
DATES: This final rule is effective May 22, 1997. However, the changes
in rates are applied retroactively to conform to statutory
requirements. For more information concerning the dates of application,
see the SUPPLEMENTARY INFORMATION section.
FOR FURTHER INFORMATION CONTACT: June C. Schaeffer, Assistant Director
for Policy and Program Administration, Education Service, Veterans
Benefits Administration, Department of Veterans Affairs, (202) 273-
7187.
SUPPLEMENTARY INFORMATION: Under the formula mandated by 10 U.S.C.
16131(b) for fiscal year 1997, the rates of basic educational
assistance under the Montgomery GI Bill--Selected Reserve payable to
students pursuing a program of education full time, three-quarter time,
and half time must be increased by 2.7%, which is the percentage by
which the total of the monthly Consumer Price Index-W for July 1, 1995,
through June 30, 1996, exceeds the total of the monthly Consumer Price
Index-W for July 1, 1994, through June 30, 1995.
10 U.S.C. 16131(b) requires that full-time, three-quarter time, and
half-time rates be increased as noted above. In addition, 10 U.S.C.
16131(d) requires that monthly rates payable to reservists in
apprenticeship or other on-job training must be set at a given
percentage of the full-time rate. Hence, there is a 2.7% raise for such
training as well.
10 U.S.C. 16131(b) also requires that the Department of Veterans
Affairs (VA) pay reservists training less than half time at an
appropriately reduced rate. Since payment for less than half-time
training became available under the Montgomery GI Bill--Selected
Reserve in fiscal year 1990, VA has paid less than half-time students
at 25% of the full-time rate. Changes are made consistent with the
authority and formula described in this paragraph.
Before the enactment on October 9, 1996, of the Veterans' Benefits
Improvements Act of 1996 (Public Law 104-275), the rate of educational
assistance payable to a reservist pursuing a cooperative course was set
by statute at 80% of the rate payable to a reservist in residence
training. This statutory provision was reflected in the regulations.
The Veterans' Benefits Improvements Act of 1996 eliminated this
different rate of payment so that reservists in cooperative training
receive the same monthly rate as reservists in residence training. 38
CFR 21.7636 is changed accordingly.
Nonsubstantive changes also are made for the purpose of clarity.
The changes set forth in this final rule are effective from the
date of publication, but the changes in rates are applied retroactively
from October 1, 1996, or October 9, 1996, as respectively set out in
the regulations, in accordance with the applicable statutory provisions
discussed above.
Substantive changes made by this final rule merely reflect
statutory requirements and adjustments made based on previously
established formulas. Accordingly, there is a basis for dispensing with
prior notice and comment and delayed effective date provisions of 5
U.S.C. 552 and 553.
The Secretary of Defense, the Commandant of the Coast Guard, and
the Secretary of Veterans Affairs hereby certify that this final rule
will not have a significant economic impact on a substantial number of
small entities as they are defined in the Regulatory Flexibility Act, 5
U.S.C. 601-612. This final rule directly affects only individuals and
does not directly affect small entities. Pursuant to 5 U.S.C. 605(b),
this final rule, therefore, is exempt from the initial and final
regulatory flexibility analyses requirements of sections 603 and 604.
There is no Catalog of Federal Domestic Assistance number for the
program affected by this final rule.
List of Subjects in 38 CFR Part 21
Administrative practice and procedure, Armed forces, Civil rights,
Claims, Colleges and universities, Conflict of interests, Defense
Department, Education, Employment, Grant programs--education, Grant
programs--veterans, Health programs, Loan programs--education, Loan
programs--veterans, Manpower training programs, Reporting and
recordkeeping requirements, Schools, Travel and transportation
expenses, Veterans, Vocational education, Vocational rehabilitation.
Approved: January 24, 1997.
Jesse Brown,
Secretary of Veterans Affairs.
Approved: February 24, 1997.
Al H. Bemis,
Deputy Assistant Secretary for Defense for Reserve Affairs (M&P).
Approved: April 24, 1997.
W.C. Donnell, RADM, USCG,
Assistant Commandant for Human Resources, U.S. Coast Guard.
For the reasons set out above, 38 CFR part 21, subpart L, is
amended as set forth below.
PART 21--VOCATIONAL REHABILITATION AND EDUCATION
Subpart L--Educational Assistance for Members of the Selected
Reserve
1. The authority citation for part 21, subpart L, is revised to
read as follows:
Authority: 10 U.S.C. ch. 1606; 38 U.S.C. 501(a), ch. 36, unless
otherwise noted.
2. In 21.7636, paragraphs (a)(1), (a)(2) introductory text,
(a)(2)(i), and (a)(3) are revised and the authority citation for
paragraph (a) is republished to read as follows:
[[Page 27964]]
Sec. 21.7636 Rates of payment.
(a) Monthly rate of educational assistance. (1) Except as otherwise
provided in this section or in Sec. 21.7639, the monthly rate of
educational assistance payable to a reservist is the amount stated in
this table:
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Training time
Period of pursuit of training -----------------------------------------------
Fulltime \3/4\ time \1/2\ time \1/4\ time
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Oct. 1, 1995-Sept. 30, 1996..................................... $197.90 $148.42 $98.95 $49.47
On or after Oct. 1, 1996........................................ 203.24 152.43 101.62 50.81
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(2) The monthly rate of basic educational assistance payable to a
reservist for pursuit of apprenticeship or other on-job training full
time is the rate stated in this table:
(i)
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Monthly rate
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Training period Oct. 1, 1995-
Sept. 30, On or after
1996 Oct. 1, 1996
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First six months of pursuit of training..... $148.42 $152.43
Second six months of pursuit of training.... 108.94 111.78
Remaining pursuit of training............... 69.26 71.13
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* * * * *
(3) The monthly rate of educational assistance payable to a
reservist for pursuit of a cooperative course is the rate stated in
this table:
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Period of pursuit of training Monthly rate
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Oct. 1, 1995-Sept. 30, 1996............................... $158.32
Oct. 1, 1996-Oct. 8, 1996................................. 162.59
On or after Oct. 9, 1996.................................. 203.24
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Authority: 10 U.S.C. 16131(b), (c); sec. 12009(c), Pub. L. 103-
66, 107 Stat. 416)
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[FR Doc. 97-13372 Filed 5-21-97; 8:45 am]
BILLING CODE 8320-01-P