[Federal Register Volume 62, Number 217 (Monday, November 10, 1997)]
[Proposed Rules]
[Pages 60464-60465]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-29633]
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DEPARTMENT OF VETERANS AFFAIRS
38 CFR Part 21
RIN 2900-AI85
Veterans' Training: Time Limit for Submitting Certifications
Under the Service Members Occupational Conversion and Training Act
AGENCY: Department of Veterans Affairs.
ACTION: Proposed rule.
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SUMMARY: This document proposes to amend the training assistance and
training benefit regulations of the Department of Veterans Affairs
(VA). It proposes to place deadlines for submitting the certifications
needed for both periodic payments and lump-sum deferred-incentive
payments under the Service Members Occupational Conversion and Training
Act (SMOCTA). Since the Act has a sunset provision, all work for which
payments are due has been completed. This proposal would allow VA to
close the administration of SMOCTA.
DATES: Comments must be received on or before January 9, 1998.
ADDRESSES: Mail or hand deliver written comments to: Director, Office
of Regulations Management (02D), Department of Veterans Affairs, 810
Vermont Ave., NW, Room 1154, Washington, DC 20420. Comments should
indicate that they are submitted in response to ``RIN 2900-AI85''. All
written comments received will be available for public inspection at
the above address in the Office of Regulations Management, Room 1158,
between the hours of 8:00 a.m. and 4:30 p.m., Monday through Friday
(except holidays).
FOR FURTHER INFORMATION CONTACT: June C. Schaeffer, Assistant Director
for Policy and Program Administration,
[[Page 60465]]
Education Service, Veterans Benefits Administration, 202-273-7187.
SUPPLEMENTARY INFORMATION: This document proposes to amend 38 CFR Part
21, Subpart F-3. It proposes to place two-year deadlines for submitting
the certifications required for both periodic payments and lump-sum
deferred-incentive payments under the Service Members Occupational
Conversion and Training Act (SMOCTA), 10 U.S.C. 1143, note.
Under SMOCTA, VA has made periodic payments to employers while they
trained veterans who were forced or induced to leave military service
by reason of the drawdown of the Armed Forces. SMOCTA provides that the
maximum period of training for which assistance may be provided on
behalf of a veteran is 18 months. Under SMOCTA VA also provides for
lump-sum deferred-incentive payments to employers if the veterans
remained employed in the occupation for which they were trained for at
least four continuous months after they completed training. Although
the National Defense Authorization Act for Fiscal Year 1994 (Pub. L.
103-160) extended the date by which a veteran could enter a SMOCTA
training program to March 31, 1997, Pub. L. 103-335 only extended the
availability of SMOCTA funds for obligation until September 30, 1995.
The effect of these provisions is that the last period of training for
which VA may provide assistance will end on September 30, 1997, and the
last period of continuous employment for which lump-sum deferred-
incentive payments are due will end on January 31, 1998.
VA has provided by regulation (38 CFR 21.4832(a)(3)) that periodic
payments will be made only after the employer certifies that the
veteran's progress during the period was satisfactory and further
certifies the number of hours the veteran worked during the period. VA
also has provided by regulation (38 CFR 21.4832(b)(1)) that lump-sum
deferred-incentive payments will be made only after the employer and
the veteran certify that the veteran has been employed in the
occupation for which the veteran trained for at least four continuous
months after the last date of training.
This document proposes to amend the regulations to state that the
periodic payments will be made only if the employer certifies training
on or before September 30, 1999. This document also proposes to amend
the regulations to state that the lump-sum deferred-incentive payments
will be made only if the employee's certification (there are provisions
for waiver of the employee's certification; 38 CFR 21.4382) and the
employer's certification required for that payment are submitted on or
before January 31, 2000. These provisions appear to be warranted. They
provide more than a reasonable amount of time for submission of claims
after the programs have ended and also will eliminate the need for the
VA to provide administrative personnel available to service such
claims.
The Secretary of Veterans Affairs hereby certifies that this
proposed rule, if promulgated, would 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. The adoption of the
proposed rule would affect some small entities. However, the effect of
the proposed rule, requiring employers to submit certifications within
two years of the end of SMOCTA training, would not impose any
additional costs on the employer. Pursuant to 5 U.S.C. 605(b), this
proposed rule, therefore, is exempt from the initial and final
regulatory flexibility analyses requirements of Secs. 603 and 604.
No Catalog of Federal Domestic Assistance number has been assigned
to the program affected by this proposed 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, Educational institutions, Employment, Grant
programs--education, Grant programs--veterans, Health care, Loan
programs--education, Loan programs--veterans, Manpower training
programs, Reporting and recordkeeping requirements, Travel and
transportation expenses, Veterans, Vocational education, Vocational
rehabilitation.
Approved: October 27, 1997.
Hershel W. Gober,
Acting Secretary of Veterans Affairs.
For the reasons set forth in the preamble, 38 CFR part 21 (subpart
F-3) is proposed to be amended as set forth below.
PART 21--VOCATIONAL REHABILITATION AND EDUCATION
Subpart D--Administration of Educational Assistance Programs
1. The authority for part 21, subpart F-3 continues to read as
follows:
Authority: 10 U.S.C. 1143 note; sec. 4481-4487, Pub. L. 102-484,
106 Stat. 2757-2769; sec. 610, Pub. L. 103-446, 108 Stat. 4673-4674,
unless otherwise noted.
2. In Sec. 21.4832, paragraphs (e)(3) and (e)(4) are added to read
as follows:
Sec. 21.4832 Payments to employers.
* * * * *
(e) Restrictions on payments. * * *
(3) VA will not release any periodic payments for training provided
by an employer if VA receives the employer's certification for that
training after September 30, 1999.
(4) VA will not release any lump sum deferred incentive payment if
VA receives either the veteran's or employer's certification required
for that payment after January 31, 2000.
(Authority: 106 Stat. 2762, Pub. L. 102-484, sec. 4487(b); 10 U.S.C.
1143, note)
[FR Doc. 97-29633 Filed 11-7-97; 8:45 am]
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