[Federal Register Volume 63, Number 82 (Wednesday, April 29, 1998)]
[Proposed Rules]
[Pages 23408-23413]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-11295]


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DEPARTMENT OF DEFENSE

DEPARTMENT OF TRANSPORTATION

Coast Guard

DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 21

RIN 2900-AH76


Claims and Effective Dates for the Award of Educational 
Assistance

AGENCIES: Department of Defense, Department of Transportation (Coast 
Guard), and Department of Veterans Affairs.

ACTION: Proposed rule.

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SUMMARY: This document proposes to amend the educational assistance and 
educational benefit regulations of the Department of Veterans Affairs 
(VA). It proposes a standard for determining what constitutes a formal 
claim, an informal claim, and an abandoned claim that can be applied 
uniformly to the educational assistance programs VA administers. In 
addition, it proposes less restrictive effective dates for awards of 
educational assistance; proposes uniform time limits for acting to 
complete claims; and proposes to state VA's responsibilities when a 
claim is filed. It appears that this rule will result in a more uniform 
adjudication of claims for educational assistance under each of the 
education programs VA administers.

DATES: Comments must be received on or before June 29, 1998.

ADDRESSES: Mail or hand deliver written comments to Director, Office of 
Regulations Management (02D), Department of Veterans Affairs, 810 
Vermont Avenue NW., Room 1154, Washington, DC 20420. Comments should 
indicate that they are submitted in response to ``RIN 2900-AH76.'' 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 a.m. and 4:30 p.m., Monday through Friday 
(except holidays).
    Comments on the collection of information contained in this 
proposal should be submitted to the Office of Management and Budget, 
Attention: Desk Officer for the Department of Veterans Affairs, Office 
of Information and Regulatory Affairs, Washington, DC 20503, with 
copies mailed or hand delivered to the Director, Office of Regulations 
Management (02D), Department of Veterans Affairs, 810 Vermont Avenue 
NW., Room 1154, Washington, DC 20420. Comments should indicate that 
they are submitted in response to ``RIN 2900-AH76.'' All written 
comments to VA will be available for public inspection at the above 
address in the Office of Regulations Management, Room 1158, between the 
hours of 8 a.m. and 4:30 p.m., Monday through Friday (except holidays).

FOR FURTHER INFORMATION CONTACT: William G. Susling, Jr., Education 
Adviser, Education Service (225C), Veterans Benefits Administration, 
(202) 273-7187.

SUPPLEMENTARY INFORMATION: Regulations concerning VA-administered 
educational assistance and educational benefits are contained in 38 CFR 
Part 21. Rules governing time limits for filing claims or completing 
claims are contained in subparts B, C, G, H, K, and L. Each rule is 
applicable to one of the educational programs VA administers. Although 
there is no statutory reason why the rules could not be identical, they 
are not. This proposed rule would put one set of regulations concerning 
time limits in subpart B and apply them to all the educational programs 
VA administers. This would result in the following changes.
    Regulations governing the Post-Vietnam Era Veterans' Educational 
Assistance Program (VEAP) do not permit extension of time limits to act 
to perfect a claim or to challenge an

[[Page 23409]]

adverse VA decision. An extension is permitted in the regulations 
governing the Survivors' and Dependents' Educational Assistance program 
(DEA), the Montgomery GI Bill--Active Duty (MGIB), and the Montgomery 
GI Bill--Selected Reserve (MGIB-SR). There appears to be no reason why 
VEAP should be treated differently from the other education programs VA 
administers since 38 U.S.C. chapter 51 is the basis for having time 
limits in each of these programs. This proposed rule would permit the 
same extension of the time limits to perfect a claim or to challenge an 
adverse decision in VEAP as exists in other programs.
    The regulations governing the Educational Assistance Test Program 
(EATP) and those governing MGIB-SR do not provide that VA's failure to 
notify a claimant of the time limit to complete a claim or to act to 
challenge an adverse VA decision will extend the time limits for taking 
those actions. The regulations governing VEAP, DEA, and MGIB provide 
such an automatic extension. It does not appear that there is a valid 
reason to retain the different rule for EATP and MGIB-SR, since VA's 
failure to notify a claimant under these programs would have an adverse 
effect equal to a similar failure in the other three programs. This 
proposed rule would provide EATP and MGIB-SR with an automatic 
extension of the time limit on the same basis as has been provided in 
VEAP.
    Current regulations use terms related to the filing of claims, such 
as ``informal claim'' that are not fully defined. This lack of 
definition would be corrected in this rule through the adding of 
definitions to subpart B. These definitions are as follows.
    Proposed Sec. 21.1029(a) defines an abandoned claim either as one 
where VA has asked for evidence, and the claimant does not furnish the 
evidence within one-year or does not show good cause why the one year 
time limit could not be met; or one based on an informal claim where VA 
has requested a formal claim but has not either received one within one 
year of the request or the claimant has not shown good cause why the 
claim could not be submitted within a year of the request. This 
definition is based upon 38 U.S.C. 5103(a) which provides that if VA 
asks a claimant to complete a claim, and the claimant does not do so 
within a year, no benefits are payable based on that claim. While the 
statute does not label the claim an abandoned claim, in fact, it has 
been abandoned. It would appear that this definition is appropriate.
    Further, the regulations regarding a claim for educational 
assistance under MGIB state at Sec. 21.7032(c) that a reactivated claim 
after abandonment constitutes a new claim. However, at Sec. 21.7131(d) 
the regulations describe such a reactivated claim as a reopened claim. 
Since the effective date of benefits would relate to the new claim, it 
seems more appropriate to describe a reactivated claim after 
abandonment as a new claim. Accordingly, the regulations would be 
amended to consistently describe a reactivated claim after abandonment 
as a new claim.
    Proposed Sec. 21.1029(c) defines a formal claim as one that has 
been made in the form prescribed by the Secretary of Veterans Affairs 
(or designee) including one that is a claim for an increase in 
educational assistance as the result of an increase in the number of 
dependents, or one that is a claim for an extension of the eligibility 
period to receive educational assistance. 38 U.S.C. 5101(a) states that 
claimants are required to file claims on the form prescribed by the 
Secretary. Again, the statute does not label this as a formal claim, 
but it would appear that this is a reasonable definition. Such a 
definition would eliminate the need to repeat the statutory language 
whenever the regulations need to refer to the action required by 38 
U.S.C. 5101.
    The proposed rule defines an informal claim as one where the 
claimant, a representative, or a Member of Congress indicates a desire 
on the part of the claimant to receive educational assistance, but also 
states that the mere act of enrolling in an approved school is not an 
informal claim. This definition is based upon the discussion of 
informal claims contained in Secs. 21.1031, 21.3031, and 21.7030(b). By 
permitting informal claims, VA is able to base effective dates upon 
them. It appears that the definition is consistent with past practice 
and will provide an equitable way to determine a claimant's date of 
claim.
    Finally, the term ``VA'' in this proposed rule is defined as the 
United States Department of Veterans Affairs. This abbreviation is used 
with this meaning throughout this subpart, without being defined. It 
appears that to do so would eliminate any confusion caused by the use 
of this term.
    Receipt of a formal claim for benefits from an individual and 
receipt of an enrollment certification from his or her school verifying 
the individual's actual pursuit of a program of education are necessary 
prerequisites to the award of educational assistance to the individual. 
The regulations governing the effective dates for awards of educational 
assistance generally provide that the commencing date of an award will 
be the later of one year before the date of receipt of the claim or one 
year before the date of receipt of the enrollment certification from 
the school. These regulations were adopted when the normal method of 
receiving the enrollment certification was through the mails. Today, VA 
receives many enrollment certifications electronically. Delays in 
receipt of the certification are not the fault of the Postal Service, 
but rather the educational institution. Since it appears that 
certification of enrollment is not under the veteran's control, this 
proposed rule would revise the regulations governing effective dates to 
eliminate this provision. The proposal would base effective dates on 
the date of claim, without regard to receipt of the enrollment 
certification.
    This document also would amend Sec. 21.7631 to reflect statutory 
requirements for effective dates for awards of educational assistance 
for MGIB-SR.
    The Department of Defense (DOD) is issuing this proposal jointly 
with VA insofar as it relates to VEAP and EATP. These programs are 
funded by DOD and administered by VA. DOD, the Department of 
Transportation (Coast Guard), and VA are jointly issuing this proposal 
insofar as it relates to the MGIB-SR. This program is funded by DOD and 
the Coast Guard, and is administered by VA. The remainder of this 
proposal is issued solely by VA.

Paperwork Reduction Act of 1995

    The Office of Management and Budget (OMB) has determined that the 
proposed 38 CFR 21.1030 would constitute a collection of information 
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520). 
Accordingly, under section 3507(d) of the Act VA has submitted a copy 
of this rulemaking action to OMB for its review. OMB assigns control 
numbers to collections of information it approves. VA may not conduct 
or sponsor, and a person is not required to respond to, a collection of 
information unless it displays a currently valid OMB control number.
    Title: Claim for Educational Assistance.
    Summary of collection of information: The provisions of the 
proposed Sec. 21.1030 would restate a statutory requirement (38 U.S.C. 
5101(a)) that provides that no benefits may be paid or furnished to an 
individual until VA receives from the individual a claim for the 
benefit sought in the form prescribed by the Secretary. The proposed 
regulation adds language as to what information needs to be included in 
a claim.

[[Page 23410]]

    Description of need for information and proposed use of 
information: The claim required in the proposed 38 CFR 21.1030 helps VA 
determine who is eligible for DEA, EATP, VEAP, MGIB, and MGIB-SR.
    Description of likely respondents: The respondents will be 
individuals who wish to receive educational assistance from VA for 
pursuit of a program of education.
    Estimated number of respondents: 345,048.
    Estimated frequency of responses: Occasionally, when an individual 
wants to pursue a new program of education.
    Estimated total annual reporting and recordkeeping burden: 178,484 
hours of reporting burden. VA estimates that there would be no 
additional recordkeeping burden imposed.
    Estimated average burden per respondent: 31 minutes.
    The Department considers comments by the public on proposed 
collections of information in--
     Evaluating whether the proposed collection(s) of 
information are necessary for the proposed performance of the functions 
of the Department, including whether the information will have 
practical utility;
     Evaluating the accuracy of the Department's estimate of 
the burden of the proposed collections of information, including the 
validity of the methodology and assumptions used;
     Enhancing the quality, usefulness, and clarity of the 
information to be collected; and
     Minimizing the burden of the collection of information on 
those who are to respond, including through the use of appropriate 
automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology, e.g., permitting 
electronic submission of responses.
    OMB is required to make a decision concerning the collection of 
information contained in this proposed rule between 30 and 60 days 
after publication of this document in the Federal Register. Therefore, 
a comment to OMB is best assured of having its full effect if OMB 
receives it within 30 days of publication. This does not affect the 
deadline for the public to comment on the proposed regulation.
    The signers of this document hereby certify that this proposed 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. The proposed rule will affect only individuals and will 
not directly affect any small entities. Therefore, pursuant to 5 U.S.C. 
605(b), this proposed rule is exempt from the initial and final 
regulatory flexibility analyses requirements of sections 602 and 604.
    The Catalog of Federal Domestic Assistance number for the programs 
affected by this proposed rule are 64.117, 64.120, and 64.124. This 
proposed rule will affect the Montgomery GI Bill--Selected Reserve 
which has no Catalog of Federal Domestic Assistance number.

List of Subjects in 38 CFR Part 21

    Administrative practice and procedure, Armed forces, Civil rights, 
Claims, Colleges and universities, Conflict of interests, Education, 
Employment, Grant programs-education, Grant programs-veterans, Health 
care, Loan programs-education, Loan programs-veterans, Manpower 
training programs, Reporting and recordkeeping requirements, Schools, 
Travel and transportation expenses, Veterans, Vocational education, 
Vocational rehabilitation.

    Approved: April 22, 1998.
Togo D. West, Jr.,
Acting Secretary.

    Approved: March 18, 1998.
Normand G. Lezy,
Lieutenant General, USAF, Deputy Assistant Secretary (Military 
Personnel Policy), Department of Defense.

    Approved: February 26, 1998.
G. F. Woolever,
Rear Admiral, U.S. Coast Guard, Assistant Commandant for Human 
Resources.

    For the reasons set out above, 38 CFR part 21 (subparts B, C, D, G, 
H, K, and L) is proposed to be amended as set forth below.

PART 21--VOCATIONAL REHABILITATION AND EDUCATION

Subpart B--Claims and Applications for Educational Assistance

    1. The authority citation for part 21, subpart B continues to read 
as follows:

    Authority: 38 U.S.C. 501(a), 38 U.S.C. chapter 51, unless 
otherwise noted.

    2. Section 21.1029 is added, to read as follows:


Sec. 21.1029  Definitions.

    These definitions apply to this subpart, and to subparts C, D, G, 
H, K, and L of this part.
    (a) Abandoned claim. A claim is an abandoned claim if:
    (1) In connection with a formal claim VA requests that the claimant 
furnish additional evidence, and the claimant--
    (i) Does not furnish that evidence within one year of the date of 
the request; and
    (ii) Does not show good cause why the evidence could not have been 
submitted within one year of the date of the request; or
    (2) In connection with an informal claim, VA requests a formal 
claim, and--
    (i) VA does not receive the formal claim within one year of the 
date of request; and
    (ii) The claimant does not show good cause why he or she could not 
have filed the formal claim in sufficient time for VA to have received 
it within one year of the date of the request.

(Authority: 38 U.S.C. 5103(a))

    (b) Date of claim. The date of claim is the date on which a valid 
claim or application for educational assistance is considered to have 
been filed with VA, for purposes of determining the commencing date of 
an award of that educational assistance.
    (1) If an informal claim is filed and VA receives a formal claim 
within one year of the date VA requested it, or within such other 
period of time as provided by Sec. 21.1032, the date of claim, subject 
to the provisions of paragraph (b)(3) of this section, is the date VA 
received the informal claim.
    (2) If a formal claim is filed other than as described in paragraph 
(b)(1) of this section, the date of claim, subject to the provisions of 
paragraph (b)(3) of this section, will be the date VA received the 
formal claim.
    (3) If a formal claim itself is abandoned and a new formal or 
informal claim is filed, the date of claim will be as provided in 
paragraph (b)(1) or (b)(2) of this section, as appropriate.

(Authority: 38 U.S.C. 5103)

    (c) Formal claim. A claim is a formal claim when the claimant (or 
his or her authorized representative) files the claim with VA, and--
    (1) The claim is a claim for--
    (i) Educational assistance;
    (ii) An increase in educational assistance; or
    (iii) An extension of the eligibility period for receiving 
educational assistance; and
    (2) If there is a form (either paper or electronic) prescribed by 
the Secretary of Veterans Affairs or his or her designee, the claim is 
filed on that form.

(Authority: 38 U.S.C. 5101(a))

    (d) Informal claim. (1) If the Secretary of Veterans Affairs has 
prescribed a form (either paper or electronic) to use in claiming the 
benefit sought, the term informal claim means--

[[Page 23411]]

    (i) Any communication from an individual, or from an authorized 
representative or a Member of Congress on that individual's behalf that 
indicates a desire on the part of the individual to claim or to apply 
for VA-administered educational assistance; or
    (ii) A claim from an individual or from an authorized 
representative on that individual's behalf for a benefit described in 
paragraph (c)(1) of this section that is filed in a document other than 
in the prescribed form.
    (2) If the Secretary of Veterans Affairs has not prescribed a form 
(either paper or electronic) to use in claiming the benefit sought, the 
term informal claim means any communication, other than a formal claim, 
from an individual, or from an authorized representative or a Member of 
Congress on that individual's behalf that indicates a desire on the 
part of the individual to claim or to apply for VA-administered 
educational assistance.
    (3) When VA requests evidence in connection with a claim, and the 
claimant submits that evidence to VA after having abandoned the claim, 
the claimant's submission of the evidence is an informal claim.
    (4) The act of enrolling in an approved school is not an informal 
claim.
    (5) VA will not consider a communication received from a service 
organization, an attorney, or agent to be an informal claim if a valid 
power of attorney, executed by the claimant, is not in effect at the 
time the communication is written.
(Authority: 10 U.S.C. 16136(b), 38 U.S.C. 3034(a), 3241(a), 3471, 
3513, 5101(a), 5102, 5901)

    (e) VA. The term VA means the United States Department of Veterans 
Affairs.

(Authority: 38 U.S.C. 301)

    3. Section 21.1030 is revised to read as follows:


Sec. 21.1030  Claims.

    An individual must file a formal claim for educational assistance 
for pursuit of a program of education, indicating the proposed place of 
training, the school or training establishment, the objective of the 
program of education, and such other information as the Secretary may 
require. A servicemember also must consult with his or her service 
education officer before filing a formal claim for educational 
assistance.

(Authority: 10 U.S.C. 16136(b), 38 U.S.C. 3034(a), 3241(a), 3471, 
3513, 5101(a))

    4. Section 21.1031 is revised to read as follows.


Sec. 21.1031  VA responsibilities when a claim is filed.

    (a) VA will furnish forms. VA will furnish all necessary claim 
forms, instructions, and, if appropriate, a description of any 
supporting evidence required upon receipt of an informal claim.

(Authority: 38 U.S.C. 5102)

    (b) Request for additional evidence. If a formal claim for 
educational assistance is incomplete, or if VA requires additional 
evidence or information to adjudicate the claim, VA will notify the 
claimant of the evidence and/or information necessary to complete or 
adjudicate the claim and of the time limit provisions of 
Sec. 21.1032(a).

(Authority: 38 U.S.C. 5103)

    5. Sec. 21.1032 is revised to read as follows:


Sec. 21.1032  Time limits.

    The provisions of this section are applicable to informal claims 
and formal claims.
    (a) Failure to furnish form, information, or notice of time limit. 
VA's failure to give a claimant or potential claimant any form or 
information concerning the right to file a claim or to furnish notice 
of the time limit for the filing of a claim will not extend the time 
periods allowed for these actions.

(Authority: 38 U.S.C. 5101, 5113)

    (b) Notice of time limit for filing evidence. If a claimant's claim 
is incomplete, VA will notify the claimant of the evidence necessary to 
complete the claim. Unless payment of educational assistance is 
permitted by paragraph (e) of this section, if the evidence is not 
received within one year from the date of such notification, VA will 
not pay educational assistance by reason of that claim.

(Authority: 38 U.S.C. 5103)

    (c) Time limit for filing a claim for an extended period of 
eligibility under 38 U.S.C. chapter 30, 32, or 35. VA must receive a 
claim for an extended period of eligibility provided by Secs. 21.3047, 
21.5042, or 21.7051 by the later of the following dates.
    (1) One year from the date on which the spouse's, surviving 
spouse's, or veteran's original period of eligibility ended; or
    (2) One year from the date on which the spouse's, surviving 
spouse's, or veteran's physical or mental disability no longer 
prevented him or her from beginning or resuming a chosen program of 
education.

(Authority: 38 U.S.C. 3031(d), 3232(a), 3512)

    (d) Time limit for filing for an extension of eligibility due to 
suspension of program (38 U.S.C. chapter 35). VA must receive a claim 
for an extended period of eligibility due to a suspension of an 
eligible child's program of education as provided in Sec. 21.3043 by 
the later of the following dates.
    (1) One year from the date on which the child's original period of 
eligibility ended; or
    (2) One year from the date on which the condition that caused the 
suspension of the program of education ceased to exist.

(Authority: 38 U.S.C. 3512(c))

    (e) Extension for good cause. (1) VA may extend for good cause a 
time limit within which a claimant or beneficiary is required to act to 
perfect a claim or challenge an adverse VA decision. VA may grant such 
an extension only when the following conditions are met:
    (i) When a claimant or beneficiary requests an extension after 
expiration of a time limit, he or she must take the required action 
concurrently with or before the filing of that request; and
    (ii) The claimant or beneficiary must show good cause as to why he 
or she could not take the required action during the original time 
period and could not have taken the required action sooner.
    (2) Denials of time limit extensions are separately appealable 
issues.

(Authority: 38 U.S.C. 5101, 5113)

    (f) Computation of time limit. (1) In computing the time limit for 
any action required of a claimant or beneficiary, including the filing 
of claims or evidence requested by VA, VA will exclude the first day of 
the specified period, and will include the last day. This rule is 
applicable in cases in which the time limit expires on a workday. When 
the time limit would expire on a Saturday, Sunday, or holiday, the VA 
will include the next succeeding day in the computation.
    (2) The first day of the specified period referred to in paragraph 
(f)(1) of this section will be the date of the letter of notification 
to the claimant or beneficiary for purposes of computing time limits. 
As to appeals, see Secs. 20.302 and 20.305 of this chapter.

(Authority: 38 U.S.C. 501(a))

Subpart C--Survivors' and Dependents' Educational Assistance Under 
38 U.S.C. Chapter 35

    6. The authority citation for subpart C continues to read as 
follows:

    Authority: 38 U.S.C. 501(a), 512, 3500-3566, unless otherwise 
noted.

[[Page 23412]]

Sec. 21.3021  [Amended]

    7. In Sec. 21.3021, paragraph (m) is amended by removing 
``Sec. 21.4200'', and adding, in its place, ``Secs. 21.1029 and 
21.4200''.
    8. Section 21.3030 is revised to read as follows:


Sec. 21.3030  Claims.

    The provisions of subpart B of this part apply with respect to 
submission of a claim for educational assistance under 38 U.S.C. 
chapter 35, VA actions upon receiving a claim, and time limits 
connected with claims.

(Authority: 38 U.S.C. 3513, 5101, 5102, 5103)

    9. Sections 21.3031 and 21.3032 are removed.

Subpart D--Administration of Educational Assistance Programs

    10. The authority citation for subpart D continues to read as 
follows:

    Authority: 10 U.S.C. ch. 1606, 38 U.S.C. 501(a), chs. 30, 32, 
34, 35, 36, unless otherwise noted.

    11. In Sec. 21.4131, the introductory text and paragraphs (a) and 
(d) are revised, to read as follows:


Sec. 21.4131  Commencing dates.

    VA will determine the commencing date of an award or increased 
award of educational assistance under this section. When more than one 
paragraph in this section applies, VA will award educational assistance 
using the latest of the applicable commencing dates.
    (a) Entrance or reentrance including change of program or 
educational institution: individual eligible under 38 U.S.C. chapter 
32. When an eligible veteran or servicemember enters or reenters into 
training (including a reentrance following a change of program or 
educational institution), the commencing date of his or her award of 
educational assistance will be determined as follows:
    (1) If the award is the first award of educational assistance for 
the program of education the veteran or servicemember is pursuing, the 
commencing date of the award of educational assistance is the latest 
of:
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section;
    (ii) One year before the date of claim as determined by 
Sec. 21.1029(b);
    (iii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later; or
    (2) If the award is the second or subsequent award of educational 
assistance for the program of education the veteran or servicemember is 
pursuing, the effective date of the award of educational assistance is 
the later of--
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section; or
    (ii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later.

(Authority: 38 U.S.C. 3672, 5103, 5110(b), 5113)
* * * * *
    (d) Entrance or reentrance including change of program or 
educational institution: individual eligible under 38 U.S.C. chapter 
35. When a person eligible to receive educational assistance under 38 
U.S.C. chapter 35 enters or reenters into training (including a 
reentrance following a change of program or educational institution), 
the commencing date of his or her award of educational assistance will 
be determined as follows:
    (1) If the award is the first award of educational assistance for 
the program of education the eligible person is pursuing, the 
commencing date of the award of educational assistance is the latest 
of:
    (i) The beginning date of eligibility as determined by 
Sec. 21.3041(a) or (b) or by Sec. 21.3046(a) or (b), whichever is 
applicable;
    (ii) One year before the date of claim as determined by 
Sec. 21.1029(b);
    (iii) The date the educational institution certifies under 
paragraph (b) or (c) of this section;
    (iv) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later; or
    (2) If the award is the second or subsequent award of educational 
assistance for that program, the effective date of the award of 
educational assistance is later of--
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section; or
    (ii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later.

(Authority: 38 U.S.C. 3014, 3023, 3034, 3672, 5103)

Subpart G--Post-Vietnam Era Veterans' Educational Assistance Under 
38 U.S.C. Chapter 32

    12. The authority citation for subpart G continues to read as 
follows:

    Authority: 38 U.S.C. 501(a), ch. 32, unless otherwise noted.

    13. In Sec. 21.5030, the heading for the section and paragraph (c) 
introductory text, are revised; paragraphs (c)(1), (c)(2), and (c)(3) 
are redesignated as paragraphs (c)(2), (c)(3), and (c)(4), 
respectively; a new paragraph (c)(1) is added; and a newly redesignated 
paragraph (c)(3) is revised, to read as follows:


Sec. 21.5030  Applications, claims, and time limits.

* * * * *
    (c) The provisions of the following sections shall apply to claims 
for educational assistance under 38 U.S.C. chapter 32:
    (1) Section 21.1029--Definitions.
* * * * *
    (3) Section 21.1031--VA responsibilities when a claim is filed.
* * * * *
    14. In Sec. 21.5130, paragraph (a) is amended by removing 
``dates'', and adding, in its place, ``dates (except paragraph (d))''.

Subpart H--Educational Assistance Test Program

    15. The authority citation for subpart H continues to read as 
follows:

    Authority: 10 U.S.C. ch. 107; 38 U.S.C. 501(a), 3695, 5101, 
5113, 5303A, 42 U.S.C 2000; sec. 901, Pub. L. 96-342, 94 Stat. 1111-
1114, unless otherwise noted.

    16. Section 21.5730 is revised to read as follows:


Sec. 21.5730  Applications, claims, and time limits.

    The provisions of subpart B of this part apply with respect to 
claims for educational assistance under the educational program 
described in Sec. 21.5701, VA actions upon receiving a claim, and time 
limits connected with claims.

(Authority: 10 U.S.C. 2141, 2149, 38 U.S.C. 5101, 5102, 5103)


Sec. 21.5732  [Removed]

    17. Section 21.5732 is removed.

Subpart K--All Volunteer Force Educational Assistance Program 
(Montgomery GI Bill--Active Duty)

    18. The authority citation for subpart K continues to read as 
follows:

    Authority: 38 U.S.C. 501(a), chs. 30 and 36, unless otherwise 
noted.

    19. In Sec. 21.7020, the introductory text is revised, to read as 
follows:


Sec. 21.7020  Definitions.

    For the purposes of regulations from Sec. 21.7000 through 
Sec. 21.7499 and the payment of basic educational assistance

[[Page 23413]]

and supplemental educational assistance under 38 U.S.C. chapter 30, the 
following definitions apply. (See also additional definitions in 
Sec. 21.1029).
* * * * *
    20. Section 21.7030 is revised to read as follows:


Sec. 21.7030  Applications, claims, and time limits.

    The provisions of subpart B, of this part apply with respect to 
claims for educational assistance under 38 U.S.C. chapter 30, VA 
actions upon receiving a claim, and time limits connected with claims.

(Authority: 38 U.S.C. 3018B, 3034(a), 3471, 5101, 5102, 5103)

    21. In Sec. 21.7032, paragraphs (b), (c), (d), and (e) are removed; 
paragraph (f) is redesignated as paragraph (b); and the section heading 
and paragraph (a) are revised to read as follows:


Sec. 21.7032  Time limits for making elections.

    (a) Scope of this section. The provisions of this section are 
applicable to certain elections to receive educational assistance under 
38 U.S.C. ch. 30. For time limits governing formal and informal claims 
for educational assistance under 38 U.S.C. ch. 30, see Sec. 21.1032.

(Authority: 38 U.S.C. 3018B)
* * * * *


Sec. 21.7051  [Amended]

    22. In Sec. 21.7051, paragraph (a)(1) is amended by removing 
``Sec. 21.7032(e) of this part'' and adding, in its place, 
``Sec. 21.1032(c)''.
    23. In Sec. 21.7131, the introductory text is revised; paragraph 
(e)(1)(iii) is amended by removing ``subdivision (ii)(B) of this 
subparagraph'' and adding, in its place, ``paragraph (e)(1)(ii)(B) of 
this section''; paragraph (d) is removed and reserved; paragraph 
(e)(2)(i) introductory text is removed; paragraphs (e)(2)(i)(A), 
(e)(2)(i)(B), and (e)(2)(i)(C) are redesignated as a new (e)(2)(i), 
(e)(2)(ii), and (e)(2)(iii), respectively; and paragraph (a) is revised 
to read as follows:


Sec. 21.7131  Commencing dates.

    VA will determine the commencing date of an award or increased 
award of educational assistance under this section. When more than one 
paragraph in this section applies, VA will award educational assistance 
using the latest of the applicable commencing dates.
    (a) Entrance or reentrance including change of program or 
educational institution. When an eligible veteran or servicemember 
enters or reenters into training (including a reentrance following a 
change of program or educational institution), the commencing date of 
his or her award of educational assistance will be determined as 
follows:
    (1) If the award is the first award of educational assistance for 
the program of education the veteran or servicemember is pursuing, the 
commencing date of the award of educational assistance is the latest 
of:
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section;
    (ii) One year before the date of claim as determined by 
Sec. 21.1029(b);
    (iii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice whichever is later; or
    (2) If the award is the second or subsequent award of educational 
assistance for the program of education the veteran or servicemember is 
pursuing, the effective date of the award of educational assistance is 
later of--
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section; or
    (ii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later.

(Authority: 38 U.S.C. 3014, 3023, 3034, 3672, 5103, 5110(b), 5113)
* * * * *

Subpart L--Educational Assistance for Members of the Selected 
Reserve

    24. The authority citation for subpart L continues to read as 
follows:

    Authority: 10 U.S.C. ch. 1606; 38 U.S.C. 501, unless otherwise 
noted.

    25. In Sec. 21.7520, the introductory text is revised, to read as 
follows:


Sec. 21.7520  Definitions.

    For the purposes of regulations from Sec. 21.7500 through 
Sec. 21.7999, governing the administration and payment of educational 
assistance under 10 U.S.C. chapter 1606, the Selected Reserve 
Educational Assistance Program, the following definitions apply. (See 
also additional definitions in Sec. 21.1029).
* * * * *
    26. Section 21.7530 is revised to read as follows:


Sec. 21.7530  Applications, claims, and time limits.

    The provisions of subpart B of this part apply with respect to 
claims for educational assistance under 10 U.S.C. chapter 1606, VA 
actions upon receiving a claim, and time limits connected with claims.

(Authority: 10 U.S.C. 16136(b), 38 U.S.C. 3472)


Sec. 21.7532  [Removed]

    27. Section 21.7532 is removed.
    28. In Sec. 21.7631, paragraph (d) is removed; paragraphs (e), (f), 
(g) and (h) are redesignated as paragraphs (d), (e), (f), and (g) 
respectively; and the introductory text and paragraph (a) are revised, 
to read as follows:


Sec. 21.7631  Commencing dates.

    VA will determine the commencing date of an award or increased 
award of educational assistance under this section. When more than one 
paragraph in this section applies, VA will award educational assistance 
using the latest of the applicable commencing dates.
    (a) Entrance or reentrance including change of program or 
educational institution. When an eligible reservist enters or reenters 
into training (including a reentrance following a change of program or 
educational institution), the commencing date of his or her award of 
educational assistance will be determined as follows:
    (1) If the award is the first award of educational assistance for 
the program of education the reservist is pursuing, the commencing date 
of the award of educational assistance is the latest of:
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section;
    (ii) One year before the date of claim as determined by 
Sec. 21.1029(b);
    (iii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice whichever is later; or
    (2) If the award is the second or subsequent award of educational 
assistance for the program of education the reservist is pursuing, the 
effective date of the award of educational assistance is the later of--
    (i) The date the educational institution certifies under paragraph 
(b) or (c) of this section; or
    (ii) The effective date of the approval of the course, or one year 
before the date VA receives the approval notice, whichever is later.

(Authority: 10 U.S.C. 16136(b); 38 U.S.C. 3672, 5103)
* * * * *
[FR Doc. 98-11295 Filed 4-28-98; 8:45 am]
BILLING CODE 8320-01-P