[Federal Register Volume 66, Number 115 (Thursday, June 14, 2001)]
[Rules and Regulations]
[Pages 32225-32226]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-15068]


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DEPARTMENT OF DEFENSE

DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 21

RIN 2900-AK41


Veterans Education: Increased Allowances for the Educational 
Assistance Test Program

AGENCIES: Department of Defense and Department of Veterans Affairs.

ACTION: Final rule.

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SUMMARY: The law provides that rates of subsistence allowance and 
educational assistance payable under the Educational Assistance Test 
Program shall be adjusted annually by the Secretary of Defense based 
upon the average actual cost of attendance at public institutions of 
higher education in the twelve-month period since the rates were last 
adjusted. After consultation with the Department of Education, the 
Department of Defense has concluded that the rates for the 2000-01 
academic year should be increased by 4% over the rates payable for the 
1999-2000 academic year. The regulations dealing with these rates are 
amended accordingly.

DATES: Effective Date: June 14, 2001.
    Applicability Date: The changes in rates are applied retroactively 
to October 1, 2000, to conform to statutory requirements.

FOR FURTHER INFORMATION CONTACT: William G. Susling, Jr., Assistant 
Director for Policy and Program Development, Education Service, 
Veterans Benefits Administration, 202-273-7187.

SUPPLEMENTARY INFORMATION: The law (10 U.S.C. 2145) provides that the 
Secretary of Defense shall adjust the amount of educational assistance 
which may be provided in any academic year under the Educational 
Assistance Test Program and the amount of subsistence allowance 
authorized under that program. The adjustment is to be based upon the 
twelve-month increase in the average actual cost of attendance at 
public institutions of higher education. As required by law, the 
Department of Defense has consulted with the Department of Education. 
The Department of Defense has concluded that these costs increased by 
4% in the 1999-2000 academic year. Accordingly, this final rule changes 
38 CFR 21.5820 and 21.5822 to reflect a 4% increase in the rates 
payable in the 2000-01 academic year, including changes in Sec. 21.5820 
to the adjustments that compensate for rounding. In addition, 
nonsubstantive changes are made for the purpose of clarification.

Administrative Procedure Act

    The rates of subsistence allowance and educational assistance 
payable under the Educational Assistance Test Program are determined 
based on a statutory formula and, in essence, the calculation of rates 
merely constitutes a non-discretionary ministerial act. The other 
changes made by this document are merely nonsubstantive changes for the 
purpose of clarification. Accordingly, there is a basis for dispensing 
with notice-and-comment and a delayed effective date under 5 U.S.C. 552 
and 553.

Paperwork Reduction Act

    This document contains no provisions constituting a collection of 
information under the Paperwork Reduction Act (44 U.S.C. 3501-3520).

Executive Order 12866

    This document has been reviewed by the Office of Management and 
Budget under Executive Order 12866.

Regulatory Flexibility Act

    The Secretary of Veterans Affairs and the Secretary of Defense 
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. 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 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: February 6, 2001.
Anthony J. Principi,
Secretary of Veterans Affairs.
    Approved: March 7, 2001.
P.A. Tracey,
Vice Admiral, USN, Deputy Assistant Secretary (Military Personnel 
Policy), Department of Defense.

    For the reasons set out in the preamble, 38 CFR part 21 (subpart H) 
is amended as set forth below.

PART 21--VOCATIONAL REHABILITATION AND EDUCATION

Subpart H--Educational Assistance Test Program

    1. The authority citation for part 21, subpart H is revised to read 
as follows:


[[Page 32226]]


    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.


Sec. 21.5820  [Amended]

    2. Section 21.5820 is amended by:
    a. In paragraph (b)(1), removing ``1999-2000'' and adding, in its 
place, ``2000-01''; and by removing ``$3,388'' and adding, in its 
place, ``$3,524'';
    b. In the introductory text of paragraph (b)(2)(ii), removing 
``1999-2000'' and adding, in its place, ``2000-01'';
    c. In paragraph (b)(2)(ii)(A), removing ``$376.44'' and adding, in 
its place, ``$391.56''; and by removing ``$188.22'' and adding, in its 
place, ``$195.78'';
    d. In paragraph (b)(2)(ii)(B), removing ``$12.55'' and adding, in 
its place, ``$13.05''; and by removing ``$6.27'' and adding, in its 
place, ``$6.53'';
    e. In paragraph (b)(2)(ii)(C), removing ``increased by 4 cents '' 
and adding, in its place, ``decreased by 4 cents''; and by removing 
``increased by 2 cents'' and adding, in its place, ``decreased by 
2 cents''.
    f. In the introductory text of paragraph (b)(3)(ii), removing 
``1999-2000'' and adding, in its place, ``2000-01'';
    g. In paragraph (b)(3)(ii)(A), removing ``$376.44'' and adding, in 
its place, ``$391.56''; and by removing ``$188.22'' and adding, in its 
place, ``$195.78'';
    h. In paragraph (b)(3)(ii)(B), removing ``$12.55'' and adding, in 
its place, ``$13.05''; and by removing ``$6.27'' and adding, in its 
place, ``$6.53'';
    i. In paragraph (b)(3)(ii)(C), removing ``increased by 4 cents'' 
and adding, in its place, ``decreased by 4 cents''; and by removing 
``increased by 2 cents'' and adding, in its place, ``decreased by 
2 cents''.
    j. Removing ``shall'' each place in which it appears and adding, in 
its place, ``will''.


Sec. 21.5822  [Amended]

    3. Section 21.5822 is amended by:
    a. In paragraph (b)(1)(i), removing ``$844'' and adding, in its 
place, ``$878''; and by removing ``1999-2000'' and adding, in its 
place, ``2000-01'';
    b. In paragraph (b)(1)(ii), removing ``$422'' and adding, in its 
place, ``$439''; and by removing ``1999-2000'' and adding, in its 
place, ``2000-01'';
    c. In paragraph (b)(2)(i), removing ``1999-2000'' and adding, in 
its place, ``2000-01''; and by removing ``$844'' and adding, in its 
place, ``$878'';
    d. In paragraph (b)(2)(ii), removing ``1999-2000'' and adding, in 
its place, ``2000-01''; and by removing ``$422'' and adding, in its 
place, ``$439''.
    e. Removing ``shall'' each place in which it appears and adding, in 
its place, ``will''.

[FR Doc. 01-15068 Filed 6-13-01; 8:45 am]
BILLING CODE 8320-01-U