[Federal Register Volume 68, Number 224 (Thursday, November 20, 2003)]
[Rules and Regulations]
[Pages 65399-65401]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-28966]


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DEPARTMENT OF DEFENSE

DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 21

RIN 2900-AL52


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 under the Educational Assistance Test Program 
shall be adjusted annually by the Secretary of

[[Page 65400]]

Defense. The law further provides those rates must be adjusted based 
upon the average actual cost of attendance at public institutions of 
higher education in the 12-month period since the rates were last 
adjusted. After obtaining data from the Department of Education, the 
Department of Defense has concluded that the rates for the 2002-03 
academic year should be increased by 4.3% over the rates payable for 
the 2001-02 academic year. The regulations dealing with these rates are 
amended accordingly.

DATES: Effective Date: November 20, 2003.
    Applicability Date: The changes in rates are applied retroactively 
to October 1, 2002, to conform to statutory requirements. For more 
information concerning the applicability date, see the SUPPLEMENTARY 
INFORMATION section.

FOR FURTHER INFORMATION CONTACT: Lynn M. Cossette, Education Adviser 
(225C), Education Service, Veterans Benefits Administration, Department 
of Veterans Affairs, 810 Vermont Avenue, NW, Washington, DC 20420, 
(202) 273-7294.

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 law further requires that the 
adjustment is to be consistent with the change in the average actual 
cost of attendance at public institutions of higher education over the 
preceding 12-month period. As required by law, the Department of 
Defense has obtained data from the Department of Education. The 
Department of Defense has calculated that these costs increased by 
4.3%. Accordingly, this final rule changes 38 CFR 21.5820 and 21.5822 
to reflect a 4.3% increase in the rates payable in the 2002-03 academic 
year, including changes needed to compensate for rounding.
    The changes set forth in this final rule are effective from the 
date of publication, but the changes in rates are applied from October 
1, 2002, in accordance with the applicable statutory provisions 
discussed above.

Administrative Procedure Act

    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 
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. 3501-3521).

Unfunded Mandates

    The Unfunded Mandates Reform Act requires, at 2 U.S.C. 1532, that 
agencies prepare an assessment of anticipated costs and benefits before 
developing any rule that may result in an expenditure by State, local, 
or tribal governments, in the aggregate, or by the private sector, of 
$100 million or more in any given year. This rule would have no 
consequential effect on State, local, or tribal governments.

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 Defense 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. 501-612. 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.

Catalog of Federal Domestic Assistance

    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: May 9, 2003.
Anthony J. Principi,
Secretary of Veterans Affairs.
    Approved: September 5, 2003.
William J. Carr,
Acting Deputy Under Secretary (Military Personnel Policy).

0
For the reasons set out above, 38 CFR part 21, subpart H, is amended as 
set forth below:

PART 21--VOCATIONAL REHABILITATION AND EDUCATION

Subpart H--Educational Assistance Test Program

0
1. The authority citation for part 21, 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.


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2. Section 21.5820 is amended by:
0
a. In paragraph (b)(1), removing ``2001-02'' and adding, in its place, 
``2002-03'', and by removing ``$3,690'' and adding, it its place, 
``$3,849''.
0
b. In paragraph (b)(2)(ii), removing ``2001-02'' and adding, in its 
place, ``2002-03''.
0
c. In paragraphs (b)(2)(ii)(A) and (b)(3)(ii)(A), removing ``$410.00'' 
and adding, in each place, ``$427.67'', and by removing ``$205.00'' and 
adding, in each place, ``$213.84''.
0
d. In paragraphs (b)(2)(ii)(B) and (b)(3)(ii)(B), removing ``$13.67'' 
and adding, in each place, ``$14.26'', and by removing ``$6.83'' and 
adding, in each place, ``$7.13''.
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e. Revising paragraphs (b)(2)(ii)(C) and (b)(3)(ii)(C).
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f. In paragraph (b)(3)(ii) introductory text, removing ``2001-02'' and 
adding, in its place, ``2002-03''.
    The revisions read as follows:


Sec.  21.5820  Educational assistance.

* * * * *
    (b) * * *
    (2) * * *
    (ii) * * *
    (C) Adding the two results. If the enrollment period is as long as 
or longer than the standard academic year, this amount will be 
decreased by 3 cents for a full-time student and decreased by 6 cents 
for a part-time student.
    (3) * * *
    (ii) * * *
    (C) Adding the two results. If the enrollment period is as long as 
or longer than a standard academic year, this amount will be decreased 
by 3 cents for a full-time student and decreased by 6 cents for a part-
time student; and
* * * * *

[[Page 65401]]

Sec.  21.5822  [Amended]

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3. Section 21.5822 is amended by:
0
a. In paragraphs (b)(1)(i) and (b)(2)(i), removing ``$919'' and adding, 
in each place, ``$959'', and by removing ``2001-02'' and adding, in 
each place, ``2002-03''.
0
b. In paragraphs (b)(1)(ii) and (b)(2)(ii), removing ``$459.50'' and 
adding, in each place, ``$479.50'', and by removing ``2001-02'' and 
adding, in each place, ``2002-03''.

[FR Doc. 03-28966 Filed 11-19-03; 8:45 am]
BILLING CODE 8320-01-P