[Federal Register Volume 89, Number 172 (Thursday, September 5, 2024)]
[Proposed Rules]
[Pages 72351-72353]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-19852]


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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 21

RIN 2900-AS15


Timely Certification and Reporting for Veterans Attending 
Training Programs

AGENCY: Department of Veterans Affairs.

ACTION: Proposed rule.

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SUMMARY: The Department of Veterans Affairs (VA) Veteran Readiness and 
Employment (VR&E) Service is proposing to amend a regulation to 
establish timeframes for initial or monthly certification to VA of a 
Chapter 31 veteran's enrollment at a facility, which would include 
information regarding the veteran's rate of pursuit, dates of 
attendance, and the number of credit or training hours, and for 
reporting to VA when changes are made. This would allow for the timely 
processing of monthly subsistence allowance payments to participating 
veterans who depend on these funds. It would also help prevent undue 
hardship for veterans resulting from underpayments or overpayments 
caused by the delay in reporting changes in rate of pursuit, dates of 
attendance, or the number of credit or training hours.

DATES: Comments must be received on or before November 4, 2024.

ADDRESSES: Comments must be submitted through www.regulations.gov. 
Except as provided below, comments received before the close of the 
comment period will be available at www.regulations.gov for public 
viewing, inspection, or copying, including any personally identifiable 
or confidential business information that is included in a comment. We 
post the comments received before the close of the comment period on 
www.regulations.gov as soon as possible after they have been received. 
VA will not post on www.regulations.gov public comments that make 
threats to individuals or institutions or suggest that the commenter 
will take actions to harm an individual. VA encourages individuals not 
to submit duplicative comments; however, we will post comments from 
multiple unique commenters even if the content is identical or nearly 
identical to other comments. Any public comment received after the 
comment period's closing date is considered late and will not be 
considered in the final rulemaking. In accordance with the Providing 
Accountability Through Transparency Act of 2023, a 100 word Plain-
Language Summary of this proposed rule is available at Regulations.gov, 
under RIN 2900-AS15.

FOR FURTHER INFORMATION CONTACT: Loraine Spangler, Policy Analyst, 
Veteran Readiness and Employment Services (28), 810 Vermont Avenue NW, 
Washington, DC 20420, [email protected], (202) 461-9600. (This is 
not a toll-free telephone number.)

SUPPLEMENTARY INFORMATION: Per 38 U.S.C. 3100, one of the purposes of 
the VR&E program (also known as Chapter 31) is to provide services and 
assistance necessary to enable veterans with service-connected 
disabilities to obtain suitable employment. This may encompass training 
or retraining at a facility as part of a veteran's Chapter 31 
vocational rehabilitation program. As provided in 38 U.S.C. 3684(a)(1), 
the veteran and the educational institution offering a course in which 
such veteran is enrolled under Chapter 31 ``shall, without delay, 
report to the Secretary, in the form prescribed by the Secretary, such 
enrollment and any interruption or termination of the education of each 
such veteran.''
    VA also pays veterans a subsistence allowance during the period of 
training. The purpose of the subsistence allowance is to assist with 
expenses related to the training. VA pays the

[[Page 72352]]

subsistence allowance after receiving the School Certifying Official's 
(SCO) certification of a Chapter 31 veteran's enrollment in a facility. 
The SCO certifies a veteran's rate of pursuit, dates of attendance, and 
the number of credit or training hours and informs VA when changes are 
made.
    Currently, VR&E has no established timeframes for SCOs to initially 
certify and inform VA of changes made to a Chapter 31 veteran's rate of 
pursuit, dates of attendance, and the number of credit or training 
hours. The lack of an established timeframe contributes to unnecessary 
delays in the timely processing of monthly subsistence allowance 
payments to veterans who depend on these funds. Additionally, if a 
veteran increases, decreases, or terminates enrollment and the 
certification is not updated in a timely manner, the delay may create 
an undue hardship for the veteran if he or she is underpaid or 
overpaid. If a veteran is overpaid, VA must establish a debt against 
the veteran even though it may have been due to the SCO's delay in 
updating the certification. VA is proposing to revise 38 CFR 21.294 to 
describe what would constitute timely initial certification and timely 
reporting of changes to rate of pursuit, dates of attendance, and the 
number of credit or training hours for Chapter 31 veterans. Revised 
Sec.  21.294(a)(4)(ii) would require SCOs to submit initial 
certifications to VA within 30 days of the beginning of the school 
term. See, e.g., 38 CFR 21.4203(d) (reporting requirements under VA's 
education program). SCOs would also be required to report changes in 
rate of pursuit, dates of attendance or the number of credit or 
training hours within 30 days of when a veteran makes such change. This 
amendment would help prevent underpayments and overpayments that may 
otherwise create unnecessary hardship for veterans. A veteran could 
request waiver of a debt, but such request would not be granted 
automatically. These changes would result in improved, timelier 
services to veterans.

Executive Orders 12866, 13563 and 14094

    Executive Order 12866 (Regulatory Planning and Review) directs 
agencies to assess the costs and benefits of available regulatory 
alternatives and, when regulation is necessary, to select regulatory 
approaches that maximize net benefits (including potential economic, 
environmental, public health and safety effects, and other advantages; 
distributive impacts; and equity). Executive Order 13563 (Improving 
Regulation and Regulatory Review) emphasizes the importance of 
quantifying both costs and benefits, reducing costs, harmonizing rules, 
and promoting flexibility. Executive Order 14094 (Executive Order on 
Modernizing Regulatory Review) supplements and reaffirms the 
principles, structures, and definitions governing contemporary 
regulatory review established in Executive Order 12866 of September 30, 
1993 (Regulatory Planning and Review), and Executive Order 13563 of 
January 18, 2011 (Improving Regulation and Regulatory Review). The 
Office of Information and Regulatory Affairs has determined that this 
rulemaking is not a significant regulatory action under Executive Order 
12866, as amended by Executive Order 14094. The Regulatory Impact 
Analysis associated with this rulemaking can be found as a supporting 
document at www.regulations.gov.

Regulatory Flexibility Act

    The Secretary hereby certifies that this proposed rule 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 factual basis for this certification is that the 
changes made by this rulemaking would require SCOs, which are currently 
required to submit certifications and reports to VA, to submit them in 
a timely manner, which would primarily impact the veteran participants. 
Any impact this rulemaking may have on facilities that may be 
considered small entities should be nominal because we would not be 
creating any additional obligations or burdens on the facilities. 
Therefore, pursuant to 5 U.S.C. 605(b), the initial and final 
regulatory flexibility analysis requirements of 5 U.S.C. 603 and 604 do 
not apply.

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule that may result in the expenditure by 
State, local, and tribal governments, in the aggregate, or by the 
private sector, of $100 million or more (adjusted annually for 
inflation) in any one year. This proposed rule would have no such 
effect on State, local, and tribal governments, or on the private 
sector.

Paperwork Reduction Act

    Although this proposed rule contains collections of information 
under the provisions of the Paperwork Reduction Act of 1995 (44 U.S.C. 
3501-3521), there are no provisions associated with this rulemaking 
constituting any new collection of information or any revisions to the 
current collections of information. The collections of information for 
38 CFR 21.294 are currently approved by the Office of Management and 
Budget (OMB) and have valid OMB control numbers of 2900-0073 and 2900-
0156.

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.

Signing Authority

    Denis McDonough, Secretary of Veterans Affairs, approved and signed 
this document on August 29, 2024, and authorized the undersigned to 
sign and submit the document to the Office of the Federal Register for 
publication electronically as an official document of the Department of 
Veterans Affairs.

Jeffrey M. Martin,
Assistant Director, Office of Regulation Policy & Management, Office of 
General Counsel, Department of Veterans Affairs.

    For the reasons stated in the preamble, the Department of Veterans 
Affairs proposes to amend 38 CFR part 21 as set forth below:

PART 21--VETERAN READINESS AND EMPLOYMENT AND EDUCATION

Subpart A--Veteran Readiness and Employment

0
1. The authority citation for part 21, subpart A, continues to read as 
follows:

    Authority: 38 U.S.C. 501(a), chs. 18, 31, and as noted in 
specific sections.

0
2. Amend Sec.  21.294 by revising paragraph (a)(4)(ii) to read as 
follows:


Sec.  21.294   Selecting the training or rehabilitation facility.

    (a) * * *
    (4) * * *
    (ii) To provide timely and accurate information covering the 
veteran's attendance, performance, and progress in training. The school 
certifying official must initially certify the rate of pursuit, dates 
of attendance, and credit or

[[Page 72353]]

training hours within 30 calendar days of the beginning of the term. 
Any change in the rate of pursuit, dates of attendance, or credit or 
training hours must be submitted to VA within 30 calendar days of when 
a veteran makes such a change.
* * * * *
[FR Doc. 2024-19852 Filed 9-4-24; 8:45 am]
BILLING CODE 8320-01-P