Title 38

TITLE 38, UNITED STATES CODE —
VETERANS’ BENEFITS
[AS AMENDED THROUGH P.L. 111-5, ENACTED FEBRUARY 17, 2009]

HOW TO FIND SUBSEQUENT AMENDMENTS
For changes after the closing date of this document (February

17, 2009) to any section of title 38, United States Code, see the
United States Code Classification Tables published by the Office of
the Law Revision Counsel of the House of Representatives at
http://uscode.house.gov/classification/tables.shtml
(ii)
TITLE 38—VETERANS’ BENEFITS
[This table of parts and chapters and the following table of sections are not
part of the statutory text of title 38 and are included for the convenience
of the reader.]
PARTS OF TITLE 38
PART
I. GENERAL PROVISIONS.
II. GENERAL BENEFITS.
III. READJUSTMENT AND RELATED BENEFITS.
IV. GENERAL ADMINISTRATIVE PROVISIONS.
V. BOARDS, ADMINISTRATIONS, AND SERVICES.
VI. ACQUISITION AND DISPOSITION OF PROPERTY.
CHAPTERS OF TITLE 38
PART I—GENERAL PROVISIONS
CHAPTER
1. GENERAL.
3. DEPARTMENT OF VETERANS AFFAIRS.
5. AUTHORITY AND DUTIES OF THE SECRETARY.
7. EMPLOYEES.
9. SECURITY AND LAW ENFORCEMENT ON PROPERTY UNDER
THE JURISDICTION OF THE DEPARTMENT.
PART II—GENERAL BENEFITS

CHAPTER
11. COMPENSATION FOR SERVICE-CONNECTED DISABILITY OR
DEATH.
13. DEPENDENCY AND INDEMNITY COMPENSATION FOR SERV-
ICE-CONNECTED DEATHS.
15. PENSION FOR NON-SERVICE-CONNECTED DISABILITY OR
DEATH OR FOR SERVICE.
17. HOSPITAL, NURSING HOME, DOMICILIARY, AND MEDICAL
CARE.
18. BENEFITS FOR CHILDREN OF VIETNAM VETERANS AND CER-
TAIN OTHER VETERANS.
19. INSURANCE.
20. BENEFITS FOR HOMELESS VETERANS.
21. SPECIALLY ADAPTED HOUSING FOR DISABLED VETERANS.
23. BURIAL BENEFITS.
24. NATIONAL CEMETERIES AND MEMORIALS.
(iii)
Title 38, United States Code—Table of Contents iv
PART III—READJUSTMENT AND RELATED BENEFITS

CHAPTER
30. ALL-VOLUNTEER FORCE EDUCATIONAL ASSISTANCE PRO-
GRAM.
31. TRAINING AND REHABILITATION FOR VETERANS WITH SERV-
ICE-CONNECTED DISABILITIES.
32. POST-VIETNAM ERA VETERANS’ EDUCATIONAL ASSISTANCE.
33. POST-9-11 EDUCATIONAL ASSISTANCE.
34. VETERANS’ EDUCATIONAL ASSISTANCE.
35. SURVIVORS’ AND DEPENDENTS’ EDUCATIONAL ASSISTANCE.
36. ADMINISTRATION OF EDUCATIONAL BENEFITS.
37. HOUSING AND SMALL BUSINESS LOANS.
39. AUTOMOBILES AND ADAPTIVE EQUIPMENT FOR CERTAIN
DISABLED VETERANS AND MEMBERS OF THE ARMED
FORCES.
41. JOB COUNSELING, TRAINING, AND PLACEMENT SERVICE FOR
VETERANS.
42. EMPLOYMENT AND TRAINING OF VETERANS.
43. EMPLOYMENT AND REEMPLOYMENT RIGHTS OF MEMBERS
OF THE UNIFORMED SERVICES.
PART IV—GENERAL ADMINISTRATIVE PROVISIONS

CHAPTER
51. CLAIMS, EFFECTIVE DATES, AND PAYMENTS.
53. SPECIAL PROVISIONS RELATING TO BENEFITS.
55. MINORS, INCOMPETENTS, AND OTHER WARDS.
57. RECORDS AND INVESTIGATIONS.
59. AGENTS AND ATTORNEYS.
61. PENAL AND FORFEITURE PROVISIONS.
63. OUTREACH ACTIVITIES.
PART V—BOARDS, ADMINISTRATIONS, AND SERVICES

CHAPTER
71. BOARD OF VETERANS’ APPEALS.
72. UNITED STATES COURT OF APPEALS FOR VETERANS CLAIMS.
73. VETERANS HEALTH ADMINISTRATION - ORGANIZATION AND
FUNCTIONS.
74. VETERANS HEALTH ADMINISTRATION - PERSONNEL.
75. RENUMBERED 78 AND TRANSFERRED.
76. HEALTH PROFESSIONALS EDUCATIONAL ASSISTANCE PRO-
GRAM.
77. VETERANS BENEFITS ADMINISTRATION.
78. VETERANS’ CANTEEN SERVICE.
79. INFORMATION SECURITY EDUCATION ASSISTANCE PRO-
GRAM.
PART VI—ACQUISITION AND DISPOSITION OF PROPERTY

CHAPTER
81. ACQUISITION AND OPERATION OF HOSPITAL AND DOMI-
CILIARY FACILITIES; PROCUREMENT AND SUPPLY; EN-
HANCED-USE LEASES OF REAL PROPERTY.
82. ASSISTANCE IN ESTABLISHING NEW STATE MEDICAL
SCHOOLS; GRANTS TO AFFILIATED MEDICAL SCHOOLS; AS-
SISTANCE TO HEALTH MANPOWER TRAINING INSTITU-
TIONS.
83. ACCEPTANCE OF GIFTS AND BEQUESTS.
85. DISPOSITION OF DECEASED VETERANS’ PERSONAL PROP-
ERTY.
SECTIONS OF TITLE 38
CHAPTER 1—GENERAL
Sec.
101. Definitions.
102. Dependent parents.
103. Special provisions relating to marriages.
104. Approval of educational institutions.
105. Line of duty and misconduct.
106. Certain service deemed to be active service.
107. Certain service deemed not to be active service.
108. Seven-year absence presumption of death.
109. Benefits for discharged members of allied forces.
110. Preservation of disability ratings.
111. Payments or allowances for beneficiary travel.
112. Presidential memorial certificate program.
113. Treatment of certain programs under sequestration procedures.
114. Multiyear procurement.
115. Acquisition of real property.
116. Reports to Congress: cost information.
CHAPTER 3—DEPARTMENT OF VETERANS AFFAIRS

Sec.
301. Department.
302. Seal.
303. Secretary of Veterans Affairs.
304. Deputy Secretary of Veterans Affairs.
305. Under Secretary for Health.
306. Under Secretary for Benefits.
307. Under Secretary for Memorial Affairs.
308. Assistant Secretaries; Deputy Assistant Secretaries.
309. Chief Financial Officer.
310. Chief Information Officer.
311. General Counsel.
312. Inspector General.
312A. Director of Construction and Facilities Management.
313. Availability of appropriations.
314. Central Office.
315. Regional offices.
316. Colocation of regional offices and medical centers.
317. Center for Minority Veterans.
318. Center for Women Veterans.
319. Office of Employment Discrimination Complaint Adjudication.
320. Department of Veterans Affairs-Department of Defense Joint Executive
Committee.
321. Office of Survivors Assistance.
322. Office of National Veterans Sports Programs and Special Events.
(v)
Title 38, United States Code—Table of Sections vi
CHAPTER 5—AUTHORITY AND DUTIES OF THE SECRETARY

SUBCHAPTER I—GENERAL AUTHORITIES
Sec.
501. Rules and regulations.
502. Judicial review of rules and regulations.
503. Administrative error; equitable relief.
505. Opinions of Attorney General.
510. Authority to reorganize offices.
511. Decisions of the Secretary; finality.
512. Delegation of authority; assignment of functions and duties.
513. Contracts and personal services.
515. Administrative settlement of tort claims.
516. Equal employment responsibilities.
SUBCHAPTER II—SPECIFIED FUNCTIONS

Sec.
521. Assistance to certain rehabilitation activities.
521A. Assistance for United States Paralympics, Inc.
522. Studies of rehabilitation of disabled persons.
523. Coordination and promotion of other programs affecting veterans and
their dependents.
525. Publication of laws relating to veterans.
527. Evaluation and data collection.
529. Annual report to Congress.
530. Annual report on program and expenditures for domestic response to
weapons of mass destruction.
531. Requirement relating to naming of Department property.
532. Authority to advertise in national media.
SUBCHAPTER III—ADVISORY COMMITTEES

Sec.
541. Advisory Committee on Former Prisoners of War.
542. Advisory Committee on Women Veterans.
543. Advisory Committee on Prosthetics and Special-Disabilities Programs.
544. Advisory Committee on Minority Veterans.
545. Advisory Committee on the Readjustment of Veterans.
546. Advisory Committee on Disability Compensation.
CHAPTER 7—EMPLOYEES
Sec.
701. Placement of employees in military installations.
703. Miscellaneous authorities respecting employees.
705. Telephone service for medical officers and facility directors.
707. Benefits for employees at overseas offices who are United States citizens.
709. Employment restrictions.
711. Grade reductions.
[712. Repealed].
CHAPTER 9—SECURITY AND LAW ENFORCEMENT ON PROP-

ERTY UNDER THE JURISDICTION OF THE DEPARTMENT
Sec.
901. Authority to prescribe rules for conduct and penalties for violations.
902. Enforcement and arrest authority of Department police officers.
903. Uniform allowance.
904. Equipment and weapons.
905. Use of facilities and services of other law enforcement agencies.
vii Title 38, United States Code—Table of Sections

CHAPTER 11—COMPENSATION FOR SERVICE-CONNECTED
DISABILITY OR DEATH
SUBCHAPTER I—GENERAL
Sec.
1101. Definitions.
1102. Special provisions relating to surviving spouses.
1103. Special provisions relating to claims based upon effects of tobacco prod-
ucts.
1104. Cost-of-living adjustments.
SUBCHAPTER II—WARTIME DISABILITY COMPENSATION

Sec.
1110. Basic entitlement.
1111. Presumption of sound condition.
1112. Presumptions relating to certain diseases and disabilities.
1113. Presumptions rebuttable.
1114. Rates of wartime disability compensation.
1115. Additional compensation for dependents.
1116. Presumptions of service connection for diseases associated with exposure
to certain herbicide agents; presumption of exposure for veterans who
served in the Republic of Vietnam.
1117. Compensation for disabilities occurring in Persian Gulf War veterans.
1118. Presumptions of service connection for illnesses associated with service in
the Persian Gulf during the Persian Gulf War.
SUBCHAPTER III—WARTIME DEATH COMPENSATION

Sec.
1122. Rates of wartime death compensation.
SUBCHAPTER IV—PEACETIME DISABILITY COMPENSATION

Sec.
1133. Presumptions relating to certain diseases.
1134. Rates of peacetime disability compensation.
[1136. Repealed].
1137. Wartime presumptions for certain veterans.
SUBCHAPTER V—PEACETIME DEATH COMPENSATION

Sec.
1142. Rates of peacetime death compensation.
[1143. Repealed].
SUBCHAPTER VI—GENERAL COMPENSATION PROVISIONS

Sec.
1151. Benefits for persons disabled by treatment or vocational rehabilitation.
1152. Persons heretofore having a compensable status.
1153. Aggravation.
1154. Consideration to be accorded time, place, and circumstances of service.
1155. Authority for schedule for rating disabilities.
1156. Temporary disability ratings.
1157. Combination of certain ratings.
1158. Disappearance.
Title 38, United States Code—Table of Sections viii
1159. Protection of service connection.

1160. Special consideration for certain cases of loss of paired organs or extrem-
ities.
1161. Payment of disability compensation in disability severance cases.
1162. Clothing allowance.
1163. Trial work periods and vocational rehabilitation for certain veterans with
total disability ratings.
CHAPTER 13—DEPENDENCY AND INDEMNITY

COMPENSATION FOR SERVICE-CONNECTED DEATHS
Sec.
1301. Definitions.
1302. Determination of pay grade.
SUBCHAPTER II—DEPENDENCY AND INDEMNITY

COMPENSATION
Sec.
1310. Deaths entitling survivors to dependency and indemnity compensation.
1311. Dependency and indemnity compensation to a surviving spouse.
1312. Benefits in certain cases of in-service or service-connected deaths.
1313. Dependency and indemnity compensation to children.
1314. Supplemental dependency and indemnity compensation to children.
1315. Dependency and indemnity compensation to parents.
1316. Dependency and indemnity compensation in cases of prior deaths.
1317. Restriction on payments under this chapter.
1318. Benefits for survivors of certain veterans rated totally disabled at time of
death.
SUBCHAPTER III—CERTIFICATIONS
Sec.
1321. Certifications with respect to pay grade.
1322. Certifications with respect to social security entitlement.
1323. Certifications with respect to circumstances of death.
CHAPTER 15—PENSION FOR NON-SERVICE-CONNECTED

DISABILITY OR DEATH OR FOR SERVICE
Sec.
1501. Definitions.
1502. Determinations with respect to disability.
1503. Determinations with respect to annual income.
1504. Persons heretofore having a pensionable status.
1505. Payment of pension during confinement in penal institutions.
1506. Resource reports and overpayment adjustments.
1508. Frequency of payment of pension benefits.
SUBCHAPTER II—VETERANS’ PENSIONS

Sec.
[1510. Repealed].
1511. Indian War veterans.
1512. Spanish-American War veterans.
1513. Veterans 65 years of age and older.
1521. Veterans of a period of war.
1522. Net worth limitation.
ix Title 38, United States Code—Table of Sections
1523. Combination of ratings.

1524. Vocational training for certain pension recipients.
1525. Protection of health-care eligibility.
SUBCHAPTER III—PENSIONS TO SURVIVING SPOUSES AND

CHILDREN
Sec.
[1531. Repealed].
1532. Surviving spouses of Civil War veterans.
1533. Children of Civil War veterans.
1534. Surviving spouses of Indian War veterans.
1535. Children of Indian War veterans.
1536. Surviving spouses of Spanish-American War veterans.
1537. Children of Spanish-American War veterans.
1541. Surviving spouses of veterans of a period of war.
1542. Children of veterans of a period of war.
[1544. Repealed].
SUBCHAPTER IV—ARMY, NAVY, AIR FORCE, AND COAST

GUARD MEDAL OF HONOR ROLL
Sec.
1560. Medal of Honor Roll; persons eligible.
1561. Certificate.
1562. Special provisions relating to pension.
CHAPTER 17—HOSPITAL, NURSING HOME, DOMICILIARY,

AND MEDICAL CARE
Sec.
1701. Definitions.
1702. Presumptions: psychosis after service in World War II and following peri-
ods of war; mental illness after service in the Persian Gulf War.
1703. Contracts for hospital care and medical services in non-Department facili-
ties.
1704. Preventive health services: annual report.
1705. Management of health care: patient enrollment system.
1706. Management of health care: other requirements.
1707. Limitations.
1708. Temporary lodging.
SUBCHAPTER II—HOSPITAL, NURSING HOME, OR

DOMICILIARY CARE AND MEDICAL TREATMENT
Sec.
1710. Eligibility for hospital, nursing home, and domiciliary care.
1710A. Required nursing home care.
1710B. Extended care services.
1710C. Traumatic brain injury: plans for rehabilitation and reintegration into the
community.
1710D. Traumatic brain injury: comprehensive plan for long-term rehabilitation.
1710E. Traumatic brain injury: use of non-Department facilities for rehabilita-
tion.
1711. Care during examinations and in emergencies.
1712. Dental care; drugs and medicines for certain disabled veterans; vaccines.
1712A. Eligibility for readjustment counseling and related mental health services.
1712B. Counseling for former prisoners of war.
[1713. Renumbered 1781].
1714. Fitting and training in use of prosthetic appliances; guide dogs; service
dogs.
1715. Tobacco for hospitalized veterans.
Title 38, United States Code—Table of Sections x
1716. Hospital care by other agencies of the United States.

1717. Home health services; invalid lifts and other devices.
1718. Therapeutic and rehabilitative activities.
1719. Repair or replacement of certain prosthetic and other appliances.
1720. Transfers for nursing home care; adult day health care.
1720A. Treatment and rehabilitative services for persons with drug or alcohol de-
pendency.
1720B. Respite care.
1720C. Noninstitutional alternatives to nursing home care.
1720D. Counseling and treatment for sexual trauma.
1720E. Nasopharyngeal radium irradiation.
1720F. Comprehensive program for suicide prevention among veterans.
SUBCHAPTER III—MISCELLANEOUS PROVISIONS RELATING

TO HOSPITAL AND NURSING HOME CARE AND MEDICAL
TREATMENT OF VETERANS
Sec.
1721. Power to make rules and regulations.
1722. Determination of inability to defray necessary expenses; income thresh-
olds.
1722A. Copayment for medications.
1723. Furnishing of clothing.
1724. Hospital care, medical services, and nursing home care abroad.
1725. Reimbursement for emergency treatment.
1726. Reimbursement for loss of personal effects by natural disaster.
1727. Persons eligible under prior law.
1728. Reimbursement of certain medical expenses.
1729. Recovery by the United States of the cost of certain care and services.
1729A. Department of Veterans Affairs Medical Care Collections Fund.
1729B. Consolidated patient accounting centers.
1730. Community residential care.
SUBCHAPTER IV—HOSPITAL CARE AND MEDICAL TREAT-

MENT FOR VETERANS IN THE REPUBLIC OF THE PHIL-
IPPINES
Sec.
1731. Assistance to the Republic of the Philippines.
1732. Contracts and grants to provide for the care and treatment of United
States veterans by the Veterans Memorial Medical Center.
1733. Supervision of program by the President.
1734. Hospital and nursing home care and medical services in the United
States.
1735. Definitions.
SUBCHAPTER V—PAYMENTS TO STATE HOMES

Sec.
1741. Criteria for payment.
1742. Inspections of such homes; restrictions on beneficiaries.
1743. Applications.
1744. Hiring and retention of nurses: payments to assist States.
1745. Nursing home care and medications for veterans with service-connected
disabilities.
SUBCHAPTER VI—SICKLE CELL ANEMIA

Sec.
1751. Screening, counseling, and medical treatment.
1752. Research.
1753. Voluntary participation; confidentiality.
1754. Reports.
[1761 to 1764. Repealed].
xi Title 38, United States Code—Table of Sections
SUBCHAPTER VII—TRANSFERRED
Sec.
[1771 to 1774. Renumbered Secs. 2031 to 2034].
SUBCHAPTER VIII—HEALTH CARE OF PERSONS OTHER

THAN VETERANS
Sec.
1781. Medical care for survivors and dependents of certain veterans.
1782. Counseling, training, and mental health services for immediate family
members.
1783. Bereavement counseling.
1784. Humanitarian care.
1785. Care and services during certain disasters and emergencies.
CHAPTER 18—BENEFITS FOR CHILDREN OF VIETNAM

VETERANS AND CERTAIN OTHER VETERANS
Sec.
[1801. Repealed].
SUBCHAPTER I—CHILDREN OF VIETNAM VETERANS BORN

WITH SPINA BIFIDA
Sec.
1802. Spina bifida conditions covered.
1803. Health care.
1804. Vocational training and rehabilitation.
1805. Monetary allowance.
[1806. Repealed].
SUBCHAPTER II—CHILDREN OF WOMEN VIETNAM

VETERANS BORN WITH CERTAIN BIRTH DEFECTS
Sec.
1811. Definitions.
1812. Covered birth defects.
1813. Health care.
1814. Vocational training.
1816. Regulations.
SUBCHAPTER III—CHILDREN OF CERTAIN KOREA SERVICE

VETERANS BORN WITH SPINA BIFIDA
Sec.
1821. Benefits for children of certain Korea service veterans born with spina
bifida.
SUBCHAPTER IV—GENERAL PROVISIONS

Sec.
1831. Definitions.
1832. Applicability of certain administrative provisions.
1833. Treatment of receipt of monetary allowance and other benefits.
1834. Nonduplication of benefits.
CHAPTER 19—INSURANCE
SUBCHAPTER I—NATIONAL SERVICE LIFE INSURANCE
Sec.
1901. Definitions.
Title 38, United States Code—Table of Sections xii
1902. Premium rates and policy values.

1903. Amount of insurance.
1904. Plans of insurance.
1905. Renewal.
1906. Policy provisions.
1907. Payment or use of dividends.
1908. Premium payments.
1909. Effective date of insurance.
1910. Incontestability.
1911. Forfeiture.
1912. Total disability waiver.
1913. Death before six months’ total disability.
1914. Statutory total disabilities.
1915. Total disability income provision.
1916. Insurance which matured before August 1, 1946.
1917. Insurance maturing on or after August 1, 1946.
1918. Assignments.
1919. National Service Life Insurance appropriation.
1920. National Service Life Insurance Fund.
1921. Extra hazard costs.
1922. Service disabled veterans’ insurance.
1922A. Supplemental service disabled veterans’ insurance for totally disabled vet-
erans.
1923. Veterans’ Special Life Insurance.
1924. In-service waiver of premiums.
1925. Limited period for acquiring insurance.
1926. Authority for higher interest rates for amounts payable to beneficiaries.
1927. Authority for higher monthly installments payable to certain annuitants.
1928. Authority for payment of interest on settlements.
1929. Authority to adjust premium discount rates.
SUBCHAPTER II—UNITED STATES GOVERNMENT LIFE

INSURANCE
Sec.
1940. Definition.
1943. Premiums.
1945. Renewal.
1946. Dividends to pay premiums.
1948. Total disability provision.
1949. Change of beneficiary.
1950. Payment to estates.
1951. Payment of insurance.
1952. Optional settlement.
1953. Assignments.
1954. Forfeiture.
1955. United States Government Life Insurance Fund.
1956. Military and naval insurance appropriation.
1958. Statutory total permanent disability.
1959. Waiver of disability for reinstatement.
1960. Waiver of premium payments on due date.
SUBCHAPTER III—SERVICEMEMBERS’ GROUP LIFE

INSURANCE
Sec.
1965. Definitions.
1966. Eligible insurance companies.
1967. Persons insured; amount.
xiii Title 38, United States Code—Table of Sections
1968. Duration and termination of coverage; conversion.

1969. Deductions; payment; investment; expenses.
1970. Beneficiaries; payment of insurance.
1971. Basic tables of premiums; readjustment of rates.
1972. Benefit certificates.
1973. Forfeiture.
1974. Advisory Council on Servicemembers’ Group Life Insurance.
1975. Jurisdiction of District Courts.
1976. Effective date.
1977. Veterans’ Group Life Insurance.
1978. Reinstatement.
1980. Option to receive accelerated death benefit.
1980A. Traumatic injury protection.
SUBCHAPTER IV—GENERAL
Sec.
1981. Replacement of surrendered and expired insurance.
1982. Administrative cost.
1983. Settlements for minors or incompetents.
1984. Suits on insurance.
1985. Decisions by the Secretary.
1986. Deposits in and disbursements from trust funds.
1987. Penalties.
1988. Savings provision.
CHAPTER 20—BENEFITS FOR HOMELESS VETERANS

SUBCHAPTER I—PURPOSE; DEFINITIONS; ADMINISTRATIVE
MATTERS
Sec.
2001. Purpose.
2002. Definitions.
2003. Staffing requirements.
SUBCHAPTER II—COMPREHENSIVE SERVICE PROGRAMS

Sec.
2011. Grants.
2012. Per diem payments.
2013. Authorization of appropriations.
SUBCHAPTER III—TRAINING AND OUTREACH

Sec.
2021. Homeless veterans reintegration programs.
2022. Coordination of outreach services for veterans at risk of homelessness.
2023. Referral and counseling services: veterans at risk of homelessness who are
transitioning from certain institutions.
SUBCHAPTER IV—TREATMENT AND REHABILITATION FOR

SERIOUSLY MENTALLY ILL AND HOMELESS VETERANS
Sec.
2031. General treatment.
2032. Therapeutic housing.
2033. Additional services at certain locations.
2034. Coordination with other agencies and organizations.
SUBCHAPTER V—HOUSING ASSISTANCE

Sec.
2041. Housing assistance for homeless veterans.
Title 38, United States Code—Table of Sections xiv
2042. Supported housing for veterans participating in compensated work thera-

pies.
2043. Domiciliary care programs.
2044. Financial assistance for supportive services for very low-income veteran
families in permanent housing.
SUBCHAPTER VI—LOAN GUARANTEE FOR MULTIFAMILY

TRANSITIONAL HOUSING
Sec.
2051. General authority.
2052. Requirements.
2053. Default.
2054. Audit.
SUBCHAPTER VII—OTHER PROVISIONS

Sec.
2061. Grant program for homeless veterans with special needs.
2062. Dental care.
2063. Employment assistance.
2064. Technical assistance grants for nonprofit community-based groups.
2065. Annual report on assistance to homeless veterans.
2066. Advisory Committee on Homeless Veterans.
CHAPTER 21—SPECIALLY ADAPTED HOUSING FOR

DISABLED VETERANS
Sec.
2101. Acquisition and adaptation of housing: eligible veterans.
2101A. Eligibility for benefits and assistance: members of the Armed Forces with
service-connected disabilities; individuals residing outside the United
States.
2102. Limitations on assistance furnished.
2102A. Assistance for individuals residing temporarily in housing owned by a
family member.
2103. Furnishing of plans and specifications.
2104. Benefits additional to benefits under other laws.
2105. Nonliability of United States.
2106. Veterans’ mortgage life insurance.
2107. Coordination of administration of benefits.
CHAPTER 23—BURIAL BENEFITS

Sec.
2301. Flags.
2302. Funeral expenses.
2303. Death in Department facility; plot allowance.
2304. Claims for reimbursement.
2306. Headstones, markers, and burial receptacles.
2307. Death from service-connected disability.
2308. Transportation of deceased veteran to a national cemetery.
CHAPTER 24—NATIONAL CEMETERIES AND MEMORIALS

Sec.
2400. Establishment of National Cemetery Administration; composition of Ad-
ministration.
2401. Advisory Committee on Cemeteries and Memorials.
2402. Persons eligible for interment in national cemeteries.
2403. Memorial areas.
2404. Administration.
2405. Disposition of inactive cemeteries.
2406. Acquisition of lands.
2407. Authority to accept and maintain suitable memorials.
xv Title 38, United States Code—Table of Sections
2408. Aid to States for establishment, expansion, and improvement of veterans’

cemeteries.
2409. Memorial areas in Arlington National Cemetery.
2410. Burial of cremated remains in Arlington National Cemetery.
2411. Prohibition against interment or memorialization in the National Ceme-
tery Administration or Arlington National Cemetery of persons commit-
ting Federal or State capital crimes.
2412. Lease of land and buildings.
2413. Prohibition on certain demonstrations at cemeteries under control of the
National Cemetery Administration and at Arlington National Ceme-
tery.

CHAPTER 30—ALL-VOLUNTEER FORCE EDUCATIONAL
ASSISTANCE PROGRAM
SUBCHAPTER I—PURPOSES; DEFINITIONS
Sec.
3001. Purposes.
3002. Definitions.
SUBCHAPTER II—BASIC EDUCATIONAL ASSISTANCE

Sec.
3011. Basic educational assistance entitlement for service on active duty.
3012. Basic educational assistance entitlement for service in the Selected Re-
serve.
3013. Duration of basic educational assistance.
3014. Payment of basic educational assistance.
3014A. Accelerated payment of basic educational assistance for education leading
to employment in high technology occupation in high technology indus-
try.
3015. Amount of basic educational assistance.
3016. Inservice enrollment in a program of education.
3017. Death benefit.
3018. Opportunity for certain active-duty personnel to withdraw election not to
enroll.
3018A. Opportunity for certain active-duty personnel to enroll before being invol-
untarily separated from service.
3018B. Opportunity for certain persons to enroll.
3018C. Opportunity for certain VEAP participants to enroll.
3019. Tutorial assistance.
3020. Authority to transfer unused education benefits to family members for ca-
reer service members.
SUBCHAPTER III—SUPPLEMENTAL EDUCATIONAL

ASSISTANCE
Sec.
3021. Supplemental educational assistance for additional service.
3022. Amount of supplemental educational assistance.
3023. Payment of supplemental educational assistance under this subchapter.
SUBCHAPTER IV—TIME LIMITATION FOR USE OF ELIGI-

BILITY AND ENTITLEMENT; GENERAL AND ADMINISTRA-
TIVE PROVISIONS
Sec.
3031. Time limitation for use of eligibility and entitlement.
3032. Limitations on educational assistance for certain individuals.
3033. Bar to duplication of educational assistance benefits.
3034. Program administration.
Title 38, United States Code—Table of Sections xvi
3035. Allocation of administration and of program costs.

3036. Reporting requirement.
CHAPTER 31—TRAINING AND REHABILITATION FOR

VETERANS WITH SERVICE-CONNECTED DISABILITIES
Sec.
3100. Purposes.
3101. Definitions.
3103. Periods of eligibility.
3104. Scope of services and assistance.
3105. Duration of rehabilitation programs.
3106. Initial and extended evaluations; determinations regarding serious em-
ployment handicap.
3107. Individualized vocational rehabilitation plan.
3108. Allowances.
3109. Entitlement to independent living services and assistance.
3110. Leaves of absence.
3111. Regulations to promote satisfactory conduct and cooperation.
3112. Revolving fund loans.
3113. Vocational rehabilitation for hospitalized members of the Armed Forces
and veterans.
3114. Vocational rehabilitation outside the United States.
3115. Rehabilitation resources.
3116. Promotion of employment and training opportunities.
3118. Personnel training, development, and qualifications.
3119. Rehabilitation research and special projects.
3120. Program of independent living services and assistance.
3121. Veterans’ Advisory Committee on Rehabilitation.
3122. Longitudinal study of vocational rehabilitation programs.
CHAPTER 32—POST-VIETNAM ERA VETERANS’

EDUCATIONAL ASSISTANCE
SUBCHAPTER I—PURPOSE; DEFINITIONS
Sec.
3201. Purpose.
3202. Definitions.
SUBCHAPTER II—ELIGIBILITY; CONTRIBUTIONS; AND

MATCHING FUND
Sec.
3221. Eligibility.
3222. Contributions; matching fund.
3223. Refunds of contributions upon disenrollment.
3224. Death of participant.
3225. Discharge or release under conditions which would bar the use of benefits.
SUBCHAPTER III—ENTITLEMENT; DURATION

Sec.
3231. Entitlement; loan eligibility.
3232. Duration; limitations.
3233. Apprenticeship or other on-job training.
SUBCHAPTER IV—ADMINISTRATION
Sec.
3241. Requirements.
xvii Title 38, United States Code—Table of Sections
[3242. Repealed].
3243. Deposits; reports.
CHAPTER 33—POST-9-11 EDUCATIONAL ASSISTANCE

SUBCHAPTER I—DEFINITIONS
Sec.
3301. Definitions.
SUBCHAPTER II—EDUCATIONAL ASSISTANCE

Sec.
3311. Educational assistance for service in the Armed Forces commencing on or
after September 11, 2001: entitlement.
3312. Educational assistance: duration.
3313. Educational assistance: amount; payment.
3315. Licensure and certification tests.
3316. Supplemental educational assistance: members with critical skills or spe-
cialty; members serving additional service.
3317. Public-private contributions for additional educational assistance.
3318. Additional assistance: relocation or travel assistance for individual relo-
cating or traveling significant distance for pursuit of a program of edu-
cation.
3319. Authority to transfer unused education benefits to family members.
SUBCHAPTER III—ADMINISTRATIVE PROVISIONS

Sec.
3321. Time limitation for use of and eligibility for entitlement.
3324. Allocation of administration and costs.
CHAPTER 34—VETERANS’ EDUCATIONAL ASSISTANCE

SUBCHAPTER I—PURPOSE
Sec.
3451. Purpose.
3452. Definitions.
SUBCHAPTER II—ELIGIBILITY AND ENTITLEMENT

Sec.
3461. Eligibility; entitlement; duration.
3462. Time limitations for completing a program of education.
[3463. Repealed].
SUBCHAPTER III—ENROLLMENT
Sec.
3470. Selection of program.
3471. Applications; approval.
[3472. Repealed].
[3473. Repealed].
3474. Discontinuance for unsatisfactory conduct or progress.
[3475. Repealed].
3476. Education outside the United States.
[3477, 3478. Repealed].
Title 38, United States Code—Table of Sections xviii
SUBCHAPTER IV—PAYMENTS TO ELIGIBLE VETERANS;

VETERAN-STUDENT SERVICES
Sec.
3481. Educational assistance allowance.
3482. Computation of educational assistance allowances.
[3482A. Repealed].
3483. Approval of courses.
3484. Apprenticeship or other on-job training; correspondence courses.
3485. Work-study allowance.
[3486, 3487. Repealed].
SUBCHAPTER V—SPECIAL ASSISTANCE FOR THE

EDUCATIONALLY DISADVANTAGED
Sec.
3490. Purpose.
3491. Elementary and secondary education and preparatory educational assist-
ance.
3493. Effect on educational entitlement.
[3495 to 3498. Repealed].
CHAPTER 35—SURVIVORS’ AND DEPENDENTS’

Sec.
3500. Purpose.
3501. Definitions.

Sec.
3510. Eligibility and entitlement generally.
3511. Duration of educational assistance.
3513. Application.
3514. Processing of applications.
SUBCHAPTER III—PROGRAM OF EDUCATION

Sec.
3520. Educational and vocational counseling.
3521. Approval of application.
[3522. Repealed].
3523. Disapproval of enrollment in certain courses.
3524. Discontinuance for unsatisfactory progress.
[3525, 3526. Repealed].
SUBCHAPTER IV—PAYMENTS TO ELIGIBLE PERSONS

Sec.
3532. Computation of educational assistance allowance.
3533. Special assistance for the educationally disadvantaged.
3536. Specialized vocational training courses.
[3538. Repealed].
xix Title 38, United States Code—Table of Sections
SUBCHAPTER V—SPECIAL RESTORATIVE TRAINING

Sec.
3540. Purpose.
3541. Entitlement to special restorative training.
3542. Special training allowance.
3543. Special administrative provisions.
SUBCHAPTER VI—MISCELLANEOUS PROVISIONS

Sec.
3561. Authority and duties of Secretary.
3563. Notification of eligibility.
3564. Annual adjustment of amounts of educational assistance.
SUBCHAPTER VII—PHILIPPINE COMMONWEALTH ARMY

AND PHILIPPINE SCOUTS
Sec.
3565. Children of certain Philippine veterans.
3566. Definitions.
CHAPTER 36—ADMINISTRATION OF EDUCATIONAL

BENEFITS
SUBCHAPTER I—STATE APPROVING AGENCIES
Sec.
3670. Scope of approval.
3671. Designation.
3673. Approval activities: cooperation and coordination of activities.
3674. Reimbursement of expenses.
3674A. Evaluations of agency performance; qualifications and performance of
agency personnel.
3675. Approval of accredited courses.
3676. Approval of nonaccredited courses.
3677. Approval of training on the job.
3678. Notice of approval of courses.
3679. Disapproval of courses.
SUBCHAPTER II—MISCELLANEOUS PROVISIONS

Sec.
3680. Payment of educational assistance or subsistence allowances.
3680A. Disapproval of enrollment in certain courses.
3681. Limitations on educational assistance.
3682. Control by agencies of the United States.
3683. Conflicting interests.
3684. Reports by veterans, eligible persons, and institutions; reporting fee.
3684A. Procedures relating to computer matching program.
3685. Overpayments to eligible persons or veterans.
3686. Correspondence courses.
3688. Measurement of courses.
3689. Approval requirements for licensing and certification testing.
3690. Overcharges by educational institutions; discontinuance of allowances; ex-
amination of records; false or misleading statements.
3691. Change of program.
3692. Advisory committee.
3693. Compliance surveys.
3694. Use of other Federal agencies.
3695. Limitation on period of assistance under two or more programs.
3696. Limitation on certain advertising, sales, and enrollment practices.
Title 38, United States Code—Table of Sections xx
3697. Funding of contract educational and vocational counseling.

3697A. Educational and vocational counseling.
SUBCHAPTER III—REPEALED
Sec.
[3698, 3699. Repealed].
CHAPTER 37—HOUSING AND SMALL BUSINESS LOANS

Sec.
3701. Definitions.
3703. Basic provisions relating to loan guaranty and insurance.
3704. Restrictions on loans.
3705. Warranties.
3706. Escrow of deposits and downpayments.
3707. Adjustable rate mortgages.
3707A. Hybrid adjustable rate mortgages.
3708. Authority to buy down interest rates: pilot program.
SUBCHAPTER II—LOANS
Sec.
3710. Purchase or construction of homes.
3711. Direct loans to veterans.
3712. Loans to purchase manufactured homes and lots.
3713. Release from liability under guaranty.
3714. Assumptions; release from liability.
[3715. Renumbered § 3703(a)(2).]
[3716. Renumbered § 1732 and 1733.]
[3717. Renumbered § 1713.]
[3717A. Renumbered § 1714.]
[3718. Repealed.]
[3719. Renumbered § 3712.]

Sec.
3720. Powers of Secretary.
3722. Veterans Housing Benefit Program Fund.
[3723. Repealed].
[3724. Repealed].
[3725. Repealed].
3726. Withholding of payments, benefits, etc.
3727. Expenditures to correct or compensate for structural defects in mortgaged
homes.
3728. Exemption from State anti-usury provisions.
3729. Loan fee.
3730. Use of attorneys in court.
3731. Appraisals.
3732. Procedure on default.
3733. Property management.
3734. Annual submission of information on the Veterans Housing Benefit Pro-
gram Fund and housing programs.
[3735. Renumbered § 2041].
3736. Reporting requirements.
SUBCHAPTER IV—SMALL BUSINESS LOANS

Sec.
3741. Definitions.
3742. Small business loan program.
xxi Title 38, United States Code—Table of Sections
3743. Liability on loans.

3744. Approval of loans by the Secretary.
3745. Interest on loans.
3746. Maturity of loans.
3747. Eligible financial institutions.
3748. Preference for disabled veterans.
3749. Revolving fund.
3750. Incorporation of other provisions by the Secretary.
3751. Termination of program.
SUBCHAPTER V—DIRECT HOUSING LOANS FOR NATIVE

AMERICAN VETERANS
Sec.
3761. Direct housing loans to Native American veterans; program authority.
3762. Direct housing loans to Native American veterans; program administra-
tion.
3763. Native American Veteran Housing Loan Program Account.
3764. Qualified non-Native American veterans.
3765. Definitions.
SUBCHAPTER VI—TRANSFERRED
Sec.
[3771. Repealed].
[3772 to 3775. Renumbered §§ 2051 to 2054].
CHAPTER 39—AUTOMOBILES AND ADAPTIVE EQUIPMENT

FOR CERTAIN DISABLED VETERANS AND MEMBERS OF
THE ARMED FORCES
Sec.
3901. Definitions.
3902. Assistance for providing automobile and adaptive equipment.
3903. Limitations on assistance; special training courses.
3904. Research and development.
CHAPTER 41—JOB COUNSELING, TRAINING, AND

PLACEMENT SERVICE FOR VETERANS
Sec.
4100. Findings.
4101. Definitions.
4102. Purpose.
4102A. Assistant Secretary of Labor for Veterans’ Employment and Training; pro-
gram functions; Regional Administrators.
4103. Directors and Assistant Directors for Veterans’ Employment and Training;
additional Federal personnel.
4103A. Disabled veterans’ outreach program.
4104. Local veterans’ employment representatives.
[4104A. Repealed].
4105. Cooperation of Federal agencies.
4106. Estimate of funds for administration; authorization of appropriations.
4107. Administrative controls; annual report.
4108. Cooperation and coordination.
4109. National Veterans’ Employment and Training Services Institute.
4110. Advisory Committee on Veterans Employment, Training, and Employer
Outreach.
4110A. Special unemployment study.
4110B. Coordination and nonduplication.
[4111. Repealed].
4112. Performance incentive awards for quality employment, training, and
placement services.
4113. Outstationing of Transition Assistance Program personnel.
4114. Credentialing and licensure of veterans: demonstration project.
Title 38, United States Code—Table of Sections xxii
CHAPTER 42—EMPLOYMENT AND TRAINING OF VETERANS

Sec.
4211. Definitions.
4212. Veterans’ employment emphasis under Federal contracts.
4213. Eligibility requirements for veterans under Federal employment and
training programs.
4214. Employment within the Federal Government.
4215. Priority of service for veterans in Department of Labor job training pro-
grams.
CHAPTER 43—EMPLOYMENT AND REEMPLOYMENT RIGHTS

OF MEMBERS OF THE UNIFORMED SERVICES
Sec.
4301. Purposes; sense of Congress.
4302. Relation to other law and plans or agreements.
4303. Definitions.
4304. Character of service.
SUBCHAPTER II—EMPLOYMENT AND REEMPLOYMENT

RIGHTS AND LIMITATIONS; PROHIBITIONS
Sec.
4311. Discrimination against persons who serve in the uniformed services and
acts of reprisal prohibited.
4312. Reemployment rights of persons who serve in the uniformed services.
4313. Reemployment positions.
4314. Reemployment by the Federal Government.
4315. Reemployment by certain Federal agencies.
4316. Rights, benefits, and obligations of persons absent from employment for
service in a uniformed service.
4317. Health plans.
4318. Employee pension benefit plans.
4319. Employment and reemployment rights in foreign countries.
SUBCHAPTER III—PROCEDURES FOR ASSISTANCE,

ENFORCEMENT, AND INVESTIGATION
Sec.
4321. Assistance in obtaining reemployment or other employment rights or ben-
efits.
4322. Enforcement of employment or reemployment rights.
4323. Enforcement of rights with respect to a State or private employer.
4324. Enforcement of rights with respect to Federal executive agencies.
4325. Enforcement of rights with respect to certain Federal agencies.
4326. Conduct of investigation; subpoenas.
4327. Noncompliance of Federal officials with deadlines; inapplicability of stat-
utes of limitations.
SUBCHAPTER IV—MISCELLANEOUS PROVISIONS

Sec.
4331. Regulations.
4332. Reports.
4333. Outreach.
4334. Notice of rights and duties.
4335. Training for Federal executive agency human resources personnel on em-
ployment and reemployment rights and limitations.
xxiii Title 38, United States Code—Table of Sections

CHAPTER 51—CLAIMS, EFFECTIVE DATES, AND PAYMENTS
SUBCHAPTER I—CLAIMS
Sec.
5100. Definition of claimant.
5101. Claims and forms.
5102. Application forms furnished upon request; notice to claimants of incom-
plete applications.
5103. Notice to claimants of required information and evidence.
5103A. Duty to assist claimants.
5104. Decisions and notices of decisions.
5105. Joint applications for social security and dependency and indemnity com-
pensation.
5106. Furnishing of information by other agencies.
5107. Claimant responsibility; benefit of the doubt.
5108. Reopening disallowed claims.
5109. Independent medical opinions.
5109A. Revision of decisions on grounds of clear and unmistakable error.
5109B. Expedited treatment of remanded claims.
SUBCHAPTER II—EFFECTIVE DATES

Sec.
5110. Effective dates of awards.
5111. Commencement of period of payment.
5112. Effective dates of reductions and discontinuances.
5113. Effective dates of educational benefits.
SUBCHAPTER III—PAYMENT OF BENEFITS

Sec.
5120. Payment of benefits; delivery.
5121. Payment of certain accrued benefits upon death of a beneficiary.
5121A. Substitution in case of death of claimant.
5122. Cancellation of checks mailed to deceased payees.
5123. Rounding down of pension rates.
5124. Acceptance of claimant’s statement as proof of relationship.
5125. Acceptance of reports of private physician examinations.
5126. Benefits not to be denied based on lack of mailing address.
CHAPTER 53—SPECIAL PROVISIONS RELATING TO

BENEFITS
Sec.
5301. Nonassignability and exempt status of benefits.
5302. Waiver of recovery of claims by the United States.
5302A. Collection of indebtedness: certain debts of members of the Armed Forces
and veterans who die of injury incurred or aggravated in the line of
duty in a combat zone.
5303. Certain bars to benefits.
5303A. Minimum active-duty service requirement.
5304. Prohibition against duplication of benefits.
5305. Waiver of retired pay.
5306. Renouncement of right to benefits.
5307. Apportionment of benefits.
5308. Withholding benefits of persons in territory of the enemy.
5309. Payment of certain withheld benefits.
5310. Payment of benefits for month of death.
5311. Prohibition of certain benefit payments.
5312. Annual adjustment of certain benefit rates.
5313. Limitation on payment of compensation and dependency and indemnity
compensation to persons incarcerated for conviction of a felony.
5313A. Limitation on payment of clothing allowance to incarcerated veterans.
Title 38, United States Code—Table of Sections xxiv
5313B. Prohibition on providing certain benefits with respect to persons who are
fugitive felons.
5314. Indebtedness offsets.
5315. Interest and administrative cost charges on delinquent payments of cer-
tain amounts due the United States.
5316. Authority to sue to collect certain debts.
5317. Use of income information from other agencies: notice and verification.
5317A. Use of income information from other agencies: independent verification
required before termination or reduction of certain benefits and serv-
ices.
5318. Review of Social Security Administration death information.
5319. Limitations on access to financial records.
CHAPTER 55—MINORS, INCOMPETENTS, AND OTHER

WARDS
Sec.
5501. Commitment actions.
5502. Payments to and supervision of fiduciaries.
5503. Hospitalized veterans and estates of incompetent institutionalized vet-
erans.
5504. Administration of trust funds.
[5505. Repealed].
5506. Definition of fiduciary.
5507. Inquiry, investigations, and qualification of fiduciaries.
5508. Periodic onsite reviews of institutional fiduciaries.
5509. Authority to require fiduciary to receive payments at regional offices of the
Department when failing to provide required accounting.
5510. Annual report.
CHAPTER 57—RECORDS AND INVESTIGATIONS

SUBCHAPTER I—RECORDS
Sec.
5701. Confidential nature of claims.
5702. Furnishing of records.
5703. Certification of records of District of Columbia.
5704. Transcript of trial records.
5705. Confidentiality of medical quality-assurance records.
SUBCHAPTER II—INVESTIGATIONS
Sec.
5711. Authority to issue subpoenas.
5712. Validity of affidavits.
5713. Disobedience to subpoena.
SUBCHAPTER III—INFORMATION SECURITY

Sec.
5721. Purpose.
5722. Policy.
5723. Responsibilities.
5724. Provision of credit protection and other services.
5725. Contracts for data processing or maintenance.
5726. Reports and notice to congress on data breaches.
5727. Definitions.
CHAPTER 59—AGENTS AND ATTORNEYS

Sec.
5901. Prohibition against acting as claims agent or attorney.
5902. Recognition of representatives of organizations.
5903. Recognition with respect to particular claims.
xxv Title 38, United States Code—Table of Sections
5904. Recognition of agents and attorneys generally.

5905. Penalty for certain acts.
CHAPTER 61—PENAL AND FORFEITURE PROVISIONS

Sec.
6101. Misappropriation by fiduciaries.
6102. Fraudulent acceptance of payments.
6103. Forfeiture for fraud.
6104. Forfeiture for treason.
6105. Forfeiture for subversive activities.
6106. Misuse of benefits by fiduciaries.
6107. Reissuance of benefits.
6108. Authority for judicial orders of restitution.
CHAPTER 63—OUTREACH ACTIVITIES

Sec.
6301. Purpose; definitions.
6302. Biennial plan.
6303. Outreach services.
6304. Veterans assistance offices.
6305. Outstationing of counseling and outreach personnel.
6306. Use of other agencies.
6307. Outreach for eligible dependents.
6308. Biennial report to Congress.

CHAPTER 71—BOARD OF VETERANS’ APPEALS
Sec.
7101. Composition of Board of Veterans’ Appeals.
7101A. Members of Board: appointment; pay; performance review.
7102. Assignment of members of Board.
7103. Reconsideration; correction of obvious errors.
7104. Jurisdiction of the Board.
7105. Filing of notice of disagreement and appeal.
7105A. Simultaneously contested claims.
7106. Administrative appeals.
7107. Appeals: dockets; hearings.
7108. Rejection of applications.
[7110. Repealed].
7111. Revision of decisions on grounds of clear and unmistakable error.
7112. Expedited treatment of remanded claims.
CHAPTER 72—UNITED STATES COURT OF APPEALS FOR

VETERANS CLAIMS
SUBCHAPTER I—ORGANIZATION AND JURISDICTION
Sec.
7251. Status.
7252. Jurisdiction; finality of decisions.
7253. Composition.
7254. Organization.
7255. Offices.
7256. Times and places of sessions.
7257. Recall of retired judges.
SUBCHAPTER II—PROCEDURE
Sec.
7261. Scope of review.
Title 38, United States Code—Table of Sections xxvi
7262. Fee for filing appeals.

7263. Representation of parties; fee agreements.
7264. Rules of practice and procedure.
7265. Contempt authority; assistance to the Court.
7266. Notice of appeal.
7267. Decisions.
7268. Availability of proceedings.
7269. Publication of decisions.
SUBCHAPTER III—MISCELLANEOUS PROVISIONS

Sec.
7281. Employees.
7282. Budget and expenditures.
7283. Disposition of fees.
7284. Fee for transcript of record.
7285. Practice and registration fees.
7286. Judicial Conference of the Court.
SUBCHAPTER IV—DECISIONS AND REVIEW

Sec.
7291. Date when Court decision becomes final.
7292. Review by United States Court of Appeals for the Federal Circuit.
SUBCHAPTER V—RETIREMENT AND SURVIVORS

ANNUITIES
Sec.
7296. Retirement of judges.
7297. Survivor annuities.
7298. Retirement Fund.
7299. Limitation on activities of retired judges.
CHAPTER 73—VETERANS HEALTH ADMINISTRATION -

ORGANIZATION AND FUNCTIONS
SUBCHAPTER I—ORGANIZATION
Sec.
7301. Functions of Veterans Health Administration: in general.
7302. Functions of Veterans Health Administration: health-care personnel edu-
cation and training programs.
7303. Functions of Veterans Health Administration: research programs.
7304. Regulations.
7305. Divisions of Veterans Health Administration.
7306. Office of the Under Secretary for Health.
7307. Office of Research Oversight.
7308. Office of Rural Health.
SUBCHAPTER II—GENERAL AUTHORITY AND

ADMINISTRATION
Sec.
7311. Quality assurance.
7312. Special medical advisory group.
7313. Advisory committees: affiliated institutions.
7314. Geriatric research, education, and clinical centers.
7315. Geriatrics and Gerontology Advisory Committee.
7316. Malpractice and negligence suits: defense by United States.
7317. Hazardous research projects: indemnification of contractors.
7318. National Center for Preventive Health.
7319. Mammography quality standards.
xxvii Title 38, United States Code—Table of Sections
7320. Centers for mental illness research, education, and clinical activities.
7321. Committee on Care of Severely Chronically Mentally Ill Veterans.
7322. Breast cancer mammography policy.
7323. Required consultations with nurses.
7324. Annual report on use of authorities to enhance retention of experienced
nurses.
7325. Medical emergency preparedness centers.
7326. Education and training programs on medical responses to consequences of
terrorist activities.
7327. Centers for research, education, and clinical activities on complex multi-
trauma associated with combat injuries.
7328. Medical preparedness centers.
7329. Parkinson’s Disease research, education, and clinical centers.
7330. Multiple sclerosis centers of excellence.
7330A. Epilepsy centers of excellence.
SUBCHAPTER III—PROTECTION OF PATIENT RIGHTS

Sec.
7331. Informed consent.
7332. Confidentiality of certain medical records.
7333. Nondiscrimination against alcohol and drug abusers and persons infected
with the human immunodeficiency virus.
7334. Regulations.
SUBCHAPTER IV—RESEARCH CORPORATIONS

Sec.
7361. Authority to establish; status.
7362. Purpose of corporations.
7363. Board of directors; executive director.
7364. General powers.
7364A. Coverage of employees under certain Federal tort claims laws.
7365. Applicable State law.
7366. Accountability and oversight.
[7367. Repealed].
[7368. Repealed].
CHAPTER 74—VETERANS HEALTH ADMINISTRATION -

PERSONNEL
SUBCHAPTER I—APPOINTMENTS
Sec.
7401. Appointments in Veterans Health Administration.
7402. Qualifications of appointees.
7403. Period of appointments; promotions.
7404. Grades and pay scales.
7405. Temporary full-time appointments, part-time appointments, and without-
compensation appointments.
7406. Residencies and internships.
7407. Administrative provisions for section 7405 and 7406 appointments.
7408. Appointment of additional employees.
7409. Contracts for scarce medical specialist services.
7410. Additional pay authorities.
7411. Full-time board-certified physicians and dentists: reimbursement of con-
tinuing professional education expenses.
SUBCHAPTER II—COLLECTIVE BARGAINING AND

PERSONNEL ADMINISTRATION
Sec.
7421. Personnel administration: in general.
7422. Collective bargaining.
7423. Personnel administration: full-time employees.
7424. Travel expenses of certain employees.
Title 38, United States Code—Table of Sections xxviii
7425. Employees: laws not applicable.

7426. Retirement rights.
SUBCHAPTER III—PAY FOR PHYSICIANS AND DENTISTS

Sec.
7431. Pay.
7432. Pay of Under Secretary for Health.
7433. Administrative matters.
SUBCHAPTER IV—PAY FOR NURSES AND OTHER HEALTH-

CARE PERSONNEL
Sec.
7451. Nurses and other health-care personnel: competitive pay.
7452. Nurses and other health-care personnel: administration of pay.
7453. Nurses: additional pay.
7454. Physician assistants and other health care professionals: additional pay.
7455. Increases in rates of basic pay.
7456. Nurses: special rules for weekend duty.
7456A. Nurses: alternate work schedules.
7457. On-call pay.
7458. Recruitment and retention bonus pay.
SUBCHAPTER V—DISCIPLINARY AND GRIEVANCE

PROCEDURES
Sec.
7461. Adverse actions: section 7401(1) employees.
7462. Major adverse actions involving professional conduct or competence.
7463. Other adverse actions.
7464. Disciplinary Appeals Boards.
SUBCHAPTER VI—REGIONAL MEDICAL EDUCATION

CENTERS
Sec.
7471. Designation of Regional Medical Education Centers.
7472. Supervision and staffing of Centers.
7473. Personnel eligible for training.
7474. Consultation.
CHAPTER 75—RENUMBERED CHAPTER 78 AND

TRANSFERRED
CHAPTER 76—HEALTH PROFESSIONALS EDUCATIONAL
ASSISTANCE PROGRAM
Sec.
7601. Establishment of program; purpose.
7602. Eligibility.
7603. Application and acceptance.
7604. Terms of agreement.
SUBCHAPTER II—SCHOLARSHIP PROGRAM

Sec.
7611. Authority for program.
7612. Eligibility; application; agreement.
7613. Scholarship.
7614. Part-time students.
7615. Status of participants.
xxix Title 38, United States Code—Table of Sections
7616. Obligated service.

7617. Breach of agreement: liability.
7618. Expiration of program.
SUBCHAPTER III—TUITION REIMBURSEMENT PROGRAM

Sec.
7625. Allocation and distribution of funding.
SUBCHAPTER IV—ADMINISTRATIVE MATTERS

Sec.
7631. Periodic adjustments in amount of assistance.
7633. Regulations.
7634. Breach of agreement; waiver of liability.
7635. Service in other agencies.
7636. Exemption of educational assistance payments from taxation.
SUBCHAPTER V—STIPEND PROGRAM FOR MEMBERS OF

THE SELECTED RESERVE
Sec.
7652. Eligibility: individuals entitled to benefits under the GI Bill program for
members of the Selected Reserve.
7653. Amount of assistance.
7655. Breach of agreement; liability.
SUBCHAPTER VI—EMPLOYEE INCENTIVE SCHOLARSHIP

PROGRAM
Sec.
7672. Eligibility; agreement.
7673. Scholarship.
[7676. Repealed].
SUBCHAPTER VII—EDUCATION DEBT REDUCTION

PROGRAM
Sec.
7682. Eligibility.
7683. Education debt reduction.
[7684. Repealed].
CHAPTER 77—VETERANS BENEFITS ADMINISTRATION

SUBCHAPTER I—ORGANIZATION; GENERAL
Sec.
7701. Organization of the Administration.
7703. Functions of the Administration.
SUBCHAPTER II—QUALITY ASSURANCE

Sec.
Title 38, United States Code—Table of Sections xxx
7731. Establishment.
7732. Functions.
7732A. Employee certification.
7733. Personnel.
CHAPTER 78—VETERANS’ CANTEEN SERVICE

Sec.
7801. Purpose of Veterans’ Canteen Service.
7802. Duties of Secretary with respect to Service.
7803. Operation of Service.
7804. Financing of Service.
7806. Budget of Service.
7807. Audit of accounts.
7808. Service to be independent unit.
7809. Child-care centers.
7810. Exemption from personnel ceilings.
CHAPTER 79—INFORMATION SECURITY EDUCATION

ASSISTANCE PROGRAM
Sec.
7901. Programs; purpose.
7902. Scholarship program.
7903. Education debt reduction program.
7904. Preferences in awarding financial assistance.
7905. Requirement of honorable discharge for veterans receiving assistance.
7906. Regulations.
7907. Termination.
PART VI—ACQUISITION AND DISPOSITION OF PROPERTY

CHAPTER 81—ACQUISITION AND OPERATION OF HOSPITAL
AND DOMICILIARY FACILITIES; PROCUREMENT AND SUP-
PLY; ENHANCED-USE LEASES OF REAL PROPERTY
SUBCHAPTER I—ACQUISITION AND OPERATION OF
MEDICAL FACILITIES
Sec.
8101. Definitions.
8102. Acquisition of medical facilities.
8103. Authority to construct and alter, and to acquire sites for, medical facilities.
8104. Congressional approval of certain medical facility acquisitions.
8105. Structural requirements.
8106. Construction contracts.
8107. Operational and construction plans for medical facilities.
8108. Contributions to local authorities.
8109. Parking facilities.
8110. Operation of medical facilities.
8111. Sharing of Department of Veterans Affairs and Department of Defense
health care resources.
8111A. Furnishing of health-care services to members of the Armed Forces during
a war or national emergency.
8112. Partial relinquishment of legislative jurisdiction.
8113. Property formerly owned by National Home for Disabled Volunteer Sol-
diers.
8114. Use of federally owned facilities; use of personnel.
8115. Acceptance of certain property.
8116. Nursing home revolving fund.
8117. Emergency preparedness.
xxxi Title 38, United States Code—Table of Sections
8118. Authority for transfer of real property; Department of Veterans Affairs

Capital Asset Fund.
8119. Annual report on outpatient clinics.
SUBCHAPTER II—PROCUREMENT AND SUPPLY

Sec.
8121. Revolving supply fund.
8122. Authority to procure and dispose of property and to negotiate for common
services.
8123. Procurement of prosthetic appliances.
8124. Grant of easements in Government-owned lands.
8125. Procurement of health-care items.
8126. Limitation on prices of drugs procured by Department and certain other
Federal agencies.
8127. Small business concerns owned and controlled by veterans: contracting
goals and preferences.
priority.
SUBCHAPTER III—STATE HOME FACILITIES FOR FUR-

NISHING DOMICILIARY, NURSING HOME, AND HOSPITAL
CARE
Sec.
8131. Definitions.
8132. Declaration of purpose.
8134. General regulations.
8135. Applications with respect to projects; payments.
8136. Recapture provisions.
8137. State control of operations.
8138. Treatment of certain health facilities as State homes.
SUBCHAPTER IV—SHARING OF MEDICAL FACILITIES,

EQUIPMENT, AND INFORMATION
Sec.
8151. Statement of congressional purpose.
8152. Definitions.
8153. Sharing of health-care resources.
8154. Exchange of medical information.
8155. Pilot programs; grants to medical schools.
8156. Coordination with health services development activities carried out under
the National Health Planning and Resources Development Act of 1974.
8157. Joint title to medical equipment.
8158. Deposit in escrow.
SUBCHAPTER V—ENHANCED-USE LEASES OF REAL

PROPERTY
Sec.
8161. Definitions.
8162. Enhanced-use leases.
8163. Hearing and notice requirements regarding proposed leases.
8164. Authority for disposition of leased property.
8165. Use of proceeds.
8166. Construction standards.
8167. Exemption from State and local taxes.
[8168. Repealed].
8169. Expiration.
Title 38, United States Code—Table of Sections xxxii
CHAPTER 82—ASSISTANCE IN ESTABLISHING NEW STATE

MEDICAL SCHOOLS; GRANTS TO AFFILIATED MEDICAL
SCHOOLS; ASSISTANCE TO HEALTH MANPOWER TRAIN-
ING INSTITUTIONS
Sec.
8201. Coordination with public health programs; administration.
SUBCHAPTER I—PILOT PROGRAM FOR ASSISTANCE IN THE

ESTABLISHMENT OF NEW STATE MEDICAL SCHOOLS
Sec.
8213. Pilot program assistance.
8214. Limitations.
SUBCHAPTER II—GRANTS TO AFFILIATED MEDICAL

SCHOOLS
Sec.
8223. Grants.
SUBCHAPTER III—ASSISTANCE TO PUBLIC AND NON-

PROFIT INSTITUTIONS OF HIGHER LEARNING, HOS-
PITALS AND OTHER HEALTH MANPOWER INSTITUTIONS
AFFILIATED WITH THE DEPARTMENT TO INCREASE THE
PRODUCTION OF PROFESSIONAL AND OTHER HEALTH
PERSONNEL
Sec.
8232. Definition.
8233. Grants.
SUBCHAPTER IV—EXPANSION OF DEPARTMENT HOSPITAL

EDUCATION AND TRAINING CAPACITY
Sec.
8241. Expenditures to remodel and make special allocations to Department hos-
pitals for health manpower education and training.
CHAPTER 83—ACCEPTANCE OF GIFTS AND BEQUESTS

Sec.
8301. Authority to accept gifts, devises, and bequests.
8302. Legal proceedings.
8303. Restricted gifts.
8304. Disposition of property.
CHAPTER 85—DISPOSITION OF DECEASED VETERANS’

PERSONAL PROPERTY
SUBCHAPTER I—PROPERTY LEFT ON DEPARTMENT
FACILITY
Sec.
8501. Vesting of property left by decedents.
8502. Disposition of unclaimed personal property.
xxxiii Title 38, United States Code—Table of Sections
8503. Notice of provisions of this subchapter.

8504. Disposition of other unclaimed property.
8505. Sale or other disposition of property.
8506. Notice of sale.
8507. Payment of small shipping charges.
8508. Relinquishment of Federal jurisdiction.
8509. Definitions.
8510. Finality of decisions.
SUBCHAPTER II—DEATH WHILE PATIENT OF DEPARTMENT

FACILITY
Sec.
8521. Presumption of contract for disposition of personalty.
8522. Sale of assets accruing to the Fund.
8523. Disbursements from the Fund.
8524. Disposal of remaining assets.
8525. Court actions.
8526. Filing of claims for assets.
8527. Notice of provisions of subchapter.
CHAPTER 1 OF TITLE 38, UNITED STATES CODE
[As Amended Through P.L. 111–5, Enacted February 17, 2009]
Part Sec.
I. General Provisions ...................................................... 101
II. General Benefits .......................................................... 1101
III. Readjustment and Related Benefits .......................... 3001
IV. General Administrative Provisions ............................ 5100
V. Boards, Administrations, and Services ...................... 7101
VI. Acquisition and Disposition of Property .................... 8101

Chapter Sec.
1. General ......................................................................... 101
3. Department of Veterans Affairs ................................. 301
5. Authority and Duties of the Secretary ...................... 501
7. Employees .................................................................... 701
9. Security and Law Enforcement on Property Under
the Jurisdiction of the Department ........................ 901
1
CHAPTER 1—GENERAL
Sec.
101. Definitions.
102. Dependent parents.
103. Special provisions relating to marriages.
104. Approval of educational institutions.
105. Line of duty and misconduct.
106. Certain service deemed to be active service.
107. Certain service deemed not to be active service.
108. Seven-year absence presumption of death.
109. Benefits for discharged members of allied forces.
110. Preservation of disability ratings.
111. Payments or allowances for beneficiary travel.
112. Presidential memorial certificate program.
113. Treatment of certain programs under sequestration procedures.
114. Multiyear procurement.
115. Acquisition of real property.
116. Reports to Congress: cost information.
§ 101. Definitions
For the purposes of this title—
(1) The terms ‘‘Secretary’’ and ‘‘Department’’ mean the Sec-
retary of Veterans Affairs and the Department of Veterans Affairs,
respectively.
(2) The term ‘‘veteran’’ means a person who served in the ac-
tive military, naval, or air service, and who was discharged or re-
leased therefrom under conditions other than dishonorable.
(3) The term ‘‘surviving spouse’’ means (except for purposes of
chapter 19 of this title) a person of the opposite sex who was the
spouse of a veteran at the time of the veteran’s death, and who
lived with the veteran continuously from the date of marriage to
the date of the veteran’s death (except where there was a separa-
tion which was due to the misconduct of, or procured by, the vet-
eran without the fault of the spouse) and who has not remarried
or (in cases not involving remarriage) has not since the death of
the veteran, and after September 19, 1962, lived with another per-
son and held himself or herself out openly to the public to be the
spouse of such other person.
(4)(A) The term ‘‘child’’ means (except for purposes of chapter
19 of this title (other than with respect to a child who is an insur-
able dependent under subparagraph (B) or (C) of section 1965(10)
of such chapter)and section 8502(b) of this title) a person who is
unmarried and—
(i) who is under the age of eighteen years;
(ii) who, before attaining the age of eighteen years, became
permanently incapable of self-support; or
(iii) who, after attaining the age of eighteen years and
until completion of education or training (but not after attain-
ing the age of twenty-three years), is pursuing a course of in-
struction at an approved educational institution;
3
Sec. 101 CH. 1—GENERAL 4
and who is a legitimate child, a legally adopted child, a step-

child who is a member of a veteran’s household or was a mem-
ber at the time of the veteran’s death, or an illegitimate child
but, as to the alleged father, only if acknowledged in writing
signed by him, or if he has been judicially ordered to contribute
to the child’s support or has been, before his death, judicially
decreed to be the father of such child, or if he is otherwise
shown by evidence satisfactory to the Secretary to be the fa-
ther of such child. A person shall be deemed, as of the date of
death of a veteran, to be the legally adopted child of such vet-
eran if such person was at the time of the veteran’s death liv-
ing in the veteran’s household and was legally adopted by the
veteran’s surviving spouse before August 26, 1961, or within
two years after the veteran’s death; however, this sentence
shall not apply if at the time of the veteran’s death, such per-
son was receiving regular contributions toward the person’s
support from some individual other than the veteran or the
veteran’s spouse, or from any public or private welfare organi-
zation which furnishes services or assistance for children. A
person with respect to whom an interlocutory decree of adop-
tion has been issued by an appropriate adoption authority
shall be recognized thereafter as a legally adopted child, unless
and until that decree is rescinded, if the child remains in the
custody of the adopting parent or parents during the interlocu-
tory period. A person who has been placed for adoption under
an agreement entered into by the adopting parent or parents
with any agency authorized under law to so act shall be recog-
nized thereafter as a legally adopted child, unless and until
such agreement is terminated, if the child remains in the cus-
tody of the adopting parent or parents during the period of
placement for adoption under such agreement. A person de-
scribed in clause (ii) of the first sentence of this subparagraph
who was a member of a veteran’s household at the time the
person became 18 years of age and who is adopted by the vet-
eran shall be recognized as a legally adopted child of the vet-
eran regardless of the age of such person at the time of adop-
tion.
(B) For the purposes of subparagraph (A) of this paragraph, in
the case of an adoption under the laws of any jurisdiction other
than a State (as defined in section 101(20) of this title and includ-
ing the Commonwealth of the Northern Mariana Islands)—
(i) a person residing outside any of the States shall not be
considered to be a legally adopted child of a veteran during the
lifetime of such veteran (including for purposes of this subpara-
graph a Commonwealth Army veteran or new Philippine Scout,
as defined in section 3566 of this title) unless such person—
(I) was less than eighteen years of age at the time of
adoption;
(II) is receiving one-half or more of such person’s an-
nual support from such veteran;
(III) is not in the custody of such person’s natural par-
ent, unless such natural parent is such veteran’s spouse;
and
5 CH. 1—GENERAL Sec. 101
(IV) is residing with such veteran (or in the case of di-

vorce following adoption, with the divorced spouse who is
also an adoptive or natural parent) except for periods dur-
ing which such person is residing apart from such veteran
(or such divorced spouse) for purposes of full-time attend-
ance at an educational institution or during which such
person or such veteran (or such divorced spouse) is con-
fined in a hospital, nursing home, other health-care facil-
ity, or other institution; and
(ii) a person shall not be considered to have been a legally
adopted child of a veteran as of the date of such veteran’s
death and thereafter unless—
(I) at any time within the one-year period immediately
preceding such veteran’s death, such veteran was entitled
to and was receiving a dependent’s allowance or similar
monetary benefit under this title for such person; or
(II) for a period of at least one year prior to such vet-
eran’s death, such person met the requirements of clause
(i) of this subparagraph.
(5) The term ‘‘parent’’ means (except for purposes of chapter 19
of this title) a father, a mother, a father through adoption, a moth-
er through adoption, or an individual who for a period of not less
than one year stood in the relationship of a parent to a veteran at
any time before the veteran’s entry into active military, naval, or
air service or if two persons stood in the relationship of a father
or a mother for one year or more, the person who last stood in the
relationship of father or mother before the veteran’s last entry into
active military, naval, or air service.
(6) The term ‘‘Spanish-American War’’ (A) means the period be-
ginning on April 21, 1898, and ending on July 4, 1902, (B) includes
the Philippine Insurrection and the Boxer Rebellion, and (C) in the
case of a veteran who served with the United States military forces
engaged in hostilities in the Moro Province, means the period be-
ginning on April 21, 1898, and ending on July 15, 1903.
(7) The term ‘‘World War I’’ (A) means the period beginning on
April 6, 1917, and ending on November 11, 1918, and (B) in the
case of a veteran who served with the United States military forces
in Russia, means the period beginning on April 6, 1917, and ending
on April 1, 1920.
(8) The term ‘‘World War II’’ means (except for purposes of
chapters 31 and 37 of this title) the period beginning on December
7, 1941, and ending on December 31, 1946.
(9) The term ‘‘Korean conflict’’ means the period beginning on
June 27, 1950, and ending on January 31, 1955.
(10) The term ‘‘Armed Forces’’ means the United States Army,
Navy, Marine Corps, Air Force, and Coast Guard, including the re-
serve components thereof.
(11) The term ‘‘period of war’’ means the Spanish-American
War, the Mexican border period, World War I, World War II, the
Korean conflict, the Vietnam era, the Persian Gulf War, and the
period beginning on the date of any future declaration of war by
the Congress and ending on the date prescribed by Presidential
proclamation or concurrent resolution of the Congress.
(12) The term ‘‘veteran of any war’’ means any veteran who
served in the active military, naval, or air service during a period
of war.
(13) The term ‘‘compensation’’ means a monthly payment made
by the Secretary to a veteran because of service-connected dis-
ability, or to a surviving spouse, child, or parent of a veteran be-
cause of the service-connected death of the veteran occurring before
January 1, 1957.
(14) The term ‘‘dependency and indemnity compensation’’
means a monthly payment made by the Secretary to a surviving
spouse, child, or parent (A) because of a service-connected death oc-
curring after December 31, 1956, or (B) pursuant to the election of
a surviving spouse, child, or parent, in the case of such a death oc-
curring before January 1, 1957.
(15) The term ‘‘pension’’ means a monthly or other periodic
payment made by the Secretary to a veteran because of service,
age, or non-service-connected disability, or to a surviving spouse or
child of a veteran because of the non-service-connected death of the
veteran.
(16) The term ‘‘service-connected’’ means, with respect to dis-
ability or death, that such disability was incurred or aggravated,
or that the death resulted from a disability incurred or aggravated,
in line of duty in the active military, naval, or air service.
(17) The term ‘‘non-service-connected’’ means, with respect to
disability or death, that such disability was not incurred or aggra-
vated, or that the death did not result from a disability incurred
or aggravated, in line of duty in the active military, naval, or air
service.
(18) The term ‘‘discharge or release’’ includes (A) retirement
from the active military, naval, or air service, and (B) the satisfac-
tory completion of the period of active military, naval, or air service
for which a person was obligated at the time of entry into such
service in the case of a person who, due to enlistment or reenlist-
ment, was not awarded a discharge or release from such period of
service at the time of such completion thereof and who, at such
time, would otherwise have been eligible for the award of a dis-
charge or release under conditions other than dishonorable.
(19) The term ‘‘State home’’ means a home established by a
State (other than a possession) for veterans disabled by age, dis-
ease, or otherwise who by reason of such disability are incapable
of earning a living. Such term also includes such a home which fur-
nishes nursing home care for veterans.
(20) The term ‘‘State’’ means each of the several States, Terri-
tories, and possessions of the United States, the District of Colum-
bia, and the Commonwealth of Puerto Rico. For the purpose of sec-
tion 2303 and chapters 34 and 35 of this title, such term also in-
cludes the Canal Zone.
(21) The term ‘‘active duty’’ means—
(A) full-time duty in the Armed Forces, other than active
duty for training;
(B) full-time duty (other than for training purposes) as a
commissioned officer of the Regular or Reserve Corps of the
Public Health Service (i) on or after July 29, 1945, or (ii) before
that date under circumstances affording entitlement to ‘‘full
military benefits’’ or (iii) at any time, for the purposes of chap-

ter 13 of this title;
(C) full-time duty as a commissioned officer of the National
Oceanic and Atmospheric Administration or its predecessor or-
ganization the Coast and Geodetic Survey (i) on or after July
29, 1945, or (ii) before that date (I) while on transfer to one of
the Armed Forces, or (II) while, in time of war or national
emergency declared by the President, assigned to duty on a
project for one of the Armed Forces in an area determined by
the Secretary of Defense to be of immediate military hazard,
or (III) in the Philippine Islands on December 7, 1941, and con-
tinuously in such islands thereafter, or (iii) at any time, for the
purposes of chapter 13 of this title;
(D) service as a cadet at the United States Military, Air
Force, or Coast Guard Academy, or as a midshipman at the
United States Naval Academy; and
(E) authorized travel to or from such duty or service.
(22) The term ‘‘active duty for training’’ means—
(A) full-time duty in the Armed Forces performed by Re-
serves for training purposes;
(B) full-time duty for training purposes performed as a
commissioned officer of the Reserve Corps of the Public Health
Service (i) on or after July 29, 1945, or (ii) before that date
under circumstances affording entitlement to ‘‘full military
benefits’’, or (iii) at any time, for the purposes of chapter 13 of
this title;
(C) in the case of members of the Army National Guard or
Air National Guard of any State, full-time duty under section
316, 502, 503, 504, or 505 of title 32, or the prior corresponding
provisions of law;
(D) duty performed by a member of a Senior Reserve Offi-
cers’ Training Corps program when ordered to such duty for
the purpose of training or a practice cruise under chapter 103
of title 10 for a period of not less than four weeks and which
must be completed by the member before the member is com-
missioned; and
(E) authorized travel to or from such duty.
The term does not include duty performed as a temporary member
of the Coast Guard Reserve.
(23) The term ‘‘inactive duty training’’ means—
(A) duty (other than full-time duty) prescribed for Reserves
(including commissioned officers of the Reserve Corps of the
Public Health Service) by the Secretary concerned under sec-
tion 206 of title 37 or any other provision of law;
(B) special additional duties authorized for Reserves (in-
cluding commissioned officers of the Reserve Corps of the Pub-
lic Health Service) by an authority designated by the Secretary
concerned and performed by them on a voluntary basis in con-
nection with the prescribed training or maintenance activities
of the units to which they are assigned; and
(C) training (other than active duty for training) by a
member of, or applicant for membership (as defined in section
8140(g) of title 5) in, the Senior Reserve Officers’ Training
Corps prescribed under chapter 103 of title 10.
In the case of a member of the Army National Guard or Air Na-

tional Guard of any State, such term means duty (other than full-
time duty) under sections 316, 502, 503, 504, or 505 of title 32, or
the prior corresponding provisions of law. Such term does not in-
clude (i) work or study performed in connection with correspond-
ence courses, (ii) attendance at an educational institution in an in-
active status, or (iii) duty performed as a temporary member of the
Coast Guard Reserve.
(24) The term ‘‘active military, naval, or air service’’ includes—
(A) active duty;
(B) any period of active duty for training during which the
individual concerned was disabled or died from a disease or in-
jury incurred or aggravated in line of duty; and
(C) any period of inactive duty training during which the
individual concerned was disabled or died—
(i) from an injury incurred or aggravated in line of
duty; or
(ii) from an acute myocardial infarction, a cardiac ar-
rest, or a cerebrovascular accident occurring during such
training.
(25) The term ‘‘Secretary concerned’’ means—
(A) the Secretary of the Army, with respect to matters con-
cerning the Army;
(B) the Secretary of the Navy, with respect to matters con-
cerning the Navy or the Marine Corps;
(C) the Secretary of the Air Force, with respect to matters
concerning the Air Force;
(D) the Secretary of Homeland Security, with respect to
matters concerning the Coast Guard;
(E) the Secretary of Health and Human Services, with re-
spect to matters concerning the Public Health Service; and
(F) the Secretary of Commerce, with respect to matters
concerning the National Oceanic and Atmospheric Administra-
tion or its predecessor organization the Coast and Geodetic
Survey.
(26) The term ‘‘Reserve’’ means a member of a reserve compo-
nent of one of the Armed Forces.
(27) The term ‘‘reserve component’’ means, with respect to the
Armed Forces—
(A) the Army Reserve;
(B) the Navy Reserve;
(C) the Marine Corps Reserve;
(D) the Air Force Reserve;
(E) the Coast Guard Reserve;
(F) the Army National Guard of the United States; and
(G) the Air National Guard of the United States.
(28) The term ‘‘nursing home care’’ means the accommodation
of convalescents or other persons who are not acutely ill and not
in need of hospital care, but who require nursing care and related
medical services, if such nursing care and medical services are pre-
scribed by, or are performed under the general direction of, persons
duly licensed to provide such care. Such term includes services fur-
nished in skilled nursing care facilities, in intermediate care facili-
ties, and in combined facilities. It does not include domiciliary care.
(29) The term ‘‘Vietnam era’’ means the following:

(A) The period beginning on February 28, 1961, and end-
ing on May 7, 1975, in the case of a veteran who served in the
Republic of Vietnam during that period.
(B) The period beginning on August 5, 1964, and ending on
May 7, 1975, in all other cases.
(30) The term ‘‘Mexican border period’’ means the period begin-
ning on May 9, 1916, and ending on April 5, 1917, in the case of
a veteran who during such period served in Mexico, on the borders
thereof, or in the waters adjacent thereto.
(31) The term ‘‘spouse’’ means a person of the opposite sex who
is a wife or husband.
(32) The term ‘‘former prisoner of war’’ means a person who,
while serving in the active military, naval or air service, was forc-
ibly detained or interned in line of duty—
(A) by an enemy government or its agents, or a hostile
force, during a period of war; or
(B) by a foreign government or its agents, or a hostile
force, under circumstances which the Secretary finds to have
been comparable to the circumstances under which persons
have generally been forcibly detained or interned by enemy
governments during periods of war.
(33) The term ‘‘Persian Gulf War’’ means the period beginning
on August 2, 1990, and ending on the date thereafter prescribed by
Presidential proclamation or by law.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1106; Pub. L. 86–195, Aug. 25, 1959, 73
Stat. 424; Pub. L. 87–674, Sec. 1, Sept. 19, 1962, 76 Stat. 558; Pub. L. 87–815, Sec.
3, Oct. 15, 1962, 76 Stat. 927; Pub. L. 88–450, Sec. 4(c), (d), Aug. 19, 1964, 78 Stat.
504; Pub. L. 89–311, Sec. 2(c)(1), Oct. 31, 1965, 79 Stat. 1155; Pub. L. 89–358, Sec.
4(d), Mar. 3, 1966, 80 Stat. 24; Pub. L. 90–77, title II, Sec. 201, Aug. 31, 1967, 81
Stat. 181; Pub. L. 91–24, Sec. 1(a), (b), 16, June 11, 1969, 83 Stat. 33, 35; Pub. L.
91–262, Sec. 1, May 21, 1970, 84 Stat. 256; Pub. L. 91–588, Sec. 9(a), (b), Dec. 24,
1970, 84 Stat. 1584; Pub. L. 91–621, Sec. 6(a)(1), (2), Dec. 31, 1970, 84 Stat. 1864;
Pub. L. 92–198, Sec. 5(a), Dec. 15, 1971, 85 Stat. 664; Pub. L. 92–540, title IV, Sec.
407, Oct. 24, 1972, 86 Stat. 1092; Pub. L. 94–169, title I, Sec. 101(1), Dec. 23, 1975,
89 Stat. 1013; Pub. L. 94–417, Sec. 1(b), Sept. 21, 1976, 90 Stat. 1277; Pub. L. 95–
126, Sec. 3, Oct. 8, 1977, 91 Stat. 1108; Pub. L. 95–202, title III, Sec. 309(a), Nov.
23, 1977, 91 Stat. 1446; Pub. L. 95–588, title III, Sec. 301, Nov. 4, 1978, 92 Stat.
2506; Pub. L. 96–22, title IV, Sec. 401, June 13, 1979, 93 Stat. 62; Pub. L. 97–37,
Sec. 3(a), Aug. 14, 1981, 95 Stat. 936; Pub. L. 97–295, Sec. 4(2), (95)(A), Oct. 12,
1982, 96 Stat. 1304, 1313; Pub. L. 97–306, title I, Sec. 113(a), Oct. 14, 1982, 96 Stat.
1432; Pub. L. 98–223, title II, Sec. 201, Mar. 2, 1984, 98 Stat. 41; Pub. L. 99–576,
title VII, Sec. 702(1), Oct. 28, 1986, 100 Stat. 3301; Pub. L. 100–322, title I, Sec.
103(a), title III, Sec. 311, May 20, 1988, 102 Stat. 493, 534; Pub. L. 100–456, div.
A, title VI, Sec. 633(c), Sept. 29, 1988, 102 Stat. 1987; Pub. L. 101–237, Sec. 2(a),
Dec. 18, 1989, 103 Stat. 2062; Pub. L. 102–25, title III, Sec. 332, Apr. 6, 1991, 105
Stat. 88; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; Pub.
L. 102–54, Sec. 14(a)(1), June 13, 1991, 105 Stat. 282; Pub. L. 102–83, Sec. 4(a)(3),
(4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 103–446, title XII,
Sec. 1201(a)(1), Nov. 2, 1994, 108 Stat. 4682; Pub. L. 104–275, title V, Sec. 505(a),
Oct. 9, 1996, 110 Stat. 3342; Pub. L. 106–419, title III, Sec. 301(a), Nov. 1, 2000,
114 Stat. 1852; Pub. L. 107–14, Sec. 4(a)(2), June 5, 2001, 115 Stat. 26; Pub. L. 107–
296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315; Pub. L. 109–163, div.
A, title V, Sec. 515(e)(1), Jan. 6, 2006, 119 Stat. 3236; Pub. L. 109–444, Sec. 8(b)(1),
Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X, Secs. 1004(b)(1), 1006(b),
Dec. 22, 2006, 120 Stat. 3466, 3468; Pub. L. 110–389, title IV, Sec. 402(b), Oct. 10,
2008, 122 Stat. 4174.)
§ 102. Dependent parents

(a) Dependency of a parent, which may arise before or after the
death of a veteran, shall be determined in accordance with regula-
tions prescribed by the Secretary.
(b) Dependency of a parent shall not be denied (1) solely be-
cause of remarriage, or (2) in any case in any State where the
monthly income for a mother or father does not exceed minimum
levels which the Secretary shall prescribe by regulation, giving due
regard to the marital status of the mother or father and additional
members of the family whom the mother or father is under a moral
or legal obligation to support.
(c) For the purposes of this section, in determining monthly in-
come the Secretary shall not consider any payments under laws ad-
ministered by the Secretary because of disability or death or pay-
ments of bonus or similar cash gratuity by any State based upon
service in the Armed Forces.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1109; Pub. L. 89–358, Sec. 4(e), (f), Mar.
3, 1966, 80 Stat. 24; Pub. L. 92–540, title IV, Sec. 408, Oct. 24, 1972, 86 Stat. 1092;
Pub. L. 94–432, title IV, Sec. 402, Sept. 30, 1976, 90 Stat. 1372; Pub. L. 99–576,
title VII, Sec. 701(1), Oct. 28, 1986, 100 Stat. 3289; Pub. L. 102–54, Sec. 14(a)(2),
June 13, 1991, 105 Stat. 282; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 403–405.)
§ 103. Special provisions relating to marriages

(a) Whenever, in the consideration of any claim filed by a per-
son as the widow or widower of a veteran for gratuitous death ben-
efits under laws administered by the Secretary, it is established by
evidence satisfactory to the Secretary that such person, without
knowledge of any legal impediment, entered into a marriage with
such veteran which, but for a legal impediment, would have been
valid, and thereafter cohabited with the veteran for one year or
more immediately before the veteran’s death, or for any period of
time if a child was born of the purported marriage or was born to
them before such marriage, the purported marriage shall be
deemed to be a valid marriage, but only if no claim has been filed
by a legal widow or widower of such veteran who is found to be
entitled to such benefits. No duplicate payments shall be made by
virtue of this subsection.
(b) Where a surviving spouse has been legally married to a vet-
eran more than once, the date of original marriage will be used in
determining whether the statutory requirement as to date of mar-
riage has been met.
(c) In determining whether or not a person is or was the
spouse of a veteran, their marriage shall be proven as valid for the
purposes of all laws administered by the Secretary according to the
law of the place where the parties resided at the time of the mar-
riage or the law of the place where the parties resided when the
right to benefits accrued.
(d)(1) The remarriage of the surviving spouse of a veteran shall
not bar the furnishing of benefits to such person as the surviving
spouse of the veteran if the remarriage is void, or has been an-
nulled by a court with basic authority to render annulment decrees
unless the Secretary determines that the annulment was secured
through fraud by either party or collusion.
(2)(A) The remarriage of the surviving spouse of a veteran

shall not bar the furnishing of benefits specified in paragraph (5)
to such person as the surviving spouse of the veteran if the remar-
riage has been terminated by death or divorce unless the Secretary
determines that the divorce was secured through fraud or collusion.
(B) The remarriage after age 57 of the surviving spouse of a
veteran shall not bar the furnishing of benefits specified in para-
graph (5) to such person as the surviving spouse of the veteran.
Notwithstanding the previous sentence, the remarriage after age
55 of the surviving spouse of a veteran shall not bar the furnishing
of benefits under section 1781 of this title to such person as the
surviving spouse of the veteran.
(3) If the surviving spouse of a veteran ceases living with an-
other person and holding himself or herself out openly to the public
as that person’s spouse, the bar to granting that person benefits as
the surviving spouse of the veteran shall not apply in the case of
the benefits specified in paragraph (5).
(4) The first month of eligibility for benefits for a surviving
spouse by reason of paragraph (2)(A) or (3) shall be the month
after—
(A) the month of the termination of such remarriage, in
the case of a surviving spouse described in paragraph (2)(A);
or
(B) the month of the cessation described in paragraph (3),
in the case of a surviving spouse described in that paragraph.
(5) Paragraphs (2)(A) and (3) apply with respect to benefits
under the following provisions of this title:
(A) Section 1311, relating to dependency and indemnity
compensation.
(B) Section 1781, relating to medical care for survivors and
dependents of certain veterans.
(C) Chapter 35, relating to educational assistance.
(D) Chapter 37, relating to housing loans.
(e) The marriage of a child of a veteran shall not bar recogni-
tion of such child as the child of the veteran for benefit purposes
if the marriage is void, or has been annulled by a court with basic
authority to render annulment decrees unless the Secretary deter-
mines that the annulment was secured through fraud by either
party or collusion.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1109; Pub. L. 87–674, Sec. 2, Sept. 19, 1962,
76 Stat. 558; Pub. L. 90–77, title I, Sec. 101(b), Aug. 31, 1967, 81 Stat. 178; Pub.
L. 91–376, Sec. 4, Aug. 12, 1970, 84 Stat. 789; Pub. L. 93–527, Sec. 9(a), Dec. 21,
1974, 88 Stat. 1705; Pub. L. 99–576, title VII, Sec. 701(2), Oct. 28, 1986, 100 Stat.
3290; Pub. L. 101–508, title VIII, Sec. 8004(a), Nov. 5, 1990, 104 Stat. 1388–343;
Pub. L. 102–83, Sec. 4(a)(1), (2)(A)(i), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405;
Pub. L. 106–117, title V, Sec. 502(a), Nov. 30, 1999, 113 Stat. 1574; Pub. L. 107–
135, title II, Sec. 208(e)(1), Jan. 23, 2002, 115 Stat. 2463; Pub. L. 107–330, title I,
Sec. 101(a), Dec. 6, 2002, 116 Stat. 2821; Pub. L. 108–183, title I, Sec. 101(a), title
VII, Sec. 708(a)(1), Dec. 16, 2003, 117 Stat. 2652, 2673.)
§ 104. Approval of educational institutions

(a) For the purpose of determining whether or not benefits are
payable under this title (except chapter 35 of this title) for a child
over the age of eighteen years and under the age of twenty-three
years who is attending a school, college, academy, seminary, tech-
nical institute, university, or other educational institution, the Sec-

retary may approve or disapprove such educational institutions.
(b) The Secretary may not approve an educational institution
under this section unless such institution has agreed to report to
the Secretary the termination of attendance of any child. If any
educational institution fails to report any such termination prompt-
ly, the approval of the Secretary shall be withdrawn.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1110; Pub. L. 91–24, Sec. 1(c), June 11,
3290; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 105. Line of duty and misconduct

(a) An injury or disease incurred during active military, naval,
or air service will be deemed to have been incurred in line of duty
and not the result of the veteran’s own misconduct when the per-
son on whose account benefits are claimed was, at the time the in-
jury was suffered or disease contracted, in active military, naval,
or air service, whether on active duty or on authorized leave, un-
less such injury or disease was a result of the person’s own willful
misconduct or abuse of alcohol or drugs. Venereal disease shall not
be presumed to be due to willful misconduct if the person in service
complies with the regulations of the appropriate service depart-
ment requiring the person to report and receive treatment for such
disease.
(b) The requirement for line of duty will not be met if it ap-
pears that at the time the injury was suffered or disease contracted
the person on whose account benefits are claimed (1) was avoiding
duty by deserting the service or by absenting himself or herself
without leave materially interfering with the performance of mili-
tary duties; (2) was confined under sentence of court-martial in-
volving an unremitted dishonorable discharge; or (3) was confined
under sentence of a civil court for a felony (as determined under
the laws of the jurisdiction where the person was convicted by such
court).
(c) For the purposes of any provision relating to the extension
of a delimiting period under any education-benefit or rehabilitation
program administered by the Secretary, the disabling effects of
chronic alcoholism shall not be considered to be the result of willful
misconduct.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1110; Pub. L. 99–576, title VII, Sec. 701(4),
Oct. 28, 1986, 100 Stat. 3290; Pub. L. 100–689, title I, Sec. 109, Nov. 18, 1988, 102
Stat. 4170; Pub. L. 101–508, title VIII, Sec. 8052(a)(1), Nov. 5, 1990, 104 Stat. 1388–
351; Pub. L. 102–83, Sec. 4(a)(1), Aug. 6, 1991, 105 Stat. 403.)
§ 106. Certain service deemed to be active service

(a)(1) Service as a member of the Women’s Army Auxiliary
Corps for ninety days or more by any woman who before October
1, 1943, was honorably discharged for disability incurred or aggra-
vated in line of duty which rendered her physically unfit to perform
further service in the Women’s Army Auxiliary Corps or the Wom-
en’s Army Corps shall be considered active duty for the purposes
of all laws administered by the Secretary.
(2) Any person entitled to compensation or pension by reason
of this subsection and to employees’ compensation based upon the
same service under subchapter I of chapter 81 of title 5 must elect

which benefit she will receive.
(b) Any person—
(1) who has applied for enlistment or enrollment in the ac-
tive military, naval, or air service and has been provisionally
accepted and directed or ordered to report to a place for final
acceptance into such service; or
(2) who has been selected or drafted for service in the
Armed Forces and has reported pursuant to the call of the per-
son’s local draft board and before rejection; or
(3) who has been called into the Federal service as a mem-
ber of the National Guard, but has not been enrolled for the
Federal service; and
who has suffered an injury or contracted a disease in line of duty
while en route to or from, or at, a place for final acceptance or
entry upon active duty, will, for the purposes of chapters 11, 13,
19, 21, 31, and 39 of this title, and for purposes of determining
service-connection of a disability under chapter 17 of this title, be
considered to have been on active duty and to have incurred such
disability in the active military, naval, or air service.
(c) For the purposes of this title, an individual discharged or
released from a period of active duty shall be deemed to have con-
tinued on active duty during the period of time immediately fol-
lowing the date of such discharge or release from such duty deter-
mined by the Secretary concerned to have been required for that
individual to proceed to that individual’s home by the most direct
route, and in any event that individual shall be deemed to have
continued on active duty until midnight of the date of such dis-
charge or release.
(d)(1) For the purposes of this title, any individual—
(A) who, when authorized or required by competent au-
thority, assumes an obligation to perform active duty for train-
ing or inactive duty training; and
(B) who is disabled or dies from an injury or covered dis-
ease incurred while proceeding directly to or returning directly
from such active duty for training or inactive duty training, as
the case may be;
shall be deemed to have been on active duty for training or inactive
duty training, as the case may be, at the time such injury or cov-
ered disease was incurred.
(2) In determining whether or not such individual was so au-
thorized or required to perform such duty, and whether or not such
individual was disabled or died from injury or covered disease so
incurred, the Secretary shall take into account the hour on which
such individual began so to proceed or to return; the hour on which
such individual was scheduled to arrive for, or on which such indi-
vidual ceased to perform, such duty; the method of travel em-
ployed; the itinerary; the manner in which the travel was per-
formed; and the immediate cause of disability or death.
(3) Whenever any claim is filed alleging that the claimant is
entitled to benefits by reason of this subsection, the burden of proof
shall be on the claimant.
(4) For purposes of this subsection, the term ‘‘covered disease’’
means any of the following:
(A) Acute myocardial infarction.

(B) A cardiac arrest.
(C) A cerebrovascular accident.
(e) Each person who has incurred a disability as a result of an
injury or disease described in subsection (b) shall be entitled to the
same rights, privileges, and benefits under title 5 as a preference
eligible described in section 2108(3)(C) of title 5.
(f) Service as a member of the Alaska Territorial Guard during
World War II of any individual who was honorably discharged
therefrom under section 8147 of the Department of Defense Appro-
priations Act, 2001, shall be considered active duty for purposes of
all laws administered by the Secretary.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1110; Pub. L. 87–102, Sec. 1, July 21, 1961,
75 Stat. 219; Pub. L. 88–616, Oct. 2, 1964, 78 Stat. 994; Pub. L. 89–311, Sec. 5, Oct.
31, 1965, 79 Stat. 1156; Pub. L. 97–295, Sec. 4(3), Oct. 12, 1982, 96 Stat. 1305; Pub.
L. 99–576, title VII, Sec. 701(5), Oct. 28, 1986, 100 Stat. 3291; Pub. L. 102–83, Sec.
4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 106–259, title VIII,
Sec. 8147(a), Aug. 9, 2000, 114 Stat. 705; Pub. L. 106–419, title III, Sec. 301(b), Nov.
1, 2000, 114 Stat. 1852.)
§ 107. Certain service deemed not to be active service
(a) Service before July 1, 1946, in the organized military forces
of the Government of the Commonwealth of the Philippines, while
such forces were in the service of the Armed Forces of the United
States pursuant to the military order of the President dated July
26, 1941, including among such military forces organized guerrilla
forces under commanders appointed, designated, or subsequently
recognized by the Commander in Chief, Southwest Pacific Area, or
other competent authority in the Army of the United States, shall
not be deemed to have been active military, naval, or air service
for the purposes of any law of the United States conferring rights,
privileges, or benefits upon any person by reason of the service of
such person or the service of any other person in the Armed Forces,
except benefits under—
(1) contracts of National Service Life Insurance entered
into before February 18, 1946;
(2) chapter 10 of title 37; and
(3) chapters 11, 13 (except section 1312(a)), 23, and 24 (to
the extent provided for in section 2402(8)) of this title.
Except as provided in subsection (c) or (d), payments under such
chapters shall be made at a rate of $0.50 for each dollar author-
ized, and where annual income is a factor in entitlement to bene-
fits, the dollar limitations in the law specifying such annual income
shall apply at a rate of $0.50 for each dollar. Any payments made
before February 18, 1946, to any such member under such laws
conferring rights, benefits, or privileges shall not be deemed to
have been invalid by reason of the circumstance that such mem-
ber’s service was not service in the Armed Forces or any component
thereof within the meaning of any such law.
(b) Service in the Philippine Scouts under section 14 of the
Armed Forces Voluntary Recruitment Act of 1945 shall not be
deemed to have been active military, naval, or air service for the
purposes of any of the laws administered by the Secretary except—
(1) with respect to contracts of National Service Life Insur-
ance entered into (A) before May 27, 1946, (B) under section
620 or 621 of the National Service Life Insurance Act of 1940,

or (C) under section 1922 of this title; and
(2) chapters 11, 13 (except section 1312(a)), 23, and 24 (to
the extent provided for in section 2402(8)) of this title.
Except as provided in subsection (c) or (d), payments under such
chapters shall be made at a rate of $0.50 for each dollar author-
ized, and where annual income is a factor in entitlement to bene-
fits, the dollar limitations in the law specifying such annual income
shall apply at a rate of $0.50 for each dollar.
(c) In the case of benefits under subchapters II and IV of chap-
ter 11 of this title and subchapter II of chapter 13 (except section
1312(a)) of this title paid by reason of service described in sub-
section (a) or (b) to an individual residing in the United States who
is a citizen of, or an alien lawfully admitted for permanent resi-
dence in, the United States, the second sentence of the applicable
subsection shall not apply.
(d)(1) With respect to benefits under chapter 23 of this title, in
the case of an individual described in paragraph (2), the second
sentence of subsection (a) or (b), as otherwise applicable, shall not
apply.
(2) Paragraph (1) applies to any individual whose service is de-
scribed in subsection (a) and who dies after November 1, 2000, or
whose service is described in subsection (b) and who dies after the
date of the enactment of the Veterans Benefits Act of 2003, if the
individual, on the individual’s date of death—
(A) is a citizen of, or an alien lawfully admitted for perma-
nent residence in, the United States;
(B) is residing in the United States; and
(C) either—
(i) is receiving compensation under chapter 11 of this
title; or
(ii) if the individual’s service had been deemed to be
active military, naval, or air service, would have been paid
pension under section 1521 of this title without denial or
discontinuance by reason of section 1522 of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1111; Pub. L. 87–268, Sec. 1(b), Sept. 21,
1961, 75 Stat. 566; Pub. L. 89–641, Sec. 2(a), Oct. 11, 1966, 80 Stat. 885; Pub. L.
97–295, Sec. 4(4), Oct. 12, 1982, 96 Stat. 1305; Pub. L. 99–576, title VII, Sec. 701(6),
Oct. 28, 1986, 100 Stat. 3291; Pub. L. 102–83, Sec. 4(a)(1), 5(c)(1), Aug. 6, 1991, 105
Stat. 403, 406; Pub. L. 103–446, title V, Sec. 507(a), Nov. 2, 1994, 108 Stat. 4664;
Pub. L. 106–377, Sec. 1(a)(1) [title V, Sec. 501(a)(1)], Oct. 27, 2000, 114 Stat. 1441,
1441A-57; Pub. L. 106–419, title III, Secs. 331(b), 332(a), Nov. 1, 2000, 114 Stat.
1856; Pub. L. 107–14, Sec. 8(a)(1), June 5, 2001, 115 Stat. 34; Pub. L. 107–330, title
III, Sec. 308(g)(2), Dec. 6, 2002, 116 Stat. 2828; Pub. L. 108–183, title II, Secs.
211(a), 212(a), Dec. 16, 2003, 117 Stat. 2657, 2658.)
§ 108. Seven-year absence presumption of death

(a) No State law providing for presumption of death shall be
applicable to claims for benefits under laws administered by the
Secretary.
(b) If evidence satisfactory to the Secretary is submitted estab-
lishing the continued and unexplained absence of any individual
from that individual’s home and family for seven or more years,
and establishing that after diligent search no evidence of that indi-
vidual’s existence after the date of disappearance has been found
or received, the death of such individual as of the date of the expi-

ration of such period shall be considered as sufficiently proved.
(c) Except in a suit brought pursuant to section 1984 of this
title, the finding of death made by the Secretary shall be final and
conclusive.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1112; Pub. L. 99–576, title VII, Sec. 701(7),
Oct. 28, 1986, 100 Stat. 3291; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), 5(c)(1), Aug.
6, 1991, 105 Stat. 403–406.)
§ 109. Benefits for discharged members of allied forces

(a)(1) In consideration of reciprocal services extended to the
United States, the Secretary, upon request of the proper officials of
the government of any nation allied or associated with the United
States in World War I (except any nation which was an enemy of
the United States during World War II), or in World War II, may
furnish to discharged members of the armed forces of such govern-
ment, under agreements requiring reimbursement in cash of ex-
penses so incurred, at such rates and under such regulations as the
Secretary may prescribe, medical, surgical, and dental treatment,
hospital care, transportation and traveling expenses, prosthetic ap-
pliances, education, training, or similar benefits authorized by the
laws of such nation for its veterans, and services required in ex-
tending such benefits. Hospitalization in a Department facility
shall not be afforded under this section, except in emergencies, un-
less there are available beds surplus to the needs of veterans of
this country. The Secretary may also pay the court costs and other
expenses incident to the proceedings taken for the commitment of
such discharged members who are mentally incompetent to institu-
tions for the care or treatment of the insane.
(2) The Secretary, in carrying out the provisions of this sub-
section, may contract for necessary services in private, State, and
other Government hospitals.
(3) All amounts received by the Department as reimbursement
for such services shall be credited to the current appropriation of
the Department from which expenditures were made under this
subsection.
(b) Persons who served in the active service in the armed
forces of any government allied with the United States in World
War II and who at time of entrance into such active service were
citizens of the United States shall, by virtue of such service, and
if otherwise qualified, be entitled to the benefits of chapters 31 and
37 of this title in the same manner and to the same extent as vet-
erans of World War II are entitled. No such benefit shall be ex-
tended to any person who is not a resident of the United States at
the time of filing claim, or to any person who has applied for and
received the same or any similar benefit from the government in
whose armed forces such person served.
(c)(1) Any person who served during World War I or World
War II as a member of any armed force of the Government of
Czechoslovakia or Poland and participated while so serving in
armed conflict with an enemy of the United States and has been
a citizen of the United States for at least ten years shall, by virtue
of such service, and upon satisfactory evidence thereof, be entitled
to hospital and domiciliary care and medical services within the
United States under chapter 17 of this title to the same extent as

if such service had been performed in the Armed Forces of the
United States unless such person is entitled to, or would, upon ap-
plication thereof, be entitled to, payment for equivalent care and
services under a program established by the foreign government
concerned for persons who served in its armed forces in World War
I or World War II.
(2) In order to assist the Secretary in making a determination
of proper service eligibility under this subsection, each applicant
for the benefits thereof shall furnish an authenticated certification
from the French Ministry of Defense or the British War Office as
to records in either such Office which clearly indicate military serv-
ice of the applicant in the Czechoslovakian or Polish armed forces
and subsequent service in or with the armed forces of France or
Great Britain during the period of World War I or World War II.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1112; Pub. L. 94–491, Oct. 14, 1976, 90 Stat.
2363; Pub. L. 99–576, title VII, Sec. 701(8), Oct. 28, 1986, 100 Stat. 3291; Pub. L.
102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 110. Preservation of disability ratings

A rating of total disability or permanent total disability which
has been made for compensation, pension, or insurance purposes
under laws administered by the Secretary, and which has been con-
tinuously in force for twenty or more years, shall not be reduced
thereafter, except upon a showing that such rating was based on
fraud. A disability which has been continuously rated at or above
evaluation for twenty or more years for compensation purposes
under laws administered by the Secretary shall not thereafter be
rated at less than such evaluation, except upon a showing that
such rating was based on fraud. The mentioned period shall be
computed from the date determined by the Secretary as the date
on which the status commenced for rating purposes.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1113; Pub. L. 87–825, Sec. 6, Oct. 15, 1962,
76 Stat. 950; Pub. L. 88–445, Sec. 1(a), (b), Aug. 19, 1964, 78 Stat. 464; Pub. L. 91–
32, June 23, 1969, 83 Stat. 38; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 403–405.)
§ 111. Payments or allowances for beneficiary travel

(a) Under regulations prescribed by the President pursuant to
the provisions of this section, the Secretary may pay the actual
necessary expense of travel (including lodging and subsistence), or
in lieu thereof an allowance based upon mileage traveled, of any
person to or from a Department facility or other place in connection
with vocational rehabilitation, counseling required by the Secretary
pursuant to chapter 34 or 35 of this title, or for the purpose of ex-
amination, treatment, or care. In addition to the mileage allowance
authorized by this section, there may be allowed reimbursement for
the actual cost of ferry fares, and bridge, road, and tunnel tolls.
(b)(1) Except as provided in subsection (c) of this section and
notwithstanding subsection (g)(2)(A) of this section or any other
provision of law, if, with respect to any fiscal year, the Secretary
exercises the authority under this section to make any payments,
the Secretary shall make the payments provided for in this section
to or for the following persons for travel during such fiscal year for
examination, treatment, or care for which the person is eligible:
(A) A veteran or other person whose travel is in connection
with treatment or care for a service-connected disability.
(B) A veteran with a service-connected disability rated at
30 percent or more.
(C) A veteran receiving pension under section 1521 of this
title.
(D) A veteran (i) whose annual income (as determined
under section 1503 of this title) does not exceed the maximum
annual rate of pension which would be payable to such veteran
if such veteran were eligible for pension under section 1521 of
this title, or (ii) who is determined, under regulations pre-
scribed by the Secretary, to be unable to defray the expenses
of the travel for which payment under this section is claimed.
(E) Subject to paragraph (3) of this subsection, a veteran
or other person whose travel to or from a Department facility
is medically required to be performed by a special mode of
travel and who is determined under such regulations to be un-
able to defray the expenses of the travel for which payment
under this section is claimed.
(F) A veteran whose travel to a Department facility is inci-
dent to a scheduled compensation and pension examination.
(2) The Secretary may make payments provided for in this sec-
tion to or for any person not covered by paragraph (1) of this sub-
section for travel by such person for examination, treatment, or
care. Such payments shall be made in accordance with regulations
which the Secretary shall prescribe.
(3)(A) Except as provided in subparagraph (B) of this para-
graph, the Secretary shall not make payments under this section
for travel performed by a special mode of travel unless (i) the travel
by such mode is medically required and is authorized by the Sec-
retary before the travel begins, or (ii) the travel by such mode is
in connection with a medical emergency of such a nature that the
delay incident to obtaining authorization from the Secretary to use
that mode of travel would have been hazardous to the person’s life
or health.
(B) In the case of travel by a person to or from a Department
facility by special mode of travel, the Secretary may provide pay-
ment under this section to the provider of the transportation by
special mode before determining the eligibility of such person for
such payment if the Secretary determines that providing such pay-
ment is in the best interest of furnishing care and services. Such
a payment shall be made subject to subsequently recovering from
such person the amount of the payment if such person is deter-
mined to have been ineligible for payment for such travel.
(c)(1) Except as otherwise provided in this subsection, the Sec-
retary, in making a payment under this section to or for a person
described in subparagraph (A), (B), (C), or (D) of subsection (b)(1)
of this section for travel for examination, treatment, or care, shall
deduct from the amount otherwise payable an amount equal to $3
for each one-way trip.
(2) In the case of a person who is determined by the Secretary
to be a person who is required to make six or more one-way trips
for needed examination, treatment, or care during the remainder of

the calendar month in which the determination is made or during
any subsequent calendar month during the one-year period fol-
lowing the last day of the month in which the determination is
made, the amount deducted by the Secretary pursuant to para-
graph (1) of this subsection from payments for trips made to or
from such facility during any such month shall not exceed $18.
(3) No deduction shall be made pursuant to paragraph (1) of
this subsection in the case of a person whose travel to or from a
Department facility is performed by a special mode of travel for
which payment under this section is authorized under subsection
(b)(3) of this section.
(4) The Secretary may waive the deduction requirement of
paragraph (1) of this subsection in the case of the travel of any vet-
eran for whom the imposition of the deduction would cause severe
financial hardship. The Secretary shall prescribe in regulations the
conditions under which a finding of severe financial hardship is
warranted for purposes of this paragraph.
(d) Payment of the following expenses or allowances in connec-
tion with vocational rehabilitation, counseling, or upon termination
of examination, treatment, or care, may be made before the comple-
tion of travel:
(1) The mileage allowance authorized by subsection (a) of
this section.
(2) Actual local travel expenses.
(3) The expense of hiring an automobile or ambulance, or
the fee authorized for the services of a nonemployee attendant.
(e) When any person entitled to mileage under this section re-
quires an attendant (other than an employee of the Department) in
order to perform such travel, the attendant may be allowed ex-
penses of travel upon the same basis as such person.
(f) The Secretary may provide for the purchase of printed re-
duced-fare requests for use by veterans and their authorized at-
tendants when traveling at their own expense to or from any De-
partment facility.
(g)(1) Subject to paragraph (3), in determining the amount of
allowances or reimbursement to be paid under this section, the Sec-
retary shall use the mileage reimbursement rate for the use of pri-
vately owned vehicles by Government employees on official busi-
ness (when a Government vehicle is available), as prescribed by the
Administrator of General Services under section 5707(b) of title 5.
(2) In no event shall payment be provided under this section—
(A) unless the person claiming reimbursement has been
determined, pursuant to regulations which the Secretary shall
prescribe, to be unable to defray the expenses of such travel
(except with respect to a person receiving benefits for or in con-
nection with a service-connected disability under this title, a
veteran receiving or eligible to receive pension under section
1521 of this title, or a person whose annual income, deter-
mined in accordance with section 1503 of this title, does not ex-
ceed the maximum annual rate of pension which would be pay-
able to such person if such person were eligible for pension
under section 1521 of this title);
(B) to reimburse for the cost of travel by privately owned

vehicle in any amount in excess of the cost of such travel by
public transportation unless (i) public transportation is not rea-
sonably accessible or would be medically inadvisable, or (ii) the
cost of such travel is not greater than the cost of public trans-
portation; and
(C) in excess of the actual expense incurred by such person
as certified in writing by such person.
(3) Subject to the availability of appropriations, the Secretary
may modify the amount of allowances or reimbursement to be paid
under this section using a mileage reimbursement rate in excess of
that prescribed under paragraph (1).
(h) The Secretary, in consultation and coordination with the
Secretary of Transportation and appropriate representatives of vet-
erans’ service organizations, shall take all appropriate steps to fa-
cilitate the establishment and maintenance of a program under
which such organizations, or individuals who are volunteering their
services to the Department, would take responsibility for the trans-
portation, without reimbursement from the Department, to Depart-
ment facilities of veterans (primarily those residing in areas which
are geographically accessible to such facilities) who seek services or
benefits from the Department under chapter 17 or other provisions
of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1113; Pub. L. 86–590, July 5, 1960, 74 Stat.
329; Pub. L. 89–358, Sec. 4(g), Mar. 3, 1966, 80 Stat. 24; Pub. L. 89–455, June 18,
1966, 80 Stat. 208; Pub. L. 94–581, title I, Sec. 101, Oct. 21, 1976, 90 Stat. 2842;
Pub. L. 96–151, title II, Sec. 201(a), Dec. 20, 1979, 93 Stat. 1093; Pub. L. 97–295,
Sec. 4(5), Oct. 12, 1982, 96 Stat. 1305; Pub. L. 100–322, title I, Sec. 108(a), (b)(1),
(c)–(e)(1), May 20, 1988, 102 Stat. 496–498; Pub. L. 102–83, Sec. 4(a)(3), (4), (6),
(b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 103–446, title XII, Sec.
1201(e)(1), Nov. 2, 1994, 108 Stat. 4685; Pub. L. 110–387, title IV, Sec. 401(a)(1),
(b), Oct. 10, 2008, 122 Stat. 4122.)
§ 112. Presidential memorial certificate program

(a) At the request of the President the Secretary may conduct
a program for honoring the memory of deceased veterans, dis-
charged under honorable conditions, by preparing and sending to
eligible recipients a certificate bearing the signature of the Presi-
dent and expressing the country’s grateful recognition of the vet-
eran’s service in the Armed Forces. The award of a certificate to
one eligible recipient will not preclude authorization of another cer-
tificate if a request is received from some other eligible recipient.
(b) For the purpose of this section an ‘‘eligible recipient’’ means
the next of kin, a relative or friend upon request, or an authorized
service representative acting on behalf of such relative or friend.
(c) A certificate may not be furnished under the program under
subsection (a) on behalf of a deceased person described in section
2411(b) of this title.
(Added Pub. L. 89–88, Sec. 1(a), July 24, 1965, 79 Stat. 264; amended Pub. L. 102–
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 107–330, title II,
Sec. 201(a), Dec. 6, 2002, 116 Stat. 2823.)
§ 113. Treatment of certain programs under sequestration

procedures
(a) The following programs shall be exempt from sequestration
or reduction under part C of the Balanced Budget and Emergency
Deficit Control Act of 1985 (2 U.S.C. 901 et seq.) or any other se-
questration law and shall not be included in any report specifying
reductions in Federal spending:
(1) Benefits under chapter 21 of this title, relating to spe-
cially adapted housing and mortgage-protection life insurance
for certain veterans with service-connected disabilities.
(2) Benefits under section 2307 of this title, relating to
burial benefits for veterans who die as the result of a service-
connected disability.
(3) Benefits under chapter 39 of this title, relating to auto-
mobiles and adaptive equipment for certain disabled veterans
and members of the Armed Forces.
(4) Assistance and services under chapter 31 of this title,
relating to training and rehabilitation for certain veterans with
service-connected disabilities.
(5) Benefits under chapter 35 of this title, relating to edu-
cational assistance for survivors and dependents of certain vet-
erans with service-connected disabilities.
(6) Benefits under subchapters I, II, and III of chapter 37
of this title, relating to housing loans for certain veterans and
for the spouses and surviving spouses of certain veterans.
(b) The following accounts of the Department shall be exempt
from sequestration or reduction under part C of the Balanced
Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 901
et seq.) or any other sequestration law and shall not be included
in any report specifying reductions in Federal spending:
(1) The following life insurance accounts:
(A) The National Service Life Insurance Fund author-
ized by section 1920 of this title.
(B) The Service-Disabled Veterans Insurance Fund au-
thorized by section 1922 of this title.
(C) The Veterans Special Life Insurance Fund author-
(D) The Veterans Reopened Insurance Fund author-
(E) The United States Government Life Insurance
Fund authorized by section 1955 of this title.
(F) The Veterans Insurance and Indemnity appropria-
tion authorized by section 1919 of this title.
(2) The following revolving fund accounts:
(A) The Department of Veterans Affairs Special Thera-
peutic and Rehabilitation Activities Fund established by
section 1718(c) of this title.
(B) The Veterans’ Canteen Service revolving fund au-
(c)(1) A benefit under section 2301, 2302, 2303, 2306, or 2308
of this title that is subject to reduction under a sequestration order
or sequestration law shall be paid in accordance with the rates de-
termined under the sequestration order or law (if any) in effect on

the date of the death of the veteran concerned.
(2) A benefit paid to, or on behalf of, an eligible veteran for
pursuit of a program of education or training under chapter 30, 31,
34, 35, or 36 of this title that is subject to a sequestration order
or a sequestration law shall be paid in accordance with the rates
determined under the sequestration order or law (if any) in effect
during the period of education or training for which the benefit is
paid.
(3) In implementation of a sequestration order or law with re-
spect to each account from which a benefit described in paragraph
(1) or (2) of this subsection is paid (including the making of deter-
minations of the amounts by which such benefits are to be re-
duced), the total of the amounts (as estimated by the Secretary
after consultation with the Director of the Congressional Budget
Office) by which payments of such benefit will be reduced by reason
of such paragraph after the last day of the period during which
such order or law is in effect shall be deemed to be additional re-
ductions in the payments of such benefit made, and in new budget
authority for such payments, during such period.
(d) In computing the amount of new budget authority by which
a budget account of the Department is to be reduced for a fiscal
year under a report of the Director of the Office of Management
and Budget, or under an order of the President under part C of the
Balanced Budget and Emergency Deficit Control Act of 1985, the
base from which the amount of the reduction for such account is
determined shall be established without regard to any amount of
new budget authority in such account (determined under section
251(a)(6) of such Act) for any of the programs listed in subsection
(a) of this section.
(e) This section applies without regard to any other provision
of law (whether enacted before, on, or after the date of the enact-
ment of this section) unless such Act expressly provides that it is
enacted as a limitation to this section.
(f) For the purposes of this section:
(1) The term ‘‘sequestration’’ means a reduction in spend-
ing authority and loan guarantee commitments generally
throughout the Government under the Balanced Budget and
Emergency Deficit Control Act of 1985 (2 U.S.C. 901 et seq.)
or any other law.
(2) The term ‘‘sequestration law’’ means a law enacted
with respect to a sequestration under the Balanced Budget and
Emergency Deficit Control Act of 1985 (2 U.S.C. 901 et seq.)
or any other law (under the procedures specified in that Act or
otherwise).
(3) The term ‘‘sequestration order’’ means an order of the
President issued under part C of such Act.
(Added Pub. L. 99–576, title VI, Sec. 601(a)(1), Oct. 28, 1986, 100 Stat. 3287;
amended Pub. L. 100–198, Sec. 12(a), Dec. 21, 1987, 101 Stat. 1325; Pub. L. 100–
322, title IV, Sec. 411(b), (c), May 20, 1988, 102 Stat. 547; Pub. L. 102–40, title IV,
Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; Pub. L. 102–83, Sec. 4(a)(2)(B)(i), (3), (4),
(b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 403–406.)
§ 114. Multiyear procurement

(a) The Secretary may enter into a multiyear contract for the
procurement of supplies or services if the Secretary makes each of
the following determinations:
(1) Appropriations are available for obligations that are
necessary for total payments that would be required during the
fiscal year in which the contract is entered into, plus the esti-
mated amount of any cancellation charge payable under the
contract.
(2) The contract is in the best interest of the United States
by reason of the effect that use of a multiyear, rather than one-
year, contract would have in—
(A) reducing costs;
(B) achieving economies in contract administration or
in any other Department activities;
(C) increasing quality of performance by or service
from the contractors; or
(D) encouraging effective competition.
(3) During the proposed contract period—
(A) there will be a continuing or recurring need for the
supplies or services being procured;
(B) there is not a substantial likelihood of substantial
changes in the need for such supplies or services in terms
of the total quantity of such supplies or services or of the
rate of delivery of such supplies or services; and
(C) the specifications for the supplies or services are
expected to be reasonably stable.
(4) The risks relating to the prospective contractor’s ability
to perform in accordance with the specifications and other
terms of the contract are not excessive.
(5) The use of a multiyear contract will not inhibit small
business concerns in competing for the contract.
(6) In the case of the procurement of a pharmaceutical
item for which a patent has expired less than four years before
the date on which the solicitation of offers is issued, there is
no substantial likelihood that increased competition among po-
tential contractors would occur during the term of the contract
as the result of the availability of generic equivalents increas-
ing during the term of the contract.
(b)(1) A multiyear contract authorized by this section shall con-
tain—
(A) a provision that the obligation of the United States
under the contract during any fiscal year which is included in
the contract period and is subsequent to the fiscal year during
which the contract is entered into is contingent on the avail-
ability of sufficient appropriations (as determined by the Sec-
retary pursuant to paragraph (2)(A) of this subsection) if, at
the time the contract is entered into, appropriations are not
available to cover the total estimated payments that will be re-
quired during the full term of the contract; and
(B) notwithstanding section 1502(a) of title 31, a provision
for the payment of reasonable cancellation charges to com-
pensate the contractor for nonrecurring, unrecovered costs, if
any, if the performance is cancelled pursuant to the provision

required by subparagraph (A) of this paragraph.
(2)(A) If, during a fiscal year after the fiscal year during which
a multiyear contract is entered into under this section, the Sec-
retary determines that, in light of other funding needs involved in
the operation of Department programs, the amount of funds appro-
priated for such subsequent fiscal year is not sufficient for such
contract, the Secretary shall cancel such contract pursuant to the
provisions required by paragraph (1)(A) of this subsection.
(B) Cancellation charges under a multiyear contract shall be
paid from the appropriated funds which were originally available
for performance of the contract or the payment of cancellation costs
unless such funds are not available in an amount sufficient to pay
the entire amount of the cancellation charges payable under the
contract. In a case in which such funds are not available in such
amount, funds available for the procurement of supplies and serv-
ices for use for the same purposes as the supplies or services pro-
cured through such contract shall be used to the extent necessary
to pay such cost.
(c) Nothing in this section shall be construed so as to restrict
the Secretary’s exercise of the right to terminate for convenience a
contract under any other provision of law which authorizes
multiyear contracting.
(d) The Secretary shall prescribe regulations for the implemen-
tation of this section.
(e) For the purposes of this section:
(1) The term ‘‘appropriations’’ has the meaning given that
term in section 1511 of title 31.
(2) The term ‘‘multiyear contract’’ means a contract which
by its terms is to remain in effect for a period which extends
beyond the end of the fiscal year during which the contract is
entered into but not beyond the end of the fourth fiscal year
following such fiscal year. Such term does not include a con-
tract for construction or for a lease of real property.
(3) The term ‘‘nonrecurring, unrecovered costs’’ means
those costs reasonably incurred by the contractor in performing
a multiyear contract which (as determined under regulations
prescribed under subsection (d) of this section) are generally
incurred on a one-time basis.
(Added Pub. L. 100–322, title IV, Sec. 404(a), May 20, 1988, 102 Stat. 545; amended
Pub. L. 101–237, title VI, Sec. 601(a), (b)(1), Dec. 18, 1989, 103 Stat. 2094; Pub. L.
102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 115. Acquisition of real property

For the purposes of sections 314, 315, 316, and 2406 of this
title and subchapter I of chapter 81 of this title, the Secretary may
acquire and use real property—
(1) before title to the property is approved under section
3111 of title 40; and
(2) even though the property will be held in other than a
fee simple interest in a case in which the Secretary determines
that the interest to be acquired is sufficient for the purposes
of the intended use.
(Added Pub. L. 102–86, title IV, Sec. 402(a), Aug. 14, 1991, 105 Stat. 422; amended
Pub. L. 102–83, Sec. 5(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title XII,
Sec. 1201(d)(1), Nov. 2, 1994, 108 Stat. 4684; Pub. L. 107–217, Sec. 3(j)(1), Aug. 21,
2002, 116 Stat. 1300.)
§ 116. Reports to Congress: cost information
Whenever the Secretary submits to Congress, or any com-
mittee of Congress, a report that is required by law or by a joint
explanatory statement of a committee of conference of the Con-
gress, the Secretary shall include with the report—
(1) a statement of the cost of preparing the report; and
(2) a brief explanation of the methodology used in pre-
paring that cost statement.
(Added Pub. L. 106–419, title IV, Sec. 403(d)(1)(A), Nov. 1, 2000, 114 Stat. 1864.)
27
øTITLE 38—VETERANS’ BENEFITS¿
øPART I—GENERAL PROVISIONS¿
CHAPTER 3—DEPARTMENT OF VETERANS AFFAIRS
Sec.
301. Department.
302. Seal.
303. Secretary of Veterans Affairs.
304. Deputy Secretary of Veterans Affairs.
305. Under Secretary for Health.
306. Under Secretary for Benefits.
307. Under Secretary for Memorial Affairs.
308. Assistant Secretaries; Deputy Assistant Secretaries.
309. Chief Financial Officer.
310. Chief Information Officer.
311. General Counsel.
312. Inspector General.
312A. Director of Construction and Facilities Management.
313. Availability of appropriations.
314. Central Office.
315. Regional offices.
316. Colocation of regional offices and medical centers.
317. Center for Minority Veterans.
318. Center for Women Veterans.
319. Office of Employment Discrimination Complaint Adjudication.
320. Department of Veterans Affairs-Department of Defense Joint Executive
Committee.
321. Office of Survivors Assistance.
322. Office of National Veterans Sports Programs and Special Events.
§ 301. Department
(a) The Department of Veterans Affairs is an executive depart-
ment of the United States.
(b) The purpose of the Department is to administer the laws
providing benefits and other services to veterans and the depend-
ents and the beneficiaries of veterans.
(c) The Department is composed of the following:
(1) The Office of the Secretary.
(2) The Veterans Health Administration.
(3) The Veterans Benefits Administration.
(4) The National Cemetery Administration.
(5) The Board of Veterans’ Appeals.
(6) The Veterans’ Canteen Service.
(7) The Board of Contract Appeals.
(8) Such other offices and agencies as are established or
designated by law or by the President or the Secretary.
(9) Any office, agency, or activity under the control or su-
pervision of any element named in paragraphs (1) through (8).
(Added Pub. L. 102–83, Sec. 2(a), Aug. 6, 1991, 105 Stat. 378; amended Pub. L. 105–
368, title IV, Sec. 403(a)(2), Nov. 11, 1998, 112 Stat. 3338.)
29
Sec. 302 CH. 3—DEPARTMENT OF VETERANS AFFAIRS 30
§ 302. Seal
(a) The Secretary of Veterans Affairs shall cause a seal of office
to be made for the Department of such device as the President
shall approve. Judicial notice shall be taken of the seal.
(b) Copies of any public document, record, or paper belonging
to or in the files of the Department, when authenticated by the seal
and certified by the Secretary (or by an officer or employee of the
Department to whom authority has been delegated in writing by
the Secretary), shall be evidence equal with the original thereof.
(Added Pub. L. 102–83, Sec. 2(a), Aug. 6, 1991, 105 Stat. 379.)
§ 303. Secretary of Veterans Affairs

There is a Secretary of Veterans Affairs, who is the head of the
Department and is appointed by the President, by and with the ad-
vice and consent of the Senate. The Secretary is responsible for the
proper execution and administration of all laws administered by
the Department and for the control, direction, and management of
the Department.
§ 304. Deputy Secretary of Veterans Affairs

There is in the Department a Deputy Secretary of Veterans Af-
fairs, who is appointed by the President, by and with the advice
and consent of the Senate. The Deputy Secretary shall perform
such functions as the Secretary shall prescribe. Unless the Presi-
dent designates another officer of the Government, the Deputy Sec-
retary shall be Acting Secretary of Veterans Affairs during the ab-
sence or disability of the Secretary or in the event of a vacancy in
the office of Secretary.
§ 305. Under Secretary for Health

(a)(1) There is in the Department an Under Secretary for
Health, who is appointed by the President, by and with the advice
and consent of the Senate.
(2) The Under Secretary for Health shall be appointed without
regard to political affiliation or activity and solely—
(A) on the basis of demonstrated ability in the medical pro-
fession, in health-care administration and policy formulation,
or in health-care fiscal management; and
(B) on the basis of substantial experience in connection
with the programs of the Veterans Health Administration or
programs of similar content and scope.
(b) The Under Secretary for Health is the head of, and is di-
rectly responsible to the Secretary for the operation of, the Vet-
erans Health Administration.
(c)(1) Whenever a vacancy in the position of Under Secretary
for Health occurs or is anticipated, the Secretary shall establish a
commission to recommend individuals to the President for appoint-
ment to the position.
(2) A commission established under this subsection shall be
composed of the following members appointed by the Secretary:
31 CH. 3—DEPARTMENT OF VETERANS AFFAIRS Sec. 306
(A) Three persons representing clinical care and medical

research and education activities affected by the Veterans
Health Administration.
(B) Two persons representing veterans served by the Vet-
erans Health Administration.
(C) Two persons who have experience in the management
of veterans health services and research programs, or pro-
grams of similar content and scope.
(D) The Deputy Secretary of Veterans Affairs.
(E) The Chairman of the Special Medical Advisory Group
established under section 7312 of this title.
(F) One person who has held the position of Under Sec-
retary for Health (including service as Chief Medical Director
of the Veterans’ Administration), if the Secretary determines
that it is desirable for such person to be a member of the com-
mission.
(3) A commission established under this subsection shall rec-
ommend at least three individuals for appointment to the position
of Under Secretary for Health. The commission shall submit all
recommendations to the Secretary. The Secretary shall forward the
recommendations to the President with any comments the Sec-
retary considers appropriate. Thereafter, the President may re-
quest the commission to recommend additional individuals for ap-
pointment.
(4) The Assistant Secretary or Deputy Assistant Secretary of
Veterans Affairs who performs personnel management and labor
relations functions shall serve as the executive secretary of a com-
mission established under this subsection.
(Added and amended Pub. L. 102–83, Sec. 2(a), 4(a)(3), (4), Aug. 6, 1991, 105 Stat.
379, 404; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub.
L. 103–446, title XII, Sec. 1201(c)(1), (e)(2), Nov. 2, 1994, 108 Stat. 4683, 4685; Pub.
L. 108–422, title V, Sec. 503, Nov. 30, 2004, 118 Stat. 2396; Pub. L. 109–461, title
II, Sec. 210(a), Dec. 22, 2006, 120 Stat. 3418.)
§ 306. Under Secretary for Benefits

(a) There is in the Department an Under Secretary for Bene-
fits, who is appointed by the President, by and with the advice and
consent of the Senate. The Under Secretary for Benefits shall be
appointed without regard to political affiliation or activity and sole-
ly on the basis of demonstrated ability in—
(1) fiscal management; and
(2) the administration of programs within the Veterans
Benefits Administration or programs of similar content and
scope.
(b) The Under Secretary for Benefits is the head of, and is di-
rectly responsible to the Secretary for the operations of, the Vet-
erans Benefits Administration.
(c)(1) Whenever a vacancy in the position of Under Secretary
for Benefits occurs or is anticipated, the Secretary shall establish
a commission to recommend individuals to the President for ap-
pointment to the position.
(2) A commission established under this subsection shall be
composed of the following members appointed by the Secretary:
(A) Three persons representing education and training,

real estate, mortgage finance, and related industries, and sur-
vivor benefits activities affected by the Veterans Benefits Ad-
ministration.
(B) Two persons representing veterans served by the Vet-
erans Benefits Administration.
(C) Two persons who have experience in the management
of veterans benefits programs or programs of similar content
and scope.
(D) The Deputy Secretary of Veterans Affairs.
(E) The chairman of the Veterans’ Advisory Committee on
Education formed under section 3692 of this title.
(F) One person who has held the position of Under Sec-
retary for Benefits (including service as Chief Benefits Director
of the Veterans’ Administration), if the Secretary determines
that it is desirable for such person to be a member of the com-
mission.
(3) A commission established under this subsection shall rec-
ommend at least three individuals for appointment to the position
of Under Secretary for Benefits. The commission shall submit all
recommendations to the Secretary. The Secretary shall forward the
recommendations to the President with any comments the Sec-
retary considers appropriate. Thereafter, the President may re-
quest the commission to recommend additional individuals for ap-
pointment.
(4) The Assistant Secretary or Deputy Assistant Secretary of
Veterans Affairs who performs personnel management and labor
relations functions shall serve as the executive secretary of a com-
mission established under this subsection.
(Added and amended Pub. L. 102–83, Sec. 2(a), 4(a)(3), (4), Aug. 6, 1991, 105 Stat.
380, 404; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub.
L. 103–446, title XII, Sec. 1201(c)(2), (e)(2), Nov. 2, 1994, 108 Stat. 4683, 4685; Pub.
L. 109–461, title II, Sec. 210(b), Dec. 22, 2006, 120 Stat. 3418.)
§ 307. Under Secretary for Memorial Affairs

There is in the Department an Under Secretary for Memorial
Affairs, who is appointed by the President, by and with the advice
and consent of the Senate. The Under Secretary is the head of the
National Cemetery Administration as established in section 2400 of
this title and shall perform such functions as may be assigned by
the Secretary.
368, title IV, Sec. 403(a)(3), (c)(1)(A), Nov. 11, 1998, 112 Stat. 3338.)
§ 308. Assistant Secretaries; Deputy Assistant Secretaries

(a) There shall be in the Department not more than seven As-
sistant Secretaries. Each Assistant Secretary shall be appointed by
the President, by and with the advice and consent of the Senate.
(b) The Secretary shall assign to the Assistant Secretaries re-
sponsibility for the administration of such functions and duties as
the Secretary considers appropriate, including the following func-
tions:
(1) Budgetary and financial functions.
(2) Personnel management and labor relations functions.
(3) Planning, studies, and evaluations.

(4) Management, productivity, and logistic support func-
tions.
(5) Information management functions as required by sec-
tion 3506 of title 44.
(6) Capital facilities and real property program functions.
(7) Equal opportunity functions.
(8) Functions regarding the investigation of complaints of
employment discrimination within the Department.
(9) Functions regarding intergovernmental, public, and
consumer information and affairs.
(10) Procurement functions.
(11) Operations, preparedness, security, and law enforce-
ment functions.
(c) Whenever the President nominates an individual for ap-
pointment as an Assistant Secretary, the President shall include in
the communication to the Senate of the nomination a statement of
the particular functions of the Department specified in subsection
(b), and any other functions of the Department, the individual will
exercise upon taking office.
(d)(1) There shall be in the Department such number of Dep-
uty Assistant Secretaries, not exceeding 19, as the Secretary may
determine. Each Deputy Assistant Secretary shall be appointed by
the Secretary and shall perform such functions as the Secretary
prescribes.
(2) At least two-thirds of the number of positions established
and filled under paragraph (1) shall be filled by individuals who
have at least five years of continuous service in the Federal civil
service in the executive branch immediately preceding their ap-
pointment as a Deputy Assistant Secretary. For purposes of deter-
mining such continuous service of an individual, there shall be ex-
cluded any service by such individual in a position—
(A) of a confidential, policy-determining, policy-making, or
policy-advocating character;
(B) in which such individual served as a noncareer ap-
pointee in the Senior Executive Service, as such term is de-
fined in section 3132(a)(7) of title 5; or
(C) to which such individual was appointed by the Presi-
dent.
287, Sec. 5(a)–(c), Nov. 7, 2002, 116 Stat. 2030.)
§ 309. Chief Financial Officer

The Secretary shall designate the Assistant Secretary whose
functions include budgetary and financial functions as the Chief Fi-
nancial Officer of the Department. The Chief Financial Officer
shall advise the Secretary on financial management of the Depart-
ment and shall exercise the authority and carry out the functions
specified in section 902 of title 31.
§ 310. Chief Information Officer

(a) The Chief Information Officer for the Department is des-
ignated pursuant to section 3506(a)(2) of title 44.
(b) The Chief Information Officer performs the duties provided

for chief information officers of executive agencies under chapter 35
of title 44 and subtitle III of title 40.
(Added Pub. L. 102–83, Sec. 2(a), Aug. 6, 1991, 105 Stat. 382; Pub. L. 104–106, div.
E, title LVI, Sec. 5604, Feb. 10, 1996, 110 Stat. 700; Pub. L. 104–208, div. A, title
I, Sec. 101(f) [title VIII, Sec. 808(c)], Sept. 30, 1996, 110 Stat. 3009–394; Pub. L.
105–85, div. A, title X, Sec. 1073(h)(3), Nov. 18, 1997, 111 Stat. 1907; Pub. L. 107–
217, Sec. 3(j)(2), Aug. 21, 2002, 116 Stat. 1300.)
§ 311. General Counsel

There is in the Department the Office of the General Counsel.
There is at the head of the office a General Counsel, who is ap-
pointed by the President, by and with the advice and consent of the
Senate. The General Counsel is the chief legal officer of the Depart-
ment and provides legal assistance to the Secretary concerning the
programs and policies of the Department.
§ 312. Inspector General

(a) There is in the Department an Inspector General, who is
appointed by the President, by and with the advice and consent of
the Senate, as provided in the Inspector General Act of 1978 (5
U.S.C. App.). The Inspector General performs the functions, has
the responsibilities, and exercises the powers specified in that Act.
(b)(1) The Secretary shall provide for not less than 40 full-time
positions in the Office of Inspector General in addition to the num-
ber of such positions in that office on March 15, 1989.
(2) The President shall include in the budget transmitted to
the Congress for each fiscal year pursuant to section 1105 of title
31 an estimate of the amount for the Office of Inspector General
that is sufficient to provide for a number of full-time positions in
that office that is not less than the number of full-time positions
in that office on March 15, 1989, plus 40.
446, title XII, Sec. 1201(e)(3), (g)(1), Nov. 2, 1994, 108 Stat. 4685, 4687.)
§ 312A. Director of Construction and Facilities Management

(a) IN GENERAL.—(1) There is in the Department a Director of
Construction and Facilities Management, who shall be appointed
by the Secretary.
(2) The position of Director of Construction and Facilities Man-
agement is a career reserved position, as such term is defined in
section 3132(a)(8) of title 5.
(3) The Director shall provide direct support to the Secretary
in matters covered by the responsibilities of the Director under
subsection (c).
(4) The Director shall report to the Deputy Secretary in the
discharge of the responsibilities of the Director under subsection
(c).
(b) QUALIFICATIONS.—Each individual appointed as Director of
Construction and Facilities Management shall be an individual
who—
(1) holds an undergraduate or master’s degree in architec-
tural design or engineering; and
(2) has substantive professional experience in the area of

construction project management.
(c) RESPONSIBILITIES.—(1) The Director of Construction and Fa-
cilities Management shall—
(A) be responsible for overseeing and managing the plan-
ning, design, construction, and operation of facilities and infra-
structure of the Department, including major and minor con-
struction projects; and
(B) perform such other functions as the Secretary shall
prescribe.
(2) In carrying out the oversight and management of construc-
tion and operation of facilities and infrastructure under this sec-
tion, the Director shall be responsible for the following:
(A) Development and updating of short-range and long-
range strategic capital investment strategies and plans of the
Department.
(B) Planning, design, and construction of facilities for the
Department, including determining architectural and engineer-
ing requirements and ensuring compliance of the Department
with applicable laws relating to the construction program of
the Department.
(C) Management of the short-term and long-term leasing of
real property by the Department.
(D) Repair and maintenance of facilities of the Depart-
ment, including custodial services, building management and
administration, and maintenance of roads, grounds, and infra-
structure.
(E) Management of procurement and acquisition processes
relating to the construction and operation of facilities of the
Department, including the award of contracts related to de-
sign, construction, furnishing, and supplies and equipment.
(Added Pub. L. 109–461, title VIII, Sec. 811(a), Dec. 22, 2006, 120 Stat. 3446.)
§ 313. Availability of appropriations

(a) Funds appropriated to the Department may remain avail-
able until expended.
(b) Funds appropriated to the Department may not be used for
a settlement of more than $1,000,000 on a construction contract
unless—
(1) the settlement is audited by an entity outside the De-
partment for reasonableness and appropriateness of expendi-
tures; and
(2) the settlement is provided for specifically in an appro-
priation law.
§ 314. Central Office

The Central Office of the Department shall be in the District
of Columbia.
§ 315. Regional offices

(a) The Secretary may establish such regional offices and such
other field offices within the United States, its Territories, Com-
monwealths, and possessions, as the Secretary considers necessary.
(b) The Secretary may maintain a regional office in the Repub-
lic of the Philippines until December 31, 2009.
291, Sec. 1(a), May 20, 1992, 106 Stat. 178; Pub. L. 103–210, Sec. 2(c), Dec. 20,
1993, 107 Stat. 2497; Pub. L. 103–446, title V, Sec. 502, Nov. 2, 1994, 108 Stat.
4663; Pub. L. 106–117, title VIII, Sec. 802, Nov. 30, 1999, 113 Stat. 1586; Pub. L.
108–183, title II, Sec. 213, Dec. 16, 2003, 117 Stat. 2658.)
§ 316. Colocation of regional offices and medical centers
(a) To provide for a more economical, efficient, and effective op-
eration of such regional offices, the Secretary shall provide for the
colocation of at least three regional offices with medical centers of
the Department—
(1) on real property under the jurisdiction of the Depart-
ment of Veterans Affairs at such medical centers; or
(2) on real property that is adjacent to such a medical cen-
ter and is under the jurisdiction of the Department as a result
of being conveyed to the United States for the purpose of such
colocation.
(b)(1) In carrying out this section and notwithstanding any
other provision of law, the Secretary may lease, with or without
compensation and for a period of not to exceed 35 years, to another
party at not more than seven locations any of the real property de-
scribed in paragraph (1) or (2) of subsection (a).
(2) Such real property shall be used as the site of a facility—
(A) constructed and owned by the lessee of such real prop-
erty; and
(B) leased under subsection (c)(1) to the Department for
such use and such other activities as the Secretary determines
are appropriate.
(c)(1) The Secretary may enter into a lease for the use of any
facility described in subsection (b)(2) for not more than 35 years
under such terms and conditions as may be in the best interests
of the Department.
(2) Each agreement for such a lease shall provide—
(A) that the obligation of the United States to make pay-
ments under the agreement is subject to the availability of ap-
propriations for that purpose; and
(B) that the ownership of the facility shall vest in the
United States at the end of such lease.
(d)(1) The Secretary may sublease any space in such a facility
to another party at a rate not less than—
(A) the rental rate paid by the Secretary for such space
under subsection (c); plus
(B) the amount the Secretary pays for the costs of admin-
istering such facility (including operation, maintenance, utility,
and rehabilitation costs) which are attributable to such space.
(2) In any such sublease, the Secretary shall include such
terms relating to default and nonperformance as the Secretary con-
siders appropriate to protect the interests of the United States.
(e) The Secretary shall use the receipts of any payment for the
lease of real property under subsection (b) for the payment of the
lease of a facility under subsection (c).
(f)(1) Subject to paragraph (3)(A), the Secretary shall, not later
than April 18, 1990, issue an invitation for offers with respect to
three colocations to be carried out under this section. The invita-
tion shall include, with respect to each such colocation, at least the
following:
(A) Identification of the site to be developed.
(B) Minimum office space requirements for regional office
activities.
(C) Design criteria of the facility to be constructed.
(D) A plan for meeting the security and parking needs for
the facility and its occupants and visitors.
(E) A statement of current and projected rents and other
costs for regional office activities.
(F) The estimated cost of construction of the facility con-
cerned, the estimated annual cost of leasing space for regional
office activities in the facility, and the estimated total annual
cost of leasing all space in such facility.
(G) A plan for securing appropriate licenses, easements,
and rights-of-way.
(H) A list of terms and conditions the Secretary has ap-
proved for inclusion in the lease agreement for the facility con-
cerned.
(2) Subject to paragraph (3)(B), the Secretary shall—
(A) not later than one year after the date on which the in-
vitation is issued under paragraph (1), enter into an agreement
to carry out one colocation under this subsection; and
(B) within 180 days after entering into the agreement re-
ferred to in subparagraph (A), enter into agreements to carry
out two additional colocations,
unless the Secretary determines that it is not economically feasible
for the Department to undertake them, taking into consideration
all of the tangible and intangible benefits associated with such co-
locations.
(3) The Secretary shall—
(A) at least 10 days before the issuance or other publica-
tion of the invitation referred to in paragraph (1), submit a
copy of the invitation to the Committees on Veterans’ Affairs
of the Senate and House of Representatives; and
(B) at least 30 days before entering into an agreement
under paragraph (2), submit a copy to the Committees on Vet-
erans’ Affairs of the Senate and House of Representatives of
the proposals selected by the Secretary from those received in
response to the invitation issued under paragraph (1).
(g) The authority to enter into an agreement under this section
shall expire on September 30, 1992.
§ 317. Center for Minority Veterans

(a) There is in the Department a Center for Minority Veterans.
There is at the head of the Center a Director.
(b) The Director shall be a career or noncareer appointee in the

Senior Executive Service. The Director shall be appointed for a
term of six years.
(c) The Director reports directly to the Secretary or the Deputy
Secretary concerning the activities of the Center.
(d) The Director shall perform the following functions with re-
spect to veterans who are minorities:
(1) Serve as principal adviser to the Secretary on the adop-
tion and implementation of policies and programs affecting vet-
erans who are minorities.
(2) Make recommendations to the Secretary, the Under
Secretary for Health, the Under Secretary for Benefits, and
other Department officials for the establishment or improve-
ment of programs in the Department for which veterans who
are minorities are eligible.
(3) Promote the use of benefits authorized by this title by
veterans who are minorities and the conduct of outreach activi-
ties to veterans who are minorities, in conjunction with out-
reach activities carried out under chapter 77 of this title.
(4) Disseminate information and serve as a resource center
for the exchange of information regarding innovative and suc-
cessful programs which improve the services available to vet-
erans who are minorities.
(5) Conduct and sponsor appropriate social and demo-
graphic research on the needs of veterans who are minorities
and the extent to which programs authorized under this title
meet the needs of those veterans, without regard to any law
concerning the collection of information from the public.
(6) Analyze and evaluate complaints made by or on behalf
of veterans who are minorities about the adequacy and timeli-
ness of services provided by the Department and advise the ap-
propriate official of the Department of the results of such anal-
ysis or evaluation.
(7) Consult with, and provide assistance and information
to, officials responsible for administering Federal, State, local,
and private programs that assist veterans, to encourage those
officials to adopt policies which promote the use of those pro-
grams by veterans who are minorities.
(8) Advise the Secretary when laws or policies have the ef-
fect of discouraging the use of benefits by veterans who are mi-
norities.
(9) Publicize the results of medical research which are of
particular significance to veterans who are minorities.
(10) Advise the Secretary and other appropriate officials on
the effectiveness of the Department’s efforts to accomplish the
goals of section 492B of the Public Health Service Act (42
U.S.C. 289a-2) with respect to the inclusion of minorities in
clinical research and on particular health conditions affecting
the health of members of minority groups which should be
studied as part of the Department’s medical research program
and promote cooperation between the Department and other
sponsors of medical research of potential benefit to veterans
who are minorities.
(11) Provide support and administrative services to the Ad-

visory Committee on Minority Veterans provided for under sec-
tion 544 of this title.
(12) Perform such other duties consistent with this section
as the Secretary shall prescribe.
(e) The Secretary shall ensure that the Director is furnished
sufficient resources to enable the Director to carry out the func-
tions of the Center in a timely manner.
(f) The Secretary shall include in documents submitted to Con-
gress by the Secretary in support of the President’s budget for each
fiscal year—
(1) detailed information on the budget for the Center;
(2) the Secretary’s opinion as to whether the resources (in-
cluding the number of employees) proposed in the budget for
that fiscal year are adequate to enable the Center to comply
with its statutory and regulatory duties; and
(3) a report on the activities and significant accomplish-
ments of the Center during the preceding fiscal year.
(g) In this section—
(1) The term ‘‘veterans who are minorities’’ means vet-
erans who are minority group members.
(2) The term ‘‘minority group member’’ has the meaning
given such term in section 544(d) of this title.
(Added Pub. L. 103–446, title V, Sec. 509(a), Nov. 2, 1994, 108 Stat. 4665; amended
Pub. L. 104–275, title V, Sec. 501(a)–(c), Oct. 9, 1996, 110 Stat. 3340.)
§ 318. Center for Women Veterans

(a) There is in the Department a Center for Women Veterans.
There is at the head of the Center a Director.
(b) The Director shall be a career or noncareer appointee in the
Senior Executive Service. The Director shall be appointed for a
term of six years.
(c) The Director reports directly to the Secretary or the Deputy
Secretary concerning the activities of the Center.
(d) The Director shall perform the following functions with re-
spect to veterans who are women:
(1) Serve as principal adviser to the Secretary on the adop-
tion and implementation of policies and programs affecting vet-
erans who are women.
(2) Make recommendations to the Secretary, the Under
Secretary for Health, the Under Secretary for Benefits, and
other Department officials for the establishment or improve-
ment of programs in the Department for which veterans who
are women are eligible.
(3) Promote the use of benefits authorized by this title by
veterans who are women and the conduct of outreach activities
to veterans who are women, in conjunction with outreach ac-
tivities carried out under chapter 77 of this title.
(4) Disseminate information and serve as a resource center
for the exchange of information regarding innovative and suc-
cessful programs which improve the services available to vet-
erans who are women.
(5) Conduct and sponsor appropriate social and demo-
graphic research on the needs of veterans who are women and
the extent to which programs authorized under this title meet

the needs of those veterans, without regard to any law con-
cerning the collection of information from the public.
(6) Analyze and evaluate complaints made by or on behalf
of veterans who are women about the adequacy and timeliness
of services provided by the Department and advise the appro-
priate official of the Department of the results of such analysis
or evaluation.
(7) Consult with, and provide assistance and information
to, officials responsible for administering Federal, State, local,
and private programs that assist veterans, to encourage those
officials to adopt policies which promote the use of those pro-
grams by veterans who are women.
(8) Advise the Secretary when laws or policies have the ef-
fect of discouraging the use of benefits by veterans who are
women.
(9) Publicize the results of medical research which are of
particular significance to veterans who are women.
(10) Advise the Secretary and other appropriate officials on
the effectiveness of the Department’s efforts to accomplish the
goals of section 492B of the Public Health Service Act (42
U.S.C. 289a-2) with respect to the inclusion of women in clin-
ical research and on particular health conditions affecting
women’s health which should be studied as part of the Depart-
ment’s medical research program and promote cooperation be-
tween the Department and other sponsors of medical research
of potential benefit to veterans who are women.
(11) Provide support and administrative services to the Ad-
visory Committee on Women Veterans established under sec-
(12) Perform such other duties consistent with this section
as the Secretary shall prescribe.
(e) The Secretary shall ensure that the Director is furnished
sufficient resources to enable the Director to carry out the func-
tions of the Center in a timely manner.
(f) The Secretary shall include in documents submitted to Con-
gress by the Secretary in support of the President’s budget for each
fiscal year—
(1) detailed information on the budget for the Center;
(2) the Secretary’s opinion as to whether the resources (in-
cluding the number of employees) proposed in the budget for
that fiscal year are adequate to enable the Center to comply
with its statutory and regulatory duties; and
(3) a report on the activities and significant accomplish-
ments of the Center during the preceding fiscal year.
Pub. L. 104–275, title V, Sec. 501(a), (d), Oct. 9, 1996, 110 Stat. 3340, 3341.)
§ 319. Office of Employment Discrimination Complaint Adju-

dication
(a)(1) There is in the Department an Office of Employment
Discrimination Complaint Adjudication. There is at the head of the
Office a Director.
(2) The Director shall be a career appointee in the Senior Exec-

utive Service.
(3) The Director reports directly to the Secretary or the Deputy
Secretary concerning matters within the responsibility of the Of-
fice.
(b)(1) The Director is responsible for making the final agency
decision within the Department on the merits of any employment
discrimination complaint filed by an employee, or an applicant for
employment, with the Department. The Director shall make such
decisions in an impartial and objective manner.
(2) No person may make any ex parte communication to the
Director or to any employee of the Office with respect to a matter
on which the Director has responsibility for making a final agency
decision.
(c) Whenever the Director has reason to believe that there has
been retaliation against an employee by reason of the employee as-
serting rights under an equal employment opportunity law, the Di-
rector shall report the suspected retaliatory action directly to the
Secretary or Deputy Secretary, who shall take appropriate action
thereon.
(d)(1) The Office shall employ a sufficient number of attorneys
and other personnel as are necessary to carry out the functions of
the Office. Attorneys shall be compensated at a level commensurate
with attorneys employed by the Office of the General Counsel.
(2) The Secretary shall ensure that the Director is furnished
sufficient resources in addition to personnel under paragraph (1) to
enable the Director to carry out the functions of the Office in a
timely manner.
(3) The Secretary shall ensure that any performance appraisal
of the Director of the Office of Employment Discrimination Com-
plaint Adjudication or of any employee of the Office does not take
into consideration the record of the Director or employee in decid-
ing cases for or against the Department.
(Added Pub. L. 105–114, title I, Sec. 102(a)(1), Nov. 21, 1997, 111 Stat. 2280.)
§ 320. Department of Veterans Affairs-Department of De-

fense Joint Executive Committee
(a) JOINT EXECUTIVE COMMITTEE.—(1) There is established an
interagency committee to be known as the Department of Veterans
Affairs-Department of Defense Joint Executive Committee (herein-
after in this section referred to as the ‘‘Committee’’).
(2) The Committee is composed of—
(A) the Deputy Secretary of Veterans Affairs and such
other officers and employees of the Department of Veterans Af-
fairs as the Secretary of Veterans Affairs may designate; and
(B) the Under Secretary of Defense for Personnel and
Readiness and such other officers and employees of the Depart-
ment of Defense as the Secretary of Defense may designate.
(b) ADMINISTRATIVE MATTERS.—(1) The Deputy Secretary of
Veterans Affairs and the Under Secretary of Defense shall deter-
mine the size and structure of the Committee, as well as the ad-
ministrative and procedural guidelines for the operation of the
Committee.
(2) The two Departments shall supply appropriate staff and re-
sources to provide administrative support and services. Support for
such purposes shall be provided at a level sufficient for the efficient
operation of the Committee, including a subordinate Health Execu-
tive Committee, a subordinate Benefits Executive Committee, and
such other committees or working groups as considered necessary
by the Deputy Secretary and Under Secretary.
(c) RECOMMENDATIONS.—(1) The Committee shall recommend
to the Secretaries strategic direction for the joint coordination and
sharing efforts between and within the two Departments under sec-
tion 8111 of this title and shall oversee implementation of those ef-
forts.
(2) The Committee shall submit to the two Secretaries and to
Congress an annual report containing such recommendations as
the Committee considers appropriate.
(d) FUNCTIONS.—In order to enable the Committee to make
recommendations in its annual report under subsection (c)(2), the
Committee shall do the following:
(1) Review existing policies, procedures, and practices re-
lating to the coordination and sharing of resources between the
two Departments.
(2) Identify changes in policies, procedures, and practices
that, in the judgment of the Committee, would promote mutu-
ally beneficial coordination, use, or exchange of use of services
and resources of the two Departments, with the goal of improv-
ing the quality, efficiency and effectiveness of the delivery of
benefits and services to veterans, service members, military re-
tirees, and their families through an enhanced Department of
Veterans Affairs and Department of Defense partnership.
(3) Identify and assess further opportunities for the coordi-
nation and collaboration between the Departments that, in the
judgment of the Committee, would not adversely affect the
range of services, the quality of care, or the established prior-
ities for benefits provided by either Department.
(4) Review the plans of both Departments for the acquisi-
tion of additional resources, especially new facilities and major
equipment and technology, in order to assess the potential ef-
fect of such plans on further opportunities for the coordination
and sharing of resources.
(5) Review the implementation of activities designed to
promote the coordination and sharing of resources between the
Departments.
(Added Pub. L. 108–136, div. A, title V, Sec. 583(a)(1), Nov. 24, 2003, 117 Stat.
1490.)
§ 321. Office of Survivors Assistance

(a) ESTABLISHMENT.—The Secretary shall establish in the De-
partment an Office of Survivors Assistance (in this section referred
to as the ‘‘Office’’) to serve as a resource regarding all benefits and
services furnished by the Department—
(1) to survivors and dependents of deceased veterans; and
(2) to survivors and dependents of deceased members of
the Armed Forces.
(b) ADVISORY DUTIES.—The Office shall serve as a primary ad-

visor to the Secretary on all matters related to the policies, pro-
grams, legislative issues, and other initiatives affecting the sur-
vivors and dependents described in subsection (a).
(c) GUIDANCE FROM STAKEHOLDERS.—In establishing the Of-
fice, the Secretary shall seek guidance from interested stake-
holders.
(d) RESOURCES.—The Secretary shall ensure that appropriate
personnel, funding, and other resources are provided to the Office
to carry out its responsibilities.
(e) INCLUSION OF INFORMATION ON OFFICE IN ANNUAL REPORT
ON DEPARTMENT ACTIVITIES.—The Secretary shall include in each
annual Performance and Accountability report submitted by the
Secretary to Congress a description of the activities of the Office
during the fiscal year covered by such report.
(Added Pub. L. 110–389, title II, Sec. 222(a), Oct. 10, 2008, 122 Stat. 4156.)
§ 322. Office of National Veterans Sports Programs and Spe-

cial Events
(a) ESTABLISHMENT.—There is in the Department an Office of
National Veterans Sports Programs and Special Events. There is at
the head of the Office a Director, who shall report to an appro-
priate official of the Veterans Benefits Administration, as deter-
mined by the Secretary, or to the Deputy Secretary or Secretary.
(b) RESPONSIBILITIES OF DIRECTOR.—Subject to the direction of
the Secretary, the Director—
(1) shall establish and carry out qualifying programs and
events;
(2) may provide for sponsorship by the Department of
qualifying programs and events;
(3) may provide for, facilitate, and encourage participation
by disabled veterans in qualifying programs and events;
(4) shall, to the extent feasible, cooperate with the United
States Paralympics, Inc., and its partners to promote the par-
ticipation of disabled veterans and disabled members of the
Armed Forces in sporting events sponsored by the United
States Paralympics, Inc., and its partners;
(5) shall seek sponsorships and donations from the private
sector to defray costs of carrying out the responsibilities of the
Director to the maximum extent feasible; and
(6) may carry out such other responsibilities as the Sec-
retary determines are appropriate.
(c) QUALIFYING PROGRAM OR EVENT.—For purposes of this sec-
tion, a qualifying program or event is a sports program or other
event in which disabled veterans and disabled members of the
Armed Forces participate and that is approved by the Secretary as
being consistent with the goals and missions of the Department.
(d) MONTHLY ASSISTANCE ALLOWANCE.—(1) Subject to the
availability of appropriations for such purpose, the Secretary may
provide a monthly assistance allowance to a veteran with a dis-
ability invited by the United States Paralympics, Inc., to compete
for a slot on, or selected for, the Paralympic Team for any month
in which the veteran is training or competing in any event sanc-
tioned by the United States Paralympics, Inc., or who is residing

at a United States Paralympics, Inc., training center.
(2) The amount of the monthly assistance payable to a veteran
under paragraph (1) shall be equal to the monthly amount of sub-
sistence allowance that would be payable to the veteran under
chapter 31 of this title if the veteran were eligible for and entitled
to rehabilitation under such chapter.
(3) In providing assistance under this subsection, the Secretary
shall give priority to veterans with service-connected disabilities.
(4) There is authorized to be appropriated to carry out this
subsection $2,000,000 for each of fiscal years 2010 through 2013.
(e) LIMITATION ON STATUTORY CONSTRUCTION.—Nothing in this
section shall be construed as a limitation on disabled sports and
special events supported by the Department as of the date of the
enactment of this section.
(Added Pub. L. 110–389, title VII, Sec. 703(a), Oct. 10, 2008, 122 Stat. 4183.)
45
CHAPTER 5—AUTHORITY AND DUTIES OF THE
SECRETARY
Sec.
501. Rules and regulations.
502. Judicial review of rules and regulations.
503. Administrative error; equitable relief.
505. Opinions of Attorney General.
510. Authority to reorganize offices.
511. Decisions of the Secretary; finality.
512. Delegation of authority; assignment of functions and duties.
513. Contracts and personal services.
515. Administrative settlement of tort claims.
516. Equal employment responsibilities.
521. Assistance to certain rehabilitation activities.
521A. Assistance for United States Paralympics, Inc.
522. Studies of rehabilitation of disabled persons.
523. Coordination and promotion of other programs affecting veterans and their
dependents.
525. Publication of laws relating to veterans.
527. Evaluation and data collection.
530. Annual report on program and expenditures for domestic response to weap-
ons of mass destruction.
531. Requirement relating to naming of Department property.
532. Authority to advertise in national media.
541. Advisory Committee on Former Prisoners of War.
542. Advisory Committee on Women Veterans.
543. Advisory Committee on Prosthetics and Special-Disabilities Programs.
544. Advisory Committee on Minority Veterans.
545. Advisory Committee on the Readjustment of Veterans.
546. Advisory Committee on Disability Compensation.

§ 501. Rules and regulations
(a) The Secretary has authority to prescribe all rules and regu-
lations which are necessary or appropriate to carry out the laws
administered by the Department and are consistent with those
laws, including—
(1) regulations with respect to the nature and extent of
proof and evidence and the method of taking and furnishing
them in order to establish the right to benefits under such
laws;
(2) the forms of application by claimants under such laws;
47
Sec. 502 CH. 5—AUTHORITY AND DUTIES OF THE SECRETARY 48
(3) the methods of making investigations and medical ex-

aminations; and
(4) the manner and form of adjudications and awards.
(b) Any rule, regulation, guideline, or other published interpre-
tation or order (and any amendment thereto) issued pursuant to
the authority granted by this section or any other provision of this
title shall contain citations to the particular section or sections of
statutory law or other legal authority upon which such issuance is
based. The citation to the authority shall appear immediately fol-
lowing each substantive provision of the issuance.
(c) In applying section 552(a)(1) of title 5 to the Department,
the Secretary shall ensure that subparagraphs (C), (D), and (E) of
that section are complied with, particularly with respect to opinions
and interpretations of the General Counsel.
(d) The provisions of section 553 of title 5 shall apply, without
regard to subsection (a)(2) of that section, to matters relating to
loans, grants, or benefits under a law administered by the Sec-
retary.
§ 502. Judicial review of rules and regulations

An action of the Secretary to which section 552(a)(1) or 553 of
title 5 (or both) refers is subject to judicial review. Such review
shall be in accordance with chapter 7 of title 5 and may be sought
only in the United States Court of Appeals for the Federal Circuit.
However, if such review is sought in connection with an appeal
brought under the provisions of chapter 72 of this title, the provi-
sions of that chapter shall apply rather than the provisions of chap-
ter 7 of title 5.
389, title I, Sec. 102, Oct. 10, 2008, 122 Stat. 4148.)
§ 503. Administrative error; equitable relief

(a) If the Secretary determines that benefits administered by
the Department have not been provided by reason of administra-
tive error on the part of the Federal Government or any of its em-
ployees, the Secretary may provide such relief on account of such
error as the Secretary determines equitable, including the payment
of moneys to any person whom the Secretary determines is equi-
tably entitled to such moneys.
(b) If the Secretary determines that a veteran, surviving
spouse, child of a veteran, or other person has suffered loss as a
consequence of reliance upon a determination by the Department
of eligibility or entitlement to benefits, without knowledge that it
was erroneously made, the Secretary may provide such relief on ac-
count of such error as the Secretary determines is equitable, in-
cluding the payment of moneys to any person whom the Secretary
determines is equitably entitled to such moneys.
(c) Not later than April 1 of each year, the Secretary shall sub-
mit to Congress a report containing a statement as to the disposi-
tion of each case recommended to the Secretary for equitable relief
under this section during the preceding calendar year. No report
shall be required under this subsection after December 31, 2009.
49 CH. 5—AUTHORITY AND DUTIES OF THE SECRETARY Sec. 510
419, title IV, Sec. 403(c)(1), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 109–233, title IV,
Sec. 403, June 15, 2006, 120 Stat. 411.)
§ 505. Opinions of Attorney General

The Secretary may require the opinion of the Attorney General
on any question of law arising in the administration of the Depart-
ment.
§ 510. Authority to reorganize offices

(a) Except to the extent inconsistent with law, the Secretary
may—
(1) consolidate, eliminate, abolish, or redistribute the func-
tions of the Administrations, offices, facilities, or activities in
the Department;
(2) create new Administrations, offices, facilities, or activi-
ties in the Department; and
(3) fix the functions of any such Administration, office, fa-
cility, or activity and the duties and powers of their respective
executive heads.
(b) The Secretary may not in any fiscal year implement an ad-
ministrative reorganization described in subsection (c) unless the
Secretary first submits to the appropriate committees of the Con-
gress a report containing a detailed plan and justification for the
administrative reorganization. No action to carry out such reorga-
nization may be taken after the submission of such report until the
end of a 45-day period following the date of the submission of the
report, not less than 30 days of which shall be days during which
Congress shall have been in continuous session. For purposes of
the preceding sentence, continuity of a session of Congress is bro-
ken only by adjournment sine die, and there shall be excluded from
the computation of any period of continuity of session any day dur-
ing which either House of Congress is not in session during an ad-
journment of more than three days to a day certain.
(c) An administrative reorganization described in this sub-
section is an administrative reorganization of a covered field office
or facility that involves a reduction during any fiscal year in the
number of full-time equivalent employees with permanent duty sta-
tions at such office or facility—
(1) by 15 percent or more; or
(2) by a percent which, when added to the percent reduc-
tion made in the number of such employees with permanent
duty stations at such office or facility during the preceding fis-
cal year, is 25 percent or more.
(d)(1) Not less than 30 days before the date on which the im-
plementation of any administrative reorganization described in
paragraph (2) of a unit in the Central Office is to begin, the Sec-
retary shall transmit to the Committees on Veterans’ Affairs of the
Senate and the House of Representatives a notification regarding
the reorganization.
(2) Paragraph (1) applies to an administrative reorganization
of any unit of the Central Office that is the duty station for 30 or
more employees if the reorganization involves a reduction in any
fiscal year in the number of full-time equivalent employees with

permanent duty station in such unit by 50 percent or more.
(e) For purposes of this section, the term ‘‘administrative reor-
ganization’’ does not include a consolidation or redistribution of
functions at a covered field office or facility, or between components
of the Veterans Benefits Administration and the Veterans Health
Administration at a Department medical and regional office center,
if after the consolidation or redistribution the same number of full-
time equivalent employees continues to perform the affected func-
tions at that field office, facility, or center.
(f) For purposes of this section:
(1) The term ‘‘covered field office or facility’’ means a De-
partment office or facility outside the Central Office that is the
permanent duty station for 25 or more employees or that is a
free-standing outpatient clinic.
(2) The term ‘‘detailed plan and justification’’ means, with
respect to an administrative reorganization, a written report
that, at a minimum, includes the following:
(A) Specification of the number of employees by which
each covered office or facility affected is to be reduced, the
responsibilities of those employees, and the means by
which the reduction is to be accomplished.
(B) Identification of any existing or planned office or
facility at which the number of employees is to be in-
creased and specification of the number and responsibil-
ities of the additional employees at each such office or fa-
cility.
(C) A description of the changes in the functions car-
ried out at any existing office or facility and the functions
to be assigned to an office or facility not in existence on
the date that the plan and justification are submitted pur-
suant to subsection (b).
(D) An explanation of the reasons for the determina-
tion that the reorganization is appropriate and advisable
in terms of the statutory missions and long-term goals of
the Department.
(E) A description of the effects that the reorganization
may have on the provision of benefits and services to vet-
erans and dependents of veterans (including the provision
of benefits and services through offices and facilities of the
Department not directly affected by the reorganization).
(F) Estimates of the costs of the reorganization and of
the cost impact of the reorganization, together with anal-
yses supporting those estimates.
262, title III, Sec. 304, Oct. 9, 1996, 110 Stat. 3194.)
§ 511. Decisions of the Secretary; finality

(a) The Secretary shall decide all questions of law and fact nec-
essary to a decision by the Secretary under a law that affects the
provision of benefits by the Secretary to veterans or the dependents
or survivors of veterans. Subject to subsection (b), the decision of
the Secretary as to any such question shall be final and conclusive
and may not be reviewed by any other official or by any court,

whether by an action in the nature of mandamus or otherwise.
(b) The second sentence of subsection (a) does not apply to—
(1) matters subject to section 502 of this title;
(2) matters covered by sections 1975 and 1984 of this title;
(3) matters arising under chapter 37 of this title; and
(4) matters covered by chapter 72 of this title.
§ 512. Delegation of authority; assignment of functions and

duties
(a) Except as otherwise provided by law, the Secretary may as-
sign functions and duties, and delegate, or authorize successive re-
delegation of, authority to act and to render decisions, with respect
to all laws administered by the Department, to such officers and
employees as the Secretary may find necessary. Within the limita-
tions of such delegations, redelegations, or assignments, all official
acts and decisions of such officers and employees shall have the
same force and effect as though performed or rendered by the Sec-
retary.
(b) There shall be included on the technical and administrative
staff of the Secretary such staff officers, experts, inspectors, and as-
sistants (including legal assistants) as the Secretary may prescribe.
§ 513. Contracts and personal services

The Secretary may, for purposes of all laws administered by
the Department, accept uncompensated services, and enter into
contracts or agreements with private or public agencies or persons
(including contracts for services of translators without regard to
any other law), for such necessary services (including personal
services) as the Secretary may consider practicable. The Secretary
may also enter into contracts or agreements with private concerns
or public agencies for the hiring of passenger motor vehicles or air-
craft for official travel whenever, in the Secretary’s judgment, such
arrangements are in the interest of efficiency or economy.
§ 515. Administrative settlement of tort claims

(a)(1) Notwithstanding the limitations contained in section
2672 of title 28, the Secretary may settle a claim for money dam-
ages against the United States cognizable under section 1346(b) or
2672 of title 28 or section 7316 of this title to the extent the au-
thority to do so is delegated to the Secretary by the Attorney Gen-
eral. Such delegation may not exceed the authority delegated by
the Attorney General to United States attorneys to settle claims for
money damages against the United States.
(2) For purposes of this subsection, the term ‘‘settle’’, with re-
spect to a claim, means consider, ascertain, adjust, determine, and
dispose of the claim, whether by full or partial allowance or by dis-
allowance.
(b) The Secretary may pay tort claims, in the manner author-
ized in the first paragraph of section 2672 of title 28, when such
claims arise in foreign countries in connection with Department op-

erations abroad. A claim may not be allowed under this subsection
unless it is presented in writing to the Secretary within two years
after the claim accrues.
§ 516. Equal employment responsibilities
(a) The Secretary shall provide that the employment discrimi-
nation complaint resolution system within the Department be es-
tablished and administered so as to encourage timely and fair reso-
lution of concerns and complaints. The Secretary shall take steps
to ensure that the system is administered in an objective, fair, and
effective manner and in a manner that is perceived by employees
and other interested parties as being objective, fair, and effective.
(b) The Secretary shall provide—
(1) that employees responsible for counseling functions as-
sociated with employment discrimination and for receiving, in-
vestigating, and processing complaints of employment discrimi-
nation shall be supervised in those functions by, and report to,
an Assistant Secretary or a Deputy Assistant Secretary for
complaint resolution management; and
(2) that employees performing employment discrimination
complaint resolution functions at a facility of the Department
shall not be subject to the authority, direction, and control of
the Director of the facility with respect to those functions.
(c) The Secretary shall ensure that all employees of the De-
partment receive adequate education and training for the purposes
of this section and section 319 of this title.
(d) The Secretary shall, when appropriate, impose disciplinary
measures, as authorized by law, in the case of employees of the De-
partment who engage in unlawful employment discrimination, in-
cluding retaliation against an employee asserting rights under an
equal employment opportunity law.
(e)(1)(A) Not later than 45 days after the end of each calendar
quarter, the Assistant Secretary for Human Resources and Admin-
istration shall submit to the Committees on Veterans’ Affairs of the
Senate and House of Representatives a report summarizing the
employment discrimination complaints filed against the individuals
referred to in paragraph (2) during such quarter.
(B) Subparagraph (A) shall apply in the case of complaints
filed against individuals on the basis of such individuals’ personal
conduct and shall not apply in the case of complaints filed solely
on the basis of such individuals’ positions as officials of the Depart-
ment.
(2) Paragraph (1) applies to the following officers and employ-
ees of the Department:
(A) The Secretary.
(B) The Deputy Secretary of Veterans Affairs.
(C) The Under Secretary for Health and the Under Sec-
retary for Benefits.
(D) Each Assistant Secretary of Veterans Affairs and each
Deputy Assistant Secretary of Veterans Affairs.
(E) The Under Secretary of Veterans Affairs for Memorial
Affairs.
(F) The General Counsel of the Department.

(G) The Chairman of the Board of Veterans’ Appeals.
(H) The Chairman of the Board of Contract Appeals of the
Department.
(I) The director and the chief of staff of each medical cen-
ter of the Department.
(J) The director of each Veterans Integrated Services Net-
work.
(K) The director of each regional office of the Department.
(L) Each program director of the Central Office of the De-
partment.
(3) Each report under this subsection—
(A) may not disclose information which identifies the indi-
viduals filing, or the individuals who are the subject of, the
complaints concerned or the facilities at which the discrimina-
tion identified in such complaints is alleged to have occurred;
(B) shall summarize such complaints by type and by equal
employment opportunity field office area in which filed; and
(C) shall include copies of such complaints, with the infor-
mation described in subparagraph (A) redacted.
(4) Not later than April 1 each year, the Assistant Secretary
shall submit to the committees referred to in paragraph (1)(A) a re-
port on the complaints covered by paragraph (1) during the pre-
ceding year, including the number of such complaints filed during
that year and the status and resolution of the investigation of such
complaints.
(f) The Secretary shall ensure that an employee of the Depart-
ment who seeks counseling relating to employment discrimination
may elect to receive such counseling from an employee of the De-
partment who carries out equal employment opportunity coun-
seling functions on a full-time basis rather than from an employee
of the Department who carries out such functions on a part-time
basis.
(g) The number of employees of the Department whose duties
include equal employment opportunity counseling functions as well
as other, unrelated functions may not exceed 40 full-time equiva-
lent employees. Any such employee may be assigned equal employ-
ment opportunity counseling functions only at Department facili-
ties in remote geographic locations (as determined by the Sec-
retary). The Secretary may waive the limitation in the preceding
sentence in specific cases.
(h) The provisions of this section shall be implemented in a
manner consistent with procedures applicable under regulations
prescribed by the Equal Employment Opportunity Commission.
(Added Pub. L. 105–114, title I, Sec. 101(a)(1), Nov. 21, 1997, 111 Stat. 2278;
amended Pub. L. 105–368, title IV, Sec. 403(d)(2), Nov. 11, 1998, 112 Stat. 3339;
Pub. L. 108–170, title IV, Sec. 405(a), Dec. 6, 2003, 117 Stat. 2063.)

§ 521. Assistance to certain rehabilitation activities
(a) The Secretary may assist any organization named in or ap-
proved under section 5902 of this title in providing recreational ac-
Sec. 521A CH. 5—AUTHORITY AND DUTIES OF THE SECRETARY 54
tivities which would further the rehabilitation of disabled veterans.

Such assistance may be provided only if—
(1) the activities are available to disabled veterans on a
national basis; and
(2) a significant percentage of the individuals participating
in the activities are eligible for rehabilitative services under
chapter 17 of this title.
(b) The Secretary may accept from any appropriate source con-
tributions of funds and of other assistance to support the Sec-
retary’s provision of assistance for such activities.
(c)(1) Subject to paragraph (2), the Secretary may authorize the
use, for purposes approved by the Secretary in connection with the
activity involved, of the seal and other official symbols of the De-
partment and the name ‘‘Department of Veterans Affairs’’ by—
(A) any organization which provides an activity described
in subsection (a) with assistance from the Secretary; and
(B) any individual or entity from which the Secretary ac-
cepts a significant contribution under subsection (b) or an offer
of such a contribution.
(2) The use of such seal or name of any official symbol of the
Department in an advertisement may be authorized by the Sec-
retary under this subsection only if—
(A) the Secretary has approved the advertisement; and
(B) the advertisement contains a clear statement that no
product, project, or commercial line of endeavor referred to in
the advertisement is endorsed by the Department of Veterans
Affairs.
§ 521A. Assistance for United States Paralympics, Inc

(a) AUTHORIZATION TO PROVIDE ASSISTANCE.—The Secretary
may award grants to the United States Paralympics, Inc., to plan,
develop, manage, and implement an integrated adaptive sports pro-
gram for disabled veterans and disabled members of the Armed
Forces.
(b) OVERSIGHT BY SECRETARY.—As a condition of receiving a
grant under this section, the United States Paralympics, Inc., shall
permit the Secretary to conduct such oversight of the use of grant
funds as the Secretary determines is appropriate. The United
States Paralympics, Inc., shall be responsible for the use of grant
funds provided under this section.
(c) APPLICATION REQUIREMENT.—(1) Before the Secretary may
award a grant to the United States Paralympics, Inc., under this
section, the United States Paralympics, Inc., shall submit to the
Secretary an application that describes the activities to be carried
out with the grant, including information on specific measurable
goals and objectives to be achieved using grant funds.
(2) The application shall include—
(A) a detailed description of all partnerships referred to in
paragraph (3) at the national and local levels that will be par-
ticipating in such activities and the amount of grant funds that
the United States Paralympics, Inc., proposes to make avail-
able for each of such partnerships; and
55 CH. 5—AUTHORITY AND DUTIES OF THE SECRETARY Sec. 521A
(B) for any fiscal year for which a grant is sought, the
amount of private donations received by the United States
Paralympics, Inc., expected to be expended to support oper-
ations during that fiscal year.
(3) Partnerships referred to in this paragraph are agreements
between the United States Paralympics, Inc., and organizations
with significant experience in the training and support of disabled
athletes and the promotion of disabled sports at the local and na-
tional levels. Such organizations may include Disabled Sports USA,
Blaze Sports, Paralyzed Veterans of America, and Disabled Amer-
ican Veterans. The agreements shall detail the scope of activities
and funding to be provided by the United States Paralympics, Inc.,
to the partner.
(d) USE OF FUNDS.—(1) The United States Paralympics, Inc.,
with the assistance and cooperation of the Secretary and the heads
of other appropriate Federal and State departments and agencies
and partnerships referred to in subsection (c)(3), shall use a grant
under this section to reimburse grantees with which the United
States Paralympics, Inc., has entered into a partnership under sub-
section (c) for the direct costs of recruiting, supporting, equipping,
encouraging, scheduling, facilitating, supervising, and imple-
menting the participation of disabled veterans and disabled mem-
bers of the Armed Forces in the activities described in paragraph
(3) by supporting a program described in paragraph (2).
(2) A program described in this paragraph is a sports program
that—
(A) promotes basic physical activity, games, recreation,
training, and competition;
(B) is approved by the Secretary; and
(C)(i) provides services and activities described in para-
graph (3) for disabled veterans and disabled members of the
Armed Forces; and
(ii) may also provide services and activities described in
paragraph (3) for individuals with disabilities who are not vet-
erans or members of the Armed Forces, or both; except that
funds made available to carry out this section may not be used
to support those individuals with disabilities who are not vet-
erans or members of the Armed Forces.
(3) Activities described in this paragraph are—
(A) instruction, participation, and competition in
Paralympic sports;
(B) training and technical assistance to program adminis-
trators, coaches, recreational therapists, instructors, Depart-
ment employees, and other appropriate individuals; and
(C) coordination, Paralympic classification of athletes, ath-
lete assessment, sport-specific training techniques, program de-
velopment (including programs at the local level), sports equip-
ment, supplies, program evaluation, and other activities re-
lated to the implementation and operation of the program.
(4) A grant made under this section may include, at the discre-
tion of the Secretary, an amount for the administrative expenses
of the United States Paralympics, Inc., but not to exceed five per-
cent of the amount of the grant.
Sec. 521A CH. 5—AUTHORITY AND DUTIES OF THE SECRETARY 56
(5) Funds made available by the United States Paralympics,

Inc., to a grantee under subsection (c) may include an amount for
administrative expenses, but not to exceed ten percent of the
amount of such funds.
(e) OUTREACH REQUIREMENT.—As a condition of receiving a
grant under this section, the United States Paralympics, Inc., shall
agree to conduct a joint outreach campaign with the Secretary of
Veterans Affairs to inform all eligible veterans and separating
members of the Armed Forces with physical disabilities about the
existence of the integrated adaptive sports program, as appro-
priate, and shall provide for, facilitate, and encourage participation
of such veterans and separating members of the Armed Forces in
programs under this section to the extent possible.
(f) COORDINATION.—The Secretary shall ensure access to and
use of appropriate Department sports, recreation, and fitness facili-
ties by disabled veterans and disabled members of the Armed
Forces participating in the integrated adaptive sports program to
the maximum extent possible. The Secretary shall ensure that such
access does not adversely affect any other assistance provided to
veterans.
(g) AUTHORIZATION OF APPROPRIATIONS.—There is authorized
to be appropriated $8,000,000 for each of fiscal years 2010 through
2013 to carry out this section. Amounts appropriated pursuant to
this subsection shall remain available without fiscal year limita-
tion.
(h) SEPARATE ACCOUNTING.—The Department shall have a sep-
arate line item in budget proposals of the Department for funds to
be appropriated to carry out this section. Funds appropriated to
carry out this section shall not be commingled with any other funds
appropriated to the Department.
(i) LIMITATION ON USE OF FUNDS.—Except as provided in para-
graphs (4) and (5) of subsection (d), funds appropriated to carry out
this section may not be used to support or provide services to indi-
viduals who are not disabled veterans or disabled members of the
Armed Forces.
(j) ANNUAL REPORT TO SECRETARY.—(1) As a condition of re-
ceiving a grant under this section, the United States Paralympics,
Inc., shall agree that by not later than 60 days after the last day
of a fiscal year for which a grant is provided under this section, the
United States Paralympics, Inc., shall submit to the Secretary a re-
port setting forth in detail the use of the grant funds during that
fiscal year, including the number of veterans who participated in
the integrated adaptive sports program, including any programs
carried out through a partnership under subsection (c)(3), and the
administrative expenses of the integrated adaptive sports program.
(2) A report under this subsection may be audited by the Sec-
retary.
(3) For any fiscal year after fiscal year 2010, the eligibility of
the United States Paralympics, Inc., to receive a grant under this
section shall be contingent upon the submission of the report under
paragraph (1) for the preceding fiscal year.
(k) ANNUAL REPORT TO CONGRESS.—For any fiscal year during
which the Secretary provides assistance under this section, the Sec-
retary shall submit to Congress a report on the use of funds pro-

vided under this section.
(l) TERMINATION.—The Secretary may only provide assistance
under this section during fiscal years 2010 through 2013.
§ 522. Studies of rehabilitation of disabled persons

(a) The Secretary may conduct studies and investigations, and
prepare reports, relative to the rehabilitation of disabled persons,
the relative abilities, aptitudes, and capacities of the several groups
of the variously handicapped, and how their potentialities can best
be developed and their services best used in gainful and suitable
employment including the rehabilitation programs of foreign na-
tions.
(b) In carrying out this section, the Secretary (1) may cooperate
with such public and private agencies as the Secretary considers
advisable; and (2) may employ consultants who shall receive a rea-
sonable per diem, as prescribed by the Secretary, for each day actu-
ally employed, plus necessary travel and other expenses.
§ 523. Coordination and promotion of other programs affect-

ing veterans and their dependents
(a) The Secretary shall seek to achieve (1) the maximum fea-
sible effectiveness, coordination, and interrelationship of services
among all programs and activities affecting veterans and their de-
pendents carried out by and under all other departments, agencies,
and instrumentalities of the executive branch, and (2) the max-
imum feasible coordination of such programs with programs carried
out under this title. The Secretary shall actively promote the effec-
tive implementation, enforcement, and application of all provisions
of law and regulations providing for special consideration, empha-
sis, or preference for veterans.
(b) The Secretary shall seek to achieve the effective coordina-
tion of the provision, under laws administered by the Department,
of benefits and services (and information about such benefits and
services) with appropriate programs (and information about such
programs) conducted by State and local governmental agencies and
by private entities at the State and local level. In carrying out this
subsection, the Secretary shall place special emphasis on veterans
who are 65 years of age or older.
§ 525. Publication of laws relating to veterans

(a) The Secretary may compile and publish all Federal laws re-
lating to veterans’ relief, including laws administered by the De-
partment as well as by other agencies of the Government. Such
compilation and publication shall be in such form as the Secretary
considers advisable for the purpose of making currently available
in convenient form for the use of the Department and full-time rep-
resentatives of the several service organizations an annotated, in-
dexed, and cross-referenced statement of the laws providing vet-
erans’ relief.
(b) The Secretary may maintain such compilation on a current

basis either by the publication, from time to time, of supplementary
documents or by complete revision of the compilation.
(c) The distribution of the compilation to the representatives of
the several service organizations shall be as determined by the Sec-
retary.
§ 527. Evaluation and data collection

(a) The Secretary, pursuant to general standards which the
Secretary shall prescribe in regulations, shall measure and evalu-
ate on a continuing basis the effect of all programs authorized
under this title, in order to determine their effectiveness in achiev-
ing stated goals in general, and in achieving such goals in relation
to their cost, their effect on related programs, and their structure
and mechanisms for delivery of services. Such information as the
Secretary may consider necessary for purposes of such evaluations
shall be made available to the Secretary, upon request, by all de-
partments, agencies, and instrumentalities of the executive branch.
(b) In carrying out this section, the Secretary shall collect, col-
late, and analyze on a continuing basis full statistical data regard-
ing participation (including the duration thereof), provision of serv-
ices, categories of beneficiaries, planning and construction of facili-
ties, acquisition of real property, proposed excessing of land, accre-
tion and attrition of personnel, and categorized expenditures attrib-
utable thereto, under all programs carried out under this title.
(c) The Secretary shall make available to the public, and on a
regular basis provide to the appropriate committees of the Con-
gress, copies of all completed evaluative research studies and sum-
maries of evaluations of program impact and effectiveness carried
out, and tabulations and analyses of all data collected, under this
section.
§ 529. Annual report to Congress

The Secretary shall submit annually, at the close of each fiscal
year, a report in writing to Congress. Each such report shall—
(1) give an account of all moneys received and disbursed
by the Department for such fiscal year;
(2) describe the work done during such fiscal year; and
(3) state the activities of the Department for such fiscal
year.
§ 530. Annual report on program and expenditures for do-

mestic response to weapons of mass destruction
(a) The Secretary shall submit to the Committees on Veterans’
Affairs of the Senate and House of Representatives an annual re-
port, to be submitted each year at the time that the President sub-
mits the budget for the next fiscal year under section 1105 of title
31, on the activities of the Department relating to preparation for,
and participation in, a domestic medical response to an attack in-
volving weapons of mass destruction.
(b) Each report under subsection (a) shall include the following:
(1) A statement of the amounts of funds and the level of
personnel resources (stated in terms of full-time equivalent em-
ployees) expected to be used by the Department during the
next fiscal year in preparation for a domestic medical response
to an attack involving weapons of mass destruction, including
the anticipated source of those funds and any anticipated
shortfalls in funds or personnel resources to achieve the tasks
assigned the Department by the President in connection with
preparation for such a response.
(2) A detailed statement of the funds expended and per-
sonnel resources (stated in terms of full-time equivalent em-
ployees) used during the fiscal year preceding the fiscal year
during which the report is submitted in preparation for a do-
mestic medical response to an attack involving weapons of
mass destruction or in response to such an attack, including
identification of the source of those funds and a description of
how those funds were expended.
(3) A detailed statement of the funds expended and ex-
pected to be expended, and the personnel resources (stated in
terms of full-time equivalent employees) used and expected to
be used, during the fiscal year during which the report is sub-
mitted in preparation for a domestic medical response to an at-
tack involving weapons of mass destruction or in response to
such an attack, including identification of the source of funds
expended and a description of how those funds were expended.
(c) This section shall expire on January 1, 2009.
(Added Pub. L. 105–368, title IX, Sec. 906(a), Nov. 11, 1998, 112 Stat. 3361.)
§ 531. Requirement relating to naming of Department prop-

erty
Except as expressly provided by law, a facility, structure, or
real property of the Department, and a major portion (such as a
wing or floor) of any such facility, structure, or real property, may
be named only for the geographic area in which the facility, struc-
ture, or real property is located.
(Added Pub. L. 105–368, title X, Sec. 1001(a)(1), Nov. 11, 1998, 112 Stat. 3363.)
§ 532. Authority to advertise in national media

The Secretary may purchase advertising in national media out-
lets for the purpose of promoting awareness of benefits under laws
administered by the Secretary, including promoting awareness of
assistance provided by the Secretary, including assistance for pro-
grams to assist homeless veterans, to promote veteran-owned small
businesses, and to provide opportunities for employment in the De-
partment of Veterans Affairs and for education, training, com-
pensation, pension, vocational rehabilitation, and healthcare bene-
fits, and mental healthcare (including the prevention of suicide
among veterans).
(Added Pub. L. 110–389, title VIII, Sec. 809(a), Oct. 10, 2008, 122 Stat. 4189.)

§ 541. Advisory Committee on Former Prisoners of War
(a)(1) The Secretary shall establish an advisory committee to
be known as the Advisory Committee on Former Prisoners of War
(hereinafter in this section referred to as the ‘‘Committee’’).
(2)(A) The members of the Committee shall be appointed by
the Secretary from the general public and shall include—
(i) appropriate representatives of veterans who are former
prisoners of war;
(ii) individuals who are recognized authorities in fields per-
tinent to disabilities prevalent among former prisoners of war,
including authorities in epidemiology, mental health, nutrition,
geriatrics, and internal medicine; and
(iii) appropriate representatives of disabled veterans.
(B) The Committee shall also include, as ex officio members,
the Under Secretary for Health and the Under Secretary for Bene-
fits, or their designees.
(3) The Secretary shall determine the number, terms of service,
and pay and allowances of members of the Committee appointed by
the Secretary, except that the term of service of any such member
may not exceed three years.
(b) The Secretary shall, on a regular basis, consult with and
seek the advice of the Committee with respect to the administra-
tion of benefits under this title for veterans who are former pris-
oners of war and the needs of such veterans with respect to com-
pensation, health care, and rehabilitation.
(c)(1) Not later than July 1 of each odd-numbered year through
2009, the Committee shall submit to the Secretary a report on the
programs and activities of the Department that pertain to veterans
who are former prisoners of war. Each such report shall include—
(A) an assessment of the needs of such veterans with re-
spect to compensation, health care, and rehabilitation;
(B) a review of the programs and activities of the Depart-
ment designed to meet such needs; and
(C) such recommendations (including recommendations for
administrative and legislative action) as the Committee con-
siders to be appropriate.
(2) The Secretary shall, within 60 days after receiving each re-
port under paragraph (1), submit to the Congress a copy of the re-
port, together with any comments concerning the report that the
Secretary considers appropriate.
(3) The Committee may also submit to the Secretary such
other reports and recommendations as the Committee considers ap-
propriate.
(4) The Secretary shall submit with each annual report sub-
mitted to the Congress pursuant to section 529 of this title a sum-
mary of all reports and recommendations of the Committee sub-
mitted to the Secretary since the previous annual report of the Sec-
retary submitted to the Congress pursuant to that section.
405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 106–419, title IV,
Sec. 403(c)(2), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 108–454, title VIII, Sec. 803,
Dec. 10, 2004, 118 Stat. 3626.)
§ 542. Advisory Committee on Women Veterans

be known as the Advisory Committee on Women Veterans (herein-
after in this section referred to as ‘‘the Committee’’).
(2)(A) The Committee shall consist of members appointed by
the Secretary from the general public, including—
(i) representatives of women veterans;
tinent to the needs of women veterans, including the gender-
specific health-care needs of women; and
(iii) representatives of both female and male veterans with
service-connected disabilities, including at least one female vet-
eran with a service-connected disability and at least one male
veteran with a service-connected disability.
(B) The Committee shall include, as ex officio members—
(i) the Secretary of Labor (or a representative of the Sec-
retary of Labor designated by the Secretary after consultation
with the Assistant Secretary of Labor for Veterans’ Employ-
ment);
(ii) the Secretary of Defense (or a representative of the
Secretary of Defense designated by the Secretary of Defense
after consultation with the Defense Advisory Committee on
Women in the Services); and
(iii) the Under Secretary for Health and the Under Sec-
retary for Benefits, or their designees.
(C) The Secretary may invite representatives of other depart-
ments and agencies of the United States to participate in the meet-
ings and other activities of the Committee.
the Secretary, except that a term of service of any such member
may not exceed three years. The Secretary may reappoint any such
member for additional terms of service.
tion of benefits by the Department for women veterans, reports and
studies pertaining to women veterans and the needs of women vet-
erans with respect to compensation, health care, rehabilitation,
outreach, and other benefits and programs administered by the De-
partment, including the Center for Women Veterans.
(c)(1) Not later than July 1 of each even-numbered year, the
Committee shall submit to the Secretary a report on the programs
and activities of the Department that pertain to women veterans.
Each such report shall include—
(A) an assessment of the needs of women veterans with re-
spect to compensation, health care, rehabilitation, outreach,
and other benefits and programs administered by the Depart-
ment;
siders appropriate.
port under paragraph (1), submit to the Congress a copy of the re-
port, together with any comments concerning the report that the
propriate.
retary submitted pursuant to such section.
405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–275, title V,
Sec. 501(e)(1), Oct. 9, 1996, 110 Stat. 3341; Pub. L. 106–419, title IV, Sec. 403(c)(3),
Nov. 1, 2000, 114 Stat. 1864; Pub. L. 109–444, Sec. 5, Dec. 21, 2006, 120 Stat. 3308;
Pub. L. 109–461, title II, Sec. 208(b), title X, Sec. 1006(b), Dec. 22, 2006, 120 Stat.
3413, 3468; Pub. L. 110–387, title VIII, Sec. 808, Oct. 10, 2008, 122 Stat. 4141.)
§ 543. Advisory Committee on Prosthetics and Special-Dis-
abilities Programs
(a) There is in the Department an advisory committee known
as the Advisory Committee on Prosthetics and Special-Disabilities
Programs (hereinafter in this section referred to as the ‘‘Com-
mittee’’).
(b) The objectives and scope of activities of the Committee shall
relate to—
(1) prosthetics and special-disabilities programs adminis-
tered by the Secretary;
(2) the coordination of programs of the Department for the
development and testing of, and for information exchange re-
garding, prosthetic devices;
(3) the coordination of Department and non-Department
programs that involve the development and testing of pros-
thetic devices; and
(4) the adequacy of funding for the prosthetics and special-
disabilities programs of the Department.
(c) The Secretary shall, on a regular basis, consult with and
seek the advice of the Committee on the matters described in sub-
section (b).
(d) Not later than January 15 of 1993, 1994, and 1995, the
Committee shall submit to the Secretary and the Committees on
Veterans’ Affairs of the Senate and House of Representatives a re-
port on the effectiveness of the prosthetics and special-disabilities
programs administered by the Secretary during the preceding fiscal
year. Not more than 60 days after the date on which any such re-
port is received by the Secretary, the Secretary shall submit a re-
port to such committees commenting on the report of the Com-
mittee.
(e) As used in this section, the term ‘‘special-disabilities pro-
grams’’ includes all programs administered by the Secretary for—
(1) spinal-cord-injured veterans;
(2) blind veterans;
(3) veterans who have lost or lost the use of extremities;
(4) hearing-impaired veterans; and
(5) other veterans with serious incapacities in terms of

daily life functions.
(Added Pub. L. 102–405, title I, Sec. 105(b)(1), Oct. 9, 1992, 106 Stat. 1975.)
§ 544. Advisory Committee on Minority Veterans
be known as the Advisory Committee on Minority Veterans (here-
inafter in this section referred to as ‘‘the Committee’’).
(2)(A) The Committee shall consist of members appointed by
the Secretary from the general public, including—
(i) representatives of veterans who are minority group
members;
tinent to the needs of veterans who are minority group mem-
bers;
(iii) veterans who are minority group members and who
have experience in a military theater of operations; and
(iv) veterans who are minority group members and who do
not have such experience.
(B) The Committee shall include, as ex officio members, the fol-
lowing:
(i) The Secretary of Labor (or a representative of the Sec-
retary of Labor designated by the Secretary after consultation
with the Assistant Secretary of Labor for Veterans’ Employ-
ment).
(ii) The Secretary of Defense (or a representative of the
Secretary of Defense designated by the Secretary of Defense).
(iii) The Secretary of the Interior (or a representative of
the Secretary of the Interior designated by the Secretary of the
Interior).
(iv) The Secretary of Commerce (or a representative of the
Secretary of Commerce designated by the Secretary of Com-
merce).
(v) The Secretary of Health and Human Services (or a rep-
resentative of the Secretary of Health and Human Services
designated by the Secretary of Health and Human Services).
(vi) The Under Secretary for Health and the Under Sec-
retary for Benefits, or their designees.
(C) The Secretary may invite representatives of other depart-
ments and agencies of the United States to participate in the meet-
ings and other activities of the Committee.
the Secretary, except that a term of service of any such member
may not exceed three years. The Secretary may reappoint any such
member for additional terms of service.
(4) The Committee shall meet as often as the Secretary con-
siders necessary or appropriate, but not less often than twice each
fiscal year.
tion of benefits by the Department for veterans who are minority
group members, reports and studies pertaining to such veterans
and the needs of such veterans with respect to compensation,
health care, rehabilitation, outreach, and other benefits and pro-

grams administered by the Department, including the Center for
Minority Veterans.
(c)(1) Not later than July 1 of each year, the Committee shall
submit to the Secretary a report on the programs and activities of
the Department that pertain to veterans who are minority group
members. Each such report shall include—
(A) an assessment of the needs of veterans who are minor-
ity group members with respect to compensation, health care,
rehabilitation, outreach, and other benefits and programs ad-
ministered by the Department;
siders appropriate.
port under paragraph (1), submit to Congress a copy of the report,
together with any comments concerning the report that the Sec-
retary considers appropriate.
propriate.
retary submitted pursuant to such section.
(d) In this section, the term ‘‘minority group member’’ means
an individual who is—
(1) Asian American;
(2) Black;
(3) Hispanic;
(4) Native American (including American Indian, Alaskan
Native, and Native Hawaiian); or
(5) Pacific-Islander American.
(e) The Committee shall cease to exist December 31, 2014.
Pub. L. 104–275, title V, Sec. 501(e)(2), (f), Oct. 9, 1996, 110 Stat. 3341; Pub. L.
106–117, title VIII, Sec. 803, Nov. 30, 1999, 113 Stat. 1586; Pub. L. 108–183, title
VII, Sec. 703, Dec. 16, 2003, 117 Stat. 2671; Pub. L. 110–389, title VIII, Sec. 808,
Oct. 10, 2008, 122 Stat. 4189.)
§ 545. Advisory Committee on the Readjustment of Veterans

(a)(1) There is in the Department the Advisory Committee on
the Readjustment of Veterans (hereinafter in this section referred
to as the ‘‘Committee’’).
(2) The Committee shall consist of not more than 18 members
appointed by the Secretary from among individuals who—
(A) have demonstrated significant civic or professional
achievement; and
(B) have experience with the provision of veterans benefits
and services by the Department.
(3) The Secretary shall seek to ensure that members appointed

to the Committee include individuals from a wide variety of geo-
graphic areas and ethnic backgrounds, individuals from veterans
service organizations, individuals with combat experience, and
women.
(4) The Secretary shall determine the terms of service and pay
and allowances of the members of the Committee, except that a
term of service may not exceed two years. The Secretary may re-
appoint any member for additional terms of service.
(b)(1) The Secretary shall, on a regular basis, consult with and
seek the advice of the Committee with respect to the provision by
the Department of benefits and services to veterans in order to as-
sist veterans in the readjustment to civilian life.
(2)(A) In providing advice to the Secretary under this sub-
section, the Committee shall—
(i) assemble and review information relating to the needs
of veterans in readjusting to civilian life;
(ii) provide information relating to the nature and char-
acter of psychological problems arising from service in the
Armed Forces;
(iii) provide an on-going assessment of the effectiveness of
the policies, organizational structures, and services of the De-
partment in assisting veterans in readjusting to civilian life;
and
(iv) provide on-going advice on the most appropriate means
of responding to the readjustment needs of veterans in the fu-
ture.
(B) In carrying out its duties under subparagraph (A), the
Committee shall take into special account the needs of veterans
who have served in a theater of combat operations.
(c)(1) Not later than March 31 of each year,
the Committee shall submit to the Secretary a report on the pro-
grams and activities of the Department that relate to the readjust-
ment of veterans to civilian life. Each such report shall include—
(A) an assessment of the needs of veterans with respect to
readjustment to civilian life;
siders appropriate.
(2) Not later than 90 days after the receipt of a report under
paragraph (1), the Secretary shall transmit to the Committees on
Veterans’ Affairs of the Senate and House of Representatives a
copy of the report, together with any comments and recommenda-
tions concerning the report that the Secretary considers appro-
priate.
propriate.
retary submitted pursuant to that section.
(d)(1) Except as provided in paragraph (2), the provisions of the
Federal Advisory Committee Act (5 U.S.C. App.) shall apply to the
activities of the Committee under this section.
(2) Section 14 of such Act shall not apply to the Committee.
(Added Pub. L. 104–262, title III, Sec. 333(a)(1), Oct. 9, 1996, 110 Stat. 3199;
amended Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35.)
§ 546. Advisory Committee on Disability Compensation
(a) ESTABLISHMENT.—(1) There is in the Department the Advi-
sory Committee on Disability Compensation (in this section re-
ferred to as the ‘‘Committee’’).
appointed by the Secretary from among individuals who—
(A) have experience with the provision of disability com-
pensation by the Department; or
(B) are leading medical or scientific experts in relevant
fields.
(3)(A) Except as provided in subparagraph (B), the Secretary
shall determine the terms of service and pay and allowances of the
members of the Committee.
(B) A term of service may not exceed four years and shall be
staggered to ensure that the dates for the termination of the mem-
bers’ terms are not all the same.
(C) The Secretary may reappoint any member for one or more
additional terms of service.
(4) The Secretary shall select a Chair from among the mem-
bers of the Committee.
(b) RESPONSIBILITIES OF COMMITTEE.—(1) The Secretary shall,
on a regular basis, consult with and seek the advice of the Com-
mittee with respect to the maintenance and periodic readjustment
of the schedule for rating disabilities under section 1155 of this
title.
(2)(A) In providing advice to the Secretary under this sub-
section, the Committee shall—
(i) assemble and review relevant information relating to
the needs of veterans with disabilities;
(ii) provide information relating to the nature and char-
acter of disabilities arising from service in the Armed Forces;
(iii) provide an on-going assessment of the effectiveness of
the schedule for rating disabilities; and
(iv) provide on-going advice on the most appropriate means
of responding to the needs of veterans relating to disability
compensation in the future.
(B) In carrying out its duties under subparagraph (A), the
Committee shall take into special account the needs of veterans
who have served in a theater of combat operations.
(c) RESOURCES.—The Secretary shall ensure that appropriate
personnel, funding, and other resources are provided to the Com-
mittee to carry out its responsibilities.
(d) BIENNIAL REPORTS TO THE SECRETARY.—(1) Not later than
October 31, 2010, and not less frequently than every two years
thereafter, the Committee shall submit to the Secretary a report on
the programs and activities of the Department that relate to the

payment of disability compensation. Each such report shall in-
clude—
(A) an assessment of the needs of veterans with respect to
disability compensation; and
(B) such recommendations (including recommendations for
administrative or legislative action) as the Committee con-
siders appropriate.
(2) The Committee may submit to the Secretary such other re-
ports and recommendations as the Committee considers appro-
priate.
(e) BIENNIAL REPORTS TO CONGRESS.—(1) Not later than 90
days after the receipt of a report required under subsection (d)(1),
the Secretary shall transmit to the Committee on Veterans’ Affairs
of the Senate and the Committee on Veterans’ Affairs of the House
of Representatives a copy of such report, together with such com-
ments and recommendations concerning such report as the Sec-
retary considers appropriate.
(2) The Secretary shall submit with each report required under
paragraph (1) a summary of all reports and recommendations of
the Committee submitted to the Secretary under subsection (d)(2)
since the previous report transmitted by the Secretary under para-
graph (1) of this subsection.
(f) APPLICABILITY OF FEDERAL ADVISORY COMMITTEE ACT.—(1)
Except as provided in paragraph (2), the provisions of the Federal
Advisory Committee Act (5 U.S.C. App.) shall apply to the activi-
ties of the Committee under this section.
69
CHAPTER 7—EMPLOYEES
Sec.
701. Placement of employees in military installations.
703. Miscellaneous authorities respecting employees.
705. Telephone service for medical officers and facility directors.
707. Benefits for employees at overseas offices who are United States citizens.
709. Employment restrictions.
711. Grade reductions.
[712. Repealed.]
§ 701. Placement of employees in military installations

The Secretary may place employees of the Department in such
Army, Navy, and Air Force installations as may be considered ad-
visable for the purpose of adjudicating disability claims of, and giv-
ing aid and advice to, members of the Armed Forces who are about
to be discharged or released from active military, naval, or air serv-
ice.
§ 703. Miscellaneous authorities respecting employees

(a) The Secretary may furnish and launder such wearing ap-
parel as may be prescribed for employees in the performance of
their official duties.
(b) The Secretary may transport children of Department em-
ployees located at isolated stations to and from school in available
Government-owned automotive equipment.
(c) The Secretary may provide recreational facilities, supplies,
and equipment for the use of patients in hospitals and employees
in isolated installations.
(d) The Secretary may provide for the preparation, shipment,
installation, and display of exhibits, photographic displays, moving
pictures, and other visual educational information and descriptive
material. For the purposes of the preceding sentence, the Secretary
may purchase or rent equipment.
(e) The Secretary may reimburse employees for the cost of re-
pairing or replacing their personal property damaged or destroyed
by patients or domiciliary members while such employees are en-
gaged in the performance of their official duties.
(f)(1) The Secretary, upon determining that an emergency situ-
ation exists and that such action is necessary for the effective con-
duct of the affairs of the Department, may use Government-owned,
or leased, vehicles to transport employees to and from their place
of employment and the nearest adequate public transportation or,
71
Sec. 705 CH. 7—EMPLOYEES 72
if such public transportation is either unavailable or not feasible to

use, to and from their place of employment and their home.
(2) The Secretary shall establish reasonable rates to cover the
cost of the service rendered under this subsection, and all proceeds
collected therefrom shall be applied to the applicable appropriation.
§ 705. Telephone service for medical officers and facility di-

rectors
The Secretary may pay for official telephone service and rental
in the field whenever incurred in case of official telephones for di-
rectors of centers, hospitals, independent clinics, domiciliaries, and
medical officers of the Department where such telephones are in-
stalled in private residences or private apartments or quarters,
when authorized under regulations prescribed by the Secretary.
§ 707. Benefits for employees at overseas offices who are

United States citizens
(a) The Secretary may, under such rules and regulations as
may be prescribed by the President or the President’s designee,
provide to personnel of the Department who are United States citi-
zens and are assigned by the Secretary to the Department offices
in the Republic of the Philippines allowances and benefits similar
to those provided by the following provisions of law:
(1) Section 905 of the Foreign Service Act of 1980 (relating
to allowances to provide for the proper representation of the
United States).
(2) Sections 901(1), (2), (3), (4), (7), (8), (9), (11), and
expenses).
(3) Section 901(13) of the Foreign Service Act of 1980 (re-
lating to transportation of automobiles).
(4) Section 903 of the Foreign Service Act of 1980 (relating
to the return of personnel to the United States on leave of ab-
sence).
(5) Section 904(d) of the Foreign Service Act of 1980 (relat-
ing to payments by the United States of expenses for treating
illness or injury of officers or employees and dependents re-
quiring hospitalization).
(6) Section 5724a(c) of title 5 (relating to subsistence ex-
penses for 60 days in connection with the return to the United
States of the employee and such employee’s immediate family).
(7) Section 5724a(d) of title 5 (relating to the sale and pur-
chase of the residence or settlement of an unexpired lease of
the employee when transferred from one station to another sta-
tion and both stations are in the United States, its territories
or possessions, or the Commonwealth of Puerto Rico).
(b) The authority in subsection (a) supplements, but is not in
lieu of, other allowances and benefits for overseas employees of the
Department provided by title 5 and the Foreign Service Act of 1980
(22 U.S.C. 3901 et seq.).
201, div. A, title XVII, Sec. 1723(a)(2), Sept. 23, 1996, 110 Stat. 2759.)
73 CH. 7—EMPLOYEES Sec. 711
§ 709. Employment restrictions

(a)(1) Notwithstanding section 3134(d) of title 5, the number of
Senior Executive Service positions in the Department which are
filled by noncareer appointees in any fiscal year may not at any
time exceed 5 percent of the average number of senior executives
employed in Senior Executive Service positions in the Department
during the preceding fiscal year.
(2) For purposes of this subsection, the average number of sen-
ior executives employed in Senior Executive Service positions in
the Department during a fiscal year shall be equal to 25 percent
of the sum of the total number of senior executives employed in
Senior Executive Service positions in the Department on the last
day of each quarter of such fiscal year.
(b) The number of positions in the Department which may be
excepted from the competitive service, on a temporary or perma-
nent basis, because of their confidential or policy-determining char-
acter may not at any time exceed the equivalent of 15 positions.
(c)(1) Political affiliation or activity may not be taken into ac-
count in connection with the appointment of any person to any po-
sition in or to perform any service for the Department or in the as-
signment or advancement of any employee in the Department.
(2) Paragraph (1) shall not apply—
(A) to the appointment of any person by the President
under this title, other than the appointment of the Under Sec-
retary for Health, the Under Secretary for Benefits, and the In-
spector General; or
(B) to the appointment of any person to (i) a Senior Execu-
tive Service position as a noncareer appointee, or (ii) a position
that is excepted from the competitive service, on a temporary
or permanent basis, because of the confidential or policy-deter-
mining character of the position.
405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984.)
§ 711. Grade reductions

(a) The Secretary may not implement a grade reduction de-
scribed in subsection (b) unless the Secretary first submits to the
Committees on Veterans’ Affairs of the Senate and House of Rep-
resentatives a report containing a detailed plan for such reduction
and a detailed justification for the plan. The report shall include
a determination by the Secretary (together with data supporting
such determination) that, in the personnel area concerned, the De-
partment has a disproportionate number of employees at the salary
grade or grades selected for reduction in comparison to the number
of such employees at the salary levels involved who perform com-
parable functions in other departments and agencies of the Federal
Government and in non-Federal entities. Any grade reduction de-
scribed in such report may not take effect until the end of a period
of 90 calendar days (not including any day on which either House
of Congress is not in session) after the report is received by the
committees.
(b) A grade reduction referred to in subsection (a) is a system-
atic reduction, for the purpose of reducing the average salary cost
Sec. 712 CH. 7—EMPLOYEES 74
for Department employees described in subsection (c), in the num-

ber of such Department employees at a specific grade level.
(c) The employees referred to in subsection (b) are—
(1) health-care personnel who are determined by the Sec-
retary to be providing either direct patient-care services or
services incident to direct patient-care services;
(2) individuals who meet the definition of professional em-
ployee as set forth in section 7103(a)(15) of title 5; and
(3) individuals who are employed as computer specialists.
(d) Not later than the 45th day after the Secretary submits a
report under subsection (a), the Comptroller General shall, upon
request of either of such Committees, submit to such committees
a report on the Secretary’s compliance with such subsection. The
Comptroller General shall include in the report the Comptroller
General’s opinion as to the accuracy of the Secretary’s determina-
tion (and of the data supporting such determination) made under
such subsection.
(e) In the case of Department employees not described in sub-
section (c), the Secretary may not in any fiscal year implement a
systematic reduction for the purpose of reducing the average salary
cost for such Department employees that will result in a reduction
in the number of such Department employees at any specific grade
level at a rate greater than the rate of the reductions systemati-
cally being made in the numbers of employees at such grade level
in all other agencies and departments of the Federal Government
combined.
446, title XII, Sec. 1201(e)(5), Nov. 2, 1994, 108 Stat. 4685; Pub. L. 104–316, title
I, Sec. 119, Oct. 19, 1996, 110 Stat. 3836.)
ø§ 712. Repealed. Pub. L. 107–103, title V, Sec. 509(a)(1), Dec.

27, 2001, 115 Stat. 997¿
75
CHAPTER 9—SECURITY AND LAW ENFORCEMENT ON
PROPERTY UNDER THE JURISDICTION OF THE DE-
PARTMENT
Sec.
901. Authority to prescribe rules for conduct and penalties for violations.
902. Enforcement and arrest authority of Department police officers.
903. Uniform allowance.
904. Equipment and weapons.
905. Use of facilities and services of other law enforcement agencies.
§ 901. Authority to prescribe rules for conduct and penalties

for violations
(a)(1) The Secretary shall prescribe regulations to provide for
the maintenance of law and order and the protection of persons
and property on Department property.
(2) In this chapter, the term ‘‘Department property’’ means
land and buildings that are under the jurisdiction of the Depart-
ment and are not under control of the Administrator of General
Services.
(b) Regulations under subsection (a) shall include—
(1) rules for conduct on Department property; and
(2) the penalties, within the limits specified in subsection
(c), for violations of such rules.
(c) Whoever violates any rule prescribed by regulation under
subsection (b)(1) shall be fined in accordance with title 18 or im-
prisoned not more than six months, or both. The Secretary may
prescribe by regulation a maximum fine less than that which would
otherwise apply under the preceding sentence or a maximum term
of imprisonment of a shorter period than that which would other-
wise apply under the preceding sentence, or both. Any such regula-
tion shall apply notwithstanding any provision of title 18 or any
other law to the contrary.
(d) The rules prescribed under subsection (a), together with the
penalties for violations of such rules, shall be posted conspicuously
on property to which they apply.
(e) The Secretary shall consult with the Attorney General be-
fore prescribing regulations under this section.
77
Sec. 902 CH. 9—SECURITY AND LAW ENFORCEMENT 78
§ 902. Enforcement and arrest authority of Department po-

lice officers
(a)(1) Employees of the Department who are Department police
officers shall, with respect to acts occurring on Department prop-
erty, enforce—
(A) Federal laws;
(B) the rules prescribed under section 901 of this title; and
(C) subject to paragraph (2), traffic and motor vehicle laws
of a State or local government within the jurisdiction of which
such Department property is located.
(2) A law described in subparagraph (C) of paragraph (1) may
be enforced under such subparagraph only as authorized by an ex-
press grant of authority under applicable State or local law. Any
such enforcement shall be by the issuance of a citation for violation
of such law.
(3) Subject to regulations prescribed under subsection (b), a
Department police officer may make arrests on Department prop-
erty for a violation of a Federal law or any rule prescribed under
section 901(a) of this title.
(b) The Secretary shall prescribe regulations with respect to
Department police officers. Such regulations shall include—
(1) policies with respect to the exercise by Department po-
lice officers of the enforcement and arrest authorities provided
by this section;
(2) the scope and duration of training that is required for
Department police officers, with particular emphasis on deal-
ing with situations involving patients; and
(3) rules limiting the carrying and use of weapons by De-
partment police officers.
(c) The Secretary shall consult with the Attorney General be-
fore prescribing regulations under paragraph (1) of subsection (b).
(d) Rates of basic pay for Department police officers may be in-
creased by the Secretary under section 7455 of this title.
§ 903. Uniform allowance

(a) The Secretary may pay an allowance under this section for
the purchase of uniforms to any Department police officer who is
required to wear a prescribed uniform in the performance of official
duties.
(b) The amount of the allowance that the Secretary may pay
under this section—
(1) may be based on estimated average costs or actual
costs;
(2) may vary by geographic regions; and
(3) except as provided in subsection (c), may not exceed
$200 in a fiscal year for any police officer.
(c) The amount of an allowance under this section may be in-
creased to an amount up to $400 for not more than one fiscal year
in the case of any Department police officer. In the case of a person
who is appointed as a Department police officer on or after January
1, 1990, an allowance in an amount established under this sub-
section shall be paid at the beginning of such person’s employment
79 CH. 9—SECURITY AND LAW ENFORCEMENT Sec. 905
as such an officer. In the case of any other Department police offi-

cer, an allowance in an amount established under this subsection
shall be paid upon the request of the officer.
(d) A police officer who resigns as a police officer less than one
year after receiving an allowance in an amount established under
this section shall repay to the Department a pro rata share of the
amount paid, based on the number of months the officer was actu-
ally employed as such an officer during the twelve-month period
following the date on which such officer began such employment or
the date on which the officer submitted a request for such an allow-
ance, as the case may be.
(e) An allowance may not be paid to a Department police offi-
cer under this section and under section 5901 of title 5 for the
same fiscal year.
§ 904. Equipment and weapons

The Secretary shall furnish Department police officers with
such weapons and related equipment as the Secretary determines
to be necessary and appropriate.
§ 905. Use of facilities and services of other law enforcement
agencies
With the permission of the head of the agency concerned, the
Secretary may use the facilities and services of Federal, State, and
local law enforcement agencies when it is economical and in the
public interest to do so.
81
Chapter Sec.
11. Compensation for Service-Connected Disability or
Death ........................................................................ 1101
13. Dependency and Indemnity Compensation for Serv-
ice-Connected Deaths .............................................. 1301
15. Pension for Non-Service-Connected Disability or
Death or for Service ................................................. 1501
17. Hospital, Nursing Home, Domiciliary, and Medical
Care .......................................................................... 1701
18. Benefits for Children of Vietnam Veterans and Cer-
tain Other Veterans ................................................. 1802
19. Insurance ..................................................................... 1901
20. Benefits for Homeless Veterans ................................. 2001
21. Specially Adapted Housing for Disabled Veterans ... 2101
23. Burial Benefits ............................................................ 2301
24. National Cemeteries and Memorials ......................... 2400
83
CHAPTER 11—COMPENSATION FOR SERVICE-
CONNECTED DISABILITY OR DEATH
Sec.
1101. Definitions.
1103. Special provisions relating to claims based upon effects of tobacco prod-
ucts.
1104. Cost-of-living-adjustments.
1112. Presumptions relating to certain diseases and disabilities.
1113. Presumptions rebuttable.
1114. Rates of wartime disability compensation.
1116. Presumptions of service connection for diseases associated with exposure
to certain herbicide agents; presumption of exposure for veterans who
served in the Republic of Vietnam.
1117. Compensation for disabilities occurring in Persian Gulf War veterans.
1118. Presumptions of service connection for illnesses associated with service in
the Persian Gulf during the Persian Gulf War.
1122. Rates of wartime death compensation.
1133. Presumptions relating to certain diseases.
1134. Rates of peacetime disability compensation.
1137. Wartime presumptions for certain veterans.
1142. Rates of peacetime death compensation.
1151. Benefits for persons disabled by treatment or vocational rehabilitation.
1152. Persons heretofore having a compensable status.
1153. Aggravation.
1154. Consideration to be accorded time, place, and circumstances of service.
1155. Authority for schedule for rating disabilities.
1156. Temporary disability ratings.
1157. Combination of certain ratings.
1159. Protection of service connection.
1160. Special consideration for certain cases of loss of paired organs or extrem-
ities.
1161. Payment of disability compensation in disability severance cases.
1162. Clothing allowance.
1163. Trial work periods and vocational rehabilitation for certain veterans with
total disability ratings.
85
Sec. 1101 CH. 11—DISABILITY COMPENSATION 86
§ 1101. Definitions
For the purposes of this chapter—
(1) The term ‘‘veteran’’ includes a person who died in the active
military, naval, or air service.
(2) The term ‘‘period of war’’ includes, in the case of any vet-
eran—
(A) any period of service performed by such veteran after
November 11, 1918, and before July 2, 1921, if such veteran
served in the active military, naval, or air service after April
5, 1917, and before November 12, 1918; and
(B) any period of continuous service performed by such vet-
eran after December 31, 1946, and before July 26, 1947, if such
period began before January 1, 1947.
(3) The term ‘‘chronic disease’’ includes—
Anemia, primary
Arteriosclerosis
Arthritis
Atrophy, progressive muscular
Brain hemorrhage
Brain thrombosis
Bronchiectasis
Calculi of the kidney, bladder, or gallbladder
Cardiovascular-renal disease, including hypertension
Cirrhosis of the liver
Coccidioidomycosis
Diabetes mellitus
Encephalitis lethargica residuals
Endocarditis
Endocrinopathies
Epilepsies
Hansen’s disease
Hodgkin’s disease
Leukemia
Lupus erythematosus, systemic
Myasthenia gravis
Myelitis
Myocarditis
Nephritis
Organic diseases of the nervous system
Osteitis deformans (Paget’s disease)
Osteomalacia
Palsy, bulbar
Paralysis agitans
Psychoses
Purpura idiopathic, hemorrhagic
Raynaud’s disease
Sarcoidosis
Scleroderma
Sclerosis, amyotrophic lateral
Sclerosis, multiple
Syringomyelia
Thromboangiitis obliterans (Buerger’s disease)
87 CH. 11—DISABILITY COMPENSATION Sec. 1102
Tuberculosis, active
Tumors, malignant, or of the brain or spinal cord or pe-
ripheral nerves
Ulcers, peptic (gastric or duodenal)
and such other chronic diseases as the Secretary may add to this
list.
(4) The term ‘‘tropical disease’’ includes—
Amebiasis
Blackwater fever
Cholera
Dracontiasis
Dysentery
Filiariasis
Hansen’s disease
Leishmaniasis, including kala-azar
Loiasis
Malaria
Onchocerciasis
Oroya fever
Pinta
Plague
Schistosomiasis
Yaws
Yellow fever
and such other tropical diseases as the Secretary may add to this
list.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1118, Sec. 301; Pub. L. 94–433, title IV,
Sec. 401(2), (3), 404(1), Sept. 30, 1976, 90 Stat. 1377, 1378; Pub. L. 98–160, title
VII, Sec. 702(2), Nov. 21, 1983, 97 Stat. 1009; Pub. L. 100–322, title III, Sec. 313,
May 20, 1988, 102 Stat. 535; renumbered Sec. 1101 and amended Pub. L. 102–83,
Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1102. Special provisions relating to surviving spouses

(a) No compensation shall be paid to the surviving spouse of
a veteran under this chapter unless such surviving spouse was
married to such veteran—
(1) before the expiration of fifteen years after the termi-
nation of the period of service in which the injury or disease
causing the death of the veteran was incurred or aggravated;
or
(2) for one year or more; or
(3) for any period of time if a child was born of the mar-
riage, or was born to them before the marriage.
(b) Subsection (a) shall not be applicable to any surviving
spouse who, with respect to date of marriage, could have qualified
as a surviving spouse for death compensation under any law ad-
ministered by the Secretary in effect on December 31, 1957.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1119, Sec. 302; Pub. L. 86–491, June 8,
1960, 74 Stat. 161; Pub. L. 90–77, title I, Sec. 101(a), Aug. 31, 1967, 81 Stat. 178;
Pub. L. 94–433, title IV, Sec. 404(2)–(4), Sept. 30, 1976, 90 Stat. 1378; renumbered
Sec. 1102 and amended Pub. L. 102–83, Sec. 4(a)(1), 5(a), Aug. 6, 1991, 105 Stat.
403, 406.)
§ 1103. Special provisions relating to claims based upon ef-

fects of tobacco products
(a) Notwithstanding any other provision of law, a veteran’s dis-
ability or death shall not be considered to have resulted from per-
sonal injury suffered or disease contracted in the line of duty in the
active military, naval, or air service for purposes of this title on the
basis that it resulted from injury or disease attributable to the use
of tobacco products by the veteran during the veteran’s service.
(b) Nothing in subsection (a) shall be construed as precluding
the establishment of service connection for disability or death from
a disease or injury which is otherwise shown to have been incurred
or aggravated in active military, naval, or air service or which be-
came manifest to the requisite degree of disability during any ap-
plicable presumptive period specified in section 1112 or 1116 of this
title.
(Added Pub. L. 105–178, title VIII, Sec. 8202(a)(1), as added Pub. L. 105–206, title
IX, Sec. 9014(a), July 22, 1998, 112 Stat. 865.)
§ 1104. Cost-of-living adjustments

(a) In the computation of cost-of-living adjustments for fiscal
years 1998 through 2013 in the rates of, and dollar limitations ap-
plicable to, compensation payable under this chapter, such adjust-
ments shall be made by a uniform percentage that is no more than
the percentage equal to the social security increase for that fiscal
year, with all increased monthly rates and limitations (other than
increased rates or limitations equal to a whole dollar amount)
rounded down to the next lower whole dollar amount.
(b) For purposes of this section, the term ‘‘social security in-
crease’’ means the percentage by which benefit amounts payable
under title II of the Social Security Act (42 U.S.C. 401 et seq.) are
increased for any fiscal year as a result of a determination under
section 215(i) of such Act (42 U.S.C. 415(i)).
(Added Pub. L. 105–33, title VIII, Sec. 8031(a)(1), Aug. 5, 1997, 111 Stat. 668, Sec.
1103; renumbered Sec. 1104, Pub. L. 105–368, title X, Sec. 1005(a), Nov. 11, 1998,
112 Stat. 3364; amended Pub. L. 107–103, title II, Sec. 205, Dec. 27, 2001, 115 Stat.
990; Pub. L. 108–183, title VII, Sec. 706, Dec. 16, 2003, 117 Stat. 2672.)

§ 1110. Basic entitlement
For disability resulting from personal injury suffered or disease
contracted in line of duty, or for aggravation of a preexisting injury
suffered or disease contracted in line of duty, in the active military,
naval, or air service, during a period of war, the United States will
pay to any veteran thus disabled and who was discharged or re-
leased under conditions other than dishonorable from the period of
service in which said injury or disease was incurred, or preexisting
injury or disease was aggravated, compensation as provided in this
subchapter, but no compensation shall be paid if the disability is
a result of the veteran’s own willful misconduct or abuse of alcohol
or drugs.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1119, Sec. 310; Pub. L. 101–508, title VIII,
Sec. 8052(a)(2), Nov. 5, 1990, 104 Stat. 1388–351; renumbered Sec. 1110, Pub. L.
102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 105–178, title VIII, Sec.
8202(a), June 9, 1998, 112 Stat. 492; Pub. L. 105–206, title IX, Sec. 9014(a), July
22, 1998, 112 Stat. 865.)
§ 1111. Presumption of sound condition

For the purposes of section 1110 of this title, every veteran
shall be taken to have been in sound condition when examined, ac-
cepted, and enrolled for service, except as to defects, infirmities, or
disorders noted at the time of the examination, acceptance, and en-
rollment, or where clear and unmistakable evidence demonstrates
that the injury or disease existed before acceptance and enrollment
and was not aggravated by such service.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1119, Sec. 311; renumbered Sec. 1111 and
amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 1112. Presumptions relating to certain diseases and dis-

abilities
(a) For the purposes of section 1110 of this title, and subject
to the provisions of section 1113 of this title, in the case of any vet-
eran who served for ninety days or more during a period of war—
(1) a chronic disease becoming manifest to a degree of 10
percent or more within one year from the date of separation
from such service;
(2) a tropical disease, and the resultant disorders or dis-
ease originating because of therapy, administered in connection
with such diseases, or as a preventative thereof, becoming
manifest to a degree of 10 percent or more within one year
from the date of separation from such service, or at a time
when standard or accepted treatises indicate that the incuba-
tion period thereof commenced during such service;
(3) active tuberculous disease developing a 10 percent de-
gree of disability or more within three years from the date of
separation from such service;
(4) multiple sclerosis developing a 10 percent degree of dis-
ability or more within seven years from the date of separation
from such service;
(5) Hansen’s disease developing a 10 percent degree of dis-
ability or more within three years from the date of separation
from such service;
shall be considered to have been incurred in or aggravated by such
service, notwithstanding there is no record of evidence of such dis-
ease during the period of service.
(b)(1) For the purposes of section 1110 of this title and subject
to the provisions of section 1113 of this title, in the case of a vet-
eran who is a former prisoner of war—
(A) a disease specified in paragraph (2) which became
manifest to a degree of 10 percent or more after active mili-
tary, naval, or air service shall be considered to have been in-
curred in or aggravated by such service, notwithstanding that
there is no record of such disease during the period of service;
and
(B) if the veteran was detained or interned as a prisoner
of war for not less than thirty days, a disease specified in para-
graph (3) which became manifest to a degree of 10 percent or
more after active military, naval, or air service shall be consid-
ered to have been incurred in or aggravated by such service,

notwithstanding that there is no record of such disease during
the period of service.
(2) The diseases specified in this paragraph are the following:
(A) Psychosis.
(B) Any of the anxiety states.
(C) Dysthymic disorder (or depressive neurosis).
(D) Organic residuals of frostbite, if the Secretary deter-
mines that the veteran was detained or interned in climatic
conditions consistent with the occurrence of frostbite.
(E) Post-traumatic osteoarthritis.
(F) Osteoporosis, if the Secretary determines that the vet-
eran has post-traumatic stress disorder (PTSD).
(3) The diseases specified in this paragraph are the following:
(A) Avitaminosis.
(B) Beriberi (including beriberi heart disease).
(C) Chronic dysentery.
(D) Helminthiasis.
(E) Malnutrition (including optic atrophy associated with
malnutrition).
(F) Pellagra.
(G) Any other nutritional deficiency.
(H) Cirrhosis of the liver.
(I) Peripheral neuropathy except where directly related to
infectious causes.
(J) Irritable bowel syndrome.
(K) Peptic ulcer disease.
(L) Atherosclerotic heart disease or hypertensive vascular
disease (including hypertensive heart disease) and their com-
plications (including myocardial infarction, congestive heart
failure and arrhythmia).
(M) Stroke and its complications.
(c)(1) For the purposes of section 1110 of this title, and subject
to the provisions of section 1113 of this title, a disease specified in
paragraph (2) of this subsection becoming manifest in a radiation-
exposed veteran shall be considered to have been incurred in or ag-
gravated during active military, naval, or air service, notwith-
standing that there is no record of evidence of such disease during
a period of such service.
(2) The diseases referred to in paragraph (1) of this subsection
are the following:
(A) Leukemia (other than chronic lymphocytic leukemia).
(B) Cancer of the thyroid.
(C) Cancer of the breast.
(D) Cancer of the pharynx.
(E) Cancer of the esophagus.
(F) Cancer of the stomach.
(G) Cancer of the small intestine.
(H) Cancer of the pancreas.
(I) Multiple myeloma.
(J) Lymphomas (except Hodgkin’s disease).
(K) Cancer of the bile ducts.
(L) Cancer of the gall bladder.
(M) Primary liver cancer (except if cirrhosis or hepatitis B

is indicated).
(N) Cancer of the salivary gland.
(O) Cancer of the urinary tract.
(P) Bronchiolo-alveolar carcinoma.
(Q) Cancer of the bone.
(R) Cancer of the brain.
(S) Cancer of the colon.
(T) Cancer of the lung.
(U) Cancer of the ovary.
(3) For the purposes of this subsection:
(A) The term ‘‘radiation-exposed veteran’’ means (i) a vet-
eran who, while serving on active duty, participated in a radi-
ation-risk activity, or (ii) an individual who, while a member
of a reserve component of the Armed Forces, participated in a
radiation-risk activity during a period of active duty for train-
ing or inactive duty training.
(B) The term ‘‘radiation-risk activity’’ means any of the fol-
lowing:
(i) Onsite participation in a test involving the atmos-
pheric detonation of a nuclear device (without regard to
whether the nation conducting the test was the United
States or another nation).
(ii) The occupation of Hiroshima or Nagasaki, Japan,
by United States forces during the period beginning on Au-
gust 6, 1945, and ending on July 1, 1946.
(iii) Internment as prisoner of war in Japan (or service
on active duty in Japan immediately following such intern-
ment) during World War II which (as determined by the
Secretary) resulted in an opportunity for exposure to ion-
izing radiation comparable to that of veterans described in
clause (ii) of this subparagraph.
(iv) Service in a capacity which, if performed as an
employee of the Department of Energy, would qualify the
individual for inclusion as a member of the Special Expo-
sure Cohort under section 3621(14) of the Energy Employ-
ees Occupational Illness Compensation Program Act of
2000 (42 U.S.C. 7384l(14)).
(4) A radiation-exposed veteran who receives a payment under
the provisions of the Radiation Exposure Compensation Act of 1990
(42 U.S.C. 2210 note) shall not be deprived, by reason of the receipt
of that payment, of receipt of compensation to which that veteran
is entitled by reason of paragraph (1), but there shall be deducted
from payment of such compensation the amount of the payment
under that Act.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1120, Sec. 312; Pub. L. 86–187, Aug. 25,
1959, 73 Stat. 418; Pub. L. 86–188, Aug. 25, 1959, 73 Stat. 418; Pub. L. 87–645,
Sec. 3, Sept. 7, 1962, 76 Stat. 442; Pub. L. 91–376, Sec. 3(a), (b), Aug. 12, 1970, 84
Stat. 788, 789; Pub. L. 97–37, Sec. 4(a), Aug. 14, 1981, 95 Stat. 936; Pub. L. 98–
223, title I, Sec. 101(c), 111, Mar. 2, 1984, 98 Stat. 38, 40; Pub. L. 99–576, title I,
Sec. 108(a), Oct. 28, 1986, 100 Stat. 3252; Pub. L. 100–321, Sec. 2(a), May 20, 1988,
102 Stat. 485; Pub. L. 100–322, title III, Sec. 312, May 20, 1988, 102 Stat. 534; re-
numbered Sec. 1112 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–86, title I, Sec. 104(a), 105, Aug. 14,
1991, 105 Stat. 415; Pub. L. 102–578, Sec. 2(a), Oct. 30, 1992, 106 Stat. 4774; Pub.
L. 103–446, title V, Sec. 501(a), Nov. 2, 1994, 108 Stat. 4663; Pub. L. 106–117, title
V, Sec. 503, Nov. 30, 1999, 113 Stat. 1575; Pub. L. 108–183, title II, Sec. 201, Dec.
16, 2003, 117 Stat. 2656; Pub. L. 108–454, title III, Secs. 302(a), 306(a), (b), Dec.
10, 2004, 118 Stat. 3610, 3612; Pub. L. 109–233, title IV, Sec. 401, June 15, 2006,
120 Stat. 407; Pub. L. 110–389, title I, Sec. 106, Oct. 10, 2008, 122 Stat. 4149.)
§ 1113. Presumptions rebuttable

(a) Where there is affirmative evidence to the contrary, or evi-
dence to establish that an intercurrent injury or disease which is
a recognized cause of any of the diseases or disabilities within the
purview of section 1112, 1116, 1117, or 1118 of this title, has been
suffered between the date of separation from service and the onset
of any such diseases or disabilities, or the disability is due to the
veteran’s own willful misconduct, service-connection pursuant to
section 1112, 1116, or 1118 of this title, or payments of compensa-
tion pursuant to section 1117 of this title, will not be in order.
(b) Nothing in section 1112, 1116, 1117, or 1118 of this title,
subsection (a) of this section, or section 5 of Public Law 98–542 (38
U.S.C. 1154 note) shall be construed to prevent the granting of
service-connection for any disease or disorder otherwise shown by
sound judgment to have been incurred in or aggravated by active
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1120, Sec. 313; Pub. L. 102–4, Sec. 2(b),
Feb. 6, 1991, 105 Stat. 13; renumbered Sec. 1113 and amended Pub. L. 102–83, Sec.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title I, Sec. 106(b), title
V, Sec. 501(b)(1), Nov. 2, 1994, 108 Stat. 4651, 4663; Pub. L. 105–277, div. C, title
XVI, Sec. 1602(b), Oct. 21, 1998, 112 Stat. 2681–744.)
§ 1114. Rates of wartime disability compensation
For the purposes of section 1110 of this title—
(a) if and while the disability is rated 10 percent the
monthly compensation shall be $117;
(b) if and while the disability is rated 20 percent the
(c) if and while the disability is rated 30 percent the
(d) if and while the disability is rated 40 percent the
(e) if and while the disability is rated 50 percent the
(f) if and while the disability is rated 60 percent the
(g) if and while the disability is rated 70 percent the
monthly compensation shall be $1,161;
(h) if and while the disability is rated 80 percent the
(i) if and while the disability is rated 90 percent the
(j) if and while the disability is rated as total the monthly
compensation shall be $2,527;
(k) if the veteran, as the result of service-connected dis-
ability, has suffered the anatomical loss or loss of use of one
or more creative organs, or one foot, or one hand, or both but-
tocks, or blindness of one eye, having only light perception, has
suffered complete organic aphonia with constant inability to
communicate by speech, or deafness of both ears, having ab-
sence of air and bone conduction, or, in the case of a woman

veteran, has suffered the anatomical loss of 25 percent or more
of tissue from a single breast or both breasts in combination
(including loss by mastectomy or partial mastectomy) or has
received radiation treatment of breast tissue, the rate of com-
pensation therefor shall be $91 per month for each such loss
or loss of use independent of any other compensation provided
in subsections (a) through (j) or subsection (s) of this section
but in no event to exceed $3,145 per month; and in the event
the veteran has suffered one or more of the disabilities here-
tofore specified in this subsection, in addition to the require-
ment for any of the rates specified in subsections (l) through
(n) of this section, the rate of compensation shall be increased
by $91 per month for each such loss or loss of use, but in no
event to exceed $4,412 per month;
(l) if the veteran, as the result of service-connected dis-
ability, has suffered the anatomical loss or loss of use of both
feet, or of one hand and one foot, or is blind in both eyes, with
5/200 visual acuity or less, or is permanently bedridden or with
such significant disabilities as to be in need of regular aid and
attendance, the monthly compensation shall be $3,145;
(m) if the veteran, as the result of service-connected dis-
hands, or of both legs at a level, or with complications, pre-
venting natural knee action with prostheses in place, or of one
arm and one leg at levels, or with complications, preventing
natural elbow and knee action with prostheses in place, or has
suffered blindness in both eyes having only light perception, or
has suffered blindness in both eyes, rendering such veteran so
significantly disabled as to be in need of regular aid and at-
tendance, the monthly compensation shall be $3,470;
(n) if the veteran, as the result of service-connected dis-
arms at levels, or with complications, preventing natural elbow
action with prostheses in place, has suffered the anatomical
loss of both legs so near the hip as to prevent the use of pros-
thetic appliances, or has suffered the anatomical loss of one
arm and one leg so near the shoulder and hip as to prevent
the use of prosthetic appliances, or has suffered the anatomical
loss of both eyes, or has suffered blindness without light per-
ception in both eyes, the monthly compensation shall be
$3,948;
(o) if the veteran, as the result of service-connected dis-
ability, has suffered disability under conditions which would
entitle such veteran to two or more of the rates provided in one
or more subsections (l) through (n) of this section, no condition
being considered twice in the determination, or if the veteran
has suffered bilateral deafness (and the hearing impairment in
either one or both ears is service connected) rated at 60 per-
cent or more disabling and the veteran has also suffered serv-
ice-connected total blindness with 20/200 visual acuity or less,
or if the veteran has suffered service-connected total deafness
in one ear or bilateral deafness (and the hearing impairment
in either one or both ears is service connected) rated at 40 per-
cent or more disabling and the veteran has also suffered serv-
ice-connected blindness having only light perception or less, or
if the veteran has suffered the anatomical loss of both arms so
near the shoulder as to prevent the use of prosthetic appli-
ances, the monthly compensation shall be $4,412;
(p) in the event the veteran’s service-connected disabilities
exceed the requirements for any of the rates prescribed in this
section, the Secretary may allow the next higher rate or an in-
termediate rate, but in no event in excess of $4,412. In the
event the veteran has suffered service-connected blindness
with 5/200 visual acuity or less and (1) has also suffered bilat-
eral deafness (and the hearing impairment in either one or
both ears is service connected) rated at no less than 30 percent
disabling, the Secretary shall allow the next higher rate, or (2)
has also suffered service-connected total deafness in one ear or
service-connected anatomical loss or loss of use of one hand or
one foot, the Secretary shall allow the next intermediate rate,
but in no event in excess of $4,412. In the event the veteran
has suffered service-connected blindness, having only light per-
ception or less, and has also suffered bilateral deafness (and
the hearing impairment in either one or both ears is service
connected) rated at 10 or 20 percent disabling, the Secretary
shall allow the next intermediate rate, but in no event in ex-
cess of $4,412. In the event the veteran has suffered the ana-
tomical loss or loss of use, or a combination of anatomical loss
and loss of use, of three extremities, the Secretary shall allow
the next higher rate or intermediate rate, but in no event in
excess of $4,412. Any intermediate rate under this subsection
shall be established at the arithmetic mean, rounded down to
the nearest dollar, between the two rates concerned;
ø(q) Repealed. Pub. L. 90–493, Sec. 4(a), Aug. 19, 1968, 82
Stat. 809.¿
(r) Subject to section 5503(c) of this title, if any veteran,
otherwise entitled to compensation authorized under sub-
section (o) of this section, at the maximum rate authorized
under subsection (p) of this section, or at the intermediate rate
authorized between the rates authorized under subsections (n)
and (o) of this section and at the rate authorized under sub-
section (k) of this section, is in need of regular aid and attend-
ance, then, in addition to such compensation—
(1) the veteran shall be paid a monthly aid and at-
tendance allowance at the rate of $1,893; or
(2) if the veteran, in addition to such need for regular
aid and attendance, is in need of a higher level of care,
such veteran shall be paid a monthly aid and attendance
allowance at the rate of $2,820, in lieu of the allowance au-
thorized in clause (1) of this subsection, if the Secretary
finds that the veteran, in the absence of the provision of
such care, would require hospitalization, nursing home
care, or other residential institutional care.
For the purposes of clause (2) of this subsection, need for a
higher level of care shall be considered to be need for personal
health-care services provided on a daily basis in the veteran’s
home by a person who is licensed to provide such services or
who provides such services under the regular supervision of a

licensed health-care professional. The existence of the need for
such care shall be determined by a physician employed by the
Department or, in areas where no such physician is available,
by a physician carrying out such function under contract or fee
arrangement based on an examination by such physician. For
the purposes of section 1134 of this title, such allowance shall
be considered as additional compensation payable for dis-
ability.
(s) If the veteran has a service-connected disability rated
as total, and (1) has additional service-connected disability or
disabilities independently ratable at 60 percent or more, or, (2)
by reason of such veteran’s service-connected disability or dis-
abilities, is permanently housebound, then the monthly com-
pensation shall be $2,829. For the purpose of this subsection,
the requirement of ‘‘permanently housebound’’ will be consid-
ered to have been met when the veteran is substantially con-
fined to such veteran’s house (ward or clinical areas, if institu-
tionalized) or immediate premises due to a service-connected
disability or disabilities which it is reasonably certain will re-
main throughout such veteran’s lifetime.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1120, Sec. 314; Pub. L. 85–782, Sec. 2, Aug.
27, 1958, 72 Stat. 936; Pub. L. 86–663, Sec. 1, July 14, 1960, 74 Stat. 528; Pub.
L. 87–645, Sec. 1(a), 2(a), Sept. 7, 1962, 76 Stat. 441; Pub. L. 88–20, Sec. 1, May
15, 1963, 77 Stat. 17; Pub. L. 88–22, Sec. 1, May 15, 1963, 77 Stat. 18; Pub. L. 89–
311, Sec. 1(a), 3(d), (e), Oct. 31, 1965, 79 Stat. 1154, 1155; Pub. L. 90–77, title IV,
Sec. 401, Aug. 31, 1967, 81 Stat. 190; Pub. L. 90–493, Sec. 1(a), 4(a), Aug. 19, 1968,
82 Stat. 808, 809; Pub. L. 91–376, Sec. 1(a), Aug. 12, 1970, 84 Stat. 787; Pub. L.
92–328, title I, Sec. 101(a), June 30, 1972, 86 Stat. 393; Pub. L. 93–295, title I, Sec.
101(a), May 31, 1974, 88 Stat. 181; Pub. L. 94–71, title I, Sec. 101(a), Aug. 5, 1975,
89 Stat. 395; Pub. L. 94–433, title I, Sec. 101(a), title IV, Sec. 401(4), (5), 404(6)–
(8), Sept. 30, 1976, 90 Stat. 1374, 1377, 1378; Pub. L. 95–117, title I, Sec. 101(a),
Oct. 3, 1977, 91 Stat. 1063; Pub. L. 95–479, title I, Sec. 101(a)–(d), Oct. 18, 1978,
92 Stat. 1560, 1561; Pub. L. 96–128, title I, Sec. 101(a), 104, 105, Nov. 28, 1979,
93 Stat. 982, 984; Pub. L. 96–385, title I, Sec. 101(a), Oct. 7, 1980, 94 Stat. 1528;
Pub. L. 97–66, title I, Sec. 101(a), 104, Oct. 17, 1981, 95 Stat. 1026, 1027; Pub. L.
97–253, title IV, Sec. 404(a), 405(b), Sept. 8, 1982, 96 Stat. 803; Pub. L. 97–306, title
I, Sec. 101(a), 107, 111(a), (b), Oct. 14, 1982, 96 Stat. 1429, 1431, 1432; Pub. L. 98–
223, title I, Sec. 101(a), 112, Mar. 2, 1984, 98 Stat. 37, 40; Pub. L. 98–543, title I,
Sec. 101(a), Oct. 24, 1984, 98 Stat. 2735; Pub. L. 99–238, title I, Sec. 101(a), Jan.
13, 1986, 99 Stat. 1765; Pub. L. 99–576, title I, Sec. 101(a), 109(b), Oct. 28, 1986,
100 Stat. 3250, 3253; Pub. L. 100–227, title I, Sec. 101(a), Dec. 31, 1987, 101 Stat.
1552; Pub. L. 100–687, div. B, title XI, Sec. 1101(a), Nov. 18, 1988, 102 Stat. 4123;
Pub. L. 101–237, title I, Sec. 101(a), Dec. 18, 1989, 103 Stat. 2062; Pub. L. 102–
3, Sec. 2(a), Feb. 6, 1991, 105 Stat. 7; Pub. L. 102–40, title IV, Sec. 402(d)(1), May
7, 1991, 105 Stat. 239; renumbered Sec. 1114 and amended Pub. L. 102–83, Sec.
4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–
152, Sec. 2(a), Nov. 12, 1991, 105 Stat. 985; Pub. L. 103–78, Sec. 1, Aug. 13, 1993,
107 Stat. 767; Pub. L. 103–140, Sec. 2, Nov. 11, 1993, 107 Stat. 1485; Pub. L. 105–
98, Sec. 2(a), Nov. 19, 1997, 111 Stat. 2155; Pub. L. 106–118, Sec. 2(a), Nov. 30,
1999, 113 Stat. 1601; Pub. L. 106–419, title III, Sec. 302, Nov. 1, 2000, 114 Stat.
1853; Pub. L. 107–94, Sec. 2(a), Dec. 21, 2001, 115 Stat. 900; Pub. L. 107–103, title
II, Sec. 204(b)(1), Dec. 27, 2001, 115 Stat. 990; Pub. L. 107–330, title I, Sec. 102,
title III, Sec. 309(a), Dec. 6, 2002, 116 Stat. 2821, 2829; Pub. L. 108–454, title III,
Sec. 307(a), Dec. 10, 2004, 118 Stat. 3612; Pub. L. 109–111, Sec. 2(a), Nov. 22, 2005,
119 Stat. 2362; Pub. L. 109–233, title V, Sec. 502(1), (2), June 15, 2006, 120 Stat.
X, Secs. 1005(a), 1006(b), Dec. 22, 2006, 120 Stat. 3466, 3468; Pub. L. 110–157, title
I, Sec. 101, Dec. 26, 2007, 121 Stat. 1831; Pub. L. 110–324, Sec. 3(a), Sept. 24, 2008,
122 Stat. 3550.)
§ 1115. Additional compensation for dependents

Any veteran entitled to compensation at the rates provided in
section 1114 of this title, and whose disability is rated not less than
30 percent, shall be entitled to additional compensation for depend-
ents in the following monthly amounts:
(1) If and while rated totally disabled and—
(A) has a spouse but no child, $142;
(B) has a spouse and one or more children, $245 plus
$71 for each child in excess of one;
(C) has no spouse but one or more children, $96 plus
$71 for each child in excess of one;
(D) has a parent dependent upon such veteran for sup-
port, then, in addition to the above amounts, $114 for each
parent so dependent;
(E) notwithstanding the other provisions of this para-
graph, the monthly payable amount on account of a spouse
who is (i) a patient in a nursing home or (ii) blind, or so
nearly blind or significantly disabled as to need or require
the regular aid and attendance of another person, shall be
$271 for a totally disabled veteran and proportionate
amounts for partially disabled veterans in accordance with
paragraph (2) of this section; and
(F) notwithstanding the other provisions of this para-
graph, the monthly amount payable on account of each
child who has attained the age of eighteen years and who
is pursuing a course of instruction at an approved edu-
cational institution shall be $227 for a totally disabled vet-
eran and proportionate amounts for partially disabled vet-
erans in accordance with paragraph (2) of this section.
(2) If and while rated partially disabled, but not less than
30 percent, in an amount having the same ratio to the amount
specified in paragraph (1) of this section as the degree of dis-
ability bears to total disability. The amounts payable under
this paragraph, if not a multiple of $1, shall be rounded down
to the nearest dollar.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1121, Sec. 315; Pub. L. 86–499, Sec. 1, June
8, 1960, 74 Stat. 165; Pub. L. 89–137, Sec. 1(b), Aug. 26, 1965, 79 Stat. 576; Pub.
L. 89–311, Sec. 2(a), (b), Oct. 31, 1965, 79 Stat. 1154, 1155; Pub. L. 91–376, Sec.
2, Aug. 12, 1970, 84 Stat. 788; Pub. L. 92–328, title I, Sec. 102, June 30, 1972, 86
Stat. 394; Pub. L. 93–295, title I, Sec. 102, May 31, 1974, 88 Stat. 181; Pub. L. 94–
71, title I, Sec. 102, Aug. 5, 1975, 89 Stat. 396; Pub. L. 94–433, title I, Sec. 102,
title IV, Sec. 404(9)–(11), Sept. 30, 1976, 90 Stat. 1375, 1378; Pub. L. 95–117, title
I, Sec. 102, Oct. 3, 1977, 91 Stat. 1064; Pub. L. 95–479, title I, Sec. 102, Oct. 18,
1978, 92 Stat. 1562; Pub. L. 96–128, title I, Sec. 102, Nov. 28, 1979, 93 Stat. 983;
Pub. L. 96–385, title I, Sec. 102, Oct. 7, 1980, 94 Stat. 1529; Pub. L. 97–66, title
I, Sec. 102, Oct. 17, 1981, 95 Stat. 1027; Pub. L. 97–253, title IV, Sec. 404(b), 405(c),
Sept. 8, 1982, 96 Stat. 803; Pub. L. 97–306, title I, Sec. 102, 107, Oct. 14, 1982, 96
Stat. 1430, 1431; Pub. L. 98–223, title I, Sec. 102, Mar. 2, 1984, 98 Stat. 38; Pub.
L. 98–543, title I, Sec. 102, Oct. 24, 1984, 98 Stat. 2736; Pub. L. 99–238, title I,
Sec. 102, Jan. 13, 1986, 99 Stat. 1766; Pub. L. 99–576, title I, Sec. 102, Oct. 28,
1986, 100 Stat. 3251; Pub. L. 100–227, title I, Sec. 102, Dec. 31, 1987, 101 Stat.
1553; Pub. L. 100–687, div. B, title XI, Sec. 1102, Nov. 18, 1988, 102 Stat. 4123;
Pub. L. 101–237, title I, Sec. 102, Dec. 18, 1989, 103 Stat. 2063; Pub. L. 102–3, Sec.
3, Feb. 6, 1991, 105 Stat. 8; renumbered Sec. 1115 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–152, Sec. 3, Nov. 12, 1991,
105 Stat. 986; Pub. L. 103–78, Sec. 2, Aug. 13, 1993, 107 Stat. 768; Pub. L. 103–
140, Sec. 3, Nov. 11, 1993, 107 Stat. 1486; Pub. L. 105–98, Sec. 3, Nov. 19, 1997,
94, Sec. 3, Dec. 21, 2001, 115 Stat. 901; Pub. L. 107–330, title III, Sec. 309(b), Dec.
6, 2002, 116 Stat. 2830; Pub. L. 108–454, title III, Sec. 307(b), Dec. 10, 2004, 118
Stat. 3613; Pub. L. 109–111, Sec. 2(b), Nov. 22, 2005, 119 Stat. 2363; Pub. L. 109–
233, title V, Sec. 502(3), June 15, 2006, 120 Stat. 415; Pub. L. 109–444, Sec. 9(b),
Dec. 21, 2006, 120 Stat. 3314; Pub. L. 109–461, title X, Secs. 1005(b), 1006(b), Dec.
22, 2006, 120 Stat. 3467, 3468; Pub. L. 110–324, Sec. 3(b), Sept. 24, 2008, 122 Stat.
3551.)
§ 1116. Presumptions of service connection for diseases as-

sociated with exposure to certain herbicide agents;
presumption of exposure for veterans who served
in the Republic of Vietnam
(a)(1) For the purposes of section 1110 of this title, and subject
to section 1113 of this title—
(A) a disease specified in paragraph (2) of this subsection
becoming manifest as specified in that paragraph in a veteran
who, during active military, naval, or air service, served in the
Republic of Vietnam during the period beginning on January
9, 1962, and ending on May 7, 1975; and
(B) each additional disease (if any) that (i) the Secretary
determines in regulations prescribed under this section war-
rants a presumption of service-connection by reason of having
positive association with exposure to an herbicide agent, and
(ii) becomes manifest within the period (if any) prescribed in
such regulations in a veteran who, during active military,
naval, or air service, served in the Republic of Vietnam during
the period beginning on January 9, 1962, and ending on May
7, 1975, and while so serving was exposed to that herbicide
agent,
shall be considered to have been incurred in or aggravated by such
service, notwithstanding that there is no record of evidence of such
disease during the period of such service.
(2) The diseases referred to in paragraph (1)(A) of this sub-
section are the following:
(A) Non-Hodgkin’s lymphoma becoming manifest to a de-
gree of disability of 10 percent or more.
(B) Each soft-tissue sarcoma becoming manifest to a de-
gree of disability of 10 percent or more other than
osteosarcoma, chondrosarcoma, Kaposi’s sarcoma, or mesothe-
lioma.
(C) Chloracne or another acneform disease consistent with
chloracne becoming manifest to a degree of disability of 10 per-
cent or more within one year after the last date on which the
veteran performed active military, naval, or air service in the
Republic of Vietnam during the period beginning on January
9, 1962, and ending on May 7, 1975.
(D) Hodgkin’s disease becoming manifest to a degree of
disability of 10 percent or more.
(E) Porphyria cutanea tarda becoming manifest to a degree
of disability of 10 percent or more within a year after the last
date on which the veteran performed active military, naval, or
air service in the Republic of Vietnam during the period begin-
ning on January 9, 1962, and ending on May 7, 1975.
(F) Respiratory cancers (cancer of the lung, bronchus, lar-

ynx, or trachea) becoming manifest to a degree of disability of
10 percent or more.
(G) Multiple myeloma becoming manifest to a degree of
disability of 10 percent or more.
(H) Diabetes Mellitus (Type 2).
(3) For purposes of this section, the term ‘‘herbicide agent’’
means a chemical in an herbicide used in support of the United
States and allied military operations in the Republic of Vietnam
during the period beginning on January 9, 1962, and ending on
May 7, 1975.
(b)(1) Whenever the Secretary determines, on the basis of
sound medical and scientific evidence, that a positive association
exists between (A) the exposure of humans to an herbicide agent,
and (B) the occurrence of a disease in humans, the Secretary shall
prescribe regulations providing that a presumption of service con-
nection is warranted for that disease for the purposes of this sec-
tion.
(2) In making determinations for the purpose of this sub-
section, the Secretary shall take into account (A) reports received
by the Secretary from the National Academy of Sciences under sec-
tion 3 of the Agent Orange Act of 1991, and (B) all other sound
medical and scientific information and analyses available to the
Secretary. In evaluating any study for the purpose of making such
determinations, the Secretary shall take into consideration whether
the results are statistically significant, are capable of replication,
and withstand peer review.
(3) An association between the occurrence of a disease in hu-
mans and exposure to an herbicide agent shall be considered to be
positive for the purposes of this section if the credible evidence for
the association is equal to or outweighs the credible evidence
against the association.
(c)(1)(A) Not later than 60 days after the date on which the
Secretary receives a report from the National Academy of Sciences
under section 3 of the Agent Orange Act of 1991, the Secretary
shall determine whether a presumption of service connection is
warranted for each disease covered by the report. If the Secretary
determines that such a presumption is warranted, the Secretary,
not later than 60 days after making the determination, shall issue
proposed regulations setting forth the Secretary’s determination.
(B) If the Secretary determines that a presumption of service
connection is not warranted, the Secretary, not later than 60 days
after making the determination, shall publish in the Federal Reg-
ister a notice of that determination. The notice shall include an ex-
planation of the scientific basis for that determination. If the dis-
ease already is included in regulations providing for a presumption
of service connection, the Secretary, not later than 60 days after
publication of the notice of a determination that the presumption
is not warranted, shall issue proposed regulations removing the
presumption for the disease.
(2) Not later than 90 days after the date on which the Sec-
retary issues any proposed regulations under this subsection, the
Secretary shall issue final regulations. Such regulations shall be ef-
fective on the date of issuance.
(d) Whenever a disease is removed from regulations prescribed

under this section—
(1) a veteran who was awarded compensation for such dis-
ease on the basis of the presumption provided in subsection (a)
before the effective date of the removal shall continue to be en-
titled to receive compensation on that basis; and
(2) a survivor of a veteran who was awarded dependency
and indemnity compensation for the death of a veteran result-
ing from such disease on the basis of such presumption shall
continue to be entitled to receive dependency and indemnity
compensation on such basis.
(e) Subsections (b) through (d) shall cease to be effective on
September 30, 2015.
(f) For purposes of establishing service connection for a dis-
ability or death resulting from exposure to a herbicide agent, in-
cluding a presumption of service-connection under this section, a
veteran who, during active military, naval, or air service, served in
the Republic of Vietnam during the period beginning on January
9, 1962, and ending on May 7, 1975, shall be presumed to have
been exposed during such service to an herbicide agent containing
dioxin or 2,4-dichlorophenoxyacetic acid, and may be presumed to
have been exposed during such service to any other chemical com-
pound in an herbicide agent, unless there is affirmative evidence
to establish that the veteran was not exposed to any such agent
during that service.
(Added Pub. L. 102–4, Sec. 2(a)(1), Feb. 6, 1991, 105 Stat. 11, Sec. 316; renumbered
Sec. 1116 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406;
Pub. L. 103–446, title V, Sec. 505, title XII, Sec. 1201(e)(6), Nov. 2, 1994, 108 Stat.
4664, 4685; Pub. L. 104–275, title V, Sec. 505(b), Oct. 9, 1996, 110 Stat. 3342; Pub.
L. 106–419, title IV, Sec. 404(a)(1), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 107–103,
title II, Sec. 201(a)(1)(A), (b)–(c)(2)(A), (d)(1), Dec. 27, 2001, 115 Stat. 987, 988.)
§ 1117. Compensation for disabilities occurring in Persian
Gulf War veterans
(a)(1) The Secretary may pay compensation under this sub-
chapter to a Persian Gulf veteran with a qualifying chronic dis-
ability that became manifest—
(A) during service on active duty in the Armed Forces in
the Southwest Asia theater of operations during the Persian
Gulf War; or
(B) to a degree of 10 percent or more during the presump-
tive period prescribed under subsection (b).
(2) For purposes of this subsection, the term ‘qualifying chronic
disability’ means a chronic disability resulting from any of the fol-
lowing (or any combination of any of the following):
(A) An undiagnosed illness.
(B) A medically unexplained chronic multisymptom illness
(such as chronic fatigue syndrome, fibromyalgia, and irritable
bowel syndrome) that is defined by a cluster of signs or symp-
toms.
(C) Any diagnosed illness that the Secretary determines in
regulations prescribed under subsection (d) warrants a pre-
sumption of service-connection.
(b) The Secretary shall prescribe by regulation the period of
time following service in the Southwest Asia theater of operations
during the Persian Gulf War that the Secretary determines is ap-
propriate for presumption of service connection for purposes of this
section. The Secretary’s determination of such period of time shall
be made following a review of any available credible medical or sci-
entific evidence and the historical treatment afforded disabilities
for which manifestation periods have been established and shall
take into account other pertinent circumstances regarding the ex-
periences of veterans of the Persian Gulf War.
(c)(1) Whenever the Secretary determines under section 1118(c)
of this title that a presumption of service connection previously es-
tablished under this section is no longer warranted—
(A) a veteran who was awarded compensation under this
section on the basis of the presumption shall continue to be en-
titled to receive compensation under this section on that basis;
and
(B) a survivor of a veteran who was awarded dependency
ing from the disease on the basis of the presumption before
that date shall continue to be entitled to receive dependency
and indemnity compensation on that basis.
(2) This subsection shall cease to be effective on September 30,
2011.
(d)(1) The Secretary shall prescribe regulations to carry out
this section.
(2) Those regulations shall include the following:
(A) A description of the period and geographical area or
areas of military service in connection with which compensa-
tion under this section may be paid.
(B) A description of the illnesses for which compensation
under this section may be paid.
(C) A description of any relevant medical characteristic
(such as a latency period) associated with each such illness.
(e) A disability for which compensation under this subchapter
is payable shall be considered to be service connected for purposes
of all other laws of the United States.
(f) For purposes of this section, the term ‘‘Persian Gulf vet-
eran’’ means a veteran who served on active duty in the Armed
Forces in the Southwest Asia theater of operations during the Per-
sian Gulf War.
(g) For purposes of this section, signs or symptoms that may
be a manifestation of an undiagnosed illness or a chronic multi-
symptom illness include the following:
(1) Fatigue.
(2) Unexplained rashes or other dermatological signs or
symptoms.
(3) Headache.
(4) Muscle pain.
(5) Joint pain.
(6) Neurological signs and symptoms.
(7) Neuropsychological signs or symptoms.
(8) Signs or symptoms involving the upper or lower res-
piratory system.
(9) Sleep disturbances.
(10) Gastrointestinal signs or symptoms.
(11) Cardiovascular signs or symptoms.

(12) Abnormal weight loss.
(13) Menstrual disorders.
(h)(1) If the Secretary determines with respect to a medical re-
search project sponsored by the Department that it is necessary for
the conduct of the project that Persian Gulf veterans in receipt of
compensation under this section or section 1118 of this title partici-
pate in the project without the possibility of loss of service connec-
tion under either such section, the Secretary shall provide that
service connection granted under either such section for disability
of a veteran who participated in the research project may not be
terminated. Except as provided in paragraph (2), notwithstanding
any other provision of law any grant of service-connection protected
under this subsection shall remain service-connected for purposes
of all provisions of law under this title.
(2) Paragraph (1) does not apply in a case in which—
(A) the original award of compensation or service connec-
tion was based on fraud; or
(B) it is clearly shown from military records that the per-
son concerned did not have the requisite service or character
of discharge.
(3) The Secretary shall publish in the Federal Register a list
of medical research projects sponsored by the Department for
which service connection granted under this section or section 1118
of this title may not be terminated pursuant to paragraph (1).
(Added Pub. L. 103–446, title I, Sec. 106(a)(1), Nov. 2, 1994, 108 Stat. 4650; amend-
ed Pub. L. 105–277, div. C, title XVI, Sec. 1602(c), Oct. 21, 1998, 112 Stat. 2681–
744; Pub. L. 107–103, title II, Secs. 202(a), (b)(1), (d)(1), 203(a), Dec. 27, 2001, 115
Stat. 988, 989; Pub. L. 109–233, title V, Sec. 503(1), June 15, 2006, 120 Stat. 415.)
§ 1118. Presumptions of service connection for illnesses as-

sociated with service in the Persian Gulf during
the Persian Gulf War
(a)(1) For purposes of section 1110 of this title, and subject to
section 1113 of this title, each illness, if any, described in para-
graph (2) shall be considered to have been incurred in or aggra-
vated by service referred to in that paragraph, notwithstanding
that there is no record of evidence of such illness during the period
of such service.
(2) An illness referred to in paragraph (1) is any diagnosed or
undiagnosed illness that—
(A) the Secretary determines in regulations prescribed
under this section to warrant a presumption of service connec-
tion by reason of having a positive association with exposure
to a biological, chemical, or other toxic agent, environmental or
wartime hazard, or preventive medicine or vaccine known or
presumed to be associated with service in the Armed Forces in
the Southwest Asia theater of operations during the Persian
Gulf War; and
(B) becomes manifest within the period, if any, prescribed
in such regulations in a veteran who served on active duty in
that theater of operations during that war and by reason of
such service was exposed to such agent, hazard, or medicine or
vaccine.
(3) For purposes of this subsection, a veteran who served on ac-

tive duty in the Southwest Asia theater of operations during the
Persian Gulf War and has an illness described in paragraph (2)
shall be presumed to have been exposed by reason of such service
to the agent, hazard, or medicine or vaccine associated with the ill-
ness in the regulations prescribed under this section unless there
is conclusive evidence to establish that the veteran was not exposed
to the agent, hazard, or medicine or vaccine by reason of such serv-
ice.
(4) For purposes of this section, signs or symptoms that may
be a manifestation of an undiagnosed illness include the signs and
symptoms listed in section 1117(g) of this title.
(b)(1)(A) Whenever the Secretary makes a determination de-
scribed in subparagraph (B), the Secretary shall prescribe regula-
tions providing that a presumption of service connection is war-
ranted for the illness covered by that determination for purposes
of this section.
(B) A determination referred to in subparagraph (A) is a deter-
mination based on sound medical and scientific evidence that a
positive association exists between—
(i) the exposure of humans or animals to a biological,
chemical, or other toxic agent, environmental or wartime haz-
ard, or preventive medicine or vaccine known or presumed to
be associated with service in the Southwest Asia theater of op-
erations during the Persian Gulf War; and
(ii) the occurrence of a diagnosed or undiagnosed illness in
humans or animals.
(2)(A) In making determinations for purposes of paragraph (1),
the Secretary shall take into account—
(i) the reports submitted to the Secretary by the National
Academy of Sciences under section 1603 of the Persian Gulf
War Veterans Act of 1998; and
(ii) all other sound medical and scientific information and
analyses available to the Secretary.
(B) In evaluating any report, information, or analysis for pur-
poses of making such determinations, the Secretary shall take into
consideration whether the results are statistically significant, are
capable of replication, and withstand peer review.
(3) An association between the occurrence of an illness in hu-
mans or animals and exposure to an agent, hazard, or medicine or
vaccine shall be considered to be positive for purposes of this sub-
section if the credible evidence for the association is equal to or
outweighs the credible evidence against the association.
(c)(1) Not later than 60 days after the date on which the Sec-
retary receives a report from the National Academy of Sciences
under section 1603 of the Persian Gulf War Veterans Act of 1998,
the Secretary shall determine whether or not a presumption of
service connection is warranted for each illness, if any, covered by
the report.
(2) If the Secretary determines under this subsection that a
presumption of service connection is warranted, the Secretary
shall, not later than 60 days after making the determination, issue
proposed regulations setting forth the Secretary’s determination.
(3)(A) If the Secretary determines under this subsection that a

presumption of service connection is not warranted, the Secretary
shall, not later than 60 days after making the determination, pub-
lish in the Federal Register a notice of the determination. The no-
tice shall include an explanation of the scientific basis for the de-
termination.
(B) If an illness already presumed to be service connected
under this section is subject to a determination under subpara-
graph (A), the Secretary shall, not later than 60 days after publica-
tion of the notice under that subparagraph, issue proposed regula-
tions removing the presumption of service connection for the ill-
ness.
(4) Not later than 90 days after the date on which the Sec-
retary issues any proposed regulations under this subsection, the
Secretary shall issue final regulations. Such regulations shall be ef-
fective on the date of issuance.
(d) Whenever the presumption of service connection for an ill-
ness under this section is removed under subsection (c)—
(1) a veteran who was awarded compensation for the ill-
ness on the basis of the presumption before the effective date
of the removal of the presumption shall continue to be entitled
to receive compensation on that basis; and
(2) a survivor of a veteran who was awarded dependency
ing from the illness on the basis of the presumption before that
date shall continue to be entitled to receive dependency and in-
demnity compensation on that basis.
(e) Subsections (b) through (d) shall cease to be effective on
September 30, 2011.
(Added Pub. L. 105–277, div. C, title XVI, Sec. 1602(a)(1), Oct. 21, 1998, 112 Stat.
2681–742; amended Pub. L. 107–103, title II, Sec. 202(b)(2), (d)(1), Dec. 27, 2001,
115 Stat. 989.)

The surviving spouse, child or children, and dependent parent
or parents of any veteran who died before January 1, 1957 as the
result of injury or disease incurred in or aggravated by active mili-
tary, naval, or air service, in line of duty, during a period of war,
shall be entitled to receive compensation at the monthly rates spec-
ified in section 1122 of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1122, Sec. 321; Pub. L. 92–197, Sec. 6, Dec.
15, 1971, 85 Stat. 662; Pub. L. 94–433, title IV, Sec. 404(12), Sept. 30, 1976, 90 Stat.
1378; renumbered Sec. 1121 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6,
1991, 105 Stat. 406.)
§ 1122. Rates of wartime death compensation

(a) The monthly rates of death compensation shall be as fol-
lows:
(1) Surviving spouse but no child, $87;
(2) Surviving spouse with one child, $121 (with $29 for
each additional child);
(3) No surviving spouse but one child, $67;
(4) No surviving spouse but two children, $94 (equally di-

vided);
(5) No surviving spouse but three children, $122 (equally
divided) (with $23 for each additional child, total amount to be
equally divided);
(6) Dependent parent, $75;
(7) Both dependent parents, $40 each.
(b) The monthly rate of death compensation payable to a sur-
viving spouse or dependent parent under subsection (a) of this sec-
tion shall be increased by $79 if the payee is (1) a patient in a
nursing home or (2) blind, or so nearly blind or significantly dis-
abled as to need or require the regular aid and attendance of an-
other person.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1122, Sec. 322; Pub. L. 91–96, Sec. 7, Oct.
27, 1969, 83 Stat. 146; Pub. L. 91–588, Sec. 3(a), Dec. 24, 1970, 84 Stat. 1583; Pub.
L. 92–197, Sec. 9, Dec. 15, 1971, 85 Stat. 662; Pub. L. 93–295, title II, Sec. 204,
May 31, 1974, 88 Stat. 183; Pub. L. 94–169, title II, Sec. 202, Dec. 23, 1975, 89 Stat.
1021; Pub. L. 94–432, title IV, Sec. 401, Sept. 30, 1976, 90 Stat. 1372; Pub. L. 94–
433, title IV, Sec. 404(13)–(17), Sept. 30, 1976, 90 Stat. 1378, 1379; Pub. L. 95–204,
title III, Sec. 301, Dec. 2, 1977, 91 Stat. 1459; renumbered Sec. 1122, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 109–233, title V, Sec. 502(3), June
15, 2006, 120 Stat. 415.)

For disability resulting from personal injury suffered or disease
contracted in line of duty, or for aggravation of a preexisting injury
suffered or disease contracted in line of duty, in the active military,
naval, or air service, during other than a period of war, the United
States will pay to any veteran thus disabled and who was dis-
charged or released under conditions other than dishonorable from
the period of service in which said injury or disease was incurred,
or preexisting injury or disease was aggravated, compensation as
provided in this subchapter, but no compensation shall be paid if
the disability is a result of the veteran’s own willful misconduct or
abuse of alcohol or drugs.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1122, Sec. 331; Pub. L. 101–508, title VIII,
Sec. 8052(a)(3), Nov. 5, 1990, 104 Stat. 1388–351; renumbered Sec. 1131, Pub. L.
102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 105–178, title VIII, Sec.
8202(b), June 9, 1998, 112 Stat. 492; Pub. L. 105–206, title IX, Sec. 9014(a), July
22, 1998, 112 Stat. 865.)
§ 1132. Presumption of sound condition

For the purposes of section 1131 of this title, every person em-
ployed in the active military, naval, or air service for six months
or more shall be taken to have been in sound condition when exam-
ined, accepted and enrolled for service, except as to defects, infir-
mities, or disorders noted at the time of the examination, accept-
ance and enrollment, or where evidence or medical judgment is
such as to warrant a finding that the disease or injury existed be-
fore acceptance and enrollment.
§ 1133. Presumptions relating to certain diseases

(a) For the purposes of section 1131 of this title, and subject
to the provisions of subsections (b) and (c) of this section, any vet-
eran who served for six months or more and contracts a tropical
disease or a resultant disorder or disease originating because of
therapy administered in connection with a tropical disease, or as
a preventative thereof, shall be deemed to have incurred such dis-
ability in the active military, naval, or air service when it is shown
to exist within one year after separation from active service, or at
a time when standard and accepted treatises indicate that the in-
cubation period thereof commenced during active service.
(b) Service-connection shall not be granted pursuant to sub-
section (a), in any case where the disease or disorder is shown by
clear and unmistakable evidence to have had its inception before
or after active military, naval, or air service.
(c) Nothing in this section shall be construed to prevent the
granting of service-connection for any disease or disorder otherwise
shown by sound judgment to have been incurred in or aggravated
by active military, naval, or air service.
§ 1134. Rates of peacetime disability compensation

For the purposes of section 1131 of this title, the compensation
payable for the disability shall be that specified in section 1114 of
this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1123, Sec. 334; Pub. L. 92–328, title I, Sec.
108(a), June 30, 1972, 86 Stat. 396; renumbered Sec. 1134 and amended Pub. L.
102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 1135. Additional compensation for dependents

Any veteran entitled to compensation at the rates provided in
section 1134 of this title, and whose disability is rated not less than
30 percent, shall be entitled to additional monthly compensation
for dependents as provided in section 1115 of this title.
108(b), June 30, 1972, 86 Stat. 396; Pub. L. 98–543, title I, Sec. 112(a), Oct. 24,
1984, 98 Stat. 2740; renumbered Sec. 1135 and amended Pub. L. 102–83, Sec. 5(a),
(c)(1), Aug. 6, 1991, 105 Stat. 406.)
ø§ 1136. Vacant¿
§ 1137. Wartime presumptions for certain veterans
For the purposes of this subchapter and subchapter V of this
chapter and notwithstanding the provisions of sections 1132 and
1133 of this subchapter, the provisions of sections 1111, 1112, and
1113 of this chapter shall be applicable in the case of any veteran
who served in the active military, naval, or air service after Decem-
ber 31, 1946.
(Added Pub. L. 89–358, Sec. 7(a), Mar. 3, 1966, 80 Stat. 27, Sec. 337; amended Pub.
L. 93–295, title II, Sec. 205, May 31, 1974, 88 Stat. 183; renumbered Sec. 1137 and

The surviving spouse, child or children, and dependent parent
or parents of any veteran who died before January 1, 1957, as the
result of injury or disease incurred in or aggravated by active mili-
tary, naval, or air service, in line of duty, during other than a pe-
riod of war, shall be entitled to receive compensation as hereinafter
provided in this subchapter.
1379; renumbered Sec. 1141, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1142. Rates of peacetime death compensation
For the purposes of section 1141 of this title, the monthly rates
of death compensation payable shall be those specified in section
1122 of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1124, Sec. 342; Pub. L. 93–295, title II, Sec.
206(a), May 31, 1974, 88 Stat. 183; renumbered Sec. 1142 and amended Pub. L.
102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
ø§ 1143. Vacant¿
§ 1151. Benefits for persons disabled by treatment or voca-
tional rehabilitation
(a) Compensation under this chapter and dependency and in-
demnity compensation under chapter 13 of this title shall be
awarded for a qualifying additional disability or a qualifying death
of a veteran in the same manner as if such additional disability or
death were service-connected. For purposes of this section, a dis-
ability or death is a qualifying additional disability or qualifying
death if the disability or death was not the result of the veteran’s
willful misconduct and—
(1) the disability or death was caused by hospital care,
medical or surgical treatment, or examination furnished the
veteran under any law administered by the Secretary, either
by a Department employee or in a Department facility as de-
fined in section 1701(3)(A) of this title, and the proximate
cause of the disability or death was—
(A) carelessness, negligence, lack of proper skill, error
in judgment, or similar instance of fault on the part of the
Department in furnishing the hospital care, medical or
surgical treatment, or examination; or
(B) an event not reasonably foreseeable; or
(2) the disability or death was proximately caused (A) by
the provision of training and rehabilitation services by the Sec-
retary (including by a service-provider used by the Secretary
for such purpose under section 3115 of this title) as part of an
approved rehabilitation program under chapter 31 of this title,
or (B) by participation in a program (known as a ‘‘compensated
work therapy program’’) under section 1718 of this title.
(b)(1) Where an individual is, on or after December 1, 1962,
awarded a judgment against the United States in a civil action
brought pursuant to section 1346(b) of title 28 or, on or after De-

cember 1, 1962, enters into a settlement or compromise under sec-
tion 2672 or 2677 of title 28 by reason of a disability or death treat-
ed pursuant to this section as if it were service-connected, then (ex-
cept as otherwise provided in paragraph (2)) no benefits shall be
paid to such individual for any month beginning after the date
such judgment, settlement, or compromise on account of such dis-
ability or death becomes final until the aggregate amount of bene-
fits which would be paid but for this subsection equals the total
amount included in such judgment, settlement, or compromise.
(2) In the case of a judgment, settlement, or compromise cov-
ered by paragraph (1) that becomes final on or after the date of the
enactment of this paragraph and that includes an amount that is
specifically designated for a purpose for which benefits are pro-
vided under chapter 21 or 39 of this title (hereinafter in this para-
graph referred to as the ‘‘offset amount’’), if such judgment, settle-
ment, or compromise becomes final before the date of the award of
benefits under chapter 21 or 39 for the purpose for which the offset
amount was specifically designated—
(A) the amount of such award shall be reduced by the off-
set amount; and
(B) if the offset amount is greater than the amount of such
award, the excess amount received pursuant to the judgment,
settlement or compromise, shall be offset against benefits oth-
erwise payable under this chapter.
(c) A qualifying additional disability under this section shall be
treated in the same manner as if it were a service-connected dis-
ability for purposes of the following provisions of this title:
(1) Chapter 21, relating to specially adapted housing.
(2) Chapter 39, relating to automobiles and adaptive
equipment.
15, 1962, 76 Stat. 950; Pub. L. 91–24, Sec. 3, June 11, 1969, 83 Stat. 33; Pub. L.
94–433, title IV, Sec. 404(19), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 98–223, title
II, Sec. 213(1), Mar. 2, 1984, 98 Stat. 46; renumbered Sec. 1151 and amended Pub.
L. 102–83, Sec. 4(a)(1), 5(a), Aug. 6, 1991, 105 Stat. 403, 406; Pub. L. 104–204, title
IV, Sec. 422(a), Sept. 26, 1996, 110 Stat. 2926; Pub. L. 106–419, title III, Sec. 303,
Nov. 1, 2000, 114 Stat. 1853; Pub. L. 108–454, title III, Sec. 304(a), (c), Dec. 10,
2004, 118 Stat. 3611.)
§ 1152. Persons heretofore having a compensable status

The death and disability benefits of this chapter shall, notwith-
standing the service requirements thereof, be granted to persons
heretofore recognized by law as having a compensable status, in-
cluding persons whose claims are based on war or peacetime serv-
ice rendered before April 21, 1898.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1124, Sec. 352; renumbered Sec. 1152, Pub.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1153. Aggravation
A preexisting injury or disease will be considered to have been
aggravated by active military, naval, or air service, where there is
an increase in disability during such service, unless there is a spe-
cific finding that the increase in disability is due to the natural
progress of the disease.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1154. Consideration to be accorded time, place, and cir-

cumstances of service
(a) The Secretary shall include in the regulations pertaining to
service-connection of disabilities (1) additional provisions in effect
requiring that in each case where a veteran is seeking service-con-
nection for any disability due consideration shall be given to the
places, types, and circumstances of such veteran’s service as shown
by such veteran’s service record, the official history of each organi-
zation in which such veteran served, such veteran’s medical
records, and all pertinent medical and lay evidence, and (2) the
provisions required by section 5 of the Veterans’ Dioxin and Radi-
ation Exposure Compensation Standards Act (Public Law 98–542;
98 Stat. 2727).
(b) In the case of any veteran who engaged in combat with the
enemy in active service with a military, naval, or air organization
of the United States during a period of war, campaign, or expedi-
tion, the Secretary shall accept as sufficient proof of service-connec-
tion of any disease or injury alleged to have been incurred in or ag-
gravated by such service satisfactory lay or other evidence of serv-
ice incurrence or aggravation of such injury or disease, if consistent
with the circumstances, conditions, or hardships of such service,
notwithstanding the fact that there is no official record of such in-
currence or aggravation in such service, and, to that end, shall re-
solve every reasonable doubt in favor of the veteran. Service-con-
nection of such injury or disease may be rebutted by clear and con-
vincing evidence to the contrary. The reasons for granting or deny-
ing service-connection in each case shall be recorded in full.
Sec. 404(20), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 98–542, Sec. 4, Oct. 24, 1984,
98 Stat. 2727; Pub. L. 102–54, Sec. 14(b)(1), June 13, 1991, 105 Stat. 282; renum-
bered Sec. 1154 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991,
105 Stat. 404–406.)
§ 1155. Authority for schedule for rating disabilities

The Secretary shall adopt and apply a schedule of ratings of
reductions in earning capacity from specific injuries or combination
of injuries. The ratings shall be based, as far as practicable, upon
the average impairments of earning capacity resulting from such
injuries in civil occupations. The schedule shall be constructed so
as to provide ten grades of disability and no more, upon which pay-
ments of compensation shall be based, namely, 10 percent, 20 per-
cent, 30 percent, 40 percent, 50 percent, 60 percent, 70 percent, 80
percent, 90 percent, and total, 100 percent. The Secretary shall
from time to time readjust this schedule of ratings in accordance
with experience. However, in no event shall such a readjustment
in the rating schedule cause a veteran’s disability rating in effect
on the effective date of the readjustment to be reduced unless an
improvement in the veteran’s disability is shown to have occurred.
101(c), Mar. 2, 1984, 98 Stat. 38; renumbered Sec. 1155 and amended Pub. L. 102–
83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–86, title
I, Sec. 103(a), Aug. 14, 1991, 105 Stat. 414.)
§ 1156. Temporary disability ratings

(a) ASSIGNMENT OF TEMPORARY RATINGS.—(1) For the purpose
of providing disability compensation under this chapter to veterans,
the Secretary shall assign a temporary disability rating to a vet-
eran as follows:
(A) To a veteran who—
(i) was discharged or released from active duty not
more than 365 days before the date such veteran submits
a claim for disability compensation under this chapter;
(ii) has one or more disabilities for which a rating of
total is not immediately assignable—
(I) under the regular provisions of the schedule of
ratings; or
(II) on the basis of individual unemployability;
and
(iii) has one or more—
(I) severe disabilities that result in substantially
gainful employment not being feasible or advisable; or
(II) healed, unhealed, or incompletely healed
wounds or injuries that make material impairment of
employability likely.
(B) To a veteran who, as a result of a highly stressful in-
service event, has a mental disorder that is severe enough to
bring about the veteran’s discharge or release from active duty.
(C) To a veteran who has a service-connected disability
that requires hospital treatment or observation in a Depart-
ment of Veterans Affairs or approved hospital for a period in
excess of 21 days.
(D) To a veteran who has a service-connected disability
that has required convalescent care or treatment at hospital
discharge (regular discharge or release to non-bed care) or out-
patient release that meets the requirements of regulations pre-
scribed by the Secretary.
(2) With respect to a veteran described in paragraph (1)(A), the
Secretary may assign a temporary disability rating to such veteran
regardless of whether such veteran has obtained a medical exam-
ination or a medical opinion concerning such veteran’s disability.
(3) With respect to a veteran described in paragraph (1)(B), the
Secretary shall schedule a medical examination for such veteran
not later than six months after the separation or discharge of such
veteran from active duty.
(b) TERMINATION OF TEMPORARY DISABILITY RATINGS.—(1) Ex-
cept as provided in paragraph (2), a temporary disability rating as-
signed to a veteran under this section shall remain in effect as fol-
lows:
(A) For a veteran who is assigned a temporary disability
rating under subsection (a)(1)(A), until the later of the date
that is—
(i) 12 months after the date of discharge or release
from active duty; or
(ii) provided in regulations prescribed by the Sec-
retary.
(B) For a veteran who is assigned a temporary disability

rating under subsection (a)(1)(B), until the date on which a rat-
ing decision is issued to such veteran following the medical ex-
amination scheduled under subsection (a)(3).
(C) For a veteran who is assigned a temporary disability
rating under subsection (a)(1)(C), until the later of the date
that is—
(i) the last day of the month in which the veteran is
discharged from the hospital as described in such sub-
section (a)(1)(C); or
(ii) provided in regulations prescribed by the Sec-
retary.
(D) For a veteran who is assigned a temporary disability
rating under subsection (a)(1)(D), until the date that is pro-
vided in regulations prescribed by the Secretary.
(2) The Secretary may extend a temporary disability rating as-
signed to a veteran under subsection (a) beyond the applicable ter-
mination date under paragraph (1) if the Secretary determines that
such an extension is appropriate.
(c) REGULATIONS.—The Secretary shall prescribe regulations to
carry out the provisions of this section.
(d) CONSTRUCTION.—Nothing in this section shall be construed
to preclude the Secretary from providing a temporary disability rat-
ing under an authority other than this section.
§ 1157. Combination of certain ratings

The Secretary shall provide for the combination of ratings and
pay compensation at the rates prescribed in subchapter II of this
chapter to those veterans who served during a period of war and
during any other time, who have suffered disability in line of duty
in each period of service.
amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1158. Disappearance
Where a veteran receiving compensation under this chapter
disappears, the Secretary may pay the compensation otherwise
payable to the veteran to such veteran’s spouse, children, and par-
ents. Payments made to such spouse, child, or parent under the
preceding sentence shall not exceed the amounts payable to each
if the veteran had died from service-connected disability.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1125, Sec. 358; Pub. L. 86–212, Sept. 1,
1959, 73 Stat. 436; Pub. L. 94–433, title IV, Sec. 404(21), Sept. 30, 1976, 90 Stat.
1379; renumbered Sec. 1158 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a),
Aug. 6, 1991, 105 Stat. 404–406.)
§ 1159. Protection of service connection

Service connection for any disability or death granted under
this title which has been in force for ten or more years shall not
be severed on or after January 1, 1962, except upon a showing that
the original grant of service connection was based on fraud or it is
clearly shown from military records that the person concerned did
not have the requisite service or character of discharge. The men-
tioned period shall be computed from the date determined by the

Secretary as the date on which the status commenced for rating
purposes.
(Added Pub. L. 86–501, Sec. 1, June 10, 1960, 74 Stat. 195, Sec. 359; amended Pub.
L. 87–825, Sec. 6, Oct. 15, 1962, 76 Stat. 950; renumbered Sec. 1159 and amended
Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1160. Special consideration for certain cases of loss of
paired organs or extremities
(a) Where a veteran has suffered—
(1) impairment of vision in one eye as a result of service-
connected disability and impairment of vision in the other eye
as a result of non-service-connected disability not the result of
the veteran’s own willful misconduct and—
(A) the impairment of vision in each eye is rated at a
visual acuity of 20/200 or less; or
(B) the peripheral field of vision for each eye is 20 de-
grees or less;
(2) the loss or loss of use of one kidney as a result of serv-
ice-connected disability and involvement of the other kidney as
a result of non-service-connected disability not the result of the
veteran’s own willful misconduct;
(3) deafness compensable to a degree of 10 percent or more
in one ear as a result of service-connected disability and deaf-
ness in the other ear as the result of non-service-connected dis-
ability not the result of the veteran’s own willful misconduct;
(4) the loss or loss of use of one hand or one foot as a re-
sult of service-connected disability and the loss or loss of use
of the other hand or foot as a result of non-service-connected
disability not the result of the veteran’s own willful mis-
conduct; or
(5) permanent service-connected disability of one lung,
rated 50 percent or more disabling, in combination with a non-
service-connected disability of the other lung that is not the re-
sult of the veteran’s own willful misconduct,
the Secretary shall assign and pay to the veteran the applicable
rate of compensation under this chapter as if the combination of
disabilities were the result of service-connected disability.
(b) If a veteran described in subsection (a) of this section re-
ceives any money or property of value pursuant to an award in a
judicial proceeding based upon, or a settlement or compromise of,
any cause of action for damages for the non-service-connected dis-
ability described in such subsection, the increase in the rate of
compensation otherwise payable under this section shall not be
paid for any month following a month in which any such money or
property is received until such time as the total of the amount of
such increase that would otherwise have been payable equals the
total of the amount of any such money received and the fair market
value of any such property received.
(Added Pub. L. 87–610, Sec. 1, Aug. 28, 1962, 76 Stat. 406, Sec. 360; amended Pub.
L. 89–311, Sec. 3(a), (b), Oct. 31, 1965, 79 Stat. 1155; Pub. L. 94–433, title IV, Sec.
404(22), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 98–160, title VII, Sec. 702(3), Nov.
21, 1983, 97 Stat. 1009; Pub. L. 99–576, title I, Sec. 109(a)(1), Oct. 28, 1986, 100
Stat. 3253; renumbered Sec. 1160 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 107–330, title I, Sec. 103, Dec. 6,
2002, 116 Stat. 2822; Pub. L. 110–157, title I, Sec. 102, Dec. 26, 2007, 121 Stat.
1831.)
§ 1161. Payment of disability compensation in disability sev-
erance cases
The deduction of disability severance pay from disability com-
pensation, to the extent required by section 1212(d) of title 10,
shall be made at a monthly rate not in excess of the rate of com-
pensation to which the former member would be entitled based on
the degree of such former member’s disability as determined on the
initial Department rating.
(Added Pub. L. 91–241, May 7, 1970, 84 Stat. 203, Sec. 361; amended Pub. L. 94–
433, title IV, Sec. 404(23), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 98–160, title VII,
Sec. 702(4), Nov. 21, 1983, 97 Stat. 1009; renumbered Sec. 1161 and amended Pub.
L. 102–83, Sec. 4(a)(3), (4), 5(a), Aug. 6, 1991, 105 Stat. 404, 406; Pub. L. 110–181,
div. A, title XVI, Sec. 1646(c), as added Pub. L. 110–389, title I, Sec. 103(a)(2), Oct.
10, 2008, 122 Stat. 4148.)
§ 1162. Clothing allowance
The Secretary under regulations which the Secretary shall pre-
scribe, shall pay a clothing allowance of $677 per year to each vet-
eran who—
(1) because of a service-connected disability, wears or uses
a prosthetic or orthopedic appliance (including a wheelchair)
which the Secretary determines tends to wear out or tear the
clothing of the veteran; or
(2) uses medication which (A) a physician has prescribed
for a skin condition which is due to a service-connected dis-
ability, and (B) the Secretary determines causes irreparable
damage to the veteran’s outergarments.
(Added Pub. L. 92–328, title I, Sec. 103(a), June 30, 1972, 86 Stat. 394, Sec. 362;
amended Pub. L. 94–71, title I, Sec. 103, Aug. 5, 1975, 89 Stat. 396; Pub. L. 94–
433, title III, Sec. 301, title IV, Sec. 404(24), Sept. 30, 1976, 90 Stat. 1377, 1379;
Pub. L. 95–117, title III, Sec. 301, Oct. 3, 1977, 91 Stat. 1065; Pub. L. 95–479, title
I, Sec. 103, Oct. 18, 1978, 92 Stat. 1562; Pub. L. 96–128, title I, Sec. 103, Nov. 28,
1979, 93 Stat. 984; Pub. L. 96–385, title I, Sec. 103, Oct. 7, 1980, 94 Stat. 1529;
Pub. L. 97–66, title I, Sec. 103, Oct. 17, 1981, 95 Stat. 1027; Pub. L. 97–253, title
IV, Sec. 405(d), Sept. 8, 1982, 96 Stat. 804; Pub. L. 97–306, title I, Sec. 103, 107,
Oct. 14, 1982, 96 Stat. 1430, 1431; Pub. L. 98–223, title I, Sec. 103, Mar. 2, 1984,
98 Stat. 38; Pub. L. 98–543, title I, Sec. 103, Oct. 24, 1984, 98 Stat. 2736; Pub. L.
99–238, title I, Sec. 103, Jan. 13, 1986, 99 Stat. 1766; Pub. L. 99–576, title I, Sec.
103, Oct. 28, 1986, 100 Stat. 3251; Pub. L. 100–227, title I, Sec. 103, Dec. 31, 1987,
101 Stat. 1553; Pub. L. 100–687, div. B, title XI, Sec. 1103, Nov. 18, 1988, 102 Stat.
4124; Pub. L. 101–237, title I, Sec. 103, 112, Dec. 18, 1989, 103 Stat. 2063, 2065;
Pub. L. 102–3, Sec. 4, Feb. 6, 1991, 105 Stat. 8; renumbered Sec. 1162, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–152, Sec. 4, Nov. 12, 1991,
105 Stat. 986; Pub. L. 103–78, Sec. 3, Aug. 13, 1993, 107 Stat. 768; Pub. L. 103–
94, Sec. 4, Dec. 21, 2001, 115 Stat. 901; Pub. L. 107–330, title III, Sec. 309(c), Dec.
6, 2002, 116 Stat. 2830; Pub. L. 108–454, title III, Sec. 307(c), Dec. 10, 2004, 118
Stat. 3613; Pub. L. 109–111, Sec. 2(c), Nov. 22, 2005, 119 Stat. 2363; Pub. L. 109–
444, Sec. 9(c), Dec. 21, 2006, 120 Stat. 3315; Pub. L. 109–461, title X, Secs. 1005(c),
1006(b), Dec. 22, 2006, 120 Stat. 3467, 3468; Pub. L. 110–324, Sec. 3(c), Sept. 24,
2008, 122 Stat. 3551.)
§ 1163. Trial work periods and vocational rehabilitation for

certain veterans with total disability ratings
(a)(1) The disability rating of a qualified veteran who begins to
engage in a substantially gainful occupation after January 31,
1985, may not be reduced on the basis of the veteran having se-
cured and followed a substantially gainful occupation unless the
veteran maintains such an occupation for a period of 12 consecutive
months.
(2) For purposes of this section, the term ‘‘qualified veteran’’
means a veteran who has a service-connected disability, or service-
connected disabilities, not rated as total but who has been awarded
a rating of total disability by reason of inability to secure or follow
a substantially gainful occupation as a result of such disability or
disabilities.
(b) The Secretary shall make counseling services described in
section 3104(a)(2) of this title and placement and postplacement
services described in section 3104(a)(5) of this title available to
each qualified veteran (whether or not the veteran is participating
in a vocational rehabilitation program under chapter 31 of this
title).
(c)(1) In the case of each award after January 31, 1985, of a
rating of total disability described in subsection (a)(2) of this sec-
tion to a veteran, the Secretary shall provide to the veteran, at the
time that notice of the award is provided to the veteran, a state-
ment providing—
(A) notice of the provisions of this section;
(B) information explaining the purposes and availability of
and eligibility for, and the procedures for pursuing, a voca-
tional rehabilitation program under chapter 31 of this title;
and
(C) a summary description of the scope of services and as-
sistance available under that chapter.
(2) After providing the notice required under paragraph (1) of
this subsection, the Secretary shall offer the veteran the oppor-
tunity for an evaluation under section 3106(a) of this title.
(Added Pub. L. 98–543, title I, Sec. 111(a)(1), Oct. 24, 1984, 98 Stat. 2738, Sec. 363;
amended Pub. L. 100–687, div. B, title XIII, Sec. 1301, Nov. 18, 1988, 102 Stat.
(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–291, Sec. 2(a), May 20, 1992,
106 Stat. 178; Pub. L. 102–568, title IV, Sec. 401(a)–(d)(1), Oct. 29, 1992, 106 Stat.
4336.)
115
øPART II—GENERAL BENEFITS¿
CHAPTER 13—DEPENDENCY AND INDEMNITY
COMPENSATION FOR SERVICE-CONNECTED DEATHS
Sec.
1301. Definitions.
1302. Determination of pay grade.
SUBCHAPTER II—DEPENDENCY AND INDEMNITY COMPENSATION

1310. Deaths entitling survivors to dependency and indemnity compensation.
1311. Dependency and indemnity compensation to a surviving spouse.
1312. Benefits in certain cases of in-service or service-connected deaths.
1313. Dependency and indemnity compensation to children.
1314. Supplemental dependency and indemnity compensation to children.
1315. Dependency and indemnity compensation to parents.
1316. Dependency and indemnity compensation in cases of prior deaths.
1317. Restriction on payments under this chapter.
1318. Benefits for survivors of certain veterans rated totally disabled at time of
death.
1321. Certifications with respect to pay grade.
1322. Certifications with respect to social security entitlement.
1323. Certifications with respect to circumstances of death.
As used in this chapter-
The term ‘‘veteran’’ includes a person who died in the active
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1126, Sec. 401; Pub. L. 91–24, Sec. 4(a),
June 11, 1969, 83 Stat. 33; Pub. L. 91–96, Sec. 5, Oct. 27, 1969, 83 Stat. 145; re-
numbered Sec. 1301, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1302. Determination of pay grade

(a) With respect to a veteran who died in the active military,
naval, or air service, such veteran’s pay grade shall be determined
as of the date of such veteran’s death or as of the date of a pro-
motion after death while in a missing status.
(b) With respect to a veteran who did not die in the active mili-
tary, naval, or air service, such veteran’s pay grade shall be deter-
mined as of—
(1) the time of such veteran’s last discharge or release
from active duty under conditions other than dishonorable; or
117
Sec. 1303 CH. 13—DEPENDENCY AND INDEMNITY COMPENSATION 118
(2) the time of such veteran’s discharge or release from

any period of active duty for training or inactive duty training,
if such veteran’s death results from service-connected disability
incurred during such period and if such veteran was not there-
after discharged or released under conditions other than dis-
honorable from active duty.
(c) The pay grade of any veteran described in section 106(b) of
this title shall be that to which such veteran would have been as-
signed upon final acceptance or entry upon active duty.
(d) If a veteran has satisfactorily served on active duty for a
period of six months or more in a pay grade higher than that speci-
fied in subsection (a) or (b) and any subsequent discharge or re-
lease from active duty was under conditions other than dishonor-
able, the higher pay grade shall be used if it will result in greater
monthly payments to such veteran’s surviving spouse under this
chapter. The determination as to whether an individual has served
satisfactorily for the required period in a higher pay grade shall be
made by the Secretary of the department in which such higher pay
grade was held.
(e) The pay grade of any person not otherwise described in this
section, but who had a compensable status on the date of such per-
son’s death under laws administered by the Secretary, shall be de-
termined by the head of the department under which such person
performed the services by which such person obtained such status
(taking into consideration such person’s duties and responsibilities)
and certified to the Secretary. For the purposes of this chapter,
such person shall be deemed to have been on active duty while per-
forming such services.
1960, 74 Stat. 161; Pub. L. 89–622, Sec. 1, Oct. 4, 1966, 80 Stat. 873; Pub. L. 91–
96, Sec. 1, Oct. 27, 1969, 83 Stat. 144; Pub. L. 92–169, Sec. 2, Nov. 24, 1971, 85
Stat. 489; Pub. L. 94–433, title IV, Sec. 405(1)–(3), Sept. 30, 1976, 90 Stat. 1379;
Pub. L. 102–54, Sec. 14(b)(2), June 13, 1991, 105 Stat. 283; renumbered Sec. 1302
and amended Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat.
403–406.)
§ 1303. Cost-of-living adjustments

(a) In the computation of cost-of-living adjustments for fiscal
years 1998 through 2013 in the rates of dependency and indemnity
compensation payable under this chapter, such adjustments (except
as provided in subsection (b)) shall be made by a uniform percent-
age that is no more than the percentage equal to the social security
increase for that fiscal year, with all increased monthly rates (other
than increased rates equal to a whole dollar amount) rounded down
to the next lower whole dollar amount.
(b) For purposes of this section, the term ‘‘social security in-
crease’’ means the percentage by which benefit amounts payable
under title II of the Social Security Act (42 U.S.C. 401 et seq.) are
increased for any fiscal year as a result of a determination under
section 215(i) of such Act (42 U.S.C. 415(i)).
(Added Pub. L. 105–33, title VIII, Sec. 8031(b)(1), Aug. 5, 1997, 111 Stat. 668;
amended Pub. L. 107–103, title II, Sec. 205, Dec. 27, 2001, 115 Stat. 990; Pub. L.
108–183, title VII, Sec. 706, Dec. 16, 2003, 117 Stat. 2672.)
119 CH. 13—DEPENDENCY AND INDEMNITY COMPENSATION Sec. 1311
§ 1304. Special provisions relating to surviving spouses

No dependency and indemnity compensation shall be paid to
the surviving spouse of a veteran dying after December 31, 1956,
unless such surviving spouse was married to such veteran—
(1) before the expiration of fifteen years after the termi-
nation of the period of service in which the injury or disease
causing the death of the veteran was incurred or aggravated;
or
101(a), Aug. 31, 1967, 81 Stat. 178; Pub. L. 94–433, title IV, Sec. 405(4), (5), Sept.
30, 1976, 90 Stat. 1379; renumbered Sec. 1304, Pub. L. 102–83, Sec. 5(a), Aug. 6,
1991, 105 Stat. 406.)
SUBCHAPTER II—DEPENDENCY AND INDEMNITY

COMPENSATION
§ 1310. Deaths entitling survivors to dependency and indem-
nity compensation
(a) When any veteran dies after December 31, 1956, from a
service-connected or compensable disability, the Secretary shall pay
dependency and indemnity compensation to such veteran’s sur-
viving spouse, children, and parents. The standards and criteria for
determining whether or not a disability is service-connected shall
be those applicable under chapter 11 of this title.
(b) Dependency and indemnity compensation shall not be paid
to the surviving spouse, children, or parents of any veteran dying
after December 31, 1956, unless such veteran (1) was discharged
or released under conditions other than dishonorable from the pe-
riod of active military, naval, or air service in which the disability
causing such veteran’s death was incurred or aggravated, or (2)
died while in the active military, naval, or air service.
(c) A person who receives a payment under the provisions of
the Radiation Exposure Compensation Act of 1990 (42 U.S.C. 2210
note) shall not be deprived, by reason of the receipt of that pay-
ment, of receipt of dependency and indemnity compensation to
which that person is otherwise entitled, but there shall be deducted
from payment of such dependency and indemnity compensation the
amount of the payment under that Act.
Sec. 405(7), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 95–479, title II, Sec. 204, Oct.
18, 1978, 92 Stat. 1564; Pub. L. 97–306, title I, Sec. 112(a), Oct. 14, 1982, 96 Stat.
1432; Pub. L. 100–687, div. B, title XIV, Sec. 1403(b), Nov. 18, 1988, 102 Stat. 4131;
renumbered Sec. 1310 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug.
6, 1991, 105 Stat. 404–406; Pub. L. 108–454, title III, Sec. 302(b), Dec. 10, 2004,
118 Stat. 3610.)
§ 1311. Dependency and indemnity compensation to a sur-

viving spouse
(a)(1) Dependency and indemnity compensation shall be paid to
a surviving spouse at the monthly rate of $1,091.
(2) The rate under paragraph (1) shall be increased by $233 in
the case of the death of a veteran who at the time of death was
in receipt of or was entitled to receive (or but for the receipt of re-
tired pay or retirement pay was entitled to receive) compensation
for a service-connected disability that was rated totally disabling
for a continuous period of at least eight years immediately pre-
ceding death. In determining the period of a veteran’s disability for
purposes of the preceding sentence, only periods in which the vet-
eran was married to the surviving spouse shall be considered.
(3) In the case of dependency and indemnity compensation paid
to a surviving spouse that is predicated on the death of a veteran
before January 1, 1993, the monthly rate of such compensation
shall be the amount based on the pay grade of such veteran, as set
forth in the following table, if the amount is greater than the total
amount determined with respect to that veteran under paragraphs
(1) and (2):
Monthly
Pay grade Monthly rate Pay grade rate
E–1 ....................... $1,091 W–4 ..................... $1,305

E–2 ....................... $1,091 O–1 ...................... $1,153
E–3 ....................... $1,091 O–2 ...................... $1,191
E–4 ....................... $1,091 O–3 ...................... $1,274
E–5 ....................... $1,091 O–4 ...................... $1,349
E–6 ....................... $1,091 O–5 ...................... $1,485
E–7 ....................... $1,129 O–6 ...................... $1,674
E–8 ....................... $1,191 O–7 ...................... $1,808
E–9 ....................... $1,2421 O–8 ...................... $1,985
W–1 ...................... $1,153 O–9 ...................... $2,123
W–2 ...................... $1,198 O–10 .................... $2,3282
W–3 ...................... $1,234 .............................. ........................
1 If the veteran served as sergeant major of the Army, senior enlisted advisor of
the Navy, chief master sergeant of the Air Force, sergeant major of the Marine
Corps, or master chief petty officer of the Coast Guard, at the applicable time des-
ignated by section 1302 of this title, the surviving spouse’s rate shall be $1,342.
2 If the veteran served as Chairman or Vice-Chairman of the Joint Chiefs of
Staff, Chief of Staff of the Army, Chief of Naval Operations, Chief of Staff of the
Air Force, Commandant of the Marine Corps, or Commandant of the Coast Guard,
at the applicable time designated by section 1302 of this title, the surviving
spouse’s rate shall be $2,499.
(b) If there is a surviving spouse with one or more children
below the age of eighteen of a deceased veteran, the dependency
and indemnity compensation paid monthly to the surviving spouse
shall be increased by $271 for each such child.
(c) The monthly rate of dependency and indemnity compensa-
tion payable to a surviving spouse shall be increased by $271 if the
spouse is (1) a patient in a nursing home or (2) blind, or so nearly
blind or significantly disabled as to need or require the regular aid
and attendance of another person.
(d) The monthly rate of dependency and indemnity compensa-
tion payable to a surviving spouse shall be increased by $128 if the
surviving spouse is, by reason of disability, permanently house-
bound but does not qualify for the aid and attendance allowance
under subsection (c) of this section. For the purposes of this sub-
section, the requirement of ‘‘permanently housebound’’ will be con-
sidered to have been met when the surviving spouse is substan-

tially confined to such surviving spouse’s home (ward or clinical
areas, if institutionalized) or immediate premises by reason of a
disability or disabilities which it is reasonably certain will remain
throughout such surviving spouse’s lifetime.
(e) In the case of an individual who is eligible for dependency
and indemnity compensation under this section by reason of section
103(d)(2)(B) of this title who is also eligible for benefits under an-
other provision of law by reason of such individual’s status as the
surviving spouse of a veteran, then, notwithstanding any other pro-
vision of law (other than section 5304(b)(3) of this title), no reduc-
tion in benefits under such other provision of law shall be made by
reason of such individual’s eligibility for benefits under this section.
(f)(1) Subject to paragraphs (2) and (3), if there is a surviving
spouse with one or more children below the age of 18, the depend-
ency and indemnity compensation paid monthly to the surviving
spouse shall be increased by $250, regardless of the number of such
children.
(2) Dependency and indemnity compensation shall be increased
under this subsection only for months occurring during the two-
year period beginning on the date on which entitlement to depend-
ency and indemnity compensation commenced.
(3) The increase in dependency and indemnity compensation of
a surviving spouse under this subsection shall cease beginning with
the first month commencing after the month in which all children
of the surviving spouse have attained the age of 18.
(4) Dependency and indemnity compensation under this sub-
section is in addition to any other dependency and indemnity com-
pensation payable under this chapter.
Sept. 21, 1961, 75 Stat. 566; Pub. L. 88–21, Sec. 1, May 15, 1963, 77 Stat. 17; Pub.
L. 88–134, Sec. 1, Oct. 5, 1963, 77 Stat. 223; Pub. L. 91–24, Sec. 4(b), June 11, 1969,
83 Stat. 33; Pub. L. 91–96, Sec. 3, Oct. 27, 1969, 83 Stat. 144; Pub. L. 91–588, Sec.
3(a), Dec. 24, 1970, 84 Stat. 1583; Pub. L. 92–197, Sec. 1, Dec. 15, 1971, 85 Stat.
660; Pub. L. 92–455, Sec. 4, Oct. 2, 1972, 86 Stat. 761; Pub. L. 93–295, title II, Sec.
201, May 31, 1974, 88 Stat. 182; Pub. L. 94–71, title II, Sec. 201, Aug. 5, 1975, 89
Stat. 396; Pub. L. 94–433, title II, Sec. 201, Sept. 30, 1976, 90 Stat. 1375; Pub. L.
95–117, title II, Sec. 201, Oct. 3, 1977, 91 Stat. 1064; Pub. L. 95–479, title II, Sec.
201, Oct. 18, 1978, 92 Stat. 1562; Pub. L. 96–128, title II, Sec. 201, Nov. 28, 1979,
93 Stat. 984; Pub. L. 96–385, title II, Sec. 201, Oct. 7, 1980, 94 Stat. 1529; Pub.
L. 97–66, title II, Sec. 201, Oct. 17, 1981, 95 Stat. 1028; Pub. L. 97–253, title IV,
Sec. 405(e), Sept. 8, 1982, 96 Stat. 804; Pub. L. 97–306, title I, Sec. 104, 107, Oct.
14, 1982, 96 Stat. 1430, 1431; Pub. L. 98–223, title I, Sec. 104, Mar. 2, 1984, 98
Stat. 38; Pub. L. 98–543, title I, Sec. 104, Oct. 24, 1984, 98 Stat. 2736; Pub. L. 99–
238, title I, Sec. 104, Jan. 13, 1986, 99 Stat. 1766; Pub. L. 99–576, title I, Sec. 104,
Oct. 28, 1986, 100 Stat. 3251; Pub. L. 100–180, div. A, title XIII, Sec. 1314(d)((1)),
Dec. 4, 1987, 101 Stat. 1176; Pub. L. 100–227, title I, Sec. 104, Dec. 31, 1987, 101
Stat. 1554; Pub. L. 100–687, div. B, title XI, Sec. 1104, Nov. 18, 1988, 102 Stat.
4124; Pub. L. 101–237, title I, Sec. 104, Dec. 18, 1989, 103 Stat. 2063; Pub. L. 102–
3, Sec. 5, Feb. 6, 1991, 105 Stat. 9; renumbered Sec. 1311 and amended Pub. L.
102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–152, Sec. 5, Nov.
12, 1991, 105 Stat. 986; Pub. L. 102–568, title I, Sec. 102(a), (b), Oct. 29, 1992, 106
Stat. 4321, 4322; Pub. L. 103–78, Sec. 4, Aug. 13, 1993, 107 Stat. 768; Pub. L. 103–
111 Stat. 2156; Pub. L. 105–178, title VIII, Sec. 8207(a), June 9, 1998, 112 Stat.
495; Pub. L. 106–117, title V, Sec. 502(b), Nov. 30, 1999, 113 Stat. 1574; Pub. L.
106–118, Sec. 5, Nov. 30, 1999, 113 Stat. 1602; Pub. L. 107–94, Sec. 5, Dec. 21,
2001, 115 Stat. 901; Pub. L. 107–330, title III, Sec. 309(d), Dec. 6, 2002, 116 Stat.
2830; Pub. L. 108–183, title I, Sec. 101(b), Dec. 16, 2003, 117 Stat. 2652; Pub. L.
108–454, title III, Secs. 301(a), 307(d), Dec. 10, 2004, 118 Stat. 3610, 3613; Pub. L.
109–111, Sec. 2(d), Nov. 22, 2005, 119 Stat. 2363; Pub. L. 109–233, title V, Sec.
502(3), June 15, 2006, 120 Stat. 415; Pub. L. 109–361, Sec. 4, Oct. 16, 2006, 120
Stat. 2063; Pub. L. 109–444, Sec. 9(d), Dec. 21, 2006, 120 Stat. 3315; Pub. L. 109–
461, title X, Secs. 1005(d), 1006(b), Dec. 22, 2006, 120 Stat. 3467, 3468; Pub. L. 110–
324, Sec. 3(d), Sept. 24, 2008, 122 Stat. 3551.)
§ 1312. Benefits in certain cases of in-service or service-con-
nected deaths
(a) In the case of any veteran—
(1) who dies after December 31, 1956, and is not a fully
and currently insured individual (as defined in section 214 of
the Social Security Act (42 U.S.C. 414)) at the time of such vet-
eran’s death; and
(2) whose death occurs—
(A) while on active duty, active duty for training, or
inactive duty training; or
(B) as the result of a service-connected disability in-
curred after September 15, 1940; and
(3) who leaves one or more survivors who are not entitled
for any month to monthly benefits under section 202 of the So-
cial Security Act (42 U.S.C. 402) on the basis of such veteran’s
wages and self-employment income but who would, upon appli-
cation therefor, be entitled to such benefits if such veteran had
been fully and currently insured at the time of such veteran’s
death;
the Secretary shall pay for such month benefits under this section
to each such survivor in an amount equal to the amount of the ben-
efits which would have been paid for such month to such survivor
under title II of the Social Security Act (42 U.S.C. 401 et seq.), if
such veteran had been both fully and currently insured at the time
of such veteran’s death and if such survivor had filed application
therefor on the same date on which application for benefits under
this section is filed with the Secretary.
(b) In any case where the amount of dependency and indem-
nity compensation payable under this chapter to a surviving spouse
who has children is less than the amount of pension which would
be payable to (1) such surviving spouse, or (2) such children if the
surviving spouse were not entitled, under chapter 15 of this title
had the death occurred under circumstances authorizing payment
of death pension, the Secretary shall pay dependency and indem-
nity compensation to such surviving spouse in an amount equal to
such amount of pension.
Sept. 21, 1961, 75 Stat. 566; Pub. L. 89–466, June 22, 1966, 80 Stat. 217; Pub. L.
94–433, title IV, Sec. 405(9), Sept. 30, 1976, 90 Stat. 1379; Pub. L. 98–223, title II,
Sec. 213(2), Mar. 2, 1984, 98 Stat. 46; Pub. L. 102–54, Sec. 14(b)(3), June 13, 1991,
105 Stat. 283; renumbered Sec. 1312 and amended Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1313. Dependency and indemnity compensation to chil-

dren
(a) Whenever there is no surviving spouse of a deceased vet-
eran entitled to dependency and indemnity compensation, depend-
ency and indemnity compensation shall be paid in equal shares to
the children of the deceased veteran at the following monthly rates:
(1) one child, $462;
(2) two children, $663;

(3) three children, $865; and
(4) more than three children, $865, plus $165 for each
child in excess of three.
(b) If dependency and indemnity compensation has been
awarded under this section to a veteran’s child or children and the
entitlement to dependency and indemnity compensation under this
section of an additional child of that veteran who is over the age
of eighteen years and who had previously been entitled to depend-
ency and indemnity compensation under this section before becom-
ing eighteen years of age is later reestablished effective retro-
actively upon determination that such child is pursuing a course of
instruction at an approved educational institution, the amount pay-
able retroactively to the additional child is the amount equal to the
difference between the total of the increased award payable under
this section to the children of the deceased veteran for the retro-
active period and the prior total award for such purpose for that
period.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1128, Sec. 413; Pub. L. 88–21, Sec. 2, May
15, 1963, 77 Stat. 17; Pub. L. 89–730, Sec. 4, Nov. 2, 1966, 80 Stat. 1159; Pub. L.
91–262, Sec. 2, May 21, 1970, 84 Stat. 256; Pub. L. 92–197, Sec. 2, Dec. 15, 1971,
85 Stat. 660; Pub. L. 93–295, title II, Sec. 202, May 31, 1974, 88 Stat. 182; Pub.
L. 94–71, title II, Sec. 202, Aug. 5, 1975, 89 Stat. 397; Pub. L. 94–433, title II, Sec.
202, Sept. 30, 1976, 90 Stat. 1376; Pub. L. 95–117, title II, Sec. 202, Oct. 3, 1977,
91 Stat. 1065; Pub. L. 95–479, title II, Sec. 202, Oct. 18, 1978, 92 Stat. 1563; Pub.
L. 96–128, title II, Sec. 202, Nov. 28, 1979, 93 Stat. 985; Pub. L. 96–385, title II,
Sec. 202, Oct. 7, 1980, 94 Stat. 1530; Pub. L. 97–66, title II, Sec. 202, 204(a), Oct.
17, 1981, 95 Stat. 1029; Pub. L. 97–253, title IV, Sec. 405(f), Sept. 8, 1982, 96 Stat.
804; Pub. L. 97–306, title I, Sec. 105, 107, Oct. 14, 1982, 96 Stat. 1431; Pub. L. 98–
223, title I, Sec. 105, Mar. 2, 1984, 98 Stat. 39; Pub. L. 98–543, title I, Sec. 105,
Oct. 24, 1984, 98 Stat. 2737; Pub. L. 99–238, title I, Sec. 105, Jan. 13, 1986, 99 Stat.
1767; Pub. L. 99–576, title I, Sec. 105, title VII, Sec. 703(a)(1), Oct. 28, 1986, 100
Stat. 3252, 3302; Pub. L. 100–227, title I, Sec. 105, Dec. 31, 1987, 101 Stat. 1554;
Pub. L. 100–687, div. B, title XI, Sec. 1105(a), Nov. 18, 1988, 102 Stat. 4124; Pub.
L. 101–237, title I, Sec. 105(a), Dec. 18, 1989, 103 Stat. 2064; Pub. L. 102–3, Sec.
6(a), Feb. 6, 1991, 105 Stat. 9; renumbered Sec. 1313, Pub. L. 102–83, Sec. 5(a),
Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–152, Sec. 6(a), Nov. 12, 1991, 105 Stat.
987; Pub. L. 103–78, Sec. 5(a), Aug. 13, 1993, 107 Stat. 768; Pub. L. 103–140, Sec.
6(a), Nov. 11, 1993, 107 Stat. 1487; Pub. L. 105–98, Sec. 6(a), Nov. 19, 1997, 111
Stat. 2157; Pub. L. 106–118, Sec. 6(a), Nov. 30, 1999, 113 Stat. 1603; Pub. L. 107–
94, Sec. 6(a), Dec. 21, 2001, 115 Stat. 902; Pub. L. 107–330, title III, Sec. 309(e)(1),
Dec. 6, 2002, 116 Stat. 2831; Pub. L. 108–454, title III, Sec. 307(e)(1), Dec. 10, 2004,
118 Stat. 3614; Pub. L. 109–111, Sec. 2(e)(1), Nov. 22, 2005, 119 Stat. 2364; Pub.
L. 109–444, Sec. 9(e)(1), Dec. 21, 2006, 120 Stat. 3315; Pub. L. 109–461, title X,
Secs. 1005(e)(1), 1006(b), Dec. 22, 2006, 120 Stat. 3468; Pub. L. 110–324, Sec.
3(e)(1), Sept. 24, 2008, 122 Stat. 3552.)
§ 1314. Supplemental dependency and indemnity compensa-
tion to children
(a) In the case of a child entitled to dependency and indemnity
compensation who has attained the age of eighteen and who, while
under such age, became permanently incapable of self-support, the
dependency and indemnity compensation paid monthly to such
child shall be increased by $271.
(b) If dependency and indemnity compensation is payable
monthly to a person as a surviving spouse and there is a child (of
such person’s deceased spouse) who has attained the age of eight-
een and who, while under such age, became permanently incapable
of self-support, dependency and indemnity compensation shall be
paid monthly to each such child, concurrently with the payment of

dependency and indemnity compensation to the surviving spouse,
in the amount of $462.
(c) If dependency and indemnity compensation is payable
monthly to a person as a surviving spouse and there is a child (of
such person’s deceased spouse), who has attained the age of eight-
een and who, while under the age of twenty-three, is pursuing a
course of instruction at an educational institution approved under
section 104 of this title, dependency and indemnity compensation
shall be paid monthly to each such child, concurrently with the
payment of dependency and indemnity compensation to the sur-
viving spouse, in the amount of $230.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1128, Sec. 414; Pub. L. 88–21, Sec. 3, May
15, 1963, 77 Stat. 17; Pub. L. 89–311, Sec. 2(c)(2), Oct. 31, 1965, 79 Stat. 1155; Pub.
L. 89–730, Sec. 5, Nov. 2, 1966, 80 Stat. 1159; Pub. L. 91–262, Sec. 3, May 21, 1970,
84 Stat. 256; Pub. L. 92–197, Sec. 3, Dec. 15, 1971, 85 Stat. 661; Pub. L. 93–295,
title II, Sec. 203, May 31, 1974, 88 Stat. 183; Pub. L. 94–71, title II, Sec. 203, Aug.
5, 1975, 89 Stat. 397; Pub. L. 94–433, title II, Sec. 203, title IV, Sec. 405(10), Sept.
30, 1976, 90 Stat. 1376, 1380; Pub. L. 95–117, title II, Sec. 203, Oct. 3, 1977, 91
Stat. 1065; Pub. L. 95–479, title II, Sec. 203, Oct. 18, 1978, 92 Stat. 1563; Pub. L.
96–128, title II, Sec. 203, Nov. 28, 1979, 93 Stat. 985; Pub. L. 96–385, title II, Sec.
203, Oct. 7, 1980, 94 Stat. 1530; Pub. L. 97–66, title II, Sec. 203, Oct. 17, 1981, 95
Stat. 1029; Pub. L. 97–253, title IV, Sec. 405(g), Sept. 8, 1982, 96 Stat. 804; Pub.
L. 97–306, title I, Sec. 106, 107, Oct. 14, 1982, 96 Stat. 1431; Pub. L. 98–223, title
I, Sec. 106, Mar. 2, 1984, 98 Stat. 39; Pub. L. 98–543, title I, Sec. 106, Oct. 24, 1984,
98 Stat. 2737; Pub. L. 99–238, title I, Sec. 106, Jan. 13, 1986, 99 Stat. 1767; Pub.
L. 99–576, title I, Sec. 106, Oct. 28, 1986, 100 Stat. 3252; Pub. L. 100–227, title I,
Sec. 106, Dec. 31, 1987, 101 Stat. 1555; Pub. L. 100–687, div. B, title XI, Sec.
1105(b), Nov. 18, 1988, 102 Stat. 4124; Pub. L. 101–237, title I, Sec. 105(b), Dec.
18, 1989, 103 Stat. 2064; Pub. L. 102–3, Sec. 6(b), Feb. 6, 1991, 105 Stat. 9; renum-
bered Sec. 1314, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–
152, Sec. 6(b), Nov. 12, 1991, 105 Stat. 987; Pub. L. 103–78, Sec. 5(b), Aug. 13, 1993,
107 Stat. 769; Pub. L. 103–140, Sec. 6(b), Nov. 11, 1993, 107 Stat. 1487; Pub. L.
105–98, Sec. 6(b), Nov. 19, 1997, 111 Stat. 2157; Pub. L. 106–118, Sec. 6(b), Nov.
30, 1999, 113 Stat. 1603; Pub. L. 107–94, Sec. 6(b), Dec. 21, 2001, 115 Stat. 902;
Pub. L. 107–330, title III, Sec. 309(e)(2), Dec. 6, 2002, 116 Stat. 2831; Pub. L. 108–
454, title III, Sec. 307(e)(2), Dec. 10, 2004, 118 Stat. 3614; Pub. L. 109–111, Sec.
2(e)(2), Nov. 22, 2005, 119 Stat. 2364; Pub. L. 109–444, Sec. 9(e)(2), Dec. 21, 2006,
120 Stat. 3315; Pub. L. 109–461, title X, Secs. 1005(e)(2), 1006(b), Dec. 22, 2006,
120 Stat. 3468; Pub. L. 110–324, Sec. 3(e)(2), Sept. 24, 2008, 122 Stat. 3552.)
§ 1315. Dependency and indemnity compensation to parents
(a)(1) Except as provided in paragraph (2), dependency and in-
demnity compensation shall be paid monthly to parents of a de-
ceased veteran in the amounts prescribed by this section.
(2) Under regulations prescribed by the Secretary, benefits
under this section may be paid less frequently than monthly if the
amount of the annual benefit is less than 4 percent of the max-
imum annual rate payable under this section.
(b)(1) Except as provided in paragraph (4) of this subsection,
if there is only one parent, the monthly rate of dependency and in-
demnity compensation paid to such parent shall be $163, as in-
creased from time to time under section 5312(b)(1) of this title and
reduced by an amount, based upon the amount of such parent’s an-
nual income, determined in accordance with regulations which the
Secretary shall prescribe under section 5312(b)(2) of this title.
(2) In no case may the amount of dependency and indemnity
compensation payable to any parent under this subsection be less
than $5 monthly.
(3) In no case may dependency and indemnity compensation be

paid under paragraph (1) of this subsection to any parent if the an-
nual income of such parent exceeds $4,038, as increased from time
to time under section 5312 of this title.
(4) If there is only one parent and such parent has remarried
and is living with such parent’s spouse, dependency and indemnity
compensation shall be paid to such parent under either paragraph
(1) of this subsection or under subsection (d) of this section, which-
ever will result in the greater amount of such compensation being
paid to such parent. In such a case of remarriage the total com-
bined annual income of the parent and such parent’s spouse shall
be counted in determining the monthly rate of dependency and in-
demnity compensation under the appropriate formula.
(c)(1) Except as provided in subsection (d) of this section, if
there are two parents, but they are not living together, the monthly
rate of dependency and indemnity compensation paid to each such
parent shall be $115, as increased from time to time under section
5312(b)(1) of this title and reduced by an amount, based upon the
amount of such parent’s annual income, determined in accordance
with regulations which the Secretary shall prescribe under section
5312(b)(2) of this title.
than $5 monthly.
paid under paragraph (1) of this subsection to any parent if the an-
nual income of such parent exceeds $4,038, as increased from time
to time under section 5312 of this title.
(d)(1) If there are two parents who are living together, or if a
parent has remarried and is living with such parent’s spouse, the
monthly rate of dependency and indemnity compensation paid to
such parent shall be $109, as increased from time to time under
section 5312(b)(1) of this title and reduced by an amount, based
upon the amount of the combined annual income of the parents or
the parent and the parent’s spouse, determined in accordance with
regulations which the Secretary shall prescribe under section
than $5 monthly.
paid under this subsection to a parent if the total combined annual
income of the parent and such parent’s spouse exceeds $5,430, as
increased from time to time under section 5312 of this title.
(e) The Secretary may require as a condition of granting or
continuing dependency and indemnity compensation to a parent
that such parent, other than one who has attained seventy-two
years of age and has been paid dependency and indemnity com-
pensation during two consecutive calendar years, file for a calendar
year with the Secretary (on the form prescribed by the Secretary)
a report showing the total income which such parent expects to re-
ceive in that year and the total income which such parent received
in the preceding year. The parent or parents shall notify the Sec-
retary whenever there is a material change in annual income.
(f)(1) In determining income under this section, all payments

of any kind or from any source shall be included, except—
(A) payments of the six-months’ death gratuity;
(B) donations from public or private relief or welfare orga-
nizations;
(C) payments under this chapter (except section 1312(a))
and chapters 11 and 15 of this title and under the first sen-
tence of section 9(b) of the Veterans’ Pension Act of 1959;
(D) lump-sum death payments under title II of the Social
Security Act (42 U.S.C. 401 et seq.);
(E) payments of bonus or similar cash gratuity by any
State based upon service in the Armed Forces;
(F) payments under policies of servicemembers’ group life
insurance, United States Government life insurance or na-
tional service life insurance, and payments of servicemen’s in-
demnity;
(G) 10 percent of the amount of payments to an individual
under public or private retirement, annuity, endowment, or
similar plans or programs;
(H) amounts equal to amounts paid by a parent of a de-
ceased veteran for—
(i) a deceased spouse’s just debts,
(ii) the expenses of the spouse’s last illness to the ex-
tent such expenses are not reimbursed under chapter 51 of
this title, and
(iii) the expenses of the spouse’s burial to the extent
that such expenses are not reimbursed under chapter 23
or chapter 51 of this title;
(I) reimbursements of any kind for any casualty loss (as
defined in regulations which the Secretary shall prescribe), but
the amount excluded under this clause may not exceed the
greater of the fair market value or the reasonable replacement
value of the property involved at the time immediately pre-
ceding the loss;
(J) amounts equal to amounts paid by a parent of a de-
ceased veteran for—
(i) the expenses of the veteran’s last illness, and
(ii) the expenses of such veteran’s burial to the extent
that such expenses are not reimbursed under chapter 23
of this title;
(K) profit realized from the disposition of real or personal
property other than in the course of a business;
(L) payments received for discharge of jury duty or obliga-
tory civic duties;
(M) payments of annuities elected under subchapter I of
chapter 73 of title 10.
(2) Where a fraction of a dollar is involved, annual income
shall be fixed at the next lower dollar.
(3) The Secretary may provide by regulation for the exclusion
from income under this section of amounts paid by a parent for un-
usual medical expenses.
(g) The monthly rate of dependency and indemnity compensa-
tion payable to a parent shall be increased by $85, as increased
from time to time under section 5312 of this title, if such parent
is (1) a patient in a nursing home or (2) blind, or so nearly blind

or significantly disabled as to need or require the regular aid and
attendance of another person.
Sept. 21, 1961, 75 Stat. 566; Pub. L. 88–21, Sec. 4, May 15, 1963, 77 Stat. 17; Pub.
L. 89–730, Sec. 1, 2, Nov. 2, 1966, 80 Stat. 1157, 1158; Pub. L. 90–275, Sec. 2, Mar.
28, 1968, 82 Stat. 66; Pub. L. 91–588, Sec. 2, 8(a), Dec. 24, 1970, 84 Stat. 1582,
1584; Pub. L. 92–197, Sec. 4, Dec. 15, 1971, 85 Stat. 661; Pub. L. 92–425, Sec. 6(1),
Sept. 21, 1972, 86 Stat. 713; Pub. L. 93–177, Sec. 4, Dec. 6, 1973, 87 Stat. 695; Pub.
L. 93–527, Sec. 7, Dec. 21, 1974, 88 Stat. 1704; Pub. L. 94–169, title II, Sec. 201,
Dec. 23, 1975, 89 Stat. 1019; Pub. L. 94–432, title III, Sec. 301, Sept. 30, 1976, 90
Stat. 1371; Pub. L. 95–204, title II, Sec. 201, Dec. 2, 1977, 91 Stat. 1457; Pub. L.
95–588, title II, Sec. 201, Nov. 4, 1978, 92 Stat. 2505; Pub. L. 96–466, title VI, Sec.
605(c)(1), Oct. 17, 1980, 94 Stat. 2211; Pub. L. 97–295, Sec. 4(10), Oct. 12, 1982, 96
Stat. 1305; Pub. L. 100–687, div. B, title XIV, Sec. 1402(a), Nov. 18, 1988, 102 Stat.
4129; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renum-
bered Sec. 1315 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug.
6, 1991, 105 Stat. 404–406; Pub. L. 102–86, title I, Sec. 102, Aug. 14, 1991, 105 Stat.
414; Pub. L. 103–271, Sec. 9(a), July 1, 1994, 108 Stat. 743; Pub. L. 104–275, title
IV, Sec. 405(c)(1), Oct. 9, 1996, 110 Stat. 3340; Pub. L. 109–233, title V, Sec. 502(3),
June 15, 2006, 120 Stat. 415.)
§ 1316. Dependency and indemnity compensation in cases of
prior deaths
(a)(1) Any person who is eligible as a surviving spouse or child
for death compensation by reason of a death occurring before Janu-
ary 1, 1957, may receive dependency and indemnity compensation
upon application therefor.
(2) Any person who is eligible as a parent, or, but for such per-
son’s annual income, would be eligible as a parent, for death com-
pensation by reason of a death occurring before January 1, 1957,
may receive dependency and indemnity compensation upon applica-
tion therefor; however, the annual income limitations established
by section 1315 of this title shall apply to each such parent.
(b)(1) Whenever the surviving spouse of a veteran has been
granted dependency and indemnity compensation by reason of this
section, payments to such surviving spouse and to the children of
the veteran shall thereafter be made under this chapter, and shall
not thereafter be made to them by reason of the death of the vet-
eran under (A) other provisions of law administered by the Sec-
retary providing for the payment of compensation or pension, or (B)
subchapter I of chapter 81 of title 5.
(2) Whenever the child or parent of any veteran is granted de-
pendency and indemnity compensation, payments shall not there-
after be made to such child or parent by reason of the death of the
veteran under (A) other provisions of law administered by the Sec-
retary providing for the payment of compensation or pension, or (B)
subchapter I of chapter 81 of title 5.
(c) If children of a deceased individual are receiving death com-
pensation, and all such children have not applied for dependency
and indemnity compensation, (1) dependency and indemnity com-
pensation paid to each child who has applied therefor shall not ex-
ceed the amounts which would be paid if the application had been
made by, or on behalf of, all such children, and (2) benefits paid
under other provisions of law administered by the Secretary pro-
viding for the payment of compensation or pension, or under sub-
chapter I of chapter 81 of title 5, to each child who has not so ap-
plied therefor shall not exceed the amounts which would be paid
to such child if no such application had been made.
(d) If there are two parents of a deceased individual eligible for
benefits by reason of subsection (a), and an application for depend-
ency and indemnity compensation is not made by both parents, (1)
dependency and indemnity compensation paid to the parent who
applies therefor shall not exceed the amounts which would be paid
to such parent if both parents had so applied, and (2) benefits paid
under other provisions of law administered by the Secretary pro-
viding for the payment of compensation, or under subchapter I of
chapter 81 of title 5, to the parent who has not so applied therefor
shall not exceed the amounts which would be paid to such parent
if no such application had been made.
(e)(1) Except as provided in paragraphs (3) and (4), no person
who, on January 1, 1957, was a principal or contingent beneficiary
of any payments under the Servicemen’s Indemnity Act of 1951
may receive any such payments based upon the death giving rise
to such payments after such person has been granted dependency
and indemnity compensation based upon that death. No principal
or contingent beneficiary who has assigned such beneficiary’s inter-
est in payments under the Servicemen’s Indemnity Act of 1951
after June 28, 1956, may receive any payments under this chapter
based upon the death giving rise to such payments until the por-
tion of the indemnity so assigned is no longer payable to any per-
son.
(2) Where a beneficiary is barred from the receipt of payments
under the Servicemen’s Indemnity Act of 1951 by virtue of the first
sentence of paragraph (1), no payments of the portion of indemnity
in which such beneficiary had an interest shall be made to any
other beneficiary.
(3) In the case of a child who has applied for dependency and
indemnity compensation pursuant to this section or prior cor-
responding provisions of law, and who is or becomes a beneficiary
under the Servicemen’s Indemnity Act of 1951 by reason of the
death giving rise to such child’s eligibility for dependency and in-
demnity compensation, the Secretary shall determine and pay to
such child for each month, or part thereof, payments under this
chapter or under such Act, whichever payment the Secretary deter-
mines to be the greater amount.
(4) Notwithstanding paragraph (2), where a child receives de-
pendency and indemnity compensation under this chapter, and
thereafter dies, the portion of servicemen’s indemnity in which
such child had an interest may be paid (subject to paragraph (3))
to another child of the person by reason of whose death such serv-
icemen’s indemnity was payable.
Sec. 405(11)–(16), Sept. 30, 1976, 90 Stat. 1380; Pub. L. 97–295, Sec. 4(11), Oct. 12,
1982, 96 Stat. 1305; renumbered Sec. 1316 and amended Pub. L. 102–83, Sec.
4(a)(1), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403–406.)
§ 1317. Restriction on payments under this chapter

(a) Except as provided in subsection (b), no person eligible for
dependency and indemnity compensation by reason of any death
occurring after December 31, 1956, shall be eligible by reason of
such death for any payments under (1) provisions of law adminis-
tered by the Secretary providing for the payment of death com-
pensation or death pension, or (2) subchapter I of chapter 81 of
title 5.
(b) A surviving spouse who is eligible for dependency and in-
demnity compensation may elect to receive death pension instead
of such compensation.
(b), June 25, 1970, 84 Stat. 332; Pub. L. 92–197, Sec. 5, Dec. 15, 1971, 85 Stat. 662;
Pub. L. 97–295, Sec. 4(11), Oct. 12, 1982, 96 Stat. 1305; renumbered Sec. 1317 and
amended Pub. L. 102–83, Sec. 4(a)(1), 5(a), Aug. 6, 1991, 105 Stat. 403, 406; Pub.
L. 103–446, title I, Sec. 111(a), Nov. 2, 1994, 108 Stat. 4654.)
§ 1318. Benefits for survivors of certain veterans rated to-

tally disabled at time of death
(a) The Secretary shall pay benefits under this chapter to the
surviving spouse and to the children of a deceased veteran de-
scribed in subsection (b) of this section in the same manner as if
the veteran’s death were service connected.
(b) A deceased veteran referred to in subsection (a) of this sec-
tion is a veteran who dies, not as the result of the veteran’s own
willful misconduct, and who was in receipt of or entitled to receive
(or but for the receipt of retired or retirement pay was entitled to
receive) compensation at the time of death for a service-connected
disability rated totally disabling if—
(1) the disability was continuously rated totally disabling
for a period of 10 or more years immediately preceding death;
(2) the disability was continuously rated totally disabling
for a period of not less than five years from the date of such
veteran’s discharge or other release from active duty; or
(3) the veteran was a former prisoner of war who died
after September 30, 1999, and the disability was continuously
rated totally disabling for a period of not less than one year
immediately preceding death.
(c) Benefits may not be paid under this chapter by reason of
this section to a surviving spouse of a veteran unless—
(1) the surviving spouse was married to the veteran for
one year or more immediately preceding the veteran’s death; or
(2) a child was born of the marriage or was born to them
before the marriage.
(d) If a surviving spouse or a child receives any money or prop-
erty of value pursuant to an award in a judicial proceeding based
upon, or a settlement or compromise of, any cause of action for
damages for the death of a veteran described in subsection (a) of
this section, benefits under this chapter payable to such surviving
spouse or child by virtue of this section shall not be paid for any
month following a month in which any such money or property is
received until such time as the total amount of such benefits that
would otherwise have been payable equals the total of the amount
of the money received and the fair market value of the property re-
ceived.
(e) For purposes of sections 1448(d) and 1450(c) of title 10, eli-
gibility for benefits under this chapter by virtue of this section
shall be deemed eligibility for dependency and indemnity com-

pensation under section 1311(a) of this title.
(Added Pub. L. 100–687, div. B, title XIV, Sec. 1403(a)(1), Nov. 18, 1988, 102 Stat.
4130, Sec. 418; amended Pub. L. 101–237, title I, Sec. 113, Dec. 18, 1989, 103 Stat.
(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 106–117, title V, Sec. 501(b), Nov.
30, 1999, 113 Stat. 1573; Pub. L. 106–419, title IV, Sec. 404(a)(2), Nov. 1, 2000, 114
Stat. 1864.)
§ 1321. Certifications with respect to pay grade
The Secretary concerned shall, at the request of the Secretary,
certify to the Secretary the pay grade of deceased persons with re-
spect to whose deaths applications for benefits are filed under this
chapter. The certification of the Secretary concerned shall be bind-
ing upon the Secretary.
Aug. 6, 1991, 105 Stat. 404–406.)
§ 1322. Certifications with respect to social security entitle-

ment
(a) Determinations required by section 1312(a) of this title
(other than a determination required by section 1312(a)(2) of this
title) as to whether any survivor described in section 1312(a)(3) of
this title of a deceased individual would be entitled to benefits
under section 202 of the Social Security Act (42 U.S.C. 402) for any
month and as to the amount of the benefits which would be paid
for such month, if the deceased veteran had been a fully and cur-
rently insured individual at the time of such veteran’s death, shall
be made by the Commissioner of Social Security, and shall be cer-
tified by the Commissioner to the Secretary upon request of the
Secretary.
(b) The Secretary shall pay to the Commissioner of Social Secu-
rity an amount equal to the costs which will be incurred in making
determinations and certifications under subsection (a). Such pay-
ments shall be made with respect to the costs incurred during such
period (but not shorter than a calendar quarter) as the Secretary
and the Commissioner may prescribe, with the amount of such pay-
ments to be made on the basis of estimates made by the Commis-
sioner after consultation with the Secretary. The amount payable
for any period shall be increased or reduced to compensate for any
underpayment or overpayment, as the case may be, of the costs in-
curred in any preceding period.
(c) Except with respect to determinations made under sub-
section (a) of this section, the Secretary shall prescribe such regula-
tions as may be necessary to carry out the provisions of this section
and section 1312(a) of this title.
(c), Sept. 21, 1961, 75 Stat. 566; Pub. L. 94–433, title IV, Sec. 405(18), Sept. 30,
1976, 90 Stat. 1380; Pub. L. 97–295, Sec. 4(12), (95)(A), Oct. 12, 1982, 96 Stat. 1305,
1313; renumbered Sec. 1322 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(A), (E),
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 108–183, title VII, Sec.
708(c)(1), Dec. 16, 2003, 117 Stat. 2673.)
§ 1323. Certifications with respect to circumstances of death

Whenever the Secretary determines on the basis of a claim for
benefits filed with the Secretary that a death occurred under the
circumstances referred to in section 1476(a) of title 10, the Sec-
retary shall certify that fact to the Secretary concerned. In all other
cases, the Secretary shall make the determination referred to in
such section at the request of the Secretary concerned.
Sec. 405(19), Sept. 30, 1976, 90 Stat. 1380; Pub. L. 102–54, Sec. 14(b)(4), June 13,
4(b)(1), (2)(E), (3)(A), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
133
CHAPTER 15—PENSION FOR NON-SERVICE-CONNECTED
DISABILITY OR DEATH OR FOR SERVICE
Sec.
1501. Definitions.
1502. Determinations with respect to disability.
1503. Determinations with respect to annual income.
1504. Persons heretofore having a pensionable status.
1505. Payment of pension during confinement in penal institutions.
1506. Resource reports and overpayment adjustments.
1508. Frequency of payment of pension benefits.
Service Pension
1511. Indian War veterans.
1512. Spanish-American War veterans.
1513. Veterans 65 years of age and older.
Non-Service-Connected Disability Pension

1521. Veterans of a period of war.
1523. Combination of ratings.
1524. Vocational training for certain pension recipients.
1525. Protection of health-care eligibility.
SUBCHAPTER III—PENSIONS TO SURVIVING SPOUSES AND CHILDREN
Wars Before World War I

1532. Surviving spouses of Civil War veterans.
1533. Children of Civil War veterans.
1534. Surviving spouses of Indian War veterans.
1535. Children of Indian War veterans.
1536. Surviving spouses of Spanish-American War veterans.
1537. Children of Spanish-American War veterans.
Other Periods of War

1541. Surviving spouses of veterans of a period of war.
1542. Children of veterans of a period of war.
SUBCHAPTER IV—ARMY, NAVY, AIR FORCE, AND COAST GUARD MEDAL OF

HONOR ROLL
1560. Medal of Honor Roll; persons eligible.
1561. Certificate.
1562. Special provisions relating to pension.
135
Sec. 1501 CH. 15—PENSION FOR NON-SERVICE-CONNECTED DISABILITY/DEATH 136
(1) The term ‘‘Indian Wars’’ means the campaigns, engage-
ments, and expeditions of the United States military forces against
Indian tribes or nations, service in which has been recognized here-
tofore as pensionable service.
(2) The term ‘‘World War I’’ includes, in the case of any vet-
eran, any period of service performed by such veteran after Novem-
ber 11, 1918, and before July 2, 1921, if such veteran served in the
active military, naval, or air service after April 5, 1917, and before
November 12, 1918.
(3) The term ‘‘Civil War veteran’’ includes a person who served
in the military or naval forces of the Confederate States of America
during the Civil War, and the term ‘‘active military or naval serv-
ice’’ includes active service in those forces.
(4) The term ‘‘period of war’’ means the Mexican border period,
World War I, World War II, the Korean conflict, the Vietnam era,
the Persian Gulf War, and the period beginning on the date of any
future declaration of war by the Congress and ending on the date
prescribed by Presidential proclamation or concurrent resolution of
the Congress.
106(1), Dec. 23, 1975, 89 Stat. 1017; Pub. L. 95–588, title I, Sec. 101, Nov. 4, 1978,
92 Stat. 2497; Pub. L. 102–25, title III, Sec. 333(a), Apr. 6, 1991, 105 Stat. 88; re-
§ 1502. Determinations with respect to disability

(a) For the purposes of this chapter, a person shall be consid-
ered to be permanently and totally disabled if such person is any
of the following:
(1) A patient in a nursing home for long-term care because
of disability.
(2) Disabled, as determined by the Commissioner of Social
Security for purposes of any benefits administered by the Com-
missioner.
(3) Unemployable as a result of disability reasonably cer-
tain to continue throughout the life of the person.
(4) Suffering from—
(A) any disability which is sufficient to render it im-
possible for the average person to follow a substantially
gainful occupation, but only if it is reasonably certain that
such disability will continue throughout the life of the per-
son; or
(B) any disease or disorder determined by the Sec-
retary to be of such a nature or extent as to justify a deter-
mination that persons suffering therefrom are perma-
nently and totally disabled.
(b) For the purposes of this chapter, a person shall be consid-
ered to be in need of regular aid and attendance if such person is
(1) a patient in a nursing home or (2) blind, or so nearly blind or
significantly disabled as to need or require the regular aid and at-
tendance of another person.
137 CH. 15—PENSION FOR NON-SERVICE-CONNECTED DISABILITY/DEATH Sec. 1503
(c) For the purposes of this chapter, the requirement of ‘‘per-

manently housebound’’ will be considered to have been met when
the veteran is substantially confined to such veteran’s house (ward
or clinical areas, if institutionalized) or immediate premises due to
a disability or disabilities which it is reasonably certain will remain
throughout such veteran’s lifetime.
Oct. 13, 1964, 78 Stat. 1095; Pub. L. 90–77, title I, Sec. 102, Aug. 31, 1967, 81 Stat.
178; Pub. L. 94–169, title I, Sec. 106(2), Dec. 23, 1975, 89 Stat. 1017; Pub. L. 94–
432, title II, Sec. 201, Sept. 30, 1976, 90 Stat. 1369; Pub. L. 101–508, title VIII, Sec.
8002(a), Nov. 5, 1990, 104 Stat. 1388–342; renumbered Sec. 1502 and amended Pub.
L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 107–
103, title II, Sec. 206(a), Dec. 27, 2001, 115 Stat. 990; Pub. L. 109–233, title V, Sec.
502(3), June 15, 2006, 120 Stat. 415.)
§ 1503. Determinations with respect to annual income
(a) In determining annual income under this chapter, all pay-
ments of any kind or from any source (including salary, retirement
or annuity payments, or similar income, which has been waived, ir-
respective of whether the waiver was made pursuant to statute,
contract, or otherwise) shall be included except—
(1) donations from public or private relief or welfare orga-
nizations;
(2) payments under this chapter;
(3) amounts equal to amounts paid by a spouse of a vet-
eran for the expenses of such veteran’s last illness, and by a
surviving spouse or child of a deceased veteran for—
(A) such veteran’s just debts,
(B) the expenses of such veteran’s last illness, and
(C) the expenses of such veteran’s burial to the extent
such expenses are not reimbursed under chapter 23 of this
title;
(4) amounts equal to amounts paid—
(A) by a veteran for the last illness and burial of such
veteran’s deceased spouse or child, or
(B) by the spouse of a living veteran or the surviving
spouse of a deceased veteran for the last illness and burial
of a child of such veteran;
(5) reimbursements of any kind for any casualty loss (as
defined in regulations which the Secretary shall prescribe), but
the amount excluded under this clause may not exceed the
greater of the fair market value or reasonable replacement
value of the property involved at the time immediately pre-
ceding the loss;
(6) profit realized from the disposition of real or personal
property other than in the course of a business;
(7) amounts in joint accounts in banks and similar institu-
tions acquired by reason of death of other joint owner;
(8) amounts equal to amounts paid by a veteran, veterans’
spouse, or surviving spouse or by or on behalf of a veteran’s
child for unreimbursed medical expenses, to the extent that
such amounts exceed 5 percent of the maximum annual rate
of pension (including any amount of increased pension payable
on account of family members but not including any amount of
pension payable because a person is in need of regular aid and
attendance or because a person is permanently housebound)

payable to such veteran, surviving spouse, or child;
(9) in the case of a veteran or surviving spouse pursuing
a course of education or vocational rehabilitation or training,
amounts equal to amounts paid by such veteran or surviving
spouse for such course of education or vocational rehabilitation
or training, including (A) amounts paid for tuition, fees, books,
and materials, and (B) in the case of such a veteran or sur-
viving spouse in need of regular aid and attendance, unreim-
bursed amounts paid for unusual transportation expenses in
connection with the pursuit of such course of education or voca-
tional rehabilitation or training, to the extent that such
amounts exceed the reasonable expenses which would have
been incurred by a nondisabled person using an appropriate
means of transportation (public transportation, if reasonably
available);
(10) in the case of a child, any current-work income re-
ceived during the year, to the extent that the total amount of
such income does not exceed an amount equal to the sum of—
(A) the lowest amount of gross income for which an in-
come tax return is required under section 6012(a) of the
Internal Revenue Code of 1986, to be filed by an individual
who is not married (as determined under section 7703 of
such Code), is not a surviving spouse (as defined in section
2(a) of such Code), and is not a head of household (as de-
fined in section 2(b) of such Code); and
(B) if the child is pursuing a course of postsecondary
education or vocational rehabilitation or training, the
amount paid by such child for such course of education or
vocational rehabilitation or training, including the amount
paid for tuition, fees, books, and materials; and
(11) lump-sum proceeds of any life insurance policy on a
veteran, for purposes of pension under subchapter III of this
chapter.
(b) Where a fraction of a dollar is involved, annual income
shall be fixed at the next lower dollar.
Aug. 29, 1959, 73 Stat. 432; Pub. L. 87–268, Sec. 1(b), Sept. 21, 1961, 75 Stat. 566;
Pub. L. 88–664, Sec. 1, Oct. 13, 1964, 78 Stat. 1094; Pub. L. 90–77, title I, Sec. 103,
Aug. 31, 1967, 81 Stat. 178; Pub. L. 91–588, Sec. 7, Dec. 24, 1970, 84 Stat. 1584;
Pub. L. 92–198, Sec. 2, Dec. 15, 1971, 85 Stat. 664; Pub. L. 92–425, Sec. 6(2), Sept.
21, 1972, 86 Stat. 713; Pub. L. 94–169, title I, Sec. 101(2)(A), 106(3)–(8), Dec. 23,
1975, 89 Stat. 1013, 1017; Pub. L. 95–588, title I, Sec. 102, Nov. 4, 1978, 92 Stat.
2497; Pub. L. 97–295, Sec. 4(13), Oct. 12, 1982, 96 Stat. 1305; Pub. L. 100–687, div.
B, title XIV, Sec. 1402(b), Nov. 18, 1988, 102 Stat. 4130; Pub. L. 102–54, Sec.
14(b)(5), June 13, 1991, 105 Stat. 283; renumbered Sec. 1503 and amended Pub. L.
102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 108–454,
title III, Sec. 303, Dec. 10, 2004, 118 Stat. 3611.)
§ 1504. Persons heretofore having a pensionable status

The pension benefits of subchapters II and III of this chapter
shall, notwithstanding the service requirements of such sub-
chapters, be granted to persons heretofore recognized by law as
having a pensionable status.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1505. Payment of pension during confinement in penal in-

stitutions
(a) No pension under public or private laws administered by
the Secretary shall be paid to or for an individual who has been
imprisoned in a Federal, State, local, or other penal institution or
correctional facility as a result of conviction of a felony or mis-
demeanor for any part of the period beginning sixty-one days after
such individual’s imprisonment begins and ending when such indi-
vidual’s imprisonment ends.
(b) Where any veteran is disqualified for pension for any period
solely by reason of subsection (a) of this section, the Secretary may
apportion and pay to such veteran’s spouse or children the pension
which such veteran would receive for that period but for this sec-
tion.
(c) Where any surviving spouse or child of a veteran is dis-
qualified for pension for any period solely by reason of subsection
(a) of this section, the Secretary may (1) if the surviving spouse is
so disqualified, pay to the child, or children, the pension which
would be payable if there were no such surviving spouse or (2) if
a child is so disqualified, pay to the surviving spouse or other chil-
dren, as applicable, the pension which would be payable if there
were no such child.
106(9)–(11), Dec. 23, 1975, 89 Stat. 1017; renumbered Sec. 1505 and amended Pub.
L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 403–406; Pub. L.
109–461, title X, Sec. 1002(a), Dec. 22, 2006, 120 Stat. 3464.)
§ 1506. Resource reports and overpayment adjustments
As a condition of granting or continuing pension under section
1521, 1541, or 1542 of this title, the Secretary—
(1) may require from any person who is an applicant for
or a recipient of pension such information, proofs, and evidence
as the Secretary determines to be necessary in order to deter-
mine the annual income and the value of the corpus of the es-
tate of such person, and of any spouse or child for whom the
person is receiving or is to receive increased pension (such a
child is hereinafter in this subsection referred to as a ‘‘depend-
ent child’’), and, in the case of a child applying for or in receipt
of pension under section 1542 of this title (hereinafter in this
subsection referred to as a ‘‘surviving child’’), of any person
with whom such child is residing who is legally responsible for
such child’s support;
(2) may require that any such applicant or recipient file for
a calendar year with the Department (on such form as may be
prescribed for such purpose by the Secretary) a report show-
ing—
(A) the annual income which such applicant or recipi-
ent (and any such spouse or dependent child) received dur-
ing the preceding year, the corpus of the estate of such ap-
plicant or recipient (and of any such spouse or dependent
child) at the end of such year, and in the case of a sur-
viving child, the income and corpus of the estate of any
person with whom such child is residing who is legally re-
sponsible for such child’s support;
(B) such applicant’s or recipient’s estimate for the then

current year of the annual income such applicant or recipi-
ent (and any such spouse or dependent child) expects to re-
ceive and of any expected increase in the value of the cor-
pus of the estate of such applicant or recipient (and for any
such spouse or dependent child); and
(C) in the case of a surviving child, an estimate for the
then current year of the annual income of any person with
whom such child is residing who is legally responsible for
such child’s support and of any expected increase in the
value of the corpus of the estate of such person;
(3) shall require that any such applicant or recipient
promptly notify the Secretary whenever there is a material
change in the annual income of such applicant or recipient (or
of any such spouse or dependent child) or a material change
in the value of the corpus of the estate of such applicant or re-
cipient (or of any such spouse or dependent child), and in the
case of a surviving child, a material change in the annual in-
come or value of the corpus of the estate of any person with
whom such child is residing who is legally responsible for such
child’s support; and
(4) shall require that any such applicant or recipient ap-
plying for or in receipt of increased pension on account of a
person who is a spouse or child of such applicant or recipient
promptly notify the Secretary if such person ceases to meet the
applicable definition of spouse or child.
(Added Pub. L. 86–211, Sec. 2(b), Aug. 29, 1959, 73 Stat. 432, Sec. 506; amended
Pub. L. 88–664, Sec. 2, Oct. 13, 1964, 78 Stat. 1094; Pub. L. 91–588, Sec. 6, Dec.
24, 1970, 84 Stat. 1584; Pub. L. 94–169, title I, Sec. 106(12)–(14), Dec. 23, 1975, 89
Stat. 1017; Pub. L. 95–588, title I, Sec. 103, Nov. 4, 1978, 92 Stat. 2498; Pub. L.
96–466, title VI, Sec. 605(c)(2), Oct. 17, 1980, 94 Stat. 2211; renumbered Sec. 1506
and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 404–406; Pub. L. 103–271, Sec. 9(b), July 1, 1994, 108 Stat. 743.)
§ 1507. Disappearance
Where a veteran receiving pension under subchapter II of this
chapter disappears, the Secretary may pay the pension otherwise
payable to such veteran’s spouse and children. In applying the pro-
visions of this section, the Secretary may presume, without reports
pursuant to section 1506(a) of this title, that the status of the vet-
eran at the time of disappearance, with respect to permanent and
total disability, income, and net worth, continues unchanged. Pay-
ments made to a spouse or child under this section shall not exceed
the amount to which each would be entitled if the veteran died of
a non-service-connected disability.
(Added Pub. L. 89–467, Sec. 1(a), June 22, 1966, 80 Stat. 218, Sec. 507; amended
Pub. L. 94–169, title I, Sec. 106(15), Dec. 23, 1975, 89 Stat. 1017; renumbered Sec.
1507 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105
Stat. 404–406.)
§ 1508. Frequency of payment of pension benefits

(a) Except as provided under subsection (b) of this section, ben-
efits under sections 1521, 1541, and 1542 of this title shall be paid
monthly.
(b) Under regulations which the Secretary shall prescribe, ben-

efits under sections 1521, 1541, and 1542 of this title may be paid
less frequently than monthly if the amount of the annual benefit
is less than 4 percent of the maximum annual rate payable to a
veteran under section 1521(b) of this title.
(Added Pub. L. 95–588, title I, Sec. 104(a), Nov. 4, 1978, 92 Stat. 2499, Sec. 508;
amended Pub. L. 102–54, Sec. 14(b)(6), June 13, 1991, 105 Stat. 283; renumbered
Sec. 1508 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 404–406.)

SERVICE PENSION
ø§ 1510. Vacant¿
§ 1511. Indian War veterans
(a) The Secretary shall pay to each veteran of the Indian Wars
who meets the service requirements of this section a pension at the
following monthly rate:
(1) $101.59; or
(2) $135.45 if the veteran is in need of regular aid and at-
tendance.
(b) A veteran meets the service requirements of this section if
such veteran served in one of the Indian Wars—
(1) for thirty days or more; or
(2) for the duration of such Indian War;
in any military organization, whether or not such service was the
result of regular muster into the service of the United States, if
such service was under the authority or by the approval of the
United States or any State.
(c)(1) Any veteran eligible for pension under this section shall,
if such veteran so elects, be paid pension at the rates prescribed
by section 1521 of this title, and under the conditions (other than
the service requirements) applicable to pension paid under that
section to veterans of World War I. If pension is paid pursuant to
such an election, the election shall be irrevocable, except as pro-
vided in paragraph (2).
(2) The Secretary shall pay each month to each veteran of the
Indian Wars who is receiving, or entitled to receive, pension based
on a need of regular aid and attendance, whichever amount is
greater (A) that provided by paragraph (2) of subsection (a) of this
section, or (B) that which is payable to the veteran under section
1521 of this title if such veteran has elected, or would be payable
if such veteran were to elect, to receive pension under such section
pursuant to paragraph (1) of this subsection. Each change in the
amount of pension payment required by this paragraph shall be ef-
fective as of the first day of the month during which the facts of
the particular case warrant such change, and shall be made with-
out specific application therefor.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1135, Sec. 511; Pub. L. 86–670, Sec. 1, July
14, 1960, 74 Stat. 545; Pub. L. 90–77, title I, Sec. 111(a), Aug. 31, 1967, 81 Stat.
181; Pub. L. 94–169, title I, Sec. 106(16), Dec. 23, 1975, 89 Stat. 1017; renumbered
105 Stat. 404–406.)
§ 1512. Spanish-American War veterans

(a)(1) The Secretary shall pay to each veteran of the Spanish-
American War who meets the service requirements of this sub-
section a pension at the following monthly rate:
(A) $101.59; or
(B) $135.45 if the veteran is in need of regular aid and at-
tendance.
(2) A veteran meets the service requirements of this subsection
if such veteran served in the active military or naval service—
(A) for ninety days or more during the Spanish-American
War;
(B) during the Spanish-American War and was discharged
or released from such service for a service-connected disability;
or
(C) for a period of ninety consecutive days or more and
such period began or ended during the Spanish-American War.
(3)(A) Any veteran eligible for pension under this subsection
shall, if such veteran so elects, be paid pension at the rates pre-
scribed by section 1521 of this title (except the rate provided under
subsection (g) of such section), and under the conditions (other than
the service requirements) applicable to pension paid under that
section to veterans of a period of war. If pension is paid pursuant
to such an election, the election shall be irrevocable.
(B) The Secretary shall pay each month to each Spanish-Amer-
ican War veteran who is receiving, or entitled to receive, pension
based on a need of regular aid and attendance, whichever amount
is greater (i) that provided by subparagraph (B) of subsection (a)(1)
of this section, or (ii) that which is payable to the veteran under
section 1521 of this title as in effect on December 31, 1978, under
regulations which the Secretary shall prescribe. Each change in the
amount of pension payment required by this subparagraph shall be
effective as of the first day of the month during which the facts of
the particular case warrant such change, and shall be made with-
out specific application therefor.
(b)(1) The Secretary shall pay to each veteran of the Spanish-
American War who does not meet the service requirements of sub-
section (a), but who meets the service requirements of this sub-
section, a pension at the following monthly rate:
(A) $67.73; or
(B) $88.04 if the veteran is in need of regular aid and at-
tendance.
(2) A veteran meets the service requirements of this subsection
if such veteran served in the active military or naval service—
(A) for seventy days or more during the Spanish-American
War; or
(B) for a period of seventy consecutive days or more and
such period began or ended during the Spanish-American War.
14, 1960, 74 Stat. 545; Pub. L. 90–77, title I, Sec. 111(b), Aug. 31, 1967, 81 Stat.
181; Pub. L. 94–169, title I, Sec. 106(17), Dec. 23, 1975, 89 Stat. 1017; Pub. L. 95–
588, title I, Sec. 105, Nov. 4, 1978, 92 Stat. 2500; renumbered Sec. 1512 and amend-
ed Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1513. Veterans 65 years of age and older

(a) The Secretary shall pay to each veteran of a period of war
who is 65 years of age or older and who meets the service require-
ments of section 1521 of this title (as prescribed in subsection (j)
of that section) pension at the rates prescribed by section 1521 of
this title and under the conditions (other than the permanent and
total disability requirement) applicable to pension paid under that
section.
(b) If a veteran is eligible for pension under both this section
and section 1521 of this title, pension shall be paid to the veteran
only under section 1521 of this title.
(Added Pub. L. 107–103, title II, Sec. 207(a)(1), Dec. 27, 2001, 115 Stat. 991; amend-
ed Pub. L. 109–233, title V, Sec. 503(2), June 15, 2006, 120 Stat. 416.)
NON-SERVICE-CONNECTED DISABILITY PENSION
§ 1521. Veterans of a period of war

(a) The Secretary shall pay to each veteran of a period of war
who meets the service requirements of this section (as prescribed
in subsection (j) of this section) and who is permanently and totally
disabled from non-service-connected disability not the result of the
veteran’s willful misconduct, pension at the rate prescribed by this
section, as increased from time to time under section 5312 of this
title.
(b) If the veteran is unmarried (or married but not living with
or reasonably contributing to the support of such veteran’s spouse)
and there is no child of the veteran in the custody of the veteran
or to whose support the veteran is reasonably contributing, and un-
less the veteran is entitled to pension at the rate provided by sub-
section (d)(1) or (e) of this section, pension shall be paid to the vet-
eran at the annual rate of $3,550, reduced by the amount of the
veteran’s annual income.
(c) If the veteran is married and living with or reasonably con-
tributing to the support of such veteran’s spouse, or if there is a
child of the veteran in the custody of the veteran or to whose sup-
port the veteran is reasonably contributing, pension shall be paid
to the veteran at the annual rate of $4,651, unless the veteran is
entitled to pension at the rate provided by subsection (d)(2), (e), or
(f) of this section. If the veteran has two or more such family mem-
bers, such annual rate shall be increased by $600 for each such
family member in excess of one. The rate payable shall be reduced
by the amount of the veteran’s annual income and, subject to sub-
section (h)(1) of this section, the amount of annual income of such
family members.
(d)(1) If the veteran is in need of regular aid and attendance,
the annual rate of pension payable to the veteran under subsection
(b) of this section shall be $5,680, reduced by the amount of the
veteran’s annual income.
(2) If the veteran is in need of regular aid and attendance, the
annual rate of pension payable to the veteran under subsection (c)
of this section shall be $6,781. If such veteran has two or more
family members, as described in subsection (c) of this section, the
annual rate of pension shall be increased by $600 for each such
family member in excess of one. The rate payable shall be reduced
by the amount of the veteran’s annual income and, subject to sub-

section (h)(1) of this section, the amount of annual income of such
family members.
(e) If the veteran has a disability rated as permanent and total
and (1) has additional disability or disabilities independently rat-
able at 60 per centum or more, or (2) by reason of a disability or
disabilities, is permanently housebound but does not qualify for
pension at the aid and attendance rate provided by subsection (d)
of this section, the annual rate of pension payable to the veteran
under subsection (b) of this section shall be $4,340 and the annual
rate of pension payable to the veteran under subsection (c) of this
section shall be $5,441. If such veteran has two or more family
members, as described in subsection (c) of this section, the annual
rate of pension shall be increased by $600 for each such family
member in excess of one. The rate payable shall be reduced by the
amount of the veteran’s annual income and, subject to subsection
(h)(1) of this section, the annual income of such family members.
(f)(1) If two veterans are married to one another and each
meets the disability and service requirements prescribed in sub-
sections (a) and (j), respectively, of this section, or the age and
service requirements prescribed in section 1513 of this title, the an-
nual rate of pension payable to such veterans shall be a combined
annual rate of $4,651.
(2) If either such veteran is in need of regular aid and attend-
ance, the annual rate provided by paragraph (1) of this subsection
shall be $6,781. If both such veterans are in need of regular aid
and attendance, such rate shall be $8,911.
(3) If either such veteran would be entitled (if not married to
a veteran) to pension at the rate provided by subsection (e) of this
section, the annual rate provided by paragraph (1) of this sub-
section shall be $5,441. If both such veterans would be entitled (if
not married to one another) to such rate, such rate shall be $6,231.
(4) If one such veteran is in need of regular aid and attendance
and the other would be entitled (if not married to a veteran) to the
rate provided for under subsection (e) of this section, the annual
rate provided by paragraph (1) of this subsection shall be $7,571.
(5) The annual rate provided by paragraph (1), (2), (3), or (4)
of this subsection, as appropriate, shall (A) be increased by $600
for each child of such veterans (or of either such veteran) who is
in the custody of either or both such veterans or to whose support
either such veteran is, or both such veterans are, reasonably con-
tributing, and (B) be reduced by the amount of the annual income
of both such veterans and, subject to subsection (h)(1) of this sec-
tion, the annual income of each such child.
(g) The annual rate of pension payable under subsection (b),
(c), (d), (e), or (f) of this section to any veteran who is a veteran
of a period of war shall be increased by $800 if veterans of such
period of war were not provided educational benefits or home loan
benefits similar to those provided to veterans of later periods of
war under chapters 34 and 37, respectively, of this title or under
prior corresponding provisions of law.
(h) For the purposes of this section:
(1) In determining the annual income of a veteran, if there
is a child of the veteran who is in the custody of the veteran
or to whose support the veteran is reasonably contributing,

that portion of the annual income of the child that is reason-
ably available to or for the veteran shall be considered to be
income of the veteran, unless in the judgment of the Secretary
to do so would work a hardship on the veteran.
(2) A veteran shall be considered as living with a spouse,
even though they reside apart, unless they are estranged.
(i) If the veteran is entitled under this section to pension on
the basis of such veteran’s own service and is also entitled to pen-
sion on the basis of any other person’s service, the Secretary shall
pay such veteran only the greater benefit.
(j) A veteran meets the service requirements of this section if
such veteran served in the active military, naval, or air service—
(1) for ninety days or more during a period of war;
(2) during a period of war and was discharged or released
from such service for a service-connected disability;
(3) for a period of ninety consecutive days or more and
such period began or ended during a period of war; or
(4) for an aggregate of ninety days or more in two or more
separate periods of service during more than one period of war.
Aug. 29, 1959, 73 Stat. 433; Pub. L. 87–101, Sec. 1, July 21, 1961, 75 Stat. 218;
Pub. L. 88–664, Sec. 3(a), (b), 5, 6(a), 7, Oct. 13, 1964, 78 Stat. 1094, 1095; Pub.
L. 90–77, title I, Sec. 104, title II, Sec. 202(a)–(c), Aug. 31, 1967, 81 Stat. 179, 182;
Pub. L. 90–275, Sec. 1(a), (b), Mar. 28, 1968, 82 Stat. 64, 65; Pub. L. 91–588, Sec.
1(a), (b), 3(b), 9(c), Dec. 24, 1970, 84 Stat. 1580, 1583, 1584; Pub. L. 92–198, Sec.
1(a), (b), 5(b), Dec. 15, 1971, 85 Stat. 663, 664; Pub. L. 93–177, Sec. 1(a), (b), Dec.
6, 1973, 87 Stat. 694; Pub. L. 93–527, Sec. 2, Dec. 21, 1974, 88 Stat. 1702; Pub. L.
94–169, title I, Sec. 102, 106(18), Dec. 23, 1975, 89 Stat. 1014, 1018; Pub. L. 94–
432, title II, Sec. 202, Sept. 30, 1976, 90 Stat. 1369; Pub. L. 95–204, title I, Sec.
101, Dec. 2, 1977, 91 Stat. 1455; Pub. L. 95–588, title I, Sec. 106(a), Nov. 4, 1978,
92 Stat. 2500; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239;
6, 1991, 105 Stat. 404–406; Pub. L. 107–103, title II, Sec. 207(b)(1), Dec. 27, 2001,
115 Stat. 991.)
§ 1522. Net worth limitation

(a) The Secretary shall deny or discontinue the payment of
pension to a veteran under section 1513 or 1521 of this title when
the corpus of the estate of the veteran or, if the veteran has a
spouse, the corpus of the estates of the veteran and of the veteran’s
spouse is such that under all the circumstances, including consider-
ation of the annual income of the veteran, the veteran’s spouse,
and the veteran’s children, it is reasonable that some part of the
corpus of such estates be consumed for the veteran’s maintenance.
(b) The Secretary shall deny or discontinue the payment of in-
creased pension under subsection (c), (d), (e), or (f) of section 1521
of this title on account of a child when the corpus of such child’s
estate is such that under all the circumstances, including consider-
ation of the veteran’s and spouse’s income, and the income of the
veteran’s children, it is reasonable that some part of the corpus of
such child’s estate be consumed for the child’s maintenance. During
the period such denial or discontinuance remains in effect, such
child shall not be considered as the veteran’s child for purposes of
this chapter.
Aug. 29, 1959, 73 Stat. 434; Pub. L. 95–588, title I, Sec. 107, Nov. 4, 1978, 92 Stat.
(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 107–103, title II, Sec. 207(b)(2), Dec.
27, 2001, 115 Stat. 991.)
§ 1523. Combination of ratings

(a) The Secretary shall provide that, for the purpose of deter-
mining whether or not a veteran is permanently and totally dis-
abled, ratings for service-connected disabilities may be combined
with ratings for non-service-connected disabilities.
(b) Where a veteran, by virtue of subsection (a), is found to be
entitled to a pension under section 1521 of this title, and is entitled
to compensation for a service-connected disability, the Secretary
shall pay such veteran the greater benefit.
106(19), Dec. 23, 1975, 89 Stat. 1018; renumbered Sec. 1523 and amended Pub. L.
102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1524. Vocational training for certain pension recipients

(a)(1) In the case of a veteran under age 45 who is awarded
a pension during the program period, the Secretary shall, based on
information on file with the Department of Veterans Affairs, make
a preliminary finding whether such veteran, with the assistance of
a vocational training program under this section, has a good poten-
tial for achieving employment. If such potential is found to exist,
the Secretary shall solicit from the veteran an application for voca-
tional training under this section. If the veteran thereafter applies
for such training, the Secretary shall provide the veteran with an
evaluation, which may include a personal interview, to determine
whether the achievement of a vocational goal is reasonably fea-
sible.
(2) If a veteran who is 45 years of age or older and is awarded
pension during the program period, or a veteran who was awarded
pension before the beginning of the program period, applies for vo-
cational training under this section and the Secretary makes a pre-
liminary finding on the basis of information in the application that,
with the assistance of a vocational training program under sub-
section (b) of this section, the veteran has a good potential for
achieving employment, the Secretary shall provide the veteran
with an evaluation in order to determine whether the achievement
of a vocational goal by the veteran is reasonably feasible. Any such
evaluation shall include a personal interview by a Department em-
ployee trained in vocational counseling.
(3) For the purposes of this section, the term ‘‘program period’’
means the period beginning on February 1, 1985, and ending on
December 31, 1995.
(b)(1) If the Secretary, based upon an evaluation under sub-
section (a) of this section, determines that the achievement of a vo-
cational goal by a veteran is reasonably feasible, the veteran shall
be offered and may elect to pursue a vocational training program
under this subsection. If the veteran elects to pursue such a pro-
gram, the program shall be designed in consultation with the vet-
eran in order to meet the veteran’s individual needs and shall be
set forth in an individualized written plan of vocational rehabilita-

tion of the kind described in section 3107 of this title.
(2)(A) Subject to subparagraph (B) of this paragraph, a voca-
tional training program under this subsection shall consist of voca-
tionally oriented services and assistance of the kind provided under
chapter 31 of this title and such other services and assistance of
the kind provided under that chapter as are necessary to enable
the veteran to prepare for and participate in vocational training or
employment.
(B) A vocational training program under this subsection—
(i) may not exceed 24 months unless, based on a deter-
mination by the Secretary that an extension is necessary in
order for the veteran to achieve a vocational goal identified (be-
fore the end of the first 24 months of such program) in the
written plan formulated for the veteran, the Secretary grants
an extension for a period not to exceed 24 months;
(ii) may not include the provision of any loan or subsist-
ence allowance or any automobile adaptive equipment of the
kind provided under chapter 39 of this title; and
(iii) may include a program of education at an institution
of higher learning (as defined in sections 3452(b) and 3452(f),
respectively, of this title) only in a case in which the Secretary
determines that the program involved is predominantly voca-
tional in content.
(3) When a veteran completes a vocational training program
under this subsection, the Secretary may provide the veteran with
counseling of the kind described in section 3104(a)(2) of this title,
placement and postplacement services of the kind described in sec-
tion 3104(a)(5) of this title, and training of the kind described in
section 3104(a)(6) of this title during a period not to exceed 18
months beginning on the date of such completion.
(4) A veteran may not begin pursuit of a vocational training
program under this subsection after the later of (A) December 31,
1995, or (B) the end of a reasonable period of time, as determined
by the Secretary, following either the evaluation of the veteran
under subsection (a) of this section or the award of pension to the
veteran as described in subsection (a)(2) of this section. Any deter-
mination by the Secretary of such a reasonable period of time shall
be made pursuant to regulations which the Secretary shall pre-
scribe.
(c) In the case of a veteran who has been determined to have
a permanent and total non-service-connected disability and who,
not later than one year after the date the veteran’s eligibility for
counseling under subsection (b)(3) of this section expires, secures
employment within the scope of a vocational goal identified in the
veteran’s individualized written plan of vocational rehabilitation (or
in a related field which requires reasonably developed skills and
the use of some or all of the training or services furnished the vet-
eran under such plan), the evaluation of the veteran as having a
permanent and total disability may not be terminated by reason of
the veteran’s capacity to engage in such employment until the vet-
eran first maintains such employment for a period of not less than
12 consecutive months.
(d) A veteran who pursues a vocational training program under

subsection (b) of this section shall have the benefit of the provisions
of subsection (a) of section 1525 of this title beginning at such time
as the veteran’s entitlement to pension is terminated by reason of
income from work or training (as defined in subsection (b)(1) of
that section) without regard to the date on which the veteran’s en-
titlement to pension is terminated.
(e) Payments by the Secretary for education, training, and
other services and assistance under subsection (b) of this section
(other than the services of Department employees) shall be made
from the Department appropriations account from which payments
for pension are made.
(Added Pub. L. 98–543, title III, Sec. 301(a)(1), Oct. 24, 1984, 98 Stat. 2744, Sec.
524; amended Pub. L. 99–576, title VII, Sec. 703(b)(1), Oct. 28, 1986, 100 Stat. 3303;
Pub. L. 100–227, title II, Sec. 202, Dec. 31, 1987, 101 Stat. 1555; Pub. L. 100–687,
div. B, title XIII, Sec. 1303(a), (b), Nov. 18, 1988, 102 Stat. 4128; Pub. L. 101–237,
title I, Sec. 114, Dec. 18, 1989, 103 Stat. 2065; renumbered Sec. 1524 and amended
Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
404–406; Pub. L. 102–291, Sec. 2(b), May 20, 1992, 106 Stat. 178; Pub. L. 102–568,
title IV, Sec. 402(a)–(c)(2)(A), Oct. 29, 1992, 106 Stat. 4337; Pub. L. 103–446, title
XII, Sec. 1201(g)(2), Nov. 2, 1994, 108 Stat. 4687.)
§ 1525. Protection of health-care eligibility

(a) In the case of a veteran whose entitlement to pension is ter-
minated after January 31, 1985, by reason of income from work or
training, the veteran shall retain for a period of three years begin-
ning on the date of such termination all eligibility for care and
services under such chapter that the veteran would have had if the
veteran’s entitlement to pension had not been terminated. Care
and services for which such a veteran retains eligibility include,
when applicable, drugs and medicines under section 1712(d) of this
title.
(b) For purposes of this section, the term ‘‘terminated by rea-
son of income from work or training’’ means terminated as a result
of the veteran’s receipt of earnings from activity performed for re-
muneration or with gain, but only if the veteran’s annual income
from sources other than such earnings would, taken alone, not re-
sult in the termination of the veteran’s pension.
(Added Pub. L. 98–543, title III, Sec. 301(a)(1), Oct. 24, 1984, 98 Stat. 2746, Sec.
525; amended Pub. L. 99–272, title XIX, Sec. 19011(d)(1), Apr. 7, 1986, 100 Stat.
378; Pub. L. 99–576, title VII, Sec. 703(b)(2), Oct. 28, 1986, 100 Stat. 3303; Pub.
L. 100–687, div. B, title XIII, Sec. 1303(c), Nov. 18, 1988, 102 Stat. 4128; renum-
bered Sec. 1525 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105
Stat. 406; Pub. L. 102–291, Sec. 2(c), May 20, 1992, 106 Stat. 178; Pub. L. 102–568,
title IV, Sec. 403(a), (b)(1), Oct. 29, 1992, 106 Stat. 4337; Pub. L. 104–262, title I,
Sec. 101(e)(1), Oct. 9, 1996, 110 Stat. 3180.)
SUBCHAPTER III—PENSIONS TO SURVIVING SPOUSES AND

CHILDREN
WARS BEFORE WORLD WAR I
ø§ 1531. Vacant¿
§ 1532. Surviving spouses of Civil War veterans
(a) The Secretary shall pay to the surviving spouse of each
Civil War veteran who met the service requirements of this section
a pension at the following monthly rate:
(1) $40.64 if such surviving spouse is below seventy years
of age; or
(2) $70 if such surviving spouse is seventy years of age or
older.
(b) If there is a child of the veteran, the rate of pension paid
to the surviving spouse under subsection (a) shall be increased by
$8.13 per month for each such child.
(c) A veteran met the service requirements of this section if
such veteran served for ninety days or more in the active military
or naval service during the Civil War, as heretofore defined under
public laws administered by the Veterans’ Administration, or if
such veteran was discharged or released from such service upon a
surgeon’s certificate of disability.
(d) No pension shall be paid to a surviving spouse of a veteran
under this section unless such surviving spouse was married to
such veteran—
(1) before June 27, 1905; or
101(a), 105, Aug. 31, 1967, 81 Stat. 178, 179; Pub. L. 94–169, title I, Sec. 106(20)–
(23), Dec. 23, 1975, 89 Stat. 1018; Pub. L. 102–54, Sec. 14(b)(7), June 13, 1991, 105
Stat. 283; renumbered Sec. 1532 and amended Pub. L. 102–83, Sec. 4(a)(1), (b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 103–446, title XII, Sec.
1201(a)(2), Nov. 2, 1994, 108 Stat. 4682.)
§ 1533. Children of Civil War veterans

Whenever there is no surviving spouse entitled to pension
under section 1532 of this title, the Secretary shall pay to the chil-
dren of each Civil War veteran who met the service requirements
of section 1532 of this title a pension at the monthly rate of $73.13
for one child, plus $8.13 for each additional child, with the total
amount equally divided.
102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1534. Surviving spouses of Indian War veterans

(a) The Secretary shall pay to the surviving spouse of each In-
dian War veteran who met the service requirements of section 1511
of this title a pension at the following monthly rate:
(1) $40.64 if such surviving spouse is below seventy years
of age; or
(2) $70 if such surviving spouse is seventy years of age or

older.
(c) No pension shall be paid to a surviving spouse of a veteran
such veteran—
(1) before March 4, 1917; or
101(a), 105, Aug. 31, 1967, 81 Stat. 178, 179; Pub. L. 94–169, title I, Sec. 106(26)–
(29), Dec. 23, 1975, 89 Stat. 1018; Pub. L. 102–54, Sec. 14(b)(7), June 13, 1991, 105
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1535. Children of Indian War veterans
dren of each Indian War veteran who met the service requirements
of section 1511 of this title a pension at the monthly rate of $73.13
for one child, plus $8.13 for each additional child, with the total
amount equally divided.
102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1536. Surviving spouses of Spanish-American War veterans
(a) The Secretary shall pay to the surviving spouse of each
Spanish-American War veteran who met the service requirements
of section 1512(a) of this title a pension at the monthly rate of $70,
unless such surviving spouse was the spouse of the veteran during
such veteran’s service in the Spanish-American War, in which case
the monthly rate shall be $75.
(c) No pension shall be paid to a surviving spouse of a veteran
such veteran—
(1) before January 1, 1938; or
(d)(1) Any surviving spouse eligible for pension under this sec-
tion shall, if such surviving spouse so elects, be paid pension at the
rates prescribed by section 1541 of this title, and under the condi-
tions (other than the service requirements) applicable to pension
paid under that section to surviving spouses of veterans of a period
of war. If pension is paid pursuant to such an election, the election
shall be irrevocable.
(2) The Secretary shall pay each month to the surviving spouse
of each Spanish-American War veteran who is receiving, or entitled
to receive, pension based on a need of regular aid and attendance,

whichever amount is greater (A) that which is payable to such sur-
viving spouse under subsections (a) and (b) of this section as in-
creased by section 544 of this title, as in effect on December 31,
1978; or (B) that which is payable under section 1541 of this title,
as in effect on December 31, 1978, as increased by such section
544, as in effect on such date, to a surviving spouse of a World War
I veteran with the same annual income and corpus of estate. Each
change in the amount of pension required by this paragraph shall
be effective as of the first day of the month during which the facts
of the particular case warrant such change, and shall be made
without specific application therefor.
101(a), 105, Aug. 31, 1967, 81 Stat. 178, 179; Pub. L. 92–328, title I, Sec. 107, June
30, 1972, 86 Stat. 395; Pub. L. 94–169, title I, Sec. 106(32)–(37), Dec. 23, 1975, 89
Stat. 1018, 1019; Pub. L. 95–588, title I, Sec. 108, Nov. 4, 1978, 92 Stat. 2502; re-
numbered Sec. 1536 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 404–406.)
§ 1537. Children of Spanish-American War veterans

dren of each Spanish-American War veteran who met the service
requirements of section 1512(a) of this title a pension at the month-
ly rate of $73.13 for one child, plus $8.13 for each additional child,
with the total amount equally divided.
102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
OTHER PERIODS OF WAR
§ 1541. Surviving spouses of veterans of a period of war

(a) The Secretary shall pay to the surviving spouse of each vet-
eran of a period of war who met the service requirements pre-
scribed in section 1521(j) of this title, or who at the time of death
was receiving (or entitled to receive) compensation or retirement
pay for a service-connected disability, pension at the rate pre-
scribed by this section, as increased from time to time under sec-
(b) If no child of the veteran is in the custody of the surviving
spouse, pension shall be paid to the surviving spouse at the annual
rate of $2,379, reduced by the amount of the surviving spouse’s an-
nual income.
(c) If there is a child of the veteran in the custody of the sur-
viving spouse, pension shall be paid to the surviving spouse at the
annual rate of $3,116. If the surviving spouse has custody of two
or more such children, the annual pension rate shall be increased
by $600 for each such child in excess of one. In each case, the rate
payable shall be reduced by the amount of the surviving spouse’s
annual income and, subject to subsection (g) of this section, the an-
nual income of each such child.
(d)(1) If a surviving spouse who is entitled to pension under
subsection (b) of this section is in need of regular aid and attend-
ance, the annual rate of pension payable to such surviving spouse
shall be $3,806, reduced by the amount of the surviving spouse’s

annual income.
(2) If a surviving spouse who is entitled to pension under sub-
section (c) of this section is in need of regular aid and attendance,
the annual rate of pension payable to the surviving spouse shall be
$4,543. If there are two or more children of the veteran in such
surviving spouse’s custody, the annual rate of pension shall be in-
creased by $600 for each such child in excess of one. The rate pay-
able shall be reduced by the amount of the surviving spouse’s an-
nual income and, subject to subsection (g) of this section, the an-
nual income of each such child.
(e)(1) If the surviving spouse is permanently housebound but
does not qualify for pension at the aid and attendance rate pro-
vided by subsection (d) of this section, the annual rate of pension
payable to such surviving spouse under subsection (b) of this sec-
tion shall be $2,908 and the annual rate of pension payable to such
surviving spouse under subsection (c) of this section shall be
$3,645. If there are two or more children of the veteran in such
surviving spouse’s custody, the annual rate of pension shall be in-
creased by $600 for each such child in excess of one. The rate pay-
able shall be reduced by the amount of the surviving spouse’s an-
nual income and, subject to subsection (g) of this section, the in-
come of any child of the veteran for whom the surviving spouse is
receiving increased pension.
(2) For purposes of paragraph (1) of this subsection, the re-
quirement of ‘‘permanently housebound’’ shall be met when the
surviving spouse is substantially confined to such surviving
spouse’s house (ward or clinical areas, if institutionalized) or imme-
diate premises by reason of a disability or disabilities reasonably
certain to remain throughout such surviving spouse’s lifetime.
(f) No pension shall be paid under this section to a surviving
spouse of a veteran unless the spouse was married to the veteran—
(1) before (A) December 14, 1944, in the case of a surviving
spouse of a Mexican border period or World War I veteran, (B)
January 1, 1957, in the case of a surviving spouse of a World
War II veteran, (C) February 1, 1965, in the case of a surviving
spouse of a Korean conflict veteran, (D) May 8, 1985, in the
case of a surviving spouse of a Vietnam era veteran, or (E)
January 1, 2001, in the case of a surviving spouse of a veteran
of the Persian Gulf War;
(g) In determining the annual income of a surviving spouse for
the purposes of this section, if there is a child of the veteran in the
custody of the surviving spouse, that portion of the annual income
of the child that is reasonably available to or for the surviving
spouse shall be considered to be income of the surviving spouse,
unless in the judgment of the Secretary to do so would work a
hardship on the surviving spouse.
(h) As used in this section and section 1542 of this title, the
term ‘‘veteran’’ includes a person who has completed at least two
years of honorable active military, naval, or air service, as certified
by the Secretary concerned, but whose death in such service was

not in line of duty.
29, 1959, 73 Stat. 434; Pub. L. 88–664, Sec. 3(c), (d), Oct. 13, 1964, 78 Stat. 1095;
Pub. L. 90–77, title I, Sec. 101(a), 106, title II, Sec. 202(d)–(f), Aug. 31, 1967, 81
Stat. 178, 179, 182; Pub. L. 90–275, Sec. 1(c), (d), Mar. 28, 1968, 82 Stat. 65, 66;
Pub. L. 91–588, Sec. 1(c), (d), 9(d), Dec. 24, 1970, 84 Stat. 1581, 1584; Pub. L. 92–
198, Sec. 1(c)–(e), Dec. 15, 1971, 85 Stat. 663, 664; Pub. L. 93–177, Sec. 1(c), (d),
2, Dec. 6, 1973, 87 Stat. 695; Pub. L. 93–527, Sec. 3, Dec. 21, 1974, 88 Stat. 1703;
Pub. L. 94–169, title I, Sec. 101(2)(B), (C), (H), 103, 106(40), Dec. 23, 1975, 89 Stat.
1013, 1014, 1016, 1019; Pub. L. 94–432, title II, Sec. 203, Sept. 30, 1976, 90 Stat.
1370; Pub. L. 95–204, title I, Sec. 102, Dec. 2, 1977, 91 Stat. 1456; Pub. L. 95–588,
title I, Sec. 109(a), Nov. 4, 1978, 92 Stat. 2503; Pub. L. 102–25, title III, Sec. 333(b),
Apr. 6, 1991, 105 Stat. 88; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1542. Children of veterans of a period of war

The Secretary shall pay to each child (1) who is the child of
a deceased veteran of a period of war who met the service require-
ments prescribed in section 1521(j) of this title, or who at the time
of death was receiving (or entitled to receive) compensation or re-
tirement pay for a service-connected disability, and (2) who is not
in the custody of a surviving spouse eligible for pension under sec-
tion 1541 of this title, pension at the annual rate of $600, as in-
creased from time to time under section 5312 of this title and re-
duced by the amount of such child’s annual income; or, if such child
is residing with a person who is legally responsible for such child’s
support, at an annual rate equal to the amount by which the ap-
propriate annual rate provided under section 1541(c) of this title
exceeds the sum of the annual income of such child and such per-
son, but in no event may such annual rate of pension exceed the
amount by which $600, as increased from time to time under sec-
tion 5312 of this title, exceeds the annual income of such child. The
appropriate annual rate under such section 1541(c) for the pur-
poses of the preceding sentence shall be determined in accordance
with regulations which the Secretary shall prescribe.
29, 1959, 73 Stat. 435; Pub. L. 88–664, Sec. 4, Oct. 13, 1964, 78 Stat. 1095; Pub.
L. 90–77, title I, Sec. 107, title II, Sec. 202(g), (h), Aug. 31, 1967, 81 Stat. 180, 182;
Pub. L. 91–588, Sec. 3(c), 9(e), Dec. 24, 1970, 84 Stat. 1583, 1585; Pub. L. 92–198,
Sec. 1(f), Dec. 15, 1971, 85 Stat. 664; Pub. L. 93–177, Sec. 3, Dec. 6, 1973, 87 Stat.
695; Pub. L. 93–527, Sec. 4, Dec. 21, 1974, 88 Stat. 1703; Pub. L. 94–169, title I,
Sec. 101(2)(D), 104, Dec. 23, 1975, 89 Stat. 1014, 1016; Pub. L. 94–432, title II, Sec.
204, Sept. 30, 1976, 90 Stat. 1371; Pub. L. 95–204, title I, Sec. 103, Dec. 2, 1977,
91 Stat. 1457; Pub. L. 95–588, title I, Sec. 110(a), Nov. 4, 1978, 92 Stat. 2504; Pub.
L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 1542
and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
404–406.)
§ 1543. Net worth limitation

(a)(1) The Secretary shall deny or discontinue payment of pen-
sion to a surviving spouse under section 1541 of this title when the
corpus of the estate of the surviving spouse is such that under all
the circumstances, including consideration of the income of the sur-
viving spouse and the income of any child from whom the surviving
spouse is receiving increased pension, it is reasonable that some
part of the corpus of such estate be consumed for the surviving

spouse’s maintenance.
(2) The Secretary shall deny or discontinue the payment of in-
creased pension under subsection (c), (d), or (e) of section 1541 of
this title on account of a child when the corpus of such child’s es-
tate is such that under all the circumstances, including consider-
ation of the income of the surviving spouse and such child and the
income of any other child for whom the surviving spouse is receiv-
ing increased pension, it is reasonable that some part of the corpus
of the child’s estate be consumed for the child’s maintenance. Dur-
ing the period such denial or discontinuance remains in effect, such
child shall not be considered as the surviving spouse’s child for pur-
poses of this chapter.
(b) The Secretary shall deny or discontinue payment of pension
to a child under section 1542 of this title when the corpus of the
estate of the child is such that under all the circumstances, includ-
ing consideration of the income of the child, the income of any per-
son with whom such child is residing who is legally responsible for
such child’s support, and the corpus of the estate of such person,
it is reasonable that some part of the corpus of such estates be con-
sumed for the child’s maintenance.
29, 1959, 73 Stat. 435; Pub. L. 94–169, title I, Sec. 101(2)(E), Dec. 23, 1975, 89 Stat.
1014; Pub. L. 95–588, title I, Sec. 111, Nov. 4, 1978, 92 Stat. 2504; renumbered Sec.
Stat. 404–406.)
øSURVIVING SPOUSES OF VETERANS OF ALL PERIODS OF WAR-

REPEALED¿
ø§ 1544. Vacant¿
SUBCHAPTER IV—ARMY, NAVY, AIR FORCE, AND COAST
GUARD MEDAL OF HONOR ROLL
§ 1560. Medal of Honor Roll; persons eligible
(a) There shall be in the Department of the Army, the Depart-
ment of the Navy, the Department of the Air Force, and the De-
partment of Homeland Security, respectively, a roll designated as
the ‘‘Army, Navy, Air Force, and Coast Guard Medal of Honor
Roll’’.
(b) Upon written application to the Secretary concerned, that
Secretary shall enter and record on such roll the name of each sur-
viving person who has served on active duty in the armed forces
of the United States and who has been awarded a medal of honor
for distinguishing such person conspicuously by gallantry and in-
trepidity at the risk of such person’s life above and beyond the call
of duty while so serving.
(c) Applications for entry on such roll shall be made in the
form and under regulations prescribed by the Secretary concerned,
and shall indicate whether or not the applicant desires to receive
the special pension provided by section 1562 of this title. Proper
blanks and instructions shall be furnished by the Secretary con-
cerned, without charge upon the request of any person claiming the
benefits of this subchapter.
14, 1961, 75 Stat. 338; Pub. L. 88–77, Sec. 5(1), July 25, 1963, 77 Stat. 95; Pub.
L. 88–651, Oct. 13, 1964, 78 Stat. 1078; Pub. L. 89–311, Sec. 4, Oct. 31, 1965, 79
Stat. 1156; Pub. L. 91–24, Sec. 5, June 11, 1969, 83 Stat. 33; Pub. L. 94–169, title
I, Sec. 106(41), Dec. 23, 1975, 89 Stat. 1019; renumbered Sec. 1560 and amended
Pub. L. 102–83, Sec. 4(b)(4)(A), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 405, 406; Pub.
L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315.)
§ 1561. Certificate
(a) The Secretary concerned shall determine whether or not
each applicant is entitled to have such person’s name entered on
the Army, Navy, Air Force, and Coast Guard Medal of Honor Roll.
If the official award of the Medal of Honor to the applicant, or the
official notice to such person thereof, shows that the Medal of
Honor was awarded to the applicant for an act described in section
1560 of this title, such award or notice shall be sufficient to entitle
the applicant to have such person’s name entered on such roll with-
out further investigation; otherwise all official correspondence, or-
ders, reports, recommendations, requests, and other evidence on
file in any public office or department shall be considered.
(b) Each person whose name is entered on the Army, Navy, Air
Force, and Coast Guard Medal of Honor Roll shall be furnished a
certificate of service and of the act of heroism, gallantry, bravery,
or intrepidity for which the Medal of Honor was awarded, of enroll-
ment on such roll, and, if such person has indicated such person’s
desire to receive the special pension provided by section 1562 of
this title, of such person’s right to such special pension.
(c) The Secretary concerned shall deliver to the Secretary a
certified copy of each certificate issued under subsection (b) in
which the right of the person named in the certificate to the special
pension provided by section 1562 of this title is set forth. Such copy
shall authorize the Secretary to pay such special pension to the
person named in the certificate.
Aug. 14, 1961, 75 Stat. 338; Pub. L. 88–77, Sec. 5(2), July 25, 1963, 77 Stat. 95;
Pub. L. 94–169, title I, Sec. 106(42), (43), Dec. 23, 1975, 89 Stat. 1019; renumbered
105 Stat. 404–406.)
§ 1562. Special provisions relating to pension

(a) The Secretary shall pay monthly to each person whose
name has been entered on the Army, Navy, Air Force, and Coast
Guard Medal of Honor roll, and a copy of whose certificate has
been delivered to the Secretary under subsection (c) of section 1561
of this title, a special pension at the rate of $1,000, as adjusted
from time to time under subsection (e), beginning as of the date of
application therefor under section 1560 of this title.
(b) The receipt of special pension shall not deprive any person
of any other pension or other benefit, right, or privilege to which
such person is or may hereafter be entitled under any existing or
subsequent law. Special pension shall be paid in addition to all
other payments under laws of the United States.
(c) Special pension shall not be subject to any attachment, exe-
cution, levy, tax lien, or detention under any process whatever.
(d) If any person has been awarded more than one medal of
honor, such person shall not receive more than one special pension.
(e) Effective as of December 1 each year, the Secretary shall

increase the amount of monthly special pension payable under sub-
section (a) as of November 30 of such year by the same percentage
as the percentage by which benefit amounts payable under title II
of the Social Security Act (42 U.S.C. 401 et seq.) are increased ef-
fective December 1 of such year as a result of a determination
under section 215(i) of that Act (42 U.S.C. 415(i)).
(f)(1) The Secretary shall pay, in a lump sum, to each person
who is in receipt of special pension payable under this section an
amount equal to the total amount of special pension that the per-
son would have received during the period beginning on the first
day of the first month beginning after the date of the act for which
the person was awarded the Medal of Honor and ending on the last
day of the month preceding the month in which the person’s special
pension in fact commenced.
(2) For each month of a period referred to in paragraph (1), the
amount of special pension payable to a person shall be determined
using the rate of special pension that was in effect for such month,
and shall be payable only if the person would have been entitled
to payment of special pension for such month under laws for eligi-
bility for special pension (with the exception of the eligibility law
requiring a person to have been awarded a Medal of Honor) in ef-
fect at the beginning of such month.
14, 1961, 75 Stat. 339; Pub. L. 88–77, Sec. 5(2), July 25, 1963, 77 Stat. 95; Pub.
L. 94–169, title I, Sec. 106(44), (45), Dec. 23, 1975, 89 Stat. 1019; Pub. L. 95–479,
title III, Sec. 302, Oct. 18, 1978, 92 Stat. 1565; renumbered Sec. 1562 and amended
Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub.
L. 103–161, Sec. 1(a), Nov. 30, 1993, 107 Stat. 1967; Pub. L. 105–368, title III, Sec.
301(a), Nov. 11, 1998, 112 Stat. 3332; Pub. L. 107–330, title III, Sec. 304(a)–(c), Dec.
6, 2002, 116 Stat. 2826.)
157
CHAPTER 17—HOSPITAL, NURSING HOME,
DOMICILIARY, AND MEDICAL CARE
Sec.
1701. Definitions.
1702. Presumptions: psychosis after service in World War II and following peri-
ods of war; mental illness following service in the Persian Gulf War.
1703. Contracts for hospital care and medical services in non-Department facili-
ties.
1704. Preventive health services: annual report.
1705. Management of health care: patient enrollment system.
1706. Management of health care: other requirements.
1707. Limitations.
1708. Temporary lodging.
SUBCHAPTER II—HOSPITAL, NURSING HOME, OR DOMICILIARY CARE AND
MEDICAL TREATMENT
1710. Eligibility for hospital, nursing home, and domiciliary care.
1710A. Required nursing home care.
1710B. Extended care services.
1710C. Traumatic brain injury: plans for rehabilitation and reintegration into the
community.
1710D. Traumatic brain injury: comprehensive plan for long-term rehabilitation.
1710E. Traumatic brain injury: use of non-Departmental facilities for rehabilita-
tion.
1711. Care during examinations and in emergencies.
1712. Dental care; drugs and medicines for certain disabled veterans; vaccines.
1712A. Eligibility for readjustment counseling and related mental health services.
1712B. Counseling for former prisoners of war.
[1713. Renumbered.]
1714. Fitting and training in use of prosthetic appliances; guide dogs; service
dogs.
1715. Tobacco for hospitalized veterans.
1716. Hospital care by other agencies of the United States.
1717. Home health services; invalid lifts and other devices.
1718. Therapeutic and rehabilitative activities.
1719. Repair or replacement of certain prosthetic and other appliances.
1720. Transfers for nursing home care; adult day health care.
1720A. Treatment and rehabilitative services for persons with drug or alcohol de-
pendency.
1720B. Respite care.
1720C. Noninstitutional alternatives to nursing home care.
1720D. Counseling and treatment for sexual trauma.
1720E. Nasopharyngeal radium irradiation.
1720F. Comprehensive program for suicide prevention among veterans.
SUBCHAPTER III—MISCELLANEOUS PROVISIONS RELATING TO HOSPITAL
AND NURSING HOME CARE AND MEDICAL TREATMENT OF VETERANS
1721. Power to make rules and regulations.
1722. Determination of inability to defray necessary expenses; income thresh-
olds.
1722A. Copayment for medications.
159
Sec. 1701 CH. 17—MEDICAL CARE 160
1723. Furnishing of clothing.

1724. Hospital care, medical services, and nursing home care abroad.
1725. Reimbursement for emergency treatment.
1726. Reimbursement for loss of personal effects by natural disaster.
1728. Reimbursement of certain medical expenses.
1729. Recovery by the United States of the cost of certain care and services.
1729A. Department of Veterans Affairs Medical Care Collections Fund.
1729B. Consolidated patient accounting centers.
1730. Community residential care.
SUBCHAPTER IV—HOSPITAL CARE AND MEDICAL TREATMENT FOR
VETERANS IN THE REPUBLIC OF THE PHILIPPINES
1731. Assistance to the Republic of the Philippines.
1732. Contracts and grants to provide for the care and treatment of United
States veterans by the Veterans Memorial Medical Center.
1733. Supervision of program by the President.
1734. Hospital and nursing home care and medical services in the United States.
1735. Definitions.
1741. Criteria for payment.
1742. Inspections of such homes; restrictions on beneficiaries.
1743. Applications.
1744. Hiring and retention of nurses: payments to assist States.
1745. Nursing home care and medications for veterans with service-connected
disabilities.
1751. Screening, counseling, and medical treatment.
1752. Research.
1753. Voluntary participation; confidentiality.
1754. Reports.
SUBCHAPTER VII—TRANSFERRED]
[1771 to 1774. Renumbered.]
SUBCHAPTER VIII—HEALTH CARE OF PERSONS OTHER THAN VETERANS
1781. Medical care for survivors and dependents of certain veterans.
1782. Counseling, training, and mental health services for immediate family
members.
1783. Bereavement counseling.
1784. Humanitarian care.
1785. Care and services during certain disasters and emergencies.
(1) The term ‘‘disability’’ means a disease, injury, or other
physical or mental defect.
(2) The term ‘‘veteran of any war’’ includes any veteran award-
ed the Medal of Honor.
(3) The term ‘‘facilities of the Department’’ means—
(A) facilities over which the Secretary has direct jurisdic-
tion;
(B) Government facilities for which the Secretary con-
tracts; and
(C) public or private facilities at which the Secretary pro-
vides recreational activities for patients receiving care under
section 1710 of this title.
161 CH. 17—MEDICAL CARE Sec. 1701
(4) The term ‘‘non-Department facilities’’ means facilities other

than Department facilities.
(5) The term ‘‘hospital care’’ includes—
(A)(i) medical services rendered in the course of the hos-
pitalization of any veteran, and (ii) travel and incidental ex-
penses pursuant to the provisions of section 111 of this title;
(B) such mental health services, consultation, professional
counseling, marriage and family counseling, and training for
the members of the immediate family or legal guardian of a
veteran, or the individual in whose household such veteran cer-
tifies an intention to live, as the Secretary considers appro-
priate for the effective treatment and rehabilitation of a vet-
eran or dependent or survivor of a veteran receiving care under
the last sentence of section 1781(b) of this title; and
(C)(i) medical services rendered in the course of the hos-
pitalization of a dependent or survivor of a veteran receiving
care under the last sentence of section 1781(b) of this title, and
(ii) travel and incidental expenses for such dependent or sur-
vivor under the terms and conditions set forth in section 111
of this title.
(6) The term ‘‘medical services’’ includes, in addition to medical
examination, treatment, and rehabilitative services, the following:
(A) Surgical services.
(B) Dental services and appliances as described in sections
1710 and 1712 of this title.
(C) Optometric and podiatric services.
(D) Preventive health services.
(E) Noninstitutional extended care services, including al-
ternatives to institutional extended care that the Secretary
may furnish directly, by contract, or through provision of case
management by another provider or payer.
(F) In the case of a person otherwise receiving care or serv-
ices under this chapter—
(i) wheelchairs, artificial limbs, trusses, and similar
appliances;
(ii) special clothing made necessary by the wearing of
prosthetic appliances; and
(iii) such other supplies or services as the Secretary
determines to be reasonable and necessary.
(G) Travel and incidental expenses pursuant to section 111
of this title.
(7) The term ‘‘domiciliary care’’ includes necessary medical
services and travel and incidental expenses pursuant to the provi-
sions of section 111 of this title.
(8) The term ‘‘rehabilitative services’’ means such professional,
counseling, and guidance services and treatment programs as are
necessary to restore, to the maximum extent possible, the physical,
mental, and psychological functioning of an ill or disabled person.
(9) The term ‘‘preventive health services’’ means—
(A) periodic medical and dental examinations;
(B) patient health education (including nutrition edu-
cation);
(C) maintenance of drug use profiles, patient drug moni-
toring, and drug utilization education;
(D) mental health preventive services;

(E) substance abuse prevention measures;
(F) immunizations against infectious disease;
(G) prevention of musculoskeletal deformity or other
gradually developing disabilities of a metabolic or degenerative
nature;
(H) genetic counseling concerning inheritance of geneti-
cally determined diseases;
(I) routine vision testing and eye care services;
(J) periodic reexamination of members of likely target pop-
ulations (high-risk groups) for selected diseases and for func-
tional decline of sensory organs, together with attendant ap-
propriate remedial intervention; and
(K) such other health-care services as the Secretary may
determine to be necessary to provide effective and economical
preventive health care.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1141, Sec. 601; Pub. L. 86–598, July 7, 1960,
74 Stat. 335; Pub. L. 86–639, Sec. 2, July 12, 1960, 74 Stat. 472; Pub. L. 88–481,
Aug. 22, 1964, 78 Stat. 593; Pub. L. 90–612, Sec. 2, Oct. 21, 1968, 82 Stat. 1202;
Pub. L. 93–82, title I, Sec. 101, Aug. 2, 1973, 87 Stat. 179; Pub. L. 94–581, title
I, Sec. 102, title II, Sec. 202(b), Oct. 21, 1976, 90 Stat. 2843, 2855; Pub. L. 95–520,
Sec. 5, Oct. 26, 1978, 92 Stat. 1820; Pub. L. 96–22, title I, Sec. 102(c), title II, Sec.
201(a), June 13, 1979, 93 Stat. 48, 54; Pub. L. 96–151, title II, Sec. 201(b), 202, Dec.
20, 1979, 93 Stat. 1093, 1094; Pub. L. 97–72, title I, Sec. 101, Nov. 3, 1981, 95 Stat.
1047; Pub. L. 97–251, Sec. 4, Sept. 8, 1982, 96 Stat. 716; Pub. L. 98–105, Sept. 30,
1983, 97 Stat. 730; Pub. L. 98–160, title I, Sec. 106(a), Nov. 21, 1983, 97 Stat. 998;
Pub. L. 98–528, title I, Sec. 103(a), Oct. 19, 1984, 98 Stat. 2688; Pub. L. 99–108,
Sec. 2, Sept. 30, 1985, 99 Stat. 481; Pub. L. 99–166, title I, Sec. 102(a), Dec. 3, 1985,
99 Stat. 943; Pub. L. 99–272, title XIX, Sec. 19011(d)(2), 19012(a), Apr. 7, 1986, 100
Stat. 378, 380; Pub. L. 99–576, title II, Sec. 203, Oct. 28, 1986, 100 Stat. 3255; Pub.
L. 100–322, title I, Sec. 131, May 20, 1988, 102 Stat. 506; Pub. L. 102–54, Sec.
14(b)(8), June 13, 1991, 105 Stat. 283; renumbered Sec. 1701 and amended Pub. L.
102–83, Sec. 4(a)(2)(E), (3)–(5), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–
406; Pub. L. 102–585, title V, Sec. 513, Nov. 4, 1992, 106 Stat. 4958; Pub. L. 103–
446, title XII, Sec. 1202(b)(1), Nov. 2, 1994, 108 Stat. 4689; Pub. L. 104–262, title
I, Secs. 101(d)(1), 103(a), Oct. 9, 1996, 110 Stat. 3179, 3182; Pub. L. 106–117, title
I, Sec. 101(b), Nov. 30, 1999, 113 Stat. 1548; Pub. L. 107–135, title II, Sec. 208(a)(1),
(e)(2), Jan. 23, 2002, 115 Stat. 2461, 2463; Pub. L. 107–330, title III, Sec. 308(g)(3),
Dec. 6, 2002, 116 Stat. 2828; Pub. L. 108–170, title I, Secs. 104(a), 106(a), Dec. 6,
2003, 117 Stat. 2044, 2045; Pub. L. 110–387, title III, Sec. 301(a)(1), title VIII, Sec.
801, Oct. 10, 2008, 122 Stat. 4120, 4140.)
§ 1702. Presumptions: psychosis after service in World War

II and following periods of war; mental illness
after service in the Persian Gulf War
(a) PSYCHOSIS.—For the purposes of this chapter, any veteran
of World War II, the Korean conflict, the Vietnam era, or the Per-
sian Gulf War who developed an active psychosis (1) within two
years after discharge or release from the active military, naval, or
air service, and (2) before July 26, 1949, in the case of a veteran
of World War II, before February 1, 1957, in the case of a veteran
of the Korean conflict, before May 8, 1977, in the case of a Vietnam
era veteran, or before the end of the two-year period beginning on
the last day of the Persian Gulf War, in the case of a veteran of
the Persian Gulf War, shall be deemed to have incurred such dis-
ability in the active military, naval, or air service.
(b) MENTAL ILLNESS.—For purposes of this chapter, any vet-
eran of the Persian Gulf War who develops an active mental illness
(other than psychosis) shall be deemed to have incurred such dis-

ability in the active military, naval, or air service if such veteran
develops such disability—
(1) within two years after discharge or release from the ac-
tive military, naval, or air service; and
(2) before the end of the two-year period beginning on the
last day of the Persian Gulf War.
203(a), Aug. 31, 1967, 81 Stat. 183; Pub. L. 97–295, Sec. 4(16), Oct. 12, 1982, 96
Stat. 1306; Pub. L. 99–576, title VII, Sec. 701(20), Oct. 28, 1986, 100 Stat. 3292;
Pub. L. 102–25, title III, Sec. 334(b), Apr. 6, 1991, 105 Stat. 88; renumbered Sec.
1702, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended Pub. L. 110–
181, div. A, title XVII, Sec. 1708(a)(1), (2), Jan. 28, 2008, 122 Stat. 493, 494.)
§ 1703. Contracts for hospital care and medical services in

non-Department facilities
(a) When Department facilities are not capable of furnishing
economical hospital care or medical services because of geo-
graphical inaccessibility or are not capable of furnishing the care
or services required, the Secretary, as authorized in section 1710
of this title, may contract with non-Department facilities in order
to furnish any of the following:
(1) Hospital care or medical services to a veteran for the
treatment of—
(A) a service-connected disability;
(B) a disability for which a veteran was discharged or
released from the active military, naval, or air service; or
(C) a disability of a veteran who has a total disability
permanent in nature from a service-connected disability.
(2) Medical services for the treatment of any disability of—
(A) a veteran described in section 1710(a)(1)(B) of this
title;
(B) a veteran who (i) has been furnished hospital care,
nursing home care, domiciliary care, or medical services,
and (ii) requires medical services to complete treatment in-
cident to such care or services; or
(C) a veteran described in section 1710(a)(2)(E) of this
title, or a veteran who is in receipt of increased pension,
or additional compensation or allowances based on the
need of regular aid and attendance or by reason of being
permanently housebound (or who, but for the receipt of re-
tired pay, would be in receipt of such pension, compensa-
tion, or allowance), if the Secretary has determined, based
on an examination by a physician employed by the Depart-
ment (or, in areas where no such physician is available, by
a physician carrying out such function under a contract or
fee arrangement), that the medical condition of such vet-
eran precludes appropriate treatment in Department facili-
ties.
(3) Hospital care or medical services for the treatment of
medical emergencies which pose a serious threat to the life or
health of a veteran receiving medical services in a Department
facility or nursing home care under section 1720 of this title
until such time following the furnishing of care in the non-De-
partment facility as the veteran can be safely transferred to a

Department facility.
(4) Hospital care for women veterans.
(5) Hospital care, or medical services that will obviate the
need for hospital admission, for veterans in a State (other than
the Commonwealth of Puerto Rico) not contiguous to the con-
tiguous States, except that the annually determined hospital
patient load and incidence of the furnishing of medical services
to veterans hospitalized or treated at the expense of the De-
partment in Government and non-Department facilities in each
such noncontiguous State shall be consistent with the patient
load or incidence of the furnishing of medical services for vet-
erans hospitalized or treated by the Department within the 48
contiguous States and the Commonwealth of Puerto Rico.
(6) Diagnostic services necessary for determination of eligi-
bility for, or of the appropriate course of treatment in connec-
tion with, furnishing medical services at independent Depart-
ment out-patient clinics to obviate the need for hospital admis-
sion.
(7) Outpatient dental services and treatment, and related
dental appliances, for a veteran described in section
1712(a)(1)(F) of this title.
(8) Diagnostic services (on an inpatient or outpatient basis)
for observation or examination of a person to determine eligi-
bility for a benefit or service under laws administered by the
Secretary.
(b) In the case of any veteran for whom the Secretary contracts
to furnish care or services in a non-Department facility pursuant
to a provision of subsection (a) of this section, the Secretary shall
periodically review the necessity for continuing such contractual ar-
rangement pursuant to such provision.
(c) The Secretary shall include in the budget documents which
the Secretary submits to Congress for any fiscal year a detailed re-
port on the furnishing of contract care and services during the most
recently completed fiscal year under this section, sections 1712A,
1720, 1720A, 1724, and 1732 of this title, and section 115 of the
Veterans’ Benefits and Services Act of 1988 (Public Law 100–322;
102 Stat. 501).
(d)(1) The Secretary shall conduct a program of recovery audits
for fee basis contracts and other medical services contracts for the
care of veterans under this section, and for beneficiaries under sec-
tions 1781, 1782, and 1783 of this title, with respect to overpay-
ments resulting from processing or billing errors or fraudulent
charges in payments for non-Department care and services. The
program shall be conducted by contract.
(2) Amounts collected, by setoff or otherwise, as the result of
an audit under the program conducted under this subsection shall
be available, without fiscal year limitation, for the purposes for
which funds are currently available to the Secretary for medical
care and for payment to a contractor of a percentage of the amount
collected as a result of an audit carried out by the contractor.
(3) The Secretary shall allocate all amounts collected under
this subsection with respect to a designated geographic service area
of the Veterans Health Administration, net of payments to the con-

tractor, to that region.
(4) The authority of the Secretary under this subsection termi-
nates on September 30, 2013.
(Added Pub. L. 99–272, title XIX, Sec. 19012(b)(1), Apr. 7, 1986, 100 Stat. 380, Sec.
603; amended Pub. L. 99–166, title I, Sec. 102(b)(1), Dec. 3, 1985, 99 Stat. 943; Pub.
L. 99–272, title XIX, Sec. 19012(c)(5)(A), Apr. 7, 1986, 100 Stat. 382; Pub. L. 100–
322, title I, Sec. 101(e)(3), 104, 112(a), May 20, 1988, 102 Stat. 492, 493, 499; Pub.
L. 100–687, div. B, title XV, Sec. 1503(a)(1), Nov. 18, 1988, 102 Stat. 4133; Pub. L.
102–54, Sec. 14(b)(9), June 13, 1991, 105 Stat. 283; renumbered Sec. 1703 and
amended Pub. L. 102–83, Sec. 4(a)(1), (3)–(5), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 403–406; Pub. L. 102–585, title V, Sec. 501, Nov. 4, 1992, 106 Stat. 4955;
Pub. L. 104–262, title I, Sec. 104(b), Oct. 9, 1996, 110 Stat. 3184; Pub. L. 108–422,
title VI, Sec. 601, Nov. 30, 2004, 118 Stat. 2396; Pub. L. 109–13, div. A, title VI,
Sec. 6080, May 11, 2005, 119 Stat. 302; Pub. L. 110–387, title VIII, Sec. 802, Oct.
10, 2008, 122 Stat. 4141.)
§ 1704. Preventive health services: annual report
Not later than October 31 each year, the Secretary shall sub-
mit to the Committees on Veterans’ Affairs of the Senate and
House of Representatives a report on preventive health services.
Each such report shall include the following:
(1) A description of the programs and activities of the De-
partment with respect to preventive health services during the
preceding fiscal year, including a description of the following:
(A) The programs conducted by the Department—
(i) to educate veterans with respect to health pro-
motion and disease prevention; and
(ii) to provide veterans with preventive health
screenings and other clinical services, with such de-
scription setting forth the types of resources used by
the Department to conduct such screenings and serv-
ices and the number of veterans reached by such
screenings and services.
(B) The means by which the Secretary addressed the
specific preventive health services needs of particular
groups of veterans (including veterans with service-con-
nected disabilities, elderly veterans, low-income veterans,
women veterans, institutionalized veterans, and veterans
who are at risk for mental illness).
(C) The manner in which the provision of such serv-
ices was coordinated with the activities of the Medical and
Prosthetic Research Service of the Department and the
National Center for Preventive Health.
(D) The manner in which the provision of such serv-
ices was integrated into training programs of the Depart-
ment, including initial and continuing medical training of
medical students, residents, and Department staff.
(E) The manner in which the Department participated
in cooperative preventive health efforts with other govern-
mental and private entities (including State and local
health promotion offices and not-for-profit organizations).
(F) The specific research carried out by the Depart-
ment with respect to the long-term relationships among
screening activities, treatment, and morbidity and mor-
tality outcomes.
(G) The cost effectiveness of such programs and activi-

ties, including an explanation of the means by which the
costs and benefits (including the quality of life of veterans
who participate in such programs and activities) of such
programs and activities are measured.
(2) A specific description of research activities on preven-
tive health services carried out during that period using em-
ployees, funds, equipment, office space, or other support serv-
ices of the Department, with such description setting forth—
(A) the source of funds for those activities;
(B) the articles or publications (including the authors
of the articles and publications) in which those activities
are described;
(C) the Federal, State, or local governmental entity or
private entity, if any, with which such activities were car-
ried out; and
(D) the clinical, research, or staff education projects
for which funding applications were submitted (including
the source of the funds applied for) and upon which a deci-
sion is pending or was denied.
(3) An accounting of the expenditure of funds during that
period by the National Center for Preventive Health under sec-
(Added Pub. L. 102–585, title V, Sec. 512(a), Nov. 4, 1992, 106 Stat. 4957.)
§ 1705. Management of health care: patient enrollment sys-
tem
(a) In managing the provision of hospital care and medical
services under section 1710(a) of this title, the Secretary, in accord-
ance with regulations the Secretary shall prescribe, shall establish
and operate a system of annual patient enrollment. The Secretary
shall manage the enrollment of veterans in accordance with the fol-
lowing priorities, in the order listed:
(1) Veterans with service-connected disabilities rated 50
percent or greater.
(2) Veterans with service-connected disabilities rated 30
percent or 40 percent.
(3) Veterans who are former prisoners of war or who were
awarded the Purple Heart, veterans with service-connected dis-
abilities rated 10 percent or 20 percent, and veterans described
in subparagraphs (B) and (C) of section 1710(a)(2) of this title.
(4) Veterans who are in receipt of increased pension based
on a need of regular aid and attendance or by reason of being
permanently housebound and other veterans who are cata-
strophically disabled.
(5) Veterans not covered by paragraphs (1) through (4)
who are unable to defray the expenses of necessary care as de-
termined under section 1722(a) of this title.
(6) All other veterans eligible for hospital care, medical
services, and nursing home care under section 1710(a)(2) of
this title.
(7) Veterans described in section 1710(a)(3) of this title
who are eligible for treatment as a low-income family under
section 3(b) of the United States Housing Act of 1937 (42
U.S.C. 1437a(b)) for the area in which such veterans reside, re-
gardless of whether such veterans are treated as single person
families under paragraph (3)(A) of such section 3(b) or as fami-
lies under paragraph (3)(B) of such section 3(b).
(8) Veterans described in section 1710(a)(3) of this title
who are not covered by paragraph (7).
(b) In the design of an enrollment system under subsection (a),
the Secretary—
(1) shall ensure that the system will be managed in a man-
ner to ensure that the provision of care to enrollees is timely
and acceptable in quality;
(2) may establish additional priorities within each priority
group specified in subsection (a), as the Secretary determines
necessary; and
(3) may provide for exceptions to the specified priorities
where dictated by compelling medical reasons.
(c)(1) The Secretary may not provide hospital care or medical
services to a veteran under paragraph (2) or (3) of section 1710(a)
of this title unless the veteran enrolls in the system of patient en-
rollment established by the Secretary under subsection (a).
(2) The Secretary shall provide hospital care and medical serv-
ices under section 1710(a)(1) of this title, and under subparagraph
(B) of section 1710(a)(2) of this title, for the 12-month period fol-
lowing such veteran’s discharge or release from service, to any vet-
eran referred to in such sections for a disability specified in the ap-
plicable subparagraph of such section, notwithstanding the failure
of the veteran to enroll in the system of patient enrollment referred
to in subsection (a) of this section.
(Added Pub. L. 104–262, title I, Sec. 104(a)(1), Oct. 9, 1996, 110 Stat. 3182; amend-
ed Pub. L. 106–117, title I, Sec. 112(2), Nov. 30, 1999, 113 Stat. 1556; Pub. L. 107–
135, title II, Sec. 202(a), Jan. 23, 2002, 115 Stat. 2457; Pub. L. 107–330, title III,
Sec. 308(g)(4), Dec. 6, 2002, 116 Stat. 2828.)
§ 1706. Management of health care: other requirements

(a) In managing the provision of hospital care and medical
services under section 1710(a) of this title, the Secretary shall, to
the extent feasible, design, establish and manage health care pro-
grams in such a manner as to promote cost-effective delivery of
health care services in the most clinically appropriate setting.
(b)(1) In managing the provision of hospital care and medical
services under such section, the Secretary shall ensure that the De-
partment (and each geographic service area of the Veterans Health
Administration) maintains its capacity to provide for the special-
ized treatment and rehabilitative needs of disabled veterans (in-
cluding veterans with spinal cord dysfunction, blindness, amputa-
tions, and mental illness) within distinct programs or facilities of
the Department that are dedicated to the specialized needs of those
veterans in a manner that (A) affords those veterans reasonable ac-
cess to care and services for those specialized needs, and (B) en-
sures that overall capacity of the Department to provide such serv-
ices is not reduced below the capacity of the Department (and each
geographic service area of the Veterans Health Administration),
nationwide, to provide those services, as of October 9, 1996. The
Secretary shall carry out this paragraph in consultation with the
Advisory Committee on Prosthetics and Special Disabilities Pro-

grams and the Committee on Care of Severely Chronically Men-
tally Ill Veterans.
(2) For purposes of paragraph (1), the capacity of the Depart-
ment (and each geographic service area of the Veterans Health Ad-
ministration) to provide for the specialized treatment and rehabili-
tative needs of disabled veterans (including veterans with spinal
cord dysfunction, traumatic brain injury, blindness, prosthetics and
sensory aids, and mental illness) within distinct programs or facili-
ties shall be measured for seriously mentally ill veterans as follows
(with all such data to be provided by geographic service area and
totaled nationally):
(A) For mental health intensive community-based care, the
number of discrete intensive care teams constituted to provide
such intensive services to seriously mentally ill veterans and
the number of veterans provided such care.
(B) For opioid substitution programs, the number of pa-
tients treated annually and the amounts expended.
(C) For dual-diagnosis patients, the number treated annu-
ally and the amounts expended.
(D) For substance-use disorder programs—
(i) the number of beds (whether hospital, nursing
home, or other designated beds) employed and the average
bed occupancy of such beds;
(ii) the percentage of unique patients admitted directly
to outpatient care during the fiscal year who had two or
more additional visits to specialized outpatient care within
30 days of their first visit, with a comparison from 1996
until the date of the report;
(iii) the percentage of unique inpatients with sub-
stance-use disorder diagnoses treated during the fiscal
year who had one or more specialized clinic visits within
three days of their index discharge, with a comparison
from 1996 until the date of the report;
(iv) the percentage of unique outpatients seen in a fa-
cility or geographic service area during the fiscal year who
had one or more specialized clinic visits, with a comparison
from 1996 until the date of the report; and
(v) the rate of recidivism of patients at each special-
ized clinic in each geographic service area of the Veterans
Health Administration.
(E) For mental health programs, the number and type of
staff that are available at each facility to provide specialized
mental health treatment, including satellite clinics, outpatient
programs, and community-based outpatient clinics, with a com-
parison from 1996 to the date of the report.
(F) The number of such clinics providing mental health
care, the number and type of mental health staff at each such
clinic, and the type of mental health programs at each such
clinic.
(G) The total amounts expended for mental health during
the fiscal year.
(3) For purposes of paragraph (1), the capacity of the Depart-
ment (and each geographic service area of the Veterans Health Ad-
ministration) to provide for the specialized treatment and rehabili-

tative needs of disabled veterans within distinct programs or facili-
ties shall be measured for veterans with spinal cord dysfunction,
traumatic brain injury, blindness, or prosthetics and sensory aids
as follows (with all such data to be provided by geographic service
area and totaled nationally):
(A) For spinal cord injury and dysfunction specialized cen-
ters and for blind rehabilitation specialized centers, the num-
ber of staffed beds and the number of full-time equivalent em-
ployees assigned to provide care at such centers.
(B) For prosthetics and sensory aids, the annual amount
expended.
(C) For traumatic brain injury, the number of patients
treated annually and the amounts expended.
(4) In carrying out paragraph (1), the Secretary may not use
patient outcome data as a substitute for, or the equivalent of, com-
pliance with the requirement under that paragraph for mainte-
nance of capacity.
(5)(A) Not later than April 1 of each year through 2008, the
Secretary shall submit to the Committees on Veterans’ Affairs of
the Senate and House of Representatives a report on the Sec-
retary’s compliance, by facility and by service-network, with the re-
quirements of this subsection. Each such report shall include infor-
mation on recidivism rates associated with substance-use disorder
treatment.
(B) In preparing each report under subparagraph (A), the Sec-
retary shall use standardized data and data definitions.
(C) Each report under subparagraph (A) shall be audited by
the Inspector General of the Department, who shall submit to Con-
gress a certification as to the accuracy of each such report.
(6)(A) To ensure compliance with paragraph (1), the Under
Secretary for Health shall prescribe objective standards of job per-
formance for employees in positions described in subparagraph (B)
with respect to the job performance of those employees in carrying
out the requirements of paragraph (1). Those job performance
standards shall include measures of workload, allocation of re-
sources, and quality-of-care indicators.
(B) Positions described in this subparagraph are positions in
the Veterans Health Administration that have responsibility for al-
locating and managing resources applicable to the requirements of
paragraph (1).
(C) The Under Secretary shall develop the job performance
standards under subparagraph (A) in consultation with the Advi-
sory Committee on Prosthetics and Special Disabilities Programs
and the Committee on Care of Severely Chronically Mentally Ill
Veterans.
(c) The Secretary shall ensure that each primary care health
care facility of the Department develops and carries out a plan to
provide mental health services, either through referral or direct
provision of services, to veterans who require such services.
(Added Pub. L. 104–262, title I, Sec. 104(a)(1), Oct. 9, 1996, 110 Stat. 3183; Pub.
L. 105–368, title IX, 903(a), title X, Sec. 1005(b)(2), Nov. 11, 1998, 112 Stat. 3360,
II, Sec. 203, Jan. 23, 2002, 115 Stat. 2458; Pub. L. 109–461, title II, Sec. 208(a),
Dec. 22, 2006, 120 Stat. 3413.)
§ 1707. Limitations
(a) Funds appropriated to carry out this chapter may not be
used for purposes that are inconsistent with the Assisted Suicide
Funding Restriction Act of 1997 (42 U.S.C. 14401 et seq.).
(b) The Secretary may furnish sensori-neural aids only in ac-
cordance with guidelines prescribed by the Secretary.
(Added Pub. L. 105–12, Sec. 9(i)(1), Apr. 30, 1997, 111 Stat. 27; amended Pub. L.
107–135, title II, Sec. 208(a)(2), (f)(2), Jan. 23, 2002, 115 Stat. 2462, 2464; Pub. L.
107–330, title III, Sec. 308(g)(5), Dec. 6, 2002, 116 Stat. 2829.)
§ 1708. Temporary lodging

(a) The Secretary may furnish persons described in subsection
(b) with temporary lodging in a Fisher house or other appropriate
facility in connection with the examination, treatment, or care of
a veteran under this chapter or, as provided for under subsection
(e)(5), in connection with benefits administered under this title.
(b) Persons to whom the Secretary may provide lodging under
subsection (a) are the following:
(1) A veteran who must travel a significant distance to re-
ceive care or services under this title.
(2) A member of the family of a veteran and others who
accompany a veteran and provide the equivalent of familial
support for such veteran.
(c) In this section, the term ‘‘Fisher house’’ means a housing fa-
cility that—
(1) is located at, or in proximity to, a Department medical
facility;
(2) is available for residential use on a temporary basis by
patients of that facility and others described in subsection
(b)(2); and
(3) is constructed by, and donated to the Secretary by, the
Zachary and Elizabeth M. Fisher Armed Services Foundation.
(d) The Secretary may establish charges for providing lodging
under this section. The proceeds from such charges shall be cred-
ited to the medical services account and shall be available until ex-
pended for the purposes of providing such lodging.
(e) The Secretary shall prescribe regulations to carry out this
section. Such regulations shall include provisions—
(1) limiting the duration of lodging provided under this
section;
(2) establishing standards and criteria under which
charges are established for such lodging under subsection (d);
(3) establishing criteria for persons considered to be accom-
panying a veteran under subsection (b)(2);
(4) establishing criteria for the use of the premises of tem-
porary lodging facilities under this section; and
(5) establishing any other limitations, conditions, and pri-
orities that the Secretary considers appropriate with respect to
lodging under this section.
(Added Pub. L. 106–419, title II, Sec. 221(a), Nov. 1, 2000, 114 Stat. 1844; amended
Pub. L. 110–387, title IX, Sec. 901(a)(8), Oct. 10, 2008, 122 Stat. 4142.)
SUBCHAPTER II—HOSPITAL, NURSING HOME, OR

DOMICILIARY CARE AND MEDICAL TREATMENT
§ 1710. Eligibility for hospital, nursing home, and domi-
ciliary care
(a)(1) The Secretary (subject to paragraph (4)) shall furnish
hospital care and medical services which the Secretary determines
to be needed—
(A) to any veteran for a service-connected disability; and
(B) to any veteran who has a service-connected disability
rated at 50 percent or more.
(2) The Secretary (subject to paragraph (4)) shall furnish hos-
pital care and medical services, and may furnish nursing home
care, which the Secretary determines to be needed to any veteran—
(A) who has a compensable service-connected disability
rated less than 50 percent or, with respect to nursing home
care during any period during which the provisions of section
1710A(a) of this title are in effect, a compensable service-con-
nected disability rated less than 70 percent;
(B) whose discharge or release from active military, naval,
or air service was for a disability that was incurred or aggra-
vated in the line of duty;
(C) who is in receipt of, or who, but for a suspension pur-
suant to section 1151 of this title (or both a suspension and the
receipt of retired pay), would be entitled to disability com-
pensation, but only to the extent that such veteran’s con-
tinuing eligibility for such care is provided for in the judgment
or settlement provided for in such section;
(D) who is a former prisoner of war or who was awarded
the Purple Heart;
(E) who is a veteran of the Mexican border period or of
World War I;
(F) who was exposed to a toxic substance, radiation, or
other conditions, as provided in subsection (e); or
(G) who is unable to defray the expenses of necessary care
as determined under section 1722(a) of this title.
(3) In the case of a veteran who is not described in paragraphs
(1) and (2), the Secretary may, to the extent resources and facilities
are available and subject to the provisions of subsections (f) and
(g), furnish hospital care, medical services, and nursing home care
which the Secretary determines to be needed.
(4) The requirement in paragraphs (1) and (2) that the Sec-
retary furnish hospital care and medical services, the requirement
in section 1710A(a) of this title that the Secretary provide nursing
home care, the requirement in section 1710B of this title that the
Secretary provide a program of extended care services, and the re-
quirement in section 1745 of this title to provide nursing home care
and prescription medicines to veterans with service-connected dis-
abilities in State homes shall be effective in any fiscal year only to
the extent and in the amount provided in advance in appropria-
tions Acts for such purposes.
(5) During any period during which the provisions of section
1710A(a) of this title are not in effect, the Secretary may furnish
nursing home care which the Secretary determines is needed to
any veteran described in paragraph (1), with the priority for such
care on the same basis as if provided under that paragraph.
(b)(1) The Secretary may furnish to a veteran described in
paragraph (2) of this subsection such domiciliary care as the Sec-
retary determines is needed for the purpose of the furnishing of
medical services to the veteran.
(2) This subsection applies in the case of the following vet-
erans:
(A) Any veteran whose annual income (as determined
annual rate of pension that would be applicable to the veteran
if the veteran were eligible for pension under section 1521(d)
of this title.
(B) Any veteran who the Secretary determines has no ade-
quate means of support.
(c) While any veteran is receiving hospital care or nursing
home care in any Department facility, the Secretary may, within
the limits of Department facilities, furnish medical services to cor-
rect or treat any non-service-connected disability of such veteran,
in addition to treatment incident to the disability for which such
veteran is hospitalized, if the veteran is willing, and the Secretary
finds such services to be reasonably necessary to protect the health
of such veteran. The Secretary may furnish dental services and
treatment, and related dental appliances, under this subsection for
a non-service-connected dental condition or disability of a veteran
only (1) to the extent that the Secretary determines that the dental
facilities of the Department to be used to furnish such services,
treatment, or appliances are not needed to furnish services, treat-
ment, or appliances for dental conditions or disabilities described
in section 1712(a) of this title, or (2) if (A) such non-service-con-
nected dental condition or disability is associated with or aggra-
vating a disability for which such veteran is receiving hospital care,
or (B) a compelling medical reason or a dental emergency requires
furnishing dental services, treatment, or appliances (excluding the
furnishing of such services, treatment, or appliances of a routine
nature) to such veteran during the period of hospitalization under
this section.
(d) In no case may nursing home care be furnished in a hos-
pital not under the direct jurisdiction of the Secretary except as
provided in section 1720 of this title.
(e)(1)(A) A Vietnam-era herbicide-exposed veteran is eligible
(subject to paragraph (2)) for hospital care, medical services, and
nursing home care under subsection (a)(2)(F) for any disability, not-
withstanding that there is insufficient medical evidence to conclude
that such disability may be associated with such exposure.
(B) A radiation-exposed veteran is eligible for hospital care,
medical services, and nursing home care under subsection (a)(2)(F)
for any disease suffered by the veteran that is—
(i) a disease listed in section 1112(c)(2) of this title; or
(ii) any other disease for which the Secretary, based on the
advice of the Advisory Committee on Environmental Hazards,
determines that there is credible evidence of a positive associa-
tion between occurrence of the disease in humans and exposure
to ionizing radiation.
(C) Subject to paragraphs (2) and (3) of this subsection, a vet-

eran who served on active duty in the Southwest Asia theater of
operations during the Persian Gulf War is eligible for hospital care,
medical services, and nursing home care under subsection (a)(2)(F)
for any disability, notwithstanding that there is insufficient med-
ical evidence to conclude that such disability may be associated
with such service.
(D) Subject to paragraphs (2) and (3), a veteran who served on
active duty in a theater of combat operations (as determined by the
Secretary in consultation with the Secretary of Defense) during a
period of war after the Persian Gulf War, or in combat against a
hostile force during a period of hostilities (as defined in section
1712A(a)(2)(B) of this title) after November 11, 1998, is eligible for
hospital care, medical services, and nursing home care under sub-
section (a)(2)(F) for any illness, notwithstanding that there is insuf-
ficient medical evidence to conclude that such condition is attrib-
utable to such service.
(E) Subject to paragraph (2), a veteran who participated in a
test conducted by the Department of Defense Deseret Test Center
as part of a program for chemical and biological warfare testing
from 1962 through 1973 (including the program designated as
‘‘Project Shipboard Hazard and Defense (SHAD)’’ and related land-
based tests) is eligible for hospital care, medical services, and nurs-
ing home care under subsection (a)(2)(F) for any illness, notwith-
standing that there is insufficient medical evidence to conclude
that such illness is attributable to such testing.
(2)(A) In the case of a veteran described in paragraph (1)(A),
hospital care, medical services, and nursing home care may not be
provided under subsection (a)(2)(F) with respect to—
(i) a disability that is found, in accordance with guidelines
issued by the Under Secretary for Health, to have resulted
from a cause other than an exposure described in paragraph
(4)(A)(ii); or
(ii) a disease for which the National Academy of Sciences,
in a report issued in accordance with section 3 of the Agent Or-
ange Act of 1991, has determined that there is limited or sug-
gestive evidence of the lack of a positive association between
occurrence of the disease in humans and exposure to a herbi-
cide agent.
(B) In the case of a veteran described in subparagraph (C), (D),
or (E) of paragraph (1), hospital care, medical services, and nursing
home care may not be provided under subsection (a)(2)(F) with re-
spect to a disability that is found, in accordance with guidelines
issued by the Under Secretary for Health, to have resulted from a
cause other than the service or testing described in such subpara-
graph.
(3) Hospital care, medical services, and nursing home care may
not be provided under or by virtue of subsection (a)(2)(F)—
(A) in the case of care for a veteran described in paragraph
(1)(A), after December 31, 2002;
(B) in the case of care for a veteran described in paragraph
(1)(C), after December 31, 2002; and
(C) in the case of care for a veteran described in paragraph
(1)(D) who—
(i) is discharged or released from the active military,

naval, or air service after the date that is five years before
the date of the enactment of the National Defense Author-
ization Act for Fiscal Year 2008, after a period of five years
beginning on the date of such discharge or release; or
(ii) is so discharged or released more than five years
before the date of the enactment of that Act and who did
not enroll in the patient enrollment system under section
1705 of this title before such date, after a period of three
years beginning on the date of the enactment of that Act.
(4) For purposes of this subsection—
(A) The term ‘‘Vietnam-era herbicide-exposed veteran’’
means a veteran (i) who served on active duty in the Republic
of Vietnam during the during the period beginning on January
9, 1962, and ending on May 7, 1975, and (ii) who the Secretary
finds may have been exposed during such service to dioxin or
was exposed during such service to a toxic substance found in
a herbicide or defoliant used for military purposes during such
period.
(B) The term ‘‘radiation-exposed veteran’’ has the meaning
given that term in section 1112(c)(3) of this title.
(5) When the Secretary first provides care for veterans using
the authority provided in paragraph (1)(D), the Secretary shall es-
tablish a system for collection and analysis of information on the
general health status and health care utilization patterns of vet-
erans receiving care under that paragraph. Not later than 18
months after first providing care under such authority, the Sec-
retary shall submit to Congress a report on the experience under
that authority. The Secretary shall include in the report any rec-
ommendations of the Secretary for extension of that authority.
(f)(1) The Secretary may not furnish hospital care or nursing
home care (except if such care constitutes hospice care) under this
section to a veteran who is eligible for such care under subsection
(a)(3) of this section unless the veteran agrees to pay to the United
States the applicable amount determined under paragraph (2) or
(4) of this subsection.
(2) A veteran who is furnished hospital care or nursing home
care under this section and who is required under paragraph (1) of
this subsection to agree to pay an amount to the United States in
order to be furnished such care shall be liable to the United States
for an amount equal to—
(A) the lesser of—
(i) the cost of furnishing such care, as determined by
the Secretary; or
(ii) the amount determined under paragraph (3) of this
subsection; and
(B) before September 30, 2010, an amount equal to $10 for
every day the veteran receives hospital care and $5 for every
day the veteran receives nursing home care.
(3)(A) In the case of hospital care furnished during any 365-
day period, the amount referred to in paragraph (2)(A)(ii) of this
subsection is—
(i) the amount of the inpatient Medicare deductible, plus
(ii) one-half of such amount for each 90 days of care (or frac-
tion thereof) after the first 90 days of such care during such
365-day period.
(B) In the case of nursing home care furnished during any 365-
day period, the amount referred to in paragraph (2)(A)(ii) of this
subsection is the amount of the inpatient Medicare deductible for
each 90 days of such care (or fraction thereof) during such 365-day
period.
(C)(i) Except as provided in clause (ii) of this subparagraph, in
the case of a veteran who is admitted for nursing home care under
this section after being furnished, during the preceding 365-day pe-
riod, hospital care for which the veteran has paid the amount of
the inpatient Medicare deductible under this subsection and who
has not been furnished 90 days of hospital care in connection with
such payment, the veteran shall not incur any liability under para-
graph (2) of this subsection with respect to such nursing home care
until—
(I) the veteran has been furnished, beginning with the first
day of such hospital care furnished in connection with such
payment, a total of 90 days of hospital care and nursing home
care; or
(II) the end of the 365-day period applicable to the hospital
care for which payment was made,
whichever occurs first.
(ii) In the case of a veteran who is admitted for nursing home
care under this section after being furnished, during any 365-day
period, hospital care for which the veteran has paid an amount
under subparagraph (A)(ii) of this paragraph and who has not been
furnished 90 days of hospital care in connection with such pay-
ment, the amount of the liability of the veteran under paragraph
(2) of this subsection with respect to the number of days of such
nursing home care which, when added to the number of days of
such hospital care, is 90 or less, is the difference between the inpa-
tient Medicare deductible and the amount paid under such sub-
paragraph until—
(I) the veteran has been furnished, beginning with the first
day of such hospital care furnished in connection with such
payment, a total of 90 days of hospital care and nursing home
care; or
(II) the end of the 365-day period applicable to the hospital
care for which payment was made,
(D) In the case of a veteran who is admitted for hospital care
under this section after having been furnished, during the pre-
ceding 365-day period, nursing home care for which the veteran
has paid the amount of the inpatient Medicare deductible under
this subsection and who has not been furnished 90 days of nursing
home care in connection with such payment, the veteran shall not
incur any liability under paragraph (2) of this subsection with re-
spect to such hospital care until—
(i) the veteran has been furnished, beginning with the first
day of such nursing home care furnished in connection with
such payment, a total of 90 days of nursing home care and hos-
pital care; or
(ii) the end of the 365-day period applicable to the nursing

home care for which payment was made,
(E) A veteran may not be required to make a payment under
this subsection for hospital care or nursing home care furnished
under this section during any 90-day period in which the veteran
is furnished medical services under paragraph (3) of subsection (a)
to the extent that such payment would cause the total amount paid
by the veteran under this subsection for hospital care and nursing
home care furnished during that period and under subsection (g)
for medical services furnished during that period to exceed the
amount of the inpatient Medicare deductible in effect on the first
day of such period.
(F) A veteran may not be required to make a payment under
this subsection or subsection (g) for any days of care in excess of
360 days of care during any 365-calendar-day period.
(4) In the case of a veteran covered by this subsection who is
also described by section 1705(a)(7) of this title, the amount for
which the veteran shall be liable to the United States for hospital
care under this subsection shall be an amount equal to 20 percent
of the total amount for which the veteran would otherwise be liable
for such care under subparagraphs (2)(B) and (3)(A) but for this
paragraph.
(5) For the purposes of this subsection, the term ‘‘inpatient
Medicare deductible’’ means the amount of the inpatient hospital
deductible in effect under section 1813(b) of the Social Security Act
(42 U.S.C. 1395e(b)) on the first day of the 365-day period applica-
ble under paragraph (3) of this subsection.
(g)(1) The Secretary may not furnish medical services (except
if such care constitutes hospice care) under subsection (a) of this
section (including home health services under section 1717 of this
title) to a veteran who is eligible for hospital care under this chap-
ter by reason of subsection (a)(3) of this section unless the veteran
agrees to pay to the United States in the case of each outpatient
visit the applicable amount or amounts established by the Sec-
retary by regulation.
(2) A veteran who is furnished medical services under sub-
section (a) of this section and who is required under paragraph (1)
of this subsection to agree to pay an amount to the United States
in order to be furnished such services shall be liable to the United
States, in the case of each visit in which such services are fur-
nished to the veteran, for an amount which the Secretary shall es-
tablish by regulation.
(3) This subsection does not apply with respect to home health
services under section 1717 of this title to the extent that such
services are for improvements and structural alterations.
(h) Nothing in this section requires the Secretary to furnish
care to a veteran to whom another agency of Federal, State, or
local government has a duty under law to provide care in an insti-
tution of such government.
14, 1962, 76 Stat. 381; Pub. L. 89–358, Sec. 8, Mar. 3, 1966, 80 Stat. 27; Pub. L.
89–785, title III, Sec. 304, Nov. 7, 1966, 80 Stat. 1377; Pub. L. 91–500, Sec. 4, Oct.
22, 1970, 84 Stat. 1096; Pub. L. 93–82, title I, Sec. 102, Aug. 2, 1973, 87 Stat. 180;
177 CH. 17—MEDICAL CARE Sec. 1710A
Pub. L. 94–581, title II, Sec. 202(d), 210(a)(1), Oct. 21, 1976, 90 Stat. 2855, 2862;
Pub. L. 96–22, title I, Sec. 102(a), June 13, 1979, 93 Stat. 47; Pub. L. 97–37, Sec.
5(a), Aug. 14, 1981, 95 Stat. 936; Pub. L. 97–72, title I, Sec. 102(a), Nov. 3, 1981,
95 Stat. 1047; Pub. L. 98–160, title VII, Sec. 701, Nov. 21, 1983, 97 Stat. 1008; Pub.
L. 99–166, title I, Sec. 103, Dec. 3, 1985, 99 Stat. 944; Pub. L. 99–272, title XIX,
Sec. 19011(a), (d)(3), Apr. 7, 1986, 100 Stat. 372, 379; Pub. L. 99–576, title II, Sec.
237(a), (b)(1), Oct. 28, 1986, 100 Stat. 3267; Pub. L. 100–322, title I, Sec. 102(a),
May 20, 1988, 102 Stat. 492; Pub. L. 100–687, div. B, title XII, Sec. 1202, Nov. 18,
1988, 102 Stat. 4125; Pub. L. 101–508, title VIII, Sec. 8013(a), Nov. 5, 1990, 104
Stat. 1388–346; Pub. L. 102–4, Sec. 5, Feb. 6, 1991, 105 Stat. 15; Pub. L. 102–54,
Sec. 14(b)(10), June 13, 1991, 105 Stat. 283; renumbered Sec. 1710 and amended
404–406; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub.
L. 103–210, Sec. 1(a), 2(a), Dec. 20, 1993, 107 Stat. 2496, 2497; Pub. L. 103–446,
title XII, Sec. 1201(d)(2), Nov. 2, 1994, 108 Stat. 4684; Pub. L. 103–452, title I, Sec.
103(a)(1), Nov. 2, 1994, 108 Stat. 4786; Pub. L. 104–110, title I, Sec. 101(a)(1), Feb.
13, 1996, 110 Stat. 768; Pub. L. 104–262, title I, Secs. 101(a), (b), (d)(2)–(4), 102(a),
Oct. 9, 1996, 110 Stat. 3178, 3179, 3181; Pub. L. 104–275, title V, Sec. 505(c), Oct.
9, 1996, 110 Stat. 3342; Pub. L. 105–33, title VIII, Secs. 8021(a)(1), 8023(b)(1), (2),
Aug. 5, 1997, 111 Stat. 664, 667; Pub. L. 105–114, title II, Sec. 209(a), title IV, Sec.
402(a), Nov. 21, 1997, 111 Stat. 2290, 2294; Pub. L. 105–368, title I, Sec. 102(a),
title X, Sec. 1005(b)(3), Nov. 11, 1998, 112 Stat. 3321, 3365; Pub. L. 106–117, title
I, Secs. 101(f), 112(1), title II, Sec. 201(b), Nov. 30, 1999, 113 Stat. 1550, 1556, 1561;
Pub. L. 106–419, title II, Sec. 224(b), Nov. 1, 2000, 114 Stat. 1846; Pub. L. 107–
135, title II, Secs. 202(b), 209(a), 211, Jan. 23, 2002, 115 Stat. 2457, 2464, 2465;
Pub. L. 107–330, title III, Sec. 308(g)(6), Dec. 6, 2002, 116 Stat. 2829; Pub. L. 108–
170, title I, Sec. 102, Dec. 6, 2003, 117 Stat. 2044; Pub. L. 109–444, Sec. 2(a), Dec.
21, 2006, 120 Stat. 3304; Pub. L. 109–461, title II, Sec. 211(a)(3)(B), title X, Secs.
1003, 1006(b), Dec. 22, 2006, 120 Stat. 3419, 3465, 3468; Pub. L. 110–161, div. I,
title II, Sec. 231, Dec. 26, 2007, 121 Stat. 2273; Pub. L. 110–181, div. A, title XVII,
Sec. 1707, Jan. 28, 2008, 122 Stat. 493; Pub. L. 110–329, div. E, title II, Sec. 224,
Sept. 30, 2008, 122 Stat. 3713; Pub. L. 110–387, title IV, Sec. 409, title VIII, Secs.
803, 804(a), Oct. 10, 2008, 122 Stat. 4130, 4141.)
§ 1710A. Required nursing home care

(a) The Secretary (subject to section 1710(a)(4) of this title)
shall provide nursing home care which the Secretary determines is
needed (1) to any veteran in need of such care for a service-con-
nected disability, and (2) to any veteran who is in need of such care
and who has a service-connected disability rated at 70 percent or
more.
(b)(1) The Secretary shall ensure that a veteran described in
subsection (a) who continues to need nursing home care is not,
after placement in a Department nursing home, transferred from
the facility without the consent of the veteran, or, in the event the
veteran cannot provide informed consent, the representative of the
veteran.
(2) Nothing in subsection (a) may be construed as authorizing
or requiring that a veteran who is receiving nursing home care in
a Department nursing home on the date of the enactment of this
section be displaced, transferred, or discharged from the facility.
(c) The Secretary shall ensure that nursing home care provided
under subsection (a) is provided in an age-appropriate manner.
(d) The provisions of subsection (a) shall terminate on Decem-
ber 31, 2013.
(Added Pub. L. 106–117, title I, Sec. 101(a)(1), Nov. 30, 1999, 113 Stat. 1547;
amended Pub. L. 106–419, title II, Sec. 224(a), Nov. 1, 2000, 114 Stat. 1846; Pub.
L. 108–170, title I, Sec. 106(b), Dec. 6, 2003, 117 Stat. 2046; Pub. L. 110–181, div.
A, title XVII, Sec. 1706(b), Jan. 28, 2008, 122 Stat. 493; Pub. L. 110–387, title VIII,
Sec. 805, Oct. 10, 2008, 122 Stat. 4141.)
Sec. 1710B CH. 17—MEDICAL CARE 178
§ 1710B. Extended care services

(a) The Secretary (subject to section 1710(a)(4) of this title and
subsection (c) of this section) shall operate and maintain a program
to provide extended care services to eligible veterans in accordance
with this section. Such services shall include the following:
(1) Geriatric evaluation.
(2) Nursing home care (A) in facilities operated by the Sec-
retary, and (B) in community-based facilities through contracts
under section 1720 of this title.
(3) Domiciliary services under section 1710(b) of this title.
(4) Adult day health care under section 1720(f) of this title.
(5) Such other noninstitutional alternatives to nursing
home care as the Secretary may furnish as medical services
under section 1701(10) of this title.
(6) Respite care under section 1720B of this title.
(b) The Secretary shall ensure that the staffing and level of ex-
tended care services provided by the Secretary nationally in facili-
ties of the Department during any fiscal year is not less than the
staffing and level of such services provided nationally in facilities
of the Department during fiscal year 1998.
(c)(1) Except as provided in paragraph (2), the Secretary may
not furnish extended care services for a non-service-connected dis-
ability other than in the case of a veteran who has a compensable
service-connected disability unless the veteran agrees to pay to the
United States a copayment (determined in accordance with sub-
section (d)) for any period of such services in a year after the first
21 days of such services provided that veteran in that year.
(2) Paragraph (1) shall not apply—
(A) to a veteran whose annual income (determined under
section 1503 of this title) is less than the amount in effect
under section 1521(b) of this title;
(B) to a veteran being furnished hospice care under this
section; or
(C) with respect to an episode of extended care services
that a veteran is being furnished by the Department on No-
vember 30, 1999.
(d)(1) A veteran who is furnished extended care services under
this chapter and who is required under subsection (c) to pay an
amount to the United States in order to be furnished such services
shall be liable to the United States for that amount.
(2) In implementing subsection (c), the Secretary shall develop
a methodology for establishing the amount of the copayment for
which a veteran described in subsection (c) is liable. That method-
ology shall provide for—
(A) establishing a maximum monthly copayment (based on
all income and assets of the veteran and the spouse of such
veteran);
(B) protecting the spouse of a veteran from financial hard-
ship by not counting all of the income and assets of the veteran
and spouse (in the case of a spouse who resides in the commu-
nity) as available for determining the copayment obligation;
and
179 CH. 17—MEDICAL CARE Sec. 1710C
(C) allowing the veteran to retain a monthly personal al-

lowance.
(e)(1) There is established in the Treasury of the United States
a revolving fund known as the Department of Veterans Affairs Ex-
tended Care Fund (hereinafter in this section referred to as the
‘‘fund’’). Amounts in the fund shall be available, without fiscal year
limitation and without further appropriation, exclusively for the
purpose of providing extended care services under subsection (a).
(2) All amounts received by the Department under this section
shall be deposited in or credited to the fund.
(Added Pub. L. 106–117, title I, Sec. 101(c)(1), Nov. 30, 1999, 113 Stat. 1548; amend-
ed Pub. L. 107–14, Sec. 8(a)(2), (16), June 5, 2001, 115 Stat. 34, 35; Pub. L. 107–
103, title V, Sec. 509(b), Dec. 27, 2001, 115 Stat. 997; Pub. L. 108–422, title II, Sec.
204, Nov. 30, 2004, 118 Stat. 2382.)
§ 1710C. Traumatic brain injury: plans for rehabilitation

and reintegration into the community
(a) PLAN REQUIRED.—The Secretary shall, for each individual
who is a veteran or member of the Armed Forces who receives in-
patient or outpatient rehabilitative hospital care or medical serv-
ices provided by the Department for a traumatic brain injury—
(1) develop an individualized plan for the rehabilitation
and reintegration of the individual into the community; and
(2) provide such plan in writing to the individual—
(A) in the case of an individual receiving inpatient
care, before the individual is discharged from inpatient
care or after the individual’s transition from serving on ac-
tive duty as a member of the Armed Forces to receiving
outpatient care provided by the Department; or
(B) as soon as practicable following a diagnosis of
traumatic brain injury by a Department health care pro-
vider.
(b) CONTENTS OF PLAN.—Each plan developed under subsection
(a) shall include, for the individual covered by such plan, the fol-
lowing:
(1) Rehabilitation objectives for improving the physical,
cognitive, and vocational functioning of the individual with the
goal of maximizing the independence and reintegration of such
individual into the community.
(2) Access, as warranted, to all appropriate rehabilitative
components of the traumatic brain injury continuum of care,
and where appropriate, to long-term care services.
(3) A description of specific rehabilitative treatments and
other services to achieve the objectives described in paragraph
(1), which shall set forth the type, frequency, duration, and lo-
cation of such treatments and services.
(4) The name of the case manager designated in accord-
ance with subsection (d) to be responsible for the implementa-
tion of such plan.
(5) Dates on which the effectiveness of such plan will be
reviewed in accordance with subsection (f).
(c) COMPREHENSIVE ASSESSMENT.—(1) Each plan developed
under subsection (a) shall be based on a comprehensive assess-
ment, developed in accordance with paragraph (2), of—
Sec. 1710C CH. 17—MEDICAL CARE 180
(A) the physical, cognitive, vocational, and neuropsycholog-

ical and social impairments of the individual; and
(B) the family education and family support needs of the
individual after the individual is discharged from inpatient
care or at the commencement of and during the receipt of out-
patient care and services.
(2) The comprehensive assessment required under paragraph
(1) with respect to an individual is a comprehensive assessment of
the matters set forth in that paragraph by a team, composed by the
Secretary for purposes of the assessment, of individuals with exper-
tise in traumatic brain injury, including any of the following:
(A) A neurologist.
(B) A rehabilitation physician.
(C) A social worker.
(D) A neuropsychologist.
(E) A physical therapist.
(F) A vocational rehabilitation specialist.
(G) An occupational therapist.
(H) A speech language pathologist.
(I) A rehabilitation nurse.
(J) An educational therapist.
(K) An audiologist.
(L) A blind rehabilitation specialist.
(M) A recreational therapist.
(N) A low vision optometrist.
(O) An orthotist or prosthetist.
(P) An assistive technologist or rehabilitation engineer.
(Q) An otolaryngology physician.
(R) A dietician.
(S) An opthamologist.
(T) A psychiatrist.
(d) CASE MANAGER.—(1) The Secretary shall designate a case
manager for each individual described in subsection (a) to be re-
sponsible for the implementation of the plan developed for that in-
dividual under that subsection and the coordination of the individ-
ual’s medical care.
(2) The Secretary shall ensure that each case manager has spe-
cific expertise in the care required by the individual for whom the
case manager is designated, regardless of whether the case man-
ager obtains such expertise through experience, education, or train-
ing.
(e) PARTICIPATION AND COLLABORATION IN DEVELOPMENT OF
PLANS.—(1) The Secretary shall involve each individual described
in subsection (a), and the family or legal guardian of such indi-
vidual, in the development of the plan for such individual under
that subsection to the maximum extent practicable.
(2) The Secretary shall collaborate in the development of a
plan for an individual under subsection (a) with a State protection
and advocacy system if—
(A) the individual covered by the plan requests such col-
laboration; or
(B) in the case of such an individual who is incapacitated,
the family or guardian of the individual requests such collabo-
ration.
181 CH. 17—MEDICAL CARE Sec. 1710D
(3) In the case of a plan required by subsection (a) for a mem-

ber of the Armed Forces who is serving on active duty, the Sec-
retary shall collaborate with the Secretary of Defense in the devel-
opment of such plan.
(4) In developing vocational rehabilitation objectives required
under subsection (b)(1) and in conducting the assessment required
under subsection (c), the Secretary shall act through the Under
Secretary for Health in coordination with the Vocational Rehabili-
tation and Employment Service of the Department of Veterans Af-
fairs.
(f) EVALUATION.—
(1) PERIODIC REVIEW BY SECRETARY.—The Secretary shall
periodically review the effectiveness of each plan developed
under subsection (a). The Secretary shall refine each such plan
as the Secretary considers appropriate in light of such review.
(2) REQUEST FOR REVIEW BY VETERANS.—In addition to the
periodic review required by paragraph (1), the Secretary shall
conduct a review of the plan for an individual under paragraph
(1) at the request of the individual, or in the case of an indi-
vidual who is incapacitated, at the request of the guardian or
designee of the individual.
(g) STATE DESIGNATED PROTECTION AND ADVOCACY SYSTEM DE-
FINED.—In this section, the term ‘‘State protection and advocacy
system’’ means a system established in a State under subtitle C of
the Developmental Disabilities Assistance and Bill of Rights Act of
2000 (42 U.S.C. 15041 et seq.) to protect and advocate for the
rights of persons with development disabilities.
(Added Pub. L. 110–181, div. A, title XVII, Sec. 1702(a), Jan. 28, 2008, 122 Stat.
486.)
§ 1710D. Traumatic brain injury: comprehensive program

for long-term rehabilitation
(a) COMPREHENSIVE PROGRAM.—In developing plans for the re-
habilitation and reintegration of individuals with traumatic brain
injury under section 1710C of this title, the Secretary shall develop
and carry out a comprehensive program of long-term care for post-
acute traumatic brain injury rehabilitation that includes residen-
tial, community, and home-based components utilizing interdiscipli-
nary treatment teams.
(b) LOCATION OF PROGRAM.—The Secretary shall carry out the
program developed under subsection (a) in each Department
polytrauma rehabilitation center designated by the Secretary.
(c) ELIGIBILITY.—A veteran is eligible for care under the pro-
gram developed under subsection (a) if the veteran is otherwise eli-
gible to receive hospital care and medical services under section
1710 of this title and—
(1) served on active duty in a theater of combat operations
(as determined by the Secretary in consultation with the Sec-
retary of Defense) during a period of war after the Persian
Gulf War, or in combat against a hostile force during a period
of hostilities (as defined in section 1712A(a)(2)(B) of this title)
after November 11, 1998;
(2) is diagnosed as suffering from moderate to severe trau-
matic brain injury; and
Sec. 1710E CH. 17—MEDICAL CARE 182
(3) is unable to manage routine activities of daily living

without supervision or assistance, as determined by the Sec-
retary.
(d) REPORT.—Not later than one year after the date of the en-
actment of this section, and annually thereafter, the Secretary
shall submit to the Committees on Veterans’ Affairs of the Senate
and the House of Representatives a report containing the following
information:
(1) A description of the operation of the program.
(2) The number of veterans provided care under the pro-
gram during the year preceding such report.
(3) The cost of operating the program during the year pre-
ceding such report.
488.)
§ 1710E. Traumatic brain injury: use of non-Department fa-
cilities for rehabilitation
(a) COOPERATIVE AGREEMENTS.—The Secretary, in imple-
menting and carrying out a plan developed under section 1710C of
this title, may provide hospital care and medical services through
cooperative agreements with appropriate public or private entities
that have established long-term neurobehavioral rehabilitation and
recovery programs.
(b) AUTHORITIES OF STATE PROTECTION AND ADVOCACY SYS-
TEMS.—Nothing in subtitle C of the Developmental Disabilities As-
sistance and Bill of Rights Act of 2000 shall be construed as pre-
venting a State protection and advocacy system (as defined in sec-
tion 1710C(g) of this title) from exercising the authorities described
in such subtitle with respect to individuals provided rehabilitative
treatment or services under section 1710C of this title in a non-De-
partment facility.
489.)
§ 1711. Care during examinations and in emergencies

(a) The Secretary may furnish hospital care incident to phys-
ical examinations where such examinations are necessary in car-
rying out the provisions of other laws administered by the Sec-
retary.
ø(b) Repealed. Pub. L. 107–135, title II, Sec. 208(d), Jan. 23,
2002, 115 Stat. 2463.¿
(c)(1) The Secretary may contract with any organization named
in, or approved by the Secretary under, section 5902 of this title
to provide for the furnishing by the Secretary, on a reimbursable
basis (as prescribed by the Secretary), of emergency medical serv-
ices to individuals attending any national convention of such orga-
nization, except that reimbursement shall not be required for serv-
ices furnished under this subsection to the extent that the indi-
vidual receiving such services would otherwise be eligible under
this chapter for medical services.
(2) The authority of the Secretary to enter into contracts under
this subsection shall be effective for any fiscal year only to such ex-
tent or in such amounts as are provided in appropriation Acts.
202(e), 210(a)(2), Oct. 21, 1976, 90 Stat. 2856, 2862; Pub. L. 96–22, title II, Sec. 202,
June 13, 1979, 93 Stat. 54; Pub. L. 96–128, title V, Sec. 501(a), Nov. 28, 1979, 93
Stat. 987; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; re-
numbered Sec. 1711 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6,
1991, 105 Stat. 404–406; Pub. L. 107–135, title II, Sec. 208(d), Jan. 23, 2002, 115
Stat. 2463.)
§ 1712. Dental care; drugs and medicines for certain dis-

abled veterans; vaccines
(a)(1) Outpatient dental services and treatment, and related
dental appliances, shall be furnished under this section only for a
dental condition or disability—
(A) which is service-connected and compensable in degree;
(B) which is service-connected, but not compensable in de-
gree, but only if—
(i) the dental condition or disability is shown to have
been in existence at the time of the veteran’s discharge or
release from active military, naval, or air service;
(ii) the veteran had served on active duty for a period
of not less than 180 days or, in the case of a veteran who
served on active duty during the Persian Gulf War, 90
days immediately before such discharge or release;
(iii) application for treatment is made within 180 days
after such discharge or release, except that (I) in the case
of a veteran who reentered active military, naval, or air
service within 90 days after the date of such veteran’s
prior discharge or release from such service, application
may be made within 180 days from the date of such vet-
eran’s subsequent discharge or release from such service,
and (II) if a disqualifying discharge or release has been
corrected by competent authority, application may be made
within 180 days after the date of correction; and
(iv) the veteran’s certificate of discharge or release
from active duty does not bear a certification that the vet-
eran was provided, within the 90-day period immediately
before the date of such discharge or release, a complete
dental examination (including dental X-rays) and all ap-
propriate dental services and treatment indicated by the
examination to be needed;
(C) which is a service-connected dental condition or dis-
ability due to combat wounds or other service trauma, or of a
former prisoner of war;
(D) which is associated with and is aggravating a disability
resulting from some other disease or injury which was incurred
in or aggravated by active military, naval, or air service;
(E) which is a non-service-connected condition or disability
of a veteran for which treatment was begun while such veteran
was receiving hospital care under this chapter and such serv-
ices and treatment are reasonably necessary to complete such
treatment;
(F) from which a veteran who is a former prisoner of war
is suffering;
(G) from which a veteran who has a service-connected dis-
ability rated as total is suffering; or
(H) the treatment of which is medically necessary (i) in

preparation for hospital admission, or (ii) for a veteran other-
wise receiving care or services under this chapter.
(2) The Secretary concerned shall at the time a member of the
Armed Forces is discharged or released from a period of active mili-
tary, naval, or air service of not less than 180 days or, in the case
of a veteran who served on active duty during the Persian Gulf
War, 90 days provide to such member a written explanation of the
provisions of clause (B) of paragraph (1) of this subsection and
enter in the service records of the member a statement signed by
the member acknowledging receipt of such explanation (or, if the
member refuses to sign such statement, a certification from an offi-
cer designated for such purpose by the Secretary concerned that
the member was provided such explanation).
(3) The total amount which the Secretary may expend for fur-
nishing, during any twelve-month period, outpatient dental serv-
ices, treatment, or related dental appliances to a veteran under
this section through private facilities for which the Secretary has
contracted under clause (1), (2), or (5) of section 1703(a) of this title
may not exceed $1,000 unless the Secretary determines, prior to
the furnishing of such services, treatment, or appliances and based
on an examination of the veteran by a dentist employed by the De-
partment (or, in an area where no such dentist is available, by a
dentist conducting such examination under a contract or fee ar-
rangement), that the furnishing of such services, treatment, or ap-
pliances at such cost is reasonably necessary.
graph, in any year in which the President’s Budget for the fiscal
year beginning October 1 of such year includes an amount for ex-
penditures for contract dental care under the provisions of this sub-
section and section 1703 of this title during such fiscal year in ex-
cess of the level of expenditures made for such purpose during fis-
cal year 1978, the Secretary shall, not later than February 15 of
such year, submit a report to the appropriate committees of the
Congress justifying the requested level of expenditures for contract
dental care and explaining why the application of the criteria pre-
scribed in section 1703 of this title for contracting with private fa-
cilities and in the second sentence of section 1710(c) of this title for
furnishing incidental dental care to hospitalized veterans will not
preclude the need for expenditures for contract dental care in ex-
cess of the fiscal year 1978 level of expenditures for such purpose.
In any case in which the amount included in the President’s Budg-
et for any fiscal year for expenditures for contract dental care
under such provisions is not in excess of the level of expenditures
made for such purpose during fiscal year 1978 and the Secretary
determines after the date of submission of such budget and before
the end of such fiscal year that the level of expenditures for such
contract dental care during such fiscal year will exceed the fiscal
year 1978 level of expenditures, the Secretary shall submit a report
to the appropriate committees of the Congress containing both a
justification (with respect to the projected level of expenditures for
such fiscal year) and an explanation as required in the preceding
sentence in the case of a report submitted pursuant to such sen-
tence. Any report submitted pursuant to this paragraph shall in-
clude a comment by the Secretary on the effect of the application

of the criteria prescribed in the second sentence of section 1710(c)
of this title for furnishing incidental dental care to hospitalized vet-
erans.
(B) A report under subparagraph (A) of this paragraph with re-
spect to a fiscal year is not required if, in the documents submitted
by the Secretary to the Congress in justification for the amounts
included for Department programs in the President’s Budget, the
Secretary specifies with respect to contract dental care described in
such subparagraph—
(i) the actual level of expenditures for such care in the fis-
cal year preceding the fiscal year in which such Budget is sub-
mitted;
(ii) a current estimate of the level of expenditures for such
care in the fiscal year in which such Budget is submitted; and
(iii) the amount included in such Budget for such care.
(b) Dental services and related appliances for a dental condi-
tion or disability described in paragraph (1)(B) of subsection (a)
shall be furnished on a one-time completion basis, unless the serv-
ices rendered on a one-time completion basis are found unaccept-
able within the limitations of good professional standards, in which
event such additional services may be afforded as are required to
complete professionally acceptable treatment.
(c) Dental appliances, wheelchairs, artificial limbs, trusses,
special clothing, and similar appliances to be furnished by the Sec-
retary under this section may be procured by the Secretary either
by purchase or by manufacture, whichever the Secretary deter-
mines may be advantageous and reasonably necessary.
(d) The Secretary shall furnish to each veteran who is receiv-
ing additional compensation or allowance under chapter 11 of this
title, or increased pension as a veteran of a period of war, by rea-
son of being permanently housebound or in need of regular aid and
attendance, such drugs and medicines as may be ordered on pre-
scription of a duly licensed physician as specific therapy in the
treatment of any illness or injury suffered by such veteran. The
Secretary shall continue to furnish such drugs and medicines so or-
dered to any such veteran in need of regular aid and attendance
whose pension payments have been discontinued solely because
such veteran’s annual income is greater than the applicable max-
imum annual income limitation, but only so long as such veteran’s
annual income does not exceed such maximum annual income limi-
tation by more than $1,000.
(e) In order to assist the Secretary of Health and Human Serv-
ices in carrying out national immunization programs under other
provisions of law, the Secretary may authorize the administration
of immunizations to eligible veterans who voluntarily request such
immunizations in connection with the provision of care for a dis-
ability under this chapter in any Department health care facility.
Any such immunization shall be made using vaccine furnished by
the Secretary of Health and Human Services at no cost to the De-
partment. For such purpose, notwithstanding any other provision
of law, the Secretary of Health and Human Services may provide
such vaccine to the Department at no cost. Section 7316 of this title
Sec. 1712A CH. 17—MEDICAL CARE 186
shall apply to claims alleging negligence or malpractice on the part

of Department personnel granted immunity under such section.
12, 1960, 74 Stat. 472; Pub. L. 87–377, Sec. 1, Oct. 4, 1961, 75 Stat. 806; Pub. L.
87–583, Sec. 2, Aug. 14, 1962, 76 Stat. 381; Pub. L. 88–430, Aug. 14, 1964, 78 Stat.
438; Pub. L. 88–450, Sec. 7, Aug. 19, 1964, 78 Stat. 504; Pub. L. 88–664, Sec. 8,
Oct. 13, 1964, 78 Stat. 1096; Pub. L. 90–77, title II, Sec. 203(b), Aug. 31, 1967, 81
Stat. 183; Pub. L. 91–102, Oct. 30, 1969, 83 Stat. 168; Pub. L. 91–500, Sec. 2, 3,
Oct. 22, 1970, 84 Stat. 1096; Pub. L. 91–588, Sec. 4, 9(f), Dec. 24, 1970, 84 Stat.
1583, 1585; Pub. L. 93–82, title I, Sec. 103(a), Aug. 2, 1973, 87 Stat. 180; Pub. L.
94–581, title I, Sec. 103(a), title II, Sec. 202(f), 210(a)(3), Oct. 21, 1976, 90 Stat.
2844, 2856, 2862; Pub. L. 95–588, title III, Sec. 302, Nov. 4, 1978, 92 Stat. 2506;
Pub. L. 96–22, title I, Sec. 101, 102(b), June 13, 1979, 93 Stat. 47; Pub. L. 96–151,
title II, Sec. 203, 204, Dec. 20, 1979, 93 Stat. 1094; Pub. L. 97–35, title XX, Sec.
2002(a), Aug. 13, 1981, 95 Stat. 781; Pub. L. 97–37, Sec. 3(b), 5(b), (c), Aug. 14,
1981, 95 Stat. 936, 937; Pub. L. 97–72, title I, Sec. 102(b), 103(a), (b), Nov. 3, 1981,
95 Stat. 1048, 1049; Pub. L. 97–295, Sec. 4(17), (95)(A), Oct. 12, 1982, 96 Stat. 1306,
1313; Pub. L. 99–166, title I, Sec. 104, Dec. 3, 1985, 99 Stat. 944; Pub. L. 99–272,
title XIX, Sec. 19011(b), 19012(c)(1), (2), Apr. 7, 1986, 100 Stat. 375, 382; Pub. L.
99–576, title II, Sec. 202, 231(b), 237(b)(2), title VII, Sec. 702(5), Oct. 28, 1986, 100
Stat. 3254, 3263, 3267, 3301; Pub. L. 100–322, title I, Sec. 101(a)–(c), (d)(2), (e)(1),
(2), (f), (g)(1), (h)(1), 106, May 20, 1988, 102 Stat. 489–492, 494; Pub. L. 101–508,
title VIII, Sec. 8013(b), Nov. 5, 1990, 104 Stat. 1388–346; Pub. L. 102–25, title III,
Sec. 334(a), (c), Apr. 6, 1991, 105 Stat. 88, 89; renumbered Sec. 1712 and amended
Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), (5), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
404–406; Pub. L. 102–86, title III, Sec. 301, 302, Aug. 14, 1991, 105 Stat. 416; Pub.
L. 102–585, title I, Sec. 103, Nov. 4, 1992, 106 Stat. 4946; Pub. L. 103–210, Sec.
1(b), Dec. 20, 1993, 107 Stat. 2496; Pub. L. 103–446, title XII, Sec. 1201(d)(3), Nov.
2, 1994, 108 Stat. 4684; Pub. L. 103–452, title I, Sec. 101(e), 103(a)(2), Nov. 2, 1994,
108 Stat. 4784, 4786; Pub. L. 104–110, title I, Sec. 101(a)(2), Feb. 13, 1996, 110 Stat.
768; Pub. L. 104–262, title I, Sec. 101(b)(2)–(c)(2)(A), Oct. 9, 1996, 110 Stat. 3179;
Pub. L. 106–419, title IV, Sec. 404(a)(3), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 108–
170, title I, Sec. 101(a), Dec. 6, 2003, 117 Stat. 2043; Pub. L. 110–181, div. A, title
XVII, Sec. 1709, Jan. 28, 2008, 122 Stat. 494.)
§ 1712A. Eligibility for readjustment counseling and related

mental health services
(a)(1)(A) Upon the request of any veteran referred to in sub-
paragraph (B), the Secretary shall furnish counseling to the vet-
eran to assist the veteran in readjusting to civilian life. Such coun-
seling may include a general mental and psychological assessment
of the veteran to ascertain whether such veteran has mental or
psychological problems associated with readjustment to civilian life.
(B) Subparagraph (A) applies to the following veterans:
(i) Any veteran who served on active duty—
(I) in a theater of combat operations (as determined by
the Secretary in consultation with the Secretary of De-
fense) during the Vietnam era; or
(II) after May 7, l975, in an area at a time during
which hostilities occurred in that area.
(ii) Any veteran (other than a veteran covered by clause
(i)) who served on active duty during the Vietnam era who
seeks or is furnished such counseling before January 1, 2004.
(iii) Any veteran who served on active duty—
(I) in a theater of combat operations (as determined by
the Secretary in consultation with the Secretary of De-
fense) during a period of war after the Persian Gulf War;
or
(II) in combat against a hostile force during a period

of hostilities (as defined in paragraph (2)(B)) after Novem-
ber 11, 1998.
(2)(A) Upon the request of any veteran (other than a veteran
covered by paragraph (1)) who served in the active military, naval,
or air service in a theater of combat operations (as so determined)
during a period of war, or in any other area during a period in
which hostilities (as defined in subparagraph (B)) occurred in such
area, the Secretary may furnish counseling to the veteran to assist
the veteran in readjusting to civilian life.
(B) For the purposes of subparagraph (A), the term ‘‘hostilities’’
means an armed conflict in which the members of the Armed
Forces are subjected to danger comparable to the danger to which
members of the Armed Forces have been subjected in combat with
enemy armed forces during a period of war, as determined by the
Secretary in consultation with the Secretary of Defense.
(3) Upon request of a veteran described in paragraph (1)(B)(iii),
the Secretary shall provide the veteran a preliminary general men-
tal health assessment as soon as practicable after receiving the re-
quest, but not later than 30 days after receiving the request.
(b)(1) If, on the basis of the assessment furnished under sub-
section (a) of this section, a physician or psychologist employed by
the Department (or, in areas where no such physician or psycholo-
gist is available, a physician or psychologist carrying out such func-
tion under a contract or fee arrangement with the Secretary) deter-
mines that the provision of mental health services to such veteran
is necessary to facilitate the successful readjustment of the veteran
to civilian life, such veteran shall, within the limits of Department
facilities, be furnished such services on an outpatient basis. For the
purposes of furnishing such mental health services, the counseling
furnished under subsection (a) of this section shall be considered to
have been furnished by the Department as a part of hospital care.
Any hospital care and other medical services considered necessary
on the basis of the assessment furnished under subsection (a) of
this section shall be furnished only in accordance with the eligi-
bility criteria otherwise set forth in this chapter (including the eli-
gibility criteria set forth in section 1784 of this title).
(2) Mental health services furnished under paragraph (1) of
this subsection may, if determined to be essential to the effective
treatment and readjustment of the veteran, include such consulta-
tion, counseling, training, services, and expenses as are described
in sections 1782 and 1783 of this title.
(c) The Under Secretary for Health may provide for such train-
ing of professional, paraprofessional, and lay personnel as is nec-
essary to carry out this section effectively, and, in carrying out this
section, may utilize the services of paraprofessionals, individuals
who are volunteers working without compensation, and individuals
who are veteran-students (as described in section 3485 of this title)
in initial intake and screening activities.
(d)(1) In furnishing counseling and related mental health serv-
ices under subsections (a) and (b) of this section, the Secretary
shall have available the same authority to enter into contracts with
private facilities that is available to the Secretary (under sections
1703(a)(2) and 1710(a)(1)(B) of this title) in furnishing medical
services to veterans suffering from total service-connected disabil-

ities.
(2) Before furnishing counseling or related mental health serv-
ices described in subsections (a) and (b) of this section through a
contract facility, as authorized by this subsection, the Secretary
shall approve (in accordance with criteria which the Secretary shall
prescribe by regulation) the quality and effectiveness of the pro-
gram operated by such facility for the purpose for which the coun-
seling or services are to be furnished.
(3) The authority of the Secretary to enter into contracts under
this subsection shall be effective for any fiscal year only to such ex-
tent or in such amounts as are provided in appropriation Acts.
(e) The Secretary, in cooperation with the Secretary of Defense,
shall take such action as the Secretary considers appropriate to no-
tify veterans who may be eligible for assistance under this section
of such potential eligibility.
(f) For the purposes of this section:
(1) The term ‘‘center’’ means a facility which is operated by
the Department for the provision of services under this section
and which (A) is situated apart from Department general
health-care facilities, or (B) was so situated but has been relo-
cated to a Department general health-care facility.
(2) The term ‘‘Department general health-care facility’’
means a health-care facility which is operated by the Depart-
ment for the furnishing of health-care services under this chap-
ter, not limited to services provided through the program es-
tablished under this section.
(Added Pub. L. 96–22, title I, Sec. 103(a)(1), June 13, 1979, 93 Stat. 48, Sec. 612A;
amended Pub. L. 96–128, title V, Sec. 501(b), Nov. 28, 1979, 93 Stat. 987; Pub. L.
97–72, title I, Sec. 104(a)(1), (b), Nov. 3, 1981, 95 Stat. 1049; Pub. L. 98–160, title
I, Sec. 101, Nov. 21, 1983, 97 Stat. 993; Pub. L. 99–166, title I, Sec. 105, 106, Dec.
3, 1985, 99 Stat. 944, 945; Pub. L. 99–272, title XIX, Sec. 19011(d)(4), 19012(c)(3),
Apr. 7, 1986, 100 Stat. 379, 382; Pub. L. 99–576, title II, Sec. 204, title VII, Sec.
702(6), Oct. 28, 1986, 100 Stat. 3255, 3302; Pub. L. 100–322, title I, Sec. 107(a)–
(e), May 20, 1988, 102 Stat. 494–496; Pub. L. 100–687, div. B, title XV, Sec. 1501(a),
Nov. 18, 1988, 102 Stat. 4132; Pub. L. 102–25, title III, Sec. 334(d), Apr. 6, 1991,
105 Stat. 89; Pub. L. 102–54, Sec. 14(b)(11), June 13, 1991, 105 Stat. 283; renum-
bered Sec. 1712A and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), (6),
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–405, title III, Sec. 302(c)(1),
Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–262, title I, Sec. 101(d)(5), title III, Sec.
331, Oct. 9, 1996, 110 Stat. 3180, 3197; Pub. L. 106–117, title II, Sec. 205(a), Nov.
30, 1999, 113 Stat. 1563; Pub. L. 107–135, title II, Sec. 208(e)(3)(A), Jan. 23, 2002,
115 Stat. 2463; Pub. L. 110–181, div. A, title XVII, Sec. 1708(b), Jan. 28, 2008, 122
Stat. 494; Pub. L. 110–387, title IX, Sec. 901(a)(1), Oct. 10, 2008, 122 Stat. 4142.)
§ 1712B. Counseling for former prisoners of war

The Secretary may establish a program under which, upon the
request of a veteran who is a former prisoner of war, the Secretary,
within the limits of Department facilities, furnishes counseling to
such veteran to assist such veteran in overcoming the psychological
effects of the veteran’s detention or internment as a prisoner of
war.
(Added Pub. L. 99–166, title I, Sec. 107(a), Dec. 3, 1985, 99 Stat. 945, Sec. 612B;
renumbered Sec. 1712B and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E),
5(a), Aug. 6, 1991, 105 Stat. 404–406.)
ø§ 1713. Renumbered 1781¿

§ 1714. Fitting and training in use of prosthetic appliances;
guide dogs; service dogs
(a) Any veteran who is entitled to a prosthetic appliance shall
be furnished such fitting and training, including institutional train-
ing, in the use of such appliance as may be necessary, whether in
a Department facility or other training institution, or by outpatient
treatment, including such service under contract, and including
travel and incidental expenses (under the terms and conditions set
forth in section 111 of this title) to and from such veteran’s home
to such hospital or training institution.
(b) The Secretary may provide guide dogs trained for the aid
of the blind to veterans who are enrolled under section 1705 of this
title. The Secretary may also provide such veterans with mechan-
ical or electronic equipment for aiding them in overcoming the dis-
ability of blindness.
(c) The Secretary may, in accordance with the priority specified
in section 1705 of this title, provide—
(1) service dogs trained for the aid of the hearing impaired
to veterans who are hearing impaired and are enrolled under
section 1705 of this title; and
(2) service dogs trained for the aid of persons with spinal
cord injury or dysfunction or other chronic impairment that
substantially limits mobility to veterans with such injury, dys-
function, or impairment who are enrolled under section 1705
of this title.
(d) In the case of a veteran provided a dog under subsection
(b) or (c), the Secretary may pay travel and incidental expenses for
that veteran under the terms and conditions set forth in section
111 of this title to and from the veteran’s home for expenses in-
curred in becoming adjusted to the dog.
103(b), Aug. 2, 1973, 87 Stat. 181; Pub. L. 94–581, title II, Sec. 210(a)(5), Oct. 21,
1976, 90 Stat. 2862; Pub. L. 96–151, title II, Sec. 201(c), Dec. 20, 1979, 93 Stat.
1093; renumbered Sec. 1714 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 107–135, title II, Sec. 201(a),
(b)(1), Jan. 23, 2002, 115 Stat. 2456, 2457.)
§ 1715. Tobacco for hospitalized veterans

The Secretary may furnish tobacco to veterans receiving hos-
pital or domiciliary care.
§ 1716. Hospital care by other agencies of the United States

When so specified in an appropriation or other Act, the Sec-
retary may make allotments and transfers to the Departments of
Health and Human Services (Public Health Service), the Army,
Navy, Air Force, or Interior, for disbursement by them under the
various headings of their appropriations, of such amounts as are
necessary for the care and treatment of veterans entitled to hos-
pitalization from the Department under this chapter. The amounts
to be charged the Department for care and treatment of veterans
in hospitals shall be calculated on the basis of a per diem rate ap-

proved by the Office of Management and Budget.
202(g), Oct. 21, 1976, 90 Stat. 2856; Pub. L. 97–295, Sec. 4(95)(A), Oct. 12, 1982,
96 Stat. 1313; renumbered Sec. 1716 and amended Pub. L. 102–83, Sec. 4(a)(3), (4),
(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1717. Home health services; invalid lifts and other devices

(a)(1) As part of medical services furnished to a veteran under
section 1710(a) of this title, the Secretary may furnish such home
health services as the Secretary finds to be necessary or appro-
priate for the effective and economical treatment of the veteran.
(2) Improvements and structural alterations may be furnished
as part of such home health services only as necessary to assure
the continuation of treatment for the veteran’s disability or to pro-
vide access to the home or to essential lavatory and sanitary facili-
ties. The cost of such improvements and structural alterations (or
the amount of reimbursement therefor) under this subsection may
not exceed—
(A) $4,100 in the case of medical services furnished under
section 1710(a)(1) of this title, or for a disability described in
section 1710(a)(2)(C) of this title; or
(B) $1,200 in the case of medical services furnished under
any other provision of section 1710(a) of this title.
(3) The Secretary may furnish home health services to a vet-
eran in any setting in which the veteran is residing. The Secretary
may not furnish such services in such a manner as to relieve any
other person or entity of a contractual obligation to furnish services
to the veteran. When home health services are furnished in a set-
ting other than the veteran’s home, such services may not include
any structural improvement or alteration.
(b) The Secretary may furnish an invalid lift, or any type of
therapeutic or rehabilitative device, as well as other medical equip-
ment and supplies (excluding medicines), if medically indicated, to
any veteran who is receiving (1) compensation under section
1114(l)–(p) of this title (or the comparable rates provided pursuant
to section 1134 of this title), or (2) pension under chapter 15 of this
title by reason of being in need of regular aid and attendance.
(c) The Secretary may furnish devices for assisting in over-
coming the handicap of deafness (including telecaptioning tele-
vision decoders) to any veteran who is profoundly deaf and is enti-
tled to compensation on account of hearing impairment.
(d)(1) In the case of a member of the Armed Forces who, as de-
termined by the Secretary, has a disability permanent in nature in-
curred or aggravated in the line of duty in the active military,
naval, or air service, the Secretary may furnish improvements and
structural alterations for such member for such disability or as oth-
erwise described in subsection (a)(2) while such member is hos-
pitalized or receiving outpatient medical care, services, or treat-
ment for such disability if the Secretary determines that such
member is likely to be discharged or released from the Armed
Forces for such disability.
(2) The furnishing of improvements and alterations under
paragraph (1) in connection with the furnishing of medical services
described in subparagraph (A) or (B) of subsection (a)(2) shall be

subject to the limitation specified in the applicable subparagraph.
L. 88–450, Sec. 6(a), (c), Aug. 19, 1964, 78 Stat. 504; Pub. L. 90–77, title I, Sec. 109,
Aug. 31, 1967, 81 Stat. 180; Pub. L. 90–493, Sec. 3(a), Aug. 19, 1968, 82 Stat. 809;
Pub. L. 97–295, Sec. 4(18), Oct. 12, 1982, 96 Stat. 1306; Pub. L. 98–528, title I, Sec.
107, Oct. 19, 1984, 98 Stat. 2690; Pub. L. 99–576, title II, Sec. 202(2), Oct. 28, 1986,
100 Stat. 3254; Pub. L. 100–322, title I, Sec. 101(d), May 20, 1988, 102 Stat. 491;
renumbered Sec. 1717 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–405, title I, Sec. 101(a), Oct. 9, 1992,
106 Stat. 1973; Pub. L. 104–262, title I, Sec. 101(d)(6), Oct. 9, 1996, 110 Stat. 3180;
Pub. L. 105–114, title IV, Sec. 402(b), Nov. 21, 1997, 111 Stat. 2294; Pub. L. 110–
289, div. B, title VI, Sec. 2601, July 30, 2008, 122 Stat. 2858.)
§ 1718. Therapeutic and rehabilitative activities

(a) In providing rehabilitative services under this chapter, the
Secretary, upon the recommendation of the Under Secretary for
Health, may use the services of patients and members in Depart-
ment health care facilities for therapeutic and rehabilitative pur-
poses. Such patients and members shall not under these cir-
cumstances be held or considered as employees of the United
States for any purpose. The Secretary shall prescribe the conditions
for the use of such services.
(b)(1) In furnishing rehabilitative services under this chapter,
the Secretary, upon the recommendation of the Under Secretary for
Health, may enter into a contract or other arrangement with any
appropriate source (whether or not an element of the Department
of Veterans Affairs or of any other Federal entity) to provide for
therapeutic work for patients and members in Department health
care facilities.
(2) Notwithstanding any other provision of law, the Secretary
may also furnish rehabilitative services under this subsection
through contractual arrangements with nonprofit entities to pro-
vide for such therapeutic work for such patients. The Secretary
shall establish appropriate fiscal, accounting, management, record-
keeping, and reporting requirements with respect to the activities
of any such nonprofit entity in connection with such contractual ar-
rangements.
(c)(1) There is hereby established in the Treasury of the United
States a revolving fund known as the Department of Veterans Af-
fairs Special Therapeutic and Rehabilitation Activities Fund (here-
inafter in this section referred to as the ‘‘fund’’) for the purpose of
furnishing rehabilitative services authorized in subsection (b) or
(d). Such amounts of the fund as the Secretary may determine to
be necessary to establish and maintain operating accounts for the
various rehabilitative services activities may be deposited in check-
ing accounts in other depositaries selected or established by the
Secretary.
(2) All funds received by the Department under contractual ar-
rangements made under subsection (b) or (d), or by nonprofit enti-
ties described in subsection (b)(2), shall be deposited in or credited
to the fund, and the Secretary shall distribute out of the fund mon-
eys to participants at rates not less than the wage rates specified
in the Fair Labor Standards Act of 1938 (29 U.S.C. 201 et seq.) and
regulations prescribed thereunder for work of similar character.
(3) The Under Secretary for Health shall prepare, for inclusion
in the annual report submitted to Congress under section 529 of
this title, a description of the scope and achievements of activities
carried out under this section (including pertinent data regarding
productivity and rates of distribution) during the prior twelve
months and an estimate of the needs of the program of therapeutic
and rehabilitation activities to be carried out under this section for
the ensuing fiscal year.
(d) In providing to a veteran rehabilitative services under this
chapter, the Secretary may furnish the veteran with the following:
(1) Work skills training and development services.
(2) Employment support services.
(3) Job development and placement services.
(e) In providing rehabilitative services under this chapter, the
Secretary shall take appropriate action to make it possible for the
patient to take maximum advantage of any benefits to which such
patient is entitled under chapter 31, 34, or 35 of this title, and, if
the patient is still receiving treatment of a prolonged nature under
this chapter, the provision of rehabilitative services under this
chapter shall be continued during, and coordinated with, the pur-
suit of education and training under such chapter 31, 34, or 35.
(f) The Secretary shall prescribe regulations to ensure that the
priorities set forth in section 1705 of this title shall be applied, in-
sofar as practicable, to participation in therapeutic and rehabilita-
tion activities carried out under this section.
(g)(1) The Secretary may not consider any of the matters stat-
ed in paragraph (2) as a basis for the denial or discontinuance of
a rating of total disability for purposes of compensation or pension
based on the veteran’s inability to secure or follow a substantially
gainful occupation as a result of disability.
(2) Paragraph (1) applies to the following:
(A) A veteran’s participation in an activity carried out
under this section.
(B) A veteran’s receipt of a distribution as a result of par-
ticipation in an activity carried out under this section.
(C) A veteran’s participation in a program of rehabilitative
services that (i) is provided as part of the veteran’s care fur-
nished by a State home and (ii) is approved by the Secretary
as conforming appropriately to standards for activities carried
out under this section.
(D) A veteran’s receipt of payment as a result of participa-
tion in a program described in subparagraph (C).
(3) A distribution of funds made under this section and a pay-
ment made to a veteran under a program of rehabilitative services
described in paragraph (2)(C) shall be considered for the purposes
of chapter 15 of this title to be a donation from a public or private
relief or welfare organization.
(Added Pub. L. 87–574, Sec. 2(1), Aug. 6, 1962, 76 Stat. 308, Sec. 618; amended Pub.
L. 94–581, title I, Sec. 105(a), Oct. 21, 1976, 90 Stat. 2845; Pub. L. 98–543, title
III, Sec. 303, Oct. 24, 1984, 98 Stat. 2748; Pub. L. 99–576, title II, Sec. 205, Oct.
28, 1986, 100 Stat. 3256; Pub. L. 102–54, Sec. 10, 14(b)(12), June 13, 1991, 105 Stat.
273, 284; renumbered Sec. 1718 and amended Pub. L. 102–83, Sec. 2(c)(3), 4(a)(3),
(4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 402, 404–406; Pub. L. 102–86,
title V, Sec. 506(a)(1), Aug. 14, 1991, 105 Stat. 426; Pub. L. 102–405, title III, Sec.
302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 102–585, title IV, Sec. 401, Nov. 4,
1992, 106 Stat. 4953; Pub. L. 103–446, title XII, Sec. 1201(i)(1), Nov. 2, 1994, 108
Stat. 4688; Pub. L. 104–262, title I, Sec. 101(d)(7), Oct. 9, 1996, 110 Stat. 3180; Pub.
L. 108–170, title I, Sec. 104(b), Dec. 6, 2003, 117 Stat. 2045; Pub. L. 109–444, Sec.
8(a)(1), Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X, Secs. 1004(a)(1),
1006(b), Dec. 22, 2006, 120 Stat. 3465, 3468.)
§ 1719. Repair or replacement of certain prosthetic and

other appliances
The Secretary may repair or replace any artificial limb, truss,
brace, hearing aid, spectacles, or similar appliance (not including
dental appliances) reasonably necessary to a veteran and belonging
to such veteran which was damaged or destroyed by a fall or other
accident caused by a service-connected disability for which such
veteran is in receipt of, or but for the receipt of retirement pay
would be entitled to, disability compensation.
(Added Pub. L. 87–850, Sec. 1(a), Oct. 23, 1962, 76 Stat. 1126, Sec. 619; amended
Pub. L. 94–581, title II, Sec. 210(a)(6), Oct. 21, 1976, 90 Stat. 2862; renumbered Sec.
1719 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat.
404–406.)
§ 1720. Transfers for nursing home care; adult day health

care
(a)(1) Subject to subsection (b) of this section, the Secretary
may transfer to a non-Department nursing home, for care at the
expense of the United States—
(A) a veteran—
(i) who has been furnished care by the Secretary in a
facility under the direct jurisdiction of the Secretary; and
(ii) who the Secretary determines—
(I) requires a protracted period of nursing home
care which can be furnished in the non-Department
nursing home; and
(II) in the case of a veteran who has been fur-
nished hospital care in a facility under the direct juris-
diction of the Secretary, has received maximum bene-
fits from such care; and
(B) a member of the Armed Forces—
(i) who has been furnished care in a hospital of the
Armed Forces;
(ii) who the Secretary concerned determines has re-
ceived maximum benefits from such care but requires a
protracted period of nursing home care; and
(iii) who upon discharge from the Armed Forces will
become a veteran.
(2) The Secretary may transfer a person to a nursing home
under this subsection only if the Secretary determines that the cost
to the United States of the care of such person in the nursing home
will not exceed—
(A) the amount equal to 45 percent of the cost of care fur-
nished by the Department in a general hospital under the di-
rect jurisdiction of the Secretary (as such cost may be deter-
mined annually by the Secretary); or
(B) the amount equal to 50 percent of such cost, if such
higher amount is determined to be necessary by the Secretary
(upon the recommendation of the Under Secretary for Health)

to provide adequate care.
(3) Nursing home care may not be furnished under this sub-
section at the expense of the United States for more than six
months in the aggregate in connection with any one transfer ex-
cept—
(A) in the case of a veteran—
(i) who is transferred to a non-Department nursing
home from a hospital under the direct jurisdiction of the
Secretary; and
(ii) whose hospitalization was primarily for a service-
connected disability;
(B) in a case in which the nursing home care is required
for a service-connected disability; or
(C) in a case in which, in the judgment of the Secretary,
a longer period of nursing home care is warranted.
(4) A veteran who is furnished care by the Secretary in a hos-
pital or domiciliary facility in Alaska or Hawaii may be furnished
nursing home care at the expense of the United States under this
subsection even if such hospital or domiciliary facility is not under
the direct jurisdiction of the Secretary.
(b) No veteran may be transferred or admitted to any institu-
tion for nursing home care under this section, unless such institu-
tion is determined by the Secretary to meet such standards as the
Secretary may prescribe. The standards prescribed and any report
of inspection of institutions furnishing care to veterans under this
section made by or for the Secretary shall, to the extent possible,
be made available to all Federal, State, and local agencies charged
with the responsibility of licensing or otherwise regulating or in-
specting such institutions.
(c)(1)(A) In furnishing nursing home care, adult day health
care, or other extended care services under this section, the Sec-
retary may enter into agreements for furnishing such care or serv-
ices with—
(i) in the case of the medicare program, a provider of serv-
ices that has entered into a provider agreement under section
1866(a) of the Social Security Act (42 U.S.C. 1395cc(a)); and
(ii) in the case of the medicaid program, a provider partici-
pating under a State plan under title XIX of such Act (42
U.S.C. 1396 et seq.).
(B) In entering into an agreement under subparagraph (A)
with a provider of services described in clause (i) of that subpara-
graph or a provider described in clause (ii) of that subparagraph,
the Secretary may use the procedures available for entering into
provider agreements under section 1866(a) of the Social Security
Act.
(2) In applying the provisions of section 2(b)(1) of the Service
Contract Act of 1965 (41 U.S.C. 351(b)(1)) with respect to any con-
tract entered into under this section to provide nursing home care
of veterans, the payment of wages not less than those specified in
section 6(b) of the Fair Labor Standards Act of 1938 (29 U.S.C.
206(b)) shall be deemed to constitute compliance with such provi-
sions.
(d)(1) Subject to subsection (b) of this section, the Secretary

may authorize for any veteran requiring nursing home care for a
service-connected disability direct admission for such care at the
expense of the United States to any non-Department nursing home.
The Secretary may also authorize a direct admission to such a
nursing home for nursing home care for any veteran who has been
discharged from a hospital under the direct jurisdiction of the Sec-
retary and who is currently receiving medical services as part of
home health services from the Department.
(2) Direct admission authorized by paragraph (1) of this sub-
section may be authorized upon determination of need therefor—
(A) by a physician employed by the Department; or
(B) in areas where no such physician is available, by a
physician carrying out such function under contract or fee ar-
rangement,
based on an examination by such physician.
(3) The amount which may be paid for such care and the
length of care available under this subsection shall be the same as
authorized under subsection (a) of this section.
(e)(1) The cost of intermediate care for purposes of payment by
the United States pursuant to subsection (a)(2)(B) of this section
shall be determined by the Secretary except that the rate of reim-
bursement shall be commensurately less than that provided for
nursing home care.
(2) For the purposes of this section, the term ‘‘non-Department
nursing home’’ means a public or private institution not under the
direct jurisdiction of the Secretary which furnishes nursing home
care.
(f)(1)(A) The Secretary may furnish adult day health care serv-
ices to a veteran enrolled under section 1705(a) of this title who
would otherwise require nursing home care.
(B) The Secretary may provide in-kind assistance (through the
services of Department employees and the sharing of other Depart-
ment resources) to a facility furnishing care to veterans under sub-
paragraph (A) of this paragraph. Any such in-kind assistance shall
be provided under a contract or agreement between the Secretary
and the facility concerned. The Secretary may provide such assist-
ance only for use solely in the furnishing of adult day health care
and only if, under such contract or agreement, the Department re-
ceives reimbursement for the full cost of such assistance, including
the cost of services and supplies and normal depreciation and am-
ortization of equipment. Such reimbursement may be made by re-
duction in the charges to the United States or by payment to the
United States. Any funds received through such reimbursement
shall be credited to funds allotted to the Department facility that
provided the assistance.
(2) The Secretary may conduct, at facilities over which the Sec-
retary has direct jurisdiction, programs for the furnishing of adult
day health care to veterans who are eligible for such care under
paragraph (1) of this subsection, except that necessary travel and
incidental expenses (or transportation in lieu thereof) may be fur-
nished under such a program only under the terms and conditions
set forth in section 111 of this title. The furnishing of care under
any such program shall be subject to the limitations that are appli-
cable to the duration of adult day health care furnished under

paragraph (1) of this subsection.
(Added Pub. L. 88–450, Sec. 2(a), Aug. 19, 1964, 78 Stat. 500, Sec. 620; amended
Pub. L. 90–429, July 26, 1968, 82 Stat. 446; Pub. L. 90–612, Sec. 1, 3, Oct. 21, 1968,
82 Stat. 1202; Pub. L. 91–101, Oct. 30, 1969, 83 Stat. 167; Pub. L. 93–82, title I,
Sec. 104, Aug. 2, 1973, 87 Stat. 182; Pub. L. 94–581, title I, Sec. 106, title II, Sec.
202(h), 210(a)(7), Oct. 21, 1976, 90 Stat. 2847, 2856, 2863; Pub. L. 97–295, Sec.
4(19), Oct. 12, 1982, 96 Stat. 1306; Pub. L. 98–160, title I, Sec. 103(a)(1), (2), Nov.
21, 1983, 97 Stat. 995; Pub. L. 99–166, title I, Sec. 108(a)–(c), Dec. 3, 1985, 99 Stat.
946, 947; Pub. L. 99–272, title XIX, Sec. 19011(d)(5), Apr. 7, 1986, 100 Stat. 379;
Pub. L. 100–322, title I, Sec. 103(b), 111(a), May 20, 1988, 102 Stat. 493, 499; re-
numbered Sec. 1720 and amended Pub. L. 102–83, Sec. 4(a)(2)(A)(ii), (3)–(5), (b)(1),
(2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 102–405, title III, Sec.
302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–262, title I, Sec. 101(d)(8), Oct.
9, 1996, 110 Stat. 3180; Pub. L. 105–114, title IV, Sec. 402(c), Nov. 21, 1997, 111
Stat. 2294; Pub. L. 106–117, title I, Sec. 101(d), Nov. 30, 1999, 113 Stat. 1549; Pub.
L. 108–170, title I, Sec. 105, Dec. 6, 2003, 117 Stat. 2045.)
§ 1720A. Treatment and rehabilitative services for persons

with drug or alcohol dependency
(a) The Secretary, in consultation with the Secretary of Labor
and the Director of the Office of Personnel Management, may take
appropriate steps to (1) urge all Federal agencies and appropriate
private and public firms, organizations, agencies, and persons to
provide appropriate employment and training opportunities for vet-
erans who have been provided treatment and rehabilitative serv-
ices under this title for alcohol or drug dependence or abuse dis-
abilities and have been determined by competent medical authority
to be sufficiently rehabilitated to be employable, and (2) provide all
possible assistance to the Secretary of Labor in placing such vet-
erans in such opportunities.
(b) Upon receipt of an application for treatment and rehabilita-
tive services under this title for an alcohol or drug dependence or
abuse disability from any individual who has been discharged or
released from active military, naval, or air service but who is not
eligible for such treatment and services, the Secretary shall—
(1) provide referral services to assist such individual, to
the maximum extent practicable, in obtaining treatment and
rehabilitative services from sources outside the Department;
and
(2) if pertinent, advise such individual of such individual’s
rights to apply to the appropriate military, naval, or air service
and the Department for review of such individual’s discharge
or release from such service.
(c)(1) Any person serving in the active military, naval, or air
service who is determined by the Secretary concerned to have an
alcohol or drug dependence or abuse disability may be transferred
to any facility in order for the Secretary to furnish care or treat-
ment and rehabilitative services for such disability. Care and serv-
ices provided to a member so transferred shall be provided as if
such member were a veteran. Any transfer of any such member for
such care and services shall be made pursuant to such terms as
may be agreed upon by the Secretary concerned and the Secretary,
subject to the provisions of sections 1535 and 1536 of title 31.
(2) No person serving in the active military, naval, or air serv-
ice may be transferred pursuant to an agreement made under
197 CH. 17—MEDICAL CARE Sec. 1720C
paragraph (1) of this subsection unless such person requests such

transfer in writing for a specified period of time. No such person
transferred pursuant to such a request may be furnished such care
and services by the Secretary beyond the period of time specified
in such request unless such person requests in writing an exten-
sion for a further specified period of time and such request is ap-
proved by the Secretary.
(d)(1) The Secretary shall ensure that each medical center of
the Department develops and carries out a plan to provide treat-
ment for substance use disorders, either through referral or direct
provision of services, to veterans who require such treatment.
(2) Each plan under paragraph (1) shall make available clini-
cally proven substance abuse treatment methods, including opioid
substitution therapy, to veterans with respect to whom a qualified
medical professional has determined such treatment methods to be
appropriate.
(Added Pub. L. 96–22, title I, Sec. 104(a), June 13, 1979, 93 Stat. 50, Sec. 620A;
amended Pub. L. 96–128, title V, Sec. 501(c), Nov. 28, 1979, 93 Stat. 987; Pub. L.
97–251, Sec. 6, Sept. 8, 1982, 96 Stat. 716; Pub. L. 97–258, Sec. 3(k)(1), Sept. 13,
1982, 96 Stat. 1065; Pub. L. 99–108, Sec. 3, Sept. 30, 1985, 99 Stat. 481; Pub. L.
99–166, title I, Sec. 101(a), (b)(1), Dec. 3, 1985, 99 Stat. 942, 943; Pub. L. 100–687,
div. B, title XV, Sec. 1509, Nov. 18, 1988, 102 Stat. 4137; Pub. L. 100–689, title V,
Sec. 502(a)(1), (b), Nov. 18, 1988, 102 Stat. 4179; Pub. L. 102–54, Sec. 14(b)(13),
June 13, 1991, 105 Stat. 284; renumbered Sec. 1720A and amended Pub. L. 102–
83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–
86, title III, Sec. 303, Aug. 14, 1991, 105 Stat. 416; Pub. L. 103–452, title I, Sec.
103(b), Nov. 2, 1994, 108 Stat. 4786; Pub. L. 104–110, title I, Sec. 101(b), Feb. 13,
1996, 110 Stat. 768; Pub. L. 105–114, title IV, Sec. 202(b), Nov. 21, 1997, 111 Stat.
2287; Pub. L. 106–117, title I, Sec. 114, Nov. 30, 1999, 113 Stat. 1558; Pub. L. 106–
419, title IV, Sec. 404(a)(4), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 107–95, Sec. 8(c),
Dec. 21, 2001, 115 Stat. 920.)
§ 1720B. Respite care

(a) The Secretary may furnish respite care services to a vet-
eran who is enrolled to receive care under section 1710 of this title.
(b) For the purpose of this section, the term ‘‘respite care serv-
ices’’ means care and services which—
(1) are of limited duration;
(2) are furnished on an intermittent basis to a veteran who
is suffering from a chronic illness and who resides primarily at
home; and
(3) are furnished for the purpose of helping the veteran to
continue residing primarily at home.
(c) In furnishing respite care services, the Secretary may enter
into contract arrangements.
(Added Pub. L. 99–576, title II, Sec. 201(a)(1), Oct. 28, 1986, 100 Stat. 3254, Sec.
620B; amended Pub. L. 101–237, title II, Sec. 201(a), Dec. 18, 1989, 103 Stat. 2066;
renumbered Sec. 1720B and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E),
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–585, title V, Sec. 502, Nov.
4, 1992, 106 Stat. 4955; Pub. L. 106–117, title I, Sec. 101(e), Nov. 30, 1999, 113 Stat.
1549.)
§ 1720C. Noninstitutional alternatives to nursing home care

(a) The Secretary may furnish medical, rehabilitative, and
health-related services in noninstitutional settings for veterans
who are eligible under this chapter for, and are in need of, nursing
Sec. 1720D CH. 17—MEDICAL CARE 198
home care. The Secretary shall give priority for participation in

such program to veterans who—
(1) are in receipt of, or are in need of, nursing home care
primarily for the treatment of a service-connected disability; or
(2) have a service-connected disability rated at 50 percent
or more.
(b)(1) Under the program conducted pursuant to subsection (a),
the Secretary shall (A) furnish appropriate health-related services
solely through contracts with appropriate public and private agen-
cies that provide such services, and (B) designate Department
health-care employees to furnish case management services to vet-
eran furnished services under the program.
(2) For the purposes of paragraph (1), the term ‘‘case manage-
ment services’’ includes the coordination and facilitation of all serv-
ices furnished to a veteran by the Department of Veterans Affairs,
either directly or through contract, including assessment of needs,
planning, referral (including referral for services to be furnished by
the Department, either directly or through a contract, or by an en-
tity other than the Department), monitoring, reassessment, and fol-
lowup.
(c) The Secretary may provide in-kind assistance (through the
services of Department of Veterans Affairs employees and the shar-
ing of other Department resources) to a facility furnishing services
to veterans under subsection (b)(1)(A). Any such in-kind assistance
shall be provided under a contract between the Department and
the facility concerned. The Secretary may provide such assistance
only for use solely in the furnishing of appropriate services under
this section and only if, under such contract, the Department re-
ceives reimbursement for the full cost of such assistance (including
the cost of services and supplies and normal depreciation and am-
ortization of equipment). Such reimbursement may be made by re-
duction in the charges to the United States or by payment to the
United States. Any funds received through such reimbursement
shall be credited to funds allotted to the Department facility that
provided the assistance.
(d) The total cost of providing services or in-kind assistance in
the case of any veteran for any fiscal year under the program may
not exceed 65 percent of the cost that would have been incurred by
the Department during that fiscal year if the veteran had been fur-
nished, instead, nursing home care under section 1710 of this title
during that fiscal year.
(e) The authority of the Secretary to enter into contracts under
this section shall be effective for any fiscal year only to the extent
that appropriations are available.
(Added Pub. L. 101–366, title II, Sec. 201(a)(1), Aug. 15, 1990, 104 Stat. 437, Sec.
620C; renumbered Sec. 1720C and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug.
6, 1991, 105 Stat. 406; Pub. L. 103–452, title I, Sec. 103(c), Nov. 2, 1994, 108 Stat.
4786; Pub. L. 104–110, title I, Sec. 101(c), Feb. 13, 1996, 110 Stat. 768; Pub. L. 105–
114, title II, Sec. 206(a)–(b)(2), Nov. 21, 1997, 111 Stat. 2289.)
§ 1720D. Counseling and treatment for sexual trauma

(a)(1) The Secretary shall operate a program under which the
Secretary provides counseling and appropriate care and services to
veterans who the Secretary determines require such counseling and
199 CH. 17—MEDICAL CARE Sec. 1720D
care and services to overcome psychological trauma, which in the

judgment of a mental health professional employed by the Depart-
ment, resulted from a physical assault of a sexual nature, battery
of a sexual nature, or sexual harassment which occurred while the
veteran was serving on active duty or active duty for training.
(2) In furnishing counseling to a veteran under this subsection,
the Secretary may provide such counseling pursuant to a contract
with a qualified mental health professional if (A) in the judgment
of a mental health professional employed by the Department, the
receipt of counseling by that veteran in facilities of the Department
would be clinically inadvisable, or (B) Department facilities are not
capable of furnishing such counseling to that veteran economically
because of geographical inaccessibility.
(b)(1) The Secretary shall give priority to the establishment
and operation of the program to provide counseling and care and
services under subsection (a). In the case of a veteran eligible for
counseling and care and services under subsection (a), the Sec-
retary shall ensure that the veteran is furnished counseling and
care and services under this section in a way that is coordinated
with the furnishing of such care and services under this chapter.
(2) In establishing a program to provide counseling under sub-
section (a), the Secretary shall—
(A) provide for appropriate training of mental health pro-
fessionals and such other health care personnel as the Sec-
retary determines necessary to carry out the program effec-
tively;
(B) seek to ensure that such counseling is furnished in a
setting that is therapeutically appropriate, taking into account
the circumstances that resulted in the need for such coun-
seling; and
(C) provide referral services to assist veterans who are not
eligible for services under this chapter to obtain those from
sources outside the Department.
(c) The Secretary shall provide information on the counseling
and treatment available to veterans under this section. Efforts by
the Secretary to provide such information—
(1) shall include availability of a toll-free telephone num-
ber (commonly referred to as an 800 number);
(2) shall ensure that information about the counseling and
treatment available to veterans under this section—
(A) is revised and updated as appropriate;
(B) is made available and visibly posted at appropriate
facilities of the Department; and
(C) is made available through appropriate public infor-
mation services; and
(3) shall include coordination with the Secretary of De-
fense seeking to ensure that individuals who are being sepa-
rated from active military, naval, or air service are provided
appropriate information about programs, requirements, and
procedures for applying for counseling and treatment under
this section.
(d) In this section, the term ‘‘sexual harassment’’ means re-
peated, unsolicited verbal or physical contact of a sexual nature
which is threatening in character.
Sec. 1720E CH. 17—MEDICAL CARE 200
(Added Pub. L. 102–585, title I, Sec. 102(a)(1), Nov. 4, 1992, 106 Stat. 4945; amend-
ed Pub. L. 103–452, title I, Sec. 101(a)–(d), (f)(1), (2)(A), (g)(1), Nov. 2, 1994, 108
Stat. 4783, 4784; Pub. L. 105–368, title IX, Sec. 902, Nov. 11, 1998, 112 Stat. 3360;
Pub. L. 106–117, title I, Sec. 115(a)–(c), Nov. 30, 1999, 113 Stat. 1558; Pub. L. 108–
422, title III, Sec. 301, Nov. 30, 2004, 118 Stat. 2382.)
§ 1720E. Nasopharyngeal radium irradiation
(a) The Secretary may provide any veteran a medical examina-
tion, and hospital care, medical services, and nursing home care,
which the Secretary determines is needed for the treatment of any
cancer of the head or neck which the Secretary finds may be associ-
ated with the veteran’s receipt of nasopharyngeal radium irradia-
tion treatments in active military, naval, or air service.
(b) The Secretary shall provide care and services to a veteran
under subsection (a) only on the basis of evidence in the service
records of the veteran which document nasopharyngeal radium ir-
radiation treatment in service, except that, notwithstanding the ab-
sence of such documentation, the Secretary may provide such care
to a veteran who—
(1) served as an aviator in the active military, naval, or air
service before the end of the Korean conflict; or
(2) underwent submarine training in active naval service
before January 1, 1965.
(Added Pub. L. 105–368, title IX, Sec. 901(a), Nov. 11, 1998, 112 Stat. 3360.)
§ 1720F. Comprehensive program for suicide prevention
among veterans
(a) ESTABLISHMENT.—The Secretary shall develop and carry
out a comprehensive program designed to reduce the incidence of
suicide among veterans incorporating the components described in
this section.
(b) STAFF EDUCATION.—In carrying out the comprehensive pro-
gram under this section, the Secretary shall provide for mandatory
training for appropriate staff and contractors (including all medical
personnel) of the Department who interact with veterans. This
training shall cover information appropriate to the duties being
performed by such staff and contractors. The training shall include
information on—
(1) recognizing risk factors for suicide;
(2) proper protocols for responding to crisis situations in-
volving veterans who may be at high risk for suicide; and
(3) best practices for suicide prevention.
(c) HEALTH ASSESSMENTS OF VETERANS.—In carrying out the
comprehensive program, the Secretary shall direct that medical
staff offer mental health in their overall health assessment when
veterans seek medical care at a Department medical facility (in-
cluding a center established under section 1712A of this title) and
make referrals, at the request of the veteran concerned, to appro-
priate counseling and treatment programs for veterans who show
signs or symptoms of mental health problems.
(d) DESIGNATION OF SUICIDE PREVENTION COUNSELORS.—In
carrying out the comprehensive program, the Secretary shall des-
ignate a suicide prevention counselor at each Department medical
facility other than centers established under section 1712A of this
title. Each counselor shall work with local emergency rooms, police
201 CH. 17—MEDICAL CARE Sec. 1720F
departments, mental health organizations, and veterans service or-

ganizations to engage in outreach to veterans and improve the co-
ordination of mental health care to veterans.
(e) BEST PRACTICES RESEARCH.—In carrying out the com-
prehensive program, the Secretary shall provide for research on
best practices for suicide prevention among veterans. Research
shall be conducted under this subsection in consultation with the
heads of the following entities:
(1) The Department of Health and Human Services.
(2) The National Institute of Mental Health.
(3) The Substance Abuse and Mental Health Services Ad-
ministration.
(4) The Centers for Disease Control and Prevention.
(f) SEXUAL TRAUMA RESEARCH.—In carrying out the com-
prehensive program, the Secretary shall provide for research on
mental health care for veterans who have experienced sexual trau-
ma while in military service. The research design shall include con-
sideration of veterans of a reserve component.
(g) 24-HOUR MENTAL HEALTH CARE.—In carrying out the com-
prehensive program, the Secretary shall provide for mental health
care availability to veterans on a 24-hour basis.
(h) HOTLINE.—In carrying out the comprehensive program, the
Secretary may provide for a toll-free hotline for veterans to be
staffed by appropriately trained mental health personnel and avail-
able at all times.
(i) OUTREACH AND EDUCATION FOR VETERANS AND FAMILIES.—
In carrying out the comprehensive program, the Secretary shall
provide for outreach to and education for veterans and the families
of veterans, with special emphasis on providing information to vet-
erans of Operation Iraqi Freedom and Operation Enduring Free-
dom and the families of such veterans. Education to promote men-
tal health shall include information designed to—
(1) remove the stigma associated with mental illness;
(2) encourage veterans to seek treatment and assistance
for mental illness;
(3) promote skills for coping with mental illness; and
(4) help families of veterans with—
(A) understanding issues arising from the readjust-
ment of veterans to civilian life;
(B) identifying signs and symptoms of mental illness;
and
(C) encouraging veterans to seek assistance for mental
illness.
(j) PEER SUPPORT COUNSELING PROGRAM.—(1) In carrying out
the comprehensive program, the Secretary may establish and carry
out a peer support counseling program, under which veterans shall
be permitted to volunteer as peer counselors—
(A) to assist other veterans with issues related to mental
health and readjustment; and
(B) to conduct outreach to veterans and the families of vet-
erans.
(2) In carrying out the peer support counseling program under
this subsection, the Secretary shall provide adequate training for
peer counselors.
(k) OTHER COMPONENTS.—In carrying out the comprehensive

program, the Secretary may provide for other actions to reduce the
incidence of suicide among veterans that the Secretary considers
appropriate.
(Added Pub. L. 110–110, Sec. 3(a)(1), Nov. 5, 2007, 121 Stat. 1031.)
SUBCHAPTER III—MISCELLANEOUS PROVISIONS RELATING

TO HOSPITAL AND NURSING HOME CARE AND MEDICAL
TREATMENT OF VETERANS
§ 1721. Power to make rules and regulations
Rules and regulations prescribed under section 501(a) of this
title shall include rules and regulations to promote good conduct on
the part of persons who are receiving hospital, nursing home, and
domiciliary care and medical services in Department facilities. The
Secretary may prescribe in rules and regulations under such sec-
tion limitations in connection with the furnishing of such care and
services during a period of national emergency (other than a period
of war or an emergency described in section 8111A of this title).
202(j), 210(a)(8), Oct. 21, 1976, 90 Stat. 2856, 2863; Pub. L. 100–322, title I, Sec.
133, May 20, 1988, 102 Stat. 507; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7,
2(c)(1), 4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 402, 404–406.)
§ 1722. Determination of inability to defray necessary ex-

penses; income thresholds
(a) For the purposes of section 1710(a)(2)(G) of this title, a vet-
eran shall be considered to be unable to defray the expenses of nec-
essary care if—
(1) the veteran is eligible to receive medical assistance
under a State plan approved under title XIX of the Social Secu-
rity Act (42 U.S.C. 1396 et seq.);
(2) the veteran is in receipt of pension under section 1521
of this title; or
(3) the veteran’s attributable income is not greater than
the amount set forth in subsection (b).
(b)(1) For purposes of subsection (a)(3), the income threshold
for the calendar year beginning on January 1, 1990, is—
(A) $17,240 in the case of a veteran with no dependents;
and
(B) $20,688 in the case of a veteran with one dependent,
plus $1,150 for each additional dependent.
(2) For a calendar year beginning after December 31, 1990, the
amounts in effect for purposes of this subsection shall be the
amounts in effect for the preceding calendar year as adjusted under
subsection (c) of this section.
(c) Effective on January 1 of each year, the amounts in effect
under subsection (b) of this section shall be increased by the per-
centage by which the maximum rates of pension were increased
under section 5312(a) of this title during the preceding calendar
year.
(d)(1) Notwithstanding the attributable income of a veteran,
the Secretary may refuse to make a determination described in
paragraph (2) of this subsection if the corpus of the estate of the

veteran is such that under all the circumstances it is reasonable
that some part of the corpus of the estate of the veteran be con-
sumed for the veteran’s maintenance.
(2) A determination described in this paragraph is a deter-
mination that for purposes of subsection (a)(3) of this section a vet-
eran’s attributable income is not greater than the amount deter-
mined under subsection (b) of this section.
(3) For the purposes of paragraph (1) of this subsection, the
corpus of the estate of a veteran shall be determined in the same
manner as the manner in which determinations are made of the
corpus of the estates of persons under section 1522 of this title.
(e)(1) In order to avoid a hardship to a veteran described in
paragraph (2) of this subsection, the Secretary may deem the vet-
eran to have an attributable income during the previous year not
greater than the amount determined under subsection (b) of this
section.
(2) A veteran is described in this paragraph for the purposes
of subsection (a) of this section if—
(A) the veteran has an attributable income greater than
the amount determined under subsection (b) of this section;
and
(B) the current projections of such veteran’s income for the
current year are that the veteran’s income for such year will
be substantially below the amount determined under sub-
section (b).
(1) The term ‘‘attributable income’’ means the income of a
veteran for the previous year determined in the same manner
as the manner in which a determination is made of the total
amount of income by which the rate of pension for such vet-
eran under section 1521 of this title would be reduced if such
veteran were eligible for pension under that section.
(2) The term ‘‘corpus of the estate of the veteran’’ includes
the corpus of the estates of the veteran’s spouse and dependent
children, if any.
(3) The term ‘‘previous year’’ means the calendar year pre-
ceding the year in which the veteran applies for care or serv-
ices under section 1710(a) of this title.
(g) For the purposes of section 1724(c) of this title, the fact that
a veteran is—
(1) eligible to receive medical assistance under a State
plan approved under title XIX of the Social Security Act (42
U.S.C. 1396 et seq.);
(2) a veteran with a service-connected disability; or
(3) in receipt of pension under any law administered by
the Secretary,
shall be accepted as sufficient evidence of such veteran’s inability
to defray necessary expenses.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1144, Sec. 622; Pub. L. 89–612, Sec. 1, Sept.
30, 1966, 80 Stat. 859; Pub. L. 91–500, Sec. 1, Oct. 22, 1970, 84 Stat. 1096; Pub.
L. 94–581, title II, Sec. 202(k), 210(a)(9), Oct. 21, 1976, 90 Stat. 2856, 2863; Pub.
L. 96–330, title IV, Sec. 401(a), Aug. 26, 1980, 94 Stat. 1051; Pub. L. 99–272, title
XIX, Sec. 19011(c)(1), Apr. 7, 1986, 100 Stat. 376; Pub. L. 100–322, title I, Sec.
102(b), May 20, 1988, 102 Stat. 493; Pub. L. 101–508, title VIII, Sec. 8013(c), Nov.
5, 1990, 104 Stat. 1388–346; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991,
105 Stat. 239; renumbered Sec. 1722 and amended Pub. L. 102–83, Sec. 4(a)(1),
(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 104–262, title I,
Sec. 101(d)(9), Oct. 9, 1996, 110 Stat. 3180.)
§ 1722A. Copayment for medications

(a)(1) Subject to paragraph (2), the Secretary shall require a
veteran to pay the United States $2 for each 30-day supply of
medication furnished such veteran under this chapter on an out-
patient basis for the treatment of a non-service-connected disability
or condition. If the amount supplied is less than a 30-day supply,
the amount of the charge may not be reduced.
(2) The Secretary may not require a veteran to pay an amount
in excess of the cost to the Secretary for medication described in
paragraph (1).
(3) Paragraph (1) does not apply—
(A) to a veteran with a service-connected disability rated
50 percent or more;
(B) to a veteran who is a former prisoner of war; or
(C) to a veteran whose annual income (as determined
annual rate of pension which would be payable to such veteran
if such veteran were eligible for pension under section 1521 of
this title.
(b) The Secretary, pursuant to regulations which the Secretary
shall prescribe, may—
(1) increase the copayment amount in effect under sub-
section (a); and
(2) establish a maximum monthly and a maximum annual
pharmaceutical copayment amount under subsection (a) for
veterans who have multiple outpatient prescriptions.
(c) Amounts collected under this section shall be deposited in
the Department of Veterans Affairs Medical Care Collections Fund.
(Added Pub. L. 101–508, title VIII, Sec. 8012(a)(1), Nov. 5, 1990, 104 Stat. 1388–
345, Sec. 622A; renumbered Sec. 1722A, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105
Stat. 406; amended Pub. L. 102–139, title V, Sec. 518(a), Oct. 28, 1991, 105 Stat.
779; Pub. L. 102–229, title I, Dec. 12, 1991, 105 Stat. 1709; Pub. L. 102–568, title
VI, Sec. 605(a), 606(a), Oct. 29, 1992, 106 Stat. 4343; Pub. L. 103–66, title XII, Sec.
12002(b), Aug. 10, 1993, 107 Stat. 414; Pub. L. 103–446, title XII, Sec. 1201(e)(7),
Nov. 2, 1994, 108 Stat. 4685; Pub. L. 105–33, title VIII, Sec. 8021(b), 8023(b)(3),
Aug. 5, 1997, 111 Stat. 665, 667; Pub. L. 106–117, title II, Sec. 201(a), Nov. 30,
1999, 113 Stat. 1560; Pub. L. 108–7, div. K, title I, Sec. 113(c), Feb. 20, 2003, 117
Stat. 482; Pub. L. 108–170, title I, Sec. 101(b), Dec. 6, 2003, 117 Stat. 2043.)
§ 1723. Furnishing of clothing

The Secretary shall not furnish clothing to persons who are in
Department facilities, except (1) where the furnishing of such cloth-
ing to indigent persons is necessary to protect health or sanitation,
and (2) where the Secretary furnishes veterans with special cloth-
ing made necessary by the wearing of prosthetic appliances.
210(a)(10), Oct. 21, 1976, 90 Stat. 2863; renumbered Sec. 1723 and amended Pub.
L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1724. Hospital care, medical services, and nursing home

care abroad
(a) Except as provided in subsections (b) and (c), the Secretary
shall not furnish hospital or domiciliary care or medical services
outside any State.
(b)(1) The Secretary may furnish hospital care and medical
services outside a State to a veteran who is otherwise eligible to
receive hospital care and medical services if the Secretary deter-
mines that such care and services are needed for the treatment of
a service-connected disability of the veteran or as part of a rehabili-
tation program under chapter 31 of this title.
(2) Care and services for a service-connected disability of a vet-
eran who is not a citizen of the United States may be furnished
under this subsection only—
(A) if the veteran is in the Republic of the Philippines or
in Canada; or
(B) if the Secretary determines, as a matter of discretion
and pursuant to regulations which the Secretary shall pre-
scribe, that it is appropriate and feasible to furnish such care
and services.
(c) Within the limits of those facilities of the Veterans Memo-
rial Medical Center at Manila, Republic of the Philippines, for
which the Secretary may contract, the Secretary may furnish nec-
essary hospital care to a veteran for any non-service-connected dis-
ability if such veteran is unable to defray the expenses of necessary
hospital care. The Secretary may enter into contracts to carry out
this section.
(d) The Secretary may furnish nursing home care, on the same
terms and conditions set forth in section 1720(a) of this title, to any
veteran who has been furnished hospital care in the Philippines
pursuant to this section, but who requires a protracted period of
nursing home care.
(e) Within the limits of an outpatient clinic in the Republic of
the Philippines that is under the direct jurisdiction of the Sec-
retary, the Secretary may furnish a veteran who has a service-con-
nected disability with such medical services as the Secretary deter-
mines to be needed.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1144, Sec. 624; Pub. L. 86–152, Aug. 11,
1959, 73 Stat. 332; Pub. L. 86–624, Sec. 25(a), July 12, 1960, 74 Stat. 418; Pub. L.
87–815, Sec. 4, Oct. 15, 1962, 76 Stat. 927; Pub. L. 93–82, title I, Sec. 108, Aug.
2, 1973, 87 Stat. 186; Pub. L. 94–581, title II, Sec. 202(l), 210(a)(11), Oct. 21, 1976,
90 Stat. 2856, 2863; Pub. L. 95–520, Sec. 3(a), Oct. 26, 1978, 92 Stat. 1820; Pub.
L. 97–72, title I, Sec. 107(a), Nov. 3, 1981, 95 Stat. 1051; Pub. L. 97–295, Sec. 4(20),
Oct. 12, 1982, 96 Stat. 1306; Pub. L. 100–322, title I, Sec. 105, May 20, 1988, 102
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 106–377, Sec. 1(a)(1) [title V,
Sec. 501(c)], Oct. 27, 2000, 114 Stat. 1441, 1441A-58.)
§ 1725. Reimbursement for emergency treatment

(a) GENERAL AUTHORITY.—(1) Subject to subsections (c) and
(d), the Secretary shall reimburse a veteran described in subsection
(b) for the reasonable value of emergency treatment furnished the
veteran in a non-Department facility.
(2) In any case in which reimbursement is authorized under
subsection (a)(1), the Secretary, in the Secretary’s discretion, may,
in lieu of reimbursing the veteran, make payment of the reasonable

value of the furnished emergency treatment directly—
(A) to a hospital or other health care provider that fur-
nished the treatment; or
(B) to the person or organization that paid for such treat-
ment on behalf of the veteran.
(b) ELIGIBILITY.—(1) A veteran referred to in subsection (a)(1)
is an individual who is an active Department health-care partici-
pant who is personally liable for emergency treatment furnished
the veteran in a non-Department facility.
(2) A veteran is an active Department health-care participant
if—
(A) the veteran is enrolled in the health care system estab-
lished under section 1705(a) of this title; and
(B) the veteran received care under this chapter within the
24-month period preceding the furnishing of such emergency
treatment.
(3) A veteran is personally liable for emergency treatment fur-
nished the veteran in a non-Department facility if the veteran—
(A) is financially liable to the provider of emergency treat-
ment for that treatment;
(B) has no entitlement to care or services under a health-
plan contract (determined, in the case of a health-plan contract
as defined in subsection (f)(2)(B) or (f)(2)(C), without regard to
any requirement or limitation relating to eligibility for care or
services from any department or agency of the United States);
(C) has no other contractual or legal recourse against a
third party that would, in whole or in part, extinguish such li-
ability to the provider; and
(D) is not eligible for reimbursement for medical care or
services under section 1728 of this title.
(c) LIMITATIONS ON REIMBURSEMENT.—(1) The Secretary, in ac-
cordance with regulations prescribed by the Secretary, shall—
(A) establish the maximum amount payable under sub-
section (a);
(B) delineate the circumstances under which such pay-
ments may be made, to include such requirements on request-
ing reimbursement as the Secretary shall establish; and
(C) provide that in no event may a payment under that
subsection include any amount for which the veteran is not
personally liable.
(2) Subject to paragraph (1), the Secretary may provide reim-
bursement under this section only after the veteran or the provider
of emergency treatment has exhausted without success all claims
and remedies reasonably available to the veteran or provider
against a third party for payment of such treatment.
(3) Payment by the Secretary under this section on behalf of
a veteran to a provider of emergency treatment shall, unless re-
jected and refunded by the provider within 30 days of receipt, ex-
tinguish any liability on the part of the veteran for that treatment.
Neither the absence of a contract or agreement between the Sec-
retary and the provider nor any provision of a contract, agreement,
or assignment to the contrary shall operate to modify, limit, or ne-
gate the requirement in the preceding sentence.
(d) INDEPENDENT RIGHT OF RECOVERY.—(1) In accordance with

regulations prescribed by the Secretary, the United States shall
have the independent right to recover any amount paid under this
section when, and to the extent that, a third party subsequently
makes a payment for the same emergency treatment.
(2) Any amount paid by the United States to the veteran (or
the veteran’s personal representative, successor, dependents, or
survivors) or to any other person or organization paying for such
treatment shall constitute a lien in favor of the United States
against any recovery the payee subsequently receives from a third
party for the same treatment.
(3) Any amount paid by the United States to the provider that
furnished the veteran’s emergency treatment shall constitute a lien
against any subsequent amount the provider receives from a third
party for the same emergency treatment for which the United
States made payment.
(4) The veteran (or the veteran’s personal representative, suc-
cessor, dependents, or survivors) shall ensure that the Secretary is
promptly notified of any payment received from any third party for
emergency treatment furnished to the veteran. The veteran (or the
veteran’s personal representative, successor, dependents, or sur-
vivors) shall immediately forward all documents relating to such
payment, cooperate with the Secretary in the investigation of such
payment, and assist the Secretary in enforcing the United States
right to recover any payment made under subsection (c)(3).
(e) WAIVER.—The Secretary, in the Secretary’s discretion, may
waive recovery of a payment made to a veteran under this section
that is otherwise required by subsection (d)(1) when the Secretary
determines that such waiver would be in the best interest of the
United States, as defined by regulations prescribed by the Sec-
retary.
(f) DEFINITIONS.—For purposes of this section:
(1) The term ‘‘emergency treatment’’ means medical care
or services furnished, in the judgment of the Secretary—
(A) when Department or other Federal facilities are
not feasibly available and an attempt to use them before-
hand would not be reasonable;
(B) when such care or services are rendered in a med-
ical emergency of such nature that a prudent layperson
reasonably expects that delay in seeking immediate med-
ical attention would be hazardous to life or health; and
(C) until—
(i) such time as the veteran can be transferred
safely to a Department facility or other Federal facility
and such facility is capable of accepting such transfer;
or
(ii) such time as a Department facility or other
Federal facility accepts such transfer if—
(I) at the time the veteran could have been
transferred safely to a Department facility or
other Federal facility, no Department facility or
other Federal facility agreed to accept such trans-
fer; and
(II) the non-Department facility in which such

medical care or services was furnished made and
documented reasonable attempts to transfer the
veteran to a Department facility or other Federal
facility.
(2) The term ‘‘health-plan contract’’ includes any of the fol-
lowing:
(A) An insurance policy or contract, medical or hos-
pital service agreement, membership or subscription con-
tract, or similar arrangement under which health services
for individuals are provided or the expenses of such serv-
ices are paid.
(B) An insurance program described in section 1811 of
the Social Security Act (42 U.S.C. 1395c) or established by
section 1831 of that Act (42 U.S.C. 1395j).
(C) A State plan for medical assistance approved
under title XIX of such Act (42 U.S.C. 1396 et seq.).
(D) A workers’ compensation law or plan described in
section 1729(a)(2)(A) of this title.
(E) A law of a State or political subdivision described
in section 1729(a)(2)(B) of this title.
(3) The term ‘‘third party’’ means any of the following:
(A) A Federal entity.
(B) A State or political subdivision of a State.
(C) An employer or an employer’s insurance carrier.
(D) An automobile accident reparations insurance car-
rier.
(E) A person or entity obligated to provide, or to pay
the expenses of, health services under a health-plan con-
tract.
(Added Pub. L. 106–117, title I, Sec. 111(a), Nov. 30, 1999, 113 Stat. 1553; amended
Pub. L. 110–387, title IV, Sec. 402(a), Oct. 10, 2008, 122 Stat. 4123.)
§ 1726. Reimbursement for loss of personal effects by nat-

ural disaster
The Secretary shall, under regulations which the Secretary
shall prescribe, reimburse veterans in Department hospitals and
domiciliaries for any loss of personal effects sustained by fire,
earthquake, or other natural disaster while such effects were
stored in designated locations in Department hospitals or domicil-
iaries.
105, Aug. 2, 1973, 87 Stat. 183; Pub. L. 94–581, title II, Sec. 210(a)(12), Oct. 21,
4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1727. Persons eligible under prior law

Persons who have a status which would, under the laws in ef-
fect on December 31, 1957, entitle them to the medical services,
hospital and domiciliary care, and other benefits, provided for in
this chapter, but who do not meet the service requirements con-
tained in this chapter, shall be entitled to such benefits notwith-
standing failure to meet such service requirements.
202(m), Oct. 21, 1976, 90 Stat. 2856; renumbered Sec. 1727 Pub. L. 102–83, Sec.
5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1728. Reimbursement of certain medical expenses

(a) The Secretary shall, under such regulations as the Sec-
retary prescribes, reimburse veterans eligible for hospital care or
medical services under this chapter for the customary and usual
charges of emergency treatment (including travel and incidental ex-
penses under the terms and conditions set forth in section 111 of
this title) for which such veterans have made payment, from
sources other than the Department, where such emergency treat-
ment was rendered to such veterans in need thereof for any of the
following:
(1) An adjudicated service-connected disability.
(2) A non-service-connected disability associated with and
held to be aggravating a service-connected disability.
(3) Any disability of a veteran if the veteran has a total
disability permanent in nature from a service-connected dis-
ability.
(4) Any illness, injury, or dental condition of a veteran
who—
(A) is a participant in a vocational rehabilitation pro-
gram (as defined in section 3101(9) of this title); and
(B) is medically determined to have been in need of
care or treatment to make possible the veteran’s entrance
into a course of training, or prevent interruption of a
course of training, or hasten the return to a course of
training which was interrupted because of such illness, in-
jury, or dental condition.
(b) In any case where reimbursement would be in order under
subsection (a) of this section, the Secretary may, in lieu of reim-
bursing such veteran, make payment of the reasonable value of
emergency treatment directly—
(1) to the hospital or other health facility furnishing the
emergency treatment; or
(2) to the person or organization making such expenditure
on behalf of such veteran.
(c) In this section, the term ‘‘emergency treatment’’ has the
meaning given such term in section 1725(f)(1) of this title.
(Added Pub. L. 93–82, title I, Sec. 106(a), Aug. 2, 1973, 87 Stat. 183, Sec. 628;
amended Pub. L. 94–581, title II, Sec. 202(n), 210(a)(13), Oct. 21, 1976, 90 Stat.
2856, 2863; Pub. L. 96–151, title II, Sec. 201(d), Dec. 20, 1979, 93 Stat. 1093; Pub.
L. 101–237, title II, Sec. 202(a), Dec. 18, 1989, 103 Stat. 2066; Pub. L. 102–54, Sec.
14(b)(14), June 13, 1991, 105 Stat. 284; renumbered Sec. 1728 and amended Pub.
L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–
406; Pub. L. 110–387, title IV, Sec. 402(b), Oct. 10, 2008, 122 Stat. 4123.)
§ 1729. Recovery by the United States of the cost of certain

care and services
(a)(1) Subject to the provisions of this section, in any case in
which a veteran is furnished care or services under this chapter for
a non-service-connected disability described in paragraph (2) of this
subsection, the United States has the right to recover or collect rea-
sonable charges for such care or services (as determined by the Sec-
retary) from a third party to the extent that the veteran (or the
provider of the care or services) would be eligible to receive pay-
ment for such care or services from such third party if the care or
services had not been furnished by a department or agency of the
United States.
(2) Paragraph (1) of this subsection applies to a non-service-
connected disability—
(A) that is incurred incident to the veteran’s employment
and that is covered under a workers’ compensation law or plan
that provides for payment for the cost of health care and serv-
ices provided to the veteran by reason of the disability;
(B) that is incurred as the result of a motor vehicle acci-
dent to which applies a State law that requires the owners or
operators of motor vehicles registered in that State to have in
force automobile accident reparations insurance;
(C) that is incurred as the result of a crime of personal vio-
lence that occurred in a State, or a political subdivision of a
State, in which a person injured as the result of such a crime
is entitled to receive health care and services at such State’s
or subdivision’s expense for personal injuries suffered as the
result of such crime;
(D) that is incurred by a veteran—
(i) who does not have a service-connected disability;
and
(ii) who is entitled to care (or payment of the expenses
of care) under a health-plan contract; or
(E) for which care and services are furnished before Octo-
ber 1, 2010, under this chapter to a veteran who—
(i) has a service-connected disability; and
(ii) is entitled to care (or payment of the expenses of
care) under a health-plan contract.
(3) In the case of a health-plan contract that contains a re-
quirement for payment of a deductible or copayment by the vet-
eran—
(A) the veteran’s not having paid such deductible or copay-
ment with respect to care or services furnished under this
chapter shall not preclude recovery or collection under this sec-
tion; and
(B) the amount that the United States may collect or re-
cover under this section shall be reduced by the appropriate
deductible or copayment amount, or both.
(b)(1) As to the right provided in subsection (a) of this section,
the United States shall be subrogated to any right or claim that
the veteran (or the veteran’s personal representative, successor, de-
pendents, or survivors) may have against a third party.
(2)(A) In order to enforce any right or claim to which the
United States is subrogated under paragraph (1) of this subsection,
the United States may intervene or join in any action or proceeding
brought by the veteran (or the veteran’s personal representative,
successor, dependents, or survivors) against a third party.
(B) The United States may institute and prosecute legal pro-
ceedings against the third party if—
(i) an action or proceeding described in subparagraph (A)
of this paragraph is not begun within 180 days after the first
day on which care or services for which recovery is sought are

furnished to the veteran by the Secretary under this chapter;
(ii) the United States has sent written notice by certified
mail to the veteran at the veteran’s last-known address (or to
the veteran’s personal representative or successor) of the inten-
tion of the United States to institute such legal proceedings;
and
(iii) a period of 60 days has passed following the mailing
of such notice.
(C) A proceeding under subparagraph (B) of this paragraph
may not be brought after the end of the six-year period beginning
on the last day on which the care or services for which recovery is
sought are furnished.
(c)(1) The Secretary may compromise, settle, or waive any
claim which the United States has under this section.
(2)(A) The Secretary, after consultation with the Comptroller
General of the United States, shall prescribe regulations for the
purpose of determining reasonable charges for care or services
under subsection (a)(1) of this section. Any determination of such
charges shall be made in accordance with such regulations.
(B) Such regulations shall provide that the reasonable charges
for care or services sought to be recovered or collected from a third-
party liable under a health-plan contract may not exceed the
amount that such third party demonstrates to the satisfaction of
the Secretary it would pay for the care or services if provided by
facilities (other than facilities of departments or agencies of the
United States) in the same geographic area.
(C) Not later than 45 days after the date on which the Sec-
retary prescribes such regulations (or any amendment to such reg-
ulations), the Comptroller General shall submit to the Committees
on Veterans’ Affairs of the Senate and the House of Representa-
tives the Comptroller General’s comments on and recommendations
regarding such regulations (or amendment).
(d) Any contract or agreement into which the Secretary enters
with a person under section 3718 of title 31 for collection services
to recover indebtedness owed the United States under this section
shall provide, with respect to such services, that such person is
subject to sections 5701 and 7332 of this title.
(e) A veteran eligible for care or services under this chapter—
(1) may not be denied such care or services by reason of
this section; and
(2) may not be required by reason of this section to make
any copayment or deductible payment in order to receive such
care.
(f) No law of any State or of any political subdivision of a
State, and no provision of any contract or other agreement, shall
operate to prevent recovery or collection by the United States
under this section or with respect to care or services furnished
ø(g) Repealed. Pub. L. 105–33, title VIII, Sec. 8023(b)(4), Aug.
5, 1997, 111 Stat. 667¿
(h)(1) Subject to paragraph (3) of this subsection, the Secretary
shall make available medical records of a veteran described in
paragraph (2) of this subsection for inspection and review by rep-
resentatives of the third party concerned for the sole purposes of

permitting the third party to verify—
(A) that the care or services for which recovery or collec-
tion is sought were furnished to the veteran; and
(B) that the provision of such care or services to the vet-
eran meets criteria generally applicable under the health-plan
contract involved.
(2) A veteran described in this paragraph is a veteran who is
a beneficiary of a health-plan contract under which recovery or col-
lection is sought under this section from the third party concerned
for the cost of the care or services furnished to the veteran.
(3) Records shall be made available under this subsection
under such conditions to protect the confidentiality of such records
as the Secretary shall prescribe in regulations.
(i) For purposes of this section—
(1)(A) The term ‘‘health-plan contract’’ means an insurance
policy or contract, medical or hospital service agreement, mem-
bership or subscription contract, or similar arrangement, under
which health services for individuals are provided or the ex-
penses of such services are paid.
(B) Such term does not include—
(i) an insurance program described in section 1811 of
the Social Security Act (42 U.S.C. 1395c) or established by
section 1831 of such Act (42 U.S.C. 1395j);
(ii) a State plan for medical assistance approved under
title XIX of such Act (42 U.S.C. 1396 et seq.);
(iii) a workers’ compensation law or plan described in
subparagraph (A) of subsection (a)(2) of this section; or
(iv) a program, plan, or policy under a law described
in subparagraph (B) or (C) of such subsection.
(2) The term ‘‘payment’’ includes reimbursement and in-
demnification.
(3) The term ‘‘third party’’ means—
(A) a State or political subdivision of a State;
(B) an employer or an employer’s insurance carrier;
(C) an automobile accident reparations insurance car-
rier; or
(D) a person obligated to provide, or to pay the ex-
penses of, health services under a health-plan contract.
(Added Pub. L. 97–72, title I, Sec. 106(a)(1), Nov. 3, 1981, 95 Stat. 1050, Sec. 629;
amended Pub. L. 99–272, title XIX, Sec. 19013(a), Apr. 7, 1986, 100 Stat. 382; Pub.
L. 100–322, title II, Sec. 202, May 20, 1988, 102 Stat. 509; Pub. L. 101–508, title
VIII, Sec. 8011(a)–(c), Nov. 5, 1990, 104 Stat. 1388–344; Pub. L. 102–40, title IV,
Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 1729 and amended Pub.
L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L.
102–568, title VI, Sec. 604, Oct. 29, 1992, 106 Stat. 4343; Pub. L. 103–66, title XII,
Sec. 12003, Aug. 10, 1993, 107 Stat. 414; Pub. L. 104–262, title I, Sec. 101(d)(10),
Oct. 9, 1996, 110 Stat. 3180; Pub. L. 105–33, title VIII, Secs. 8022, 8023(b)(4), (d),
Aug. 5, 1997, 111 Stat. 665, 667; Pub. L. 107–135, title II, Secs. 208(e)(4), 209(b),
Jan. 23, 2002, 115 Stat. 2463, 2464; Pub. L. 110–161, div. I, title II, Sec. 232, Dec.
26, 2007, 121 Stat. 2273; Pub. L. 110–329, div. E, title II, Sec. 225, Sept. 30, 2008,
122 Stat. 3713; Pub. L. 110–387, title VIII, Sec. 804(b), Oct. 10, 2008, 122 Stat.
4141.)
§ 1729A. Department of Veterans Affairs Medical Care Col-

lections Fund
(a) There is in the Treasury a fund to be known as the Depart-
ment of Veterans Affairs Medical Care Collections Fund.
(b) Amounts recovered or collected under any of the following
provisions of law shall be deposited in the fund:
(1) Section 1710(f) of this title.
(2) Section 1710(g) of this title.
(3) Section 1711 of this title.
(4) Section 1722A of this title.
(8) Section 8165(a) of this title.
(9) Section 113 of the Veterans Millennium Health Care
and Benefits Act (Public Law 106–117; 38 U.S.C. 8111 note).
(10) Public Law 87–693, popularly known as the ‘‘Federal
Medical Care Recovery Act’’ (42 U.S.C. 2651 et seq.), to the ex-
tent that a recovery or collection under that law is based on
medical care or services furnished under this chapter.
(c)(1) Subject to the provisions of appropriations Acts, amounts
in the fund shall be available, without fiscal year limitation, to the
Secretary for the following purposes:
(A) Furnishing medical care and services under this chap-
ter, to be available during any fiscal year for the same pur-
poses and subject to the same limitations (other than with re-
spect to the period of availability for obligation) as apply to
amounts appropriated from the general fund of the Treasury
for that fiscal year for medical care.
(B) Expenses of the Department for the identification, bill-
ing, auditing, and collection of amounts owed the United States
by reason of medical care and services furnished under this
chapter.
(2) Amounts available under paragraph (1) may not be used for
any purpose other than a purpose set forth in subparagraph (A) or
(B) of that paragraph.
(d) Of the total amount recovered or collected by the Depart-
ment during a fiscal year under the provisions of law referred to
in subsection (b) and made available from the fund, the Secretary
shall make available to each Department health care facility of the
Department an amount that bears the same ratio to the total
amount so made available as the amount recovered or collected by
such facility during that fiscal year under such provisions of law
bears to such total amount recovered or collected during that fiscal
year. The Secretary shall make available to each facility the en-
tirety of the amount specified to be made available to such facility
by the preceding sentence.
(e) Amounts recovered or collected under the provisions of law
referred to in subsection (b) shall be treated for the purposes of sec-
tions 251 and 252 of the Balanced Budget and Emergency Deficit
Control Act of 1985 (2 U.S.C. 901, 902) as offsets to discretionary
appropriations (rather than as offsets to direct spending) to the ex-
tent that such amounts are made available for expenditure in ap-
propriations Acts for the purposes specified in subsection (c).
(Added Pub. L. 105–33, title VIII, Sec. 8023(a), Aug. 5, 1997, 111 Stat. 665; Pub.
L. 106–117, title I, Sec. 111(b)(1), title II, Sec. 203, Nov. 30, 1999, 113 Stat. 1556,
1561; Pub. L. 107–135, title II, Sec. 208(e)(5), Jan. 23, 2002, 115 Stat. 2463; Pub.
L. 108–7, div. K, title I, Sec. 113(b), Feb. 20, 2003, 117 Stat. 482; Pub. L. 108–183,
title VII, Sec. 708(a)(2), Dec. 16, 2003, 117 Stat. 2673.)
§ 1729B. Consolidated patient accounting centers

(a) IN GENERAL.—Not later than five years after the date of the
enactment of this section, the Secretary of Veterans Affairs shall
establish not more than seven consolidated patient accounting cen-
ters for conducting industry-modeled regionalized billing and collec-
tion activities of the Department.
(b) FUNCTIONS.—The centers shall carry out the following func-
tions:
(1) Reengineer and integrate all business processes of the
revenue cycle of the Department.
(2) Standardize and coordinate all activities of the Depart-
ment related to the revenue cycle for all health care services
furnished to veterans for non-service-connected medical condi-
tions.
(3) Apply commercial industry standards for measures of
access, timeliness, and performance metrics with respect to
revenue enhancement of the Department.
(4) Apply other requirements with respect to such revenue
cycle improvement as the Secretary may specify.
(Added Pub. L. 110–387, title IV, Sec. 406(a), Oct. 10, 2008, 122 Stat. 4129.
§ 1730. Community residential care

(a) Subject to this section and regulations to be prescribed by
the Secretary under this section, the Secretary may assist a vet-
eran by referring such veteran for placement in, and aiding such
veteran in obtaining placement in, a community residential-care fa-
cility if—
(1) at the time of initiating the assistance the Secretary—
(A) is furnishing the veteran medical services on an
outpatient basis or hospital, domiciliary, or nursing home
care; or
(B) has furnished the veteran such care or services
within the preceding 12 months; and
(2) placement of the veteran in a community residential-
care facility is appropriate.
(b)(1) The Secretary may not provide assistance under sub-
section (a) of this section with respect to a community residential-
care facility unless such facility is approved by the Secretary for
the purposes of this section.
(2) The Secretary’s approval of a facility for the purposes of
this section shall be based upon the Secretary’s determination,
after inspection of the facility, that the facility meets the standards
established in regulations prescribed under this section. Such
standards shall include the following:
(A) Health and safety criteria, including a requirement of

compliance with applicable State laws and local ordinances re-
lating to health and safety.
(B) A requirement that the costs charged for care by a fa-
cility be reasonable, as determined by the Secretary, giving
consideration to such factors as (i) the level of care, super-
vision, and other services to be provided, (ii) the cost of goods
and services in the geographic area in which the facility is lo-
cated, and (iii) comparability with other facilities in such area
providing similar services.
(C) Criteria for determining the resources that a facility
needs in order to provide an appropriate level of services to
veterans.
(D) Such other criteria as the Secretary determines are ap-
propriate to protect the welfare of veterans placed in a facility
under this section.
(3) Payment of the charges of a community residential-care fa-
cility for any care or service provided to a veteran whom the Sec-
retary has referred to that facility under this section is not the re-
sponsibility of the United States or of the Department.
(c)(1) In order to determine continued compliance by commu-
nity residential-care facilities that have been approved under sub-
section (b) of this section with the standards established in regula-
tions prescribed under this section, the Secretary shall provide for
periodic inspection of such facilities.
(2) If the Secretary determines that a facility is not in compli-
ance with such standards, the Secretary (in accordance with regu-
lations prescribed under this section)—
(A) shall cease to refer veterans to such facility; and
(B) may, with the permission of the veteran (or the person
or entity authorized by law to give permission on behalf of the
veteran), assist in removing a veteran from such facility. Regu-
lations prescribed to carry out this paragraph shall provide for
reasonable notice and, upon request made on behalf of the fa-
cility, a hearing before any action authorized by this paragraph
is taken.
(d) The Secretary shall prescribe regulations to carry out this
section. Such regulations shall include the standards required by
subsection (b) of this section.
(e)(1) To the extent possible, the Secretary shall make avail-
able each report of an inspection of a community residential-care
facility under subsection (b)(2) or (c)(1) of this section to each Fed-
eral, State, and local agency charged with the responsibility of li-
censing or otherwise regulating or inspecting such facility.
(2) The Secretary shall make the standards prescribed in regu-
lations under subsection (d) of this section available to all Federal,
State, and local agencies charged with the responsibility of licens-
ing or otherwise regulating or inspecting community residential-
care facilities.
(f) For the purpose of this section, the term ‘‘community resi-
dential-care facility’’ means a facility that provides room and board
and such limited personal care for and supervision of residents as
the Secretary determines, in accordance with regulations pre-
scribed under this section, are necessary for the health, safety, and
welfare of residents.
(Added Pub. L. 98–160, title I, Sec. 104(a), Nov. 21, 1983, 97 Stat. 996, Sec. 630;
amended Pub. L. 102–54, Sec. 14(b)(15), June 13, 1991, 105 Stat. 284; renumbered
Sec. 1730 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6,
1991, 105 Stat. 404–406.)
SUBCHAPTER IV—HOSPITAL CARE AND MEDICAL TREAT-

MENT FOR VETERANS IN THE REPUBLIC OF THE PHIL-
IPPINES
§ 1731. Assistance to the Republic of the Philippines
The President is authorized to assist the Republic of the Phil-
ippines in fulfilling its responsibility in providing medical care and
treatment for Commonwealth Army veterans and new Philippine
Scouts in need of such care and treatment for service-connected
disabilities and non-service-connected disabilities under certain
conditions.
amended Pub. L. 97–72, title I, Sec. 107(b), Nov. 3, 1981, 95 Stat. 1052; renumbered
Sec. 1731, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1732. Contracts and grants to provide for the care and

treatment of United States veterans by the Vet-
erans Memorial Medical Center
(a) The President, with the concurrence of the Republic of the
Philippines, may authorize the Secretary to enter into contracts
with the Veterans Memorial Medical Center, with the approval of
the appropriate department of the Government of the Republic of
the Philippines, covering the period beginning on October 1, 1981,
and ending on September 30, 1994, under which the United
States—
(1) will provide for payments for hospital care and medical
services (including nursing home care) in the Veterans Memo-
rial Medical Center, as authorized by section 1724 of this title
and on the terms and conditions set forth in such section, to
eligible United States veterans at a per diem rate to be jointly
determined for each fiscal year by the two Governments to be
fair and reasonable; and
(2) may provide that payments for such hospital care and
medical services provided to eligible United States veterans
may consist in whole or in part of available medicines, medical
supplies, and equipment furnished by the Secretary to the Vet-
erans Memorial Medical Center at valuations therefor as deter-
mined by the Secretary, who may furnish such medicines, med-
ical supplies, and equipment through the revolving supply fund
pursuant to section 8121 of this title.
(b)(1) To further assure the effective care and treatment of
United States veterans in the Veterans Memorial Medical Center,
there is authorized to be appropriated for each fiscal year during
the period beginning on October 1, 1981, and ending on September
30, 1990, the sum of $1,000,000 to be used by the Secretary for
making grants to the Veterans Memorial Medical Center for the
purpose of assisting the Republic of the Philippines in the replace-
ment and upgrading of equipment and in rehabilitating the phys-

ical plant and facilities of such center.
(2) Grants under this subsection shall be made on such terms
and conditions as prescribed by the Secretary. Such terms and con-
ditions may include a requirement of prior approval by the Sec-
retary of the uses of the funds provided by such grants.
(3) Funds for such grants may be provided only from appro-
priations made to the Department for the specific purpose of mak-
ing such grants.
(c) The Secretary may stop payments under a contract or grant
under this section upon reasonable notice as stipulated by the con-
tract or grant if the Republic of the Philippines and the Veterans
Memorial Medical Center do not maintain the medical center in a
well-equipped and effective operating condition as determined by
the Secretary.
(d)(1) The authority of the Secretary to enter into contracts and
to make grants under this section is effective for any fiscal year
only to the extent that appropriations are available for that pur-
pose.
(2) Appropriations made for the purpose of this section shall
remain available until expended.
amended Pub. L. 94–581, title II, Sec. 210(a)(14), Oct. 21, 1976, 90 Stat. 2863; Pub.
L. 95–520, Sec. 3(b), Oct. 26, 1978, 92 Stat. 1820; Pub. L. 97–72, title I, Sec.
107(c)(1), Nov. 3, 1981, 95 Stat. 1052; Pub. L. 99–576, title II, Sec. 206(a)(1), Oct.
28, 1986, 100 Stat. 3256; Pub. L. 100–687, div. B, title XV, Sec. 1502(a), (b), Nov.
18, 1988, 102 Stat. 4132; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105
Stat. 239; renumbered Sec. 1732 and amended Pub. L. 102–83, Sec. 4(a)(3), (4),
(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–86, title III,
Sec. 304(a), Aug. 14, 1991, 105 Stat. 416; Pub. L. 102–585, title V, Sec. 503, Nov.
4, 1992, 106 Stat. 4955.)
§ 1733. Supervision of program by the President
The President, or any officer of the United States to whom the
President may delegate authority under this section, may from
time to time prescribe such rules and regulations and impose such
conditions on the receipt of financial aid as may be necessary to
carry out this subchapter.
210(a)(15), Oct. 21, 1976, 90 Stat. 2863; renumbered Sec. 1733, Pub. L. 102–83, Sec.
5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1734. Hospital and nursing home care and medical serv-
ices in the United States
(a) The Secretary shall furnish hospital and nursing home care
and medical services to any individual described in subsection (b)
in the same manner, and subject to the same terms and conditions,
as apply to the furnishing of such care and services to individuals
who are veterans as defined in section 101(2) of this title. Any dis-
ability of an individual described in subsection (b) that is a service-
connected disability for purposes of this subchapter (as provided for
under section 1735(2) of this title) shall be considered to be a serv-
ice-connected disability for purposes of furnishing care and services
under the preceding sentence.
(b) Subsection (a) applies to any individual who is a Common-
wealth Army veteran or new Philippine Scout and who—
(1) is residing in the United States; and

(2) is a citizen of the United States or an alien lawfully ad-
mitted to the United States for permanent residence.
(Added Pub. L. 96–22, title I, Sec. 106(a), June 13, 1979, 93 Stat. 53, Sec. 634; re-
numbered Sec. 1734 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E),
5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 106–377, Sec. 1(a)(1) [title V, Sec.
501(b)], Oct. 27, 2000, 114 Stat. 1441, 1441A-57; Pub. L. 108–170, title I, Sec. 103,
Dec. 6, 2003, 117 Stat. 2044.)
For the purposes of this subchapter—
(1) The term ‘‘Commonwealth Army veterans’’ means persons
who served before July 1, 1946, in the organized military forces of
the Government of the Philippines, while such forces were in the
service of the Armed Forces pursuant to the military order of the
President dated July 26, 1941, including among such military
forces organized guerrilla forces under commanders appointed, des-
ignated, or subsequently recognized by the Commander in Chief,
Southwest Pacific Area, or other competent authority in the Army
of the United States, and who were discharged or released from
such service under conditions other than dishonorable. The term
‘‘new Philippine Scouts’’ means persons who served in the Phil-
ippine Scouts under section 14 of the Armed Forces Voluntary Re-
cruitment Act of 1945, and who were discharged or released from
such service under conditions other than dishonorable.
(2) The term ‘‘service-connected disabilities’’ means disabilities
determined by the Secretary under laws administered by the Sec-
retary to have been incurred in or aggravated by the service de-
scribed in paragraph (1) in line of duty.
30, 1966, 80 Stat. 861; renumbered Sec. 635, Pub. L. 96–22, title I, Sec. 106(a), June
4(a)(1), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 403–406.)

§ 1741. Criteria for payment
(a)(1) Except as provided in section 1745 of this title, the Sec-
retary shall pay each State at the per diem rate of—
(A) $8.70 for domiciliary care; and
(B) $20.35 for nursing home care and hospital care,
for each veteran receiving such care in a State home, if such vet-
eran is eligible for such care in a Department facility.
(2) The Secretary may pay each State per diem at a rate deter-
mined by the Secretary for each veteran receiving extended care
services described in any of paragraphs (4) through (6) of section
1710B(a) of this title under a program administered by a State
home, if such veteran is eligible for such care under laws adminis-
tered by the Secretary.
(b) In no case shall the payments made with respect to any
veteran under this section exceed one-half of the cost of the vet-
erans’ care in such State home.
(c) Whenever the Secretary makes a determination pursuant to
section 1720(a)(2)(A) of this title that the cost of care furnished by
the Department in a general hospital under the direct jurisdiction
of the Secretary has increased, the Secretary may, effective no ear-

lier than the date of such determination, increase the rates paid
under subsection (a) of this section by a percentage not greater
than the percentage by which the Secretary has determined that
such cost of care has increased.
(d) Subject to section 1743 of this title, the payment of per
diem for care furnished in a State home facility shall commence on
the date of the completion of the inspection for recognition of the
facility under section 1742(a) of this title if the Secretary deter-
mines, as a result of that inspection, that the State home meets the
standards described in such section.
(e) Payments to States pursuant to this section shall not be
considered a liability of a third party, or otherwise be used to offset
or reduce any other payment made to assist veterans.
(f) Any State home that requests payment or reimbursement
for services provided to a veteran under this section shall provide
to the Secretary such information as the Secretary considers nec-
essary to identify each individual veteran eligible for payment
under such section.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1146, Sec. 641; Pub. L. 86–625, July 12,
1960, 74 Stat. 424; Pub. L. 87–819, Sec. 1, Oct. 15, 1962, 76 Stat. 935; Pub. L. 88–
450, Sec. 3(a), Aug. 19, 1964, 78 Stat. 500; Pub. L. 90–432, Sec. 1, July 26, 1968,
title IV, Sec. 403(a), Aug. 2, 1973, 87 Stat. 196; Pub. L. 94–417, Sec. 1(a), Sept. 21,
1976, 90 Stat. 1277; Pub. L. 94–581, title II, Sec. 202(o), Oct. 21, 1976, 90 Stat.
2856; Pub. L. 96–151, title I, Sec. 101(b)(1), Dec. 20, 1979, 93 Stat. 1092; Pub. L.
98–160, title I, Sec. 105(a), Nov. 21, 1983, 97 Stat. 998; Pub. L. 100–322, title I,
Sec. 134(a), May 20, 1988, 102 Stat. 507; renumbered Sec. 1741 and amended Pub.
L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–
406; Pub. L. 102–585, title IV, Sec. 406, Nov. 4, 1992, 106 Stat. 4954; Pub. L. 104–
66, title I, Sec. 1141(a), Dec. 21, 1995, 109 Stat. 726; Pub. L. 104–262, title III, Sec.
342(a), Oct. 9, 1996, 110 Stat. 3206; Pub. L. 106–117, title I, Sec. 101(g), Nov. 30,
1999, 113 Stat. 1550; Pub. L. 108–422, title II, Sec. 202, Nov. 30, 2004, 118 Stat.
2382; Pub. L. 109–461, title II, Sec. 211(a)(3)(A), (b)(2), Dec. 22, 2006, 120 Stat.
3419, 3420.)
§ 1742. Inspections of such homes; restrictions on bene-

ficiaries
(a) The Secretary may inspect any State home at such times
as the Secretary deems necessary. No payment or grant may be
made to any home under this subchapter unless such home is de-
termined by the Secretary to meet such standards as the Secretary
shall prescribe, which standards with respect to nursing home care
shall be no less stringent than those prescribed pursuant to section
(b) The Secretary may ascertain the number of persons on ac-
count of whom payments may be made under this subchapter on
account of any State home, but shall have no authority over the
management or control of any State home.
107(a), title II, Sec. 210(a)(16), Oct. 21, 1976, 90 Stat. 2847, 2863; renumbered Sec.
Stat. 404–406.)
§ 1743. Applications
Payments on account of any veteran cared for in a State home
shall be made under this subchapter only from the date the Sec-
retary receives a request for determination of such veteran’s eligi-

bility; however, if such request is received by the Secretary within
ten days after care of such veteran begins, payments shall be made
on account of such veteran from the date care began.
4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1744. Hiring and retention of nurses: payments to assist

States
(a) PAYMENT PROGRAM.—The Secretary shall make payments
to States under this section for the purpose of assisting State
homes in the hiring and retention of nurses and the reduction of
nursing shortages at State homes.
(b) ELIGIBLE RECIPIENTS.—Payments to a State for a fiscal
year under this section shall, subject to submission of an applica-
tion, be made to any State that during that fiscal year—
(1) receives per diem payments under this subchapter for
that fiscal year; and
(2) has in effect an employee incentive scholarship pro-
gram or other employee incentive program at a State home de-
signed to promote the hiring and retention of nursing staff and
to reduce nursing shortages at that home.
(c) USE OF FUNDS RECEIVED.—A State may use an amount re-
ceived under this section only to provide funds for a program de-
scribed in subsection (b)(2). Any program shall meet such criteria
as the Secretary may prescribe. In prescribing such criteria, the
Secretary shall take into consideration the need for flexibility and
innovation.
(d) LIMITATIONS ON AMOUNT OF PAYMENT.—(1) A payment
under this section may not be used to provide more than 50 percent
of the costs for a fiscal year of the employee incentive scholarship
or other employee incentive program for which the payment is
made.
(2) The amount of the payment to a State under this section
for any fiscal year is, for each State home in that State with a pro-
gram described in subsection (b)(2), the amount equal to 2 percent
of the amount of payments estimated to be made to that State, for
that State home, under section 1741 of this title for that fiscal
year.
(e) APPLICATIONS.—A payment under this section for any fiscal
year with respect to any State home may only be made based upon
an application submitted by the State seeking the payment with re-
spect to that State home. Any such application shall describe the
nursing shortage at the State home and the employee incentive
scholarship program or other employee incentive program described
in subsection (c) for which the payment is sought.
(f) SOURCE OF FUNDS.—Payments under this section shall be
made from funds available for other payments under this sub-
chapter.
(g) DISBURSEMENT.—Payments under this section to a State
home shall be made as part of the disbursement of payments under
section 1741 of this title with respect to that State home.
(h) USE OF CERTAIN RECEIPTS.—The Secretary shall require as

a condition of any payment under this section that, in any case in
which the State home receives a refund payment made by an em-
ployee in breach of the terms of an agreement for employee assist-
ance that used funds provided under this section, the payment
shall be returned to the State home’s incentive program account
and credited as a non-Federal funding source.
(i) ANNUAL REPORT FROM PAYMENT RECIPIENTS.—Any State
home receiving a payment under this section for any fiscal year,
shall, as a condition of the payment, be required to agree to provide
to the Secretary a report setting forth in detail the use of funds re-
ceived through the payment, including a descriptive analysis of
how effective the incentive program has been on nurse staffing in
the State home during that fiscal year. The report for any fiscal
year shall be provided to the Secretary within 60 days of the close
of the fiscal year and shall be subject to audit by the Secretary. Eli-
gibility for a payment under this section for any later fiscal year
is contingent upon the receipt by the Secretary of the annual report
under this subsection for the previous fiscal year in accordance
with this subsection.
(j) REGULATIONS.—The Secretary shall prescribe regulations to
carry out this section. The regulations shall include the establish-
ment of criteria for the award of payments under this section.
(Added Pub. L. 108–422, title II, Sec. 201(a)(1), Nov. 30, 2004, 118 Stat. 2380.)
§ 1745. Nursing home care and medications for veterans
with service-connected disabilities
(a)(1) The Secretary shall pay each State home for nursing
home care at the rate determined under paragraph (2), in any case
in which such care is provided to any veteran as follows:
(A) Any veteran in need of such care for a service-con-
nected disability.
(B) Any veteran who—
(i) has a service-connected disability rated at 70 per-
cent or more; and
(ii) is in need of such care.
(2) The rate determined under this paragraph with respect to
a State home is the lesser of—
(A) the applicable or prevailing rate payable in the geo-
graphic area in which the State home is located, as determined
by the Secretary, for nursing home care furnished in a non-De-
partment nursing home (as that term is defined in section
1720(e)(2) of this title); or
(B) a rate not to exceed the daily cost of care, as deter-
mined by the Secretary, following a report to the Secretary by
the director of the State home.
(3) Payment by the Secretary under paragraph (1) to a State
home for nursing home care provided to a veteran described in that
paragraph constitutes payment in full to the State home for such
care furnished to that veteran.
(b) The Secretary shall furnish such drugs and medicines as
may be ordered on prescription of a duly licensed physician as spe-
cific therapy in the treatment of illness or injury to any veteran as
follows:
(1) Any veteran who—

(A) is not being provided nursing home care for which
payment is payable under subsection (a); and
(B) is in need of such drugs and medicines for a serv-
ice-connected disability.
(2) Any veteran who—
(A) has a service-connected disability rated at 50 per-
cent or more;
(B) is not being provided nursing home care for which
payment is payable under subsection (a); and
(C) is in need of such drugs and medicines.
(c) Any State home that requests payment or reimbursement
for services provided to a veteran under this section shall provide
to the Secretary such information as the Secretary considers nec-
essary to identify each individual veteran eligible for payment
under such section.
(Added and amended Pub. L. 109–461, title II, Sec. 211(a)(1), (2), (b)(1), Dec. 22,
2006, 120 Stat. 3418, 3419.)

§ 1751. Screening, counseling, and medical treatment
The Secretary is authorized to carry out a comprehensive pro-
gram of providing sickle cell anemia screening, counseling, treat-
ment, and information under the provisions of this chapter.
(Added Pub. L. 93–82, title I, Sec. 109(a), Aug. 2, 1973, 87 Stat. 186, Sec. 651; re-
1991, 105 Stat. 404–406.)
§ 1752. Research
The Secretary is authorized to carry out research and research
training in the diagnosis, treatment, and control of sickle cell ane-
mia based upon the screening examinations and treatment pro-
vided under this subchapter.
1991, 105 Stat. 404–406.)
§ 1753. Voluntary participation; confidentiality

(a) The participation by any person in any program or portion
thereof under this subchapter shall be wholly voluntary and shall
not be a prerequisite to eligibility for or receipt of any other service
or assistance from, or to participation in, any other program under
this title.
(b) Patient records prepared or obtained under this subchapter
shall be held confidential in the same manner and under the same
conditions prescribed in section 7332 of this title.
amended Pub. L. 94–581, title I, Sec. 111(b), Oct. 21, 1976, 90 Stat. 2852; Pub. L.
102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 1753,
Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1754. Reports
The Secretary shall include in the annual report to the Con-
gress required by section 529 of this title a comprehensive report
on the administration of this subchapter, including such rec-

ommendations for additional legislation as the Secretary deems
necessary.
numbered Sec. 1754 and amended Pub. L. 102–83, Sec. 2(c)(3), 4(b)(1), (2)(E), 5(a),
Aug. 6, 1991, 105 Stat. 402, 404–406.)
ø§ 1761 to 1764. Repealed. Pub. L. 102-585, title V, Sec.

514(a), Nov. 4, 1992, 106 Stat. 4958¿
SUBCHAPTER VII—TRANSFERRED
ø§§ 1771 to 1774. Renumbered §§ 2031 to 2034¿
SUBCHAPTER VIII—HEALTH CARE OF PERSONS OTHER
THAN VETERANS
§ 1781. Medical care for survivors and dependents of certain
veterans
(a) The Secretary is authorized to provide medical care, in ac-
cordance with the provisions of subsection (b) of this section, for—
(1) the spouse or child of a veteran who has a total dis-
ability, permanent in nature, resulting from a service-con-
nected disability,
(2) the surviving spouse or child of a veteran who (A) died
as a result of a service-connected disability, or (B) at the time
of death had a total disability permanent in nature, resulting
from a service-connected disability, and
(3) the surviving spouse or child of a person who died in
the active military, naval, or air service in the line of duty and
not due to such person’s own misconduct,
who are not otherwise eligible for medical care under chapter 55
of title 10 (CHAMPUS).
(b) In order to accomplish the purposes of subsection (a) of this
section, the Secretary shall provide for medical care in the same or
similar manner and subject to the same or similar limitations as
medical care is furnished to certain dependents and survivors of ac-
tive duty and retired members of the Armed Forces under chapter
55 of title 10 (CHAMPUS), by—
(1) entering into an agreement with the Secretary of De-
fense under which that Secretary shall include coverage for
such medical care under the contract, or contracts, that Sec-
retary enters into to carry out such chapter 55, and under
which the Secretary of Veterans Affairs shall fully reimburse
the Secretary of Defense for all costs and expenditures made
for the purposes of affording the medical care authorized pur-
suant to this section; or
(2) contracting in accordance with such regulations as the
Secretary shall prescribe for such insurance, medical service,
or health plans as the Secretary deems appropriate.
In cases in which Department medical facilities are equipped to
provide the care and treatment, the Secretary is also authorized to
carry out such purposes through the use of such facilities not being
utilized for the care of eligible veterans. A dependent or survivor
receiving care under the preceding sentence shall be eligible for the
same medical services as a veteran, including services under sec-

tions 1782 and 1783 of this title.
(c) For the purposes of this section, a child between the ages
of eighteen and twenty-three (1) who is eligible for benefits under
subsection (a) of this section, (2) who is pursuing a full-time course
of instruction at an educational institution approved under chapter
36 of this title, and (3) who, while pursuing such course of instruc-
tion, incurs a disabling illness or injury (including a disabling ill-
ness or injury incurred between terms, semesters, or quarters or
during a vacation or holiday period) which is not the result of such
child’s own willful misconduct and which results in such child’s in-
ability to continue or resume such child’s chosen program of edu-
cation at an approved educational institution shall remain eligible
for benefits under this section until the end of the six-month period
beginning on the date the disability is removed, the end of the two-
year period beginning on the date of the onset of the disability, or
the twenty-third birthday of the child, whichever occurs first.
(d)(1)(A) An individual otherwise eligible for medical care
under this section who is also entitled to hospital insurance bene-
fits under part A of the medicare program is eligible for medical
care under this section only if the individual is also enrolled in the
supplementary medical insurance program under part B of the
medicare program.
(B) The limitation in subparagraph (A) does not apply to an in-
dividual who—
(i) has attained 65 years of age as of June 5, 2001; and
(ii) is not enrolled in the supplementary medical insurance
program under part B of the medicare program as of that date.
(2) Subject to paragraph (3), if an individual described in para-
graph (1) receives medical care for which payment may be made
under both this section and the medicare program, the amount
payable for such medical care under this section shall be the
amount by which (A) the costs for such medical care exceed (B) the
sum of—
(i) the amount payable for such medical care under the
medicare program; and
(ii) the total amount paid or payable for such medical care
by third party payers other than the medicare program.
(3) The amount payable under this subsection for medical care
may not exceed the total amount that would be paid under sub-
section (b) if payment for such medical care were made solely
under subsection (b).
(4) In this subsection:
(A) The term ‘‘medicare program’’ means the program of
health insurance administered by the Secretary of Health and
Human Services under title XVIII of the Social Security Act
(42 U.S.C. 1395 et seq.).
(B) The term ‘‘third party’’ has the meaning given that
term in section 1729(i)(3) of this title.
(Added Pub. L. 93–82, title I, Sec. 103(b), Aug. 2, 1973, 87 Stat. 181, Sec. 613;
amended Pub. L. 94–581, title I, Sec. 104, title II, Sec. 210(a)(4), Oct. 21, 1976, 90
Stat. 2845, 2862; Pub. L. 96–151, title II, Sec. 205(a), Dec. 20, 1979, 93 Stat. 1094;
Pub. L. 97–72, title I, Sec. 105, Nov. 3, 1981, 95 Stat. 1050; Pub. L. 97–251, Sec.
5(a), Sept. 8, 1982, 96 Stat. 716; renumbered Sec. 1713 and amended Pub. L. 102–
83, Sec. 4(a)(3), (4), (b)(1), (2)(B), (E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub.
L. 102–190, title VII, Sec. 704(b)(2), Dec. 5, 1991, 105 Stat. 1402; Pub. L. 107–14,
Sec. 3, June 5, 2001, 115 Stat. 25; renumbered Sec. 1781 and amended Pub. L. 107–
135, title II, Sec. 208(c), Jan. 23, 2002, 115 Stat. 2463; Pub. L. 107–330, title III,
Sec. 308(g)(8), Dec. 6, 2002, 116 Stat. 2829.)
§ 1782. Counseling, training, and mental health services for

immediate family members
(a) COUNSELING FOR FAMILY MEMBERS OF VETERANS RECEIV-
ING SERVICE-CONNECTED TREATMENT.—In the case of a veteran
who is receiving treatment for a service-connected disability pursu-
ant to paragraph (1) or (2) of section 1710(a) of this title, the Sec-
retary shall provide to individuals described in subsection (c) such
consultation, professional counseling, marriage and family coun-
seling, training, and mental health services as are necessary in
connection with that treatment.
(b) COUNSELING FOR FAMILY MEMBERS OF VETERANS RECEIV-
ING NON-SERVICE-CONNECTED TREATMENT.—In the case of a vet-
eran who is eligible to receive treatment for a non-service-con-
nected disability under the conditions described in paragraph (1),
(2), or (3) of section 1710(a) of this title, the Secretary may, in the
discretion of the Secretary, provide to individuals described in sub-
section (c) such consultation, professional counseling, marriage and
family counseling, training, and mental health services as are nec-
essary in connection with that treatment.
(c) ELIGIBLE INDIVIDUALS.—Individuals who may be provided
services under this subsection are—
(1) the members of the immediate family or the legal
guardian of a veteran; or
(2) the individual in whose household such veteran cer-
tifies an intention to live.
(d) TRAVEL AND TRANSPORTATION AUTHORIZED.—Services pro-
vided under subsections (a) and (b) may include, under the terms
and conditions set forth in section 111 of this title, travel and inci-
dental expenses of individuals described in subsection (c) in the
case of any of the following:
(1) A veteran who is receiving care for a service-connected
disability.
(2) A dependent or survivor receiving care under the last
sentence of section 1783(b) of this title.
(Added Pub. L. 107–135, title II, Sec. 208(b), Jan. 23, 2002, 115 Stat. 2462; amended
Pub. L. 110–387, title III, Sec. 301(a)(2), Oct. 10, 2008, 122 Stat. 4120.)
§ 1783. Bereavement counseling

(a) DEATHS OF VETERANS.—In the case of an individual who
was a recipient of services under section 1782 of this title at the
time of the death of the veteran, the Secretary may provide be-
reavement counseling to that individual in the case of a death—
(1) that was unexpected; or
(2) that occurred while the veteran was participating in a
hospice program (or a similar program) conducted by the Sec-
retary.
(b) DEATHS IN ACTIVE SERVICE.—(1) The Secretary may pro-
vide bereavement counseling to an individual who is a member of
the immediate family of a member of the Armed Forces who dies
in the active military, naval, or air service in the line of duty and
under circumstances not due to the person’s own misconduct.
(2) For purposes of this subsection, the members of the imme-
diate family of a member of the Armed Forces described in para-
graph (1) include the parents of such member.
(c) PROVISION OF COUNSELING THROUGH VET CENTERS.—Be-
reavement counseling may be provided under this section through
the facilities and personnel of centers for the provision of readjust-
ment counseling and related mental health services under section
1712A of this title.
(d) BEREAVEMENT COUNSELING DEFINED.—For purposes of this
section, the term ‘‘bereavement counseling’’ means such counseling
services, for a limited period, as the Secretary determines to be
reasonable and necessary to assist an individual with the emo-
tional and psychological stress accompanying the death of another
individual.
(Added Pub. L. 107–135, title II, Sec. 208(b), Jan. 23, 2002, 115 Stat. 2463; amended
Pub. L. 109–461, title II, Sec. 216, Dec. 22, 2006, 120 Stat. 3424.)
§ 1784. Humanitarian care
The Secretary may furnish hospital care or medical services as
a humanitarian service in emergency cases, but the Secretary shall
charge for such care and services at rates prescribed by the Sec-
retary.
(Added Pub. L. 107–135, title II, Sec. 208(b), Jan. 23, 2002, 115 Stat. 2463.)
§ 1785. Care and services during certain disasters and emer-
gencies
(a) AUTHORITY TO PROVIDE HOSPITAL CARE AND MEDICAL
SERVICES.—During and immediately following a disaster or emer-
gency referred to in subsection (b), the Secretary may furnish hos-
pital care and medical services to individuals responding to, in-
volved in, or otherwise affected by that disaster or emergency.
(b) COVERED DISASTERS AND EMERGENCIES.—A disaster or
emergency referred to in this subsection is any disaster or emer-
gency as follows:
(1) A major disaster or emergency declared by the Presi-
dent under the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.).
(2) A disaster or emergency in which the National Disaster
Medical System established pursuant to section 2811(b) of the
Public Health Service Act (42 U.S.C. 300hh-11(b)) is activated
by the Secretary of Health and Human Services under para-
graph (3)(A) of that section or as otherwise authorized by law.
(c) APPLICABILITY TO ELIGIBLE INDIVIDUALS WHO ARE VET-
ERANS.—The Secretary may furnish care and services under this
section to an individual described in subsection (a) who is a veteran
without regard to whether that individual is enrolled in the system
of patient enrollment under section 1705 of this title.
(d) REIMBURSEMENT FROM OTHER FEDERAL DEPARTMENTS AND
AGENCIES.—(1) The cost of any care or services furnished under
this section to an officer or employee of a department or agency of
the United States other than the Department or to a member of
the Armed Forces shall be reimbursed at such rates as may be
agreed upon by the Secretary and the head of such department or

agency or the Secretary concerned, in the case of a member of the
Armed Forces, based on the cost of the care or service furnished.
(2) Amounts received by the Department under this subsection
shall be credited to the Medical Care Collections Fund under sec-
tion 1729A of this title.
(e) REPORT TO CONGRESSIONAL COMMITTEES.—Within 60 days
of the commencement of a disaster or emergency referred to in sub-
section (b) in which the Secretary furnishes care and services
under this section (or as soon thereafter as is practicable), the Sec-
retary shall submit to the Committees on Veterans’ Affairs of the
Senate and the House of Representatives a report on the Sec-
retary’s allocation of facilities and personnel in order to furnish
such care and services.
(f) REGULATIONS.—The Secretary shall prescribe regulations
governing the exercise of the authority of the Secretary under this
section.
(Added Pub. L. 107–287, Sec. 4(a)(1), Nov. 7, 2002, 116 Stat. 2028; amended Pub.
L. 109–444, Sec. 8(a)(2), Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X,
Secs. 1004(a)(2), 1006(b), Dec. 22, 2006, 120 Stat. 3465, 3468.)
229
CHAPTER 18—BENEFITS FOR CHILDREN OF VIETNAM
VETERANS AND CERTAIN OTHER VETERANS
Sec.
[1801. Repealed.]
SUBCHAPTER I—CHILDREN OF VIETNAM VETERANS BORN WITH SPINA

BIFIDA
1802. Spina bifida conditions covered.
1803. Health care.
1804. Vocational training and rehabilitation.
1806. Repealed.].
SUBCHAPTER II—CHILDREN OF WOMEN VIETNAM VETERANS BORN WITH

CERTAIN BIRTH DEFECTS
1811. Definitions.
1812. Covered birth defects.
1813. Health care.
1814. Vocational training.
1816. Regulations.
SUBCHAPTER III——CHILDREN OF CERTAIN KOREA SERVICE VETERANS

BORN WITH SPINA BIFIDA
1821. Benefits for children of certain Korea service veterans born with spina
bifida.
[1822. Renumbered.]

1831. Definitions.
1832. Applicability of certain administrative provisions.
1833. Treatment of receipt of monetary allowance and other benefits.
ø§ 1801. Repealed. Pub. L. 106–419, title IV, Sec. 401(c)(1),

Nov. 1, 2000, 114 Stat. 1860¿
SUBCHAPTER I—CHILDREN OF VIETNAM VETERANS BORN
WITH SPINA BIFIDA
§ 1802. Spina bifida conditions covered
This subchapter applies with respect to all forms and mani-
festations of spina bifida except spina bifida occulta.
(Added Pub. L. 104–201, title IV, Sec. 421(b), Sept. 26, 1996, 110 Stat. 2923; amend-
ed Pub. L. 106–419, title IV, Sec. 401(e)(1), Nov. 1, 2000, 114 Stat. 1860; Pub. L.
107–14, Sec. 8(b)(3), June 5, 2001, 115 Stat. 36.)
231
Sec. 1803 CH. 18—CHILDREN OF VIETNAM VETERANS 232
§ 1803. Health care

(a) In accordance with regulations which the Secretary shall
prescribe, the Secretary shall provide a child of a Vietnam veteran
who is suffering from spina bifida with health care under this sec-
tion.
(b) The Secretary may provide health care under this section
directly or by contract or other arrangement with any health care
provider.
(c) For the purposes of this section—
(1) The term ‘‘health care’’—
(A) means home care, hospital care, nursing home
care, outpatient care, preventive care, habilitative and re-
habilitative care, case management, and respite care; and
(B) includes—
(i) the training of appropriate members of a child’s
family or household in the care of the child; and
(ii) the provision of such pharmaceuticals, sup-
plies, equipment, devices, appliances, assistive tech-
nology, direct transportation costs to and from ap-
proved sources of health care, and other materials as
the Secretary determines necessary.
(2) The term ‘‘health care provider’’ includes specialized
spina bifida clinics, health care plans, insurers, organizations,
institutions, and any other entity or individual furnishing
health care services that the Secretary determines are author-
ized under this section.
(3) The term ‘‘home care’’ means outpatient care,
habilitative and rehabilitative care, preventive health services,
and health-related services furnished to an individual in the
individual’s home or other place of residence.
(4) The term ‘‘hospital care’’ means care and treatment for
a disability furnished to an individual who has been admitted
to a hospital as a patient.
(5) The term ‘‘nursing home care’’ means care and treat-
ment for a disability furnished to an individual who has been
admitted to a nursing home as a resident.
(6) The term ‘‘outpatient care’’ means care and treatment
of a disability, and preventive health services, furnished to an
individual other than hospital care or nursing home care.
(7) The term ‘‘preventive care’’ means care and treatment
furnished to prevent disability or illness, including periodic ex-
aminations, immunizations, patient health education, and such
other services as the Secretary determines necessary to provide
effective and economical preventive health care.
(8) The term ‘‘habilitative and rehabilitative care’’ means
such professional, counseling, and guidance services and treat-
ment programs (other than vocational training under section
1804 of this title) as are necessary to develop, maintain, or re-
store, to the maximum extent practicable, the functioning of a
disabled person.
(9) The term ‘‘respite care’’ means care furnished on an
intermittent basis for a limited period to an individual who re-
233 CH. 18—CHILDREN OF VIETNAM VETERANS Sec. 1804
sides primarily in a private residence when such care will help

the individual to continue residing in such private residence.
(Added Pub. L. 104–204, title IV, Sec. 421(b)(1), Sept. 26, 1996, 110 Stat. 2923;
amended Pub. L. 105–368, title X, Sec. 1005(b)(4), Nov. 11, 1998, 112 Stat. 3365;
Pub. L. 110–387, title IV, Sec. 408(a), Oct. 10, 2008, 122 Stat. 4130.)
§ 1804. Vocational training and rehabilitation

(a) Pursuant to such regulations as the Secretary may pre-
scribe, the Secretary may provide vocational training under this
section to a child of a Vietnam veteran who is suffering from spina
bifida if the Secretary determines that the achievement of a voca-
tional goal by such child is reasonably feasible.
(b) Any program of vocational training for a child under this
section shall—
(1) be designed in consultation with the child in order to
meet the child’s individual needs;
(2) be set forth in an individualized written plan of voca-
tional rehabilitation; and
(3) be designed and developed before the date specified in
subsection (d)(3) so as to permit the beginning of the program
as of the date specified in that subsection.
(c)(1) A vocational training program for a child under this sec-
tion—
(A) shall consist of such vocationally oriented services and
assistance, including such placement and post-placement serv-
ices and personal and work adjustment training, as the Sec-
retary determines are necessary to enable the child to prepare
for and participate in vocational training or employment; and
(B) may include a program of education at an institution
of higher learning if the Secretary determines that the pro-
gram of education is predominantly vocational in content.
(2) A vocational training program under this section may not
include the provision of any loan or subsistence allowance or any
automobile adaptive equipment.
(d)(1) Except as provided in paragraph (2) and subject to sub-
section (e)(2), a vocational training program under this section may
not exceed 24 months.
(2) The Secretary may grant an extension of a vocational train-
ing program for a child under this section for up to 24 additional
months if the Secretary determines that the extension is necessary
in order for the child to achieve a vocational goal identified (before
the end of the first 24 months of such program) in the written plan
of vocational rehabilitation formulated for the child pursuant to
subsection (b).
(3) A vocational training program under this section may begin
on the child’s 18th birthday, or on the successful completion of the
child’s secondary schooling, whichever first occurs, except that, if
the child is above the age of compulsory school attendance under
applicable State law and the Secretary determines that the child’s
best interests will be served thereby, the vocational training pro-
gram may begin before the child’s 18th birthday.
(e)(1) A child who is pursuing a program of vocational training
under this section and is also eligible for assistance under a pro-
gram under chapter 35 of this title may not receive assistance
under both such programs concurrently. The child shall elect (in
such form and manner as the Secretary may prescribe) the pro-
gram under which the child is to receive assistance.
(2) The aggregate period for which a child may receive assist-
ance under this section and chapter 35 of this title may not exceed
48 months (or the part-time equivalent thereof).
amended Pub. L. 105–114, title IV, Sec. 404(c), Nov. 21, 1997, 111 Stat. 2295; Pub.
L. 108–183, title VII, Sec. 708(a)(3), Dec. 16, 2003, 117 Stat. 2673.)
§ 1805. Monetary allowance
(a) The Secretary shall pay a monthly allowance under this
section to any child of a Vietnam veteran for any disability result-
ing from spina bifida suffered by such child.
(b)(1) The amount of the allowance paid to a child under this
section shall be based on the degree of disability suffered by the
child, as determined in accordance with such schedule for rating
disabilities resulting from spina bifida as the Secretary may pre-
scribe.
(2) The Secretary shall, in prescribing the rating schedule for
the purposes of this section, establish three levels of disability upon
which the amount of the allowance provided by this section shall
be based.
(3) The amounts of the allowance shall be $200 per month for
the lowest level of disability prescribed, $700 per month for the in-
termediate level of disability prescribed, and $1,200 per month for
the highest level of disability prescribed. Such amounts are subject
to adjustment under section 5312 of this title.
amended Pub. L. 106–419, title IV, Sec. 401(c)(2), (e)(2), Nov. 1, 2000, 114 Stat.
1860.)
ø§ 1806. Repealed. Pub. L. 106–419, title IV, Sec. 401(c)(3),

Nov. 1, 2000, 114 Stat. 1860¿
SUBCHAPTER II—CHILDREN OF WOMEN VIETNAM
VETERANS BORN WITH CERTAIN BIRTH DEFECTS
In this subchapter:
(1) The term ‘‘eligible child’’ means an individual who—
(A) is the child (as defined in section 1821(1) of this
title) of a woman Vietnam veteran; and
(B) was born with one or more covered birth defects.
(2) The term ‘‘covered birth defect’’ means a birth defect
identified by the Secretary under section 1812 of this title.
(Added Pub. L. 106–419, title IV, Sec. 401(a), Nov. 1, 2000, 114 Stat. 1857; amended
Pub. L. 108–183, title I, Sec. 102(d)(1), Dec. 16, 2003, 117 Stat. 2654.)
§ 1812. Covered birth defects

(a) IDENTIFICATION.—The Secretary shall identify the birth de-
fects of children of women Vietnam veterans that—
(1) are associated with the service of those veterans in the
Republic of Vietnam during the Vietnam era; and
(2) result in permanent physical or mental disability.
(b) LIMITATIONS.—(1) The birth defects identified under sub-

section (a) may not include birth defects resulting from the fol-
lowing:
(A) A familial disorder.
(B) A birth-related injury.
(C) A fetal or neonatal infirmity with well-established
causes.
(2) In any case where affirmative evidence establishes that a
covered birth defect of a child of a woman Vietnam veteran results
from a cause other than the active military, naval, or air service
of that veteran in the Republic of Vietnam during the Vietnam era,
no benefits or assistance may be provided the child under this sub-
chapter.
(Added Pub. L. 106–419, title IV, Sec. 401(a), Nov. 1, 2000, 114 Stat. 1857.)
§ 1813. Health care

(a) NEEDED CARE.—The Secretary shall provide an eligible
child such health care as the Secretary determines is needed by the
child for that child’s covered birth defects or any disability that is
associated with those birth defects.
(b) AUTHORITY FOR CARE TO BE PROVIDED DIRECTLY OR BY
CONTRACT.—The Secretary may provide health care under this sec-
tion directly or by contract or other arrangement with a health care
provider.
(c) DEFINITIONS.—For purposes of this section, the definitions
in section 1803(c) of this title shall apply with respect to the provi-
sion of health care under this section, except that for such pur-
poses—
(1) the reference to ‘‘specialized spina bifida clinic’’ in para-
graph (2) of that section shall be treated as a reference to a
specialized clinic treating the birth defect concerned under this
section; and
(2) the reference to ‘‘vocational training under section 1804
of this title’’ in paragraph (8) of that section shall be treated
as a reference to vocational training under section 1814 of this
title.
§ 1814. Vocational training

(a) AUTHORITY.—The Secretary may provide a program of voca-
tional training to an eligible child if the Secretary determines that
the achievement of a vocational goal by the child is reasonably fea-
sible.
(b) APPLICABLE PROVISIONS.—Subsections (b) through (e) of
section 1804 of this title shall apply with respect to any program
of vocational training provided under subsection (a).
§ 1815. Monetary allowance

(a) MONETARY ALLOWANCE.—The Secretary shall pay a month-
ly allowance to any eligible child for any disability resulting from
the covered birth defects of that child.
(b) SCHEDULE FOR RATING DISABILITIES.—(1) The amount of

the monthly allowance paid under this section shall be based on
the degree of disability suffered by the child concerned, as deter-
mined in accordance with a schedule for rating disabilities result-
ing from covered birth defects that is prescribed by the Secretary.
(2) In prescribing a schedule for rating disabilities for the pur-
poses of this section, the Secretary shall establish four levels of dis-
ability upon which the amount of the allowance provided by this
section shall be based. The levels of disability established may take
into account functional limitations, including limitations on cog-
nition, communication, motor abilities, activities of daily living, and
employability.
(c) AMOUNT OF MONTHLY ALLOWANCE.—The amount of the
monthly allowance paid under this section shall be as follows:
(1) In the case of a child suffering from the lowest level of
disability prescribed in the schedule for rating disabilities
under subsection (b), $100.
(2) In the case of a child suffering from the lower inter-
mediate level of disability prescribed in the schedule for rating
disabilities under subsection (b), the greater of—
(A) $214; or
(B) the monthly amount payable under section
1805(b)(3) of this title for the lowest level of disability pre-
scribed for purposes of that section.
(3) In the case of a child suffering from the higher inter-
mediate level of disability prescribed in the schedule for rating
disabilities under subsection (b), the greater of—
(A) $743; or
1805(b)(3) of this title for the intermediate level of dis-
ability prescribed for purposes of that section.
(4) In the case of a child suffering from the highest level
of disability prescribed in the schedule for rating disabilities
under subsection (b), the greater of—
(A) $1,272; or
1805(b)(3) of this title for the highest level of disability
prescribed for purposes of that section.
(d) INDEXING TO SOCIAL SECURITY BENEFIT INCREASES.—
Amounts under paragraphs (1), (2)(A), (3)(A), and (4)(A) of sub-
section (c) shall be subject to adjustment from time to time under
§ 1816. Regulations
The Secretary shall prescribe regulations for purposes of the
administration of this subchapter.
SUBCHAPTER III—CHILDREN OF CERTAIN KOREA SERVICE

VETERANS BORN WITH SPINA BIFIDA
§ 1821. Benefits for children of certain Korea service vet-
erans born with spina bifida
(a) BENEFITS AUTHORIZED.—The Secretary may provide to any
child of a veteran of covered service in Korea who is suffering from
spina bifida the health care, vocational training and rehabilitation,
and monetary allowance required to be paid to a child of a Vietnam
veteran who is suffering from spina bifida under subchapter I of
this chapter as if such child of a veteran of covered service in Korea
were a child of a Vietnam veteran who is suffering from spina
bifida under such subchapter.
(b) SPINA BIFIDA CONDITIONS COVERED.—This section applies
with respect to all forms and manifestations of spina bifida, except
spina bifida occulta.
(c) VETERAN OF COVERED SERVICE IN KOREA.—For purposes of
this section, a veteran of covered service in Korea is any individual,
without regard to the characterization of that individual’s service,
who—
(1) served in the active military, naval, or air service in or
near the Korean demilitarized zone (DMZ), as determined by
the Secretary in consultation with the Secretary of Defense,
during the period beginning on September 1, 1967, and ending
on August 31, 1971; and
(2) is determined by the Secretary, in consultation with
the Secretary of Defense, to have been exposed to a herbicide
agent during such service in or near the Korean demilitarized
zone.
(d) HERBICIDE AGENT.—For purposes of this section, the term
‘‘herbicide agent’’ means a chemical in a herbicide used in support
of United States and allied military operations in or near the Ko-
rean demilitarized zone, as determined by the Secretary in con-
sultation with the Secretary of Defense, during the period begin-
ning on September 1, 1967, and ending on August 31, 1971.
(Added Pub. L. 108–183, title I, Sec. 102(a)(2), Dec. 16, 2003, 117 Stat. 2653.)

In this chapter:
(1) The term ‘‘child’’ means the following:
(A) For purposes of subchapters I and II of this chap-
ter, an individual, regardless of age or marital status,
who—
(i) is the natural child of a Vietnam veteran; and
(ii) was conceived after the date on which that vet-
eran first entered the Republic of Vietnam during the
Vietnam era.
(B) For purposes of subchapter III of this chapter, an
individual, regardless of age or marital status, who—
(i) is the natural child of a veteran of covered
service in Korea (as determined for purposes of section
1821 of this title); and
(ii) was conceived after the date on which that vet-

eran first entered service described in subsection (c) of
that section.
(2) The term ‘‘Vietnam veteran’’ means an individual who
performed active military, naval, or air service in the Republic
of Vietnam during the Vietnam era, without regard to the
characterization of that individual’s service.
(3) The term ‘‘Vietnam era’’ with respect to—
(A) subchapter I of this chapter, means the period be-
ginning on January 9, 1962, and ending on May 7, 1975;
and
(B) subchapter II of this chapter, means the period be-
ginning on February 28, 1961, and ending on May 7, 1975.
(Added Pub. L. 106–419, title IV, Sec. 401(b), Nov. 1, 2000, 114 Stat. 1859, Sec.
1821; renumbered Sec. 1831, and amended, Pub. L. 108–183, title I, Sec. 102(a)(1),
(b), Dec. 16, 2003, 117 Stat. 2653, 2654.)
§ 1832. Applicability of certain administrative provisions

(a) APPLICABILITY OF CERTAIN PROVISIONS RELATING TO COM-
PENSATION.—The provisions of this title specified in subsection (b)
apply with respect to benefits and assistance under this chapter in
the same manner as those provisions apply to compensation paid
under chapter 11 of this title.
(b) SPECIFIED PROVISIONS.—The provisions of this title referred
to in subsection (a) are the following:
(1) Section 5101(c).
(2) Subsections (a), (b)(2), (g), and (i) of section 5110.
(3) Section 5111.
(4) Subsection (a) and paragraphs (1), (6), (9), and (10) of
subsection (b) of section 5112.
1822; renumbered Sec. 1832, Pub. L. 108–183, title I, Sec. 102(a)(1), Dec. 16, 2003,
117 Stat. 2653.)
§ 1833. Treatment of receipt of monetary allowance and

other benefits
(a) COORDINATION WITH OTHER BENEFITS PAID TO THE RECIPI-
ENT.—Notwithstanding any other provision of law, receipt by an in-
dividual of a monetary allowance under this chapter shall not im-
pair, infringe, or otherwise affect the right of the individual to re-
ceive any other benefit to which the individual is otherwise entitled
under any law administered by the Secretary.
(b) COORDINATION WITH BENEFITS BASED ON RELATIONSHIP OF
RECIPIENTS.—Notwithstanding any other provision of law, receipt
by an individual of a monetary allowance under this chapter shall
not impair, infringe, or otherwise affect the right of any other indi-
vidual to receive any benefit to which such other individual is enti-
tled under any law administered by the Secretary based on the re-
lationship of such other individual to the individual who receives
such monetary allowance.
(c) MONETARY ALLOWANCE NOT TO BE CONSIDERED AS INCOME
OR RESOURCES FOR CERTAIN PURPOSES.—Notwithstanding any
other provision of law, a monetary allowance paid an individual
under this chapter shall not be considered as income or resources
in determining eligibility for, or the amount of benefits under, any

Federal or federally assisted program.
1823; renumbered Sec. 1833, Pub. L. 108–183, title I, Sec. 102(a)(1), Dec. 16, 2003,
117 Stat. 2653.)
§ 1834. Nonduplication of benefits

(a) MONETARY ALLOWANCE.—In the case of an eligible child
under subchapter II of this chapter whose only covered birth defect
is spina bifida, a monetary allowance shall be paid under sub-
chapter I of this chapter. In the case of an eligible child under sub-
chapter II of this chapter who has spina bifida and one or more ad-
ditional covered birth defects, a monetary allowance shall be paid
under subchapter II of this chapter. In the case of a child eligible
for benefits under subchapter I or II of this chapter who is also eli-
gible for benefits under subchapter III of this chapter, a monetary
allowance shall be paid under the subchapter of this chapter elect-
ed by the child.
(b) VOCATIONAL REHABILITATION.—An individual may only be
provided one program of vocational training under this chapter.
1824; renumbered Sec. 1834 and amended, Pub. L. 108–183, title I, Sec. 102(a)(1),
(c), Dec. 16, 2003, 117 Stat. 2653, 2654.)
241
CHAPTER 19—INSURANCE
Sec.
1901. Definitions.
1902. Premium rates and policy values.
1905. Renewal.
1907. Payment or use of dividends.
1908. Premium payments.
1909. Effective date of insurance.
1911. Forfeiture.
1912. Total disability waiver.
1913. Death before six months’ total disability.
1914. Statutory total disabilities.
1915. Total disability income provision.
1916. Insurance which matured before August 1, 1946.
1917. Insurance maturing on or after August 1, 1946.
1918. Assignments.
1919. National Service Life Insurance appropriation.
1920. National Service Life Insurance Fund.
1922. Service disabled veterans’ insurance.
1922A. Supplemental service disabled veterans’ insurance for totally disabled vet-
erans.
1923. Veterans’ Special Life Insurance.
1924. In-service waiver of premiums.
1925. Limited period for acquiring insurance.
1929. Authority to adjust premium discount rates.
SUBCHAPTER II—UNITED STATES GOVERNMENT LIFE INSURANCE
1940. Definition.
1943. Premiums.
1945. Renewal.
1946. Dividends to pay premiums.
1948. Total disability provision.
1949. Change of beneficiary.
1950. Payment to estates.
1951. Payment of insurance.
1952. Optional settlement.
1953. Assignments.
1954. Forfeiture.
1955. United States Government Life Insurance Fund.
243
Sec. 1901 CH. 19—INSURANCE 244
1956. Military and naval insurance appropriation.

1958. Statutory total permanent disability.
1959. Waiver of disability for reinstatement.
1960. Waiver of premium payments on due date.
SUBCHAPTER III—SERVICEMEMBERS’ GROUP LIFE INSURANCE
1965. Definitions.
1966. Eligible insurance companies.
1967. Persons insured; amount.
1968. Duration and termination of coverage; conversion.
1969. Deductions; payment; investment; expenses.
1970. Beneficiaries; payment of insurance.
1971. Basic tables of premiums; readjustment of rates.
1972. Benefit certificates.
1973. Forfeiture.
1974. Advisory Council on Servicemembers’ Group Life Insurance.
1975. Jurisdiction of District Courts.
1976. Effective date.
1977. Veterans’ Group Life Insurance.
1978. Reinstatement.
1980. Option to receive accelerated death benefit.
1980A. Traumatic injury protection.
1981. Replacement of surrendered and expired insurance.
1982. Administrative cost.
1983. Settlements for minors or incompetents.
1984. Suits on insurance.
1985. Decisions by the Secretary.
1986. Deposits in and disbursements from trust funds.
1987. Penalties.

(1) The term ‘‘insurance’’ means National Service Life Insur-
ance.
(2) The terms ‘‘widow’’ or ‘‘widower’’ mean a person who was
the lawful spouse of the insured at the maturity of the insurance.
(3) The term ‘‘child’’ means a legitimate child, an adopted child,
and, if designated as beneficiary by the insured, a stepchild or an
illegitimate child.
(4) The terms ‘‘parent’’, ‘‘father’’, and ‘‘mother’’ mean a father,
mother, father through adoption, mother through adoption, persons
who have stood in loco parentis to a member of the military or
naval forces at any time before entry into active service for a period
of not less than one year, and a stepparent, if designated as bene-
ficiary by the insured.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1902. Premium rates and policy values

Premium rates for insurance shall be the net rates based upon
the American Experience Table of Mortality and interest at the
245 CH. 19—INSURANCE Sec. 1904
rate of 3 per centum per annum. All cash, loan, paid-up, and ex-
tended values, and all other calculations in connection with insur-
ance, shall be based upon said American Experience Table of Mor-
tality and interest at the rate of 3 per centum per annum.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1903. Amount of insurance

Insurance shall be issued in any multiple of $500 and the
amount of insurance with respect to any one person shall be not
less than $1,000 or more than $10,000. No person may carry a com-
bined amount of National Service Life Insurance and United States
Government life insurance in excess of $10,000 at any one time.
The limitations of this section shall not apply to the additional paid
up insurance the purchase of which is authorized under section
1907 of this title.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 1904. Plans of insurance

(a) Insurance may be issued on the following plans: Five-year
level premium term, ordinary life, twenty-payment life, thirty-pay-
ment life, twenty-year endowment, endowment at age sixty, and
endowment at age sixty-five. Level premium term insurance may
be converted as of the date when any premium becomes or has be-
come due, or exchanged as of the date of the original policy, upon
payment of the difference in reserve, at any time while such insur-
ance is in force and within the term period to any of the foregoing
permanent plans of insurance, except that conversion to an endow-
ment plan may not be made while the insured is totally disabled.
(b) Under such regulations as the Secretary may promulgate a
policy of participating insurance may be converted to or exchanged
for insurance issued under this subsection on a modified life plan.
Insurance issued under this subsection shall be on the same terms
and conditions as the insurance which it replaces, except (1) the
premium rates for such insurance shall be based on the 1958 Com-
missioners Standard Ordinary Basic Table of Mortality and inter-
est at the rate of 3 per centum per annum; (2) all cash, loan, paid-
up, and extended values shall be based on the 1958 Commissioners
Standard Ordinary Basic Table of Mortality and interest at the
rate of 3 per centum per annum; and (3) at the end of the day pre-
ceding the sixty-fifth birthday of the insured the face value of the
modified life insurance policy or the amount of extended term in-
surance thereunder shall be automatically reduced by one-half
thereof, without any reduction in premium.
(c) Under such regulations as the Secretary may promulgate,
a policy of nonparticipating insurance may be converted to or ex-
changed for insurance issued under this subsection on a modified
life plan. Insurance issued under this subsection shall be on the
same terms and conditions as the insurance which it replaces, ex-
cept that (1) term insurance issued under section 621 of the Na-
tional Service Life Insurance Act of 1940 shall be deemed for the
purposes of this subsection to have been issued under section
1923(b) of this title; and (2) at the end of the day preceding the
sixty-fifth birthday of the insured the face value of the modified life
insurance policy or the amount of extended term insurance there-
under shall be automatically reduced by one-half thereof, without
any reduction in premium. Any person eligible for insurance under
section 1922(a), or section 1925 of this title may be granted a modi-
fied life insurance policy under this subsection which, subject to ex-
ception (2) above, shall be issued on the same terms and conditions
specified in section 1922(a) or section 1925, whichever is applicable.
(d) Any insured whose modified life insurance policy is in force
by payment or waiver of premiums on the day before the insured’s
sixty-fifth birthday may upon written application and payment of
premiums made before such birthday be granted National Service
Life Insurance, on an ordinary life plan, without physical examina-
tion, in an amount of not less than $500, in multiples of $250, but
not in excess of one-half of the face amount of the modified life in-
surance policy in force on the day before the insured’s sixty-fifth
birthday. Insurance issued under this subsection shall be effective
on the sixty-fifth birthday of the insured. The premium rate, cash,
loan, paid-up, and extended values on the ordinary life insurance
issued under this subsection shall be based on the same mortality
tables and interest rates as the insurance issued under the modi-
fied life policy. Settlements on policies involving annuities on insur-
ance issued under this subsection shall be based on the same mor-
tality or annuity tables and interest rates as such settlements on
the modified life policy. If the insured is totally disabled on the day
before the insured’s sixty-fifth birthday and premiums on the in-
sured’s modified life insurance policy are being waived under sec-
tion 1912 of this title or the insured is entitled on that date to
waiver under such section the insured shall be automatically grant-
ed the maximum amount of insurance authorized under this sub-
section and premiums on such insurance shall be waived during
the continuous total disability of the insured.
(e) After June 30, 1972, and under such regulations as the Sec-
retary may promulgate, insurance may be converted to or ex-
changed for insurance on a modified life plan under the same
terms and conditions as are set forth in subsections (b) and (c) of
this section except that at the end of the day preceding the seven-
tieth birthday of the insured the face value of the modified life in-
surance policy or the amount of extended insurance thereunder
shall be automatically reduced by one-half thereof, without any re-
duction in premium. Any insured whose modified life insurance
policy issued under this subsection is in force by payment or waiver
of premiums on the day before the insured’s seventieth birthday
may be granted insurance on the ordinary life plan upon the same
terms and conditions as are set forth in subsection (d) of this sec-
tion except that in applying such provisions the seventieth birthday
is to be substituted for the sixty-fifth birthday. Notwithstanding
any other provision of law or regulations the Secretary under such
terms and conditions as the Secretary determines to be reasonable
and practicable and upon written application and payment of the
required premiums, reserves, or other necessary amounts made
within one year from the effective date of this subsection by an in-
sured having in force a modified life plan issued under subsection
(b) or (c) of this section, including any replacement insurance

issued under subsection (d) of this section or other provision of this
title, can exchange such insurance without proof of good health for
an amount of insurance issued under this subsection equal to the
insurance then in force or which was in force on the day before
such insured’s sixty-fifth birthday, whichever is the greater.
Oct. 13, 1964, 78 Stat. 1098; Pub. L. 92–193, Dec. 15, 1971, 85 Stat. 648; Pub. L.
97–295, Sec. 4(21), Oct. 12, 1982, 96 Stat. 1306; Pub. L. 99–576, title VII, Sec.
701(21), Oct. 28, 1986, 100 Stat. 3292; renumbered Sec. 1904 and amended Pub. L.
102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1905. Renewal
All level premium term policies, except as otherwise provided
in this section, shall cease and terminate at the expiration of the
term period. At the expiration of any term period any five-year
level premium term policy which has not been exchanged or con-
verted to a permanent plan of insurance and which is not lapsed
shall be renewed as level premium term insurance without applica-
tion for a successive five-year period at the premium rate for the
attained age without medical examination. However, renewal will
be effected in cases where the policy is lapsed only if the insured
makes application for reinstatement and renewal of the term policy
within five years after the date of lapse, and reinstatement in such
cases shall be under the terms and conditions prescribed by the
Secretary. In any case in which the insured is shown by evidence
satisfactory to the Secretary to be totally disabled at the expiration
of the level premium term period of the insurance under conditions
which would entitle the insured to continued insurance protection
but for such expiration, the insurance, if subject to renewal under
this section, shall be automatically renewed for an additional pe-
riod of five years at the premium rate for the then attained age,
unless the insured has elected insurance on some other available
plan.
25, 1970, 84 Stat. 331; Pub. L. 99–576, title VII, Sec. 701(22), Oct. 28, 1986, 100
5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1906. Policy provisions

Provisions for cash, loan, paid-up, and extended values, divi-
dends from gains and savings, refund of unearned premiums, and
such other provisions as may be found to be reasonable and prac-
ticable may be provided for in the policy of insurance from time to
time by regulations promulgated by the Secretary.
§ 1907. Payment or use of dividends

(a) Until and unless the Secretary has received from the in-
sured a request or directive in writing exercising any other divi-
dend option allowable under the insured’s policy, any dividend ac-
cumulations and unpaid dividends shall be applied in payment of
premiums becoming due on insurance subsequent to the date the
dividend is payable after January 1, 1952.
(b) No claim by an insured for payment in cash of a special div-

idend declared prior to January 1, 1952, shall be processed by the
Secretary unless such claim was received within six years after
such dividend was declared. Whenever any claim for payment of a
special dividend, the processing of which is barred by this sub-
section, is received by the Secretary, it shall be returned to the
claimant, with a copy of this subsection, and such action shall be
a complete response without further communication.
(c) The Secretary, upon application in writing made by the in-
sured for insurance under this subsection, and without proof of
good health, is authorized to apply any dividend due and payable
on national service life insurance after the date of such application
to purchase paid up insurance. Also, the Secretary, upon applica-
tion in writing made by the insured during the one-year period be-
ginning September 1, 1991, and without proof of good health, is au-
thorized to apply any national service life insurance dividend cred-
its and deposits of such insured existing at the date of the insured’s
application to purchase paid up insurance. After September 1,
1992, the Secretary may, from time to time, provide for further
one-year periods during which insureds may purchase additional
paid up insurance from existing dividend credits and deposits. Any
such period for the purchase of additional paid up insurance may
be allowed only if the Secretary determines in the case of any such
period that it would be actuarially and administratively sound to
do so. Any dividends, dividend credits, or deposits on endowment
policies may be used under this subsection only to purchase addi-
tional paid up endowment insurance which matures concurrently
with the basic policy. Any dividends, dividend credits, or deposits
on policies (other than endowment policies) may be used under this
section only to purchase additional paid up whole life insurance.
The paid up insurance granted under this subsection shall be in
addition to any insurance otherwise authorized under this title, or
under prior provisions of law. The paid up insurance granted under
this subsection shall be issued on the same terms and conditions
as are contained in the standard policies of national service life in-
surance except (1) the premium rates for such insurance and all
cash and loan values thereon shall be based on such table of mor-
tality and rate of interest per annum as may be prescribed by the
Secretary; (2) the total disability income provision authorized
under section 1915 of this title may not be added to insurance
issued under this section; and (3) the insurance shall include such
other changes in terms and conditions as the Secretary determines
to be reasonable and practicable.
25, 1970, 84 Stat. 331; Pub. L. 92–188, Sec. 2, Dec. 15, 1971, 85 Stat. 645; Pub.
L. 97–295, Sec. 4(22), Oct. 12, 1982, 96 Stat. 1306; Pub. L. 99–576, title VII, Sec.
701(23), Oct. 28, 1986, 100 Stat. 3292; renumbered Sec. 1907 and amended Pub. L.
102–83, Sec. 4(a)(2)(A)(iii)(I), (C)(i), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
403–406; Pub. L. 102–86, title II, Sec. 203, Aug. 14, 1991, 105 Stat. 416.)
§ 1908. Premium payments

The Secretary shall, by regulations, prescribe the time and
method of payment of the premiums on insurance, but payments
of premiums in advance shall not be required for periods of more
than one month each, and may at the election of the insured be de-
ducted from the insured’s active-service pay or be otherwise made.

An amount equal to the first premium due under a National Serv-
ice Life Insurance policy may be advanced from current appropria-
tions for active-service pay to any person in the active service in
the Army, Navy, Air Force, Marine Corps, or Coast Guard, which
amount shall constitute a lien upon any service or other pay accru-
ing to the person for whom such advance was made and shall be
collected therefrom if not otherwise paid. No disbursing or certi-
fying officer shall be responsible for any loss incurred by reason of
such advance. Any amount so advanced in excess of available serv-
ice or other pay shall constitute a lien on the policy within the pro-
visions of section 5301(b) of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1149, Sec. 708; Pub. L. 99–576, title VII,
Sec. 701(24), Oct. 28, 1986, 100 Stat. 3292; Pub. L. 102–40, title IV, Sec. 402(d)(1),
May 7, 1991, 105 Stat. 239; renumbered Sec. 1908 and amended Pub. L. 102–83,
Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1909. Effective date of insurance

Insurance may be made effective, as specified in the applica-
tion, not later than the first day of the calendar month following
the date of application therefor, but the United States shall not be
liable thereunder for death occurring before such effective date.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1910. Incontestability
Subject to the provisions of section 1911 of this title all con-
tracts or policies of insurance heretofore or hereafter issued, rein-
stated, or converted shall be incontestable from the date of issue,
reinstatement, or conversion except for fraud, nonpayment of pre-
mium, or on the ground that the applicant was not a member of
the military or naval forces of the United States. However, in any
case in which a contract or policy of insurance is canceled or voided
after March 16, 1954, because of fraud, the Secretary shall refund
to the insured, if living, or, if deceased, to the person designated
as beneficiary (or if none survives, to the estate of the insured) all
money, without interest, paid as premiums on such contract or pol-
icy for any period subsequent to two years after the date such
fraud induced the Secretary to issue, reinstate, or convert such in-
surance less any dividends, loan, or other payment made to the in-
sured under such contract or policy.
amended Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(II), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6,
1991, 105 Stat. 403–406.)
§ 1911. Forfeiture
Any person guilty of mutiny, treason, spying, or desertion, or
who, because of conscientious objections, refuses to perform service
in the Armed Forces of the United States or refuses to wear the
uniform of such force, shall forfeit all rights to National Service
Life Insurance. No insurance shall be payable for death inflicted as
a lawful punishment for crime or for military or naval offense, ex-
cept when inflicted by an enemy of the United States; but the cash
surrender value, if any, of such insurance on the date of such death
shall be paid to the designated beneficiary, if living, or otherwise

to the beneficiary or beneficiaries within the permitted class in ac-
cordance with the order specified in section 1916(b) of this title.
§ 1912. Total disability waiver
(a) Upon application by the insured and under such regulations
as the Secretary may promulgate, payment of premiums on insur-
ance may be waived during the continuous total disability of the
insured, which continues or has continued for six or more consecu-
tive months, if such disability began (1) after the date of the in-
sured’s application for insurance, (2) while the insurance was in
force under premium-paying conditions, and (3) before the insured’s
sixty-fifth birthday. Notwithstanding any other provision of this
chapter, in any case in which the total disability of the insured
commenced on or after the insured’s sixtieth birthday but before
the insured’s sixty-fifth birthday, the Secretary shall not grant
waiver of any premium becoming due prior to January 1, 1965.
(b) The Secretary, upon any application made after August 1,
1947, shall not grant waiver of any premium becoming due more
than one year before the receipt by the Secretary of application for
the same, except as provided in this section. Any premiums paid
for months during which waiver is effective shall be refunded. The
Secretary shall provide by regulations for examination or reexam-
ination of an insured claiming benefits under this section, and may
deny benefits for failure to cooperate. If it is found that an insured
is no longer totally disabled, the waiver of premiums shall cease as
of the date of such finding and the policy of insurance may be con-
tinued by payment of premiums as provided in said policy. In any
case in which the Secretary finds that the insured’s failure to make
timely application for waiver of premiums or the insured’s failure
to submit satisfactory evidence of the existence or continuance of
total disability was due to circumstances beyond the insured’s con-
trol, the Secretary may grant waiver or continuance of waiver of
premiums.
(c) If the insured dies without filing application for waiver, the
beneficiary, within one year after the death of the insured, or, if
the beneficiary is insane or a minor, within one year after removal
of such legal disability, may file application for waiver with evi-
dence of the insured’s right to waiver under this section. Premium
rates shall be calculated without charge for the cost of waiver of
premiums provided in this section and no deduction from benefits
otherwise payable shall be made on account thereof.
(d) In any case in which an insured has been denied or would
have been denied premium waiver under section 602(n) of the Na-
tional Service Life Insurance Act of 1940 or this section solely be-
cause the insured became totally disabled between the date of valid
application for insurance and the subsequent effective date thereof,
and in which it is shown that (1) the total disability was incurred
in line of duty between October 8, 1940, and July 31, 1946, inclu-
sive, or June 27, 1950, and April 30, 1951, inclusive, and (2) the
insured remained continuously so totally disabled to the date of
death or June 8, 1960, whichever is earlier, the Secretary may
grant waiver of premiums from the beginning of and during the

continuous total disability of such insured. Application for waiver
of premiums under this subsection must be filed by the insured or,
in the event of the insured’s death, by the beneficiary within two
years after June 8, 1960, except that if the insured or the bene-
ficiary be insane or a minor within the two-year period, application
for such waiver may be filed within two years after removal of such
legal disability, or if an insane insured shall die before the removal
of the disability, application may be filed by the beneficiary within
two years after the insured’s death. No insurance shall be placed
in force under this subsection in any case in which there was an
award of benefits under the Servicemen’s Indemnity Act of 1951 or
of gratuitous insurance under section 1922(b) of this title. The
amount of insurance placed in force hereunder together with any
other United States Government life insurance or national service
life insurance in force at the time of death, or at the time of the
insured’s application for waiver hereunder, may not exceed $10,000
and shall be reduced by the amount of any gratuitous insurance
awarded under the National Service Life Insurance Act of 1940.
Waiver of premiums under this subsection shall render the insur-
ance nonparticipating during the period such premium waiver is in
effect. The cost of waiver of premium and death benefits paid as
a result of this subsection shall be borne by the United States.
1960, 74 Stat. 164; Pub. L. 88–364, July 7, 1964, 78 Stat. 302; Pub. L. 97–295, Sec.
4(23), Oct. 12, 1982, 96 Stat. 1306; Pub. L. 99–576, title VII, Sec. 701(25), Oct. 28,
4(a)(2)(C)(ii), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1913. Death before six months’ total disability

Whenever premiums are not waived under section 1912 of this
title solely because the insured died prior to the continuance of
total disability for six months, and proof of such facts, satisfactory
to the Secretary, is filed by the beneficiary with the Department
within one year after the insured’s death, the insurance shall be
deemed to be in force at the date of the death, and the unpaid pre-
miums shall become a lien against the proceeds of the insurance.
If the beneficiary is insane or a minor, proof of such facts may be
filed within one year after removal of such legal disability.
Sec. 701(26), Oct. 28, 1986, 100 Stat. 3292; renumbered Sec. 1913 and amended
404–406.)
§ 1914. Statutory total disabilities

Without prejudice to any other cause of disability, the perma-
nent loss of the use of both feet, of both hands, or of both eyes, or
of one foot and one hand, or of one foot and one eye, or of one hand
and one eye, or the total loss of hearing of both ears, or the organic
loss of speech, shall be deemed total disability for insurance pur-
poses.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1915. Total disability income provision

The Secretary shall, except as hereinafter provided, upon ap-
plication by the insured and proof of good health satisfactory to the
Secretary and payment of such extra premium as the Secretary
shall prescribe, include in any National Service Life Insurance pol-
icy on the life of the insured (except a policy issued under section
620 of the National Service Life Insurance Act of 1940, or section
1922 of this title) provisions whereby an insured who is shown to
have become totally disabled for a period of six consecutive months
or more commencing after the date of such application and before
attaining the age of sixty-five and while the payment of any pre-
mium is not in default, shall be paid monthly disability benefits
from the first day of the seventh consecutive month of and during
the continuance of such total disability of $10 for each $1,000 of
such insurance in effect when such benefits become payable. The
total disability provision authorized under this section shall not be
issued unless application therefor is made either prior to the in-
sured’s fifty-fifth birthday, or before the insured’s sixtieth birthday
and prior to January 1, 1966. The total disability provision author-
ized under this section shall not be added to a policy containing the
total disability coverage heretofore issued under section 602(v) of
the National Service Life Insurance Act of 1940, or the provisions
of this section as in effect before January 1, 1965, except upon sur-
render of such total disability coverage, proof of good health, if re-
quired, satisfactory to the Secretary, and payment of such extra
premium as the Secretary shall determine is required in such
cases. Participating policies containing additional provisions for the
payment of disability benefits may be separately classified for the
purpose of dividend distribution from otherwise similar policies not
containing such benefits.
(2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1916. Insurance which matured before August 1, 1946
(a) Insurance which matured before August 1, 1946, is payable
in the following manner:
(1) If the beneficiary to whom payment is first made was
under thirty years of age at the time of maturity, in two hun-
dred and forty equal monthly installments.
(2) If the beneficiary to whom payment is first made was
thirty or more years of age at the time of maturity, in equal
monthly installments for one hundred and twenty months cer-
tain, with such payments continuing during the remaining life-
time of such beneficiary.
(3) If elected by the insured or a beneficiary entitled to
make such an election under prior provisions of law, as a re-
fund life income in monthly installments payable for such pe-
riod certain as may be required in order that the sum of the
installments certain, including a last installment of such re-
duced amount as may be necessary, shall equal the face value
of the contract, less any indebtedness, with such payments con-
tinuing throughout the lifetime of the first beneficiary. A re-
fund life income optional settlement is not available in any
case in which such settlement would result in payments of in-

stallments over a shorter period than one hundred and twenty
months. If the mode of payment is changed to a refund life in-
come in accordance with prior provisions of law, after payment
has commenced, payment of monthly installments will be ad-
justed as of the date of maturity of such policy with credit
being allowed for payments previously made on the insurance.
(b) Such insurance shall be payable only to a widow, widower,
child, parent, brother or sister of the insured. Any installments cer-
tain of such insurance remaining unpaid at the death of any bene-
ficiary shall be paid in equal monthly installments in an amount
equal to the monthly installments paid to the first beneficiary, to
the person or persons then in being within the following classes,
and in the order named, unless designated by the insured in a dif-
ferent order:
(1) To the widow or widower of the insured, if living.
(2) If no widow or widower, to the child or children of the
insured, if living, in equal shares.
(3) If no widow, widower, or child, to the parent or parents
of the insured who last bore that relationship, if living, in
equal shares.
(4) If no widow, widower, child, or parent, to the brothers
and sisters of the insured, if living, in equal shares.
(c) The provisions of this section shall not be construed to en-
large the classes of beneficiaries heretofore authorized under sec-
tion 602(d) of the National Service Life Insurance Act of 1940, for
payment of gratuitous insurance.
(d) If no beneficiary of insurance which matured before August
1, 1946, was designated by the insured or if the designated bene-
ficiary did not survive the insured, the beneficiary shall be deter-
mined in accordance with the order specified in subsection (b) and
the insurance shall be payable in equal monthly installments in ac-
cordance with subsection (a). The right of any beneficiary to pay-
ment of any installments of such insurance shall be conditioned
upon his or her being alive to receive such payments. No person
shall have a vested right to any installment or installments of any
such insurance and any installments not paid to a beneficiary dur-
ing such beneficiary’s lifetime shall be paid to the beneficiary or
beneficiaries within the permitted class next entitled to priority, as
provided in subsection (b).
(e) No installments of insurance which matured before August
1, 1946, shall be paid to the heirs or legal representatives as such
of the insured or of any beneficiary, and if no person within the
permitted class survives to receive the insurance or any part there-
of no payment of the unpaid installments shall be made, except
that if the reserve of a contract of converted National Service Life
Insurance, together with dividends accumulated thereon, less any
indebtedness under such contract, exceeds the aggregate amount
paid to beneficiaries, the excess shall be paid to the estate of the
insured unless the estate of the insured would escheat under the
laws of the insured’s place of residence, in which event no payment
shall be made. When the amount of an individual monthly payment
of such insurance is less than $5, such amount may, in the discre-
tion of the Secretary, be allowed to accumulate without interest

and be disbursed annually.
(f) Any payments of insurance made to a person, represented
by the insured to be within the permitted class of beneficiaries,
shall be deemed to have been properly made and to satisfy fully the
obligation of the United States under such insurance policy to the
extent of such payments.
Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L.
102–86, title V, Sec. 506(a)(2), Aug. 14, 1991, 105 Stat. 426.)
§ 1917. Insurance maturing on or after August 1, 1946

(a) The insured shall have the right to designate the bene-
ficiary or beneficiaries of insurance maturing on or after August 1,
1946, and shall, subject to regulations, at all times have the right
to change the beneficiary or beneficiaries of such insurance without
the consent of such beneficiary or beneficiaries.
(b) Insurance maturing on or after August 1, 1946, shall be
payable in accordance with the following optional modes of settle-
ment:
(1) In one sum.
(2) In equal monthly installments of from thirty-six to two
hundred and forty in number, in multiples of twelve.
(3) In equal monthly installments for one hundred and
twenty months certain with such payments continuing during
the remaining lifetime of the first beneficiary.
(4) As a refund life income in monthly installments pay-
able for such period certain as may be required in order that
the sum of the installments certain, including a last install-
ment of such reduced amount as may be necessary, shall equal
the face value of the contract, less any indebtedness, with such
payments continuing throughout the lifetime of the first bene-
ficiary; however, such optional settlement shall not be avail-
able in any case in which such settlement would result in pay-
ments of installments over a shorter period than one hundred
and twenty months.
(c) Except as provided in the second and third sentences of this
subsection, unless the insured elects some other mode of settle-
ment, such insurance shall be payable to the designated beneficiary
or beneficiaries in thirty-six equal monthly installments. The first
beneficiary may elect to receive payment under any option which
provides for payment over a longer period of time than the option
elected by the insured, or if no option has been elected by the in-
sured, in excess of thirty-six months. In the case of insurance ma-
turing after September 30, 1981, and for which no option has been
elected by the insured, the first beneficiary may elect to receive
payment in one sum. If the option selected requires payment to any
one beneficiary of monthly installments of less than $10, the
amount payable to such beneficiary shall be paid in such maximum
number of monthly installments as are a multiple of twelve as will
provide a monthly installment of not less than $10. If the present
value of the amount payable at the time any person initially be-
comes entitled to payment thereof is not sufficient to pay at least
twelve monthly installments of not less than $10 each, such

amount shall be payable in one sum. Options (3) and (4) shall not
be available if any firm, corporation, legal entity (including the es-
tate of the insured), or trustee is beneficiary.
(d) If the beneficiary of such insurance is entitled to a lump-
sum settlement but elects some other mode of settlement and dies
before receiving all the benefits due and payable under such mode
of settlement, the present value of the remaining unpaid amount
shall be payable to the estate of the beneficiary. If no beneficiary
is designated by the insured, or if the designated beneficiary does
not survive the insured, or if a designated beneficiary not entitled
to a lump-sum settlement survives the insured, and dies before re-
ceiving all the benefits due and payable, then the commuted value
of the remaining unpaid insurance (whether accrued or not) shall
be paid in one sum to the estate of the insured. In no event shall
there be any payment to the estate of the insured or of the bene-
ficiary of any sums unless it is shown that any sums paid will not
escheat.
(e) Under such regulations as the Secretary may promulgate,
the cash surrender value of any policy of insurance or the proceeds
of an endowment contract which matures by reason of completion
of the endowment period may be paid to the insured under option
(2) or (4) of this section. All settlements under option (4), however,
shall be calculated on the basis of The Annuity Table for 1949. If
the option selected requires payment of monthly installments of
less than $10, the amount payable shall be paid in such maximum
number of monthly installments as are a multiple of twelve as will
provide a monthly installment of not less than $10.
(f)(1) Following the death of the insured and in a case not cov-
ered by subsection (d)—
(A) if the first beneficiary otherwise entitled to payment of
the insurance does not make a claim for such payment within
two years after the death of the insured, payment may be
made to another beneficiary designated by the insured, in the
order of precedence as designated by the insured, as if the first
beneficiary had predeceased the insured; and
(B) if, within four years after the death of the insured, no
claim has been filed by a person designated by the insured as
a beneficiary and the Secretary has not received any notice in
writing that any such claim will be made, payment may (not-
withstanding any other provision of law) be made to such per-
son as may in the judgment of the Secretary be equitably enti-
tled thereto.
(2) Payment of insurance under paragraph (1) shall be a bar
to recovery by any other person.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1152, Sec. 717; Pub. L. 91–291, Sec. 10,
June 25, 1970, 84 Stat. 331; Pub. L. 97–66, title IV, Sec. 403(a), Oct. 17, 1981, 95
5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 108–183, title I, Sec. 103(a), Dec. 16,
2003, 117 Stat. 2655.)
§ 1918. Assignments
(a) Assignments of all or any part of the beneficiary’s interest
may be made by a designated beneficiary to a widow, widower,
child, father, mother, grandfather, grandmother, brother, or sister

of the insured, when the designated contingent beneficiary, if any,
joins the beneficiary in the assignment, and if the assignment is
delivered to the Secretary before any payments of the insurance
shall have been made to the beneficiary. However, an interest in
an annuity, when assigned, shall be payable in equal monthly in-
stallments in such multiple of twelve as most nearly equals the
number of installments certain under such annuity, or in two hun-
dred and forty installments, whichever is the lesser. The provisions
of this subsection shall not be applicable to insurance maturing
after July 26, 1962.
(b) Except as to insurance granted under the provisions of sec-
tion 1922(b) of this title, any person to whom insurance maturing
after July 26, 1962, is payable may assign all or any portion of
such person’s interest in such insurance to a widow, widower, child,
father, mother, grandfather, grandmother, brother, or sister of the
insured when the designated contingent beneficiary, if any, joins
the beneficiary in the assignment. Such joinder shall not be re-
quired in any case in which the insurance proceeds are payable in
a lump sum.
27, 1962, 76 Stat. 245; Pub. L. 96–128, title III, Sec. 304, Nov. 28, 1979, 93 Stat.
986; Pub. L. 97–295, Sec. 4(24), Oct. 12, 1982, 96 Stat. 1306; renumbered Sec. 1918
and amended Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(III), 5(a), (c)(1), Aug. 6, 1991, 105
Stat. 403, 406.)
§ 1919. National Service Life Insurance appropriation
(a) The National Service Life Insurance appropriation is con-
tinued and there is authorized to be appropriated, out of any
money in the Treasury not otherwise appropriated, such sums as
may be necessary to carry out the provisions of this chapter and
the provisions heretofore prescribed in the National Service Life In-
surance Act of 1940, or related Acts, for the payment of liabilities
under National Service Life Insurance. Payment from this appro-
priation shall be made upon and in accordance with awards by the
Secretary.
(b) All premiums heretofore and hereafter paid on insurance
issued or reinstated under section 602(v)(1) of the National Service
Life Insurance Act of 1940 where the requirement of good health
was waived under such section because of a service-incurred injury
or disability shall be credited directly to the National Service Life
Insurance appropriation and any payments of benefits heretofore
and hereafter made on such insurance shall be made directly from
such appropriation.
Sec. 702(5), Nov. 21, 1983, 97 Stat. 1009; renumbered Sec. 1919 and amended Pub.
L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 105–
368, title III, Sec. 304(a), Nov. 11, 1998, 112 Stat. 3334.)
§ 1920. National Service Life Insurance Fund

(a) The National Service Life Insurance Fund heretofore cre-
ated in the Treasury is continued as a permanent trust fund. Ex-
cept as otherwise provided in this chapter, all premiums paid on
account of National Service Life Insurance shall be deposited and
covered into the Treasury to the credit of such fund, which, to-
gether with interest earned thereon, shall be available for the pay-
ment of liabilities under such insurance, including payment of divi-
dends and refunds of unearned premiums, and for the reimburse-
ment of administrative costs under subsection (c). Payments from
this fund shall be made upon and in accordance with awards by the
Secretary.
(b) The Secretary is authorized to set aside out of such fund
such reserve amounts as may be required under accepted actuarial
principles to meet all liabilities under such insurance; and the Sec-
retary of the Treasury is authorized to invest and reinvest such
fund, or any part thereof, in interest-bearing obligations of the
United States or in obligations guaranteed as to principal and in-
terest by the United States, and to sell such obligations for the pur-
poses of such fund.
(c)(1) For each fiscal year for which this subsection is in effect,
the Secretary shall, from the National Service Life Insurance Fund,
reimburse the ‘‘General operating expenses’’ account of the Depart-
ment for the amount of administrative costs determined under
paragraph (2) for that fiscal year. Such reimbursement shall be
made from any surplus earnings for that fiscal year that are avail-
able for dividends on such insurance after claims have been paid
and actuarially determined reserves have been set aside. However,
if the amount of such administrative costs exceeds the amount of
such surplus earnings, such reimbursement shall be made only to
the extent of such surplus earnings.
(2) The Secretary shall determine the administrative costs to
the Department for a fiscal year for which this subsection is in ef-
fect which, in the judgment of the Secretary, are properly allocable
to the provision of National Service Life Insurance (and to the pro-
vision of any total disability income insurance added to the provi-
sion of such insurance).
(3) This subsection shall be in effect only with respect to fiscal
year 1996.
amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406;
Pub. L. 104–99, title II, Sec. 201(b), Jan. 26, 1996, 110 Stat. 36.)
§ 1921. Extra hazard costs
(a) The United States shall bear the excess mortality cost and
the cost of waiver of premiums on account of total disability trace-
able to the extra hazard of military or naval service, as such haz-
ard may be determined by the Secretary.
(b) Whenever benefits under insurance become payable because
of the death of the insured as the result of disease or injury trace-
able to the extra hazard of military or naval service, as such haz-
ard may be determined by the Secretary, the liability for payment
of such benefits shall be borne by the United States in an amount
which, when added to the reserve of the policy at the time of death
of the insured will equal the then value of such benefits under such
policy. Where life contingencies are involved in the calculation of
the value of such benefits of insurance heretofore or hereafter ma-
tured, the calculation of such liability or liabilities shall be based
upon such mortality table or tables as the Secretary may prescribe
with interest at the rate of 3 per centum per annum. The Secretary
shall transfer from time to time from the National Service Life In-
surance appropriation to the National Service Life Insurance Fund
such sums as may be necessary to carry out the provisions of this
section.
(c) Whenever the premiums under insurance are waived be-
cause of the total disability of the insured as the result of disease
or injury traceable to the extra hazard of military or naval service,
as such hazard may be determined by the Secretary, the premiums
so waived shall be paid by the United States and the Secretary
shall transfer from time to time an amount equal to the amount
of such premiums from the National Service Life Insurance appro-
priation to the National Service Life Insurance Fund.
(d) Whenever benefits under the total disability income provi-
sion become, or have become, payable because of total disability of
the insured as a result of disease or injury traceable to the extra
hazard of the military or naval service, as such hazard may be de-
termined by the Secretary, the liability shall be borne by the
United States, and the Secretary shall transfer from the National
Service Life Insurance appropriation to the National Service Life
Insurance Fund from time to time any amounts which become, or
have become, payable to the insured on account of such total dis-
ability, and to transfer from the National Service Life Insurance
Fund to the National Service Life Insurance appropriation the
amount of the reserve held on account of the total disability ben-
efit. When a person receiving such payments on account of total
disability recovers from such disability, and is then entitled to con-
tinue protection under the total disability income provision, the
Secretary shall transfer to the National Service Life Insurance
Fund a sum sufficient to set up the then required reserve on such
total disability benefit.
(e) Any disability for which a waiver was required as a condi-
tion to tendering a person a commission under Public Law 816,
Seventy-seventh Congress, shall be deemed to be a disability re-
sulting from an injury or disease traceable to the extra hazard of
military or naval service for the purpose of applying this section.
§ 1922. Service disabled veterans’ insurance

(a) Any person who is released from active military, naval, or
air service, under other than dishonorable conditions on or after
April 25, 1951, and is found by the Secretary to be suffering from
a disability or disabilities for which compensation would be payable
if 10 per centum or more in degree and except for which such per-
son would be insurable according to the standards of good health
established by the Secretary, shall, upon application in writing
made within two years from the date service-connection of such dis-
ability is determined by the Secretary and payment of premiums
as provided in this subchapter, be granted insurance by the United
States against the death of such person occurring while such insur-
ance is in force. If such a person is shown by evidence satisfactory
to the Secretary to have been mentally incompetent during any
part of the two-year period, application for insurance under this
section may be filed within two years after a guardian is appointed
or within two years after the removal of such disability as deter-

mined by the Secretary, whichever is the earlier date. If the guard-
ian was appointed or the removal of the disability occurred before
January 1, 1959, application for insurance under this section may
be made within two years after that date. Insurance granted under
this section shall be issued upon the same terms and conditions as
are contained in the standard policies of National Service Life In-
surance except (1) the premium rates for such insurance shall be
based on the Commissioners 1941 Standard Ordinary Table of Mor-
tality and interest at the rate of 2 1/4 per centum per annum; (2)
all cash, loan, paid-up, and extended values shall be based upon
the Commissioners 1941 Standard Ordinary Table of Mortality and
interest at the rate of 2 1/4 per centum per annum; (3) all settle-
ments on policies involving annuities shall be calculated on the
basis of The Annuity Table for 1949, and interest at the rate of 2
1/4 per centum per annum; (4) insurance granted under this sec-
tion shall be on a nonparticipating basis and all premiums and
other collections therefor shall be credited directly to a revolving
fund in the Treasury of the United States, and any payments on
such insurance shall be made directly from such fund; and (5) ad-
ministrative costs to the Government for the costs of the program
of insurance under this section shall be paid from premiums cred-
ited to the fund under paragraph (4), and payments for claims
against the fund under paragraph (4) for amounts in excess of
amounts credited to such fund under that paragraph (after such
administrative costs have been paid) shall be paid from appropria-
tions to the fund. Appropriations to such fund are hereby author-
ized. As to insurance issued under this section, waiver of premiums
pursuant to section 602(n) of the National Service Life Insurance
Act of 1940 and section 1912 of this title shall not be denied on the
ground that the service-connected disability became total before the
effective date of such insurance.
(b)(1) Any person who, on or after April 25, 1951, was other-
wise qualified for insurance under the provisions of section 620 of
the National Service Life Insurance Act of 1940, or under sub-
section (a) of this section, but who did not apply for such insurance
and who is shown by evidence satisfactory to the Secretary (A) to
have been mentally incompetent from a service-connected dis-
ability, (i) at the time of release from active service, or (ii) during
any part of the two-year period from the date the service connec-
tion of a disability is first determined by the Secretary, or (iii) after
release from active service but is not rated service-connected dis-
abled by the Secretary until after death; and (B) to have remained
continuously so mentally incompetent until date of death; and (C)
to have died before the appointment of a guardian, or within two
years after the appointment of a guardian; shall be deemed to have
applied for and to have been granted such insurance, as of the date
of death, in an amount which, together with any other United
States Government or National Service life insurance in force, shall
aggregate $10,000. The date to be used for determining whether
such person was insurable according to the standards of good
health established by the Secretary, except for the service-con-
nected disability, shall be the date of release from active service or
Sec. 1922A CH. 19—INSURANCE 260
the date the person became mentally incompetent, whichever is the

later.
(2) Payments of insurance granted under subsection (b)(1) of
this section shall be made only to the following beneficiaries and
in the order named—
(A) to the widow or widower of the insured, if living and
while unremarried;
(B) if no widow or widower entitled thereto, to the child or
children of the insured, if living, in equal shares;
(C) if no widow or widower or child entitled thereto, to the
parent or parents of the insured who last bore that relation-
ship, if living, in equal shares.
(3) No application for insurance payments under this sub-
section shall be valid unless filed with the Secretary within two
years after the date of death of the insured or before January 1,
1961, whichever is the later, and the relationship of the applicant
shall be proved as of the date of death of the insured by evidence
satisfactory to the Secretary. Persons shown by evidence satisfac-
tory to the Secretary to have been mentally or legally incompetent
at the time the right to apply for death benefits expires, may make
such application at any time within one year after the removal of
such disability.
(4) Notwithstanding section 1917 of this title, insurance under
this subsection shall be payable to the beneficiary determined
under paragraph (2) of this subsection in a lump sum.
(c) The premium rate of any term insurance issued under this
section shall not exceed the renewal age 70 premium rate.
amended Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(IV), (D)(i), (b)(1), (2)(E), 5(a), (c)(1), Aug.
6, 1991, 105 Stat. 403–406; Pub. L. 102–86, title II, Sec. 201(a), 202(a), Aug. 14,
1991, 105 Stat. 415, 416; Pub. L. 103–446, title XII, Sec. 1201(i)(2), Nov. 2, 1994,
108 Stat. 4688; Pub. L. 106–419, title III, Sec. 311(a), Nov. 1, 2000, 114 Stat. 1854;
Pub. L. 110–389, title IV, Sec. 404, Oct. 10, 2008, 122 Stat. 4175.)
§ 1922A. Supplemental service disabled veterans’ insurance
for totally disabled veterans
(a) Any person insured under section 1922(a) of this title who
qualifies for a waiver of premiums under section 1912 of this title
is eligible, as provided in this section, for supplemental insurance
in an amount not to exceed $20,000.
(b) To qualify for supplemental insurance under this section a
person must file with the Secretary an application for such insur-
ance. Such application must be filed not later than (1) October 31,
1993, or (2) the end of the one-year period beginning on the date
on which the Secretary notifies the person that the person is enti-
tled to a waiver of premiums under section 1912 of this title,
whichever is later.
(c) Supplemental insurance granted under this section shall be
granted upon the same terms and conditions as insurance granted
under section 1922(a) of this title, except that such insurance may
not be granted to a person under this section unless the application
is made for such insurance before the person attains 65 years of
age.
(d) No waiver of premiums shall be made in the case of any
person for supplemental insurance granted under this section.
(Added Pub. L. 102–568, title II, Sec. 203(a), Oct. 29, 1992, 106 Stat. 4324; amended
Pub. L. 103–446, title XII, Sec. 1201(f)(1), Nov. 2, 1994, 108 Stat. 4687.)
§ 1923. Veterans’ Special Life Insurance

(a) Insurance heretofore granted under the provisions of sec-
tion 621 of the National Service Life Insurance Act of 1940, against
the death of the policyholder occurring while such insurance is in
force, is subject to the same terms and conditions as are contained
in standard policies of National Service Life Insurance on the five-
year level premium term plan except (1) such insurance may not
be exchanged for or converted to insurance on any other plan; (2)
the premium rates for such insurance shall be based on the Com-
missioners 1941 Standard Ordinary Table of Mortality and interest
at the rate of 2 1/4 per centum per annum; (3) all settlements on
policies involving annuities shall be calculated on the basis of The
Annuity Table for 1949, and interest at the rate of 2 1/4 per cen-
tum per annum; (4) all premiums and other collections on such in-
surance and any total disability provisions added thereto shall be
credited to a revolving fund in the Treasury of the United States,
which, together with interest earned thereon, shall be available for
the payment of liabilities under such insurance and any total dis-
ability provisions added thereto, including payments of dividends
and refunds of unearned premiums, and for the reimbursement of
administrative costs under subsection (d).
(b) Any term insurance heretofore issued under section 621 of
the National Service Life Insurance Act of 1940, may be converted
to a permanent plan of insurance or exchanged for a policy of lim-
ited convertible five-year level premium term insurance issued
under this subsection. Insurance issued under this subsection shall
be issued upon the same terms and conditions as are contained in
the standard policies of National Service Life Insurance except (1)
after September 1, 1960, limited convertible term insurance may
not be issued or renewed on the term plan after the insured’s fif-
tieth birthday; (2) the premium rates for such limited convertible
term or permanent plan insurance shall be based on table X-18
(1950–54 Intercompany Table of Mortality) and interest at the rate
of 2 1/2 per centum per annum; (3) all settlements on policies in-
volving annuities on insurance issued under this subsection shall
be calculated on the basis of The Annuity Table for 1949, and inter-
est at the rate of 2 1/2 per centum per annum; (4) all cash, loan,
paid-up, and extended values, and, except as otherwise provided in
this subsection, all other calculations in connection with insurance
issued under this subsection shall be based on table X-18 (1950–
54 Intercompany Table of Mortality) and interest at the rate of 2
1/2 per centum per annum; (5) all premiums and other collections
on insurance issued under this subsection and any total disability
income provisions added thereto shall be credited directly to the re-
volving fund referred to in subsection (a) of this section, which to-
gether with interest earned thereon, shall be available for the pay-
ment of liabilities under such insurance and any total disability
provisions added thereto, including payments of dividends and re-
funds of unearned premiums.
(c) The Secretary is authorized to invest in, and the Secretary
of the Treasury is authorized to sell and retire, special interest-
bearing obligations of the United States for the account of the re-
volving fund with a maturity date as may be agreed upon by the
two Secretaries. The rate of interest on such obligations shall be
fixed by the Secretary of the Treasury at a rate equal to the rate
of interest, computed as of the end of the month preceding the date
of issue of such obligations, borne by all marketable interest-bear-
ing obligations of the United States then forming a part of the pub-
lic debt that are not due or callable until after the expiration of five
years from the date of original issue; except that where such aver-
age rate is not a multiple of one-eighth of 1 per centum, the rate
of interest of such obligations shall be the multiple of one-eighth
of 1 per centum nearest such average rate.
(d)(1) For each fiscal year for which this subsection is in effect,
the Secretary shall, from the Veterans’ Special Life Insurance
Fund, reimburse the ‘‘General operating expenses’’ account of the
Department for the amount of administrative costs determined
under paragraph (2) for that fiscal year. Such reimbursement shall
be made from any surplus earnings for that fiscal year that are
available for dividends on such insurance after claims have been
paid and actuarially determined reserves have been set aside. How-
ever, if the amount of such administrative costs exceeds the
amount of such surplus earnings, such reimbursement shall be
made only to the extent of such surplus earnings.
to the provision of Veterans’ Special Life Insurance (and to the pro-
vision of any total disability income insurance added to the provi-
sion of such insurance).
year 1996.
1958, 72 Stat. 1716; Pub. L. 87–223, Sept. 13, 1961, 75 Stat. 495; Pub. L. 93–289,
Sec. 2(a), May 24, 1974, 88 Stat. 165; renumbered Sec. 1923 and amended Pub. L.
102–83, Sec. 4(b)(1), (2)(C), (E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–
99, title II, Sec. 201(b), Jan. 26, 1996, 110 Stat. 36.)
§ 1924. In-service waiver of premiums

(a) Waiver of all premiums on five-year level premium term in-
surance and that portion of any permanent insurance premiums
representing the cost of the pure insurance risk, as determined by
the Secretary, granted on National Service Life Insurance or
United States Government life insurance under section 622 of the
National Service Life Insurance Act of 1940 and in effect on Janu-
ary 1, 1959, shall, unless canceled, continue in effect according to
the provisions of such section for the remainder of the insured’s
continuous active service and for one hundred and twenty days
thereafter. Such premium waiver renders the contract of insurance
nonparticipating during the period the waiver is in effect.
(b) Whenever benefits become payable because of the maturity
of such insurance while under the premium waiver continued by
this section, liability for payment of such benefits shall be borne by
the United States in an amount which, when added to any reserve
of the policy at the time of maturity, will equal the then value of
such benefits under such policy. Where life contingencies are in-
volved in the calculation of the value of such benefits, the calcula-
tion of such liability or liabilities shall be based upon such mor-
tality table or tables as the Secretary may prescribe with interest
at the rate of 2 1/4 per centum per annum as to insurance issued
under sections 620 and 621 of the National Service Life Insurance
Act of 1940, at the rate of 3 per centum per annum as to other Na-
tional Service Life Insurance, and 3 1/2 per centum per annum as
to United States Government life insurance. The Secretary shall
transfer from time to time from the National Service Life Insur-
ance appropriation to the National Service Life Insurance Fund
and from the military and naval insurance appropriation to the
United States Government Life Insurance Fund such sums as may
be necessary to carry out the provisions of this section.
(c) In any case in which insurance continued in force under
this section matures on or after January 1, 1972, an amount equal
to the amount of premiums, less dividends, waived on and after
that date shall be placed as an indebtedness against the insurance
and, unless otherwise paid, shall be deducted from the proceeds. In
such case, the liability of the Government under subsection (b) of
this section shall be reduced by the amount so deducted from the
proceeds.
4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1925. Limited period for acquiring insurance
(a) Any person (other than a person referred to in subsection
(f) of this section) heretofore eligible to apply for National Service
Life Insurance after October 7, 1940, and before January 1, 1957,
who is found by the Secretary to be suffering (1) from a service-
connected disability or disabilities for which compensation would be
payable if 10 percent or more in degree and except for which such
person would be insurable according to the standards of good
health established by the Secretary; or (2) from a non-service-con-
nected disability which renders such person uninsurable according
to the standards of good health established by the Secretary and
such person establishes to the satisfaction of the Secretary that
such person is unable to obtain commercial life insurance at a sub-
standard rate, shall, upon application in writing made before May
2, 1966, compliance with the health requirements of this section
and payment of the required premiums, be granted insurance
under this section.
(b) If, notwithstanding the applicant’s service-connected dis-
ability, such person is insurable according to the standards of good
health established by the Secretary, the insurance granted under
are contained in the standard policies of National Service Life In-
surance except (1) five-year level premium term insurance may not
be issued; (2) the net premium rates shall be based on the 1958
Commissioners Standard Ordinary Basic Mortality Table, in-
creased at the time of issue by such an amount as the Secretary
determines to be necessary for sound actuarial operations, and
thereafter such premiums may be adjusted as the Secretary deter-
mines to be so necessary but at intervals of not less than two

years; (3) an additional premium to cover administrative costs to
the Government as determined by the Secretary at times of issue
shall be charged for insurance issued under this subsection and for
any total disability income provision attached thereto, and there-
after such costs may be adjusted as the Secretary determines to be
necessary but at intervals of not less than five years; (4) all cash,
loan, extended and paid-up insurance values shall be based on the
1958 Commissioners Standard Ordinary Basic Mortality Table; (5)
all settlements on policies involving annuities shall be calculated
on the basis of The Annuity Table for 1949; (6) all calculations in
connection with insurance issued under this subsection shall be
based on interest at the rate of 3 1/2 percent per annum; and (7)
the insurance shall include such other changes in terms and condi-
tions as the Secretary determines to be reasonable and practicable.
(c) If the applicant’s service-connected disability or disabilities
render the applicant uninsurable according to the standards of
good health established by the Secretary, or if the applicant has a
non-service-connected disability which renders the applicant unin-
surable according to the standards of good health established by
the Secretary and such person establishes to the satisfaction of the
Secretary that such person is unable to obtain commercial life in-
surance at a substandard rate and such uninsurability existed as
of the date of approval of this section, the insurance granted under
are contained in standard policies of National Service Life Insur-
ance, except (1) five-year level premium term insurance may not be
issued; (2) the premiums charged for the insurance issued under
this subsection shall be increased at the time of issue by such an
amount as the Secretary determines to be necessary for sound ac-
tuarial operations and thereafter such premiums may be adjusted
from time to time as the Secretary determines to be necessary; for
the purpose of any increase at time of issue or later adjustment the
service-connected group and the non-service-connected group may
be separately classified; (3) an additional premium to cover admin-
istrative costs to the Government as determined by the Secretary
at the time of issue shall be charged for insurance issued under
this subsection and for any total disability income provision at-
tached thereto (for which the insured may subsequently become eli-
gible) and thereafter such costs may be adjusted as the Secretary
determines to be necessary but at intervals of not less than five
years and for this purpose the service-connected and non-service-
connected can be separately classified; (4) all settlements on poli-
cies involving annuities shall be calculated on the basis of The An-
nuity Table for 1949; (5) all calculations in connection with insur-
ance issued under this subsection shall be based on interest at the
rate of 3 1/2 percent per annum; and (6) the insurance shall in-
clude such other changes in terms and conditions as the Secretary
determines to be reasonable and practicable.
(d)(1) All premiums and collections on insurance issued pursu-
ant to this section and any total disability income provision at-
tached thereto shall be credited to the Veterans Reopened Insur-
ance Fund, a revolving fund established in the Treasury of the
United States, and all payments on such insurance and any total
disability provision attached thereto, including payments of divi-

dends and refunds of unearned premiums, shall be made from that
fund and the interest earned on the assets of that fund. For actu-
arial and accounting purposes, the assets and liabilities (including
liabilities for repayment of advances hereinafter authorized, and
adjustment of premiums) attributable to the insured groups estab-
lished under this section shall be separately determined. Such
amounts in the Veterans Special Term Insurance Fund in the
Treasury, not exceeding $1,650,000 in the aggregate, as may here-
after be determined by the Secretary to be in excess of the actu-
arial liabilities of that fund, including contingency reserves, shall
be available for transfer to the Veterans Reopened Insurance Fund
as needed to provide initial capital. Any amounts so transferred
shall be repaid to the Treasury over a reasonable period of time
with interest as determined by the Secretary of the Treasury tak-
ing into consideration the average yield on all marketable interest-
bearing obligations of the United States of comparable maturities
then forming a part of the public debt.
(2) The Secretary is authorized to set aside out of the revolving
fund established under this section such reserve amounts as may
be required under accepted actuarial principles to meet all liabil-
ities on insurance issued under this section and any total disability
income provision attached thereto. The Secretary of the Treasury
is authorized to invest in and to sell and retire special interest-
bearing obligations of the United States for the account of the re-
volving fund. Such obligations issued for this purpose shall have
maturities fixed with due regard for the needs of the fund and
shall bear interest at a rate equal to the average market yield
(computed by the Secretary of the Treasury on the basis of market
quotations as of the end of the calendar month next preceding the
date of issue) on all marketable interest-bearing obligations of the
United States then forming a part of the public debt which are not
due or callable until after the expiration of four years from the end
of such calendar month; except that where such average market
yield is not a multiple of one-eighth of 1 percent, the rate of inter-
est of such obligation shall be the multiple of one-eighth of 1 per-
cent nearest such market yield.
(3) Notwithstanding the provisions of section 1982 of this title,
the Secretary shall, from time to time, determine the administra-
tive costs to the Government which in the Secretary’s judgment are
properly allocable to insurance issued under this section and any
total disability income provision attached thereto, and shall trans-
fer from the revolving fund, the amount of such cost allocable to
the Department to the appropriation ‘‘General Operating Expenses,
Department of Veterans Affairs’’, and the remainder of such cost to
the general fund receipts in the Treasury. The initial administra-
tive costs of issuing insurance under this section and any total dis-
ability income provision attached thereto shall be so transferred
over such period of time as the Secretary determines to be reason-
able and practicable.
(e) Notwithstanding the provisions of section 1982 of this title,
a medical examination (including any supplemental examination or
tests) when required of an applicant for issuance of insurance
under this section or any total disability income provisions at-
tached thereto shall be at the applicant’s own expense by a duly

licensed physician.
(f) No insurance shall be granted under this section to any per-
son referred to in section 107 of this title or to any person while
on active duty or active duty for training under a call or order to
such duty for a period of thirty-one days or more.
Pub. L. 89–40, June 14, 1965, 79 Stat. 130; Pub. L. 96–128, title III, Sec. 301, Nov.
L. 99–576, title VII, Sec. 701(28), Oct. 28, 1986, 100 Stat. 3292; renumbered Sec.
1925 and amended Pub. L. 102–83, Sec. 4(a)(2)(B)(ii), (3), (4), (b)(1), (2)(E), 5(a),
(c)(1), Aug. 6, 1991, 105 Stat. 403–406.)
§ 1926. Authority for higher interest rates for amounts pay-

able to beneficiaries
Notwithstanding sections 1902, 1923, and 1925 of this title, if
the beneficiary of an insurance policy receives the proceeds of such
policy under a settlement option under which such proceeds are
paid in equal monthly installments over a limited period of months,
the interest that may be added to each such installment may be
at a rate that is higher than the interest rate prescribed in the ap-
propriate section of this subchapter. The Secretary may from time
to time establish a higher interest rate under the preceding sen-
tence only in accordance with a determination that such higher
rate is administratively and actuarially sound for the program of
insurance concerned. Any such higher interest rate shall be paid on
the unpaid balance of such monthly installments.
(Added Pub. L. 96–128, title III, Sec. 302(a), Nov. 28, 1979, 93 Stat. 986, Sec. 726;
Aug. 6, 1991, 105 Stat. 404–406.)
§ 1927. Authority for higher monthly installments payable to

certain annuitants
(a) Subject to subsections (b) and (c) of this section, the Sec-
retary may from time to time adjust the dollar amount of the
monthly installments payable to a beneficiary of National Service
Life Insurance, Veterans Special Life Insurance, or Veterans Re-
opened Insurance who is receiving the proceeds of such insurance
under a life annuity settlement option. The Secretary may make
such an adjustment only if the Secretary determines that the ad-
justment is administratively and actuarially sound for the program
of insurance concerned. The Secretary may make such an adjust-
ment without regard to the provisions of sections 1902, 1923, and
1925 of this title with respect to interest rates and the use of mor-
tality tables.
(b) The Secretary shall determine the amount in the trust
funds in the Treasury held for payment of proceeds to National
Service Life Insurance, Veterans Special Life Insurance, and Vet-
erans Reopened Insurance beneficiaries attributable to interest and
mortality gains on the reserves held for annuity accounts. Such
amount shall be available for distribution to the life annuitants re-
ferred to in subsection (a) of this section as a fixed percentage of,
and in addition to, the monthly installment amount to which the
annuitants are entitled under this subchapter. For the purposes of
this section, gains on the reserves are defined as funds attributable

solely to annuity accounts that are in excess of actuarial liabilities.
(c) The monthly amount of an annuity authorized in sections
1902, 1923, and 1925 of this title, as adjusted under this section,
may not be less than the monthly amount of such annuity that
would otherwise be applicable without regard to this section.
(Added Pub. L. 100–322, title III, Sec. 331(a)(1), May 20, 1988, 102 Stat. 536, Sec.
(c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1928. Authority for payment of interest on settlements
(a) Subject to subsection (b) of this section, the Secretary may
pay interest on the proceeds of a participating National Service
Life Insurance, Veterans’ Special Life Insurance, and Veterans Re-
opened Insurance policy from the date the policy matures to the
date of payment of the proceeds to the beneficiary or, in the case
of an endowment policy, to the policyholder.
(b)(1) The Secretary may pay interest under subsection (a) of
this section only if the Secretary determines that the payment of
such interest is administratively and actuarially sound for the set-
tlement option involved.
(2) Interest paid under subsection (a) of this section shall be
at the rate that is established by the Secretary for dividends held
on credit or deposit in policyholders’ accounts under the insurance
program involved.
4128, Sec. 728; renumbered Sec. 1928 and amended Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1929. Authority to adjust premium discount rates
(a) Notwithstanding sections 1902, 1923, and 1925 of this title
and subject to subsection (b) of this section, the Secretary may from
time to time adjust the discount rates for premiums paid in ad-
vance on National Service Life Insurance, Veterans’ Special Life In-
surance, and Veterans Reopened Insurance.
(b)(1) In adjusting a discount rate pursuant to subsection (a)
of this section, the Secretary may not set such rate at a rate lower
than the rate authorized for the program of insurance involved
under section 1902, 1923, or 1925 of this title.
(2) The Secretary may make an adjustment under subsection
(a) of this section only if the Secretary determines that the adjust-
ment is administratively and actuarially sound for the program of
insurance involved.
(Added Pub. L. 100–687, div. B, title XIV, Sec. 1401(b)(1), Nov. 18, 1988, 102 Stat.
(2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
SUBCHAPTER II—UNITED STATES GOVERNMENT LIFE

INSURANCE
§ 1940. Definition
For the purposes of this subchapter, the term ‘‘insurance’’
means United States Government life insurance.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1941. Amount of insurance

United States Government life insurance shall be issued
against death or total permanent disability in any multiple of $500
and not less than $1,000 or more than $10,000. No person may
carry a combined amount of National Service Life Insurance and
United States Government life insurance in excess of $10,000 at
any one time. The limitations of this section shall not apply to the
additional paid up insurance the purchase of which is authorized
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 1942. Plans of insurance

(a) Regulations shall provide for the right to convert insurance
on the five-year level premium term plan into ordinary life, twenty-
payment life, endowment maturing at age sixty-two, and into other
usual forms of insurance as may be prescribed by the Secretary.
Provision shall be made for reconversion of any such policies to a
higher premium rate or, upon proof of good health satisfactory to
the Secretary, to a lower premium rate, in accordance with regula-
tions to be issued by the Secretary. No reconversion shall be made
to a five-year level premium term policy.
(b) An insured who on or after the insured’s sixty-fifth birthday
has a five-year level premium term policy of insurance in force by
payment of premiums may exchange such policy for insurance on
a special endowment at age ninety-six plan upon written applica-
tion; payment of the required premium; and surrender of the five-
year level premium term policy and any total disability provision
attached thereto with all rights, title, and interests thereunder.
However, if it is found by the Secretary subsequent to the exchange
that prior thereto the term policy matured because of total perma-
nent disability of the insured or that the insured was entitled to
total disability benefits under the total disability provision attached
to such policy, the insured, upon surrender of the special endow-
ment at age ninety-six policy and any provision for waiver of pre-
miums issued under subsection (c) of this section with all rights,
title, and interest thereunder, will be entitled to benefits payable
under the prior contract. In such case, the cash value less any in-
debtedness on the endowment policy shall be refunded together
with any premiums paid on a provision for waiver of premiums. In-
surance on the special endowment at age ninety-six plan shall be
issued at the attained age of the insured upon the same terms and
conditions as are contained in standard policies of United States
Government Life Insurance except:
(1) the insurance shall not mature and no benefits shall be
paid thereunder because of total permanent disability;
(2) the premiums for such insurance shall be as prescribed
by the Secretary;
(3) such insurance cannot be exchanged, converted, or re-
converted to any other plan of insurance;
(4) all cash, loan, paid-up, and extended term insurance
values shall be as prescribed by the Secretary; and
(5) the insurance shall be subject to such other changes in

terms and conditions as the Secretary determines to be reason-
able and practicable.
(c) The Secretary shall, upon application made by the insured
at the same time as the insured exchanges the term policy for an
endowment policy issued under the provisions of subsection (b) of
this section, and upon payment of such extra premium as the Sec-
retary shall prescribe, include in such endowment policy a provi-
sion for waiver of premiums on the policy and on the provision dur-
ing the total permanent disability of the insured, if such disability
began after the date of such application and while the policy and
the provision are in force by payment of premiums. The Secretary
shall not grant waiver of any premium becoming due more than
one year before receipt by the Secretary of claim for the same, ex-
cept as provided in this subsection. Any premiums paid for months
during which waiver is effective shall be refunded. The Secretary
shall provide by regulations for examination or reexamination of an
insured claiming waiver of premiums under this subsection, and
may deny waiver for failure to cooperate. If it is found that an in-
sured is no longer totally and permanently disabled, the waiver of
premiums shall cease as of the date of such finding and the policy
and provision may be continued by payment of premiums as pro-
vided therein. In any case in which the Secretary finds that the in-
sured’s failure to make timely claim for waiver of premiums, or to
submit satisfactory evidence of the existence or continuance of total
permanent disability was due to circumstances beyond the in-
sured’s control, the Secretary may grant waiver or continuance of
waiver of premiums. If the insured dies without filing claim for
waiver, the beneficiary, within one year after the death of the in-
sured, or, if the beneficiary is insane or a minor, within one year
after removal of such legal disability, may file claim for waiver
with evidence of the insured’s right to waiver under this sub-
section. Policies containing a provision for waiver of premiums
issued under this subsection may be separately classified for the
purpose of dividend distribution from otherwise similar policies not
containing such provision.
3292; renumbered Sec. 1942 and amended Pub. L. 102–83, Sec. 4(a)(2)(C)(iii), (b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1943. Premiums
The premium rates for insurance shall be the net rates based
upon the American Experience Table of Mortality and interest at
3 1/2 percent per annum. Regulations shall prescribe the time and
method of payment of premiums, but payments of premiums in ad-
vance shall not be required for periods of more than one month
each, and may be deducted from the pay or deposit of the insured
or be otherwise made at the insured’s election.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1158, Sec. 743; Pub. L. 97–295, Sec. 4(26),
Oct. 12, 1982, 96 Stat. 1307; Pub. L. 99–576, title VII, Sec. 701(30), Oct. 28, 1986,
100 Stat. 3293; renumbered Sec. 1943, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105
Stat. 406.)
§ 1944. Policy provisions

(a) Provisions for maturity at certain ages, for continuous in-
stallments during the lifetime of the insured or beneficiaries, or
both, for refund of premiums, cash, loan, paid-up and extended val-
ues, dividends from gains and savings, and such other provisions
for the protection and advantage of and for alternative benefits to
the insured and the beneficiaries as may be found to be reasonable
and practicable may be provided for in insurance contracts or from
time to time by regulations.
(b) All calculations on insurance shall be based upon the Amer-
ican Experience Table of Mortality and interest at 3 1/2 percent per
annum, except that no deduction shall be made for continuous in-
stallments during the life of the insured in case the insured’s total
and permanent disability continues more than two hundred and
forty months.
(c) On and after July 19, 1939, the rate of interest charged on
any loan secured by a lien on insurance shall not exceed 5 percent
per annum.
Stat. 406.)
§ 1945. Renewal
At the expiration of any term period any insurance policy
issued on the five-year level premium term plan which has not
been exchanged or converted to a permanent plan of insurance and
which is not lapsed shall be renewed as level premium term insur-
ance without application for a successive five-year period at the
premium rate for the attained age without medical examination.
However, renewal shall be effected in cases where the policy is
lapsed only if the insured makes application for reinstatement and
renewal of the insured’s term policy within five years after the date
of lapse, and reinstatement in such cases shall be under the terms
and conditions prescribed by the Secretary.
June 25, 1970, 84 Stat. 331; Pub. L. 99–576, title VII, Sec. 701(30), Oct. 28, 1986,
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1946. Dividends to pay premiums

Until and unless the Secretary has received from the insured
a request in writing for payment of dividends in cash or that the
dividends be placed on deposit in accordance with the provisions of
the insured’s policy, any regular annual dividends shall be applied
in payment of premiums becoming due on insurance after the date
the dividend is payable on or after December 31, 1958.
Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(V), 5(a), Aug. 6, 1991, 105 Stat. 403, 406.)
Subject to the provisions of section 1954 of this title all con-
tracts or policies of insurance heretofore or hereafter issued, rein-
stated, or converted shall be incontestable from the date of

issuance, reinstatement, or conversion, except for fraud, non-
payment of premiums, or on the ground that the applicant was not
a member of the military or naval forces of the United States. The
insured under such contract or policy may, without prejudicing the
insured’s rights, elect to make claim to the Department or to bring
suit under section 1984 of this title on any prior contract or policy,
and if found entitled thereto, shall, upon surrender of any subse-
quent contract or policy, be entitled to payments under the prior
contract or policy. In any case in which a contract or policy of in-
surance is canceled or voided after March 16, 1954, because of
fraud, the Secretary shall refund to the insured, if living, or, if de-
ceased, to the person designated as beneficiary (or if none survives,
to the estate of the insured) all money, without interest, paid as
premiums on such contract or policy for any period subsequent to
two years after the date such fraud induced the Secretary to issue,
reinstate, or convert such insurance less any dividends, loan, or
other payment made to the insured under such contract or policy.
Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(VI), (3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 403–406.)
§ 1948. Total disability provision
The Secretary shall include in United States Government life
insurance policies provision whereby an insured, who is totally dis-
abled as a result of disease or injury for a period of four consecu-
tive months or more before attaining the age of sixty-five years and
before default in payment of any premium, shall be paid disability
benefits at the rate of $5.75 monthly for each $1,000 of insurance
in force when total disability benefits become payable. The amount
of such monthly payment under the provisions of this section shall
not be reduced because of payment of permanent and total dis-
ability benefits under the insurance policy. Such payments shall be
effective as of the first day of the fifth consecutive month, and shall
be made monthly during the continuance of such total disability.
Such payments shall be concurrent with or independent of perma-
nent and total disability benefits under the insurance policy. In ad-
dition to the monthly disability benefits the payment of premiums
on the life insurance and for the total disability benefits authorized
by this section shall be waived during the continuance of such total
disability. Regulations shall provide for reexaminations of bene-
ficiaries under this section; and, in the event that it is found that
an insured is no longer totally disabled, the waiver of premiums
and payment of benefits shall cease and the insurance policy, in-
cluding the total disability provision, may be continued by payment
of premiums as provided in said policy and the total disability pro-
vision. Neither the dividends nor the amount payable in any settle-
ment under any United States Government life insurance policy
shall be decreased because of disability benefits granted under the
provisions of this section. The payment of total disability benefits
shall not prejudice the right of any insured, who is totally and per-
manently disabled, to permanent and total disability benefits under
the insured’s insurance policy. The provision authorized by this sec-
tion shall not be included in any United States Government life in-
surance policy heretofore or hereafter issued, except upon applica-
tion, payment of premium by the insured, and proof of good health
satisfactory to the Secretary. The benefit granted under this section
shall be on the basis of multiples of $500, and not less than $1,000
or more than the amount of insurance in force at time of applica-
tion. The Secretary shall determine the amount of the monthly pre-
mium to cover the benefits of this section, and in order to continue
such benefits in force the monthly premiums shall be payable until
the insured attains the age of sixty-five years or until the prior ma-
turity of the policy. In all other respects such monthly premium
shall be payable under the same terms and conditions as the reg-
ular monthly premium on the United States Government life insur-
ance policy.
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1949. Change of beneficiary

Subject to regulations, the insured shall at all times have the
right to change the beneficiary or beneficiaries of a United States
Government life insurance policy without the consent of such bene-
ficiary or beneficiaries.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1950. Payment to estates

If no beneficiary of insurance is designated by the insured, ei-
ther while alive or by last will, or if the designated beneficiary does
not survive the insured, then there shall be paid to the estate of
the insured the present value of the remaining unpaid monthly in-
stallments. If the designated beneficiary survives the insured and
dies before receiving all of the installments of insurance payable
and applicable, then there shall be paid to the estate of such bene-
ficiary the present value of the remaining unpaid monthly install-
ments. No payments shall be made to any estate which under the
laws of the residence of the insured or the beneficiary, as the case
may be, would escheat, but same shall escheat to the United States
and be credited to the United States Government Life Insurance
Fund.
Sec. 701(31), Oct. 28, 1986, 100 Stat. 3293; renumbered Sec. 1950, Pub. L. 102–83,
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1951. Payment of insurance

United States Government life insurance, except as provided in
this subchapter, shall be payable in two hundred and forty equal
monthly installments. When the amount of an individual monthly
payment is less than $5, such amount may in the discretion of the
Secretary be allowed to accumulate without interest and be dis-
bursed annually.
§ 1952. Optional settlement

(a) The Secretary may provide in insurance contracts for op-
tional settlements, to be selected by the insured, whereby such in-
surance may be made payable either in one sum or in installments
for thirty-six months or more. A provision may also be included in
such contracts authorizing the beneficiary to elect to receive pay-
ment of the insurance in installments for thirty-six months or
more, but only if the insured has not exercised the right of election
as provided in this subchapter. Even though the insured may have
exercised the right of election the beneficiary may elect to receive
such insurance in installments spread over a greater period of time
than that selected by the insured. Notwithstanding any provision
to the contrary in any insurance contract, the beneficiary may, in
the case of insurance maturing after September 30, 1981, and for
which the insured has not exercised the right of election of the in-
sured as provided in this subchapter, elect to receive payment of
the insurance in one sum.
(b) Under such regulations as the Secretary may promulgate,
the cash surrender value of any policy of insurance or the proceeds
of an endowment contract which matures by reason of completion
of the endowment period may be paid to the insured (1) in equal
monthly installments of from thirty-six to two hundred and forty
in number, in multiples of twelve; or (2) as a refund life income in
monthly installments payable for such periods certain as may be
required in order that the sum of the installments certain, includ-
ing a last installment of such reduced amount as may be necessary,
shall equal the cash value of the contract, less any indebtedness,
with such payments continuing throughout the lifetime of the in-
sured. However, all settlements under option (2) above shall be cal-
culated on the basis of The Annuity Table for 1949. If the option
selected requires payment of monthly installments of less than $10,
the amount payable shall be paid in such maximum number of
monthly installments as are a multiple of twelve as will provide a
monthly installment of not less than $10.
(c)(1) Following the death of the insured and in a case not cov-
ered by section 1950 of this title—
(A) if the first beneficiary otherwise entitled to payment of
the insurance does not make a claim for such payment within
two years after the death of the insured, payment may be
made to another beneficiary designated by the insured, in the
order of precedence as designated by the insured, as if the first
beneficiary had predeceased the insured; and
(B) if, within four years after the death of the insured, no
claim has been filed by a person designated by the insured as
a beneficiary and the Secretary has not received any notice in
writing that any such claim will be made, payment may (not-
withstanding any other provision of law) be made to such per-
son as may in the judgment of the Secretary be equitably enti-
tled thereto.
(2) Payment of insurance under paragraph (1) shall be a bar
to recovery by any other person.
June 25, 1970, 84 Stat. 332; Pub. L. 97–66, title IV, Sec. 403(b), Oct. 17, 1981, 95
Stat. 1031; Pub. L. 99–576, title VII, Sec. 701(32), Oct. 28, 1986, 100 Stat. 3293;
6, 1991, 105 Stat. 404–406; Pub. L. 108–183, title I, Sec. 103(b), Dec. 16, 2003, 117
Stat. 2655.)
§ 1953. Assignments
Any person to whom United States Government life insurance
shall be payable may assign such person’s interest in such insur-
ance to the spouse, child, grandchild, parent, brother, sister, uncle,
aunt, nephew, niece, brother-in-law, or sister-in-law of the insured.
Insofar as applicable, the definitions contained in section 3 of the
World War Veterans’ Act, 1924, in effect on December 31, 1958,
shall apply to this section.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1161, Sec. 753; Pub. L. 96–128, title III,
Sec. 304, Nov. 28, 1979, 93 Stat. 986; renumbered Sec. 1953, Pub. L. 102–83, Sec.
5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1954. Forfeiture
No yearly renewable term insurance or United States Govern-
ment life insurance shall be payable for death inflicted as a lawful
punishment for crime or military offense, except when inflicted by
the enemy. In such cases the cash surrender value of United States
Government life insurance, if any, on the date of such death shall
be paid to the designated beneficiary if living, or if there be no des-
ignated beneficiary alive at the death of the insured the said value
shall be paid to the estate of the insured.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1955. United States Government Life Insurance Fund
(a) All premiums paid on account of United States Government
life insurance shall be deposited and covered into the Treasury to
the credit of the United States Government Life Insurance Fund
and shall be available for the payment of losses, dividends, refunds,
and other benefits provided for under such insurance, including
such liabilities as shall have been or shall hereafter be reduced to
judgment in a district court of the United States or the United
States District Court for the District of Columbia, and for the reim-
bursement of administrative costs under subsection (c). Payments
from this fund shall be made upon and in accordance with awards
by the Secretary.
(b) The Secretary is authorized to set aside out of the funds so
collected such reserve funds as may be required, under accepted ac-
tuarial principles, to meet all liabilities under such insurance; and
the Secretary of the Treasury is authorized to invest and reinvest
the said United States Government Life Insurance Fund, or any
part thereof, in interest-bearing obligations of the United States or
bonds of the Federal farm-loan banks and to sell said obligations
of the United States or the bonds of the Federal farm-loan banks
for the purposes of such Fund.
(c)(1) For each fiscal year for which this subsection is in effect,
the Secretary shall, from the United States Government Life Insur-
ance Fund, reimburse the ‘‘General operating expenses’’ account of
the Department for the amount of administrative costs determined
under paragraph (2) for that fiscal year. Such reimbursement shall
be made from any surplus earnings for that fiscal year that are
available for dividends on such insurance after claims have been

paid and actuarially determined reserves have been set aside. How-
ever, if the amount of such administrative costs exceeds the
amount of such surplus earnings, such reimbursement shall be
made only to the extent of such surplus earnings.
to the provision of United States Government Life Insurance (and
to the provision of any total disability income insurance added to
the provision of such insurance).
year 1996.
§ 1956. Military and naval insurance appropriation

All sums heretofore or hereafter appropriated for the military
and naval insurance appropriation and all premiums collected for
yearly renewable term insurance deposited and covered into the
Treasury to the credit of this appropriation shall be made available
to the Department. All premiums that may hereafter be collected
for yearly renewable term insurance shall be deposited and covered
into the Treasury for the credit of this appropriation. Such sum is
made available for the payment of the liabilities of the United
States incurred under contracts of yearly renewable term insur-
ance. Payments from this appropriation shall be made upon and in
accordance with the awards by the Secretary.
amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat.
404–406.)
§ 1957. Extra hazard costs

(a) The United States shall bear the excess mortality and dis-
ability cost resulting from the hazards of war on United States
Government life insurance.
(b) Whenever benefits under United States Government life in-
surance become, or have become, payable because of total perma-
nent disability of the insured or because of the death of the insured
as a result of disease or injury traceable to the extra hazard of the
military or naval service, as such hazard may be determined by the
Secretary, the liability shall be borne by the United States. In such
cases the Secretary shall transfer from the military and naval in-
surance appropriation to the United States Government Life Insur-
ance Fund a sum which, together with the reserve of the policy at
the time of maturity by total permanent disability or death, will
equal the then value of such benefits. When a person receiving
total permanent disability benefits under a United States Govern-
ment life insurance policy recovers from such disability and is then
entitled to continue a reduced amount of insurance, the Secretary
shall transfer to the military and naval insurance appropriation all
of the loss reserve to the credit of such policy claim except a sum
sufficient to set up the then required reserve on the reduced
amount of the insurance that may be continued, which sum shall

be retained in the United States Government Life Insurance Fund
for the purpose of such reserve.
(c) Whenever benefits under the total disability provision be-
come, or have become, payable because of total disability of the in-
sured as a result of disease or injury traceable to the extra hazard
of the military or naval service, as such hazard may be determined
by the Secretary, the liability shall be borne by the United States,
and the Secretary shall transfer from the military and naval insur-
ance appropriation to the United States Government Life Insur-
ance Fund from time to time any amounts which become or have
become payable to the insured on account of such total disability,
and shall transfer from the United States Government Life Insur-
ance Fund to the military and naval insurance appropriation the
amount of the reserve held on account of the total disability ben-
efit. When a person receiving such payments on account of total
disability recovers from such disability and is then entitled to con-
tinued protection under the total disability provision, the Secretary
shall transfer to the United States Government Life Insurance
Fund a sum sufficient to set up the then required reserve on such
total disability benefit.
(d) Any disability for which a waiver was required as a condi-
tion to tendering a person a commission under Public Law 816,
Seventy-seventh Congress, shall be deemed to be a disability re-
sulting from an injury or disease traceable to the extra hazard of
military or naval service for the purpose of applying this section.
§ 1958. Statutory total permanent disability

Without prejudice to any other cause of disability, the perma-
nent loss of the use of both feet, of both hands, or of both eyes, or
of one foot and one hand, or of one foot and one eye, or of one hand
and one eye, or the loss of hearing of both ears, or the organic loss
of speech, shall be deemed total permanent disability for insurance
purposes. This section shall be deemed to be in effect on and after
April 6, 1917, and shall apply only to automatic insurance, yearly
renewable term insurance, and United States Government life in-
surance issued prior to December 15, 1936.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1959. Waiver of disability for reinstatement

(a) In the event that all provisions of the rules and regulations
other than the requirements as to the physical condition of the ap-
plicant have been complied with, an application for reinstatement,
in whole or in part, of lapsed United States Government life insur-
ance may be approved if made within two years after the date of
lapse and if the applicant’s disability is the result of an injury or
disease, or of an aggravation thereof, suffered or contracted in the
active military or naval service during the period beginning April
6, 1917, and ending July 2, 1921, and the applicant during the ap-
plicant’s lifetime submits proof satisfactory to the Secretary show-
ing that the applicant is not totally and permanently disabled. As
a condition to the acceptance of an application for reinstatement

under this section, the applicant shall be required to pay all the
back monthly premiums which would have become payable if such
insurance had not lapsed, together with interest at the rate of 5
per centum per annum, compounded annually, on each premium
from the date said premium is due by the terms of the policy.
(b) Premium liens established under the provisions of section
304 of the World War Veterans’ Act, 1924, shall continue to bear
interest at the rate of 5 per centum per annum, compounded annu-
ally, and will be deducted from any settlement of insurance to
which they are attached.
§ 1960. Waiver of premium payments on due date

(a) The Secretary is authorized to provide by regulations for
waiving the payment of premiums on United States Government
life insurance on the due date thereof and the insurance may be
deemed not to lapse in the cases of the following persons: (1) those
who are confined in hospital under the Department for a compen-
sable disability during the period while they are so confined; (2)
those who are rated as temporarily totally disabled by reason of
any injury or disease entitling them to compensation during the pe-
riod of such total disability and while they are so rated; (3) those
who, while mentally incompetent and for whom no legal guardian
had been or has been appointed, allowed or may allow their insur-
ance to lapse during the period for which they have been or here-
after may be rated mentally incompetent, or until a guardian has
notified the Department of the guardian’s qualification, but not
later than six months after appointment of a guardian. In mentally
incompetent cases the waiver is to be made without application and
retroactive when necessary. Relief from payment of premiums on
the due date thereof shall be for full calendar months, beginning
with the month in which said confinement to hospital, the tem-
porary total disability rating, or the mental incompetency began or
begins and ending with that month during the half or major frac-
tion of which such persons are no longer entitled to waiver as pro-
vided above.
(b) All premiums the payment of which when due is waived as
provided in this section shall bear interest at the rate of 5 percent
per annum, compounded annually, from the due date of each pre-
mium, and if not paid by the insured shall be deducted from the
insurance in any settlement thereunder, or when the same matures
either because of permanent total disability or death. In the event
any lien or other indebtedness established by this section or prior
corresponding provision of law exists against any policy of United
States Government life insurance in excess of the then cash sur-
render value thereof at the time of the termination of such policy
of insurance for any reason other than by death or total permanent
disability the Secretary is authorized to transfer and pay from the
military and naval insurance appropriation to the United States
Government Life Insurance Fund a sum equal to the amount such
lien or indebtedness exceeds the then cash surrender value.
100 Stat. 3293; renumbered Sec. 1960 and amended Pub. L. 102–83, Sec. 4(a)(3),
(4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1961. Authority for higher interest rates for amounts pay-

able to beneficiaries
Notwithstanding section 1944(b) of this title, if the beneficiary
of an insurance policy issued under the provisions of this sub-
chapter receives the proceeds of such policy under a settlement op-
tion under which such proceeds are paid in equal monthly install-
ments over a limited period of months, the interest that may be
added to each such installment may be at a rate that is higher
than the interest rate prescribed in such section. The Secretary
may from time to time establish a higher interest rate under the
preceding sentence only in accordance with a determination that
such higher rate is administratively and actuarially sound. Any
such higher interest rate shall be paid on the unpaid balance of
such monthly installments.
Aug. 6, 1991, 105 Stat. 404–406.)
§ 1962. Authority for higher monthly installments payable to

certain annuitants
(a) Subject to subsections (b) and (c) of this section, the Sec-
retary may from time to time adjust the dollar amount of the
monthly installments payable to a beneficiary of United States
Government Life Insurance who is receiving the proceeds of such
insurance under a life annuity settlement option. The Secretary
may make such an adjustment only if the Secretary determines
that the adjustment is administratively and actuarially sound. The
Secretary may make such an adjustment without regard to the pro-
visions of section 1944 of this title with respect to interest rates
and the use of mortality tables.
(b) The Secretary shall determine the amount in the trust fund
in the Treasury held for payment of proceeds to United States Gov-
ernment Life Insurance beneficiaries attributable to interest and
mortality gains on the reserves held for annuity accounts. Such
amount shall be available for distribution to the life annuitants re-
ferred to in subsection (a) of this section as a fixed percentage of,
and in addition to, the monthly installment amount to which the
annuitants are entitled under this subchapter. For the purposes of
this section, gains on the reserves are defined as funds attributable
solely to annuity accounts that are in excess of actuarial liabilities.
(c) The monthly amount of an annuity authorized in section
1944 of this title, as adjusted under this section, may not be less
than the monthly amount of such annuity that would otherwise be
applicable without regard to this section.
(Added Pub. L. 100–322, title III, Sec. 331(b)(1), May 20, 1988, 102 Stat. 536, Sec.
(c)(1), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1963. Authority for payment of interest on settlements

pay interest on the proceeds of a United States Government Life
Insurance policy from the date the policy matures to the date of
payment of the proceeds to the beneficiary or, in the case of an en-
dowment policy, to the policyholder.
(b)(1) The Secretary may pay interest under subsection (a) of
this section only if the Secretary determines that the payment of
such interest is administratively and actuarially sound for the set-
tlement option involved.
(2) Interest paid under subsection (a) shall be at the rate that
is established by the Secretary for dividends held on credit or de-
posit in policyholders’ accounts.
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
SUBCHAPTER III—SERVICEMEMBERS’ GROUP LIFE

INSURANCE
For the purpose of this subchapter—
(1) The term ‘‘active duty’’ means—
(A) full-time duty in the Armed Forces, other than ac-
tive duty for training;
(B) full-time duty (other than for training purposes) as
a commissioned officer of the Regular or Reserve Corps of
the Public Health Service;
(C) full-time duty as a commissioned officer of the Na-
tional Oceanic and Atmospheric Administration; and
(D) full-time duty as a cadet or midshipman at the
United States Military Academy, United States Naval
Academy, United States Air Force Academy, or the United
States Coast Guard Academy.
(2) The term ‘‘active duty for training’’ means—
(A) full-time duty in the Armed Forces performed by
Reserves for training purposes;
(B) full-time duty for training purposes performed as
a commissioned officer of the Reserve Corps of the Public
Health Service;
(C) full-time duty as a member, cadet, or midshipman
of the Reserve Officers Training Corps while attending
field training or practice cruises; and
(D) in the case of members of the National Guard or
Air National Guard of any State, full-time duty under sec-
tions 316, 502, 503, 504, or 505 of title 32, United States
Code.
(3) The term ‘‘inactive duty training’’ means—
(A) duty (other than full-time duty) prescribed or au-
thorized for Reserves (including commissioned officers of
the Reserve Corps of the Public Health Service) which
duty is scheduled in advance by competent authority to
begin at a specific time and place; and
(B) in the case of a member of the National Guard or

Air National Guard of any State, such term means duty
(other than full-time duty) which is scheduled in advance
by competent authority to begin at a specific time and
place under sections 316, 502, 503, 504, or 505 of title 32,
United States Code.
(4) The terms ‘‘active duty for training’’ and ‘‘inactive duty
training’’ do not include duty performed as a temporary mem-
ber of the Coast Guard Reserve, and the term ‘‘inactive duty
training’’ does not include (A) work or study performed in con-
nection with correspondence courses, or (B) attendance at an
educational institution in an inactive status.
(5) The term ‘‘member’’ means—
(A) a person on active duty, active duty for training,
or inactive duty training in the uniformed services in a
commissioned, warrant, or enlisted rank, or grade, or as a
cadet or midshipman of the United States Military Acad-
emy, United States Naval Academy, United States Air
Force Academy, or the United States Coast Guard Acad-
emy;
(B) a person who volunteers for assignment to the
Ready Reserve of a uniformed service and is assigned to a
unit or position in which such person may be required to
perform active duty, or active duty for training, and each
year will be scheduled to perform at least twelve periods
of inactive duty training that is creditable for retirement
purposes under chapter 1223 of title 10 (or under chapter
67 of that title as in effect before the effective date of the
Reserve Officer Personnel Management Act);
(C) a person who volunteers for assignment to a mobi-
lization category in the Individual Ready Reserve, as de-
fined in section 12304(i)(1) of title 10; and
(D) a member, cadet, or midshipman of the Reserve
Officers Training Corps while attending field training or
practice cruises.
(6) The term ‘‘uniformed services’’ means the Army, Navy,
Air Force, Marine Corps, Coast Guard, the commissioned corps
of the Public Health Service, and the commissioned corps of
the National Oceanic and Atmospheric Administration.
(7) The terms ‘‘widow’’ or ‘‘widower’’ means a person who
is the lawful spouse of the insured member at the time of his
death.
(8) The term ‘‘child’’ means a legitimate child, a legally
adopted child, an illegitimate child as to the mother, or an ille-
gitimate child as to the alleged father, only if (A) he acknowl-
edged the child in writing signed by him; or (B) he has been
judicially ordered to contribute to the child’s support; or (C) he
has been, before his death, judicially decreed to be the father
of such child; or (D) proof of paternity is established by a cer-
tified copy of the public record of birth or church record of bap-
tism showing that the insured was the informant and was
named as father of the child; or (E) proof of paternity is estab-
lished from service department or other public records, such as
school or welfare agencies, which show that with his knowl-

edge the insured was named as the father of the child.
(9) The term ‘‘parent’’ means a father of a legitimate child,
mother of a legitimate child, father through adoption, mother
through adoption, mother of an illegitimate child, and father of
an illegitimate child but only if (A) he acknowledged paternity
of the child in writing signed by him before the child’s death;
or (B) he has been judicially ordered to contribute to the child’s
support; or (C) he has been judicially decreed to be the father
of such child; or (D) proof of paternity is established by a cer-
tified copy of the public record of birth or church record of bap-
tism showing that the claimant was the informant and was
named as father of the child; or (E) proof of paternity is estab-
lished from service department or other public records, such as
school or welfare agencies, which show that with his knowl-
edge the claimant was named as father of the child. No person
who abandoned or willfully failed to support a child during the
child’s minority, or consented to the child’s adoption may be
recognized as a parent for the purpose of this subchapter. How-
ever, the immediately preceding sentence shall not be applied
so as to require duplicate payments in any case in which insur-
ance benefits have been paid prior to receipt in the administra-
tive office established under subsection 1966(b) of this title of
sufficient evidence to clearly establish that the person so paid
could not qualify as a parent solely by reason of such sentence.
(10) The term ‘‘insurable dependent’’, with respect to a
member, means the following:
(A) The member’s spouse.
(B) The member’s child, as defined in the first sen-
tence of section 101(4)(A) of this title.
(C) The member’s stillborn child.
(Added Pub. L. 89–214, Sec. 1(a), Sept. 29, 1965, 79 Stat. 880, Sec. 765; amended
Pub. L. 91–291, Sec. 1, June 25, 1970, 84 Stat. 326; Pub. L. 92–185, Sec. 1, Dec.
15, 1971, 85 Stat. 642; Pub. L. 92–315, June 20, 1972, 86 Stat. 227; Pub. L. 93–
289, Sec. 3, 10(1), May 24, 1974, 88 Stat. 165, 172; Pub. L. 99–576, title VII, Sec.
701(35), Oct. 28, 1986, 100 Stat. 3293; Pub. L. 102–54, Sec. 14(b)(16), June 13, 1991,
105 Stat. 284; renumbered Sec. 1965 and amended Pub. L. 102–83, Sec. 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–337, div. A, title VI, Sec. 651(a), title XVI,
Sec. 1677(d)(1), Oct. 5, 1994, 108 Stat. 2792, 3020; Pub. L. 104–275, title IV, Sec.
402(a), Oct. 9, 1996, 110 Stat. 3337; Pub. L. 106–419, title IV, Sec. 313(a), Nov. 1,
2000, 114 Stat. 1854; Pub. L. 107–14, Sec. 4(a)(1), June 5, 2001, 115 Stat. 26; Pub.
L. 109–13, div. A, title I, Sec. 1032(a)(1), May 11, 2005, 119 Stat. 257; Pub. L. 109–
233, title V, Sec. 502(c)(1), June 15, 2006, 120 Stat. 415; Pub. L. 110–389, title IV,
Sec. 402(a), Oct. 10, 2008, 122 Stat. 4174.)
§ 1966. Eligible insurance companies

(a) The Secretary is authorized, without regard to section 3709
of the Revised Statutes, as amended (41 U.S.C. 5), to purchase
from one or more life insurance companies a policy or policies of
group life insurance to provide the benefits specified in this sub-
chapter. Each such life insurance company must (1) be licensed to
issue life insurance in each of the fifty States of the United States
and in the District of Columbia, and (2) as of the most recent De-
cember 31 for which information is available to the Secretary, have
in effect at least 1 percent of the total amount of group life insur-
ance which all life insurance companies have in effect in the

United States.
(b) The life insurance company or companies issuing such pol-
icy or policies shall establish an administrative office at a place and
under a name designated by the Secretary.
(c) The Secretary shall arrange with the life insurance com-
pany or companies issuing any policy or policies under this sub-
chapter to reinsure, under conditions approved by the Secretary,
portions of the total amount of insurance under such policy or poli-
cies with such other life insurance companies (which meet quali-
fying criteria set forth by the Secretary) as may elect to participate
in such reinsurance.
(d) The Secretary may at any time discontinue any policy or
policies which the Secretary has purchased from any insurance
company under this subchapter.
Pub. L. 97–295, Sec. 4(29), Oct. 12, 1982, 96 Stat. 1307; Pub. L. 99–576, title VII,
§ 1967. Persons insured; amount

(a)(1) Subject to an election under paragraph (2), any policy of
insurance purchased by the Secretary under section 1966 of this
title shall automatically insure the following persons against death:
(A) In the case of any member of a uniformed service on
active duty (other than active duty for training)—
(i) the member; and
(ii) each insurable dependent of the member.
(B) Any member of a uniformed service on active duty for
training or inactive duty training scheduled in advance by com-
petent authority.
(C) In the case of any member of the Ready Reserve of a
uniformed service who meets the qualifications set forth in
subparagraph (B) or (C) of section 1965(5) of this title—
(i) the member; and
(ii) each insurable dependent of the member.
(2)(A) A member may elect in writing not to be insured under
this subchapter.
(B) A member may elect in writing not to insure the member’s
spouse under this subchapter.
(3)(A) Subject to subparagraphs (B) and (C), the amount for
which a person is insured under this subchapter is as follows:
(i) In the case of a member, $400,000.
(ii) In the case of a member’s spouse, $100,000.
(iii) In the case of a member’s child, $10,000.
(B) A member may elect in writing to be insured or to insure
the member’s spouse in an amount less than the amount provided
for under subparagraph (A). The member may not elect to insure
the member’s child in an amount less than $10,000. The amount
of insurance so elected shall, in the case of a member, be evenly
divisible by $50,000 and, in the case of a member’s spouse,,(!1) be
evenly divisible by $10,000.
(C) In no case may the amount of insurance coverage under

this subsection of a member’s spouse exceed the amount of insur-
ance coverage of the member.
(4)(A) An insurable dependent of a member is not insured
under this chapter unless the member is insured under this sub-
chapter.
(B) An insurable dependent who is a child may not be insured
at any time by the insurance coverage under this chapter of more
than one member. If an insurable dependent who is a child is oth-
erwise eligible to be insured by the coverage of more than one
member under this chapter, the child shall be insured by the cov-
erage of the member whose eligibility for insurance under this sub-
chapter occurred first, except that if that member does not have
legal custody of the child, the child shall be insured by the coverage
of the member who has legal custody of the child.
(5) The insurance shall be effective with respect to a member
and the insurable dependents of the member on the latest of the
following dates:
(A) The first day of active duty or active duty for training.
(B) The beginning of a period of inactive duty training
scheduled in advance by competent authority.
(C) The first day a member of the Ready Reserve meets
the qualifications set forth in subparagraph (B) or (C) of sec-
tion 1965(5) of this title.
(D) The date certified by the Secretary to the Secretary
concerned as the date Servicemembers’ Group Life Insurance
under this subchapter for the class or group concerned takes
effect.
(E) In the case of an insurable dependent who is a spouse,
the date of marriage of the spouse to the member.
(F) In the case of an insurable dependent who is a child,
the date of birth of such child or, if the child is not the natural
child of the member, the date on which the child acquires sta-
tus as an insurable dependent of the member.
(b) Any member (other than one who has elected not to be in-
sured under this subchapter for the period or periods of duty in-
volved)—
(1) who, when authorized or required by competent author-
ity, assumes an obligation to perform (for less than thirty-one
days) active duty, or active duty for training, or inactive duty
training scheduled in advance by competent authority; and
(2) who is rendered uninsurable at standard premium
rates according to the good health standards approved by the
Secretary, or dies within one hundred and twenty days there-
after, from a disability, or aggravation of a preexisting dis-
ability, incurred by such member while proceeding directly to
or returning directly from such active duty, active duty for
training, or inactive duty training as the case may be;
shall be deemed to have been on active duty, active duty for train-
ing, or inactive duty training, as the case may be, and to have been
insured under this subchapter at the time such disability was in-
curred or aggravated, and if death occurs within one hundred and
twenty days thereafter as a result of such disability to have been
insured at the time of death. In determining whether or not such
individual was so authorized or required to perform such duty, and

whether or not such member was rendered uninsurable or died
within one hundred and twenty days thereafter from a disability so
incurred or aggravated, there shall be taken into account the call
or order to duty, the orders and authorizations of competent au-
thority, the hour on which the member began to so proceed or to
return, the hour on which such member was scheduled to arrive
for, or on which such member ceased to perform such duty; the
method of travel employed; such member’s itinerary; the manner in
which the travel was performed; and the immediate cause of dis-
ability or death. Whenever any claim is filed alleging that the
claimant is entitled to benefits by reason of this subsection, the
burden of proof shall be on the claimant.
(c) If a person eligible for insurance under this subchapter is
not so insured, or is insured for less than the maximum amount
provided for the person under subparagraph (A) of subsection
(a)(3), by reason of an election made by a member under subpara-
graph (B) of that subsection, the person may thereafter be insured
under this subchapter in the maximum amount or any lesser
amount elected as provided in such subparagraph (B) upon written
application by the member, proof of good health of each person
(other than a child) to be so insured, and compliance with such
other terms and conditions as may be prescribed by the Secretary.
Any former member insured under Veterans’ Group Life Insurance
who again becomes eligible for Servicemembers’ Group Life Insur-
ance and declines such coverage solely for the purpose of maintain-
ing such member’s Veterans’ Group Life Insurance in effect shall
upon termination of coverage under Veterans’ Group Life Insurance
be automatically insured under Servicemembers’ Group Life Insur-
ance, if otherwise eligible therefor.
(d) Whenever a member has the opportunity to make an elec-
tion under subsection (a) not to be insured under this subchapter,
or to be insured under this subchapter in an amount less than the
maximum amount in effect under paragraph (3)(A)(i) of that sub-
section, and at such other times periodically thereafter as the Sec-
retary concerned considers appropriate, the Secretary concerned
shall furnish to the member general information concerning life in-
surance. Such information shall include—
(1) the purpose and role of life insurance in financial plan-
ning;
(2) the difference between term life insurance and whole
life insurance;
(3) the availability of commercial life insurance; and
(4) the relationship between Servicemembers’ Group Life
Insurance and Veterans’ Group Life Insurance.
(e) The effective date and time for any change in benefits
under the Servicemembers’ Group Life Insurance Program shall be
based on the date and time according to the time zone immediately
west of the International Date Line.
(f)(1) If a member who is married and who is eligible for insur-
ance under this section makes an election under subsection
(a)(2)(A) not to be insured under this subchapter, the Secretary
concerned shall notify the member’s spouse, in writing, of that elec-
tion.
(2) In the case of a member who is married and who is insured

under this section and whose spouse is designated as a beneficiary
of the member under this subchapter, whenever the member makes
an election under subsection (a)(3)(B) for insurance of the member
in an amount that is less than the maximum amount provided
under subsection (a)(3)(A)(i), the Secretary concerned shall notify
the member’s spouse, in writing, of that election—
(A) in the case of the first such election; and
(B) in the case of any subsequent such election if the effect
of such election is to reduce the amount of insurance coverage
of the member from that in effect immediately before such elec-
tion.
(3) In the case of a member who is married and who is insured
under this section, if the member makes a designation under sec-
tion 1970(a) of this title of any person other than the spouse or a
child of the member as the beneficiary of the member for any
amount of insurance under this subchapter, the Secretary con-
cerned shall notify the member’s spouse, in writing, that such a
beneficiary designation has been made by the member, except that
such a notification is not required if the spouse has previously re-
ceived such a notification under this paragraph and if immediately
before the new designation by the member under section 1970(a)
of this title the spouse is not a designated beneficiary of the mem-
ber for any amount of insurance under this subchapter.
(4) A notification required by this subsection is satisfied by a
good faith effort to provide the required information to the spouse
at the last address of the spouse in the records of the Secretary
concerned. Failure to provide a notification required under this
subsection in a timely manner does not affect the validity of any
election specified in paragraph (1) or (2) or beneficiary designation
specified in paragraph (3).
Pub. L. 91–291, Sec. 2, June 25, 1970, 84 Stat. 327; Pub. L. 93–289, Sec. 4, May
24, 1974, 88 Stat. 166; Pub. L. 97–66, title IV, Sec. 401(a), Oct. 17, 1981, 95 Stat.
1030; Pub. L. 99–166, title IV, Sec. 401(a), Dec. 3, 1985, 99 Stat. 956; Pub. L. 99–
576, title VII, Sec. 701(37), Oct. 28, 1986, 100 Stat. 3293; Pub. L. 102–25, title III,
Sec. 336(a), Apr. 6, 1991, 105 Stat. 89; renumbered Sec. 1967 and amended Pub.
102–568, title II, Sec. 201, Oct. 29, 1992, 106 Stat. 4324; Pub. L. 103–160, div. A,
title XI, Sec. 1175(a), Nov. 30, 1993, 107 Stat. 1768; Pub. L. 103–337, div. A, title
VI, Sec. 651(b), Oct. 5, 1994, 108 Stat. 2792; Pub. L. 104–106, div. A, title VI, Sec.
646, Feb. 10, 1996, 110 Stat. 369; Pub. L. 104–275, title IV, Secs. 402(b), 404,
405(b)(1)(A), Oct. 9, 1996, 110 Stat. 3337, 3339; Pub. L. 106–419, title III, Secs.
312(a), 313(b), Nov. 1, 2000, 114 Stat. 1854, 1855; Pub. L. 107–14, Sec. 4(b), June
5, 2001, 115 Stat. 26; Pub. L. 109–13, div. A, title I, Sec. 1012(a)–(c)(1), (d), (f), May
11, 2005, 119 Stat. 244–246; Pub. L. 109–80, Secs. 2, 3(a), 4, 5(a), Sept. 30, 2005,
119 Stat. 2045, 2046; Pub. L. 110–389, title IV, Sec. 403(a)(1), (2)(A), Oct. 10, 2008,
122 Stat. 4174.)
§ 1968. Duration and termination of coverage; conversion

(a) Each policy purchased under this subchapter shall contain
a provision, in terms approved by the Secretary, to the effect that
any insurance thereunder on any member of the uniformed serv-
ices, and any insurance thereunder on any insurable dependent of
such a member, unless discontinued or reduced upon the written
request of the insured (or discontinued pursuant to section
1969(a)(2)(B) of this title), shall continue in effect while the mem-
ber is on active duty, active duty for training, or inactive duty

training scheduled in advance by competent authority during the
period thereof, or while the member meets the qualifications set
forth in subparagraph (B) or (C) of section 1965(5) of this title and
such insurance shall cease as follows:
(1) With respect to a member on active duty or active duty
for training under a call or order to duty that does not specify
a period of less than 31 days, insurance under this subchapter
shall cease as follows:
(A) 120 days after the separation or release from ac-
tive duty or active duty for training, unless on the date of
such separation or release the member is totally disabled,
under criteria established by the Secretary, in which event
the insurance shall cease on the earlier of the following
dates (but in no event before the end of 120 days after
such separation or release):
(i) The date on which the insured ceases to be to-
tally disabled.
(ii) The date that is—
(I) two years after the date of separation or
release from such active duty or active duty for
training, in the case of such a separation or re-
lease during the period beginning on the date that
is one year before the date of the enactment of
Veterans’ Housing Opportunity and Benefits Im-
provement Act of 2006 and ending on September
30, 2011; and
(II) 18 months after the date of separation or
release from such active duty or active duty for
training, in the case of such a separation or re-
lease on or after October 1, 2011.
(B) At the end of the thirty-first day of a continuous
period of (i) absence without leave, (ii) confinement by civil
authorities under a sentence adjudged by a civilian court,
or (iii) confinement by military authorities under a court-
martial sentence involving total forfeiture of pay and al-
lowances. Any insurance so terminated as the result of
such an absence or confinement, together with any bene-
ficiary designation in effect for such insurance at such ter-
mination thereof, shall be automatically revived as of the
date the member is restored to active duty with pay or to
active duty for training with pay.
(2) With respect to a member on active duty or active duty
for training under a call or order to duty that specifies a period
of less than 31 days, insurance under this subchapter shall
cease at midnight, local time, on the last day of such duty, un-
less on such date the insured is suffering from a disability in-
curred or aggravated during such period which, within 120
days after such date, (i) results in death, or (ii) renders the
member uninsurable at standard premium rates according to
the good health standards approved by the Secretary, in which
event the insurance shall continue in force to death, or for 120
days after such date, whichever is the earlier date.
(3) With respect to a member on inactive duty training

scheduled in advance by competent authority, insurance under
this subchapter shall cease at the end of such scheduled train-
ing period, unless at such time the insured is suffering from
a disability incurred, or aggravated during such period which,
within 120 days after the date of such training, (i) results in
death, or (ii) renders the member uninsurable at standard pre-
mium rates according to the good health standards approved
by the Secretary in which event the insurance shall continue
in force to death, or for 120 days after the date such training
terminated, whichever is the earlier date.
(4) With respect to a member of the Ready Reserve of a
uniformed service who meets the qualifications set forth in
subparagraph (B) or (C) of section 1965(5) of this title, insur-
ance under this subchapter shall cease 120 days after separa-
tion or release from such assignment, unless on the date of
such separation or release the member is totally disabled,
under criteria established by the Secretary, in which event the
insurance shall cease on the earlier of the following dates (but
in no event before the end of 120 days after separation or re-
lease from such assignment):
(A) The date on which the insured ceases to be totally
disabled.
(B) The date that is—
(i) two years after the date of separation or re-
lease from such assignment, in the case of such a sep-
aration or release during the period beginning on the
date that is one year before the date of the enactment
of Veterans’ Housing Opportunity and Benefits Im-
provement Act of 2006 and ending on September 30,
2011; and
(ii) 18 months after the date of separation or re-
lease from such assignment, in the case of such a sep-
aration or release on or after October 1, 2011.
(5) With respect to an insurable dependent of the member,
insurance under this subchapter shall cease—
(A) 120 days after the date of an election made in
writing by the member to terminate the coverage; or
(B) on the earliest of—
(i) 120 days after the date of the member’s death;
(ii) the date of termination of the insurance on the
member’s life under this subchapter; or
(iii) 120 days after the termination of the depend-
ent’s status as an insurable dependent of the member.
(b)(1) Each policy purchased under this subchapter shall con-
tain a provision, in terms approved by the Secretary, that, except
as hereinafter provided, Servicemembers’ Group Life Insurance
which is continued in force after expiration of the period of duty
or travel under section 1967(b) or 1968(a) of this title, effective the
day after the date such insurance would cease—
(A) shall be automatically converted to Veterans’ Group
Life Insurance (to insure against death of the member only),
subject to (i) the timely payment of the initial premium under
terms prescribed by the Secretary, and (ii) the terms and con-
ditions set forth in section 1977 of this title; or
(B) at the election of the member, shall be converted to an
individual policy of insurance as described in section 1977(e) of
this title upon written application for conversion made to the
participating company selected by the member and payment of
the required premiums.
(2) Automatic conversion to Veterans’ Group Life Insurance
under paragraph (1) shall be effective only in the case of an other-
wise eligible member or former member who is separated or re-
leased from a period of active duty or active duty for training or
inactive duty training on or after the date on which the Veterans’
Group Life Insurance program (provided for under section 1977 of
this title) becomes effective.
(3)(A) In the case of a policy purchased under this subchapter
for an insurable dependent who is a spouse, upon election of the
spouse, the policy may be converted to an individual policy of in-
surance under the same conditions as described in section 1977(e)
of this title (with respect to conversion of a Veterans’ Group Life
Insurance policy to such an individual policy) upon written applica-
tion for conversion made to the participating company selected by
the spouse and payment of the required premiums. Conversion of
such policy to Veterans’ Group Life Insurance is prohibited.
(B) In the case of a policy purchased under this subchapter for
an insurable dependent who is a child, such policy may not be con-
verted under this subsection.
Pub. L. 91–291, Sec. 3, June 25, 1970, 84 Stat. 328; Pub. L. 93–289, Sec. 5(a), May
Stat. 404–406; Pub. L. 103–337, div. A, title VI, Sec. 651(c), title XVI, Sec.
1677(d)(1), Oct. 5, 1994, 108 Stat. 2792, 3020; Pub. L. 104–106, div. A, title VI, Sec.
647(b), Feb. 10, 1996, 110 Stat. 370; Pub. L. 104–275, title IV, Secs. 402(c), 403(a),
405(b)(1)(B), Oct. 9, 1996, 110 Stat. 3337 to 3339; Pub. L. 106–65, div. A, title X,
Sec. 1066(d)(1), Oct. 5, 1999, 113 Stat. 773; Pub. L. 106–419, title III, Sec. 313(b),
Nov. 1, 2000, 114 Stat. 1855; Pub. L. 107–14, Sec. 4(c), (f), June 5, 2001, 115 Stat.
28, 29; Pub. L. 109–233, title III, Sec. 301, June 15, 2006, 120 Stat. 405; Pub. L.
110–389, title IV, Sec. 403(b), Oct. 10, 2008, 122 Stat. 4174.)
§ 1969. Deductions; payment; investment; expenses

(a)(1) During any period in which a member, on active duty or
active duty for training under a call or order to such duty that does
not specify a period of less than thirty-one days, is insured under
Servicemembers’ Group Life Insurance, there shall be deducted
each month from the member’s basic or other pay until separation
or release from such duty an amount determined by the Secretary
(which shall be the same for all such members) as the share of the
cost attributable to insuring such member under such policy, less
any costs traceable to the extra hazard of such duty in the uni-
formed service.
(2)(A) During any month in which a member is assigned to the
Ready Reserve of a uniformed service under conditions which meet
the qualifications of subparagraph (B) or (C) of section 1965(5) of
this title, and is insured under a policy of insurance purchased by
the Secretary, under section 1966 of this title, there shall be con-
tributed from the appropriation made for active duty pay of the
uniformed service concerned an amount determined by the Sec-
retary (which shall be the same for all such members) as the share
of the cost attributable to insuring such member under this policy,
less any costs traceable to the extra hazards of such duty in the
uniformed services. Any amounts so contributed on behalf of any
individual shall be collected by the Secretary concerned from such
individual (by deduction from pay or otherwise) and shall be cred-
ited to the appropriation from which such contribution was made.
(B) If an individual who is required pursuant to subparagraph
(A) to make a direct remittance of costs to the Secretary concerned
fails to make the required remittance within 60 days of the date
on which such remittance is due, such individual’s insurance with
respect to which such remittance is required shall be terminated by
the Secretary concerned. Such termination shall be made by writ-
ten notice to the individual’s official address and shall be effective
60 days after the date of such notice. Such termination of insur-
ance may be vacated if, before the effective date of termination, the
individual remits all amounts past due for such insurance and
demonstrates to the satisfaction of the Secretary concerned that
the failure to make timely remittances was justifiable.
(3) During any fiscal year, or portion thereof, that a member
is on active duty or active duty for training under a call or order
to such duty that specifies a period of less than thirty-one days, or
is authorized or required to perform inactive duty training sched-
uled in advance by competent authority, and is insured under
Servicemembers’ Group Life Insurance, the Secretary concerned
shall collect from the member (by deduction from pay or otherwise)
an amount determined by the Secretary (which shall be the same
for all such members) as the share of the cost attributable to insur-
ing such member under such policy, less any costs traceable to the
extra hazard of such duty in the uniformed service.
(4) Any amount not deducted from the basic or other pay of a
member insured under Servicemembers’ Group Life Insurance, or
collected from the member by the Secretary concerned, if not other-
wise paid, shall be deducted from the proceeds of any insurance
thereafter payable. The initial monthly amount under paragraph
(1) or (2) hereof, or fiscal year amount under paragraph (3) hereof,
determined by the Secretary to be charged under this section for
Servicemembers’ Group Life Insurance may be continued from year
to year, except that the Secretary may redetermine such monthly
or fiscal year amounts from time to time in accordance with experi-
ence. No refunds will be made to any member of any amount prop-
erly deducted from the member’s basic or other pay, or collected
from the member by the Secretary concerned, to cover the insur-
ance granted under Servicemembers’ Group Life Insurance.
(b) For each month for which any member is so insured, there
shall be contributed from the appropriation made for active duty
pay of the uniformed service concerned an amount determined by
the Secretary and certified to the Secretary concerned to be the
cost of Servicemembers’ Group Life Insurance which is traceable to
the extra hazard of duty in the uniformed services. Effective Janu-
ary 1, 1970, such cost shall be determined by the Secretary on the
basis of the excess mortality incurred by members and former
members of the uniformed services insured under Servicemembers’

Group Life Insurance above what their mortality would have been
under peacetime conditions as such mortality is determined by the
Secretary using such methods and data as the Secretary shall de-
termine to be reasonable and practicable. The Secretary is author-
ized to make such adjustments regarding contributions from pay
appropriations as may be indicated from actual experience.
(c) An amount equal to the first amount due on
Servicemembers’ Group Life Insurance may be advanced from cur-
rent appropriations for active-service pay to any such member,
which amount shall constitute a lien upon any service or other pay
accruing to the person from whom such advance was made and
shall be collected therefrom if not otherwise paid. No disbursing or
certifying officer shall be responsible for any loss incurred by rea-
son of such advance.
(d)(1) The sums withheld from the basic or other pay of mem-
bers, or collected from them by the Secretary concerned, under sub-
section (a) of this section, and the sums contributed from appro-
priations under subsection (b) of this section, together with the in-
come derived from any dividends or premium rate adjustments re-
ceived from insurers shall be deposited to the credit of a revolving
fund established in the Treasury of the United States. All premium
payments and extra hazard costs on Servicemembers’ Group Life
Insurance and the administrative cost to the Department of insur-
ance issued under this subchapter shall be paid from the revolving
fund.
(2) The Secretary is authorized to set aside out of the revolving
fund such amounts as may be required to meet the administrative
costs to the Department of insurance issued under this subchapter
and all current premium payments and extra hazard costs on any
insurance policy or policies purchased under section 1966 of this
title. The Secretary of the Treasury is authorized to invest in and
to sell and retire special interest-bearing obligations of the United
States for the account of the revolving fund. Such obligations
issued for this purpose shall have maturities fixed with due regard
for the needs of the fund and shall bear interest at a rate equal
to the average market yield (computed by the Secretary of the
Treasury on the basis of market quotations as of the end of the cal-
endar month next preceding the date of issue) on all marketable in-
terest-bearing obligations of the United States then forming a part
of the public debt which are not due or callable until after the expi-
ration of four years from the end of such calendar month; except
that where such average market yield is not a multiple of one-
eighth of 1 per centum, the rate of interest of such obligation shall
be the multiple of one-eighth of 1 per centum nearest such market
yield.
(3) Notwithstanding the provisions of section 1982 of this title,
the Secretary shall, from time to time, determine the administra-
tive costs to the Department which in the Secretary’s judgment are
properly allocable to insurance issued under this subchapter and
shall transfer such cost from the revolving fund to the appropria-
tion ‘‘General Operating Expenses, Department of Veterans Af-
fairs’’.
(e) The Secretary of Defense shall prescribe regulations for the

administration of the functions of the Secretaries of the military
departments under this section. Such regulations shall prescribe
such procedures as the Secretary of Defense, after consultation
with the Secretary, may consider necessary to ensure that such
functions are carried out in a timely and complete manner and in
accordance with the provisions of this section, including specifically
the provisions of subsection (a)(2) of this section relating to con-
tributions from appropriations made for active duty pay.
(f)(1) No tax, fee, or other monetary payment may be imposed
or collected by any State, or by any political subdivision or other
governmental authority of a State, on or with respect to any pre-
mium paid under an insurance policy purchased under this sub-
chapter.
(2) Paragraph (1) of this subsection shall not be construed to
exempt any company issuing a policy of insurance under this sub-
chapter from the imposition, payment, or collection of a tax, fee, or
other monetary payment on the net income or profit accruing to or
realized by that company from business conducted under this sub-
chapter, if that tax, fee, or payment is applicable to a broad range
of business activity.
(g)(1)(A) During any period in which a spouse of a member is
insured under this subchapter and the member is on active duty,
there shall be deducted each month from the member’s basic or
other pay until separation or release from active duty an amount
determined by the Secretary as the premium allocable to the pay
period for providing that insurance coverage. No premium may be
charged for providing insurance coverage for a child.
(B) During any month in which a member is assigned to the
the qualifications set forth in subparagraph (B) or (C) of section
1965(5) of this title and the spouse of the member is insured under
a policy of insurance purchased by the Secretary under section
1966 of this title, there shall be contributed from the appropriation
made for active duty pay of the uniformed service concerned an
amount determined by the Secretary as the share of the cost attrib-
utable to insuring the spouse of such member under this policy,
less any costs traceable to the extra hazards of such duty in the
uniformed services. Any amounts so contributed on behalf of any
individual shall be collected by the Secretary concerned from such
individual (by deduction from pay or otherwise) and shall be cred-
ited to the appropriation from which such contribution was made.
(2)(A) The Secretary shall determine the premium amounts to
be charged for life insurance coverage for spouses of members
under this subchapter.
(B) The premium amounts shall be determined on the basis of
sound actuarial principles and shall include an amount necessary
to cover the administrative costs to the insurer or insurers pro-
viding such insurance.
(C) Each premium rate for the first policy year shall be contin-
ued for subsequent policy years, except that the rate may be ad-
justed for any such subsequent policy year on the basis of the expe-
rience under the policy, as determined by the Secretary in advance
of that policy year.
(h) Any overpayment of a premium for insurance coverage for

an insurable dependent of a member that is terminated under sec-
tion 1968(a)(5) of this title shall be refunded to the member.
Pub. L. 91–291, Sec. 4, June 25, 1970, 84 Stat. 329; Pub. L. 93–289, Sec. 6, 10(2),
May 24, 1974, 88 Stat. 168, 172; Pub. L. 97–66, title IV, Sec. 402, Oct. 17, 1981,
95 Stat. 1031; Pub. L. 99–576, title VII, Sec. 701(39), Oct. 28, 1986, 100 Stat. 3293;
Pub. L. 100–322, title III, Sec. 332(a), May 20, 1988, 102 Stat. 537; renumbered Sec.
1969 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug.
6, 1991, 105 Stat. 404–406; Pub. L. 103–337, div. A, title VI, Sec. 651(d), Oct. 5,
1994, 108 Stat. 2793; Pub. L. 103–446, title XII, Sec. 1201(e)(8), (i)(3), Nov. 2, 1994,
108 Stat. 4685, 4688; Pub. L. 104–106, div. A, title VI, Sec. 647(a), Feb. 10, 1996,
110 Stat. 370; Pub. L. 104–275, title IV, Secs. 402(d), 405(b)(1)(C), Oct. 9, 1996, 110
Stat. 3337, 3339; Pub. L. 106–419, title III, Sec. 313(b), Nov. 1, 2000, 114 Stat. 1855;
Pub. L. 107–14, Sec. 4(d), June 5, 2001, 115 Stat. 29; Pub. L. 109–13, div. A, title
I, Sec. 1012(c)(2), May 11, 2005, 119 Stat. 245; Pub. L. 109–80, Sec. 2, Sept. 30,
2005, 119 Stat. 2045; Pub. L. 110–389, title IV, Sec. 403(a)(2)(B), (c), Oct. 10, 2008,
122 Stat. 4174.)
§ 1970. Beneficiaries; payment of insurance

(a) Any amount of insurance under this subchapter in force on
any member or former member on the date of the insured’s death
shall be paid, upon the establishment of a valid claim therefor, to
the person or persons surviving at the date of the insured’s death,
in the following order of precedence:
First, to the beneficiary or beneficiaries as the member or
former member may have designated by a writing received prior to
death (1) in the uniformed services if insured under
Servicemembers’ Group Life Insurance, or (2) in the administrative
office established under section 1966(b) of this title if separated or
released from service, or if assigned to the Retired Reserve, and in-
sured under Servicemembers’ Group Life Insurance, or if insured
under Veterans’ Group Life Insurance;
Second, if there be no such beneficiary, to the widow or wid-
ower of such member or former member;
Third, if none of the above, to the child or children of such
member or former member and descendants of deceased children
by representation;
Fourth, if none of the above, to the parents of such member or
former member or the survivor of them;
Fifth, if none of the above, to the duly appointed executor or
administrator of the estate of such member or former member;
Sixth, if none of the above, to other next of kin of such member
or former member entitled under the laws of domicile of such mem-
ber or former member at the time of the insured’s death.
(b) If any person otherwise entitled to payment under this sec-
tion does not make claim therefor within one year after the death
of the member or former member, or if payment to such person
within that period is prohibited by Federal statute or regulation,
payment may be made in the order of precedence as if such person
had predeceased the member or former member, and any such pay-
ment shall be a bar to recovery by any other person.
(c) If, within two years after the death of the member or former
member, no claim for payment has been filed by any person enti-
tled under the order of precedence set forth in this section, and nei-
ther the Secretary nor the administrative office established by the
insurance company or companies pursuant to section 1966(b) of

this title has received any notice that any such claim will be made,
payment may be made to a claimant as may in the judgment of the
Secretary be equitably entitled thereto, and such payment shall be
a bar to recovery by any other person.
(d) The member may elect settlement of insurance under this
subchapter either in a lump sum or in thirty-six equal monthly in-
stallments. If no such election is made by the member the bene-
ficiary or beneficiaries may elect settlement either in a lump sum
or in thirty-six equal monthly installments. If the member has
elected settlement in a lump sum, the beneficiary or beneficiaries
may elect settlement in thirty-six equal monthly installments.
(e) Until and unless otherwise changed, a beneficiary designa-
tion and settlement option filed by a member with the member’s
uniformed service under prior provisions of law will be effective
with respect to the increased insurance authorized under the Vet-
erans’ Insurance Act of 1974 and the insurance shall be settled in
the same proportionate amount as the portion designated for such
beneficiary or beneficiaries bore to the amount of insurance here-
tofore in effect.
(f) Notwithstanding the provisions of any other law, payment
of matured Servicemembers’ Group Life Insurance or Veterans’
Group Life Insurance benefits may be made directly to a minor
widow or widower on his or her own behalf, and payment in such
case shall be a complete acquittance to the insurer.
(g) Any payments due or to become due under Servicemembers’
Group Life Insurance or Veterans’ Group Life Insurance made to,
or on account of, an insured or a beneficiary shall be exempt from
taxation, shall be exempt from the claims of creditors, and shall not
be liable to attachment, levy, or seizure by or under any legal or
equitable process whatever, either before or after receipt by the
beneficiary. The preceding sentence shall not apply to (1) collection
of amounts not deducted from the member’s pay, or collected from
him by the Secretary concerned under section 1969(a) of this title,
(2) levy under subchapter D of chapter 64 of the Internal Revenue
Code of 1986 (26 U.S.C. 6331 et seq.) (relating to the seizure of
property for collection of taxes), and (3) the taxation of any prop-
erty purchased in part or wholly out of such payments.
(h) Insurance payable under this subchapter may not be paid
in any amount to the extent that such amount would escheat to a
State. Payment of insurance under this subchapter may not be
made to the estate of the insured or the estate of any beneficiary
of the insured unless it is affirmatively shown that any amount to
be paid will not escheat to a State. Any amount to be paid under
this subchapter shall be reduced to the extent necessary to comply
(i) Any amount of insurance in force on an insurable dependent
of a member under this subchapter on the date of the dependent’s
death shall be paid, upon the establishment of a valid claim there-
for, to the member or, in the event of the member’s death before
payment to the member can be made, then to the person or persons
entitled to receive payment of the proceeds of insurance on the
member’s life under this subchapter.
Pub. L. 91–291, Sec. 5, June 25, 1970, 84 Stat. 330; Pub. L. 93–289, Sec. 7, May
L. 97–306, title IV, Sec. 401(a), Oct. 14, 1982, 96 Stat. 1442; Pub. L. 99–576, title
VII, Sec. 701(40), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–54, Sec. 14(b)(17), June
4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–275, title
IV, Sec. 405(b)(1)(D), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 105–368, title III, Sec.
302(b), Nov. 11, 1998, 112 Stat. 3333; Pub. L. 107–14, Sec. 4(e), June 5, 2001, 115
Stat. 29; Pub. L. 109–13, div. A, title I, Sec. 1012(g), May 11, 2005, 119 Stat. 246;
Pub. L. 109–80, Sec. 2, Sept. 30, 2005, 119 Stat. 2045.)
§ 1971. Basic tables of premiums; readjustment of rates
(a) Each policy or policies purchased under section 1966 of this
title shall include for the first policy year a schedule of basic pre-
mium rates by age which the Secretary shall have determined on
a basis consistent with the lowest schedule of basic premium rates
generally charged for new group life insurance policies issued to
large employers, this schedule of basic premium rates by age to be
applied, except as otherwise provided in this section, to the dis-
tribution by age of the amount of group life insurance under the
policy at its date of issue to determine an average basic premium
per $1,000 of insurance. Each policy so purchased shall also include
provisions whereby the basic rates of premium determined for the
first policy year shall be continued for subsequent policy years, ex-
cept that they may be readjusted for any subsequent year, based
on the experience under the policy, such readjustment to be made
by the insurance company or companies issuing the policy on a
basis determined by the Secretary in advance of such year to be
consistent with the general practice of life insurance companies
under policies of group life insurance issued to large employers.
(b) The total premiums for Servicemembers’ Group Life Insur-
ance shall be the sum of the amounts computed according to the
provisions of subsection (a) above and the estimated cost traceable
to the extra hazard of active duty in the uniformed services as de-
termined by the Secretary, subject to the provision that such esti-
mated costs traceable to the extra hazard shall be retroactively re-
adjusted annually in accordance with section 1969(b).
(c) Each policy so purchased shall include a provision that, in
the event the Secretary determines that ascertaining the actual age
distribution of the amounts of group life insurance in force at the
date of issue of the policy or at the end of the first or any subse-
quent year of insurance thereunder would not be possible except at
a disproportionately high expense, the Secretary may approve the
determination of a tentative average group life premium, for the
first or any subsequent policy year, in lieu of using the actual age
distribution. Such tentative average premium rate shall be redeter-
mined by the Secretary during any policy year upon request by the
insurance company or companies issuing the policy, if experience
indicates that the assumptions made in determining the tentative
average premium rate for that policy year were incorrect.
(d) Each policy so purchased shall contain a provision stipu-
lating the maximum expense and risk charges for the first policy
year, which charges shall have been determined by the Secretary
on a basis consistent with the general level of such charges made
by life insurance companies under policies of group life insurance
issued to large employers. Such maximum charges shall be contin-

ued from year to year, except that the Secretary may redetermine
such maximum charges for any year either by agreement with the
insurance company or companies issuing the policy or upon written
notice given by the Secretary to such companies at least one year
in advance of the beginning of the year for which such redeter-
mined maximum charges will be effective.
(e) Each such policy shall provide for an accounting to the Sec-
retary not later than ninety days after the end of each policy year,
which shall set forth, in a form approved by the Secretary, (1) the
amounts of premiums actually accrued under the policy from its
date of issue to the end of such policy year, (2) the total of all mor-
tality and other claim charges incurred for that period, and (3) the
amounts of the insurers’ expense and risk charge for that period.
Any excess of the total of item (1) over the sum of items (2) and
(3) shall be held by the insurance company or companies issuing
the policy as a special contingency reserve to be used by such in-
surance company or companies for charges under such policy only,
such reserve to bear interest at a rate to be determined in advance
of each policy year by the insurance company or companies issuing
the policy, which rate shall be approved by the Secretary as being
consistent with the rates generally used by such company or com-
panies for similar funds held under other group life insurance poli-
cies. If and when the Secretary determines that such special con-
tingency reserve has attained an amount estimated by the Sec-
retary to make satisfactory provision for adverse fluctuations in fu-
ture charges under the policy, any further excess shall be deposited
to the credit of the revolving fund established under section
1969(d)(1) of this title. If and when such policy is discontinued, and
if after all charges have been made, there is any positive balance
remaining in such special contingency reserve, such balance shall
be deposited to the credit of the revolving fund, subject to the right
of the insurance company or companies issuing the policy to make
such deposit in equal monthly installments over a period of not
more than two years.
Pub. L. 93–289, Sec. 8, May 24, 1974, 88 Stat. 169; renumbered Sec. 1971 and
amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
404–406; Pub. L. 104–275, title IV, Sec. 405(b)(1)(E), Oct. 9, 1996, 110 Stat. 3339.)
§ 1972. Benefit certificates

The Secretary shall arrange to have each member insured
under a policy purchased under section 1966 of this title receive a
certificate setting forth the benefits to which the member is enti-
tled thereunder, to whom such benefit shall be payable, to whom
claims should be submitted, and summarizing the provisions of the
policy principally affecting the member. Such certificate shall be in
lieu of the certificate which the insurance company or companies
would otherwise be required to issue.
(Added Pub. L. 89–214, Sec. 1(a), Sept. 29, 1965, 79 Stat. 885, Sec. 772; renumbered
105 Stat. 404–406.)
§ 1973. Forfeiture
Any person guilty of mutiny, treason, spying, or desertion, or
who, because of conscientious objections, refuses to perform service
in the Armed Forces of the United States or refuses to wear the
uniform of such force, shall forfeit all rights to Servicemembers’
Group Life Insurance and Veterans’ Group Life Insurance under
this subchapter. No such insurance shall be payable for death in-
flicted as a lawful punishment for crime or for military or naval of-
fense, except when inflicted by an enemy of the United States.
Sec. 1973, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended Pub. L.
104–275, title IV, Sec. 405(b)(1)(F), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 110–389,
title IV, Sec. 403(d), Oct. 10, 2008, 122 Stat. 4174.)
§ 1974. Advisory Council on Servicemembers’ Group Life In-

surance
(a) There is an Advisory Council on Servicemembers’ Group
Life Insurance. The council consists of—
(1) the Secretary of the Treasury, who is the chairman of
the council;
(2) the Secretary of Defense;
(3) the Secretary of Commerce;
(4) the Secretary of Health and Human Services;
(5) the Secretary of Homeland Security; and
(6) the Director of the Office of Management and Budget.
Members of the council shall serve without additional compensa-
tion.
(b) The council shall meet at least once a year, or more often
at the call of the Secretary of Veterans Affairs. The council shall
review the operations of the Department under this subchapter and
shall advise the Secretary on matters of policy relating to the Sec-
retary’s activities under this subchapter.
Pub. L. 91–291, Sec. 6, June 25, 1970, 84 Stat. 331; Pub. L. 93–289, Sec. 10(3), May
24, 1974, 88 Stat. 172; Pub. L. 97–295, Sec. 4(95)(A), Oct. 12, 1982, 96 Stat. 1313;
Pub. L. 99–576, title VII, Sec. 701(41), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–
54, Sec. 14(b)(18), June 13, 1991, 105 Stat. 284; renumbered Sec. 1974, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–275, title IV, Sec.
405(b)(1)(G), (2)(B), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 108–183, title VII, Sec.
708(a)(4), Dec. 16, 2003, 117 Stat. 2673.)
§ 1975. Jurisdiction of District Courts

The district courts of the United States shall have original ju-
risdiction of any civil action or claim against the United States
founded upon this subchapter.
§ 1976. Effective date

The insurance provided for in this subchapter and the deduc-
tions and contributions for that purpose shall take effect on the
date designated by the Secretary and certified by the Secretary to
each Secretary concerned.
Pub. L. 99–576, title VII, Sec. 701(42), Oct. 28, 1986, 100 Stat. 3294; renumbered
Sec. 1976 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105
Stat. 404–406.)
§ 1977. Veterans’ Group Life Insurance

(a)(1) Veterans’ Group Life Insurance shall be issued in the
amounts specified in section 1967(a) of this title. In the case of any
individual, the amount of Veterans’ Group Life Insurance may not
exceed the amount of Servicemembers’ Group Life Insurance cov-
erage continued in force after the expiration of the period of duty
or travel under section 1967(b) or 1968(a) of this title. No person
may carry a combined amount of Servicemembers’ Group Life In-
surance and Veterans’ Group Life Insurance at any one time in ex-
cess of the maximum amount for Servicemembers’ Group Life In-
surance in effect under section 1967(a)(3)(A)(i) of this title.
(2) If any person insured under Veterans’ Group Life Insurance
again becomes insured under Servicemembers’ Group Life Insur-
ance but dies before terminating or converting such person’s Vet-
erans’ Group Insurance, Veterans’ Group Life Insurance shall be
payable only if such person is insured under Servicemembers’
Group Life Insurance for less than the maximum amount for such
insurance in effect under section 1967(a)(3)(A)(i) of this title, and
then only in an amount which, when added to the amount of
Servicemembers’ Group Life Insurance payable, does not exceed
such maximum amount in effect under such section.
(b) Veterans’ Group Life Insurance shall (1) provide protection
against death; (2) be issued on a renewable five-year term basis;
(3) have no cash, loan, paid-up, or extended values; (4) except as
otherwise provided, lapse for nonpayment of premiums; and (5)
contain such other terms and conditions as the Secretary deter-
mines to be reasonable and practicable which are not specifically
provided for in this section, including any provisions of this sub-
chapter not specifically made inapplicable by the provisions of this
section.
(c) The premiums for Veterans’ Group Life Insurance shall be
established under the criteria set forth in sections 1971(a) and (c)
of this title, except that the Secretary may provide for average pre-
miums for such various age groupings as the Secretary may decide
to be necessary according to sound actuarial principles, and shall
include an amount necessary to cover the administrative cost of
such insurance to the company or companies issuing such insur-
ance. Such premiums shall be payable by the insureds thereunder
as provided by the Secretary directly to the administrative office
established for such insurance under section 1966(b) of this title.
In any case in which a member or former member who was men-
tally incompetent on the date such member or former member first
became insured under Veterans’ Group Life Insurance dies within
one year of such date, such insurance shall be deemed not to have
lapsed for nonpayment of premiums and to have been in force on
the date of death. Where insurance is in force under the preceding
sentence, any unpaid premiums may be deducted from the proceeds
of the insurance. Any person who claims eligibility for Veterans’
Group Life Insurance based on disability incurred during a period
of duty shall be required to submit evidence of qualifying health
conditions and, if required, to submit to physical examinations at

their own expense.
(d) Any amount of Veterans’ Group Life Insurance in force on
any person on the date of such person’s death shall be paid, upon
the establishment of a valid claim therefor, pursuant to the provi-
sions of section 1970 of this title. However, any designation of ben-
eficiary or beneficiaries for Servicemembers’ Group Life Insurance
filed with a uniformed service until changed, shall be considered a
designation of beneficiary or beneficiaries for Veterans’ Group Life
Insurance, but not for more than sixty days after the effective date
of the insured’s Veterans’ Group Insurance, unless at the end of
such sixty-day period, the insured is incompetent in which event
such designation may continue in force until the disability is re-
moved but not for more than five years after the effective date of
the insured’s Veterans’ Group Life Insurance. Except as indicated
above in incompetent cases, after such sixty-day period, any des-
ignation of beneficiary or beneficiaries for Veterans’ Group Life In-
surance to be effective must be by a writing signed by the insured
and received by the administrative office established under section
(e) An insured under Veterans’ Group Life Insurance shall
have the right at any time to convert such insurance to an indi-
vidual policy of life insurance upon written application for conver-
sion made to the participating company the insured selects and
payment of the required premiums. The individual policy will be
issued without medical examination on a plan then currently writ-
ten by such company which does not provide for the payment of
any sum less than the face value thereof or for the payment of an
additional amount as premiums in the event the insured performs
active duty, active duty for training, or inactive duty training. The
Veterans’ Group Life Insurance policy converted to an individual
policy under this subsection shall terminate on the day before the
date on which the individual policy becomes effective. Upon request
to the administrative office established under section 1966(b) of
this title, an insured under Veterans’ Group Life Insurance shall
be furnished a list of life insurance companies participating in the
program established under this subchapter. In addition to the life
insurance companies participating in the program established
under this subchapter, the list furnished to an insured under this
section shall include additional life insurance companies (not so
participating) which meet qualifying criteria, terms, and conditions
established by the Secretary and agree to sell insurance to former
members in accordance with the provisions of this section.
(f) The provisions of subsections (d) and (e) of section 1971 of
this title shall be applicable to Veterans’ Group Life Insurance.
However, a separate accounting shall be required for each program
of insurance authorized under this subchapter. In such accounting,
the Secretary is authorized to allocate claims and other costs
among such programs of insurance according to accepted actuarial
principles.
(g) Any person whose Servicemembers’ Group Life Insurance
was continued in force after termination of duty or discharge from
service under the law as in effect prior to the date on which the
Veterans’ Group Life Insurance program (provided for under sec-
tion 1977 of this title) became effective, and whose coverage under
Servicemembers’ Group Life Insurance terminated less than four
years prior to such date, shall be eligible within one year from the
effective date of the Veterans’ Group Life Insurance program to
apply for and be granted Veterans’ Group Life Insurance in an
amount equal to the amount of the insured’s Servicemembers’
Group Life Insurance which was not converted to an individual pol-
icy under prior law. Veterans’ Group Life Insurance issued under
this subsection shall be issued for a term period equal to five years,
less the time elapsing between the termination of the applicant’s
Servicemembers’ Group Life Insurance and the effective date on
which the Veterans’ Group Life Insurance program became effec-
tive. Veterans’ Group Life Insurance under this subsection shall
only be issued upon application to the administrative office estab-
lished under section 1966(b) of this title, payment of the required
premium, and proof of good health satisfactory to that office, which
proof shall be submitted at the applicant’s own expense. Any per-
son who cannot meet the good health requirements for insurance
under this subsection solely because of a service-connected dis-
ability shall have such disability waived. For each month for which
any eligible veteran, whose service-connected disabilities are
waived, is insured under this subsection there shall be contributed
to the insurer or insurers issuing the policy or policies from the ap-
propriation ‘‘Compensation and Pensions, Department of Veterans
Affairs’’ an amount necessary to cover the cost of the insurance in
excess of the premiums established for eligible veterans, including
the cost of the excess mortality attributable to such veteran’s serv-
ice-connected disabilities. The Secretary may establish, as the Sec-
retary may determine to be necessary according to sound actuarial
principles, a separate premium, age groupings for premium pur-
poses, accounting, and reserves, for persons granted insurance
under this subsection different from those established for other per-
sons granted insurance under this section. Appropriations to carry
out the purpose of this section are hereby authorized.
(h)(1) Notwithstanding any other provision of law, members of
the Individual Ready Reserve and the Inactive National Guard are
eligible to be insured under Veterans’ Group Life Insurance. Any
such member shall be so insured upon submission of an application
in the manner prescribed by the Secretary and the payment of pre-
miums as required under this section.
(2) In accordance with subsection (b), Veterans’ Group Life In-
surance coverage under this subsection shall be issued on a renew-
able five-year term basis, but the person insured must remain a
member of the Individual Ready Reserve or Inactive National
Guard throughout the period of the insurance in order for the in-
surance of such person to be renewed.
(3) For the purpose of this subsection, the terms ‘‘Individual
Ready Reserve’’ and ‘‘Inactive National Guard’’ shall have the
meanings prescribed by the Secretary in consultation with the Sec-
retary of Defense.
(Added Pub. L. 93–289, Sec. 9(a), May 24, 1974, 88 Stat. 169, Sec. 777; amended
Pub. L. 97–66, title IV, Sec. 401(b), Oct. 17, 1981, 95 Stat. 1031; Pub. L. 99–166,
title IV, Sec. 401(b), Dec. 3, 1985, 99 Stat. 957; Pub. L. 99–576, title VII, Sec.
701(43), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–25, title III, Sec. 336(b), Apr.
4(a)(2)(B)(iii), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 102–
568, title II, Sec. 202, Oct. 29, 1992, 106 Stat. 4324; Pub. L. 103–446, title XII, Sec.
1201(e)(9), Nov. 2, 1994, 108 Stat. 4685; Pub. L. 104–275, title IV, Sec. 403(b),
405(b)(1)(H), 406, Oct. 9, 1996, 110 Stat. 3338–3340; Pub. L. 106–419, title III, Sec.
312(b), Nov. 1, 2000, 114 Stat. 1854; Pub. L. 109–13, div. A, title I, Sec. 1012(e),
May 11, 2005, 119 Stat. 246; Pub. L. 109–80, Secs. 2, 3(b), Sept. 30, 2005, 119 Stat.
2045.)
§ 1978. Reinstatement
Reinstatement of insurance coverage granted under this sub-
chapter but lapsed for nonpayment of premiums shall be under
terms and conditions prescribed by the Secretary.
(Added Pub. L. 93–289, Sec. 9(a), May 24, 1974, 88 Stat. 172, Sec. 778; renumbered
Sec. 1978 and amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105
Stat. 404–406.)
Subject to the provision of section 1973 of this title, insurance
coverage granted under this subchapter shall be incontestable from
the date of issue, reinstatement, or conversion except for fraud or
nonpayment of premium.
(Added Pub. L. 93–289, Sec. 9(a), May 24, 1974, 88 Stat. 172, Sec. 779; renumbered
Sec. 1979 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
406.)
§ 1980. Option to receive accelerated death benefit

(a) For the purpose of this section, a person shall be considered
to be terminally ill if the person has a medical prognosis such that
the life expectancy of the person is less than a period prescribed
by the Secretary. The maximum length of such period may not ex-
ceed 12 months.
(b)(1) A terminally ill person insured under Servicemembers’
Group Life Insurance or Veterans’ Group Life Insurance may elect
to receive in a lump-sum payment a portion of the face value of the
insurance as an accelerated death benefit reduced by an amount
necessary to assure that there is no increase in the actuarial value
of the benefit paid, as determined by the Secretary.
(2) The Secretary shall prescribe the maximum amount of the
accelerated death benefit available under this section that the Sec-
retary finds to be administratively practicable and actuarially
sound, but in no event may the amount of the benefit exceed the
amount equal to 50 percent of the face value of the person’s insur-
ance in force on the date the election of the person to receive the
benefit is approved.
(3) A person making an election under this section may elect
to receive an amount that is less than the maximum amount pre-
scribed under paragraph (2). The Secretary shall prescribe the in-
crements in which a reduced amount under this paragraph may be
elected.
(c) The portion of the face value of insurance which is not paid
in a lump sum as an accelerated death benefit under this section
shall remain payable in accordance with the provisions of this
chapter.
(d) Deductions under section 1969 of this title and premiums
under section 1977(c) of this title shall be reduced, in a manner
301 CH. 19—INSURANCE Sec. 1980A
consistent with the percentage reduction in the face value of the in-
surance as a result of payment of an accelerated death benefit
under this section, effective with respect to any amounts which
would otherwise become due on or after the date of payment under
this section.
(e) The Secretary shall prescribe regulations to carry out this
section. Such regulations shall include provisions regarding—
(1) the form and manner in which an application for an
election under this section shall be made; and
(2) the procedures under which any such application shall
be considered.
(f)(1) An election to receive a benefit under this section shall
be irrevocable.
(2) A person may not make more than one election under this
section, even if the election of the person is to receive less than the
maximum amount of the benefit available to the person under this
section.
(g) If a person insured under Servicemembers’ Group Life In-
surance elects to receive a benefit under this section and the per-
son’s Servicemembers’ Group Life Insurance is thereafter converted
to Veterans’ Group Life Insurance as provided in section 1968(b) of
this title, the amount of the benefit paid under this section shall
reduce the amount of Veterans’ Group Life Insurance available to
the person under section 1977(a) of this title.
(h) Notwithstanding any other provision of law, the amount of
the accelerated death benefit received by a person under this sec-
tion shall not be considered income or resources for purposes of de-
termining eligibility for or the amount of benefits under any Fed-
eral or federally-assisted program or for any other purpose.
(Added Pub. L. 105–368, title III, Sec. 302(a)(1), Nov. 11, 1998, 112 Stat. 3332.)
§ 1980A. Traumatic injury protection
(a)(1) A member of the uniformed services who is insured
under Servicemembers’ Group Life Insurance shall automatically
be insured for traumatic injury in accordance with this section. In-
surance benefits under this section shall be payable if the member,
while so insured, sustains a traumatic injury on or after December
1, 2005, that results in a qualifying loss specified pursuant to sub-
section (b)(1).
(2) If a member suffers more than one such qualifying loss as
a result of traumatic injury from the same traumatic event, pay-
ment shall be made under this section in accordance with the
schedule prescribed pursuant to subsection (d) for the single loss
providing the highest payment.
(b)(1) A member who is insured against traumatic injury under
this section is insured against such losses due to traumatic injury
(in this section referred to as ‘‘qualifying losses’’) as are prescribed
by the Secretary by regulation. Qualifying losses so prescribed
shall include the following:
(A) Total and permanent loss of sight.
(B) Loss of a hand or foot by severance at or above the
wrist or ankle.
(C) Total and permanent loss of speech.
(D) Total and permanent loss of hearing in both ears.
(E) Loss of thumb and index finger of the same hand by

severance at or above the metacarpophalangeal joints.
(F) Quadriplegia, paraplegia, or hemiplegia.
(G) Burns greater than second degree, covering 30 percent
of the body or 30 percent of the face.
(H) Coma or the inability to carry out the activities of
daily living resulting from traumatic injury to the brain.
(2) For purposes of this subsection:
(A) The term ‘‘quadriplegia’’ means the complete and irre-
versible paralysis of all four limbs.
(B) The term ‘‘paraplegia’’ means the complete and irre-
versible paralysis of both lower limbs.
(C) The term ‘‘hemiplegia’’ means the complete and irre-
versible paralysis of the upper and lower limbs on one side of
the body.
(D) The term ‘‘inability to carry out the activities of daily
living’’ means the inability to independently perform two or
more of the following six functions:
(i) Bathing.
(ii) Continence.
(iii) Dressing.
(iv) Eating.
(v) Toileting.
(vi) Transferring.
(3) The Secretary may prescribe, by regulation, conditions
under which coverage otherwise provided under this section is ex-
cluded.
(4) A member shall not be considered for the purposes of this
section to be a member insured under Servicemembers’ Group Life
Insurance if the member is insured under Servicemembers’ Group
Life Insurance only as an insurable dependent of another member
pursuant to subparagraph (A)(ii) or (C)(ii) of section 1967(a)(1) of
this title.
(c)(1) A payment may be made to a member under this section
only for a qualifying loss that results directly from a traumatic in-
jury sustained while the member is covered against loss under this
section and from no other cause.
(2)(A) A payment may be made to a member under this section
for a qualifying loss resulting from a traumatic injury only for a
loss that is incurred during the applicable period of time specified
pursuant to subparagraph (B).
(B) For each qualifying loss, the Secretary shall prescribe, by
regulation, a period of time to be the period of time within which
a loss of that type must be incurred, determined from the date on
which the member sustains the traumatic injury resulting in that
loss, in order for that loss to be covered under this section.
(d) Payments under this section for qualifying losses shall be
made in accordance with a schedule prescribed by the Secretary, by
regulation, specifying the amount of payment to be made for each
type of qualifying loss, to be based on the severity of the qualifying
loss. The minimum payment that may be prescribed for a quali-
fying loss is $25,000, and the maximum payment that may be pre-
scribed for a qualifying loss is $100,000.
303 CH. 19—INSURANCE Sec. 1980A
(e)(1) During any period in which a member is insured under

this section and the member is on active duty, there shall be de-
ducted each month from the member’s basic or other pay until sep-
aration or release from active duty an amount determined by the
Secretary (which shall be the same for all such members) as the
share of the cost attributable to provided coverage under this sec-
tion, less any costs traceable to the extra hazards of such duty in
the uniformed services.
(2) During any month in which a member is assigned to the
the qualifications set forth in section 1965(5)(B) of this title and is
insured under a policy of insurance purchased by the Secretary
under section 1966 of this title, there shall be contributed from the
appropriation made for active duty pay of the uniformed service
concerned an amount determined by the Secretary (which shall be
the same for all such members) as the share of the cost attrib-
utable to provided coverage under this section, less any costs trace-
able to the extra hazards of such duty in the uniformed services.
Any amounts so contributed on behalf of any member shall be col-
lected by the Secretary concerned from such member (by deduction
from pay or otherwise) and shall be credited to the appropriation
from which such contribution was made in advance on a monthly
basis.
(3) The Secretary shall determine the premium amounts to be
charged for traumatic injury protection coverage provided under
this section.
(4) The premium amounts shall be determined on the basis of
sound actuarial principles and shall include an amount necessary
to cover the administrative costs to the insurer or insurers pro-
viding such insurance.
(5) Each premium rate for the first policy year shall be contin-
ued for subsequent policy years, except that the rate may be ad-
justed for any such subsequent policy year on the basis of the expe-
rience under the policy, as determined by the Secretary in advance
of that policy year.
(6) The cost attributable to insuring members under this sec-
tion for any month or other period specified by the Secretary, less
the premiums paid by the members, shall be paid by the Secretary
concerned to the Secretary. The Secretary shall allocate the
amount payable among the uniformed services using such methods
and data as the Secretary determines to be reasonable and prac-
ticable. Payments under this paragraph shall be made on a month-
ly basis or at such other intervals as may be specified by the Sec-
retary and shall be made within 10 days of the date on which the
Secretary provides notice to the Secretary concerned of the amount
required.
(7) For each period for which a payment by a Secretary con-
cerned is required under paragraph (6), the Secretary concerned
shall contribute such amount from appropriations available for ac-
tive duty pay of the uniformed service concerned.
(8) The sums withheld from the basic or other pay of members,
or collected from them by the Secretary concerned, under this sub-
section, and the sums contributed from appropriations under this
subsection, together with the income derived from any dividends or
premium rate adjustments received from insurers shall be depos-

ited to the credit of the revolving fund established in the Treasury
of the United States under section 1869(d)(1) of this title.
(f) When a claim for benefits is submitted under this section,
the Secretary of Defense or, in the case of a member not under the
jurisdiction of the Secretary of Defense, the Secretary concerned,
shall certify to the Secretary whether the member with respect to
whom the claim is submitted—
(1) was at the time of the injury giving rise to the claim
insured under Servicemembers’ Group Life Insurance for the
purposes of this section; and
(2) has sustained a qualifying loss.
(g)(1) Payment for a loss resulting from traumatic injury may
not be made under the insurance coverage under this section if the
member dies before the end of a period prescribed by the Secretary,
by regulation, for such purpose that begins on the date on which
the member sustains the injury.
(2) If a member eligible for a payment under this section dies
before payment to the member can be made, the payment shall be
made to the beneficiary or beneficiaries to whom the payment
would be made if the payment were life insurance under section
1967(a) of this title.
(h) Coverage for loss resulting from traumatic injury provided
under this section shall cease at midnight on the date of the termi-
nation of the member’s duty status in the uniformed services that
established eligibility for Servicemembers’ Group Life Insurance.
The termination of coverage under this section is effective in ac-
cordance with the preceding sentence, notwithstanding any con-
tinuation after the date specified in that sentence of
Servicemembers’ Group Life Insurance coverage pursuant to
1968(a) of this title for a period specified in that section.
(i) Insurance coverage provided under this section is not con-
vertible to Veterans’ Group Life Insurance.
(j) Regulations under this section shall be prescribed in con-
sultation with the Secretary of Defense.
(k) DESIGNATION OF FIDUCIARY OR TRUSTEE.—(1) The Secretary
concerned, in consultation with the Secretary, shall develop a proc-
ess for the designation of a fiduciary or trustee of a member of the
uniformed services who is insured against traumatic injury under
this section. The fiduciary or trustee so designated would receive
a payment for a qualifying loss under this section if the member
is medically incapacitated (as determined pursuant to regulations
prescribed by the Secretary concerned in consultation with the Sec-
retary) or experiencing an extended loss of consciousness.
(2) The process under paragraph (1) may require each member
of the uniformed services who is insured under this section to—
(A) designate an individual as the member’s fiduciary or
trustee for purposes of subsection (a); or
(B) elect that a court of proper jurisdiction designate an in-
dividual as the member’s fiduciary or trustee for purposes of
subsection (a) in the event that the member becomes medically
incapacitated or experiences an extended loss of consciousness.
(Added Pub. L. 109–13, div. A, title I, Sec. 1032(a)(2), May 11, 2005, 119 Stat. 257;
amended Pub. L. 109–233, title V, Sec. 501(a), June 15, 2006, 120 Stat. 411; Pub.
L. 110–181, div. A, title XVII, Sec. 1711, Jan. 28, 2008, 122 Stat. 495.)
§ 1981. Replacement of surrendered and expired insurance
(a) Any person who surrendered a policy of National Service
Life Insurance or United States Government life insurance on a
permanent plan for its cash value while in the active service after
April 24, 1951, and before January 1, 1957, who was entitled on
December 31, 1958, to reinstate or replace such insurance under
section 623 of the National Service Life Insurance Act of 1940,
may, upon application in writing made while on continuous active
duty which began before January 1, 1959, or within one hundred
and twenty days after separation therefrom, be granted, without
medical examination, permanent plan insurance on the same plan
not in excess of the amount surrendered for cash, or may reinstate
such surrendered insurance upon payment of the required reserve
and the premium for the current month. Waiver of premiums and
total disability income benefits otherwise authorized under this
chapter shall not be denied in any case of issue or reinstatement
of insurance on a permanent plan under this section or the prior
corresponding provision of law in which it is shown to the satisfac-
tion of the Secretary that total disability of the applicant began be-
fore the date of application. The cost of the premiums waived and
total disability income benefits paid by virtue of the preceding sen-
tence and the excess mortality cost in any case where the insur-
ance matures by death from such total disability shall be borne by
the United States and the Secretary shall transfer from time to
time from the National Service Life Insurance appropriation to the
National Service Life Insurance Fund and from the military and
naval insurance appropriation to the United States Government
Life Insurance Fund such sums as may be necessary to reimburse
the funds for such costs.
(b) Any person who had United States Government life insur-
ance or National Service Life Insurance on the five-year level pre-
mium term plan, the term of which expired while such person was
in the active service after April 25, 1951, or within one hundred
and twenty days after separation from such active service, and in
either case before January 1, 1957, who was entitled on December
31, 1958, to replace such insurance under section 623 of the Na-
tional Service Life Insurance Act of 1940, shall, upon application
made while on continuous active duty which began before January
1, 1959, or within one hundred and twenty days after separation
therefrom, payment of premiums and evidence of good health satis-
factory to the Secretary, be granted an equivalent amount of insur-
ance on the five-year level premium term plan at the premium rate
for such person’s then attained age.
§ 1982. Administrative cost

Except as provided in sections 1920(c), 1923(d), and 1955(c) of
this title, the United States shall bear the cost of administration
in connection with this chapter, including expenses for medical ex-
aminations, inspections when necessary, printing and binding, and
for such other expenditures as are necessary in the discretion of
the Secretary.
§ 1983. Settlements for minors or incompetents

When an optional mode of settlement of National Service Life
Insurance or United States Government life insurance heretofore or
hereafter matured is available to a beneficiary who is a minor or
incompetent, such option may be exercised by such beneficiary’s fi-
duciary, person qualified under the Act of February 25, 1933 (25
U.S.C. 14), or person recognized by the Secretary as having custody
of the person or the estate of such beneficiary, and the obligation
of the United States under the insurance contract shall be fully
satisfied by payment of benefits in accordance with the mode of set-
tlement so selected.
Sec. 701(45), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–54, Sec. 14(b)(19), June 13,
4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.)
§ 1984. Suits on insurance

(a) In the event of disagreement as to claim, including claim
for refund of premiums, under contract of National Service Life In-
surance, United States Government life insurance, or yearly renew-
able term insurance between the Secretary and any person or per-
sons claiming thereunder an action on the claim may be brought
against the United States either in the United States District
Court for the District of Columbia or in the district court of the
United States in and for the district in which such person or any
one of them resides, and jurisdiction is conferred upon such courts
to hear and determine all such controversies. All persons having or
claiming to have an interest in such insurance may be made par-
ties to such suit, and such as are not inhabitants of or found within
the district in which suit is brought may be brought in by order
of the court to be served personally or by publication or in such
other reasonable manner as the court may direct. In all cases
where the Secretary acknowledges the indebtedness of the United
States upon any such contract of insurance and there is a dispute
as to the person or persons entitled to payment, a suit in the na-
ture of a bill of interpleader may be brought at the request of the
Secretary in the name of the United States against all persons hav-
ing or claiming to have any interest in such insurance in the
United States District Court for the District of Columbia or in the
district court in and for the district in which any such claimant re-
sides; however, no less than thirty days before instituting such suit
the Secretary shall mail a notice of such intention to each of the
persons to be made parties to the suit. The courts of appeals for
the several circuits, including the District of Columbia, shall re-

spectively exercise appellate jurisdiction and, except as provided in
section 1254 of title 28, the decrees of such courts of appeals shall
be final.
(b) No suit on yearly renewable term insurance, United States
Government life insurance, or National Service Life Insurance shall
be allowed under this section unless the same shall have been
brought within six years after the right accrued for which the claim
is made. For the purposes of this section it shall be deemed that
the right accrued on the happening of the contingency on which the
claim is founded. The limitation of six years is suspended for the
period elapsing between the filing with the Secretary of the claim
sued upon and the denial of the claim. However, if a claim is timely
filed the claimant shall have not less than ninety days from the
date of mailing of notice of denial within which to file suit. After
June 28, 1936, notice of denial of the claim under a contract of in-
surance shall be by registered mail or by certified mail directed to
the claimant’s last address of record. Infants, insane persons, or
persons under other legal disability, or persons rated as incom-
petent or insane by the Secretary shall have three years in which
to bring suit after the removal of their disabilities. If suit is season-
ably begun and fails for defect in process, or for other reasons not
affecting the merits, a new action, if one lies, may be brought with-
in a year though the period of limitation has elapsed. No State or
other statute of limitations shall be applicable to suits filed under
this section.
(c) In any suit, action, or proceeding brought under the provi-
sions of this section subpenas for witnesses who are required to at-
tend a court of the United States in any district may run into any
other district. However, no writ of subpena shall issue for wit-
nesses living out of the district in which the court is held at a
greater distance than one hundred miles from the place of holding
the same without the permission of the court being first had upon
proper application and cause shown. The word ‘‘district’’ and the
words ‘‘district court’’ as used in this section shall be construed to
include the District of Columbia and the United States District
Court for the District of Columbia.
(d) Attorneys of the Department, when assigned to assist in
the trial of cases, and employees of the Department when ordered
in writing by the Secretary to appear as witnesses, shall be paid
the regular travel and subsistence allowance paid to other employ-
ees when on official travel status.
(e) Part-time and fee-basis employees of the Department, in ad-
dition to their regular travel and subsistence allowance, when or-
dered in writing by the Secretary to appear as witnesses in suits
under this section, may be allowed, within the discretion and under
written orders of the Secretary, a fee in an amount not to exceed
$50 per day.
(f) Employees of the Department who are subpenaed to attend
the trial of any suit, under the provisions of this section, as wit-
nesses for a party to such suit shall be granted court leave or au-
thorized absence, as applicable, for the period they are required to
be away from the Department in answer to such subpenas.
(g) Whenever a judgment or decree shall be rendered in an ac-

tion brought under the provisions of this section, the court, as a
part of its judgment or decree, shall determine and allow reason-
able fees for the attorneys of the successful party or parties and ap-
portion same if proper, said fees not to exceed 10 per centum of the
amount recovered and to be paid by the Department out of the pay-
ments to be made under the judgment or decree at a rate not ex-
ceeding one-tenth of each of such payments until paid; except that,
in a suit brought by or on behalf of an insured during the insured’s
lifetime for waiver of premiums on account of total disability, the
court, as part of its judgment or decree, shall determine and allow
a reasonable fee to be paid by the insured to the insured’s attorney.
(h) The term ‘‘claim’’ as used in this section means any writing
which uses words showing an intention to claim insurance benefits;
and the term ‘‘disagreement’’ means a denial of the claim, after
consideration on its merits, by the Secretary or any employee or or-
ganizational unit of the Department heretofore or hereafter des-
ignated therefor by the Secretary.
(i) The Attorney General of the United States is authorized to
agree to a judgment to be rendered by the chief judge of the United
States court having jurisdiction of the case, pursuant to com-
promise approved by the Attorney General upon the recommenda-
tion of the United States attorney charged with the defense, upon
such terms and for sums within the amount claimed to be payable,
in any suit brought under the provisions of this section, on a con-
tract of yearly renewable term insurance, and the Secretary shall
make payments in accordance with any such judgment. The Comp-
troller General of the United States shall allow credit in the ac-
counts of disbursing officers for all payments of insurance made in
accordance with any such judgment. All such judgments shall con-
stitute final settlement of the claim and no appeal therefrom shall
be authorized.
June 11, 1960, 74 Stat. 202; Pub. L. 97–295, Sec. 4(32), Oct. 12, 1982, 96 Stat. 1307;
Pub. L. 99–576, title VII, Sec. 701(46), Oct. 28, 1986, 100 Stat. 3294; renumbered
Sec. 1984 and amended Pub. L. 102–83, Sec. 4(a)(2)(A)(iii)(VII), (VIII), (D)(ii), (3),
(4), (b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 403–406.)
§ 1985. Decisions by the Secretary
Except in the event of suit as provided in section 1984 of this
title, or other appropriate court proceedings, all decisions rendered
by the Secretary under the provisions of this chapter shall be final
and conclusive on all questions of law or fact, and no other official
of the United States shall have jurisdiction to review any such deci-
sions.
404–406.)
§ 1986. Deposits in and disbursements from trust funds

All cash balances in the United States Government Life Insur-
ance Fund and the National Service Life Insurance Fund on Janu-
ary 1, 1959, together with all moneys thereafter accruing to such
funds, including premiums, appropriated moneys, the proceeds of
any sales of investments which may be necessary to meet current
expenditures, and interest on investments, shall be available for

disbursement for meeting all expenditures and making investments
authorized to be made from such funds.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1987. Penalties
(a) Any person who shall knowingly make or cause to be made,
or conspire, combine, aid, or assist in, agree to, arrange for, or in
anywise procure the making or presentation of a false or fraudu-
lent affidavit, declaration, certificate, statement, voucher, or paper,
or writing purporting to be such, concerning any application for in-
surance or reinstatement thereof, waiver of premiums or claim for
benefits under National Service Life Insurance, United States Gov-
ernment life insurance, or yearly renewable term insurance for any
person, shall be fined not more than $1,000, or be imprisoned for
not more than one year, or both.
(b) Whoever in any claim for National Service Life Insurance,
United States Government life insurance, or yearly renewable term
insurance makes any sworn statement of a material fact knowing
it to be false, shall be guilty of perjury and shall be fined not more
than $5,000, or be imprisoned for not more than two years, or both.
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 1988. Savings provision

Nothing in this title or any amendment or repeal made by the
Act enacting this title shall affect any right, remedy, liability, au-
thorization or requirement pertaining to Government insurance,
the respective insurance funds, or the insurance appropriations,
authorized or prescribed under the provisions of the War Risk In-
surance Act, the World War Veterans’ Act, 1924, the National Serv-
ice Life Insurance Act of 1940, or any related Act, which was in ef-
fect on December 31, 1958.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
311
CHAPTER 20—BENEFITS FOR HOMELESS VETERANS
SUBCHAPTER I—PURPOSE; DEFINITIONS; ADMINISTRATIVE MATTERS
Sec.
2001. Purpose.
2002. Definitions.
2003. Staffing requirements.

2011. Grants.
2012. Per diem payments.

2021. Homeless veterans reintegration programs.
2022. Coordination of outreach services for veterans at risk of homelessness.
2023. Referral and counseling services: veterans at risk of homelessness who are
transitioning from certain institutions.
SUBCHAPTER IV—TREATMENT AND REHABILITATION FOR SERIOUSLY

MENTALLY ILL AND HOMELESS VETERANS
2031. General treatment.
2032. Therapeutic housing.
2033. Additional services at certain locations.
2034. Coordination with other agencies and organizations.

2041. Housing assistance for homeless veterans.
2042. Supported housing for veterans participating in compensated work thera-
pies.
2043. Domiciliary care programs.
2044. Financial assistance for supportive services for very low-income veteran
families in permanent housing.
SUBCHAPTER VI—LOAN GUARANTEE FOR MULTIFAMILY TRANSITIONAL

HOUSING
2051. General authority.
2052. Requirements.
2053. Default.
2054. Audit.

2061. Grant program for homeless veterans with special needs.
2062. Dental care.
2064. Technical assistance grants for nonprofit community-based groups.
2065. Annual report on assistance to homeless veterans.
2066. Advisory Committee on Homeless Veterans.
313
Sec. 2001 CH. 20—BENEFITS FOR HOMELESS VETERANS 314
SUBCHAPTER I—PURPOSE; DEFINITIONS; ADMINISTRATIVE

MATTERS
§ 2001. Purpose
The purpose of this chapter is to provide for the special needs
of homeless veterans.
(Added Pub. L. 107–95, Sec. 5(a)(1), Dec. 21, 2001, 115 Stat. 905.)
In this chapter:
(1) The term ‘‘homeless veteran’’ means a veteran who is
homeless (as that term is defined in section 103(a) of the
McKinney-Vento Homeless Assistance Act (42 U.S.C.
11302(a))).
(2) The term ‘‘grant and per diem provider’’ means an enti-
ty in receipt of a grant under section 2011 or 2012 of this title.
(Added Pub. L. 107–95, Sec. 5(a)(1), Dec. 21, 2001, 115 Stat. 905; amended Pub. L.
109–444, Sec. 8(a)(3), Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X, Secs.
1004(a)(3), 1006(b), Dec. 22, 2006, 120 Stat. 3465, 3468.)
§ 2003. Staffing requirements
(a) VBA STAFFING AT REGIONAL OFFICES.—The Secretary shall
ensure that there is at least one full-time employee assigned to
oversee and coordinate homeless veterans programs at each of the
20 Veterans Benefits Administration regional offices that the Sec-
retary determines have the largest homeless veteran populations
within the regions of the Administration. The programs covered by
such oversight and coordination include the following:
(1) Housing programs administered by the Secretary under
this title or any other provision of law.
(2) Compensation, pension, vocational rehabilitation, and
education benefits programs administered by the Secretary
under this title or any other provision of law.
(3) The housing program for veterans supported by the De-
partment of Housing and Urban Development.
(4) The homeless veterans reintegration program of the
Department of Labor under section 2021 of this title.
(5) The programs under section 2033 of this title.
(6) The assessments required by section 2034 of this title.
(7) Such other programs relating to homeless veterans as
may be specified by the Secretary.
(b) VHA CASE MANAGERS.—The Secretary shall ensure that
the number of case managers in the Veterans Health Administra-
tion is sufficient to assure that every veteran who is provided a
housing voucher through section 8(o) of the United States Housing
Act of 1937 (42 U.S.C. 1437f(o)) is assigned to, and is seen as need-
ed by, a case manager.

§ 2011. Grants
(a) AUTHORITY TO MAKE GRANTS.—Subject to the availability
of appropriations provided for such purpose, the Secretary shall
315 CH. 20—BENEFITS FOR HOMELESS VETERANS Sec. 2011
make grants to assist eligible entities in establishing programs to

furnish, and expanding or modifying existing programs for fur-
nishing, the following to homeless veterans:
(1) Outreach.
(2) Rehabilitative services.
(3) Vocational counseling and training.
(4) Transitional housing assistance.
(b) CRITERIA FOR GRANTS.—The Secretary shall establish cri-
teria and requirements for grants under this section, including cri-
teria for entities eligible to receive grants, and shall publish such
criteria and requirements in the Federal Register. The criteria es-
tablished under this subsection shall include the following:
(1) Specification as to the kinds of projects for which
grants are available, which shall include—
(A) expansion, remodeling, or alteration of existing
buildings, or acquisition of facilities, for use as service cen-
ters, transitional housing, or other facilities to serve home-
less veterans; and
(B) procurement of vans for use in outreach to and
transportation for homeless veterans for purposes of a pro-
gram referred to in subsection (a).
(2) Specification as to the number of projects for which
grants are available.
(3) Criteria for staffing for the provision of services under
a project for which grants are made.
(4) Provisions to ensure that grants under this section—
(A) shall not result in duplication of ongoing services;
and
(B) to the maximum extent practicable, shall reflect
appropriate geographic dispersion and an appropriate bal-
ance between urban and other locations.
(5) Provisions to ensure that an entity receiving a grant
shall meet fire and safety requirements established by the Sec-
retary, which shall include—
(A) such State and local requirements that may apply;
and
(B) fire and safety requirements applicable under the
Life Safety Code of the National Fire Protection Associa-
tion or such other comparable fire and safety requirements
as the Secretary may specify.
(6) Specification as to the means by which an entity receiv-
ing a grant may contribute in-kind services to the start-up
costs of a project for which a grant is sought and the method-
ology for assigning a cost to that contribution for purposes of
subsection (c).
(c) FUNDING LIMITATIONS.—A grant under this section may not
be used to support operational costs. The amount of a grant under
this section may not exceed 65 percent of the estimated cost of the
project concerned.
(d) ELIGIBLE ENTITIES.—The Secretary may make a grant
under this section to an entity applying for such a grant only if the
applicant for the grant—
(1) is a public or nonprofit private entity with the capacity

(as determined by the Secretary) to effectively administer a
grant under this section;
(2) demonstrates that adequate financial support will be
available to carry out the project for which the grant is sought
consistent with the plans, specifications, and schedule sub-
mitted by the applicant; and
(3) agrees to meet the applicable criteria and requirements
established under subsections (b) and (g) and has, as deter-
mined by the Secretary, the capacity to meet such criteria and
requirements.
(e) APPLICATION REQUIREMENT.—An entity seeking a grant for
a project under this section shall submit to the Secretary an appli-
cation for the grant. The application shall set forth the following:
(1) The amount of the grant sought for the project.
(2) A description of the site for the project.
(3) Plans, specifications, and the schedule for implementa-
tion of the project in accordance with criteria and requirements
prescribed by the Secretary under subsection (b).
(4) Reasonable assurance that upon completion of the work
for which the grant is sought, the project will become oper-
ational and the facilities will be used principally to provide to
veterans the services for which the project was designed, and
that not more than 25 percent of the services provided under
the project will be provided to individuals who are not vet-
erans.
(f) PROGRAM REQUIREMENTS.—The Secretary may not make a
grant for a project to an applicant under this section unless the ap-
plicant in the application for the grant agrees to each of the fol-
lowing requirements:
(1) To provide the services for which the grant is made at
locations accessible to homeless veterans.
(2) To maintain referral networks for homeless veterans
for establishing eligibility for assistance and obtaining services,
under available entitlement and assistance programs, and to
aid such veterans in establishing eligibility for and obtaining
such services.
(3) To ensure the confidentiality of records maintained on
homeless veterans receiving services through the project.
(4) To establish such procedures for fiscal control and fund
accounting as may be necessary to ensure proper disbursement
and accounting with respect to the grant and to such payments
as may be made under section 2012 of this title.
(5) To seek to employ homeless veterans and formerly
homeless veterans in positions created for purposes of the
grant for which those veterans are qualified.
(g) SERVICE CENTER REQUIREMENTS.—In addition to criteria
and requirements established under subsection (b), in the case of
an application for a grant under this section for a service center for
homeless veterans, the Secretary shall require each of the fol-
lowing:
(1) That such center provide services to homeless veterans
during such hours as the Secretary may specify and be open
to such veterans on an as-needed, unscheduled basis.
(2) That space at such center be made available, as mutu-

ally agreeable, for use by staff of the Department of Veterans
Affairs, the Department of Labor, and other appropriate agen-
cies and organizations in assisting homeless veterans served by
such center.
(3) That such center be equipped and staffed to provide or
to assist in providing health care, mental health services, hy-
giene facilities, benefits and employment counseling, meals,
transportation assistance, and such other services as the Sec-
retary determines necessary.
(4) That such center be equipped and staffed to provide, or
to assist in providing, job training, counseling, and placement
services (including job readiness and literacy and skills train-
ing), as well as any outreach and case management services
that may be necessary to carry out this paragraph.
(h) RECOVERY OF UNUSED GRANT FUNDS.—(1) If a grant recipi-
ent under this section does not establish a program in accordance
with this section or ceases to furnish services under such a pro-
gram for which the grant was made, the United States shall be en-
titled to recover from such recipient the total of all unused grant
amounts made under this section to such recipient in connection
with such program.
(2) Any amount recovered by the United States under para-
graph (1) may be obligated by the Secretary without fiscal year lim-
itation to carry out provisions of this subchapter.
(3) An amount may not be recovered under paragraph (1) as
an unused grant amount before the end of the three-year period be-
ginning on the date on which the grant is made.
109–444, Secs. 2(b), 8(a)(4), Dec. 21, 2006, 120 Stat. 3304, 3313; Pub. L. 109–461,
title VII, Sec. 703(a), title X, Secs. 1004(a)(4), 1006(b), Dec. 22, 2006, 120 Stat. 3440,
3465, 3468.)
§ 2012. Per diem payments

(a) PER DIEM PAYMENTS FOR FURNISHING SERVICES TO HOME-
LESS VETERANS.—(1) Subject to the availability of appropriations
provided for such purpose, the Secretary, pursuant to such criteria
as the Secretary shall prescribe, shall provide to a recipient of a
grant under section 2011 of this title (or an entity eligible to re-
ceive a grant under that section which after November 10, 1992,
establishes a program that the Secretary determines carries out
the purposes described in that section) per diem payments for serv-
ices furnished to any homeless veteran—
(A) whom the Secretary has referred to the grant recipient
(or entity eligible for such a grant); or
(B) for whom the Secretary has authorized the provision of
services.
(2)(A) The rate for such per diem payments shall be the daily
cost of care estimated by the grant recipient or eligible entity ad-
justed by the Secretary under subparagraph (B). In no case may
the rate determined under this paragraph exceed the rate author-
ized for State homes for domiciliary care under subsection (a)(1)(A)
of section 1741 of this title, as the Secretary may increase from
time to time under subsection (c) of that section.
(B) The Secretary shall adjust the rate estimated by the grant
recipient or eligible entity under subparagraph (A) to exclude other
sources of income described in subparagraph (D) that the grant re-
cipient or eligible entity certifies to be correct.
(C) Each grant recipient or eligible entity shall provide to the
Secretary such information with respect to other sources of income
as the Secretary may require to make the adjustment under sub-
paragraph (B).
(D) The other sources of income referred to in subparagraphs
(B) and (C) are payments to the grant recipient or eligible entity
for furnishing services to homeless veterans under programs other
than under this subchapter, including payments and grants from
other departments and agencies of the United States, from depart-
ments or agencies of State or local government, and from private
entities or organizations.
(3) In a case in which the Secretary has authorized the provi-
sion of services, per diem payments under paragraph (1) may be
paid retroactively for services provided not more than three days
before the authorization was provided.
(b) INSPECTIONS.—The Secretary may inspect any facility of a
grant recipient or entity eligible for payments under subsection (a)
at such times as the Secretary considers necessary. No per diem
payment may be provided to a grant recipient or eligible entity
under this section unless the facilities of the grant recipient or eli-
gible entity meet such standards as the Secretary shall prescribe.
(c) LIFE SAFETY CODE.—(1) Except as provided in paragraph
(2), a per diem payment may not be provided under this section to
a grant recipient or eligible entity unless the facilities of the grant
recipient or eligible entity, as the case may be, meet applicable fire
and safety requirements under the Life Safety Code of the National
Fire Protection Association or such other comparable fire and safe-
ty requirements as the Secretary may specify.
(2) During the five-year period beginning on the date of the en-
actment of this section, paragraph (1) shall not apply to an entity
that received a grant under section 3 of the Homeless Veterans
Comprehensive Service Programs Act of 1992 (Public Law 102–590;
38 U.S.C. 7721 note) before that date if the entity meets fire and
safety requirements established by the Secretary.
(3) From amounts available for purposes of this section, not
less than $5,000,000 shall be used only for grants to assist entities
covered by paragraph (2) in meeting the Life Safety Code of the
National Fire Protection Association or such other comparable fire
and safety requirements as the Secretary may specify.
§ 2013. Authorization of appropriations

There is authorized to be appropriated to carry out this sub-
chapter $150,000,000 for fiscal year 2007 and each fiscal year
thereafter.
108–422, title I, Sec. 101, Nov. 30, 2004, 118 Stat. 2380; Pub. L. 109–461, title VII,
Sec. 703(b), Dec. 22, 2006, 120 Stat. 3440; Pub. L. 110–387, title VI, Sec. 601, Oct.
10, 2008, 122 Stat. 4131.)

§ 2021. Homeless veterans reintegration programs
(a) IN GENERAL.—Subject to the availability of appropriations
provided for such purpose, the Secretary of Labor shall conduct, di-
rectly or through grant or contract, such programs as the Secretary
determines appropriate to provide job training, counseling, and
placement services (including job readiness and literacy and skills
training) to expedite the reintegration of homeless veterans into
the labor force.
(b) REQUIREMENT TO MONITOR EXPENDITURES OF FUNDS.—(1)
The Secretary of Labor shall collect such information as that Sec-
retary considers appropriate to monitor and evaluate the distribu-
tion and expenditure of funds appropriated to carry out this sec-
tion. The information shall include data with respect to the results
or outcomes of the services provided to each homeless veteran
under this section.
(2) Information under paragraph (1) shall be furnished in such
form and manner as the Secretary of Labor may specify.
(c) ADMINISTRATION THROUGH THE ASSISTANT SECRETARY OF
LABOR FOR VETERANS’ EMPLOYMENT AND TRAINING.—The Secretary
of Labor shall carry out this section through the Assistant Sec-
retary of Labor for Veterans’ Employment and Training.
(d) BIENNIAL REPORT TO CONGRESS.—Not less than every two
years, the Secretary of Labor shall submit to Congress a report on
the programs conducted under this section. The Secretary of Labor
shall include in the report an evaluation of services furnished to
veterans under this section and an analysis of the information col-
lected under subsection (b).
(e) AUTHORIZATION OF APPROPRIATIONS.—(1) There are author-
ized to be appropriated to carry out this section amounts as follows:
(A) $50,000,000 for fiscal year 2002.
(B) $50,000,000 for fiscal year 2003.
(C) $50,000,000 for fiscal year 2004.
(D) $50,000,000 for fiscal year 2005.
(E) $50,000,000 for fiscal year 2006.
(F) $50,000,000 for each of fiscal years 2007 through 2009.
(2) Funds appropriated to carry out this section shall remain
available until expended. Funds obligated in any fiscal year to
carry out this section may be expended in that fiscal year and the
succeeding fiscal year.
109–233, title II, Sec. 203, June 15, 2006, 120 Stat. 404.)
§ 2022. Coordination of outreach services for veterans at

risk of homelessness
(a) OUTREACH PLAN.—The Secretary, acting through the Under
Secretary for Health, shall provide for appropriate officials of the
Mental Health Service and the Readjustment Counseling Service of
the Veterans Health Administration to develop a coordinated plan
for joint outreach by the two Services to veterans at risk of home-
lessness, including particularly veterans who are being discharged
or released from institutions after inpatient psychiatric care, sub-
stance abuse treatment, or imprisonment.
(b) MATTERS TO BE INCLUDED.—The outreach plan under sub-

section (a) shall include the following:
(1) Strategies to identify and collaborate with non-Depart-
ment entities used by veterans who have not traditionally used
Department services to further outreach efforts.
(2) Strategies to ensure that mentoring programs, recovery
support groups, and other appropriate support networks are
optimally available to veterans.
(3) Appropriate programs or referrals to family support
programs.
(4) Means to increase access to case management services.
(5) Plans for making additional employment services acces-
sible to veterans.
(6) Appropriate referral sources for mental health and sub-
stance abuse services.
(c) COOPERATIVE RELATIONSHIPS.—The outreach plan under
subsection (a) shall identify strategies for the Department to enter
into formal cooperative relationships with entities outside the De-
partment to facilitate making services and resources optimally
available to veterans.
(d) REVIEW OF PLAN.—The Secretary shall submit the outreach
plan under subsection (a) to the Advisory Committee on Homeless
Veterans for its review and consultation.
(e) OUTREACH PROGRAM.—(1) The Secretary shall carry out an
outreach program to provide information to homeless veterans and
veterans at risk of homelessness. The program shall include at a
minimum—
(A) provision of information about benefits available to eli-
gible veterans from the Department; and
(B) contact information for local Department facilities, in-
cluding medical facilities, regional offices, and veterans cen-
ters.
(2) In developing and carrying out the program under para-
graph (1), the Secretary shall, to the extent practicable, consult
with appropriate public and private organizations, including the
Bureau of Prisons, State social service agencies, the Department of
Defense, and mental health, veterans, and homeless advocates—
(A) for assistance in identifying and contacting veterans
who are homeless or at risk of homelessness;
(B) to coordinate appropriate outreach activities with those
organizations; and
(C) to coordinate services provided to veterans with serv-
ices provided by those organizations.
(f) REPORTS.—(1) Not later than October 1, 2002, the Secretary
and House of Representatives an initial report that contains an
evaluation of outreach activities carried out by the Secretary with
respect to homeless veterans, including outreach regarding clinical
issues and other benefits administered under this title. The Sec-
retary shall conduct the evaluation in consultation with the Under
Secretary for Benefits, the Department of Veterans Affairs central
office official responsible for the administration of the Readjust-
ment Counseling Service, the Director of Homeless Veterans Pro-
grams, and the Department of Veterans Affairs central office offi-
cial responsible for the administration of the Mental Health Stra-

tegic Health Care Group.
(2) Not later than December 31, 2005, the Secretary shall sub-
mit to the committees referred to in paragraph (1) an interim re-
port on outreach activities carried out by the Secretary with re-
spect to homeless veterans. The report shall include the following:
(A) The Secretary’s outreach plan under subsection (a), in-
cluding goals and time lines for implementation of the plan for
particular facilities and service networks.
(B) A description of the implementation and operation of
the outreach program under subsection (e).
(C) A description of the implementation and operation of
the program under section 2023 of this title.
(3) Not later than July 1, 2007, the Secretary shall submit to
the committees referred to in paragraph (1) a final report on out-
reach activities carried out by the Secretary with respect to home-
less veterans. The report shall include the following:
(A) An evaluation of the effectiveness of the outreach plan
under subsection (a).
(B) An evaluation of the effectiveness of the outreach pro-
gram under subsection (e).
(C) An evaluation of the effectiveness of the demonstration
program under section 2023 of this title.
(D) Recommendations, if any, regarding an extension or
modification of such outreach plan, such outreach program,
and such demonstration program.
110–387, title VI, Sec. 602(d)(3), Oct. 10, 2008, 122 Stat. 4132.)
§ 2023. Referral and counseling services: veterans at risk of

homelessness who are transitioning from certain
institutions
(a) PROGRAM AUTHORITY.—The Secretary and the Secretary of
Labor (hereinafter in this section referred to as the ‘‘Secretaries’’)
shall carry out a program of referral and counseling services to eli-
gible veterans with respect to benefits and services available to
such veterans under this title and under State law.
(b) LOCATION OF PROGRAM.—The program shall be carried out
in at least 12 locations. One location shall be a penal institution
under the jurisdiction of the Bureau of Prisons.
(c) SCOPE OF PROGRAM.—(1) To the extent practicable, the pro-
gram shall provide both referral and counseling services, and in the
case of counseling services, shall include counseling with respect to
job training and placement (including job readiness), housing,
health care, and other benefits to assist the eligible veteran in the
transition from institutional living.
(2)(A) To the extent that referral or counseling services are
provided at a location under the program, referral services shall be
provided in person during such period of time that the Secretaries
may specify that precedes the date of release or discharge of the
eligible veteran, and counseling services shall be furnished after
such date.
(B) The Secretaries may, as part of the program, furnish to of-
ficials of penal institutions outreach information with respect to re-
ferral and counseling services for presentation to veterans in the

custody of such officials during the 18-month period that precedes
such date of release or discharge.
(3) The Secretaries may enter into contracts to carry out the
referral and counseling services required under the program with
entities or organizations that meet such requirements as the Secre-
taries may establish.
(4) In developing the program, the Secretaries shall consult
with officials of the Bureau of Prisons, officials of penal institutions
of States and political subdivisions of States, and such other offi-
cials as the Secretaries determine appropriate.
(d) DURATION.—The authority of the Secretaries to provide re-
ferral and counseling services under the demonstration program
shall cease on September 30, 2012.
(e) DEFINITION.—In this section, the term ‘‘eligible veteran’’
means a veteran who—
(1) is a resident of a penal institution or an institution that
provides long-term care for mental illness; and
(2) is at risk for homelessness absent referral and coun-
seling services provided under the demonstration program (as
determined under guidelines established by the Secretaries).
110–28, title V, Sec. 5705, May 25, 2007, 121 Stat. 170; Pub. L. 110–387, title VI,
Sec. 602(a)–(d)(2), Oct. 10, 2008, 122 Stat. 4132.)
SUBCHAPTER IV—TREATMENT AND REHABILITATION FOR

SERIOUSLY MENTALLY ILL AND HOMELESS VETERANS
§ 2031. General treatment
(a) In providing care and services under section 1710 of this
title to veterans suffering from serious mental illness, including
veterans who are homeless, the Secretary may provide (directly or
in conjunction with a governmental or other entity)—
(1) outreach services;
(2) care, treatment, and rehabilitative services (directly or
by contract in community-based treatment facilities, including
halfway houses); and
(3) therapeutic transitional housing assistance under sec-
tion 2032 of this title, in conjunction with work therapy under
subsection (a) or (b) of section 1718 of this title and outpatient
care.
(b) The authority of the Secretary under subsection (a) expires
on December 31, 2011.
(Added Pub. L. 105–114, title II, Sec. 202(a), Nov. 21, 1997, 111 Stat. 2284, Sec.
1771; renumbered Sec. 2031 and amended Pub. L. 107–95, Sec. 5(b), (f), Dec. 21,
2001, 115 Stat. 918; Pub. L. 109–444, Sec. 2(c), Dec. 21, 2006, 120 Stat. 3304; Pub.
L. 109–461, title VII, Sec. 704(a), title X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3440,
3468.)
§ 2032. Therapeutic housing
(a) The Secretary, in connection with the conduct of com-
pensated work therapy programs, may operate residences and fa-
cilities as therapeutic housing.
(b) The Secretary may use such procurement procedures for
the purchase, lease, or other acquisition of residential housing for
purposes of this section as the Secretary considers appropriate to

expedite the opening and operation of transitional housing and to
protect the interests of the United States.
(c) A residence or other facility may be operated as transitional
housing for veterans described in paragraphs (1) and (2) of section
1710(a) of this title under the following conditions:
(1) Only veterans described in those paragraphs and a
house manager may reside in the residence or facility.
(2) Each resident, other than the house manager, shall be
required to make payments that contribute to covering the ex-
penses of board and the operational costs of the residence or
facility for the period of residence in such housing.
(3) In order to foster the therapeutic and rehabilitative ob-
jectives of such housing (A) residents shall be prohibited from
using alcohol or any controlled substance or item, (B) any resi-
dent violating that prohibition may be expelled from the resi-
dence or facility, and (C) each resident shall agree to undergo
drug testing or such other measures as the Secretary shall pre-
scribe to ensure compliance with that prohibition.
(4) In the establishment and operation of housing under
this section, the Secretary shall consult with appropriate rep-
resentatives of the community in which the housing is estab-
lished and shall comply with zoning requirements, building
permit requirements, and other similar requirements applica-
ble to other real property used for similar purposes in the com-
munity.
(5) The residence or facility shall meet State and commu-
nity fire and safety requirements applicable to other real prop-
erty used for similar purposes in the community in which the
transitional housing is located, but fire and safety require-
ments applicable to buildings of the Federal Government shall
not apply to such property.
(d) The Secretary shall prescribe the qualifications for house
managers for transitional housing units operated under this sec-
tion. The Secretary may provide for free room and subsistence for
a house manager in addition to, or instead of payment of, a fee for
the services provided by the manager.
(e)(1) The Secretary may operate as transitional housing under
this section—
(A) any suitable residential property acquired by the Sec-
retary as the result of a default on a loan made, guaranteed,
or insured under chapter 37 of this title;
(B) any suitable space in a facility under the jurisdiction
of the Secretary that is no longer being used (i) to provide
acute hospital care, or (ii) as housing for medical center em-
ployees; and
(C) any other suitable residential property purchased,
leased, or otherwise acquired by the Secretary.
(2) In the case of any property referred to in paragraph (1)(A),
the Secretary shall—
(A) transfer administrative jurisdiction over such property
within the Department from the Veterans Benefits Administra-
tion to the Veterans Health Administration; and
(B) transfer from the General Post Fund to the Loan Guar-
anty Revolving Fund under chapter 37 of this title an amount
(not to exceed the amount the Secretary paid for the property)
representing the amount the Secretary considers could be ob-
tained by sale of such property to a nonprofit organization or
a State for use as a shelter for homeless veterans.
(3) In the case of any residential property obtained by the Sec-
retary from the Department of Housing and Urban Development
under this section, the amount paid by the Secretary to that De-
partment for that property may not exceed the amount that the
Secretary of Housing and Urban Development would charge for the
sale of that property to a nonprofit organization or a State for use
as a shelter for homeless persons. Funds for such charge shall be
derived from the General Post Fund.
(f) The Secretary shall prescribe—
(1) a procedure for establishing reasonable payment rates
for persons residing in transitional housing; and
(2) appropriate limits on the period for which such persons
may reside in transitional housing.
(g) The Secretary may dispose of any property acquired for the
purpose of this section. The proceeds of any such disposal shall be
credited to the General Post Fund.
(h) Funds received by the Department under this section shall
be deposited in the General Post Fund. The Secretary may dis-
tribute out of the fund such amounts as necessary for the acquisi-
tion, management, maintenance, and disposition of real property
for the purpose of carrying out such program. The Secretary shall
manage the operation of this section so as to ensure that expendi-
tures under this subsection for any fiscal year shall not exceed by
more than $500,000 proceeds credited to the General Post Fund
under this section. The operation of the program and funds re-
ceived shall be separately accounted for, and shall be stated in the
documents accompanying the President’s budget for each fiscal
year.
1772; renumbered Sec. 2032, Pub. L. 107–95, Sec. 5(b)(1), Dec. 21, 2001, 115 Stat.
918.)
§ 2033. Additional services at certain locations

(a) Subject to the availability of appropriations, the Secretary
shall operate a program under this section to expand and improve
the provision of benefits and services by the Department to home-
less veterans.
(b) The program shall include the establishment of sites under
the jurisdiction of the Secretary to be centers for the provision of
comprehensive services to homeless veterans. The services to be
provided at each site shall include a comprehensive and coordi-
nated array of those specialized services which may be provided
under existing law. The Secretary shall carry out the program
under this section in sites in at least each of the 20 largest metro-
politan statistical areas.
(c) The program shall include the services of such employees
of the Veterans Benefits Administration as the Secretary deter-
mines appropriate at sites under the jurisdiction of the Secretary

at which services are provided to homeless veterans.
(d) The program under this section shall terminate on Decem-
ber 31, 2011.
1773; renumbered Sec. 2033 and amended Pub. L. 107–95, Sec. 5(b)(1), (f), 8(b), Dec.
21, 2001, 115 Stat. 918, 919; Pub. L. 109–444, Sec. 2(d), Dec. 21, 2006, 120 Stat.
3304; Pub. L. 109–461, title VII, Sec. 704(b), title X, Sec. 1006(b), Dec. 22, 2006, 120
Stat. 3440, 3468.)
§ 2034. Coordination with other agencies and organizations

(a) In assisting homeless veterans, the Secretary shall coordi-
nate with, and may provide services authorized under this title in
conjunction with, State and local governments, other appropriate
departments and agencies of the Federal Government, and non-
governmental organizations.
(b)(1) The Secretary shall require the director of each medical
center or the director of each regional benefits office to make an
annual assessment of the needs of homeless veterans living within
the area served by the medical center or regional office, as the case
may be.
(2) Each such assessment shall be made in coordination with
representatives of State and local governments, other appropriate
departments and agencies of the Federal Government, and non-
governmental organizations that have experience working with
homeless persons in that area.
(3) Each such assessment shall identify the needs of homeless
veterans with respect to the following:
(A) Health care.
(B) Education and training.
(C) Employment.
(D) Shelter.
(E) Counseling.
(F) Outreach services.
(4) Each assessment shall also indicate the extent to which the
needs referred to in paragraph (3) are being met adequately by the
programs of the Department, of other departments and agencies of
the Federal Government, of State and local governments, and of
nongovernmental organizations.
(5) Each assessment shall be carried out in accordance with
uniform procedures and guidelines prescribed by the Secretary.
(6) The Secretary shall review each annual assessment under
this subsection and shall consolidate the findings and conclusions
of each such assessment into the next annual report submitted to
Congress under section 2065 of this title.
(c) In furtherance of subsection (a), the Secretary shall require
the director of each medical center and the director of each regional
benefits office, in coordination with representatives of State and
local governments, other Federal officials, and nongovernmental or-
ganizations that have experience working with homeless persons in
the areas served by such facility or office, to—
(1) develop a list of all public and private programs that
provide assistance to homeless persons or homeless veterans in
the area concerned, together with a description of the services

offered by those programs;
(2) seek to encourage the development by the representa-
tives of such entities, in coordination with the director, of a
plan to coordinate among such public and private programs the
provision of services to homeless veterans;
(3) take appropriate action to meet, to the maximum ex-
tent practicable through existing programs and available re-
sources, the needs of homeless veterans that are identified in
the assessment conducted under subsection (b); and
(4) attempt to inform homeless veterans whose needs the
director cannot meet under paragraph (3) of the services avail-
able to such veterans within the area served by such center or
office.
1774; renumbered Sec. 2034 and amended Pub. L. 107–95, Secs. 5(b)(1), 6(b), Dec.
21, 2001, 115 Stat. 918, 919.)

§ 2041. Housing assistance for homeless veterans
(a)(1) To assist homeless veterans and their families in acquir-
ing shelter, the Secretary may enter into agreements described in
paragraph (2) with—
(A) nonprofit organizations, with preference being given to
any organization named in, or approved by the Secretary
under, section 5902 of this title; or
(B) any State or any political subdivision thereof.
(2) To carry out paragraph (1), the Secretary may enter into
agreements to sell, lease, lease with an option to purchase, or do-
nate real property, and improvements thereon, acquired by the Sec-
retary as the result of a default on a loan made, insured, or guar-
anteed under this chapter. Such sale or lease or donation shall be
for such consideration as the Secretary determines is in the best
interests of homeless veterans and the Federal Government.
(3) The Secretary may enter into an agreement under para-
graph (1) of this subsection only if—
(A) the Secretary determines that such an action will not
adversely affect the ability of the Department—
(i) to fulfill its statutory missions with respect to the
Department loan guaranty program and the short-and
long-term solvency of the Veterans Housing Benefit Pro-
gram Fund established under section 3722 of this title; or
(ii) to carry out other functions and administer other
programs authorized by law;
(B) the entity to which the property is sold, leased, or do-
nated agrees to—
(i) utilize the property solely as a shelter primarily for
homeless veterans and their families,
(ii) comply with all zoning laws relating to the prop-
erty,
(iii) make no use of the property that is not compatible
with the area where the property is located, and
(iv) take such other actions as the Secretary deter-

mines are necessary or appropriate in the best interests of
homeless veterans and the Federal Government; and
(C) the Secretary determines that there is no significant
likelihood of the property being sold for a price sufficient to re-
duce the liability of the Department or the veteran who de-
faulted on the loan.
(4) The term of any lease under this subsection may not exceed
three years.
(5) An approved entity that leases a property from the Sec-
retary under this section shall be responsible for the payment of
any taxes, utilities, liability insurance, and other maintenance
charges or similar charges that apply to the property.
(6) Any agreement, deed, or other instrument executed by the
Secretary under this subsection shall be on such terms and condi-
tions as the Secretary determines to be appropriate and necessary
to carry out the purpose of such agreement.
(b)(1) Subject to paragraphs (2) and (3), the Secretary may
make loans to organizations described in paragraph (1)(A) of sub-
section (a) to finance the purchase of property by such organiza-
tions under such subsection.
(2) In making a loan under this subsection, the Secretary—
(A) shall establish credit standards to be used for this pur-
pose;
(B) may, pursuant to section 3733(a)(6) of this title, pro-
vide that the loan will bear interest at a rate below the rate
that prevails for similar loans in the market in which the loan
is made; and
(C) may waive the collection of a fee under section 3729 of
this title in any case in which the Secretary determines that
such a waiver would be appropriate.
(c) The Secretary may not enter into agreements under sub-
section (a) after December 31, 2011.
(Added Pub. L. 102–54, Sec. 9(a), June 13, 1991, 105 Stat. 272, Sec. 1835; renum-
bered Sec. 3735, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended
Pub. L. 102–590, Sec. 8, 9, Nov. 10, 1992, 106 Stat. 5140; Pub. L. 103–446, title XII,
Sec. 1201(d)(13), Nov. 2, 1994, 108 Stat. 4684; Pub. L. 104–110, title I, Sec. 101(h),
Feb. 13, 1996, 110 Stat. 768; Pub. L. 105–114, title II, Sec. 203(a), Nov. 21, 1997,
111 Stat. 2288; Pub. L. 105–368, title VI, Sec. 602(e)(1)(G), Nov. 11, 1998, 112 Stat.
3347; Pub. L. 106–117, title IX, Sec. 902, Nov. 30, 1999, 113 Stat. 1587; renumbered
Sec. 2041, Pub. L. 107–95, Sec. 5(c), Dec. 21, 2001, 115 Stat. 918; Pub. L. 108–170,
title IV, Sec. 404, Dec. 6, 2003, 117 Stat. 2063; Pub. L. 109–444, Sec. 8(a)(5), Dec.
21, 2006, 120 Stat. 3313; Pub. L. 109–461, title VII, Sec. 705, title X, Secs.
1004(a)(5), 1006(b), Dec. 22, 2006, 120 Stat. 3440, 3465, 3468.)
§ 2042. Supported housing for veterans participating in

compensated work therapies
The Secretary may authorize homeless veterans in the com-
pensated work therapy program to be provided housing through
the therapeutic residence program under section 2032 of this title
or through grant and per diem providers under subchapter II of
this chapter.
§ 2043. Domiciliary care programs

(a) AUTHORITY.—The Secretary may establish up to 10 pro-
grams under section 1710(b) of this title (in addition to any pro-
gram that is established as of the date of the enactment of this sec-
tion) to provide domiciliary services under such section to homeless
veterans.
(b) ENHANCEMENT OF CAPACITY OF DOMICILIARY CARE PRO-
GRAMS FOR FEMALE VETERANS.—The Secretary shall take appro-
priate actions to ensure that the domiciliary care programs of the
Department are adequate, with respect to capacity and with re-
spect to safety, to meet the needs of veterans who are women.
110–387, title VI, Sec. 603, Oct. 10, 2008, 122 Stat. 4132.)
§ 2044. Financial assistance for supportive services for very

low-income veteran families in permanent housing
(a) DISTRIBUTION OF FINANCIAL ASSISTANCE.—(1) The Sec-
retary shall provide financial assistance to eligible entities ap-
proved under this section to provide and coordinate the provision
of supportive services described in subsection (b) for very low-in-
come veteran families occupying permanent housing.
(2) Financial assistance under this section shall consist of
grants for each such family for which an approved eligible entity
is providing or coordinating the provision of supportive services.
(3)(A) The Secretary shall provide such grants to each eligible
entity that is providing or coordinating the provision of supportive
services.
(B) The Secretary is authorized to establish intervals of pay-
ment for the administration of such grants and establish a max-
imum amount to be awarded, in accordance with the services being
provided and their duration.
(4) In providing financial assistance under paragraph (1), the
Secretary shall give preference to entities providing or coordinating
the provision of supportive services for very low-income veteran
families who are transitioning from homelessness to permanent
housing.
(5) The Secretary shall ensure that, to the extent practicable,
financial assistance under this subsection is equitably distributed
across geographic regions, including rural communities and tribal
lands.
(6) Each entity receiving financial assistance under this section
to provide supportive services to a very low-income veteran family
shall notify that family that such services are being paid for, in
whole or in part, by the Department.
(7) The Secretary may require entities receiving financial as-
sistance under this section to submit a report to the Secretary that
describes the projects carried out with such financial assistance.
(b) SUPPORTIVE SERVICES.—The supportive services referred to
in subsection (a) are the following:
(1) Services provided by an eligible entity or a subcon-
tractor of an eligible entity that address the needs of very low-
income veteran families occupying permanent housing, includ-
ing—
(A) outreach services;

(B) case management services;
(C) assistance in obtaining any benefits from the De-
partment which the veteran may be eligible to receive, in-
cluding, but not limited to, vocational and rehabilitation
counseling, employment and training service, educational
assistance, and health care services; and
(D) assistance in obtaining and coordinating the provi-
sion of other public benefits provided in federal, State, or
local agencies, or any organization defined in subsection
(f), including—
(i) health care services (including obtaining health
insurance);
(ii) daily living services;
(iii) personal financial planning;
(iv) transportation services;
(v) income support services;
(vi) fiduciary and representative payee services;
(vii) legal services to assist the veteran family
with issues that interfere with the family’s ability to
obtain or retain housing or supportive services;
(viii) child care;
(ix) housing counseling; and
(x) other services necessary for maintaining inde-
pendent living.
(2) Services described in paragraph (1) that are delivered
to very low-income veteran families who are homeless and who
are scheduled to become residents of permanent housing with-
in 90 days pending the location or development of housing suit-
able for permanent housing.
(3) Services described in paragraph (1) for very low-income
veteran families who have voluntarily chosen to seek other
housing after a period of tenancy in permanent housing, that
are provided, for a period of 90 days after such families exit
permanent housing or until such families commence receipt of
other housing services adequate to meet their current needs,
but only to the extent that services under this paragraph are
designed to support such families in their choice to transition
into housing that is responsive to their individual needs and
preferences.
(c) APPLICATION FOR FINANCIAL ASSISTANCE.—(1) An eligible
entity seeking financial assistance under subsection (a) shall sub-
mit to the Secretary an application therefor in such form, in such
manner, and containing such commitments and information as the
Secretary determines to be necessary to carry out this section.
(2) Each application submitted by an eligible entity under
paragraph (1) shall contain—
(A) a description of the supportive services proposed to be
provided by the eligible entity and the identified needs for
those services;
(B) a description of the types of very low-income veteran
families proposed to be provided such services;
(C) an estimate of the number of very low-income veteran
families proposed to be provided such services;
(D) evidence of the experience of the eligible entity in pro-

viding supportive services to very low-income veteran families;
and
(E) a description of the managerial capacity of the eligible
entity—
(i) to coordinate the provision of supportive services
with the provision of permanent housing by the eligible en-
tity or by other organizations;
(ii) to assess continuously the needs of very low-in-
come veteran families for supportive services;
(iii) to coordinate the provision of supportive services
with the services of the Department;
(iv) to tailor supportive services to the needs of very
low-income veteran families; and
(v) to seek continuously new sources of assistance to
ensure the long-term provision of supportive services to
very low-income veteran families.
(3) The Secretary shall establish criteria for the selection of eli-
gible entities to be provided financial assistance under this section.
(d) TECHNICAL ASSISTANCE.—(1) The Secretary shall provide
training and technical assistance to participating eligible entities
regarding the planning, development, and provision of supportive
services to very low-income veteran families occupying permanent
housing, through the Technical Assistance grants program in sec-
(2) The Secretary may provide the training described in para-
graph (1) directly or through grants or contracts with appropriate
public or nonprofit private entities.
(e) FUNDING.—(1) From amounts appropriated to the Depart-
ment for Medical Services, there shall be available to carry out sub-
section (a), (b), and (c) amounts as follows:
(A) $15,000,000 for fiscal year 2009.
(B) $20,000,000 for fiscal year 2010.
(C) $25,000,000 for fiscal year 2011.
(2) Not more than $750,000 may be available under paragraph
(1) in any fiscal year to provide technical assistance under sub-
section (d).
(3) There is authorized to be appropriated $1,000,000 for each
of the fiscal year 2009 through 2011 to carry out the provisions of
subsection (d).
(f) DEFINITIONS.—In this section:
(1) The term ‘‘consumer cooperative’’ has the meaning
given such term in section 202 of the Housing Act of 1959 (12
U.S.C. 1701q).
(2) The term ‘‘eligible entity’’ means—
(A) a private nonprofit organization; or
(B) a consumer cooperative.
(3) The term ‘‘homeless’’ has the meaning given that term
in section 103 of the McKinney-Vento Homeless Assistance Act
(42 U.S.C. 11302).
(4) The term ‘‘permanent housing’’ means community-
based housing without a designated length of stay.
(5) The term ‘‘private nonprofit organization’’ means any of
the following:
(A) Any incorporated private institution or founda-

tion—
(i) no part of the net earnings of which inures to
the benefit of any member, founder, contributor, or in-
dividual;
(ii) which has a governing board that is respon-
sible for the operation of the supportive services pro-
vided under this section; and
(iii) which is approved by the Secretary as to fi-
nancial responsibility.
(B) A for-profit limited partnership, the sole general
partner of which is an organization meeting the require-
ments of clauses (i), (ii), and (iii) of subparagraph (A).
(C) A corporation wholly owned and controlled by an
organization meeting the requirements of clauses (i), (ii),
and (iii) of subparagraph (A).
(D) A tribally designated housing entity (as defined in
section 4 of the Native American Housing Assistance and
Self-Determination Act of 1996 (25 U.S.C. 4103)).
(6)(A) Subject to subparagraphs (B) and (C), the term ‘‘very
low-income veteran family’’ means a veteran family whose in-
come does not exceed 50 percent of the median income for an
area specified by the Secretary for purposes of this section, as
determined by the Secretary in accordance with this para-
graph.
(B) The Secretary shall make appropriate adjustments to
the income requirement under subparagraph (A) based on fam-
ily size.
(C) The Secretary may establish an income ceiling higher
or lower than 50 percent of the median income for an area if
the Secretary determines that such variations are necessary
because the area has unusually high or low construction costs,
fair market rents (as determined under section 8 of the United
States Housing Act of 1937 (42 U.S.C. 1437f)), or family in-
comes.
(7) The term ‘‘veteran family’’ includes a veteran who is a
single person and a family in which the head of household or
the spouse of the head of household is a veteran.
(Added Pub. L. 110–387, title VI, Sec. 604(b)(1), Oct. 10, 2008, 122 Stat. 4132.)
SUBCHAPTER VI—LOAN GUARANTEE FOR MULTIFAMILY

TRANSITIONAL HOUSING
§ 2051. General authority
(a) The Secretary may guarantee the full or partial repayment
of a loan that meets the requirements of this subchapter.
(b)(1) Not more than 15 loans may be guaranteed under sub-
section (a), of which not more than five such loans may be guaran-
teed during the 3-year period beginning on the date of the enact-
ment of this subchapter.
(2) A guarantee of a loan under subsection (a) shall be in an
amount that is not less than the amount necessary to sell the loan
in a commercial market.
(3) Not more than an aggregate amount of $100,000,000 in

loans may be guaranteed under subsection (a).
(c) A loan may not be guaranteed under this subchapter un-
less, before closing such loan, the Secretary has approved the loan.
(d)(1) The Secretary shall enter into contracts with a qualified
nonprofit organization, or other qualified organization, that has ex-
perience in underwriting transitional housing projects to obtain ad-
vice in carrying out this subchapter, including advice on the terms
and conditions necessary for a loan that meets the requirements of
(2) For purposes of paragraph (1), a nonprofit organization is
an organization that is described in paragraph (3) or (4) of sub-
section (c) of section 501 of the Internal Revenue Code of 1986 and
is exempt from tax under subsection (a) of such section.
(e) The Secretary may carry out this subchapter in advance of
the issuance of regulations for such purpose.
(f) The Secretary may guarantee loans under this subchapter
notwithstanding any requirement for prior appropriations for such
purpose under any provision of law.
(g) Notwithstanding any other provision of law, a multifamily
transitional housing project that is funded by a loan guaranteed
under this subchapter may accept uncompensated voluntary serv-
ices performed by any eligible entity (as that term is defined in sec-
tion 2011(d) of this title) in connection with the construction, alter-
ation, or repair of such project.
(Added Pub. L. 105–368, title VI, Sec. 601(a), Nov. 11, 1998, 112 Stat. 3342, Sec.
3772; renumbered Sec. 2051 and amended Pub. L. 107–95, Sec. 5(d)(1), (2)(B), Dec.
21, 2001, 115 Stat. 918; Pub. L. 108–454, title IV, Sec. 402(a), Dec. 10, 2004, 118
Stat. 3615.)
§ 2052. Requirements
(a) A loan referred to in section 2051 of this title meets the re-
quirements of this subchapter if each of the following requirements
is met:
(1) The loan—
(A) is for—
(i) construction of, rehabilitation of, or acquisition
of land for a multifamily transitional housing project
described in subsection (b), or more than one of such
purposes; or
(ii) refinancing of an existing loan for such a
project; and
(B) may also include additional reasonable amounts
for—
(i) financing acquisition of furniture, equipment,
supplies, or materials for the project; or
(ii) in the case of a loan made for purposes of sub-
paragraph (A)(i), supplying the organization carrying
out the project with working capital relative to the
project.
(2) The loan is made in connection with funding or the pro-
vision of substantial property or services for such project by ei-
ther a State or local government or a nongovernmental entity,
or both.
(3) The maximum loan amount does not exceed the lesser
of—
(A) that amount generally approved (utilizing prudent
underwriting principles) in the consideration and approval
of projects of similar nature and risk so as to assure repay-
ment of the loan obligation; and
(B) 90 percent of the total cost of the project.
(4) The loan is of sound value, taking into account the
creditworthiness of the entity (and the individual members of
the entity) applying for such loan.
(5) The loan is secured.
(6) The loan is subject to such terms and conditions as the
Secretary determines are reasonable, taking into account other
housing projects with similarities in size, location, population,
and services provided.
(b) For purposes of this subchapter, a multifamily transitional
housing project referred to in subsection (a)(1) is a project that—
(1) provides transitional housing to homeless veterans,
which housing may be single room occupancy (as defined in
section 8(n) of the United States Housing Act of 1937 (42
U.S.C. 1437f(n)));
(2) provides supportive services and counselling services
(including job counselling) at the project site with the goal of
making such veterans self-sufficient;
(3) requires that each such veteran seek to obtain and
maintain employment;
(4) charges a reasonable fee for occupying a unit in such
housing; and
(5) maintains strict guidelines regarding sobriety as a con-
dition of occupying such unit.
(c) Such a project—
(1) may include space for neighborhood retail services,
other commercial activities, or job training programs; and
(2) may provide transitional housing to veterans who are
not homeless and to homeless individuals who are not veterans
if—
(A) at the time of taking occupancy by any such vet-
eran or homeless individual, the transitional housing
needs of homeless veterans in the project area have been
met;
(B) the housing needs of any such veteran or homeless
individual can be met in a manner that is compatible with
the manner in which the needs of homeless veterans are
met under paragraph (1); and
(C) the provisions of paragraphs (4) and (5) of sub-
section (b) are met.
(d) In determining whether to guarantee a loan under this sub-
chapter, the Secretary shall consider—
(1) the availability of Department of Veterans Affairs med-
ical services to residents of the multifamily transitional hous-
ing project; and
(2) the extent to which needs of homeless veterans are met
in a community, as assessed under section 107 of Public Law
102–405.
3773; renumbered Sec. 2052 and amended Pub. L. 107–95, Sec. 5(d)(1), (2)(C), Dec.
21, 2001, 115 Stat. 918; Pub. L. 108–454, title IV, Sec. 402(b), Dec. 10, 2004, 118
Stat. 3616.)
§ 2053. Default
(a) The Secretary shall take such steps as may be necessary to
obtain repayment on any loan that is in default and that is guaran-
teed under this subchapter.
(b) Upon default of a loan guaranteed under this subchapter
and terminated pursuant to State law, a lender may file a claim
under the guarantee for an amount not to exceed the lesser of—
(1) the maximum guarantee; or
(2) the difference between—
(A) the total outstanding obligation on the loan, in-
cluding principal, interest, and expenses authorized by the
loan documents, through the date of the public sale (as au-
thorized under such documents and State law); and
(B) the amount realized at such sale.
3774; renumbered Sec. 2053, Pub. L. 107–95, Sec. 5(d)(1), Dec. 21, 2001, 115 Stat.
918.)
§ 2054. Audit
(a) During each of the first 3 years of operation of a multi-
family transitional housing project with respect to which a loan is
guaranteed under this subchapter, there shall be an annual, inde-
pendent audit of such operation. Such audit shall include a detailed
statement of the operations, activities, and accomplishments of
such project during the year covered by such audit. The party re-
sponsible for obtaining such audit (and paying the costs therefor)
shall be determined before the Secretary issues a guarantee under
this subchapter.
(b) After the first three years of operation of such a multi-
family transitional housing project, the Secretary may provide for
periodic audits of the project.
3775; amended Pub. L. 106–117, title VII, Sec. 712, Nov. 30, 1999, 113 Stat. 1584;
renumbered Sec. 2054, Pub. L. 107–95, Sec. 5(d)(1), Dec. 21, 2001, 115 Stat. 918.)

§ 2061. Grant program for homeless veterans with special
needs
(a) ESTABLISHMENT.—The Secretary shall carry out a program
to make grants to health care facilities of the Department and to
grant and per diem providers in order to encourage development by
those facilities and providers of programs for homeless veterans
with special needs.
(b) HOMELESS VETERANS WITH SPECIAL NEEDS.—For purposes
of this section, homeless veterans with special needs include home-
less veterans who are—
(1) women, including women who have care of minor de-
pendents;
(2) frail elderly;
(3) terminally ill; or

(4) chronically mentally ill.
(c) FUNDING.—(1) From amounts appropriated to the Depart-
ment for ‘‘Medical Services’’ for each of fiscal years 2007 through
2011, $5,000,000 shall be available for each such fiscal year for the
purposes of the program under this section.
(2) The Secretary shall ensure that funds for grants under this
section are designated for the first three years of operation of the
program under this section as a special purpose program for which
funds are not allocated through the Veterans Equitable Resource
Allocation system.
§ 2062. Dental care

(a) IN GENERAL.—For purposes of section 1712(a)(1)(H) of this
title, outpatient dental services and treatment of a dental condition
or disability of a veteran described in subsection (b) shall be consid-
ered to be medically necessary, subject to subsection (c), if—
(1) the dental services and treatment are necessary for the
veteran to successfully gain or regain employment;
(2) the dental services and treatment are necessary to al-
leviate pain; or
(3) the dental services and treatment are necessary for
treatment of moderate, severe, or severe and complicated gin-
gival and periodontal pathology.
(b) ELIGIBLE VETERANS.—Subsection (a) applies to a veteran—
(1) who is enrolled for care under section 1705(a) of this
title; and
(2) who, for a period of 60 consecutive days, is receiving
care (directly or by contract) in any of the following settings:
(A) A domiciliary under section 1710 of this title.
(B) A therapeutic residence under section 2032 of this
title.
(C) Community residential care coordinated by the
Secretary under section 1730 of this title.
(D) A setting for which the Secretary provides funds
for a grant and per diem provider.
(3) For purposes of paragraph (2), in determining whether
a veteran has received treatment for a period of 60 consecutive
days, the Secretary may disregard breaks in the continuity of
treatment for which the veteran is not responsible.
(c) LIMITATION.—Dental benefits provided by reason of this sec-
tion shall be a one-time course of dental care provided in the same
manner as the dental benefits provided to a newly discharged vet-
eran.
§ 2063. Employment assistance

The Secretary may authorize homeless veterans receiving care
through vocational rehabilitation programs to participate in the
compensated work therapy program under section 1718 of this
title.
§ 2064. Technical assistance grants for nonprofit commu-

nity-based groups
(a) GRANT PROGRAM.—The Secretary shall carry out a program
to make grants to entities or organizations with expertise in pre-
paring grant applications. Under the program, the entities or orga-
nizations receiving grants shall provide technical assistance to non-
profit community-based groups with experience in providing assist-
ance to homeless veterans in order to assist such groups in apply-
ing for grants under this chapter and other grants relating to ad-
dressing problems of homeless veterans.
(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated $1,000,000 for each of fiscal years 2007 through
2012 to carry out the program under this section.
§ 2065. Annual report on assistance to homeless veterans

(a) ANNUAL REPORT.—Not later than June 15 of each year, the
Secretary shall submit to the Committees on Veterans’ Affairs of
the Senate and House of Representatives a report on the activities
of the Department during the calendar year preceding the report
under programs of the Department under this chapter and other
programs of the Department for the provision of assistance to
homeless veterans.
(b) GENERAL CONTENTS OF REPORT.—Each report under sub-
(1) The number of homeless veterans provided assistance
under the programs referred to in subsection (a).
(2) The cost to the Department of providing such assist-
ance under those programs.
(3) The Secretary’s evaluation of the effectiveness of the
programs of the Department in providing assistance to home-
less veterans, including—
(A) residential work-therapy programs;
(B) programs combining outreach, community-based
residential treatment, and case-management; and
(C) contract care programs for alcohol and drug-de-
pendence or use disabilities.
(4) The Secretary’s evaluation of the effectiveness of pro-
grams established by recipients of grants under section 2011 of
this title and a description of the experience of those recipients
in applying for and receiving grants from the Secretary of
Housing and Urban Development to serve primarily homeless
persons who are veterans.
(5) Information on the efforts of the Secretary to coordi-
nate the delivery of housing and services to homeless veterans
with other Federal departments and agencies, including—
(A) the Department of Defense;
(B) the Department of Health and Human Services;
(C) the Department of Housing and Urban Develop-
ment;
(D) the Department of Justice;
(E) the Department of Labor;

(F) the Interagency Council on Homelessness;
(G) the Social Security Administration; and
(H) any other Federal department or agency with
which the Secretary coordinates the delivery of housing
and services to homeless veterans.
(6) Any other information on those programs and on the
provision of such assistance that the Secretary considers appro-
priate.
(c) HEALTH CARE CONTENTS OF REPORT.—Each report under
subsection (a) shall include, with respect to programs of the De-
partment addressing health care needs of homeless veterans, the
following:
(1) Information about expenditures, costs, and workload
under the program of the Department known as the Health
Care for Homeless Veterans program (HCHV).
(2) Information about the veterans contacted through that
program.
(3) Information about program treatment outcomes under
that program.
(4) Information about supported housing programs.
(5) Information about the Department’s grant and per
diem provider program under subchapter II of this chapter.
(6) The findings and conclusions of the assessments of the
medical needs of homeless veterans conducted under section
(7) Other information the Secretary considers relevant in
assessing those programs.
(d) BENEFITS CONTENT OF REPORT.—Each report under sub-
section (a) shall include, with respect to programs and activities of
the Veterans Benefits Administration in processing of claims for
benefits of homeless veterans during the preceding year, the fol-
lowing:
(1) Information on costs, expenditures, and workload of
Veterans Benefits Administration claims evaluators in proc-
essing claims for benefits of homeless veterans.
(2) Information on the filing of claims for benefits by home-
less veterans.
(3) Information on efforts undertaken to expedite the proc-
essing of claims for benefits of homeless veterans.
(4) Other information that the Secretary considers relevant
in assessing the programs and activities.
108–170, title IV, Sec. 405(b), Dec. 6, 2003, 117 Stat. 2063; Pub. L. 109–461, title
VII, Sec. 708, Dec. 22, 2006, 120 Stat. 3440; Pub. L. 110–387, title IX, Sec. 901(a)(2),
Oct. 10, 2008, 122 Stat. 4142.)
§ 2066. Advisory Committee on Homeless Veterans

(a) ESTABLISHMENT.—(1) There is established in the Depart-
ment the Advisory Committee on Homeless Veterans (hereinafter
in this section referred to as the ‘‘Committee’’).
appointed by the Secretary from among the following:
(A) Veterans service organizations.
(B) Advocates of homeless veterans and other homeless in-

dividuals.
(C) Community-based providers of services to homeless in-
dividuals.
(D) Previously homeless veterans.
(E) State veterans affairs officials.
(F) Experts in the treatment of individuals with mental ill-
ness.
(G) Experts in the treatment of substance use disorders.
(H) Experts in the development of permanent housing al-
ternatives for lower income populations.
(I) Experts in vocational rehabilitation.
(J) Such other organizations or groups as the Secretary
considers appropriate.
(3) The Committee shall include, as ex officio members, the fol-
lowing:
(A) The Secretary of Labor (or a representative of the Sec-
retary selected after consultation with the Assistant Secretary
of Labor for Veterans’ Employment).
(B) The Secretary of Defense (or a representative of the
Secretary).
(C) The Secretary of Health and Human Services (or a rep-
resentative of the Secretary).
(D) The Secretary of Housing and Urban Development (or
a representative of the Secretary).
(E) The Executive Director of the Interagency Council on
Homelessness (or a representative of the Executive Director).
(F) The Under Secretary for Health (or a representative of
the Under Secretary after consultation with the Director of the
Office of Homeless Veterans Programs).
(G) The Under Secretary for Benefits (or a representative
of the Under Secretary after consultation with the Director of
the Office of Homeless Veterans Programs).
(4)(A) The Secretary shall determine the terms of service and
allowances of the members of the Committee, except that a term
of service may not exceed three years. The Secretary may reappoint
any member for additional terms of service.
(B) Members of the Committee shall serve without pay. Mem-
bers may receive travel expenses, including per diem in lieu of sub-
sistence for travel in connection with their duties as members of
the Committee.
(b) DUTIES.—(1) The Secretary shall consult with and seek the
advice of the Committee on a regular basis with respect to the pro-
vision by the Department of benefits and services to homeless vet-
erans.
(2) In providing advice to the Secretary under this subsection,
the Committee shall—
(A) assemble and review information relating to the needs
of homeless veterans;
(B) provide an on-going assessment of the effectiveness of
the policies, organizational structures, and services of the De-
partment in assisting homeless veterans; and
(C) provide on-going advice on the most appropriate means
of providing assistance to homeless veterans.
(3) The Committee shall—

(A) review the continuum of services provided by the De-
partment directly or by contract in order to define cross-cutting
issues and to improve coordination of all services with the De-
partment that are involved in addressing the special needs of
homeless veterans;
(B) identify (through the annual assessments under section
2034 of this title and other available resources) gaps in pro-
grams of the Department in serving homeless veterans, includ-
ing identification of geographic areas with unmet needs, and
provide recommendations to address those gaps;
(C) identify gaps in existing information systems on home-
less veterans, both within and outside the Department, and
provide recommendations about redressing problems in data
collection;
(D) identify barriers under existing laws and policies to ef-
fective coordination by the Department with other Federal
agencies and with State and local agencies addressing home-
less populations;
(E) identify opportunities for increased liaison by the De-
partment with nongovernmental organizations and individual
groups providing services to homeless populations;
(F) with appropriate officials of the Department designated
by the Secretary, participate with the Interagency Council on
the Homeless under title II of the McKinney-Vento Homeless
Assistance Act (42 U.S.C. 11311 et seq.);
(G) recommend appropriate funding levels for specialized
programs for homeless veterans provided or funded by the De-
partment;
(H) recommend appropriate placement options for veterans
who, because of advanced age, frailty, or severe mental illness,
may not be appropriate candidates for vocational rehabilitation
or independent living; and
(I) perform such other functions as the Secretary may di-
rect.
(c) REPORTS.—(1) Not later than March 31 of each year, the
Committee shall submit to the Secretary a report on the programs
and activities of the Department that relate to homeless veterans.
Each such report shall include—
(A) an assessment of the needs of homeless veterans;
ment designed to meet such needs;
(C) a review of the activities of the Committee; and
(D) such recommendations (including recommendations for
siders appropriate.
(2) Not later than 90 days after the receipt of a report under
paragraph (1), the Secretary shall transmit to the Committees on
Veterans’ Affairs of the Senate and House of Representatives a
copy of the report, together with any comments and recommenda-
tions concerning the report that the Secretary considers appro-
priate.

propriate.
retary submitted pursuant to that section.
(d) TERMINATION.—The Committee shall cease to exist Decem-
ber 30, 2011.
109–444, Sec. 2(e), Dec. 21, 2006, 120 Stat. 3304; Pub. L. 109–461, title VII, Sec.
709, title X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3441, 3468.)
341
CHAPTER 21—SPECIALLY ADAPTED HOUSING FOR
DISABLED VETERANS
Sec.
2101. Acquisition and adaptation of housing: eligible veterans.
2101A. Eligibility for benefits and assistance: members of the Armed Forces with
service-connected disabilities; individuals residing outside the United
States.
2102. Limitations on assistance furnished.
2102A. Assistance for individuals residing temporarily in housing owned by a
family member.
2103. Furnishing of plans and specifications.
2104. Benefits additional to benefits under other laws.
2105. Nonliability of United States.
2106. Veterans’ mortgage life insurance.
2107. Coordination of administration of benefits.
§ 2101. Acquisition and adaptation of housing: eligible vet-
erans
(a) ACQUISITION OF HOUSING WITH SPECIAL FEATURES.—(1)
Subject to paragraph (3), the Secretary may assist a disabled vet-
eran described in paragraph (2) in acquiring a suitable housing
unit with special fixtures or movable facilities made necessary by
the nature of the veteran’s disability, and necessary land therefor.
(2) A veteran is described in this paragraph if the veteran is
entitled to compensation under chapter 11 of this title for a perma-
nent and total service-connected disability that meets any of the
following criteria:
(A) The disability is due to the loss, or loss of use, of both
lower extremities such as to preclude locomotion without the
aid of braces, crutches, canes, or a wheelchair.
(B) The disability is due to—
(i) blindness in both eyes, having only light perception,
plus (ii) loss or loss of use of one lower extremity.
(C) The disability is due to the loss or loss of use of one
lower extremity together with—
(i) residuals of organic disease or injury; or
(ii) the loss or loss of use of one upper extremity,
which so affect the functions of balance or propulsion as to
preclude locomotion without the aid of braces, crutches,
canes, or a wheelchair.
(D) The disability is due to the loss, or loss of use, of both
upper extremities such as to preclude use of the arms at or
above the elbows.
(E) The disability is due to a severe burn injury (as deter-
mined pursuant to regulations prescribed by the Secretary).
343
Sec. 2101 CH. 21—SPECIALLY ADAPTED HOUSING 344
(3) The regulations prescribed under subsection (d) shall re-

quire that assistance under paragraph (1) may be provided to a
veteran only if the Secretary finds that—
(A) it is medically feasible for the veteran to reside in the
proposed housing unit and in the proposed locality;
(B) the proposed housing unit bears a proper relation to
the veteran’s present and anticipated income and expenses;
and
(C) the nature and condition of the proposed housing unit
are such as to be suitable to the veteran’s needs for dwelling
purposes.
(b) ADAPTATIONS TO RESIDENCE OF VETERAN.—(1) Subject to
paragraph (3), the Secretary shall assist any disabled veteran de-
scribed in paragraph (2) (other than a veteran who is eligible for
assistance under subsection (a))—
(A) in acquiring such adaptations to such veteran’s resi-
dence as are determined by the Secretary to be reasonably nec-
essary because of such disability; or
(B) in acquiring a residence already adapted with special
features determined by the Secretary to be reasonably nec-
essary for the veteran because of such disability.
(2) A veteran is described in this paragraph if the veteran is
entitled to compensation under chapter 11 of this title for a perma-
nent and total service-connected disability that meets any of the
following criteria:
(A) The disability is due to blindness in both eyes with 5/
200 visual acuity or less.
(B) The disability includes the anatomical loss or loss of
use of both hands.
(C) The disability is due to a severe burn injury (as so de-
termined).
(3) Assistance under paragraph (1) may be provided only to a
veteran who the Secretary determines—
(A) is residing in and reasonably intends to continue resid-
ing in a residence owned by such veteran or by a member of
such veteran’s family; or
(B) if the veteran’s residence is to be constructed or pur-
chased, will be residing in and reasonably intends to continue
residing in a residence owned by such veteran or by a member
of such veteran’s family.
(c) REGULATIONS.—Assistance under this section shall be pro-
vided in accordance with such regulations as the Secretary may
prescribe.
1959, 73 Stat. 472; Pub. L. 88–401, Aug. 4, 1964, 78 Stat. 380; Pub. L. 91–22, Sec.
1, June 6, 1969, 83 Stat. 32; Pub. L. 95–117, title IV, Sec. 401, Oct. 3, 1977, 91 Stat.
1065; Pub. L. 96–385, title III, Sec. 301(a), Oct. 7, 1980, 94 Stat. 1531; Pub. L. 99–
576, title IV, Sec. 401(a), title VII, Sec. 701(48), 702(7), Oct. 28, 1986, 100 Stat.
3280, 3295, 3302; renumbered Sec. 2101 and amended Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 108–183, title IV, Sec. 401,
Dec. 16, 2003, 117 Stat. 2664; Pub. L. 108–454, title IV, Sec. 401, Dec. 10, 2004,
118 Stat. 3614; Pub. L. 109–233, title I, Sec. 105(a), June 15, 2006, 120 Stat. 402;
Pub. L. 110–289, div. B, title VI, Secs. 2602(b)(1), (7)(A), 2603, July 30, 2008, 122
Stat. 2859, 2860.)
345 CH. 21—SPECIALLY ADAPTED HOUSING Sec. 2102
§ 2101A. Eligibility for benefits and assistance: members of

the Armed Forces with service-connected disabil-
ities; individuals residing outside the United States
(a) MEMBERS WITH SERVICE-CONNECTED DISABILITIES.—(1) The
Secretary may provide assistance under this chapter to a member
of the Armed Forces serving on active duty who is suffering from
a disability that meets applicable criteria for benefits under this
chapter if the disability is incurred or aggravated in line of duty
in the active military, naval, or air service. Such assistance shall
be provided to the same extent as assistance is provided under this
chapter to veterans eligible for assistance under this chapter and
subject to the same requirements as veterans under this chapter.
(2) For purposes of this chapter, any reference to a veteran or
eligible individual shall be treated as a reference to a member of
the Armed Forces described in subsection (a) who is similarly situ-
ated to the veteran or other eligible individual so referred to.
(b) BENEFITS AND ASSISTANCE FOR INDIVIDUALS RESIDING OUT-
SIDE THE UNITED STATES.—(1) Subject to paragraph (2), the Sec-
retary may, at the Secretary’s discretion, provide benefits and as-
sistance under this chapter (other than benefits under section 2106
of this title) to any individual otherwise eligible for such benefits
and assistance who resides outside the United States.
(2) The Secretary may provide benefits and assistance to an in-
dividual under paragraph (1) only if—
(A) the country or political subdivision in which the hous-
ing or residence involved is or will be located permits the indi-
vidual to have or acquire a beneficial property interest (as de-
termined by the Secretary) in such housing or residence; and
(B) the individual has or will acquire a beneficial property
interest (as so determined) in such housing or residence.
(c) REGULATIONS.—Benefits and assistance under this chapter
by reason of this section shall be provided in accordance with such
regulations as the Secretary may prescribe.
(Added Pub. L. 110–289, div. B, title VI, Sec. 2602(a), July 30, 2008, 122 Stat. 2858.)
§ 2102. Limitations on assistance furnished

(a) The assistance authorized by section 2101(a) of this title
shall be afforded under one of the following plans, at the option of
the individual—
(1) where the individual elects to construct a housing unit
on land to be acquired by such individual, the Secretary shall
pay not to exceed 50 percent of the total cost to the individual
of (A) the housing unit and (B) the necessary land upon which
it is to be situated;
(2) where the individual elects to construct a housing unit
on land acquired by such individual prior to application for as-
sistance under this chapter, the Secretary shall pay not to ex-
ceed the smaller of the following sums: (A) 50 percent of the
total cost to the individual of the housing unit and the land
necessary for such housing unit, or (B) 50 percent of the cost
to the individual of the housing unit plus the full amount of
the unpaid balance, if any, of the cost to the individual of the
land necessary for such housing unit;
(3) where the individual elects to remodel a dwelling which

is not adapted to the requirements of such individual’s dis-
ability, acquired by such individual prior to application for as-
sistance under this chapter, the Secretary shall pay not to ex-
ceed (A) the cost to the individual of such remodeling; or (B)
50 percent of the cost to the individual of such remodeling;
plus the smaller of the following sums: (i) 50 percent of the
cost to the individual of such dwelling and the necessary land
upon which it is situated, or (ii) the full amount of the unpaid
balance, if any, of the cost to the individual of such dwelling
and the necessary land upon which it is situated; and
(4) where the individual has acquired a suitable housing
unit, the Secretary shall pay not to exceed the smaller of the
following sums: (A) 50 percent of the cost to the individual of
such housing unit and the necessary land upon which it is situ-
ated, or (B) the full amount of the unpaid balance, if any, of
the cost to the individual of such housing unit and the nec-
essary land upon which it is situated.
(b) Except as provided in section 2104(b) of this title, the as-
sistance authorized by section 2101(b) of this title shall be limited
to the lesser of—
(1) the actual cost, or, in the case of an individual acquir-
ing a residence already adapted with special features, the fair
market value, of the adaptations determined by the Secretary
under such section 2101(b) to be reasonably necessary, or
(2) $12,000.
(c) The amount of assistance afforded under subsection (a) for
an individual authorized assistance by section 2101(a) of this title
shall not be reduced by reason that title to the housing unit, which
is vested in the individual, is also vested in any other person, if the
individual resides in the housing unit.
(d)(1) The aggregate amount of assistance available to an indi-
vidual under sections 2101(a) and 2102A of this title shall be lim-
ited to $60,000.
(2) The aggregate amount of assistance available to an indi-
vidual under sections 2101(b) and 2102A of this title shall be lim-
ited to $12,000.
(3) No veteran may receive more than three grants of assist-
ance under this chapter.
(e)(1) Effective on October 1 of each year (beginning in 2009),
the Secretary shall increase the amounts described in subsection
(b)(2) and paragraphs (1) and (2) of subsection (d) in accordance
(2) The increase in amounts under paragraph (1) to take effect
on October 1 of a year shall be by an amount of such amounts
equal to the percentage by which—
(A) the residential home cost-of-construction index for the
preceding calendar year, exceeds
(B) the residential home cost-of-construction index for the
year preceding the year described in subparagraph (A).
(3) The Secretary shall establish a residential home cost-of-con-
struction index for the purposes of this subsection. The index shall
reflect a uniform, national average change in the cost of residential
home construction, determined on a calendar year basis. The Sec-
retary may use an index developed in the private sector that the
Secretary determines is appropriate for purposes of this subsection.
6, 1969, 83 Stat. 32; Pub. L. 91–506, Sec. 6, Oct. 23, 1970, 84 Stat. 1113; Pub. L.
92–341, July 10, 1972, 86 Stat. 432; Pub. L. 93–569, Sec. 9, Dec. 31, 1974, 88 Stat.
1867; Pub. L. 95–476, title I, Sec. 101, Oct. 18, 1978, 92 Stat. 1497; Pub. L. 96–
385, title III, Sec. 301(b), Oct. 7, 1980, 94 Stat. 1531; Pub. L. 97–66, title V, Sec.
502, Oct. 17, 1981, 95 Stat. 1032; Pub. L. 97–295, Sec. 4(33), Oct. 12, 1982, 96 Stat.
1307; Pub. L. 98–543, title III, Sec. 304(a), Oct. 24, 1984, 98 Stat. 2748; Pub. L. 99–
576, title IV, Sec. 401(b), Oct. 28, 1986, 100 Stat. 3280; Pub. L. 100–322, title III,
Sec. 301, May 20, 1988, 102 Stat. 534; renumbered Sec. 2102 and amended Pub.
105–178, title VIII, Sec. 8204(a), June 9, 1998, 112 Stat. 494; Pub. L. 106–419, title
III, Sec. 321, Nov. 1, 2000, 114 Stat. 1855; Pub. L. 107–103, title IV, Sec. 404, Dec.
27, 2001, 115 Stat. 993; Pub. L. 108–183, title IV, Sec. 402(a), Dec. 16, 2003, 117
Stat. 2664; Pub. L. 109–233, title I, Sec. 101(b), June 15, 2006, 120 Stat. 398; Pub.
L. 110–289, div. B, title VI, Secs. 2602(b)(2), 2605(a), July 30, 2008, 122 Stat. 2859,
2861.)
§ 2102A. Assistance for individuals residing temporarily in

housing owned by a family member
(a) PROVISION OF ASSISTANCE.—In the case of a disabled indi-
vidual who is described in subsection (a)(2) or (b)(2) of section 2101
of this title and who is residing, but does not intend to perma-
nently reside, in a residence owned by a member of such individ-
ual’s family, the Secretary may assist the individual in acquiring
such adaptations to such residence as are determined by the Sec-
retary to be reasonably necessary because of the individual’s dis-
ability.
(b) AMOUNT OF ASSISTANCE.—The assistance authorized under
subsection (a) may not exceed—
(1) $14,000, in the case of an individual described in sec-
tion 2101(a)(2) of this title; or
(2) $2,000, in the case of an individual described in section
(c) LIMITATION.—The assistance authorized by subsection (a)
shall be limited in the case of any individual to one residence.
(d) REGULATIONS.—Assistance under this section shall be pro-
vided in accordance with such regulations as the Secretary may
prescribe.
(e) TERMINATION.—No assistance may be provided under this
section after December 31, 2011.
(Added Pub. L. 109–233, title I, Sec. 101(a), June 15, 2006, 120 Stat. 398; amended
Pub. L. 110–289, div. B, title VI, Secs. 2602(b)(3), (7)(B), 2604, July 30, 2008, 122
Stat. 2859–2861.)
§ 2103. Furnishing of plans and specifications

(a) PLANS AND SPECIFICATIONS.—The Secretary is authorized to
furnish to individuals eligible for assistance under this chapter,
without cost to the individuals, model plans and specifications of
suitable housing units.
(b) HANDBOOK FOR DESIGN.—The Secretary shall make avail-
able to veterans eligible for assistance under this chapter, without
cost to the veterans, a handbook containing appropriate designs for
specially adapted housing. The Secretary shall update such hand-
book at least once every six years to take into account any new or
unique disabilities, including vision impairments, impairments spe-

cific to the upper limbs, and burn injuries.
Pub. L. 110–289, div. B, title VI, Sec. 2602(b)(4), July 30, 2008, 122 Stat. 2859; Pub.
L. 110–389, title V, Sec. 503, Oct. 10, 2008, 122 Stat. 4176.)
§ 2104. Benefits additional to benefits under other laws

(a) Any individual who accepts the benefits of this chapter
shall not by reason thereof be denied the benefits of chapter 37 of
this title; however, except as provided in subsection (b) of this sec-
tion, the assistance authorized by section 2101 of this title shall not
be available to any individual more than once.
(b) An individual eligible for assistance under section 2101(b)
of this title shall not by reason of such eligibility be denied benefits
for which such individual becomes eligible under section 2101(a) of
this title or benefits relating to home health services under section
1717(a)(2) of this title. However, no particular type of adaptation,
improvement, or structural alteration provided to an individual
under section 1717(a)(2) of this title may be provided to such indi-
vidual under section 2101(b) of this title.
Sec. 301(c), Oct. 7, 1980, 94 Stat. 1531; renumbered Sec. 2104 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–262, title I, Sec.
101(e)(2), Oct. 9, 1996, 110 Stat. 3180; Pub. L. 110–289, div. B, title VI, Sec.
2602(b)(5), July 30, 2008, 122 Stat. 2859.)
§ 2105. Nonliability of United States

The Government of the United States shall have no liability in
connection with any housing unit, or necessary land therefor, or ad-
aptation acquired under the provisions of this chapter.
Sec. 301(d), Oct. 7, 1980, 94 Stat. 1531; renumbered Sec. 2105, Pub. L. 102–83, Sec.
5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 2106. Veterans’ mortgage life insurance

(a) The United States shall automatically insure any eligible
individual age 69 or younger who is or has been granted assistance
in securing a suitable housing unit under this chapter against the
death of the individual unless the individual (1) submits to the Sec-
retary in writing the individual’s election not to be insured under
this section, or (2) fails to respond in a timely manner to a request
from the Secretary for information on which the premium for such
insurance can be based.
(b) The amount of insurance provided an individual under this
section may not exceed the lesser of $90,000 or the amount of the
loan outstanding on the housing unit. The amount of such insur-
ance shall be reduced according to the amortization schedule of the
loan and may not at any time exceed the amount of the out-
standing loan with interest. If there is no outstanding loan on the
housing unit, insurance is not payable under this section. If an eli-
gible individual elects not to be insured under this section, the in-
dividual may thereafter be insured under this section, but only
upon submission of an application, payment of required premiums,
and compliance with such health requirements and other terms

and conditions as may be prescribed by the Secretary.
(c) The premiums charged an individual for insurance under
this section shall be paid at such time and in such manner as the
Secretary prescribes. The rates for such premiums shall be based
on such mortality data as the Secretary considers appropriate to
cover only the mortality cost of insuring standard lives. In the case
of an individual receiving compensation or other cash benefits paid
to the individual by the Secretary, the Secretary shall deduct from
such compensation or other benefits the premiums charged the in-
dividual under this section.
(d)(1) The United States shall bear the costs of insurance
under this section to the extent that such costs exceed premiums
established by the Secretary. Premiums collected on insurance
under this section shall be credited to the ‘‘Veterans Insurance and
Indemnities’’ appropriation account, and all disbursements of insur-
ance proceeds under this section shall be made from that account.
(2) There are authorized to be appropriated to the Secretary for
such account such amounts as may be necessary to carry out this
section.
(e) Any amount of insurance in force under this section on the
date of the death of an individual insured under this section shall
be paid to the holder of the mortgage loan, for payment of which
the insurance was granted, for credit on the loan indebtedness. Any
liability of the United States under such insurance shall be satis-
fied when such payment is made. If the Secretary is the holder of
the mortgage loan, the insurance proceeds shall be credited to the
loan indebtedness and, deposited in the Veterans Housing Benefit
Program Fund established by section 3722 of this title.
(f) The Secretary may prescribe such regulations relating to eli-
gibility for insurance under this section, the maximum amount of
insurance, the effective date of insurance, the maximum duration
of insurance, and other pertinent matters not specifically provided
for in this section as the Secretary determines are in the best inter-
est of veterans or the United States.
(g) The amount of the insurance in force at any time shall be
the amount necessary to pay the mortgage indebtedness in full, ex-
cept as otherwise limited by subsection (b) of this section or regula-
tions prescribed by the Secretary under this section.
(h) The Secretary shall issue to each individual insured under
this section a certificate setting forth the benefits to which the indi-
vidual is entitled under the insurance.
(i) Insurance under this section shall terminate upon which-
ever of the following events first occurs:
(1) Satisfaction of the individual’s indebtedness under the
loan upon which the insurance is based.
(2) Termination of the individual’s ownership of the prop-
erty securing the loan.
(3) Discontinuance of payment of premiums by the indi-
vidual.
(j) Termination of life insurance under this section shall not af-
fect the guaranty or insurance of the loan by the Secretary.
L. 94–433, title III, Sec. 302, Sept. 30, 1976, 90 Stat. 1377; Pub. L. 99–576, title
VII, Sec. 701(49), Oct. 28, 1986, 100 Stat. 3295; Pub. L. 100–322, title III, Sec.
333(a)(1), May 20, 1988, 102 Stat. 537; renumbered Sec. 2106 and amended Pub.
102–568, title II, Sec. 204(a), Oct. 29, 1992, 106 Stat. 4325; Pub. L. 103–446, title
XII, Sec. 1201(h)(2), Nov. 2, 1994, 108 Stat. 4688; Pub. L. 105–368, title VI, Sec.
602(e)(2), Nov. 10, 1998, 112 Stat. 3347; Pub. L. 107–330, title III, Sec. 302, Dec.
6, 2002, 116 Stat. 2824; Pub. L. 110–289, div. B, title VI, Sec. 2602(b)(6), July 30,
2008, 122 Stat. 2860.)
§ 2107. Coordination of administration of benefits
The Secretary shall provide for the coordination of the admin-
istration of programs to provide specially adapted housing that are
administered by the Under Secretary for Health and such pro-
grams that are administered by the Under Secretary for Benefits
under this chapter, chapter 17, and chapter 31 of this title.
(Added Pub. L. 109–233, title I, Sec. 101(c), June 15, 2006, 120 Stat. 399.)
351
CHAPTER 23—BURIAL BENEFITS
Sec.
2301. Flags.
2302. Funeral expenses.
2303. Death in Department facility; plot allowance.
2304. Claims for reimbursement.
2306. Headstones, markers, and burial receptacles.
2307. Death from service-connected disability.
2308. Transportation of deceased veteran to a national cemetery.
§ 2301. Flags
(a) The Secretary shall furnish a flag to drape the casket of
each—
(1) deceased veteran who—
(A) was a veteran of any war, or of service after Janu-
ary 31, 1955;
(B) had served at least one enlistment; or
(C) had been discharged or released from the active
military, naval, or air service for a disability incurred or
aggravated in line of duty; and
(2) deceased individual who at the time of death was enti-
tled to retired pay under chapter 67 of title 10 or would have
been entitled to retired pay under that chapter but for the fact
that the person was under 60 years of age.
(b) After the burial of the veteran the flag so furnished shall
be given to the veteran’s next of kin. If no claim is made for the
flag by the next of kin, it may be given, upon request, to a close
friend or associate of the deceased veteran. If a flag is given to a
close friend or associate of the deceased veteran, no flag shall be
given to any other person on account of the death of such veteran.
(c) For the purpose of this section, the term ‘‘Mexican border
period’’ as defined in paragraph (30) of section 101 of this title in-
cludes the period beginning on January 1, 1911, and ending on
May 8, 1916.
(d) In the case of any person who died while in the active mili-
tary, naval, or air service after May 27, 1941, the Secretary shall
furnish a flag to the next of kin, or to such other person as the Sec-
retary considers most appropriate, if such next of kin or other per-
son is not otherwise entitled to receive a flag under this section or
under section 1482(a) of title 10.
(e) The Secretary shall furnish a flag to drape the casket of
each deceased person who is buried in a national cemetery by vir-
tue of eligibility for burial in such cemetery under section 2402(6)
353
Sec. 2301 CH. 23—BURIAL BENEFITS 354
of this title. After the burial, the flag shall be given to the next of
kin or to such other person as the Secretary considers appropriate.
(f)(1) The Secretary shall furnish a flag to drape the casket of
each deceased member or former member of the Selected Reserve
(as described in section 10143 of title 10) who is not otherwise eligi-
ble for a flag under this section or section 1482(a) of title 10—
(A) who completed at least one enlistment as a member of
the Selected Reserve or, in the case of an officer, completed the
period of initial obligated service as a member of the Selected
Reserve;
(B) who was discharged before completion of the person’s
initial enlistment as a member of the Selected Reserve or, in
the case of an officer, period of initial obligated service as a
member of the Selected Reserve, for a disability incurred or ag-
gravated in line of duty; or
(C) who died while a member of the Selected Reserve.
(2) A flag may not be furnished under subparagraph (A) or (B)
of paragraph (1) in the case of a person whose last discharge from
service in the Armed Forces was under conditions less favorable
than honorable.
(3) After the burial, a flag furnished under paragraph (1) shall
be given to the next of kin or to such other person as the Secretary
(g) A flag may not be furnished under this section in the case
of a person described in section 2411(b) of this title.
(h)(1) The Secretary may not procure any flag for the purposes
of this section that is not wholly produced in the United States.
(2)(A) The Secretary may waive the requirement of paragraph
(1) if the Secretary determines—
(i) that the requirement cannot be reasonably met; or
(ii) that compliance with the requirement would not be in
the national interest of the United States.
(B) The Secretary shall submit to Congress in writing notice of
a determination under subparagraph (A) not later than 30 days
after the date on which such determination is made.
(3) For the purpose of paragraph (1), a flag shall be considered
to be wholly produced in the United States only if—
(A) the materials and components of the flag are entirely
grown, manufactured, or created in the United States;
(B) the processing (including spinning, weaving, dyeing,
and finishing) of such materials and components is entirely
performed in the United States; and
(C) the manufacture and assembling of such materials and
components into the flag is entirely performed in the United
States.
1961, 75 Stat. 512; Pub. L. 89–358, Sec. 9, Mar. 3, 1966, 80 Stat. 28; Pub. L. 90–
77, title IV, Sec. 402, Aug. 31, 1967, 81 Stat. 190; Pub. L. 91–588, Sec. 9(g), Dec.
101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 102–54, Sec.
14(b)(20), June 13, 1991, 105 Stat. 284; renumbered Sec. 2301 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec. 11(a),
Oct. 28, 1992, 106 Stat. 3644; Pub. L. 105–261, div. A, title V, Sec. 517, title X, Sec.
1073(a), Oct. 17, 1998, 112 Stat. 2009, 2137; Pub. L. 107–14, Sec. 8(a)(3), June 5,
355 CH. 23—BURIAL BENEFITS Sec. 2303
2001, 115 Stat. 34; Pub. L. 107–330, title II, Sec. 201(b), Dec. 6, 2002, 116 Stat.
2823.)
§ 2302. Funeral expenses

(a) In the case of a deceased veteran—
(1) who at the time of death was in receipt of compensa-
tion (or but for the receipt of retirement pay would have been
entitled to compensation) or was in receipt of pension, or
(2) who was a veteran of any war or was discharged or re-
leased from the active military, naval, or air service for a dis-
ability incurred or aggravated in line of duty, whose body is
held by a State (or a political subdivision of a State), and with
respect to whom the Secretary determines—
(A) that there is no next of kin or other person claim-
ing the body of the deceased veteran, and
(B) that there are not available sufficient resources to
cover burial and funeral expenses,
the Secretary, in the Secretary’s discretion, having due regard to
the circumstances in each case, may pay a sum not exceeding $300
to such person as the Secretary prescribes to cover the burial and
funeral expenses of the deceased veteran and the expense of pre-
paring the body and transporting it to the place of burial. For the
purpose of this subsection, the term ‘‘veteran’’ includes a person
who died during a period deemed to be active military, naval, or
air service under section 106(c) of this title.
(b) Except as hereafter provided in this subsection, no deduc-
tion shall be made from the burial allowance because of the vet-
eran’s net assets at the time of the death of such veteran, or be-
cause of any contribution from any source toward the burial and
funeral expenses (including transportation) unless the amount of
expenses incurred is covered by the amount actually paid therefor
by the United States, a State, any agency or political subdivision
of the United States or of a State, or the employer of the deceased
veteran. No claim shall be allowed (1) for more than the difference
between the entire amount of the expenses incurred and the
amount paid by any or all of the foregoing, or (2) when the burial
allowance would revert to the funds of a public or private organiza-
tion or would discharge such an organization’s obligation without
payment. The burial allowance or any part thereof shall not be
paid in any case where specific provision is otherwise made for pay-
ment of expenses of funeral, transportation, and interment under
any other Act.
78 Stat. 296; Pub. L. 89–360, Mar. 7, 1966, 80 Stat. 29; Pub. L. 95–476, title II,
Sec. 203(b), Oct. 18, 1978, 92 Stat. 1506; Pub. L. 95–479, title III, Sec. 303(a), Oct.
18, 1978, 92 Stat. 1565; Pub. L. 97–35, title XX, Sec. 2001(a)(1), Aug. 13, 1981, 95
Stat. 781; Pub. L. 97–306, title IV, Sec. 403((a)), Oct. 14, 1982, 96 Stat. 1443; Pub.
L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec.
2302, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 2303. Death in Department facility; plot allowance

(a)(1) When a veteran dies in a facility described in paragraph
(2), the Secretary shall—
(A) pay the actual cost (not to exceed $300) of the burial
and funeral or, within such limits, may make contracts for
such services without regard to the laws requiring advertise-

ment for proposals for supplies and services for the Depart-
ment; and
(B) when such a death occurs in a State, transport the
body to the place of burial in the same or any other State.
(2) A facility described in this paragraph is—
(A) a facility of the Department (as defined in section
1701(3) of this title) to which the deceased was properly admit-
ted for hospital, nursing home, or domiciliary care under sec-
tion 1710 or 1711(a) of this title; or
(B) an institution at which the deceased veteran was, at
the time of death, receiving—
(i) hospital care in accordance with section 1703 of this
title;
(ii) nursing home care under section 1720 of this title;
or
(iii) nursing home care for which payments are made
(b) In addition to the benefits provided for under section 2302
of this title and subsection (a) of this section, in the case of a vet-
eran who is eligible for burial in a national cemetery under section
2402 of this title and who is not buried in a national cemetery or
other cemetery under the jurisdiction of the United States—
(1) if such veteran is buried (without charge for the cost
of a plot or interment) in a cemetery, or a section of a ceme-
tery, that (A) is used solely for the interment of persons who
are (i) eligible for burial in a national cemetery, and (ii) mem-
bers of a reserve component of the Armed Forces not otherwise
eligible for such burial or former members of such a reserve
component not otherwise eligible for such burial who are dis-
charged or released from service under conditions other than
dishonorable, and(B) is owned by a State or by an agency or
political subdivision of a State, the Secretary shall pay to such
State, agency, or political subdivision the sum of $300 as a plot
or interment allowance for such veteran; and
(2) if such veteran is eligible for a burial allowance under
section 2302 of this title or under subsection (a) of this section,
or was discharged from the active military, naval, or air serv-
ice for a disability incurred or aggravated in line of duty, and
such veteran is buried in a cemetery, or a section of a ceme-
tery, other than as described in clause (1) of this subsection,
the Secretary shall pay a sum not exceeding $300 as a plot or
interment allowance to such person as the Secretary pre-
scribes, except that if any part of the plot or interment costs
of a burial to which this clause applies has been paid or as-
sumed by a State, an agency or political subdivision of a State,
or a former employer of the deceased veteran, no claim for such
allowance shall be allowed for more than the difference be-
tween the entire amount of the expenses incurred and the
amount paid or assumed by any or all of the foregoing entities.
June 25, 1959, 73 Stat. 148; Pub. L. 86–624, Sec. 25(b), July 12, 1960, 74 Stat. 418;
Pub. L. 87–99, July 21, 1961, 75 Stat. 218; Pub. L. 89–358, Sec. 4(i), Mar. 3, 1966,
80 Stat. 24; Pub. L. 93–43, Sec. 5(a)(1), June 18, 1973, 87 Stat. 80; Pub. L. 94–581,
title II, Sec. 204, Oct. 21, 1976, 90 Stat. 2856; Pub. L. 95–476, title II, Sec. 202(a),
Oct. 18, 1978, 92 Stat. 1503; Pub. L. 95–479, title III, Sec. 303(a), Oct. 18, 1978,
92 Stat. 1565; Pub. L. 97–35, title XX, Sec. 2001(b), Aug. 13, 1981, 95 Stat. 781;
Pub. L. 97–306, title IV, Sec. 404(a), Oct. 14, 1982, 96 Stat. 1443; Pub. L. 99–272,
title XIX, Sec. 19012(c)(4), Apr. 7, 1986, 100 Stat. 382; Pub. L. 101–237, title III,
Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 101–508, title VIII, Sec.
8042(a), Nov. 5, 1990, 104 Stat. 1388–349; renumbered Sec. 2303 and amended Pub.
L. 102–83, Sec. 4(a)(3), (4), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–
275, title II, Sec. 212, Oct. 9, 1996, 110 Stat. 3330; Pub. L. 105–114, title IV, Sec.
401(a), Nov. 21, 1997, 111 Stat. 2293; Pub. L. 106–419, title III, Sec. 333(a), Nov.
1, 2000, 114 Stat. 1856; Pub. L. 107–103, title V, Sec. 501(b)(1), Dec. 27, 2001, 115
Stat. 994; Pub. L. 108–183, title V, Sec. 501(a), Dec. 16, 2003, 117 Stat. 2666.)
§ 2304. Claims for reimbursement

Applications for payments under section 2302 of this title must
be filed within two years after the burial of the veteran. If the bur-
ial allowance was not payable at the death of the veteran because
of the nature of the veteran’s discharge from the service, but after
the veteran’s death the veteran’s discharge has been corrected by
competent authority so as to reflect a discharge from the service
under conditions other than dishonorable, then the burial allow-
ance may be paid if a claim is filed within two years from the date
of correction of the discharge. If a claimant’s application is incom-
plete at the time it is originally submitted, the Secretary shall no-
tify the applicant of the evidence necessary to complete the applica-
tion. If such evidence is not received within one year from the date
of such notification, no allowance may be paid.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1170, Sec. 904; Pub. L. 88–3, Apr. 2, 1963,
77 Stat. 4; Pub. L. 91–24, Sec. 7, June 11, 1969, 83 Stat. 34; Pub. L. 99–576, title
VII, Sec. 701(51), Oct. 28, 1986, 100 Stat. 3295; Pub. L. 101–237, title III, Sec.
313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 2304 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 2305. Persons eligible under prior law

The death of any person who had a status which would, under
the laws in effect on December 31, 1957, afford entitlement to the
burial benefits and other benefits provided for in this chapter, but
who did not meet the service requirements contained in this chap-
ter, shall afford entitlement to such benefits, notwithstanding the
failure of such person to meet such service requirements.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 2306. Headstones, markers, and burial receptacles

(a) The Secretary shall furnish, when requested, appropriate
Government headstones or markers at the expense of the United
States for the unmarked graves of the following:
(1) Any individual buried in a national cemetery or in a post
cemetery.
(2) Any individual eligible for burial in a national cemetery
(but not buried there), except for those persons or classes of per-
sons enumerated in section 2402(4), (5), and (6) of this title.
(3) Soldiers of the Union and Confederate Armies of the Civil
War.
(4) Any individual described in section 2402(5) of this title who
is buried in a veterans’ cemetery owned by a State.
(5) Any individual who at the time of death was entitled to re-
tired pay under chapter 1223 of title 10 or would have been enti-
tled to retired pay under that chapter but for the fact that the per-
son was under 60 years of age.
(b)(1) The Secretary shall furnish, when requested, an appro-
priate memorial headstone or marker for the purpose of commemo-
rating an eligible individual whose remains are unavailable. Such
a headstone or marker shall be furnished for placement in a na-
tional cemetery area reserved for that purpose under section 2403
of this title, a veterans’ cemetery owned by a State, or, in the case
of a veteran, in a State, local, or private cemetery.
(2) For purposes of paragraph (1), an eligible individual is any
of the following:
(A) A veteran.
(B) The spouse or surviving spouse of a veteran.
(C) An eligible dependent child of a veteran.
(3) For purposes of paragraph (1), the remains of an individual
shall be considered to be unavailable if the individual’s remains—
(A) have not been recovered or identified;
(B) were buried at sea, whether by the individual’s own
choice or otherwise;
(C) were donated to science; or
(D) were cremated and the ashes scattered without inter-
ment of any portion of the ashes.
(A) The term ‘‘veteran’’ includes an individual who dies in
the active military, naval, or air service.
(B) The term ‘‘surviving spouse’’ includes a surviving
spouse who had a subsequent remarriage.
(5) For purposes of this section, the term ‘‘eligible dependent
child’’ means a child—
(A) who is under 21 years of age, or under 23 years of age
if pursuing a course of instruction at an approved educational
institution; or
(B) who is unmarried and became permanently physically
or mentally disabled and incapable of self-support before reach-
ing 21 years of age, or before reaching 23 years of age if pur-
suing a course of instruction at an approved educational insti-
tution.
(c) A headstone or marker furnished under subsection (a), (b),
or (d) of this section may be of any material, including but not lim-
ited to marble, granite, bronze, or slate, requested by the person
entitled to request such headstone or marker if the material re-
quested is determined by the Secretary (1) to be cost effective, and
(2) in a case in which the headstone or marker is to be placed in
a national cemetery, to be aesthetically compatible with the area
of the cemetery in which it is to be placed.
(d)(1) The Secretary shall furnish, when requested, an appro-
priate Government headstone or marker at the expense of the
United States for the grave of an individual described in paragraph
(2) or (5) of subsection (a) who is buried in a private cemetery, not-
withstanding that the grave is marked by a headstone or marker
furnished at private expense. Such a headstone or marker may be
furnished only if the individual making the request for the Govern-
ment headstone or marker certifies to the Secretary that the head-

stone or marker will be placed on the grave for which the head-
stone or marker is requested, or, if placement on the grave is im-
possible or impracticable, as close as possible to the grave within
the grounds of the cemetery in which the grave is located.
(2) Any headstone or marker furnished under this subsection
shall be delivered by the Secretary directly to the cemetery where
the grave is located or to a receiving agent for delivery to the ceme-
tery.
(3) The headstone or marker furnished under this subsection
shall be the headstone or marker selected by the individual making
the request from among all the headstones and markers made
available by the Government for selection.
(4) In lieu of furnishing a headstone or marker under this sub-
section, the Secretary may furnish, upon request, a medallion or
other device of a design determined by the Secretary to signify the
deceased’s status as a veteran, to be attached to a headstone or
marker furnished at private expense.
(e)(1) The Secretary of Veterans Affairs shall provide an outer
burial receptacle for each new grave in an open cemetery under the
control of the National Cemetery Administration in which remains
are interred in a casket. The Secretary of the Army may provide
an outer burial receptacle for such a grave in the Arlington Na-
tional Cemetery.
(2) The use of outer burial receptacles in a cemetery under the
control of the National Cemetery Administration or in the Arling-
ton National Cemetery shall be in accordance with regulations or
procedures approved by the Secretary of Veterans Affairs or Sec-
retary of the Army, respectively.
(3) Regulations or procedures under paragraph (2) may specify
that—
(A) an outer burial receptacle other than a grave liner be
provided in lieu of a grave liner at the election of the survivors
of the interred veteran; and
(B) if an outer burial receptacle other than a grave liner
is provided in lieu of a grave liner upon an election of such sur-
vivors, such survivors be required—
(i) to pay the amount by which the cost of the outer
burial receptacle exceeds the cost of the grave liner that
would otherwise have been provided in the absence of the
election; and
(ii) to pay the amount of the administrative costs in-
curred by the Secretary (or, with respect to Arlington Na-
tional Cemetery, the Secretary of the Army) in providing
the outer burial receptacle in lieu of such grave liner.
(4) Regulations or procedures under paragraph (2) may provide
for the use of a voucher system, or other system of reimbursement
approved by the Secretary (or, with respect to Arlington National
Cemetery, the Secretary of the Army), for payment for outer burial
receptacles other than grave liners provided under such regulations
or procedures.
(f)(1) When the Secretary has furnished a headstone or marker
under subsection (a) for the unmarked grave of an individual, the
Secretary shall, if feasible, add a memorial inscription to that head-
stone or marker rather than furnishing a separate headstone or

marker under that subsection for the surviving spouse or eligible
dependent child of such individual.
(2) When the Secretary has furnished a memorial headstone or
marker under subsection (b) for purposes of commemorating a vet-
eran or an individual who died in the active military, naval, or air
service, the Secretary shall, if feasible, add a memorial inscription
to that headstone or marker rather than furnishing a separate me-
morial headstone or marker under that subsection for the surviving
spouse or eligible dependent child of such individual.
(g)(1) A headstone or marker may not be furnished under sub-
section (a) for the unmarked grave of a person described in section
(2) A memorial headstone or marker may not be furnished
under subsection (b) for the purpose of commemorating a person
described in section 2411(b) of this title.
(3) A headstone or marker may not be furnished under sub-
section (d) for the grave of a person described in section 2411(b) of
this title.
(Added Pub. L. 93–43, Sec. 5(a)(2), June 18, 1973, 87 Stat. 80, Sec. 906; amended
Pub. L. 95–476, title II, Sec. 203(a), Oct. 18, 1978, 92 Stat. 1505; Pub. L. 95–479,
title III, Sec. 303(b), Oct. 18, 1978, 92 Stat. 1565; Pub. L. 96–385, title V, Sec. 502,
Oct. 7, 1980, 94 Stat. 1534; Pub. L. 97–66, title VI, Sec. 603(a), Oct. 17, 1981, 95
Stat. 1034; Pub. L. 100–322, title III, Sec. 344(a), (b)(1), May 20, 1988, 102 Stat.
540; Pub. L. 101–237, title III, Sec. 313(b)(1), (3), title V, Sec. 501, 504(a), Dec. 18,
1989, 103 Stat. 2077, 2093, 2094; Pub. L. 101–508, title VIII, Sec. 8041(a), Nov. 5,
1990, 104 Stat. 1388–349; renumbered Sec. 2306 and amended Pub. L. 102–83, Sec.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec. 11(b), Oct. 28, 1992,
106 Stat. 3644; Pub. L. 104–275, title II, Sec. 213(a), (b)(1), Oct. 9, 1996, 110 Stat.
3331, 3332; Pub. L. 105–368, title IV, Secs. 401(a), (b), 403(c)(2), Nov. 10, 1998, 112
Stat. 3334, 3335, 3338; Pub. L. 107–103, title V, Sec. 502(a)–(c), Dec. 27, 2001, 115
Stat. 994, 995; Pub. L. 107–330, title II, Sec. 201(c), Dec. 6, 2002, 116 Stat. 2823;
Pub. L. 109–444, Sec. 2(f), Dec. 21, 2006, 120 Stat. 3305; Pub. L. 109–461, title IV,
Secs. 401(a), (b), 402, title X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3429, 3468; Pub.
L. 110–157, title II, Secs. 201, 203(a), Dec. 26, 2007, 121 Stat. 1832, 1833; Pub. L.
110–389, title VIII, Sec. 810(a), Oct. 10, 2008, 122 Stat. 4190.)
§ 2307. Death from service-connected disability

In any case in which a veteran dies as the result of a service-
connected disability or disabilities, the Secretary, upon the request
of the survivors of such veteran, shall pay the burial and funeral
expenses incurred in connection with the death of the veteran in
an amount not exceeding the greater of (1) $2,000, or (2) the
amount authorized to be paid under section 8134(a) of title 5 in the
case of a Federal employee whose death occurs as the result of an
injury sustained in the performance of duty. Funeral and burial
benefits provided under this section shall be in lieu of any benefits
authorized under sections 2302 and 2303(a)(1) and (b)(2) of this
title.
(Added Pub. L. 93–43, Sec. 5(a)(2), June 18, 1973, 87 Stat. 80, Sec. 907; amended
Pub. L. 95–479, title III, Sec. 303(c), Oct. 18, 1978, 92 Stat. 1565; Pub. L. 100–322,
title III, Sec. 303, May 20, 1988, 102 Stat. 534; Pub. L. 101–237, title III, Sec.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–103, title V,
Sec. 501(a)(1), Dec. 27, 2001, 115 Stat. 994; Pub. L. 108–183, title V, Sec. 501(b),
Dec. 16, 2003, 117 Stat. 2667.)
§ 2308. Transportation of deceased veteran to a national

cemetery
Where a veteran dies as the result of a service-connected dis-
ability, or is in receipt of (but for the receipt of retirement pay or
pension under this title would have been entitled to) disability com-
pensation, the Secretary may pay, in addition to any amount paid
pursuant to section 2302 or 2307 of this title, the cost of transpor-
tation of the deceased veteran for burial in a national cemetery.
Such payment shall not exceed the cost of transportation to the na-
tional cemetery nearest the veteran’s last place of residence in
which burial space is available.
(Added Pub. L. 94–433, title III, Sec. 304(a), Sept. 30, 1976, 90 Stat. 1377, Sec. 908;
amended Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077;
renumbered Sec. 2308 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 406.)
363
CHAPTER 24—NATIONAL CEMETERIES AND MEMORIALS
Sec.
2400. Establishment of National Cemetery Administration; composition of Ad-
ministration.
2401. Advisory Committee on Cemeteries and Memorials.
2402. Persons eligible for interment in national cemeteries.
2403. Memorial areas.
2405. Disposition of inactive cemeteries.
2406. Acquisition of lands.
2407. Authority to accept and maintain suitable memorials.
2408. Aid to States for establishment, expansion, and improvement of veterans’
cemeteries.
2409. Memorial areas in Arlington National Cemetery.
2410. Burial of cremated remains in Arlington National Cemetery.
2411. Prohibition against interment or memorialization in the National Ceme-
tery Administration or Arlington National Cemetery of persons commit-
ting Federal or State capital crimes.
2412. Lease of land and buildings.
2413. Prohibition on certain demonstrations at cemeteries under control of the
National Cemetery Administration and at Arlington National Ceme-
tery.
§ 2400. Establishment of National Cemetery Administration;

composition of Administration
(a) There shall be within the Department a National Cemetery
Administration responsible for the interment of deceased
servicemembers and veterans. The National Cemetery Administra-
tion shall be headed by the Under Secretary for Memorial Affairs,
who shall perform such functions as may be assigned by the Sec-
retary.
(b) The national cemeteries and other facilities under the con-
trol of the National Cemetery Administration shall consist of—
(1) national cemeteries transferred from the Department of
the Army to the Veterans’ Administration by the National
Cemeteries Act of 1973;
(2) cemeteries under the jurisdiction of the Veterans’ Ad-
ministration on the date of enactment of this chapter; and
(3) any other cemetery, memorial, or monument trans-
ferred to the Veterans’ Administration by the National Ceme-
teries Act of 1973, or later acquired or developed by the Sec-
retary.
527, Sec. 13(i), Oct. 25, 1988, 102 Stat. 2644; Pub. L. 101–237, title III, Sec.
365
Sec. 2401 CH. 24—NATIONAL CEMETERIES AND MEMORIALS 366
L. 102–83, Sec. 4(a)(3), (4), 5(a), Aug. 6, 1991, 105 Stat. 404, 406; Pub. L. 105–368,
title IV, Sec. 403(c)(3), Nov. 11, 1998, 112 Stat. 3338.)
§ 2401. Advisory Committee on Cemeteries and Memorials
There shall be appointed by the Secretary an Advisory Com-
mittee on Cemeteries and Memorials. The Secretary shall advise
and consult with the Committee from time to time with respect to
the administration of the cemeteries for which the Secretary is re-
sponsible, and with respect to the selection of cemetery sites, the
erection of appropriate memorials, and the adequacy of Federal
burial benefits. The Committee shall make periodic reports and
recommendations to the Secretary and to Congress.
237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 2401,
§ 2402. Persons eligible for interment in national cemeteries
Under such regulations as the Secretary may prescribe and
subject to the provisions of section 6105 of this title, the remains
of the following persons may be buried in any open national ceme-
tery under the control of the National Cemetery Administration:
(1) Any veteran (which for the purposes of this chapter in-
cludes a person who died in the active military, naval, or air serv-
ice).
(2) Any member of a Reserve component of the Armed Forces,
and any member of the Army National Guard or the Air National
Guard, whose death occurs under honorable conditions while such
member is hospitalized or undergoing treatment, at the expense of
the United States, for injury or disease contracted or incurred
under honorable conditions while such member is performing active
duty for training, inactive duty training, or undergoing that hos-
pitalization or treatment at the expense of the United States.
(3) Any member of the Reserve Officers’ Training Corps of the
Army, Navy, or Air Force whose death occurs under honorable con-
ditions while such member is—
(A) attending an authorized training camp or on an au-
thorized practice cruise;
(B) performing authorized travel to or from that camp or
cruise; or
(C) hospitalized or undergoing treatment, at the expense of
the United States, for injury or disease contracted or incurred
under honorable conditions while such member is—
(i) attending that camp or on that cruise;
(ii) performing that travel; or
(iii) undergoing that hospitalization or treatment at
the expense of the United States.
(4) Any citizen of the United States who, during any war in
which the United States is or has been engaged, served in the
armed forces of any government allied with the United States dur-
ing that war, and whose last such service terminated honorably.
(5) The spouse, surviving spouse (which for purposes of this
chapter includes a surviving spouse who had a subsequent remar-
riage), minor child (which for purposes of this chapter includes a
child under 21 years of age, or under 23 years of age if pursuing
367 CH. 24—NATIONAL CEMETERIES AND MEMORIALS Sec. 2403
a course of instruction at an approved educational institution), and,

in the discretion of the Secretary, unmarried adult child of any of
the persons listed in paragraphs (1) through (4) and paragraph (7).
(6) Such other persons or classes of persons as may be des-
ignated by the Secretary.
(7) Any person who at the time of death was entitled to retired
pay under chapter 1223 of title 10 or would have been entitled to
retired pay under that chapter but for the fact that the person was
under 60 years of age.
(8) Any individual whose service is described in subsection (a)
or (b) of section 107 of this title if such individual at the time of
death—
(A) was a citizen of the United States or an alien lawfully
admitted for permanent residence in the United States; and
(B) resided in the United States.
237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 102–40, title IV,
Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 2402, Pub. L. 102–83,
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–240, Sec. 1, May 4, 1994, 108
Stat. 609; Pub. L. 103–446, title VIII, Sec. 801, 802, Nov. 2, 1994, 108 Stat. 4675;
Pub. L. 104–275, title II, Sec. 211, Oct. 9, 1996, 110 Stat. 3330; Pub. L. 105–368,
title IV, Sec. 403(c)(5), Nov. 11, 1998, 112 Stat. 3338; Pub. L. 106–419, title III, Sec.
331(a), title IV, Sec. 404(a)(5), Nov. 1, 2000, 114 Stat. 1856, 1865; Pub. L. 108–183,
title II, Sec. 212(b), title V, Sec. 502(a), Dec. 16, 2003, 117 Stat. 2658, 2667.)
§ 2403. Memorial areas
(a) The Secretary shall set aside, when available, suitable
areas in national cemeteries to honor the memory of members of
the Armed Forces and veterans—
(1) who are missing in action;
(2) whose remains have not been recovered or identified;
(3) whose remains were buried at sea, whether by the
member’s or veteran’s own choice or otherwise;
(4) whose remains were donated to science; or
(5) whose remains were cremated and the ashes scattered
without interment of any portion of the ashes.
(b) Under regulations prescribed by the Secretary, group me-
morials may be placed to honor the memory of groups of individ-
uals referred to in subsection (a), and appropriate memorial
headstones and markers may be placed to honor the memory of in-
dividuals referred to in subsection (a) and section 2306(b) of this
title.
(c) All national and other veterans’ cemeteries under the con-
trol of the National Cemetery Administration shall be considered
national shrines as a tribute to our gallant dead and, notwith-
standing the provisions of any other law, the Secretary is hereby
authorized to permit appropriate officials to fly the flag of the
United States of America at such cemeteries twenty-four hours
each day.
Pub. L. 97–66, title VI, Sec. 603(b), Oct. 17, 1981, 95 Stat. 1034; Pub. L. 97–295,
Sec. 4(34), Oct. 12, 1982, 96 Stat. 1307; Pub. L. 101–237, title III, Sec. 313(b)(1),
Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 2403, Pub. L. 102–83, Sec. 5(a), Aug.
6, 1991, 105 Stat. 406; Pub. L. 105–368, title IV, Sec. 401(c), 403(c)(6), Nov. 11,
1998, 112 Stat. 3335, 3339.)
§ 2404. Administration
(a) The Secretary is authorized to make all rules and regula-
tions which are necessary or appropriate to carry out the provisions
of this chapter, and may designate those cemeteries which are con-
sidered to be national cemeteries.
(b) In conjunction with the development and administration of
cemeteries for which the Secretary is responsible, the Secretary
shall provide all necessary facilities including, as necessary, super-
intendents’ lodges, chapels, crypts, mausoleums, and columbaria.
(c)(1) Subject to paragraph (2), each grave in a national ceme-
tery shall be marked with an appropriate marker. Such marker
shall bear the name of the person buried, the number of the grave,
and such other information as the Secretary shall by regulation
prescribe.
(2) The grave markers referred to in paragraph (1) shall be up-
right for interments that occur on or after January 1, 1987, except
that—
(A) in the case of any cemetery scheduled to be closed by
September 30, 1991, as indicated in the documents submitted
by the Administrator of Veterans’ Affairs to the Congress in
justification for the amounts included for Veterans’ Adminis-
tration programs in the President’s Budget for fiscal year 1987,
the Secretary may provide for flat grave markers;
(B) in the case of any cemetery with a section which has
flat markers on October 28, 1986, the Secretary may continue
to provide for flat grave markers in such section;
(C) in the case of any cemetery located on the grounds of
or adjacent to a Department health-care facility, the Secretary
may provide for flat grave markers; and
(D) in the case of grave sites of cremated remains that are
interred in the ground, the Secretary may provide for flat
grave markers.
(d) There shall be kept in each national cemetery, and at the
main office of the Department, a register of burials in each ceme-
tery setting forth the name of each person buried in the cemetery,
the number of the grave in which the veteran is buried, and such
other information as the Secretary by regulation may prescribe.
(e) In carrying out the Secretary’s responsibilities under this
chapter, the Secretary may contract with responsible persons,
firms, or corporations for the care and maintenance of such ceme-
teries under the Secretary’s jurisdiction as the Secretary shall
choose, under such terms and conditions as the Secretary may pre-
scribe.
(f)(1) The Secretary is authorized to convey to any State, or po-
litical subdivision thereof, in which any national cemetery is lo-
cated, all right, title, and interest of the United States in and to
any Government owned or controlled approach road to such ceme-
tery if, prior to the delivery of any instrument of conveyance, the
State or political subdivision to which such conveyance is to be
made notifies the Secretary in writing of its willingness to accept
and maintain the road included in such conveyance. Upon the exe-
cution and delivery of such a conveyance, the jurisdiction of the
United States over the road conveyed shall cease and thereafter
vest in the State or political subdivision concerned.
(2) The Secretary may, to the extent of appropriated funds
available for such purpose, make a contribution to local authorities
for the construction of road improvements or traffic controls or
other devices on land adjacent to a national cemetery if the Sec-
retary determines that such a contribution is essential to ensure
safe ingress to or egress from the cemetery.
(g) Notwithstanding any other provision of law, the Secretary
may at such time as the Secretary deems desirable, relinquish to
the State in which any cemetery, monument, or memorial under
the Secretary’s jurisdiction is located, such portion of legislative ju-
risdiction over the lands involved as is necessary to establish con-
current jurisdiction between the Federal Government and the State
concerned. Such partial relinquishment of jurisdiction under the
authority of this subsection may be made by filing with the Gov-
ernor of the State involved a notice of such relinquishment and
shall take effect upon acceptance thereof by the State in such man-
ner as its laws may prescribe.
Pub. L. 99–576, title IV, Sec. 411, title VII, Sec. 701(55), Oct. 28, 1986, 100 Stat.
3283, 3295; Pub. L. 100–322, title III, Sec. 341(a), 342, May 20, 1988, 102 Stat. 539,
540; Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub.
L. 102–54, Sec. 14(b)(21), June 13, 1991, 105 Stat. 284; renumbered Sec. 2404 and
amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(7), 5(a), Aug. 6, 1991, 105 Stat. 404–
406.)
§ 2405. Disposition of inactive cemeteries

(a) The Secretary may transfer, with the consent of the agency
concerned, any inactive cemetery, burial plot, memorial, or monu-
ment within the Secretary’s control to the Department of the Inte-
rior for maintenance as a national monument or park, or to any
other agency of the Government. Any cemetery transferred to the
Department of the Interior shall be administered by the Secretary
of the Interior as a part of the National Park System, and funds
appropriated to the Secretary of the Interior for such system shall
be available for the management and operation of such cemetery.
(b) The Secretary may also transfer and convey all right, title,
and interest of the United States in or to any inactive cemetery or
burial plot, or portion thereon, to any State, county, municipality,
or proper agency thereof, in which or in the vicinity of which such
cemetery or burial plot is located, but in the event the grantee
shall cease or fail to care for and maintain the cemetery or burial
plot or the graves and monuments contained therein in a manner
satisfactory to the Secretary, all such right, title, and interest
transferred or conveyed by the United States, shall revert to the
United States.
(c) If a cemetery not under the control of the National Ceme-
tery Administration has been or is to be discontinued, the Sec-
retary may provide for the removal of remains from that cemetery
to any cemetery under the control of such Administration. The Sec-
retary may also provide for the removal of the remains of any vet-
eran from a place of temporary interment, or from an abandoned
grave or cemetery, to a national cemetery.
237, title III, Sec. 313(b)(1), (4), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec.
2405, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 105–368, title
IV, Sec. 403(c)(7), Nov. 11, 1998, 112 Stat. 3339.)
§ 2406. Acquisition of lands
As additional lands are needed for national cemeteries, they
may be acquired by the Secretary by purchase, gift (including dona-
tions from States or political subdivisions thereof), condemnation,
transfer from other Federal agencies, exchange, or otherwise, as
the Secretary determines to be in the best interest of the United
States.
Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 108–454, title VI,
Sec. 603, Dec. 10, 2004, 118 Stat. 3624.)
§ 2407. Authority to accept and maintain suitable memorials
Subject to such restrictions as the Secretary may prescribe, the
Secretary may accept gifts, devises, or bequests from legitimate so-
cieties and organizations or reputable individuals, made in any
manner, which are made for the purpose of beautifying national
cemeteries, or are determined to be beneficial to such cemetery.
The Secretary may make land available for this purpose, and may
furnish such care and maintenance as the Secretary deems nec-
essary.
§ 2408. Aid to States for establishment, expansion, and im-

provement of veterans’ cemeteries
(a)(1) Subject to subsection (b), the Secretary may make a
grant to any State for the following purposes:
(A) Establishing, expanding, or improving a veterans’ cem-
etery owned by the State.
(B) Operating and maintaining such a cemetery.
(2) A grant under paragraph (1) may be made only upon sub-
mission of an application to the Secretary in such form and man-
ner, and containing such information, as the Secretary may re-
quire.
(b) A grant under this section for a purpose described in sub-
section (a)(1)(A) shall be subject to the following conditions:
(1) The amount of such a grant may not exceed—
(A) in the case of the establishment of a new cemetery,
the sum of: (i) the cost of improvements to be made on the
land to be converted into a cemetery; and (ii) the cost of
initial equipment necessary to operate the cemetery; and
(B) in the case of the expansion or improvement of an
existing cemetery, the sum of: (i) the cost of improvements
to be made on any land to be added to the cemetery; and
(ii) the cost of any improvements to be made to the exist-
ing cemetery.
(2) If the amount of such a grant is less than the amount

of costs referred to in subparagraph (A) or (B) of paragraph (1),
the State receiving the grant shall contribute the excess of
such costs over the grant.
(3) If a State that has received such a grant to establish,
expand, or improve a veterans’ cemetery ceases to own such
cemetery, ceases to operate such cemetery as a veterans’ ceme-
tery, or uses any part of the funds provided through such grant
for a purpose other than that for which the grant was made,
the United States shall be entitled to recover from such State
the total of all grants made under this section to such State
in connection with such cemetery.
(c)(1) In addition to the conditions specified in subsection (b) of
this section, any grant to a State under this section to assist such
State in establishing a veterans’ cemetery shall be made on the
condition that such cemetery shall conform to such standards and
guidelines relating to site selection, planning, and construction as
the Secretary may by regulation prescribe. In prescribing regula-
tions for the purposes of the preceding sentence, the Secretary
shall take into account the standards and guidelines for site selec-
tion, planning, and construction that are applicable to cemeteries
under the control of the National Cemetery Administration, includ-
ing those provided in subsections (b), (c), and (d) of section 2404 of
this title.
(2) The Secretary may by regulation prescribe such additional
terms and conditions for grants under this section as the Secretary
(d)(1) In addition to the conditions specified in subsections (b)
and (c), any grant made to a State under this section shall be made
subject to the condition specified in paragraph (2).
(2) For purposes of paragraph (1), the condition described in
this paragraph is that, after the date of the receipt of the grant,
such State prohibit the interment or memorialization in that ceme-
tery of a person described in section 2411(b) of this title, subject
to the receipt of notice described in subsection (a)(2) of such sec-
tion, except that for purposes of this subsection—
(A) such notice shall be furnished to an appropriate official
of such State; and
(B) a finding described in subsection (b)(3) of such section
shall be made by an appropriate official of such State.
(e)(1) Amounts appropriated to carry out this section shall re-
main available until expended. If all funds from a grant under this
section have not been utilized by a State for the purpose for which
the grant was made within three years after such grant is made,
the United States shall be entitled to recover any such unused
grant funds from such State.
(2) In any fiscal year, the aggregate amount of grants awarded
under this section for the purposes specified in subsection (a)(1)(B)
may not exceed $5,000,000.
(f)(1) The Secretary may make grants under this subsection to
any tribal organization to assist the tribal organization in estab-
lishing, expanding, or improving veterans’ cemeteries, or in oper-
ating and maintaining such cemeteries, on trust land owned by, or
held in trust for, the tribal organization.
(2) Grants under this subsection shall be made in the same

manner, and under the same conditions, as grants to States are
made under the preceding provisions of this section.
(A) The term ‘‘tribal organization’’ has the meaning given
that term in section 3765(4) of this title.
(B) The term ‘‘trust land’’ has the meaning given that term
in section 3765(1) of this title.
(Added Pub. L. 95–476, title II, Sec. 202(b)(1), Oct. 18, 1978, 92 Stat. 1504, Sec.
1008; amended Pub. L. 98–223, title II, Sec. 202, Mar. 2, 1984, 98 Stat. 41; Pub.
L. 100–322, title III, Sec. 343, May 20, 1988, 102 Stat. 540; Pub. L. 100–687, div.
B, title XVI, Sec. 1601, Nov. 18, 1988, 102 Stat. 4137; Pub. L. 101–237, title III,
Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 2408 and amended
Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title
VIII, Sec. 803, Nov. 2, 1994, 108 Stat. 4675; Pub. L. 105–116, Sec. 2, Nov. 21, 1997,
111 Stat. 2382; Pub. L. 105–368, title IV, Sec. 403(c)(8), 404(a)(1), (b), (c), title X,
Sec. 1005(b)(5), Nov. 11, 1998, 112 Stat. 3339, 3365; Pub. L. 108–183, title V, Sec.
503, Dec. 16, 2003, 117 Stat. 2667; Pub. L. 109–461, title IV, Sec. 403, Dec. 22, 2006,
120 Stat. 3430; Pub. L. 110–140, title II, Sec. 202(b)(1)–(3), Dec. 26, 2007, 121 Stat.
1832.)
§ 2409. Memorial areas in Arlington National Cemetery

(a) The Secretary of the Army may set aside, when available,
a suitable area or areas in Arlington National Cemetery, Virginia,
to honor the memory of members of the Armed Forces and vet-
erans—
(1) who are missing in action;
(2) whose remains have not been recovered or identified;
(3) whose remains were buried at sea, whether by the
member’s or veteran’s own choice or otherwise;
(4) whose remains were donated to science; or
(5) whose remains were cremated and whose ashes were
scattered without interment of any portion of the ashes.
(b) Under regulations prescribed by the Secretary of the Army,
appropriate memorials or markers may be erected in Arlington Na-
tional Cemetery to honor the memory of those individuals, or group
of individuals, referred to in subsection (a) of this section.
(Added Pub. L. 99–576, title IV, Sec. 413(a), Oct. 28, 1986, 100 Stat. 3284, Sec.
1009; amended Pub. L. 101–237, title III, Sec. 313(b)(5), Dec. 18, 1989, 103 Stat.
§ 2410. Burial of cremated remains in Arlington National

Cemetery
(a) The Secretary of the Army shall designate an area of appro-
priate size within Arlington National Cemetery for the unmarked
interment, in accordance with such regulations as the Secretary
may prescribe, of the ashes of persons eligible for interment in Ar-
lington National Cemetery whose remains were cremated. Such
area shall be an area not suitable for the burial of casketed re-
mains.
(b) The Secretary of each military department shall make
available appropriate forms on which those members of the Armed
Forces who so desire may indicate their desire to be buried within
the area to be designated under subsection (a).
(Added Pub. L. 101–237, title V, Sec. 502(a), Dec. 18, 1989, 103 Stat. 2093, Sec.
1010; amended Pub. L. 102–54, Sec. 14(b)(22), June 13, 1991, 105 Stat. 284; renum-
bered Sec. 2410, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 2411. Prohibition against interment or memorialization in

the National Cemetery Administration or Arlington
National Cemetery of persons committing Federal
or State capital crimes
(a)(1) In the case of a person described in subsection (b), the
appropriate Federal official may not—
(A) inter the remains of such person in a cemetery in the
National Cemetery Administration or in Arlington National
Cemetery; or
(B) honor the memory of such person in a memorial area
in a cemetery in the National Cemetery Administration (de-
scribed in section 2403(a) of this title) or in such an area in
Arlington National Cemetery (described in section 2409(a) of
this title).
(2) In the case of a person described in subsection (b)(1) or
(b)(2), the prohibition under paragraph (1) shall not apply unless
written notice of a conviction referred to in subsection (b)(1) or
(b)(2), as the case may be, is received by the appropriate Federal
official before such official approves an application for the inter-
ment or memorialization of such person. Such written notice shall
be furnished to such official by the Attorney General, in the case
of a Federal capital crime, or by an appropriate State official, in
the case of a State capital crime.
(b) A person referred to in subsection (a) is any of the fol-
lowing:
(1) A person who has been convicted of a Federal capital
crime and whose conviction is final (other than a person whose
sentence was commuted by the President).
(2) A person who has been convicted of a State capital
crime and whose conviction is final (other than a person whose
sentence was commuted by the Governor of a State).
(3) A person who—
(A) is found (as provided in subsection (c)) to have
committed a Federal capital crime or a State capital crime,
but
(B) has not been convicted of such crime by reason of
such person not being available for trial due to death or
flight to avoid prosecution.
(c) A finding under subsection (b)(3) shall be made by the ap-
propriate Federal official. Any such finding may only be made
based upon a showing of clear and convincing evidence, after an op-
portunity for a hearing in a manner prescribed by the appropriate
Federal official.
(d) For purposes of this section:
(1) The term ‘‘Federal capital crime’’ means an offense
under Federal law for which a sentence of imprisonment for
life or the death penalty may be imposed.
(2) The term ‘‘State capital crime’’ means, under State law,
the willful, deliberate, or premeditated unlawful killing of an-
other human being for which a sentence of imprisonment for

life or the death penalty may be imposed.
(3) The term ‘‘appropriate Federal official’’ means—
(A) the Secretary, in the case of the National Ceme-
tery Administration; and
(B) the Secretary of the Army, in the case of Arlington
National Cemetery.
(Added Pub. L. 105–116, Sec. 1(a), Nov. 21, 1997, 111 Stat. 2381; amended Pub. L.
105–368, title IV, Sec. 403(d)(1), Nov. 11, 1998, 112 Stat. 3339; Pub. L. 107–330,
title II, Sec. 202, Dec. 6, 2002, 116 Stat. 2824; Pub. L. 109–163, div. A, title VI, Sec.
662(a), Jan. 6, 2006, 119 Stat. 3314.)
§ 2412. Lease of land and buildings

(a) LEASE AUTHORIZED.—The Secretary may lease any undevel-
oped land and unused or underutilized buildings, or parts or par-
cels thereof, belonging to the United States and part of the Na-
tional Cemetery Administration.
(b) TERM.—The term of a lease under subsection (a) may not
exceed 10 years.
(c) LEASE TO PUBLIC OR NONPROFIT ORGANIZATIONS.—(1) A
lease under subsection (a) to any public or nonprofit organization
may be made without regard to the provisions of section 3709 of
the Revised Statutes (41 U.S.C. 5).
(2) Notwithstanding section 1302 of title 40 or any other provi-
sion of law, a lease under subsection (a) to any public or nonprofit
organization may provide for the maintenance, protection, or res-
toration of the leased property by the lessee, as a part or all of the
consideration for the lease.
(d) NOTICE.—Before entering into a lease under subsection (a),
the Secretary shall give appropriate public notice of the intention
of the Secretary to enter into the lease in a newspaper of general
circulation in the community in which the lands or buildings con-
cerned are located.
(e) NATIONAL CEMETERY ADMINISTRATION FACILITIES OPER-
ATION FUND.—(1) There is established on the book of the Treasury
an account to be known as the ‘‘National Cemetery Administration
Facilities Operation Fund’’ (in this section referred to as the
‘‘Fund’’).
(2) The Fund shall consist of the following:
(A) Proceeds from the lease of land or buildings under this
section.
(B) Proceeds of agricultural licenses of lands of the Na-
tional Cemetery Administration.
(C) Any other amounts appropriated to or otherwise au-
thorized for deposit in the Fund by law.
(3) Amounts in the Fund shall be available to cover costs in-
curred by the National Cemetery Administration in the operation
and maintenance of property of the Administration.
(4) Amounts in the Fund shall remain available until ex-
pended.
(Added Pub. L. 108–454, title VI, Sec. 602(a), Dec. 10, 2004, 118 Stat. 3623.)
§ 2413. Prohibition on certain demonstrations at cemeteries

under control of the National Cemetery Adminis-
tration and at Arlington National Cemetery
(a) PROHIBITION.—No person may carry out—
(1) a demonstration on the property of a cemetery under
the control of the National Cemetery Administration or on the
property of Arlington National Cemetery unless the dem-
onstration has been approved by the cemetery superintendent
or the director of the property on which the cemetery is lo-
cated; or
(2) with respect to such a cemetery, a demonstration dur-
ing the period beginning 60 minutes before and ending 60 min-
utes after a funeral, memorial service, or ceremony is held, any
part of which demonstration—
(A)(i) takes place within 150 feet of a road, pathway,
or other route of ingress to or egress from such cemetery
property; and
(ii) includes, as part of such demonstration, any indi-
vidual willfully making or assisting in the making of any
noise or diversion that disturbs or tends to disturb the
peace or good order of the funeral, memorial service, or
ceremony; or
(B) is within 300 feet of such cemetery and impedes
the access to or egress from such cemetery.
(b) DEMONSTRATION.—For purposes of this section, the term
‘‘demonstration’’ includes the following:
(1) Any picketing or similar conduct.
(2) Any oration, speech, use of sound amplification equip-
ment or device, or similar conduct that is not part of a funeral,
memorial service, or ceremony.
(3) The display of any placard, banner, flag, or similar de-
vice, unless such a display is part of a funeral, memorial serv-
ice, or ceremony.
(4) The distribution of any handbill, pamphlet, leaflet, or
other written or printed matter other than a program distrib-
uted as part of a funeral, memorial service, or ceremony..
(Added Pub. L. 109–228, Sec. 2(a)(1), May 29, 2006, 120 Stat. 387.)
377
Chapter Sec.
30. All-Volunteer Force Educational Assistance Pro-
gram .......................................................................... 3001
31. Training and Rehabilitation for Veterans with
Service-Connected Disabilities ................................ 3100
32. Post-Vietnam Era Veterans’ Educational Assistance 3201
33. Post 9/11 Educational Assistance .............................. 3301
34. Veterans’ Educational Assistance .............................. 3451
35. Survivors’ and Dependents’ Educational Assistance 3500
36. Administration of Educational Benefits .................... 3670
37. Housing and Small Business Loans .......................... 3701
39. Automobiles and Adaptive Equipment for Certain
Disabled Veterans and Members of the Armed
Forces ........................................................................ 3901
41. Job Counseling, Training, and Placement Service
for Veterans .............................................................. 4100
42. Employment and Training of Veterans ..................... 4211
43. Employment and Reemployment Rights of Mem-
bers of the Uniformed Services ............................... 4301
379
CHAPTER 30—ALL-VOLUNTEER FORCE EDUCATIONAL
ASSISTANCE PROGRAM
Sec.
3001. Purposes.
3002. Definitions.

3011. Basic educational assistance entitlement for service on active duty.
3012. Basic educational assistance entitlement for service in the Selected Re-
serve.
3013. Duration of basic educational assistance.
3014. Payment of basic educational assistance.
3014A. Accelerated payment of basic educational assistance for education leading
to employment in high technology occupation in high technology indus-
try.
3015. Amount of basic educational assistance.
3016. Inservice enrollment in a program of education.
3017. Death benefit.
3018. Opportunity for certain active-duty personnel to withdraw election not to
enroll.
3018A. Opportunity for certain active-duty personnel to enroll before being invol-
untarily separated from service.
3018B. Opportunity for certain persons to enroll.
3018C. Opportunity for certain VEAP participants to enroll.
3020. Authority to transfer unused education benefits to family members of ca-
reer service members.
SUBCHAPTER III—SUPPLEMENTAL EDUCATIONAL ASSISTANCE

3021. Supplemental educational assistance for additional service.
3022. Amount of supplemental educational assistance.
3023. Payment of supplemental educational assistance under this subchapter.
SUBCHAPTER IV—TIME LIMITATION FOR USE OF ELIGIBILITY AND

ENTITLEMENT; GENERAL AND ADMINISTRATIVE PROVISIONS
3031. Time limitation for use of eligibility and entitlement.
3032. Limitations on educational assistance for certain individuals.
3034. Program administration.
3035. Allocation of administration and of program costs.
3036. Reporting requirement.

§ 3001. Purposes
The purposes of this chapter are—
(1) to provide a new educational assistance program to as-
sist in the readjustment of members of the Armed Forces to ci-
vilian life after their separation from military service;
(2) to extend the benefits of a higher education to quali-
fying men and women who might not otherwise be able to af-
ford such an education;
381
Sec. 3002 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. 382
(3) to provide for vocational readjustment and to restore

lost educational opportunities to those service men and women
who served on active duty after June 30, 1985;
(4) to promote and assist the All-Volunteer Force program
and the Total Force Concept of the Armed Forces by estab-
lishing a new program of educational assistance based upon
service on active duty or a combination of service on active
duty and in the Selected Reserve (including the National
Guard) to aid in the recruitment and retention of highly quali-
fied personnel for both the active and reserve components of
the Armed Forces;
(5) to give special emphasis to providing educational as-
sistance benefits to aid in the retention of personnel in the
Armed Forces; and
(6) to enhance our Nation’s competitiveness through the
development of a more highly educated and productive work
force.
(Added Pub. L. 98–525, title VII, Sec. 702(a)(1), Oct. 19, 1984, 98 Stat. 2553, Sec.
1401; amended Pub. L. 100–48, Sec. 5, June 1, 1987, 101 Stat. 331; renumbered Sec.
(1) The term ‘‘basic educational assistance’’ means educational
assistance provided under subchapter II of this chapter.
(2) The term ‘‘supplemental educational assistance’’ means
educational assistance provided under subchapter III of this chap-
ter.
(3) The term ‘‘program of education’’—
(A) has the meaning given such term in section 3452(b) of
this title;
(B) includes—
(i) a preparatory course for a test that is required or
used for admission to an institution of higher education;
and
(ii) a preparatory course for a test that is required or
used for admission to a graduate school; and
(C) in the case of an individual who is not serving on ac-
tive duty, includes (i) a full-time program of apprenticeship or
of other on-job training approved as provided in clause (1) or
(2), as appropriate, of section 3687(a) of this title, and (ii) a co-
operative program (as defined in section 3482(a)(2) of this
title).
(4) The term ‘‘Selected Reserve’’ means the Selected Reserve of
the Ready Reserve of any of the reserve components (including the
Army National Guard of the United States and the Air National
Guard of the United States) of the Armed Forces, as required to be
maintained under section 10143(a) of title 10.
(5) The term ‘‘Secretary of Defense’’ means the Secretary of De-
fense, except that it means the Secretary of Homeland Security
with respect to the Coast Guard when it is not operating as a serv-
ice in the Navy.
(6) The term ‘‘active duty’’ does not include any period during
which an individual (A) was assigned full time by the Armed
383 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. Sec. 3011
Forces to a civilian institution for a course of education which was

substantially the same as established courses offered to civilians,
(B) served as a cadet or midshipman at one of the service acad-
emies, or (C) served under the provisions of section 12103(d) of title
10 pursuant to an enlistment in the Army National Guard or the
Air National Guard, or as a Reserve for service in the Army Re-
serve, Navy Reserve, Air Force Reserve, Marine Corps Reserve, or
Coast Guard Reserve.
(7) The term ‘‘active duty’’ includes full-time National Guard
duty first performed after June 30, 1985, by a member of the Army
National Guard of the United States or the Air National Guard of
the United States in the member’s status as a member of the Na-
tional Guard of a State for the purpose of organizing, admin-
istering, recruiting, instructing, or training the National Guard.
(8) The term ‘‘educational institution’’ has the meaning given
such term in section 3452(c) of this title.
1402; amended Pub. L. 99–576, title III, Sec. 301(a), Oct. 28, 1986, 100 Stat. 3267;
Pub. L. 100–689, title I, Sec. 108(a)(1), 111(a)(1), Nov. 18, 1988, 102 Stat. 4169,
4170; Pub. L. 101–237, title IV, Sec. 423(b)(3), Dec. 18, 1989, 103 Stat. 2092; Pub.
L. 101–510, div. A, title V, Sec. 563(a), Nov. 5, 1990, 104 Stat. 1575; renumbered
Pub. L. 103–337, div. A, title XVI, Sec. 1677(d)(2), Oct. 5, 1994, 108 Stat. 3020; Pub.
L. 103–446, title VI, Sec. 603(b), Nov. 2, 1994, 108 Stat. 4671; Pub. L. 104–275, title
I, Sec. 107(a), Oct. 9, 1996, 110 Stat. 3329; Pub. L. 106–117, title VII, Sec. 701, Nov.
30, 1999, 113 Stat. 1582; Pub. L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002,
116 Stat. 2315; Pub. L. 109–163, div. A, title V, Sec. 515(e)(2), Jan. 6, 2006, 119
Stat. 3236.)

§ 3011. Basic educational assistance entitlement for service
on active duty
(a) Except as provided in subsection (c) of this section, each in-
dividual—
(1) who—
(A) after June 30, 1985, first becomes a member of the
Armed Forces or first enters on active duty as a member
of the Armed Forces and—
(i) who (I) in the case of an individual whose obli-
gated period of active duty is three years or more,
serves at least three years of continuous active duty in
the Armed Forces, or (II) in the case of an individual
whose obligated period of active duty is less than three
years, serves at least two years of continuous active
duty in the Armed Forces; or
(ii) who serves in the Armed Forces and is dis-
charged or released from active duty (I) for a service-
connected disability, by reason of a sole survivorship
discharge (as that term is defined in section 1174(i) of
title 10), for a medical condition which preexisted such
service on active duty and which the Secretary deter-
mines is not service connected, for hardship, or for a
physical or mental condition that was not character-
ized as a disability and did not result from the individ-
ual’s own willful misconduct but did interfere with the
individual’s performance of duty, as determined by the

Secretary of each military department in accordance
with regulations prescribed by the Secretary of De-
fense or by the Secretary of Homeland Security with
respect to the Coast Guard when it is not operating as
a service in the Navy; (II) for the convenience of the
Government, if, in the case of an individual with an
obligated period of service of two years, the individual
completes not less than 20 months of continuous ac-
tive duty under that period of obligated service, or, in
the case of an individual with an obligated period of
service of at least three years, the individual com-
pletes not less than 30 months of continuous active
duty under that period of obligated service, or in the
case of an individual who completed not less than 30
months of continuous active duty if the initial obli-
gated period of active duty of the individual was at
least three years; or (III) involuntarily for the conven-
ience of the Government as a result of a reduction in
force, as determined by the Secretary of the military
department concerned in accordance with regulations
prescribed by the Secretary of Defense or by the Sec-
retary of Homeland Security with respect to the Coast
Guard when it is not operating as a service in the
Navy;
(B) as of December 31, 1989, is eligible for educational
assistance benefits under chapter 34 of this title and was
on active duty at any time during the period beginning on
October 19, 1984, and ending on July 1, 1985, continued
on active duty without a break in service and—
(i) after June 30, 1985, serves at least three years
of continuous active duty in the Armed Forces; or
(ii) after June 30, 1985, is discharged or released
from active duty (I) for a service-connected disability,
by reason of a sole survivorship discharge (as that
term is defined in section 1174(i) of title 10), for a
medical condition which preexisted such service on ac-
tive duty and which the Secretary determines is not
service connected, for hardship, or for a physical or
mental condition that was not characterized as a dis-
ability, as described in subparagraph (A)(ii)(I) of this
paragraph; (II) for the convenience of the Government,
if the individual completed not less than 30 months of
continuous active duty after that date; or (III) involun-
tarily for the convenience of the Government as a re-
sult of a reduction in force, as determined by the Sec-
retary of the military department concerned in accord-
ance with regulations prescribed by the Secretary of
Defense or by the Secretary of Homeland Security
with respect to the Coast Guard when it is not oper-
ating as a service in the Navy; or
(C) as of December 31, 1989, was eligible for edu-
cational assistance benefits under chapter 34 of this title
and—
(i) was not on active duty on October 19, 1984;

(ii) reenlists or reenters on a period of active duty
after October 19, 1984; and
(iii) on or after July 1, 1985, either—
(I) serves at least three years of continuous
active duty in the Armed Forces; or
(II) is discharged or released from active duty
(aa) for a service-connected disability, by reason of
a sole survivorship discharge (as that term is de-
fined in section 1174(i) of title 10), for a medical
condition which preexisted such service on active
duty and which the Secretary determines is not
service connected, for hardship, or for a physical
or mental condition that was not characterized as
a disability, as described in subparagraph (A)(ii)(I)
of this paragraph, (bb) for the convenience of the
Government, if the individual completed not less
than 30 months of continuous active duty after
that date, or (cc) involuntarily for the convenience
of the Government as a result of a reduction in
force, as determined by the Secretary of the mili-
tary department concerned in accordance with
regulations prescribed by the Secretary of Defense
or by the Secretary of Homeland Security with re-
spect to the Coast Guard when it is not operating
as a service in the Navy;
(2) who completes the requirements of a secondary school
diploma (or equivalency certificate), or successfully completes
(or otherwise receives academic credit for) the equivalent of 12
semester hours in a program of education leading to a stand-
ard college degree, before applying for benefits under this sec-
tion; and
(3) who, after completion of the service described in clause
(1) of this subsection—
(A) continues on active duty;
(B) is discharged from active duty with an honorable
discharge;
(C) is released after service on active duty character-
ized by the Secretary concerned as honorable service and
is placed on the retired list, is transferred to the Fleet Re-
serve or Fleet Marine Corps Reserve, or is placed on the
temporary disability retired list; or
(D) is released from active duty for further service in
a reserve component of the Armed Forces after service on
active duty characterized by the Secretary concerned as
honorable service;
is entitled to basic educational assistance under this chapter.
(b)(1) Except as provided in paragraph (2), the basic pay of any
individual described in subsection (a)(1)(A) of this section who does
not make an election under subsection (c)(1) of this section shall be
reduced by $100 for each of the first 12 months that such indi-
vidual is entitled to such pay.
(2) In the case of an individual covered by paragraph (1) who
is a member of the Selected Reserve, the Secretary of Defense shall
collect from the individual an amount equal to $1,200 not later

than one year after completion by the individual of the two years
of service on active duty providing the basis for such entitlement.
The Secretary of Defense may collect such amount through reduc-
tions in basic pay in accordance with paragraph (1) or through such
other method as the Secretary of Defense considers appropriate.
(3) Any amount by which the basic pay of an individual is re-
duced under this subsection shall revert to the Treasury and shall
not, for purposes of any Federal law, be considered to have been
received by or to be within the control of such individual.
(c)(1) An individual described in subsection (a)(1)(A) of this sec-
tion may make an election not to receive educational assistance
under this chapter. Any such election shall be made at the time the
individual initially enters on active duty as a member of the Armed
Forces. Any individual who makes such an election is not entitled
to educational assistance under this chapter.
(2) An individual who after December 31, 1976, receives a com-
mission as an officer in the Armed Forces upon graduation from
the United States Military Academy, the United States Naval
Academy, the United States Air Force Academy, or the Coast
Guard Academy is not eligible for educational assistance under this
section.
mission as an officer in the Armed Forces upon completion of a pro-
gram of educational assistance under section 2107 of title 10 is not
eligible for educational assistance under this section if the indi-
vidual enters on active duty—
(A) before October 1, 1996; or
(B) after September 30, 1996, and while participating in
such program received more than $3,400 for each year of such
participation.
(d)(1) For purposes of this chapter, any period of service de-
scribed in paragraphs (2) and (3) of this subsection shall not be
considered a part of an obligated period of active duty on which an
individual’s entitlement to assistance under this section is based.
(2) The period of service referred to in paragraph (1) is any pe-
riod terminated because of a defective enlistment and induction
based on—
(A) the individual’s being a minor for purposes of service
in the Armed Forces;
(B) an erroneous enlistment or induction; or
(C) a defective enlistment agreement.
(3) The period of service referred to in paragraph (1) is also
any period of service on active duty which an individual in the Se-
lected Reserve was ordered to perform under section 12301, 12302,
12304, 12306, or 12307 of title 10 for a period of less than 2 years.
(e)(1) Any individual eligible for educational assistance under
this section who does not make an election under subsection (c)(1)
may contribute amounts for purposes of receiving an increased
amount of basic educational assistance as provided for under sec-
tion 3015(g) of this title. Such contributions shall be in addition to
any reductions in the basic pay of such individual under subsection
(b).
(2) An individual covered by paragraph (1) may make the con-

tributions authorized by that paragraph at any time while on ac-
tive duty, but not more frequently than monthly.
(3) The total amount of the contributions made by an indi-
vidual under paragraph (1) may not exceed $600. Such contribu-
tions shall be made in multiples of $20.
(4) Contributions under this subsection shall be made to the
Secretary of the military department concerned. That Secretary
shall deposit any amounts received as contributions under this sub-
section into the Treasury as miscellaneous receipts.
(f)(1) For the purposes of this chapter, a member referred to in
paragraph (2) or (3) of this subsection who serves the periods of ac-
tive duty referred to in that paragraph shall be deemed to have
served a continuous period of active duty the length of which is the
aggregate length of the periods of active duty referred to in that
paragraph.
(2) This subsection applies to a member who—
(A) after a period of continuous active duty of not more
than 12 months, is discharged or released from active duty
under subclause (I) or (III) of subsection (a)(1)(A)(ii) of this sec-
tion; and
(B) after such discharge or release, reenlists or re-enters
on a period of active duty.
(3) This subsection applies to a member who after a period of
continuous active duty as an enlisted member or warrant officer,
and following successful completion of officer training school, is dis-
charged in order to accept, without a break in service, a commis-
sion as an officer in the Armed Forces for a period of active duty.
(g) Notwithstanding section 3002(6)(A) of this title, a period
during which an individual is assigned full time by the Armed
Forces to a civilian institution for a course of education as de-
scribed in such section 3002(6)(A) shall not be considered a break
in service or a break in a continuous period of active duty of the
individual for the purposes of this chapter.
(h)(1) Notwithstanding section 3002(6)(B) of this title, a mem-
ber referred to in paragraph (2) of this subsection who serves the
periods of active duty referred to in subparagraphs (A) and (C) of
that paragraph shall be deemed to have served a continuous period
of active duty whose length is the aggregate length of the periods
of active duty referred to in such subparagraphs.
(2) This subsection applies to a member who—
(A) during the obligated period of active duty on which en-
titlement to assistance under this section is based, commences
pursuit of a course of education—
(i) at a service academy; or
(ii) at a post-secondary school for the purpose of prepa-
ration for enrollment at a service academy;
(B) fails to complete the course of education; and
(C) re-enters on a period of active duty.
(i) The Secretary concerned shall inform any member of the
Armed Forces who has not completed that member’s obligated pe-
riod of active duty (as described in subsection (a)(1)(A)) and who in-
dicates the intent to be discharged or released from such duty for
the convenience of the Government of the minimum active duty re-
quirements for entitlement to educational assistance benefits under

this chapter. Such information shall be provided to the member in
a timely manner.
1411; amended Pub. L. 99–145, title VI, Sec. 674(1), Nov. 8, 1985, 99 Stat. 665; Pub.
L. 99–576, title III, Sec. 303(a)(1), 307(a)(1), 321(1), title VII, Sec. 702(8), Oct. 28,
1986, 100 Stat. 3268, 3269, 3277, 3302; Pub. L. 100–48, Sec. 3(a), June 1, 1987, 101
Stat. 331; Pub. L. 100–689, title I, Sec. 102(a), 103(b)(1), 104(a), 111(a)(2)(A), (3),
Nov. 18, 1988, 102 Stat. 4162, 4165, 4166, 4170, 4171; Pub. L. 101–237, title IV,
Sec. 409, 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2084, 2092; Pub. L. 101–510, div. A,
title V, Sec. 562(a)(1), (2), (b), Nov. 5, 1990, 104 Stat. 1573, 1574; Pub. L. 102–16,
Sec. 10(a)(1), Mar. 22, 1991, 105 Stat. 55; renumbered Sec. 3011, Pub. L. 102–83,
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 302(a)(1),
303(a)(1), 304(a), 305(a), 306(a), Oct. 29, 1992, 106 Stat. 4326–4328; Pub. L. 103–
446, title XII, Sec. 1201(e)(10), (f)(2), Nov. 2, 1994, 108 Stat. 4685, 4687; Pub. L.
104–106, div. A, title XV, Sec. 1501(e)(2)(A), Feb. 10, 1996, 110 Stat. 501; Pub. L.
104–201, div. A, title V, Sec. 556(a), Sept. 23, 1996, 110 Stat. 2528; Pub. L. 105–
368, title II, Secs. 203(a), 207(a), Nov. 11, 1998, 112 Stat. 3326, 3328; Pub. L. 106–
117, title VII, Secs. 702(a), 704, Nov. 30, 1999, 113 Stat. 1583, 1584; Pub. L. 106–
419, title I, Secs. 102(a)(1), 103(a), 105(a)(1), Nov. 1, 2000, 114 Stat. 1824, 1825,
1828; Pub. L. 107–14, Sec. 7(a)(1), (c)(1), June 5, 2001, 115 Stat. 31, 32; Pub. L.
107–103, title I, Secs. 105(a), 106(a), Dec. 27, 2001, 115 Stat. 982, 983; Pub. L. 107–
296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315; Pub. L. 107–330, title
III, Sec. 308(a), Dec. 6, 2002, 116 Stat. 2827; Pub. L. 108–454, title I, Sec. 109(a),
Dec. 10, 2004, 118 Stat. 3604; Pub. L. 109–444, Sec. 8(b)(2), Dec. 21, 2006, 120 Stat.
3313; Pub. L. 109–461, title X, Secs. 1004(b)(2), 1006(b), Dec. 22, 2006, 120 Stat.
3466, 3468; Pub. L. 110–317, Sec. 6(c)(1), Aug. 29, 2008, 122 Stat. 3529.)
§ 3012. Basic educational assistance entitlement for service

in the Selected Reserve
(a) Except as provided in subsection (d) of this section, each in-
dividual—
(1) who—
(A) after June 30, 1985, first becomes a member of the
Armed Forces or first enters on active duty as a member
of the Armed Forces and—
(i) serves an obligated period of active duty of at
least two years of continuous active duty in the Armed
Forces, subject to subsection (b) of this section, charac-
terized by the Secretary concerned as honorable serv-
ice; and
(ii) subject to subsection (b) of this section and be-
ginning within one year after completion of the service
on active duty described in subclause (i) of this clause,
serves at least four years of continuous duty in the Se-
lected Reserve during which the individual partici-
pates satisfactorily in training as required by the Sec-
retary concerned;
(B) as of December 31, 1989, is eligible for educational
assistance under chapter 34 of this title and was on active
duty at any time during the period beginning on October
19, 1984, and ending on July 1, 1985, continued on active
duty without a break in service and—
(i) after June 30, 1985, serves at least two years
of continuous active duty in the Armed Forces, subject
to subsection (b) of this section, characterized by the
Secretary concerned as honorable service; and
(ii) after June 30, 1985, subject to subsection (b)

of this section and beginning within one year after
completion of such two years of service, serves at least
four continuous years in the Selected Reserve during
which the individual participates satisfactorily in
training as prescribed by the Secretary concerned; or
(C) as of December 31, 1989, was eligible for edu-
cational assistance under chapter 34 of this title and—
(i) was not on active duty on October 19, 1984;
(ii) reenlists or reenters on a period of active duty
after October 19, 1984; and
(iii) on or after July 1, 1985—
(I) serves at least two years of continuous ac-
tive duty in the Armed Forces, subject to sub-
section (b) of this section, characterized by the
Secretary concerned as honorable service; and
(II) subject to subsection (b) of this section
and beginning within one year after completion of
such two years of service, serves at least four con-
tinuous years in the Selected Reserve during
which the individual participates satisfactorily in
training as prescribed by the Secretary concerned;
(2) who completes the requirements of a secondary school
diploma (or equivalency certificate), or successfully completes
(or otherwise receives academic credit for) the equivalent of 12
semester hours in a program of education leading to a stand-
ard college degree, before applying for benefits under this sec-
tion; and
(3) who, after completion of the service described in clause
(1) of this subsection—
(A) is discharged from service with an honorable dis-
charge, is placed on the retired list, or is transferred to the
Standby Reserve or an element of the Ready Reserve other
than the Selected Reserve after service in the Selected Re-
serve characterized by the Secretary concerned as honor-
able service; or
(B) continues on active duty or in the Selected Re-
serve;
(b)(1)(A) The requirement of two years of service under clauses
(1)(A)(i) and (1)(B)(i) of subsection (a) of this section is not applica-
ble to an individual who is discharged or released, during such two
years, from active duty in the Armed Forces (i) for a service-con-
nected disability, (ii) for a medical condition which preexisted such
service on active duty and which the Secretary determines is not
service connected, (iii) for hardship, (iv) in the case of an individual
discharged or released after 20 months of such service, for the con-
venience of the Government, (v) involuntarily for the convenience
of the Government as a result of a reduction in force, as deter-
mined by the Secretary of the military department concerned in ac-
cordance with regulations prescribed by the Secretary of Defense or
by the Secretary of Homeland Security with respect to the Coast
Guard when it is not operating as a service in the Navy, (vi) for
a physical or mental condition that was not characterized as a dis-
ability, as described in section 3011(a)(1)(A)(ii)(I) of this title, or

(vii) by reason of a sole survivorship discharge (as that term is de-
fined in section 1174(i) of title 10).
(B) The requirement of four years of service under clauses
(1)(A)(ii) and (1)(B)(ii) of subsection (a) of this section is not appli-
cable to an individual—
(i) who, during the two years of service described in
clauses (1)(A)(i) and (1)(B)(i) of subsection (a) of this section,
was discharged or released from active duty in the Armed
Forces for a service-connected disability, by reason of a sole
survivorship discharge (as that term is defined in section
1174(i) of title 10), for a medical condition which preexisted
such service on active duty and which the Secretary deter-
mines is not service connected, or for a physical or mental con-
dition not characterized as a disability, as described in section
3011(a)(1)(A)(ii)(I) of this title, if the individual was obligated,
at the beginning of such two years of service, to serve such four
years of service;
(ii) who, during the four years of service described in
clauses (1)(A)(ii) and (1)(B)(ii) of subsection (a) of this section,
is discharged or released from service in the Selected Reserve
(I) for a service-connected disability, (II) for a medical condition
which preexisted the individual’s becoming a member of the
Selected Reserve and which the Secretary determines is not
service connected, (III) for hardship, (IV) in the case of an indi-
vidual discharged or released after 30 months of such service,
for the convenience of the Government, (V) involuntarily for
the convenience of the Government as a result of a reduction
in force, as determined by the Secretary of the military depart-
ment concerned in accordance with regulations prescribed by
the Secretary of Defense or by the Secretary of Homeland Se-
curity with respect to the Coast Guard when it is not operating
as a service in the Navy, (VI) for a physical or mental condition
not characterized as a disability, as described in section
3011(a)(1)(A)(ii)(I) of this title, or (VII) by reason of a sole sur-
vivorship discharge (as that term is defined in section 1174(i)
of title 10); or
(iii) who, before completing the four years of service de-
scribed in clauses (1)(A)(ii) and (1)(B)(ii) of subsection (a) of
this section, ceases to be a member of the Selected Reserve
during the period beginning on October 1, 1991, and ending on
September 30, 1999, by reason of the inactivation of the per-
son’s unit of assignment or by reason of involuntarily ceasing
to be designated as a member of the Selected Reserve pursuant
to section 10143(a) of title 10.
(2) After an individual begins service in the Selected Reserve
within one year after completion of the service described in clause
(A)(i) or (B)(i) of subsection (a)(1) of this section, the continuity of
service of such individual as a member of the Selected Reserve
shall not be considered to be broken—
(A) by any period of time (not to exceed a maximum period
prescribed by the Secretary concerned by regulation) during
which the member is not able to locate a unit of the Selected
Reserve of the member’s Armed Force that the member is eligi-

ble to join or that has a vacancy; or
(B) by any other period of time (not to exceed a maximum
period prescribed by the Secretary concerned by regulation)
during which the member is not attached to a unit of the Se-
lected Reserve that the Secretary concerned, pursuant to regu-
lations, considers to be inappropriate to consider for such pur-
pose.
(c)(1) Except as provided in paragraph (2), the basic pay of any
individual described in subsection (a)(1)(A) of this section who does
not make an election under subsection (d)(1) of this section shall
be reduced by $100 for each of the first 12 months that such indi-
vidual is entitled to such pay.
(2) In the case of an individual covered by paragraph (1) who
is a member of the Selected Reserve, the Secretary of Defense shall
collect from the individual an amount equal to $1,200 not later
than one year after completion by the individual of the two years
of service on active duty providing the basis for such entitlement.
The Secretary of Defense may collect such amount through reduc-
tions in basic pay in accordance with paragraph (1) or through such
other method as the Secretary of Defense considers appropriate.
(3) Any amount by which the basic pay of an individual is re-
duced under this subsection shall revert to the Treasury and shall
not, for purposes of any Federal law, be considered to have been
received by or to be within the control of such individual.
(d)(1) An individual described in subsection (a)(1)(A) of this
section may make an election not to receive educational assistance
under this chapter. Any such election shall be made at the time the
individual initially enters on active duty as a member of the Armed
Forces. Any individual who makes such an election is not entitled
to educational assistance under this chapter.
mission as an officer in the Armed Forces upon graduation from
the United States Military Academy, the United States Naval
Academy, the United States Air Force Academy, or the Coast
Guard Academy is not eligible for educational assistance under this
section.
mission as an officer in the Armed Forces upon completion of a pro-
gram of educational assistance under section 2107 of title 10 is not
eligible for educational assistance under this section if the indi-
vidual enters on active duty—
(A) before October 1, 1996; or
(B) after September 30, 1996, and while participating in
such program received more than $3,400 for each year of such
participation.
(e)(1) An individual described in subclause (I) or (III) of sub-
section (b)(1)(B)(ii) of this section may elect entitlement to basic
educational assistance under section 3011 of this title, based on an
obligated period of active duty of two years, in lieu of entitlement
to assistance under this section.
(2) An individual who makes the election described in para-
graph (1) of this subsection shall, for all purposes of this chapter,
be considered entitled to educational assistance under section 3011
of this title and not under this section. Such an election is irrev-
ocable.
(f)(1) Any individual eligible for educational assistance under
this section who does not make an election under subsection (d)(1)
may contribute amounts for purposes of receiving an increased
amount of basic educational assistance as provided for under sec-
tion 3015(g) of this title. Such contributions shall be in addition to
any reductions in the basic pay of such individual under subsection
(c).
(2) An individual covered by paragraph (1) may make the con-
tributions authorized by that paragraph at any time while on ac-
tive duty, but not more frequently than monthly.
(3) The total amount of the contributions made by an indi-
vidual under paragraph (1) may not exceed $600. Such contribu-
tions shall be made in multiples of $20.
(4) Contributions under this subsection shall be made to the
Secretary of the military department concerned. That Secretary
shall deposit any amounts received as contributions under this sub-
section into the Treasury as miscellaneous receipts.
(g)(1) The Secretary concerned shall inform any member of the
Armed Forces who has not completed that member’s initial service
(as described in paragraph (2)) and who indicates the intent to be
discharged or released from such service for the convenience of the
Government of the minimum service requirements for entitlement
to educational assistance benefits under this chapter. Such infor-
mation shall be provided to the member in a timely manner.
(2) The initial service referred to in paragraph (1) is the initial
obligated period of active duty (described in subparagraph (A)(i) or
(B)(i) of subsection (a)(1)) or the period of service in the Selected
Reserve (described in subparagraph (A)(ii) or (B)(ii) of subsection
(a)(1)).
1412; amended Pub. L. 99–145, title VI, Sec. 674(2), Nov. 8, 1985, 99 Stat. 665; Pub.
L. 99–576, title III, Sec. 303(a)(2), 307(a)(2), 321(2), Oct. 28, 1986, 100 Stat. 3269,
3277; Pub. L. 100–48, Sec. 3(b), June 1, 1987, 101 Stat. 331; Pub. L. 100–689, title
I, Sec. 102(b)(1), 103(b)(1), 104(b), 105, 111(a)(2)(B), Nov. 18, 1988, 102 Stat. 4162,
4165, 4166, 4171; Pub. L. 101–237, title IV, Sec. 409, 423(a)(1), (b)(1)(A), Dec. 18,
1989, 103 Stat. 2084, 2090, 2092; Pub. L. 101–510, div. A, title V, Sec. 562(a)(3),
Nov. 5, 1990, 104 Stat. 1574; renumbered Sec. 3012 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–484, div. D, title XLIV,
Sec. 4419(b), Oct. 23, 1992, 106 Stat. 2718; Pub. L. 102–568, title III, Sec. 302(a)(2),
303(a)(2), Oct. 29, 1992, 106 Stat. 4326, 4327; Pub. L. 103–160, div. A, title V, Sec.
561(m), Nov. 30, 1993, 107 Stat. 1668; Pub. L. 103–446, title XII, Sec. 1201(f)(2),
Nov. 2, 1994, 108 Stat. 4687; Pub. L. 104–106, div. A, title XV, Sec. 1501(e)(2)(B),
Feb. 10, 1996, 110 Stat. 501; Pub. L. 104–201, div. A, title V, Sec. 556(b), Sept. 23,
1996, 110 Stat. 2528; Pub. L. 105–368, title II, Secs. 203(a), 207(b), Nov. 11, 1998,
112 Stat. 3326, 3328; Pub. L. 106–117, title VII, Sec. 704, Nov. 30, 1999, 113 Stat.
1584; Pub. L. 106–419, title I, Secs. 102(b), 103(b), 105(a)(2), title IV, Sec. 404(a)(6),
Nov. 1, 2000, 114 Stat. 1824, 1826, 1829, 1865; Pub. L. 107–14, Sec. 7(c)(2), June
5, 2001, 115 Stat. 32; Pub. L. 107–103, title I, Secs. 105(b), 106(a), Dec. 27, 2001,
115 Stat. 982, 983; Pub. L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116
Stat. 2315; Pub. L. 108–454, title I, Sec. 109(b), Dec. 10, 2004, 118 Stat. 3604; Pub.
L. 109–233, title V, Sec. 503(3), June 15, 2006, 120 Stat. 416; Pub. L. 110–317, Sec.
6(c)(2), Aug. 29, 2008, 122 Stat. 3529.)
§ 3013. Duration of basic educational assistance

(a)(1) Subject to section 3695 of this title and except as pro-
vided in paragraph (2) of this subsection, each individual entitled
to basic educational assistance under section 3011 of this title is

entitled to 36 months of educational assistance benefits under this
chapter (or the equivalent thereof in part-time educational assist-
ance).
(2) Subject to section 3695 of this title and subsection (d) of
this section, in the case of an individual described in section
3011(a)(1)(A)(ii)(I) or (III) of this title who is not also described in
section 3011(a)(1)(A)(i) of this title or an individual described in
section 3011(a)(1)(B)(ii)(I) or (III) of this title who is not also de-
scribed in section 3011(a)(1)(B)(i) of this title, the individual is enti-
tled to one month of educational assistance benefits under this
chapter for each month of continuous active duty served by such
individual after June 30, 1985, as part of the obligated period of
active duty on which such entitlement is based in the case of an
individual described in section 3011(a)(1)(A)(ii)(I) or (III) of this
title, or in the case of an individual described in section
3011(a)(1)(B)(ii)(I) or (III) of this title, after June 30, 1985.
(b) Subject to section 3695 of this title and subsection (d) of
this section, each individual entitled to basic educational assistance
under section 3012 of this title is entitled to (1) one month of edu-
cational assistance benefits under this chapter for each month of
continuous active duty served by such individual after June 30,
1985, as part of the obligated period of active duty on which such
entitlement is based in the case of an individual described in sec-
tion 3012(a)(1)(A) of this title, or in the case of an individual de-
scribed in section 3012(a)(1)(B) of this title, after June 30, 1985,
and (2) one month of educational assistance benefits under this
chapter for each four months served by such individual in the Se-
lected Reserve after the applicable date specified in clause (1) of
this subsection (other than any month in which the individual
served on active duty).
(c)(1) Subject to section 3695 of this title and except as pro-
vided in paragraphs (2) and (3) of this subsection, each individual
entitled to basic educational assistance under section 3018 of this
title is entitled to 36 months of educational assistance under this
chapter (or the equivalent thereof in part-time educational assist-
ance).
(2) Subject to section 3695 of this title, an individual described
in clause (B) or (C) of section 3018(b)(3) of this title whose dis-
charge or release from active duty prevents the reduction of the
basic pay of such individual by $1,200 is entitled to the number of
months of assistance under this chapter that is equal to the lesser
of—
(A) 36 multiplied by a fraction the numerator of which is
the amount by which the basic pay of the individual has been
reduced under section 3018(c) and the denominator of which is
$1,200; or
(B) the number of months the individual has served on
continuous active duty after June 30, 1985.
(3) Subject to section 3695 of this title and subsection (d) of
this section, an individual described in clause (B) or (C)(ii) of sec-
tion 3018(b)(3) of this title (other than an individual described in
paragraph (2) of this subsection) is entitled to the number of
months of educational assistance under this chapter that is equal
to the number of months the individual has served on continuous

active duty after June 30, 1985.
(d) Subject to section 3695 of this title, each individual entitled
to educational benefits under section 3018A, 3018B, or 3018C of
this title is entitled to the lesser of—
(1) 36 months of educational assistance under this chapter
(or the equivalent thereof in part-time educational assistance);
or
(2) the number of months of such educational assistance
(or such equivalent thereof) that is equal to the number of
months served by such individual on active duty.
(e) No individual may receive basic educational assistance ben-
efits under this chapter for a period in excess of 36 months (or the
equivalent thereof in part-time educational assistance).
(f)(1) Notwithstanding any other provision of this chapter or
chapter 36 of this title, any payment of an educational assistance
allowance described in paragraph (2) shall not—
(A) be charged against any entitlement of any individual
under this chapter; or
(B) be counted toward the aggregate period for which sec-
tion 3695 of this title limits an individual’s receipt of assist-
ance.
(2) Subject to paragraph (3), the payment of the educational as-
sistance allowance referred to in paragraph (1) is the payment of
such an allowance to an individual for pursuit of a course or
courses under this chapter if the Secretary finds that the indi-
vidual—
(A) in the case of a person not serving on active duty, had
to discontinue such course pursuit as a result of being ordered
to serve on active duty under section 688, 12301(a), 12301(d),
12301(g), 12302, or 12304 of title 10; or
(B) in the case of a person serving on active duty, had to
discontinue such course pursuit as a result of being ordered to
a new duty location or assignment or to perform an increased
amount of work; and
(C) failed to receive credit or lost training time toward
completion of the individual’s approved education, professional,
or vocational objective as a result of having to discontinue, as
described in subparagraph (A) or (B), his or her course pursuit.
(3) The period for which, by reason of this subsection, an edu-
cational assistance allowance is not charged against entitlement or
counted toward the applicable aggregate period under section 3695
of this title shall not exceed the portion of the period of enrollment
in the course or courses for which the individual failed to receive
credit or with respect to which the individual lost training time, as
determined under paragraph (2)(C) of this subsection.
1413; amended Pub. L. 99–576, title III, Sec. 321(3), Oct. 28, 1986, 100 Stat. 3277;
Pub. L. 100–689, title I, Sec. 102(b)(2), 103(b)(2), 111(a)(4), Nov. 18, 1988, 102 Stat.
4163, 4165, 4171; Pub. L. 101–237, title IV, Sec. 423(a)(2), Dec. 18, 1989, 103 Stat.
2091; Pub. L. 101–510, div. A, title V, Sec. 561(b)(1), Nov. 5, 1990, 104 Stat. 1573;
105 Stat. 406; Pub. L. 102–127, Sec. 2(a), Oct. 10, 1991, 105 Stat. 619; Pub. L. 102–
484, div. D, title XLIV, Sec. 4404(b)(2), Oct. 23, 1992, 106 Stat. 2706; Pub. L. 104–
275, title I, Sec. 106(b)(2), Oct. 9, 1996, 110 Stat. 3329; Pub. L. 106–419, title I, Sec.
395 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. Sec. 3014A
103(c), Nov. 1, 2000, 114 Stat. 1826; Pub. L. 107–103, title I, Sec. 103(a), (d), Dec.
27, 2001, 115 Stat. 979.)
§ 3014. Payment of basic educational assistance

(a) The Secretary shall pay to each individual entitled to basic
educational assistance who is pursuing an approved program of
education a basic educational assistance allowance to help meet, in
part, the expenses of such individual’s subsistence, tuition, fees,
supplies, books, equipment, and other educational costs.
(b)(1) In the case of an individual entitled to basic educational
assistance who is pursuing education or training described in sub-
section (a) or (c) of section 2007 of title 10, the Secretary shall, at
the election of the individual, pay the individual a basic edu-
cational assistance allowance to meet all or a portion of the charges
of the educational institution for the education or training that are
not paid by the Secretary of the military department concerned
under such subsection.
(2)(A) The amount of the basic educational assistance allow-
ance payable to an individual under this subsection for a month
shall be the amount of the basic educational assistance allowance
to which the individual would be entitled for the month under sec-
tion 3015 of this title .
(B) The maximum number of months for which an individual
may be paid a basic educational assistance allowance under para-
graph (1) is 36.
(C) The number of months of entitlement charged under this
chapter in the case of an individual who has been paid a basic edu-
cational assistance allowance under this subsection shall be equal
to the number (including any fraction) determined by dividing the
total amount of such educational assistance allowance paid the in-
dividual by the full-time monthly institutional rate of educational
assistance which such individual would otherwise be paid under
subsection (a)(1), (b)(1), (c)(1), (d)(1), or (e)(1) of section 3015 of this
title, as the case may be.
1414; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat.
2092; renumbered Sec. 3014, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406;
Pub. L. 106–398, Sec. 1[[div. A], title XVI, Sec. 1602(b)(2)], Oct. 30, 2000, 114 Stat.
1654, 1654A-359; Pub. L. 107–14, Sec. 7(b)(1), June 5, 2001, 115 Stat. 31.)
§ 3014A. Accelerated payment of basic educational assist-

ance for education leading to employment in high
technology occupation in high technology industry
(a) An individual described in subsection (b) who is entitled to
basic educational assistance under this subchapter may elect to re-
ceive an accelerated payment of the basic educational assistance al-
lowance otherwise payable to the individual under section 3015 of
this title.
(b) An individual described in this subsection is an individual
who is—
(1) enrolled in an approved program of education that
leads to employment in a high technology occupation in a high
technology industry (as determined pursuant to regulations
prescribed by the Secretary); and
Sec. 3014A CH. 30—ALL-VOLUNTEER FORCE ED. ASST. 396
(2) charged tuition and fees for the program of education

that, when divided by the number of months (and fractions
thereof) in the enrollment period, exceeds the amount equal to
200 percent of the monthly rate of basic educational assistance
allowance otherwise payable to the individual under section
3015 of this title.
(c)(1) The amount of the accelerated payment of basic edu-
cational assistance made to an individual making an election under
subsection (a) for a program of education shall be the lesser of—
(A) the amount equal to 60 percent of the established
charges for the program of education; or
(B) the aggregate amount of basic educational assistance
to which the individual remains entitled under this chapter at
the time of the payment.
(2) In this subsection, the term ‘‘established charges’’, in the
case of a program of education, means the actual charges (as deter-
mined pursuant to regulations prescribed by the Secretary) for tui-
tion and fees which similarly circumstanced nonveterans enrolled
in the program of education would be required to pay. Established
charges shall be determined on the following basis:
(A) In the case of an individual enrolled in a program of
education offered on a term, quarter, or semester basis, the tui-
tion and fees charged the individual for the term, quarter, or
semester.
(B) In the case of an individual enrolled in a program of
education not offered on a term, quarter, or semester basis, the
tuition and fees charged the individual for the entire program
of education.
(3) The educational institution providing the program of edu-
cation for which an accelerated payment of basic educational assist-
ance allowance is elected by an individual under subsection (a)
shall certify to the Secretary the amount of the established charges
for the program of education.
(d) An accelerated payment of basic educational assistance
made to an individual under this section for a program of education
shall be made not later than the last day of the month immediately
following the month in which the Secretary receives a certification
from the educational institution regarding—
(1) the individual’s enrollment in and pursuit of the pro-
gram of education; and
(2) the amount of the established charges for the program
of education.
(e)(1) Except as provided in paragraph (2), for each accelerated
payment of basic educational assistance made to an individual
under this section, the individual’s entitlement to basic educational
assistance under this chapter shall be charged the number of
months (and any fraction thereof) determined by dividing the
amount of the accelerated payment by the full-time monthly rate
of basic educational assistance allowance otherwise payable to the
individual under section 3015 of this title as of the beginning date
of the enrollment period for the program of education for which the
accelerated payment is made.
(2) If the monthly rate of basic educational assistance allow-
ance otherwise payable to an individual under section 3015 of this
title increases during the enrollment period of a program of edu-

cation for which an accelerated payment of basic educational assist-
ance is made under this section, the charge to the individual’s enti-
tlement to basic educational assistance under this chapter shall be
determined by prorating the entitlement chargeable, in the matter
provided for under paragraph (1), for the periods covered by the
initial rate and increased rate, respectively, in accordance with reg-
ulations prescribed by the Secretary.
(f) The Secretary may not make an accelerated payment under
this section for a program of education to an individual who has
received an advance payment under section 3680(d) of this title for
the same enrollment period.
(g) The Secretary shall prescribe regulations to carry out this
section. The regulations shall include requirements, conditions, and
methods for the request, issuance, delivery, certification of receipt
and use, and recovery of overpayment of an accelerated payment
under this section.
(Added Pub. L. 107–103, title I, Sec. 104(a)(1), Dec. 27, 2001, 115 Stat. 980; amend-
ed Pub. L. 107–330, title III, Sec. 308(b)(1), (2)(A), Dec. 6, 2002, 116 Stat. 2827.)
§ 3015. Amount of basic educational assistance
(a) The amount of payment of educational assistance under
this chapter is subject to section 3032 of this title. Except as other-
wise provided in this section, in the case of an individual entitled
to an educational assistance allowance under this chapter whose
obligated period of active duty on which such entitlement is based
is three years, a basic educational assistance allowance under this
subchapter shall be paid—
(1) for an approved program of education pursued on a
full-time basis, at the monthly rate of—
(A) for months occurring during the period beginning
on August 1, 2008, and ending on the last day of fiscal
year 2009, $1,321; and
(B) for months occurring during a subsequent fiscal
year, the amount for months occurring during the previous
fiscal year increased under subsection (h); or
(2) at an appropriately reduced rate, as determined under
regulations which the Secretary shall prescribe, for an ap-
proved program of education pursued on less than a full-time
basis.
(b) In the case of an individual entitled to an educational as-
sistance allowance under section 3011 or 3018 of this title whose
obligated period of active duty on which such entitlement is based
is two years, a basic educational assistance allowance under this
chapter shall (except as provided in the succeeding subsections of
this section)be paid—
(1) for an approved program of education pursued on a
full-time basis, at the monthly rate of—
(A) for months occurring during the period beginning
on August 1, 2008, and ending on the last day of fiscal
year 2009, $1,073; and
(B) for months occurring during a subsequent fiscal
year, the amount for months occurring during the previous
fiscal year increased under subsection (h); or

basis.
(c)(1) The amount of basic educational allowance payable under
this chapter to an individual referred to in paragraph (2) of this
subsection is the amount determined under subsection (a) of this
section.
(2) Paragraph (1) of this subsection applies to an individual en-
titled to an educational assistance allowance under section 3011 of
this title—
(A) whose obligated period of active duty on which such
entitlement is based is less than three years;
(B) who, beginning on the date of the commencement of
such obligated period of active duty, serves a continuous period
of active duty of not less than three years; and
(C) who, after the completion of that continuous period of
active duty, meets one of the conditions set forth in subsection
(a)(3) of such section 3011.
(d)(1) In the case of an individual who has a skill or specialty
designated by the Secretary concerned as a skill or specialty in
which there is a critical shortage of personnel or for which it is dif-
ficult to recruit, the Secretary concerned, pursuant to regulations
to be prescribed by the Secretary of Defense, may, at the time the
individual first becomes a member of the Armed Forces, increase
the rate of the basic educational assistance allowance applicable to
such individual to such rate in excess of the rate prescribed under
subsections (a), (b), and (c) of this section as the Secretary of De-
fense considers appropriate, but the amount of any such increase
may not exceed $950 per month.
(2) In the case of an individual who after October 7, 1997, re-
ceives an enlistment bonus under section 308a or 308f of title 37,
receipt of that bonus does not affect the eligibility of that indi-
vidual for an increase under paragraph (1) in the rate of the basic
educational assistance allowance applicable to that individual, and
the Secretary concerned may provide such an increase for that indi-
vidual (and enter into an agreement with that individual that the
United States agrees to make payments pursuant to such an in-
crease) without regard to any provision of law (enacted before, on,
or after the date of the enactment of this paragraph) that limits the
authority to make such payments.
(e)(1)(A) Except as provided in subparagraph (B) of this para-
graph and subject to paragraph (2) of this subsection, in the case
of an individual who on December 31, 1989, was entitled to edu-
cational assistance under chapter 34 of this title, the rate of the
basic educational assistance allowance applicable to such individual
under this chapter shall be increased by the amount equal to one-
half of the educational assistance allowance that would be applica-
ble to such individual under such chapter 34 (as of the time the
assistance under this chapter is provided and based on the rates
in effect on December 31, 1989) if such chapter were in effect.
(B) Notwithstanding subparagraph (A) of this paragraph, in
the case of an individual described in that subparagraph who is
pursuing a cooperative program on or after October 9, 1996, the
rate of the basic educational assistance allowance applicable to

such individual under this chapter shall be increased by the
amount equal to one-half of the educational assistance allowance
that would be applicable to such individual for pursuit of full-time
institutional training under chapter 34 (as of the time the assist-
ance under this chapter is provided and based on the rates in effect
on December 31, 1989) if such chapter were in effect.
(2) The number of months for which the rate of the basic edu-
cational assistance allowance applicable to an individual is in-
creased under paragraph (1) of this subsection may not exceed the
number of months of entitlement to educational assistance under
chapter 34 of this title that the individual had remaining on De-
cember 31, 1989.
(f) In the case of an individual for whom the Secretary of De-
fense made contributions under section 3222(c) of this title and
who is entitled to educational assistance under section 3018A,
3018B, or 3018C of this chapter, the Secretary shall increase the
rate of the basic educational assistance allowance applicable to
such individual in excess of the rate provided under subsection (a)
of this section in a manner consistent with, as determined by the
Secretary of Defense, the agreement entered into with such indi-
vidual pursuant to the rules and regulations issued by the Sec-
retary of Defense under section 3222(c) of this title.
(g) In the case of an individual who has made contributions au-
thorized by section 3011(e) or 3012(f) of this title, effective as of the
first day of the enrollment period following receipt of such contribu-
tions from such individual by the Secretary concerned, the monthly
amount of basic educational assistance allowance applicable to such
individual under subsection (a), (b), or (c) shall be the monthly rate
otherwise provided for under the applicable subsection increased
by—
(1) an amount equal to $5 for each $20 contributed by such
individual under section 3011(e) or 3012(f) of this title, as the
case may be, for an approved program of education pursued on
a full-time basis; or
(2) an appropriately reduced amount based on the amount
so contributed, as determined under regulations which the Sec-
retary shall prescribe, for an approved program of education
pursued on less than a full-time basis.
(h)(1) With respect to any fiscal year, the Secretary shall pro-
vide a percentage increase in the rates payable under subsections
(a)(1) and (b)(1) equal to the percentage by which—
(A) the average cost of undergraduate tuition in the United
States, as determined by the National Center for Education
Statistics, for the last academic year preceding the beginning
of the fiscal year for which the increase is made, exceeds
(B) the average cost of undergraduate tuition in the United
States, as so determined, for the academic year preceding the
academic year described in subparagraph (A).
(2) Any increase under paragraph (1) in a rate with respect to
a fiscal year after fiscal year 2004 and before fiscal year 2014 shall
be rounded down to the next lower whole dollar amount. Any such
increase with respect to a fiscal year after fiscal year 2013 shall be
rounded to the nearest whole dollar amount.
1415; amended Pub. L. 100–689, title I, Sec. 103(b)(3), 111(a)(5)(A), Nov. 18, 1988,
102 Stat. 4165, 4171; Pub. L. 101–189, div. A, title VI, Sec. 641, Nov. 29, 1989, 103
Stat. 1456; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), (5), Dec. 18, 1989, 103 Stat.
2092; Pub. L. 101–510, div. A, title V, Sec. 561(b)(2), Nov. 5, 1990, 104 Stat. 1573;
Pub. L. 102–25, title III, Sec. 337(a), Apr. 6, 1991, 105 Stat. 90; Pub. L. 102–54,
Sec. 14(c)(1), June 13, 1991, 105 Stat. 284; renumbered Sec. 3015 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III,
Sec. 301(a), (c), 307(a), (b), Oct. 29, 1992, 106 Stat. 4325, 4326, 4328, 4329; Pub.
L. 103–66, title XII, Sec. 12009(a), (d)(1), (2), Aug. 10, 1993, 107 Stat. 415, 416; Pub.
L. 104–275, title I, Sec. 106(b)(3), Oct. 9, 1996, 110 Stat. 3329; Pub. L. 105–114, title
IV, Sec. 401(b), Nov. 21, 1997, 111 Stat. 2293; Pub. L. 105–178, title VIII, Sec.
8203(a)(1)–(3), June 9, 1998, 112 Stat. 493; Pub. L. 105–261, div. A, title V, Sec.
565(a), title VI, Sec. 656(a), Oct. 17, 1998, 112 Stat. 2029, 2053; Pub. L. 106–398,
Sec. 1[title XVI, Sec. 1602(b)(3)], Oct. 30, 2000, 114 Stat. 1654, 1654A-359; Pub. L.
106–419, title I, Secs. 101(a), 103(d), 105(b), Nov. 1, 2000, 114 Stat. 1824, 1826,
1829; Pub. L. 107–14, Sec. 7(b)(2)(A), (c)(3), June 5, 2001, 115 Stat. 31, 32; Pub. L.
107–103, title I, Sec. 101(a), Dec. 27, 2001, 115 Stat. 977; Pub. L. 108–183, title III,
Sec. 304(a), Dec. 16, 2003, 117 Stat. 2659; Pub. L. 110–252, title V, Sec. 5004(a)–
(c), June 30, 2008, 122 Stat. 2379.)
§ 3016. Inservice enrollment in a program of education

(a) A member of the Armed Forces who—
(1) first becomes a member or first enters on active duty
as a member of the Armed Forces after June 30, 1985, and
does not make an election under section 3011(c)(1) or section
3012(d)(1);
(2) completes at least two years of service on active duty
after such date;
(3) after such service, continues on active duty or in the
Selected Reserve without a break in service (except as de-
scribed in section 3012(b)(2) of this title); and
(4) but for section 3011(a)(1)(A)(i)(I) or 3012(a)(1)(A)(ii) of
this title would be eligible for basic educational assistance,
may receive educational assistance under this chapter for enroll-
ment in an approved program of education while continuing to per-
form the duty described in section 3011(a)(1)(A)(i)(I) or
3012(a)(1)(A)(ii) of this title.
(b) A member of the Armed Forces who—
(1) as of December 31, 1989, is eligible for educational as-
sistance benefits under chapter 34 of this title;
(2) after June 30, 1985, has served the two years required
by section 3012(a)(1)(B)(i); and
(3) but for section 3012(a)(1)(B)(ii) of this title would be eli-
gible for basic educational assistance,
may, after December 31, 1989, receive educational assistance under
this chapter for enrollment in an approved program of education
while continuing to perform the duty described in section
3012(a)(1)(B)(ii) of this title.
(c) A member of the Armed Forces who—
(1) completes at least two years of service on active duty
after June 30, 1985;
(2) after such service continues on active duty without a
break in service; and
(3) but for section 3018(b)(3)(A) of this title would be enti-
tled to basic educational assistance under this chapter,
may receive such assistance for enrollment in an approved program

of education while continuing to perform the service described in
section 3018(b)(2) of this title.
Pub. L. 100–689, title I, Sec. 103(b)(4), Nov. 18, 1988, 102 Stat. 4165; renumbered
406.)
§ 3017. Death benefit

(a)(1) In the event of the service-connected death of any indi-
vidual—
(A) who—
(i) is entitled to basic educational assistance under
this chapter; or
(ii) is on active duty in the Armed Forces and but for
clause (1)(A)(i) or clause (2) of section 3011(a) or clause
(1)(A)(i) or (ii) or clause (2) of section 3012(a) of this title
would be eligible for such basic educational assistance; and
(B) who dies while on active duty or within one year after
discharge or release from active duty,
the Secretary shall make a payment, subject to paragraph (2)(B) of
this subsection, in the amount described in subsection (b) of this
section to the person or persons described in paragraph (2)(A) of
this subsection.
(2)(A) The payment referred to in paragraph (1) of this sub-
section shall be made to the person or persons first listed below
who is surviving on the date of such individual’s death:
(i) The beneficiary or beneficiaries designated by such indi-
vidual under the individual’s Servicemembers’ Group Life In-
surance policy.
(ii) The surviving spouse of the individual.
(iii) The surviving child or children of the individual, in
equal shares.
(iv) The surviving parent or parents of the individual, in
equal shares.
(B) If no such person survives such individual, no payment
shall be made under this section.
(b) The amount of any payment made under this section shall
be equal to—
(1) the total of—
(A) the amount reduced from the individual’s basic pay
under section 3011(b), 3012(c), 3018(c), 3018A(b), 3018B(b),
3018C(b), or 3018C(e) of this title;
(B) the amount reduced from the individual’s retired
pay under section 3018C(e) of this title;
(C) the amount collected from the individual by the
Secretary under section 3018B(b), 3018C(b), or 3018C(e) of
this title; and
(D) the amount of any contributions made by the indi-
vidual under section 3011(e) or 3012(f) of this title, less (2)
the total of—
(A) the amount of educational assistance that has been

paid to the individual under this chapter before the pay-
ment is made under this section; and
(B) the amount of accrued benefits paid or payable
with respect to such individual in connection with this
chapter.
(c) A payment under this section shall be considered to be a
benefit under this title and, for purposes of section 3035(b)(1), it
shall be considered to be an entitlement earned under this sub-
chapter.
(Added Pub. L. 100–689, title I, Sec. 101(a), Nov. 18, 1988, 102 Stat. 4161, Sec.
1417; amended Pub. L. 101–237, title IV, Sec. 423(a)(3), (b)(1)(A), Dec. 18, 1989, 103
Stat. 2091, 2092; renumbered Sec. 3017 and amended Pub. L. 102–83, Sec. 5(a),
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 308, Oct. 29, 1992,
106 Stat. 4329; Pub. L. 104–275, title IV, Sec. 405(c)(2), Oct. 9, 1996, 110 Stat. 3340;
Pub. L. 106–419, title I, Sec. 102(a)(2), Nov. 1, 2000, 114 Stat. 1824; Pub. L. 107–
14, Sec. 7(d)(1), June 5, 2001, 115 Stat. 33; ;Pub. L. 109–233, title V, Sec. 503(4),
June 15, 2006, 120 Stat. 416.)
§ 3018. Opportunity for certain active-duty personnel to

withdraw election not to enroll
(a) Notwithstanding any other provision of this chapter, during
the period beginning December 1, 1988, and ending June 30, 1989
(hereinafter in this section referred to as the ‘‘open period’’), an in-
dividual who—
(1) first became a member of the Armed Forces or first en-
tered on active duty as a member of the Armed Forces during
the period beginning July 1, 1985, and ending June 30, 1988;
(2) has continuously served on active duty without a break
in service since the date the individual first became such a
member or first entered on active duty as such a member; and
(3) is serving on active duty during the open period,
shall have the opportunity, in accordance with this section and on
such form as the Secretary of Defense shall prescribe, to withdraw
an election made under section 3011(c)(1) or 3012(d)(1) of this title
not to receive educational assistance under this chapter.
(b) An individual described in clauses (1) through (3) of sub-
section (a) of this section who made an election under section
3011(c)(1) or 3012(d)(1) of this title and who—
(1) while serving on active duty during the open period,
makes a withdrawal of such an election;
(2) continues to serve the period of service which, at the
beginning of the open period, such individual was obligated to
serve;
(3)(A) serves the obligated period of service described in
clause (2) of this subsection;
(B) before completing such obligated period of service, is
discharged or released from active duty for (i) a service-con-
nected disability, (ii) a medical condition which preexisted such
service and which the Secretary determines is not service con-
nected, (iii) hardship, or (iv) a physical or mental condition
that was not characterized as a disability and did not result
from the individual’s own willful misconduct but did interfere
with the individual’s performance of duty, as determined by
the Secretary of each military department in accordance with
403 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. Sec. 3018A
regulations prescribed by the Secretary of Defense (or by the

Secretary of Homeland Security with respect to the Coast
Guard when it is not operating as a service of the Navy); or
(C) before completing such obligated period of service, is (i)
discharged or released from active duty for the convenience of
the Government after completing not less than 20 months of
such period of service, if such period was less than three years,
or 30 months, if such period was at least three years, or (ii)
involuntarily discharged or released from active duty for the
convenience of the Government as a result of a reduction in
force, as determined by the Secretary concerned in accordance
with regulations prescribed by the Secretary of Defense;
(4) before applying for benefits under this section—
(A) completes the requirements of a secondary school
diploma (or equivalency certificate); or
(B) successfully completes (or otherwise receives aca-
demic credit for) the equivalent of 12 semester hours in a
program of education leading to a standard college degree;
and
(5) upon completion of such obligated period of service—
charge, is placed on the retired list, is transferred to the
Fleet Reserve or Fleet Marine Corps Reserve, or is placed
on the temporary disability retired list;
(B) continues on active duty; or
(C) is released from active duty for further service in
honorable service,
(c) The basic pay of an individual withdrawing, under sub-
section (b)(1) of this section, an election under section 3011(c)(1) or
3012(d)(1) of this title shall be reduced by—
(1) $1,200; or
(2) in the case of an individual described in clause (B) or
(C) of subsection (b)(3) of this section whose discharge or re-
lease from active duty prevents the reduction of the basic pay
of such individual by $1,200, an amount less than $1,200.
(d) A withdrawal under subsection (b)(1) of this section is irrev-
ocable.
(Added Pub. L. 100–689, title I, Sec. 103(a), Nov. 18, 1988, 102 Stat. 4164, Sec.
1418; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), (4)(A), Dec. 18, 1989, 103
Stat. 2092; Pub. L. 102–16, Sec. 10(a)(2), Mar. 22, 1991, 105 Stat. 55; renumbered
Pub. L. 102–86, title V, Sec. 506(b)(2), Aug. 14, 1991, 105 Stat. 426; Pub. L. 102–
568, title III, Sec. 309(a), Oct. 29, 1992, 106 Stat. 4329; Pub. L. 105–368, title II,
Sec. 203(a), Nov. 11, 1998, 112 Stat. 3326; Pub. L. 106–419, title I, Sec. 102(c), Nov.
1, 2000, 114 Stat. 1825; Pub. L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002,
116 Stat. 2315.)
§ 3018A. Opportunity for certain active-duty personnel to

enroll before being involuntarily separated from
service
(a) Notwithstanding any other provision of law, an individual
who—
Sec. 3018A CH. 30—ALL-VOLUNTEER FORCE ED. ASST. 404
(1) after February 2, 1991, is involuntarily separated (as

such term is defined in section 1141 of title 10) with an honor-
able discharge;
(2) before applying for benefits under this section, has com-
pleted the requirements of a secondary school diploma (or
equivalency certificate) or has successfully completed (or other-
wise received academic credit for) the equivalent of 12 semes-
ter hours in a program of education leading to a standard col-
lege degree;
(3) in the case of any individual who has made an election
under section 3011(c)(1) or 3012(d)(1) of this title, withdraws
such election before such separation pursuant to procedures
which the Secretary of each military department shall provide
in accordance with regulations prescribed by the Secretary of
Defense for the purpose of carrying out this section or which
the Secretary of Homeland Security shall provide for such pur-
pose with respect to the Coast Guard when it is not operating
as a service in the Navy;
(4) in the case of any person enrolled in the educational
benefits program provided by chapter 32 of this title makes an
irrevocable election, pursuant to procedures referred to in
paragraph (3), before such separation to receive benefits under
this section in lieu of benefits under such chapter 32; and
(5) before such separation elects to receive assistance
under this section pursuant to procedures referred to in para-
graph (3),
(b) The basic pay of an individual described in subsection (a)
shall be reduced by $1,200.
(c) A withdrawal referred to in subsection (a)(3) is irrevocable.
(d)(1) Except as provided in paragraph (3), an individual who
is enrolled in the educational benefits program provided by chapter
32 of this title and who makes the election described in subsection
(a)(4) shall be disenrolled from such chapter 32 program as of the
date of such election.
(2) For each individual who is disenrolled from such program,
the Secretary shall refund—
(A) as provided in section 3223(b) of this title, to the indi-
vidual the unused contributions made by the individual to the
Post-Vietnam Era Veterans Education Account established
pursuant to section 3222(a) of this title; and
(B) to the Secretary of Defense the unused contributions
(other than contributions made under section 3222(c) of this
title) made by such Secretary to the Account on behalf of such
individual.
(3) Any contribution made by the Secretary of Defense to the
Post-Vietnam Era Veterans Education Account pursuant to sub-
section (c) of section 3222 of this title on behalf of any individual
referred to in paragraph (1) shall remain in such Account to make
payments of benefits to such individual under section 3015(f) of
this title.
(Added Pub. L. 101–510, div. A, title V, Sec. 561(a)(1), Nov. 5, 1990, 104 Stat. 1571,
Sec. 1418A; amended Pub. L. 102–25, title VII, Sec. 705(c)(1), Apr. 6, 1991, 105 Stat.
120; renumbered Sec. 3018A and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6,
405 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. Sec. 3018B
1991, 105 Stat. 406; Pub. L. 103–446, title XII, Sec. 1201(d)(4), (i)(4), Nov. 2, 1994,
108 Stat. 4684, 4688; Pub. L. 105–368, title II, Sec. 203(a), Nov. 11, 1998, 112 Stat.
3326; Pub. L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315; ;Pub.
L. 109–233, title V, Sec. 503(5), June 15, 2006, 120 Stat. 416.)
§ 3018B. Opportunity for certain persons to enroll
(a) Notwithstanding any other provision of law—
(1) the Secretary of Defense shall, subject to the avail-
ability of appropriations, allow an individual who—
(A) is separated from the active military, naval, or air
service with an honorable discharge and receives voluntary
separation incentives under section 1174a or 1175 of title
10;
(B) before applying for benefits under this section, has
completed the requirements of a secondary school diploma
(or equivalency certificate) or has successfully completed
(or otherwise received academic credit for) the equivalent
of 12 semester hours in a program of education leading to
a standard college degree;
(C) in the case of any individual who has made an
election under section 3011(c)(1) or 3012(d)(1) of this title,
withdraws such election before such separation pursuant
to procedures which the Secretary of each military depart-
ment shall provide in accordance with regulations pre-
scribed by the Secretary of Defense for the purpose of car-
rying out this section or which the Secretary of Homeland
Security shall provide for such purpose with respect to the
Coast Guard when it is not operating as service in the
Navy;
(D) in the case of any person enrolled in the edu-
cational benefits program provided by chapter 32 of this
title makes an irrevocable election, pursuant to procedures
referred to in subparagraph (C) of this paragraph, before
such separation to receive benefits under this section in
lieu of benefits under such chapter 32; and
(E) before such separation elects to receive assistance
under this section pursuant to procedures referred to in
subparagraph (C) of this paragraph; or
(2) the Secretary, in consultation with the Secretary of De-
fense, shall, subject to the availability of appropriations, allow
an individual who—
(A) separated before October 23, 1992, from the active
military, naval, or air service with an honorable discharge
and received or is receiving voluntary separation incen-
tives under section 1174a or 1175 of title 10;
(B) before applying for benefits under this section, has
completed the requirements of a secondary school diploma
(or equivalency certificate) or has successfully completed
(or otherwise received academic credit for) the equivalent
of 12 semester hours in a program of education leading to
a standard college degree;
(C) in the case of any individual who has made an
election under section 3011(c)(1) or 3012(d)(1) of this title,
withdraws such election before making an election under
this paragraph pursuant to procedures which the Sec-
Sec. 3018B CH. 30—ALL-VOLUNTEER FORCE ED. ASST. 406
retary shall provide, in consultation with the Secretary of

Defense and the Secretary of Homeland Security with re-
spect to the Coast Guard when it is not operating as serv-
ice in the Navy, which shall be similar to the regulations
prescribed under paragraph (1)(C) of this subsection;
(D) in the case of any person enrolled in the edu-
cational benefits program provided by chapter 32 of this
title makes an irrevocable election, pursuant to procedures
referred to in subparagraph (C) of this paragraph, before
making an election under this paragraph to receive bene-
fits under this section in lieu of benefits under such chap-
ter 32; and
(E) before October 23, 1993, elects to receive assist-
ance under this section pursuant to procedures referred to
in subparagraph (C) of this paragraph,
to elect to become entitled to basic education assistance under this
chapter.
(b)(1) The basic pay or voluntary separation incentives of an
individual who makes an election under subsection (a)(1) to become
entitled to basic education assistance under this chapter shall be
reduced by $1,200.
(2) The Secretary shall collect $1,200 from an individual who
makes an election under subsection (a)(2) to become entitled to
basic education assistance under this chapter, which shall be paid
into the Treasury of the United States as miscellaneous receipts.
(c) A withdrawal referred to in subsection (a)(1)(C) or (a)(2)(C)
of this section is irrevocable.
(d)(1) Except as provided in paragraph (3) of this subsection,
an individual who is enrolled in the educational benefits program
provided by chapter 32 of this title and who makes the election de-
scribed in subsection (a)(1)(D) or (a)(2)(D) of this section shall be
disenrolled from such chapter 32 program as of the date of such
election.
(A) as provided in section 3223(b) of this title, to the indi-
vidual the unused contributions made by the individual to the
Post-Vietnam Era Veterans Education Account established
pursuant to section 3222(a) of this title; and
individual.
referred to in paragraph (1) of this subsection shall remain in such
account to make payments of benefits to such individual under sec-
tion 3015(f) of this title.
(Added Pub. L. 102–484, div. D, title XLIV, Sec. 4404(a), Oct. 23, 1992, 106 Stat.
2704; amended Pub. L. 103–446, title XII, Sec. 1201(d)(5), (e)(11), (f)(3), Nov. 2,
1994, 108 Stat. 4684, 4685, 4687; Pub. L. 105–368, title II, Sec. 203(a), title X, Sec.
1005(b)(6), Nov. 11, 1998, 112 Stat. 3326, 3365; Pub. L. 107–296, title XVII, Sec.
1704(d), Nov. 25, 2002, 116 Stat. 2315.)
407 CH. 30—ALL-VOLUNTEER FORCE ED. ASST. Sec. 3018C
§ 3018C. Opportunity for certain VEAP participants to en-

roll
(a) Notwithstanding any other provision of law, an individual
who—
(1) is a participant on October 9, 1996, in the educational
benefits program provided by chapter 32 of this title;
(2) is serving on active duty (excluding the periods referred
to in section 3202(1)(C) of this title) on such date;
(3) before applying for benefits under this section, has com-
pleted the requirements of a secondary school diploma (or
equivalency certificate) or has successfully completed (or other-
wise received academic credit for) the equivalent of 12 semes-
ter hours in a program of education leading to a standard col-
lege degree;
(4) if discharged or released from active duty after the date
on which the individual makes the election described in para-
graph (5), is discharged or released therefrom with an honor-
able discharge; and
(5) during the one-year period beginning on October 9,
1996, makes an irrevocable election to receive benefits under
this section in lieu of benefits under chapter 32 of this title,
pursuant to procedures which the Secretary of each military
department shall provide in accordance with regulations pre-
scribed by the Secretary of Defense for the purpose of carrying
out this section or which the Secretary of Homeland Security
shall provide for such purpose with respect to the Coast Guard
when it is not operating as a service in the Navy;
may elect to become entitled to basic educational assistance under
this chapter.
(b) With respect to an individual who makes an election under
subsection (a) to become entitled to basic education assistance
under this chapter—
(1) the basic pay of the individual shall be reduced (in a
manner determined by the Secretary of Defense) until the total
amount by which such basic pay is reduced is $1,200; or
(2) to the extent that basic pay is not so reduced before the
individual’s discharge or release from active duty as specified
in subsection (a)(4), the Secretary shall collect from the indi-
vidual an amount equal to the difference between $1,200 and
the total amount of reductions under paragraph (1), which
shall be paid into the Treasury of the United States as mis-
cellaneous receipts.
(c)(1) Except as provided in paragraph (3), an individual who
is enrolled in the educational benefits program provided by chapter
32 of this title and who makes the election described in subsection
(a)(5) shall be disenrolled from such chapter 32 program as of the
date of such election.
(A) to the individual, as provided in section 3223(b) of this
title and subject to subsection (b)(2) of this section, the unused
contributions made by the individual to the Post-Vietnam Era
Sec. 3018C CH. 30—ALL-VOLUNTEER FORCE ED. ASST. 408
Veterans Education Account established pursuant to section

3222(a) of this title; and
individual.
referred to in paragraph (1) shall remain in such account to make
payments of benefits to such individual under section 3015(f) of
this title.
(d) The procedures provided in regulations referred to in sub-
section (a) shall provide for notice of the requirements of subpara-
graphs (B), (C), and (D) of section 3011(a)(3) and of subparagraph
(A) of section 3012(a)(3) of this title. Receipt of such notice shall be
acknowledged in writing.
(e)(1) A qualified individual (described in paragraph (2)) may
make an irrevocable election under this subsection, during the one-
year period beginning on the date of the enactment of this sub-
section, to become entitled to basic educational assistance under
this chapter. Such an election shall be made in the same manner
as elections made under subsection (a)(5).
(2) A qualified individual referred to in paragraph (1) is an in-
dividual who meets each of the following requirements:
(A) The individual was a participant in the educational
benefits program under chapter 32 of this title on or before Oc-
tober 9, 1996.
(B) The individual has continuously served on active duty
since October 9, 1996 (excluding the periods referred to in sec-
tion 3202(1)(C) of this title), through at least April 1, 2000.
(C) The individual meets the requirements of subsection
(a)(3).
(D) The individual, when discharged or released from ac-
tive duty, is discharged or released therefrom with an honor-
able discharge.
(3)(A) Subject to the succeeding provisions of this paragraph,
with respect to a qualified individual who makes an election under
paragraph (1) to become entitled to basic education assistance
(i) the basic pay of the qualified individual shall be re-
duced (in a manner determined by the Secretary concerned)
until the total amount by which such basic pay is reduced is
$2,700; and
(ii) to the extent that basic pay is not so reduced before the
qualified individual’s discharge or release from active duty as
specified in subsection (a)(4), at the election of the qualified in-
dividual—
(I) the Secretary concerned shall collect from the quali-
fied individual; or
(II) the Secretary concerned shall reduce the retired or
retainer pay of the qualified individual by,
an amount equal to the difference between $2,700 and the
total amount of reductions under clause (i), which shall be
paid into the Treasury of the United States as miscella-

neous receipts.
(B)(i) The Secretary concerned shall provide for an 18-month
period, beginning on the date the qualified individual makes an
election under paragraph (1), for the qualified individual to pay
that Secretary the amount due under subparagraph (A).
(ii) Nothing in clause (i) shall be construed as modifying the
period of eligibility for and entitlement to basic education assist-
ance under this chapter applicable under section 3031 of this title.
(C) The provisions of subsection (c) shall apply to qualified in-
dividuals making elections under this subsection in the same man-
ner as they applied to individuals making elections under sub-
section (a)(5).
(4) With respect to qualified individuals referred to in para-
graph (3)(A)(ii), no amount of educational assistance allowance
under this chapter shall be paid to the qualified individual until
the earlier of the date on which—
(A) the Secretary concerned collects the applicable amount
under subclause (I) of such paragraph; or
(B) the retired or retainer pay of the qualified individual
is first reduced under subclause (II) of such paragraph.
(5) The Secretary, in conjunction with the Secretary of Defense,
shall provide for notice to participants in the educational benefits
program under chapter 32 of this title of the opportunity under this
subsection to elect to become entitled to basic educational assist-
(Added Pub. L. 104–275, title I, Sec. 106(a), Oct. 9, 1996, 110 Stat. 3327; amended
Pub. L. 105–114, title IV, Sec. 401(c), Nov. 21, 1997, 111 Stat. 2293; Pub. L. 105–
368, title II, Sec. 203(a), Nov. 11, 1998, 112 Stat. 3326; Pub. L. 106–398, Sec. 1 [[div.
A], title XVI, Sec. 1601], Oct. 30, 2000, 114 Stat. 1654, 1654A-357; Pub. L. 106–419,
title I, Sec. 104(a)–(c), Nov. 1, 2000, 114 Stat. 1827, 1828; Pub. L. 107–14, Sec.
7(e)(1), June 5, 2001, 115 Stat. 33; Pub. L. 107–296, title XVII, Sec. 1704(d), Nov.
25, 2002, 116 Stat. 2315; Pub. L. 107–330, title III, Sec. 308(g)(9), Dec. 6, 2002, 116
Stat. 2829.)
§ 3019. Tutorial assistance

(a) An individual entitled to an educational assistance allow-
ance under this chapter shall also be entitled to benefits provided
an eligible veteran under section 3492 of this title, subject to the
conditions applicable to an eligible veteran under such section.
(b) The amount of such benefits payable under this section may
not exceed $100 per month, for a maximum of twelve months, or
until a maximum of $1,200 is utilized. This amount is in addition
to the amount of educational assistance allowance payable to the
individual under this chapter.
(c)(1) An individual’s period of entitlement to educational as-
sistance under this chapter shall be charged only with respect to
the amount of tutorial assistance paid to the individual under this
section in excess of $600.
(2) An individual’s period of entitlement to educational assist-
ance under this chapter shall be charged at the rate of one month
for each amount of assistance paid to the individual under this sec-
tion in excess of $600 that is equal to the amount of the monthly
educational assistance allowance which the individual is otherwise
eligible to receive for full-time pursuit of an institutional course

under this chapter.
(Added Pub. L. 100–689, title I, Sec. 107(a)(1), Nov. 18, 1988, 102 Stat. 4167, Sec.
1991, 105 Stat. 406.)
§ 3020. Authority to transfer unused education benefits to

family members for career service members
(a) IN GENERAL.—Subject to the provisions of this section, the
Secretary of Defense may authorize the Secretary concerned, to
promote recruitment and retention of members of the Armed
Forces, to permit an individual described in subsection (b) who is
entitled to basic educational assistance under this subchapter to
elect to transfer to one or more of the dependents specified in sub-
section (c) the unused portion of entitlement to such assistance,
subject to the limitation under subsection (d).
(b) ELIGIBLE INDIVIDUALS.—An individual referred to in sub-
section (a) is any member of the Armed Forces—
(1) who, while serving on active duty or as a member of
the Selected Reserve at the time of the approval by the Sec-
retary concerned of the member’s request to transfer entitle-
ment to basic educational assistance under this section, has
completed six years of service in the Armed Forces and enters
into an agreement to serve at least four more years as a mem-
ber of the Armed Forces; or
(2) as determined in regulations pursuant to subsection
(k).
(c) ELIGIBLE DEPENDENTS.—An individual approved to transfer
an entitlement to basic educational assistance under this section
may transfer the individual’s entitlement as follows:
(1) To the individual’s spouse.
(2) To one or more of the individual’s children.
(3) To a combination of the individuals referred to in para-
graphs (1) and (2).
(d) LIMITATION ON MONTHS OF TRANSFER.—(1) An individual
approved to transfer an entitlement to basic educational assistance
under this section may transfer any unused entitlement to one or
more of the dependents specified in subsection (c).
(2) The total number of months of entitlement transferred by
an individual under this section may not exceed 36 months. The
Secretary of Defense may prescribe regulations that would limit
the months of entitlement that may be transferred under this sec-
tion to no less than 18 months.
(e) DESIGNATION OF TRANSFEREE.—An individual transferring
an entitlement to basic educational assistance under this section
shall—
(1) designate the dependent or dependents to whom such
entitlement is being transferred;
(2) designate the number of months of such entitlement to
be transferred to each such dependent; and
(3) specify the period for which the transfer shall be effec-
tive for each dependent designated under paragraph (1).
(f) TIME FOR TRANSFER; REVOCATION AND MODIFICATION.—(1)
Subject to the time limitation for use of entitlement under section
3031 of this title, an individual approved to transfer entitlement to

basic educational assistance under this section may transfer such
entitlement at any time after the approval of the individual’s re-
quest to transfer such entitlement only while the individual is a
member of the Armed Forces when the transfer is executed.
(2)(A) An individual transferring entitlement under this section
may modify or revoke at any time the transfer of any unused por-
tion of the entitlement so transferred as long as the individual is
serving on active duty or as a member of the Selected Reserve.
(B) The modification or revocation of the transfer of entitle-
ment under this paragraph shall be made by the submittal of writ-
ten notice of the action to both the Secretary concerned and the
Secretary of Veterans Affairs.
(3) Entitlement transferred under this section may not be
treated as marital property, or the asset of a marital estate, subject
to division in a divorce or other civil proceeding.
(g) COMMENCEMENT OF USE.—A dependent to whom entitle-
ment to basic educational assistance is transferred under this sec-
tion may not commence the use of the transferred entitlement
until—
(1) in the case of entitlement transferred to a spouse, the
completion by the individual making the transfer of six years
of service in the Armed Forces; or
(2) in the case of entitlement transferred to a child, both—
(A) the completion by the individual making the trans-
fer of 10 years of service in the Armed Forces; and
(B) either—
(i) the completion by the child of the requirements
of a secondary school diploma (or equivalency certifi-
cate); or
(ii) the attainment by the child of 18 years of age.
(h) ADDITIONAL ADMINISTRATIVE MATTERS.—(1) The use of any
entitlement to basic educational assistance transferred under this
section shall be charged against the entitlement of the individual
making the transfer at the rate of one month for each month of
transferred entitlement that is used.
(2) Except as provided under subsection (e)(2) and subject to
paragraphs (5) and (6), a dependent to whom entitlement is trans-
ferred under this section is entitled to basic educational assistance
under this subchapter in the same manner as the individual from
whom the entitlement was transferred.
(3)(A) Subject to subparagraph (B), the monthly rate of edu-
cational assistance payable to a dependent to whom entitlement is
transferred under this section shall be the monthly amount payable
under sections 3015 and 3022 of this title to the individual making
the transfer.
(B) The monthly rate of assistance payable to a dependent
under subparagraph (A) shall be subject to the provisions of section
3032 of this title, except that the provisions of subsection (a)(1) of
that section shall not apply even if the individual making the
transfer to the dependent under this section is on active duty dur-
ing all or any part of enrollment period of the dependent in which
such entitlement is used.
(4) The death of an individual transferring an entitlement

under this section shall not affect the use of the entitlement by the
dependent to whom the entitlement is transferred.
(5) Notwithstanding section 3031 of this title, a child to whom
entitlement is transferred under this section may use the benefit
without regard to the 10-year delimiting date, but may not use any
entitlement so transferred after attaining the age of 26 years.
(6) The administrative provisions of this chapter (including the
provisions set forth in section 3034(a)(1) of this title) shall apply to
the use of entitlement transferred under this section, except that
the dependent to whom the entitlement is transferred shall be
treated as the eligible veteran for purposes of such provisions.
(7) The purposes for which a dependent to whom entitlement
is transferred under this section may use such entitlement shall in-
clude the pursuit and completion of the requirements of a sec-
ondary school diploma (or equivalency certificate).
(i) OVERPAYMENT.—(1) In the event of an overpayment of basic
educational assistance with respect to a dependent to whom entitle-
ment is transferred under this section, the dependent and the indi-
vidual making the transfer shall be jointly and severally liable to
the United States for the amount of the overpayment for purposes
of section 3685 of this title.
(2) Except as provided in paragraph (3), if an individual trans-
ferring entitlement under this section fails to complete the service
agreed to by the individual under subsection (b)(3) in accordance
with the terms of the agreement of the individual under that sub-
section, the amount of any transferred entitlement under this sec-
tion that is used by a dependent of the individual as of the date
of such failure shall be treated as an overpayment of basic edu-
cational assistance under paragraph (1).
(3) Paragraph (2) shall not apply in the case of an individual
who fails to complete service agreed to by the individual—
(A) by reason of the death of the individual; or
(B) for a reason referred to in section 3011(a)(1)(A)(ii)(I) of
this title.
(j) APPROVALS OF TRANSFER SUBJECT TO AVAILABILITY OF AP-
PROPRIATIONS.—The Secretary concerned may approve transfers of
entitlement to basic educational assistance under this section in a
fiscal year only to the extent that appropriations for military per-
sonnel are available in that fiscal year for purposes of making de-
posits in the Department of Defense Education Benefits Fund
under section 2006 of title 10 in that fiscal year to cover the
present value of future benefits payable from the Fund for the De-
partment of Defense portion of payments of basic educational as-
sistance attributable to increased usage of benefits as a result of
such transfers of entitlement in that fiscal year.
(k) REGULATIONS.—The Secretary of Defense, in coordination
with the Secretary of Veterans Affairs, shall prescribe regulations
for purposes of this section. Such regulations shall specify—
(1) the manner of authorizing the military departments to
offer transfer of entitlements under this section;
(2) the eligibility criteria in accordance with subsection (b);
(3) the limitations on the amount of entitlement eligible to
be transferred; and
(4) the manner and effect of an election to modify or re-

voke a transfer of entitlement under subsection (f)(2).
(l) ANNUAL REPORT.—(1) Not later than January 31 each year
(beginning in 2003), the Secretary of Defense shall submit to the
Committees on Armed Services and the Committees on Veterans’
Affairs of the Senate and House of Representatives a report on the
transfers of entitlement to basic educational assistance under this
section that were approved by each Secretary concerned during the
preceding fiscal year.
(2) Each report shall set forth—
(A) the number of transfers of entitlement under this sec-
tion that were approved by such Secretary during the pre-
ceding fiscal year; or
(B) if no transfers of entitlement under this section were
approved by such Secretary during that fiscal year, a justifica-
tion for such Secretary’s decision not to approve any such
transfers of entitlement during that fiscal year.
(m) SECRETARY CONCERNED DEFINED.—Notwithstanding sec-
tion 101(25) of this title, in this section, the term ‘‘Secretary con-
cerned’’ means—
(1) the Secretary of the Army with respect to matters con-
cerning the Army;
(2) the Secretary of the Navy with respect to matters con-
(3) the Secretary of the Air Force with respect to matters
concerning the Air Force; and
(4) the Secretary of Defense with respect to matters con-
cerning the Coast Guard, or the Secretary of Homeland Secu-
rity when it is not operating as a service in the Navy.
(Added Pub. L. 107–107, title VI, Sec. 654(a)(1), Dec. 28, 2001, 115 Stat. 1153;
amended Pub. L. 107–296, title XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315;
Pub. L. 107–314, div. A, title VI, Sec. 643(a), Dec. 2, 2002, 116 Stat. 2577; Pub. L.
110–252, title V, Sec. 5006(a), June 30, 2008, 122 Stat. 2380.)
SUBCHAPTER III—SUPPLEMENTAL EDUCATIONAL

ASSISTANCE
§ 3021. Supplemental educational assistance for additional
service
(a) The Secretary concerned, pursuant to regulations to be pre-
scribed by the Secretary of Defense, may provide for the payment
of supplemental educational assistance under this subchapter to
any individual eligible for basic educational assistance under sec-
tion 3011 or 3018 of this title who—
(1) serves five or more consecutive years of active duty in
the Armed Forces after the years of active duty counted under
section 3011(a)(1) of this title without a break in such service;
and
(2) after completion of the service described in clause (1)
of this subsection—
on the temporary disability retired list;
(B) continues on active duty without a break in serv-

ice; or
(C) is released from active duty for further service in
honorable service.
(b) The Secretary concerned, pursuant to regulations to be pre-
scribed by the Secretary of Defense, may provide for the payment
of supplemental educational assistance under this subchapter to
any individual eligible for basic educational assistance under sec-
tion 3012 or 3018 of this title who—
(1) serves two or more consecutive years of active duty in
the Armed Forces after the years of active duty counted under
section 3012(a)(1) of this title and four or more consecutive
years of duty in the Selected Reserve after the years of duty
in the Selected Reserve counted under such section without a
break in service; and
(2) after completion of the service described in clause (1)
of this subsection—
on the temporary disability retired list; or
(B) continues on active duty or in the Selected Re-
serve.
(c) Continuity of service of a member in the Selected Reserve
for purposes of subsection (b)(1) of this section shall not be consid-
ered to be broken—
(1) by any period of time (not to exceed a maximum period
prescribed by the Secretary concerned by regulation) during
which the member is not able to locate a unit of the Selected
Reserve of the member’s Armed Force that the member is eligi-
ble to join or that has a vacancy; or
(2) by any other period of time (not to exceed a maximum
period prescribed by the Secretary concerned by regulation)
during which the member is not attached to a unit of the Se-
lected Reserve that the Secretary concerned, pursuant to regu-
lations, considers to be inappropriate to consider for such pur-
pose.
(d) A period of active duty or duty in the Selected Reserve that
occurs before the period of duty by which the individual concerned
qualifies for basic educational assistance may not be counted for
purposes of this section.
1421; amended Pub. L. 99–576, title III, Sec. 321(5), (6), Oct. 28, 1986, 100 Stat.
3278; Pub. L. 100–689, title I, Sec. 103(b)(5), Nov. 18, 1988, 102 Stat. 4166; Pub.
L. 101–237, title IV, Sec. 423(b)(4)(B), Dec. 18, 1989, 103 Stat. 2092; renumbered
406.)
§ 3022. Amount of supplemental educational assistance

(a) The amount of payment of educational assistance under
this chapter is subject to section 3032 of this title. Except as other-
wise provided under subsection (b) of this section, supplemental
educational assistance under section 3021 of this title shall be

paid—
(1) at a monthly rate of $300 for an approved program of
education pursued on a full-time basis; or
basis.
(b) In the case of a member of the Armed Forces for whom the
Secretary concerned has provided for the payment of supplemental
educational assistance who has a skill or specialty designated by
the Secretary concerned, pursuant to regulations to be prescribed
by the Secretary of Defense, as a skill or specialty in which there
is a critical shortage of personnel, the Secretary concerned, pursu-
ant to such regulations, may increase the rate of the supplemental
educational assistance allowance applicable to such individual to
such rate in excess of the rate prescribed under subsection (a) of
this section as the Secretary concerned considers appropriate, but
the amount of any such increase may not exceed $300 per month.
1422; amended Pub. L. 100–689, title I, Sec. 111(a)(5)(B), Nov. 18, 1988, 102 Stat.
4171; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), (4)(C), Dec. 18, 1989, 103 Stat.
1991, 105 Stat. 406.)
§ 3023. Payment of supplemental educational assistance

under this subchapter
The Secretary shall increase the monthly basic educational as-
sistance allowance paid to an individual who is entitled to supple-
mental educational assistance under this subchapter by the month-
ly amount of the supplemental educational assistance to which the
individual is entitled.
1423; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat.
SUBCHAPTER IV—TIME LIMITATION FOR USE OF ELIGI-

BILITY AND ENTITLEMENT; GENERAL AND ADMINISTRA-
TIVE PROVISIONS
§ 3031. Time limitation for use of eligibility and entitlement
(a) Except as provided in subsections (b) through (g), and sub-
ject to subsection (h), of this section, the period during which an
individual entitled to educational assistance under this chapter
may use such individual’s entitlement expires at the end of the 10-
year period beginning on the date of such individual’s last dis-
charge or release from active duty, except that such 10-year period
shall begin—
(1) in the case of an individual who becomes entitled to
such assistance under clause (A) or (B) of section 3012(a)(1) of
this title, on the later of the date of such individual’s last dis-
charge or release from active duty or the date on which the
four-year requirement described in clause (A)(ii) or (B)(ii), re-
spectively, of such section 3012(a)(1) is met;

such assistance under section 3011(a)(1)(B), on the later of the
date of such individual’s last discharge or release from active
duty or January 1, 1990; and
such assistance under section 3011(a)(1)(C) or 3012(a)(1)(C) of
this title, on December 27, 2001.
(b) In the case of any eligible individual who has been pre-
vented, as determined by the Secretary, from pursuing a program
of education under this chapter within the 10-year period pre-
scribed by subsection (a) of this section because such individual
had not met the nature of discharge requirement of this chapter
before the nature of such individual’s discharge or release was
changed by appropriate authority, such 10-year period shall not
run during the period of time that such individual was so pre-
vented from pursuing such program of education.
(c) In the case of an individual eligible for educational assist-
ance under the provisions of this chapter who, after such individ-
ual’s last discharge or release from active duty, was detained by a
foreign government or power, the 10-year period described in sub-
section (a) of this section shall not run (1) while such individual is
so detained, or (2) during any period immediately following such in-
dividual’s release from such detention during which such individual
is hospitalized at a military, civilian, or Department of Veterans
Affairs medical facility.
(d) In the case of an individual eligible for educational assist-
ance under this chapter—
(1) who was prevented from pursuing such individual’s
chosen program of education before the expiration of the 10-
year period for use of entitlement under this chapter otherwise
applicable under this section because of a physical or mental
disability which was not the result of the individual’s own will-
ful misconduct, and
(2) who applies for an extension of such 10-year period
within one year after (A) the last day of such period, or (B) the
last day on which such individual was so prevented from pur-
suing such program, whichever is later,
such 10-year period shall not run with respect to such individual
during the period of time that such individual was so prevented
from pursuing such program and such 10-year period will again
begin running on the first day following such individual’s recovery
from such disability on which it is reasonably feasible, as deter-
mined under regulations which the Secretary shall prescribe, for
such individual to initiate or resume pursuit of a program of edu-
cation with educational assistance under this chapter.
(e)(1) Except as provided in paragraph (2) of this subsection, in
the case of an individual described in section 3011(a)(1)(B),
3011(a)(1)(C), 3012(a)(1)(B), or 3012(a)(1)(C) of this title who is en-
titled to basic educational assistance under this chapter, the 10-
year period prescribed in subsection (a) of this section shall be re-
duced by an amount of time equal to the amount of time that such
individual was not serving on active duty during the period begin-
ning on January 1, 1977, and ending on June 30, 1985.
(2) In the case of an individual to which paragraph (1) of this

subsection is applicable and who is described in section
3452(a)(1)(B) of this title, the 10-year period prescribed in sub-
section (a) of this section shall not be reduced by any period in
1977 before the individual began serving on active duty.
(f)(1) If an individual eligible for educational assistance under
this chapter is enrolled under this chapter in an educational insti-
tution regularly operated on the quarter or semester system and
the period of such individual’s entitlement under this chapter
would, under section 3013, expire during a quarter or semester,
such period shall be extended to the end of such quarter or semes-
ter.
(2) If an individual eligible for educational assistance under
this chapter is enrolled under this chapter in an educational insti-
tution not regularly operated on the quarter or semester system
and the period of such individual’s entitlement under this chapter
would, under section 3013, expire after a major portion of the
course is completed, such period shall be extended to the end of the
course or for 12 weeks, whichever is the lesser period of extension.
(g) In the case of an individual described in section 3011(f)(3)
of this title, the period during which that individual may use the
individual’s entitlement to educational assistance allowance expires
on the last day of the 10-year period beginning on the date of the
enactment of the Veterans Millennium Health Care and Benefits
Act if that date is later than the date that would otherwise be ap-
plicable to that individual under this section.
(h) For purposes of subsection (a) of this section, an individ-
ual’s last discharge or release from active duty shall not include
any discharge or release from a period of active duty of less than
90 days of continuous service unless the individual involved is dis-
charged or released for a service-connected disability, for a medical
condition which preexisted such service and which the Secretary
determines is not service connected, for hardship, or as a result of
a reduction in force as described in section 3011(a)(1)(A)(ii)(III) of
this title.
1431; amended Pub. L. 99–576, title III, Sec. 307(b), 321(7), Oct. 28, 1986, 100 Stat.
3270, 3278; Pub. L. 100–689, title I, Sec. 111(a)(6), Nov. 18, 1988, 102 Stat. 4171;
Pub. L. 101–237, title IV, Sec. 420(a)(1), (b), 423(a)(4), (b)(1), Dec. 18, 1989, 103
Stat. 2087, 2088, 2091, 2092; renumbered Sec. 3031 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 302(a)(3),
Oct. 29, 1992, 106 Stat. 4327; Pub. L. 106–117, title VII, Sec. 702(b), Nov. 30, 1999,
113 Stat. 1583; Pub. L. 107–103, title I, Sec. 105(c), Dec. 27, 2001, 115 Stat. 983;
Pub. L. 107–330, title III, Sec. 308(g)(10), Dec. 6, 2002, 116 Stat. 2829.)
§ 3032. Limitations on educational assistance for certain in-

dividuals
(a) In the case of an individual entitled to educational assist-
ance under this chapter who is pursuing a program of education—
(1) while on active duty; or
(2) on less than a half-time basis,
the amount of the monthly educational assistance allowance pay-
able to such individual under this chapter is the amount deter-
mined under subsection (b) of this section.
(b) The amount of the educational assistance allowance pay-

able to an individual described in subsection (a) of this section is
the least of the following: (1) the amount of the educational assist-
ance allowance otherwise payable to such individual under this
chapter, (2) the established charges for tuition and fees that the
educational institution involved requires similarly circumstanced
nonveterans enrolled in the same program to pay, or (3) the
amount of the charges of the educational institution elected by the
individual under section 3014(b)(1) of this title.
(c)(1) Except as provided in paragraph (2) of this subsection,
the amount of the monthly educational assistance allowance pay-
able to an individual pursuing a full-time program of apprentice-
ship or other on-job training under this chapter is—
(A) for each of the first six months of the individual’s pur-
suit of such program, 75 percent of the monthly educational as-
sistance allowance otherwise payable to such individual under
this chapter;
(B) for each of the second six months of the individual’s
pursuit of such program, 55 percent of such monthly edu-
cational assistance allowance; and
(C) for each of the months following the first 12 months of
the individual’s pursuit of such program, 35 percent of such
monthly educational assistance allowance.
(2) In any month in which an individual pursuing a program
of education consisting of a program of apprenticeship or other on-
job training fails to complete 120 hours of training, the amount of
monthly educational assistance allowance payable under this chap-
ter to the individual shall be limited to the same proportion of the
applicable rate determined under paragraph (1) of this subsection
as the number of hours worked during such month, rounded to the
nearest eight hours, bears to 120 hours.
graph, for each month that an individual is paid a monthly edu-
cational assistance allowance under this chapter, the individual’s
entitlement under this chapter shall be charged at the rate of—
(i) 75 percent of a month in the case of payments made in
accordance with paragraph (1)(A) of this subsection;
(ii) 55 percent of a month in the case of payments made
in accordance with paragraph (1)(B) of this subsection; and
(iii) 35 percent of a month in the case of payments made
in accordance with paragraph (1)(C) of this subsection.
(B) Any such charge to the individual’s entitlement shall be re-
duced proportionately in accordance with the reduction in payment
under paragraph (2) of this subsection.
(d)(1)(A) The amount of the educational assistance allowance
payable under this chapter to an individual who enters into an
agreement to pursue, and is pursuing, a program of education ex-
clusively by correspondence is an amount equal to 55 percent of the
established charge which the institution requires nonveterans to
pay for the course or courses pursued by such individual.
(B) For purposes of this paragraph, the term ‘‘established
charge’’ means the lesser of—
(i) the charge for the course or courses determined on the
basis of the lowest extended time payment plan offered by the
institution and approved by the appropriate State approving

agency; or
(ii) the actual charge to the individual for such course or
courses.
(2) Such allowance shall be paid quarterly on a pro rata basis
for the lessons completed by the individual and serviced by the in-
stitution.
(3) In each case in which the rate of payment to an individual
is determined under paragraph (1) of this subsection, the period of
entitlement of such individual under this chapter shall be charged
at the rate of one month for each payment of educational assist-
ance to the individual that is equal to the amount of monthly edu-
cational assistance the individual would otherwise be eligible to re-
ceive for full-time pursuit of an institutional course under this
chapter.
(e)(1) Notwithstanding subsection (a) of this section, each indi-
vidual who is pursuing a program of education consisting exclu-
sively of flight training approved as meeting the requirements of
section 3034(d) of this title shall be paid an educational assistance
allowance under this chapter in the amount equal to 60 percent of
the established charges for tuition and fees which similarly
circumstanced nonveterans enrolled in the same flight course are
required to pay.
(2) No educational assistance allowance may be paid under this
chapter to an individual for any month during which such indi-
vidual is pursuing a program of education consisting exclusively of
flight training until the Secretary has received from that individual
and the institution providing such training a certification of the
flight training received by the individual during that month and
the tuition and other fees charged for that training.
(3) The number of months of entitlement charged in the case
of any individual for a program of education described in para-
graph (1) of this subsection shall be equal to the number (including
any fraction) determined by dividing the total amount of edu-
cational assistance paid such individual for such program by the
monthly rate of educational assistance which, except for paragraph
(1) of this subsection, such individual would otherwise be paid
under subsection (a)(1), (b)(1), (d), or (e)(1) of section 3015 of this
title, as the case may be.
(4) The number of solo flying hours for which an individual
may be paid an educational assistance allowance under this sub-
section may not exceed the minimum number of solo flying hours
required by the Federal Aviation Administration for the flight rat-
ing or certification which is the goal of the individual’s flight train-
ing.
(f)(1) Subject to paragraph (3), the amount of educational as-
sistance payable under this chapter for a licensing or certification
test described in section 3452(b) of this title is the lesser of $2,000
or the fee charged for the test.
of any individual for such licensing or certification test is equal to
the number (including any fraction) determined by dividing the
total amount of educational assistance paid such individual for
such test by the full-time monthly institutional rate of educational
assistance which, except for paragraph (1), such individual would

otherwise be paid under subsection (a)(1), (b)(1), (d), or (e)(1) of sec-
tion 3015 of this title, as the case may be.
(3) In no event shall payment of educational assistance under
this subsection for such a test exceed the amount of the individual’s
available entitlement under this chapter.
(g)(1) Subject to paragraph (3), the amount of educational as-
sistance payable under this chapter for a national test for admis-
sion or national test providing an opportunity for course credit at
institutions of higher learning described in section 3452(b) of this
title is the amount of the fee charged for the test.
of any individual for a test described in paragraph (1) is equal to
assistance, except for paragraph (1), such individual would other-
wise be paid under subsection (a)(1), (b)(1), (d), or (e)(1) of section
3015 of this title, as the case may be.
this subsection for a test described in paragraph (1) exceed the
amount of the individual’s available entitlement under this chap-
ter.
1432; amended Pub. L. 99–576, title III, Sec. 301(b), (d)(1), Oct. 28, 1986, 100 Stat.
3267, 3268; Pub. L. 100–689, title I, Sec. 108(a)(2), 111(a)(7)(A), (8), Nov. 18, 1988,
102 Stat. 4169, 4172; Pub. L. 101–237, title IV, Sec. 422(a)(2), Dec. 18, 1989, 103
Stat. 2089; Pub. L. 102–16, Sec. 10(a)(3), Mar. 22, 1991, 105 Stat. 55; renumbered
Pub. L. 102–568, title III, Sec. 310(a), Oct. 29, 1992, 106 Stat. 4329; Pub. L. 103–
446, title XII, Sec. 1201(d)(6), Nov. 2, 1994, 108 Stat. 4684; Pub. L. 104–275, title
I, Sec. 105(a), Oct. 9, 1996, 110 Stat. 3327; Pub. L. 106–419, title I, Sec. 122(b)(1),
Nov. 1, 2000, 114 Stat. 1833; Pub. L. 107–14, Sec. 7(b)(2)(B), June 5, 2001, 115 Stat.
32; Pub. L. 108–454, title I, Sec. 106(b)(1), Dec. 10, 2004, 118 Stat. 3602.)
§ 3033. Bar to duplication of educational assistance benefits
(a)(1) An individual entitled to educational assistance under a
program established by this chapter who is also eligible for edu-
cational assistance under a program under chapter 31, 32, 33, or
35 of this title, under chapter 106 or 107 of title 10, or under the
Hostage Relief Act of 1980 (Public Law 96–449; 5 U.S.C. 5561 note)
may not receive assistance under two or more of such programs
concurrently but shall elect (in such form and manner as the Sec-
retary may prescribe) under which program to receive educational
assistance.
(2) An individual entitled to educational assistance under chap-
ter 34 of this title may not receive assistance under this chapter
before January 1, 1990.
(b) A period of service counted for purposes of repayment under
chapter 109 of title 10 of an education loan may not also be count-
ed for purposes of entitlement to educational assistance under this
chapter.
(c) An individual who serves in the Selected Reserve may not
receive credit for such service under two or more of the programs
established by this chapter, chapter 33 of this title, and chapters
1606 and 1607 of title 10.
1433; amended Pub. L. 99–576, title III, Sec. 306, Oct. 28, 1986, 100 Stat. 3269;
Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L.
102–16, Sec. 10(a)(4), Mar. 22, 1991, 105 Stat. 55; renumbered Sec. 3033, Pub. L.
102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended Pub. L. 110–252, title V,
Sec. 5003(b)(1)(A), June 30, 2008, 122 Stat. 2375 (conforming amendment effective
August 1, 2009).)
§ 3034. Program administration

(a)(1) Except as otherwise provided in this chapter, the provi-
sions of sections 3470, 3471, 3474, 3476, 3482(g), 3483, and 3485
of this title and the provisions of subchapters I and II of chapter
36 of this title (with the exception of sections 3680(c), 3680(f),
3686(a), and 3687) shall be applicable to the provision of edu-
cational assistance under this chapter.
(2) The term ‘‘eligible veteran’’, as used in the provisions of the
sections enumerated in paragraph (1) of this subsection, shall be
deemed to include an individual who is eligible for educational as-
sistance under this chapter.
(3) The Secretary may, without regard to the application to
this chapter of so much of the provisions of section 3471 of this title
as prohibit the enrollment of an eligible veteran in a program of
education in which the veteran is ‘‘already qualified’’, and pursuant
to such regulations as the Secretary shall prescribe, approve the
enrollment of such individual in refresher courses (including
courses which will permit such individual to update knowledge and
skills or be instructed in the technological advances which have oc-
curred in the individual’s field of employment during and since the
period of such veteran’s active military service), deficiency courses,
or other preparatory or special education or training courses nec-
essary to enable the individual to pursue an approved program of
education.
(b) Regulations prescribed by the Secretary of Defense under
this chapter shall be uniform for the Armed Forces under the juris-
diction of the Secretary of a military department.
(c) Payment of educational assistance allowance in the case of
an eligible individual pursuing a program of education under this
chapter on less than a half-time basis shall be made in a lump-sum
amount for the entire quarter, semester, or term not later than the
last day of the month immediately following the month in which
certification is received from the educational institution that such
individual has enrolled in and is pursuing a program at such insti-
tution. Such lump-sum payment shall be computed at the rate de-
termined under section 3032(b) of this title.
(d) The Secretary may approve the pursuit of flight training (in
addition to a course of flight training that may be approved under
section 3680A(b) of this title) by an individual entitled to basic edu-
cational assistance under this chapter if—
(1) such training is generally accepted as necessary for the
attainment of a recognized vocational objective in the field of
aviation;
(2) the individual possesses a valid private pilot certificate
and meets, on the day the individual begins a course of flight
training, the medical requirements necessary for a commercial
pilot certificate; and
(3) the flight school courses meet Federal Aviation Admin-

istration standards for such courses and are approved by the
Federal Aviation Administration and the State approving agen-
cy.
(e)(1) In the case of a member of the Armed Forces who partici-
pates in basic educational assistance under this chapter, the Sec-
retary shall furnish the information described in paragraph (2) to
each such member. The Secretary shall furnish such information as
soon as practicable after the basic pay of the member has been re-
duced by $1,200 in accordance with section 3011(b) or 3012(c) of
this title and at such additional times as the Secretary determines
appropriate.
(2) The information referred to in paragraph (1) is information
with respect to the benefits, limitations, procedures, eligibility re-
quirements (including time-in-service requirements), and other im-
portant aspects of the basic educational assistance program under
this chapter, including application forms for such basic educational
assistance under section 5102 of this title.
(3) The Secretary shall furnish the forms described in para-
graph (2) and other educational materials to educational institu-
tions, training establishments, and military education personnel, as
the Secretary determines appropriate.
(4) The Secretary shall use amounts appropriated for readjust-
ment benefits to carry out this subsection and section 5102 of this
title with respect to application forms under that section for basic
educational assistance under this chapter.
1434; amended Pub. L. 99–576, title III, Sec. 301(c), 302, 305, 308(a), Oct. 28, 1986,
100 Stat. 3268–3270; Pub. L. 100–689, title I, Sec. 106(a), 111(a)(7)(B), Nov. 18,
1988, 102 Stat. 4166, 4172; Pub. L. 101–237, title IV, Sec. 415(b), 422(a)(1),
423(a)(5)(A), (6), (b)(1)(A), Dec. 18, 1989, 103 Stat. 2086, 2088, 2091, 2092; Pub. L.
102–16, Sec. 2(b)(2), Mar. 22, 1991, 105 Stat. 49; renumbered Sec. 3034 and amend-
ed Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568,
title III, Sec. 313(a)(4), Oct. 29, 1992, 106 Stat. 4332; Pub. L. 103–446, title VI, Sec.
601(a), Nov. 2, 1994, 108 Stat. 4670; Pub. L. 105–368, title II, Sec. 204(a), 206(a),
Nov. 11, 1998, 112 Stat. 3327.)
1434; amended Pub. L. 99–576, title III, Sec. 301(c), 302, 305, 308(a), Oct. 28, 1986,
100 Stat. 3268–3270; Pub. L. 100–689, title I, Sec. 106(a), 111(a)(7)(B), Nov. 18,
1988, 102 Stat. 4166, 4172; Pub. L. 101–237, title IV, Sec. 415(b), 422(a)(1),
423(a)(5)(A), (6), (b)(1)(A), Dec. 18, 1989, 103 Stat. 2086, 2088, 2091, 2092; Pub. L.
102–16, Sec. 2(b)(2), Mar. 22, 1991, 105 Stat. 49; renumbered Sec. 3034 and amend-
title III, Sec. 313(a)(4), Oct. 29, 1992, 106 Stat. 4332; Pub. L. 103–446, title VI, Sec.
601(a), Nov. 2, 1994, 108 Stat. 4670; Pub. L. 105–368, title II, Sec. 204(a), 206(a),
Nov. 11, 1998, 112 Stat. 3327.)
§ 3035. Allocation of administration and of program costs

(a) Except to the extent otherwise specifically provided in this
chapter, the educational assistance programs established by this
chapter shall be administered by the Department of Veterans Af-
fairs.
(b)(1) Except to the extent provided in paragraphs (2), (3), and
(4), payments for entitlement earned under subchapter II of this
chapter shall be made from funds appropriated to, or otherwise
available to, the Department of Veterans Affairs for the payment
of readjustment benefits and from transfers from the Post-Vietnam
Era Veterans Education Account pursuant to section 3232(b)(2)(B)

of this title.
(2) Payments for entitlement earned under subchapter II of
this chapter that is established under section 3015(d) of this title
at a rate in excess of the rate prescribed under subsection (a) or
(b) of section 3015 of this title shall, to the extent of that excess,
be made from the Department of Defense Education Benefits Fund
established under section 2006 of title 10 or from appropriations
made to the Department of Homeland Security, as appropriate.
(3) Payment for entitlements established under section 3018A
or 3018B of this title shall be made—
(A) except as provided in subparagraphs (B) and (C) of this
paragraph, from the Department of Defense Education Bene-
fits Fund established under section 2006 of title 10;
(B) in the case of any individual described in section
3018A(a)(3), 3018B(a)(1)(C), or 3018B(a)(2)(C) of this title, from
funds appropriated, or otherwise available, to the Department
of Veterans Affairs for the payment of readjustment benefits;
and
(C) in the case of the increase in payments made under
section 3015(f) of this title, from the Post-Vietnam Era Vet-
erans Education Account established pursuant to section
(4) Payments attributable to the increased usage of benefits as
a result of transfers of entitlement to basic educational assistance
under section 3020 of this title shall be made from the Department
of Defense Education Benefits Fund established under section 2006
of title 10 or from appropriations made to the Department of
Transportation, as appropriate.
(c) Payments for educational assistance provided under sub-
chapter III of this chapter shall be made from the Department of
Defense Education Benefits Fund established under section 2006 of
title 10 or from appropriations made to the Department of Home-
land Security, as appropriate.
(d) Funds for the payment by the Secretary of benefits under
this chapter that are to be paid from the Department of Defense
Education Benefits Fund shall be transferred to the Department of
Veterans Affairs from such Fund as necessary and in accordance
with agreements entered into under section 2006 of title 10 by the
Secretary, the Secretary of Defense, and the Secretary of the Treas-
ury. Funds for the payment by the Secretary of benefits under this
chapter that are to be paid from appropriations made to the De-
partment of Homeland Security shall be transferred to the Depart-
ment of Veterans Affairs as necessary. The Secretary and the Sec-
retary of Homeland Security shall enter into an agreement for the
manner in which such transfers are to be made.
(e) Payments for tutorial assistance benefits under section
3019 of this title shall be made—
(1) in the case of the first $600 of such benefits paid to an
individual, from funds appropriated, or otherwise available, to
the Department of Veterans Affairs for the payment of read-
justment benefits; and
(2) in the case of payments to an individual for such bene-
fits in excess of $600, from—
(A) funds appropriated, or otherwise available, to the

Department of Veterans Affairs for the payment of read-
justment benefits;
(B) the Department of Defense Education Benefits
Fund established under section 2006 of title 10; and
(C) funds appropriated to the Department of Home-
land Security,
in the same proportion as the Fund described in subclause (B)
of this clause and the funds described in subclause (A) or (C)
of this clause are used to pay the educational assistance allow-
ance to the individual under this chapter.
Pub. L. 100–689, title I, Sec. 107(a)(2), Nov. 18, 1988, 102 Stat. 4168; Pub. L. 101–
237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 101–510, div. A,
title V, Sec. 561(b)(3), Nov. 5, 1990, 104 Stat. 1573; renumbered Sec. 3035 and
amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–
484, div. D, title XLIV, Sec. 4404(b)(3), Oct. 23, 1992, 106 Stat. 2706; Pub. L. 103–
I, Sec. 106(c)(2), Oct. 9, 1996, 110 Stat. 3329; Pub. L. 107–296, title XVII, Sec.
1704(d), Nov. 25, 2002, 116 Stat. 2315; Pub. L. 107–314, div. A, title VI, Sec. 643(b),
Dec. 2, 2002, 116 Stat. 2577; Pub. L. 107–330, title III, Sec. 308(c)(1), Dec. 6, 2002,
116 Stat. 2827.)
§ 3036. Reporting requirement

(a) The Secretary of Defense and the Secretary shall submit to
the Congress at least once every two years separate reports on the
operation of the program provided for in this chapter.
(b) The Secretary of Defense shall include in each report sub-
mitted under this section—
(1) information indicating (A) the extent to which the ben-
efit levels provided under this chapter are adequate to achieve
the purposes of inducing individuals to enter and remain in the
Armed Forces and of providing an adequate level of financial
assistance to help meet the cost of pursuing a program of edu-
cation, (B) whether it is necessary for the purposes of main-
taining adequate levels of well-qualified active-duty personnel
in the Armed Forces to continue to offer the opportunity for
educational assistance under this chapter to individuals who
have not yet entered active-duty service, and (C) describing the
efforts under sections 3011(i) and 3012(g) of this title to inform
members of the Armed Forces of the minimum service require-
ments for entitlement to educational assistance benefits under
this chapter and the results from such efforts; and
(2) such recommendations for administrative and legisla-
tive changes regarding the provision of educational assistance
to members of the Armed Forces and veterans, and their de-
pendents, as the Secretary of Defense considers appropriate.
(c) The Secretary shall include in each report submitted under
this section—
(1) information concerning the level of utilization of edu-
cational assistance and of expenditures under this chapter; and
(2) such recommendations for administrative and legisla-
tive changes regarding the provision of educational assistance
to members of the Armed Forces and veterans, and their de-
pendents, as the Secretary considers appropriate.
(d) No report shall be required under this section after January

1, 2011.
1436; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), (4)(D), Dec. 18, 1989, 103
Stat. 2092; renumbered Sec. 3036, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat.
406; Pub. L. 105–368, title II, Sec. 207(c), Nov. 11, 1998, 112 Stat. 3328; Pub. L.
106–419, title IV, Sec. 403(c)(4), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 109–444, Sec.
4(b), Dec. 21, 2006, 120 Stat. 3308; Pub. L. 109–461, title III, Sec. 305(b), title X,
Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3428, 3468.)
427
øPART III—READJUSTMENT AND RELATED BENEFITS¿
CHAPTER 31—TRAINING AND REHABILITATION FOR
VETERANS WITH SERVICE-CONNECTED DISABILITIES
Sec.
3100. Purposes.
3101. Definitions.
3104. Scope of services and assistance.
3105. Duration of rehabilitation programs.
3106. Initial and extended evaluations; determinations regarding serious em-
ployment handicap.
3107. Individualized vocational rehabilitation plan.
3108. Allowances.
3109. Entitlement to independent living services and assistance.
3110. Leaves of absence.
3111. Regulations to promote satisfactory conduct and cooperation.
3112. Revolving fund loans.
3113. Vocational rehabilitation for hospitalized members of the Armed Forces
and veterans.
3114. Vocational rehabilitation outside the United States.
3115. Rehabilitation resources.
3116. Promotion of employment and training opportunities.
3118. Personnel training, development, and qualifications.
3119. Rehabilitation research and special projects.
3120. Program of independent living services and assistance.
3121. Veterans’ Advisory Committee on Rehabilitation.
3122. Longitudinal study of vocational rehabilitation programs.
§ 3100. Purposes
The purposes of this chapter are to provide for all services and
assistance necessary to enable veterans with service-connected dis-
abilities to achieve maximum independence in daily living and, to
the maximum extent feasible, to become employable and to obtain
and maintain suitable employment.
(Added Pub. L. 96–466, title I, Sec. 101(a), Oct. 17, 1980, 94 Stat. 2172, Sec. 1500;
renumbered Sec. 3100, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
(1) The term ‘‘employment handicap’’ means an impairment,
resulting in substantial part from a disability described in section
3102(1)(A) of this title, of a veteran’s ability to prepare for, obtain,
or retain employment consistent with such veteran’s abilities, apti-
tudes, and interests.
(2) The term ‘‘independence in daily living’’ means the ability
of a veteran, without the services of others or with a reduced level
429
Sec. 3101 CH. 31—TRAIN./REHAB. FOR VETS WITH SERV.-CON. DIS. 430
of the services of others, to live and function within such veteran’s

family and community.
(3) The term ‘‘program of education’’ has the meaning provided
in section 3452(b) of this title.
(4) The term ‘‘program of independent living services and as-
sistance’’ includes (A) the services provided for in this chapter that
are needed to enable a veteran to achieve independence in daily liv-
ing, including such counseling, diagnostic, medical, social, psycho-
logical, and educational services as are determined by the Sec-
retary to be needed for such veteran to achieve maximum inde-
pendence in daily living, and (B) the assistance authorized by this
chapter for such veteran.
(5) The term ‘‘rehabilitated to the point of employability’’
means rendered employable in an occupation for which a vocational
rehabilitation program has been provided under this chapter.
(6) The term ‘‘rehabilitation program’’ means (A) a vocational
rehabilitation program, or (B) a program of independent living
services and assistance authorized under section 3120 of this title
for a veteran for whom a vocational goal has been determined not
to be currently reasonably feasible.
(7) The term ‘‘serious employment handicap’’ means a signifi-
cant impairment, resulting in substantial part from a service-con-
nected disability rated at 10 percent or more, of a veteran’s ability
to prepare for, obtain, or retain employment consistent with such
veteran’s abilities, aptitudes, and interests.
(8) The term ‘‘vocational goal’’ means a gainful employment
status consistent with a veteran’s abilities, aptitudes, and interests.
(9) The term ‘‘vocational rehabilitation program’’ includes—
(A) the services provided for in this chapter that are need-
ed for the accomplishment of the purposes of this chapter, in-
cluding such counseling, diagnostic, medical, social, psycho-
logical, independent living, economic, educational, vocational,
and employment services as are determined by the Secretary
to be needed—
(i) in the case of a veteran for whom the achievement
of a vocational goal has not been determined not to be cur-
rently reasonably feasible, (I) to determine whether a voca-
tional goal is reasonably feasible, (II) to improve such vet-
eran’s potential to participate in a program of services de-
signed to achieve a vocational goal, and (III) to enable such
veteran to achieve maximum independence in daily living,
and
(ii) in the case of a veteran for whom the achievement
of a vocational goal is determined to be reasonably fea-
sible, to enable such veteran to become, to the maximum
extent feasible, employable and to obtain and maintain
suitable employment, and
(B) the assistance authorized by this chapter for a veteran
receiving any of the services described in clause (A) of this
paragraph.
amended Pub. L. 99–576, title III, Sec. 333(b)(1), Oct. 28, 1986, 100 Stat. 3279; Pub.
L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered
431 CH. 31—TRAIN./REHAB. FOR VETS WITH SERV.-CON. DIS. Sec. 3103
Pub. L. 104–275, title I, Sec. 101(a), Oct. 9, 1996, 110 Stat. 3323.)

A person shall be entitled to a rehabilitation program under
the terms and conditions of this chapter if—
(1) the person—
(A) is—
(i) a veteran who has a service-connected dis-
ability rated at 20 percent or more which was incurred
or aggravated in service on or after September 16,
1940; or
(ii) hospitalized or receiving outpatient medical
care, services, or treatment for a service-connected dis-
ability pending discharge from the active military,
naval, or air service, and the Secretary determines
that—
(I) the hospital (or other medical facility) pro-
viding the hospitalization, care, services, or treat-
ment is doing so under contract or agreement with
the Secretary concerned, or is under the jurisdic-
tion of the Secretary of Veterans Affairs or the
Secretary concerned; and
(II) the person is suffering from a disability
which will likely be compensable at a rate of 20
percent or more under chapter 11 of this title; and
(B) is determined by the Secretary to be in need of re-
habilitation because of an employment handicap; or
(2) the person is a veteran who—
(A) has a service-connected disability rated at 10 per-
cent which was incurred or aggravated in service on or
after September 16, 1940; and
(B) is determined by the Secretary to be in need of re-
habilitation because of a serious employment handicap.
amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092;
Pub. L. 101–508, title VIII, Sec. 8021(a), Nov. 5, 1990, 104 Stat. 1388–347; Pub. L.
102–16, Sec. 3(a), Mar. 22, 1991, 105 Stat. 49; renumbered Sec. 3102, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title IV, Sec. 404(a), Oct.
29, 1992, 106 Stat. 4338; Pub. L. 104–275, title I, Sec. 101(b), Oct. 9, 1996, 110 Stat.
3323.)
§ 3103. Periods of eligibility

(a) Except as provided in subsection (b), (c), or (d) of this sec-
tion, a rehabilitation program may not be afforded to a veteran
under this chapter after the end of the twelve-year period begin-
ning on the date of such veteran’s discharge or release from active
(b)(1) In any case in which the Secretary determines that a
veteran has been prevented from participating in a vocational reha-
bilitation program under this chapter within the period of eligi-
bility prescribed in subsection (a) of this section because a medical
condition of such veteran made it infeasible for such veteran to
participate in such a program, the twelve-year period of eligibility
shall not run during the period of time that such veteran was so
prevented from participating in such a program, and such period

of eligibility shall again begin to run on the first day following such
veteran’s recovery from such condition on which it is reasonably
feasible, as determined under regulations which the Secretary shall
prescribe, for such veteran to participate in such a program.
(2) In any case in which the Secretary determines that a vet-
eran has been prevented from participating in a vocational reha-
bility prescribed in subsection (a) of this section because—
(A) such veteran had not met the requirement of a dis-
charge or release from active military, naval, or air service
under conditions other than dishonorable before (i) the nature
of such discharge or release was changed by appropriate au-
thority, or (ii) the Secretary determined, under regulations pre-
scribed by the Secretary, that such discharge or release was
under conditions other than dishonorable, or
(B) such veteran’s discharge or dismissal was, under sec-
tion 5303 of this title, a bar to benefits under this title before
the Secretary made a determination that such discharge or dis-
missal is not a bar to such benefits,
the twelve-year period of eligibility shall not run during the period
of time that such veteran was so prevented from participating in
such a program.
(3) In any case in which the Secretary determines that a vet-
eran has been prevented from participating in a vocational reha-
bility prescribed in subsection (a) of this section because such vet-
eran had not established the existence of a service-connected dis-
ability rated at 10 percent or more, the twelve-year period of eligi-
bility shall not run during the period such veteran was so pre-
vented from participating in such a program.
(c) In any case in which the Secretary determines that a vet-
eran is in need of services to overcome a serious employment hand-
icap, such veteran may be afforded a vocational rehabilitation pro-
gram after the expiration of the period of eligibility otherwise ap-
plicable to such veteran if the Secretary also determines, on the
basis of such veteran’s current employment handicap and need for
such services, that an extension of the applicable period of eligi-
bility is necessary for such veteran and—
(1) that such veteran had not previously been rehabilitated
to the point of employability;
(2) that such veteran had previously been rehabilitated to
the point of employability but (A) the need for such services
had arisen out of a worsening of such veteran’s service-con-
nected disability that precludes such veteran from performing
the duties of the occupation for which such veteran was pre-
viously trained in a vocational rehabilitation program under
this chapter, or (B) the occupation for which such veteran had
been so trained is not suitable in view of such veteran’s current
employment handicap and capabilities; or
(3) under regulations which the Secretary shall prescribe,
that an extension of the period of eligibility of such veteran is
necessary to accomplish the purposes of a rehabilitation pro-
gram for such veteran.
(d) In any case in which the Secretary has determined that a

veteran’s disability or disabilities are so severe that the achieve-
ment of a vocational goal currently is not reasonably feasible, such
veteran may be afforded a program of independent living services
and assistance in accordance with the provisions of section 3120 of
this title after the expiration of the period of eligibility otherwise
applicable to such veteran if the Secretary also determines that an
extension of the period of eligibility of such veteran is necessary for
such veteran to achieve maximum independence in daily living.
(e) In any case in which the Secretary has determined that a
veteran was prevented from participating in a vocational rehabili-
tation program under this chapter within the period of eligibility
otherwise prescribed in this section as a result of being ordered to
serve on active duty under section 688, 12301(a), 12301(d),
12301(g), 12302, or 12304 of title 10, such period of eligibility shall
not run for the period of such active duty service plus four months.
L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–
40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 3103 and
amended, Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–
I, Sec. 101(c), Oct. 9, 1996, 110 Stat. 3324; Pub. L. 107–103, title I, Sec. 103(c)(2),
Dec. 27, 2001, 115 Stat. 979; Pub. L. 107–330, title III, Sec. 308(h), Dec. 6, 2002,
116 Stat. 2829.)
§ 3104. Scope of services and assistance
(a) Services and assistance which the Secretary may provide
under this chapter, pursuant to regulations which the Secretary
shall prescribe, include the following:
(1) Evaluation, including periodic reevaluations as appro-
priate with respect to a veteran participating in a rehabilita-
tion program, of the potential for rehabilitation of a veteran,
including diagnostic and related services (A) to determine
whether the veteran has an employment handicap or a serious
employment handicap and whether a vocational goal is reason-
ably feasible for such veteran, and (B) to provide a basis for
planning a suitable vocational rehabilitation program or a pro-
gram of services and assistance to improve the vocational reha-
bilitation potential or independent living status of such vet-
eran, as appropriate.
(2) Educational, vocational, psychological, employment,
and personal adjustment counseling.
(3) An allowance and other appropriate assistance, as au-
(4) A work-study allowance as authorized by section 3485
of this title.
(5) Placement services to effect suitable placement in em-
ployment, and postplacement services to attempt to insure sat-
isfactory adjustment in employment.
(6) Personal adjustment and work adjustment training.
(7)(A) Vocational and other training services and assist-
ance, including individualized tutorial assistance, tuition, fees,
books, supplies, handling charges, licensing fees, and equip-
ment and other training materials determined by the Secretary
to be necessary to accomplish the purposes of the rehabilitation

program in the individual case.
(B) Payment for the services and assistance provided
under subparagraph (A) of this paragraph shall be made from
funds available for the payment of readjustment benefits.
(8) Loans as authorized by section 3112 of this title.
(9) Treatment, care, and services described in chapter 17
of this title.
(10) Prosthetic appliances, eyeglasses, and other corrective
and assistive devices.
(11) Services to a veteran’s family as necessary for the ef-
fective rehabilitation of such veteran.
(12) For veterans with the most severe service-connected
disabilities who require homebound training or self-employ-
ment, or both homebound training and self-employment, such
license fees and essential equipment, supplies, and minimum
stocks of materials as the Secretary determines to be necessary
for such a veteran to begin employment and are within the cri-
teria and cost limitations that the Secretary shall prescribe in
regulations for the furnishing of such fees, equipment, sup-
plies, and stocks.
(13) Travel and incidental expenses under the terms and
conditions set forth in section 111 of this title, plus, in the case
of a veteran who because of such veteran’s disability has trans-
portation expenses in addition to those incurred by persons not
so disabled, a special transportation allowance to defray such
additional expenses during rehabilitation, job seeking, and the
initial employment stage.
(14) Special services (including services related to blind-
ness and deafness) including—
(A) language training, speech and voice correction,
training in ambulation, and one-hand typewriting;
(B) orientation, adjustment, mobility, reader, inter-
preter, and related services; and
(C) telecommunications, sensory, and other technical
aids and devices.
(15) Services necessary to enable a veteran to achieve max-
imum independence in daily living.
(16) Other incidental goods and services determined by the
Secretary to be necessary to accomplish the purposes of a reha-
bilitation program in an individual case.
(b) A rehabilitation program (including individual courses) to
be pursued by a veteran shall be subject to the approval of the Sec-
retary.
amended Pub. L. 100–323, Sec. 11(a)(3)(A), May 20, 1988, 102 Stat. 568; Pub. L.
101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–16,
Sec. 3(b)(1), Mar. 22, 1991, 105 Stat. 49; Pub. L. 102–54, Sec. 14(c)(3), June 13,
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–275, title I, Sec. 101(d), Oct. 9, 1996,
110 Stat. 3324.)
§ 3105. Duration of rehabilitation programs

(a) In any case in which the Secretary is unable to determine
whether it currently is reasonably feasible for a veteran to achieve
a vocational goal, the period of extended evaluation under section

3106(c) of this title may not exceed twelve months, except that such
period may be extended for additional periods of up to six months
each if the Secretary determines before granting any such exten-
sion that it is reasonably likely that, during the period of any such
extension, a determination can be made whether the achievement
of a vocational goal is reasonably feasible in the case of such vet-
eran.
(b) Except as provided in subsection (c) of this section, the pe-
riod of a vocational rehabilitation program for a veteran under this
chapter following a determination of the current reasonable feasi-
bility of achieving a vocational goal may not exceed forty-eight
months, except that the counseling and placement and
postplacement services described in section 3104(a)(2) and (5) of
this title may be provided for an additional period not to exceed
eighteen months in any case in which the Secretary determines the
provision of such counseling and services to be necessary to accom-
plish the purposes of a rehabilitation program in the individual
case.
(c) The Secretary may extend the period of a vocational reha-
bilitation program for a veteran to the extent that the Secretary
determines that an extension of such period is necessary to enable
such veteran to achieve a vocational goal if the Secretary also de-
termines—
(1) that such veteran had previously been rehabilitated to
the point of employability but (A) such veteran’s need for fur-
ther vocational rehabilitation has arisen out of a worsening of
such veteran’s service-connected disability that precludes such
veteran from performing the duties of the occupation for which
such veteran had been so rehabilitated, or (B) the occupation
for which such veteran had been so rehabilitated is not suit-
able in view of such veteran’s current employment handicap
and capabilities; or
(2) under regulations which the Secretary shall prescribe,
that such veteran has a serious employment handicap and that
an extension of such period is necessary to accomplish the pur-
poses of a rehabilitation program for such veteran.
(d)(1) Except as provided in paragraph (2), the period of a pro-
gram of independent living services and assistance for a veteran
under this chapter (following a determination by the Secretary that
such veteran’s disability or disabilities are so severe that the
achievement of a vocational goal currently is not reasonably fea-
sible) may not exceed twenty-four months.
(2)(A) The period of a program of independent living services
and assistance for a veteran under this chapter may exceed twenty-
four months as follows:
(i) If the Secretary determines that a longer period is nec-
essary and likely to result in a substantial increase in the vet-
eran’s level of independence in daily living.
(ii) If the veteran served on active duty during the Post-
9/ 11 Global Operations period and has a severe disability (as
determined by the Secretary for purposes of this clause) in-
curred or aggravated in such service.
(B) In this paragraph, the term ‘‘Post-9/11 Global Operations

period’’ means the period of the Persian Gulf War beginning on
September 11, 2001, and ending on the date thereafter prescribed
by Presidential proclamation or by law.
(e)(1) Notwithstanding any other provision of this chapter or
chapter 36 of this title, any payment of a subsistence allowance
and other assistance described in paragraph (2) shall not—
(A) be charged against any entitlement of any veteran
(B) be counted toward the aggregate period for which sec-
tion 3695 of this title limits an individual’s receipt of allowance
or assistance.
(2) The payment of the subsistence allowance and other assist-
ance referred to in paragraph (1) is the payment of such an allow-
ance or assistance for the period described in paragraph (3) to a
veteran for participation in a vocational rehabilitation program
under this chapter if the Secretary finds that the veteran had to
suspend or discontinue participation in such vocational rehabilita-
tion program as a result of being ordered to serve on active duty
under section 688, 12301(a), 12301(d), 12301(g), 12302, or 12304 of
title 10.
(3) The period for which, by reason of this subsection, a sub-
sistence allowance and other assistance is not charged against enti-
tlement or counted toward the applicable aggregate period under
section 3695 of this title shall be the period of participation in the
vocational rehabilitation program for which the veteran failed to
receive credit or with respect to which the veteran lost training
time, as determined by the Secretary.
Pub. L. 104–275, title I, Sec. 101(e), Oct. 9, 1996, 110 Stat. 3324; Pub. L. 107–103,
title I, Sec. 103(c)(1), Dec. 27, 2001, 115 Stat. 979; Pub. L. 110–389, title III, Sec.
331, Oct. 10, 2008, 122 Stat. 4170.)
§ 3106. Initial and extended evaluations; determinations re-

garding serious employment handicap
(a) The Secretary shall provide any veteran who has a service-
connected disability rated at 10 percent or more and who applies
for benefits under this chapter with an initial evaluation consisting
of such services described in section 3104(a)(1) of this title as are
necessary (1) to determine whether such veteran is entitled to and
eligible for benefits under this chapter, and (2) in the case of a vet-
eran who is determined to be entitled to and eligible for such bene-
fits, to determine—
(A) whether such veteran has a serious employment handi-
cap, and
(B) whether the achievement of a vocational goal currently
is reasonably feasible for such veteran if it is reasonably fea-
sible to make such determination without extended evaluation.
(b) In any case in which the Secretary has determined that a
veteran has a serious employment handicap and that the achieve-
ment of a vocational goal currently is reasonably feasible for such
veteran, such veteran shall be provided an individualized written
plan of vocational rehabilitation developed under section 3107(a) of

this title.
(c) In any case in which the Secretary has determined that a
veteran has a serious employment handicap but the Secretary is
unable to determine, in an initial evaluation pursuant to sub-
section (a) of this section, whether or not the achievement of a vo-
cational goal currently is reasonably feasible, such veteran shall be
provided with an extended evaluation consisting of the services de-
scribed in section 3104(a)(1) of this title, such services under this
chapter as the Secretary determines necessary to improve such vet-
eran’s potential for participation in a program of services designed
to achieve a vocational goal and enable such veteran to achieve
maximum independence in daily living, and assistance as author-
(d) In any case in which the Secretary has determined that a
veteran has a serious employment handicap and also determines,
following such initial and any such extended evaluation, that
achievement of a vocational goal currently is not reasonably fea-
sible, the Secretary shall determine whether the veteran is capable
of participating in a program of independent living services and as-
sistance under section 3120 of this title.
(e) The Secretary shall in all cases determine as expeditiously
as possible whether the achievement of a vocational goal by a vet-
eran currently is reasonably feasible. In the case of a veteran pro-
vided extended evaluation under subsection (c) of this section (in-
cluding any periods of extensions under section 3105(a) of this
title), the Secretary shall make such determination not later than
the end of such extended evaluation or period of extension, as the
case may be. In determining whether the achievement of a voca-
tional goal currently is reasonably feasible, the Secretary shall re-
solve any reasonable doubt in favor of determining that such
achievement currently is reasonably feasible.
(f) In connection with each period of extended evaluation of a
veteran and each rehabilitation program for a veteran who is deter-
mined to have a serious employment handicap, the Secretary shall
assign a Department of Veterans Affairs employee to be responsible
for the management and followup of the provision of all services
(including appropriate coordination of employment assistance
under section 3117 of this title) and assistance under this chapter
to such veteran.
L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec.
3106 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub.
L. 103–446, title XII, Sec. 1201(d)(9), Nov. 2, 1994, 108 Stat. 4684; Pub. L. 104–275,
title I, Sec. 101(f)(1), Oct. 9, 1996, 110 Stat. 3324.)
§ 3107. Individualized vocational rehabilitation plan

(a) The Secretary shall formulate an individualized written
plan of vocational rehabilitation for a veteran described in section
3106(b) of this title. Such plan shall be developed with such vet-
eran and shall include, but not be limited to (1) a statement of
long-range rehabilitation goals for such veteran and intermediate
rehabilitation objectives related to achieving such goals, (2) a state-
ment of the specific services (which shall include counseling in all
cases) and assistance to be provided under this chapter, (3) the pro-
jected date for the initiation and the anticipated duration of each
such service, and (4) objective criteria and an evaluation procedure
and schedule for determining whether such objectives and goals are
being achieved.
(b) The Secretary shall review at least annually the plan for-
mulated under subsection (a) of this section for a veteran and shall
afford such veteran the opportunity to participate in each such re-
view. On the basis of such review, the Secretary shall (1) redevelop
such plan with such veteran if the Secretary determines, under
regulations which the Secretary shall prescribe, that redevelop-
ment of such plan is appropriate, or (2) disapprove redevelopment
of such plan if the Secretary determines, under such regulations,
that redevelopment of such plan is not appropriate.
(c)(1) Each veteran for whom a plan has been developed or re-
developed under subsection (a) or (b)(1), respectively, of this section
or in whose case redevelopment of a plan has been disapproved
under subsection (b)(2) of this section, shall be informed of such
veteran’s opportunity for a review as provided in paragraph (2) of
this subsection.
(2) In any case in which a veteran does not agree to such plan
as proposed, to such plan as redeveloped, or to the disapproval of
redevelopment of such plan, such veteran may submit to the person
described in section 3106(f) of this title a written statement con-
taining such veteran’s objections and request a review of such plan
as proposed or redeveloped, or a review of the disapproval of rede-
velopment of such plan, as the case may be.
(3) The Secretary shall review the statement submitted under
paragraph (2) of this subsection and the plan as proposed or as re-
developed, and, if applicable, the disapproval of redevelopment of
the plan, and render a decision on such review not later than nine-
ty days after the date on which such veteran submits such state-
ment, unless the case is one for which a longer period for review,
not to exceed 150 days after such veteran submits such statement,
is allowed under regulations prescribed by the Secretary, in which
case the Secretary shall render a decision no later than the last
day of the period prescribed in such regulations.
105 Stat. 406; Pub. L. 104–275, title I, Sec. 101(f)(2)(A), Oct. 9, 1996, 110 Stat.
3325.)
§ 3108. Allowances
(a)(1) Except in the case of a veteran who makes an election
under subsection (f) of this section and subject to the provisions of
paragraph (3) of this subsection, each veteran shall be paid a sub-
sistence allowance in accordance with this section during a period
determined by the Secretary to be a period of such veteran’s par-
ticipation under this chapter in a rehabilitation program.
(2) In any case in which the Secretary determines, at the con-
clusion of such veteran’s pursuit of a vocational rehabilitation pro-
gram under this chapter, that such veteran has been rehabilitated
to the point of employability, such veteran shall be paid a subsist-
ence allowance, as prescribed in this section for full-time training

for the type of program that the veteran was pursuing, for two
months while satisfactorily following a program of employment
services provided under section 3104(a)(5) of this title.
(3) A subsistence allowance may not be paid under this chapter
to a veteran for any period during which such veteran is being pro-
vided with an initial evaluation under section 3106(a) of this title
or during which such veteran is being provided only with coun-
seling or with placement or postplacement services under section
(b)(1) Except as otherwise provided in this section, the Sec-
retary shall determine the subsistence allowance to be paid to a
veteran under this chapter in accordance with the following table,
which shall be the monthly amount shown in column II, III, IV, or
V (whichever is applicable as determined by the veteran’s depend-
ency status) opposite the appropriate type of program being pur-
sued as specified in column I:
Column I Column II Column III Column IV Column V
No de- One de- Two de-

Type of program More than two dependents
pendents pendent pendents
The amount in column IV, plus the following for each de-
pendent in excess of two:
Institutional training:
Full-time ..................... $366 $454 $535 $39
Three-quarter-time ..... 275 341 400 30
Half-time .................... 184 228 268 20
Farm cooperative, ap-
prentice, or other on-
job training:
Full-time ..................... 320 387 446 29
Extended evaluation:
Full-time ..................... 366 454 535 39
Independent living train-
ing:
Full-time ..................... 366 454 535 39
Half-time .................... 184 228 268 20
(2) With respect to the fiscal year beginning on October 1,

1994, the Secretary shall provide a percentage increase in the
monthly rates payable under paragraph (1) of this subsection equal
to the percentage by which the Consumer Price Index (all items,
United States city average published by the Bureau of Labor Sta-
tistics) for the 12-month period ending June 30, 1994, exceeds such
Consumer Price Index for the 12-month period ending June 30,
1993.
(3) With respect to any fiscal year beginning on or after Octo-
ber 1, 1995, the Secretary shall continue to pay, in lieu of the rates
payable under paragraph (1) of this subsection, the monthly rates
payable under this subsection for the previous fiscal year and shall
provide, for any such fiscal year, a percentage increase in such
rates equal to the percentage by which—
(A) the Consumer Price Index (all items, United States city
average) for the 12-month period ending on June 30 preceding
the beginning of the fiscal year for which the increase is made,
exceeds
(B) such Consumer Price Index for the 12-month period

preceding the 12-month period described in subparagraph (A).
(c)(1) In any case in which the vocational rehabilitation pro-
gram for a veteran includes training on the job by an employer in
any month, such employer shall be required to submit to the Sec-
retary a statement in writing showing any wage, compensation, or
other income paid (directly or indirectly) by the employer to such
veteran for such month. Based upon such written statement, the
Secretary is authorized to reduce the subsistence allowance of such
veteran to an amount considered equitable and just in accordance
with criteria which the Secretary shall establish in regulations
(2) A veteran pursuing on-job training or work experience as
part of a vocational rehabilitation program in a Federal, State, or
local government agency or federally recognized Indian tribe under
the provisions of section 3115(a)(1) of this title without pay or for
nominal pay shall be paid the appropriate subsistence allowance
rate provided in subsection (b) of this section for an institutional
program.
(d)(1) The Secretary shall, in accordance with regulations
which the Secretary shall prescribe, define full-time and each part-
time status for veterans participating in rehabilitation programs
under this chapter.
(2) A veteran participating in extended evaluation on less than
a full-time basis may be paid a proportional subsistence allowance
in accordance with regulations which the Secretary shall prescribe.
(e) In any case in which a veteran is pursuing a rehabilitation
program on a residential basis in a specialized rehabilitation facil-
ity, the Secretary may (1) pay to such facility the cost of such vet-
eran’s room and board in lieu of payment to such veteran of the
subsistence allowance (not including any portion payable for any
dependents) payable under subsection (b) of this section, and (2)
pay to such veteran that portion of the allowance for dependents
payable, as determined by such veteran’s dependency status, under
subsection (b) of this section for a full-time institutional program.
(f)(1)(A) In any case in which the Secretary determines that a
veteran is eligible for and entitled to rehabilitation under this
chapter, to the extent that such veteran has remaining eligibility
for and entitlement to educational assistance benefits under chap-
ter 30 of this title, such veteran may elect, as part of a vocational
rehabilitation program under this chapter, to pursue an approved
program of education and receive allowances and other forms of as-
sistance equivalent to those authorized for veterans enrolled under
chapter 30 of this title, if the Secretary approves the educational,
professional, or vocational objective chosen by such veteran for
such program.
(B) In the event that such veteran makes such an election, the
terms and conditions applicable to the pursuit of a comparable pro-
gram of education and the payment of allowances and provision of
assistance under chapter 30 of this title for such a comparable pro-
gram shall be applied to the pursuit of the approved program of
education under this chapter.
(2) A veteran who is receiving an allowance pursuant to para-
graph (1) of this subsection may not receive any of the services or
assistance described in section 3104(a)(3), (7), and (8) of this title

(other than an allowance and other assistance under this sub-
section).
(g)(1) Notwithstanding any other provision of this title and
subject to the provisions of paragraph (2) of this subsection, no sub-
sistence allowance may be paid under this section in the case of
any veteran who is pursuing a rehabilitation program under this
chapter while incarcerated in a Federal, State, local, or other penal
institution or correctional facility for conviction of a felony.
(2) Paragraph (1) of this subsection shall not apply in the case
of any veteran who is pursuing a rehabilitation program under this
chapter while residing in a halfway house or participating in a
work-release program in connection with such veteran’s conviction
of a felony.
(h) Notwithstanding any other provision of this title, the
amount of subsistence allowance, or other allowance under sub-
section (f) of this section, that may be paid to a veteran pursuing
a rehabilitation program for any month for which such veteran re-
ceives compensation at the rate prescribed in section 1114(j) of this
title as the result of hospital treatment (not including post-hospital
convalescence) or observation at the expense of the Department of
Veterans Affairs may not exceed, when added to any compensation
to which such veteran is entitled for such month, an amount equal
to the greater of—
(1) the sum of—
(A) the amount of monthly subsistence or other allow-
ance that would otherwise be paid to such veteran under
this section, and
(B) the amount of monthly compensation that would
be paid to such veteran if such veteran were not receiving
compensation at such rate as the result of such hospital
treatment or observation; or
(2) the amount of monthly compensation payable under
section 1114(j) of this title.
(i) Payment of a subsistence allowance may be made in ad-
vance in accordance with the provisions of section 3680(d) of this
title.
amended Pub. L. 97–306, title II, Sec. 205(a), Oct. 14, 1982, 96 Stat. 1434; Pub. L.
98–525, title VII, Sec. 703(a), Oct. 19, 1984, 98 Stat. 2564; Pub. L. 98–543, title II,
Sec. 201, Oct. 24, 1984, 98 Stat. 2740; Pub. L. 101–237, title IV, Sec. 402(a),
423(b)(1), Dec. 18, 1989, 103 Stat. 2078, 2092; Pub. L. 102–16, Sec. 3(c), Mar. 22,
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title IV, Sec. 405(a), (b), Oct.
29, 1992, 106 Stat. 4338, 4339; Pub. L. 103–446, title VI, Sec. 602(b), Nov. 2, 1994,
108 Stat. 4671; Pub. L. 104–275, title I, Sec. 101(g), Oct. 9, 1996, 110 Stat. 3325;
Pub. L. 109–461, title X, Sec. 1002(b), Dec. 22, 2006, 120 Stat. 3465.)
§ 3109. Entitlement to independent living services and as-

sistance
In any case in which the Secretary has determined under sec-
tion 3106(e) of this title that the achievement of a vocational goal
by a veteran currently is not reasonably feasible, such veteran
shall be entitled, in accordance with the provisions of section 3120
of this title, to a program of independent living services and assist-
ance designed to enable such veteran to achieve maximum inde-

pendence in daily living.
Pub. L. 104–275, title I, Sec. 101(f)(2)(B), Oct. 9, 1996, 110 Stat. 3325.)
§ 3110. Leaves of absence

The Secretary shall prescribe such regulations as the Secretary
determines necessary for granting leaves of absence to veterans
pursuing rehabilitation programs under this chapter. During au-
thorized leaves of absence, a veteran shall be considered to be pur-
suing such program.
§ 3111. Regulations to promote satisfactory conduct and co-

operation
The Secretary shall prescribe such rules and regulations as the
Secretary determines necessary to promote satisfactory conduct
and cooperation on the part of veterans who are pursuing rehabili-
tation programs under this chapter. In any case in which the Sec-
retary determines that a veteran has failed to maintain satisfactory
conduct or cooperation, the Secretary may, after determining that
all reasonable counseling efforts have been made and are not rea-
sonably likely to be effective, discontinue services and assistance
unless the Secretary determines that mitigating circumstances
exist. In any case in which such services and assistance have been
discontinued, the Secretary may reinstitute such services and as-
sistance only if the Secretary determines that—
(1) the cause of the unsatisfactory conduct or cooperation
of such veteran has been removed; and
(2) the rehabilitation program which such veteran proposes
to pursue (whether the same or revised) is suitable to such vet-
eran’s abilities, aptitudes, and interests.
§ 3112. Revolving fund loans

The revolving fund established pursuant to part VII of Vet-
erans Regulation Numbered 1(a) is continued in effect, and may be
used by the Secretary, under regulations prescribed by the Sec-
retary, for making advances, not in excess of twice the amount of
the full-time institutional monthly subsistence allowance for a vet-
eran with no dependents (as provided in section 3108(b) of this
title) to veterans pursuing rehabilitation programs under this chap-
ter. Such advances, and advances from such fund made before the
effective date of the Veterans’ Rehabilitation and Education
Amendments of 1980, shall bear no interest and shall be repaid in
such installments, as may be determined by the Secretary, by prop-
er deductions from future payments of compensation, pension, sub-
sistence allowance, educational assistance allowance, or retirement

pay.
105 Stat. 406.)
§ 3113. Vocational rehabilitation for hospitalized members

of the Armed Forces and veterans
(a) Services and assistance may be provided under this chapter
to a person described in subparagraphs (A)(ii) and (B) of section
3102(1) of this title who is hospitalized pending discharge from ac-
tive military, naval, or air service. In such cases, no subsistence al-
lowance shall be paid.
(b) Services and assistance may be provided under this chapter
to a veteran who is receiving care in a Department of Veterans Af-
fairs hospital, nursing home, or domiciliary facility or in any other
hospital or medical facility.
amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(B), Dec. 18, 1989, 103 Stat. 2092;
105 Stat. 406; Pub. L. 103–446, title XII, Sec. 1201(d)(10), Nov. 2, 1994, 108 Stat.
4684.)
§ 3114. Vocational rehabilitation outside the United States

Under regulations which the Secretary shall prescribe, a voca-
tional rehabilitation program under this chapter may be provided
outside the United States if the Secretary determines that such
training is (1) necessary in the particular case to provide the prepa-
ration needed to render a veteran employable and enable such vet-
eran to obtain and retain suitable employment, and (2) in the best
interest of such veteran and the Federal Government.
§ 3115. Rehabilitation resources

(a) Notwithstanding any other provision of law, for the purpose
of providing services under this chapter, the Secretary may—
(1) use the facilities of any Federal agency (including the
Department of Veterans Affairs), of any State or local govern-
ment agency receiving Federal financial assistance, or of any
federally recognized Indian tribe, to provide training or work
experience as part or all of a veteran’s vocational rehabilitation
program without pay or for nominal pay in any case in which
the Secretary determines that such training or work experience
is necessary to accomplish such veteran’s rehabilitation;
(2) use the facilities, staff, and other resources of the De-
partment of Veterans Affairs;
(3) employ such additional personnel and experts as the
Secretary considers necessary; and
(4) use the facilities and services of any Federal, State, or
other public agency, any agency maintained by joint Federal
and State contributions, any federally recognized Indian tribe,
any public or private institution or establishment, and any pri-

vate individual.
(b)(1) While pursuing on-job training or work experience under
subsection (a)(1) of this section at a Federal agency, a veteran shall
be considered to be an employee of the United States for the pur-
poses of the benefits of chapter 81 of title 5, but not for the pur-
poses of laws administered by the Office of Personnel Management.
(2) Except as provided in chapter 17 of this title, hospital care
and medical services provided under this chapter shall be furnished
in facilities over which the Secretary has direct jurisdiction.
(3) Use of the facilities of a State or local government agency
under subsection (a)(1) of this section or use of facilities and serv-
ices under subsection (a)(4) of this section, shall be procured
through contract, agreement, or other cooperative arrangement.
(4) The Secretary shall prescribe regulations providing for the
monitoring of training and work experiences provided under such
subsection (a)(1) at State or local government agencies and other-
wise ensuring that such training or work experience is in the best
interest of the veteran and the Federal Government.
(c) For purposes of this section, the term ‘‘federally recognized
Indian tribe’’ means any Indian tribe, band, nation, pueblo, or
other organized group or community, including any Alaska Native
village or regional corporation as defined in or established pursu-
ant to the Alaska Native Claims Settlement Act, which is recog-
nized as eligible for the special programs and services provided by
the United States to Indians because of their status as Indians.
amended Pub. L. 100–689, title II, Sec. 201, Nov. 18, 1988, 102 Stat. 4175; Pub. L.
101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec.
VI, Sec. 602(a), Nov. 2, 1994, 108 Stat. 4671.)
§ 3116. Promotion of employment and training opportunities

(a) The Secretary shall actively promote the development and
establishment of employment, training, and other related opportu-
nities for (1) veterans who are participating or who have partici-
pated in a rehabilitation program under this chapter, (2) veterans
with service-connected disabilities, and (3) other veterans to whom
the employment emphases set forth in chapter 42 of this title
apply. The Secretary shall promote the development and establish-
ment of such opportunities through Department of Veterans Affairs
staff outreach efforts to employers and through Department of Vet-
erans Affairs coordination with Federal, State, and local govern-
mental agencies and appropriate nongovernmental organizations.
In carrying out the provisions of this subsection with respect to vet-
erans referred to in clause (3) of the first sentence of this sub-
section, the Secretary shall place particular emphasis on the needs
of categories of such veterans on the basis of applicable rates of un-
employment.
(b)(1) The Secretary, pursuant to regulations prescribed in ac-
cordance with paragraph (3) of this subsection, may make pay-
ments to employers for providing on-job training to veterans who
have been rehabilitated to the point of employability in individual
cases in which the Secretary determines that such payment is nec-
essary to obtain needed on-job training or to begin employment.

Such payments may not exceed the direct expenses incurred by
such employers in providing such on-job training or employment
opportunity.
(2) In any case in which a veteran described in paragraph (1)
of this subsection participates in on-job training described in such
paragraph that satisfies the criteria for payment of a training as-
sistance allowance under section 3687 of this title, such veteran
shall, to the extent that such veteran has remaining eligibility for
and entitlement to such allowance, be paid such allowance.
(3) The Secretary shall prescribe regulations under this sub-
section in consultation with the Secretary of Labor and, in pre-
scribing such regulations, shall take into consideration the provi-
sions of title V of the Rehabilitation Act of 1973 (29 U.S.C. ch. 16,
subch. V) and section 4212 of this title, and regulations prescribed
under such provisions.
amended Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; re-
numbered Sec. 3116 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 406.)
§ 3117. Employment assistance

(a)(1) A veteran with a service-connected disability rated at 10
percent or more who has participated in a vocational rehabilitation
program under this chapter or a similar program under the Reha-
bilitation Act of 1973 (29 U.S.C. 701 et seq.) and who the Secretary
has determined to be employable shall be furnished assistance in
obtaining employment consistent with such veteran’s abilities, apti-
tudes, interests, and employment handicap, including assistance
necessary to insure that such veteran receives the benefit of any
applicable provisions of law or regulation providing for special con-
sideration or emphasis or preference for such veteran in employ-
ment or training.
(2) Assistance provided under this subsection may include—
(A) direct placement of such veteran in employment;
(B) utilization of employment, training, and placement
services under chapter 41 of this title; and
(C) utilization of the job development and placement serv-
ices of (i) programs under the Rehabilitation Act of 1973, (ii)
the State employment service and the Veterans’ Employment
Service of the Department of Labor, (iii) the Office of Personnel
Management, (iv) any other public or nonprofit organization
having placement services available, and (v) any for-profit enti-
ty in a case in which the Secretary has determined that serv-
ices necessary to provide such assistance are available from
such entity and that comparably effective services are not
available, or cannot be obtained cost-effectively, from the enti-
ties described in subclauses (i) through (iv) of this clause.
(b)(1) In any case in which a veteran has completed a voca-
tional rehabilitation program for self-employment in a small busi-
ness enterprise under this chapter, the Secretary shall assist such
veteran in securing, as appropriate, a loan under subchapter IV of
chapter 37 of this title and shall cooperate with the Small Business
Administration to assist such veteran to secure a loan for the pur-
chase of equipment needed to establish such veteran’s own busi-

ness and to insure that such veteran receives the special consider-
ation provided for in section 4(b)(1) of the Small Business Act (15
U.S.C. 633(b)(1)).
(2) In the case of a veteran described in clause (12) of section
3104(a) of this title who has trained under a State rehabilitation
program with the objective of self-employment in a small business
enterprise, the Secretary may, subject to the limitations and cri-
teria provided for in such clause, provide such veteran with such
supplementary equipment and initial stocks and supplies as are de-
termined to be needed by such veteran if such supplementary
equipment and initial stocks and supplies, or assistance in acquir-
ing them, are not available through the State program or other
sources.
amended Pub. L. 97–72, title III, Sec. 303(k), Nov. 3, 1981, 95 Stat. 1060; Pub. L.
100–689, title II, Sec. 202(a), Nov. 18, 1988, 102 Stat. 4175; Pub. L. 101–237, title
IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–54, Sec. 14(c)(4),
June 13, 1991, 105 Stat. 285; renumbered Sec. 3117 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–275, title I, Sec. 101(h),
Oct. 9, 1996, 110 Stat. 3325; Pub. L. 107–288, Sec. 4(e)(2), Nov. 7, 2002, 116 Stat.
2044; Pub. L. 109–233, title V, Sec. 503(6), June 15, 2006, 120 Stat. 416.)
§ 3118. Personnel training, development, and qualifications

(a) The Secretary shall provide a program of ongoing profes-
sional training and development for Department of Veterans Af-
fairs counseling and rehabilitation personnel engaged in providing
rehabilitation services under this chapter. The objective of such
training shall be to insure that rehabilitation services for disabled
veterans are provided in accordance with the most advanced knowl-
edge, methods, and techniques available for the rehabilitation of
handicapped persons. For this purpose, the Secretary may employ
the services of consultants and may make grants to and contract
with public or private agencies (including institutions of higher
learning) to conduct such training and development.
(b) The Secretary shall coordinate with the Commissioner of
the Rehabilitation Services Administration in the Department of
Education and the Assistant Secretary for Veterans’ Employment
in the Department of Labor in planning and carrying out personnel
training in areas of mutual programmatic concern.
(c) Notwithstanding any other provision of law, the Secretary
shall establish such qualifications for personnel providing evalua-
tion and rehabilitation services to veterans under this chapter and
for employees performing the functions described in section 3106(f)
of this title as the Secretary determines are necessary and appro-
priate to insure the quality of rehabilitation programs under this
chapter. In establishing such qualifications, the Secretary shall
take into account the qualifications established for comparable per-
sonnel under the Rehabilitation Act of 1973 (29 U.S.C. ch. 16).
amended Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092; re-
105 Stat. 406; Pub. L. 104–275, title I, Sec. 101(f)(2)(C), Oct. 9, 1996, 110 Stat.
3325.)
§ 3119. Rehabilitation research and special projects

(a) The Secretary shall carry out an ongoing program of activi-
ties for the purpose of advancing the knowledge, methods, tech-
niques, and resources available for use in rehabilitation programs
for veterans. For this purpose, the Secretary shall conduct and pro-
vide support for the development or conduct, or both the develop-
ment and conduct, of—
(1) studies and research concerning the psychological, edu-
cational, employment, social, vocational, industrial, and eco-
nomic aspects of the rehabilitation of disabled veterans, includ-
ing new methods of rehabilitation; and
(2) projects which are designed to increase the resources
and potential for accomplishing the rehabilitation of disabled
veterans.
(b) For the purpose specified in subsection (a) of this section,
the Secretary is authorized to make grants to or contract with pub-
lic or nonprofit agencies, including institutions of higher learning.
(c) The Secretary shall cooperate with the Commissioner of the
Rehabilitation Services Administration and the Director of the In-
stitute of Handicapped Research in the Department of Education,
the Assistant Secretary for Veterans’ Employment in the Depart-
ment of Labor, and the Secretary of Health and Human Services
regarding rehabilitation studies, research, and special projects of
mutual programmatic concern.
§ 3120. Program of independent living services and assist-

ance
(a) The Secretary may, under contracts with entities described
in subsection (f) of this section, or through facilities of the Veterans
Health Administration, which possess a demonstrated capability to
conduct programs of independent living services for severely handi-
capped persons, provide, under regulations which the Secretary
shall prescribe, programs of independent living services and assist-
ance under this chapter, in various geographic regions of the
United States, to veterans described in subsection (b) of this sec-
tion.
(b) A program of independent living services and assistance
may be made available under this section only to a veteran who
has a serious employment handicap resulting in substantial part
from a service-connected disability described in section
3102(1)(A)(i) of this title and with respect to whom it is determined
under section 3106(d) or (e) of this title that the achievement of a
vocational goal currently is not reasonably feasible.
(c) The Secretary shall, to the maximum extent feasible, in-
clude among those veterans who are provided with programs of
independent living services and assistance under this section sub-
stantial numbers of veterans described in subsection (b) of this sec-
tion who are receiving long-term care in Department of Veterans
Affairs hospitals and nursing homes and in nursing homes with
which the Secretary contracts for the provision of care to veterans.
(d) A program of independent living services and assistance for

a veteran shall consist of such services described in section 3104(a)
of this title as the Secretary determines necessary to enable such
veteran to achieve maximum independence in daily living. Such
veteran shall have the same rights with respect to an individual-
ized written plan of services and assistance as are afforded vet-
erans under section 3107 of this title.
(e) Programs of independent living services and assistance
shall be initiated for no more than 2600 veterans in each fiscal
year, and the first priority in the provision of such programs shall
be afforded to veterans for whom the reasonable feasibility of
achieving a vocational goal is precluded solely as a result of a serv-
ice-connected disability.
(f) Entities described in this subsection are (1) public or non-
profit agencies or organizations, and (2) for-profit entities in cases
in which the Secretary determines that services comparable in ef-
fectiveness to services available from such an entity are not avail-
able, or cannot be obtained cost-effectively from, public or nonprofit
agencies or through facilities of the Veterans Health Administra-
tion.
amended Pub. L. 99–576, title III, Sec. 333(a), (b)(6), (c), Oct. 28, 1986, 100 Stat.
3279; Pub. L. 100–689, title II, Sec. 202(b), Nov. 18, 1988, 102 Stat. 4176; Pub. L.
101–237, title IV, Sec. 404, 423(b)(1), Dec. 18, 1989, 103 Stat. 2080, 2092; renum-
Stat. 406; Pub. L. 103–446, title XII, Sec. 1201(b)(1), (d)(11), Nov. 2, 1994, 108 Stat.
4682, 4684; Pub. L. 104–275, title I, Sec. 101(f)(2)(D), (i), Oct. 9, 1996, 110 Stat.
3325; Pub. L. 107–103, title V, Sec. 508(a), Dec. 27, 2001, 115 Stat. 997; Pub. L.
110–389, title III, Sec. 332, Oct. 10, 2008, 122 Stat. 4170.)
§ 3121. Veterans’ Advisory Committee on Rehabilitation

(a)(1) The Secretary shall appoint an advisory committee to be
known as the Veterans’ Advisory Committee on Rehabilitation
(hereinafter in this section referred to as the ‘‘Committee’’).
(2) The members of the Committee shall be appointed by the
Secretary from the general public and shall serve for terms to be
determined by the Secretary not to exceed three years. Veterans
with service-connected disabilities shall be appropriately rep-
resented in the membership of the Committee, and the Committee
shall also include persons who have distinguished themselves in
the public and private sectors in the fields of rehabilitation medi-
cine, vocational guidance, vocational rehabilitation, and employ-
ment and training programs. The Secretary may designate one of
the members of the Committee appointed under this paragraph to
chair the Committee.
(3) The Committee shall also include as ex officio members the
following: (A) one representative from the Veterans Health Admin-
istration and one from the Veterans Benefits Administration, (B)
one representative from the Rehabilitation Services Administration
of the Department of Education and one from the National Insti-
tute for Handicapped Research of the Department of Education,
and (C) one representative of the Assistant Secretary of Labor for
Veterans’ Employment and Training of the Department of Labor.

tion of veterans’ rehabilitation programs under this title.
(c) The Committee shall submit to the Secretary an annual re-
port on the rehabilitation programs and activities of the Depart-
ment of Veterans Affairs and shall submit such other reports and
recommendations to the Secretary as the Committee determines
appropriate. The annual report shall include an assessment of the
rehabilitation needs of veterans and a review of the programs and
activities of the Department of Veterans Affairs designed to meet
such needs. The Secretary shall submit with each annual report
submitted to the Congress pursuant to section 529 of this title a
copy of all reports and recommendations of the Committee sub-
retary was submitted to the Congress pursuant to such section.
amended Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 2092;
Pub. L. 102–54, Sec. 14(c)(5), June 13, 1991, 105 Stat. 285; renumbered Sec. 3121
and amended Pub. L. 102–83, Sec. 2(c)(3), 5(a), Aug. 6, 1991, 105 Stat. 402, 406;
Pub. L. 103–446, title XII, Sec. 1201(b)(1), (i)(5), Nov. 2, 1994, 108 Stat. 4682, 4688.)
§ 3122. Longitudinal study of vocational rehabilitation pro-

grams
(a) STUDY REQUIRED.—(1) Subject to the availability of appro-
priated funds, the Secretary shall conduct a longitudinal study of
a statistically valid sample of each of the groups of individuals de-
scribed in paragraph (2). The Secretary shall study each such
group over a period of at least 20 years.
(2) The groups of individuals described in this paragraph are
the following:
(A) Individuals who begin participating in a vocational re-
habilitation program under this chapter during fiscal year
2010.
(B) Individuals who begin participating in such a program
during fiscal year 2012.
(C) Individuals who begin participating in such a program
during fiscal year 2014.
(b) ANNUAL REPORTS.—By not later than July 1 of each year
covered by the study required under subsection (a), the Secretary
and House of Representatives a report on the study during the pre-
ceding year.
(c) CONTENTS OF REPORT.—The Secretary shall include in the
report required under subsection (b) any data the Secretary deter-
mines is necessary to determine the long-term outcomes of the indi-
viduals participating in the vocational rehabilitation programs
under this chapter. The Secretary may add data elements from
time to time as necessary. In addition, each such report shall con-
tain the following information:
(1) The number of individuals participating in vocational
rehabilitation programs under this chapter who suspended par-
ticipation in such a program during the year covered by the re-
port.
(2) The average number of months such individuals served

on active duty.
(3) The distribution of disability ratings of such individ-
uals.
(4) The types of other benefits administered by the Sec-
retary received by such individuals.
(5) The types of social security benefits received by such
individuals.
(6) Any unemployment benefits received by such individ-
uals.
(7) The average number of months such individuals were
employed during the year covered by the report.
(8) The average annual starting and ending salaries of
such individuals who were employed during the year covered
by the report.
(9) The number of such individuals enrolled in an institu-
tion of higher learning, as that term is defined in section
3452(f) of this title.
(10) The average number of academic credit hours, de-
grees, and certificates obtained by such individuals during the
year covered by the report.
(11) The average number of visits such individuals made
to Department medical facilities during the year covered by the
report.
(12) The average number of visits such individuals made
to non-Department medical facilities during the year covered
by the report.
(13) The average annual income of such individuals.
(14) The average total household income of such individ-
uals for the year covered by the report.
(15) The percentage of such individuals who own their
principal residences.
(16) The average number of dependents of each such vet-
eran.
(Added Pub. L. 110–389, title III, Sec. 334(a), Oct. 10, 2008, 122 Stat. 4172.)
451
CHAPTER 32—POST-VIETNAM ERA VETERANS’
Sec.
3201. Purpose.
3202. Definitions.
SUBCHAPTER II—ELIGIBILITY; CONTRIBUTIONS; AND MATCHING FUND
3221. Eligibility.
3222. Contributions; matching fund.
3223. Refunds of contributions upon disenrollment.
3224. Death of participant.
3225. Discharge or release under conditions which would bar the use of benefits.
3231. Entitlement; loan eligibility.
3232. Duration; limitations.
3241. Requirements.
3243. Deposits; reports.

§ 3201. Purpose
It is the purpose of this chapter (1) to provide educational as-
sistance to those men and women who enter the Armed Forces
after December 31, 1976, and before July 1, 1985, (2) to assist
young men and women in obtaining an education they might not
otherwise be able to afford, and (3) to promote and assist the all
volunteer military program of the United States by attracting
qualified men and women to serve in the Armed Forces.
(Added Pub. L. 94–502, title IV, Sec. 404, Oct. 15, 1976, 90 Stat. 2393, Sec. 1601;
amended Pub. L. 99–576, title III, Sec. 309(a)(1), Oct. 28, 1986, 100 Stat. 3270; re-
(1)(A) The term ‘‘eligible veteran’’ means any veteran who is
not eligible for educational assistance under chapter 34 of this title
and who (i) entered military service on or after January 1, 1977,
and before July 1, 1985, served on active duty for a period of more
than 180 days commencing on or after January 1, 1977, and was
discharged or released therefrom under conditions other than dis-
453
Sec. 3202 CH. 32—POST-VIETNAM ERA ED. ASST. 454
honorable, or (ii) entered military service on or after January 1,

1977, and before July 1, 1985, and was discharged or released from
active duty after January 1, 1977, for a service-connected disability.
(B) The requirement of discharge or release, prescribed in sub-
paragraph (A), shall be waived in the case of any participant who
has completed his or her first obligated period of active duty (which
began after December 31, 1976) or 6 years of active duty (which
began after December 31, 1976), whichever period is less.
(C) For the purposes of subparagraphs (A) and (B), the term
‘‘active duty’’ does not include any period during which an indi-
vidual (i) was assigned full time by the Armed Forces to a civilian
institution for a course of education which was substantially the
same as established courses offered to civilians, (ii) served as a
cadet or midshipman at one of the service academies, or (iii) served
under the provisions of section 511(d) of title 10 pursuant to an en-
listment in the Army National Guard or the Air National Guard,
or as a Reserve for service in the Army Reserve, Navy Reserve, Air
Force Reserve, Marine Corps Reserve, or Coast Guard Reserve.
(D)(i) The requirement of ineligibility for educational assist-
ance under chapter 34 of this title, prescribed in subparagraph (A),
shall be waived in the case of a veteran described in division (ii)
of this subparagraph who elects to receive benefits under this chap-
ter instead of assistance under such chapter 34. A veteran who
makes such an election shall be ineligible for assistance under such
chapter. Such an election is irrevocable.
(ii) A veteran referred to in division (i) of this subparagraph is
a veteran who before January 1, 1977, performed military service
described in subparagraph (C)(iii), is entitled under section
3452(a)(3)(C) of this title to have such service considered to be ‘‘ac-
tive duty’’ for the purposes of chapter 34 of this title, and is eligible
for assistance under such chapter only by reason of having such
service considered to be active duty.
(2) The term ‘‘program of education’’—
(A) has the meaning given such term in section 3452(b) of
this title, and
(B) includes (i) a full-time program of apprenticeship or
other on-job training approved as provided in clause (1) or (2),
as appropriate, of section 3687(a) of this title, and (ii) in the
case of an individual who is not serving on active duty, a coop-
erative program (as defined in section 3482(a)(2) of this title).
(3) The term ‘‘participant’’ is a person who is participating in
the educational benefits program established under this chapter.
(4) The term ‘‘educational institution’’ has the meaning given
such term in section 3452(c) of this title.
(5) The term ‘‘training establishment’’ has the meaning given
such term in section 3452(e) of this title.
amended Pub. L. 96–466, title IV, Sec. 401, Oct. 17, 1980, 94 Stat. 2201; Pub. L.
98–223, title II, Sec. 203(a), Mar. 2, 1984, 98 Stat. 41; Pub. L. 99–576, title III, Sec.
309(a)(2), 310(a), Oct. 28, 1986, 100 Stat. 3270, 3271; Pub. L. 100–689, title I, Sec.
108(b)(1), Nov. 18, 1988, 102 Stat. 4169; Pub. L. 102–54, Sec. 14(c)(6), June 13,
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 109–163, div. A, title V, Sec. 515(e)(3),
Jan. 6, 2006, 119 Stat. 3236.)
455 CH. 32—POST-VIETNAM ERA ED. ASST. Sec. 3222
SUBCHAPTER II—ELIGIBILITY; CONTRIBUTIONS; AND

MATCHING FUND
§ 3221. Eligibility
(a) Each person entering military service on or after January
1, 1977, and before July 1, 1985, shall have the right to enroll in
the educational benefits program provided by this chapter (herein-
after in this chapter referred to as the ‘‘program’’ except where the
text indicates otherwise) at any time during such person’s service
on active duty before July 1, 1985. When a person elects to enroll
in the program, such person must participate for at least 12 con-
secutive months before disenrolling or suspending participation.
(b) The requirement for 12 consecutive months of participation
required by subsection (a) of this section shall not apply when (1)
the participant suspends participation or disenrolls from the pro-
gram because of personal hardship as defined in regulations issued
jointly by the Secretary and the Secretary of Defense, or (2) the
participant is discharged or released from active duty.
(c) A participant shall be permitted to suspend participation or
disenroll from the program at the end of any 12-consecutive-month
period of participation. If participation is suspended, the partici-
pant shall be eligible to make additional contributions to the pro-
gram under such terms and conditions as shall be prescribed by
regulations issued jointly by the Secretary and the Secretary of De-
fense.
(d) If a participant disenrolls from the program, such partici-
pant forfeits any entitlement to benefits under the program except
as provided in subsection (e) of this section. A participant who
disenrolls from the program is eligible for a refund of such partici-
pant’s contributions as provided in section 3223 of this title.
(e) A participant who has disenrolled may be permitted to re-
enroll in the program under such conditions as shall be prescribed
jointly by the Secretary and the Secretary of Defense.
(f) An individual who serves in the Selected Reserve may not
receive credit for such service under both the program established
by this chapter and the program established by chapter 106 of title
10 but shall elect (in such form and manner as the Secretary of
Veterans Affairs may prescribe) the program to which such service
is to be credited.
amended Pub. L. 99–576, title III, Sec. 309(a)(3), Oct. 28, 1986, 100 Stat. 3270; Pub.
L. 101–237, title IV, Sec. 410, 423(b)(1)(A), (4)(A), (6), Dec. 18, 1989, 103 Stat. 2084,
2092, 2093; renumbered Sec. 3221 and amended Pub. L. 102–83, Sec. 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 406.)
§ 3222. Contributions; matching fund

(a) Except as provided in subsections (c) and (d) of this section,
each person electing to participate in the program shall agree to
have a monthly deduction made from such person’s military pay.
Such monthly deduction shall be in any amount not less than $25
nor more than $100 except that the amount must be divisible by
5. Any such amount contributed by the participant or contributed
by the Secretary of Defense pursuant to subsection (c) of this sec-
tion shall be deposited in a deposit fund account entitled the ‘‘Post-
Vietnam Era Veterans Education Account’’ (hereinafter in this

chapter referred to as the ‘‘fund’’) to be established in the Treasury
of the United States. Contributions made by the participant shall
be limited to a maximum of $2,700.
(b) Except as otherwise provided in this chapter, each monthly
contribution made by a participant under subsection (a) shall enti-
tle the participant to matching funds from the Department of De-
fense at the rate of $2 for each $1 contributed by the participant.
(c) The Secretary of Defense is authorized to contribute to the
fund of any participant such contributions as the Secretary of De-
fense deems necessary or appropriate to encourage persons to enter
or remain in the Armed Forces, including contributions in lieu of,
or to reduce the amount of, monthly deductions under subsection
(a) of this section. The Secretary of Defense is authorized to issue
such rules and regulations as the Secretary of Defense deems nec-
essary or appropriate to implement the provisions of this sub-
section.
(d) Subject to the maximum contribution prescribed by sub-
section (a) of this section, a participant shall be permitted, while
serving on active duty, to make a lump-sum contribution to the
fund. A lump-sum contribution to the fund by a participant shall
be in addition to or in lieu of monthly deductions made from such
participant’s military pay and shall be considered, for the purposes
of paragraph (2) of section 3231(a) of this title, to have been made
by monthly deductions from such participant’s military pay in the
amount of $100 per month or in such lesser amount as may be
specified by such participant pursuant to regulations issued jointly
by the Secretary of Defense and the Secretary.
(e) Any amount transferred to the Secretary from the Secretary
of a military department under an interagency agreement for the
administration by the Department of Veterans Affairs of an edu-
cational assistance program established by the Secretary of De-
fense under chapter 107 of title 10 may be deposited into and dis-
bursed from the fund for the purposes of such program.
amended Pub. L. 94–502, title IV, Sec. 408(b), Oct. 15, 1976, 90 Stat. 2398; Pub.
L. 96–466, title IV, Sec. 406, Oct. 17, 1980, 94 Stat. 2202; Pub. L. 97–306, title II,
Sec. 209, 210, Oct. 14, 1982, 96 Stat. 1436; Pub. L. 98–160, title VII, Sec. 702(6),
Nov. 21, 1983, 97 Stat. 1009; Pub. L. 101–237, title IV, Sec. 423(b)(1), (4)(A), (B),
(D), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3222 and amended Pub. L. 102–
83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 3223. Refunds of contributions upon disenrollment

(a) Contributions made to the program by a participant may be
refunded only after the participant has disenrolled from the pro-
gram or as provided in section 3224 of this title.
(b) If a participant disenrolls from the program prior to dis-
charge or release from active duty, such participant’s contributions
will be refunded on the date of the participant’s discharge or re-
lease from active duty or within 60 days of receipt of notice by the
Secretary of the participant’s discharge or disenrollment, except
that refunds may be made earlier in instances of hardship or other
good reason as prescribed in regulations issued jointly by the Sec-
retary and the Secretary of Defense.
(c) If a participant disenrolls from the program after discharge

or release from active duty, the participant’s contributions shall be
refunded within 60 days of receipt of an application for a refund
from the participant.
(d) In the event the participant (1) dies while on active duty,
(2) dies after discharge or release from active duty, or (3) disenrolls
or is disenrolled from the program without having utilized any en-
titlement, the participant may have accrued under the program, or,
in the event the participant utilizes part of such participant’s enti-
tlement and disenrolls or is disenrolled from the program, the
amount contributed by the Secretary of Defense under the author-
ity of section 3222(c) of this title remaining in the fund shall be re-
funded to such Secretary.
amended Pub. L. 98–160, title VII, Sec. 702(7), Nov. 21, 1983, 97 Stat. 1009; Pub.
L. 101–237, title IV, Sec. 423(b)(1)(A), (4)(A), (7), Dec. 18, 1989, 103 Stat. 2092,
1991, 105 Stat. 406.)
§ 3224. Death of participant

In the event of a participant’s death, the amount of such par-
ticipant’s unused contributions to the fund shall be paid to the liv-
ing person or persons first listed below:
(1) The beneficiary or beneficiaries designated by such par-
ticipant under such participant’s Servicemembers’ Group Life
Insurance policy.
(2) The surviving spouse of the participant.
(3) The surviving child or children of the participant, in
equal shares.
(4) The surviving parent or parents of the participant, in
equal shares.
If there is no such person living, such amount shall be paid to such
participant’s estate.
amended Pub. L. 96–466, title IV, Sec. 402, Oct. 17, 1980, 94 Stat. 2201; renum-
275, title IV, Sec. 405(c)(2), Oct. 9, 1996, 110 Stat. 3340.)
§ 3225. Discharge or release under conditions which would

bar the use of benefits
If a participant in the program is discharged or released from
active duty under dishonorable conditions, such participant is auto-
matically disenrolled and any contributions made by such partici-
pant shall be refunded to such participant on the date of such par-
ticipant’s discharge or release from active duty or within 60 days
from receipt of notice by the Secretary of such discharge or release,
whichever is later.

§ 3231. Entitlement; loan eligibility
(a)(1) Subject to the provisions of section 3695 of this title lim-
iting the aggregate period for which any person may receive assist-
ance under two or more programs of educational or vocational as-
sistance administered by the Department of Veterans Affairs, a
participant shall be entitled to a maximum of 36 monthly benefit
payments (or their equivalent in the event of part-time benefits).
(2) Except as provided in paragraph (5)(E) of this subsection
and in subsection (e) of this section and section 3233 of this title
and subject to section 3241 of this title, the amount of the monthly
payment to which any eligible veteran is entitled shall be
ascertained by (A) adding all contributions made to the fund by the
eligible veteran, (B) multiplying the sum by 3, (C) adding all con-
tributions made to the fund for such veteran by the Secretary of
Defense, and (D) dividing the sum by the lesser of 36 or the num-
ber of months in which contributions were made by such veteran.
(3) Payment of benefits under this chapter may be made only
for periods of time during which an eligible veteran is actually en-
rolled in and pursuing an approved program of education and, ex-
cept as provided in paragraph (4), only after an eligible veteran has
been discharged or released from active duty.
(4) Payment of benefits under this chapter may be made after
a participant has completed his or her first obligated period of ac-
tive duty (which began after December 31, 1976), or 6 years of ac-
tive duty (which began after December 31, 1976), whichever period
is less.
(5)(A) Notwithstanding any other provision of this chapter or
allowance described in subparagraph (B) of this paragraph—
(i) shall not be charged against the entitlement of any eli-
gible veteran under this chapter; and
(ii) shall not be counted toward the aggregate period for
which section 3695 of this title limits an individual’s receipt of
assistance.
(B) The payment of an educational assistance allowance re-
ferred to in subparagraph (A) of this paragraph is any payment of
a monthly benefit under this chapter to an eligible veteran for pur-
suit of a course or courses under this chapter if the Secretary finds
that the eligible veteran—
(i) in the case of a person not serving on active duty, had
to discontinue such course pursuit as a result of being ordered
to serve on active duty under section 688, 12301(a), 12301(d),
12301(g), 12302, or 12304 of title 10; or
(ii) in the case of a person serving on active duty, had to
discontinue such course pursuit as a result of being ordered to
a new duty location or assignment or to perform an increased
amount of work; and
(iii) failed to receive credit or training time toward comple-
tion of the individual’s approved educational, professional, or
vocational objective as a result of having to discontinue, as de-
scribed in clause (i) or (ii) of this subparagraph, his or her
course pursuit.
(C) The period for which, by reason of this subsection, an edu-

determined under subparagraph (B)(iii) of this paragraph.
(D) The amount in the fund for each eligible veteran who re-
ceived a payment of an educational assistance allowance described
in subparagraph (B) of this paragraph shall be restored to the
amount that would have been in the fund for the veteran if the
payment had not been made. For purposes of carrying out the pre-
vious sentence, the Secretary of Defense shall deposit into the fund,
on behalf of each such veteran, an amount equal to the entire
amount of the payment made to the veteran.
(E) In the case of a veteran who discontinues pursuit of a
course or courses as described in subparagraph (B) of this para-
graph, the formula for ascertaining the amount of the monthly pay-
ment to which the veteran is entitled in paragraph (2) of this sub-
section shall be implemented as if—
(i) the payment made to the fund by the Secretary of De-
fense under subparagraph (D) of this paragraph, and
(ii) any payment for a course or courses described in sub-
paragraph (B) of this paragraph that was paid out of the fund,
had not been made or paid.
(b) Any enlisted member of the Armed Forces participating in
the program shall be eligible to enroll in a course, courses, or pro-
gram of education for the purpose of attaining a secondary school
diploma (or an equivalency certificate), as authorized by section
3491(a) of this title, during the last six months of such member’s
first enlistment and at any time thereafter.
(c) When an eligible veteran is pursuing a program of edu-
cation under this chapter by correspondence, such eligible veteran’s
entitlement shall be charged at the rate of 1 month’s entitlement
for each month of benefits paid to the eligible veteran (computed
on the basis of the formula provided in subsection (a)(2) of this sec-
tion).
(d)(1) Subject to the provisions of paragraph (2) of this sub-
section, the amount of the educational assistance benefits paid to
an eligible veteran who is pursuing a program of education under
this chapter while incarcerated in a Federal, State, local, or other
penal institution or correctional facility for conviction of a felony
may not exceed the lesser of (A) such amount as the Secretary de-
termines, in accordance with regulations which the Secretary shall
prescribe, is necessary to cover the cost of established charges for
tuition and fees required of similarly circumstanced nonveterans
enrolled in the same program and the cost of necessary supplies,
books, and equipment, or (B) the applicable monthly benefit pay-
ment otherwise prescribed in this section or section 3233 of this
title. The amount of the educational assistance benefits payable to
a veteran while so incarcerated shall be reduced to the extent that
the tuition and fees of the veteran for any course are paid under
any Federal program (other than a program administered by the
Secretary) or under any State or local program.
of any veteran who is pursuing a program of education under this
of a felony.
(e)(1) Subject to subsection (a)(1) of this section, each indi-
vidual who is pursuing a program of education consisting exclu-
sively of flight training approved as meeting the requirements of
section 3241(b) of this title shall be paid educational assistance
under this chapter in the amount equal to 60 percent of the estab-
lished charges for tuition and fees which similarly circumstanced
nonveterans enrolled in the same flight course are required to pay.
(2) No payment may be paid under this chapter to an indi-
vidual for any month during which such individual is pursuing a
program of education consisting exclusively of flight training until
the Secretary has received from that individual and the institution
providing such training a certification of the flight training re-
ceived by the individual during that month and the tuition and
other fees charged for that training.
(3) The entitlement of an eligible veteran pursuing a program
of education described in paragraph (1) of this subsection shall be
charged at the rate of one month for each amount of educational
assistance paid which is equal to the monthly benefit otherwise
payable to such veteran (computed on the basis of the formula pro-
vided in subsection (a)(2) of this section).
(4) The number of solo flying hours for which an individual
may be paid an educational assistance allowance under this sub-
section may not exceed the minimum number of solo flying hours
required by the Federal Aviation Administration for the flight rat-
ing or certification which is the goal of the individual’s flight train-
ing.
amended Pub. L. 96–466, title IV, Sec. 403, 404, Oct. 17, 1980, 94 Stat. 2201; Pub.
L. 97–35, title XX, Sec. 2003(a)(1), 2005(a), Aug. 13, 1981, 95 Stat. 782; Pub. L. 99–
576, title III, Sec. 310(b)(1), Oct. 28, 1986, 100 Stat. 3271; Pub. L. 100–689, title
I, Sec. 108(b)(2), 122, Nov. 18, 1988, 102 Stat. 4170, 4174; Pub. L. 101–237, title
IV, Sec. 423(b)(1), (4)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–16, Sec. 7(b),
Mar. 22, 1991, 105 Stat. 51; renumbered Sec. 3231 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–127, Sec. 2(b), Oct. 10,
1991, 105 Stat. 619; Pub. L. 102–568, title III, Sec. 310(c), Oct. 29, 1992, 106 Stat.
4330; Pub. L. 104–275, title I, Sec. 105(b), Oct. 9, 1996, 110 Stat. 3327; Pub. L. 105–
368, title X, Sec. 1005(b)(7), Nov. 11, 1998, 112 Stat. 3365; Pub. L. 107–103, title
I, Sec. 103(a), (d), Dec. 27, 2001, 115 Stat. 979; Pub. L. 109–461, title X, Sec.
1002(c), Dec. 22, 2006, 120 Stat. 3465.)
§ 3232. Duration; limitations

(a)(1) Except as provided in paragraphs (2) and (3), and subject
to paragraph (4), of this subsection, educational assistance benefits
shall not be afforded an eligible veteran under this chapter more
than 10 years after the date of such veteran’s last discharge or re-
lease from active duty.
(2)(A) If any eligible veteran was prevented from initiating or
completing such veteran’s chosen program of education during the
delimiting period determined under paragraph (1) of this sub-
section because of a physical or mental disability which was not the
result of such veteran’s own willful misconduct, such veteran shall,
upon application made in accordance with subparagraph (B) of this

paragraph, be granted an extension of the applicable delimiting pe-
riod for such length of time as the Secretary determines, from the
evidence, that such veteran was so prevented from initiating or
completing such program of education.
(B) An extension of the delimiting period applicable to an eligi-
ble veteran may be granted under subparagraph (A) of this para-
graph by reason of the veteran’s mental or physical disability only
if the veteran submits an application for such extension to the Sec-
retary within one year after (i) the last date of the delimiting pe-
riod otherwise applicable to the veteran under paragraph (1) of this
subsection, or (ii) the termination date of the period of the vet-
eran’s mental or physical disability, whichever is later.
(3) When an extension of the applicable delimiting period is
granted an eligible veteran under paragraph (2) of this subsection,
the delimiting period with respect to such veteran shall again begin
to run on the first day after such veteran’s recovery from such dis-
ability on which it is reasonably feasible, as determined in accord-
ance with regulations prescribed by the Secretary, for such veteran
to initiate or resume pursuit of a program of education with edu-
(4) For purposes of paragraph (1) of this subsection, a veteran’s
last discharge or release from active duty shall not include any dis-
charge or release from a period of active duty of less than 90 days
of continuous service unless the individual involved is discharged
or released for a service-connected disability, for a medical condi-
tion which preexisted such service and which the Secretary deter-
mines is not service connected, for hardship, or as a result of a re-
duction in force as described in section 3011(a)(1)(A)(ii)(III) of this
title.
(b)(1) In the event that an eligible veteran has not utilized any
or all of such veteran’s entitlement by the end of the delimiting pe-
riod applicable to the veteran under subsection (a) of this section
and at the end of one year thereafter has not filed a claim for uti-
lizing such entitlement, such eligible veteran is automatically
disenrolled.
(2)(A) Any contributions which were made by a veteran
disenrolled under paragraph (1) of this subsection and remain in
the fund shall be refunded to the veteran after notice of
disenrollment is transmitted to the veteran and the veteran applies
for such refund.
(B) If no application for refund of contributions under subpara-
graph (A) of this paragraph is received from a disenrolled veteran
within one year after the date the notice referred to in such sub-
paragraph is transmitted to the veteran, it shall be presumed that
the veteran’s whereabouts is unknown and the funds shall be
transferred to the Secretary for payments for entitlement earned
under subchapter II of chapter 30.
(c)(1) Subject to paragraph (3), the amount of educational as-

total amount paid to such individual for such test by the full-time
monthly institutional rate of the educational assistance allowance
which, except for paragraph (1), such individual would otherwise be
paid under this chapter.
(d)(1) Subject to paragraph (3), the amount of educational as-
institutions of higher learning described in section 3452(b) of this
title is the amount of the fee charged for the test.
wise be paid under this chapter.
ter.
amended Pub. L. 97–258, Sec. 3(k)(2), Sept. 13, 1982, 96 Stat. 1065; Pub. L. 98–
160, title VII, Sec. 702(8), Nov. 21, 1983, 97 Stat. 1009; Pub. L. 99–576, title III,
Sec. 311, Oct. 28, 1986, 100 Stat. 3272; Pub. L. 101–237, title IV, Sec. 420(a)(2),
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2087, 2092; Pub. L. 102–16, Sec. 4, Mar. 22,
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–275, title I, Sec. 106(c)(1), Oct. 9,
1996, 110 Stat. 3329; Pub. L. 106–419, title I, Sec. 122(b)(2), Nov. 1, 2000, 114 Stat.
1834; Pub. L. 108–454, title I, Sec. 106(b)(2), Dec. 10, 2004, 118 Stat. 3603.)
§ 3233. Apprenticeship or other on-job training

(a) Except as provided in subsection (b) of this section, the
amount of the monthly benefit payment to an individual pursuing
a full-time program of apprenticeship or other on-job training
under this chapter is—
(1) for each of the first six months of the individual’s pur-
suit of such program, 75 percent of the monthly benefit pay-
ment otherwise payable to such individual under this chapter;
(2) for each of the second six months of the individual’s
pursuit of such program, 55 percent of such monthly benefit
payment; and
(3) for each of the months following the first 12 months of
the individual’s pursuit of such program, 35 percent of such
monthly benefit payment.
(b) In any month in which an individual pursuing a program
of education consisting of a program of apprenticeship or other on-
job training fails to complete 120 hours of training, the amount of
the monthly benefit payment payable under this chapter to the in-
dividual shall be limited to the same proportion of the applicable
rate determined under subsection (a) of this section as the number
of hours worked during such month, rounded to the nearest eight

hours, bears to 120 hours.
(c) For each month that an individual is paid a monthly benefit
payment under this chapter, the individual’s entitlement under
this chapter shall be charged at the rate of—
(1) 75 percent of a month in the case of payments made
in accordance with subsection (a)(1) of this section;
in accordance with subsection (a)(2) of this section; and
in accordance with subsection (a)(3) of this section.
(d) For any month in which an individual fails to complete 120
hours of training, the entitlement otherwise chargeable under sub-
section (c) of this section shall be reduced in the same proportion
as the monthly benefit payment payable is reduced under sub-
section (b) of this section.
(Added Pub. L. 99–576, title III, Sec. 310(b)(2), Oct. 28, 1986, 100 Stat. 3271, Sec.
1633; amended Pub. L. 101–237, title IV, Sec. 423(a)(7), Dec. 18, 1989, 103 Stat.

(a) An individual entitled to benefits under this chapter shall
also be entitled to the benefits provided an eligible veteran under
section 3492 of this title, subject to the conditions applicable to an
eligible veteran under such section. Any amount paid to an indi-
vidual under this section shall be in addition to the amount of
other benefits paid under this chapter.
(b) An individual’s period of entitlement to educational assist-
ance under this chapter shall be charged only with respect to the
amount of educational assistance paid to the individual under this
section in excess of $600.
(c) An individual’s period of entitlement to educational assist-
ance under this chapter shall be charged at the rate of one month
for each amount of assistance paid to the individual under this sec-
tion in excess of $600 that is equal to the amount of monthly edu-
cational assistance the individual is otherwise eligible to receive for
full-time pursuit of an institutional course under this chapter.
(d) Payments of benefits under this section shall be made—
(1) in the case of the first $600 of such benefits paid to an
individual, from funds appropriated, or otherwise available, to
the Department of Veterans Affairs for the payment of read-
justment benefits; and
(2) in the case of payments to an individual for such bene-
fits in excess of $600, from the fund from contributions made
to the fund by the veteran and by the Secretary of Defense in
the same proportion as these contributions are used to pay
other educational assistance to the individual under this chap-
ter.
(Added Pub. L. 100–689, title I, Sec. 107(b)(1), Nov. 18, 1988, 102 Stat. 4168, Sec.
1634; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(B), Dec. 18, 1989, 103 Stat.
1991, 105 Stat. 406.)
§ 3241. Requirements
(a)(1) The provisions of sections 3470, 3471, 3474, 3476, 3483,
3485, and 3491(a)(1) of this title and the provisions of chapter 36
of this title (with the exception of section 3687) shall be applicable
with respect to individuals who are pursuing programs of education
while serving on active duty.
(2) The Secretary may, without regard to the application to
this chapter of so much of the provisions of section 3471 of this title
as prohibit the enrollment of an eligible veteran in a program of
education in which the veteran is ‘‘already qualified’’, and pursuant
to such regulations as the Secretary shall prescribe, approve the
enrollment of such individual in refresher courses (including
courses which will permit such individual to update knowledge and
skills or be instructed in the technological advances which have oc-
curred in the individual’s field of employment during and since the
period of such veteran’s active military service), deficiency courses,
or other preparatory or special education or training courses nec-
essary to enable the individual to pursue an approved program of
education.
(b) The Secretary may approve the pursuit of flight training (in
addition to a course of flight training that may be approved under
section 3680A(b) of this title) by an individual entitled to basic edu-
cational assistance under this chapter if—
(1) such training is generally accepted as necessary for the
attainment of a recognized vocational objective in the field of
aviation;
(2) the individual possesses a valid pilot certificate and
meets, on the day the individual begins a course of flight train-
ing, the medical requirements necessary for a commercial pilot
certificate; and
(3) the flight school courses meet Federal Aviation Admin-
istration standards for such courses and are approved by the
Federal Aviation Administration and the State approving agen-
cy.
(c) The provisions of sections 3470, 3471, 3474, 3476, 3483, and
3491(a) (other than clause (1)) of this title and the provisions of
chapter 36 of this title (with the exception of section 3687) shall be
applicable with respect to individuals who are pursuing programs
of education following discharge or release from active duty.
amended Pub. L. 96–466, title IV, Sec. 405, Oct. 17, 1980, 94 Stat. 2202; Pub. L.
97–35, title XX, Sec. 2003(a)(2), Aug. 13, 1981, 95 Stat. 782; Pub. L. 99–576, title
III, Sec. 308(b), 310(c), Oct. 28, 1986, 100 Stat. 3270, 3272; Pub. L. 100–689, title
I, Sec. 106(b), Nov. 18, 1988, 102 Stat. 4167; Pub. L. 101–237, title IV, Sec.
423(a)(5)(B), (b)(1)(A), Dec. 18, 1989, 103 Stat. 2091, 2092; Pub. L. 102–16, Sec.
2(b)(2), 7(a), Mar. 22, 1991, 105 Stat. 49, 51; renumbered Sec. 3241 and amended
III, Sec. 313(a)(5), Oct. 29, 1992, 106 Stat. 4332; Pub. L. 103–446, title VI, Sec.
601(b), title XII, Sec. 1201(d)(12), Nov. 2, 1994, 108 Stat. 4670, 4684; Pub. L. 105–
368, title II, Sec. 204(a), Nov. 11, 1998, 112 Stat. 3327.)
ø§ 3242. Vacant¿
§ 3243. Deposits; reports
Deductions made by the Department of Defense from the mili-
tary pay of any participant shall be promptly transferred to the
Secretary for deposit in the fund. The Secretary of Defense shall
also submit to the Secretary a report each month showing the
name, service number, and the amount of the deduction made from
the military pay of each initial enrollee, any contribution made by
the Secretary of Defense pursuant to section 3222(c) of this title,
as well as any changes in each participant’s enrollment and/or con-
tribution. The report shall also include any additional information
the Secretary and the Secretary of Defense deem necessary to ad-
minister this program. The Secretary shall maintain accounts
showing contributions made to the fund by individual participants
and by the Secretary of Defense as well as disbursements made
from the fund in the form of benefits.
amended Pub. L. 98–160, title VII, Sec. 702(9), Nov. 21, 1983, 97 Stat. 1009; Pub.
L. 101–237, title IV, Sec. 423(b)(1)(A), (4)(D), Dec. 18, 1989, 103 Stat. 2092; renum-
Stat. 406.)
[CHAPTER 33 EFFECTIVE AS OF AUGUST 1, 2009]
467
CHAPTER 33—POST-9/11 EDUCATIONAL ASSISTANCE
Sec.
3301. Definitions.
3311. Educational assistance for service in the Armed Forces commencing on or
after September 11, 2001: entitlement.
3312. Educational assistance: duration.
3313. Educational assistance: amount; payment.
3315. Licensure and certification tests.
3316. Supplemental educational assistance: members with critical skills or spe-
cialty; members serving additional service.
3317. Public-private contributions for additional educational assistance.
3318. Additional assistance: relocation or travel assistance for individual relo-
cating or traveling significant distance for pursuit of a program of edu-
cation.
3319. Authority to transfer unused education benefits to family members.
3321. Time limitation for use of and eligibility for entitlement.
3324. Allocation of administration and costs.
In this chapter:
(1) The term ‘‘active duty’’ has the meanings as follows
(subject to the limitations specified in sections 3002(6) and
3311(b)):
(A) In the case of members of the regular components
of the Armed Forces, the meaning given such term in sec-
tion 101(21)(A).
(B) In the case of members of the reserve components
of the Armed Forces, service on active duty under a call or
order to active duty under section 688, 12301(a), 12301(d),
12301(g), 12302, or 12304 of title 10.
(2) The term ‘‘entry level and skill training’’ means the fol-
lowing:
(A) In the case of members of the Army, Basic Combat
Training and Advanced Individual Training.
(B) In the case of members of the Navy, Recruit Train-
ing (or Boot Camp) and Skill Training (or so-called ‘‘A’’
School).
469
Sec. 3311 CH. 33—POST-9/11 EDUCATIONAL ASSISTANCE 470
(C) In the case of members of the Air Force, Basic

Military Training and Technical Training.
(D) In the case of members of the Marine Corps, Re-
cruit Training and Marine Corps Training (or School of In-
fantry Training).
(E) In the case of members of the Coast Guard, Basic
Training.
(3) The term ‘‘program of education’’ has the meaning
given such term in section 3002, except to the extent otherwise
provided in section 3313.
(4) The term ‘‘Secretary of Defense’’ means the Secretary
of Defense, except that the term means the Secretary of Home-
land Security with respect to the Coast Guard when it is not
operating as a service in the Navy.
(Added Pub. L. 110–252, title V, Sec. 5003(a)(1), June 30, 2008, 122 Stat. 2359.)

§ 3311. Educational assistance for service in the Armed
Forces commencing on or after September 11, 2001:
entitlement
(a) ENTITLEMENT.—Subject to subsections (d) and (e), each in-
dividual described in subsection (b) is entitled to educational assist-
(b) COVERED INDIVIDUALS.—An individual described in this
subsection is any individual as follows:
(1) An individual who—
(A) commencing on or after September 11, 2001,
serves an aggregate of at least 36 months on active duty
in the Armed Forces (including service on active duty in
entry level and skill training); and
(B) after completion of service described in subpara-
graph (A)—
(i) continues on active duty; or
(ii) is discharged or released from active duty as
described in subsection (c).
serves at least 30 continuous days on active duty in the
Armed Forces; and
graph (A), is discharged or released from active duty in the
Armed Forces for a service-connected disability.
serves an aggregate of at least 30 months, but less than
36 months, on active duty in the Armed Forces (including
service on active duty in entry level and skill training);
and
graph (A)—
(i) continues on active duty for an aggregate of
less than 36 months; or
471 CH. 33—POST-9/11 EDUCATIONAL ASSISTANCE Sec. 3311
(ii) before completion of service on active duty of

an aggregate of 36 months, is discharged or released
from active duty as described in subsection (c).
30 months, on active duty in the Armed Forces (including
and
graph (A)—
24 months, on active duty in the Armed Forces (excluding
and
graph (A)—
18 months, on active duty in the Armed Forces (excluding
and
graph (A)—
serves an aggregate of at least 6 months, but less than 12
months, on active duty in the Armed Forces (excluding
and
graph (A)—

serves an aggregate of at least 90 days, but less than 6
months, on active duty in the Armed Forces (excluding
and
graph (A)—
(c) COVERED DISCHARGES AND RELEASES.—A discharge or re-
lease from active duty of an individual described in this subsection
is a discharge or release as follows:
(1) A discharge from active duty in the Armed Forces with
an honorable discharge.
(2) A release after service on active duty in the Armed
Forces characterized by the Secretary concerned as honorable
service and placement on the retired list, transfer to the Fleet
Reserve or Fleet Marine Corps Reserve, or placement on the
temporary disability retired list.
(3) A release from active duty in the Armed Forces for fur-
ther service in a reserve component of the Armed Forces after
service on active duty characterized by the Secretary concerned
as honorable service.
(4) A discharge or release from active duty in the Armed
Forces for—
(A) a medical condition which preexisted the service of
the individual as described in the applicable paragraph of
subsection (b) and which the Secretary determines is not
service-connected;
(B) hardship; or
(C) a physical or mental condition that was not char-
acterized as a disability and did not result from the indi-
vidual’s own willful misconduct but did interfere with the
individual’s performance of duty, as determined by the
Secretary concerned in accordance with regulations pre-
scribed by the Secretary of Defense.
(d) PROHIBITION ON TREATMENT OF CERTAIN SERVICE AS PE-
RIOD OF ACTIVE DUTY.—The following periods of service shall not
be considered a part of the period of active duty on which an indi-
vidual’s entitlement to educational assistance under this chapter is
based:
(1) A period of service on active duty of an officer pursuant
to an agreement under section 2107(b) of title 10.
(2) A period of service on active duty of an officer pursuant
to an agreement under section 4348, 6959, or 9348 of title 10.
(3) A period of service that is terminated because of a de-
fective enlistment and induction based on—
(A) the individual’s being a minor for purposes of serv-

ice in the Armed Forces;
(B) an erroneous enlistment or induction; or
(C) a defective enlistment agreement.
(e) TREATMENT OF INDIVIDUALS ENTITLED UNDER MULTIPLE
PROVISIONS.—In the event an individual entitled to educational as-
sistance under this chapter is entitled by reason of both para-
graphs (4) and (5) of subsection (b), the individual shall be treated
as being entitled to educational assistance under this chapter by
reason of paragraph (5) of subsection (b).
§ 3312. Educational assistance: duration
(a) IN GENERAL.—Subject to section 3695 and except as pro-
vided in subsections (b) and (c), an individual entitled to edu-
cational assistance under this chapter is entitled to a number of
months of educational assistance under section 3313 equal to 36
months.
(b) CONTINUING RECEIPT.—The receipt of educational assist-
ance under section 3313 by an individual entitled to educational as-
sistance under this chapter is subject to the provisions of section
3321(b)(2).
(c) DISCONTINUATION OF EDUCATION FOR ACTIVE DUTY.—
(1) IN GENERAL.—Any payment of educational assistance
described in paragraph (2) shall not—
(A) be charged against any entitlement to educational
assistance of the individual concerned under this chapter;
or
(B) be counted against the aggregate period for which
section 3695 limits the individual’s receipt of educational
assistance under this chapter.
(2) DESCRIPTION OF PAYMENT OF EDUCATIONAL ASSIST-
ANCE.—Subject to paragraph (3), the payment of educational
assistance described in this paragraph is the payment of such
assistance to an individual for pursuit of a course or courses
under this chapter if the Secretary finds that the individual—
(A)(i) in the case of an individual not serving on active
duty, had to discontinue such course pursuit as a result of
being called or ordered to serve on active duty under sec-
tion 688, 12301(a), 12301(d), 12301(g), 12302, or 12304 of
title 10; or (ii) in the case of an individual serving on ac-
tive duty, had to discontinue such course pursuit as a re-
sult of being ordered to a new duty location or assignment
or to perform an increased amount of work; and
(B) failed to receive credit or lost training time toward
completion of the individual’s approved education, profes-
sional, or vocational objective as a result of having to dis-
continue, as described in subparagraph (A), the individ-
ual’s course pursuit.
(3) PERIOD FOR WHICH PAYMENT NOT CHARGED.—The pe-
riod for which, by reason of this subsection, educational assist-
ance is not charged against entitlement or counted toward the
applicable aggregate period under section 3695 of this title
shall not exceed the portion of the period of enrollment in the
course or courses from which the individual failed to receive

credit or with respect to which the individual lost training
time, as determined under paragraph (2)(B).
§ 3313. Educational assistance: amount; payment

(a) PAYMENT.—The Secretary shall pay to each individual enti-
tled to educational assistance under this chapter who is pursuing
an approved program of education (other than a program covered
by subsections (e) and (f)) the amounts specified in subsection (c)
to meet the expenses of such individual’s subsistence, tuition, fees,
and other educational costs for pursuit of such program of edu-
cation.
(b) APPROVED PROGRAMS OF EDUCATION.—A program of edu-
cation is an approved program of education for purposes of this
chapter if the program of education is offered by an institution of
higher learning (as that term is defined in section 3452(f)) and is
approved for purposes of chapter 30 (including approval by the
State approving agency concerned).
(c) AMOUNT OF EDUCATIONAL ASSISTANCE.—The amounts pay-
able under this subsection for pursuit of an approved program of
education are amounts as follows:
(1) In the case of an individual entitled to educational as-
sistance under this chapter by reason of section 3311(b)(1) or
3311(b)(2), amounts as follows:
(A) An amount equal to the established charges for the
program of education, except that the amount payable
under this subparagraph may not exceed the maximum
amount of established charges regularly charged in-State
students for full-time pursuit of approved programs of edu-
cation for undergraduates by the public institution of high-
er education offering approved programs of education for
undergraduates in the State in which the individual is en-
rolled that has the highest rate of regularly-charged estab-
lished charges for such programs of education among all
public institutions of higher education in such State offer-
ing such programs of education.
(B) A monthly stipend in an amount as follows:
(i) For each month the individual pursues the pro-
gram of education (other than, in the case of assist-
ance under this section only, a program of education
offered through distance learning), a monthly housing
stipend amount equal to the monthly amount of the
basic allowance for housing payable under section 403
of title 37 for a member with dependents in pay grade
E-5 residing in the military housing area that encom-
passes all or the majority portion of the ZIP code area
in which is located the institution of higher education
at which the individual is enrolled.
(ii) For the first month of each quarter, semester,
or term, as applicable, of the program of education
pursued by the individual, a lump sum amount for
books, supplies, equipment, and other educational
costs with respect to such quarter, semester, or term

in the amount equal to—
(I) $1,000, multiplied by
(II) the fraction which is the portion of a com-
plete academic year under the program of edu-
cation that such quarter, semester, or term con-
stitutes.
sistance under this chapter by reason of section 3311(b)(3),
amounts equal to 90 percent of the amounts that would be pay-
able to the individual under paragraph (1) for the program of
education if the individual were entitled to amounts for the
program of education under paragraph (1) rather than this
paragraph.
paragraph.
paragraph.
paragraph.
paragraph.
paragraph.
(d) FREQUENCY OF PAYMENT.—
(1) QUARTER, SEMESTER, OR TERM PAYMENTS.—Payment of
the amounts payable under subsection (c)(1)(A), and of similar
amounts payable under paragraphs (2) through (7) of sub-
section (c), for pursuit of a program of education shall be made
for the entire quarter, semester, or term, as applicable, of the

program of education.
(2) MONTHLY PAYMENTS.—Payment of the amount payable
under subsection (c)(1)(B), and of similar amounts payable
under paragraphs (2) through (7) of subsection (c), for pursuit
of a program of education shall be made on a monthly basis.
(3) REGULATIONS.—The Secretary shall prescribe in regula-
tions methods for determining the number of months (includ-
ing fractions thereof) of entitlement of an individual to edu-
cational assistance this chapter that are chargeable under this
chapter for an advance payment of amounts under paragraphs
(1) and (2) for pursuit of a program of education on a quarter,
semester, term, or other basis.
(e) PROGRAMS OF EDUCATION PURSUED ON ACTIVE DUTY.—
(1) IN GENERAL.—Educational assistance is payable under
this chapter for pursuit of an approved program of education
while on active duty.
(2) AMOUNT OF ASSISTANCE.—The amount of educational
assistance payable under this chapter to an individual pur-
suing a program of education while on active duty is the lesser
of—
(A) the established charges which similarly
circumstanced nonveterans enrolled in the program of edu-
cation involved would be required to pay; or
(B) the amount of the charges of the educational insti-
tution as elected by the individual in the manner specified
in section 3014(b)(1) 1
(3) QUARTER, SEMESTER, OR TERM PAYMENTS.—Payment of
the amount payable under paragraph (2) for pursuit of a pro-
gram of education shall be made for the entire quarter, semes-
ter, or term, as applicable, of the program of education.
(4) MONTHLY PAYMENTS.—For each month (as determined
pursuant to the methods prescribed under subsection (d)(3)) for
which amounts are paid an individual under this subsection,
the entitlement of the individual to educational assistance
under this chapter shall be charged at the rate of one month
for each such month.
(f) PROGRAMS OF EDUCATION PURSUED ON HALF-TIME BASIS OR
LESS.—
(1) IN GENERAL.—Educational assistance is payable under
this chapter for pursuit of an approved program of education
on half-time basis or less.
(2) AMOUNT OF ASSISTANCE.—The educational assistance
payable under this chapter to an individual pursuing a pro-
gram of education on half-time basis or less is the amounts as
follows:
(A) The amount equal to the lesser of—
(i) the established charges which similarly
circumstanced nonveterans enrolled in the program of
education involved would be required to pay; or
(ii) the maximum amount that would be payable
to the individual for the program of education under
1 So in original. Should be followed by a period.
paragraph (1)(A) of subsection (c), or under the provi-

sions of paragraphs (2) through (7) of subsection (c)
applicable to the individual, for the program of edu-
cation if the individual were entitled to amounts for
the program of education under subsection (c) rather
than this subsection.
(B) A stipend in an amount equal to the amount of the
appropriately reduced amount of the lump sum amount for
books, supplies, equipment, and other educational costs
otherwise payable to the individual under subsection (c).
(3) QUARTER, TERM, OR SEMESTER PAYMENTS.—Payment of
the amounts payable to an individual under paragraph (2) for
pursuit of a program of education on half-time basis or less
shall be made for the entire quarter, semester, or term, as ap-
plicable, of the program of education.
(4) MONTHLY PAYMENTS.—For each month (as determined
pursuant to the methods prescribed under subsection (d)(3)) for
which amounts are paid an individual under this subsection,
the entitlement of the individual to educational assistance
under this chapter shall be charged at a percentage of a month
equal to—
(A) the number of course hours borne by the indi-
vidual in pursuit of the program of education involved, di-
vided by
(B) the number of course hours for full-time pursuit of
such program of education.
(g) PAYMENT OF ESTABLISHED CHARGES TO EDUCATIONAL INSTI-
TUTIONS.—Amounts payable under subsections (c)(1)(A) (and of
similar amounts payable under paragraphs (2) through (7) of sub-
section (c)), (e)(2), and (f)(2)(A) shall be paid directly to the edu-
cational institution concerned.
(h) ESTABLISHED CHARGES DEFINED.—
(1) IN GENERAL.—In this section, the term ‘‘established
charges’’, in the case of a program of education, means the ac-
tual charges (as determined pursuant to regulations prescribed
by the Secretary) for tuition and fees which similarly
circumstanced nonveterans enrolled in the program of edu-
cation would be required to pay.
(2) BASIS OF DETERMINATION.—Established charges shall
be determined for purposes of this subsection on the following
basis:
(A) In the case of an individual enrolled in a program
of education offered on a term, quarter, or semester basis,
the tuition and fees charged the individual for the term,
quarter, or semester.
(B) In the case of an individual enrolled in a program
of education not offered on a term, quarter, or semester
basis, the tuition and fees charged the individual for the
entire program of education.

(a) IN GENERAL.—Subject to subsection (b), an individual enti-
tled to educational assistance under this chapter shall also be enti-
tled to benefits provided an eligible veteran under section 3492.
(b) CONDITIONS.—
(1) IN GENERAL.—The provision of benefits under sub-
section (a) shall be subject to the conditions applicable to an
eligible veteran under section 3492.
(2) CERTIFICATION.—In addition to the conditions specified
in paragraph (1), benefits may not be provided to an individual
under subsection (a) unless the professor or other individual
teaching, leading, or giving the course for which such benefits
are provided certifies that—
(A) such benefits are essential to correct a deficiency
of the individual in such course; and
(B) such course is required as a part of, or is pre-
requisite or indispensable to the satisfactory pursuit of, an
approved program of education.
(c) AMOUNT.—
(1) IN GENERAL.—The amount of benefits described in sub-
section (a) that are payable under this section may not exceed
$100 per month, for a maximum of 12 months, or until a max-
imum of $1,200 is utilized.
(2) AS ADDITIONAL ASSISTANCE.—The amount provided an
individual under this subsection is in addition to the amounts
of educational assistance paid the individual under section
3313.
(d) NO CHARGE AGAINST ENTITLEMENT.—Any benefits provided
an individual under subsection (a) are in addition to any other edu-
cational assistance benefits provided the individual under this
chapter.
§ 3315. Licensure and certification tests

(a) IN GENERAL.—An individual entitled to educational assist-
ance under this chapter shall also be entitled to payment for one
licensing or certification test described in section 3452(b).
(b) LIMITATION ON AMOUNT.—The amount payable under sub-
section (a) for a licensing or certification test may not exceed the
lesser of—
(1) $2,000; or
(2) the fee charged for the test.
(c) NO CHARGE AGAINST ENTITLEMENT.—Any amount paid an
individual under subsection (a) is in addition to any other edu-
cational assistance benefits provided the individual under this
chapter.
§ 3316. Supplemental educational assistance: members with

critical skills or specialty; members serving addi-
tional service
(a) INCREASED ASSISTANCE FOR MEMBERS WITH CRITICAL
SKILLS OR SPECIALTY.—
(1) IN GENERAL.—In the case of an individual who has a

skill or specialty designated by the Secretary concerned as a
skill or specialty in which there is a critical shortage of per-
sonnel or for which it is difficult to recruit or, in the case of
critical units, retain personnel, the Secretary concerned may
increase the monthly amount of educational assistance other-
wise payable to the individual under paragraph (1)(B) of sec-
tion 3313(c), or under paragraphs (2) through (7) of such sec-
tion (as applicable).
(2) MAXIMUM AMOUNT OF INCREASE IN ASSISTANCE.—The
amount of the increase in educational assistance authorized by
paragraph (1) may not exceed the amount equal to the monthly
amount of increased basic educational assistance providable
under section 3015(d)(1) at the time of the increase under
paragraph (1).
(b) SUPPLEMENTAL ASSISTANCE FOR ADDITIONAL SERVICE.—
(1) IN GENERAL.—The Secretary concerned may provide for
the payment to an individual entitled to educational assistance
under this chapter of supplemental educational assistance for
additional service authorized by subchapter III of chapter 30.
The amount so payable shall be payable as an increase in the
monthly amount of educational assistance otherwise payable to
the individual under paragraph (1)(B) of section 3313(c), or
under paragraphs (2) through (7) of such section (as applica-
ble).
(2) ELIGIBILITY.—Eligibility for supplement educational as-
sistance under this subsection shall be determined in accord-
ance with the provisions of subchapter III of chapter 30, except
that any reference in such provisions to eligibility for basic
educational assistance under a provision of subchapter II of
chapter 30 shall be treated as a reference to eligibility for edu-
cational assistance under the appropriate provision of this
chapter.
(3) AMOUNT.—The amount of supplemental educational as-
sistance payable under this subsection shall be the amount
equal to the monthly amount of supplemental educational pay-
able under section 3022.
(c) REGULATIONS.—The Secretaries concerned shall administer
this section in accordance with such regulations as the Secretary
of Defense shall prescribe.
§ 3317. Public-private contributions for additional edu-

cational assistance
(a) ESTABLISHMENT OF PROGRAM.—In instances where the edu-
cational assistance provided pursuant to section 3313(c)(1)(A) does
not cover the full cost of established charges (as specified in section
3313), the Secretary shall carry out a program under which col-
leges and universities can, voluntarily, enter into an agreement
with the Secretary to cover a portion of those established charges
not otherwise covered under section 3313(c)(1)(A), which contribu-
tions shall be matched by equivalent contributions toward such
costs by the Secretary. The program shall only apply to covered in-
dividuals described in paragraphs (1) and (2) of section 3311(b).
(b) DESIGNATION OF PROGRAM.—The program under this sec-

tion shall be known as the ‘‘Yellow Ribbon G.I. Education Enhance-
ment Program’’.
(c) AGREEMENTS.—The Secretary shall enter into an agreement
with each college or university seeking to participate in the pro-
gram under this section. Each agreement shall specify the fol-
lowing:
(1) The manner (whether by direct grant, scholarship, or
otherwise) of the contributions to be made by the college or
university concerned.
(2) The maximum amount of the contribution to be made
by the college or university concerned with respect to any par-
ticular individual in any given academic year.
(3) The maximum number of individuals for whom the col-
lege or university concerned will make contributions in any
given academic year.
(4) Such other matters as the Secretary and the college or
university concerned jointly consider appropriate.
(d) MATCHING CONTRIBUTIONS.—
(1) IN GENERAL.—In instances where the educational as-
sistance provided an individual under section 3313(c)(1)(A)
does not cover the full cost of tuition and mandatory fees at a
college or university, the Secretary shall provide up to 50 per-
cent of the remaining costs for tuition and mandatory fees if
the college or university voluntarily enters into an agreement
with the Secretary to match an equal percentage of any of the
remaining costs for such tuition and fees.
(2) USE OF APPROPRIATED FUNDS.—Amounts available to
the Secretary under section 3324(b) for payment of the costs of
this chapter shall be available to the Secretary for purposes of
paragraph (1).
(e) OUTREACH.—The Secretary shall make available on the
Internet website of the Department available to the public a cur-
rent list of the colleges and universities participating in the pro-
gram under this section. The list shall specify, for each college or
university so listed, appropriate information on the agreement be-
tween the Secretary and such college or university under sub-
section (c).
§ 3318. Additional assistance: relocation or travel assistance
for individual relocating or traveling significant
distance for pursuit of a program of education
(a) ADDITIONAL ASSISTANCE.—Each individual described in
subsection (b) shall be paid additional assistance under this section
in the amount of $500.
(b) COVERED INDIVIDUALS.—An individual described in this
subsection is any individual entitled to educational assistance
(1) who resides in a county (or similar entity utilized by
the Bureau of the Census) with less than seven persons per
square mile, according to the most recent decennial Census;
and
(2) who—
(A) physically relocates a distance of at least 500 miles

in order to pursue a program of education for which the in-
dividual utilizes educational assistance under this chapter;
or
(B) travels by air to physically attend an institution of
higher education for pursuit of such a program of edu-
cation because the individual cannot travel to such institu-
tion by automobile or other established form of transpor-
tation due to an absence of road or other infrastructure.
(c) PROOF OF RESIDENCE.—For purposes of subsection (b)(1), an
individual may demonstrate the individual’s place of residence uti-
lizing any of the following:
(1) DD Form 214, Certification of Release or Discharge
from Active Duty.
(2) The most recent Federal income tax return.
(3) Such other evidence as the Secretary shall prescribe for
(d) SINGLE PAYMENT OF ASSISTANCE.—An individual is entitled
to only one payment of additional assistance under this section.
(e) NO CHARGE AGAINST ENTITLEMENT.—Any amount paid an
individual under this section is in addition to any other educational
assistance benefits provided the individual under this chapter.
§ 3319. Authority to transfer unused education benefits to
family members
(a) IN GENERAL.—Subject to the provisions of this section, the
Secretary of Defense may authorize the Secretary concerned, to
promote recruitment and retention of members of the Armed
Forces, to permit an individual described in subsection (b) who is
entitled to educational assistance under this chapter to elect to
transfer to one or more of the dependents specified in subsection
(c) a portion of such individual’s entitlement to such assistance,
subject to the limitation under subsection (d).
(b) ELIGIBLE INDIVIDUALS.—An individual referred to in sub-
section (a) is any member of the Armed Forces who, at the time
of the approval of the individual’s request to transfer entitlement
to educational assistance under this section, has completed at
least—
(1) six years of service in the armed forces and enters into
an agreement to serve at least four more years as a member
of the Armed Forces; or
(2) the years of service as determined in regulations pursu-
ant to section (k).
(c) ELIGIBLE DEPENDENTS.—An individual approved to transfer
an entitlement to educational assistance under this section may
transfer the individual’s entitlement as follows:
(1) To the individual’s spouse.
(2) To one or more of the individual’s children.
(3) To a combination of the individuals referred to in para-
graphs (1) and (2).
(d) LIMITATION ON MONTHS OF TRANSFER.—The total number
of months of entitlement transferred by a individual under this sec-
tion may not exceed 36 months. The Secretary of Defense may pre-
scribe regulations that would limit the months of entitlement that

may be transferred under this section to no less than 18 months.
(e) DESIGNATION OF TRANSFEREE.—An individual transferring
an entitlement to educational assistance under this section shall—
(1) designate the dependent or dependents to whom such
entitlement is being transferred;
(2) designate the number of months of such entitlement to
be transferred to each such dependent; and
(3) specify the period for which the transfer shall be effec-
tive for each dependent designated under paragraph (1).
(f) TIME FOR TRANSFER; REVOCATION AND MODIFICATION.—
(1) TIME FOR TRANSFER.—Subject to the time limitation for
use of entitlement under section 3321 an individual approved
to transfer entitlement to educational assistance under this
section may transfer such entitlement only while serving as a
member of the armed forces when the transfer is executed.
(2) MODIFICATION OR REVOCATION.—
(A) IN GENERAL.—An individual transferring entitle-
ment under this section may modify or revoke at any time
the transfer of any unused portion of the entitlement so
transferred.
(B) NOTICE.—The modification or revocation of the
transfer of entitlement under this paragraph shall be
made by the submittal of written notice of the action to
both the Secretary concerned and the Secretary of Vet-
erans Affairs.
(3) PROHIBITION ON TREATMENT OF TRANSFERRED ENTITLE-
MENT AS MARITAL PROPERTY.—Entitlement transferred under
this section may not be treated as marital property, or the
asset of a marital estate, subject to division in a divorce or
other civil proceeding.
(g) COMMENCEMENT OF USE.—A dependent to whom entitle-
ment to educational assistance is transferred under this section
may not commence the use of the transferred entitlement until—
(1) in the case of entitlement transferred to a spouse, the
completion by the individual making the transfer of at least—
(A) six years of service in the armed forces; or
(B) the years of service as determined in regulations
pursuant to subsection (j); or
(2) in the case of entitlement transferred to a child, both—
(A) the completion by the individual making the trans-
fer of at least—
(i) ten years of service in the armed forces; or
(ii) the years of service as determined in regula-
tions pursuant to subsection (j); and
(B) either—
(i) the completion by the child of the requirements
of a secondary school diploma (or equivalency certifi-
cate); or
(ii) the attainment by the child of 18 years of age.
(h) ADDITIONAL ADMINISTRATIVE MATTERS.—
(1) USE.—The use of any entitlement to educational assist-
ance transferred under this section shall be charged against
the entitlement of the individual making the transfer at the
rate of one month for each month of transferred entitlement

that is used.
(2) NATURE OF TRANSFERRED ENTITLEMENT.—Except as
provided under subsection (e)(2) and subject to paragraphs (5)
and (6)—
(A) in the case of entitlement transferred to a spouse
under this section, the spouse is entitled to educational as-
sistance under this chapter in the same manner as the in-
dividual from whom the entitlement was transferred; or
(B) in the case of entitlement transferred to a child
under this section, the child is entitled to educational as-
sistance under this chapter in the same manner as the in-
dividual from whom the entitlement was transferred as if
the individual were not on active duty.
(3) RATE OF PAYMENT.—The monthly rate of educational
assistance payable to a dependent to whom entitlement re-
ferred to in paragraph (2) is transferred under this section
shall be payable—
(A) in the case of a spouse, at the same rate as such
entitlement would otherwise be payable under this chapter
to the individual making the transfer; or
(B) in the case of a child, at the same rate as such en-
titlement would otherwise be payable under this chapter to
the individual making the transfer as if the individual
were not on active duty.
(4) DEATH OF TRANSFEROR.—The death of an individual
transferring an entitlement under this section shall not affect
the use of the entitlement by the dependent to whom the enti-
tlement is transferred.
(5) LIMITATION ON AGE OF USE BY CHILD TRANSFEREES.—A
child to whom entitlement is transferred under this section
may use the benefit without regard to the 15-year delimiting
date, but may not use any entitlement so transferred after at-
taining the age of 26 years.
(6) SCOPE OF USE BY TRANSFEREES.—The purposes for
which a dependent to whom entitlement is transferred under
this section may use such entitlement shall include the pursuit
and completion of the requirements of a secondary school di-
ploma (or equivalency certificate).
(7) ADDITIONAL ADMINISTRATIVE PROVISIONS.—The admin-
istrative provisions of this chapter shall apply to the use of en-
titlement transferred under this section, except that the de-
pendent to whom the entitlement is transferred shall be treat-
ed as the eligible individual for purposes of such provisions.
(i) OVERPAYMENT.—
(1) JOINT AND SEVERAL LIABILITY.—In the event of an over-
payment of educational assistance with respect to a dependent
to whom entitlement is transferred under this section, the de-
pendent and the individual making the transfer shall be jointly
and severally liable to the United States for the amount of the
overpayment for purposes of section 3685.
(2) FAILURE TO COMPLETE SERVICE AGREEMENT.—
(A) IN GENERAL.—Except as provided in subparagraph
(B), if an individual transferring entitlement under this
section fails to complete the service agreed to by the indi-

vidual under subsection (b)(1) in accordance with the
terms of the agreement of the individual under that sub-
section, the amount of any transferred entitlement under
this section that is used by a dependent of the individual
as of the date of such failure shall be treated as an over-
payment of educational assistance under paragraph (1).
(B) EXCEPTION.—Subparagraph (A) shall not apply in
the case of an individual who fails to complete service
agreed to by the individual—
(i) by reason of the death of the individual; or
(ii) for a reason referred to in section 3311(c)(4).
(j) REGULATIONS.—(1) The Secretary of Defense, in coordination
with the Secretary of Veterans Affairs, shall prescribe regulations
for purposes of this section.
(2) Such regulations shall specify—
(A) the manner of authorizing the transfer of entitlements
under this section;
(B) the eligibility criteria in accordance with subsection (b);
and
(C) the manner and effect of an election to modify or re-
voke a transfer of entitlement under subsection (f)(2).
(k) SECRETARY CONCERNED DEFINED.—Notwithstanding section
101(25), in this section, the term ‘‘Secretary concerned’’ means—
(1) the Secretary of the Army with respect to matters con-
cerning the Army;
(2) the Secretary of the Navy with respect to matters con-
(3) the Secretary of the Air Force with respect to matters
concerning the Air Force; and
(4) the Secretary of Defense with respect to matters con-
cerning the Coast Guard, or the Secretary of Homeland Secu-
rity when it is not operating as a service in the Navy.

§ 3321. Time limitation for use of and eligibility for entitle-
ment
(a) IN GENERAL.—Except as provided in this section, the period
during which an individual entitled to educational assistance under
this chapter may use such individual’s entitlement expires at the
end of the 15-year period beginning on the date of such individual’s
last discharge or release from active duty.
(b) EXCEPTIONS.—
(1) APPLICABILITY OF SECTION 3031 TO RUNNING OF PE-
RIOD.—Subsections (b), (c), and (d) of section 3031 shall apply
with respect to the running of the 15-year period described in
subsection (a) of this section in the same manner as such sub-
sections apply under section 3031 with respect to the running
of the 10-year period described in section 3031(a).
(2) APPLICABILITY OF SECTION 3031 TO TERMINATION.—Sec-
tion 3031(f) shall apply with respect to the termination of an
individual’s entitlement to educational assistance under this
chapter in the same manner as such section applies to the ter-

mination of an individual’s entitlement to educational assist-
ance under chapter 30, except that, in the administration of
such section for purposes of this chapter, the reference to sec-
tion 3013 shall be deemed to be a reference to 3312.
(3) DETERMINATION OF LAST DISCHARGE OR RELEASE.—For
purposes of subsection (a), an individual’s last discharge or re-
lease from active duty shall not include any discharge or re-
lease from a period of active duty of less than 90 days of con-
tinuous service, unless the individual is discharged or released
as described in section 3311(b)(2).
§ 3322. Bar to duplication of educational assistance benefits

(a) IN GENERAL.—An individual entitled to educational assist-
ance under this chapter who is also eligible for educational assist-
ance under chapter 30, 31, 32, or 35 of this title, chapter 107, 1606,
or 1607 of title 10, or the provisions of the Hostage Relief Act of
1980 (Public Law 96–449; 5 U.S.C. 5561 note) may not receive as-
sistance under two or more such programs concurrently, but shall
elect (in such form and manner as the Secretary may prescribe)
under which chapter or provisions to receive educational assist-
ance.
(b) INAPPLICABILITY OF SERVICE TREATED UNDER EDUCATIONAL
LOAN REPAYMENT PROGRAMS.—A period of service counted for pur-
poses of repayment of an education loan under chapter 109 of title
10 may not be counted as a period of service for entitlement to edu-
(c) SERVICE IN SELECTED RESERVE.—An individual who serves
in the Selected Reserve may receive credit for such service under
only one of this chapter, chapter 30 of this title, and chapters 1606
and 1607 of title 10, and shall elect (in such form and manner as
the Secretary may prescribe) under which chapter such service is
to be credited.
(d) ADDITIONAL COORDINATION MATTERS.—In the case of an in-
dividual entitled to educational assistance under chapter 30, 31,
32, or 35 of this title, chapter 107, 1606, or 1607 of title 10, or the
provisions of the Hostage Relief Act of 1980, or making contribu-
tions toward entitlement to educational assistance under chapter
30 of this title, as of August 1, 2009, coordination of entitlement
to educational assistance under this chapter, on the one hand, and
such chapters or provisions, on the other, shall be governed by the
provisions of section 5003(c) of the Post-9/11 Veterans Educational
Assistance Act of 2008.
(a) IN GENERAL.—
(1) IN GENERAL.—Except as otherwise provided in this
chapter, the provisions specified in section 3034(a)(1) shall
apply to the provision of educational assistance under this
chapter.
(2) SPECIAL RULE.—In applying the provisions referred to

in paragraph (1) to an individual entitled to educational assist-
ance under this chapter for purposes of this section, the ref-
erence in such provisions to the term ‘‘eligible veteran’’ shall be
deemed to refer to an individual entitled to educational assist-
(3) RULE FOR APPLYING SECTION 3474.—In applying section
3474 to an individual entitled to educational assistance under
this chapter for purposes of this section, the reference in such
section 3474 to the term ‘‘educational assistance allowance’’
shall be deemed to refer to educational assistance payable
under section 3313.
(4) RULE FOR APPLYING SECTION 3482.—In applying section
3482(g) to an individual entitled to educational assistance
under this chapter for purposes of this section—
(A) the first reference to the term ‘‘educational assist-
ance allowance’’ in such section 3482(g) shall be deemed to
refer to educational assistance payable under section 3313;
and
(B) the first sentence of paragraph (1) of such section
3482(g) shall be applied as if such sentence ended with
‘‘equipment’’.
(b) INFORMATION ON BENEFITS.—
(1) TIMING FOR PROVIDING.—The Secretary shall provide
the information described in paragraph (2) to each member of
the Armed Forces at such times as the Secretary and the Sec-
retary of Defense shall jointly prescribe in regulations.
(2) DESCRIPTION OF INFORMATION.—The information de-
scribed in this paragraph is information on benefits, limita-
tions, procedures, eligibility requirements (including time-in-
service requirements), and other important aspects of edu-
cational assistance under this chapter, including application
forms for such assistance under section 5102.
(3) TO WHOM PROVIDED.—The Secretary of Veterans Affairs
shall furnish the information and forms described in paragraph
(2), and other educational materials on educational assistance
under this chapter, to educational institutions, training estab-
lishments, military education personnel, and such other per-
sons and entities as the Secretary considers appropriate.
(c) REGULATIONS.—
(1) IN GENERAL.—The Secretary shall prescribe regulations
for the administration of this chapter.
(2) UNIFORMITY.—Any regulations prescribed by the Sec-
retary of Defense for purposes of this chapter shall apply uni-
formly across the Armed Forces.
§ 3324. Allocation of administration and costs

(a) ADMINISTRATION.—Except as otherwise provided in this
chapter, the Secretary shall administer the provision of educational
(b) COSTS.—Payments for entitlement to educational assistance
earned under this chapter shall be made from funds appropriated
to, or otherwise made available to, the Department for the payment
of readjustment benefits.
489
CHAPTER 34—VETERANS’ EDUCATIONAL ASSISTANCE
SUBCHAPTER I—PURPOSE—DEFINITIONS
Sec.
3451. Purpose.
3452. Definitions.
3461. Eligibility; entitlement; duration.
3462. Time limitations for completing a program of education.
3470. Selection of program.
3471. Applications; approval.
[3473. Repealed.]
3474. Discontinuance for unsatisfactory conduct or progress.
3476. Education outside the United States.
SUBCHAPTER IV—PAYMENTS TO ELIGIBLE VETERANS; VETERAN-
STUDENT SERVICES
3482. Computation of educational assistance allowances.
SUBCHAPTER V—SPECIAL ASSISTANCE FOR THE EDUCATIONALLY
DISADVANTAGED
3490. Purpose.
3491. Elementary and secondary education and preparatory educational assist-
ance.
3493. Effect on educational entitlement.
SUBCHAPTER I—PURPOSE
§ 3451. Purpose
The Congress of the United States hereby declares that the
education program created by this chapter is for the purpose of (1)
enhancing and making more attractive service in the Armed Forces
of the United States, (2) extending the benefits of a higher edu-
cation to qualified and deserving young persons who might not oth-
erwise be able to afford such an education, (3) providing vocational
readjustment and restoring lost educational opportunities to those
service men and women whose careers have been interrupted or
impeded by reason of active duty after January 31, 1955, and (4)
aiding such persons in attaining the vocational and educational
status which they might normally have aspired to and obtained
had they not served their country.
491
Sec. 3452 CH. 34—VETERANS’ EDUCATIONAL ASSISTANCE 492
(Added Pub. L. 89–358, Sec. 2, Mar. 3, 1966, 80 Stat. 12, Sec. 1651; renumbered
For the purposes of this chapter and chapter 36 of this title—
(a)(1) The term ‘‘eligible veteran’’ means any veteran who—
(A) served on active duty for a period of more than 180
days, any part of which occurred after January 31, 1955, and
before January 1, 1977, and was discharged or released there-
from under conditions other than dishonorable;
(B) contracted with the Armed Forces and was enlisted in
or assigned to a reserve component prior to January 1, 1977,
and as a result of such enlistment or assignment served on ac-
tive duty for a period of more than 180 days, any part of which
commenced within 12 months after January 1, 1977, and was
discharged or released from such active duty under conditions
other than dishonorable; or
(C) was discharged or released from active duty, any part
of which was performed after January 31, 1955, and before
January 1, 1977, or following entrance into active service from
an enlistment provided for under subparagraph (B), because of
a service-connected disability.
(2) The requirement of discharge or release, prescribed in sub-
paragraph (A) or (B) of paragraph (1), shall be waived in the case
of any individual who served more than 180 days in an active-duty
status for so long as such individual continues on active duty with-
out a break therein.
(3) For purposes of paragraph (1)(A) and section 3461(a), the
term ‘‘active duty’’ does not include any period during which an in-
dividual (A) was assigned full time by the Armed Forces to a civil-
ian institution for a course of education which was substantially
the same as established courses offered to civilians, (B) served as
a cadet or midshipman at one of the service academies, or (C)
served under the provisions of section 12103(d) of title 10 pursuant
to an enlistment in the Army National Guard or the Air National
Guard or as a Reserve for service in the Army Reserve, Navy Re-
serve, Air Force Reserve, Marine Corps Reserve, or Coast Guard
Reserve unless at some time subsequent to the completion of such
period of active duty for training such individual served on active
duty for a consecutive period of one year or more (not including any
service as a cadet or midshipman at one of the service academies).
(b) The term ‘‘program of education’’ means any curriculum or
any combination of unit courses or subjects pursued at an edu-
cational institution which is generally accepted as necessary to ful-
fill requirements for the attainment of a predetermined and identi-
fied educational, professional, or vocational objective. Such term
also means any curriculum of unit courses or subjects pursued at
an educational institution which fulfill requirements for the attain-
ment of more than one predetermined and identified educational,
professional, or vocational objective if all the objectives pursued are
generally recognized as being reasonably related to a single career
field. Such term also means any unit course or subject, or combina-
tion of courses or subjects, pursued by an eligible veteran at an
educational institution, required by the Administrator of the Small
493 CH. 34—VETERANS’ EDUCATIONAL ASSISTANCE Sec. 3452
Business Administration as a condition to obtaining financial as-

sistance under the provisions of section 7(i)(1) of the Small Busi-
ness Act (15 U.S.C. 636(i)(1)). Such term also includes licensing or
certification tests, the successful completion of which demonstrates
an individual’s possession of the knowledge or skill required to
enter into, maintain, or advance in employment in a predetermined
and identified vocation or profession, provided such tests and the
licensing or credentialing organizations or entities that offer such
tests are approved by the Secretary in accordance with section
3689 of this title. Such term also includes any course, or combina-
tion of courses, offered by a qualified provider of entrepreneurship
courses. Such term also includes national tests for admission to in-
stitutions of higher learning or graduate schools (such as the Scho-
lastic Aptitude Test (SAT), Law School Admission Test (LSAT),
Graduate Record Exam (GRE), and Graduate Management Admis-
sion Test (GMAT)) and national tests providing an opportunity for
course credit at institutions of higher learning (such as the Ad-
vanced Placement (AP) exam and College-Level Examination Pro-
gram (CLEP)).
(c) The term ‘‘educational institution’’ means any public or pri-
vate elementary school, secondary school, vocational school, cor-
respondence school, business school, junior college, teachers’ col-
lege, college, normal school, professional school, university, or sci-
entific or technical institution, or other institution furnishing edu-
cation for adults. Such term includes any entity that provides
training required for completion of any State-approved alternative
teacher certification program (as determined by the Secretary).
Such term also includes any private entity (that meets such re-
quirements as the Secretary may establish) that offers, either di-
rectly or under an agreement with another entity (that meets such
requirements), a course or courses to fulfill requirements for the at-
tainment of a license or certificate generally recognized as nec-
essary to obtain, maintain, or advance in employment in a profes-
sion or vocation in a high technology occupation (as determined by
the Secretary). Such term also includes any qualified provider of
entrepreneurship courses.
(d) The term ‘‘dependent’’ means—
(1) a child of an eligible veteran;
(2) a dependent parent of an eligible veteran; and
(3) the spouse of an eligible veteran.
(e) The term ‘‘training establishment’’ means any of the fol-
lowing:
(1) An establishment providing apprentice or other on-job
training, including those under the supervision of a college or
university or any State department of education.
(2) An establishment providing self-employment on-job
training consisting of full-time training for a period of less
than six months that is needed or accepted for purposes of ob-
taining licensure to engage in a self-employment occupation or
required for ownership and operation of a franchise that is the
objective of the training.
(3) A State board of vocational education.
(4) A Federal or State apprenticeship registration agency.
(5) The sponsor of a program of apprenticeship.
(6) An agency of the Federal Government authorized to su-

pervise such training.
(f) The term ‘‘institution of higher learning’’ means a college,
university, or similar institution, including a technical or business
school, offering postsecondary level academic instruction that leads
to an associate or higher degree if the school is empowered by the
appropriate State education authority under State law to grant an
associate or higher degree. When there is no State law to authorize
the granting of a degree, the school may be recognized as an insti-
tution of higher learning if it is accredited for degree programs by
a recognized accrediting agency. Such term shall also include a hos-
pital offering educational programs at the postsecondary level with-
out regard to whether the hospital grants a postsecondary degree.
Such term shall also include an educational institution which is not
located in a State, which offers a course leading to a standard col-
lege degree, or the equivalent, and which is recognized as such by
the secretary of education (or comparable official) of the country or
other jurisdiction in which the institution is located.
(g) The term ‘‘standard college degree’’ means an associate or
higher degree awarded by (1) an institution of higher learning that
is accredited as a collegiate institution by a recognized regional or
national accrediting agency; or (2) an institution of higher learning
that is a ‘‘candidate’’ for accreditation as that term is used by the
regional or national accrediting agencies; or (3) an institution of
higher learning upon completion of a course which is accredited by
an agency recognized to accredit specialized degree-level programs.
For the purpose of this section, the accrediting agency must be one
recognized by the Secretary of Education under the provisions of
(h) The term ‘‘qualified provider of entrepreneurship courses’’
means any of the following entities insofar as such entity offers,
sponsors, or cosponsors an entrepreneurship course (as defined in
section 3675(c)(2) of this title):
(1) Any small business development center described in
section 21 of the Small Business Act (15 U.S.C. 648).
(2) The National Veterans Business Development Corpora-
tion (established under section 33 of the Small Business Act
(15 U.S.C. 657c)).
(Added Pub. L. 89–358, Sec. 2, Mar. 3, 1966, 80 Stat. 13, Sec. 1652; amended Pub.
L. 90–77, title III, Sec. 304(c), Aug. 31, 1967, 81 Stat. 186; Pub. L. 91–219, title II,
Sec. 201, Mar. 26, 1970, 84 Stat. 78; Pub. L. 91–584, Sec. 10, Dec. 24, 1970, 84 Stat.
1577; Pub. L. 93–508, title II, Sec. 201, Dec. 3, 1974, 88 Stat. 1581; Pub. L. 94–
502, title II, Sec. 202, 210(1), 211(1), title IV, Sec. 402, Oct. 15, 1976, 90 Stat. 2385,
2388, 2392; Pub. L. 96–466, title III, Sec. 307(a), title VIII, Sec. 801(a), Oct. 17,
1980, 94 Stat. 2193, 2216; Pub. L. 97–295, Sec. 4(38), Oct. 12, 1982, 96 Stat. 1307;
105 Stat. 406; Pub. L. 103–446, title VI, Sec. 603(a), Nov. 2, 1994, 108 Stat. 4671;
Pub. L. 104–275, title I, Sec. 102, Oct. 9, 1996, 110 Stat. 3326; Pub. L. 106–419,
title I, Sec. 122(a), Nov. 1, 2000, 114 Stat. 1833; Pub. L. 107–14, Sec. 8(a)(4), June
5, 2001, 115 Stat. 34; Pub. L. 107–103, title I, Sec. 110(a), Dec. 27, 2001, 115 Stat.
986; Pub. L. 108–183, title III, Secs. 301(a), 305(c)–(e), Dec. 16, 2003, 117 Stat. 2658,
2660; Pub. L. 108–454, title I, Secs. 106(a), 110(a), Dec. 10, 2004, 118 Stat. 3602,
3605; Pub. L. 109–163, div. A, title V, Sec. 515(e)(4), Jan. 6, 2006, 119 Stat. 3236.)

§ 3461. Eligibility; entitlement; duration
(a) ENTITLEMENT.—Except as provided in subsection (c) and in
the second sentence of this subsection, each eligible veteran shall
be entitled to educational assistance under this chapter or chapter
36 for a period of one and one-half months (or the equivalent there-
of in part-time educational assistance) for each month or fraction
thereof of the veteran’s service on active duty after January 31,
1955. If an eligible veteran has served a period of 18 months or
more on active duty after January 31, 1955, and has been released
from such service under conditions that would satisfy the veteran’s
active duty obligation, the veteran shall be entitled to educational
assistance under this chapter for a period of 45 months (or the
equivalent thereof in part-time educational assistance). In the case
of any person serving on active duty on December 31, 1976, or a
person whose eligibility is based on section 3452(a)(1)(B) of this
chapter, the ending date for computing such person’s entitlement
shall be the date of such person’s first discharge or release from ac-
tive duty after December 31, 1976.
(b) ENTITLEMENT LIMITATIONS.—Whenever the period of enti-
tlement under this section of an eligible veteran who is enrolled in
an educational institution regularly operated on the quarter or se-
mester system ends during a quarter or semester, such period shall
be extended to the termination of such unexpired quarter or semes-
ter. In educational institutions not operated on the quarter or se-
mester system, whenever the period of eligibility ends after a major
portion of the course is completed such period shall be extended to
the end of the course or for twelve weeks, whichever is the lesser
period.
(c) DURATION OF ENTITLEMENT.—Except as provided in sub-
section (b) and in subchapter V of this chapter, no eligible veteran
shall receive educational assistance under this chapter in excess of
45 months.
L. 90–77, title III, Sec. 306(b)(2), Aug. 31, 1967, 81 Stat. 188; Pub. L. 90–631, Sec.
1(b), Oct. 23, 1968, 82 Stat. 1331; Pub. L. 91–219, title II, Sec. 204(a)(1), Mar. 26,
1970, 84 Stat. 79; Pub. L. 92–540, title IV, Sec. 401(1), Oct. 24, 1972, 86 Stat. 1089;
Pub. L. 93–508, title II, Sec. 202, Dec. 3, 1974, 88 Stat. 1581; Pub. L. 94–502, title
II, Sec. 203, 211(2), title IV, Sec. 403(a), Oct. 15, 1976, 90 Stat. 2386, 2388, 2393;
Pub. L. 96–466, title VI, Sec. 601(b), Oct. 17, 1980, 94 Stat. 2208; renumbered Sec.
L. 109–233, title V, Sec. 503(8)(A), (B), June 15, 2006, 120 Stat. 416.)
§ 3462. Time limitations for completing a program of edu-

cation
(a) DELIMITING PERIOD FOR COMPLETION.—(1) Subject to para-
graph (4) of this subsection, no educational assistance shall be af-
forded an eligible veteran under this chapter beyond the date 10
years after the veteran’s last discharge or release from active duty
after January 31, 1955; except that, in the case of any eligible vet-
eran who was prevented from initiating or completing such vet-
eran’s chosen program of education within such time period be-
cause of a physical or mental disability which was not the result
of such veteran’s own willful misconduct, such veteran shall, upon
application made within one year after (A) the last date of the de-
limiting period otherwise applicable under this section, (B) the ter-
mination of the period of such mental or physical disability, or (C)
October 1, 1980, whichever is the latest, be granted an extension
of the applicable delimiting period for such length of time as the
Secretary determines, from the evidence, that such veteran was so
prevented from initiating or completing such program of education.
When an extension of the applicable delimiting period is granted
a veteran under the preceding sentence, the delimiting period with
respect to such veteran will again begin running on the first day
following such veteran’s recovery from such disability on which it
is reasonably feasible, as determined in accordance with regula-
tions which the Secretary shall prescribe, for such veteran to ini-
tiate or resume pursuit of a program of education with educational
ø(2) Repealed. Pub. L. 108–183, title III, Sec. 306(d), Dec. 16,
2003, 117 Stat. 2661.¿
ø(3) Repealed. Pub. L. 107–14, Sec. 8(a)(5), June 5, 2001, 115
Stat. 34.¿
(4) For purposes of paragraph (1) of this subsection, a veteran’s
last discharge or release from active duty shall not include any dis-
charge or release from a period of active duty of less than 90 days
of continuous service unless the individual involved is discharged
or released for a service-connected disability, for a medical condi-
tion which preexisted such service and which the Secretary deter-
mines is not service connected, for hardship, or as a result of a re-
duction in force as described in section 3011(a)(1)(A)(ii)(III) of this
title.
(b) CORRECTION OF DISCHARGE.—In the case of any eligible vet-
eran who has been prevented, as determined by the Secretary, from
completing a program of education under this chapter within the
period prescribed by subsection (a), because the veteran had not
met the nature of discharge requirements of this chapter before a
change, correction, or modification of a discharge or dismissal made
pursuant to section 1553 of title 10, the correction of the military
records of the proper service department under section 1552 of title
10, or other corrective action by competent authority, then the 10-
year delimiting period shall run from the date the veteran’s dis-
charge or dismissal was changed, corrected, or modified.
(c) SAVINGS CLAUSE.—In the case of any eligible veteran who
was discharged or released from active duty before June 1, 1966,
the 10-year delimiting period shall run from such date, if it is later
than the date which otherwise would be applicable. In the case of
any eligible veteran who was discharged or released from active
duty before August 31, 1967, and who pursues a course of farm co-
operative training, apprenticeship or other training on the job, the
10-year delimiting period shall run from August 31, 1967, if it is
later than the date which would otherwise be applicable.
(d) PRISONERS OF WAR.—In the case of any veteran (1) who
served on or after January 31, 1955, (2) who became eligible for
educational assistance under the provisions of this chapter or chap-
ter 36 of this title, and (3) who, subsequent to the veteran’s last
discharge or release from active duty, was captured and held as a
prisoner of war by a foreign government or power, there shall be
excluded, in computing the veteran’s 10-year period of eligibility for

educational assistance, any period during which the veteran was so
detained and any period immediately following the veteran’s re-
lease from such detention during which the veteran was hospital-
ized at a military, civilian, or Department of Veterans Affairs med-
ical facility.
(e) TERMINATION OF ASSISTANCE.—No educational assistance
shall be afforded any eligible veteran under this chapter or chapter
36 of this title after December 31, 1989.
L. 90–77, title III, Sec. 305, Aug. 31, 1967, 81 Stat. 188; Pub. L. 93–337, Sec. 1,
July 10, 1974, 88 Stat. 292; Pub. L. 94–502, title II, Sec. 211(3), title IV, Sec. 403(b),
Oct. 15, 1976, 90 Stat. 2388, 2393; Pub. L. 95–202, title II, Sec. 203(a)(1), (b)(1),
Nov. 23, 1977, 91 Stat. 1439; Pub. L. 96–466, title III, Sec. 301, Oct. 17, 1980, 94
Stat. 2191; Pub. L. 97–35, title XX, Sec. 2003(b)(1), Aug. 13, 1981, 95 Stat. 782; Pub.
L. 97–72, title II, Sec. 201(a), Nov. 3, 1981, 95 Stat. 1054; Pub. L. 97–295, Sec. 4(39),
Oct. 12, 1982, 96 Stat. 1307; Pub. L. 97–306, title II, Sec. 206(a), Oct. 14, 1982, 96
Stat. 1435; Pub. L. 98–160, title VII, Sec. 702(10), Nov. 21, 1983, 97 Stat. 1009; Pub.
L. 101–237, title IV, Sec. 420(a)(3), 423(b)(1), Dec. 18, 1989, 103 Stat. 2087, 2092;
105 Stat. 406; Pub. L. 107–14, Sec. 8(a)(5), June 5, 2001, 115 Stat. 34; Pub. L. 108–
183, title III, Sec. 306(d), Dec. 16, 2003, 117 Stat. 2661; Pub. L. 109–233, title V,
Sec. 503(8)(A), (C), June 15, 2006, 120 Stat. 416.)
ø§ 3463. Vacant¿
§ 3470. Selection of program
Subject to the provisions of this chapter, each eligible veteran
may select a program of education to assist the veteran in attain-
ing an educational, professional, or vocational objective at any edu-
cational institution (approved in accordance with chapter 36 of this
title) selected by the veteran, which will accept and retain the vet-
eran as a student or trainee in any field or branch of knowledge
which such institution finds the veteran qualified to undertake or
pursue.
L. 94–502, title II, Sec. 211(5), Oct. 15, 1976, 90 Stat. 2388; renumbered Sec. 3470,
§ 3471. Applications; approval

Any eligible veteran, or any person on active duty (after con-
sultation with the appropriate service education officer), who de-
sires to initiate a program of education under this chapter shall
submit an application to the Secretary which shall be in such form,
and contain such information, as the Secretary shall prescribe. The
Secretary shall approve such application unless the Secretary finds
that (1) such veteran or person is not eligible for or entitled to the
educational assistance for which application is made, (2) the vet-
eran’s or person’s selected educational institution or training estab-
lishment fails to meet any requirement of this chapter or chapter
36 of this title, (3) the veteran’s or person’s enrollment in, or pur-
suit of, the program of education selected would violate any provi-
sion of this chapter or chapter 36 of this title, or (4) the veteran
or person is already qualified, by reason of previous education or
training, for the educational, professional, or vocational objective
for which the program of education is offered. The Secretary shall

not treat a person as already qualified for the objective of a pro-
gram of education offered by a qualified provider of entrepreneur-
ship courses solely because such person is the owner or operator of
a business. The Secretary shall notify the veteran or person of the
approval or disapproval of the veteran’s or person’s application.
L. 92–540, title III, Sec. 302, Oct. 24, 1972, 86 Stat. 1080; Pub. L. 94–502, title II,
Sec. 211(6), Oct. 15, 1976, 90 Stat. 2388; Pub. L. 96–466, title III, Sec. 302, Oct.
17, 1980, 94 Stat. 2192; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989,
Stat. 406; Pub. L. 108–183, title III, Sec. 305(b), Dec. 16, 2003, 117 Stat. 2660.)
ø§ 3472. Vacant¿
ø§ 3473. Repealed. Pub. L. 102–568, title III, Sec. 313(a)(3)(A),
Oct. 29, 1992, 106 Stat. 4332¿
§ 3474. Discontinuance for unsatisfactory conduct or
progress
The Secretary shall discontinue the educational assistance al-
lowance of an eligible veteran if, at any time, the Secretary finds
that according to the regularly prescribed standards and practices
of the educational institution, the veteran’s attendance, conduct, or
progress is unsatisfactory. The Secretary may renew the payment
of the educational assistance allowance only if the Secretary finds
that—
(1) the veteran will be resuming enrollment at the same
educational institution in the same program of education and
the educational institution has both approved such veteran’s
reenrollment and certified it to the Department of Veterans Af-
fairs; or
(2) in the case of a proposed change of either educational
institution or program of education by the veteran—
(A) the cause of the unsatisfactory attendance, con-
duct, or progress has been removed;
(B) the program proposed to be pursued is suitable to
the veteran’s aptitudes, interests, and abilities; and
(C) if a proposed change of program is involved, the
change meets the requirements for approval under section
3691 of this title.
L. 94–502, title II, Sec. 206, 211(8), Oct. 15, 1976, 90 Stat. 2387, 2388; Pub. L. 95–
202, title III, Sec. 305(b)(1), Nov. 23, 1977, 91 Stat. 1443; Pub. L. 96–466, title III,
Sec. 306, Oct. 17, 1980, 94 Stat. 2193; Pub. L. 101–237, title IV, Sec. 411(a), 412(b),
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2084, 2085, 2092; renumbered Sec. 3474 and
ø§ 3475. Vacant¿
§ 3476. Education outside the United States
An eligible veteran may not enroll in any course offered by an
educational institution not located in a State unless that edu-
cational institution is an approved institution of higher learning
and the course is approved by the Secretary. The Secretary may
deny or discontinue educational assistance under this chapter in
the case of any veteran enrolled in an institution of higher learning
not located in a State if the Secretary determines that such enroll-

ment is not in the best interest of the veteran or the Federal Gov-
ernment.
L. 94–502, title II, Sec. 211(9), Oct. 15, 1976, 90 Stat. 2389; Pub. L. 96–466, title
III, Sec. 307(b), Oct. 17, 1980, 94 Stat. 2193; Pub. L. 101–237, title IV, Sec.
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3476, Pub. L. 102–83,
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title VI, Sec. 604(a), Nov.
2, 1994, 108 Stat. 4671.)
ø§§ 3477, 3478. Vacant¿

SUBCHAPTER IV—PAYMENTS TO ELIGIBLE VETERANS;
VETERAN-STUDENT SERVICES
§ 3481. Educational assistance allowance
(a) GENERAL.—The Secretary shall, in accordance with the ap-
plicable provisions of this section and chapter 36 of this title, pay
to each eligible veteran who is pursuing a program of education
under this chapter an educational assistance allowance to meet, in
part, the expenses of the veteran’s subsistence, tuition, fees, sup-
plies, books, equipment, and other educational costs.
(b) INSTITUTIONAL TRAINING.—The educational assistance al-
lowance of an eligible veteran pursuing a program of education,
other than a program exclusively by correspondence, at an edu-
cational institution shall be paid as provided in chapter 36 of this
title.
L. 91–219, title II, Sec. 205, Mar. 26, 1970, 84 Stat. 81; Pub. L. 91–584, Sec. 6, Dec.
24, 1970, 84 Stat. 1576; Pub. L. 92–540, title II, Sec. 202, Oct. 24, 1972, 86 Stat.
1079; Pub. L. 94–502, title II, Sec. 210(2), 211(10), Oct. 15, 1976, 90 Stat. 2388,
2389; Pub. L. 97–35, title XX, Sec. 2003(b)(4), Aug. 13, 1981, 95 Stat. 782; Pub. L.
101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec.
3481, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended Pub. L. 109–
233, title V, Sec. 503(8)(A), June 15, 2006, 120 Stat. 416.)
§ 3482. Computation of educational assistance allowances

(a)(1) Except as provided in subsection (b), (c), or (g) of this sec-
tion, or section 3687 of this title, while pursuing a program of edu-
cation under this chapter of half-time or more, each eligible veteran
shall be paid the monthly educational assistance allowance set
forth in column II, III, IV, or V (whichever is applicable as deter-
mined by the veteran’s dependency status) opposite the applicable
type of program as shown in column I:

Type of program More than two dependents
The amount in column IV, plus the following for each de-
pendent in excess of two:
Institutional training:
Full-time ..................... $376 $448 $510 $32
Half-time .................... 188 224 255 17
Cooperative ................ 304 355 404 23
(2) A ‘‘cooperative’’ program, other than a ‘‘farm cooperative’’

program, means a full-time program of education which consists of
institutional courses and alternate phases of training in a business

or industrial establishment with the training in the business or in-
dustrial establishment being strictly supplemental to the institu-
tional portion.
(b) The educational assistance allowance of an individual pur-
suing a program of education—
(1) while on active duty, or
(2) on less than a half-time basis,
shall be computed at the rate of (A) the established charges for tui-
tion and fees which the institution requires similarly
circumstanced nonveterans enrolled in the same program to pay, or
(B) $376 per month for a full-time course, whichever is the lesser.
An individual’s entitlement shall be charged for institutional
courses on the basis of the applicable monthly training time rate
as determined under section 3688 of this title.
(c)(1) An eligible veteran who is enrolled in an educational in-
stitution for a ‘‘farm cooperative’’ program consisting of institu-
tional agricultural courses prescheduled to fall within 44 weeks of
any period of 12 consecutive months and who pursues such pro-
gram on—
(A) a full-time basis (a minimum of ten clock hours per
week or four hundred and forty clock hours in such year
prescheduled to provide not less than eighty clock hours in any
three-month period),
(B) a three-quarter-time basis (a minimum of 7 clock hours
per week), or
(C) a half-time basis (a minimum of 5 clock hours per
week),
shall be eligible to receive an educational assistance allowance at
the appropriate rate provided in the table in paragraph (2) of this
subsection, if such eligible veteran is concurrently engaged in agri-
cultural employment which is relevant to such institutional agricul-
tural courses as determined under standards prescribed by the Sec-
retary. In computing the foregoing clock hour requirements there
shall be included the time involved in field trips and individual and
group instruction sponsored and conducted by the educational insti-
tution through a duly authorized instructor of such institution in
which the veteran is enrolled.
(2) The monthly educational assistance allowance of an eligible
veteran pursuing a farm cooperative program under this chapter
shall be paid as set forth in column II, III, IV, or V (whichever is
applicable as determined by the veteran’s dependency status) oppo-
site the basis shown in column I:

Basis More than two dependents
The amount in column IV, plus the following for each

dependent in excess of two:
Full-time ......................... $304 $355 $404 $23
Three-quarter-time .......... 228 266 303 18
Half-time ......................... 152 178 202 12
(d)(1) Notwithstanding the prohibition in section 3471 of this

title prohibiting enrollment of an eligible veteran in a program of
education in which such veteran has ‘‘already qualified,’’ a veteran

shall be allowed up to six months of educational assistance (or the
equivalent thereof in part-time assistance) for the pursuit of re-
fresher training to permit such veteran to update such veteran’s
knowledge and skills and to be instructed in the technological ad-
vances which have occurred in such veteran’s field of employment
during and since the period of such veteran’s active military serv-
ice.
(2) A veteran pursuing refresher training under this subsection
shall be paid an educational assistance allowance based upon the
rate prescribed in the table in subsection (a)(1) or in subsection
(c)(2) of this section, whichever is applicable.
(3) The educational assistance allowance paid under the au-
thority of this subsection shall be charged against the period of en-
titlement the veteran has earned pursuant to section 3461(a) of
this title.
(e) The educational assistance allowance of an eligible veteran
pursuing an independent study program which leads to a standard
college degree shall be computed at the rate provided in subsection
(b) of this section. If the entire training is to be pursued by inde-
pendent study, the amount of such veteran’s entitlement to edu-
cational assistance under this chapter shall be charged in accord-
ance with the rate at which the veteran is pursuing the inde-
pendent study program but at not more than the rate at which
such entitlement is charged for pursuit of such program on less
than a half-time basis. In any case in which independent study is
combined with resident training, the educational assistance allow-
ance shall be paid at the applicable institutional rate based on the
total training time determined by adding the number of semester
hours (or the equivalent thereof) of resident training to the number
of semester hours (or the equivalent thereof) of independent study
that do not exceed the number of semester hours (or the equivalent
thereof) required for the less than half-time institutional rate, as
determined by the Secretary, for resident training. A veteran’s enti-
tlement shall be charged for a combination of independent study
and resident training on the basis of the applicable monthly train-
ing time rate as determined under section 3688 of this title.
(f) The educational assistance allowance of an eligible veteran
pursuing a course by open circuit television shall be computed in
the same manner that such allowance is computed under sub-
section (e) of this section for an independent study program.
(g)(1) Subject to the provisions of paragraph (2) of this sub-
section, the amount of the educational assistance allowance paid to
an eligible veteran who is pursuing a program of education under
this chapter while incarcerated in a Federal, State, local, or other
penal institution or correctional facility for conviction of a felony
may not exceed such amount as the Secretary determines, in ac-
cordance with regulations which the Secretary shall prescribe, is
necessary to cover the cost of established charges for tuition and
fees required of similarly circumstanced nonveterans enrolled in
the same program and to cover the cost of necessary supplies,
books, and equipment, or the applicable monthly educational as-
sistance allowance prescribed for a veteran with no dependents in
subsection (a)(1) or (c)(2) of this section or section 3687(b)(1) of this
Sec. 3482A CH. 34—VETERANS’ EDUCATIONAL ASSISTANCE 502
title, whichever is the lesser. The amount of the educational assist-

ance allowance payable to a veteran while so incarcerated shall be
reduced to the extent that the tuition and fees of the veteran for
any course are paid under any Federal program (other than a pro-
gram administered by the Secretary) or under any State or local
program.
of any veteran who is pursuing a program of education under this
of a felony.
(h)(1) Subject to paragraph (3), the amount of educational as-
L. 90–77, title III, Sec. 301, 303(b), Aug. 31, 1967, 81 Stat. 184, 185; Pub. L. 90–
631, Sec. 3, Oct. 23, 1968, 82 Stat. 1333; Pub. L. 91–219, title I, Sec. 103(a)–(d),
title II, Sec. 204(a)(3), Mar. 26, 1970, 84 Stat. 76, 77, 79; Pub. L. 91–584, Sec. 9,
Dec. 24, 1970, 84 Stat. 1577; Pub. L. 92–540, title I, Sec. 102(2)–(4), title III, Sec.
303, title IV, Sec. 401(4), (5), Oct. 24, 1972, 86 Stat. 1075, 1081, 1090; Pub. L. 93–
508, title I, Sec. 102(2)–(4), title II, Sec. 204, Dec. 3, 1974, 88 Stat. 1579, 1582; Pub.
L. 93–602, title II, Sec. 203(b), Jan. 2, 1975, 88 Stat. 1958; Pub. L. 94–502, title
II, Sec. 201(1)–(3), 207, Oct. 15, 1976, 90 Stat. 2384, 2385, 2387; Pub. L. 95–202,
title I, Sec. 102(2)–(4), Nov. 23, 1977, 91 Stat. 1434; Pub. L. 96–466, title II, Sec.
201(2)–(4), 211(2)–(4), title III, Sec. 308–310, title VI, Sec. 602(a), Oct. 17, 1980, 94
Stat. 2187–2190, 2194, 2208; Pub. L. 97–35, title XX, Sec. 2003(b)(5), Aug. 13, 1981,
95 Stat. 782; Pub. L. 97–306, title II, Sec. 204, 205(b), Oct. 14, 1982, 96 Stat. 1434;
Pub. L. 98–160, title VII, Sec. 702(11), Nov. 21, 1983, 97 Stat. 1009; Pub. L. 98–
543, title II, Sec. 202(1)–(3), Oct. 24, 1984, 98 Stat. 2741; Pub. L. 101–237, title IV,
Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3482 and amended
I, Sec. 104(a), Oct. 9, 1996, 110 Stat. 3327; Pub. L. 106–419, title I, Sec. 122(b)(3),
Nov. 1, 2000, 114 Stat. 1834; Pub. L. 109–461, title X, Sec. 1002(d), Dec. 22, 2006,
120 Stat. 3465.)
ø§ 3482A. Vacant¿
§ 3483. Approval of courses
An eligible veteran shall receive the benefits of this chapter
while enrolled in a course of education offered by an educational
institution only if such course is approved in accordance with the
provisions of subchapter I of chapter 36 of this title.
(Added Pub. L. 89–358, Sec. 2, Mar. 3, 1966, 80 Stat. 19, Sec. 1685; renumbered
Sec. 1686, Pub. L. 90–77, title III, Sec. 304(a), Aug. 31, 1967, 81 Stat. 186; renum-
bered Sec. 1683, Pub. L. 92–540, title IV, Sec. 401(7), Oct. 24, 1972, 86 Stat. 1090;
§ 3484. Apprenticeship or other on-job training; correspond-

ence courses
Any eligible veteran may pursue a program of apprenticeship
or other on-job training or a program of education exclusively by
correspondence and be paid an educational assistance allowance or
training assistance allowance, as applicable, under the provisions
of section 3687 or 3686 of this title.
(Added Pub. L. 92–540, title III, Sec. 304, Oct. 24, 1972, 86 Stat. 1081, Sec. 1684;
105 Stat. 406.)
§ 3485. Work-study allowance

(a)(1) Individuals utilized under the authority of subsection (b)
shall be paid an additional educational assistance allowance (here-
inafter in this section referred to as ‘‘work-study allowance’’). Such
allowance shall be paid in return for an individual’s entering into
an agreement described in paragraph (3).
(2) Such work-study allowance shall be paid in an amount
equal to the product of—
(A) the applicable hourly minimum wage; and
(B) the number of hours worked during the applicable pe-
riod.
(3) An agreement described in this paragraph is an agreement
of an individual to perform services, during or between periods of
enrollment, aggregating not more than a number of hours equal to
25 times the number of weeks in the semester or other applicable
enrollment period, required in connection with a qualifying work-
study activity.
(4) For the purposes of this section, the term ‘‘qualifying work-
study activity’’ means any of the following:
(A) The outreach services program under chapter 63 of this
title as carried out under the supervision of a Department em-
ployee or, during the period preceding June 30, 2010, outreach
services to servicemembers and veterans furnished by employ-
ees of a State approving agency.
(B) The preparation and processing of necessary papers
and other documents at educational institutions or regional of-
fices or facilities of the Department.
(C) The provision of hospital and domiciliary care and
medical treatment under chapter 17 of this title, including,
during the period preceding June 30, 2010, the provision of
such care to veterans in a State home for which payment is
made under section 1741 of this title.
(D) Any other activity of the Department as the Secretary
determines appropriate.
(E) In the case of an individual who is receiving edu-
cational assistance under chapter 1606 or 1607 of title 10, an
activity relating to the administration of that chapter at De-
partment of Defense, Coast Guard, or National Guard facili-
ties.
(F) During the period preceding June 30, 2010, an activity
relating to the administration of a national cemetery or a State
veterans’ cemetery.
(5) An individual may elect, in a manner prescribed by the Sec-

retary, to be paid in advance an amount equal to 40 percent of the
total amount of the work-study allowance agreed to be paid under
the agreement in return for the individual’s agreement to perform
the number of hours of work specified in the agreement (but not
more than an amount equal to 50 times the applicable hourly min-
imum wage).
(6) For the purposes of this subsection and subsection (e), the
term ‘‘applicable hourly minimum wages’’ means—
(A) the hourly minimum wage under section 6(a) of the
Fair Labor Standards Act of 1938 (29 U.S.C. 206(a)); or
(B) the hourly minimum wage under comparable law of
the State in which the services are to be performed, if such
wage is higher than the wage referred to in subparagraph (A)
and the Secretary has made a determination to pay such high-
er wage.
(b) Notwithstanding any other provision of law, the Secretary
shall, subject to the provisions of subsection (e) of this section, uti-
lize, in connection with the activities specified in subsection (a)(1)
of this section, the service of individuals who are pursuing pro-
grams of rehabilitation, education, or training under chapter 30,
31, 32, 33, or 34 of this title or chapter 1606 or 1607 of title 10,
at a rate equal to at least three-quarters of that required of a full-
time student. In carrying out this section, the Secretary, wherever
feasible, shall give priority to veterans with disabilities rated at 30
percent or more for purposes of chapter 11 of this title. In the event
an individual ceases to be at least a three-quarter-time student be-
fore completing such agreement, the individual may, with the ap-
proval of the Secretary, be permitted to complete such agreement.
(c) The Secretary shall determine the number of individuals
whose services the Department of Veterans Affairs can effectively
utilize and the types of services that such individuals may be re-
quired to perform, on the basis of a survey, which the Secretary
shall conduct annually, of each Department of Veterans Affairs re-
gional office in order to determine the numbers of individuals
whose services can effectively be utilized during an enrollment pe-
riod in each geographical area where Department of Veterans Af-
fairs activities are conducted, and shall determine which individ-
uals shall be offered agreements under this section in accordance
with regulations which the Secretary shall prescribe, including as
criteria (1) the need of the individual to augment the veteran’s edu-
cational assistance or subsistence allowance; (2) the availability to
the individual of transportation to the place where the individual’s
services are to be performed; (3) the motivation of the individual;
and (4) in the case of a disabled veteran pursuing a course of voca-
tional rehabilitation under chapter 31 of this title, the compatibility
of the work assignment to the veteran’s physical condition.
(d) While performing the services authorized by this section,
individuals shall be deemed employees of the United States for the
purposes of the benefits of chapter 81 of title 5 but not for the pur-
poses of laws administrated by the Office of Personnel Manage-
ment.
(e)(1) Subject to paragraph (2) of this subsection, the Secretary
may, notwithstanding any other provision of law, enter into an
agreement with an individual under this section, or a modification

of such an agreement, whereby the individual agrees to perform a
qualifying work-study activity described in subsection (a)(4) and
agrees that the Secretary shall, in lieu of paying the work-study al-
lowance payable for such services, as provided in subsection (a) of
this section, deduct the amount of the allowance from the amount
which the individual has been determined to be indebted to the
United States by virtue of such individual’s participation in a bene-
fits program under this chapter, chapter 30, 31, 32, 33, 35, or 36
of this title, or chapter 1606 or 1607 of title 10 (other than an in-
debtedness arising from a refund penalty imposed under section
2135 of such title).
(2)(A) Subject to subparagraph (B) of this paragraph, the provi-
sions of this section (other than those provisions which are deter-
mined by the Secretary to be inapplicable to an agreement under
this subsection) shall apply to any agreement authorized under
paragraph (1) of this subsection.
(B) For the purposes of this subsection, the Secretary may—
(i) waive, in whole or in part, the limitations in subsection
(a) of this section concerning the number of hours and periods
during which services can be performed by the individual and
the provisions of subsection (b) of this section requiring the in-
dividual’s pursuit of a program of rehabilitation, education, or
training;
(ii) in accordance with such terms and conditions as may
be specified in the agreement under this subsection, waive or
defer charging interest and administrative costs pursuant to
section 5315 of this title on the indebtedness to be satisfied by
performance of the agreement; and
(iii) notwithstanding the indebtedness offset provisions of
section 5314 of this title, waive or defer until the termination
of an agreement under this subsection the deduction of all or
any portion of the amount of indebtedness covered by the
agreement from future payments to the individual as described
in section 5314 of this title.
(3)(A) Subject to the provisions of subparagraphs (B) and (C)
of this paragraph, an agreement authorized under this subsection
shall terminate in accordance with the provisions of this section
and the terms and conditions of the agreement which are con-
sistent with this subsection.
(B) In no event shall an agreement under this subsection con-
tinue in force after the total amount of the individual’s indebted-
ness described in paragraph (1) of this subsection has been re-
couped, waived, or otherwise liquidated.
(C) Notwithstanding the provisions of subparagraphs (A) and
(B) of this paragraph, if the Secretary finds that an individual was
without fault and was allowed to perform services described in the
agreement after its termination, the Secretary shall, as reasonable
compensation therefor, pay the individual at the applicable hourly
minimum wage rate for such services as the Secretary determines
were satisfactorily performed.
(4) The Secretary shall promulgate regulations to carry out
this subsection.
(Added Pub. L. 92–540, title II, Sec. 203, Oct. 24, 1972, 86 Stat. 1079, Sec. 1685;
amended Pub. L. 93–508, title II, Sec. 205, Dec. 3, 1974, 88 Stat. 1582; Pub. L. 94–
502, title II, Sec. 208, 211(11), Oct. 15, 1976, 90 Stat. 2388, 2389; Pub. L. 95–202,
title I, Sec. 105, Nov. 23, 1977, 91 Stat. 1435; Pub. L. 96–466, title VIII, Sec. 801(b),
Oct. 17, 1980, 94 Stat. 2216; Pub. L. 97–295, Sec. 4(42), Oct. 12, 1982, 96 Stat. 1308;
Pub. L. 99–576, title III, Sec. 308(c), Oct. 28, 1986, 100 Stat. 3270; Pub. L. 101–
237, title IV, Sec. 405(a)–(d)(2), (4)(A), 423(b)(1), Dec. 18, 1989, 103 Stat. 2080, 2081,
2092; Pub. L. 102–16, Sec. 6(a)–(b)(2), 10(a)(5), Mar. 22, 1991, 105 Stat. 50, 51, 55;
Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec.
3485 and amended Pub. L. 102–83, Sec. 2(c)(2), 5(a), Aug. 6, 1991, 105 Stat. 402,
406; Pub. L. 102–568, title III, Sec. 311, Oct. 29, 1992, 106 Stat. 4330; Pub. L. 105–
368, title II, Sec. 202(a), Nov. 11, 1998, 112 Stat. 3326; Pub. L. 107–14, Sec. 8(a)(16),
June 5, 2001, 115 Stat. 35; Pub. L. 107–103, title I, Sec. 107(a), Dec. 27, 2001, 115
Stat. 983; Pub. L. 107–330, title III, Sec. 308(g)(11), Dec. 6, 2002, 116 Stat. 2829;
Pub. L. 108–183, title III, Sec. 306(f)(1), Dec. 16, 2003, 117 Stat. 2661; Pub. L. 109–
233, title IV, Sec. 402(e)(1), June 15, 2006, 120 Stat. 411; Pub. L. 109–444, Sec. 2(g),
Dec. 21, 2006, 120 Stat. 3305; Pub. L. 109–461, title III, Secs. 304, 307, title X, Sec.
1006(b), Dec. 22, 2006, 120 Stat. 3428, 3429, 3468; Pub. L. 110–157, title III, Sec.
302, Dec. 26, 2007, 121 Stat. 1836; Pub. L. 110–252, title V, Sec. 5003(b)(2)(A)(i),
June 30, 2008, 122 Stat. 2375 (conforming amendment effective August 1, 2009).)
ø§§ 3486, 3487. Vacant¿

SUBCHAPTER V—SPECIAL ASSISTANCE FOR THE
EDUCATIONALLY DISADVANTAGED
§ 3490. Purpose
It is the purpose of this subchapter (1) to encourage and assist
veterans who have academic deficiencies to attain a high school
education or its equivalent and to qualify for and pursue courses
of higher education, (2) to assist eligible veterans to pursue postsec-
ondary education through tutorial assistance where required, and
(3) to encourage educational institutions to develop programs which
provide special tutorial, remedial, preparatory, or other educational
or supplementary assistance to such veterans.
(Added Pub. L. 91–219, title II, Sec. 204(a)(4), Mar. 26, 1970, 84 Stat. 79, Sec. 1690;
§ 3491. Elementary and secondary education and pre-

paratory educational assistance
(a) In the case of any eligible veteran who—
(1) has not received a secondary school diploma (or an
equivalency certificate), or
(2) is not on active duty and who, in order to pursue a pro-
gram of education for which the veteran would otherwise be el-
igible, needs refresher courses, deficiency courses, or other pre-
paratory or special educational assistance to qualify for admis-
sion to an appropriate educational institution,
the Secretary may, without regard to so much of the provisions of
section 3471 of this title as prohibit the enrollment of an eligible
veteran in a program of education in which the veteran is ‘‘already
qualified’’, approve the enrollment of such veteran in an appro-
priate course or courses or other special educational assistance pro-
gram.
(b)(1) The Secretary shall pay to an eligible veteran pursuing
a course or courses or program pursuant to subsection (a)(2) of this
section, an educational assistance allowance as provided in sections
3481 and 3482(a) or (b) of this title.
(2) The Secretary shall pay to an eligible veteran described in

subsection (a)(1) of this section who is pursuing a course or courses
or program under this subchapter for the purpose of attaining a
secondary school diploma (or an equivalency certificate) an edu-
cational assistance allowance (A) at the rate of established charges
for tuition and fees required of similarly circumstanced non-
veterans enrolled in the same course, courses, or program, or (B)
at the institutional full-time rate provided in section 3482(a) of this
title, whichever is the lesser.
(c) The provisions of section 3473(d)(1) of this title, relating to
the disapproval of enrollment in certain courses, shall be applicable
to the enrollment of an eligible veteran who, while serving on ac-
tive duty, enrolls in one or more courses under this subchapter for
the purpose of attaining a secondary school diploma (or an equiva-
lency certificate).
amended Pub. L. 92–540, title III, Sec. 305, Oct. 24, 1972, 86 Stat. 1081; Pub. L.
94–502, title II, Sec. 211(12), Oct. 15, 1976, 90 Stat. 2389; Pub. L. 96–466, title III,
Sec. 311, Oct. 17, 1980, 94 Stat. 2194; Pub. L. 97–295, Sec. 4(43), Oct. 12, 1982,
96 Stat. 1308; Pub. L. 97–306, title II, Sec. 203(b), Oct. 14, 1982, 96 Stat. 1434; Pub.
406.)

(a) In the case of any eligible veteran who—
(1) is enrolled in and pursuing a postsecondary course of
education on a half-time or more basis at an educational insti-
tution; and
(2) has a deficiency in a subject required as a part of, or
which is prerequisite to, or which is indispensable to the satis-
factory pursuit of, an approved program of education,
the Secretary may approve individualized tutorial assistance for
such veteran if such assistance is necessary for the veteran to com-
plete such program successfully.
(b) The Secretary shall pay to an eligible veteran receiving tu-
torial assistance pursuant to subsection (a) of this section, in addi-
tion to the educational assistance allowance provided in section
3482 of this title, the cost of such tutorial assistance in an amount
not to exceed $100 per month, for a maximum of twelve months,
or until a maximum of $1,200 is utilized, upon certification by the
educational institution that—
(1) the individualized tutorial assistance is essential to cor-
rect a deficiency of the eligible veteran in a subject required as
a part of, or which is prerequisite to, or which is indispensable
to the satisfactory pursuit of, an approved program of edu-
cation;
(2) the tutor chosen to perform such assistance is qualified
and is not the eligible veteran’s parent, spouse, child (whether
or not married or over eighteen years of age), brother, or sister;
and
(3) the charges for such assistance do not exceed the cus-
tomary charges for such tutorial assistance.
93–508, title II, Sec. 206, Dec. 3, 1974, 88 Stat. 1583; Pub. L. 94–502, title II, Sec.
209, Oct. 15, 1976, 90 Stat. 2388; Pub. L. 95–202, title I, Sec. 102(5), Nov. 23, 1977,
91 Stat. 1434; Pub. L. 96–466, title II, Sec. 201(5), 211(5), title III, Sec. 312, Oct.
17, 1980, 94 Stat. 2188, 2190, 2195; Pub. L. 98–543, title II, Sec. 202(4), Oct. 24,
1984, 98 Stat. 2742; Pub. L. 100–689, title I, Sec. 107(c)(1), (2)(A), Nov. 18, 1988,
102 Stat. 4169; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat.
1991, 105 Stat. 406.)
§ 3493. Effect on educational entitlement
The educational assistance allowance or cost of individualized
tutorial assistance authorized by this subchapter shall be paid
without charge to any period of entitlement the veteran may have
earned pursuant to section 3461(a) of this title.
105 Stat. 406.)
ø§§ 3495 to 3498. Vacant¿

509
CHAPTER 35—SURVIVORS’ AND DEPENDENTS’
Sec.
3500. Purpose.
3501. Definitions.

3510. Eligibility and entitlement generally.
3511. Duration of educational assistance.
3513. Application.
3514. Processing of applications.

3520. Educational and vocational counseling.
3521. Approval of application.
3523. Disapproval of enrollment in certain courses.
3524. Discontinuance for unsatisfactory progress.

3532. Computation of educational assistance allowance.
3533. Special assistance for the educationally disadvantaged.
3536. Specialized vocational training courses.

3540. Purpose.
3541. Entitlement to special restorative training.
3542. Special training allowance.
3543. Special administrative provisions.

3561. Authority and duties of Secretary.
3563. Notification of eligibility.
3564. Annual adjustment of amounts of educational assistance.
SUBCHAPTER VII—PHILIPPINE COMMONWEALTH ARMY AND PHILIPPINE

SCOUTS
3565. Children of certain Philippine veterans.
3566. Definitions.
511
Sec. 3500 CH. 35—SURVIVORS’ AND DEPENDENTS’ ED. ASST. 512
§ 3500. Purpose
The Congress hereby declares that the educational program es-
tablished by this chapter is for the purpose of providing opportuni-
ties for education to children whose education would otherwise be
impeded or interrupted by reason of the disability or death of a
parent from a disease or injury incurred or aggravated in the
Armed Forces after the beginning of the Spanish-American War,
and for the purpose of aiding such children in attaining the edu-
cational status which they might normally have aspired to and ob-
tained but for the disability or death of such parent. The Congress
further declares that the educational program extended to the sur-
viving spouses of veterans who died of service-connected disabilities
and to spouses of veterans with a service-connected total disability
permanent in nature is for the purpose of assisting them in pre-
paring to support themselves and their families at a standard of
living level which the veteran, but for the veteran’s death or serv-
ice disability, could have expected to provide for the veteran’s fam-
ily.
(Added Pub. L. 90–631, Sec. 2(a)(1), Oct. 23, 1968, 82 Stat. 1331, Sec. 1700; amend-
ed Pub. L. 94–502, title III, Sec. 310(1), Oct. 15, 1976, 90 Stat. 2391; renumbered
(a) For the purposes of this chapter and chapter 36 of this
title—
(1) The term ‘‘eligible person’’ means any of the following:
(A) A child of a person who, as a result of qualifying
service—
(i) died of a service-connected disability; or
(ii) has a total disability permanent in nature re-
sulting from a service-connected disability, or who died
while a disability so evaluated was in existence.
(B) The surviving spouse of any person who died of a
service-connected disability sustained during a period of
qualifying service.
(C) The spouse or child of any member of the Armed
Forces serving on active duty who, at the time of applica-
tion for benefits under this chapter is listed, pursuant to
section 556 of title 37 and regulations issued thereunder,
by the Secretary concerned in one or more of the following
categories and has been so listed for a total of more than
ninety days: (i) missing in action, (ii) captured in line of
duty by a hostile force, or (iii) forcibly detained or interned
in line of duty by a foreign government or power.
(D)(i) The spouse of any person who has a total dis-
ability permanent in nature resulting from a service-con-
nected disability sustained during a period of qualifying
service, or (ii) the surviving spouse of a veteran who died
while a disability so evaluated was in existence.
(E) The spouse or child of a person who—
(i) at the time of the Secretary’s determination
under clause (ii), is a member of the Armed Forces
513 CH. 35—SURVIVORS’ AND DEPENDENTS’ ED. ASST. Sec. 3501
who is hospitalized or receiving outpatient medical

care, services, or treatment;
(ii) the Secretary determines has a total disability
permanent in nature incurred or aggravated in the
line of duty in the active military, naval, or air service;
and
(iii) is likely to be discharged or released from
such service for such disability.
(2) The term ‘‘child’’ includes individuals who are married
and individuals who are above the age of twenty-three years.
(3) The term ‘‘duty with the Armed Forces’’ as used in sec-
tion 3512 of this title means (A) active duty, (B) active duty for
training for a period of six or more consecutive months, or (C)
active duty for training required by section 12103(d) of title 10.
(4) The term ‘‘guardian’’ includes a fiduciary legally ap-
pointed by a court of competent jurisdiction, or any other per-
son who has been appointed by the Secretary under section
5502 of this title to receive payment of benefits for the use and
benefit of the eligible person.
(5) The term ‘‘program of education’’ means any cur-
riculum or any combination of unit courses or subjects pursued
at an educational institution which is generally accepted as
necessary to fulfill the requirements for the attainment of a
predetermined and identified educational, professional, or voca-
tional objective. Such term also includes any preparatory
course described in section 3002(3)(B) of this title. Such term
also includes licensing or certification tests, the successful com-
pletion of which demonstrates an individual’s possession of the
knowledge or skill required to enter into, maintain, or advance
in employment in a predetermined and identified vocation or
profession, provided such tests and the licensing or
credentialing organizations or entities that offer such tests are
approved by the Secretary in accordance with section 3689 of
this title. Such term also includes national tests for admission
to institutions of higher learning or graduate schools (such as
the Scholastic Aptitude Test (SAT), Law School Admission Test
(LSAT), Graduate Record Exam (GRE), and Graduate Manage-
ment Admission Test (GMAT)) and national tests providing an
opportunity for course credit at institutions of higher learning
(such as the Advanced Placement (AP) exam and College-Level
Examination Program (CLEP)).
(6) The term ‘‘educational institution’’ means any public or
private secondary school, vocational school, correspondence
school, business school, junior college, teachers’ college, college,
normal school, professional school, university, or scientific or
technical institution, or any other institution if it furnishes
education at the secondary school level or above. Such term
also includes any private entity (that meets such requirements
as the Secretary may establish) that offers, either directly or
under an agreement with another entity (that meets such re-
quirements), a course or courses to fulfill requirements for the
attainment of a license or certificate generally recognized as
necessary to obtain, maintain, or advance in employment in a
profession or vocation in a high technology occupation (as de-

termined by the Secretary).
(7) The term ‘‘special restorative training’’ means training
furnished under subchapter V of this chapter.
(8) The term ‘‘total disability permanent in nature’’ means
any disability rated total for the purposes of disability com-
pensation which is based upon an impairment reasonably cer-
tain to continue throughout the life of the disabled person.
(9) The term ‘‘training establishment’’ means any estab-
lishment providing apprentice or other training on the job, in-
cluding those under the supervision of a college or university
or any State department of education, or any State apprentice-
ship agency, or any State board of vocational education, or any
joint apprenticeship committee, or the Bureau of Apprentice-
ship and Training established pursuant to the Act of August
16, 1937, popularly known as the ‘‘National Apprenticeship
Act’’ (29 U.S.C. 50 et seq.), or any agency of the Federal Gov-
ernment authorized to supervise such training.
(10) The term ‘‘institution of higher learning’’ means a col-
lege, university, or similar institution, including a technical or
business school, offering postsecondary level academic instruc-
tion that leads to an associate or higher degree if the school
is empowered by the appropriate State education authority
under State law to grant an associate or higher degree. When
there is no State law to authorize the granting of a degree, the
school may be recognized as an institution of higher learning
if it is accredited for degree programs by a recognized accred-
iting agency. Such term shall also include a hospital offering
educational programs at the postsecondary level without re-
gard to whether the hospital grants a postsecondary degree.
Such term shall also include an educational institution which
is not located in a State, which offers a course leading to a
standard college degree, or the equivalent, and which is recog-
nized by the secretary of education (or comparable official) of
the country or other jurisdiction in which the institution is lo-
cated.
(11) The term ‘‘standard college degree’’ means an asso-
ciate or higher degree awarded by (A) an institution of higher
learning that is accredited as a collegiate institution by a rec-
ognized regional or national accrediting agency; or (B) an insti-
tution of higher learning that is a ‘‘candidate’’ for accreditation
as that term is used by the regional or national accrediting
agencies; or (C) an institution of higher learning upon comple-
tion of a course which is accredited by an agency recognized to
accredit specialized degree-level programs. For the purpose of
this section, the accrediting agency must be one recognized by
the Secretary of Education under the provisions of section 3675
of this title.
(12) The term ‘‘qualifying service’’ means service in the ac-
tive military, naval, or air service after the beginning of the
Spanish-American War that did not terminate under dishonor-
able conditions.
(b) If an eligible person has attained the person’s majority and

is under no known legal disability, all references in this chapter to
‘‘parent or guardian’’ shall refer to the eligible person.
(c) Any provision of this chapter which requires any action to
be taken by or with respect to the parent or guardian of an eligible
person who has not attained such person’s majority, or who, having
attained such person’s majority, is under a legal disability, shall
not apply when the Secretary determines that its application would
not be in the best interest of the eligible person, would result in
undue delay, or would not be administratively feasible. In such a
case the Secretary, where necessary to protect the interest of the
eligible person, may designate some other person (who may be the
eligible person) as the person by or with respect to whom the action
so required should be taken.
(d) No eligible person may be afforded educational assistance
under this chapter unless such person was discharged or released
after each period such person was on duty with the Armed Forces
under conditions other than dishonorable, or while such person is
on duty with the Armed Forces.
Sept. 8, 1959, 73 Stat. 471; Pub. L. 86–785, Sec. 1–3, Sept. 14, 1960, 74 Stat. 1023;
Pub. L. 88–361, Sec. 1, July 7, 1964, 78 Stat. 297; Pub. L. 89–222, Sec. 3, Sept. 30,
1965, 79 Stat. 896; Pub. L. 89–349, Sec. 1, Nov. 8, 1965, 79 Stat. 1313; Pub. L. 89–
358, Sec. 4(j), Mar. 3, 1966, 80 Stat. 24; Pub. L. 90–631, Sec. 2(b), (c), Oct. 23, 1968,
82 Stat. 1332; Pub. L. 91–24, Sec. 9(a), June 11, 1969, 83 Stat. 34; Pub. L. 91–584,
Sec. 1, Dec. 24, 1970, 84 Stat. 1575; Pub. L. 92–540, title III, Sec. 309, Oct. 24, 1972,
86 Stat. 1083; Pub. L. 93–295, title III, Sec. 302, May 31, 1974, 88 Stat. 184; Pub.
L. 94–502, title III, Sec. 302, 310(2)–(5), Oct. 15, 1976, 90 Stat. 2389, 2391; Pub.
L. 96–466, title III, Sec. 327(a), title VIII, Sec. 801(c), Oct. 17, 1980, 94 Stat. 2197,
2216; Pub. L. 98–160, title VII, Sec. 702(12), Nov. 21, 1983, 97 Stat. 1009; Pub. L.
101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–40,
title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 3501 and
106, div. A, title XV, Sec. 1501(e)(2)(C), Feb. 10, 1996, 110 Stat. 501; Pub. L. 106–
419, title I, Secs. 114(a), 122(a), Nov. 1, 2000, 114 Stat. 1833; Pub. L. 107–103, title
I, Secs. 108(a), 110(a), Dec. 27, 2001, 115 Stat. 985, 986; Pub. L. 108–454, title I,
Sec. 106(a), Dec. 10, 2004, 118 Stat. 3602; Pub. L. 109–444, Sec. 3(a), (b)(1), Dec.
21, 2006, 120 Stat. 3305; Pub. L. 109–461, title III, Sec. 301(a), (b)(1), title X, Sec.
1006(b), Dec. 22, 2006, 120 Stat. 3425, 3468.)

§ 3510. Eligibility and entitlement generally
Each eligible person shall, subject to the provisions of this
chapter, be entitled to receive educational assistance.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 3511. Duration of educational assistance

(a)(1) Each eligible person, whether made eligible by one or
more of the provisions of section 3501(a)(1) of this title, shall be en-
titled to educational assistance under this chapter for an aggregate
period not in excess of 45 months (or to the equivalent thereof in
part-time training).
(2)(A) Notwithstanding any other provision of this chapter or
allowance described in subparagraph (B) of this paragraph shall
not—
(i) be charged against the entitlement of any individual

(ii) be counted toward the aggregate period for which sec-
tion 3695 of this title limits an individual’s receipt of assist-
ance.
(B) The payment of the educational assistance allowance re-
ferred to in subparagraph (A) of this paragraph is the payment of
such an allowance to an individual for pursuit of a course or
courses under this chapter if the Secretary finds that the indi-
vidual—
(i) had to discontinue such course pursuit as a result of
being ordered to serve on active duty under section 688,
12301(a), 12301(d), 12301(g), 12302, or 12304 of title 10 or of
being involuntarily ordered to full-time National Guard duty
under section 502(f) of title 32; and
(ii) failed to receive credit or training time toward comple-
tion of the individual’s approved educational, professional, or
vocational objective as a result of having to discontinue, as de-
scribed in clause (i) of this subparagraph, his or her course
pursuit.
(C) The period for which, by reason of this subsection, an edu-
determined under subparagraph (B)(ii) of this paragraph.
(b) If any eligible person pursuing a program of education, or
of special restorative training, under this chapter ceases to be an
‘‘eligible person’’ because—
(1) the parent or spouse from whom eligibility is derived
is found no longer to have a ‘‘total disability permanent in na-
ture’’, as defined in section 3501(a)(8) of this title,
(2) the parent or spouse from whom eligibility is derived
based upon section 3501(a)(1)(C) of this title is no longer listed
in one of the categories specified therein,
(3) the spouse, as an eligible person under subparagraph
(D) or (E) of section 3501(a)(1) of this title, is divorced, without
fault on such person’s part, from the person upon whose dis-
ability such person’s eligibility is based, or
(4) the parent or spouse from whom such eligibility is de-
rived based upon subparagraph (E) of section 3501(a)(1) of this
title no longer meets a requirement under clause (i), (ii), or (iii)
of that subparagraph,
then such eligible person (if such person has sufficient remaining
entitlement) may, nevertheless, be afforded educational assistance
under this chapter until the end of the quarter or semester for
which enrolled if the educational institution in which such person
is enrolled is operated on a quarter or semester system, or if the
educational institution is not so operated until the end of the
course, or until 12 weeks have expired, whichever first occurs.
7, 1964, 78 Stat. 297; Pub. L. 89–358, Sec. 4(k), Mar. 3, 1966, 80 Stat. 24; Pub. L.
90–631, Sec. 1(c), 2(d), Oct. 23, 1968, 82 Stat. 1331, 1332; Pub. L. 91–24, Sec. 9(b),
June 11, 1969, 83 Stat. 34; Pub. L. 91–584, Sec. 2, Dec. 24, 1970, 84 Stat. 1575;
Pub. L. 94–502, title III, Sec. 303, 310(6), Oct. 15, 1976, 90 Stat. 2390, 2391; renum-
Stat. 406; Pub. L. 102–127, Sec. 2(c), Oct. 10, 1991, 105 Stat. 620; Pub. L. 107–103,
title I, Secs. 103(a), 108(b)(1), (c)(1), Dec. 27, 2001, 115 Stat. 979, 985; Pub. L. 109–
233, title V, Sec. 503(7), June 15, 2006, 120 Stat. 416; Pub. L. 109–444, Sec. 3(b)(2),
Dec. 21, 2006, 120 Stat. 3306; Pub. L. 109–461, title III, Secs. 301(b)(2), 302(a), title
X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3425, 3428, 3468.)
§ 3512. Periods of eligibility

(a) The educational assistance to which an eligible person
whose eligibility is based on the death or disability of a parent or
on a parent being listed in one of the categories referred to in sec-
tion 3501(a)(1)(C) of this title is entitled under section 3511 of this
title or subchapter V of this chapter may be afforded the person
during the period beginning on the person’s eighteenth birthday, or
on the successful completion of the person’s secondary schooling,
whichever first occurs, and ending on the person’s twenty-sixth
birthday, except that—
(1) if the person is above the age of compulsory school at-
tendance under applicable State law, and the Secretary deter-
mines that the person’s best interests will be served thereby,
such period may begin before the person’s eighteenth birthday;
(2) if the person has a mental or physical handicap, and
the Secretary determines that the person’s best interests will
be served by pursuing a program of special restorative training
or a specialized course of vocational training approved under
section 3536 of this title, such period may begin before the per-
son’s eighteenth birthday, but not before the person’s four-
teenth birthday;
(3) if the Secretary first finds that the parent from whom
eligibility is derived has a service-connected total disability
permanent in nature, or if the death of the parent from whom
eligibility is derived occurs, after the eligible person’s eight-
eenth birthday but before the person’s twenty-sixth birthday,
then (unless paragraph (4) of (5) applies) such period shall end
8 years after the date that is elected by that person to be the
beginning date of entitlement under section 3511 of this title
or subchapter V of this chapter if—
(A) the Secretary approves that beginning date;
(B) the eligible person elects that beginning date by
not later than the end of the 60-day period beginning on
the date on which the Secretary provides written notice to
that person of that person’s opportunity to make such elec-
tion, such notice including a statement of the deadline for
the election imposed under this subparagraph; and
(C) that beginning date—
(i) in the case of a person whose eligibility is
based on a parent who has a service-connected total
disability permanent in nature, is the date determined
pursuant to subsection (d), subsection (d), or any date
between the two dates described in subsection (d); and
(ii) in the case of a person whose eligibility is
based on the death of a parent, is between—
(I) the date of the parent’s death; and
(II) the date of the Secretary’s decision that

the death was service-connected;
(4) if the person otherwise eligible under paragraph (3)
fails to elect a beginning date of entitlement in accordance
with that paragraph, the beginning date of the person’s entitle-
ment shall be the date of the Secretary’s decision that the par-
ent has a service-connected total disability permanent in na-
ture, or that the parent’s death was service-connected, which-
ever is applicable;
(5) if the person serves on duty with the Armed Forces as
an eligible person after the person’s eighteenth birthday but
before the person’s twenty-sixth birthday, then such period
shall end 8 years after the person’s first discharge or release
from such duty with the Armed Forces (excluding from such 8
years all periods during which the eligible person served on ac-
tive duty before August 1, 1962, pursuant to (A) a call or order
thereto issued to the person as a Reserve after July 30, 1961,
or (B) an extension of enlistment, appointment, or period of
duty with the Armed Forces pursuant to section 2 of Public
Law 87–117); however, in no event shall such period be ex-
tended beyond the person’s thirty-first birthday by reason of
this paragraph;
(6) if the person becomes eligible by reason of a parent
being listed in one of the categories referred to in section
3501(a)(1)(C) of this title after the person’s eighteenth birthday
but before the person’s twenty-sixth birthday, then (unless
paragraph (5) applies) such period shall end eight years after
the date on which the person becomes eligible by reason of
such provisions, but in no event shall such period be extended
beyond the person’s thirty-first birthday by reason of this
clause;
(7)(A) if such person is enrolled in an educational institu-
tion regularly operated on the quarter or semester system and
such period ends during a quarter or semester, such period
shall be extended to the end of the quarter or semester; or
(B) if such person is enrolled in an educational institution
operated on other than a quarter or semester system and such
period ends after a major portion of the course is completed,
such period shall be extended to the end of the course, or until
12 weeks have expired, whichever first occurs; and
(8) if the person is pursuing a preparatory course described
in section 3002(3)(B) of this title, such period may begin on the
date that is the first day of such course pursuit, notwith-
standing that such date may be before the person’s eighteenth
birthday, except that in no case may such person be afforded
educational assistance under this chapter for pursuit of sec-
ondary schooling unless such course pursuit would otherwise
be authorized under this subsection.
(b)(1)(A) Except as provided in subparagraph (B), (C), or (D),
a person made eligible by subparagraph (B) or (D) of section
3501(a)(1) of this title or a person made eligible by the disability
of a spouse under section 3501(a)(1)(E) of this title may be afforded
educational assistance under this chapter during the 10-year period
beginning on the date (as determined by the Secretary) the person
becomes an eligible person within the meaning of section

3501(a)(1)(B), 3501(a)(1)(D)(i), 3501(a)(1)(D)(ii), or 3501(a)(1)(E) of
this title. In the case of a surviving spouse made eligible by clause
(ii) of section 3501(a)(1)(D) of this title, the 10-year period may not
be reduced by any earlier period during which the person was eligi-
ble for educational assistance under this chapter as a spouse made
eligible by clause (i) of that section.
(B) Notwithstanding subparagraph (A), an eligible person re-
ferred to in that subparagraph may, subject to the Secretary’s ap-
proval, elect a later beginning date for the 10-year period than
would otherwise be applicable to the person under that subpara-
graph. The beginning date so elected may be any date between the
beginning date determined for the person under subparagraph (A)
and whichever of the following dates applies:
(i) The date on which the Secretary notifies the veteran
from whom eligibility is derived that the veteran has a service-
connected total disability permanent in nature.
(ii) The date on which the Secretary determines that the
veteran from whom eligibility is derived died of a service-con-
nected disability.
(iii) The date on which the Secretary notifies the member
of the Armed Forces from whom eligibility is derived that the
member has a total disability permanent in nature incurred or
aggravated in the line of duty in the active military, naval, or
air service.
(C) Notwithstanding subparagraph (A), an eligible person re-
ferred to in that subparagraph who is made eligible under section
3501(a)(1)(B) of this title by reason of the death of a person on ac-
tive duty may be afforded educational assistance under this chap-
ter during the 20-year period beginning on the date (as determined
by the Secretary) such person becomes an eligible person within
the meaning of such section.
(D) Notwithstanding subparagraph (A), an eligible person re-
ferred to in that subparagraph who is made eligible under section
3501(a)(1)(D)(i) of this title by reason of a service-connected dis-
ability that was determined to be a total disability permanent in
nature not later than three years after discharge from service may
be afforded educational assistance under this chapter during the
20-year period beginning on the date the disability was so deter-
mined to be a total disability permanent in nature, but only if the
eligible person remains the spouse of the disabled person through-
out the period.
(2) Notwithstanding the provisions of paragraph (1) of this sub-
section, in the case of any eligible person (as defined in section
3501(a)(1)(B), (C), (D), or (E) of this title) whose eligibility is based
on the death or disability of a spouse or on a spouse being listed
in one of the categories referred to in section 3501(a)(1)(C) of this
title who was prevented from initiating or completing such person’s
chosen program of education within such period because of a phys-
ical or mental disability which was not the result of such person’s
own willful misconduct, such person shall, upon application made
within one year after (A) the last date of the delimiting period oth-
erwise applicable under this section, (B) the termination of the pe-
riod of mental or physical disability, or (C) October 1, 1980, which-
ever is the latest, be granted an extension of the applicable delim-

iting period for such length of time as the Secretary determines,
from the evidence, that such person was so prevented from initi-
ating or completing such program of education. When an extension
of the applicable delimiting period is granted under the exception
in the preceding sentence, the delimiting period will again begin
running on the first day following such eligible person’s recovery
from such disability on which it is reasonably feasible, as deter-
mined in accordance with regulations which the Secretary shall
prescribe, for such eligible person to initiate or resume pursuit of
a program of education with educational assistance under this
chapter.
(c) Notwithstanding the provisions of subsection (a) of this sec-
tion, an eligible person may be afforded educational assistance be-
yond the age limitation applicable to such person under such sub-
section if (1) such person suspends pursuit of such person’s pro-
gram of education after having enrolled in such program within the
time period applicable to such person under such subsection, (2)
such person is unable to complete such program after the period of
suspension and before attaining the age limitation applicable to
such person under such subsection, and (3) the Secretary finds that
the suspension was due to conditions beyond the control of such
person; but in no event shall educational assistance be afforded
such person by reason of this subsection beyond the age limitation
applicable to such person under subsection (a) of this section plus
a period of time equal to the period such person was required to
suspend the pursuit of such person’s program, or beyond such per-
son’s thirty-first birthday, whichever is earlier.
(d) The term ‘‘first finds’’ as used in this section means the ef-
fective date of the rating or date of notification to the person from
whom eligibility is derived establishing a service-connected total
disability permanent in nature whichever is more advantageous to
the eligible person.
(e) No person made eligible by section 3501(a)(1)(C) of this title
based on a spouse being listed in one of the categories referred to
in section 3501(a)(1)(C) of this title may be afforded educational as-
sistance under this chapter beyond 10 years after the date on
which the spouse was so listed.
ø(f) Repealed. Pub. L. 108–183, title III, Sec. 306(f)(2), Dec. 16,
2003, 117 Stat. 2661.¿
ø(g) Repealed. Pub. L. 107–103, title I, Sec. 108(b)(2), Dec. 27,
2001, 115 Stat. 985.¿
(h) Notwithstanding any other provision of this section, if an
eligible person, during the delimiting period otherwise applicable to
such person under this section, serves on active duty pursuant to
an order to active duty issued under section 688, 12301(a),
12301(d), 12301(g), 12302, or 12304 of title 10, or is involuntarily
ordered to full-time National Guard duty under section 502(f) of
title 32, such person shall be granted an extension of such delim-
iting period for the length of time equal to the period of such active
duty plus four months.
Oct. 15, 1962, 76 Stat. 926; Pub. L. 87–819, Sec. 2, Oct. 15, 1962, 76 Stat. 935; Pub.
L. 88–361, Sec. 3, July 7, 1964, 78 Stat. 297; Pub. L. 90–77, title III, Sec. 307(a),
Aug. 31, 1967, 81 Stat. 189; Pub. L. 90–631, Sec. 2(e), Oct. 23, 1968, 82 Stat. 1333;
Pub. L. 91–219, title II, Sec. 208, Mar. 26, 1970, 84 Stat. 83; Pub. L. 91–584, Sec.
3, Dec. 24, 1970, 84 Stat. 1575; Pub. L. 92–540, title IV, Sec. 402(1), Oct. 24, 1972,
86 Stat. 1090; Pub. L. 93–337, Sec. 2, July 10, 1974, 88 Stat. 292; Pub. L. 94–502,
title III, Sec. 304, 310(7)–(9), Oct. 15, 1976, 90 Stat. 2390, 2391; Pub. L. 95–202,
title II, Sec. 203(a)(2), (b)(2), Nov. 23, 1977, 91 Stat. 1439, 1440; Pub. L. 96–466,
title III, Sec. 321, 322, Oct. 17, 1980, 94 Stat. 2195; Pub. L. 97–66, title VI, Sec.
605(a), Oct. 17, 1981, 95 Stat. 1036; Pub. L. 97–295, Sec. 4(44), Oct. 12, 1982, 96
L. 99–576, title III, Sec. 313, Oct. 28, 1986, 100 Stat. 3273; Pub. L. 101–237, title
IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3512 and
419, title I, Secs. 112, 114(b), Nov. 1, 2000, 114 Stat. 1831, 1833; Pub. L. 107–14,
Secs. 7(f)(1), 8(a)(6), June 5, 2001, 115 Stat. 33, 34; Pub. L. 107–103, title I, Secs.
103(b), 108(b)(2), (c)(2), (3), Dec. 27, 2001, 115 Stat. 979, 985; Pub. L. 107–330, title
III, Sec. 308(e)(1), Dec. 6, 2002, 116 Stat. 2828; Pub. L. 108–183, title III, Secs.
303(a), 306(f)(2), Dec. 16, 2003, 117 Stat. 2659, 2661; Pub. L. 108–454, title I, Sec.
105, Dec. 10, 2004, 118 Stat. 3602; Pub. L. 109–444, Sec. 3(b)(3), Dec. 21, 2006, 120
Stat. 3306; Pub. L. 109–461, title III, Sec. 301(b)(3), title X, Sec. 1006(b), Dec. 22,
2006, 120 Stat. 3426, 3468; Pub. L. 110–389, title III, Sec. 321, Oct. 10, 2008, 122
Stat. 4168.)
§ 3513. Application
The parent or guardian of a person or the eligible person if
such person has attained legal majority for whom educational as-
sistance is sought under this chapter shall submit an application
to the Secretary which shall be in such form and contain such in-
formation as the Secretary shall prescribe. If the Secretary finds
that the person on whose behalf the application is submitted is an
eligible person, the Secretary shall approve the application provi-
sionally. The Secretary shall notify the parent or guardian or eligi-
ble person (if the person has attained legal majority) of the provi-
sional approval or of the disapproval of the application.
Sec. 305, Oct. 15, 1976, 90 Stat. 2390; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A),
6, 1991, 105 Stat. 406.)
§ 3514. Processing of applications

(a) Further processing of an application for educational assist-
ance and the award of such assistance shall be pursuant to the re-
quirements of subchapters III and IV of this chapter unless the
parent or guardian requests special restorative training for the eli-
gible person, in which case the application will be processed under
subchapter V of this chapter.
(b) If the request for special restorative training is approved,
educational assistance will be afforded pursuant to the terms of
subchapter V of this chapter. If the request for special restorative
training is disapproved, or if approved the restorative training is
completed or discontinued, any educational assistance subsequently
afforded will be in accordance with subchapters III and IV of this
chapter.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)

§ 3520. Educational and vocational counseling
The Secretary may, upon request, arrange for educational or
vocational counseling for persons eligible for benefits under this
chapter to assist such persons in selecting their educational, voca-
tional, or professional objectives and in developing their programs
of education.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1195, Sec. 1720; Pub. L. 90–631, Sec. 2(g),
Oct. 23, 1968, 82 Stat. 1333; Pub. L. 91–584, Sec. 4, Dec. 24, 1970, 84 Stat. 1576;
Pub. L. 92–540, title III, Sec. 310, Oct. 24, 1972, 86 Stat. 1083; Pub. L. 94–502, title
III, Sec. 310(10), Oct. 15, 1976, 90 Stat. 2391; Pub. L. 96–466, title III, Sec. 323(a),
Pub. L. 99–576, title III, Sec. 314(a), Oct. 28, 1986, 100 Stat. 3273; Pub. L. 101–
237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3520,
§ 3521. Approval of application

The Secretary shall approve an application if the Secretary
finds that—
(1) the proposed program of education constitutes a ‘‘pro-
gram of education’’ as that term is defined in this chapter;
(2) the eligible person is not already qualified, by reason
of previous education or training, for the educational, profes-
sional, or vocational objective for which the program of edu-
cation is offered;
(3) the eligible person’s proposed educational institution or
training establishment is in compliance with all the require-
ments of this chapter and chapter 36 of this title; and
(4) it does not appear that the enrollment in or pursuit of
such person’s program of education would violate any provi-
sions of this chapter or chapter 36 of this title.
Sec. 310(11), Oct. 15, 1976, 90 Stat. 2391; Pub. L. 96–466, title III, Sec. 324, Oct.
17, 1980, 94 Stat. 2196; Pub. L. 99–576, title III, Sec. 314(b)(1), (2), Oct. 28, 1986,
100 Stat. 3273; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat.
ø§ 3522. Vacant¿
§ 3523. Disapproval of enrollment in certain courses
(a) The Secretary shall not approve the enrollment of an eligi-
ble person in—
(1) any bartending course or personality development
course;
(2) any sales or sales management course which does not
provide specialized training within a specific vocational field;
(3) any type of course which the Secretary finds to be avo-
cational or recreational in character (or the advertising for
which the Secretary finds contains significant avocational or
recreational themes) unless the eligible person submits jus-
tification showing that the course will be a bona fide use in the
pursuit of the person’s present or contemplated business or oc-
cupation; or
(4) any independent study program except an accredited

independent study program (including open circuit television)
leading to a standard college degree.
(b) The Secretary shall not approve the enrollment of an eligi-
ble person in any course of flight training other than one given by
an educational institution of higher learning for credit toward a
standard college degree the eligible person is seeking.
(c) The Secretary shall not approve the enrollment of an eligi-
ble person in any course to be pursued by radio.
(d) The Secretary shall not approve the enrollment of an eligi-
ble person in any course which is to be pursued as a part of such
person’s regular secondary school education (except as provided in
section 3533 of this title), but this subsection shall not prevent the
enrollment of an eligible person in a course not leading to a stand-
ard college degree if the Secretary finds that such person has
ended such person’s secondary school education (by completion or
otherwise) and that such course is a specialized vocational course
pursued for the purpose of qualifying in a bona fide vocational ob-
jective.
(e) An eligible person may not enroll in any course at an edu-
cational institution which is not located in a State or in the Repub-
lic of the Philippines, unless such course is pursued at an approved
institution of higher learning and the course is approved by the
Secretary. The Secretary, in the Secretary’s discretion, may deny or
discontinue educational assistance under this chapter in the case
of any eligible person in such an institution if the Secretary deter-
mines that such enrollment is not in the best interest of the eligible
person or the Federal Government.
Sept. 14, 1960, 74 Stat. 1024; Pub. L. 87–546, July 25, 1962, 76 Stat. 216; Pub. L.
91–219, title II, Sec. 209, Mar. 26, 1970, 84 Stat. 83; Pub. L. 92–540, title III, Sec.
311, Oct. 24, 1972, 86 Stat. 1083; Pub. L. 93–508, title II, Sec. 207, Dec. 3, 1974,
88 Stat. 1583; Pub. L. 94–502, title III, Sec. 306, 310(12)–(14), Oct. 15, 1976, 90
Stat. 2390, 2392; Pub. L. 96–466, title III, Sec. 325, 326, 327(b), Oct. 17, 1980, 94
Stat. 2196, 2197; Pub. L. 97–306, title II, Sec. 202(b), Oct. 14, 1982, 96 Stat. 1433;
Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), (2), Dec. 18, 1989, 103 Stat. 2092; re-
105 Stat. 406; Pub. L. 102–568, title III, Sec. 313(a)(7), Oct. 29, 1992, 106 Stat.
4333; Pub. L. 104–275, title I, Sec. 104(b), Oct. 9, 1996, 110 Stat. 3327.)
§ 3524. Discontinuance for unsatisfactory progress

The Secretary shall discontinue the educational assistance al-
lowance on behalf of an eligible person if, at any time, the Sec-
retary finds that according to the regularly prescribed standards
and practices of the educational institution such person is attend-
ing, the person’s attendance, conduct, or progress is unsatisfactory.
The Secretary may renew the payment of the educational assist-
ance allowance only if the Secretary finds that—
(1) the eligible person will be resuming enrollment at the
same educational institution in the same program of education
and the educational institution has both approved such eligible
person’s reenrollment and certified it to the Department of Vet-
erans Affairs; or
(2) in the case of a proposed change of either educational
institution or program of education by the eligible person—
(A) the cause of the unsatisfactory attendance, con-

duct, or progress has been removed;
(B) the program proposed to be pursued is suitable to
the eligible person’s aptitudes, interests, and abilities; and
(C) if a proposed change of program is involved, the
change meets the requirements for approval under section
3691 of this title.
Sec. 307, 310(15), Oct. 15, 1976, 90 Stat. 2390, 2392; Pub. L. 95–202, title III, Sec.
305(b)(1), Nov. 23, 1977, 91 Stat. 1443; Pub. L. 96–466, title III, Sec. 328, Oct. 17,
1980, 94 Stat. 2197; Pub. L. 101–237, title IV, Sec. 411(b), 412(b), 423(b)(1)(A), Dec.
18, 1989, 103 Stat. 2084, 2085, 2092; renumbered Sec. 3524 and amended Pub. L.
102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
ø§§ 3525, 3526. Vacant¿

§ 3531. Educational assistance allowance
(a) The Secretary shall, in accordance with the provisions of
chapter 36 of this title, pay to the parent or guardian of each eligi-
ble person who is pursuing a program of education under this chap-
ter, and who applies therefor on behalf of such eligible person, an
educational assistance allowance to meet, in part, the expenses of
the eligible person’s subsistence, tuition, fees, supplies, books,
equipment, and other educational costs.
(b) The educational assistance allowance of an eligible person
pursuing a program of education at an educational institution shall
be paid as provided in chapter 36 of this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1197, Sec. 1731; Pub. L. 89–358, Sec. 4(l),
Mar. 3, 1966, 80 Stat. 24; Pub. L. 92–540, title III, Sec. 312, Oct. 24, 1972, 86 Stat.
1083; Pub. L. 94–502, title III, Sec. 309(c), 310(16), Oct. 15, 1976, 90 Stat. 2391,
237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3531,
§ 3532. Computation of educational assistance allowance

(a)(1) The educational assistance allowance on behalf of an eli-
gible person who is pursuing a program of education consisting of
institutional courses shall be paid at the monthly rate of $788 for
full-time, $592 for three-quarter-time, or $394 for half-time pursuit.
(2) The educational assistance allowance on behalf of an eligi-
ble person pursuing a program of education on less than a half-
time basis shall be paid at the rate of the lesser of—
(A) the established charges for tuition and fees that the
educational institution involved requires similarly
circumstanced nonveterans enrolled in the same program to
pay; or
(B) $788 per month for a full-time course.
(b) The educational assistance allowance to be paid on behalf
of an eligible person who is pursuing a full-time program of edu-
cation which consists of institutional courses and alternate phases
of training in a business or industrial establishment with the train-
ing in the business or industrial establishment being strictly sup-
plemental to the institutional portion, shall be computed at the
rate of $788 per month.
(c)(1) An eligible person who is enrolled in an educational insti-

tution for a ‘‘farm cooperative’’ program consisting of institutional
agricultural courses prescheduled to fall within forty-four weeks of
any period of twelve consecutive months and who pursues such
program on—
(A) a full-time basis (a minimum of ten clock hours per
week or four hundred and forty clock hours in such year
prescheduled to provide not less than eighty clock hours in any
three-month period),
(B) a three-quarter-time basis (a minimum of seven clock
hours per week), or
(C) a half-time basis (a minimum of five clock hours per
week),
shall be eligible to receive an educational assistance allowance at
the appropriate rate provided in paragraph (2) of this subsection,
if such eligible person is concurrently engaged in agricultural em-
ployment which is relevant to such institutional agricultural
courses as determined under standards prescribed by the Sec-
retary. In computing the foregoing clock hour requirements there
shall be included the time involved in field trips and individual and
group instruction sponsored and conducted by the educational insti-
tution through a duly authorized instructor of such institution in
which the person is enrolled.
(2) The monthly educational assistance allowance to be paid on
behalf of an eligible person pursuing a farm cooperative program
under this chapter shall be $636 for full-time, $477 for three-quar-
ter-time, or $319 for half-time pursuit.
(d) If a program of education is pursued by an eligible person
at an institution located in the Republic of the Philippines, the edu-
cational assistance allowance computed for such person under this
section shall be paid at the rate of $0.50 for each dollar.
(e) In the case of an eligible person who is pursuing a program
of education under this chapter while incarcerated in a Federal,
State, local, or other penal institution or correctional facility for
conviction of a felony, the educational assistance allowance shall be
paid in the same manner prescribed in section 3482(g) of this title
for incarcerated veterans, except that the references therein to the
monthly educational assistance allowance prescribed for a veteran
with no dependents shall be deemed to refer to the applicable al-
lowance payable to an eligible person under corresponding provi-
sions of this chapter or chapter 36 of this title, as determined by
the Secretary.
(f)(1) Subject to paragraph (3), the amount of educational as-
test described in section 3501(a)(5) of this title is the lesser of
$2,000 or the fee charged for the test.

(g)(1) Subject to paragraph (3), the amount of educational as-
institutions of higher learning described in section 3501(a)(5) of
this title is the amount of the fee charged for the test.
wise be paid under this chapter.
ter.
Sept. 30, 1965, 79 Stat. 896; Pub. L. 91–219, title I, Sec. 104(a), (b), title II, Sec.
210, Mar. 25, 1970, 84 Stat. 77, 78, 83; Pub. L. 92–540, title I, Sec. 103(1)–(3), Oct.
24, 1972, 86 Stat. 1075, 1076; Pub. L. 93–508, title I, Sec. 103(1)–(3), title II, Sec.
208, Dec. 3, 1974, 88 Stat. 1580, 1584; Pub. L. 93–602, title II, Sec. 204(a), Jan. 2,
1975, 88 Stat. 1958; Pub. L. 94–502, title III, Sec. 301(1), 308, Oct. 15, 1976, 90
Stat. 2389, 2390; Pub. L. 95–202, title I, Sec. 103(1), Nov. 23, 1977, 91 Stat. 1434;
Pub. L. 96–466, title II, Sec. 202(1), 212(1), title III, Sec. 330, title VI, Sec. 602(b),
Oct. 17, 1980, 94 Stat. 2188, 2190, 2198, 2209; Pub. L. 98–543, title II, Sec. 203(1),
Oct. 24, 1984, 98 Stat. 2742; Pub. L. 101–237, title IV, Sec. 403(a)(1)–(7),
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2078, 2079, 2092; Pub. L. 102–16, Sec. 10(a)(6),
Mar. 22, 1991, 105 Stat. 56; renumbered Sec. 3532 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 316(b),
Oct. 29, 1992, 106 Stat. 4334; Pub. L. 103–446, title V, Sec. 507(b), Nov. 2, 1994,
108 Stat. 4664; Pub. L. 104–275, title I, Sec. 105(c), Oct. 9, 1996, 110 Stat. 3327;
Pub. L. 105–178, title VIII, Sec. 8210(a), as added Pub. L. 105–206, title IX, Sec.
9014(b), July 22, 1998, 112 Stat. 866; Pub. L. 106–419, title I, Secs. 111(a),
122(b)(4), Nov. 1, 2000, 114 Stat. 1830, 1834; Pub. L. 107–103, title I, Sec. 102(a),
Dec. 27, 2001, 115 Stat. 978; Pub. L. 108–183, title III, Sec. 302(a), Dec. 16, 2003,
117 Stat. 2658; Pub. L. 108–454, title I, Sec. 106(b)(3), Dec. 10, 2004, 118 Stat. 3603;
Pub. L. 109–461, title X, Sec. 1002(e), Dec. 22, 2006, 120 Stat. 3465.)
§ 3533. Special assistance for the educationally disadvan-
taged
(a)(1) Any eligible person shall be entitled to the assistance
provided an eligible veteran under section 3491(a) (if pursued in a
State) of this title and be paid an educational assistance allowance
therefor in the manner prescribed by section 3491(b) of this title,
except that the corresponding rate provisions of this chapter shall
apply, as determined by the Secretary, to such pursuit by an eligi-
ble person.
(2) Educational assistance under this chapter for the first five
months of full-time pursuit of a program (or the equivalent thereof
in part-time educational assistance) consisting of such course or
courses shall be provided without charge to entitlement.
(b) Any eligible person shall, without charge to any entitlement
such person may have under section 3511 of this title, be entitled
to the benefits provided an eligible veteran under section 3492 of
this title.
amended Pub. L. 94–502, title III, Sec. 310(17), (18), Oct. 15, 1976, 90 Stat. 2392;
Pub. L. 98–223, title II, Sec. 203(b), Mar. 2, 1984, 98 Stat. 41; Pub. L. 100–689, title
I, Sec. 106(c), Nov. 18, 1988, 102 Stat. 4167; Pub. L. 101–237, title IV, Sec. 403(a)(8),
Dec. 18, 1989, 103 Stat. 2079; Pub. L. 102–16, Sec. 10(a)(6), Mar. 22, 1991, 105 Stat.
1991, 105 Stat. 406.)
§ 3534. Apprenticeship or other on-job training; correspond-

ence courses
(a) Any eligible person shall be entitled to pursue, in a State,
a program of apprenticeship or other on-job training and be paid
a training assistance allowance as provided in section 3687 of this
title.
(b) Any eligible spouse or surviving spouse shall be entitled to
pursue a program of education exclusively by correspondence and
be paid an educational assistance allowance as provided in section
3686 (other than subsection (a)(2)) of this title and the period of
such spouse’s entitlement shall be charged with one month for each
$788 which is paid to the spouse as an educational assistance al-
lowance for such course.
amended Pub. L. 94–502, title III, Sec. 310(19), Oct. 15, 1976, 90 Stat. 2392; Pub.
L. 101–237, title IV, Sec. 403(a)(9), Dec. 18, 1989, 103 Stat. 2079; renumbered Sec.
L. 105–178, title VIII, Sec. 8210(b), as added Pub. L. 105–206, title IX, Sec. 9014(b),
July 22, 1998, 11 Stat. 966; Pub. L. 106–419, title I, Sec. 111(b), Nov. 1, 2000, 114
Stat. 1830; Pub. L. 107–103, title I, Sec. 102(b), Dec. 27, 2001, 115 Stat. 978; Pub.
L. 108–183, title III, Sec. 302(b), Dec. 16, 2003, 117 Stat. 2659.)

An eligible person shall receive the benefits of this chapter
while enrolled in a course of education offered by an educational
institution only if such course (1) is approved in accordance with
the provisions of subchapter I of chapter 36 of this title, or (2) is
approved for the enrollment of the particular individual under the
provisions of section 3536 of this title.
Sept. 23, 1963, 77 Stat. 162; Pub. L. 89–358, Sec. 4(n), Mar. 3, 1966, 80 Stat. 25;
Pub. L. 92–540, title IV, Sec. 402(4), Oct. 24, 1972, 86 Stat. 1090; renumbered Sec.
3535 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 3536. Specialized vocational training courses

The Secretary may approve a specialized course of vocational
training leading to a predetermined vocational objective for the en-
rollment of an eligible person under this subchapter if the Sec-
retary finds that such course, either alone or when combined with
other courses, constitutes a program of education which is suitable
for that person and is required because of a mental or physical
handicap.
Sept. 23, 1963, 77 Stat. 162; renumbered Sec. 1736, Pub. L. 92–540, title IV, Sec.
402(3), Oct. 24, 1972, 86 Stat. 1090; Pub. L. 94–502, title III, Sec. 310(20), Oct. 15,
1976, 90 Stat. 2392; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18,
1989, 103 Stat. 2092; renumbered Sec. 3536, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991,
105 Stat. 406.)
§ 3537. Work-study allowance

(a) Subject to subsection (b) of this section, the Secretary shall
utilize, in connection with the activities described in section
3485(a) of this title, the services of any eligible person who is pur-
suing, in a State, at least a three-quarter-time program of edu-
cation (other than a course of special restorative training) and shall
pay to such person an additional educational assistance allowance
(hereinafter in this section referred to as ‘‘work-study allowance’’)
in return for such eligible person’s agreement to perform such serv-
ices. The amount of the work-study allowance shall be determined
in accordance with section 3485(a) of this title.
(b) The Secretary’s utilization of, and payment of a work-study
allowance for, the services of an eligible person pursuant to sub-
section (a) of this section shall be subject to the same requirements,
terms, and conditions as are set out in section 3485 of this title
with regard to individuals pursuing at least three-quarter-time pro-
grams of education referred to in subsection (b) of such section.
(Added Pub. L. 101–237, title IV, Sec. 406(a)(1), Dec. 18, 1989, 103 Stat. 2082, Sec.
1991, 105 Stat. 406; Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35.)
ø§ 3538. Vacant¿
§ 3540. Purpose
The purpose of special restorative training is to overcome, or
lessen, the effects of a manifest physical or mental disability which
would handicap an eligible person (other than a person made eligi-
ble under subparagraph (C) of such section by reason of a spouse
being listed in one of the categories referred to in that subpara-
graph) in the pursuit of a program of education.
Sec. 331, Oct. 17, 1980, 94 Stat. 2198; renumbered Sec. 3540 and amended Pub. L.
102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–103, title I, Sec.
109(a), Dec. 27, 2001, 115 Stat. 986; Pub. L. 109–444, Sec. 3(b)(4), Dec. 21, 2006,
120 Stat. 3307; Pub. L. 109–461, title III, Sec. 301(b)(4), title X, Sec. 1006(b), Dec.
22, 2006, 120 Stat. 3427, 3468.)
§ 3541. Entitlement to special restorative training

(a) The Secretary at the request of an eligible person is author-
ized—
(1) to determine whether such person is in need of special
restorative training; and
(2) where need is found to exist, to prescribe a course
which is suitable to accomplish the purposes of this chapter.
Such a course, at the discretion of the Secretary, may contain ele-
ments that would contribute toward an ultimate objective of a pro-
gram of education.
(b) The total period of educational assistance under this sub-
chapter and other subchapters of this chapter may not exceed the
amount of entitlement as established in section 3511 of this title,
except that the Secretary may extend such period in the case of
any person if the Secretary finds that additional assistance is nec-
essary to accomplish the purpose of special restorative training as

stated in subsection (a) of this section.
7, 1964, 78 Stat. 298; Pub. L. 94–502, title III, Sec. 310(21), Oct. 15, 1976, 90 Stat.
2392; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; re-
105 Stat. 406; Pub. L. 107–103, title I, Sec. 109(b)(1), Dec. 27, 2001, 115 Stat. 986.)
§ 3542. Special training allowance

(a) While the eligible person is enrolled in and pursuing a full-
time course of special restorative training, the eligible person shall
be entitled to receive a special training allowance computed at the
basic rate of $788 per month. If the charges for tuition and fees ap-
plicable to any such course are more than $247 per calendar
month, the basic monthly allowance may be increased by the
amount that such charges exceed $247 a month, upon election by
the eligible person to have such person’s period of entitlement re-
duced by one day for each such increased amount of allowance that
is equal to one-thirtieth of the full-time basic monthly rate of spe-
cial training allowance.
(b) No payments of a special training allowance shall be made
for the same period for which the payment of an educational assist-
ance allowance is made or for any period during which the training
is pursued on less than a full-time basis.
(c) Full-time training for the purpose of this section shall be
determined by the Secretary with respect to the capacities of the
individual trainee.
Sept. 30, 1965, 79 Stat. 896; Pub. L. 91–219, title I, Sec. 104(c), Mar. 26, 1970, 84
Stat. 78; Pub. L. 92–540, title I, Sec. 103(4), Oct. 24, 1972, 86 Stat. 1076; Pub. L.
93–508, title I, Sec. 103(4), Dec. 3, 1974, 88 Stat. 1580; Pub. L. 93–602, title II, Sec.
204(b), Jan. 2, 1975, 88 Stat. 1958; Pub. L. 94–502, title III, Sec. 301(2), Oct. 15,
1976, 90 Stat. 2389; Pub. L. 95–202, title I, Sec. 103(2), Nov. 23, 1977, 91 Stat.
1435; Pub. L. 96–466, title II, Sec. 202(2), 212(2), Oct. 17, 1980, 94 Stat. 2188, 2190;
Pub. L. 98–543, title II, Sec. 203(2), Oct. 24, 1984, 98 Stat. 2742; Pub. L. 101–237,
title IV, Sec. 403(a)(10), 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2080, 2092; renum-
178, title VIII, Sec. 8210(c), as added Pub. L. 105–206, title IX, Sec. 9014(b), July
22, 1998, 112 Stat. 866; Pub. L. 106–419, title I, Sec. 111(c), Nov. 1, 2000, 114 Stat.
1830; Pub. L. 107–103, title I, Secs. 102(c), 109(b)(2), Dec. 27, 2001, 115 Stat. 978,
986; Pub. L. 108–183, title III, Sec. 302(c), Dec. 16, 2003, 117 Stat. 2659.)
§ 3543. Special administrative provisions

(a) In carrying out the Secretary’s responsibilities under this
chapter the Secretary may by agreement arrange with public or
private educational institutions or others to provide training ar-
rangements as may be suitable and necessary to accomplish the
purposes of this subchapter. In any instance where the Secretary
finds that a customary tuition charge is not applicable, the Sec-
retary may agree on the fair and reasonable amounts which may
be charged for the training provided to the eligible person.
(b) The Secretary shall make such rules and regulations as the
Secretary may deem necessary in order to promote good conduct on
the part of the persons who are following courses of special restora-
tive training and otherwise to carry out the purposes of this chap-
ter.
(c) In a case in which the Secretary authorizes training under

section 3541(a) of this title on behalf of an eligible person, the par-
ent or guardian shall be entitled—
(1) to receive on behalf of the eligible person the special
training allowance provided for under section 3542(a) of this
title;
(2) to elect an increase in the basic monthly allowance pro-
vided for under such section; and
(3) to agree with the Secretary on the fair and reasonable
amounts which may be charged under subsection (a).
Sec. 310(22), Oct. 15, 1976, 90 Stat. 2392; Pub. L. 101–237, title IV, Sec.
423(b)(1)(A), (2), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3543, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–103, title I, Sec. 109(b)(3),
(4), Dec. 27, 2001, 115 Stat. 986.)

§ 3561. Authority and duties of Secretary
(a) The Secretary may provide the educational and vocational
counseling authorized under section 3520 of this title, and may pro-
vide additional counseling if the Secretary deems it to be necessary
to accomplish the purposes of this chapter.
(b) Where any provision of this chapter authorizes or requires
any function, power, or duty to be exercised by a State, or by any
officer or agency thereof, such function, power, or duty shall, with
respect to the Republic of the Philippines, be exercised by the Sec-
retary.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1200, Sec. 1761; Pub. L. 89–358, Sec. 3(a)(1),
Mar. 3, 1966, 80 Stat. 19; Pub. L. 94–502, title III, Sec. 310(23), Oct. 15, 1976, 90
Stat. 2392; Pub. L. 96–466, title III, Sec. 323(b), Oct. 17, 1980, 94 Stat. 2196; Pub.
406.)
§ 3562. Nonduplication of benefits
The commencement of a program of education or special restor-
ative training under this chapter shall be a bar (1) to subsequent
payments of compensation, dependency and indemnity compensa-
tion, or pension based on the death of a parent to an eligible person
over the age of eighteen by reason of pursuing a course in an edu-
cational institution, or (2) to increased rates, or additional
amounts, of compensation, dependency and indemnity compensa-
tion, or pension because of such a person whether eligibility is
based upon the death or upon the total permanent disability of the
parent.
7, 1964, 78 Stat. 298; Pub. L. 89–358, Sec. 3(a)(2), Mar. 3, 1966, 80 Stat. 20; renum-
§ 3563. Notification of eligibility

The Secretary shall notify the parent or guardian of each eligi-
ble person whose eligibility is based on the death or disability of
a parent or on a parent being listed in one of the categories re-
ferred to in section 3501(a)(1)(C) of this title of the educational as-
sistance available to such person under this chapter. Such notifica-
tion shall be provided not later than the month in which such eligi-
ble person attains such person’s thirteenth birthday or as soon
thereafter as feasible.
(Added Pub. L. 91–219, title II, Sec. 207(a), Mar. 26, 1970, 84 Stat. 82, Sec. 1763;
amended Pub. L. 94–502, title III, Sec. 310(24), Oct. 15, 1976, 90 Stat. 2392; Pub.
L. 97–295, Sec. 4(46), Oct. 12, 1982, 96 Stat. 1308; Pub. L. 101–237, title IV, Sec.
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3563 and amended
Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 109–444, Sec.
3(b)(5), Dec. 21, 2006, 120 Stat. 3307; Pub. L. 109–461, title III, Sec. 301(b)(5), title
X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3427, 3468.)
§ 3564. Annual adjustment of amounts of educational assist-

ance
(a) With respect to any fiscal year, the Secretary shall provide
a percentage increase in the rates payable under sections 3532,
3534(b), and 3542(a) of this title equal to the percentage by
which—
(1) the Consumer Price Index (all items, United States city
average) for the 12-month period ending on the June 30 pre-
ceding the beginning of the fiscal year for which the increase
is made, exceeds
(2) such Consumer Price Index for the 12-month period
preceding the 12-month period described in paragraph (1).
(b) Any increase under subsection (a) in a rate with respect to
a fiscal year after fiscal year 2004 and before fiscal year 2014 shall
be rounded down to the next lower whole dollar amount. Any such
increase with respect to a fiscal year after fiscal year 2013 shall be
rounded to the nearest whole dollar amount.
(Added Pub. L. 106–419, title I, Sec. 111(f)(1)(A), Nov. 1, 2000, 114 Stat. 1831;
amended Pub. L. 108–183, title III, Sec. 304(b), Dec. 16, 2003, 117 Stat. 2660.)
SUBCHAPTER VII—PHILIPPINE COMMONWEALTH ARMY

AND PHILIPPINE SCOUTS
§ 3565. Children of certain Philippine veterans
(a) BASIC ELIGIBILITY.—The term ‘‘eligible person’’ as used in
section 3501(a)(1) of this title includes the children of those Com-
monwealth Army veterans and ‘‘New’’ Philippine Scouts who meet
the requirements of service-connected disability or death, based on
service as defined in section 3566 of this title.
(b) ADMINISTRATIVE PROVISIONS.—The provisions of this chap-
ter and chapter 36 shall apply to the educational assistance for
children of Commonwealth Army veterans and ‘‘New’’ Philippine
Scouts, except that—
(1) educational assistance allowances authorized by section
3532 of this title and the special training allowance authorized
by section 3542 of this title shall be paid at the rate of $0.50
for each dollar, and
(2) any reference to a State approving agency shall be
deemed to refer to the Secretary.
(c) DELIMITING DATES.—In the case of any individual who is an
eligible person solely by virtue of subsection (a) of this section, and
who is above the age of seventeen years and below the age of twen-
ty-three years on September 30, 1966, the period referred to in sec-
tion 3512 of this title shall not end until the expiration of the five-
year period which begins on September 30, 1966.
(Added Pub. L. 89–613, Sec. 1, Sept. 30, 1966, 80 Stat. 861, Sec. 1765; amended
Pub. L. 91–24, Sec. 9(c), June 11, 1969, 83 Stat. 34; Pub. L. 97–295, Sec. 4(47), Oct.
12, 1982, 96 Stat. 1308; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989,
Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title V, Sec. 507(b), Nov. 2, 1994, 108
Stat. 4664; Pub. L. 109–233, title V, Sec. 503(8)(A), June 15, 2006, 120 Stat. 416.)
(a) The term ‘‘Commonwealth Army veterans’’ means persons
who served before July 1, 1946, in the organized military forces of
the Government of the Philippines, while such forces were in the
service of the Armed Forces pursuant to the military order of the
President dated July 26, 1941, including among such military
forces organized guerrilla forces under commanders appointed, des-
ignated, or subsequently recognized by the Commander-in-Chief,
Southwest Pacific Area, or other competent authority in the Army
of the United States, and who were discharged or released from
such service under conditions other than dishonorable.
(b) The term ‘‘‘‘New’’ Philippine Scouts’’ means Philippine
Scouts who served under section 14 of the Armed Forces Voluntary
Recruitment Act of 1945, and who were discharged or released
from such service under conditions other than dishonorable.
(Added Pub. L. 89–613, Sec. 1, Sept. 30, 1966, 80 Stat. 861, Sec. 1766; renumbered
533
CHAPTER 36—ADMINISTRATION OF EDUCATIONAL
BENEFITS
Sec.
3670. Scope of approval.
3671. Designation.
3673. Approval activities: cooperation and coordination of activities.
3674. Reimbursement of expenses.
3674A. Evaluations of agency performance; qualifications and performance of
agency personnel.
3675. Approval of accredited courses.
3676. Approval of nonaccredited courses.
3677. Approval of training on the job.
3678. Notice of approval of courses.
3679. Disapproval of courses.

3680. Payment of educational assistance or subsistence allowances.
3680A. Disapproval of enrollment in certain courses.
3681. Limitations on educational assistance.
3682. Control by agencies of the United States.
3683. Conflicting interests.
3684. Reports by veterans, eligible persons, and institutions; reporting fee.
3684A. Procedures relating to computer matching program.
3685. Overpayments to eligible persons or veterans.
3686. Correspondence courses.
3688. Measurement of courses.
3689. Approval requirements for licensing and certification testing.
3690. Overcharges by educational institutions; discontinuance of allowances; ex-
amination of records; false or misleading statements.
3691. Change of program.
3692. Advisory committee.
3693. Compliance surveys.
3694. Use of other Federal agencies.
3695. Limitation on period of assistance under two or more programs.
3696. Limitation on certain advertising, sales, and enrollment practices.
3697. Funding of contract educational and vocational counseling.
3697A. Educational and vocational counseling.
SUBCHAPTER III—REPEALED]
[3698. Repealed.]
[3699. Repealed.]
535
Sec. 3670 CH. 36—ADMINISTRATION OF EDUCATIONAL BENEFITS 536

§ 3670. Scope of approval
(a) A course approved under and for the purposes of this chap-
ter shall be deemed approved for the purposes of chapters 34 and
35 of this title.
(b) Any course approved under chapter 33 of this title, prior to
February 1, 1965, under subchapter VII of chapter 35 of this title,
prior to March 3, 1966, and not disapproved under section 3483,
section 1656 (as in effect prior to February 1, 1965), or section 3679
of this title, shall be deemed approved for the purposes of this
chapter.
(Added Pub. L. 89–358, Sec. 3(a)(5), Mar. 3, 1966, 80 Stat. 20, Sec. 1770; amended
Pub. L. 92–540, title IV, Sec. 403(1), Oct. 24, 1972, 86 Stat. 1090; Pub. L. 97–295,
Sec. 4(49), Oct. 12, 1982, 96 Stat. 1308; renumbered Sec. 3670 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 3671. Designation
(a) Unless otherwise established by the law of the State con-
cerned, the chief executive of each State is requested to create or
designate a State department or agency as the ‘‘State approving
agency’’ for such State for the purposes of this chapter and chap-
ters 34 and 35 of this title.
(b)(1) If any State fails or declines to create or designate a
State approving agency, or fails to enter into an agreement under
section 3674(a), the provisions of this chapter which refer to the
State approving agency shall, with respect to such State, be
deemed to refer to the Secretary.
(2) In the case of courses subject to approval by the Secretary
under section 3672 of this title, the provisions of this chapter which
refer to a State approving agency shall be deemed to refer to the
Secretary.
Pub. L. 89–358, Sec. 3(a)(6), Mar. 3, 1966, 80 Stat. 20; Pub. L. 92–540, title IV, Sec.
403(2), Oct. 24, 1972, 86 Stat. 1090; Pub. L. 94–502, title V, Sec. 513(a)(1), Oct. 15,
1976, 90 Stat. 2402; Pub. L. 100–323, Sec. 13(b)(4), May 20, 1988, 102 Stat. 573;
Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renum-
Stat. 406.)

(a) An eligible person or veteran shall receive the benefits of
this chapter and chapters 34 and 35 of this title while enrolled in
a course of education offered by an educational institution only if
(1) such course is approved as provided in this chapter and chap-
ters 34 and 35 of this title by the State approving agency for the
State where such educational institution is located, or by the Sec-
retary, or (2) such course is approved (A) for the enrollment of the
particular individual under the provisions of section 3536 of this
title or (B) for special restorative training under subchapter V of
chapter 35 of this title. Approval of courses by State approving
agencies shall be in accordance with the provisions of this chapter
and chapters 34 and 35 of this title and such other regulations and
policies as the State approving agency may adopt. Each State ap-
proving agency shall furnish the Secretary with a current list of
537 CH. 36—ADMINISTRATION OF EDUCATIONAL BENEFITS Sec. 3672
educational institutions specifying courses which it has approved,

and, in addition to such list, it shall furnish such other information
to the Secretary as it and the Secretary may determine to be nec-
essary to carry out the purposes of this chapter and chapters 34
and 35 of this title. Each State approving agency shall notify the
Secretary of the disapproval of any course previously approved and
shall set forth the reasons for such disapproval.
(b) The Secretary shall be responsible for the approval of
courses of education offered by any agency of the Federal Govern-
ment authorized under other laws to supervise such education. The
Secretary may approve any course in any other educational institu-
tion in accordance with the provisions of this chapter and chapters
34 and 35 of this title.
(c)(1) In the case of programs of apprenticeship where—
(A) the apprenticeship standards have been approved by
the Secretary of Labor pursuant to section 2 of the Act of Au-
gust 16, 1937 (popularly known as the ‘‘National Apprentice-
ship Act’’) (29 U.S.C. 50a), as a national apprenticeship pro-
gram for operation in more than one State, and
(B) the training establishment is a carrier directly engaged
in interstate commerce which provides such training in more
than one State,
the Secretary shall act as a ‘‘State approving agency’’ as such term
is used in section 3687(a)(1) of this title and shall be responsible
for the approval of all such programs.
(2) The period of a program of apprenticeship may be deter-
mined based upon a specific period of time (commonly referred to
as a ‘‘time-based program’’), based upon the demonstration of suc-
cessful mastery of skills (commonly referred to as a ‘‘competency-
based program’’), or based upon a combination thereof.
(3)(A) In the case of a competency-based program of appren-
ticeship, State approving agencies shall determine the period for
which payment may be made for such a program under chapters
30 and 35 of this title and chapter 1606 of title 10. In determining
the period of such a program, State approving agencies shall take
into consideration the approximate term of the program rec-
ommended in registered apprenticeship program standards recog-
nized by the Secretary of Labor.
(B) The sponsor of a competency-based program of apprentice-
ship shall provide notice to the State approving agency involved of
any such standards that may apply to the program and the pro-
posed approximate period of training under the program.
(4) The sponsor of a competency-based program of apprentice-
ship shall notify the Secretary upon the successful completion of a
program of apprenticeship by an individual under chapter 30 or 35
of this title, or chapter 1606 of title 10, as the case may be.
(d)(1) Pursuant to regulations prescribed by the Secretary in
consultation with the Secretary of Labor, the Secretary and State
approving agencies shall actively promote the development of ap-
prenticeship and on the job training programs for the purposes of
sections 3677 and 3687 of this title and shall utilize the services
of disabled veterans’ outreach program specialists under section
4103A of this title to promote the development of such programs.
The Secretary of Labor shall provide assistance and services to the
Secretary, and to State approving agencies, to increase the use of

apprenticeships.
(2) In conjunction with outreach services provided by the Sec-
retary under chapter 77 of this title for education and training ben-
efits, each State approving agency shall conduct outreach programs
and provide outreach services to eligible persons and veterans
about education and training benefits available under applicable
Federal and State law.
(e) A program of education exclusively by correspondence, and
the correspondence portion of a combination correspondence-resi-
dence course leading to a vocational objective, that is offered by an
educational institution (as defined in section 3452(c) of this title)
may be approved only if (1) the educational institution is accredited
by an entity recognized by the Secretary of Education, and (2) at
least 50 percent of those pursuing such a program or course require
six months or more to complete the program or course.
Pub. L. 89–358, Sec. 3(a)(7), (8), Mar. 3, 1966, 80 Stat. 20, 21; Pub. L. 91–219, title
II, Sec. 211, Mar. 26, 1970, 84 Stat. 83; Pub. L. 92–540, title IV, Sec. 403(3)–(5),
Oct. 24, 1972, 86 Stat. 1090; Pub. L. 96–466, title V, Sec. 502, Oct. 17, 1980, 94
Stat. 2203; Pub. L. 97–295, Sec. 4(50), Oct. 12, 1982, 96 Stat. 1308; Pub. L. 101–
237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3672
and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L.
103–446, title VI, Sec. 605(a)(1), Nov. 2, 1994, 108 Stat. 4671; Pub. L. 107–103, title
III, Sec. 303, Dec. 27, 2001, 115 Stat. 992; Pub. L. 108–454, title I, Secs. 104(a),
(b), 110(b), Dec. 10, 2004, 118 Stat. 3601, 3602, 3605.)
§ 3673. Approval activities: cooperation and coordination of

activities
(a) COOPERATION IN ACTIVITIES.—The Secretary and each State
approving agency shall take cognizance of the fact that definite du-
ties, functions, and responsibilities are conferred upon the Sec-
retary and each State approving agency under the educational pro-
grams established under this chapter and chapters 34 and 35 of
this title. To assure that such programs are effectively and effi-
ciently administered, the cooperation of the Secretary and the State
approving agencies is essential. It is necessary to establish an ex-
change of information pertaining to activities of educational institu-
tions, and particular attention should be given to the enforcement
of approval standards, enforcement of enrollment restrictions, and
fraudulent and other criminal activities on the part of persons con-
nected with educational institutions in which eligible persons or
veterans are enrolled under this chapter and chapters 34 and 35
of this title.
(b) COORDINATION OF ACTIVITIES.—The Secretary shall take
appropriate actions to ensure the coordination of approval activities
performed by State approving agencies under this chapter and
chapters 34 and 35 of this title and approval activities performed
by the Department of Labor, the Department of Education, and
other entities in order to reduce overlap and improve efficiency in
the performance of such activities.
(c) AVAILABILITY OF INFORMATION MATERIAL.—The Secretary
will furnish the State approving agencies with copies of such De-
partment of Veterans Affairs informational material as may aid
them in carrying out chapters 34 and 35 of this title.
Pub. L. 89–358, Sec. 3(a)(7), (11), Mar. 3, 1966, 80 Stat. 20, 21; Pub. L. 92–540, title
IV, Sec. 403(6), Oct. 24, 1972, 86 Stat. 1090; Pub. L. 97–295, Sec. 4(51), Oct. 12,
1982, 96 Stat. 1308; Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103
406; Pub. L. 110–389, title III, Sec. 326(a)(1), (2)(A), (3), Oct. 10, 2008, 122 Stat.
4169.)
§ 3674. Reimbursement of expenses

(a)(1) Subject to paragraphs (2) through (4) of this subsection,
the Secretary is authorized to enter into contracts or agreements
with State and local agencies to pay such State and local agencies
for reasonable and necessary expenses of salary and travel incurred
by employees of such agencies and an allowance for administrative
expenses in accordance with the formula contained in subsection
(b) of this section in (A) rendering necessary services in
ascertaining the qualifications of educational institutions for fur-
nishing courses of education to eligible persons or veterans under
this chapter and chapters 30 through 35 of this title and chapter
106 of title 10, and in the supervision of such educational institu-
tions, and (B) furnishing, at the request of the Secretary, any other
services in connection with such chapters. Each such contract or
agreement shall be conditioned upon compliance with the stand-
ards and provisions of such chapters. The Secretary may also reim-
burse such agencies for work performed by their subcontractors
where such work has a direct relationship to the requirements of
such chapters, and has had the prior approval of the Secretary.
(2)(A) The Secretary shall make payments to State and local
agencies, out of amounts available for the payment of readjustment
benefits, for the reasonable and necessary expenses of salary and
travel incurred by employees of such agencies in carrying out con-
tracts or agreements entered into under this section, for expenses
approved by the Secretary that are incurred in carrying out activi-
ties described in section 3674A(a)(3) of this title (except for admin-
istrative overhead expenses allocated to such activities), and for the
allowance for administrative expenses described in subsection (b).
(B) The Secretary shall make such a payment to an agency
within a reasonable time after the agency has submitted a report
pursuant to paragraph (3) of this subsection.
(C) Subject to paragraph (4) of this subsection, the amount of
any such payment made to an agency for any period shall be equal
to the amount of the reasonable and necessary expenses of salary
and travel certified by such agency for such period in accordance
with paragraph (3) of this subsection plus the allowance for admin-
istrative expenses described in subsection (b) and the amount of ex-
penses approved by the Secretary that are incurred in carrying out
activities described in section 3674A(a)(3) of this title for such pe-
riod (except for administrative overhead expenses allocated to such
activities).
(3) Each State and local agency with which a contract or agree-
ment is entered into under this section shall submit to the Sec-
retary on a monthly or quarterly basis, as determined by the agen-
cy, a report containing a certification of the reasonable and nec-
essary expenses incurred for salary and travel by such agency
under such contract or agreement for the period covered by the re-
Sec. 3674A CH. 36—ADMINISTRATION OF EDUCATIONAL BENEFITS 540
port. The report shall be submitted in the form and manner re-
quired by the Secretary.
(4) The total amount made available under this section for any
fiscal year shall be $19,000,000.
(b) The allowance for administrative expenses incurred pursu-
ant to subsection (a) of this section shall be paid in accordance with
the following formula:
Total salary cost reimbursable under this section Allowable for administrative expense
$5,000 or less $693.

Over $5,000 but not exceeding $10,000 $1,247.
Over $10,000 but not exceeding $35,000 $1,247 for the first $10,000, plus $1,155 for each addi-
tional $5,000 or fraction thereof.
Over $40,000 but not exceeding $75,000 $7,548 for the first $40,000, plus $999 for each additional
$5,000 or fraction thereof.
Over $80,000 $14,969 for the first $80,000, plus $872 for each addi-
tional $5,000 or fraction thereof.
(c) Each State and local agency with which the Secretary con-
tracts or enters into an agreement under subsection (a) of this sec-
tion shall report to the Secretary periodically, but not less often
than annually, as determined by the Secretary, on the activities in
the preceding twelve months (or the period which has elapsed since
the last report under this subsection was submitted) carried out
under such contract or agreement. Each such report shall describe,
in such detail as the Secretary shall prescribe, services performed
and determinations made in connection with ascertaining the
qualifications of educational institutions in connection with this
chapter and chapters 32, 34, and 35 of this title and in supervising
such institutions.
Pub. L. 89–358, Sec. 3(a)(7), (8), (11), Mar. 3, 1966, 80 Stat. 20, 21; Pub. L. 90–631,
Sec. 4, Oct. 23, 1968, 82 Stat. 1334; Pub. L. 92–540, title IV, Sec. 403(7), 411, Oct.
24, 1972, 86 Stat. 1090, 1092; Pub. L. 93–508, title II, Sec. 210(1), Dec. 3, 1974, 88
Stat. 1584; Pub. L. 94–502, title V, Sec. 503, Oct. 15, 1976, 90 Stat. 2399; Pub. L.
95–202, title III, Sec. 303, Nov. 23, 1977, 91 Stat. 1441; Pub. L. 96–466, title II,
Sec. 203(1), 213(1), Oct. 17, 1980, 94 Stat. 2188, 2190; Pub. L. 97–295, Sec. 4(51),
Oct. 12, 1982, 96 Stat. 1308; Pub. L. 100–323, Sec. 13(a)(1), (b)(5), May 20, 1988,
102 Stat. 571, 573; Pub. L. 101–237, title IV, Sec. 414, 423(b)(1)(A), Dec. 18, 1989,
103 Stat. 2085, 2092; Pub. L. 102–16, Sec. 10(a)(7), Mar. 22, 1991, 105 Stat. 56; re-
105 Stat. 406; Pub. L. 103–446, title VI, Sec. 606(a)(1), (b), Nov. 2, 1994, 108 Stat.
4672; Pub. L. 106–419, title I, Sec. 123, Nov. 1, 2000, 114 Stat. 1837; Pub. L. 107–
14, Sec. 8(a)(7), June 5, 2001, 115 Stat. 34; Pub. L. 107–330, title III, Sec. 301, Dec.
6, 2002, 116 Stat. 2824; Pub. L. 110–252, title V, Sec. 5005, June 30, 2008, 122 Stat.
2379.)
§ 3674A. Evaluations of agency performance; qualifications

and performance of agency personnel
(a) The Secretary shall—
(1)(A) conduct, in conjunction with State approving agen-
cies, an annual evaluation of each State approving agency on
the basis of standards developed by the Secretary in conjunc-
tion with the State approving agencies, and (B) provide each
such agency an opportunity to comment on the evaluation;
(2) take into account the results of annual evaluations car-

ried out under paragraph (1) when negotiating the terms and
conditions of a contract or agreement under section 3674 of
this title;
(3) cooperate with State approving agencies in developing
and implementing a uniform national curriculum, to the extent
practicable, for training new employees and for continuing the
training of employees of such agencies, and sponsor, with the
agencies, such training and continuation of training; and
(4) prescribe prototype qualification and performance
standards, developed in conjunction with State approving agen-
cies, for use by such agencies in the development of qualifica-
tion and performance standards for State approving agency
personnel carrying out approval responsibilities under a con-
tract or agreement entered into under section 3674(a).
(b)(1) Each State approving agency carrying out a contract or
agreement with the Secretary under section 3674(a) of this title
shall—
(A) apply qualification and performance standards based
on the standards developed under subsection (a)(4); and
(B) make available to any person, upon request, the cri-
teria used to carry out its functions under a contract or agree-
ment entered into under section 3674(a) of this title.
(2) In developing and applying standards described in sub-
section (a)(4), the State approving agency may take into consider-
ation the State’s merit system requirements and other local re-
quirements and conditions.
(3) The Secretary shall provide assistance in developing such
standards to a State approving agency that requests it.
(Added Pub. L. 100–323, Sec. 13(b)(1)(A), May 20, 1988, 102 Stat. 572, Sec. 1774A;
renumbered Sec. 3674A and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991,
105 Stat. 406; Pub. L. 103–446, title VI, Sec. 606(c), Nov. 2, 1994, 108 Stat. 4672;
Pub. L. 105–368, title X, Sec. 1005(b)(8), Nov. 11, 1998, 112 Stat. 3365; Pub. L. 107–
14, Sec. 8(a)(8), June 5, 2001, 115 Stat. 35.)
§ 3675. Approval of accredited courses

(a)(1) A State approving agency may approve the courses of-
fered by an educational institution when—
(A) such courses have been accredited and approved by a
nationally recognized accrediting agency or association;
(B) such courses are conducted under the Act of February
23, 1917 (20 U.S.C. 11 et seq.);
(C) such courses are accepted by the State department of
education for credit for a teacher’s certificate or a teacher’s de-
gree; or
(D) such courses are approved by the State as meeting the
requirement of regulations prescribed by the Secretary of
Health and Human Services under sections 1819(f)(2)(A)(i) and
1919(f)(2)(A)(i) of the Social Security Act (42 U.S.C. 1395i-
3(f)(2)(A)(i) and 1396r(f)(2)(A)(i)).
(2)(A) For the purposes of this chapter, the Secretary of Edu-
cation shall publish a list of nationally recognized accrediting agen-
cies and associations which that Secretary determines to be reliable
authority as to the quality of training offered by an educational in-

stitution.
(B) Except as provided in section 3672(e) of this title, a State
approving agency may utilize the accreditation of any accrediting
association or agency listed pursuant to subparagraph (A) of this
paragraph for approval of courses specifically accredited and ap-
proved by such accrediting association or agency.
(3)(A) An educational institution shall submit an application
for approval of courses to the appropriate State approving agency.
In making application for approval, the institution (other than an
elementary school or secondary school) shall transmit to the State
approving agency copies of its catalog or bulletin which must be
certified as true and correct in content and policy by an authorized
representative of the institution.
(B) Each catalog or bulletin transmitted by an institution
under subparagraph (A) of this paragraph shall—
(i) state with specificity the requirements of the institution
with respect to graduation;
(ii) include the information required under paragraphs (6)
and (7) of section 3676(b) of this title; and
(iii) include any attendance standards of the institution, if
the institution has and enforces such standards.
(b) As a condition of approval under this section, the State ap-
proving agency must find the following:
(1) The educational institution keeps adequate records, as
prescribed by the State approving agency, to show the progress
and grades of the eligible person or veteran and to show that
satisfactory standards relating to progress and conduct are en-
forced.
(2) The educational institution maintains a written record
of the previous education and training of the eligible person or
veteran that clearly indicates that appropriate credit has been
given by the educational institution for previous education and
training, with the training period shortened proportionately.
(3) The educational institution and its approved courses
meet the criteria of paragraphs (1), (2), and (3) of section
3676(c) of this title.
(c)(1) A State approving agency may approve the entrepreneur-
ship courses offered by a qualified provider of entrepreneurship
courses.
(2) For purposes of this subsection, the term ‘‘entrepreneurship
course’’ means a non-degree, non-credit course of business edu-
cation that enables or assists a person to start or enhance a small
business concern (as defined pursuant to section 3(a) of the Small
Business Act (15 U.S.C. 632(a))).
(3) Subsection (a) and paragraphs (1) and (2) of subsection (b)
shall not apply to—
(A) an entrepreneurship course offered by a qualified pro-
vider of entrepreneurship courses; and
(B) a qualified provider of entrepreneurship courses by
reason of such provider offering one or more entrepreneurship
courses.
(4) Notwithstanding paragraph (3), a qualified provider of en-
trepreneurship courses shall maintain such records as the Sec-
retary determines to be necessary to comply with reporting require-

ments that apply under section 3684(a)(1) of this title with respect
to eligible persons and veterans enrolled in an entrepreneurship
course offered by the provider.
Pub. L. 89–358, Sec. 3(a)(8), Mar. 3, 1966, 80 Stat. 21; Pub. L. 94–502, title V, Sec.
504, 513(a)(2), Oct. 15, 1976, 90 Stat. 2399, 2402; Pub. L. 96–466, title VIII, Sec.
801(d), Oct. 17, 1980, 94 Stat. 2216; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 312, Oct. 29,
1992, 106 Stat. 4330; Pub. L. 103–446, title VI, Sec. 605(a)(2)(A), Nov. 2, 1994, 108
Stat. 4672; Pub. L. 104–275, title I, Sec. 103(c), Oct. 9, 1996, 110 Stat. 3326; Pub.
L. 108–183, title III, Sec. 305(a), Dec. 16, 2003, 117 Stat. 2660; Pub. L. 108–454,
title I, Sec. 110(c)(1), Dec. 10, 2004, 118 Stat. 3605.)
§ 3676. Approval of nonaccredited courses

(a) No course of education which has not been approved by a
State approving agency pursuant to section 3675 of this title, which
is offered by a public or private, profit or nonprofit, educational in-
stitution shall be approved for the purposes of this chapter unless
the educational institution offering such course submits to the ap-
propriate State approving agency a written application for approval
of such course in accordance with the provisions of this chapter.
(b) Such application shall be accompanied by not less than two
copies of the current catalog or bulletin which is certified as true
and correct in content and policy by an authorized owner or official
and includes the following:
(1) Identifying data, such as volume number and date of
publication;
(2) Names of the institution and its governing body, offi-
cials and faculty;
(3) A calendar of the institution showing legal holidays, be-
ginning and ending date of each quarter, term, or semester,
and other important dates;
(4) Institution policy and regulations on enrollment with
respect to enrollment dates and specific entrance requirements
for each course;
(5) Institution policy and regulations relative to leave, ab-
sences, class cuts, makeup work, tardiness and interruptions
for unsatisfactory attendance;
(6) Institution policy and regulations relative to standards
of progress required of the student by the institution (this pol-
icy will define the grading system of the institution, the min-
imum grades considered satisfactory, conditions for interrup-
tion for unsatisfactory grades or progress and a description of
the probationary period, if any, allowed by the institution, and
conditions of reentrance for those students dismissed for unsat-
isfactory progress. A statement will be made regarding
progress records kept by the institution and furnished the stu-
dent);
(7) Institution policy and regulations relating to student
conduct and conditions for dismissal for unsatisfactory conduct;
(8) Detailed schedules of fees, charges for tuition, books,
supplies, tools, student activities, laboratory fees, service
charges, rentals, deposits, and all other charges;
(9) Policy and regulations of the institution relative to the

refund of the unused portion of tuition, fees, and other charges
in the event the student does not enter the course or with-
draws or is discontinued therefrom;
(10) A description of the available space, facilities, and
equipment;
(11) A course outline for each course for which approval is
requested, showing subjects or units in the course, type of work
or skill to be learned, and approximate time and clock hours
to be spent on each subject or unit; and
(12) Policy and regulations of the institution relative to
granting credit for previous educational training.
(c) The appropriate State approving agency may approve the
application of such institution when the institution and its non-ac-
credited courses are found upon investigation to have met the fol-
lowing criteria:
(1) The courses, curriculum, and instruction are consistent
in quality, content, and length with similar courses in public
schools and other private schools in the State, with recognized
accepted standards.
(2) There is in the institution adequate space, equipment,
instructional material, and instructor personnel to provide
training of good quality.
(3) Educational and experience qualifications of directors,
administrators, and instructors are adequate.
(4) The institution maintains a written record of the pre-
vious education and training of the eligible person and clearly
indicates that appropriate credit has been given by the institu-
tion for previous education and training, with the training pe-
riod shortened proportionately and the eligible person so noti-
fied.
(5) A copy of the course outline, schedule of tuition, fees,
and other charges, regulations pertaining to absence, grading
policy, and rules of operation and conduct will be furnished the
eligible person upon enrollment.
(6) Upon completion of training, the eligible person is
given a certificate by the institution indicating the approved
course and indicating that training was satisfactorily com-
pleted.
(7) Adequate records as prescribed by the State approving
agency are kept to show attendance and progress or grades,
and satisfactory standards relating to attendance, progress,
and conduct are enforced.
(8) The institution complies with all local, city, county, mu-
nicipal, State, and Federal regulations, such as fire codes,
building and sanitation codes. The State approving agency may
require such evidence of compliance as is deemed necessary.
(9) The institution is financially sound and capable of ful-
filling its commitments for training.
(10) The institution does not utilize advertising of any type
which is erroneous or misleading, either by actual statement,
omission, or intimation. The institution shall not be deemed to
have met this requirement until the State approving agency
(A) has ascertained from the Federal Trade Commission
whether the Commission has issued an order to the institution

to cease and desist from any act or practice, and (B) has, if
such an order has been issued, given due weight to that fact.
(11) The institution does not exceed its enrollment limita-
tions as established by the State approving agency.
(12) The institution’s administrators, directors, owners,
and instructors are of good reputation and character.
(13) The institution has and maintains a policy for the re-
fund of the unused portion of tuition, fees, and other charges
in the event the eligible person fails to enter the course or
withdraws or is discontinued therefrom at any time before
completion and—
(A) in the case of an institution (other than (i) a Fed-
eral, State, or local Government institution or (ii) an insti-
tution described in subparagraph (B)), such policy provides
that the amount charged to the eligible person for tuition,
fees, and other charges for a portion of the course shall not
exceed the approximate pro rata portion of the total
charges for tuition, fees, and other charges that the length
of the completed portion of the course bears to its total
length; or
(B) in the case of an institution that is a nonaccredited
public educational institution, the institution has and
maintains a refund policy regarding the unused portion of
tuition, fees, and other charges that is substantially the
same as the refund policy followed by accredited public
educational institutions located within the same State as
such institution.
(14) Such additional criteria as may be deemed necessary
by the State approving agency.
(d) The Secretary may waive, in whole or in part, the require-
ments of subsection (c)(13) of this section in the case of an edu-
cational institution which—
(1) is a college, university, or similar institution offering
postsecondary level academic instruction that leads to an asso-
ciate or higher degree,
(2) is operated by an agency of a State or of a unit of local
government,
(3) is located within such State or, in the case of an insti-
tution operated by an agency of a unit of local government,
within the boundaries of the area over which such unit has
taxing jurisdiction, and
(4) is a candidate for accreditation by a regional accred-
iting association,
if the Secretary determines, pursuant to regulations which the Sec-
retary shall prescribe, that such requirements would work an
undue administrative hardship because the total amount of tuition,
fees, and other charges at such institution is nominal.
(e) Notwithstanding any other provision of this title, a course
of education shall not be approved under this section if it is to be
pursued in whole or in part by independent study.
Pub. L. 89–358, Sec. 3(a)(9), Mar. 3, 1966, 80 Stat. 21; Pub. L. 97–66, title VI, Sec.
606, Oct. 17, 1981, 95 Stat. 1037; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 313(a)(1),
Oct. 29, 1992, 106 Stat. 4331; Pub. L. 109–461, title III, Sec. 303, Dec. 22, 2006,
120 Stat. 3428; Pub. L. 110–389, title III, Sec. 322, Oct. 10, 2008, 122 Stat. 4168.)
§ 3677. Approval of training on the job
(a) Any State approving agency may approve a program of
training on the job (other than a program of apprenticeship) only
when it finds that the job which is the objective of the training is
one in which progression and appointment to the next higher clas-
sification are based upon skills learned through organized and su-
pervised training on the job and not on such factors as length of
service and normal turnover, and that the provisions of subsections
(b) and (c) of this section are met.
(b)(1) The training establishment offering training which is de-
sired to be approved for the purposes of this chapter must submit
to the appropriate State approving agency a written application for
approval which, in addition to furnishing such information as is re-
quired by the State approving agency, contains a certification
that—
(A) the wages to be paid the eligible veteran or person (i)
upon entrance into training, are not less than wages paid non-
veterans in the same training position and are at least 50 per
centum of the wages paid for the job for which the veteran or
person is to be trained, and (ii) such wages will be increased
in regular periodic increments until, not later than the last full
month of the training period, they will be at least 85 per cen-
tum of the wages paid for the job for which such eligible vet-
eran or person is being trained; and
(B) there is reasonable certainty that the job for which the
eligible veteran or person is to be trained will be available to
the veteran or person at the end of the training period.
(2) The requirement under paragraph (1)(A)(ii) shall not apply
with respect to a training establishment operated by the United
States or by a State or local government.
(3) The requirement for certification under paragraph (1) shall
not apply to training described in section 3452(e)(2) of this title.
(c) As a condition for approving a program of training on the
job (other than a program of apprenticeship) the State approving
agency must find upon investigation that the following criteria are
met:
(1) The training content of the course is adequate to qual-
ify the eligible veteran or person for appointment to the job for
which the veteran or person is to be trained.
(2) The job customarily requires full-time training for a pe-
riod of not less than six months and not more than two years.
(3) The length of the training period is not longer than
that customarily required by the training establishments in
the community to provide an eligible veteran or person with
the required skills, arrange for the acquiring of job knowledge,
technical information, and other facts which the eligible vet-
eran or person will need to learn in order to become competent
on the job for which the veteran or person is being trained.
(4) Provision is made for related instruction for the indi-
vidual eligible veteran or person who may need it.
(5) There is in the training establishment adequate space,

equipment, instructional material, and instructor personnel to
provide satisfactory training on the job.
(6) Adequate records are kept to show the progress made
by each eligible veteran or person toward such veteran’s or per-
son’s job objective.
(7) No course of training will be considered bona fide if
given to an eligible veteran or person who is already qualified
by training and experience for the job.
(8) A signed copy of the training agreement for each eligi-
ble veteran or person, including the training program and
wage scale as approved by the State approving agency, is pro-
vided to the veteran or person and to the Secretary and the
State approving agency by the employer.
(9) That the course meets such other criteria as may be es-
tablished by the State approving agency.
(d)(1) The Secretary may conduct a pilot program under which
the Secretary operates a program of training on the job under this
section for a period (notwithstanding subsection (c)(2)) of up to
three years in duration to train employees of the Department to be-
come qualified adjudicators of claims for compensation, dependency
and indemnity compensation, and pension.
(2)(A) Not later than three years after the implementation of
the pilot project, the Secretary shall submit to Congress an initial
report on the pilot project. The report shall include an assessment
of the usefulness of the program in recruiting and retaining of per-
sonnel of the Department as well as an assessment of the value of
the program as a training program.
(B) Not later than 18 months after the date on which the ini-
tial report under subparagraph (A) is submitted, the Secretary
shall submit to Congress a final report on the pilot project. The
final report shall include recommendations of the Secretary with
respect to continuation of the pilot project and with respect to ex-
pansion of the types of claims for which the extended period of on
the job training is available to train such employees.
(Added Pub. L. 90–77, title III, Sec. 304(d), Aug. 31, 1967, 81 Stat. 186, Sec. 1777;
amended Pub. L. 91–219, title II, Sec. 212, Mar. 26, 1970, 84 Stat. 83; Pub. L. 92–
540, title III, Sec. 314, Oct. 24, 1972, 86 Stat. 1084; Pub. L. 94–502, title V, Sec.
513(a)(3), Oct. 15, 1976, 90 Stat. 2402; Pub. L. 101–237, title IV, Sec. 423(b)(1)(A),
6, 1991, 105 Stat. 406; Pub. L. 105–368, title II, Sec. 205(a), Nov. 11, 1998, 112 Stat.
3327; Pub. L. 108–454, title I, Sec. 108, Dec. 10, 2004, 118 Stat. 3604; Pub. L. 110–
389, title III, Sec. 325, Oct. 10, 2008, 122 Stat. 4169.)
§ 3678. Notice of approval of courses

The State approving agency, upon determining that an edu-
cational institution has complied with all the requirements of this
chapter, will issue a letter to such institution setting forth the
courses which have been approved for the purposes of this chapter,
and will furnish an official copy of such letter and any subsequent
amendments to the Secretary. The letter of approval shall be ac-
companied by a copy of the catalog or bulletin of the institution,
as approved by the State approving agency, and shall contain the
following information:
(1) date of letter and effective date of approval of courses;
(2) proper address and name of each educational institu-

tion;
(3) authority for approval and conditions of approval, refer-
ring specifically to the approved catalog or bulletin published
by the educational institution;
(4) name of each course approved;
(5) where applicable, enrollment limitations such as max-
imum numbers authorized and student-teacher ratio;
(6) signature of responsible official of State approving
agency; and
(7) such other fair and reasonable provisions as are consid-
ered necessary by the appropriate State approving agency.
Sec. 1778, Pub. L. 90–77, title III, Sec. 304(d), Aug. 31, 1967, 81 Stat. 186; amended
Pub. L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renum-
§ 3679. Disapproval of courses

(a) Any course approved for the purposes of this chapter which
fails to meet any of the requirements of this chapter shall be imme-
diately disapproved by the appropriate State approving agency. An
educational institution which has its courses disapproved by a
State approving agency will be notified of such disapproval by a
certified or registered letter of notification and a return receipt se-
cured.
(b) Each State approving agency shall notify the Secretary of
each course which it has disapproved under this section. The Sec-
retary shall notify the State approving agency of the Secretary’s
disapproval of any educational institution under chapter 31 of this
title.
Sec. 1779, Pub. L. 90–77, title III, Sec. 304(d), Aug. 31, 1967, 81 Stat. 186; amended
Pub. L. 94–502, title V, Sec. 513(a)(4), Oct. 15, 1976, 90 Stat. 2402; Pub. L. 101–
237, title IV, Sec. 423(b)(1)(A), (2), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec.

§ 3680. Payment of educational assistance or subsistence al-
lowances
(a) PERIOD FOR WHICH PAYMENT MAY BE MADE.—Payment of
educational assistance or subsistence allowances to eligible vet-
erans or eligible persons pursuing a program of education or train-
ing, other than a program by correspondence, in an educational in-
stitution under chapter 31, 34, or 35 of this title shall be paid as
provided in this section and, as applicable, in section 3108, 3482,
3491, or 3532 of this title. Such payments shall be paid only for the
period of such veterans’ or persons’ enrollment in, and pursuit of,
such program, but no amount shall be paid—
(1) to any eligible veteran or eligible person for any period
when such veteran or person is not pursuing such veteran’s or
person’s course in accordance with the regularly established
policies and regulations of the educational institution, with the
provisions of such regulations as may be prescribed by the Sec-
retary pursuant to subsection (g) of this section, and with the
requirements of this chapter or of chapter 34 or 35 of this title,

but payment may be made for an actual period of pursuit of
one or more unit subjects pursued for a period of time shorter
than the enrollment period at the educational institution;
(2) to any eligible veteran or person for auditing a course;
or
(3) to any eligible veteran or person for a course for which
the grade assigned is not used in computing the requirements
for graduation including a course from which the student with-
draws unless—
(A) the eligible veteran or person withdraws because
he or she is ordered to active duty; or
(B) the Secretary finds there are mitigating cir-
cumstances, except that, in the first instance of with-
drawal (without regard to withdrawals described in sub-
clause (A) of this clause) by the eligible veteran or person
from a course or courses with respect to which the veteran
or person has been paid assistance under this title, miti-
gating circumstances shall be considered to exist with re-
spect to courses totaling not more than six semester hours
or the equivalent thereof.
Notwithstanding the foregoing, the Secretary may, subject to such
regulations as the Secretary shall prescribe, continue to pay allow-
ances to eligible veterans and eligible persons enrolled in courses
set forth in clause (1) of this subsection—
(A) during periods when the schools are temporarily closed
under an established policy based upon an Executive order of
the President or due to an emergency situation;
(B) during periods between consecutive school terms where
such veterans or persons transfer from one approved edu-
cational institution to another approved educational institution
for the purpose of enrolling in and pursuing a similar course
at the second institution if the period between such consecutive
terms does not exceed 30 days; or
(C) during periods between school terms where the edu-
cational institution certifies the enrollment of the eligible vet-
eran or eligible person on an individual term basis if (i) the pe-
riod between those terms does not exceed eight weeks, and (ii)
both the terms preceding and following the period are not
shorter in length than the period.
(b) CORRESPONDENCE TRAINING CERTIFICATIONS.—No edu-
cational assistance allowance shall be paid to an eligible veteran or
spouse or surviving spouse enrolled in and pursuing a program of
education exclusively by correspondence until the Secretary shall
have received—
(1) from the eligible veteran or spouse or surviving spouse
a certificate as to the number of lessons actually completed by
the veteran or spouse or surviving spouse and serviced by the
educational institution; and
(2) from the training establishment a certification or an
endorsement on the veteran’s or spouse’s or surviving spouse’s
certificate, as to the number of lessons completed by the vet-
eran or spouse or surviving spouse and serviced by the institu-
tion.
(c) APPRENTICESHIP AND OTHER ON-JOB TRAINING.—No train-

ing assistance allowance shall be paid to an eligible veteran or eli-
gible person enrolled in and pursuing a program of apprenticeship
or other on-job training until the Secretary shall have received—
(1) from such veteran or person a certification as to such
veteran’s or person’s actual attendance during such period; and
(2) from the training establishment a certification, or an
endorsement on the veteran’s or person’s certificate, that such
veteran or person was enrolled in and pursuing a program of
apprenticeship or other on-job training during such period.
(d) ADVANCE PAYMENT OF INITIAL EDUCATIONAL ASSISTANCE OR
SUBSISTENCE ALLOWANCE.—(1) The educational assistance or sub-
sistence allowance advance payment provided for in this subsection
is based upon a finding by the Congress that eligible veterans and
eligible persons may need additional funds at the beginning of a
school term to meet the expenses of books, travel, deposits, and
payment for living quarters, the initial installment of tuition, and
the other special expenses which are concentrated at the beginning
of a school term.
(2) Subject to the provisions of this subsection, and under regu-
lations which the Secretary shall prescribe, an eligible veteran or
eligible person shall be paid an educational assistance allowance or
subsistence allowance, as appropriate, advance payment. Such ad-
vance payment shall be made in an amount equivalent to the al-
lowance for the month or fraction thereof in which pursuit of the
program will commence, plus the allowance for the succeeding
month. In the case of a person on active duty, who is pursuing a
program of education, the advance payment shall be in a lump sum
based upon the amount payable for the entire quarter, semester, or
term, as applicable. In no event shall an advance payment be made
under this subsection to a veteran or person intending to pursue
a program of education on less than a half-time basis. An advance
payment may not be made under this subsection to any veteran or
person unless the veteran or person requests such payment and the
Secretary finds that the educational institution at which such vet-
eran or person is accepted or enrolled has agreed to, and can satis-
factorily, carry out the provisions of paragraphs (4)(B) and (C) and
(5) of this subsection. The application for advance payment, to be
made on a form prescribed by the Secretary, shall—
(A) in the case of an initial enrollment of a veteran or per-
son in an educational institution, contain information showing
that the veteran or person (i) is eligible for educational bene-
fits, (ii) has been accepted by the institution, and (iii) has noti-
fied the institution of such veteran’s or person’s intention to at-
tend that institution; and
(B) in the case of a re-enrollment of a veteran or person,
contain information showing that the veteran or person (i) is
eligible to continue such veteran’s or person’s program of edu-
cation or training and (ii) intends to re-enroll in the same insti-
tution,
and, in either case, shall also state the number of semester or
clock-hours to be pursued by such veteran or person.
(3) For purposes of the Secretary’s determination whether any
veteran or person is eligible for an advance payment under this
section, the information submitted by the institution, the veteran

or person, shall establish such veteran’s or person’s eligibility un-
less there is evidence in such veteran’s or person’s file in the proc-
essing office establishing that the veteran or person is not eligible
for such advance payment.
(4) The advance payment authorized by paragraph (2) of this
subsection shall, in the case of an eligible veteran or eligible per-
son, be (A) drawn in favor of the veteran or person; (B) mailed to
the educational institution listed on the application form for tem-
porary care and delivery to the veteran or person by such institu-
tion; and (C) delivered to the veteran or person upon such veteran’s
or person’s registration at such institution, but in no event shall
such delivery be made earlier than thirty days before the program
of education is to commence.
(5) Upon delivery of the advance payment pursuant to para-
graph (4) of this subsection, the institution shall submit to the Sec-
retary a certification of such delivery. If such delivery is not ef-
fected within thirty days after commencement of the program of
education in question, such institution shall return such payment
to the Secretary forthwith.
(e) RECOVERY OF ERRONEOUS PAYMENTS.—(1) Subject to para-
graph (2), if an eligible veteran or eligible person fails to enroll in
or pursue a course for which an educational assistance or subsist-
ence allowance advance payment is made, the amount of such pay-
ment and any amount of subsequent payments which, in whole or
in part, are due to erroneous information required to be furnished
under subsection (d)(2) of this section, shall become an overpay-
ment and shall constitute a liability of such veteran or person to
the United States and may be recovered, unless waived pursuant
to section 5302 of this title, from any benefit otherwise due such
veteran or person under any law administered by the Department
of Veterans Affairs or may be recovered in the same manner as any
other debt due the United States.
(2) Paragraph (1) shall not apply to the recovery of an overpay-
ment of an educational allowance or subsistence allowance advance
payment to an eligible veteran or eligible person who fails to enroll
in or pursue a course of education for which the payment is made
if such failure is due to the death of the veteran or person.
(f) PAYMENTS FOR LESS THAN HALF-TIME TRAINING.—Payment
of educational assistance allowance in the case of any eligible vet-
eran or eligible person pursuing a program of education on less
than a half-time basis shall be made in an amount computed for
the entire quarter, semester, or term not later than the last day
of the month immediately following the month in which certifi-
cation is received from the educational institution that such vet-
eran or person has enrolled in and is pursuing a program at such
institution. Such lump sum payment shall be computed at the rate
provided in section 3482(b) or 3532(a)(2) of this title, as applicable.
(g) DETERMINATION OF ENROLLMENT, PURSUIT, AND ATTEND-
ANCE.—(1) The Secretary may, pursuant to regulations which the
Secretary shall prescribe, determine and define with respect to an
eligible veteran and eligible person the following:
(A) Enrollment in a course or program of education or
training.
Sec. 3680A CH. 36—ADMINISTRATION OF EDUCATIONAL BENEFITS 552
(B) Pursuit of a course or program of education or training.

(C) Attendance at a course or program of education or
training.
(2) The Secretary may withhold payment of benefits to an eligi-
ble veteran or eligible person until the Secretary receives such
proof as the Secretary may require of enrollment in and satisfac-
tory pursuit of a program of education by the eligible veteran or eli-
gible person. The Secretary shall adjust the payment withheld,
when necessary, on the basis of the proof the Secretary receives.
(3) In the case of an individual other than an individual de-
scribed in paragraph (4), the Secretary may accept the individual’s
monthly certification of enrollment in and satisfactory pursuit of a
program of education as sufficient proof of the certified matters.
(4) In the case of an individual who has received an accelerated
payment of basic educational assistance under section 3014A of
this title during an enrollment period for a program of education,
the Secretary may accept the individual’s certification of enroll-
ment in and satisfactory pursuit of the program of education as
sufficient proof of the certified matters if the certification is sub-
mitted after the enrollment period has ended.
(Added Pub. L. 92–540, title II, Sec. 201, Oct. 24, 1972, 86 Stat. 1076, Sec. 1780;
amended Pub. L. 93–208, Dec. 28, 1973, 87 Stat. 907; Pub. L. 93–508, title II, Sec.
209, Dec. 3, 1974, 88 Stat. 1584; Pub. L. 94–502, title V, Sec. 505, 506, 513(a)(5)–
(12), Oct. 15, 1976, 90 Stat. 2400, 2402, 2403; Pub. L. 96–466, title III, Sec. 341,
342, title VI, Sec. 601(c), (d), 602(c), Oct. 17, 1980, 94 Stat. 2198, 2208, 2209; Pub.
L. 97–35, title XX, Sec. 2003(c), Aug. 13, 1981, 95 Stat. 782; Pub. L. 97–295, Sec.
4(52), Oct. 12, 1982, 96 Stat. 1308; Pub. L. 97–306, title II, Sec. 205(c), Oct. 14,
1982, 96 Stat. 1434; Pub. L. 99–576, title III, Sec. 315(a)(1), 316, title VII, Sec.
701(59), Oct. 28, 1986, 100 Stat. 3274, 3296; Pub. L. 100–689, title I, Sec. 121(a),
Nov. 18, 1988, 102 Stat. 4173; Pub. L. 101–237, title IV, Sec. 412(a), 415(a),
423(b)(1), (2), Dec. 18, 1989, 103 Stat. 2085, 2086, 2092; Pub. L. 102–40, title IV,
Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 3680 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–127, Sec. 6(a),
Oct. 10, 1991, 105 Stat. 622; Pub. L. 102–568, title III, Sec. 314, Oct. 29, 1992, 106
Stat. 4333; Pub. L. 103–446, title VI, Sec. 605(a)(2)(B), title XII, Sec. 1201(i)(6), Nov.
2, 1994, 108 Stat. 4672, 4688; Pub. L. 106–419, title I, Sec. 121(a), Nov. 1, 2000,
114 Stat. 1833; Pub. L. 107–103, title I, Sec. 104(b), Dec. 27, 2001, 115 Stat. 981;
Pub. L. 109–233, title V, Sec. 503(8)(A), June 15, 2006, 120 Stat. 416.)
§ 3680A. Disapproval of enrollment in certain courses

ble veteran in—
(1) any bartending course or personality development
course;
(2) any sales or sales management course which does not
provide specialized training within a specific vocational field;
(3) any type of course which the Secretary finds to be avo-
cational or recreational in character (or the advertising for
which the Secretary finds contains significant avocational or
recreational themes) unless the veteran submits justification
showing that the course will be of bona fide use in the pursuit
of the veteran’s present or contemplated business or occupa-
tion; or
(4) any independent study program except an accredited
independent study program (including open circuit television)
leading (A) to a standard college degree, or (B) to a certificate
553 CH. 36—ADMINISTRATION OF EDUCATIONAL BENEFITS Sec. 3680A
that reflects educational attainment offered by an institution of

higher learning.
(b) Except to the extent otherwise specifically provided in this
title or chapter 106 of title 10, the Secretary shall not approve the
enrollment of an eligible veteran in any course of flight training
other than one given by an educational institution of higher learn-
ing for credit toward a standard college degree the eligible veteran
is seeking.
(c) The Secretary shall not approve the enrollment of an eligi-
ble veteran in any course to be pursued by radio.
the Secretary shall not approve the enrollment of any eligible vet-
eran, not already enrolled, in any course for any period during
which the Secretary finds that more than 85 percent of the stu-
dents enrolled in the course are having all or part of their tuition,
fees, or other charges paid to or for them by the educational insti-
tution or by the Department of Veterans Affairs under this title or
under chapter 106 of title 10. The Secretary may waive the require-
ments of this subsection, in whole or in part, if the Secretary deter-
mines, pursuant to regulations which the Secretary shall prescribe,
it to be in the interest of the eligible veteran and the Federal Gov-
ernment. The provisions of this subsection shall not apply to any
course offered by an educational institution if the total number of
veterans and persons receiving assistance under this chapter or
chapter 30, 31, 32, or 35 of this title or under chapter 106 of title
10 who are enrolled in such institution equals 35 percent or less,
or such other percent as the Secretary prescribes in regulations, of
the total student enrollment at such institution (computed sepa-
rately for the main campus and any branch or extension of such
institution), except that the Secretary may apply the provisions of
this subsection with respect to any course in which the Secretary
has reason to believe that the enrollment of such veterans and per-
sons may be in excess of 85 percent of the total student enrollment
in such course.
(2) Paragraph (1) of this subsection does not apply with respect
to the enrollment of a veteran—
(A) in a course offered pursuant to section 3019,
3034(a)(3), 3234, or 3241(a)(2) of this title;
(B) in a farm cooperative training course; or
(C) in a course described in subsection (g).
(e) The Secretary may not approve the enrollment of an eligible
veteran in a course not leading to a standard college degree offered
by a proprietary profit or proprietary nonprofit educational institu-
tion if—
(1) the educational institution has been operating for less
than two years;
(2) the course is offered at a branch of the educational in-
stitution and the branch has been operating for less than two
years; or
(3) following either a change in ownership or a complete
move outside its original general locality, the educational insti-
tution does not retain substantially the same faculty, student
body, and courses as before the change in ownership or the
move outside the general locality (as determined in accordance
with regulations the Secretary shall prescribe) unless the edu-

cational institution following such change or move has been in
operation for at least two years.
(f) The Secretary may not approve the enrollment of an eligible
veteran in a course as a part of a program of education offered by
an educational institution if the course is provided under contract
by another educational institution or entity and—
(1) the Secretary would be barred under subsection (e)
from approving the enrollment of an eligible veteran in the
course of the educational institution or entity providing the
course under contract; or
(2) the educational institution or entity providing the
course under contract has not obtained approval for the course
under this chapter.
(g) Notwithstanding subsections (e) and (f)(1), the Secretary
may approve the enrollment of an eligible veteran in a course ap-
proved under this chapter if the course is offered by an educational
institution under contract with the Department of Defense or the
Department of Homeland Security and is given on or immediately
adjacent to a military base, Coast Guard station, National Guard
facility, or facility of the Selected Reserve.
(Added Pub. L. 102–568, title III, Sec. 313(a)(2), Oct. 29, 1992, 106 Stat. 4331; Pub.
L. 104–275, title I, Secs. 103(a)(2), (b), 104(c), Oct. 9, 1996, 110 Stat. 3326, 3327;
Pub. L. 105–114, title IV, Sec. 401(d), (e), Nov. 21, 1997, 111 Stat. 2293; Pub. L.
105–368, title X, Sec. 1005(b)(9), Nov. 11, 1998, 112 Stat. 3365; Pub. L. 107–103,
title I, Sec. 111(a), Dec. 27, 2001, 115 Stat. 986; Pub. L. 107–296, title XVII, Sec.
1704(d), Nov. 25, 2002, 116 Stat. 2315.)
§ 3681. Limitations on educational assistance
(a) No educational assistance allowance granted under chapter
30, 34, 35, or 36 of this title or 106 or 107 of title 10, or subsistence
allowance granted under chapter 31 of this title shall be paid to
any eligible person (1) who is on active duty and is pursuing a
course of education which is being paid for by the Armed Forces
(or by the Department of Health and Human Services in the case
of the Public Health Service; or (2) who is attending a course of
education or training paid for under chapter 41 of title 5.
(b) No person may receive benefits concurrently under two or
more of the provisions of law listed below:
(1) Chapters 30, 31, 32, 34, 35, and 36 of this title.
(2) Chapters 106 and 107 of title 10.
(3) Section 903 of the Department of Defense Authoriza-
tion Act, 1981 (Public Law 96–342, 10 U.S.C. 2141 note).
(4) The Hostage Relief Act of 1980 (Public Law 96–449, 5
U.S.C. 5561 note).
(5) The Omnibus Diplomatic Security and Antiterrorism
Act of 1986 (Public Law 99–399).
(Added Pub. L. 89–358, Sec. 3(b), Mar. 3, 1966, 80 Stat. 21, Sec. 1781; amended
Pub. L. 91–219, title II, Sec. 213(1), Mar. 26, 1970, 84 Stat. 83; Pub. L. 92–540, title
IV, Sec. 403(8), Oct. 24, 1972, 86 Stat. 1090; Pub. L. 94–502, title V, Sec. 513(a)(13),
Oct. 15, 1976, 90 Stat. 2403; Pub. L. 96–466, title I, Sec. 102, title VIII, Sec. 801(e),
Oct. 17, 1980, 94 Stat. 2187, 2216; Pub. L. 97–295, Sec. 4(53), Oct. 12, 1982, 96 Stat.
1309; Pub. L. 98–223, title II, Sec. 203(c)(1), Mar. 2, 1984, 98 Stat. 41; Pub. L. 98–
525, title VII, Sec. 703(c), Oct. 19, 1984, 98 Stat. 2564; Pub. L. 99–576, title III, Sec.
317, 321(9), Oct. 28, 1986, 100 Stat. 3275, 3278; Pub. L. 101–237, title IV, Sec.
423(a)(8)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec. 3681, Pub. L. 102–83,
Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 315, Oct. 29,
1992, 106 Stat. 4333.)
§ 3682. Control by agencies of the United States
Except as provided in section 3674A of this title, no depart-
ment, agency, or officer of the United States, in carrying out this
chapter, shall exercise any supervision or control, whatsoever, over
any State approving agency, or State educational agency, or any
educational institution. Nothing in this section shall be deemed to
prevent any department, agency, or officer of the United States
from exercising any supervision or control which such department,
agency, or officer is authorized by law to exercise over any Federal
educational institution or to prevent the furnishing of education
under this chapter or chapter 34 or 35 of this title in any institu-
tion over which supervision or control is exercised by such other de-
partment, agency, or officer under authority of law.
Sec. 13(b)(6), May 20, 1988, 102 Stat. 574; renumbered Sec. 3682 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 3683. Conflicting interests
(a) Every officer or employee of the Department of Veterans Af-
fairs who has, while such an officer or employee, owned any inter-
est in, or received any wages, salary, dividends, profits, gratuities,
or services from, any educational institution operated for profit in
which an eligible person or veteran was pursuing a program of edu-
cation or course under this chapter or chapter 34 or 35 of this title
shall be immediately dismissed from such officer’s or employee’s of-
fice or employment.
(b) If the Secretary finds that any person who is an officer or
employee of a State approving agency has, while such person was
such an officer or employee, owned any interest in, or received any
wages, salary, dividends, profits, gratuities, or services from, an
educational institution operated for profit in which an eligible per-
son or veteran was pursuing a program of education or course
under this chapter or chapter 34 or 35 of this title, the Secretary
shall discontinue making payments under section 3674 of this title
to such State approving agency unless such agency shall, without
delay, take such steps as may be necessary to terminate the em-
ployment of such person and such payments shall not be resumed
while such person is an officer or employee of the State approving
agency, or State department of veterans’ affairs or State depart-
ment of education.
(c) A State approving agency shall not approve any course of-
fered by an educational institution operated for profit, and, if any
such course has been approved, shall disapprove each such course,
if it finds that any officer or employee of the Department of Vet-
erans Affairs or the State approving agency owns an interest in, or
receives any wages, salary, dividends, profits, gratuities, or services
from, such institution.
(d) The Secretary may, after reasonable notice and public hear-
ings, waive in writing the application of this section in the case of
any officer or employee of the Department of Veterans Affairs or
of a State approving agency, if the Secretary finds that no det-
riment will result to the United States or to eligible persons or vet-

erans by reasons of such interest or connection of such officer or
employee.
title V, Sec. 513(a)(14)–(16), Oct. 15, 1976, 90 Stat. 2403; Pub. L. 97–295, Sec. 4(54),
Oct. 12, 1982, 96 Stat. 1309; Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18, 1989,
Aug. 6, 1991, 105 Stat. 406.)
§ 3684. Reports by veterans, eligible persons, and institu-
tions; reporting fee
(a)(1) Except as provided in paragraph (2) of this subsection,
the veteran or eligible person and the educational institution offer-
ing a course in which such veteran or eligible person is enrolled
under chapter 31, 34,, 1 35, or 36 of this title shall, without delay,
report to the Secretary, in the form prescribed by the Secretary,
such enrollment and any interruption or termination of the edu-
cation of each such veteran or eligible person. The date of such
interruption or termination will be the last date of pursuit, or, in
the case of correspondence training, the last date a lesson was
serviced by a school.
(2)(A) In the case of a program of independent study pursued
on less than a half-time basis in an educational institution, the
Secretary may approve a delay by the educational institution in re-
porting the enrollment or reenrollment of an eligible veteran or eli-
gible person until the end of the term, quarter, or semester if the
educational institution requests the delay and the Secretary deter-
mines that it is not feasible for the educational institution to mon-
itor interruption or termination of the veteran’s or eligible person’s
pursuit of such program.
(B) An educational institution which, pursuant to subpara-
graph (A) of this paragraph, is delaying the reporting of the enroll-
ment or reenrollment of a veteran shall provide the veteran with
notice of the delay at the time that the veteran enrolls or reenrolls.
(3)(A) Subject to subparagraph (B) of this paragraph, an edu-
cational institution offering courses on a term, quarter, or semester
basis may certify the enrollment of a veteran who is not on active
duty, or of an eligible person, in such courses for more than one
term, quarter, or semester at a time, but not for a period extending
beyond the end of a school year (including the summer enrollment
period).
(B) Subparagraph (A) of this paragraph shall not apply with
respect to any term, quarter, or semester for which the veteran or
eligible person is enrolled on a less than half-time basis and shall
not be construed as restricting the Secretary from requiring that
an educational institution, in reporting an enrollment for more
than one term, quarter, or semester, specify the dates of any inter-
vals within or between any such terms, quarters, or semesters.
(b) The Secretary, prior to making payment of a reporting fee
to an educational institution, as provided for in subsection (c) of
this section, shall require such institution to certify that it has ex-
ercised reasonable diligence in determining whether such institu-
1 So in original.
tion or any course offered by such institution approved for the en-
rollment of veterans or eligible persons meets all of the applicable
requirements of chapters 31, 34, 35, and 36 of this title and that
it will, without delay, report any failure to meet any such require-
ment to the Secretary.
(c) The Secretary may pay to any educational institution, or to
the sponsor of a program of apprenticeship, furnishing education or
training under either this chapter or chapter 31, 34, or 35 of this
title, a reporting fee which will be in lieu of any other compensa-
tion or reimbursement for reports or certifications which such edu-
cational institution or joint apprenticeship training committee is
required to submit to the Secretary by law or regulation. Such re-
porting fee shall be computed for each calendar year by multiplying
$7 by the number of eligible veterans or eligible persons enrolled
under this chapter or chapter 31, 34, or 35 of this title, or $11 in
the case of those eligible veterans and eligible persons whose edu-
cational assistance checks are directed in care of each institution
for temporary custody and delivery and are delivered at the time
of registration as provided under section 3680(d)(4) of this title,
during the calendar year. The reporting fee shall be paid to such
educational institution or joint apprenticeship training committee
as soon as feasible after the end of the calendar year for which it
is applicable. No reporting fee payable to an educational institution
under this subsection shall be subject to offset by the Secretary
against any liability of such institution for any overpayment for
which such institution may be administratively determined to be
liable under section 3685 of this title unless such liability is not
contested by such institution or has been upheld by a final decree
of a court of appropriate jurisdiction. The reporting fee payable
under this subsection shall be paid from amounts appropriated for
readjustment benefits.
Pub. L. 90–77, title III, Sec. 308(a), Aug. 31, 1967, 81 Stat. 189; Pub. L. 92–540,
title III, Sec. 315, Oct. 24, 1972, 86 Stat. 1084; Pub. L. 93–508, title II, Sec. 210(2),
Dec. 3, 1974, 88 Stat. 1585; Pub. L. 94–502, title V, Sec. 507, 508, 513(a)(17), Oct.
15, 1976, 90 Stat. 2400, 2403; Pub. L. 95–202, title III, Sec. 304(a)(1), Nov. 23, 1977,
91 Stat. 1442; Pub. L. 96–466, title III, Sec. 343(a), (b)(1), title VI, Sec. 601(e), Oct.
17, 1980, 94 Stat. 2198, 2208; Pub. L. 97–295, Sec. 4(55), Oct. 12, 1982, 96 Stat.
1309; Pub. L. 99–576, title III, Sec. 318, 319, Oct. 28, 1986, 100 Stat. 3275; Pub.
L. 101–237, title IV, Sec. 416(a), 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2086, 2092;
105 Stat. 406; Pub. L. 105–368, title II, Sec. 201(a), (b), Nov. 11, 1998, 112 Stat.
3326; Pub. L. 106–419, title IV, Sec. 404(a)(7), Nov. 1, 2000, 114 Stat. 1865; Pub.
L. 108–454, title I, Sec. 110(d), Dec. 10, 2004, 118 Stat. 3605.)
§ 3684A. Procedures relating to computer matching program

(a)(1) Notwithstanding section 552a(p) of title 5 and subject to
paragraph (2) of this subsection, the Secretary may suspend, termi-
nate, reduce, or make a final denial of any financial assistance or
payment under an educational assistance program provided for in
chapter 30 or 32 of this title or in chapter 106 of title 10 in the
case of any individual, or take other adverse action against such
individual, based on information produced by a matching program
with the Department of Defense.
(2) The Secretary may not take any action referred to in para-
graph (1) of this subsection until—
(A) the individual concerned has been provided a written

notice containing a statement of the findings of the Secretary
based on the matching program, a description of the proposed
action, and notice of the individual’s right to contest such find-
ings within 10 days after the date of the notice; and
(B) the 10-day period referred to in subparagraph (A) of
this paragraph has expired.
(3) In computing the 10-day period referred to in paragraph (2)
of this subsection, Saturdays, Sundays, and Federal holidays shall
be excluded.
(b) For the purposes of subsection (q) of section 552a of title
5, compliance with the provisions of subsection (a) of this section
shall be considered compliance with the provisions of subsection (p)
of such section 552a.
(c) For purposes of this section, the term ‘‘matching program’’
has the same meaning provided in section 552a(a)(8) of title 5.
(Added Pub. L. 101–366, title II, Sec. 206(a), Aug. 15, 1990, 104 Stat. 441, Sec.
1784A; renumbered Sec. 3684A, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat.
406.)
§ 3685. Overpayments to eligible persons or veterans

(a) Whenever the Secretary finds that an overpayment has
been made to a veteran or eligible person, the amount of such over-
payment shall constitute a liability of such veteran or eligible per-
son to the United States.
(b) Whenever the Secretary finds that an overpayment has
been made to a veteran or eligible person as the result of (1) the
willful or negligent failure of an educational institution to report,
as required under this chapter or chapter 34 or 35 of this title, to
the Department of Veterans Affairs excessive absences from a
course, or discontinuance or interruption of a course by the veteran
or eligible person, or (2) the willful or negligent false certification
by an educational institution, the amount of such overpayment
shall constitute a liability of the educational institution to the
United States.
(c) Any overpayment referred to in subsection (a) or (b) of this
section may be recovered, except as otherwise provided in the last
sentence of section 3684(c) of this title, in the same manner as any
other debt due the United States.
(d) Any overpayment referred to in subsection (a) or (b) of this
section may be waived as to a veteran or eligible person as pro-
vided in section 5302 of this title. Waiver of any such overpayment
as to a veteran or eligible person shall in no way release any edu-
cational institution from liability under subsection (b) of this sec-
tion.
(e)(1) Any amount collected from a veteran or eligible person
pursuant to this section shall be reimbursed to the educational in-
stitution which is liable pursuant to subsection (b) of this section
to the extent that collection was made from the educational institu-
tion.
(2) Nothing in this section or any other provision of this title
shall be construed as (A) precluding the imposition of any civil or
criminal liability under this title or any other law, or (B) requiring
any institution of higher learning to maintain daily attendance

records for any course leading to a standard college degree.
title III, Sec. 304(a)(2), Nov. 23, 1977, 91 Stat. 1442; Pub. L. 96–466, title III, Sec.
344, Oct. 17, 1980, 94 Stat. 2199; Pub. L. 101–237, title IV, Sec. 423(b)(1), Dec. 18,
1989, 103 Stat. 2092; Pub. L. 102–40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat.
1991, 105 Stat. 406.)
§ 3686. Correspondence courses
(a)(1) Each eligible veteran (as defined in section 3452(a)(1)
and (2) of this title) and each eligible spouse or surviving spouse
(as defined in section 3501(a)(1)(B), (C), (D), or (E) of this title) who
enters into an enrollment agreement to pursue a program of edu-
cation exclusively by correspondence shall be paid an educational
assistance allowance computed at the rate of 55 percent of the es-
tablished charge which the institution requires nonveterans to pay
for the course or courses pursued by the eligible veteran or spouse
or surviving spouse. The term ‘‘established charge’’ as used herein
means the charge for the course or courses determined on the basis
of the lowest extended time payment plan offered by the institution
and approved by the appropriate State approving agency or the ac-
tual cost to the veteran or spouse or surviving spouse, whichever
is the lesser. Such allowance shall be paid quarterly on a pro rata
basis for the lessons completed by the veteran or spouse or sur-
viving spouse and serviced by the institution.
(2) The period of entitlement of any veteran or spouse or sur-
viving spouse who is pursuing any program of education exclu-
sively by correspondence shall be charged with one month for each
$376 which is paid to the veteran or spouse or surviving spouse as
an educational assistance allowance for such course.
(3) Notwithstanding any other provision of law unless enacted
in express limitation of this paragraph, funds in the Department
of Veterans Affairs readjustment benefits account shall be available
for payments under paragraph (1) of this subsection for pursuit of
a program of education exclusively by correspondence in which the
veteran or spouse or surviving spouse enrolls after September 30,
1981.
(b) The enrollment agreement shall fully disclose the obligation
of both the institution and the veteran or spouse or surviving
spouse and shall prominently display the provisions for affirmance,
termination, refunds, and the conditions under which payment of
the allowance is made by the Secretary to the veteran or spouse
or surviving spouse. A copy of the enrollment agreement shall be
furnished to each such veteran or spouse or surviving spouse at the
time such veteran or spouse or surviving spouse signs such agree-
ment. No such agreement shall be effective unless such veteran or
spouse or surviving spouse shall, after the expiration of five days
after the enrollment agreement is signed, have signed and sub-
mitted to the Secretary a written statement, with a signed copy to
the institution, specifically affirming the enrollment agreement. In
the event the veteran or spouse or surviving spouse at any time no-
tifies the institution of such veteran’s or spouse’s intention not to
affirm the agreement in accordance with the preceding sentence,
the institution, without imposing any penalty or charging any fee

shall promptly make a full refund of all amounts paid.
(c) In the event a veteran or spouse or surviving spouse elects
to terminate such veteran’s or spouse’s enrollment under an af-
firmed enrollment agreement, the institution may charge the vet-
eran or spouse or surviving spouse a registration or similar fee not
in excess of 10 percent of the tuition for the course, or $50, which-
ever is less. Where the veteran or spouse or surviving spouse elects
to terminate the agreement after completion of one or more but
less than 25 percent of the total number of lessons comprising the
course, the institution may retain such registration or similar fee
plus 25 percent of the tuition for the course. Where the veteran or
spouse or surviving spouse elects to terminate the agreement after
completion of 25 percent but less than 50 percent of the lessons
comprising the course, the institution may retain the full registra-
tion or similar fee plus 50 percent of the course tuition. If 50 per-
cent or more of the lessons are completed, no refund of tuition is
required.
(Added Pub. L. 92–540, title III, Sec. 316(1), Oct. 24, 1972, 86 Stat. 1084, Sec. 1786;
amended Pub. L. 93–508, title I, Sec. 104(1), Dec. 3, 1974, 88 Stat. 1580; Pub. L.
93–602, title II, Sec. 205(a), Jan. 2, 1975, 88 Stat. 1958; Pub. L. 94–502, title V,
Sec. 501(1), 513(a)(18), Oct. 15, 1976, 90 Stat. 2398, 2403; Pub. L. 95–202, title I,
Sec. 104(1), Nov. 23, 1977, 91 Stat. 1435; Pub. L. 96–466, title II, Sec. 203(2), 213(2),
title VI, Sec. 604, Oct. 17, 1980, 94 Stat. 2189, 2191, 2209; Pub. L. 97–35, title XX,
Sec. 2004(a), Aug. 13, 1981, 95 Stat. 782; Pub. L. 97–174, Sec. 5(a), May 4, 1982,
96 Stat. 75; Pub. L. 97–295, Sec. 4(56), Oct. 12, 1982, 96 Stat. 1309; Pub. L. 98–
543, title II, Sec. 204(1), Oct. 24, 1984, 98 Stat. 2742; Pub. L. 101–237, title IV, Sec.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 103–446, title VI,
Sec. 605(a)(2)(C), Nov. 2, 1994, 108 Stat. 4672; Pub. L. 109–444, Sec. 3(c)(1), Dec.
21, 2006, 120 Stat. 3307; Pub. L. 109–461, title III, Sec. 301(c)(1), title X, Sec.
1006(b), Dec. 22, 2006, 120 Stat. 3427, 3468; Pub. L. 110–389, title III, Sec. 323,
Oct. 10, 2008, 122 Stat. 4168.)
§ 3687. Apprenticeship or other on-job training

(a) An eligible veteran (as defined in section 3452(a)(1) of this
title) or an eligible person (as defined in section 3501(a) of this
title) shall be paid a training assistance allowance as prescribed by
subsection (b) of this section while pursuing a full-time—
(1) program of apprenticeship approved by a State approv-
ing agency as meeting the standards of apprenticeship pub-
lished by the Secretary of Labor pursuant to section 2 of the
Act of August 16, 1937 (popularly known as the ‘‘National Ap-
prenticeship Act’’) (29 U.S.C. 50a), or
(2) program of other on-job training approved under provi-
sions of section 3677 of this title,
subject to the conditions and limitations of chapters 34 and 35 of
this title with respect to educational assistance.
(b)(1) The monthly training assistance allowance of an eligible
veteran pursuing a program described under subsection (a) shall be
as follows:
More than two depend-

Periods of training No dependents One dependent Two dependents ents
The amount in col-

umn IV, plus the
following for each
dependent in ex-
cess of two:
First 6 months $274 $307 $336 $14
Second 6 months 205 239 267 14
Third 6 months 136 171 198 14
Fourth and any suc- 68 101 131 14
ceeding 6-month
periods
(2) The monthly training assistance allowance of an eligible

person pursuing a program described under subsection (a) shall be
$574 for the first six months, $429 for the second six months, $285
for the third six months, and $144 for the fourth and any suc-
ceeding six-month period of training.
(3) In any month in which an eligible veteran or person pur-
suing a program of apprenticeship or a program of other on-job
training fails to complete one hundred and twenty hours of training
in such month, the monthly training assistance allowance set forth
in subsection (b)(1) or (2) of this section, as applicable, shall be re-
duced proportionately in the proportion that the number of hours
worked bears to one hundred and twenty hours rounded off to the
nearest eight hours.
(c) For the purpose of this chapter, the terms ‘‘program of ap-
prenticeship’’ and ‘‘program of other on-job training’’ shall have the
same meaning as ‘‘program of education’’; and the term ‘‘training
assistance allowance’’ shall have the same meaning as ‘‘educational
assistance allowance’’ as set forth in chapters 34 and 35 of this
title.
(d) With respect to any fiscal year, the Secretary shall provide
a percentage increase (rounded to the nearest dollar) in the rates
payable under subsection (b)(2) equal to the percentage by which—
(1) the Consumer Price Index (all items, United States city
average) for the 12-month period ending on the June 30 pre-
ceding the beginning of the fiscal year for which the increase
is made, exceeds
(2) such Consumer Price Index for the 12-month period
preceding the 12-month period described in paragraph (1).
(e)(1) For each month that an individual (as defined in para-
graph (3)) is paid a training assistance allowance under subsection
(a), the entitlement of the individual shall be charged at a percent-
age rate (rounded to the nearest percent) that is equal to the ratio
of—
(A) the training assistance allowance for the month in-
volved, to (B) the monthly educational assistance allowance
otherwise payable for full-time enrollment in an educational
institution..
(2) For any month in which an individual fails to complete 120
hours of training, the entitlement otherwise chargeable under para-
graph (1) shall be reduced in the same proportion as the monthly

training assistance allowance payable is reduced under subsection
(b)(3).
(3) In this section, the term ‘‘individual’’ means—
(A) an eligible veteran who is entitled to monthly edu-
cational assistance allowances payable under section 3015(e) of
this title, or
(B) an eligible person who is entitled to monthly edu-
cational assistance allowances payable under section 3532(a) of
this title, as the case may be.
amended Pub. L. 93–508, title I, Sec. 104(2), (3), Dec. 3, 1974, 88 Stat. 1580; Pub.
L. 93–602, title II, Sec. 205(b), Jan. 2, 1975, 88 Stat. 1959; Pub. L. 94–502, title
V, Sec. 501(2), Oct. 15, 1976, 90 Stat. 2398; Pub. L. 95–202, title I, Sec. 104(2), Nov.
23, 1977, 91 Stat. 1435; Pub. L. 96–466, title II, Sec. 203(3), 213(3), Oct. 17, 1980,
94 Stat. 2189, 2191; Pub. L. 97–295, Sec. 4(57), Oct. 12, 1982, 96 Stat. 1309; Pub.
L. 98–543, title II, Sec. 204(2), Oct. 24, 1984, 98 Stat. 2742; Pub. L. 101–237, title
IV, Sec. 403(b), Dec. 18, 1989, 103 Stat. 2080; renumbered Sec. 3687 and amended
VIII, Sec. 8210(d), as added Pub. L. 105–206, title IX, Sec. 9014(b), July 22, 1998,
112 Stat. 866; Pub. L. 106–419, title I, Sec. 111(d), (f)(2), Nov. 1, 2000, 114 Stat.
1830, 1831; Pub. L. 107–103, title I, Sec. 102(d), Dec. 27, 2001, 115 Stat. 978; Pub.
L. 108–183, title III, Sec. 302(d), Dec. 16, 2003, 117 Stat. 2659; Pub. L. 108–454,
title I, Sec. 102(a), Dec. 10, 2004, 118 Stat. 3600.)
§ 3688. Measurement of courses

(a) For the purposes of this chapter and chapters 34 and 35 of
this title—
(1) an institutional trade or technical course offered on a
clock-hour basis, not leading to a standard college degree, in-
volving shop practice as an integral part thereof, shall be con-
sidered a full-time course when a minimum of 22 hours per
week of attendance (excluding supervised study) is required,
with no more than 2 1/2 hours of rest periods per week al-
lowed;
(2) an institutional course offered on a clock-hour basis,
not leading to a standard college degree, in which theoretical
or classroom instruction predominates shall be considered a
full-time course when a minimum of 18 hours per week net of
instruction (excluding supervised study but which may include
customary intervals not to exceed 10 minutes between hours of
instruction) is required;
(3) an academic high school course requiring sixteen units
for a full course shall be considered a full-time course when (A)
a minimum of four units per year is required or (B) an indi-
vidual is pursuing a program of education leading to an accred-
ited high school diploma at a rate which, if continued, would
result in receipt of such a diploma in four ordinary school
years. For the purpose of subclause (A) of this clause, a unit
is defined to be not less than one hundred and twenty sixty-
minute hours or their equivalent of study in any subject in one
academic year;
(4) an institutional undergraduate course offered by a col-
lege or university on a standard quarter-or semester-hour
basis, other than a course pursued as part of a program of edu-
cation beyond the baccalaureate level, shall be considered a
full-time course when a minimum of fourteen semester hours

per semester or the equivalent thereof (including such hours
for which no credit is granted but which are required to be
taken to correct an educational deficiency and which the edu-
cational institution considers to be quarter or semester hours
for other administrative purposes), for which credit is granted
toward a standard college degree, is required, except that
where such college or university certifies, upon the request of
the Secretary, that (A) full-time tuition is charged to all under-
graduate students carrying a minimum of less than fourteen
such semester hours or the equivalent thereof, or (B) all under-
graduate students carrying a minimum of less than fourteen
such semester hours or the equivalent thereof, are considered
to be pursuing a full-time course for other administrative pur-
poses, then such an institutional undergraduate course offered
by such college or university with such minimum number of
such semester hours shall be considered a full-time course, but
in the event such minimum number of semester hours is less
than twelve semester hours or the equivalent thereof, then
twelve semester hours or the equivalent thereof shall be con-
sidered a full-time course;
(5) a program of apprenticeship or a program of other on-
job training shall be considered a full-time program when the
eligible veteran or person is required to work the number of
hours constituting the standard workweek of the training es-
tablishment, but a workweek of less than thirty hours shall not
be considered to constitute full-time training unless a lesser
number of hours has been established as the standard work-
week for the particular establishment through bona fide collec-
tive bargaining;
(6) an institutional course offered as part of a program of
education, not leading to a standard college degree, under sec-
tion 3034(a)(3), 3241(a)(2), or 3533(a) of this title shall be con-
sidered a full-time course on the basis of measurement criteria
provided in clause (2), (3), or (4) of this subsection as deter-
mined by the educational institution; and
(7) an institutional course not leading to a standard college
degree offered by an educational institution on a standard
quarter-or semester-hour basis shall be measured as full time
on the same basis as provided in paragraph (4) of this sub-
section, but if the educational institution offering the course is
not an institution of higher learning, then in no event shall
such course be considered full time when it requires less than
the minimum weekly hours of attendance required for full time
by paragraph (1) or (2) of this subsection, as appropriate.
(b) The Secretary shall define part-time training in the case of
the types of courses referred to in subsection (a), and shall define
full-time and part-time training in the case of all other types of
courses pursued under this chapter, chapter 30, 32, 33, or 35 of
this title, or chapter 106 of title 10.
amended Pub. L. 93–508, title II, Sec. 211, Dec. 3, 1974, 88 Stat. 1585; Pub. L. 94–
502, title V, Sec. 509(a), Oct. 15, 1976, 90 Stat. 2400; Pub. L. 95–202, title III, Sec.
304(a)(3), Nov. 23, 1977, 91 Stat. 1442; Pub. L. 96–466, title III, Sec. 345, title VI,
Sec. 601(f), Oct. 17, 1980, 94 Stat. 2199, 2208; Pub. L. 97–295, Sec. 4(58), Oct. 12,
1982, 96 Stat. 1309; Pub. L. 99–576, title III, Sec. 315(a)(2), (b), Oct. 28, 1986, 100
Stat. 3274; Pub. L. 100–322, title III, Sec. 321(a), May 20, 1988, 102 Stat. 535; Pub.
L. 101–237, title IV, Sec. 413(a), 417, 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2085,
2086, 2092; renumbered Sec. 3688 and amended Pub. L. 102–83, Sec. 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 316(a), Oct. 29, 1992,
106 Stat. 4333; Pub. L. 103–446, title VI, Sec. 607, title XII, Sec. 1201(e)(12), Nov.
2, 1994, 108 Stat. 4672, 4685; Pub. L. 110–252, title V, Sec. 5003(b)(2)(A)(ii), June
30, 2008, 122 Stat. 2375 (conforming amendment effective August 1, 2009).)
§ 3689. Approval requirements for licensing and certifi-
cation testing
(a) IN GENERAL.—(1) No payment may be made for a licensing
or certification test described in section 3452(b) or 3501(a)(5) of this
title unless the Secretary determines that the requirements of this
section have been met with respect to such test and the organiza-
tion or entity offering the test. The requirements of approval for
tests and organizations or entities offering tests shall be in accord-
ance with the provisions of this chapter and chapters 30, 32, 33,
34, and 35 of this title and with regulations prescribed by the Sec-
retary to carry out this section.
(2) To the extent that the Secretary determines practicable,
State approving agencies may, in lieu of the Secretary, approve li-
censing and certification tests, and organizations and entities offer-
ing such tests, under this section.
(b) REQUIREMENTS FOR TESTS.—(1) Subject to paragraph (2), a
licensing or certification test is approved for purposes of this sec-
tion only if—
(A) the test is required under Federal, State, or local law
or regulation for an individual to enter into, maintain, or ad-
vance in employment in a predetermined and identified voca-
tion or profession; or
(B) the Secretary determines that the test is generally ac-
cepted, in accordance with relevant government, business, or
industry standards, employment policies, or hiring practices, as
attesting to a level of knowledge or skill required to qualify to
enter into, maintain, or advance in employment in a predeter-
mined and identified vocation or profession.
(2) A licensing or certification test offered by a State, or a polit-
ical subdivision of a State, is deemed approved by the Secretary for
(c) REQUIREMENTS FOR ORGANIZATIONS OR ENTITIES OFFERING
TESTS.—(1) Each organization or entity that is not an entity of the
United States, a State, or political subdivision of a State, that of-
fers a licensing or certification test for which payment may be
made under chapter 30, 32, 33, 34, or 35 of this title and that
meets the following requirements, shall be approved by the Sec-
retary to offer such test:
(A) The organization or entity certifies to the Secretary
that the licensing or certification test offered by the organiza-
tion or entity is generally accepted, in accordance with relevant
government, business, or industry standards, employment poli-
cies, or hiring practices, as attesting to a level of knowledge or
skill required to qualify to enter into, maintain, or advance in
employment in a predetermined and identified vocation or pro-
fession.
(B) The organization or entity is licensed, chartered, or in-

corporated in a State and has offered such test, or a test to cer-
tify or license in a similar or related occupation, for a min-
imum of two years before the date on which the organization
or entity first submits to the Secretary an application for ap-
proval under this section.
(C) The organization or entity employs, or consults with,
individuals with expertise or substantial experience with re-
spect to all areas of knowledge or skill that are measured by
the test and that are required for the license or certificate
issued.
(D) The organization or entity has no direct financial inter-
est in—
(i) the outcome of the test; or
(ii) organizations that provide the education or train-
ing of candidates for licenses or certificates required for vo-
cations or professions.
(E) The organization or entity maintains appropriate
records with respect to all candidates who take the test for a
period prescribed by the Secretary, but in no case for a period
of less than three years.
(F)(i) The organization or entity promptly issues notice of
the results of the test to the candidate for the license or certifi-
cate.
(ii) The organization or entity has in place a process to re-
view complaints submitted against the organization or entity
with respect to the test or the process for obtaining a license
or certificate required for vocations or professions.
(G) The organization or entity furnishes to the Secretary
such information with respect to the test as the Secretary re-
quires to determine whether payment may be made for the test
under chapter 30, 32, 33, 34, or 35 of this title, including per-
sonal identifying information, fee payment, and test results.
Such information shall be furnished in the form prescribed by
the Secretary.
(H) The organization or entity furnishes to the Secretary
the following information:
(i) A description of the licensing or certification test of-
fered by the organization or entity, including the purpose
of the test, the vocational, professional, governmental, and
other entities that recognize the test, and the license or
certificate issued upon successful completion of the test.
(ii) The requirements to take the test, including the
amount of the fee charged for the test and any prerequisite
education, training, skills, or other certification.
(iii) The period for which the license or certificate
awarded upon successful completion of the test is valid,
and the requirements for maintaining or renewing the li-
cense or certificate.
(I) Upon request of the Secretary, the organization or enti-
ty furnishes such information to the Secretary that the Sec-
retary determines necessary to perform an assessment of—
(i) the test conducted by the organization or entity as

compared to the level of knowledge or skills that a license
or certificate attests; and
(ii) the applicability of the test over such periods of
time as the Secretary determines appropriate.
(2) With respect to each organization or entity that is an entity
of the United States, a State, or political subdivision of a State,
that offers a licensing or certification test for which payment may
be made under chapters 30, 32, 34, or 35 of this title, the following
provisions of paragraph (1) shall apply to the entity: subparagraphs
(E), (F), (G), and (H).
(d) ADMINISTRATION.—Except as otherwise specifically provided
in this section or chapter 30, 32, 33, 34, or 35 of this title, in imple-
menting this section and making payment under any such chapter
for a licensing or certification test, the test is deemed to be a
‘‘course’’ and the organization or entity that offers such test is
deemed to be an ‘‘institution’’ or ‘‘educational institution’’, respec-
tively, as those terms are applied under and for purposes of sec-
tions 3671, 3673, 3674, 3678, 3679, 3681, 3682, 3683, 3685, 3690,
and 3696 of this title.
(e) PROFESSIONAL CERTIFICATION AND LICENSURE ADVISORY
COMMITTEE.—(1) There is established within the Department a
committee to be known as the Professional Certification and Licen-
sure Advisory Committee (hereinafter in this section referred to as
the ‘‘Committee’’).
(2) The Committee shall advise the Secretary with respect to
the requirements of organizations or entities offering licensing and
certification tests to individuals for which payment for such tests
may be made under chapter 30, 32, 33, 34, or 35 of this title, and
such other related issues as the Committee determines to be appro-
priate.
(3)(A) The Secretary shall appoint seven individuals with ex-
pertise in matters relating to licensing and certification tests to
serve as members of the Committee.
(B) The Secretary of Labor and the Secretary of Defense shall
serve as ex officio members of the Committee.
(C) A vacancy in the Committee shall be filled in the manner
in which the original appointment was made.
(4)(A) The Secretary shall appoint the chairman of the Com-
mittee.
(B) The Committee shall meet at the call of the chairman.
(5) The Committee shall terminate December 31, 2006.
(Added Pub. L. 106–419, title I, Sec. 122(c)(1), Nov. 1, 2000, 114 Stat. 1835; amend-
ed Pub. L. 107–330, title III, Sec. 308(d), Dec. 6, 2002, 116 Stat. 2828; Pub. L. 110–
252, title V, Sec. 5003(b)(2)(A)(iii), June 30, 2008, 122 Stat. 2375, 2378 (conforming
amendment effective August 1, 2009).)
§ 3690. Overcharges by educational institutions; discontinu-

ance of allowances; examination of records; false
or misleading statements
(a) OVERCHARGES BY EDUCATIONAL INSTITUTIONS.—If the Sec-
retary finds that an educational institution has—
(1) charged or received from any eligible veteran or eligible
person pursuing a program of education under this chapter or
chapter 34 or 35 of this title any amount for any course in ex-

cess of the charges for tuition and fees which such institution
requires similarly circumstanced nonveterans not receiving as-
sistance under such chapters who are enrolled in the same
course to pay, or
(2) instituted, after October 24, 1972, a policy or practice
with respect to the payment of tuition, fees, or other charges
in the case of eligible veterans and the Secretary finds that the
effect of such policy or practice substantially denies to veterans
the benefits of the advance allowances under such section,
the Secretary may disapprove such educational institution for the
enrollment of any eligible veteran or eligible person not already en-
rolled therein under this chapter or chapter 31, 34, or 35 of this
title.
(b) DISCONTINUANCE OF ALLOWANCES.—(1) The Secretary may
discontinue the educational assistance allowance of any eligible
veteran or eligible person if the Secretary finds that the program
of education or any course in which the veteran or person is en-
rolled fails to meet any of the requirements of this chapter or chap-
ter 34 or 35 of this title, or if the Secretary finds that the edu-
cational institution offering such program or course has violated
any provision of this chapter or chapter 34 or 35 of this title, or
fails to meet any of the requirements of such chapters.
(2) Except as provided in paragraph (3) of this subsection, any
action by the Secretary under paragraph (1) of this subsection to
discontinue (including to suspend) assistance provided to any eligi-
ble veteran or eligible person under this chapter or chapter 31, 32,
34, or 35 of this title shall be based upon evidence that the veteran
or eligible person is not or was not entitled to such assistance.
Whenever the Secretary so discontinues any such assistance, the
Secretary shall concurrently provide written notice to such veteran
or person of such discontinuance and that such veteran or person
is entitled thereafter to a statement of the reasons for such action
and an opportunity to be heard thereon.
(3)(A) The Secretary may suspend educational assistance to eli-
gible veterans and eligible persons already enrolled, and may dis-
approve the enrollment or reenrollment of any eligible veteran or
eligible person, in any course as to which the Secretary has evi-
dence showing a substantial pattern of eligible veterans or eligible
persons, or both, who are receiving such assistance by virtue of
their enrollment in such course but who are not entitled to such
assistance because (i) the course approval requirements of this
chapter are not being met, or (ii) the educational institution offer-
ing such course has violated one or more of the recordkeeping or
reporting requirements of this chapter or chapter 30, 32, 33, 34, or
35 of this title.
(B) Action may be taken under subparagraph (A) of this para-
graph only after—
(i) the Secretary provides to the State approving agency
concerned and the educational institution concerned written
notice of any such failure to meet such approval requirements
and any such violation of such recordkeeping or reporting re-
quirements;
(ii) such institution refuses to take corrective action or

does not within 60 days after such notice (or within such
longer period as the Secretary determines is reasonable and
appropriate) take corrective action; and
(iii) the Secretary, not less than 30 days before taking ac-
tion under such subparagraph, provides to each eligible vet-
eran and eligible person already enrolled in such course writ-
ten notice of the Secretary’s intent to take such action (and the
reasons therefor) unless such corrective action is taken within
such 60 days (or within such longer period as the Secretary
has determined is reasonable and appropriate), and of the date
on which the Secretary intends to take action under such sub-
paragraph.
(c) EXAMINATION OF RECORDS.—Notwithstanding any other
provision of law, the records and accounts of educational institu-
tions pertaining to eligible veterans or eligible persons who re-
ceived educational assistance under this chapter or chapter 31, 32,
34, or 35 of this title, as well as the records of other students which
the Secretary determines necessary to ascertain institutional com-
pliance with the requirements of such chapters, shall be available
for examination by duly authorized representatives of the Govern-
ment.
(d) FALSE OR MISLEADING STATEMENTS.—Whenever the Sec-
retary finds that an educational institution has willfully submitted
a false or misleading claim, or that a veteran or person, with the
complicity of an educational institution, has submitted such a
claim, the Secretary shall make a complete report of the facts of
the case to the appropriate State approving agency and, where
deemed advisable, to the Attorney General of the United States for
appropriate action.
amended Pub. L. 94–502, title V, Sec. 510, 513(a)(19), Oct. 15, 1976, 90 Stat. 2401,
2403; Pub. L. 95–202, title III, Sec. 306, Nov. 23, 1977, 91 Stat. 1445; Pub. L. 96–
466, title VIII, Sec. 801(f), Oct. 17, 1980, 94 Stat. 2216; Pub. L. 97–295, Sec. 4(59),
Oct. 12, 1982, 96 Stat. 1309; Pub. L. 97–306, title II, Sec. 207, Oct. 14, 1982, 96
Stat. 1435; Pub. L. 101–237, title IV, Sec. 423(a)(9), (b)(1)(A), (2), Dec. 18, 1989, 103
406; Pub. L. 102–86, title V, Sec. 506(b)(1), Aug. 14, 1991, 105 Stat. 426; Pub. L.
109–233, title V, Sec. 503(8)(A), June 15, 2006, 120 Stat. 416; Pub. L. 110–252, title
V, Sec. 5003(b)(2)(A)(iv), June 30, 2008, 122 Stat. 2375 (conforming amendment ef-
fective August 1, 2009).)
§ 3691. Change of program

(a) Except as provided in subsections (b) and (c) of this section,
each eligible veteran and eligible person may make not more than
one change of program of education, but an eligible veteran or eligi-
ble person whose program has been interrupted or discontinued
due to the veteran’s or person’s own misconduct, the veteran’s or
person’s own neglect, or the veteran’s or person’s own lack of appli-
cation shall not be entitled to any such change.
(b) The Secretary, in accordance with procedures that the Sec-
retary may establish, may approve a change other than a change
under subsection (a) of this section (or an initial change in the case
of a veteran or person not eligible to make a change under sub-
section (a)) in program if the Secretary finds that—
(1) the program of education which the eligible veteran or

eligible person proposes to pursue is suitable to the veteran’s
or person’s aptitudes, interests, and abilities; and
(2) in any instance where the eligible veteran or eligible
person has interrupted, or failed to progress in, the veteran’s
or person’s program due to the veteran’s or person’s own mis-
conduct, the veteran’s or person’s own neglect, or the veteran’s
or person’s own lack of application, there exists a reasonable
likelihood with respect to the program which the eligible vet-
eran or eligible person proposes to pursue that there will not
be a recurrence of such an interruption or failure to progress.
(c) The Secretary may also approve additional changes in pro-
gram if the Secretary finds such changes are necessitated by cir-
cumstances beyond the control of the eligible veteran or eligible
person.
(d)(1) For the purposes of this section, the term ‘‘change of pro-
gram of education’’ shall not be deemed to include a change by a
veteran or eligible person from the pursuit of one program to the
pursuit of another program if—
(A) the veteran or eligible person has successfully com-
pleted the former program;
(B) the program leads to a vocational, educational, or pro-
fessional objective in the same general field as the former pro-
gram;
(C) the former program is a prerequisite to, or generally
required for, pursuit of the subsequent program;
(D) in the case of a change from the pursuit of a subse-
quent program to the pursuit of a former program, the veteran
or eligible person resumes pursuit of the former program with-
out loss of credit or standing in the former program; or
(E) the change from the program to another program is at
the same educational institution and such educational institu-
tion determines that the new program is suitable to the apti-
tudes, interests, and abilities of the veteran or eligible person
and certifies to the Secretary the enrollment of the veteran or
eligible person in the new program.
(2) A veteran or eligible person undergoing a change from one
program of education to another program of education as described
in paragraph (1)(E) shall not be required to apply to the Secretary
for approval of such change.
amended Pub. L. 94–502, title V, Sec. 513(a)(20), Oct. 15, 1976, 90 Stat. 2403; Pub.
L. 101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 101–
366, title II, Sec. 208(a), Aug. 15, 1990, 104 Stat. 443; renumbered Sec. 3691, Pub.
L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title III, Sec. 317,
Oct. 29, 1992, 106 Stat. 4334; Pub. L. 110–389, title III, Sec. 324, Oct. 10, 2008,
122 Stat. 4168.)
§ 3692. Advisory committee

(a) There shall be a Veterans’ Advisory Committee on Edu-
cation formed by the Secretary which shall be composed of persons
who are eminent in their respective fields of education, labor, and
management and of representatives of institutions and establish-
ments furnishing education to eligible veterans or persons enrolled
under chapter 30, 32, 33, or 35 of this title and chapter 1606 of
title 10. The committee shall also, to the maximum extent prac-
ticable, include veterans representative of World War II, the Ko-
rean conflict era, the post-Korean conflict era, the Vietnam era, the
post-Vietnam era, and the Persian Gulf War. The Assistant Sec-
retary of Education for Postsecondary Education (or such other
comparable official of the Department of Education as the Sec-
retary of Education may designate) and the Assistant Secretary of
Labor for Veterans’ Employment and Training shall be ex officio
members of the advisory committee.
(b) The Secretary shall consult with and seek the advice of the
committee from time to time with respect to the administration of
this chapter, chapters 30, 32, 33, and 35 of this title, and chapter
1606 of title 10. The committee may make such reports and rec-
ommendations as it considers desirable to the Secretary and the
Congress.
(c) The committee shall remain in existence until December 31,
2009.
(Added Pub. L. 89–358, Sec. 3(b), Mar. 3, 1966, 80 Stat. 23, Sec. 1788; renumbered
Sec. 1792 and amended Pub. L. 92–540, title III, Sec. 316(2), (3), Oct. 24, 1972, 86
Stat. 1086, 1089; Pub. L. 96–466, title III, Sec. 346, Oct. 17, 1980, 94 Stat. 2200;
Pub. L. 99–576, title III, Sec. 304, Oct. 28, 1986, 100 Stat. 3269; Pub. L. 100–689,
title I, Sec. 123, Nov. 18, 1988, 102 Stat. 4174; Pub. L. 101–237, title IV, Sec.
423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; Pub. L. 102–25, title III, Sec. 338, Apr.
6, 1991, 105 Stat. 91; Pub. L. 102–54, Sec. 14(c)(7), June 13, 1991, 105 Stat. 285;
renumbered Sec. 3692, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub.
L. 103–210, Sec. 2(d), Dec. 20, 1993, 107 Stat. 2497; Pub. L. 103–446, title VI, Sec.
608, Nov. 2, 1994, 108 Stat. 4672; Pub. L. 108–183, title III, Sec. 307, Dec. 16, 2003,
117 Stat. 2661; Pub. L. 110–252, title V, Sec. 5003(b)(2)(A)(v), June 30, 2008, 122
Stat. 2375 (conforming amendment effective August 1, 2009).)
§ 3693. Compliance surveys

(a) Except as provided in subsection (b) of this section, the Sec-
retary shall conduct an annual compliance survey of each institu-
tion offering one or more courses approved for the enrollment of eli-
gible veterans or persons if at least 300 veterans or persons are en-
rolled in such course or courses under provisions of this title or if
any such course does not lead to a standard college degree. Such
compliance survey shall be designed to ensure that the institution
and approved courses are in compliance with all applicable provi-
sions of chapters 30 through 36 of this title. The Secretary shall
assign at least one education compliance specialist to work on com-
pliance surveys in any year for each 40 compliance surveys re-
quired to be made under this section for such year.
(b) The Secretary may waive the requirement in subsection (a)
of this section for an annual compliance survey with respect to an
institution if the Secretary determines, based on the institution’s
demonstrated record of compliance with all the applicable provi-
sions of chapters 30 through 36 of this title, that the waiver would
be appropriate and in the best interest of the United States Gov-
ernment.
(Added Pub. L. 94–502, title V, Sec. 511(1), Oct. 15, 1976, 90 Stat. 2401, Sec. 1793;
amended Pub. L. 100–322, title III, Sec. 322, May 20, 1988, 102 Stat. 535; Pub. L.
101–237, title IV, Sec. 423(b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered Sec.
§ 3694. Use of other Federal agencies

(a) IN GENERAL.—In carrying out the Secretary’s functions
under this chapter or chapter 34 or 35 of this title, the Secretary
may utilize the facilities and services of any other Federal depart-
ment or agency. Any such utilization shall be pursuant to proper
agreement with the Federal department or agency concerned; and
payment to cover the cost thereof shall be made either in advance
or by way of reimbursement, as may be provided in such agree-
ment.
(b) COORDINATION OF INFORMATION AMONG THE DEPARTMENTS
OF VETERANS AFFAIRS, DEFENSE, AND LABOR WITH RESPECT TO ON-
JOB TRAINING.—At the time of a servicemember’s discharge or re-
lease from active duty service, the Secretary of Defense shall fur-
nish to the Secretary such pertinent information concerning each
registered apprenticeship pursued by the servicemember during the
period of active duty service of the servicemember. The Secretary,
in conjunction with the Secretary of Labor, shall encourage and as-
sist States and private organizations to give credit to
servicemembers for the registered apprenticeship program so pur-
sued in the case of any related apprenticeship program the
servicemember may pursue as a civilian.
(Added Pub. L. 89–358, Sec. 3(b), Mar. 3, 1966, 80 Stat. 23, Sec. 1790; renumbered
Sec. 1794, Pub. L. 92–540, title III, Sec. 316(2), Oct. 24, 1972, 86 Stat. 1086; amend-
ed Pub. L. 94–502, title V, Sec. 513(a)(21), Oct. 15, 1976, 90 Stat. 2403; Pub. L. 101–
I, Sec. 107, Dec. 10, 2004, 118 Stat. 3603.)
§ 3695. Limitation on period of assistance under two or

more programs
(a) The aggregate period for which any person may receive as-
sistance under two or more of the provisions of law listed below
may not exceed 48 months (or the part-time equivalent thereof):
(1) Parts VII or VIII, Veterans Regulation numbered 1(a),
as amended.
(2) Title II of the Veterans’ Readjustment Assistance Act
of 1952.
(3) The War Orphans’ Educational Assistance Act of 1956.
(4) Chapters 30, 32, 33, 34, 35, and 36 of this title, and the
former chapter 33.
(5) Chapters 107, 1606, 1607, and 1611 of title 10.
(6) Section 903 of the Department of Defense Authoriza-
tion Act, 1981 (Public Law 96–342, 10 U.S.C. 2141 note).
(7) The Hostage Relief Act of 1980 (Public Law 96–449, 5
U.S.C. 5561 note).
(8) The Omnibus Diplomatic Security and Antiterrorism
Act of 1986 (Public Law 99–399).
(b) No person may receive assistance under chapter 31 of this
title in combination with assistance under any of the provisions of
law cited in subsection (a) of this section in excess of 48 months
(or the part-time equivalent thereof) unless the Secretary deter-
mines that additional months of benefits under chapter 31 of this
title are necessary to accomplish the purposes of a rehabilitation
program (as defined in section 3101(5) of this title) in the indi-

vidual case.
(Added Pub. L. 90–631, Sec. 1(d)(1), Oct. 23, 1968, 82 Stat. 1331, Sec. 1791; renum-
bered Sec. 1795 and amended Pub. L. 92–540, title III, Sec. 316(2), title IV, Sec.
403(13), Oct. 24, 1972, 86 Stat. 1086, 1090; Pub. L. 96–466, title I, Sec. 103, Oct.
17, 1980, 94 Stat. 2187; Pub. L. 98–223, title II, Sec. 203(c)(2), Mar. 2, 1984, 98 Stat.
41; Pub. L. 98–525, title VII, Sec. 703(d), Oct. 19, 1984, 98 Stat. 2564; Pub. L. 101–
237, title IV, Sec. 423(a)(8)(B), (b)(1)(A), Dec. 18, 1989, 103 Stat. 2092; renumbered
Pub. L. 106–65, div. A, title V, Sec. 551(b), Oct. 5, 1999, 113 Stat. 614; Pub. L. 107–
103, title V, Sec. 509(d), Dec. 27, 2001, 115 Stat. 997; Pub. L. 107–107, div. A, title
X, Sec. 1048(i)(8), Dec. 28, 2001, 115 Stat. 1229; Pub. L. 108–375, div. A, title V,
Sec. 527(b)(2), Oct. 28, 2004, 118 Stat. 1894; Pub. L. 110–252, title V, Sec.
5003(b)(1)(B), June 30, 2008, 122 Stat. 2375 (conforming amendment effective Au-
gust 1, 2009).)
§ 3696. Limitation on certain advertising, sales, and enroll-

ment practices
ble veteran or eligible person in any course offered by an institu-
tion which utilizes advertising, sales, or enrollment practices of any
type which are erroneous, deceptive, or misleading either by actual
statement, omission, or intimation.
(b) To ensure compliance with this section, any institution of-
fering courses approved for the enrollment of eligible persons or
veterans shall maintain a complete record of all advertising, sales,
or enrollment materials (and copies thereof) utilized by or on behalf
of the institution during the preceding 12-month period. Such
record shall be available for inspection by the State approving
agency or the Secretary. Such materials shall include but are not
limited to any direct mail pieces, brochures, printed literature used
by sales persons, films, video tapes, and audio tapes disseminated
through broadcast media, material disseminated through print
media, tear sheets, leaflets, handbills, fliers, and any sales or re-
cruitment manuals used to instruct sales personnel, agents, or rep-
resentatives of such institution.
(c) The Secretary shall, pursuant to section 3694 of this title,
enter into an agreement with the Federal Trade Commission to uti-
lize, where appropriate, its services and facilities, consistent with
its available resources, in carrying out investigations and making
the Secretary’s determinations under subsection (a) of this section.
Such agreement shall provide that cases arising under subsection
(a) of this section or any similar matters with respect to any of the
requirements of this chapter or chapters 34 and 35 of this title
shall be referred to the Federal Trade Commission which in its dis-
cretion will conduct an investigation and make preliminary find-
ings. The findings and results of any such investigations shall be
referred to the Secretary who shall take appropriate action in such
cases within ninety days after such referral.
(Added Pub. L. 93–508, title II, Sec. 212(a), Dec. 3, 1974, 88 Stat. 1585, Sec. 1796;
amended Pub. L. 94–502, title V, Sec. 512, 513(a)(22), Oct. 15, 1976, 90 Stat. 2402,
2403; Pub. L. 98–543, title IV, Sec. 401, Oct. 24, 1984, 98 Stat. 2749; Pub. L. 101–
3696 and amended Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 3697. Funding of contract educational and vocational

counseling
(a) Subject to subsection (b) of this section, educational or voca-
tional counseling services obtained by the Department of Veterans
Affairs by contract and provided to an individual under section
3697A of this title or to an individual applying for or receiving ben-
efits under section 1524 or chapter 30, 32, 33, 34, or 35 of this title,
or chapter 106 of title 10, shall be paid for out of funds appro-
priated, or otherwise available, to the Department of Veterans Af-
fairs for payment of readjustment benefits.
(b) Payments under this section shall not exceed $6,000,000 in
any fiscal year.
(Added Pub. L. 100–687, div. B, title XIII, Sec. 1302(a), Nov. 18, 1988, 102 Stat.
4127, Sec. 1797; amended Pub. L. 101–237, title IV, Sec. 423(b)(1)(B), Dec. 18, 1989,
103 Stat. 2092; Pub. L. 102–16, Sec. 2(b)(3), Mar. 22, 1991, 105 Stat. 49; renum-
Stat. 406; Pub. L. 103–446, title VI, Sec. 609(a), Nov. 2, 1994, 108 Stat. 4673; Pub.
L. 110–252, title V, Sec. 5003(b)(2)(A)(vi), June 30, 2008, 122 Stat. 2375 (conforming
amendment effective August 1, 2009).)
§ 3697A. Educational and vocational counseling

(a) The Secretary shall make available to an individual de-
scribed in subsection (b) of this section, upon such individual’s re-
quest, counseling services, including such educational and voca-
tional counseling and guidance, testing, and other assistance as the
Secretary determines necessary to aid the individual in selecting—
(1) an educational or training objective and an educational
institution or training establishment appropriate for the at-
tainment of such objective; or
(2) an employment objective that would be likely to provide
such individual with satisfactory employment opportunities in
the light of the individual’s personal circumstances.
(b) For the purposes of this section, the term ‘‘individual’’
means an individual who—
(1) is eligible for educational assistance under chapter 30,
31, 32, or 33 of this title or chapter 106 or 107 of title 10;
(2) was discharged or released from active duty under con-
ditions other than dishonorable if not more than one year has
elapsed since the date of such last discharge or release from
active duty; or
(3) is serving on active duty in any State with the Armed
Forces and is within 180 days of the estimated date of such in-
dividual’s discharge or release from active duty under condi-
tions other than dishonorable, including those who are making
a determination of whether to continue as members of the
Armed Forces.
(c) In any case in which the Secretary has rated the individual
as being incompetent, the counseling services described in sub-
section (a) of this section shall be required to be provided to the
individual before the selection of a program of education or train-
ing.
(d) At such intervals as the Secretary determines necessary,
the Secretary shall make available information concerning the need
for general education and for trained personnel in the various
crafts, trades, and professions. Facilities of other Federal agencies

collecting such information shall be utilized to the extent the Sec-
retary determines practicable.
(e) The Secretary shall take appropriate steps (including indi-
vidual notification where feasible) to acquaint all individuals de-
scribed in subsection (b) of this section with the availability and
advantages of counseling services under this section.
(Added Pub. L. 102–16, Sec. 2(a), Mar. 22, 1991, 105 Stat. 48, Sec. 1797A; renum-
bered Sec. 3697A, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended
Pub. L. 110–252, title V, Sec. 5003(b)(2)(B), June 30, 2008, 122 Stat. 2375 (con-
forming amendment effective August 1, 2009).)
SUBCHAPTER III—REPEALED
ø§ 3698. Repealed. Pub. L. 108–183, title III, Sec. 306(e), Dec.
16, 2003, 117 Stat. 2661¿
ø§ 3699. Repealed. Pub. L. 108–183, title III, Sec. 306(e), Dec.
16, 2003, 117 Stat. 2661¿
575
CHAPTER 37—HOUSING AND SMALL BUSINESS LOANS
Sec.
3701. Definitions.
3703. Basic provisions relating to loan guaranty and insurance.
3704. Restrictions on loans.
3705. Warranties.
3706. Escrow of deposits and downpayments.
3707. Adjustable rate mortgages.
3707A. Hybrid adjustable rate mortgages.
3708. Authority to buy down interest rates: pilot program.
3710. Purchase or construction of homes.
3711. Direct loans to veterans.
3712. Loans to purchase manufactured homes and lots.
3713. Release from liability under guaranty.
3714. Assumptions; release from liability.

3720. Powers of Secretary.
3722. Veterans Housing Benefit Program Fund.
[3723. Repealed.]
3726. Withholding of payments, benefits, etc.
3727. Expenditures to correct or compensate for structural defects in mortgaged
homes.
3728. Exemption from State anti-usury provisions.
3729. Loan fee.
3730. Use of attorneys in court.
3731. Appraisals.
3732. Procedure on default.
3733. Property management.
[3734. Repealed.]
[3735. Renumbered]
3736. Reporting requirements.

3741. Definitions.
3742. Small business loan program.
3743. Liability on loans.
3744. Approval of loans by the Secretary.
3745. Interest on loans.
3746. Maturity of loans.
3747. Eligible financial institutions.
3748. Preference for disabled veterans.
3750. Incorporation of other provisions by the Secretary.
3751. Termination of program.
577
Sec. 3701 CH. 37—HOUSING AND SMALL BUSINESS LOANS 578
SUBCHAPTER V—DIRECT HOUSING LOANS FOR NATIVE AMERICAN

VETERANS
3761. Direct housing loans to Native American veterans; program authority.
3762. Direct housing loans to Native American veterans; program administra-
tion.
3763. Native American Veteran Housing Loan Program Account.
3764. Qualified non-Native American veterans.
3765. Definitions.
SUBCHAPTER VI—TRANSFERRED]
[3771 to 3775. Repealed or renumbered.]
(a) For the purpose of this chapter, the term ‘‘housing loan’’
means a loan for any of the purposes specified by sections 3710(a)
and 3712(a)(1) of this title.
(b) For the purposes of housing loans under this chapter—
(1) The term ‘‘World War II’’ (A) means the period begin-
ning on September 16, 1940, and ending on July 25, 1947, and
(B) includes, in the case of any veteran who enlisted or reen-
listed in a Regular component of the Armed Forces after Octo-
ber 6, 1945, and before October 7, 1946, the period of the first
such enlistment or reenlistment.
(2) The term ‘‘veteran’’ includes the surviving spouse of
any veteran (including a person who died in the active mili-
tary, naval, or air service) who died from a service-connected
disability, but only if such surviving spouse is not eligible for
benefits under this chapter on the basis of the spouse’s own ac-
tive duty. The active duty or service in the Selected Reserve of
the deceased spouse shall be deemed to have been active duty
or service in the Selected Reserve by such surviving spouse for
the purposes of this chapter.
(3) The term ‘‘veteran’’ also includes, for purposes of home
loans, the spouse of any member of the Armed Forces serving
on active duty who is listed, pursuant to section 556 of title 37,
United States Code, and regulations issued thereunder, by the
Secretary concerned in one or more of the following categories
and has been so listed for a total of more than ninety days: (A)
missing in action, (B) captured in line of duty by a hostile
force, or (C) forcibly detained or interned in line of duty by a
foreign government or power. The active duty of the member
shall be deemed to have been active duty by such spouse for
the purposes of this chapter. The loan eligibility of such spouse
under this paragraph shall be limited to one loan guaranteed
or made for the acquisition of a home, and entitlement to such
loan shall terminate automatically, if not used, upon receipt by
such spouse of official notice that the member is no longer list-
ed in one of the categories specified in the first sentence of this
paragraph.
(4) The term ‘‘veteran’’ also includes an individual serving
on active duty.
(5)(A) The term ‘‘veteran’’ also includes an individual who
is not otherwise eligible for the benefits of this chapter and (i)
who has completed a total service of at least 6 years in the Se-
579 CH. 37—HOUSING AND SMALL BUSINESS LOANS Sec. 3702
lected Reserve and, following the completion of such service,

was discharged from service with an honorable discharge, was
placed on the retired list, was transferred to the Standby Re-
serve or an element of the Ready Reserve other than the Se-
lected Reserve after service in the Selected Reserve character-
ized by the Secretary concerned as honorable service, or con-
tinues serving in the Selected Reserve, or (ii) who was dis-
charged or released from the Selected Reserve before com-
pleting 6 years of service because of a service-connected dis-
ability.
(B) The term ‘‘Selected Reserve’’ means the Selected Re-
serve of the Ready Reserve of any of the reserve components
(including the Army National Guard of the United States and
the Air National Guard of the United States) of the Armed
Forces, as required to be maintained under section 10143(a) of
title 10.
(c) Benefits shall not be afforded under this chapter to any in-
dividual on account of service as a commissioned officer of the Na-
tional Oceanic and Atmospheric Administration (or predecessor en-
tity), or of the Regular or Reserve Corps of the Public Health Serv-
ice, unless such service would have qualified such individual for
benefits under title III of the Servicemen’s Readjustment Act of
1944.
Dec. 24, 1970, 84 Stat. 1576; Pub. L. 94–324, Sec. 7(1), (2), June 30, 1976, 90 Stat.
721; Pub. L. 97–72, title III, Sec. 303(a), Nov. 3, 1981, 95 Stat. 1059; Pub. L. 97–
295, Sec. 4(62), Oct. 12, 1982, 96 Stat. 1309; Pub. L. 100–322, title IV, Sec. 415(c)(1),
May 20, 1988, 102 Stat. 551; Pub. L. 101–237, title III, Sec. 313(a), Dec. 18, 1989,
Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec. 2(a)(1), Oct. 28, 1992, 106 Stat.
3633; Pub. L. 103–446, title IX, Sec. 901, Nov. 2, 1994, 108 Stat. 4675; Pub. L. 104–
106, div. A, title XV, Sec. 1501(e)(2)(B), Feb. 10, 1996, 110 Stat. 501.)

(a)(1) The veterans described in paragraph (2) of this sub-
section are eligible for the housing loan benefits of this chapter. In
the case of any veteran who served on active duty during two or
more of the periods specified in paragraph (2) for which eligibility
for the housing loan benefits under this chapter may be granted,
entitlement derived from service during the most recent such pe-
riod (A) shall cancel any unused entitlement derived from service
during any earlier such period, and (B) shall be reduced by the
amount by which entitlement from service during any earlier such
period has been used to obtain a direct, guaranteed, or insured
housing loan—
(i) on real property which the veteran owns at the time of
application; or
(ii) as to which the Secretary has incurred actual liability
or loss, unless in the event of loss or the incurrence and pay-
ment of such liability by the Secretary the resulting indebted-
ness of the veteran to the United States has been paid in full.
(2) The veterans referred to in the first sentence of paragraph
(1) of this subsection are the following:
(A) Each veteran who served on active duty at any time

during World War II, the Korean conflict, or the Vietnam era
and whose total service was for 90 days or more.
(B) Each veteran who after September 15, 1940, was dis-
charged or released from a period of active duty for a service-
connected disability.
(C) Each veteran, other than a veteran described in clause
(A) or (B) of this paragraph, who—
(i) served after July 25, 1947, for a period of more than
180 days and was discharged or released therefrom under con-
ditions other than dishonorable; or
(ii) has served more than 180 days in active duty status
and continues on active duty without a break therein.
(D) Each veteran who served on active duty for 90 days or
more at any time during the Persian Gulf War, other than a
veteran ineligible for benefits under this title by reason of sec-
tion 5303A(b) of this title.
(E) Each veteran described in section 3701(b)(5) this title.
(F) Each veteran who was discharged or released from a
period of active duty of 90 days or more by reason of a sole sur-
vivorship discharge (as that term is defined in section 1174(i)
of title 10).
(3) Any unused entitlement of World War II or Korean conflict
veterans which expired under provisions of law in effect before Oc-
tober 23, 1970, is hereby restored and shall not expire until used.
(4) A veteran’s entitlement under this chapter shall not be re-
duced by any entitlement used by the veteran’s spouse which was
based upon the provisions of paragraph (3) of section 3701(b) of
this title.
(b) In computing the aggregate amount of guaranty or insur-
ance housing loan entitlement available to a veteran under this
chapter, the Secretary may exclude the amount of guaranty or in-
surance housing loan entitlement used for any guaranteed, insured,
or direct loan under the following circumstances:
(1)(A) The property which secured the loan has been dis-
posed of by the veteran or has been destroyed by fire or other
natural hazard; and
(B) the loan has been repaid in full, or the Secretary has
been released from liability as to the loan, or if the Secretary
has suffered a loss on such loan, the loss has been paid in full.
(2) A veteran-transferee has agreed to assume the out-
standing balance on the loan and consented to the use of the
veteran-transferee’s entitlement, to the extent that the entitle-
ment of the veteran-transferor had been used originally, in
place of the veteran-transferor’s for the guaranteed, insured, or
direct loan, and the veteran-transferee otherwise meets the re-
quirements of this chapter.
(3)(A) The loan has been repaid in full; and
(B) the loan for which the veteran seeks to use entitlement
under this chapter is secured by the same property which se-
cured the loan referred to in subparagraph (A) of this para-
graph.
(4) In a case not covered by paragraph (1) or (2)—
(A) the loan has been repaid in full and, if the Sec-
retary has suffered a loss on the loan, the loss has been
paid in full; or
(B) the Secretary has been released from liability as to
the loan and, if the Secretary has suffered a loss on the
loan, the loss has been paid in full.
The Secretary may, in any case involving circumstances the Sec-
retary deems appropriate, waive one or more of the conditions pre-
scribed in paragraph (1). The authority of the Secretary under this
subsection to exclude an amount of guaranty or insurance housing
loan entitlement previously used by a veteran may be exercised
only once for that veteran under the authority of paragraph (4).
(c) An honorable discharge shall be deemed to be a certificate
of eligibility to apply for a guaranteed loan. Any veteran who does
not have a discharge certificate, or who received a discharge other
than honorable, may apply to the Secretary for a certificate of eligi-
bility. Upon making a loan guaranteed or insured under this chap-
ter, the lender shall forthwith transmit to the Secretary a report
thereon in such detail as the Secretary may, from time to time,
prescribe. Where the loan is guaranteed, the Secretary shall pro-
vide the lender with a loan guaranty certificate or other evidence
of the guaranty. The Secretary shall also endorse on the veteran’s
discharge, or eligibility certificate, the amount and type of guar-
anty used, and the amount, if any, remaining. Nothing in this
chapter shall preclude the assignment of any guaranteed loan or
the security therefor.
(d) Housing loans will be automatically guaranteed under this
chapter only if made (1) by any Federal land bank, national bank,
State bank, private bank, building and loan association, insurance
company, credit union, or mortgage and loan company, that is sub-
ject to examination and supervision by an agency of the United
States or of any State, or (2) by any State, or (3) by any lender ap-
proved by the Secretary pursuant to standards established by the
Secretary. Any housing loan proposed to be made to a veteran pur-
suant to this chapter by any lender not of a class specified in the
preceding sentence may be guaranteed by the Secretary if the Sec-
retary finds that it is in accord otherwise with the provisions of
this chapter.
(e) The Secretary may at any time upon thirty days’ notice re-
quire housing loans to be made by any lender or class of lenders
to be submitted to the Secretary for prior approval. No guaranty
or insurance liability shall exist with respect to any such loan un-
less evidence of guaranty or insurance is issued by the Secretary.
(f) Any housing loan at least 20 percent of which is guaranteed
under this chapter may be made by any national bank or Federal
savings and loan association, or by any bank, trust company, build-
ing and loan association, or insurance company, organized or au-
thorized to do business in the District of Columbia. Any such loan
may be so made without regard to the limitations and restrictions
of any other law relating to—
(1) ratio of amount of loan to the value of the property;
(2) maturity of loan;
(3) requirement for mortgage or other security;
(4) dignity of lien; or
(5) percentage of assets which may be invested in real es-

tate loans.
30, 1959, 73 Stat. 156; Pub. L. 87–84, Sec. 1(b), July 6, 1961, 75 Stat. 201; Pub.
L. 90–19, Sec. 25(1), May 25, 1967, 81 Stat. 28; Pub. L. 90–77, title IV, Sec. 403(a),
Aug. 31, 1967, 81 Stat. 190; Pub. L. 91–506, Sec. 2(a), Oct. 23, 1970, 84 Stat. 1108;
Pub. L. 91–584, Sec. 5(b), Dec. 24, 1970, 84 Stat. 1576; Pub. L. 93–569, Sec. 2(a),
(b), Dec. 31, 1974, 88 Stat. 1863; Pub. L. 94–324, Sec. 7(3)–(5), June 30, 1976, 90
Stat. 721; Pub. L. 95–476, title I, Sec. 102, Oct. 18, 1978, 92 Stat. 1497; Pub. L.
97–72, title III, Sec. 303(b), Nov. 3, 1981, 95 Stat. 1060; Pub. L. 97–295, Sec. 4(61),
Oct. 12, 1982, 96 Stat. 1309; Pub. L. 98–223, title II, Sec. 204, Mar. 2, 1984, 98 Stat.
42; Pub. L. 100–322, title IV, Sec. 415(a)(1), (2), May 20, 1988, 102 Stat. 549, 550;
Pub. L. 101–237, title III, Sec. 310, 313(b)(1), Dec. 18, 1989, 103 Stat. 2075, 2077;
Pub. L. 102–25, title III, Sec. 341, Apr. 6, 1991, 105 Stat. 92; Pub. L. 102–40, title
IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 3702 and amended
Pub. L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec.
2(a)(2), Oct. 28, 1992, 106 Stat. 3633; Pub. L. 103–446, title IX, Sec. 902, title XII,
Sec. 1201(f)(4), Nov. 2, 1994, 108 Stat. 4676, 4687; Pub. L. 105–368, title VI, Sec.
603(a), Nov. 11, 1998, 112 Stat. 3348; Pub. L. 106–117, title VII, Sec. 711, Nov. 30,
1999, 113 Stat. 1584; Pub. L. 107–103, title IV, Sec. 405(a), Dec. 27, 2001, 115 Stat.
993; Pub. L. 108–183, title IV, Sec. 403, Dec. 16, 2003, 117 Stat. 2664; Pub. L. 110–
317, Sec. 6(a), Aug. 29, 2008, 122 Stat. 3528.)
§ 3703. Basic provisions relating to loan guaranty and insur-

ance
(a)(1)(A) Any loan to a veteran eligible for benefits under this
chapter, if made for any of the purposes specified in section 3710
of this title and in compliance with the provisions of this chapter,
is automatically guaranteed by the United States in an amount not
to exceed the lesser of—
(i)(I) in the case of any loan of not more than $45,000, 50
percent of the loan;
(II) in the case of any loan of more than $45,000, but not
more than $56,250, $22,500;
(III) except as provided in subclause (IV) of this clause, in
the case of any loan of more than $56,250, the lesser of $36,000
or 40 percent of the loan; or
(IV) in the case of any loan of more than $144,000 for a
purpose specified in clause (1), (2), (3), (5), (6), or (8) of section
3710(a) of this title, the lesser of the maximum guaranty
amount (as defined in subparagraph (C)) or 25 percent of the
loan; or
(ii) the maximum amount of guaranty entitlement avail-
able to the veteran as specified in subparagraph (B) of this
paragraph.
(B) The maximum amount of guaranty entitlement available to
a veteran for purposes specified in section 3710 of this title shall
be $36,000, or in the case of a loan described in subparagraph
(A)(i)(IV) of this paragraph, the maximum guaranty amount (as de-
fined in subparagraph (C)), reduced by the amount of entitlement
previously used by the veteran under this chapter and not restored
as a result of the exclusion in section 3702(b) of this title.
(C) In this paragraph, the term ‘‘maximum guaranty amount’’
means the dollar amount that is equal to 25 percent of the Freddie
Mac conforming loan limit limitation determined under section
305(a)(2) of the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1454(a)(2)) for a single-family residence, as adjusted for the

year involved.
(2)(A) Any housing loan which might be guaranteed under the
provisions of this chapter, when made or purchased by any finan-
cial institution subject to examination and supervision by any
agency of the United States or of any State may, in lieu of such
guaranty, be insured by the Secretary under an agreement where-
by the Secretary will reimburse any such institution for losses in-
curred on such loan up to 15 per centum of the aggregate of loans
so made or purchased by it.
(B) Loans insured under this section shall be made on such
other terms, conditions, and restrictions as the Secretary may pre-
scribe within the limitations set forth in this chapter.
(b) The liability of the United States under any guaranty, with-
in the limitations of this chapter, shall decrease or increase pro
rata with any decrease or increase of the amount of the unpaid por-
tion of the obligation.
(c)(1) Loans guaranteed or insured under this chapter shall be
payable upon such terms and conditions as may be agreed upon by
the parties thereto, subject to the provisions of this chapter and
regulations of the Secretary issued pursuant to this chapter, and
shall bear interest not in excess of such rate as the Secretary may
from time to time find the loan market demands, except that in es-
tablishing the rate of interest that shall be applicable to such
loans, the Secretary shall consult with the Secretary of Housing
and Urban Development regarding the rate of interest applicable
to home loans insured under section 203(b) of the National Housing
Act (12 U.S.C. 1709(b)). In establishing rates of interest under this
paragraph for one or more of the purposes described in clauses (4)
and (7) of section 3710(a) of this title, the Secretary may establish
a rate or rates higher than the rate specified for other purposes
under such section, but any such rate may not exceed such rate as
the Secretary may from time to time find the loan market demands
for loans for such purposes.
(2) The provisions of the Servicemen’s Readjustment Act of
1944 which were in effect before April 1, 1958, with respect to the
interest chargeable on loans made or guaranteed under such Act
shall, notwithstanding the provisions of paragraph (1) of this sub-
section, continue to be applicable—
(A) to any loan made or guaranteed before April 1, 1958;
and
(B) to any loan with respect to which a commitment to
guarantee was entered into by the Secretary before April 1,
1958.
(3) This section shall not be construed to prohibit a veteran
from paying to a lender any reasonable discount required by such
lender, when the proceeds from the loan are to be used—
(A) to refinance indebtedness pursuant to clause (5), (8), or
(9)(B)(i) of section 3710(a) of this title or section 3712(a)(1)(F)
of this title;
(B) to repair, alter, or improve a farm residence or other
dwelling pursuant to clauses (4) and (7) of section 3710(a) of
this title;
(C) to construct a dwelling or farm residence on land al-

ready owned or to be acquired by the veteran except where the
land is directly or indirectly acquired from a builder or devel-
oper who has contracted to construct such dwelling for the vet-
eran;
(D) to purchase a dwelling from a class of sellers which the
Secretary determines are legally precluded under all cir-
cumstances from paying such a discount if the best interest of
the veteran would be so served; or
(E) to refinance indebtedness and purchase a manufac-
tured-home lot pursuant to section 3710(a)(9)(B)(ii) or
3712(a)(1)(G) of this title, but only with respect to that portion
of the loan used to refinance such indebtedness.
(4)(A) In guaranteeing or insuring loans under this chapter,
the Secretary may elect whether to require that such loans bear in-
terest at a rate that is—
(i) agreed upon by the veteran and the mortgagee; or
(ii) established under paragraph (1).
The Secretary may, from time to time, change the election
under this subparagraph.
(B) Any veteran, under a loan described in subparagraph (A)(i),
may pay reasonable discount points in connection with the loan.
Except in the case of a loan for the purpose specified in section
3710(a)(8), 3710(b)(7), or 3712(a)(1)(F) of this title, discount points
may not be financed as part of the principal amount of a loan guar-
anteed or insured under this chapter.
(C) Not later than 10 days after an election under subpara-
graph (A), the Secretary shall transmit to the Committees on Vet-
erans’ Affairs of the Senate and House of Representatives a notifi-
cation of the election, together with an explanation of the reasons
therefor.
(d)(1) The maturity of any housing loan shall not be more than
thirty years and thirty-two days.
(2)(A) Any loan for a term of more than five years shall be am-
ortized in accordance with established procedure.
(B) The Secretary may guarantee loans with provisions for var-
ious rates of amortization corresponding to anticipated variations
in family income. With respect to any loan guaranteed under this
subparagraph—
(i) the initial principal amount of the loan may not exceed
the reasonable value of the property as of the time the loan is
made; and
(ii) the principal amount of the loan thereafter (including
the amount of all interest to be deferred and added to prin-
cipal) may not at any time be scheduled to exceed the projected
value of the property.
(C) For the purposes of subparagraph (B) of this paragraph,
the projected value of the property shall be calculated by the Sec-
retary by increasing the reasonable value of the property as of the
time the loan is made at a rate not in excess of 2.5 percent per
year, but in no event may the projected value of the property for
the purposes of such subparagraph exceed 115 percent of such rea-
sonable value. A loan made for a purpose other than the acquisi-
tion of a single-family dwelling unit may not be guaranteed under

such subparagraph.
(3) Any real estate housing loan (other than for repairs, alter-
ations, or improvements) shall be secured by a first lien on the re-
alty. In determining whether a loan for the purchase or construc-
tion of a home is so secured, the Secretary may disregard a supe-
rior lien created by a duly recorded covenant running with the real-
ty in favor of a private entity to secure an obligation to such entity
for the homeowner’s share of the costs of the management, oper-
ation, or maintenance of property, services or programs within and
for the benefit of the development or community in which the vet-
eran’s realty is located, if the Secretary determines that the inter-
ests of the veteran borrower and of the Government will not be
prejudiced by the operation of such covenant. In respect to any
such superior lien to be created after June 6, 1969, the Secretary’s
determination must have been made prior to the recordation of the
covenant.
(e)(1) Except as provided in paragraph (2) of this subsection, an
individual who pays a fee under section 3729 of this title, or who
is exempted under section 3729(c)(1) of this title from paying such
fee, with respect to a housing loan guaranteed or insured under
this chapter that is closed after December 31, 1989, shall have no
liability to the Secretary with respect to the loan for any loss re-
sulting from any default of such individual except in the case of
fraud, misrepresentation, or bad faith by such individual in obtain-
ing the loan or in connection with the loan default.
(2) The exemption from liability provided by paragraph (1) of
this subsection shall not apply to—
(A) an individual from whom a fee is collected (or who is
exempted from such fee) under section 3729(b)(2)(I) of this
title; or
(B) a loan made for any purpose specified in section 3712
of this title.
(f) The application for or obtaining of a loan made, insured, or
guaranteed under this chapter shall not be subject to reporting re-
quirements applicable to requests for, or receipts of, Federal con-
tracts, grants, loans, loan guarantees, loan insurance, or coopera-
tive agreements except to the extent that such requirements are
provided for in, or by the Secretary pursuant to, this title.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1205, 1212, Sec. 1803; Pub. L. 86–73, Sec.
2, June 30, 1959, 73 Stat. 156; Pub. L. 86–665, Sec. 1, July 14, 1960, 74 Stat. 531;
Pub. L. 87–84, Sec. 1(a), July 6, 1961, 75 Stat. 201; Pub. L. 89–358, Sec. 5(d), Mar.
3, 1966, 80 Stat. 26; Pub. L. 90–77, title IV, Sec. 403(b), Aug. 31, 1967, 81 Stat.
190; Pub. L. 91–22, Sec. 4, June 6, 1969, 83 Stat. 32; Pub. L. 91–506, Sec. 2(b), (c),
Oct. 23, 1970, 84 Stat. 1108; Pub. L. 93–75, July 26, 1973, 87 Stat. 176; Pub. L.
93–569, Sec. 2(c), 8(1)–(5), Dec. 31, 1974, 88 Stat. 1863, 1866; Pub. L. 94–324, Sec.
7(6), (16), June 30, 1976, 90 Stat. 721; Pub. L. 95–476, title I, Sec. 103, Oct. 18,
1978, 92 Stat. 1498; Pub. L. 96–385, title IV, Sec. 401(c)(1), Oct. 7, 1980, 94 Stat.
1533; Pub. L. 97–66, title V, Sec. 501(a), Oct. 17, 1981, 95 Stat. 1031; Pub. L. 97–
72, title III, Sec. 303(c), (e), Nov. 3, 1981, 95 Stat. 1060; Pub. L. 97–295, Sec. 4(61),
(63), Oct. 12, 1982, 96 Stat. 1309; Pub. L. 97–306, title IV, Sec. 406(b), Oct. 14, 1982,
96 Stat. 1444; Pub. L. 98–223, title II, Sec. 205(c), Mar. 2, 1984, 98 Stat. 43; Pub.
L. 100–198, Sec. 3(a)(1), Dec. 21, 1987, 101 Stat. 1315; Pub. L. 100–253, Sec. 3(a),
Feb. 29, 1988, 102 Stat. 20; Pub. L. 100–322, title IV, Sec. 415(a)(3), (c)(2), (d)(1),
May 20, 1988, 102 Stat. 550–552; Pub. L. 101–237, title III, Sec. 304(a), 306(a),
313(b)(1), (6), Dec. 18, 1989, 103 Stat. 2073, 2074, 2077; Pub. L. 102–54, Sec. 4(b),
6, June 13, 1991, 105 Stat. 268; renumbered Sec. 3703 and amended Pub. L. 102–
83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec. 10(a), Oct.
28, 1992, 106 Stat. 3643; Pub. L. 103–78, Sec. 6, Aug. 13, 1993, 107 Stat. 769; Pub.
L. 103–353, Sec. 7, Oct. 13, 1994, 108 Stat. 3175; Pub. L. 104–110, title I, Sec.
101(d), Feb. 10, 1996, 110 Stat. 768; Pub. L. 107–103, title IV, Sec. 401, Dec. 27,
2001, 115 Stat. 993; Pub. L. 107–330, title III, Sec. 308(f)(1), Dec. 6, 2002, 116 Stat.
2828; Pub. L. 108–454, title IV, Sec. 403, Dec. 10, 2004, 118 Stat. 3616; Pub. L. 110–
389, title V, Sec. 504(a), Oct. 10, 2008, 122 Stat. 4176.)
§ 3704. Restrictions on loans

(a) No loan for the purchase or construction of residential prop-
erty shall be financed through the assistance of this chapter unless
the property meets or exceeds minimum requirements for planning,
construction, and general acceptability prescribed by the Secretary;
however, this subsection shall not apply to a loan for the purchase
of residential property on which construction is fully completed
more than one year before such loan is made.
(b) Subject to notice and opportunity for a hearing, the Sec-
retary may refuse to appraise any dwelling or housing project
owned, sponsored, or to be constructed by any person identified
with housing previously sold to veterans under this chapter as to
which substantial deficiencies have been discovered, or as to which
there has been a failure or indicated inability to discharge contrac-
tual liabilities to veterans, or as to which it is ascertained that the
type of contract of sale or the methods or practices pursued in rela-
tion to the marketing of such properties were unfair or unduly prej-
udicial to veteran purchasers. The Secretary may also refuse to ap-
praise any dwelling or housing project owned, sponsored, or to be
constructed by any person refused the benefits of participation
under the National Housing Act pursuant to a determination of the
Secretary of Housing and Urban Development.
(c)(1) Except as provided in paragraph (2) of this subsection, no
loan for the purchase or construction of residential property shall
be financed through the assistance of this chapter unless the vet-
eran applicant, at the time that the veteran applies for the loan,
and also at the time that the loan is closed, certifies in such form
as the Secretary may require, that the veteran intends to occupy
the property as the veteran’s home. Except as provided in para-
graph (2) of this subsection, no loan for the repair, alteration, or
improvement of residential property shall be financed through the
assistance of the provisions of this chapter unless the veteran ap-
plicant, at the time that the veteran applies to the lender for the
loan, and also at the time that the loan is closed, certifies, in such
form as may be required by the Secretary, that the veteran occu-
pies the property as the veteran’s home. Notwithstanding the fore-
going provisions of this subsection, in the case of a loan automati-
cally guaranteed under this chapter, the veteran shall be required
to make the certification only at the time the loan is closed. For
the purposes of this chapter the requirement that the veteran re-
cipient of a guaranteed or direct home loan must occupy or intend
to occupy the property as the veteran’s home means that the vet-
eran as of the date of the veteran’s certification actually lives in
the property personally as the veteran’s residence or actually in-
tends upon completion of the loan and acquisition of the dwelling
unit to move into the property personally within a reasonable time
and to utilize such property as the veteran’s residence. Notwith-
standing the foregoing requirements of this subsection, the provi-

sions for certification by the veteran at the time the veteran ap-
plies for the loan and at the time the loan is closed shall be consid-
ered to be satisfied if the Secretary finds that (1) in the case of a
loan for repair, alteration, or improvement the veteran in fact did
occupy the property at such times, or (2) in the case of a loan for
construction or purchase the veteran intended to occupy the prop-
erty as the veteran’s home at such times and the veteran did in
fact so occupy it when, or within a reasonable time after, the loan
was closed.
(2) In any case in which a veteran is in active duty status as
a member of the Armed Forces and is unable to occupy a property
because of such status, the occupancy requirements of—
(A) paragraph (1) of this subsection;
(B) paragraphs (1) through (5) and paragraph (7) of section
3710(a) of this title;
(C) section 3712(a)(5)(A)(i) of this title; and
(D) section 3712(e)(5) of this title;
shall be considered to be satisfied if the spouse of the veteran occu-
pies the property as the spouse’s home and the spouse makes the
certification required by paragraph (1) of this subsection.
(d) Subject to notice and opportunity for a hearing, whenever
the Secretary finds with respect to guaranteed or insured loans
that any lender or holder has failed to maintain adequate loan ac-
counting records, or to demonstrate proper ability to service loans
adequately or to exercise proper credit judgment or has willfully or
negligently engaged in practices otherwise detrimental to the inter-
est of veterans or of the Government, the Secretary may refuse ei-
ther temporarily or permanently to guarantee or insure any loans
made by such lender or holder and may bar such lender or holder
from acquiring loans guaranteed or insured under this chapter;
however, the Secretary shall not refuse to pay a guaranty or insur-
ance claim on loans theretofore entered into in good faith between
a veteran and such lender. The Secretary may also refuse either
temporarily or permanently to guarantee or insure any loans made
by a lender or holder refused the benefits of participation under the
National Housing Act pursuant to a determination of the Secretary
of Housing and Urban Development.
(e) Any housing loan which is financed through the assistance
of this chapter and to which section 3714 of this chapter applies
shall include a provision that the loan is immediately due and pay-
able upon transfer of the property securing such loan to any trans-
feree unless the acceptability of the assumption of the loan is es-
tablished pursuant to such section 3714.
(f) A loan for the purchase or construction of new residential
property, the construction of which began after the energy effi-
ciency standards under section 109 of the Cranston-Gonzalez Na-
tional Affordable Housing Act (42 U.S.C. 12709), as amended by
section 101(c) of the Energy Policy Act of 1992, take effect, may not
be financed through the assistance of this chapter unless the new
residential property is constructed in compliance with such stand-
ards.
30, 1959, 73 Stat. 156; Pub. L. 86–665, Sec. 5, July 14, 1960, 74 Stat. 532; Pub.
L. 89–117, title II, Sec. 217(b), Aug. 10, 1965, 79 Stat. 473; Pub. L. 90–19, Sec.
25(2), May 25, 1967, 81 Stat. 28; Pub. L. 91–506, Sec. 2(d), Oct. 23, 1970, 84 Stat.
1108; Pub. L. 93–569, Sec. 2(d), (e), Dec. 31, 1974, 88 Stat. 1863, 1864; Pub. L. 94–
324, Sec. 7(7), (8), June 30, 1976, 90 Stat. 721; Pub. L. 97–295, Sec. 4(64), Oct. 12,
1982, 96 Stat. 1309; Pub. L. 100–198, Sec. 8(a)(1), 10(b), Dec. 21, 1987, 101 Stat.
1319, 1323; Pub. L. 100–322, title IV, Sec. 415(c)(3), May 20, 1988, 102 Stat. 551;
Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered
Pub. L. 102–486, title I, Sec. 101(c)(2), Oct. 24, 1992, 106 Stat. 2787; Pub. L. 103–
446, title IX, Sec. 903, Nov. 2, 1994, 108 Stat. 4676.)
§ 3705. Warranties
(a) The Secretary shall require that in connection with any
property upon which there is located a dwelling designed prin-
cipally for not more than a four-family residence and which is ap-
praised for guaranty or insurance before the beginning of construc-
tion, the seller or builder, and such other person as may be re-
quired by the Secretary to become warrantor, shall deliver to the
purchaser or owner of such property a warranty that the dwelling
is constructed in substantial conformity with the plans and speci-
fications (including any amendments thereof, or changes and vari-
ations therein, which have been approved in writing by the Sec-
retary) on which the Secretary based the Secretary’s valuation of
the dwelling. The Secretary shall deliver to the builder, seller, or
other warrantor the Secretary’s written approval (which shall be
conclusive evidence of such appraisal) of any amendment of, or
change or variation in, such plans and specifications which the Sec-
retary deems to be a substantial amendment thereof, or change or
variation therein, and shall file a copy of such written approval
with such plans and specifications. Such warranty shall apply only
with respect to such instances of substantial nonconformity to such
approved plans and specifications (including any amendments
thereof, or changes or variations therein, which have been ap-
proved in writing, as provided in this section, by the Secretary) as
to which the purchaser or home owner has given written notice to
the warrantor within one year from the date of conveyance of title
to, or initial occupancy of, the dwelling, whichever first occurs.
Such warranty shall be in addition to, and not in derogation of, all
other rights and privileges which such purchaser or owner may
have under any other law or instrument. The provisions of this sec-
tion shall apply to any such property covered by a mortgage in-
sured or guaranteed by the Secretary on and after October 1, 1954,
unless such mortgage is insured or guaranteed pursuant to a com-
mitment therefor made before October 1, 1954.
(b) The Secretary shall permit copies of the plans and specifica-
tions (including written approvals of any amendments thereof, or
changes or variations therein, as provided in this section) for dwell-
ings in connection with which warranties are required by sub-
section (a) of this section to be made available in their appropriate
local offices for inspection or for copying by any purchaser, home
owner, or warrantor during such hours or periods of time as the
Secretary may determine to be reasonable.
June 30, 1976, 90 Stat. 721; Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989,
103 Stat. 2077; Pub. L. 102–54, Sec. 15(a)(1), June 13, 1991, 105 Stat. 288; renum-
446, title XII, Sec. 1202(a)(2), Nov. 2, 1994, 108 Stat. 4689.)
§ 3706. Escrow of deposits and downpayments

(a) Any deposit or downpayment made by an eligible veteran
in connection with the purchase of proposed or newly constructed
and previously unoccupied residential property in a project on
which the Secretary has issued a Certificate of Reasonable Value,
which purchase is to be financed with a loan guaranteed, insured,
or made under the provisions of this chapter, shall be deposited
forthwith by the seller, or the agent of the seller, receiving such de-
posit or payment, in a trust account to safeguard such deposit or
payment from the claims of creditors of the seller. The failure of
the seller or the seller’s agent to create such trust account and to
maintain it until the deposit or payment has been disbursed for the
benefit of the veteran purchaser at settlement or, if the transaction
does not materialize, is otherwise disposed of in accordance with
the terms of the contract, may constitute an unfair marketing prac-
tice within the meaning of section 3704(b) of this title.
(b) If an eligible veteran contracts for the construction of a
property in a project on which the Secretary has issued a Certifi-
cate of Reasonable Value and such construction is to be financed
with the assistance of a construction loan to be guaranteed, in-
sured, or made under the provisions of this chapter, it may be con-
sidered an unfair marketing practice under section 3704(b) of this
title if any deposit or downpayment of the veteran is not main-
tained in a special trust account by the recipient until it is either
(1) applied on behalf of the veteran to the cost of the land or to the
cost of construction or (2), if the transaction does not materialize,
is otherwise disposed of in accordance with the terms of the con-
tract.
(Added Pub. L. 86–665, Sec. 6(a), July 14, 1960, 74 Stat. 532, Sec. 1806; amended
Pub. L. 94–324, Sec. 7(10), June 30, 1976, 90 Stat. 721; Pub. L. 101–237, title III,
Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 3706 and amended
XII, Sec. 1201(e)(13), Nov. 2, 1994, 108 Stat. 4685.)
§ 3707. Adjustable rate mortgages

(a) The Secretary shall carry out a demonstration project under
this section during fiscal years 1993 through 2012 for the purpose
of guaranteeing loans in a manner similar to the manner in which
the Secretary of Housing and Urban Development insures adjust-
able rate mortgages under section 251 of the National Housing Act.
(b) Interest rate adjustment provisions of a mortgage guaran-
teed under this section shall—
(1) correspond to a specified national interest rate index
approved by the Secretary, information on which is readily ac-
cessible to mortgagors from generally available published
sources;
(2) be made by adjusting the monthly payment on an an-
nual basis;
(3) be limited, with respect to any single annual interest
rate adjustment, to a maximum increase or decrease of 1 per-
centage point; and
Sec. 3707A CH. 37—HOUSING AND SMALL BUSINESS LOANS 590
(4) be limited, over the term of the mortgage, to a max-

imum increase of 5 percentage points above the initial contract
interest rate.
(c) The Secretary shall promulgate underwriting standards for
loans guaranteed under this section, taking into account—
(1) the status of the interest rate index referred to in sub-
section (b)(1) and available at the time an underwriting deci-
sion is made, regardless of the actual initial rate offered by the
lender;
(2) the maximum and likely amounts of increases in mort-
gage payments that the loans would require;
(3) the underwriting standards applicable to adjustable
rate mortgages insured under title II of the National Housing
Act; and
(4) such other factors as the Secretary finds appropriate.
(d) The Secretary shall require that the mortgagee make avail-
able to the mortgagor, at the time of loan application, a written ex-
planation of the features of the adjustable rate mortgage, including
a hypothetical payment schedule that displays the maximum po-
tential increases in monthly payments to the mortgagor over the
first five years of the mortgage term.
(Added Pub. L. 102–547, Sec. 3(a)(1), Oct. 28, 1992, 106 Stat. 3634; amended Pub.
L. 103–78, Sec. 7, Aug. 13, 1993, 107 Stat. 769; Pub. L. 108–454, title IV, Sec. 404,
Dec. 10, 2004, 118 Stat. 3616; Pub. L. 110–389, title V, Sec. 505(a), Oct. 10, 2008,
122 Stat. 4176.)
§ 3707A. Hybrid adjustable rate mortgages

(a) The Secretary shall carry out a demonstration project under
this section during fiscal years 2004 through 2012 for the purpose
of guaranteeing loans in a manner similar to the manner in which
the Secretary of Housing and Urban Development insures adjust-
able rate mortgages under section 251 of the National Housing Act
in accordance with the provisions of this section with respect to hy-
brid adjustable rate mortgages described in subsection (b).
(b) Adjustable rate mortgages that are guaranteed under this
section shall be adjustable rate mortgages (commonly referred to as
‘‘hybrid adjustable rate mortgages’’) having interest rate adjust-
ment provisions that—
(1) specify an initial rate of interest that is fixed for a pe-
riod of not less than the first three years of the mortgage term;
(2) provide for an initial adjustment in the rate of interest
by the mortgagee at the end of the period described in para-
graph (1); and
(3) comply in such initial adjustment, and any subsequent
adjustment, with subsection (c).
(c) Interest rate adjustment provisions of a mortgage guaran-
teed under this section shall—
(1) correspond to a specified national interest rate index
approved by the Secretary, information on which is readily ac-
cessible to mortgagors from generally available published
sources;
(2) be made by adjusting the monthly payment on an an-
nual basis;
(3) in the case of the initial contract interest rate adjust-

ment—
(A) if the initial contract interest rate remained fixed
for less than 5 years, be limited to a maximum increase or
decrease of 1 percentage point; or
(B) if the initial contract interest rate remained fixed
for 5 years or more, be limited to a maximum increase or
decrease of such percentage point or points as the Sec-
retary may prescribe;
(4) in the case of any single annual interest rate adjust-
ment after the initial contract interest rate adjustment, be lim-
ited to a maximum increase or decrease of such percentage
points as the Secretary may prescribe; and
(5) be limited, over the term of the mortgage, to a max-
imum increase of such number of percentage points as the Sec-
retary shall prescribe for purposes of this section.
(d) The Secretary shall promulgate underwriting standards for
loans guaranteed under this section, taking into account—
(1) the status of the interest rate index referred to in sub-
section (c)(1) and available at the time an underwriting deci-
sion is made, regardless of the actual initial rate offered by the
lender;
(2) the maximum and likely amounts of increases in mort-
gage payments that the loans would require;
(3) the underwriting standards applicable to adjustable
rate mortgages insured under title II of the National Housing
Act; and
(4) such other factors as the Secretary finds appropriate.
(e) The Secretary shall require that the mortgagee make avail-
able to the mortgagor, at the time of loan application, a written ex-
planation of the features of the adjustable rate mortgage, including
a hypothetical payment schedule that displays the maximum po-
tential increases in monthly payments to the mortgagor over the
first five years of the mortgage term.
(Added Pub. L. 107–330, title III, Sec. 303(a), Dec. 6, 2002, 116 Stat. 2825; amended
Pub. L. 108–454, title IV, Sec. 405(a), (b), Dec. 10, 2004, 118 Stat. 3616; Pub. L.
109–233, title I, Sec. 102, June 15, 2006, 120 Stat. 399; Pub. L. 110–389, title V,
Sec. 505(b), Oct. 10, 2008, 122 Stat. 4176.)
§ 3708. Authority to buy down interest rates: pilot program

(a) In order to enable the purchase of housing in areas where
the supply of suitable military housing is inadequate, the Secretary
may conduct a pilot program under which the Secretary may make
periodic or lump sum assistance payments on behalf of an eligible
veteran for the purpose of buying down the interest rate on a loan
to that veteran that is guaranteed under this chapter for a purpose
described in paragraph (1), (6), or (10) of section 3710(a) of this
title.
(b) An individual is an eligible veteran for the purposes of this
section if—
(1) the individual is a veteran, as defined in section
3701(b)(4) of this title;
(2) the individual submits an application for a loan guar-
anteed under this chapter within one year of an assignment of
the individual to duty at a military installation in the United

States designated by the Secretary of Defense as a housing
shortage area;
(3) at the time the loan referred to in subsection (a) is
made, the individual is an enlisted member, warrant officer, or
an officer (other than a warrant officer) at a pay grade of O-
3 or below;
(4) the individual has not previously used any of the indi-
vidual’s entitlement to housing loan benefits under this chap-
ter; and
(5) the individual receives comprehensive prepurchase
counseling from the Secretary (or the designee of the Sec-
retary) before making application for a loan guaranteed under
this chapter.
(c) Loans with respect to which the Secretary may exercise the
buy down authority under subsection (a) shall—
(1) provide for a buy down period of not more than three
years in duration;
(2) specify the maximum and likely amounts of increases
in mortgage payments that the loans would require; and
(3) be subject to such other terms and conditions as the
Secretary may prescribe by regulation.
(d) The Secretary shall promulgate underwriting standards for
loans for which the interest rate assistance payments may be made
under subsection (a). Such standards shall be based on the interest
rate for the second year of the loan.
(e) The Secretary or lender shall provide comprehensive
prepurchase counseling to eligible veterans explaining the features
of interest rate buy downs under subsection (a), including a hypo-
thetical payment schedule that displays the increases in monthly
payments to the mortgagor over the first five years of the mortgage
term. For the purposes of this subsection, the Secretary may assign
personnel to military installations referred to in subsection (b)(2).
(f) There is authorized to be appropriated $3,000,000 annually
to carry out this section.
(g) The Secretary may not guarantee a loan under this chapter
after September 30, 1998, on which the Secretary is obligated to
make payments under this section.
(Added Pub. L. 104–106, div. B, title XXVIII, Sec. 2822(b)(1), Feb. 10, 1996, 110
Stat. 556.)
§ 3710. Purchase or construction of homes
(a) Except as provided in section 3704(c)(2) of this title, any
loan to a veteran, if made pursuant to the provisions of this chap-
ter, is automatically guaranteed if such loan is for one or more of
the following purposes:
(1) To purchase or construct a dwelling to be owned and
occupied by the veteran as a home.
(2) To purchase a farm on which there is a farm residence
to be owned and occupied by the veteran as the veteran’s
home.
(3) To construct on land owned by the veteran a farm resi-

dence to be occupied by the veteran as the veteran’s home.
(4) To repair, alter, or improve a farm residence or other
dwelling owned by the veteran and occupied by the veteran as
the veteran’s home.
(5) To refinance existing mortgage loans or other liens
which are secured of record on a dwelling or farm residence
owned and occupied by the veteran as the veteran’s home.
(6) To purchase a one-family residential unit in a condo-
minium housing development or project, if such development or
project is approved by the Secretary under criteria which the
Secretary shall prescribe in regulations.
(7) To improve a dwelling or farm residence owned by the
veteran and occupied by the veteran as the veteran’s home
through energy efficiency improvements, as provided in sub-
section (d).
(8) To refinance in accordance with subsection (e) of this
section an existing loan guaranteed, insured, or made under
this chapter.
(9)(A)(i) To purchase a manufactured home to be perma-
nently affixed to a lot that is owned by the veteran.
(ii) To purchase a manufactured home and a lot to which
the home will be permanently affixed.
(B)(i) To refinance, in accordance with the terms and con-
ditions applicable under the provisions of subsection (e) of this
section (other than paragraph (1)(E) of such subsection) to the
guaranty of a loan for the purpose specified in clause (8) of this
subsection, an existing loan guaranteed, insured, or made
under this chapter that is secured by a manufactured home
permanently affixed to a lot that is owned by the veteran.
(ii) To refinance, in accordance with section 3712(a)(5) of
this title, an existing loan that was made for the purchase of,
and that is secured by, a manufactured home that is perma-
nently affixed to a lot and to purchase the lot to which the
manufactured home is affixed.
(10) To purchase a dwelling to be owned and occupied by
the veteran as a home and make energy efficiency improve-
ments, as provided in subsection (d).
(11) To refinance in accordance with subsection (e) an ex-
isting loan guaranteed, insured, or made under this chapter,
and to improve the dwelling securing such loan through energy
efficiency improvements, as provided in subsection (d).
(12) With respect to a loan guaranteed after the date of the
enactment of this paragraph and before the date that is five
years after that date, to purchase stock or membership in a co-
operative housing corporation for the purpose of entitling the
veteran to occupy for dwelling purposes a single family resi-
dential unit in a development, project, or structure owned or
leased by such corporation, in accordance with subsection (h).
If there is an indebtedness which is secured by a lien against land
owned by the veteran, the proceeds of a loan guaranteed under this
section or made under section 3711 of this title for construction of
a dwelling or farm residence on such land may be used also to liq-
uidate such lien, but only if the reasonable value of the land is
equal to or greater than the amount of the lien.
(b) No loan may be guaranteed under this section or made
under section 3711 of this title unless—
(1) the proceeds of such loan will be used to pay for the
property purchased, constructed, or improved;
(2) the contemplated terms of payment required in any
mortgage to be given in part payment of the purchase price or
the construction cost bear a proper relation to the veteran’s
present and anticipated income and expenses;
(3) the veteran is a satisfactory credit risk, as determined
in accordance with the credit underwriting standards estab-
lished pursuant to subsection (g) of this section;
(4) the nature and condition of the property is such as to
be suitable for dwelling purposes;
(5) except in the case of a loan described in clause (7) or
(8) of this subsection, the loan to be paid by the veteran for
such property or for the cost of construction, repairs, or alter-
ations, does not exceed the reasonable value thereof as deter-
mined pursuant to section 3731 of this title;
(6) if the loan is for repair, alteration, or improvement of
property, such repair, alteration, or improvement substantially
protects or improves the basic livability or utility of such prop-
erty;
(7) in the case of a loan (other than a loan made for a pur-
pose specified in subsection (a)(8) of this section) that is made
to refinance—
(A) a construction loan,
(B) an installment land sales contract, or
(C) a loan assumed by the veteran that provides for a
lower interest rate than the loan being refinanced,
the amount of the loan to be guaranteed or made does not ex-
ceed the lesser of—
(i) the reasonable value of the dwelling or farm resi-
dence securing the loan, as determined pursuant to section
3731 of this title; or
(ii) the sum of the outstanding balance on the loan to
be refinanced and the closing costs (including discounts)
actually paid by the veteran, as specified by the Secretary
in regulations; and
(8) in the case of a loan to refinance a loan (other than a
loan or installment sales contract described in clause (7) of this
subsection or a loan made for a purpose specified in subsection
(a)(8) of this section), the amount of the loan to be guaranteed
or made does not exceed 100 percent of the reasonable value
of the dwelling or farm residence securing the loan, as deter-
mined pursuant to section 3731 of this title.
ø(c) Repealed. Pub. L. 100–198, Sec. 3(a)(2), Dec. 21, 1987, 101
Stat. 1315.¿
(d)(1) The Secretary shall carry out a program to demonstrate
the feasibility of guaranteeing loans for the acquisition of an exist-
ing dwelling and the cost of making energy efficiency improve-
ments to the dwelling or for energy efficiency improvements to a
dwelling owned and occupied by a veteran. A loan may be guaran-
teed under this subsection only if it meets the requirements of this

chapter, except as those requirements are modified by this sub-
section.
(2) The cost of energy efficiency measures that may be financed
by a loan guaranteed under this section may not exceed the greater
of—
(A) the cost of the energy efficiency improvements, up to
$3,000; or
(B) $6,000, if the increase in the monthly payment for
principal and interest does not exceed the likely reduction in
monthly utility costs resulting from the energy efficiency im-
provements.
(3) Notwithstanding the provisions of section 3703(a)(1)(A) of
this title, any loan guaranteed under this subsection shall be guar-
anteed in an amount equal to the sum of—
(A) the guaranty that would be provided under those provi-
sions for the dwelling without the energy efficiency improve-
ments; and
(B) an amount that bears the same relation to the cost of
the energy efficiency improvements as the guaranty referred to
in subparagraph (A) bears to the amount of the loan minus the
cost of such improvements.
(4) The amount of the veteran’s entitlement, calculated in ac-
cordance with section 3703(a)(1)(B) of this title, shall not be af-
fected by the amount of the guaranty referred to in paragraph
(3)(B).
(5) The Secretary shall take appropriate actions to notify eligi-
ble veterans, participating lenders, and interested realtors of the
availability of loan guarantees under this subsection and the proce-
dures and requirements that apply to the obtaining of such guaran-
tees.
(6) For the purposes of this subsection:
(A) The term ‘‘energy efficiency improvement’’ includes a
solar heating system, a solar heating and cooling system, or a
combined solar heating and cooling system, and the application
of a residential energy conservation measure.
(B) The term ‘‘solar heating’’ has the meaning given such
term in section 3(1) of the Solar Heating and Cooling Dem-
onstration Act of 1974 (42 U.S.C. 5502(1)) and, in addition, in-
cludes a passive system based on conductive, convective, or ra-
diant energy transfer.
(C) The terms ‘‘solar heating and cooling’’ and ‘‘combined
solar heating and cooling’’ have the meaning given such terms
in section 3(2) of the Solar Heating and Cooling Demonstration
Act of 1974 (42 U.S.C. 5502(2)) and, in addition, include a pas-
sive system based on conductive, convective, or radiant energy
transfer.
(D) The term ‘‘passive system’’ includes window and sky-
light glazing, thermal floors, walls, and roofs, movable insula-
tion panels (when in conjunction with glazing), portions of a
residential structure that serve as solar furnaces so as to add
heat to the structure, double-pane window insulation, and such
other energy-related components as are determined by the Sec-
retary to enhance the natural transfer of energy for the pur-

pose of heating or heating and cooling a residence.
(E) The term ‘‘residential energy conservation measure’’
means—
(i) caulking and weatherstripping of all exterior doors
and windows;
(ii) furnace efficiency modifications limited to—
(I) replacement burners, boilers, or furnaces de-
signed to reduce the firing rate or to achieve a reduc-
tion in the amount of fuel consumed as a result of in-
creased combustion efficiency,
(II) devices for modifying flue openings which will
increase the efficiency of the heating system, and
(III) electrical or mechanical furnace ignition sys-
tems which replace standing gas pilot lights;
(iii) clock thermostats;
(iv) ceiling, attic, wall, and floor insulation;
(v) water heater insulation;
(vi) storm windows and doors;
(vii) heat pumps; and
(viii) such other energy conservation measures as the
Secretary may identify for the purposes of this subpara-
graph.
(e)(1) For a loan to be guaranteed for the purpose specified in
subsection (a)(8) or for the purpose specified in subsection (a)(11)
of this section—
(A) the interest rate of the loan must be less than the in-
terest rate of the loan being refinanced or, in a case in which
the loan is a fixed rate loan and the loan being refinanced is
an adjustable rate loan, the loan bears interest at a rate that
is agreed upon by the veteran and the mortgagee;
(B) the loan must be secured by the same dwelling or farm
residence as was the loan being refinanced;
(C) the amount of the loan may not exceed—
(i) an amount equal to the sum of the balance of the
loan being refinanced and such closing costs (including any
discount permitted pursuant to section 3703(c)(3)(A) of this
title) as may be authorized by the Secretary (under regula-
tions which the Secretary shall prescribe) to be included in
the loan; or
(ii) in the case of a loan for the purpose specified in
subsection (a)(11), an amount equal to the sum of the
amount referred to with respect to the loan under clause
(i) and the amount specified under subsection (d)(2);
(D) notwithstanding section 3703(a)(1) of this title, the
amount of the guaranty of the loan may not exceed the greater
of (i) the original guaranty amount of the loan being refi-
nanced, or
(ii) 25 percent of the loan;
(E) the term of the loan may not exceed the original term
of the loan being refinanced by more than 10 years; and
(F) the veteran must own the dwelling or farm residence
securing the loan and—
(i) must occupy such dwelling or residence as such vet-

eran’s home;
(ii) must have previously occupied such dwelling or
residence as such veteran’s home and must certify, in such
form as the Secretary shall require, that the veteran has
previously so occupied such dwelling or residence; or
(iii) in any case in which a veteran is in active duty
status as a member of the Armed Forces and is unable to
occupy such residence or dwelling as a home because of
such status, the spouse of the veteran must occupy, or
must have previously occupied, such dwelling or residence
as such spouse’s home and must certify such occupancy in
such form as the Secretary shall require.
(2) A loan to a veteran may be guaranteed by the Secretary
under this chapter for the purpose specified in clause (8) of sub-
section (a) of this section without regard to the amount of out-
standing guaranty entitlement available for use by such veteran,
and the amount of such veteran’s guaranty entitlement shall not
be charged as a result of any guaranty provided for such purpose.
For purposes of section 3702(b) of this title, such loan shall be
deemed to have been obtained with the guaranty entitlement used
to obtain the loan being refinanced.
(3) If a veteran is deceased and if such veteran’s surviving
spouse was a co-obligor under an existing loan guaranteed, insured,
or made under this chapter, such surviving spouse shall, only for
the purpose specified in subsection (a)(8) of this section, be deemed
to be a veteran eligible for benefits under this chapter.
(f)(1) For a loan to be guaranteed for the purpose specified in
subclause (A)(ii) or (B)(ii) of subsection (a)(9) of this section, the
purchase of (or the refinancing of a loan secured by) the manufac-
tured home and the lot for that home shall be considered as one
loan and must comply with such criteria as may be prescribed by
the Secretary in regulations.
(2) A loan may not be guaranteed for the purposes of sub-
section (a)(9) of this section unless the manufactured home pur-
chased, upon being permanently affixed to the lot, is considered to
be real property under the laws of the State where the lot is lo-
cated.
(g)(1) For the purposes of this subsection, the term ‘‘veteran’’,
when used with respect to a loan guaranteed or to be guaranteed
under this chapter, includes the veteran’s spouse if the spouse is
jointly liable with the veteran under the loan.
(2) For the purpose of determining whether a veteran meets
the standards referred to in subsection (b)(3) of this section and
section 3712(e)(2) of this title, the Secretary shall prescribe regula-
tions which establish—
(A) credit underwriting standards to be used in evaluating
loans to be guaranteed under this chapter; and
(B) standards to be used by lenders in obtaining credit in-
formation and processing loans to be guaranteed under this
chapter.
(3) In the regulations prescribed under paragraph (2) of this
subsection, the Secretary shall establish standards that include—
(A) debt-to-income ratios to apply in the case of the vet-

eran applying for the loan;
(B) criteria for evaluating the reliability and stability of
the income of the veteran applying for the loan; and
(C) procedures for ascertaining the monthly income re-
quired by the veteran to meet the anticipated loan payment
terms.
If the procedures described in clause (C) of this paragraph include
standards for evaluating residual income, the Secretary shall, in
establishing such standards, give appropriate consideration to
State statistics (in States as to which the Secretary determines
that such statistics are reliable) pertinent to residual income and
the cost of living in the State in question rather than in a larger
region.
(4)(A) Any lender making a loan under this chapter shall cer-
tify, in such form as the Secretary shall prescribe, that the lender
has complied with the credit information and loan processing
standards established under paragraph (2)(B) of this subsection,
and that, to the best of the lender’s knowledge and belief, the loan
meets the underwriting standards established under paragraph
(2)(A) of this subsection.
(B) Any lender who knowingly and willfully makes a false cer-
tification under subparagraph (A) of this paragraph shall be liable
to the United States Government for a civil penalty equal to two
times the amount of the Secretary’s loss on the loan involved or to
another appropriate amount, not to exceed $10,000, whichever is
greater. All determinations necessary to carry out this subpara-
graph shall be made by the Secretary.
(5) Pursuant to regulations prescribed to carry out this para-
graph, the Secretary may, in extraordinary situations, waive the
application of the credit underwriting standards established under
paragraph (2) of this subsection when the Secretary determines,
considering the totality of circumstances, that the veteran is a sat-
isfactory credit risk.
(h)(1) A loan may not be guaranteed under subsection (a)(12)
unless—
(A) the development, project, or structure of the coopera-
tive housing corporation complies with such criteria as the Sec-
retary prescribes in regulations; and
(B) the dwelling unit that the purchase of stock or mem-
bership in the development, project, or structure of the cooper-
ative housing corporation entitles the purchaser to occupy is a
single family residential unit.
(2) In this subsection, the term ‘‘cooperative housing corpora-
tion’’ has the meaning given such term in section 216(b)(1) of the
Internal Revenue Code of 1986.
(3) When applying the term ‘‘value of the property’’ to a loan
guaranteed under subsection (a)(12), such term means the ap-
praised value of the stock or membership entitling the purchaser
to the permanent occupancy of the dwelling unit in the develop-
ment, project, or structure of the cooperative housing corporation.
2(a), May 7, 1968, 82 Stat. 113; Pub. L. 91–506, Sec. 3, Oct. 23, 1970, 84 Stat. 1108;
Pub. L. 93–569, Sec. 3, Dec. 31, 1974, 88 Stat. 1864; Pub. L. 94–324, Sec. 7(11),
June 30, 1976, 90 Stat. 721; Pub. L. 95–476, title I, Sec. 104, 105(a), Oct. 18, 1978,
92 Stat. 1498, 1499; Pub. L. 96–385, title IV, Sec. 401(a), 402(a), Oct. 7, 1980, 94
Stat. 1532, 1533; Pub. L. 98–223, title II, Sec. 205(a), Mar. 2, 1984, 98 Stat. 42; Pub.
L. 99–576, title IV, Sec. 402(a), (b), Oct. 28, 1986, 100 Stat. 3280; Pub. L. 100–198,
Sec. 3(a)(2), 7(a), (c), 8(a)(2), 11(b), 13, Dec. 21, 1987, 101 Stat. 1315, 1318–1320,
1325; Pub. L. 100–322, title IV, Sec. 415(c)(4), May 20, 1988, 102 Stat. 551; Pub.
L. 101–237, title III, Sec. 309, 313(b)(1), Dec. 18, 1989, 103 Stat. 2075, 2077; renum-
bered Sec. 3710 and amended Pub. L. 102–83, Sec. 4(a)(2)(A)(iv), 5(a), (c)(1), Aug.
6, 1991, 105 Stat. 403, 406; Pub. L. 102–547, Sec. 6(1), 9(a), (b), Oct. 28, 1992, 106
Stat. 3636, 3641, 3642; Pub. L. 103–446, title IX, Sec. 904(a), (b), 905, Nov. 2, 1994,
108 Stat. 4676, 4677; Pub. L. 104–110, title I, Sec. 101(e), Feb. 13, 1996, 110 Stat.
768; Pub. L. 109–461, title V, Sec. 501, Dec. 22, 2006, 120 Stat. 3431; Pub. L. 110–
389, title V, Sec. 504(b), Oct. 10, 2008, 122 Stat. 4176.)
§ 3711. Direct loans to veterans

(a) The Congress finds that housing credit for purposes speci-
fied in section 3710 or 3712 of this title is not and has not been
generally available to veterans living in rural areas, or in small cit-
ies and towns not near large metropolitan areas. It is therefore the
purpose of this section to provide housing credit for veterans living
in such rural areas and such small cities and towns.
(b) Whenever the Secretary finds that private capital is not
generally available in any rural area or small city or town for the
financing of loans guaranteed for purposes specified in section 3710
or 3712 of this title, the Secretary shall designate such rural area
or small city or town as a ‘‘housing credit shortage area’’. The Sec-
retary shall, with respect to any such area, make, or enter into
commitments to make, to any veteran eligible under this title, a
loan for any or all of the purposes described in section 3710(a) or
3712 of this title (other than the refinancing of a loan under section
3710(a)(8) or 3712(a)(1)(F)).
(c) No loan may be made under this section to a veteran unless
the veteran shows to the satisfaction of the Secretary that—
(1) the veteran is unable to obtain from a private lender
in such housing credit shortage area, at an interest rate not in
excess of the rate authorized for guaranteed home loans or
manufactured home loans, as appropriate, a loan for such pur-
pose for which the veteran is qualified under section 3710 or
3712 of this title, as appropriate; and
(2) the veteran is unable to obtain a loan for such purpose
from the Secretary of Agriculture under title III of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 1921 et seq.)
or title V of the Housing Act of 1949 (42 U.S.C. 1471 et seq.).
(d)(1) Loans made under this section shall bear interest at a
rate determined by the Secretary, not to exceed the rate authorized
for guaranteed home loans, or manufactured home loans, as appro-
priate, and shall be subject to such requirements or limitations pre-
scribed for loans guaranteed under this title as may be applicable.
(2)(A) Except for any loan made under this chapter for the pur-
poses described in section 3712 of this title, the original principal
amount of any loan made under this section shall not exceed an
amount which bears the same ratio to $33,000 as the amount of
guaranty to which the veteran is entitled under section 3710 of this
title at the time the loan is made bears to $36,000; and the guar-
anty entitlement of any veteran who heretofore or hereafter has
been granted a loan under this section shall be charged with an
amount which bears the same ratio to $36,000 as the amount of

the loan bears to $33,000.
(B) The original principal amount of any loan made under this
section for the purposes described in section 3712 of this title shall
not exceed the amount that bears the same ratio to $33,000 as the
amount of guaranty to which the veteran is entitled under such
section at the time the loan is made bears to $20,000. The amount
of the guaranty entitlement for purposes specified in section 3710
of this title of any veteran who is granted a loan under this section,
or who before October 18, 1978, was granted a loan under this sec-
tion, shall be charged with the amount that bears the same ratio
to $20,000 as the amount of the loan bears to $33,000.
(3) No veteran may obtain loans under this section aggregating
more than $33,000.
(e) Loans made under this section shall be repaid in monthly
installments, except that in the case of any such loan made for any
of the purposes described in paragraphs (2), (3), or (4) of section
3710(a) of this title, the Secretary may provide that such loan shall
be repaid in quarterly, semiannual, or annual installments.
(f) In connection with any loan under this section, the Sec-
retary may make advances in cash to pay taxes and assessments
on the real estate, to provide for repairs, alterations, and improve-
ments, and to meet the incidental expenses of the transaction. The
Secretary shall determine the expenses incident to origination of
loans made under this section, which expenses, or a reasonable flat
allowance in lieu thereof, shall be paid by the veteran in addition
to the loan closing costs.
(g) The Secretary may sell, and shall offer for sale, to any per-
son or entity approved for such purpose by the Secretary, any loan
made under this section at a price which the Secretary determines
to be reasonable under the conditions prevailing in the mortgage
market when the agreement to sell the loan is made; and shall
guarantee any loan thus sold subject to the same conditions, terms,
and limitations which would be applicable were the loan guaran-
teed for purposes specified in section 3710 or 3712 of this title, as
appropriate.
(h) The Secretary may exempt dwellings constructed through
assistance provided by this section from the minimum land plan-
ning and subdivision requirements prescribed pursuant to sub-
section (a) of section 3704 of this title, and with respect to such
dwellings may prescribe special minimum land planning and sub-
division requirements which shall be in keeping with the general
housing facilities in the locality but shall require that such dwell-
ings meet minimum requirements of structural soundness and gen-
eral acceptability.
(i) The Secretary is authorized, without regard to the provi-
sions of subsections (a), (b), and (c) of this section, to make or enter
into a commitment to make a loan to any veteran to assist the vet-
eran in acquiring a specially adapted housing unit authorized
under chapter 21 of this title, if the veteran is determined to be eli-
gible for the benefits of such chapter 21, and is eligible for loan
guaranty benefits under this chapter.
(j)(1) If any builder or sponsor proposes to construct one or
more dwellings in a housing credit shortage area, or in any area
for a veteran who is determined to be eligible for assistance in ac-

quiring a specially adapted housing unit under chapter 21 of this
title, the Secretary may enter into commitment with such builder
or sponsor, under which funds available for loans under this sec-
tion will be reserved for a period not in excess of three months, or
such longer period as the Secretary may authorize to meet the
needs in any particular case, for the purpose of making loans to
veterans to purchase such dwellings. Such commitment may not be
assigned or transferred except with the written approval of the Sec-
retary. The Secretary shall not enter into any such commitment
unless such builder or sponsor pays a nonrefundable commitment
fee to the Secretary in an amount determined by the Secretary, not
to exceed 2 percent of the funds reserved for such builder or spon-
sor.
(2) Whenever the Secretary finds that a dwelling with respect
to which funds are being reserved under this subsection has been
sold, or contracted to be sold, to a veteran eligible for a direct loan
under this section, the Secretary shall enter into a commitment to
make the veteran a loan for the purchase of such dwelling. With
respect to any loan made to an eligible veteran under this sub-
section, the Secretary may make advances during the construction
of the dwelling, up to a maximum in advances of (A) the cost of
the land plus (B) 80 percent of the value of the construction in
place.
(k) Without regard to any other provision of this chapter, the
Secretary may take or cause to be taken such action as in the Sec-
retary’s judgment may be necessary or appropriate for or in connec-
tion with the custody, management, protection, and realization or
sale of investments under this section, may determine the Sec-
retary’s necessary expenses and expenditures, and the manner in
which the same shall be incurred, allowed and paid, may make
such rules, regulations, and orders as the Secretary may deem nec-
essary or appropriate for carrying out the Secretary’s functions
under this section and, except as otherwise expressly provided in
this chapter, may employ, utilize, compensate, and, to the extent
not inconsistent with the Secretary’s basic responsibilities under
this chapter, delegate any of the Secretary’s functions under this
section to such persons and such corporate or other agencies, in-
cluding agencies of the United States, as the Secretary may des-
ignate.
14, 1960, 74 Stat. 531; Pub. L. 87–84, Sec. 2, July 6, 1961, 75 Stat. 201; Pub. L.
88–402, Aug. 4, 1964, 78 Stat. 380; Pub. L. 89–358, Sec. 5(e), Mar. 3, 1966, 80 Stat.
26; Pub. L. 90–77, title IV, Sec. 404, Aug. 31, 1967, 81 Stat. 190; Pub. L. 90–301,
Sec. 1(b), May 7, 1968, 82 Stat. 113; Pub. L. 91–22, Sec. 3, June 6, 1969, 83 Stat.
32; Pub. L. 91–506, Sec. 4, Oct. 23, 1970, 84 Stat. 1109; Pub. L. 92–66, Aug. 5, 1971,
Sec. 3, 7(12)–(15), June 30, 1976, 90 Stat. 720, 721; Pub. L. 95–476, title I, Sec.
105(b), Oct. 18, 1978, 92 Stat. 1499; Pub. L. 96–385, title IV, Sec. 401(c)(2), 402(b),
Pub. L. 97–306, title IV, Sec. 406(c)(1), Oct. 14, 1982, 96 Stat. 1445; Pub. L. 100–
198, Sec. 3(c), Dec. 21, 1987, 101 Stat. 1316; Pub. L. 100–322, title IV, Sec. 415(c)(5),
(d)(2) May 20, 1988, 102 Stat. 551, 552; Pub. L. 101–237, title III, Sec. 313(b)(1),
Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 3711 and amended Pub. L. 102–83,
Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 105–368, title VI, Sec.
602(e)(1)(B), Nov. 11, 1998, 112 Stat. 3346.)
§ 3712. Loans to purchase manufactured homes and lots

(a)(1) Notwithstanding any other provision of this chapter, any
loan to a veteran eligible for the housing loan benefits of this chap-
ter, if made pursuant to the provisions of this section, may be guar-
anteed if such loan is for one of the following purposes:
(A) To purchase a lot on which to place a manufactured
home already owned by the veteran.
(B) To purchase a single-wide manufactured home.
(C) To purchase a single-wide manufactured home and a
lot on which to place such home.
(D) To purchase a double-wide manufactured home.
(E) To purchase a double-wide manufactured home and a
lot on which to place such home.
(F) To refinance in accordance with paragraph (4) of this
subsection an existing loan guaranteed, insured, or made
under this section.
(G) To refinance in accordance with paragraph (5) of this
subsection an existing loan that was made for the purchase of,
and that is secured by, a manufactured home and to purchase
a lot on which such manufactured home is or will be placed.
(2) A loan for any of the purposes described in paragraph (1)
of this subsection (other than the refinancing under clause (F) of
such paragraph of an existing loan) may include an amount deter-
mined by the Secretary to be appropriate to cover the cost of nec-
essary preparation of a lot already owned or to be acquired by the
veteran, including the costs of installing utility connections and
sanitary facilities, of paving, and of constructing a suitable pad for
the manufactured home.
(3) Any loan made for the purposes described in clause (C), (E),
or (G) of paragraph (1) of this subsection shall be considered as
part of one loan. The transaction may be evidenced by a single loan
instrument or by separate loan instruments for (A) that portion of
the loan which finances the purchase of the manufactured home,
and (B) that portion of the loan which finances the purchase of the
lot and the necessary preparation of such lot.
(4)(A) For a loan to be guaranteed for the purpose specified in
clause (F) of paragraph (1) of this subsection—
(i) the interest rate of the loan must be less than the inter-
est rate of the loan being refinanced;
(ii) the loan must be secured by the same manufactured
home or manufactured-home lot, or manufactured home and
manufactured-home lot, as was the loan being refinanced;
(iii) the amount of the loan may not exceed an amount
equal to the sum of the balance of the loan being refinanced
and such closing costs (including any discount permitted pur-
suant to section 3703(c)(3)(A) of this title) as may be author-
ized by the Secretary, under regulations which the Secretary
shall prescribe, to be included in such loan;
(iv) notwithstanding section 3703(a)(1) of this title, the
amount of the guaranty of the loan may not exceed the greater
of (I) the original guaranty amount of the loan being refi-
nanced, or
(II) 25 percent of the loan;
(v) the term of the loan may not exceed the original term
of the loan being refinanced;
(vi) the veteran must own the manufactured home, or the
manufactured-home lot, or the manufactured home and the
manufactured-home lot, securing the loan and—
(I) must occupy the home, a manufactured home on
the lot, or the home and the lot, securing the loan;
(II) must have previously occupied the home, a manu-
factured home on the lot, or the home and the lot, securing
the loan as the veteran’s home and must certify, in such
form as the Secretary shall require, that the veteran has
previously so occupied the home (or such a home on the
lot); or
(III) in any case in which a veteran is in active duty
status as a member of the Armed Forces and is unable to
occupy the home, a manufactured home on the lot, or the
home and the lot, as a home because of such status, the
spouse of the veteran must occupy, or must have pre-
viously occupied, the manufactured home on the lot, or the
home and the lot, as such spouse’s home and must certify
such occupancy in such form as the Secretary shall re-
quire.
(B) A loan to a veteran may be guaranteed by the Secretary
under this chapter for the purpose specified in clause (F) of para-
graph (1) of this subsection without regard to the amount of out-
be charged as a result of any guaranty provided for such purpose.
For purposes of section 3702(b) of this title, such loan shall be
deemed to have been obtained with the guaranty entitlement used
to obtain the loan being refinanced.
(C) If a veteran is deceased and if such veteran’s surviving
spouse was a co-obligor under an existing loan previously guaran-
teed, insured, or made for purposes specified in this section, such
surviving spouse shall, only for the purpose specified in clause (F)
of paragraph (1) of this subsection, be deemed to be a veteran eligi-
ble for benefits under this chapter.
(5)(A) For a loan to be guaranteed for the purpose specified in
paragraph (1)(G) of this subsection or section 3710(a)(9)(B)(ii) of
this title—
(i) the loan must be secured by the same manufactured
home as was the loan being refinanced and such manufactured
home must be owned and occupied by the veteran (except as
provided in section 3704(c)(2) of this title) as such veteran’s
home; and
(ii) the amount of the loan may not exceed an amount
equal to the sum of—
(I) the purchase price of the lot,
(II) the amount (if any) determined by the Secretary
to be appropriate under paragraph (2) of this subsection to
cover the cost of necessary preparation of such lot,
(III) the balance of the loan being refinanced, and
(IV) such closing costs (including any discount per-
mitted pursuant to section 3703(c)(3)(E) of this title) as
may be authorized by the Secretary, under regulations

which the Secretary shall prescribe, to be included in such
loan.
(B) When a loan is made to a veteran for the purpose specified
in paragraph (1)(G) of this subsection or section 3710(a)(9)(B)(ii) of
this title, and the loan being refinanced was guaranteed, insured,
or made under this section, the portion of the loan made for the
purpose of refinancing such loan may be guaranteed by the Sec-
retary under this chapter without regard to the amount of out-
be charged as a result of any guaranty provided for such portion
of such loan. For the purposes of section 3702(b) of this title, such
portion of such loan shall be deemed to have been obtained with
the guaranty entitlement used to obtain the loan being refinanced.
(b)(1) Use of entitlement for purposes specified in this section
for the purchase of a manufactured home unit shall preclude the
use of remaining entitlement for the purchase of an additional
manufactured home unit until the unit which secured the loan has
been disposed of by the veteran or has been destroyed by fire or
other natural hazard.
(2) The Secretary shall restore entitlement to all housing loan
benefits under this chapter for the veteran when the conditions
prescribed in section 3702(b) of this title have been met.
(c)(1) Loans for any of the purposes authorized by subsection
(a) of this section shall be submitted to the Secretary for approval
prior to the closing of the loan, except that the Secretary may ex-
empt any lender of a class listed in section 3702(d) of this title from
compliance with such prior approval requirement if the Secretary
determines that the experience of such lender or class of lenders
in manufactured home financing warrants such exemption.
(2) Upon determining that a loan submitted for prior approval
is eligible for guaranty for purposes specified in this section, the
Secretary shall issue a commitment to guarantee such loan and
shall thereafter guarantee the loan when made if such loan quali-
fies therefor in all respects.
(3)(A) The Secretary’s guaranty may not exceed the lesser of (i)
the lesser of $20,000 or 40 percent of the loan, or (ii) the maximum
amount of the guaranty entitlement available to the veteran as
specified in paragraph (4) of this subsection.
(B) A claim under the Secretary’s guaranty shall, at the elec-
tion of the holder of a loan, be made by the filing of an accounting
with the Secretary—
(i) within a reasonable time after the receipt by such hold-
er of an appraisal by the Secretary of the value of the security
for the loan; or
(ii) after liquidation of the security for the loan.
(C) If the holder of a loan applies for payment of a claim under
clause (i) of subparagraph (B) of this paragraph, the amount of
such claim payable by the Secretary shall be the lesser of—
(i) the amount equal to the excess, if any, of the total in-
debtedness over the amount of the appraisal referred to in
such clause; or
(ii) the amount equal to the guaranty under this section.
(D) If the holder of a loan files for payment of a claim under

clause (ii) of subparagraph (B) of this paragraph, the amount of
such claim payable by the Secretary shall be the lesser of—
(i) the amount equal to the excess, if any, of the total in-
debtedness over the greater of the value of the property secur-
ing the loan, as determined by the Secretary, or the amount of
the liquidation or resale proceeds; or
(ii) the amount equal to the guaranty under this section.
(E) In any accounting filed pursuant to subparagraph (B)(ii) of
this paragraph, the Secretary shall permit to be included therein
accrued unpaid interest from the date of the first uncured default
to such cutoff date as the Secretary may establish, and the Sec-
retary shall allow the holder of the loan to charge against the liq-
uidation or resale proceeds accrued interest from the cutoff date es-
tablished to such further date as the Secretary may determine and
such costs and expenses as the Secretary determines to be reason-
able and proper.
(F) The liability of the United States under the guaranty pro-
vided for by this paragraph shall decrease or increase pro rata with
any decrease or increase of the amount of the unpaid portion of the
obligation.
(4) The maximum amount of guaranty entitlement available to
a veteran for purposes specified in this section shall be $20,000 re-
duced by the amount of any such entitlement previously used by
the veteran. Use of entitlement for purposes specified in section
3710 or 3711 of this title shall reduce entitlement available for use
for purposes specified in this section to the same extent that enti-
tlement available for purposes specified in such section 3710 is re-
duced below $20,000.
(5) The amount of any loan guaranteed for purposes specified
in this section shall not exceed an amount equal to 95 percent of
the purchase price of the property securing the loan.
(d)(1) The maturity of any loan guaranteed for purposes speci-
fied in this section shall not be more than—
(A) fifteen years and thirty-two days, in the case of a loan
for the purchase of a lot;
(B) twenty years and thirty-two days, in the case of a loan
for the purchase of—
(i) a single-wide manufactured home; or
(ii) a single-wide manufactured home and a lot;
(C) twenty-three years and thirty-two days, in the case of
a loan for the purchase of a double-wide manufactured home;
or
(D) twenty-five years and thirty-two days, in the case of a
loan for the purchase of a double-wide manufactured home and
a lot.
(2) Nothing in paragraph (1) of this subsection shall preclude
the Secretary, under regulations which the Secretary shall pre-
scribe, from consenting to necessary advances for the protection of
the security or the holder’s lien, to a reasonable extension of the
term of such loan, or to a reasonable reamortization of such loan.
(e) No loan shall be guaranteed for purposes specified in this
section unless—
(1) the loan is repayable in approximately equal monthly

installments;
(2) the terms of repayment bear a proper relationship to
the veteran’s present and anticipated income and expenses,
and the veteran is a satisfactory credit risk, as determined in
accordance with the regulations prescribed under section
3710(g) of this title and taking into account the purpose of this
program to make available lower cost housing to low and lower
income veterans, especially those who have been recently dis-
charged or released from active military, naval, or air service,
who may not have previously established credit ratings;
(3) the loan is secured by a first lien on the manufactured
home purchased with the proceeds of the loan and on any lot
acquired or improved with the proceeds of the loan;
(4) the amount of the loan to be paid by the veteran is not
in excess of the amount determined to be reasonable, based
upon—
(A) with respect to any portion of the loan to purchase
a new manufactured home, such cost factors as the Sec-
retary considers proper to take into account;
(B) with respect to any portion of the loan to purchase
a used manufactured home, the reasonable value of the
property, as determined by the Secretary;
(C) with respect to any portion of the loan to purchase
a lot, the reasonable value of such lot, as determined by
the Secretary; and
(D) with respect to any portion of the loan to cover the
cost of necessary site preparation, an appropriate amount,
as determined by the Secretary;
(5) the veteran certifies, in such form as the Secretary
shall prescribe, that the veteran will personally occupy the
property as the veteran’s home; except that the requirement of
this clause shall not apply (A) in the case of a guaranteed loan
that is for the purpose described in paragraph (1)(F) of sub-
section (a), or
(B) in the case described in section 3704(c)(2);
(6) the manufactured home is or will be placed on a site
which meets specifications which the Secretary shall establish
by regulation; and
(7) the interest rate to be charged on the loan does not ex-
ceed the permissible rate established by the Secretary.
(f) The Secretary shall establish such rate of interest for manu-
factured home loans and manufactured home lot loans as the Sec-
retary determines to be necessary in order to assure a reasonable
supply of manufactured home loan financing for veterans for pur-
poses specified in this section.
(g) The Secretary shall promulgate such regulations as the Sec-
retary determines to be necessary or appropriate in order to fully
implement the provisions of this section, and such regulations may
specify which provisions in other sections of this chapter the Sec-
retary determines should be applicable to loans guaranteed or
made for purposes specified in this section. The Secretary shall
have such powers and responsibilities in respect to matters arising
under this section as the Secretary has in respect to loans made

or guaranteed or under other sections of this chapter.
(h)(1) No loan for the purchase of a manufactured home shall
be guaranteed for purposes specified in this section unless the
manufactured home and lot, if any, meet or exceed standards for
planning, construction, and general acceptability as prescribed by
the Secretary and no loan for the purchase of a lot on which to
place a manufactured home owned by a veteran shall be guaran-
teed for purposes specified in this section unless the lot meets such
standards prescribed for manufactured home lots. Such standards
shall be designed to encourage the maintenance and development
of sites for manufactured homes which will be attractive residential
areas and which will be free from, and not substantially contribute
to, adverse scenic or environmental conditions.
(2) Any manufactured housing unit properly displaying a cer-
tification of conformity to all applicable Federal manufactured
home construction and safety standards pursuant to section 616 of
the National Manufactured Housing Construction and Safety
Standards Act of 1974 (42 U.S.C. 5415) shall be deemed to meet
the standards required by paragraph (1).
(i) The Secretary shall require the manufacturer to become a
warrantor of any new manufactured home which is approved for
purchase with financing through the assistance of this chapter and
to furnish to the purchaser a written warranty in such form as the
Secretary shall require. Such warranty shall include (1) a specific
statement that the manufactured home meets the standards pre-
scribed by the Secretary pursuant to the provisions of subsection
(h) of this section; and (2) a provision that the warrantor’s liability
to the purchaser or owner is limited under the warranty to in-
stances of substantial nonconformity to such standards which be-
come evident within one year from date of purchase and as to
which the purchaser or owner gives written notice to the warrantor
not later than ten days after the end of the warranty period. The
warranty prescribed herein shall be in addition to, and not in dero-
gation of, all other rights and privileges which such purchaser or
owner may have under any other law or instrument and shall so
provide in the warranty document.
(j) Subject to notice and opportunity for a hearing, the Sec-
retary is authorized to deny guaranteed or direct loan financing in
the case of—
(1) manufactured homes constructed by a manufacturer
who fails or is unable to discharge the manufacturer’s obliga-
tions under the warranty;
(2) manufactured homes which are determined by the Sec-
retary not to conform to the standards provided for in sub-
section (h); or
(3) a manufacturer of manufactured homes who has en-
gaged in procedures or practices determined by the Secretary
to be unfair or prejudicial to veterans or the Government.
(k) Subject to notice and opportunity for a hearing, the Sec-
retary may refuse to approve as acceptable any site in a manufac-
tured home park or subdivision owned or operated by any person
whose rental or sale methods, procedures, requirements, or prac-
tices are determined by the Secretary to be unfair or prejudicial to
veterans renting or purchasing such sites. The Secretary may also

refuse to guarantee or make direct loans for veterans to purchase
manufactured homes offered for sale by any dealer if substantial
deficiencies have been discovered in such homes, or if the Secretary
determines that there has been a failure or indicated inability of
the dealer to discharge contractual liabilities to veterans, or that
the type of contract of sale or methods, procedures, or practices
pursued by the dealer in the marketing of such properties have
been unfair or prejudicial to veteran purchasers.
(l) The provisions of sections 3704(d) and 3721 of this title
shall be fully applicable to lenders making guaranteed manufac-
tured home loans and manufactured home lot loans and holders of
such loans.
(Added Pub. L. 91–506, Sec. 5, Oct. 23, 1970, 84 Stat. 1110, Sec. 1819; amended
Pub. L. 93–569, Sec. 5, Dec. 31, 1974, 88 Stat. 1864; Pub. L. 94–324, Sec. 5, 7(20)–
(23), June 30, 1976, 90 Stat. 720, 722; Pub. L. 95–476, title I, Sec. 107, Oct. 18,
1978, 92 Stat. 1500; Pub. L. 96–385, title IV, Sec. 401(b), 402(c), Oct. 7, 1980, 94
Stat. 1532, 1533; Pub. L. 97–66, title V, Sec. 503, Oct. 17, 1981, 95 Stat. 1032; Pub.
L. 97–72, title III, Sec. 303(h), (i), Nov. 3, 1981, 95 Stat. 1060; Pub. L. 97–295, Sec.
4(66), Oct. 12, 1982, 96 Stat. 1310; Pub. L. 97–306, title IV, Sec. 406(a), (c)(2), Oct.
14, 1982, 96 Stat. 1444, 1445; Pub. L. 98–223, title II, Sec. 205(b), Mar. 2, 1984,
98 Stat. 43; Pub. L. 99–576, title IV, Sec. 402(c)(2), Oct. 28, 1986, 100 Stat. 3281;
Pub. L. 100–198, Sec. 3(b), 7(b), 8(b), Dec. 21, 1987, 101 Stat. 1315, 1318, 1320; Pub.
L. 100–253, Sec. 3(b), Feb. 29, 1988, 102 Stat. 20; renumbered Sec. 1812 and amend-
ed Pub. L. 100–322, title IV, Sec. 415(b)(4), May 20, 1988, 102 Stat. 551; Pub. L.
101–237, title III, Sec. 313(b)(1), (7), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 101–
508, title VIII, Sec. 8031(a), Nov. 5, 1990, 104 Stat. 1388–348; Pub. L. 102–54, Sec.
14(c)(8), June 13, 1991, 105 Stat. 285; renumbered Sec. 3712 and amended Pub. L.
102–83, Sec. 4(a)(2)(A)(v), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403, 406; Pub. L. 102–
547, Sec. 6(2), Oct. 28, 1992, 106 Stat. 3636; Pub. L. 103–446, title IX, Sec. 906,
title XII, Sec. 1201(e)(14), Nov. 2, 1994, 108 Stat. 4677, 4685; Pub. L. 104–66, title
I, Sec. 1141(b), Dec. 21, 1995, 109 Stat. 726.)
§ 3713. Release from liability under guaranty
(a) Whenever any veteran disposes of residential property se-
curing a guaranteed, insured, or direct housing loan obtained by
the veteran, the Secretary, upon application made by such veteran
and by the transferee incident to such disposal, shall issue to such
veteran in connection with such disposal a release relieving the
veteran of all further liability to the Secretary on account of such
loan (including liability for any loss resulting from any default of
the transferee or any subsequent purchaser of such property) if the
Secretary has determined, after such investigation as the Secretary
may deem appropriate, that (1) the loan is current, and (2) the pur-
chaser of such property from such veteran (A) is obligated by con-
tract to purchase such property and to assume full liability for the
repayment of the balance of the loan remaining unpaid, and has
assumed by contract all of the obligations of the veteran under the
terms of the instruments creating and securing the loan, and (B)
qualifies from a credit standpoint, to the same extent as if the
transferee were a veteran eligible for purposes specified in section
3710 of this title, for a guaranteed or insured or direct loan in an
amount equal to the unpaid balance of the obligation for which the
transferee has assumed liability.
(b) If any veteran disposes of residential property securing a
guaranteed, insured, or direct housing loan obtained by the veteran
under this chapter without receiving a release from liability with
respect to such loan under subsection (a), and a default subse-

quently occurs which results in liability of the veteran to the Sec-
retary on account of the loan, the Secretary may relieve the vet-
eran of such liability if the Secretary determines, after such inves-
tigation as the Secretary deems appropriate, that the property was
disposed of by the veteran in such a manner, and subject to such
conditions, that the Secretary would have issued the veteran a re-
lease from liability under subsection (a) with respect to the loan if
the veteran had made application therefor incident to such dis-
posal. Failure of a transferee to assume by contract all of the liabil-
ities of the original veteran-borrower shall bar such release of li-
ability only in cases in which no acceptable transferee, either im-
mediate or remote, is legally liable to the Secretary for the indebt-
edness of the original veteran-borrower arising from termination of
the loan. The failure of a veteran to qualify for release from liabil-
ity under this subsection does not preclude relief from being grant-
ed under section 5302(b) of this title, if the veteran is eligible for
relief under that section.
(c) This section shall apply only to loans for which commit-
ments are made before March 1, 1988.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1212, Sec. 1817; Pub. L. 92–328, title II,
Sec. 204, June 30, 1972, 86 Stat. 397; Pub. L. 94–324, Sec. 7(18), (19), June 30,
1976, 90 Stat. 722; Pub. L. 97–72, title III, Sec. 303(f), Nov. 3, 1981, 95 Stat. 1060;
Pub. L. 100–198, Sec. 10(a)(2), Dec. 21, 1987, 101 Stat. 1323; renumbered Sec. 1813
and amended Pub. L. 100–322, title IV, Sec. 415(b)(2), May 20, 1988, 102 Stat. 550;
Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 102–
40, title IV, Sec. 402(d)(1), May 7, 1991, 105 Stat. 239; renumbered Sec. 3713 and
446, title XII, Sec. 1201(e)(15), Nov. 2, 1994, 108 Stat. 4686.)
§ 3714. Assumptions; release from liability
(a)(1) Except as provided in subsection (f) of this section, if a
veteran or any other person disposes of residential property secur-
ing a loan guaranteed, insured, or made under this chapter and the
veteran or other person notifies the holder of the loan in writing
before the property is disposed of, the veteran or other person, as
the case may be, shall be relieved of all further liability to the Sec-
retary with respect to the loan (including liability for any loss re-
sulting from any default of the purchaser or any subsequent owner
of the property) and the application for assumption shall be ap-
proved if the holder determines that—
(A) the loan is current; and
(B) the purchaser of the property from such veteran or
other person—
(i) is obligated by contract to purchase such property
and to assume full liability for the repayment of the bal-
ance of the loan remaining unpaid and has assumed by
contract all of the obligations of the veteran under the
terms of the instruments creating and securing the loan;
and
(ii) qualifies from a credit standpoint, to the same ex-
tent as if the purchaser were a veteran eligible under sec-
tion 3710 of this title, for a guaranteed or insured or direct
loan in an amount equal to the unpaid balance of the obli-
gation for which the purchaser is to assume liability.
(2) For the purposes of paragraph (1), paragraph (3), and para-
graph (4)(C)(ii) of this subsection, the Secretary shall be considered
to be the holder of the loan if the actual holder is not an approved
lender described in section 3702.
(3) If the holder of the loan determines that the loan is not cur-
rent or that the purchaser of the property does not meet the re-
quirements of paragraph (1)(B) of this subsection, the holder
shall—
(A) notify the transferor and the Secretary of such deter-
mination; and
(B) notify the transferor that the transferor may appeal
the determination to the Secretary.
(4)(A) Upon the appeal of the transferor after a determination
described in paragraph (3) is made, the Secretary shall, in a timely
manner, review and make a determination (or a redetermination in
any case in which the Secretary made the determination described
in such paragraph) with respect to whether the loan is current and
whether the purchaser of the property meets the requirements of
paragraph (1)(B) of this subsection. The Secretary shall transmit,
in writing, a notice of the nature of such determination to the
transferor and the holder and shall inform them of the action that
shall or may be taken under subparagraph (B) of this paragraph
as a result of the determination of the Secretary.
(B)(i) If the Secretary determines under subparagraph (A) of
this paragraph that the loan is current and that the purchaser
meets the requirements of paragraph (1)(B) of this subsection, the
holder shall approve the assumption of the loan, and the transferor
shall be relieved of all liability to the Secretary with respect to
such loan.
(ii) If the Secretary determines under subparagraph (A) of this
paragraph that the purchaser does not meet the requirements of
paragraph (1)(B) of this subsection, the Secretary may direct the
holder to approve the assumption of the loan if—
(I) the Secretary determines that the transferor of the
property is unable to make payments on the loan and has
made reasonable efforts to find a buyer who meets the require-
ments of paragraph (1)(B) of this subsection and that, as a re-
sult, the proposed transfer is in the best interests of the De-
partment and the transferor;
(II) the transferor has requested, within 15 days after re-
ceiving the notice referred to in subparagraph (A) of this para-
graph, that the Secretary approve the assumption; and
(III) the transferor will, upon assumption of the loan by
the purchaser, be secondarily liable on the loan.
(C) If—
(i) the loan is not approved for assumption under subpara-
graph (B) of this paragraph or paragraph (1) of this subsection;
or
(ii) no appeal is made by the transferor under subpara-
graph (A) of this paragraph within 30 days after the holder in-
forms the transferor of its determination under paragraph (3)
of this subsection,
the holder may demand immediate, full payment of the prin-

cipal, and all interest earned thereon, of such loan if the trans-
feror disposes of the property.
(b) If a person disposes of residential property described in sub-
section (a)(1) of this section and the person fails to notify the holder
of the loan before the property is disposed of, the holder, upon
learning of such action by the person, may demand immediate and
full payment of the principal, interest, and all other amounts owing
under the terms of the loan.
(c)(1) In any case in which the holder of a loan described in
subsection (a)(1) of this section has knowledge of a person’s dis-
posing of residential property securing the loan, the holder shall
notify the Secretary of such action.
(2) If the holder fails to notify the Secretary in such a case, the
holder shall be liable to the Secretary for any damage sustained by
the Secretary as a result of the holder’s failure, as determined at
the time the Secretary is required to make payments in accordance
with any insurance or guaranty provided by the Secretary with re-
spect to the loan concerned.
(d) With respect to a loan guaranteed, insured, or made under
this chapter, the Secretary shall provide, by regulation, that at
least one instrument evidencing either the loan or the mortgage or
deed of trust therefor, shall conspicuously contain, in such form as
the Secretary shall specify, a notice in substantially the following
form: ‘‘This loan is not assumable without the approval of the De-
partment of Veterans Affairs or its authorized agent’’.
(e) The Secretary shall establish in regulations a reasonable
amount as the maximum amount that a lender may charge for
processing an application for a creditworthiness determination and
assumption of a loan pursuant to this section. Such regulations
shall establish requirements for the timely processing of applica-
tions for acceptance of assumptions.
(f)(1) This section shall apply—
(A) in the case of loans other than loans to finance the pur-
chase of real property described in section 3733(a)(1) of this
title, only to loans for which commitments are made on or after
March 1, 1988; and
(B) in the case of loans to finance the purchase of such
property, only to loans which are closed after January 1, 1989.
(2) This section shall not apply to a loan which the Secretary
has sold without recourse.
(Added Pub. L. 100–198, Sec. 10(a)(1), Dec. 21, 1987, 101 Stat. 1321, Sec. 1817A;
renumbered Sec. 1814, Pub. L. 100–322, title IV, Sec. 415(b)(2)(B), May 20, 1988,
102 Stat. 551; amended Pub. L. 100–689, title III, Sec. 302, Nov. 18, 1988, 102 Stat.
4176; Pub. L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renum-
bered Sec. 3714 and amended Pub. L. 102–83, Sec. 4(a)(2)(B)(iv), (3), (4), 5(a), (c)(1),
Aug. 6, 1991, 105 Stat. 403, 404, 406; Pub. L. 105–368, title X, Sec. 1005(b)(10),
Nov. 11, 1998, 112 Stat. 3365; Pub. L. 107–103, title IV, Sec. 403, Dec. 27, 2001,
115 Stat. 993.)
ø§§ 3715 to 3719. Vacant¿

§ 3720. Powers of Secretary
(a) Notwithstanding the provisions of any other law, with re-
spect to matters arising by reason of this chapter, the Secretary
may—
(1) sue and be sued in the Secretary’s official capacity in
any court of competent jurisdiction, State or Federal, but noth-
ing in this clause shall be construed as authorizing garnish-
ment or attachment against the Secretary, the Department of
Veterans Affairs, or any of its employees;
(2) subject to specific limitations in this chapter, consent to
the modification, with respect to rate of interest, time of pay-
ment of principal or interest or any portion thereof, security or
other provisions of any note, contract, mortgage or other in-
strument securing a loan which has been guaranteed, insured,
made or acquired under this chapter;
(3) pay, or compromise, any claim on, or arising because of,
any such guaranty or insurance;
(4) pay, compromise, waive or release any right, title,
claim, lien or demand, however acquired, including any equity
or any right of redemption;
(5) purchase at any sale, public or private, upon such
terms and for such prices as the Secretary determines to be
reasonable, and take title to, property, real, personal or mixed;
and similarly sell, at public or private sale, exchange, assign,
convey, or otherwise dispose of any such property; and
(6) complete, administer, operate, obtain and pay for insur-
ance on, and maintain, renovate, repair, modernize, lease, or
otherwise deal with any property acquired or held pursuant to
this chapter. The acquisition of any such property shall not de-
prive any State or political subdivision thereof of its civil or
criminal jurisdiction of, on, or over such property (including
power to tax) or impair the rights under the State or local law
of any persons on such property. Without regard to section
3302(b) of title 31 or any other provision of law not expressly
in limitation of this paragraph, the Secretary may permit bro-
kers utilized by the Secretary in connection with such prop-
erties to deduct from rental collections amounts covering au-
thorized fees, costs, and expenses incurred in connection with
the management, repair, sale, or lease of any such properties
and remit the net balances to the Secretary.
(b) The powers granted by this section may be exercised by the
Secretary without regard to any other provision of law not enacted
expressly in limitation of this section, which otherwise would gov-
ern the expenditure of public funds, except that title III of the Fed-
eral Property and Administrative Services Act of 1949 (41 U.S.C.
251 et seq.) shall apply to any contract for services or supplies on
account of any property acquired pursuant to this section.
(c) The financial transactions of the Secretary incident to, or
arising out of, the guaranty or insurance of loans pursuant to this
chapter, and the acquisition, management, and disposition of prop-
erty, real, personal, or mixed, incident to such activities and pursu-

ant to this section, shall be final and conclusive upon all officers
of the Government.
(d) The right to redeem provided for by section 2410(c) of title
28 shall not arise in any case in which the subordinate lien or in-
terest of the United States derives from a guaranteed or insured
loan.
ø(e) Repealed. Pub. L. 105–368, title VI, Sec. 602(c)(1), Nov. 11,
1998, 112 Stat. 3346¿
(f) Whenever loss, destruction, or damage to any residential
property securing loans guaranteed, insured, made, or acquired by
the Secretary under this chapter occurs as the result of a major
disaster as determined by the President under the Disaster Relief
and Emergency Assistance Act (42 U.S.C. 5121 et seq.), the Sec-
retary shall (1) provide counseling and such other service to the
owner of such property as may be feasible and shall inform such
owner concerning the disaster assistance available from other Fed-
eral agencies and from State or local agencies, and (2) pursuant to
subsection (a)(2) of this section, extend on an individual case basis
such forebearance or indulgence to such owner as the Secretary de-
termines to be warranted by the facts of the case and the cir-
cumstances of such owner.
(g) The Secretary shall, at the request of the Secretary of
Housing and Urban Development and without reimbursement, cer-
tify to such Secretary whether an applicant for assistance under
any law administered by the Department of Housing and Urban
Development is a veteran.
(h)(1) The Secretary may, upon such terms and conditions as
the Secretary considers appropriate, issue or approve the issuance
of, and guarantee the timely payment of principal and interest on,
certificates or other securities evidencing an interest in a pool of
mortgage loans made in connection with the sale of properties ac-
quired under this chapter.
(2) The Secretary may not under this subsection guarantee the
payment of principal and interest on certificates or other securities
issued or approved after December 31, 2011.
17, 1963, 77 Stat. 271; Pub. L. 88–560, title VII, Sec. 701(e)(1), Sept. 2, 1964, 78
Stat. 800; Pub. L. 89–625, Oct. 4, 1966, 80 Stat. 874; Pub. L. 89–769, Sec. 3(c), Nov.
6, 1966, 80 Stat. 1316; Pub. L. 90–448, title VIII, Sec. 807(h), Aug. 1, 1968, 82 Stat.
545; Pub. L. 91–606, title II, Sec. 233, Dec. 31, 1970, 84 Stat. 1753; Pub. L. 92–
328, title II, Sec. 205, June 30, 1972, 86 Stat. 397; Pub. L. 93–288, title VII, Sec.
702(l), formerly title VI, Sec. 602(l), May 22, 1974, 88 Stat. 164, renumbered title
VII, Sec. 702(l), Pub. L. 103–337, div. C, title XXXIV, Sec. 3411(a)(1), (2), Oct. 5,
1994, 108 Stat. 3100; Pub. L. 94–324, Sec. 7(24)–(26), June 30, 1976, 90 Stat. 722;
Pub. L. 95–117, title IV, Sec. 403(a), Oct. 3, 1977, 91 Stat. 1066; Pub. L. 97–258,
Sec. 3(k)(3), Sept. 13, 1982, 96 Stat. 1065; Pub. L. 97–295, Sec. 4(67), Oct. 12, 1982,
96 Stat. 1310; Pub. L. 98–160, title VII, Sec. 702(14), Nov. 21, 1983, 97 Stat. 1009;
Pub. L. 99–576, title IV, Sec. 404, Oct. 28, 1986, 100 Stat. 3281; Pub. L. 100–707,
title I, Sec. 109(n), Nov. 23, 1988, 102 Stat. 4709; Pub. L. 101–237, title III, Sec.
313(b)(1), (2), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 102–54, Sec. 4(a), June 13,
(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–291, Sec. 5(a), May 20, 1992, 106
Stat. 179; Pub. L. 102–547, Sec. 4, Oct. 28, 1992, 106 Stat. 3636; Pub. L. 104–110,
title I, Sec. 101(f), Feb. 13, 1996, 110 Stat. 768; Pub. L. 104–275, title II, Sec. 201,
Oct. 9, 1996, 110 Stat. 3330; Pub. L. 105–33, title VIII, Sec. 8011, Aug. 5, 1997, 111
Stat. 664; Pub. L. 105–368, title VI, Secs. 602(c)(1), 604(a), Nov. 11, 1998, 112 Stat.
3346, 3348; Pub. L. 106–419, title IV, Sec. 402(a), Nov. 1, 2000, 114 Stat. 1861; Pub.
L. 107–103, title IV, Sec. 405(b), Dec. 27, 2001, 115 Stat. 994.)
Any evidence of guaranty or insurance issued by the Secretary
shall be conclusive evidence of the eligibility of the loan for guar-
anty or insurance under the provisions of this chapter and of the
amount of such guaranty or insurance. Nothing in this section shall
preclude the Secretary from establishing, as against the original
lender, defenses based on fraud or material misrepresentation. The
Secretary shall not, by reason of anything contained in this section,
be barred from establishing, by regulations in force at the date of
such issuance or disbursement, whichever is the earlier, partial de-
fenses to the amount payable on the guaranty or insurance.
Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 3721, Pub. L. 102–
83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406.)
§ 3722. Veterans Housing Benefit Program Fund

(a) There is hereby established in the Treasury of the United
States a fund known as the Veterans Housing Benefit Program
Fund (hereinafter in this section referred to as the ‘‘Fund’’).
(b) The Fund shall be available to the Secretary, without fiscal
year limitation, for all housing loan operations under this chapter,
other than administrative expenses, consistent with the Federal
Credit Reform Act of 1990.
(c) There shall be deposited into the Fund the following, which
shall constitute the assets of the Fund:
(1) Any amount appropriated to the Fund.
(2) Amounts paid into the Fund under section 3729 of this
title or any other provision of law or regulation established by
the Secretary imposing fees on persons or other entities par-
ticipating in the housing loan programs under this chapter.
(3) All other amounts received by the Secretary on or after
October 1, 1998, incident to housing loan operations under this
chapter, including—
(A) collections of principal and interest on housing
loans made by the Secretary under this chapter;
(B) proceeds from the sale, rental, use, or other dis-
position of property acquired under this chapter;
(C) proceeds from the sale of loans pursuant to sec-
tions 3720(h) and 3733(a)(3) of this title; and
(D) penalties collected pursuant to section
3710(g)(4)(B) of this title.
(d) Amounts deposited into the Fund under paragraphs (2) and
(3) of subsection (c) shall be deposited in the appropriate financing
or liquidating account of the Fund.
(e) For purposes of this section, the term ‘‘housing loan’’ shall
not include a loan made pursuant to subchapter V of this chapter.
(Added Pub. L. 105–368, title VI, Sec. 602(a)(2), Nov. 11, 1998, 112 Stat. 3345;
ø§ 3723. Repealed. Pub. L. 105–368, title VI, Sec. 602(a)(1),

Nov. 11, 1998, 112 Stat. 3345¿
Nov. 11, 1998, 112 Stat. 3345¿
Nov. 11, 1998, 112 Stat. 3345¿
§ 3726. Withholding of payments, benefits, etc
(a) No officer, employee, department, or agency of the United
States shall set off against, or otherwise withhold from, any vet-
eran or the surviving spouse of any veteran any payments (other
than benefit payments under any law administered by the Depart-
ment of Veterans Affairs) which such veteran or surviving spouse
would otherwise be entitled to receive because of any liability to
the Secretary allegedly arising out of any loan made to, assumed
by, or guaranteed or insured on account of, such veteran or sur-
viving spouse under this chapter, unless the Secretary provides
such veteran or surviving spouse with notice by certified mail with
return receipt requested of the authority of the Secretary to waive
the payment of indebtedness under section 5302(b) of this title.
(b) If the Secretary does not waive the entire amount of the li-
ability, the Secretary shall then determine whether the veteran or
surviving spouse should be released from liability under section
(c) If the Secretary determines that the veteran or surviving
spouse should not be released from liability, the Secretary shall no-
tify the veteran or surviving spouse of that determination and pro-
vide a notice of the procedure for appealing that determination, un-
less the Secretary has previously made such determination and no-
tified the veteran or surviving spouse of the procedure for appeal-
ing the determination.
(Added Pub. L. 89–358, Sec. 5(f)(1), Mar. 3, 1966, 80 Stat. 26, Sec. 1826; amended
Pub. L. 94–324, Sec. 7(30), June 30, 1976, 90 Stat. 722; Pub. L. 97–66, title V, Sec.
504, Oct. 17, 1981, 95 Stat. 1033; Pub. L. 101–237, title III, Sec. 313(b)(1), (2), Dec.
18, 1989, 103 Stat. 2077; renumbered Sec. 3726, Pub. L. 102–83, Sec. 5(a), Aug. 6,
1991, 105 Stat. 406; Pub. L. 105–33, title VIII, Sec. 8033(a), Aug. 5, 1997, 111 Stat.
669.)
§ 3727. Expenditures to correct or compensate for structural

defects in mortgaged homes
(a) The Secretary is authorized, with respect to any property
improved by a one-to four-family dwelling inspected during con-
struction by the Department of Veterans Affairs or the Federal
Housing Administration which the Secretary finds to have struc-
tural defects seriously affecting the livability of the property, to
make expenditures for (1) correcting such defects, (2) paying the
claims of the owner of the property arising from such defects, or
(3) acquiring title to the property; except that such authority of the
Secretary shall exist only (A) if the owner requests assistance
under this section not later than four years (or such shorter time
as the Secretary may prescribe) after the mortgage loan was made,
guaranteed, or insured, and (B) if the property is encumbered by
a mortgage which is made, guaranteed, or insured under this chap-

ter after May 7, 1968.
(b) The Secretary shall by regulation prescribe the terms and
conditions under which expenditures and payments may be made
under the provisions of this section, and the Secretary’s decisions
regarding such expenditures or payments, and the terms and con-
ditions under which the same are approved or disapproved, shall
be final and conclusive, and shall not be subject to judicial review.
(c) The Secretary is authorized to make expenditures for the
purposes of this section from the fund established pursuant to sec-
(Added Pub. L. 90–301, Sec. 5(a), May 7, 1968, 82 Stat. 116, Sec. 1827; amended
Pub. L. 94–324, Sec. 7(31), June 30, 1976, 90 Stat. 722; Pub. L. 101–237, title III,
Sec. 313(b)(1), (2), Dec. 18, 1989, 103 Stat. 2077; renumbered Sec. 3727 and amend-
title VI, Sec. 602(e)(1)(C), title X, Sec. 1005(b)(11), Nov. 11, 1998, 112 Stat. 3346,
3365.)
§ 3728. Exemption from State anti-usury provisions

If, under any law of the United States, loans and mortgages in-
sured under title I or title II of the National Housing Act are ex-
empt from the application of the provisions of any State constitu-
tion or law (1) limiting the rate or amount of interest, discount
points, or other charges which may be charged, taken, received, or
reserved by lenders, (2) restricting the manner of calculating such
interest (including prohibition of the charging of interest on inter-
est), or (3) requiring a minimum amortization of principal, then
loans guaranteed or insured under this chapter are also exempt
from the application of such provisions.
(Added Pub. L. 96–128, title IV, Sec. 401(a), Nov. 28, 1979, 93 Stat. 986, Sec. 1828;
amended Pub. L. 97–66, title V, Sec. 501(b), Oct. 17, 1981, 95 Stat. 1032; renum-
§ 3729. Loan fee

(a) REQUIREMENT OF FEE.—(1) Except as provided in sub-
section (c), a fee shall be collected from each person obtaining a
housing loan guaranteed, insured, or made under this chapter, and
each person assuming a loan to which section 3714 of this title ap-
plies. No such loan may be guaranteed, insured, made, or assumed
until the fee payable under this section has been remitted to the
Secretary.
(2) The fee may be included in the loan and paid from the pro-
ceeds thereof.
(b) DETERMINATION OF FEE.—(1) The amount of the fee shall
be determined from the loan fee table in paragraph (2). The fee is
expressed as a percentage of the total amount of the loan guaran-
teed, insured, or made, or, in the case of a loan assumption, the
unpaid principal balance of the loan on the date of the transfer of
the property.
(2) The loan fee table referred to in paragraph (1) is as follows:
LOAN FEE TABLE
Active duty
Type of loan Reservist Other obligor
veteran
(A)(i) Initial loan described in section 3710(a) to pur-

chase or construct a dwelling with 0-down, or any
other initial loan described in section 3710(a) other
than with 5-down or 10-down (closed before Janu-
ary 1, 2004) ................................................................. 2.00 2.75 NA
(A)(ii) Initial loan described in section 3710(a) to pur-

chase or construct a dwelling with 0-down, or any
other initial loan described in section 3710(a) other
than with 5-down or 10-down (closed on or after
January 1, 2004, and before October 1, 2004) .......... 2.20 2.40 NA
(A)(iii) Initial loan described in section 3710(a) to

purchase or construct a dwelling with 0-down, or
any other initial loan described in section 3710(a)
other than with 5-down or 10-down (closed on or
after October 1, 2004, and before October 1, 2011) 2.15 2.40 NA
(A)(iv) Initial loan described in section 3710(a) to

any other initial loan described in section 3710(a)
other than with 5-down or 10-down (closed on or
after October 1, 2011) ................................................. 1.40 1.65 NA
(B)(i) Subsequent loan described in section 3710(a) to

any other subsequent loan described in section
3710(a) (closed before January 1, 2004) .................... 3.00 3.00 NA
(B)(ii) Subsequent loan described in section 3710(a)

to purchase or construct a dwelling with 0-down, or
3710(a) (closed on or after January 1, 2004, and be-
fore October 1, 2011) .................................................. 3.30 3.30 NA
(B)(iii) Subsequent loan described in section 3710(a)

3710(a) (closed on or after October 1, 2011 and be-
fore October 1, 2013) .................................................. 2.15 2.15 NA
(B)(iv) Subsequent loan described in section 3710(a)

3710(a) (closed on or after October 1, 2013) ............. 1.25 1.25 NA
(C)(i) Loan described in section 3710(a) to purchase

or construct a dwelling with 5-down (closed before
October 1, 2011) .......................................................... 1.50 1.75 NA
(C)(ii) Loan described in section 3710(a) to purchase

or construct a dwelling with 5-down (closed on or
after October 1, 2011) ................................................. 0.75 1.00 NA
(D)(i) Initial loan described in section 3710(a) to pur-

chase or construct a dwelling with 10-down (closed
before October 1, 2011) ............................................... 1.25 1.50 NA
(D)(ii) Initial loan described in section 3710(a) to pur-

chase or construct a dwelling with 10-down (closed
on or after October 1, 2011) ....................................... 0.50 0.75 NA
LOAN FEE TABLE—Continued
Active duty
Type of loan Reservist Other obligor
veteran
(E) Interest rate reduction refinancing loan ................ 0.50 0.50 NA
(F) Direct loan under section 3711 ............................... 1.00 1.00 NA
(G) Manufactured home loan under section 3712

(other than an interest rate reduction refinancing
loan) ............................................................................. 1.00 1.00 NA
(H) Loan to Native American veteran under section

3762 (other than an interest rate reduction refi-
nancing loan) ............................................................... 1.25 1.25 NA
(I) Loan assumption under section 3714 ...................... 0.50 0.50 0.50
(J) Loan under section 3733(a) ...................................... 2.25 2.25 2.25
(3) Any reference to a section in the ‘‘Type of loan’’ column in

the loan fee table in paragraph (2) refers to a section of this title.
(4) For the purposes of paragraph (2):
(A) The term ‘‘active duty veteran’’ means any veteran eli-
gible for the benefits of this chapter other than a Reservist.
(B) The term ‘‘Reservist’’ means a veteran described in sec-
tion 3701 (b)(5)(A) of this title who is eligible under section
3702(a)(2)(E) of this title.
(C) The term ‘‘other obligor’’ means a person who is not a
veteran, as defined in section 101 of this title or other provi-
sion of this chapter.
(D) The term ‘‘initial loan’’ means a loan to a veteran guar-
anteed under section 3710 or made under section 3711 of this
title if the veteran has never obtained a loan guaranteed under
section 3710 or made under section 3711 of this title.
(E) The term ‘‘subsequent loan’’ means a loan to a veteran,
other than an interest rate reduction refinancing loan, guaran-
teed under section 3710 or made under section 3711 of this
title if the veteran has previously obtained a loan guaranteed
under section 3710 or made under section 3711 of this title.
(F) The term ‘‘interest rate reduction refinancing loan’’
means a loan described in section 3710(a)(8), 3710(a)(9)(B)(i),
3710(a)(11), 3712(a)(1)(F), or 3762(h) of this title.
(G) The term ‘‘0-down’’ means a downpayment, if any, of
less than 5 percent of the total purchase price or construction
cost of the dwelling.
(H) The term ‘‘5-down’’ means a downpayment of at least
5 percent or more, but less than 10 percent, of the total pur-
chase price or construction cost of the dwelling.
(I) The term ‘‘10-down’’ means a downpayment of 10 per-
cent or more of the total purchase price or construction cost of
the dwelling.
(c) WAIVER OF FEE.—(1) A fee may not be collected under this
section from a veteran who is receiving compensation (or who, but
for the receipt of retirement pay, would be entitled to receive com-
pensation) or from a surviving spouse of any veteran (including a
person who died in the active military, naval, or air service) who
died from a service-connected disability.
(2) A veteran who is rated eligible to receive compensation as
a result of a pre-discharge disability examination and rating shall
be treated as receiving compensation for purposes of this sub-
section as of the date on which the veteran is rated eligible to re-
ceive compensation as a result of the pre-discharge disability exam-
ination and rating without regard to whether an effective date of
the award of compensation is established as of that date.
(Added Pub. L. 97–253, title IV, Sec. 406(a)(1), Sept. 8, 1982, 96 Stat. 805, Sec.
1829; amended Pub. L. 98–369, div. B, title V, Sec. 2511(a), July 18, 1984, 98 Stat.
1117; Pub. L. 100–198, Sec. 2, 10(c), Dec. 21, 1987, 101 Stat. 1315, 1323; Pub. L.
100–203, title VII, Sec. 7002, Dec. 22, 1987, 101 Stat. 1330–279; Pub. L. 100–322,
title IV, Sec. 415(c)(6), May 20, 1988, 102 Stat. 551; Pub. L. 101–237, title III, Sec.
303(a), 313(b)(1), Dec. 18, 1989, 103 Stat. 2071, 2077; Pub. L. 101–239, title V, Sec.
5001, Dec. 19, 1989, 103 Stat. 2136; Pub. L. 101–508, title VIII, Sec. 8032, Nov. 5,
1990, 104 Stat. 1388–348; Pub. L. 102–54, Sec. 15(a)(3), (4), June 13, 1991, 105 Stat.
1991, 105 Stat. 406; Pub. L. 102–547, Sec. 2(b)(1), 5, Oct. 28, 1992, 106 Stat. 3633,
3636; Pub. L. 103–66, title XII, Sec. 12007, Aug. 10, 1993, 107 Stat. 414; Pub. L.
103–446, title IX, Sec. 904(c), Nov. 2, 1994, 108 Stat. 4677; Pub. L. 104–275, title
II, Sec. 202(b), Oct. 9, 1996, 110 Stat. 3330; Pub. L. 105–33, title VIII, Secs. 8012,
8032, Aug. 5, 1997, 111 Stat. 664, 669; Pub. L. 105–368, title VI, Secs. 602(e)(1)(D),
603(b), Nov. 11, 1998, 112 Stat. 3346, 3348; Pub. L. 106–419, title IV, Sec. 402(b),
Nov. 1, 2000, 114 Stat. 1861; Pub. L. 107–14, Sec. 8(b)(4), June 5, 2001, 115 Stat.
36; Pub. L. 107–103, title IV, Secs. 405(c), 406, Dec. 27, 2001, 115 Stat. 994; Pub.
L. 108–183, title IV, Sec. 405, Dec. 16, 2003, 117 Stat. 2665; Pub. L. 108–454, title
IV, Sec. 406, Dec. 10, 2004, 118 Stat. 3617.)
§ 3730. Use of attorneys in court
(a) The Secretary shall authorize attorneys employed by the
Department of Veterans Affairs to exercise the right of the United
States to bring suit in court to foreclose a loan made or acquired
by the Secretary under this chapter and to recover possession of
any property acquired by the Secretary under this chapter. The
Secretary may acquire the services of attorneys, other than those
who are employees of the Department of Veterans Affairs, to exer-
cise that right. The activities of attorneys in bringing suit under
this section shall be subject to the direction and supervision of the
Attorney General and to such terms and conditions as the Attorney
General may prescribe.
(b) Nothing in this section derogates from the authority of the
Attorney General under sections 516 and 519 of title 28 to direct
and supervise all litigation to which the United States or an agency
or officer of the United States is a party.
(Added Pub. L. 98–369, div. B, title V, Sec. 2512(b)(1), July 18, 1984, 98 Stat. 1120,
Sec. 1830; amended Pub. L. 99–576, title IV, Sec. 406, Oct. 28, 1986, 100 Stat. 3282;
Pub. L. 101–237, title III, Sec. 313(b)(1), (2), Dec. 18, 1989, 103 Stat. 2077; renum-
368, title X, Sec. 1005(b)(12), Nov. 11, 1998, 112 Stat. 3365.)
§ 3731. Appraisals
(1) subject to subsection (b)(2) and in consultation with ap-
propriate representatives of institutions which are regularly
engaged in making housing loans, prescribe uniform qualifica-
tions for appraisers, including the successful completion of a
written test, submission of a sample appraisal, certification of
an appropriate number of years of experience as an appraiser,

and submission of recommendations from other appraisers;
(2) use such qualifications in determining whether to ap-
prove an appraiser to make appraisals of the reasonable value
of any property, construction, repairs, or alterations for the
purposes of this chapter; and
(3) in consultation with local representatives of institutions
described in clause (1) of this subsection, develop and maintain
lists of appraisers who are approved under clause (2) of this
subsection to make appraisals for the purposes of this chapter.
(b)(1) The Secretary shall select appraisers from a list required
by subsection (a)(3) of this section on a rotating basis to make ap-
praisals for the purposes of this chapter.
(2) If uniform qualifications become applicable for appraisers
who perform appraisals for or in connection with the Federal Gov-
ernment, the qualifications required by subsection (a)(1) of this sec-
tion may be more stringent than such uniform qualifications, but
the Secretary may use no written test in determining the qualifica-
tions of appraisers other than the test prescribed to implement
such uniform qualifications.
(c) Except as provided in subsection (f) of this section, the ap-
praiser shall forward an appraisal report to the Secretary for re-
view. Upon receipt of such report, the Secretary shall determine
the reasonable value of the property, construction, repairs, or alter-
ations for purposes of this chapter, and notify the veteran of such
determination. Upon request, the Secretary shall furnish a copy of
the appraisal made of property for the purposes of this chapter to
the lender proposing to make the loan which is to be secured by
such property and is to be guaranteed under this chapter.
(d) If a lender (other than a lender authorized under subsection
(f) of this section to determine reasonable value)—
(1) has proposed to make a loan to be guaranteed under
this chapter,
(2) has been furnished a certificate of reasonable value of
any property or of any construction, repairs, or alterations of
property which is to be the security for such loan, and
(3) within a reasonable period prescribed by the Secretary,
has furnished to the Secretary an additional appraisal of the
reasonable value of such property, construction, repairs, or al-
terations which was made by an appraiser selected by the
lender from the list required by subsection (a)(3) of this sec-
tion,
the Secretary shall consider both the initial appraisal and the addi-
tional appraisal and shall, if appropriate, issue a revised certificate
of reasonable value of such property, construction, repairs, or alter-
ations.
(e)(1) In no case may a veteran be required to pay all or any
portion of the cost of the additional appraisal described in sub-
section (d)(3) of this section.
(2) If a veteran, within a reasonable period prescribed by the
Secretary, has furnished to the Secretary an additional appraisal
of the reasonable value of such property, construction, repairs, or
alterations which was made by an appraiser selected by the vet-
eran from the list required by subsection (a)(3) of this section, the
Secretary shall consider such appraisal, along with other apprais-

als furnished to the Secretary, and shall, if appropriate, issue a re-
vised certificate of reasonable value of such property, construction,
repairs, or alterations.
(f)(1) Subject to the provisions of paragraphs (2) and (3) of this
subsection, the Secretary may, in accordance with standards and
procedures established in regulations prescribed by the Secretary,
authorize a lender to determine the reasonable value of property
for the purposes of this chapter if the lender is authorized to make
loans which are automatically guaranteed under section 3702(d) of
this title. In such a case, the appraiser selected by the Secretary
pursuant to subsection (b) of this section shall submit the appraisal
report directly to the lender for review, and the lender shall, as
soon as possible thereafter, furnish a copy of the appraisal to the
veteran who is applying for the loan concerned and to the Sec-
retary.
(2) In exercising the authority provided in paragraph (1) of this
subsection, the Secretary shall assign a sufficient number of per-
sonnel to carry out an appraisal-review system to monitor, on at
least a random-sampling basis, the making of appraisals by ap-
praisers and the effectiveness and the efficiency of the determina-
tion of reasonable value of property by lenders.
(4) Not later than April 30 of each year following a year in
which the Secretary authorizes lenders to determine reasonable
value of property under this subsection, the Secretary shall submit
to the Committees on Veterans’ Affairs of the Senate and the
House of Representatives a report relating to the exercise of that
authority during the year in which the authority was exercised.
(5) A report submitted pursuant to paragraph (4) of this sub-
section shall include, for the period covered by each report—
(A) the number and value of loans made by lenders exer-
cising the authority of this subsection;
(B) the number and value of such loans reviewed by the
appraisal-review monitors referred to in paragraph (2) of this
subsection;
(C) the number and value of loans made under this sub-
section of which the Secretary received notification of default;
(D) the amount of guaranty paid by the Secretary to such
lenders by reason of defaults on loans as to which reasonable
value was determined under this subsection; and
(E) such recommendations as the Secretary considers ap-
propriate to improve the exercise of the authority provided for
in this subsection and to protect the interests of the United
States.
(Added Pub. L. 99–576, title IV, Sec. 407(a), Oct. 28, 1986, 100 Stat. 3282, Sec.
1831; amended Pub. L. 100–198, Sec. 11(a), (b), Dec. 21, 1987, 101 Stat. 1324; Pub.
L. 101–237, title III, Sec. 313(b)(1), Dec. 18, 1989, 103 Stat. 2077; Pub. L. 102–54,
Sec. 3(b), (c), June 13, 1991, 105 Stat. 267; renumbered Sec. 3731 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–547, Sec. 7, Oct.
28, 1992, 106 Stat. 3636; Pub. L. 104–110, title I, Sec. 101(g), Feb. 13, 1996, 110
Stat. 768.)
§ 3732. Procedure on default

(a)(1) In the event of default in the payment of any loan guar-
anteed under this chapter, the holder of the obligation shall notify
the Secretary of such default. Upon receipt of such notice, the Sec-
retary may, subject to subsection (c) of this section, pay to such
holder the guaranty not in excess of the pro rata portion of the
amount originally guaranteed. Except as provided in section
3703(e) of this title, if the Secretary makes such a payment, the
Secretary shall be subrogated to the rights of the holder of the obli-
gation to the extent of the amount paid on the guaranty.
(2) Before suit or foreclosure the holder of the obligation shall
notify the Secretary of the default, and within thirty days there-
after the Secretary may, at the Secretary’s option, pay the holder
of the obligation the unpaid balance of the obligation plus accrued
interest and receive an assignment of the loan and security. Noth-
ing in this section shall preclude any forebearance for the benefit
of the veteran as may be agreed upon by the parties to the loan
and approved by the Secretary.
(3) The Secretary may establish the date, not later than the
date of judgment and decree of foreclosure or sale, upon which ac-
crual of interest or charges shall cease.
(4)(A) Upon receiving a notice pursuant to paragraph (1) of this
subsection, the Secretary shall—
(i) provide the veteran with information and, to the extent
feasible, counseling regarding—
(I) alternatives to foreclosure, as appropriate in light
of the veteran’s particular circumstances, including pos-
sible methods of curing the default, conveyance of the
property to the Secretary by means of a deed in lieu of
foreclosure, and the actions authorized by paragraph (2) of
this subsection; and
(II) what the Department of Veterans Affairs’ and the
veteran’s liabilities would be with respect to the loan in
the event of foreclosure; and
(ii) advise the veteran regarding the availability of such
counseling;
except with respect to loans made by a lender which the Sec-
retary has determined has a demonstrated record of consist-
ently providing timely and accurate information to veterans
with respect to such matters.
(B) The Secretary shall, to the extent of the availability of ap-
propriations, ensure that sufficient personnel are available to ad-
minister subparagraph (A) of this paragraph effectively and effi-
ciently.
(5) In the event of default in the payment of any loan guaran-
teed or insured under this chapter in which a partial payment has
been tendered by the veteran concerned and refused by the holder,
the holder of the obligation shall notify the Secretary as soon as
such payment has been refused. The Secretary may require that
any such notification include a statement of the circumstances of
the default, the amount tendered, the amount of the indebtedness
on the date of the tender, and the reasons for the holder’s refusal.
(b) With respect to any loan made under section 3711 which
has not been sold as provided in subsection (g) of such section, if
the Secretary finds, after there has been a default in the payment
of any installment of principal or interest owing on such loan, that
the default was due to the fact that the veteran who is obligated
under the loan has become unemployed as the result of the closing
(in whole or in part) of a Federal installation, the Secretary shall
(1) extend the time for curing the default to such time as the Sec-
retary determines is necessary and desirable to enable such vet-
eran to complete payments on such loan, including an extension of
time beyond the stated maturity thereof, or (2) modify the terms
of such loan for the purpose of changing the amortization provi-
sions thereof by recasting, over the remaining term of the loan, or
over such longer period as the Secretary may determine, the total
unpaid amount then due with the modification to become effective
currently or upon the termination of an agreed-upon extension of
the period for curing the default.
(c)(1) For purposes of this subsection—
(A) The term ‘‘defaulted loan’’ means a loan that is guaran-
teed under this chapter, that was made for a purpose described
in section 3710(a) of this title, and that is in default.
(B) The term ‘‘liquidation sale’’ means a judicial sale or
other disposition of real property to liquidate a defaulted loan
that is secured by such property.
(C) The term ‘‘net value’’, with respect to real property,
means the amount equal to (i) the fair market value of the
property, minus (ii) the total of the amounts which the Sec-
retary estimates the Secretary would incur (if the Secretary
were to acquire and dispose of the property) for property taxes,
assessments, liens, property maintenance, property improve-
ment, administration, resale (including losses sustained on the
resale of the property), and other costs resulting from the ac-
quisition and disposition of the property, excluding any amount
attributed to the cost to the Government of borrowing funds.
(D) Except as provided in subparagraph (D) of paragraph
(10) of this subsection, the term ‘‘total indebtedness’’, with re-
spect to a defaulted loan, means the amount equal to the total
of (i) the unpaid principal of the loan, (ii) the interest on the
loan as of the date applicable under paragraph (10) of this sub-
section, and (iii) such reasonably necessary and proper charges
(as specified in the loan instrument and permitted by regula-
tions prescribed by the Secretary to implement this subsection)
associated with liquidation of the loan, including advances for
taxes, insurance, and maintenance or repair of the real prop-
erty securing the loan.
graph, this subsection applies to any case in which the holder of
a defaulted loan undertakes to liquidate the loan by means of a liq-
uidation sale.
(B) This subsection does not apply to a case in which the Sec-
retary proceeds under subsection (a)(2) of this section.
(3)(A) Before carrying out a liquidation sale of real property se-
curing a defaulted loan, the holder of the loan shall notify the Sec-
retary of the proposed sale. Such notice shall be provided in accord-
ance with regulations prescribed by the Secretary to implement
this subsection.
(B) After receiving a notice described in subparagraph (A) of
this paragraph, the Secretary shall determine the net value of the
property securing the loan and the amount of the total indebted-
ness under the loan and shall notify the holder of the loan of the
determination of such net value.
(4) A case referred to in paragraphs (5), (6), and (7) of this sub-
section as being described in this paragraph is a case in which the
net value of the property securing a defaulted loan exceeds the
amount of the total indebtedness under the loan minus the amount
guaranteed under this chapter.
(5) In a case described in paragraph (4) of this subsection, if
the holder of the defaulted loan acquires the property securing the
loan at a liquidation sale for an amount that does not exceed the
lesser of the net value of the property or the total indebtedness
under the loan—
(A) the holder shall have the option to convey the property
to the United States in return for payment by the Secretary of
an amount equal to the lesser of such net value or total indebt-
edness; and
(B) the liability of the United States under the loan guar-
anty under this chapter shall be limited to the amount of such
total indebtedness minus the net value of the property.
the holder of the defaulted loan does not acquire the property se-
curing the loan at the liquidation sale, the liability of the United
States under the loan guaranty under this chapter shall be limited
to the amount equal to (A) the amount of such total indebtedness,
minus (B) the amount realized by the holder incident to the sale
or the net value of the property, whichever is greater.
the holder of the defaulted loan acquires the property securing the
loan at the liquidation sale for an amount that exceeds the lesser
of the total indebtedness under the loan or the net value and—
(A)(i) the amount was the minimum amount for which,
under applicable State law, the property was permitted to be
sold at the liquidation sale, the holder shall have the option to
convey the property to the United States in return for payment
by the Secretary of an amount equal to the lesser of the
amount for which the holder acquired the property or the total
indebtedness under the loan; or
(ii) there was no minimum amount for which the property
had to be sold at the liquidation sale under applicable State
law, the holder shall have the option to convey the property to
the United States in return for payment by the Secretary of an
amount equal to the lesser of such net value or total indebted-
ness; and
anty under this chapter is as provided in paragraph (6) of this
subsection.
(8) If the net value of the property securing a defaulted loan
is not greater than the amount of the total indebtedness under the
loan minus the amount guaranteed under this chapter—
(A) the Secretary may not accept conveyance of the prop-
erty from the holder of the loan; and
anty shall be limited to the amount of the total indebtedness
under the loan minus the amount realized by the holder of the
loan incident to the sale at a liquidation sale of the property.
(9) In no event may the liability of the United States under a
guaranteed loan exceed the amount guaranteed with respect to
that loan under section 3703(b) of this title. All determinations
under this subsection of net value and total indebtedness shall be
made by the Secretary.
(10)(A) Except as provided in subparagraphs (B) and (C) of this
paragraph, the date referred to in paragraph (1)(D)(ii) of this sub-
section shall be the date of the liquidation sale of the property se-
curing the loan (or such earlier date following the expiration of a
reasonable period of time for such sale to occur as the Secretary
may specify pursuant to regulations prescribed by the Secretary to
implement this subsection).
(B)(i) Subject to division (ii) of this subparagraph, in any case
in which there is a substantial delay in such sale caused by the
holder of the loan exercising forebearance at the request of the Sec-
retary, the date referred to in paragraph (1)(D)(ii) of this subsection
shall be such date, on or after the date on which forebearance was
requested and prior to the date of such sale, as the Secretary speci-
fies pursuant to regulations which the Secretary shall prescribe to
implement this paragraph.
(ii) The Secretary may specify a date under subdivision (i) of
this subparagraph only if, based on the use of a date so specified
for the purposes of such paragraph (1)(D)(ii), the Secretary is au-
thorized, under paragraph (5)(A) or (7)(A) of this subsection, to ac-
cept conveyance of the property.
(C) In any case in which there is an excessive delay in such
liquidation sale caused—
(i) by the Department of Veterans Affairs (including any
delay caused by its failure to provide bidding instructions in a
timely fashion); or
(ii) by a voluntary case commenced under title 11, United
States Code (relating to bankruptcy);
the date referred to in paragraph (1)(D)(ii) of this subsection
shall be a date, earlier than the date of such liquidation sale,
which the Secretary specifies pursuant to regulations which
the Secretary shall prescribe to implement this paragraph.
(D) For the purpose of determining the liability of the United
States under a loan guaranty under paragraphs (5)(B), (6), (7)(B),
and (8)(B), the amount of the total indebtedness with respect to
such loan guaranty shall include, in any case in which there was
an excessive delay caused by the Department of Veterans Affairs
in the liquidation sale of the property securing such loan, any in-
terest which had accrued as of the date of such sale and which
would not be included, except for this subparagraph, in the calcula-
tion of such total indebtedness as a result of the specification of an
earlier date under subparagraph (C)(i) of this paragraph.
(11) This subsection shall apply to loans closed before October
1, 2012.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1212, Sec. 1816(a)–(c); Pub. L. 89–117, title
I, Sec. 107(f), Aug. 10, 1965, 79 Stat. 460; Pub. L. 94–324, Sec. 7(17), June 30, 1976,
90 Stat. 722; Pub. L. 98–369, div. B, title V, Sec. 2512(a), July 18, 1984, 98 Stat.
1117; Pub. L. 100–198, Sec. 4(a), 5(a), Dec. 21, 1987, 101 Stat. 1316; renumbered
Sec. 1832 and amended Pub. L. 100–322, title IV, Sec. 415(b)(1)(A)–(C), (5), May 20,
1988, 102 Stat. 550, 551; Pub. L. 101–237, title III, Sec. 304(b), 307–308(b)(1),
313(b)(1), (2), Dec. 18, 1989, 103 Stat. 2073–2075, 2077; Pub. L. 102–54, Sec. 1, 3(a),
14(g)(1), June 13, 1991, 105 Stat. 267, 288; renumbered Sec. 3732 and amended
XII, Sec. 12006(a), Aug. 10, 1993, 107 Stat. 414; Pub. L. 103–446, title IX, Sec. 907,
Nov. 2, 1994, 108 Stat. 4677; Pub. L. 105–33, title VIII, Sec. 8013, Aug. 5, 1997,
111 Stat. 664; Pub. L. 106–419, title IV, Sec. 402(c), Nov. 1, 2000, 114 Stat. 1863;
Pub. L. 107–103, title IV, Sec. 405(d), Dec. 27, 2001, 115 Stat. 994; Pub. L. 108–
183, title IV, Sec. 406, Dec. 16, 2003, 117 Stat. 2666; Pub. L. 109–233, title V, Sec.
503(9), June 15, 2006, 120 Stat. 416.)
§ 3733. Property management

(a)(1) Of the number of purchases made during any fiscal year
of real property acquired by the Secretary as the result of a default
on a loan guaranteed under this chapter for a purpose described in
section 3710(a) of this title, not more than 65 percent, nor less than
50 percent, of such purchases may be financed by a loan made by
the Secretary. The maximum percentage stated in the preceding
sentence may be increased to 80 percent for any fiscal year if the
Secretary determines that such an increase is necessary in order
to maintain the effective functioning of the loan guaranty program.
(2) After September 30, 1990, the percentage limitations de-
scribed in paragraph (1) of this subsection shall have no effect.
(3) The Secretary may, beginning on October 1, 1990, sell any
note evidencing a loan referred to in paragraph (1)—
(A) with recourse; or
(B) without recourse, but only if the amount received is
equal to an amount which is not less than the unpaid balance
of such loan.
(4)(A) Except as provided in subparagraph (B), the amount of
a loan made by the Secretary to finance the purchase of real prop-
erty from the Secretary described in paragraph (1) may not exceed
an amount equal to 95 percent of the purchase price of such real
property.
(B)(i) The Secretary may waive the provisions of subparagraph
(A) in the case of any loan described in paragraph (5).
(ii) A loan described in subparagraph (A) may, to the extent
the Secretary determines to be necessary in order to market com-
petitively the property involved, exceed 95 percent of the purchase
price.
(5) The Secretary may include, as part of a loan to finance a
purchase of real property from the Secretary described in para-
graph (1), an amount to be used only for the purpose of rehabili-
tating such property. Such amount may not exceed the amount nec-
essary to rehabilitate the property to a habitable state, and pay-
ments shall be made available periodically as such rehabilitation is
completed.
(6) The Secretary shall make a loan to finance the sale of real
property described in paragraph (1) at an interest rate that is
lower than the prevailing mortgage market interest rate in areas
where, and to the extent, the Secretary determines, in light of pre-
vailing conditions in the real estate market involved, that such
lower interest rate is necessary in order to market the property
competitively and is in the interest of the long-term stability and
solvency of the Veterans Housing Benefit Program Fund estab-

lished by section 3722(a) of this title.
(7) During the period that begins on December 16, 2003 and
ends on September 30, 2013, the Secretary shall carry out the pro-
visions of this subsection as if—
(A) the references in the first sentence of paragraph (1) to
‘‘65 percent’’ and ‘‘may be financed’’ were references to ‘‘85 per-
cent’’ and ‘‘shall be financed’’, respectively;
(B) the second sentence of paragraph (1) were repealed;
and
(C) the reference in paragraph (2) to ‘‘September 30, 1990,’’
were a reference to ‘‘September 30, 2013,’’.
(b) The Secretary may not make a loan to finance a purchase
of property acquired by the Secretary as a result of a default on
a loan guaranteed under this chapter unless the purchaser meets
the credit underwriting standards established under section
3710(g)(2)(A) of this title.
(c)(1) The Secretary shall identify and compile information on
common factors which the Secretary finds contribute to foreclosures
on loans guaranteed under this chapter.
(2) The Secretary shall include a summary of the information
compiled, and the Secretary’s findings, under paragraph (1) in the
annual report submitted to the Congress under section 529 of this
title. As part of such summary and findings, the Secretary shall
provide a separate analysis of the factors which contribute to fore-
closures of loans which have been assumed.
(d)(1) The Secretary shall furnish to real estate brokers and
other real estate sales professionals information on the availability
of real property for disposition under this chapter and the proce-
dures used by the Department of Veterans Affairs to dispose of
such property.
(2) For the purpose of facilitating the most expeditious sale, at
the highest possible price, of real property acquired by the Sec-
retary as the result of a default on a loan guaranteed, insured, or
made under this chapter, the Secretary shall list all such property
with real estate brokers under such arrangements as the Secretary
determines to be most appropriate and cost effective.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1212, Sec. 1816(d)–(f), 1832; Pub. L. 98–
369, div. B, title V, Sec. 2512(a)(2), July 18, 1984, 98 Stat. 1117; Pub. L. 99–576,
title IV, Sec. 402(c)(1), 403, 408(a), Oct. 28, 1986, 100 Stat. 3281, 3283; Pub. L. 100–
136, Sec. 2, Oct. 16, 1987, 101 Stat. 813; Pub. L. 100–198, Sec. 6(a)(1), (b)(1), 14,
Dec. 21, 1987, 101 Stat. 1317, 1318, 1325; Pub. L. 100–203, title VII, Sec. 7001,
7003(a), Dec. 22, 1987, 101 Stat. 1330–278, 1330–279; Pub. L. 100–253, Sec. 2, Feb.
29, 1988, 102 Stat. 20; renumbered Sec. 1833 and amended Pub. L. 100–322, title
IV, Sec. 415(b)(1)(D), (5)(B), (C), May 20, 1988, 102 Stat. 550, 551; Pub. L. 100–689,
title III, Sec. 301, Nov. 18, 1988, 102 Stat. 4176; Pub. L. 101–237, title III, Sec.
305(a), 313(b)(1), (2), Dec. 18, 1989, 103 Stat. 2073, 2077; Pub. L. 101–239, title V,
Sec. 5002, 5003(a), Dec. 19, 1989, 103 Stat. 2136; Pub. L. 102–54, Sec. 2, 14(g)(1),
15(a)(5), June 13, 1991, 105 Stat. 267, 288, 289; renumbered Sec. 3733 and amended
Pub. L. 102–83, Sec. 2(c)(3), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 402, 406; Pub. L.
102–291, Sec. 5(b), May 20, 1992, 106 Stat. 180; Pub. L. 105–368, title VI, Sec.
602(c)(2), (e)(1)(E), Nov. 11, 1998, 112 Stat. 3346; Pub. L. 108–183, title IV, Sec. 404,
Dec. 16, 2003, 117 Stat. 2664; Pub. L. 109–233, title V, Sec. 503(10), June 15, 2006,
120 Stat. 416.)
§ 3734. Annual submission of information on the Veterans

Housing Benefit Program Fund and housing pro-
grams
(a) In the documents providing detailed information on the
budget for the Department of Veterans Affairs that the Secretary
submits to the Congress in conjunction with the President’s budget
submission for each fiscal year pursuant to section 1105 of title 31,
the Secretary shall include—
(1) a description of the operations of the Veterans Housing
Benefit Program Fund and the Guaranty and Indemnity Fund
during the fiscal year preceding the fiscal year in which such
budget is submitted; and
(2) the needs of such fund, if any, for appropriations for—
(A) the fiscal year in which the budget is submitted;
and
(B) the fiscal year for which the budget is submitted.
(b) The matters submitted under subsection (a) of this section
shall include, with respect to the fund referred to in subsection (a),
the following:
(1) Information and financial data on the operations of the
fund during the fiscal year before the fiscal year in which such
matters are submitted and estimated financial data and re-
lated information on the operation of the fund for—
(A) the fiscal year of the submission; and
(B) the fiscal year following the fiscal year of the sub-
mission.
(2) Estimates of the amount of revenues derived by the
fund in the fiscal year preceding the fiscal year of the submis-
sion, in the fiscal year of the submission, and in the fiscal year
following the fiscal year of the submission from each of the fol-
lowing sources:
(A) Fees collected under section 3729(a) of this title for
each category of loan guaranteed, insured, or made under
this chapter or collected under section 3729(b) of this title
for assumed loans.
(B) Investment income.
(C) Sales of foreclosed properties.
(D) Loan asset sales.
(E) Each additional source of revenue.
(3) Information, for each fiscal year referred to in para-
graph (2) of this subsection, regarding the types of dispositions
made and anticipated to be made of defaults on loans guaran-
teed, insured, or made under this chapter, including the cost
to the fund, and the numbers, of such types of dispositions.
(c) The information submitted under subsection (a) shall in-
clude a statement that summarizes the financial activity of each of
the housing programs operated under this chapter. The statement
shall be presented in a form that is simple, concise, and readily un-
derstandable, and shall not include references to financing ac-
counts, liquidating accounts, or program accounts.
(Added Pub. L. 101–237, title III, Sec. 302(b)(1), Dec. 18, 1989, 103 Stat. 2070, Sec.
1991, 105 Stat. 406; Pub. L. 105–368, title VI, Sec. 602(d), (e)(1)(F), (3)(A), Nov. 11,
1998, 112 Stat. 3346, 3347; Pub. L. 107–14, Sec. 8(a)(9), June 5, 2001, 115 Stat. 35;
Pub. L. 107–330, title III, Sec. 308(g)(12), Dec. 6, 2002, 116 Stat. 2829.)
ø§ 3735. Renumbered 2041¿

§ 3736. Reporting requirements
The annual report required by section 529 of this title shall in-
clude a discussion of the activities under this chapter. Beginning
with the report submitted at the close of fiscal year 1996, and
every second year thereafter, this discussion shall include informa-
tion regarding the following:
(1) Loans made to veterans whose only qualifying service
was in the Selected Reserve.
(2) Interest rates and discount points which were nego-
tiated between the lender and the veteran pursuant to section
3703(c)(4)(A)(i) of this title.
(3) The determination of reasonable value by lenders pur-
suant to section 3731(f) of this title.
(4) Loans that include funds for energy efficiency improve-
ments pursuant to section 3710(a)(10) of this title.
(5) Direct loans to Native American veterans made pursu-
ant to subchapter V of this chapter.
(Added Pub. L. 104–110, title II, Sec. 201(a)(1), Feb. 13, 1996, 110 Stat. 770.)

(1) The term ‘‘disabled veteran’’ means (A) a veteran who
is entitled to compensation under laws administered by the
Secretary for a disability rated at 30 percent or more, or (B)
a veteran whose discharge or release from active duty was for
a disability incurred or aggravated in line of duty.
(2) The term ‘‘veteran of the Vietnam era’’ means a person
(A) who served on active duty for a period of more than 180
days, any part of which occurred during the Vietnam era, and
who was discharged or released therefrom with other than a
dishonorable discharge, or (B) who was discharged or released
from active duty for a service-connected disability if any part
of such active duty was performed during the Vietnam era.
amended Pub. L. 99–576, title VII, Sec. 702(9), Oct. 28, 1986, 100 Stat. 3302; re-
numbered Sec. 3741 and amended Pub. L. 102–83, Sec. 4(a)(1), 5(a), Aug. 6, 1991,
105 Stat. 403, 406.)
§ 3742. Small business loan program

(a)(1) Subject to subsection (b) of this section, the Secretary
may provide financial assistance to veterans’ small business con-
cerns for the purpose of (A) financing plant construction, conver-
sion, or expansion (including the acquisition of land), (B) financing
the acquisition of equipment, facilities, machinery, supplies, or ma-
terials, or (C) supplying such concerns with working capital.
(2) Subject to paragraph (3)(A) of this subsection, financial as-
sistance under this section may be provided in the form of (A) loan
guaranties, or (B) direct loans.
(3) The Secretary shall specify in regulations the criteria to be

met for a business concern to qualify as a veterans’ small business
concern for the purposes of this subchapter. Such regulations shall
include requirements—
(A) that at least 51 percent of a business concern must be
owned by individuals who are veterans of the Vietnam era or
disabled veterans in order for such concern to qualify for a loan
guaranty and that at least 51 percent of a business concern
must be owned by disabled veterans in order for such concern
to qualify for a direct loan; and
(B) that the management and daily business operations of
the concern must be directed by one or more of the veterans
whose ownership interest is part of the majority ownership for
the purposes of meeting the requirement in clause (A) of this
paragraph.
(b) The availability of financial assistance under subsection (a)
of this section is subject to the following limitations:
(1) The Secretary may not make a direct loan under this
section unless the veterans’ small business concern applying
for the loan shows to the satisfaction of the Secretary that the
concern is unable to obtain a loan guaranteed by the Depart-
ment under this section or made or guaranteed by the Small
Business Administration.
(2) The Secretary may not guarantee a loan under this sec-
tion if the loan bears a rate of interest in excess of the max-
imum rate of interest prescribed under section 3745 of this
title.
(3) The Secretary may not make or guarantee a loan under
this section for an amount in excess of $200,000.
(4) The original liability of the Secretary on any loan guar-
anteed under this section may not exceed 90 percent of the
amount of the loan, and such liability shall decrease or in-
crease pro rata with any decrease or increase of the amount of
the unpaid portion of the loan, but such liability may not ex-
ceed the amount of the original guaranty.
(c) Each loan made or guaranteed under this subchapter shall
be of such sound value, taking into account the creditworthiness of
the veterans’ small business concern (and the individual owners)
applying for such loan, or so secured as reasonably to assure pay-
ment.
the Secretary may not make or guarantee a loan under this sub-
chapter to a veterans’ small business concern in which an owner-
ship interest is held by a veteran who also has an ownership inter-
est in another small business concern if such ownership interest
was considered in qualifying that other concern for an outstanding
loan made or guaranteed under this subchapter or the Small Busi-
ness Act (15 U.S.C. 631 et seq.).
(2) Paragraph (1) of this subsection shall not apply if 51 per-
cent or more of the business concern seeking a direct or guaranteed
loan under this subchapter is owned by veterans of the Vietnam
era or disabled veterans without including the ownership interest
of the veteran whose ownership interest in another small business
concern was previously considered in qualifying that other concern
for an outstanding guaranteed or direct business loan under this

subchapter or the Small Business Act (15 U.S.C. 631 et seq.).
(e)(1) In order to protect the interest of the United States, upon
application by a veterans’ small business concern which is the re-
cipient of a loan guaranteed under this subchapter, the Secretary
(subject to the provisions of this subsection) may undertake the
veterans’ small business concern’s obligation to make payments
under such loan or, if the loan was a direct loan made by the Sec-
retary, may suspend such obligation. While such payments are
being made by the Secretary pursuant to the undertaking of such
obligation or while such obligation is suspended, no such payment
with respect to the loan may be required from the concern.
(2) The Secretary may undertake or suspend a veterans’ small
business concern’s obligation under this subsection only if—
(A) such undertaking or suspension of the obligation is, in
the judgment of the Secretary, necessary to protect the interest
of the United States;
(B) with the undertaking or suspension of the obligation,
the small business concern would, in the judgment of the Sec-
retary, become or remain a viable small business entity; and
(C) the small business concern executes an agreement in
writing satisfactory to the Secretary as provided by paragraph
(4) of this subsection.
(3) The period of time for which the Secretary undertakes or
suspends the obligation on a loan under this subsection may not
exceed five years. The Secretary may extend the maturity of any
loan on which the Secretary undertakes or suspends the obligation
under this subsection for a corresponding period of time.
(4)(A) Before the Secretary may undertake or suspend a vet-
erans’ small business concern’s obligation under this subsection,
the Secretary shall require the small business concern to execute
an agreement to repay the aggregate amount of the payments
which were required under the loan during the period for which
the obligation was undertaken or suspended—
(i) by periodic payments not less in amount or less fre-
quently falling due than those which were due under the loan
during such period,
(ii) pursuant to a repayment schedule agreed upon by the
Secretary and the small business concern, or
(iii) by a combination of the method of payments described
in clauses (i) and (ii) of this subparagraph.
(B) In addition to requiring the small business concern to exe-
cute the agreement described in subparagraph (A) of this para-
graph, the Secretary shall, before the undertaking or suspension of
the obligation, take such action and require the small business con-
cern to take such action as the Secretary considers appropriate in
the circumstances, including the provision of such security as the
Secretary considers necessary or appropriate, to assure that the
rights and interest of the United States and any lender will be
safeguarded adequately during and after the period in which such
obligation is so undertaken or suspended.
amended Pub. L. 99–576, title VII, Sec. 702(10), Oct. 28, 1986, 100 Stat. 3302; Pub.
3742 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), 5(a), (c)(1), Aug. 6, 1991, 105
Stat. 404, 406.)
§ 3743. Liability on loans

Each individual who has an ownership interest in a veterans’
small business concern that is provided a direct loan under this
subchapter, or that obtains a loan guaranteed under this sub-
chapter, shall execute a note or other document evidencing the di-
rect or guaranteed business loan, and such individuals shall be
jointly and severally liable to the United States for the amount of
such direct loan or, in the case of a guaranteed loan, for any
amount paid by the Secretary on account of such loan.
§ 3744. Approval of loans by the Secretary

(a) Except as provided in subsection (b) of this section, a loan
may not be guaranteed under this subchapter unless, before the
closing of the loan, it is submitted to the Secretary for approval
and the Secretary grants approval.
(b) The Secretary may exempt any lender of a class of lenders
listed in section 3702(d) of this title from the prior approval re-
quirement in subsection (a) of this section if the Secretary deter-
mines that the experience of such lender or class of lenders war-
rants such exemption.
(c) The Secretary may at any time upon thirty days’ notice re-
quire loans to be made by any lender or class of lenders under this
subchapter to be submitted to the Secretary for prior approval. No
guaranty shall exist with respect to any such loan unless evidence
of the guaranty is issued by the Secretary.
105 Stat. 406.)
§ 3745. Interest on loans

(a) Loans guaranteed under this subchapter shall bear interest
not in excess of such rate as the Secretary may from time to time
find the loan market demands. In establishing the rate of interest
that shall be applicable to such loans, the Secretary shall consult
with the Administrator of the Small Business Administration.
(b) The rate of interest on any direct loan made by the Sec-
retary under this subchapter may not exceed the maximum rate in
effect under subsection (a) of this section at the time the direct loan
is made.
6, 1991, 105 Stat. 404–406; Pub. L. 103–446, title XII, Sec. 1201(a)(3), Nov. 2, 1994,
108 Stat. 4682.)
§ 3746. Maturity of loans

The maturity of a loan made or guaranteed under this sub-
chapter that is used in whole or in part for the construction, con-
version, or expansion of facilities or for acquisition of real property

may not exceed twenty years plus such additional reasonable time
as the Secretary may determine, at the time the loan is made, is
required to complete the construction, acquisition, or expansion of
such facilities. The maturity of any other loan made or guaranteed
under this subchapter may not exceed ten years.
§ 3747. Eligible financial institutions

The Secretary may not guarantee under this subchapter a loan
made by an entity not subject to examination and supervision by
an agency of the United States or of a State.
§ 3748. Preference for disabled veterans

In the extension of financial assistance under this subchapter,
the Secretary shall give preference, first, to veterans’ small busi-
ness concerns in which disabled veterans who have successfully
completed a vocational rehabilitation program for self-employment
in a small business enterprise under chapter 31 of this title have
a significant ownership interest, and, second, to veterans’ small
business concerns in which other disabled veterans have a signifi-
cant ownership interest.
§ 3749. Revolving fund

(a) There is established in the Treasury a revolving fund to be
known as the ‘‘Department of Veterans Affairs Small Business
Loan Revolving Fund’’ (hereinafter in this section referred to as the
‘‘fund’’).
(b) Amounts in the fund shall be available to the Secretary
without fiscal year limitation for all loan guaranty and direct loan
operations under this subchapter other than administrative ex-
penses and may not be used for any other purpose.
(c)(1) There is authorized to be appropriated to the fund a total
of $25,000,000.
(2) There shall be deposited into the fund all amounts received
by the Secretary derived from loan operations under this sub-
chapter, including all collection of principal and interest and the
proceeds from the use of property held or of property sold.
(d) The Secretary shall determine annually whether there has
developed in the fund a surplus which, in the Secretary’s judgment,
is more than necessary to meet the needs of the fund. Any such
surplus shall immediately be transferred into the general fund of
the Treasury.
(e) Not later than two years after the termination of the au-
thority of the Secretary to make new commitments for financial as-
sistance under this subchapter, the Secretary shall transfer into
the general fund of the Treasury all amounts in the fund except
those that the Secretary determines may be required for the liq-
uidation of obligations under this subchapter. All amounts received
thereafter derived from loan operations under this subchapter, ex-
cept so much thereof as the Secretary may determine to be nec-
essary for liquidating outstanding obligations under this sub-
chapter, shall also be so deposited.
amended Pub. L. 99–576, title VII, Sec. 702(11), Oct. 28, 1986, 100 Stat. 3302; Pub.
3749 and amended Pub. L. 102–83, Sec. 4(a)(2)(B)(v), 5(a), Aug. 6, 1991, 105 Stat.
403, 406.)
§ 3750. Incorporation of other provisions by the Secretary
The Secretary may provide that the provisions of sections of
other subchapters of this chapter that are not otherwise applicable
to loans made or guaranteed under this subchapter shall be appli-
cable to loans made or guaranteed under this subchapter. The Sec-
retary shall exercise authority under the preceding sentence by
regulations prescribed after publication in the Federal Register and
a period of not less than thirty days for public comment.
§ 3751. Termination of program
The Secretary may not make commitments for financial assist-
ance under this subchapter after September 30, 1986.
SUBCHAPTER V—DIRECT HOUSING LOANS FOR NATIVE

AMERICAN VETERANS
§ 3761. Direct housing loans to Native American veterans;
program authority
(a) The Secretary shall make direct housing loans to Native
American veterans. The purpose of such loans is to permit such
veterans to purchase, construct, or improve dwellings on trust land.
The Secretary shall make such loans in accordance with the provi-
sions of this subchapter.
(b) The Secretary shall, to the extent practicable, make direct
housing loans to Native American veterans who are located in a va-
riety of geographic areas and in areas experiencing a variety of eco-
nomic circumstances.
(Added Pub. L. 102–547, Sec. 8(a), Oct. 28, 1992, 106 Stat. 3636; amended Pub. L.
105–114, title II, Sec. 201(a), Nov. 21, 1997, 111 Stat. 2282; Pub. L. 107–103, title
IV, Sec. 402(a), Dec. 27, 2001, 115 Stat. 993; Pub. L. 108–454, title IV, Sec. 407,
Dec. 10, 2004, 118 Stat. 3617; Pub. L. 109–233, title I, Sec. 103(a), (f)(2), June 15,
2006, 120 Stat. 399, 400.)
§ 3762. Direct housing loans to Native American veterans;

program administration
(a) The Secretary may make a direct housing loan to a Native
American veteran under this subchapter if—
(1)(A) the Secretary has entered into a memorandum of

understanding with respect to such loans with the tribal orga-
nization that has jurisdiction over the veteran; or
(B) the tribal organization that has jurisdiction over the
veteran has entered into a memorandum of understanding
with any department or agency of the United States with re-
spect to direct housing loans to Native Americans that the Sec-
retary determines substantially complies with the require-
ments of subsection (b); and
(2) the memorandum is in effect when the loan is made.
(b)(1) Subject to paragraph (2), the Secretary shall ensure that
each memorandum of understanding that the Secretary enters into
with a tribal organization shall provide for the following:
(A) That each Native American veteran who is under the
jurisdiction of the tribal organization and to whom the Sec-
retary makes a direct loan under this subchapter—
(i) holds, possesses, or purchases using the proceeds of
the loan a meaningful interest in a lot or dwelling (or both)
that is located on trust land; and
(ii) will purchase, construct, or improve (as the case
may be) a dwelling on the lot using the proceeds of the
loan.
(B) That each such Native American veteran will convey to
the Secretary by an appropriate instrument the interest re-
ferred to in subparagraph (A) as security for a direct housing
loan under this subchapter.
(C) That the tribal organization and each such Native
American veteran will permit the Secretary to enter upon the
trust land of that organization or veteran for the purposes of
carrying out such actions as the Secretary determines are nec-
essary—
(i) to evaluate the advisability of the loan; and
(ii) to monitor any purchase, construction, or improve-
ments carried out using the proceeds of the loan.
(D) That the tribal organization has established standards
and procedures that apply to the foreclosure of the interest
conveyed by a Native American veteran pursuant to subpara-
graph (B), including—
(i) procedures for foreclosing the interest; and
(ii) procedures for the resale of the lot or the dwelling
(or both) purchased, constructed, or improved using the
proceeds of the loan.
(E) That the tribal organization agrees to such other terms
and conditions with respect to the making of direct loans to
Native American veterans under the jurisdiction of the tribal
organization as the Secretary may require in order to ensure
that loans under this subchapter are made in a responsible
and prudent manner.
(2) The Secretary may not enter into a memorandum of under-
standing with a tribal organization under this subsection unless
the Secretary determines that the memorandum provides for such
standards and procedures as are necessary for the reasonable pro-
tection of the financial interests of the United States.
(c)(1)(A) Except as provided in subparagraph (B), the principal

amount of any direct housing loan made to a Native American vet-
eran under this section may not exceed $80,000.
(B)(i) Subject to clause (ii), the Secretary may make loans ex-
ceeding the amount specified in subparagraph (A) in a geographic
area if the Secretary determines that housing costs in the area are
significantly higher than average housing costs nationwide. The
amount of such increase shall be the amount that the Secretary de-
termines is necessary in order to make direct housing loans under
this subchapter to Native American veterans who are located in a
variety of geographic areas and in geographic areas experiencing a
variety of economic conditions.
(ii) The amount of a loan made by the Secretary under this
subchapter may not exceed the maximum loan amount authorized
for loans guaranteed under section 3703(a)(1)(C) of this title.
(2) Loans made under this section shall bear interest at a rate
determined by the Secretary, which rate may not exceed the appro-
priate rate authorized for guaranteed loans under section
3703(c)(1) or section 3712(f) of this title, and shall be subject to
such requirements or limitations prescribed for loans guaranteed
under this title as the Secretary may prescribe.
(3) Notwithstanding section 3704(a) of this title, the Secretary
shall establish minimum requirements for planning, construction,
improvement, and general acceptability relating to any direct loan
made under this section.
(d)(1) The Secretary shall establish credit underwriting stand-
ards to be used in evaluating loans made under this subchapter.
In establishing such standards, the Secretary shall take into ac-
count the purpose of this program to make available housing to Na-
tive American veterans living on trust lands.
(2) The Secretary shall determine the reasonable value of the
interest in property that will serve as security for a loan made
under this section and shall establish procedures for appraisals
upon which the Secretary may base such determinations. The pro-
cedures shall incorporate generally the relevant requirements of
section 3731 of this title, unless the Secretary determines that such
requirements are impracticable to implement in a geographic area,
on particular trust lands, or under circumstances specified by the
Secretary.
(e) Loans made under this section shall be repaid in monthly
installments.
(f) In connection with any loan under this section, the Sec-
retary may make advances in cash to provide for repairs, alter-
ations, and improvements and to meet incidental expenses of the
loan transaction. The Secretary shall determine the amount of any
expenses incident to the origination of loans made under this sec-
tion, which expenses, or a reasonable flat allowance in lieu thereof,
shall be paid by the veteran in addition to the loan closing costs.
(g) Without regard to any provision of this chapter (other than
a provision of this section), the Secretary may—
(1) take any action that the Secretary determines to be
necessary with respect to the custody, management, protection,
and realization or sale of investments under this section;
(2) determine any necessary expenses and expenditures

and the manner in which such expenses and expenditures shall
be incurred, allowed, and paid;
(3) make such rules, regulations, and orders as the Sec-
retary considers necessary for carrying out the Secretary’s
functions under this section; and
(4) in a manner consistent with the provisions of this chap-
ter and with the Secretary’s functions under this subchapter,
employ, utilize, and compensate any persons, organizations, or
departments or agencies (including departments and agencies
of the United States) designated by the Secretary to carry out
such functions.
(h)(1) The Secretary may make direct loans to Native American
veterans in order to enable such veterans to refinance existing
loans made under this section.
(2)(A) The Secretary may not make a loan under this sub-
section unless the loan meets the requirements set forth in sub-
paragraphs (B), (C), and (E) of paragraph (1) of section 3710(e) of
this title.
(B) The Secretary may not make a loan under this subsection
unless the loan will bear an interest rate at least one percentage
point less than the interest rate borne by the loan being refinanced.
(C) Paragraphs (2) and (3) of such section 3710(e) shall apply
to any loan made under this subsection, except that for the pur-
poses of this subsection the reference to subsection (a)(8) of section
3710 of this title in such paragraphs (2) and (3) shall be deemed
to be a reference to this subsection.
(i)(1) The Secretary shall, in consultation with tribal organiza-
tions (including the National Congress of American Indians and the
National American Indian Housing Council), carry out an outreach
program to inform and educate Native American veterans of the
availability of direct housing loans for Native American veterans
who live on trust lands.
(2) Activities under the outreach program shall include the fol-
lowing:
(A) Attending conferences and conventions conducted by
the National Congress of American Indians in order to work
with the National Congress in providing information and train-
ing to tribal organizations and Native American veterans re-
garding the availability of housing benefits under this sub-
chapter and in assisting such organizations and veterans with
respect to such housing benefits.
(B) Attending conferences and conventions conducted by
the National American Indian Housing Council in order to
work with the Housing Council in providing information and
training to tribal organizations and tribal housing entities re-
garding the availability of such benefits.
(C) Attending conferences and conventions conducted by
the Department of Hawaiian Homelands in order to work with
the Department of Hawaiian Homelands in providing informa-
tion and training to tribal housing entities in Hawaii regarding
the availability of such benefits.
(D) Producing and disseminating information to tribal gov-

ernments, tribal veterans service organizations, and tribal or-
ganizations regarding the availability of such benefits.
(E) Assisting tribal organizations and Native American
veterans with respect to such benefits.
(F) Outstationing loan guarantee specialists in tribal facili-
ties on a part-time basis if requested by the tribal government.
(j) The Secretary shall include as part of the annual benefits
report of the Veterans Benefits Administration information con-
cerning the cost and number of loans provided under this sub-
chapter for the fiscal year covered by the report.
104–275, title II, Sec. 202(a), Oct. 9, 1996, 110 Stat. 3330; Pub. L. 105–114, title
II, Sec. 201(b), (c), Nov. 21, 1997, 111 Stat. 2282, 2283; Pub. L. 107–103, title IV,
Sec. 402(b), (c), Dec. 27, 2001, 115 Stat. 993; Pub. L. 109–233, title I, Sec. 103(b),
(c)(1), (d), (e), (f)(3), June 15, 2006, 120 Stat. 400, 401.)
§ 3763. Native American Veteran Housing Loan Program Ac-
count
(a) There is hereby established in the Treasury of the United
States an account known as the ‘‘Native American Veteran Hous-
ing Loan Program Account’’ (hereinafter in this subchapter referred
to as the ‘‘Account’’).
(b) The Account shall be available to the Secretary to carry out
all operations relating to the making of direct housing loans to Na-
tive American veterans under this subchapter, including any ad-
ministrative expenses relating to the making of such loans.
Amounts in the Account shall be available without fiscal year limi-
tation.
105–368, title VI, Sec. 602(e)(3)(B), Nov. 11, 1998, 112 Stat. 3347; Pub. L. 107–14,
Sec. 8(a)(16), June 5, 2001, 115 Stat. 35.)
§ 3764. Qualified non-Native American veterans
(a) TREATMENT OF NON-NATIVE AMERICAN VETERANS.—Subject
to the succeeding provisions of this section, for purposes of this
subchapter—
(1) a qualified non-Native American veteran is deemed to
be a Native American veteran; and
(2) for purposes of applicability to a non-Native American
veteran, any reference in this subchapter to the jurisdiction of
a tribal organization over a Native American veteran is
deemed to be a reference to jurisdiction of a tribal organization
over the Native American spouse of the qualified non-Native
American veteran.
(b) USE OF LOAN.—In making direct loans under this sub-
chapter to a qualified non-Native American veteran by reason of
eligibility under subsection (a), the Secretary shall ensure that the
tribal organization permits, and the qualified non-Native American
veteran actually holds, possesses, or purchases, using the proceeds
of the loan, jointly with the Native American spouse of the quali-
fied non-Native American veteran, a meaningful interest in the lot,
dwelling, or both, that is located on trust land.
(c) RESTRICTIONS IMPOSED BY TRIBAL ORGANIZATIONS.—Noth-
ing in subsection (b) shall be construed as precluding a tribal orga-
nization from imposing reasonable restrictions on the right of the

qualified non-Native American veteran to convey, assign, or other-
wise dispose of such interest in the lot or dwelling, or both, if such
restrictions are designed to ensure the continuation in trust status
of the lot or dwelling, or both. Such requirements may include the
termination of the interest of the qualified non-Native American
veteran in the lot or dwelling, or both, upon the dissolution of the
marriage of the qualified non-Native American veteran to the Na-
tive American spouse.
(Added Pub. L. 109–233, title I, Sec. 104(a)(2), June 15, 2006, 120 Stat. 401.)
(1) The term ‘‘trust land’’ means any land that—
(A) is held in trust by the United States for Native
Americans;
(B) is subject to restrictions on alienation imposed by
the United States on Indian lands (including native Ha-
waiian homelands);
(C) is owned by a Regional Corporation or a Village
Corporation, as such terms are defined in section 3(g) and
3(j) of the Alaska Native Claims Settlement Act, respec-
tively (43 U.S.C. 1602(g), (j)); or
(D) is on any island in the Pacific Ocean if such land
is, by cultural tradition, communally-owned land, as deter-
mined by the Secretary.
(2) The term ‘‘Native American veteran’’ means any vet-
eran who is a Native American.
(3) The term ‘‘Native American’’ means—
(A) an Indian, as defined in section 4(d) of the Indian
Self-Determination and Education Assistance Act (25
U.S.C. 450b(d));
(B) a native Hawaiian, as that term is defined in sec-
tion 201(a)(7) of the Hawaiian Homes Commission Act,
1920 (Public Law 67–34; 42 Stat. 108);
(C) an Alaska Native, within the meaning provided for
the term ‘‘Native’’ in section 3(b) of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602(b)); and
(D) a Pacific Islander, within the meaning of the Na-
tive American Programs Act of 1974 (42 U.S.C. 2991 et
seq.).
(4) The term ‘‘tribal organization’’ shall have the meaning
given such term in section 4(l) of the Indian Self-Determina-
tion and Education Assistance Act (25 U.S.C. 450b(l)) and shall
include the Department of Hawaiian Homelands, in the case of
native Hawaiians, and such other organizations as the Sec-
retary may prescribe.
(5) The term ‘‘qualified non-Native American veteran’’
means a veteran who—
(A) is the spouse of a Native American, but (B) is not
a Native American.
(Added Pub. L. 102–547, Sec. 8(a), Oct. 28, 1992, 106 Stat. 3639, Sec. 3764; renum-
bered Sec. 3765 and amended Pub. L. 109–233, title I, Sec. 104(a)(1), (b), June 15,
2006, 120 Stat. 401, 402.)
SUBCHAPTER VI—TRANSFERRED
ø§ 3771. Repealed. Pub. L. 107–95, Sec. 5(d)(3), Dec. 21, 2001,
115 Stat. 918¿
ø§§ 3772 to 3775. Renumbered 2051 to 2054¿
641
CHAPTER 39—AUTOMOBILES AND ADAPTIVE EQUIP-
MENT FOR CERTAIN DISABLED VETERANS AND MEM-
BERS OF THE ARMED FORCES
Sec.
3901. Definitions.
3902. Assistance for providing automobile and adaptive equipment.
3903. Limitations on assistance; special training courses.
3904. Research and development.
For purposes of this chapter—
(1) The term ‘‘eligible person’’ means—
(A) any veteran entitled to compensation under chapter 11
of this title for any of the disabilities described in subclause (i),
(ii), or (iii) below, if the disability is the result of an injury in-
curred or disease contracted in or aggravated by active mili-
tary, naval, or air service:
(i) The loss or permanent loss of use of one or both
feet;
(ii) The loss or permanent loss of use of one or both
hands;
(iii) The permanent impairment of vision of both eyes
of the following status: central visual acuity of 20/200 or
less in the better eye, with corrective glasses, or central
visual acuity of more than 20/200 if there is a field defect
in which the peripheral field has contracted to such an ex-
tent that the widest diameter of visual field subtends an
angular distance no greater than twenty degrees in the
better eye; or
(B) any member of the Armed Forces serving on active
duty who is suffering from any disability described in sub-
clause (i), (ii), or (iii) of clause (A) of this paragraph if such dis-
ability is the result of an injury incurred or disease contracted
in or aggravated by active military, naval, or air service.
(2) The term ‘‘adaptive equipment’’ includes, but is not limited
to, power steering, power brakes, power window lifts, power seats,
and special equipment necessary to assist the eligible person into
and out of the automobile or other conveyance. Such term also in-
cludes (A) air-conditioning equipment when such equipment is nec-
essary to the health and safety of the veteran and to the safety of
others, regardless of whether the automobile or other conveyance
is to be operated by the eligible person or is to be operated for such
person by another person; and (B) any modification of the size of
643
Sec. 3902 CH. 39—AUTOMOBILES AND ADAPTIVE EQUIPMENT 644
the interior space of the automobile or other conveyance if needed

because of the physical condition of such person in order for such
person to enter or operate the vehicle.
(Added Pub. L. 91–666, Sec. 2(a), Jan. 11, 1971, 84 Stat. 1998, Sec. 1901; amended
Pub. L. 93–538, Sec. 2, Dec. 22, 1974, 88 Stat. 1736; Pub. L. 94–433, title III, Sec.
303, Sept. 30, 1976, 90 Stat. 1377; Pub. L. 95–116, Sec. 1(a), Oct. 3, 1977, 91 Stat.
§ 3902. Assistance for providing automobile and adaptive

equipment
(a) The Secretary, under regulations which the Secretary shall
prescribe, shall provide or assist in providing an automobile or
other conveyance to each eligible person by paying the total pur-
chase price of the automobile or other conveyance (including all
State, local, and other taxes) or $11,000, whichever is the lesser,
to the seller from whom the eligible person is purchasing under a
sales agreement between the seller and the eligible person.
(b)(1) The Secretary, under regulations which the Secretary
shall prescribe, shall provide each eligible person the adaptive
equipment deemed necessary to insure that the eligible person will
be able to operate the automobile or other conveyance in a manner
consistent with such person’s own safety and the safety of others
and so as to satisfy the applicable standards of licensure estab-
lished by the State of such person’s residency or other proper li-
censing authority.
(2) In the case of any veteran (other that a person eligible for
assistance under paragraph (1) of this subsection) who is entitled
to compensation for ankylosis of one or both knees, or one or both
hips, the Secretary, under the terms and conditions set forth in
subsections (a), (c), and (d) of section 3903 of this title and under
regulations which the Secretary shall prescribe, shall provide such
adaptive equipment to overcome the disability resulting from such
ankylosis as (A) is necessary to meet the applicable standards of
licensure established by the State of such veteran’s residency or
other proper licensing authority for the operation of such veteran’s
automobile or other conveyance by such veteran, and (B) is deter-
mined to be necessary by the Under Secretary for Health for the
safe operation of such automobile or other conveyance by such vet-
eran.
(c) In accordance with regulations which the Secretary shall
prescribe, the Secretary shall (1) repair, replace, or reinstall adapt-
ive equipment deemed necessary for the operation of an automobile
or other conveyance acquired in accordance with the provisions of
this chapter, and (2) provide, repair, replace, or reinstall such
adaptive equipment for any automobile or other conveyance which
an eligible person may previously or subsequently have acquired.
(d) If an eligible person cannot qualify to operate an auto-
mobile or other conveyance, the Secretary shall provide or assist in
providing an automobile or other conveyance to such person, as
provided in subsection (a) of this section, if the automobile or other
conveyance is to be operated for the eligible person by another per-
son.
Pub. L. 93–538, Sec. 3, Dec. 22, 1974, 88 Stat. 1736; Pub. L. 95–479, title III, Sec.
645 CH. 39—AUTOMOBILES AND ADAPTIVE EQUIPMENT Sec. 3903
304, Oct. 18, 1978, 92 Stat. 1565; Pub. L. 97–66, title III, Sec. 301–303, Oct. 17,
1981, 95 Stat. 1030; Pub. L. 98–543, title III, Sec. 305(a), Oct. 24, 1984, 98 Stat.
2748; Pub. L. 100–322, title III, Sec. 302, May 20, 1988, 102 Stat. 534; renumbered
105 Stat. 404–406; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat.
1984; Pub. L. 105–178, title VIII, Sec. 8205(a), June 9, 1998, 112 Stat. 494; Pub.
L. 107–103, title V, Sec. 503, Dec. 27, 2001, 115 Stat. 995; Pub. L. 108–183, title
IV, Sec. 402(b), Dec. 16, 2003, 117 Stat. 2664.)
§ 3903. Limitations on assistance; special training courses

(a) No eligible person shall be entitled to receive more than one
automobile or other conveyance under the provisions of this chap-
ter, and no payment shall be made under this chapter for the re-
pair, maintenance, or replacement of an automobile or other con-
veyance.
(b) Except as provided in subsection (d) of section 3902 of this
title, no eligible person shall be provided an automobile or other
conveyance under this chapter until it is established to the satisfac-
tion of the Secretary, in accordance with regulations the Secretary
shall prescribe, that the eligible person will be able to operate the
automobile or other conveyance in a manner consistent with such
person’s own safety and the safety of others and will satisfy the ap-
plicable standards of licensure to operate the automobile or other
conveyance established by the State of such person’s residency or
other proper licensing authority.
(c)(1) An eligible person shall not be entitled to adaptive equip-
ment under this chapter for more than two automobiles or other
conveyances at any one time or (except as provided in paragraph
(2) of this subsection) during any four-year period.
(2) In a case in which the four-year limitation in paragraph (1)
of this subsection precludes an eligible person from being entitled
to adaptive equipment under this chapter, if the Secretary deter-
mines that, due to circumstances beyond the control of such person,
one of the automobiles or other conveyances for which adaptive
equipment was provided to such person during the applicable four-
year period is no longer available for the use of such person, the
Secretary may provide adaptive equipment to such person for an
additional automobile or other conveyance during such period. Pro-
vision of adaptive equipment under this paragraph is within the
discretion of the Secretary. Any action to provide adaptive equip-
ment under this paragraph shall be made pursuant to regulations
(d) Adaptive equipment shall not be provided under this chap-
ter unless it conforms to minimum standards of safety and quality
prescribed by the Secretary.
(e)(1) The Secretary shall provide, directly or by contract, for
the conduct of special driver training courses at every hospital and,
where appropriate, at regional offices and other medical facilities,
of the Department to instruct such eligible person to operate the
type of automobile or other conveyance such person wishes to ob-
tain with assistance under this chapter, and may make such
courses available to any veteran, eligible for care under chapter 17
of this title or member of the Armed Forces, who is determined by
the Secretary to need the special training provided in such courses
Sec. 3904 CH. 39—AUTOMOBILES AND ADAPTIVE EQUIPMENT 646
even though such veteran or member is not eligible for the assist-
ance provided under this chapter.
(2) The Secretary is authorized to obtain insurance on auto-
mobiles and other conveyances used in conducting the special driv-
er training courses provided under this subsection and to obtain,
at Government expense, personal liability and property damage in-
surance for all persons taking such courses without regard to
whether such persons are taking the course on an in-patient or out-
patient basis.
may obtain, by purchase, lease, gift, or otherwise, any automobile,
motor vehicle, or other conveyance deemed necessary to carry out
the purposes of this subsection, and may sell, assign, transfer, or
convey any such automobile, vehicle, or conveyance to which the
Department obtains title for such price and upon such terms as the
Secretary deems appropriate; and any proceeds received from any
such disposition shall be credited to the applicable Department ap-
propriation.
Pub. L. 93–538, Sec. 4(a), (b), Dec. 22, 1974, 88 Stat. 1736, 1737; Pub. L. 94–581,
title I, Sec. 108, Oct. 21, 1976, 90 Stat. 2847; Pub. L. 97–66, title III, Sec. 303, Oct.
17, 1981, 95 Stat. 1030; Pub. L. 98–543, title III, Sec. 305(b), Oct. 24, 1984, 98 Stat.
2748; renumbered Sec. 3903 and amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1),
(2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 106–117, title VIII, Sec.
804, Nov. 30, 1999, 113 Stat. 1586.)
§ 3904. Research and development
(a) In carrying out medical and prosthetic research under sec-
tion 7303 of this title, the Secretary, through the Under Secretary
for Health, shall provide for special emphasis on the research and
development of adaptive equipment and adapted conveyances (in-
cluding vans) meeting standards of safety and quality prescribed
under subsection (d) of section 3903, including support for the pro-
duction and distribution of devices and conveyances so developed.
(b) In carrying out subsection (a) of this section, the Secretary,
through the Under Secretary for Health, shall consult and cooper-
ate with the Secretary of Health and Human Services and the Sec-
retary of Education, in connection with programs carried out under
section 204(b)(3) of the Rehabilitation Act of 1973 (relating to the
establishment and support of Rehabilitation Engineering Research
Centers).
(Added Pub. L. 93–538, Sec. 5(a), Dec. 22, 1974, 88 Stat. 1737, Sec. 1904; amended
Pub. L. 94–581, title II, Sec. 205(b)(2), (3), Oct. 21, 1976, 90 Stat. 2859; Pub. L. 95–
602, title I, Sec. 122(f), Nov. 6, 1978, 92 Stat. 2987; Pub. L. 97–295, Sec. 4(69), Oct.
12, 1982, 96 Stat. 1310; Pub. L. 102–40, title IV, Sec. 403(b)(1), May 7, 1991, 105
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–405, title III, Sec. 302(c)(1),
Oct. 9, 1992, 106 Stat. 1984; Pub. L. 105–220, title IV, Sec. 414(c), Aug. 7, 1998,
112 Stat. 1242.)
647
CHAPTER 41—JOB COUNSELING, TRAINING, AND
PLACEMENT SERVICE FOR VETERANS
Sec.
4100. Findings.
4101. Definitions.
4102. Purpose.
4102A. Assistant Secretary of Labor for Veterans’ Employment and Training; pro-
gram functions; Regional Administrators.
4103. Directors and Assistant Directors for Veterans’ Employment and Training;
additional Federal personnel.
4103A. Disabled veterans’ outreach program.
4104. Local veterans’ employment representatives.
[4104A. Repealed.]
4105. Cooperation of Federal agencies.
4106. Estimate of funds for administration; authorization of appropriations.
4107. Administrative controls; annual report.
4108. Cooperation and coordination.
4109. National Veterans’ Employment and Training Services Institute.
4110. Advisory Committee on Veterans Employment, Training, and Employer
Outreach.
4110A. Special unemployment study.
4110B. Coordination and nonduplication.
[4111. Repealed.]
4112. Performance incentive awards for quality employment, training, and place-
ment services.
4113. Outstationing of Transition Assistance Program personnel.
4114. Credentialing and licensure of veterans: demonstration project.
§ 4100. Findings
The Congress makes the following findings:
(1) As long as unemployment and underemployment con-
tinue as serious problems among disabled veterans and Viet-
nam-era veterans, alleviating unemployment and under-
employment among such veterans is a national responsibility.
(2) Because of the special nature of employment and train-
ing needs of such veterans and the national responsibility to
meet those needs, policies and programs to increase opportuni-
ties for such veterans to obtain employment, job training, coun-
seling, and job placement services and assistance in securing
advancement in employment should be effectively and vigor-
ously implemented by the Secretary of Labor and such imple-
mentation should be accomplished through the Assistant Sec-
retary of Labor for Veterans’ Employment and Training.
(Added Pub. L. 97–306, title III, Sec. 301(a), Oct. 14, 1982, 96 Stat. 1436, Sec. 2000;
amended Pub. L. 100–323, Sec. 15(b)(1), May 20, 1988, 102 Stat. 574; renumbered
649
Sec. 4101 CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT 650
(1) The term ‘‘special disabled veteran’’ has the same
meaning provided in section 4211(1) of this title.
(2) The term ‘‘veteran of the Vietnam era’’ has the same
meaning provided in section 4211(2) of this title.
(3) The term ‘‘disabled veteran’’ has the same meaning
provided in section 4211(3) of this title.
(4) The term ‘‘eligible veteran’’ has the same meaning pro-
vided in section 4211(4) of this title.
(5) The term ‘‘eligible person’’ means—
(A) the spouse of any person who died of a service-con-
nected disability,
(B) the spouse of any member of the Armed Forces
serving on active duty who, at the time of application for
assistance under this chapter, is listed, pursuant to section
556 of title 37 and regulations issued thereunder, by the
Secretary concerned in one or more of the following cat-
egories and has been so listed for a total of more than
ninety days: (i) missing in action, (ii) captured in line of
duty by a hostile force, or (iii) forcibly detained or interned
in line of duty by a foreign government or power, or
(C) the spouse of any person who has a total disability
permanent in nature resulting from a service-connected
disability or the spouse of a veteran who died while a dis-
ability so evaluated was in existence.
(6) The term ‘‘State’’ means each of the several States of
the United States, the District of Columbia, and the Common-
wealth of Puerto Rico, and may include, to the extent deter-
mined necessary and feasible, Guam, American Samoa, the
Virgin Islands, the Commonwealth of the Northern Marianas
Islands, and the Trust Territory of the Pacific Islands.
(7) The term ‘‘employment service delivery system’’ means
a service delivery system at which or through which labor ex-
change services, including employment, training, and place-
ment services, are offered in accordance with the Wagner-
Peyser Act.
(8) The term ‘‘Secretary’’ means the Secretary of Labor.
(9) The term ‘‘intensive services’’ means local employment
and training services of the type described in section 134(d)(3)
of the Workforce Investment Act of 1998.
L. 87–675, Sec. 1(a), Sept. 19, 1962, 76 Stat. 558; amended Pub. L. 89–358, Sec.
6(c)(1), Mar. 3, 1966, 80 Stat. 27; Pub. L. 92–540, title V, Sec. 502(a), Oct. 24, 1972,
86 Stat. 1094; Pub. L. 93–508, title IV, Sec. 401(a), Dec. 3, 1974, 88 Stat. 1592; Pub.
L. 96–466, title V, Sec. 503, title VIII, Sec. 801(h), Oct. 17, 1980, 94 Stat. 2203,
2216; Pub. L. 100–323, Sec. 3(b), 15(a)(1), May 20, 1988, 102 Stat. 562, 574; renum-
Stat. 406; Pub. L. 107–288, Sec. 5(a)(1)(A), (c)(1), Nov. 7, 2002, 116 Stat. 2044,
2045.)
§ 4102. Purpose
The Congress declares as its intent and purpose that there
shall be an effective (1) job and job training intensive services pro-
gram, (2) employment placement service program, and (3) job train-
651 CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT Sec. 4102A
ing placement service program for eligible veterans and eligible

persons and that, to this end policies and regulations shall be pro-
mulgated and administered by an Assistant Secretary of Labor for
Veterans’ Employment and Training, established by section 4102A
of this title, through a Veterans’ Employment and Training Service
within the Department of Labor, so as to provide such veterans and
persons the maximum of employment and training opportunities,
with priority given to the needs of disabled veterans and veterans
who served on active duty during a war or in a campaign or expedi-
tion for which a campaign badge has been authorized through ex-
isting programs, coordination and merger of programs and imple-
mentation of new programs, including programs carried out by the
Veterans’ Employment and Training Service to implement all ef-
forts to ease the transition of servicemembers to civilian careers
that are consistent with, or an outgrowth of, the military experi-
ence of the servicemembers.
L. 87–675, Sec. 1(a), Sept. 19, 1962, 76 Stat. 558; amended Pub. L. 89–358, Sec. 6(c),
Mar. 3, 1966, 80 Stat. 27; Pub. L. 92–540, title V, Sec. 502(a), Oct. 24, 1972, 86 Stat.
1094; Pub. L. 93–508, title IV, Sec. 401(b), Dec. 3, 1974, 88 Stat. 1592; Pub. L. 94–
502, title VI, Sec. 601(a), Oct. 15, 1976, 90 Stat. 2404; Pub. L. 96–466, title V, Sec.
504(a)(2), Oct. 17, 1980, 94 Stat. 2203; Pub. L. 97–306, title III, Sec. 302, Oct. 14,
1982, 96 Stat. 1437; Pub. L. 98–160, title VII, Sec. 702(15), Nov. 21, 1983, 97 Stat.
1010; Pub. L. 100–323, Sec. 15(b)(1), (d), May 20, 1988, 102 Stat. 574; renumbered
Pub. L. 107–288, Sec. 5(a)(1)(B), (b)(1), Nov. 7, 2002, 116 Stat. 2044, 2045.)
§ 4102A. Assistant Secretary of Labor for Veterans’ Employ-

ment and Training; program functions; Regional
Administrators
(a) ESTABLISHMENT OF POSITION OF ASSISTANT SECRETARY OF
LABOR FOR VETERANS’ EMPLOYMENT AND TRAINING.—(1) There is
established within the Department of Labor an Assistant Secretary
of Labor for Veterans’ Employment and Training, appointed by the
President by and with the advice and consent of the Senate, who
shall formulate and implement all departmental policies and proce-
dures to carry out (A) the purposes of this chapter, chapter 42, and
chapter 43 of this title, and (B) all other Department of Labor em-
ployment, unemployment, and training programs to the extent they
affect veterans.
(2) The employees of the Department of Labor administering
chapter 43 of this title shall be administratively and functionally
responsible to the Assistant Secretary of Labor for Veterans’ Em-
ployment and Training.
(3)(A) There shall be within the Department of Labor a Deputy
Assistant Secretary of Labor for Veterans’ Employment and Train-
ing. The Deputy Assistant Secretary shall perform such functions
as the Assistant Secretary of Labor for Veterans’ Employment and
Training prescribes.
(B) No individual may be appointed as a Deputy Assistant Sec-
retary of Labor for Veterans’ Employment and Training unless the
individual has at least five years of service in a management posi-
tion as an employee of the Federal civil service or comparable serv-
ice in a management position in the Armed Forces. For purposes
of determining such service of an individual, there shall be ex-
Sec. 4102A CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT 652
cluded any service described in subparagraphs (A), (B), and (C) of

section 308(d)(2) of this title.
(b) PROGRAM FUNCTIONS.—The Secretary shall carry out the
following functions:
(1) Except as expressly provided otherwise, carry out all
provisions of this chapter and chapter 43 of this title through
the Assistant Secretary of Labor for Veterans’ Employment
and Training and administer through such Assistant Secretary
all programs under the jurisdiction of the Secretary for the
provision of employment and training services designed to
meet the needs of all veterans and persons eligible for services
furnished under this chapter.
(2) In order to make maximum use of available resources
in meeting such needs, encourage all such programs, and all
grantees and contractors under such programs to enter into co-
operative arrangements with private industry and business
concerns (including small business concerns owned by veterans
or disabled veterans), educational institutions, trade associa-
tions, and labor unions.
(3) Ensure that maximum effectiveness and efficiency are
achieved in providing services and assistance to eligible vet-
erans under all such programs by coordinating and consulting
with the Secretary of Veterans Affairs with respect to (A) pro-
grams conducted under other provisions of this title, with par-
ticular emphasis on coordination of such programs with read-
justment counseling activities carried out under section 1712A
of this title, apprenticeship or other on-the-job training pro-
grams carried out under section 3687 of this title, and rehabili-
tation and training activities carried out under chapter 31 of
this title and (B) determinations covering veteran population
in a State.
(4) Ensure that employment, training, and placement ac-
tivities are carried out in coordination and cooperation with ap-
propriate State public employment service officials.
(5) Subject to subsection (c), make available for use in each
State by grant or contract such funds as may be necessary to
support—
(A) disabled veterans’ outreach program specialists ap-
pointed under section 4103A(a)(1) of this title,
(B) local veterans’ employment representatives as-
signed under section 4104(b) of this title, and
(C) the reasonable expenses of such specialists and
representatives described in subparagraphs (A) and (B),
respectively, for training, travel, supplies, and other busi-
ness expenses, including travel expenses and per diem for
attendance at the National Veterans’ Employment and
Training Services Institute established under section 4109
of this title.
(6) Monitor and supervise on a continuing basis the dis-
tribution and use of funds provided for use in the States under
paragraph (5).
(7) Establish, and update as appropriate, a comprehensive
performance accountability system (as described in subsection
(f)) and carry out annual performance reviews of veterans em-
ployment, training, and placement services provided through

employment service delivery systems, including through dis-
abled veterans’ outreach program specialists and through local
veterans’ employment representatives in States receiving
grants, contracts, or awards under this chapter.
(8) With advice and assistance from the Advisory Com-
mittee on Veterans Employment and Training, and Employer
Outreach established under section 4110 of this title, furnish
information to employers (through meetings in person with hir-
ing executives of corporations and otherwise) with respect to
the training and skills of veterans and disabled veterans, and
the advantages afforded employers by hiring veterans with
such training and skills, and to facilitate employment of vet-
erans and disabled veterans through participation in labor ex-
changes (Internet-based and otherwise), and other means.
(c) CONDITIONS FOR RECEIPT OF FUNDS.—(1) The distribution
and use of funds under subsection (b)(5) in order to carry out sec-
tions 4103A(a) and 4104(a) of this title shall be subject to the con-
tinuing supervision and monitoring of the Secretary and shall not
be governed by the provisions of any other law, or any regulations
prescribed thereunder, that are inconsistent with this section or
section 4103A or 4104 of this title.
(2)(A) A State shall submit to the Secretary an application for
a grant or contract under subsection (b)(5). The application shall
contain the following information:
(i) A plan that describes the manner in which the State
shall furnish employment, training, and placement services re-
quired under this chapter for the program year, including a de-
scription of—
(I) duties assigned by the State to disabled veterans’
outreach program specialists and local veterans’ employ-
ment representatives consistent with the requirements of
sections 4103A and 4104 of this title;
(II) the manner in which such specialists and rep-
resentatives are integrated in the employment service de-
livery systems in the State; and
(III) the program of performance incentive awards de-
scribed in section 4112 of this title in the State for the pro-
gram year.
(ii) The veteran population to be served.
(iii) For each employee of the State who is assigned to per-
form the duties of a disabled veterans’ outreach program spe-
cialist or a local veterans’ employment representative under
this chapter—
(I) the date on which the employee is so assigned; and
(II) whether the employee has satisfactorily completed
such training by the National Veterans’ Employment and
Training Services Institute as the Secretary requires for
purposes of paragraph (8).
(iv) Such additional information as the Secretary may re-
quire to make a determination with respect to awarding a
grant or contract to the State.
(B)(i) Subject to the succeeding provisions of this subpara-
graph, of the amount available under subsection (b)(5) for a fiscal
Sec. 4102A CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT 654
year, the Secretary shall make available to each State with an ap-
plication approved by the Secretary an amount of funding in pro-
portion to the number of veterans seeking employment using such
criteria as the Secretary may establish in regulation, including ci-
vilian labor force and unemployment data, for the State on an an-
nual basis. The proportion of funding shall reflect the ratio of—
(I) the total number of veterans residing in the State that
are seeking employment; to
(II) the total number of veterans seeking employment in
all States.
(ii) The Secretary shall phase in over the three fiscal-year pe-
riod that begins on October 1, 2003, the manner in which amounts
are made available to States under subsection (b)(5) and this sub-
section, as amended by the Jobs for Veterans Act.
(iii) In carrying out this paragraph, the Secretary may estab-
lish minimum funding levels and hold-harmless criteria for States.
(3)(A)(i) As a condition of a grant or contract under this section
for a program year, in the case of a State that the Secretary deter-
mines has an entered-employment rate for veterans that is defi-
cient for the preceding program year, the State shall develop a cor-
rective action plan to improve that rate for veterans in the State.
(ii) The State shall submit the corrective action plan to the
Secretary for approval, and if approved, shall expeditiously imple-
ment the plan.
(iii) If the Secretary does not approve a corrective action plan
submitted by the State under clause (i), the Secretary shall take
such steps as may be necessary to implement corrective actions in
the State to improve the entered-employment rate for veterans in
that State.
(B) To carry out subparagraph (A), the Secretary shall estab-
lish in regulations a uniform national threshold entered-employ-
ment rate for veterans for a program year by which determinations
of deficiency may be made under subparagraph (A).
(C) In making a determination with respect to a deficiency
under subparagraph (A), the Secretary shall take into account the
applicable annual unemployment data for the State and consider
other factors, such as prevailing economic conditions, that affect
performance of individuals providing employment, training, and
placement services in the State.
(4) In determining the terms and conditions of a grant or con-
tract under which funds are made available to a State in order to
carry out section 4103A or 4104 of this title, the Secretary shall
take into account—
(A) the results of reviews, carried out pursuant to sub-
section (b)(7), of the performance of the employment, training,
and placement service delivery system in the State, and
(B) the monitoring carried out under this section.
(5) Each grant or contract by which funds are made available
to a State shall contain a provision requiring the recipient of the
funds—
(A) to comply with the provisions of this chapter; and
(B) on an annual basis, to notify the Secretary of, and pro-
vide supporting rationale for, each nonveteran who is employed
as a disabled veterans’ outreach program specialist and local
veterans’ employment representative for a period in excess of

6 months.
(6) Each State shall coordinate employment, training, and
placement services furnished to veterans and eligible persons
under this chapter with such services furnished with respect to
such veterans and persons under the Workforce Investment Act of
1998 and the Wagner-Peyser Act.
(7) Of the amount of a grant or contract under which funds are
made available to a State in order to carry out section 4103A or
4104 of this title for any program year, one percent shall be for the
purposes of making cash awards under the program of performance
incentive awards described in section 4112 of this title in the State.
(8)(A) As a condition of a grant or contract under which funds
are made available to a State in order to carry out section 4103A
or 4104 of this title, the Secretary shall require the State to require
each employee hired by the State who is assigned to perform the
duties of a disabled veterans’ outreach program specialist or a local
veterans’ employment representative under this chapter to satisfac-
torily complete training provided by the National Veterans’ Em-
ployment and Training Services Institute during the three-year pe-
riod that begins on the date on which the employee is so assigned.
(B) For any employee described in subparagraph (A) who does
not complete such training during such period, the Secretary may
reduce by an appropriate amount the amount made available to the
State employing that employee.
(C) The Secretary may establish such reasonable exceptions to
the completion of training otherwise required under subparagraph
(A) as the Secretary considers appropriate.
(d) PARTICIPATION IN OTHER FEDERALLY FUNDED JOB TRAINING
PROGRAMS.—The Assistant Secretary of Labor for Veterans’ Em-
ployment and Training shall promote and monitor participation of
qualified veterans and eligible persons in employment and training
opportunities under title I of the Workforce Investment Act of 1998
and other federally funded employment and training programs.
(e) REGIONAL ADMINISTRATORS.—(1) The Secretary shall assign
to each region for which the Secretary operates a regional office a
representative of the Veterans’ Employment and Training Service
to serve as the Regional Administrator for Veterans’ Employment
and Training in such region.
(2) Each such Regional Administrator shall carry out such du-
ties as the Secretary may require to promote veterans employment
and reemployment within the region that the Administrator serves.
(f) ESTABLISHMENT OF PERFORMANCE STANDARDS AND OUT-
COMES MEASURES.—(1) The Assistant Secretary of Labor for Vet-
erans’ Employment and Training shall establish and implement a
comprehensive performance accountability system to measure the
performance of employment service delivery systems, including dis-
abled veterans’ outreach program specialists and local veterans’
employment representatives providing employment, training, and
placement services under this chapter in a State to provide ac-
countability of that State to the Secretary for purposes of sub-
section (c).
(2) Such standards and measures shall—
(A) be consistent with State performance measures appli-

cable under section 136(b) of the Workforce Investment Act of
1998; and
(B) be appropriately weighted to provide special consider-
ation for placement of (i) veterans requiring intensive services
(as defined in section 4101(9) of this title), such as special dis-
abled veterans and disabled veterans, and (ii) veterans who en-
roll in readjustment counseling under section 1712A of this
title.
(g) AUTHORITY TO PROVIDE TECHNICAL ASSISTANCE TO
STATES.—The Secretary may provide such technical assistance as
the Secretary determines appropriate to any State that the Sec-
retary determines has, or may have, an entered-employment rate
in the State that is deficient, as determined under subsection (c)(3)
with respect to a program year, including assistance in the develop-
ment of a corrective action plan under that subsection.
(Added Pub. L. 94–502, title VI, Sec. 601(b)(1), Oct. 15, 1976, 90 Stat. 2404, Sec.
2002A; amended Pub. L. 96–466, title V, Sec. 504(a)(3), (4), Oct. 17, 1980, 94 Stat.
160, title VII, Sec. 702(15), Nov. 21, 1983, 97 Stat. 1010; Pub. L. 100–323, Sec. 2(a),
(e)(3)(A), 15(a)(2), (b)(1), May 20, 1988, 102 Stat. 556, 559, 574; Pub. L. 101–237,
title IV, Sec. 423(b)(8)(A), Dec. 18, 1989, 103 Stat. 2093; renumbered Sec. 4102A and
404–406; Pub. L. 103–446, title VII, Sec. 701(a), title XII, Sec. 1201(a)(4), Nov. 2,
1994, 108 Stat. 4674, 4682; Pub. L. 104–275, title III, Sec. 301, Oct. 9, 1996, 110
Stat. 3332; Pub. L. 105–277, div. A, Sec. 101(f)[title VIII, Sec. 405(d)(29)(A),
(f)(21)(A)], Oct. 21, 1998, 112 Stat. 2681–337, 2681–424, 2681–432; Pub. L. 105–368,
title X, Sec. 1005(b)(13), Nov. 11, 1998, 112 Stat. 3365; Pub. L. 107–288, Sec. 4(a)(1),
Nov. 7, 2002, 116 Stat. 2038; Pub. L. 108–183, title VII, Sec. 708(b)(1)(A), (2), Dec.
16, 2003, 117 Stat. 2673; Pub. L. 109–233, title II, Sec. 201, title V, Sec. 503(11),
June 15, 2006, 120 Stat. 402, 416; Pub. L. 109–461, title VI, Sec. 601(a), (b), Dec.
22, 2006, 120 Stat. 3436.)
§ 4103. Directors and Assistant Directors for Veterans’ Em-
ployment and Training; additional Federal per-
sonnel
(a) DIRECTORS AND ASSISTANT DIRECTORS.—(1) The Secretary
shall assign to each State a representative of the Veterans’ Em-
ployment and Training Service to serve as the Director for Vet-
erans’ Employment and Training, and shall assign full-time Fed-
eral clerical or other support personnel to each such Director.
(2)(A) Each Director for Veterans’ Employment and Training
for a State shall, at the time of appointment, have been a bona fide
resident of the State for at least two years.
(B) The Secretary may waive the requirement in subparagraph
(A) with respect to a Director for Veterans’ Employment and Train-
ing if the Secretary determines that the waiver is in the public in-
terest. Any such waiver shall be made on a case-by-case basis.
(3) Full-time Federal clerical or other support personnel as-
signed to Directors for Veterans’ Employment and Training shall
be appointed in accordance with the provisions of title 5 governing
appointments in the competitive service and shall be paid in ac-
cordance with the provisions of chapter 51 and subchapter III of
(b) ADDITIONAL FEDERAL PERSONNEL.—The Secretary may also
assign as supervisory personnel such representatives of the Vet-
erans’ Employment and Training Service as the Secretary deter-
mines appropriate to carry out the employment, training, and

placement services required under this chapter, including Assistant
Directors for Veterans’ Employment and Training.
86 Stat. 1094; Pub. L. 93–508, title IV, Sec. 401(c), Dec. 3, 1974, 88 Stat. 1592; Pub.
L. 94–502, title VI, Sec. 602, 606(1), Oct. 15, 1976, 90 Stat. 2404, 2405; Pub. L. 96–
466, title V, Sec. 505, title VIII, Sec. 801(i), Oct. 17, 1980, 94 Stat. 2204, 2216; Pub.
L. 97–295, Sec. 4(70), Oct. 12, 1982, 96 Stat. 1310; Pub. L. 97–306, title III, Sec.
304(a)(1), (b), (c), Oct. 14, 1982, 96 Stat. 1437, 1438; Pub. L. 100–323, Sec. 5, 7(a),
15(a)(2), (c)(1), (3)(A), May 20, 1988, 102 Stat. 563, 564, 574; Pub. L. 101–237, title
IV, Sec. 423(b)(8)(B), Dec. 18, 1989, 103 Stat. 2093; renumbered Sec. 4103 and
III, Sec. 302, Oct. 9, 1996, 110 Stat. 3332; Pub. L. 107–288, Sec. 4(a)(1), Nov. 7,
2002, 116 Stat. 2042; Pub. L. 110–389, title III, Sec. 316, Oct. 10, 2008, 122 Stat.
4167.)
§ 4103A. Disabled veterans’ outreach program

(a) REQUIREMENT FOR EMPLOYMENT BY STATES OF A SUFFI-
CIENT NUMBER OF SPECIALISTS.—(1) Subject to approval by the Sec-
retary, a State shall employ such full-or part-time disabled vet-
erans’ outreach program specialists as the State determines appro-
priate and efficient to carry out intensive services under this chap-
ter to meet the employment needs of eligible veterans with the fol-
lowing priority in the provision of services:
(A) Special disabled veterans.
(B) Other disabled veterans.
(C) Other eligible veterans in accordance with priorities
determined by the Secretary taking into account applicable
rates of unemployment and the employment emphases set
forth in chapter 42 of this title.
(2) In the provision of services in accordance with this sub-
section, maximum emphasis in meeting the employment needs of
veterans shall be placed on assisting economically or educationally
disadvantaged veterans.
(b) REQUIREMENT FOR QUALIFIED VETERANS.—A State shall, to
the maximum extent practicable, employ qualified veterans to
carry out the services referred to in subsection (a). Preference shall
be given in the appointment of such specialists to qualified disabled
veterans.
(c) PART-TIME EMPLOYEES.—A part-time disabled veterans’ out-
reach program specialist shall perform the functions of a disabled
veterans’ outreach program specialist under this section on a half-
time basis.
(Added Pub. L. 96–466, title V, Sec. 506(a), Oct. 17, 1980, 94 Stat. 2204, Sec. 2003A;
100–323, Sec. 2(e)(1), 7(b), 15(c)(1), May 20, 1988, 102 Stat. 559, 565, 574; Pub. L.
4103A and amended Pub. L. 102–83, Sec. 2(c)(4), 5(a), (c)(1), Aug. 6, 1991, 105 Stat.
402, 406; Pub. L. 102–568, title V, Sec. 501, 503, Oct. 29, 1992, 106 Stat. 4340; Pub.
L. 103–446, title VII, Sec. 701(b), Nov. 2, 1994, 108 Stat. 4674; Pub. L. 105–277,
div. A, title I, Sec. 101(f)[title VIII, Sec. 405(d)(29)(B),(f)(21)(B)], Oct. 21, 1998, 112
Stat. 2681–337, 2681–424, 2681–432; Pub. L. 105–368, title X, Sec. 1004(a), Nov. 11,
1998, 112 Stat. 3364; Pub. L. 107–95, Sec. 9(a), Dec. 21, 2001, 115 Stat. 920; Pub.
L. 107–288, Sec. 4(b)(1), Nov. 7, 2002, 116 Stat. 2043; Pub. L. 109–461, title VI, Sec.
602(a), Dec. 22, 2006, 120 Stat. 3437.)
§ 4104. Local veterans’ employment representatives

(a) REQUIREMENT FOR EMPLOYMENT BY STATES OF A SUFFI-
CIENT NUMBER OF REPRESENTATIVES.—Subject to approval by the
Secretary, a State shall employ such full-and part-time local vet-
erans’ employment representatives as the State determines appro-
priate and efficient to carry out employment, training, and place-
ment services under this chapter.
(b) PRINCIPAL DUTIES.—As principal duties, local veterans’ em-
ployment representatives shall—
(1) conduct outreach to employers in the area to assist vet-
erans in gaining employment, including conducting seminars
for employers and, in conjunction with employers, conducting
job search workshops and establishing job search groups; and
(2) facilitate employment, training, and placement services
furnished to veterans in a State under the applicable State em-
ployment service delivery systems.
(c) REQUIREMENT FOR QUALIFIED VETERANS AND ELIGIBLE PER-
SONS.—A State shall, to the maximum extent practicable, employ
qualified veterans or eligible persons to carry out the services re-
ferred to in subsection (a). Preference shall be accorded in the fol-
lowing order:
(1) To qualified service-connected disabled veterans.
(2) If no veteran described in paragraph (1) is available, to
qualified eligible veterans.
(3) If no veteran described in paragraph (1) or (2) is avail-
able, then to qualified eligible persons.
(d) PART-TIME EMPLOYEES.—A part-time local veterans’ em-
ployment representative shall perform the functions of a local vet-
erans’ employment representative under this section on a half-time
basis.
(e) REPORTING.—Each local veterans’ employment representa-
tive shall be administratively responsible to the manager of the
employment service delivery system and shall provide reports, not
less frequently than quarterly, to the manager of such office and
to the Director for Veterans’ Employment and Training for the
State regarding compliance with Federal law and regulations with
respect to special services and priorities for eligible veterans and
eligible persons.
86 Stat. 1095; Pub. L. 94–502, title VI, Sec. 606(2), Oct. 15, 1976, 90 Stat. 2405;
Pub. L. 100–323, Sec. 3(a), May 20, 1988, 102 Stat. 560; Pub. L. 101–237, title IV,
Sec. 423(b)(8)(B), Dec. 18, 1989, 103 Stat. 2093; Pub. L. 102–16, Sec. 10(a)(8), Mar.
5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–14, Sec. 8(a)(10), June 5, 2001,
115 Stat. 35; Pub. L. 107–95, Sec. 9(b), Dec. 21, 2001, 115 Stat. 920; Pub. L. 107–
288, Sec. 4(b)(2), Nov. 7, 2002, 116 Stat. 2043; Pub. L. 109–461, title VI, Sec. 602(b),
Dec. 22, 2006, 120 Stat. 3437.)
ø§ 4104A. Repealed. Pub. L. 107–288, Sec. 4(a)(3)(A)(i), Nov. 7,

2002, 116 Stat. 2042¿
§ 4105. Cooperation of Federal agencies
(a) All Federal agencies shall furnish the Secretary such
records, statistics, or information as the Secretary may deem nec-
659 CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT Sec. 4106
essary or appropriate in administering the provisions of this chap-

ter, and shall otherwise cooperate with the Secretary in providing
continuous employment and training opportunities for eligible vet-
erans and eligible persons.
(b) For the purpose of assisting the Secretary and the Sec-
retary of Veterans Affairs in identifying employers with potential
job training opportunities under the Veterans’ Job Training Act
(Public Law 98–77; 29 U.S.C. 1721 note) and otherwise in order to
carry out this chapter, the Secretary of Defense shall, on the 15th
day of each month, provide the Secretary and the Secretary of Vet-
erans Affairs with updated information regarding any list main-
tained by the Secretary of Defense of employers participating in the
National Committee for Employer Support of the Guard and Re-
serve.
amended Pub. L. 87–675, Sec. 1(a), (c), Sept. 19, 1962, 76 Stat. 558, 559; Pub. L.
92–540, title V, Sec. 502(a), Oct. 24, 1972, 86 Stat. 1095; Pub. L. 93–508, title IV,
Sec. 401(d), Dec. 3, 1974, 88 Stat. 1592; Pub. L. 94–502, title VI, Sec. 606(3), Oct.
15, 1976, 90 Stat. 2405; Pub. L. 100–323, Sec. 6(a), 15(a)(2), May 20, 1988, 102 Stat.
564, 574; Pub. L. 101–237, title IV, Sec. 423(b)(8)(A), Dec. 18, 1989, 103 Stat. 2093;
renumbered Sec. 4105, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406;
amended Pub. L. 109–233, title V, Sec. 503(12), June 15, 2006, 120 Stat. 417.)
§ 4106. Estimate of funds for administration; authorization
of appropriations
(a) The Secretary shall estimate the funds necessary for the
proper and efficient administration of this chapter and chapters 42
and 43 of this title. Such estimated sums shall include the annual
amounts necessary for salaries, rents, printing and binding, travel,
and communications. Sums thus estimated shall be included as a
special item in the annual budget for the Department of Labor. Es-
timated funds necessary for proper intensive services, placement,
and training services to eligible veterans and eligible persons pro-
vided by the various State public employment service agencies
shall each be separately identified in the budgets of those agencies
as approved by the Department of Labor. Funds estimated pursu-
ant to the first sentence of this subsection shall include amounts
necessary in all of the States for the purposes specified in para-
graph (5) of section 4102A(b) of this title and to fund the National
Veterans’ Employment and Training Services Institute under sec-
tion 4109 of this title and shall be approved by the Secretary only
if the level of funding proposed is in compliance with such sections.
Each budget submission with respect to such funds shall include a
separate listing of the amount for the National Veterans’ Employ-
ment and Training Services Institute together with information
demonstrating the compliance of such budget submission with the
funding requirements specified in the preceding sentence.
(b) There are authorized to be appropriated such sums as may
be necessary for the proper and efficient administration of this
chapter.
(c) In the event that the regular appropriations Act making ap-
propriations for administrative expenses for the Department of
Labor with respect to any fiscal year does not specify an amount
for the purposes specified in subsection (b) of this section for that
fiscal year, then of the amounts appropriated in such Act there
shall be available only for the purposes specified in subsection (b)

of this section such amount as was set forth in the budget estimate
submitted pursuant to subsection (a) of this section.
(d) Any funds made available pursuant to subsections (b) and
(c) of this section shall not be available for any purpose other than
those specified in such subsections.
(Added Pub. L. 92–540, title V, Sec. 502(a), Oct. 24, 1972, 86 Stat. 1096, Sec. 2006;
amended Pub. L. 93–508, title IV, Sec. 401(e), Dec. 3, 1974, 88 Stat. 1592; Pub. L.
94–502, title VI, Sec. 603, Oct. 15, 1976, 90 Stat. 2404; Pub. L. 97–306, title III,
Sec. 306, Oct. 14, 1982, 96 Stat. 1440; Pub. L. 100–323, Sec. 2(b), (c), (e)(2), 15(a)(2),
May 20, 1988, 102 Stat. 558, 559, 574; renumbered Sec. 4106 and amended Pub.
L. 102–83, Sec. 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–288, Secs.
4(d)(1), 5(a)(1)(C), Nov. 7, 2002, 116 Stat. 2044.)
§ 4107. Administrative controls; annual report
(a) The Secretary shall establish administrative controls for
the following purposes:
(1) To insure that each eligible veteran, especially veterans
of the Vietnam era and disabled veterans, and each eligible
person who requests assistance under this chapter shall
promptly be placed in a satisfactory job or job training oppor-
tunity or receive some other specific form of assistance de-
signed to enhance such veteran’s and eligible person’s employ-
ment prospects substantially, such as individual job develop-
ment or intensive services.
(2) To determine whether or not the employment service
agencies in each State have committed the necessary staff to
insure that the provisions of this chapter are carried out; and
to arrange for necessary corrective action where staff resources
have been determined by the Secretary to be inadequate.
(b) The Secretary shall apply performance standards estab-
lished under section 4102A(f) of this title for determining compli-
ance by the State public employment service agencies with the pro-
visions of this chapter and chapter 42 of this title. Not later than
February 1 of each year, the Secretary shall report to the Commit-
tees on Veterans’ Affairs of the Senate and the House of Represent-
atives on the performance of States and organizations and entities
carrying out employment, training, and placement services under
this chapter, as measured under subsection (b)(7) of section 4102A
of this title. In the case of a State that the Secretary determines
has not met the minimum standard of performance (established by
the Secretary under subsection (f) of such section), the Secretary
shall include an analysis of the extent and reasons for the State’s
failure to meet that minimum standard, together with the State’s
plan for corrective action during the succeeding year.
(c) Not later than February 1 of each year, the Secretary shall
report to the Committees on Veterans’ Affairs of the Senate and
the House of Representatives on the success during the preceding
program year of the Department of Labor and its affiliated State
employment service agencies in carrying out the provisions of this
chapter and programs for the provision of employment and training
services to meet the needs of eligible veterans and eligible persons.
The report shall include—
(1) specification, by State and by age group, of the num-
bers of eligible veterans, disabled veterans, special disabled
veterans, eligible persons, recently separated veterans (as de-

fined in section 4211(6) of this title), and servicemembers
transitioning to civilian careers who registered for assistance
with, or who are identified as veterans by, the public employ-
ment service system and, for each of such categories, the num-
bers referred to and placed in permanent and other jobs, the
numbers referred to and placed in jobs and job training pro-
grams supported by the Federal Government, the number who
received intensive services, and the number who received
some, and the number who received no, reportable service;
(2) a comparison of the rate of entered employment (as de-
termined in a manner consistent with State performance meas-
ures applicable under section 136(b) of the Workforce Invest-
ment Act of 1998) for each of the categories of veterans and
persons described in clause (1) of this subsection with such
rate of entered employment (as so determined) for nonveterans
of the same age groups registered for assistance with the pub-
lic employment system in each State;
(3) any determination made by the Secretary during the
preceding fiscal year under section 4106 of this title or sub-
section (a)(2) of this section and a statement of the reasons for
such determination;
(4) a report on activities carried out during the preceding
program year under section 4212(d) of this title;
(5) a report on the operation during the preceding program
year of programs for the provision of employment and training
services designed to meet the needs of eligible veterans and eli-
gible persons, including an evaluation of the effectiveness of
such programs during such program year in meeting the re-
quirements of section 4102A(b) of this title, the efficiency with
which services were provided through such programs during
such year, and such recommendations for further legislative
action relating to veterans’ employment and training as the
Secretary considers appropriate; and
(6) a report on the operation during the preceding program
year of the program of performance incentive awards for qual-
ity employment services under section 4112 of this title.
amended Pub. L. 93–508, title IV, Sec. 401(f), Dec. 3, 1974, 88 Stat. 1592; Pub. L.
94–502, title VI, Sec. 604, Oct. 15, 1976, 90 Stat. 2404; Pub. L. 95–202, title III,
Sec. 309(b), Nov. 23, 1977, 91 Stat. 1446; Pub. L. 96–466, title V, Sec. 507, Oct. 17,
1980, 94 Stat. 2205; Pub. L. 97–306, title III, Sec. 307, Oct. 14, 1982, 96 Stat. 1440;
Pub. L. 100–323, Sec. 2(d), 15(a)(2), May 20, 1988, 102 Stat. 558, 574; renumbered
Pub. L. 107–288, Secs. 4(a)(3)(B), (e)(1), 5(a)(1)(D), (E), (d)(1), Nov. 7, 2002, 116 Stat.
2042, 2044, 2045.)
§ 4108. Cooperation and coordination
(a) In carrying out the Secretary’s responsibilities under this
chapter, the Secretary shall from time to time consult with the Sec-
retary of Veterans Affairs and keep the Secretary of Veterans Af-
fairs fully advised of activities carried out and all data gathered
pursuant to this chapter to insure maximum cooperation and co-
ordination between the Department of Labor and the Department
of Veterans Affairs.
(b) The Secretary of Veterans Affairs shall provide to appro-

priate employment service offices and Department of Labor offices,
as designated by the Secretary, on a monthly or more frequent
basis, the name and address of each employer located in the areas
served by such offices that offer a program of job training which
has been approved by the Secretary of Veterans Affairs under sec-
tion 7 of the Veterans’ Job Training Act (29 U.S.C. 1721 note).
amended Pub. L. 94–502, title VI, Sec. 606(4), Oct. 15, 1976, 90 Stat. 2405; Pub.
L. 100–323, Sec. 6(b)(1), (2)(A), 15(a)(2), May 20, 1988, 102 Stat. 564, 574; Pub. L.
§ 4109. National Veterans’ Employment and Training Serv-
ices Institute
(a) In order to provide for such training as the Secretary con-
siders necessary and appropriate for the efficient and effective pro-
vision of employment, job-training, intensive services, placement,
job-search, and related services to veterans, the Secretary shall es-
tablish and make available such funds as may be necessary to op-
erate a National Veterans’ Employment and Training Services In-
stitute for the training of disabled veterans’ outreach program spe-
cialists, local veterans’ employment representatives, Directors for
Veterans’ Employment and Training, and Assistant Directors for
Veterans’ Employment and Training, Regional Administrators for
Veterans’ Employment and Training, and such other personnel in-
volved in the provision of employment, job-training, intensive serv-
ices, placement, or related services to veterans as the Secretary
considers appropriate, including travel expenses and per diem for
attendance at the Institute.
(b) In implementing this section, the Secretary shall, as the
Secretary considers appropriate, provide, out of program funds des-
ignated for the Institute, training for Veterans’ Employment and
Training Service personnel, including travel expenses and per diem
to attend the Institute.
(c)(1) Nothing in this section shall be construed as preventing
the Institute to enter into contracts or agreements with depart-
ments or agencies of the United States or of a State, or with other
organizations, to carry out training of personnel of such depart-
ments, agencies, or organizations in the provision of services re-
ferred to in subsection (a).
(2) All proceeds collected by the Institute under a contract or
agreement referred to in paragraph (1) shall be applied to the ap-
plicable appropriation.
amended Pub. L. 100–323, Sec. 8(a), May 20, 1988, 102 Stat. 566; renumbered Sec.
4109, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 107–288, Sec.
5(a)(1)(F), (e), Nov. 7, 2002, 116 Stat. 2044, 2046.)
§ 4110. Advisory Committee on Veterans Employment,

Training, and Employer Outreach
(a)(1) There is hereby established within the Department of
Labor an advisory committee to be known as the Advisory Com-
mittee on Veterans Employment, Training, and Employer Out-
reach.
(2) The advisory committee shall—

(A) assess the employment and training needs of veterans
and their integration into the workforce;
(B) determine the extent to which the programs and activi-
ties of the Department of Labor are meeting such needs;
(C) assist the Assistant Secretary of Labor for Veterans’
Employment and Training in carrying out outreach activities
to employers with respect to the training and skills of veterans
and the advantages afforded employers by hiring veterans;
(D) make recommendations to the Secretary, through the
Assistant Secretary of Labor for Veterans’ Employment and
Training, with respect to outreach activities and the employ-
ment and training of veterans; and
(E) carry out such other activities that are necessary to
make the reports and recommendations referred to in sub-
section (f) of this section.
(b) The Secretary of Labor shall, on a regular basis, consult
with and seek the advice of the advisory committee with respect to
the matters referred to in subsection (a)(2) of this section.
(c)(1) The Secretary of Labor shall appoint at least 12, but no
more than 16, individuals to serve as members of the advisory com-
mittee as follows:
(A) Seven individuals, one each from among representa-
tives nominated by each of the following organizations:
(i) The National Society of Human Resource Man-
agers.
(ii) The Business Roundtable.
(iii) The National Association of State Workforce Agen-
cies.
(iv) The United States Chamber of Commerce.
(v) The National Federation of Independent Business.
(vi) A nationally recognized labor union or organiza-
tion.
(vii) The National Governors Association.
(B) Not more than five individuals from among representa-
tives nominated by veterans service organizations that have a
national employment program.
(C) Not more than five individuals who are recognized au-
thorities in the fields of business, employment, training, reha-
bilitation, or labor and who are not employees of the Depart-
ment of Labor.
(2) A vacancy in the advisory committee shall be filled in the
manner in which the original appointment was made.
(d) The following, or their representatives, shall be ex officio,
nonvoting members of the advisory committee:
(1) The Secretary of Veterans Affairs.
(2) The Secretary of Defense.
(3) The Director of the Office of Personnel Management.
(4) The Assistant Secretary of Labor for Veterans Employ-
ment and Training.
(5) The Assistant Secretary of Labor for Employment and
Training.
(6) The Administrator of the Small Business Administra-
tion.
(e)(1) The advisory committee shall meet at least quarterly.

(2) The Secretary of Labor shall appoint the chairman of the
advisory committee who shall serve in that position for no more
than 2 consecutive years.
(3)(A) Members of the advisory committee shall serve without
compensation.
(B) Members of the advisory committee shall be allowed rea-
sonable and necessary travel expenses, including per diem in lieu
of subsistence, at rates authorized for persons serving intermit-
tently in the Government service in accordance with the provisions
of subchapter I of chapter 57 of title 5 while away from their homes
or regular places of business in the performance of the responsibil-
ities of the advisory committee.
(4) The Secretary of Labor shall provide staff and administra-
tive support to the advisory committee through the Veterans Em-
ployment and Training Service.
(f)(1) Not later than December 31 of each year, the advisory
committee shall submit to the Secretary and to the Committees on
Veterans’ Affairs of the Senate and House of Representatives a re-
port on the employment and training needs of veterans, with spe-
cial emphasis on disabled veterans, for the previous fiscal year.
Each such report shall contain—
(A) an assessment of the employment and training needs
of veterans and their integration into the workforce;
(B) an assessment of the outreach activities carried out by
the Secretary of Labor to employers with respect to the train-
ing and skills of veterans and the advantages afforded employ-
ers by hiring veterans;
(C) an evaluation of the extent to which the programs and
activities of the Department of Labor are meeting such needs;
(D) a description of the activities of the advisory committee
during that fiscal year;
(E) a description of activities that the advisory committee
proposes to undertake in the succeeding fiscal year; and
(F) any recommendations for legislation, administrative ac-
tion, and other action that the advisory committee considers
appropriate.
(2) In addition to the annual reports made under paragraph
(1), the advisory committee may make recommendations to the Sec-
retary of Labor with respect to the employment and training needs
of veterans at such times and in such manner as the advisory com-
mittee determines appropriate.
(g) Within 60 days after receiving each annual report referred
to in subsection (f)(1), the Secretary of Labor shall transmit to Con-
gress a copy of the report together with any comments concerning
the report that the Secretary considers appropriate.
(h) The advisory committee shall continue until terminated by
law.
amended Pub. L. 100–323, Sec. 10, 15(a)(2), (3), (b)(1), May 20, 1988, 102 Stat. 566,
574; Pub. L. 101–237, title IV, Sec. 423(b)(8)(A), Dec. 18, 1989, 103 Stat. 2093; Pub.
L. 102–16, Sec. 8(a), Mar. 22, 1991, 105 Stat. 52; renumbered Sec. 4110 and amend-
ed Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406; Pub.
L. 102–568, title V, Sec. 504, Oct. 29, 1992, 106 Stat. 4340; Pub. L. 103–446, title
XII, Sec. 1201(a)(5), (g)(3), (i)(7), Nov. 2, 1994, 108 Stat. 4682, 4687, 4688; Pub. L.
665 CH. 41—JOB COUNSELING, TRAINING, AND PLACEMENT Sec. 4110B
109–233, title II, Sec. 202(a)(1), (2), (b)–(d), June 15, 2006, 120 Stat. 403, 404; Pub.
L. 109–461, title VI, Sec. 604(b), Dec. 22, 2006, 120 Stat. 3439; Pub. L. 110–387,
title IX, Sec. 901(a)(4), Oct. 10, 2008, 122 Stat. 4142.)
§ 4110A. Special unemployment study

(a)(1) The Secretary, through the Bureau of Labor Statistics,
shall conduct an annual study of unemployment among each of the
following categories of veterans:
(A) Veterans who were called to active duty while mem-
bers of the National Guard or a Reserve Component.
(B) Veterans who served in combat or in a war zone in the
Post 9/11 Global Operations theaters.
(C) Veterans who served on active duty during the Post 9/
11 Global Operations period who did not serve in the Post 9/
11 Global Operations theaters.
(D) Veterans of the Vietnam era who served in the Viet-
nam theater of operations during the Vietnam era.
(E) Veterans who served on active duty during the Viet-
nam era who did not serve in the Vietnam theater of oper-
ations.
(F) Veterans discharged or released from active duty with-
in four years of the applicable study.
(G) Special disabled veterans.
(2) Within each of the categories of veterans specified in para-
graph (1), the Secretary shall include a separate category for
women who are veterans.
(b) The Secretary shall promptly submit to Congress a report
on the results of each study under subsection (a).
(c) In this section:
(1) The term ‘‘Post 9/11 Global Operations period’’ means
the period of the Persian Gulf War beginning on September 11,
2001, and ending on the date thereafter prescribed by Presi-
dential proclamation or law.
(2) The term ‘‘Post 9/11 Global Operations theaters’’ means
Afghanistan, Iraq, or any other theater in which the Global
War on Terrorism Expeditionary Medal is awarded for service.
(Added Pub. L. 100–323, Sec. 9(a), May 20, 1988, 102 Stat. 566, Sec. 2010A; renum-
bered Sec. 4110A, Pub. L. 102–83, Sec. 5(a), Aug. 6, 1991, 105 Stat. 406; amended
Pub. L. 103–446, title VII, Sec. 701(c), Nov. 2, 1994, 108 Stat. 4674; Pub. L. 105–
368, title X, Sec. 1005(b)(14), Nov. 11, 1998, 112 Stat. 3365; Pub. L. 110–389, title
III, Sec. 317, Oct. 10, 2008, 122 Stat. 4167.)
§ 4110B. Coordination and nonduplication

In carrying out this chapter, the Secretary shall require that
an appropriate administrative entity in each State enter into an
agreement with the Secretary regarding the implementation of the
Workforce Investment Act of 1998 that includes the description and
information described in paragraphs (8) and (14) of section 112(b)
of the Workforce Investment Act of 1998 (29 U.S.C. 2822(b)).
(Added Pub. L. 105–220, title III, Sec. 322, Aug. 7, 1998, 112 Stat. 1087; amended
Pub. L. 109–233, title V, Sec. 503(13), June 15, 2006, 120 Stat. 417.)
ø§ 4111. Repealed. Pub. L. 107–95, Sec. 5(e)(3), Dec. 21, 2001,

115 Stat. 918¿
§ 4112. Performance incentive awards for quality employ-
ment, training, and placement services
(a) CRITERIA FOR PERFORMANCE INCENTIVE AWARDS.—(1) For
purposes of carrying out a program of performance incentive
awards under section 4102A(c)(2)(A)(i)(III) of this title, the Sec-
retary, acting through the Assistant Secretary of Labor for Vet-
erans’ Employment and Training, shall establish criteria for per-
formance incentive awards programs to be administered by States
to—
(A) encourage the improvement and modernization of em-
ployment, training, and placement services provided under this
chapter; and
(B) recognize eligible employees and employment service
offices for excellence in the provision of such services or for
having made demonstrable improvements in the provision of
such services.
(2) The Secretary shall establish such criteria in consultation
with representatives of States, political subdivisions of States, and
other providers of employment, training, and placement services
under the Workforce Investment Act of 1998 consistent with the
performance measures established under section 4102A(b)(7) of this
title.
(b) FORM OF AWARDS.—Under the criteria established by the
Secretary for performance incentive awards to be administered by
States, an award under such criteria may be a cash award or such
other nonfinancial awards as the Secretary may specify.
(c) ADMINISTRATION AND USE OF AWARDS.—Performance incen-
tive cash awards under this section—
(1) shall be made from amounts allocated from the grant
or contract amount for a State for a program year under sec-
tion 4102A(c)(7) of this title;
(2) in the case of such an award made to an eligible em-
ployee, shall be in addition to the regular pay of the recipient;
and
(3) in the case of such an award made to an employment
service office, may be used by that employment service office
for any purpose.
(d) ELIGIBLE EMPLOYEE DEFINED.—In this section, the term
‘‘eligible employee’’ means any of the following:
(1) A disabled veterans’ outreach program specialist.
(2) A local veterans’ employment representative.
(3) An individual providing employment, training, and
placement services to veterans under the Workforce Invest-
ment Act of 1998 or through an employment service delivery
system (as defined in section 4101(7) of this title).
109–461, title VI, Sec. 603, Dec. 22, 2006, 120 Stat. 3437.)
§ 4113. Outstationing of Transition Assistance Program per-

sonnel
(a) STATIONING OF TAP PERSONNEL AT OVERSEAS MILITARY IN-
STALLATIONS.—(1) The Secretary—
(A) shall station employees of the Veterans’ Employment
and Training Service, or contractors under subsection (c), at
each veterans assistance office described in paragraph (2); and
(B) may station such employees or contractors at such
other military installations outside the United States as the
Secretary, after consultation with the Secretary of Defense, de-
termines to be appropriate or desirable to carry out the pur-
poses of this chapter.
(2) Veterans assistance offices referred to in paragraph (1)(A)
are those offices that are established by the Secretary of Veterans
Affairs on military installations pursuant to the second sentence of
section 6304(a) of this title.
(b) FUNCTIONS.—Employees (or contractors) stationed at mili-
tary installations pursuant to subsection (a) shall provide, in per-
son, counseling, assistance in identifying employment and training
opportunities, help in obtaining such employment and training, and
other related information and services to members of the Armed
Forces who are being separated from active duty, and the spouses
of such members, under the Transition Assistance Program and
Disabled Transition Assistance Program established in section
1144 of title 10.
(c) AUTHORITY TO CONTRACT WITH PRIVATE ENTITIES.—The
Secretary, consistent with section 1144 of title 10, may enter into
contracts with public or private entities to provide, in person, some
or all of the counseling, assistance, information and services under
the Transition Assistance Program required under subsection (a).
(Added Pub. L. 108–183, title III, Sec. 309(a)(1), Dec. 16, 2003, 117 Stat. 2663;
amended Pub. L. 109–233, title IV, Sec. 402(e)(2), June 15, 2006, 120 Stat. 411.)
§ 4114. Credentialing and licensure of veterans: demonstra-

tion project
(a) DEMONSTRATION PROJECT AUTHORIZED.—The Assistant Sec-
retary for Veterans’ Employment and Training may carry out a
demonstration project on credentialing in accordance with this sec-
tion for the purpose of facilitating the seamless transition of mem-
bers of the Armed Forces from service on active duty to civilian em-
ployment.
(b) IDENTIFICATION OF MILITARY OCCUPATIONAL SPECIALTIES
AND ASSOCIATED CREDENTIALS AND LICENSES.—(1) The Assistant
Secretary shall select not less than 10 military occupational spe-
cialties for purposes of the demonstration project. Each specialty so
selected by the Assistant Secretary shall require a skill or set of
skills that is required for civilian employment in an industry with
high growth or high worker demand.
(2) The Assistant Secretary shall consult with appropriate Fed-
eral, State, and industry officials to identify requirements for cre-
dentials, certifications, and licenses that require a skill or set of
skills required by a military occupational specialty selected under
paragraph (1).
(3) The Assistant Secretary shall analyze the requirements

identified under paragraph (2) to determine which requirements
may be satisfied by the skills, training, or experience acquired by
members of the Armed Forces with the military occupational spe-
cialties selected under paragraph (1).
(c) ELIMINATION OF BARRIERS TO CREDENTIALING AND LICEN-
SURE.—The Assistant Secretary shall cooperate with appropriate
Federal, State, and industry officials to reduce or eliminate any
barriers to providing a credential, certification, or license to a vet-
eran who acquired any skill, training, or experience while serving
as a member of the Armed Forces with a military occupational spe-
cialty selected under subsection (b)(1) that satisfies the Federal and
State requirements for the credential, certification, or license.
(d) TASK FORCE.—The Assistant Secretary may establish a
task force of individuals with appropriate expertise to provide as-
sistance to the Assistant Secretary in carrying out this section.
(e) CONSULTATION.—In carrying out this section, the Assistant
Secretary shall consult with the Secretary of Defense, the Secretary
of Veterans Affairs, appropriate Federal and State officials, private-
sector employers, labor organizations, and industry trade associa-
tions.
(f) CONTRACT AUTHORITY.—For purposes of carrying out any
part of the demonstration project under this section, the Assistant
Secretary may enter into a contract with a public or private entity
with appropriate expertise.
(g) PERIOD OF PROJECT.—The period during which the Assist-
ant Secretary may carry out the demonstration project under this
section shall be the period beginning on the date that is 60 days
after the date of the enactment of the Veterans Benefits, Health
Care, and Information Technology Act of 2006 and ending on Sep-
tember 30, 2009.
(h) FUNDING.—The Assistant Secretary may carry out the dem-
onstration project under this section utilizing unobligated funds
that are appropriated in accordance with the authorization set
forth in section 4106 of this title.
(Added Pub. L. 109–461, title VI, Sec. 604(a)(1), Dec. 22, 2006, 120 Stat. 3437.)
669
CHAPTER 42—EMPLOYMENT AND TRAINING OF
VETERANS
Sec.
4211. Definitions.
4212. Veterans’ employment emphasis under Federal contracts.
4213. Eligibility requirements for veterans under Federal employment and train-
ing programs.
4214. Employment within the Federal Government.
4215. Priority of service for veterans in Department of Labor job training pro-
grams.
As used in this chapter—
(1) The term ‘‘special disabled veteran’’ means—
(A) a veteran who is entitled to compensation (or who but
for the receipt of military retired pay would be entitled to com-
pensation) under laws administered by the Secretary for a dis-
ability (i) rated at 30 percent or more, or (ii) rated at 10 or 20
percent in the case of a veteran who has been determined
under section 3106 of this title to have a serious employment
handicap; or
(B) a person who was discharged or released from active
duty because of service-connected disability.
(2) The term ‘‘veteran of the Vietnam era’’ means an eligible
veteran any part of whose active military, naval, or air service was
during the Vietnam era.
(3) The term ‘‘disabled veteran’’ means (A) a veteran who is en-
titled to compensation (or who but for the receipt of military retired
pay would be entitled to compensation) under laws administered by
the Secretary, or (B) a person who was discharged or released from
active duty because of a service-connected disability.
(4) The term ‘‘eligible veteran’’ means a person who—
(A) served on active duty for a period of more than 180
days and was discharged or released therefrom with other than
a dishonorable discharge;
(B) was discharged or released from active duty because of
a service-connected disability;
(C) as a member of a reserve component under an order
to active duty pursuant to section 12301(a), (d), or (g), 12302,
or 12304 of title 10, served on active duty during a period of
war or in a campaign or expedition for which a campaign
badge is authorized and was discharged or released from such
duty with other than a dishonorable discharge; or
671
Sec. 4212 CH. 42—EMPLOYMENT AND TRAINING OF VETERANS 672
(D) was discharged or released from active duty by reason

of a sole survivorship discharge (as that term is defined in sec-
tion 1174(i) of title 10).
(5) The term ‘‘department or agency’’ means any agency of the
Federal Government or the District of Columbia, including any Ex-
ecutive agency as defined in section 105 of title 5 and the United
States Postal Service and the Postal Regulatory Commission, and
the term ‘‘department, agency, or instrumentality in the executive
branch’’ includes the United States Postal Service and the Postal
Regulatory Commission.
(6) The term ‘‘recently separated veteran’’ means any veteran
during the three-year period beginning on the date of such vet-
eran’s discharge or release from active duty.
amended Pub. L. 94–502, title VI, Sec. 607(1), Oct. 15, 1976, 90 Stat. 2405; Pub.
L. 96–466, title V, Sec. 508, Oct. 17, 1980, 94 Stat. 2206; Pub. L. 97–306, title III,
Sec. 309, Oct. 14, 1982, 96 Stat. 1441; Pub. L. 98–223, title II, Sec. 206, Mar. 2,
1984, 98 Stat. 43; Pub. L. 101–237, title IV, Sec. 407(a)(2), Dec. 18, 1989, 103 Stat.
2082; Pub. L. 102–16, Sec. 1, Mar. 22, 1991, 105 Stat. 48; Pub. L. 102–54, Sec.
14(c)(9), June 13, 1991, 105 Stat. 285; renumbered Sec. 4211 and amended Pub. L.
102–83, Sec. 4(a)(1), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 403, 406; Pub. L. 102–127,
Sec. 5, Oct. 10, 1991, 105 Stat. 622; Pub. L. 102–568, title V, Sec. 502, Oct. 29, 1992,
106 Stat. 4340; Pub. L. 104–106, div. A, title XV, Sec. 1501(e)(2)(D), Feb. 10, 1996,
110 Stat. 501; Pub. L. 106–419, title III, Sec. 322(c), Nov. 1, 2000, 114 Stat. 1855;
Pub. L. 107–288, Sec. 2(b)(2)(D), Nov. 7, 2002, 116 Stat. 2036; Pub. L. 109–435, title
VI, Sec. 604(f), Dec. 20, 2006, 120 Stat. 3242; Pub. L. 110–317, Sec. 6(b), Aug. 29,
2008, 122 Stat. 3528.)
§ 4212. Veterans’ employment emphasis under Federal con-

tracts
(a)(1) Any contract in the amount of $100,000 or more entered
into by any department or agency of the United States for the pro-
curement of personal property and nonpersonal services (including
construction) for the United States, shall contain a provision re-
quiring that the party contracting with the United States take af-
firmative action to employ and advance in employment qualified
covered veterans. This section applies to any subcontract in the
amount of $100,000 or more entered into by a prime contractor in
carrying out any such contract.
(2) In addition to requiring affirmative action to employ such
qualified covered veterans under such contracts and subcontracts
and in order to promote the implementation of such requirement,
the Secretary of Labor shall prescribe regulations requiring that—
(A) each such contractor for each such contract shall imme-
diately list all of its employment openings with the appropriate
employment service delivery system (as defined in section
4101(7) of this title), and may also list such openings with one-
stop career centers under the Workforce Investment Act of
1998, other appropriate service delivery points, or America’s
Job Bank (or any additional or subsequent national electronic
job bank established by the Department of Labor), except that
the contractor may exclude openings for executive and senior
management positions and positions which are to be filled from
within the contractor’s organization and positions lasting three
days or less;
673 CH. 42—EMPLOYMENT AND TRAINING OF VETERANS Sec. 4212
(B) each such employment service delivery system shall

give such qualified covered veterans priority in referral to such
employment openings; and
(C) each such employment service delivery system shall
provide a list of such employment openings to States, political
subdivisions of States, or any private entities or organizations
under contract to carry out employment, training, and place-
ment services under chapter 41 of this title.
(3) In this section:
(A) The term ‘‘covered veteran’’ means any of the following
veterans:
(i) Disabled veterans.
(ii) Veterans who served on active duty in the Armed
Forces during a war or in a campaign or expedition for
which a campaign badge has been authorized.
(iii) Veterans who, while serving on active duty in the
Armed Forces, participated in a United States military op-
eration for which an Armed Forces service medal was
awarded pursuant to Executive Order No. 12985 (61 Fed.
Reg. 1209).
(iv) Recently separated veterans.
(B) The term ‘‘qualified’’, with respect to an employment
position, means having the ability to perform the essential
functions of the position with or without reasonable accommo-
dation for an individual with a disability.
(b) If any special disabled veteran or veteran of the Vietnam
era believes any contractor of the United States has failed to com-
ply or refuses to comply with the provisions of the contractor’s con-
tract relating to the employment of veterans, the veteran may file
a complaint with the Secretary of Labor, who shall promptly inves-
tigate such complaint and take appropriate action in accordance
with the terms of the contract and applicable laws and regulations.
(c) The Secretary of Labor shall include as part of the annual
report required by section 4107(c) of this title the number of com-
plaints filed pursuant to subsection (b) of this section, the actions
taken thereon and the resolutions thereof. Such report shall also
include the number of contractors listing employment openings, the
nature, types, and number of positions listed and the number of
veterans receiving priority pursuant to subsection (a)(2)(B).
(d)(1) Each contractor to whom subsection (a) applies shall, in
accordance with regulations which the Secretary of Labor shall pre-
scribe, report at least annually to the Secretary of Labor on—
(A) the number of employees in the workforce of such con-
tractor, by job category and hiring location, and the number of
such employees, by job category and hiring location, who are
qualified covered veterans;
(B) the total number of new employees hired by the con-
tractor during the period covered by the report and the number
of such employees who are qualified covered veterans; and
(C) the maximum number and the minimum number of
employees of such contractor during the period covered by the
report.
(2) The Secretary of Labor shall ensure that the administration
of the reporting requirement under paragraph (1) is coordinated
with respect to any requirement for the contractor to make any

other report to the Secretary of Labor.
amended Pub. L. 93–508, title IV, Sec. 402, Dec. 3, 1974, 88 Stat. 1593; Pub. L. 94–
502, title VI, Sec. 605, 607(2), Oct. 15, 1976, 90 Stat. 2405; Pub. L. 95–520, Sec.
6(a), Oct. 26, 1978, 92 Stat. 1821; Pub. L. 96–466, title V, Sec. 509, title VIII, Sec.
801(j), Oct. 17, 1980, 94 Stat. 2206, 2217; Pub. L. 97–306, title III, Sec. 310(a), Oct.
4(b)(8), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 405, 406; Pub. L. 103–446, title VII, Sec.
702(a), Nov. 2, 1994, 108 Stat. 4674; Pub. L. 106–419, title III, Sec. 322(a), (b), Nov.
1, 2000, 114 Stat. 1855; Pub. L. 107–288, Sec. 2(b)(1), (2)(A)–(C), Nov. 7, 2002, 116
Stat. 2034, 2035.)
§ 4213. Eligibility requirements for veterans under Federal

employment and training programs
(a) Amounts and periods of time specified in subsection (b)
shall be disregarded in determining eligibility under any of the fol-
lowing:
(1) Any public service employment program.
(2) Any emergency employment program.
(3) Any job training program assisted under the Economic
Opportunity Act of 1964.
(4) Any employment or training program carried out under
title I of the Workforce Investment Act of 1998 (29 U.S.C. 2801
et seq.).
(5) Any other employment or training (or related) program
financed in whole or in part with Federal funds.
(b) Subsection (a) applies with respect to the following amounts
and periods of time:
(1) Any amount received as pay or allowances by any per-
son while serving on active duty.
(2) Any period of time during which such person served on
active duty.
(3) Any amount received under chapters 11, 13, 30, 31, 32,
and 36 of this title by an eligible veteran.
(4) Any amount received by an eligible person under chap-
ters 13 and 35 of this title.
(5) Any amount received by an eligible member under
amended Pub. L. 96–466, title VIII, Sec. 801(k)(1), (2)(A), Oct. 17, 1980, 94 Stat.
2217; Pub. L. 102–54, Sec. 14(c)(10), June 13, 1991, 105 Stat. 285; renumbered Sec.
VII, Sec. 702(b), Nov. 2, 1994, 108 Stat. 4675; Pub. L. 105–277, div. A, Sec. 101(f)
[title VIII, Sec. 405(d)(29)(C), (f)(21)(C)], Oct. 21, 1998, 112 Stat. 2681–337, 2681–
424, 2681–432; Pub. L. 106–419, title IV, Sec. 404(a)(9), Nov. 1, 2000, 114 Stat.
1865.)
§ 4214. Employment within the Federal Government

(a)(1) The United States has an obligation to assist veterans of
the Armed Forces in readjusting to civilian life. The Federal Gov-
ernment is also continuously concerned with building an effective
work force, and veterans constitute a uniquely qualified recruiting
source. It is, therefore, the policy of the United States and the pur-
pose of this section to promote the maximum of employment and
job advancement opportunities within the Federal Government for
qualified covered veterans (as defined in paragraph (2)(B)) who are

qualified for such employment and advancement.
(2) In this section:
(A) The term ‘‘agency’’ has the meaning given the term
‘‘department or agency’’ in section 4211(5) of this title.
(B) The term ‘‘qualified covered veteran’’ means a veteran
described in section 4212(a)(3) of this title.
(b)(1) To further the policy stated in subsection (a) of this sec-
tion, veterans referred to in paragraph (2) of this subsection shall
be eligible, in accordance with regulations which the Office of Per-
sonnel Management shall prescribe, for veterans recruitment ap-
pointments, and for subsequent career-conditional appointments,
under the terms and conditions specified in Executive Order Num-
bered 11521 (March 26, 1970), except that—
(A) such an appointment may be made up to and including
the level GS-11 or its equivalent;
(B) a veteran shall be eligible for such an appointment
without regard to the number of years of education completed
by such veteran;
(C) a veteran who is entitled to disability compensation
under the laws administered by the Department of Veterans
Affairs or whose discharge or release from active duty was for
a disability incurred or aggravated in line of duty shall be
given a preference for such an appointment over other vet-
erans;
(D) a veteran receiving such an appointment shall—
(i) in the case of a veteran with less than 15 years of
education, receive training or education; and
(ii) upon successful completion of the prescribed proba-
tionary period, acquire a competitive status; and
(E) a veteran given an appointment under the authority of
this subsection whose employment under the appointment is
terminated within one year after the date of such appointment
shall have the same right to appeal that termination to the
Merit Systems Protection Board as a career or career-condi-
tional employee has during the first year of employment.
(2) This subsection applies to qualified covered veterans.
(3) A qualified covered veteran may receive such an appoint-
ment at any time.
(c) Each agency shall include in its affirmative action plan for
the hiring, placement, and advancement of handicapped individuals
in such agency as required by section 501(b) of the Rehabilitation
Act of 1973 (29 U.S.C. 791(b)), a separate specification of plans (in
accordance with regulations which the Office of Personnel Manage-
ment shall prescribe in consultation with the Secretary, the Sec-
retary of Labor, and the Secretary of Health and Human Services,
consistent with the purposes, provisions, and priorities of such Act)
to promote and carry out such affirmative action with respect to
disabled veterans in order to achieve the purpose of this section.
(d) The Office of Personnel Management shall be responsible
for the review and evaluation of the implementation of this section
and the activities of each agency to carry out the purpose and pro-
visions of this section. The Office shall periodically obtain (on at
least an annual basis) information on the implementation of this
section by each agency and on the activities of each agency to carry

out the purpose and provisions of this section. The information ob-
tained shall include specification of the use and extent of appoint-
ments made by each agency under subsection (b) of this section and
the results of the plans required under subsection (c) of this sec-
tion.
(e)(1) The Office of Personnel Management shall submit to the
Congress annually a report on activities carried out under this sec-
tion. Each such report shall include the following information with
respect to each agency:
(A) The number of appointments made under subsection
(b) of this section since the last such report and the grade lev-
els in which such appointments were made.
(B) The number of individuals receiving appointments
under such subsection whose appointments were converted to
career or career-conditional appointments, or whose employ-
ment under such an appointment has terminated, since the
last such report, together with a complete listing of categories
of causes of appointment terminations and the number of such
individuals whose employment has terminated falling into each
such category.
(C) The number of such terminations since the last such
report that were initiated by the agency involved and the num-
ber of such terminations since the last such report that were
initiated by the individual involved.
(D) A description of the education and training programs
in which individuals appointed under such subsection are par-
ticipating at the time of such report.
(2) Information shown for an agency under clauses (A) through
(D) of paragraph (1) of this subsection—
(A) shall be shown for all veterans; and
(B) shall be shown separately (i) for veterans who are enti-
tled to disability compensation under the laws administered by
the Secretary or whose discharge or release from active duty
was for a disability incurred or aggravated in line of duty, and
(ii) for other veterans.
(f) Notwithstanding section 4211 of this title, the terms ‘‘vet-
eran’’ and ‘‘disabled veteran’’ as used in subsection (a) of this sec-
tion shall have the meaning provided for under generally applica-
ble civil service law and regulations.
(g) To further the policy stated in subsection (a) of this section,
the Secretary may give preference to qualified covered veterans for
employment in the Department as veterans’ benefits counselors
and veterans’ claims examiners and in positions to provide the out-
reach services required under section 6303 of this title, to serve as
veterans’ representatives at certain educational institutions as pro-
vided in section 6305 of this title, or to provide readjustment coun-
seling under section 1712A of this title.
(Added Pub. L. 93–508, title IV, Sec. 403(a), Dec. 3, 1974, 88 Stat. 1593, Sec. 2014;
amended Pub. L. 95–202, title III, Sec. 308, Nov. 23, 1977, 91 Stat. 1445; Pub. L.
95–520, Sec. 6(b), Oct. 26, 1978, 92 Stat. 1821; Pub. L. 96–466, title V, Sec. 510,
title VIII, Sec. 801(l), Oct. 17, 1980, 94 Stat. 2207, 2217; Pub. L. 97–72, title II, Sec.
202(a), Nov. 3, 1981, 95 Stat. 1054; Pub. L. 97–295, Sec. 4(95)(A), Oct. 12, 1982, 96
Stat. 1313; Pub. L. 98–543, title II, Sec. 211, Oct. 24, 1984, 98 Stat. 2743; Pub. L.
99–576, title III, Sec. 332, Oct. 28, 1986, 100 Stat. 3279; Pub. L. 101–237, title IV,
Sec. 407(a)(1), (b), Dec. 18, 1989, 103 Stat. 2082; Pub. L. 102–16, Sec. 9(a), (b), Mar.
2(c)(5), 4(a)(1), (3), (4), (b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 402–406;
Pub. L. 102–127, Sec. 4, Oct. 10, 1991, 105 Stat. 622; Pub. L. 102–568, title V, Sec.
505, Oct. 29, 1992, 106 Stat. 4340; Pub. L. 107–288, Sec. 2(c)(1)–(3), Nov. 7, 2002,
116 Stat. 2036; Pub. L. 109–233, title IV, Sec. 402(e)(3), June 15, 2006, 120 Stat.
411.)
§ 4215. Priority of service for veterans in Department of

Labor job training programs
(a) DEFINITIONS.—In this section:
(1) The term ‘‘covered person’’ means any of the following
individuals:
(A) A veteran.
(B) The spouse of any of the following individuals:
(i) Any veteran who died of a service-connected
disability.
(ii) Any member of the Armed Forces serving on
active duty who, at the time of application for assist-
ance under this section, is listed, pursuant to section
556 of title 37 and regulations issued thereunder, by
the Secretary concerned in one or more of the fol-
lowing categories and has been so listed for a total of
more than 90 days: (I) missing in action, (II) captured
in line of duty by a hostile force, or (III) forcibly de-
tained or interned in line of duty by a foreign govern-
ment or power.
(iii) Any veteran who has a total disability result-
ing from a service-connected disability.
(iv) Any veteran who died while a disability so
evaluated was in existence.
(2) The term ‘‘qualified job training program’’ means any
workforce preparation, development, or delivery program or
service that is directly funded, in whole or in part, by the De-
partment of Labor and includes the following:
(A) Any such program or service that uses technology
to assist individuals to access workforce development pro-
grams (such as job and training opportunities, labor mar-
ket information, career assessment tools, and related sup-
port services).
(B) Any such program or service under the public em-
ployment service system, one-stop career centers, the
Workforce Investment Act of 1998, a demonstration or
other temporary program, and those programs imple-
mented by States or local service providers based on Fed-
eral block grants administered by the Department of
Labor.
(C) Any such program or service that is a workforce
development program targeted to specific groups.
(3) The term ‘‘priority of service’’ means, with respect to
any qualified job training program, that a covered person shall
be given priority over nonveterans for the receipt of employ-
ment, training, and placement services provided under that
program, notwithstanding any other provision of law.
(b) ENTITLEMENT TO PRIORITY OF SERVICE.—(1) A covered per-

son is entitled to priority of service under any qualified job training
program if the person otherwise meets the eligibility requirements
for participation in such program.
(2) The Secretary of Labor may establish priorities among cov-
ered persons for purposes of this section to take into account the
needs of disabled veterans and special disabled veterans, and such
other factors as the Secretary determines appropriate.
(c) ADMINISTRATION OF PROGRAMS AT STATE AND LOCAL LEV-
ELS.—An entity of a State or a political subdivision of the State
that administers or delivers services under a qualified job training
program shall—
(1) provide information and priority of service to covered
persons regarding benefits and services that may be obtained
through other entities or service providers; and
(2) ensure that each covered person who applies to or who
is assisted by such a program is informed of the employment-
related rights and benefits to which the person is entitled
under this section.
(d) ADDITION TO ANNUAL REPORT.—In the annual report re-
quired under section 4107(c) of this title for the program year be-
ginning in 2003 and each subsequent program year, the Secretary
of Labor shall evaluate whether covered persons are receiving pri-
ority of service and are being fully served by qualified job training
programs, and whether the representation of veterans in such pro-
grams is in proportion to the incidence of representation of vet-
erans in the labor market, including within groups that the Sec-
retary may designate for priority under such programs, if any.
679
CHAPTER 43—EMPLOYMENT AND REEMPLOYMENT
RIGHTS OF MEMBERS OF THE UNIFORMED SERVICES
Sec.
4301. Purposes; sense of Congress.
4302. Relation to other law and plans or agreements.
4303. Definitions.
4304. Character of service.
SUBCHAPTER II—EMPLOYMENT AND REEMPLOYMENT RIGHTS AND
LIMITATIONS; PROHIBITIONS
4311. Discrimination against persons who serve in the uniformed services and
acts of reprisal prohibited.
4312. Reemployment rights of persons who serve in the uniformed services.
4313. Reemployment positions.
4314. Reemployment by the Federal Government.
4315. Reemployment by certain Federal agencies.
4316. Rights, benefits, and obligations of persons absent from employment for
service in a uniformed service.
4317. Health plans.
4318. Employee pension benefit plans.
4319. Employment and reemployment rights in foreign countries.
SUBCHAPTER III—PROCEDURES FOR ASSISTANCE, ENFORCEMENT, AND
INVESTIGATION
4321. Assistance in obtaining reemployment or other employment rights or bene-
fits.
4322. Enforcement of employment or reemployment rights.
4323. Enforcement of rights with respect to a State or private employer.
4324. Enforcement of rights with respect to Federal executive agencies.
4325. Enforcement of rights with respect to certain Federal agencies.
4326. Conduct of investigation; subpoenas.
4327. Noncompliance of Federal officials with deadlines; inapplicability of stat-
utes of limitations.
4331. Regulations.
4332. Reports.
4333. Outreach.
4334. Notice of rights and duties.
4335. Training for Federal executive agency human resources personnel on em-
ployment and reemployment rights and limitations.
§ 4301. Purposes; sense of Congress
(a) The purposes of this chapter are—
(1) to encourage noncareer service in the uniformed serv-
ices by eliminating or minimizing the disadvantages to civilian
careers and employment which can result from such service;
681
Sec. 4302 CH. 43—VETERANS’ REEMPLOYMENT RIGHTS 682
(2) to minimize the disruption to the lives of persons per-

forming service in the uniformed services as well as to their
employers, their fellow employees, and their communities, by
providing for the prompt reemployment of such persons upon
their completion of such service; and
(3) to prohibit discrimination against persons because of
their service in the uniformed services.
(b) It is the sense of Congress that the Federal Government
should be a model employer in carrying out the provisions of this
chapter.
104–275, title III, Sec. 311(1), Oct. 9, 1996, 110 Stat. 3333.)
§ 4302. Relation to other law and plans or agreements
(a) Nothing in this chapter shall supersede, nullify or diminish
any Federal or State law (including any local law or ordinance),
contract, agreement, policy, plan, practice, or other matter that es-
tablishes a right or benefit that is more beneficial to, or is in addi-
tion to, a right or benefit provided for such person in this chapter.
(b) This chapter supersedes any State law (including any local
law or ordinance), contract, agreement, policy, plan, practice, or
other matter that reduces, limits, or eliminates in any manner any
right or benefit provided by this chapter, including the establish-
ment of additional prerequisites to the exercise of any such right
or the receipt of any such benefit.
(Added Pub. L. 103–353, Sec. 2(a), Oct. 13, 1994, 108 Stat. 3150.)
(1) The term ‘‘Attorney General’’ means the Attorney Gen-
eral of the United States or any person designated by the At-
torney General to carry out a responsibility of the Attorney
General under this chapter.
(2) The term ‘‘benefit’’, ‘‘benefit of employment’’, or ‘‘rights
and benefits’’ means any advantage, profit, privilege, gain, sta-
tus, account, or interest (other than wages or salary for work
performed) that accrues by reason of an employment contract
or agreement or an employer policy, plan, or practice and in-
cludes rights and benefits under a pension plan, a health plan,
an employee stock ownership plan, insurance coverage and
awards, bonuses, severance pay, supplemental unemployment
benefits, vacations, and the opportunity to select work hours or
location of employment.
(3) The term ‘‘employee’’ means any person employed by an
employer. Such term includes any person who is a citizen, na-
tional, or permanent resident alien of the United States em-
ployed in a workplace in a foreign country by an employer that
is an entity incorporated or otherwise organized in the United
States or that is controlled by an entity organized in the
United States, within the meaning of section 4319(c) of this
title.
(4)(A) Except as provided in subparagraphs (B) and (C),
the term ‘‘employer’’ means any person, institution, organiza-
tion, or other entity that pays salary or wages for work per-
683 CH. 43—VETERANS’ REEMPLOYMENT RIGHTS Sec. 4303
formed or that has control over employment opportunities, in-

cluding—
(i) a person, institution, organization, or other entity
to whom the employer has delegated the performance of
employment-related responsibilities;
(ii) the Federal Government;
(iii) a State;
(iv) any successor in interest to a person, institution,
organization, or other entity referred to in this subpara-
graph; and
(v) a person, institution, organization, or other entity
that has denied initial employment in violation of section
4311.
(B) In the case of a National Guard technician employed
under section 709 of title 32, the term ‘‘employer’’ means the
adjutant general of the State in which the technician is em-
ployed.
(C) Except as an actual employer of employees, an em-
ployee pension benefit plan described in section 3(2) of the Em-
ployee Retirement Income Security Act of 1974 (29 U.S.C.
1002(2)) shall be deemed to be an employer only with respect
to the obligation to provide benefits described in section 4318.
(5) The term ‘‘Federal executive agency’’ includes the
United States Postal Service, the Postal Regulatory Commis-
sion, any nonappropriated fund instrumentality of the United
States, any Executive agency (as that term is defined in section
105 of title 5) other than an agency referred to in section
2302(a)(2)(C)(ii) of title 5, and any military department (as
that term is defined in section 102 of title 5) with respect to
the civilian employees of that department.
(6) The term ‘‘Federal Government’’ includes any Federal
executive agency, the legislative branch of the United States,
and the judicial branch of the United States.
(7) The term ‘‘health plan’’ means an insurance policy or
contract, medical or hospital service agreement, membership or
subscription contract, or other arrangement under which
health services for individuals are provided or the expenses of
such services are paid.
(8) The term ‘‘notice’’ means (with respect to subchapter II)
any written or verbal notification of an obligation or intention
to perform service in the uniformed services provided to an em-
ployer by the employee who will perform such service or by the
uniformed service in which such service is to be performed.
(9) The term ‘‘qualified’’, with respect to an employment
position, means having the ability to perform the essential
tasks of the position.
(10) The term ‘‘reasonable efforts’’, in the case of actions
required of an employer under this chapter, means actions, in-
cluding training provided by an employer, that do not place an
undue hardship on the employer.
(11) Notwithstanding section 101, the term ‘‘Secretary’’
means the Secretary of Labor or any person designated by such
Secretary to carry out an activity under this chapter.
(12) The term ‘‘seniority’’ means longevity in employment

together with any benefits of employment which accrue with,
or are determined by, longevity in employment.
(13) The term ‘‘service in the uniformed services’’ means
the performance of duty on a voluntary or involuntary basis in
a uniformed service under competent authority and includes
active duty, active duty for training, initial active duty for
training, inactive duty training, full-time National Guard duty,
a period for which a person is absent from a position of em-
ployment for the purpose of an examination to determine the
fitness of the person to perform any such duty, and a period
for which a person is absent from employment for the purpose
of performing funeral honors duty as authorized by section
12503 of title 10 or section 115 of title 32.
(14) The term ‘‘State’’ means each of the several States of
the United States, the District of Columbia, the Common-
wealth of Puerto Rico, Guam, the Virgin Islands, and other ter-
ritories of the United States (including the agencies and polit-
ical subdivisions thereof).
(15) The term ‘‘undue hardship’’, in the case of actions
taken by an employer, means actions requiring significant dif-
ficulty or expense, when considered in light of—
(A) the nature and cost of the action needed under this
chapter;
(B) the overall financial resources of the facility or fa-
cilities involved in the provision of the action; the number
of persons employed at such facility; the effect on expenses
and resources, or the impact otherwise of such action upon
the operation of the facility;
(C) the overall financial resources of the employer; the
overall size of the business of an employer with respect to
the number of its employees; the number, type, and loca-
tion of its facilities; and
(D) the type of operation or operations of the employer,
including the composition, structure, and functions of the
work force of such employer; the geographic separateness,
administrative, or fiscal relationship of the facility or fa-
cilities in question to the employer.
(16) The term ‘‘uniformed services’’ means the Armed
Forces, the Army National Guard and the Air National Guard
when engaged in active duty for training, inactive duty train-
ing, or full-time National Guard duty, the commissioned corps
of the Public Health Service, and any other category of persons
designated by the President in time of war or national emer-
gency.
104–275, title III, Sec. 311(2), Oct. 9, 1996, 110 Stat. 3334; Pub. L. 105–368, title
II, Sec. 212(a), Nov. 11, 1998, 112 Stat. 3331; Pub. L. 106–419, title III, Sec. 323(a),
Nov. 1, 2000, 114 Stat. 1855; Pub. L. 107–14, Sec. 8(a)(11), (b)(2), June 5, 2001, 115
Stat. 35, 36; Pub. L. 109–435, title VI, Sec. 604(f), Dec. 20, 2006, 120 Stat. 3242.)
§ 4304. Character of service

A person’s entitlement to the benefits of this chapter by reason
of the service of such person in one of the uniformed services termi-
nates upon the occurrence of any of the following events:
(1) A separation of such person from such uniformed serv-
ice with a dishonorable or bad conduct discharge.
(2) A separation of such person from such uniformed serv-
ice under other than honorable conditions, as characterized
pursuant to regulations prescribed by the Secretary concerned.
(3) A dismissal of such person permitted under section
1161(a) of title 10.
(4) A dropping of such person from the rolls pursuant to
section 1161(b) of title 10.
SUBCHAPTER II—EMPLOYMENT AND REEMPLOYMENT

RIGHTS AND LIMITATIONS; PROHIBITIONS
§ 4311. Discrimination against persons who serve in the uni-
formed services and acts of reprisal prohibited
(a) A person who is a member of, applies to be a member of,
performs, has performed, applies to perform, or has an obligation
to perform service in a uniformed service shall not be denied initial
employment, reemployment, retention in employment, promotion,
or any benefit of employment by an employer on the basis of that
membership, application for membership, performance of service,
application for service, or obligation.
(b) An employer may not discriminate in employment against
or take any adverse employment action against any person because
such person (1) has taken an action to enforce a protection afforded
any person under this chapter, (2) has testified or otherwise made
a statement in or in connection with any proceeding under this
chapter, (3) has assisted or otherwise participated in an investiga-
tion under this chapter, or (4) has exercised a right provided for in
this chapter. The prohibition in this subsection shall apply with re-
spect to a person regardless of whether that person has performed
service in the uniformed services.
(c) An employer shall be considered to have engaged in actions
prohibited—
(1) under subsection (a), if the person’s membership, appli-
cation for membership, service, application for service, or obli-
gation for service in the uniformed services is a motivating fac-
tor in the employer’s action, unless the employer can prove
that the action would have been taken in the absence of such
membership, application for membership, service, application
for service, or obligation for service; or
(2) under subsection (b), if the person’s (A) action to en-
force a protection afforded any person under this chapter, (B)
testimony or making of a statement in or in connection with
any proceeding under this chapter, (C) assistance or other par-
ticipation in an investigation under this chapter, or (D) exer-
cise of a right provided for in this chapter, is a motivating fac-
tor in the employer’s action, unless the employer can prove
that the action would have been taken in the absence of such
person’s enforcement action, testimony, statement, assistance,
participation, or exercise of a right.
(d) The prohibitions in subsections (a) and (b) shall apply to
any position of employment, including a position that is described
in section 4312(d)(1)(C) of this title.
§ 4312. Reemployment rights of persons who serve in the

uniformed services
(a) Subject to subsections (b), (c), and (d) and to section 4304,
any person whose absence from a position of employment is neces-
sitated by reason of service in the uniformed services shall be enti-
tled to the reemployment rights and benefits and other employ-
ment benefits of this chapter if—
(1) the person (or an appropriate officer of the uniformed
service in which such service is performed) has given advance
written or verbal notice of such service to such person’s em-
ployer;
(2) the cumulative length of the absence and of all pre-
vious absences from a position of employment with that em-
ployer by reason of service in the uniformed services does not
exceed five years; and
(3) except as provided in subsection (f), the person reports
to, or submits an application for reemployment to, such em-
ployer in accordance with the provisions of subsection (e).
(b) No notice is required under subsection (a)(1) if the giving
of such notice is precluded by military necessity or, under all of the
relevant circumstances, the giving of such notice is otherwise im-
possible or unreasonable. A determination of military necessity for
the purposes of this subsection shall be made pursuant to regula-
tions prescribed by the Secretary of Defense and shall not be sub-
ject to judicial review.
(c) Subsection (a) shall apply to a person who is absent from
a position of employment by reason of service in the uniformed
services if such person’s cumulative period of service in the uni-
formed services, with respect to the employer relationship for
which a person seeks reemployment, does not exceed five years, ex-
cept that any such period of service shall not include any service—
(1) that is required, beyond five years, to complete an ini-
tial period of obligated service;
(2) during which such person was unable to obtain orders
releasing such person from a period of service in the uniformed
services before the expiration of such five-year period and such
inability was through no fault of such person;
(3) performed as required pursuant to section 10147 of title
10, under section 502(a) or 503 of title 32, or to fulfill addi-
tional training requirements determined and certified in writ-
ing by the Secretary concerned, to be necessary for professional
development, or for completion of skill training or retraining;
or
(4) performed by a member of a uniformed service who is—
(A) ordered to or retained on active duty under section

688, 12301(a), 12301(g), 12302, 12304, or 12305 of title 10
or under section 331, 332, 359, 360, 367, or 712 of title 14;
(B) ordered to or retained on active duty (other than
for training) under any provision of law because of a war
or national emergency declared by the President or the
Congress, as determined by the Secretary concerned;
(C) ordered to active duty (other than for training) in
support, as determined by the Secretary concerned, of an
operational mission for which personnel have been ordered
to active duty under section 12304 of title 10;
(D) ordered to active duty in support, as determined
by the Secretary concerned, of a critical mission or require-
ment of the uniformed services; or
(E) called into Federal service as a member of the Na-
tional Guard under chapter 15 of title 10 or under section
12406 of title 10.
(d)(1) An employer is not required to reemploy a person under
this chapter if—
(A) the employer’s circumstances have so changed as to
make such reemployment impossible or unreasonable;
(B) in the case of a person entitled to reemployment under
subsection (a)(3), (a)(4), or (b)(2)(B) of section 4313, such em-
ployment would impose an undue hardship on the employer; or
(C) the employment from which the person leaves to serve
in the uniformed services is for a brief, nonrecurrent period
and there is no reasonable expectation that such employment
will continue indefinitely or for a significant period.
(2) In any proceeding involving an issue of whether—
(A) any reemployment referred to in paragraph (1) is im-
possible or unreasonable because of a change in an employer’s
circumstances,
(B) any accommodation, training, or effort referred to in
subsection (a)(3), (a)(4), or (b)(2)(B) of section 4313 would im-
pose an undue hardship on the employer, or
(C) the employment referred to in paragraph (1)(C) is for
a brief, nonrecurrent period and there is no reasonable expec-
tation that such employment will continue indefinitely or for a
significant period,
the employer shall have the burden of proving the impossibility or
unreasonableness, undue hardship, or the brief or nonrecurrent na-
ture of the employment without a reasonable expectation of con-
tinuing indefinitely or for a significant period.
(e)(1) Subject to paragraph (2), a person referred to in sub-
section (a) shall, upon the completion of a period of service in the
uniformed services, notify the employer referred to in such sub-
section of the person’s intent to return to a position of employment
with such employer as follows:
(A) In the case of a person whose period of service in the
uniformed services was less than 31 days, by reporting to the
employer—
(i) not later than the beginning of the first full regu-
larly scheduled work period on the first full calendar day
following the completion of the period of service and the
expiration of eight hours after a period allowing for the

safe transportation of the person from the place of that
service to the person’s residence; or
(ii) as soon as possible after the expiration of the
eight-hour period referred to in clause (i), if reporting
within the period referred to in such clause is impossible
or unreasonable through no fault of the person.
(B) In the case of a person who is absent from a position
of employment for a period of any length for the purposes of
an examination to determine the person’s fitness to perform
service in the uniformed services, by reporting in the manner
and time referred to in subparagraph (A).
(C) In the case of a person whose period of service in the
uniformed services was for more than 30 days but less than
181 days, by submitting an application for reemployment with
the employer not later than 14 days after the completion of the
period of service or if submitting such application within such
period is impossible or unreasonable through no fault of the
person, the next first full calendar day when submission of
such application becomes possible.
(D) In the case of a person whose period of service in the
uniformed services was for more than 180 days, by submitting
an application for reemployment with the employer not later
than 90 days after the completion of the period of service.
(2)(A) A person who is hospitalized for, or convalescing from,
an illness or injury incurred in, or aggravated during, the perform-
ance of service in the uniformed services shall, at the end of the
period that is necessary for the person to recover from such illness
or injury, report to the person’s employer (in the case of a person
described in subparagraph (A) or (B) of paragraph (1)) or submit
an application for reemployment with such employer (in the case
of a person described in subparagraph (C) or (D) of such para-
graph). Except as provided in subparagraph (B), such period of re-
covery may not exceed two years.
(B) Such two-year period shall be extended by the minimum
time required to accommodate the circumstances beyond such per-
son’s control which make reporting within the period specified in
subparagraph (A) impossible or unreasonable.
(3) A person who fails to report or apply for employment or re-
employment within the appropriate period specified in this sub-
section shall not automatically forfeit such person’s entitlement to
the rights and benefits referred to in subsection (a) but shall be
subject to the conduct rules, established policy, and general prac-
tices of the employer pertaining to explanations and discipline with
respect to absence from scheduled work.
(f)(1) A person who submits an application for reemployment in
accordance with subparagraph (C) or (D) of subsection (e)(1) or sub-
section (e)(2) shall provide to the person’s employer (upon the re-
quest of such employer) documentation to establish that—
(A) the person’s application is timely;
(B) the person has not exceeded the service limitations set
forth in subsection (a)(2) (except as permitted under subsection
(c)); and
(C) the person’s entitlement to the benefits under this

chapter has not been terminated pursuant to section 4304.
(2) Documentation of any matter referred to in paragraph (1)
that satisfies regulations prescribed by the Secretary shall satisfy
the documentation requirements in such paragraph.
(3)(A) Except as provided in subparagraph (B), the failure of a
person to provide documentation that satisfies regulations pre-
scribed pursuant to paragraph (2) shall not be a basis for denying
reemployment in accordance with the provisions of this chapter if
the failure occurs because such documentation does not exist or is
not readily available at the time of the request of the employer. If,
after such reemployment, documentation becomes available that es-
tablishes that such person does not meet one or more of the re-
quirements referred to in subparagraphs (A), (B), and (C) of para-
graph (1), the employer of such person may terminate the employ-
ment of the person and the provision of any rights or benefits af-
forded the person under this chapter.
(B) An employer who reemploys a person absent from a posi-
tion of employment for more than 90 days may require that the
person provide the employer with the documentation referred to in
subparagraph (A) before beginning to treat the person as not hav-
ing incurred a break in service for pension purposes under section
4318(a)(2)(A).
(4) An employer may not delay or attempt to defeat a reem-
ployment obligation by demanding documentation that does not
then exist or is not then readily available.
(g) The right of a person to reemployment under this section
shall not entitle such person to retention, preference, or displace-
ment rights over any person with a superior claim under the provi-
sions of title 5, United States Code, relating to veterans and other
preference eligibles.
(h) In any determination of a person’s entitlement to protection
under this chapter, the timing, frequency, and duration of the per-
son’s training or service, or the nature of such training or service
(including voluntary service) in the uniformed services, shall not be
a basis for denying protection of this chapter if the service does not
exceed the limitations set forth in subsection (c) and the notice re-
quirements established in subsection (a)(1) and the notification re-
quirements established in subsection (e) are met.
§ 4313. Reemployment positions

(a) Subject to subsection (b) (in the case of any employee) and
sections 4314 and 4315 (in the case of an employee of the Federal
Government), a person entitled to reemployment under section
4312, upon completion of a period of service in the uniformed serv-
ices, shall be promptly reemployed in a position of employment in
accordance with the following order of priority:
(1) Except as provided in paragraphs (3) and (4), in the
case of a person whose period of service in the uniformed serv-
ices was for less than 91 days—
(A) in the position of employment in which the person
would have been employed if the continuous employment
of such person with the employer had not been interrupted

by such service, the duties of which the person is qualified
to perform; or
(B) in the position of employment in which the person
was employed on the date of the commencement of the
service in the uniformed services, only if the person is not
qualified to perform the duties of the position referred to
in subparagraph (A) after reasonable efforts by the em-
ployer to qualify the person.
(2) Except as provided in paragraphs (3) and (4), in the
case of a person whose period of service in the uniformed serv-
ices was for more than 90 days—
(A) in the position of employment in which the person
would have been employed if the continuous employment
of such person with the employer had not been interrupted
by such service, or a position of like seniority, status and
pay, the duties of which the person is qualified to perform;
or
(B) in the position of employment in which the person
was employed on the date of the commencement of the
service in the uniformed services, or a position of like se-
niority, status and pay, the duties of which the person is
qualified to perform, only if the person is not qualified to
perform the duties of a position referred to in subpara-
graph (A) after reasonable efforts by the employer to qual-
ify the person.
(3) In the case of a person who has a disability incurred
in, or aggravated during, such service, and who (after reason-
able efforts by the employer to accommodate the disability) is
not qualified due to such disability to be employed in the posi-
tion of employment in which the person would have been em-
ployed if the continuous employment of such person with the
employer had not been interrupted by such service—
(A) in any other position which is equivalent in senior-
ity, status, and pay, the duties of which the person is
qualified to perform or would become qualified to perform
with reasonable efforts by the employer; or
(B) if not employed under subparagraph (A), in a posi-
tion which is the nearest approximation to a position re-
ferred to in subparagraph (A) in terms of seniority, status,
and pay consistent with circumstances of such person’s
case.
(4) In the case of a person who (A) is not qualified to be
employed in (i) the position of employment in which the person
would have been employed if the continuous employment of
such person with the employer had not been interrupted by
such service, or (ii) in the position of employment in which
such person was employed on the date of the commencement
of the service in the uniformed services for any reason (other
than disability incurred in, or aggravated during, service in the
uniformed services), and (B) cannot become qualified with rea-
sonable efforts by the employer, in any other position which is
the nearest approximation to a position referred to first in
clause (A)(i) and then in clause (A)(ii) which such person is

qualified to perform, with full seniority.
(b)(1) If two or more persons are entitled to reemployment
under section 4312 in the same position of employment and more
than one of them has reported for such reemployment, the person
who left the position first shall have the prior right to reemploy-
ment in that position.
(2) Any person entitled to reemployment under section 4312
who is not reemployed in a position of employment by reason of
paragraph (1) shall be entitled to be reemployed as follows:
(A) Except as provided in subparagraph (B), in any other
position of employment referred to in subsection (a)(1) or (a)(2),
as the case may be (in the order of priority set out in the appli-
cable subsection), that provides a similar status and pay to a
position of employment referred to in paragraph (1) of this sub-
section, consistent with the circumstances of such person’s
case, with full seniority.
(B) In the case of a person who has a disability incurred
in, or aggravated during, a period of service in the uniformed
services that requires reasonable efforts by the employer for
the person to be able to perform the duties of the position of
employment, in any other position referred to in subsection
(a)(3) (in the order of priority set out in that subsection) that
provides a similar status and pay to a position referred to in
paragraph (1) of this subsection, consistent with circumstances
of such person’s case, with full seniority.
§ 4314. Reemployment by the Federal Government

(a) Except as provided in subsections (b), (c), and (d), if a per-
son is entitled to reemployment by the Federal Government under
section 4312, such person shall be reemployed in a position of em-
ployment as described in section 4313.
(b)(1) If the Director of the Office of Personnel Management
makes a determination described in paragraph (2) with respect to
a person who was employed by a Federal executive agency at the
time the person entered the service from which the person seeks
reemployment under this section, the Director shall—
(A) identify a position of like seniority, status, and pay at
another Federal executive agency that satisfies the require-
ments of section 4313 and for which the person is qualified;
and
(B) ensure that the person is offered such position.
(2) The Director shall carry out the duties referred to in sub-
paragraphs (A) and (B) of paragraph (1) if the Director determines
that—
(A) the Federal executive agency that employed the person
referred to in such paragraph no longer exists and the func-
tions of such agency have not been transferred to another Fed-
eral executive agency; or
(B) it is impossible or unreasonable for the agency to reem-
ploy the person.
(c) If the employer of a person described in subsection (a) was,

at the time such person entered the service from which such person
seeks reemployment under this section, a part of the judicial
branch or the legislative branch of the Federal Government, and
such employer determines that it is impossible or unreasonable for
such employer to reemploy such person, such person shall, upon
application to the Director of the Office of Personnel Management,
be ensured an offer of employment in an alternative position in a
Federal executive agency on the basis described in subsection (b).
(d) If the adjutant general of a State determines that it is im-
possible or unreasonable to reemploy a person who was a National
Guard technician employed under section 709 of title 32, such per-
son shall, upon application to the Director of the Office of Per-
sonnel Management, be ensured an offer of employment in an al-
ternative position in a Federal executive agency on the basis de-
scribed in subsection (b).
§ 4315. Reemployment by certain Federal agencies
(a) The head of each agency referred to in section
2302(a)(2)(C)(ii) of title 5 shall prescribe procedures for ensuring
that the rights under this chapter apply to the employees of such
agency.
(b) In prescribing procedures under subsection (a), the head of
an agency referred to in that subsection shall ensure, to the max-
imum extent practicable, that the procedures of the agency for re-
employing persons who serve in the uniformed services provide for
the reemployment of such persons in the agency in a manner simi-
lar to the manner of reemployment described in section 4313.
(c)(1) The procedures prescribed under subsection (a) shall des-
ignate an official at the agency who shall determine whether or not
the reemployment of a person referred to in subsection (b) by the
agency is impossible or unreasonable.
(2) Upon making a determination that the reemployment by
the agency of a person referred to in subsection (b) is impossible
or unreasonable, the official referred to in paragraph (1) shall no-
tify the person and the Director of the Office of Personnel Manage-
ment of such determination.
(3) A determination pursuant to this subsection shall not be
subject to judicial review.
(4) The head of each agency referred to in subsection (a) shall
submit to the Select Committee on Intelligence and the Committee
on Veterans’ Affairs of the Senate and the Permanent Select Com-
mittee on Intelligence and the Committee on Veterans’ Affairs of
the House of Representatives on an annual basis a report on the
number of persons whose reemployment with the agency was deter-
mined under this subsection to be impossible or unreasonable dur-
ing the year preceding the report, including the reason for each
such determination.
(d)(1) Except as provided in this section, nothing in this sec-
tion, section 4313, or section 4325 shall be construed to exempt any
agency referred to in subsection (a) from compliance with any other
substantive provision of this chapter.
(2) This section may not be construed—
(A) as prohibiting an employee of an agency referred to in

subsection (a) from seeking information from the Secretary re-
garding assistance in seeking reemployment from the agency
under this chapter, alternative employment in the Federal
Government under this chapter, or information relating to the
rights and obligations of employee and Federal agencies under
this chapter; or
(B) as prohibiting such an agency from voluntarily cooper-
ating with or seeking assistance in or of clarification from the
Secretary or the Director of the Office of Personnel Manage-
ment of any matter arising under this chapter.
(e) The Director of the Office of Personnel Management shall
ensure the offer of employment to a person in a position in a Fed-
eral executive agency on the basis described in subsection (b) if—
(1) the person was an employee of an agency referred to
in section 2302(a)(2)(C)(ii) of title 5 at the time the person en-
tered the service from which the person seeks reemployment
under this section;
(2) the appropriate officer of the agency determines under
subsection (c) that reemployment of the person by the agency
is impossible or unreasonable; and
(3) the person submits an application to the Director for an
offer of employment under this subsection.
§ 4316. Rights, benefits, and obligations of persons absent

from employment for service in a uniformed serv-
ice
(a) A person who is reemployed under this chapter is entitled
to the seniority and other rights and benefits determined by senior-
ity that the person had on the date of the commencement of service
in the uniformed services plus the additional seniority and rights
and benefits that such person would have attained if the person
had remained continuously employed.
(b)(1) Subject to paragraphs (2) through (6), a person who is
absent from a position of employment by reason of service in the
uniformed services shall be—
(A) deemed to be on furlough or leave of absence while per-
forming such service; and
(B) entitled to such other rights and benefits not deter-
mined by seniority as are generally provided by the employer
of the person to employees having similar seniority, status, and
pay who are on furlough or leave of absence under a contract,
agreement, policy, practice, or plan in effect at the commence-
ment of such service or established while such person performs
such service.
(2)(A) Subject to subparagraph (B), a person who—
(i) is absent from a position of employment by reason of
service in the uniformed services, and
(ii) knowingly provides written notice of intent not to re-
turn to a position of employment after service in the uniformed
service,
is not entitled to rights and benefits under paragraph (1)(B).
(B) For the purposes of subparagraph (A), the employer shall

have the burden of proving that a person knowingly provided clear
written notice of intent not to return to a position of employment
after service in the uniformed service and, in doing so, was aware
of the specific rights and benefits to be lost under subparagraph
(A).
(3) A person deemed to be on furlough or leave of absence
under this subsection while serving in the uniformed services shall
not be entitled under this subsection to any benefits to which the
person would not otherwise be entitled if the person had remained
continuously employed.
(4) Such person may be required to pay the employee cost, if
any, of any funded benefit continued pursuant to paragraph (1) to
the extent other employees on furlough or leave of absence are so
required.
(5) The entitlement of a person to coverage under a health plan
is provided for under section 4317.
(6) The entitlement of a person to a right or benefit under an
employee pension benefit plan is provided for under section 4318.
(c) A person who is reemployed by an employer under this
chapter shall not be discharged from such employment, except for
cause—
(1) within one year after the date of such reemployment,
if the person’s period of service before the reemployment was
more than 180 days; or
(2) within 180 days after the date of such reemployment,
if the person’s period of service before the reemployment was
more than 30 days but less than 181 days.
(d) Any person whose employment with an employer is inter-
rupted by a period of service in the uniformed services shall be per-
mitted, upon request of that person, to use during such period of
service any vacation, annual, or similar leave with pay accrued by
the person before the commencement of such service. No employer
may require any such person to use vacation, annual, or similar
leave during such period of service.
(e)(1) An employer shall grant an employee who is a member
of a reserve component an authorized leave of absence from a posi-
tion of employment to allow that employee to perform funeral hon-
ors duty as authorized by section 12503 of title 10 or section 115
of title 32.
(2) For purposes of section 4312(e)(1) of this title, an employee
who takes an authorized leave of absence under paragraph (1) is
deemed to have notified the employer of the employee’s intent to
return to such position of employment.
III, Sec. 323(b), Nov. 1, 2000, 114 Stat. 1855.)
§ 4317. Health plans

(a)(1) In any case in which a person (or the person’s depend-
ents) has coverage under a health plan in connection with the per-
son’s position of employment, including a group health plan (as de-
fined in section 607(1) of the Employee Retirement Income Security
Act of 1974), and such person is absent from such position of em-
ployment by reason of service in the uniformed services, or such

person becomes eligible for medical and dental care under chapter
55 of title 10 by reason of subsection (d) of section 1074 of that
title, the plan shall provide that the person may elect to continue
such coverage as provided in this subsection. The maximum period
of coverage of a person and the person’s dependents under such an
election shall be the lesser of—
(A) the 24-month period beginning on the date on which
the person’s absence begins; or
(B) the day after the date on which the person fails to
apply for or return to a position of employment, as determined
under section 4312(e).
(2) A person who elects to continue health-plan coverage under
this paragraph may be required to pay not more than 102 percent
of the full premium under the plan (determined in the same man-
ner as the applicable premium under section 4980B(f)(4) of the In-
ternal Revenue Code of 1986) associated with such coverage for the
employer’s other employees, except that in the case of a person who
performs service in the uniformed services for less than 31 days,
such person may not be required to pay more than the employee
share, if any, for such coverage.
(3) In the case of a health plan that is a multiemployer plan,
as defined in section 3(37) of the Employee Retirement Income Se-
curity Act of 1974, any liability under the plan for employer con-
tributions and benefits arising under this paragraph shall be allo-
cated—
(A) by the plan in such manner as the plan sponsor shall
provide; or
(B) if the sponsor does not provide—
(i) to the last employer employing the person before
the period served by the person in the uniformed services,
or
(ii) if such last employer is no longer functional, to the
plan.
(b)(1) Except as provided in paragraph (2), in the case of a per-
son whose coverage under a health plan was terminated by reason
of service in the uniformed services, or by reason of the person’s
having become eligible for medical and dental care under chapter
55 of title 10 by reason of subsection (d) of section 1074 of that
title, an exclusion or waiting period may not be imposed in connec-
tion with the reinstatement of such coverage upon reemployment
under this chapter if an exclusion or waiting period would not have
been imposed under a health plan had coverage of such person by
such plan not been terminated as a result of such service or eligi-
bility. This paragraph applies to the person who is reemployed and
to any individual who is covered by such plan by reason of the rein-
statement of the coverage of such person.
(2) Paragraph (1) shall not apply to the coverage of any illness
or injury determined by the Secretary of Veterans Affairs to have
been incurred in, or aggravated during, performance of service in
the uniformed services.
(3) In the case of a person whose coverage under a health plan
is terminated by reason of the person having become eligible for
medical and dental care under chapter 55 of title 10 by reason of
subsection (d) of section 1074 of that title but who subsequently

does not commence a period of active duty under the order to active
duty that established such eligibility because the order is canceled
before such active duty commences, the provisions of paragraph (1)
relating to any exclusion or waiting period in connection with the
reinstatement of coverage under a health plan shall apply to such
person’s continued employment, upon the termination of such eligi-
bility for medical and dental care under chapter 55 of title 10 that
is incident to the cancellation of such order, in the same manner
as if the person had become reemployed upon such termination of
eligibility.
II, Sec. 201(a), Dec. 10, 2004, 118 Stat. 3605; Pub. L. 109–233, title III, Sec. 303,
June 15, 2006, 120 Stat. 406.)
§ 4318. Employee pension benefit plans

(a)(1)(A) Except as provided in subparagraph (B), in the case
of a right provided pursuant to an employee pension benefit plan
(including those described in sections 3(2) and 3(33) of the Em-
ployee Retirement Income Security Act of 1974) or a right provided
under any Federal or State law governing pension benefits for gov-
ernmental employees, the right to pension benefits of a person re-
employed under this chapter shall be determined under this sec-
tion.
(B) In the case of benefits under the Thrift Savings Plan, the
rights of a person reemployed under this chapter shall be those
rights provided in section 8432b of title 5. The first sentence of this
subparagraph shall not be construed to affect any other right or
benefit under this chapter.
(2)(A) A person reemployed under this chapter shall be treated
as not having incurred a break in service with the employer or em-
ployers maintaining the plan by reason of such person’s period or
periods of service in the uniformed services.
(B) Each period served by a person in the uniformed services
shall, upon reemployment under this chapter, be deemed to con-
stitute service with the employer or employers maintaining the
plan for the purpose of determining the nonforfeitability of the per-
son’s accrued benefits and for the purpose of determining the ac-
crual of benefits under the plan.
(b)(1) An employer reemploying a person under this chapter
shall, with respect to a period of service described in subsection
(a)(2)(B), be liable to an employee pension benefit plan for funding
any obligation of the plan to provide the benefits described in sub-
section (a)(2) and shall allocate the amount of any employer con-
tribution for the person in the same manner and to the same ex-
tent the allocation occurs for other employees during the period of
service. For purposes of determining the amount of such liability
and any obligation of the plan, earnings and forfeitures shall not
be included. For purposes of determining the amount of such liabil-
ity and for purposes of section 515 of the Employee Retirement In-
come Security Act of 1974 or any similar Federal or State law gov-
erning pension benefits for governmental employees, service in the
uniformed services that is deemed under subsection (a) to be serv-
ice with the employer shall be deemed to be service with the em-
ployer under the terms of the plan or any applicable collective bar-
gaining agreement. In the case of a multiemployer plan, as defined
in section 3(37) of the Employee Retirement Income Security Act
of 1974, any liability of the plan described in this paragraph shall
be allocated—
(A) by the plan in such manner as the sponsor maintaining
the plan shall provide; or
(B) if the sponsor does not provide—
(i) to the last employer employing the person before
the period served by the person in the uniformed services,
or
(ii) if such last employer is no longer functional, to the
plan.
(2) A person reemployed under this chapter shall be entitled to
accrued benefits pursuant to subsection (a) that are contingent on
the making of, or derived from, employee contributions or elective
deferrals (as defined in section 402(g)(3) of the Internal Revenue
Code of 1986) only to the extent the person makes payment to the
plan with respect to such contributions or deferrals. No such pay-
ment may exceed the amount the person would have been per-
mitted or required to contribute had the person remained continu-
ously employed by the employer throughout the period of service
described in subsection (a)(2)(B). Any payment to the plan de-
scribed in this paragraph shall be made during the period begin-
ning with the date of reemployment and whose duration is three
times the period of the person’s service in the uniformed services,
such payment period not to exceed five years.
(3) For purposes of computing an employer’s liability under
paragraph (1) or the employee’s contributions under paragraph (2),
the employee’s compensation during the period of service described
in subsection (a)(2)(B) shall be computed—
(A) at the rate the employee would have received but for
the period of service described in subsection (a)(2)(B), or
(B) in the case that the determination of such rate is not
reasonably certain, on the basis of the employee’s average rate
of compensation during the 12-month period immediately pre-
ceding such period (or, if shorter, the period of employment im-
mediately preceding such period).
(c) Any employer who reemploys a person under this chapter
and who is an employer contributing to a multiemployer plan, as
defined in section 3(37) of the Employee Retirement Income Secu-
rity Act of 1974, under which benefits are or may be payable to
such person by reason of the obligations set forth in this chapter,
shall, within 30 days after the date of such reemployment, provide
information, in writing, of such reemployment to the administrator
of such plan.
§ 4319. Employment and reemployment rights in foreign

countries
(a) LIABILITY OF CONTROLLING UNITED STATES EMPLOYER OF
FOREIGN ENTITY.—If an employer controls an entity that is incor-
porated or otherwise organized in a foreign country, any denial of

employment, reemployment, or benefit by such entity shall be pre-
sumed to be by such employer.
(b) INAPPLICABILITY TO FOREIGN EMPLOYER.—This subchapter
does not apply to foreign operations of an employer that is a for-
eign person not controlled by an United States employer.
(c) DETERMINATION OF CONTROLLING EMPLOYER.—For the pur-
pose of this section, the determination of whether an employer con-
trols an entity shall be based upon the interrelations of operations,
common management, centralized control of labor relations, and
common ownership or financial control of the employer and the en-
tity.
(d) EXEMPTION.—Notwithstanding any other provision of this
subchapter, an employer, or an entity controlled by an employer,
shall be exempt from compliance with any of sections 4311 through
4318 of this title with respect to an employee in a workplace in a
foreign country, if compliance with that section would cause such
employer, or such entity controlled by an employer, to violate the
law of the foreign country in which the workplace is located.
(Added Pub. L. 105–368, title II, Sec. 212(b)(1), Nov. 11, 1998, 112 Stat. 3331.)
SUBCHAPTER III—PROCEDURES FOR ASSISTANCE,

ENFORCEMENT, AND INVESTIGATION
§ 4321. Assistance in obtaining reemployment or other em-
ployment rights or benefits
The Secretary (through the Veterans’ Employment and Train-
ing Service) shall provide assistance to any person with respect to
the employment and reemployment rights and benefits to which
such person is entitled under this chapter. In providing such assist-
ance, the Secretary may request the assistance of existing Federal
and State agencies engaged in similar or related activities and uti-
lize the assistance of volunteers.
§ 4322. Enforcement of employment or reemployment rights
(a) A person who claims that—
(1) such person is entitled under this chapter to employ-
ment or reemployment rights or benefits with respect to em-
ployment by an employer; and
(2)(A) such employer has failed or refused, or is about to
fail or refuse, to comply with the provisions of this chapter; or
(B) in the case that the employer is a Federal executive
agency, such employer or the Office of Personnel Management
has failed or refused, or is about to fail or refuse, to comply
with the provisions of this chapter,
may file a complaint with the Secretary in accordance with sub-
section (b), and the Secretary shall investigate such complaint.
(b) Such complaint shall be in writing, be in such form as the
Secretary may prescribe, include the name and address of the em-
ployer against whom the complaint is filed, and contain a summary
of the allegations that form the basis for the complaint.
(c)(1) Not later than five days after the Secretary receives a
complaint submitted by a person under subsection (a), the Sec-
retary shall notify such person in writing of his or her rights with
respect to such complaint under this section and section 4323 or
4324, as the case may be.
(2) The Secretary shall, upon request, provide technical assist-
ance to a potential claimant with respect to a complaint under this
subsection, and when appropriate, to such claimant’s employer.
(d) The Secretary shall investigate each complaint submitted
pursuant to subsection (a). If the Secretary determines as a result
of the investigation that the action alleged in such complaint oc-
curred, the Secretary shall attempt to resolve the complaint by
making reasonable efforts to ensure that the person or entity
named in the complaint complies with the provisions of this chap-
ter.
(e) If the efforts of the Secretary with respect to any complaint
filed under subsection (a) do not resolve the complaint, the Sec-
retary shall notify the person who submitted the complaint in writ-
ing of—
(1) the results of the Secretary’s investigation; and
(2) the complainant’s entitlement to proceed under the en-
forcement of rights provisions provided under section 4323 (in
the case of a person submitting a complaint against a State or
private employer) or section 4324 (in the case of a person sub-
mitting a complaint against a Federal executive agency or the
Office of Personnel Management).
(f) Any action required by subsections (d) and (e) with respect
to a complaint submitted by a person to the Secretary under sub-
section (a) shall be completed by the Secretary not later than 90
days after receipt of such complaint.
(g) This subchapter does not apply to any action relating to
benefits to be provided under the Thrift Savings Plan under title
5.
III, Sec. 311(a)–(c), Oct. 10, 2008, 122 Stat. 4162.)
§ 4323. Enforcement of rights with respect to a State or pri-

vate employer
(a) ACTION FOR RELIEF.—(1) A person who receives from the
Secretary a notification pursuant to section 4322(e) of this title of
an unsuccessful effort to resolve a complaint relating to a State (as
an employer) or a private employer may request that the Secretary
refer the complaint to the Attorney General. Not later than 60 days
after the Secretary receives such a request with respect to a com-
plaint, the Secretary shall refer the complaint to the Attorney Gen-
eral. If the Attorney General is reasonably satisfied that the person
on whose behalf the complaint is referred is entitled to the rights
or benefits sought, the Attorney General may appear on behalf of,
and act as attorney for, the person on whose behalf the complaint
is submitted and commence an action for relief under this chapter
for such person. In the case of such an action against a State (as
an employer), the action shall be brought in the name of the United
States as the plaintiff in the action.
(2) Not later than 60 days after the date the Attorney General
receives a referral under paragraph (1), the Attorney General
shall—
(A) make a decision whether to appear on behalf of, and
act as attorney for, the person on whose behalf the complaint
is submitted; and
(B) notify such person in writing of such decision.
(3) A person may commence an action for relief with respect
to a complaint against a State (as an employer) or a private em-
ployer if the person—
(A) has chosen not to apply to the Secretary for assistance
under section 4322(a) of this title;
(B) has chosen not to request that the Secretary refer the
complaint to the Attorney General under paragraph (1); or
(C) has been refused representation by the Attorney Gen-
eral with respect to the complaint under such paragraph.
(b) JURISDICTION.—(1) In the case of an action against a State
(as an employer) or a private employer commenced by the United
States, the district courts of the United States shall have jurisdic-
tion over the action.
(2) In the case of an action against a State (as an employer)
by a person, the action may be brought in a State court of com-
petent jurisdiction in accordance with the laws of the State.
(3) In the case of an action against a private employer by a
person, the district courts of the United States shall have jurisdic-
tion of the action.
(c) VENUE.—(1) In the case of an action by the United States
against a State (as an employer), the action may proceed in the
United States district court for any district in which the State exer-
cises any authority or carries out any function.
(2) In the case of an action against a private employer, the ac-
tion may proceed in the United States district court for any district
in which the private employer of the person maintains a place of
business.
(d) REMEDIES.—(1) In any action under this section, the court
may award relief as follows:
(A) The court may require the employer to comply with the
provisions of this chapter.
(B) The court may require the employer to compensate the
person for any loss of wages or benefits suffered by reason of
such employer’s failure to comply with the provisions of this
chapter.
(C) The court may require the employer to pay the person
an amount equal to the amount referred to in subparagraph
(B) as liquidated damages, if the court determines that the em-
ployer’s failure to comply with the provisions of this chapter
was willful.
(2)(A) Any compensation awarded under subparagraph (B) or
(C) of paragraph (1) shall be in addition to, and shall not diminish,
any of the other rights and benefits provided for under this chap-
ter.
(B) In the case of an action commenced in the name of the
United States for which the relief includes compensation awarded
under subparagraph (B) or (C) of paragraph (1), such compensation
shall be held in a special deposit account and shall be paid, on

order of the Attorney General, directly to the person. If the com-
pensation is not paid to the person because of inability to do so
within a period of 3 years, the compensation shall be covered into
the Treasury of the United States as miscellaneous receipts.
(3) A State shall be subject to the same remedies, including
prejudgment interest, as may be imposed upon any private em-
ployer under this section.
(e) EQUITY POWERS.—The court shall use, in any case in which
the court determines it is appropriate, its full equity powers, in-
cluding temporary or permanent injunctions, temporary restraining
orders, and contempt orders, to vindicate fully the rights or bene-
fits of persons under this chapter.
(f) STANDING.—An action under this chapter may be initiated
only by a person claiming rights or benefits under this chapter
under subsection (a) or by the United States under subsection
(a)(1).
(g) RESPONDENT.—In any action under this chapter, only an
employer or a potential employer, as the case may be, shall be a
necessary party respondent.
(h) FEES, COURT COSTS.—(1) No fees or court costs may be
charged or taxed against any person claiming rights under this
chapter.
(2) In any action or proceeding to enforce a provision of this
chapter by a person under subsection (a)(2) who obtained private
counsel for such action or proceeding, the court may award any
such person who prevails in such action or proceeding reasonable
attorney fees, expert witness fees, and other litigation expenses.
(i) DEFINITION.—In this section, the term ‘‘private employer’’
includes a political subdivision of a State.
II, Sec. 211(a), Nov. 11, 1998, 112 Stat. 3329; Pub. L. 110–389, title III, Secs.
311(d)(1), (e)(1), (f)(3), 315, Oct. 10, 2008, 122 Stat. 4162–4164, 4167.)
§ 4324. Enforcement of rights with respect to Federal execu-

tive agencies
(a)(1) A person who receives from the Secretary a notification
pursuant to section 4322(e) may request that the Secretary refer
the complaint for litigation before the Merit Systems Protection
Board. Not later than 60 days after the date the Secretary receives
such a request, the Secretary shall refer the complaint to the Office
of Special Counsel established by section 1211 of title 5.
(2)(A) If the Special Counsel is reasonably satisfied that the
person on whose behalf a complaint is referred under paragraph (1)
is entitled to the rights or benefits sought, the Special Counsel
(upon the request of the person submitting the complaint) may ap-
pear on behalf of, and act as attorney for, the person and initiate
an action regarding such complaint before the Merit Systems Pro-
tection Board.
(B) Not later than 60 days after the date the Special Counsel
receives a referral under paragraph (1), the Special Counsel shall—
(i) make a decision whether to represent a person before

the Merit Systems Protection Board under subparagraph (A);
and
(ii) notify such person in writing of such decision.
(b) A person may submit a complaint against a Federal execu-
tive agency or the Office of Personnel Management under this sub-
chapter directly to the Merit Systems Protection Board if that per-
son—
(1) has chosen not to apply to the Secretary for assistance
under section 4322(a);
(2) has received a notification from the Secretary under
section 4322(e);
(3) has chosen not to be represented before the Board by
the Special Counsel pursuant to subsection (a)(2)(A); or
(4) has received a notification of a decision from the Spe-
cial Counsel under subsection (a)(2)(B).
(c)(1) The Merit Systems Protection Board shall adjudicate any
complaint brought before the Board pursuant to subsection
(a)(2)(A) or (b), without regard as to whether the complaint accrued
before, on, or after October 13, 1994. A person who seeks a hearing
or adjudication by submitting such a complaint under this para-
graph may be represented at such hearing or adjudication in ac-
cordance with the rules of the Board.
(2) If the Board determines that a Federal executive agency or
the Office of Personnel Management has not complied with the pro-
visions of this chapter relating to the employment or reemployment
of a person by the agency, the Board shall enter an order requiring
the agency or Office to comply with such provisions and to com-
pensate such person for any loss of wages or benefits suffered by
such person by reason of such lack of compliance.
(3) Any compensation received by a person pursuant to an
order under paragraph (2) shall be in addition to any other right
or benefit provided for by this chapter and shall not diminish any
such right or benefit.
(4) If the Board determines as a result of a hearing or adju-
dication conducted pursuant to a complaint submitted by a person
directly to the Board pursuant to subsection (b) that such person
is entitled to an order referred to in paragraph (2), the Board may,
in its discretion, award such person reasonable attorney fees, ex-
pert witness fees, and other litigation expenses.
(d)(1) A person adversely affected or aggrieved by a final order
or decision of the Merit Systems Protection Board under subsection
(c) may petition the United States Court of Appeals for the Federal
Circuit to review the final order or decision. Such petition and re-
view shall be in accordance with the procedures set forth in section
7703 of title 5.
(2) Such person may be represented in the Federal Circuit pro-
ceeding by the Special Counsel unless the person was not rep-
resented by the Special Counsel before the Merit Systems Protec-
tion Board regarding such order or decision.
II, Sec. 213(a), Nov. 11, 1998, 112 Stat. 3331; Pub. L. 110–389, title III, Sec.
311(d)(2), (e)(2), Oct. 10, 2008, 122 Stat. 4163.)
§ 4325. Enforcement of rights with respect to certain Fed-

eral agencies
(a) This section applies to any person who alleges that—
(1) the reemployment of such person by an agency referred
to in subsection (a) of section 4315 was not in accordance with
procedures for the reemployment of such person under sub-
section (b) of such section; or
(2) the failure of such agency to reemploy the person under
such section was otherwise wrongful.
(b) Any person referred to in subsection (a) may submit a claim
relating to an allegation referred to in that subsection to the in-
spector general of the agency which is the subject of the allegation.
The inspector general shall investigate and resolve the allegation
pursuant to procedures prescribed by the head of the agency.
(c) In prescribing procedures for the investigation and resolu-
tion of allegations under subsection (b), the head of an agency shall
ensure, to the maximum extent practicable, that the procedures are
similar to the procedures for investigating and resolving complaints
utilized by the Secretary under section 4322(d).
(d) This section may not be construed—
(1) as prohibiting an employee of an agency referred to in
subsection (a) from seeking information from the Secretary re-
garding assistance in seeking reemployment from the agency
under this chapter or information relating to the rights and ob-
ligations of employees and Federal agencies under this chapter;
or
(2) as prohibiting such an agency from voluntarily cooper-
ating with or seeking assistance in or of clarification from the
Secretary or the Director of the Office of Personnel Manage-
ment of any matter arising under this chapter.
§ 4326. Conduct of investigation; subpoenas

(a) In carrying out any investigation under this chapter, the
Secretary’s duly authorized representatives shall, at all reasonable
times, have reasonable access to and the right to interview persons
with information relevant to the investigation and shall have rea-
sonable access to, for purposes of examination, and the right to
copy and receive, any documents of any person or employer that
the Secretary considers relevant to the investigation.
(b) In carrying out any investigation under this chapter, the
Secretary may require by subpoena the attendance and testimony
of witnesses and the production of documents relating to any mat-
ter under investigation. In case of disobedience of the subpoena or
contumacy and on request of the Secretary, the Attorney General
may apply to any district court of the United States in whose juris-
diction such disobedience or contumacy occurs for an order enforc-
ing the subpoena.
(c) Upon application, the district courts of the United States
shall have jurisdiction to issue writs commanding any person or
employer to comply with the subpoena of the Secretary or to com-
ply with any order of the Secretary made pursuant to a lawful in-
vestigation under this chapter and the district courts shall have ju-
risdiction to punish failure to obey a subpoena or other lawful
order of the Secretary as a contempt of court.
(d) Subsections (b) and (c) shall not apply to the legislative
branch or the judicial branch of the United States.
§ 4327. Noncompliance of Federal officials with deadlines;
inapplicability of statutes of limitations
(a) EFFECT OF NONCOMPLIANCE OF FEDERAL OFFICIALS WITH
DEADLINES.—(1) The inability of the Secretary, the Attorney Gen-
eral, or the Special Counsel to comply with a deadline applicable
to such official under section 4322, 4323, or 4324 of this title—
(A) shall not affect the authority of the Attorney General
or the Special Counsel to represent and file an action or submit
a complaint on behalf of a person under section 4323 or 4324
of this title;
(B) shall not affect the right of a person—
(i) to commence an action under section 4323 of this
title;
(ii) to submit a complaint under section 4324 of this
title; or
(iii) to obtain any type of assistance or relief author-
ized by this chapter;
(C) shall not deprive a Federal court, the Merit Systems
Protection Board, or a State court of jurisdiction over an action
or complaint filed by the Attorney General, the Special Coun-
sel, or a person under section 4323 or 4324 of this title; and
(D) shall not constitute a defense, including a statute of
limitations period, that any employer (including a State, a pri-
vate employer, or a Federal executive agency) or the Office of
Personnel Management may raise in an action filed by the At-
torney General, the Special Counsel, or a person under section
4323 or 4324 of this title.
(2) If the Secretary, the Attorney General, or the Special Coun-
sel is unable to meet a deadline applicable to such official in sec-
tion 4322(f), 4323(a)(1), 4323(a)(2), 4324(a)(1), or 4324(a)(2)(B) of
this title, and the person agrees to an extension of time, the Sec-
retary, the Attorney General, or the Special Counsel, as the case
may be, shall complete the required action within the additional
period of time agreed to by the person.
(b) INAPPLICABILITY OF STATUTES OF LIMITATIONS.—If any per-
son seeks to file a complaint or claim with the Secretary, the Merit
Systems Protection Board, or a Federal or State court under this
chapter alleging a violation of this chapter, there shall be no limit
on the period for filing the complaint or claim.
(Added Pub. L. 110–389, title III, Sec. 311(f)(1), Oct. 10, 2008, 122 Stat. 4163.)

(a) The Secretary (in consultation with the Secretary of De-
fense) may prescribe regulations implementing the provisions of
this chapter with regard to the application of this chapter to

States, local governments, and private employers.
(b)(1) The Director of the Office of Personnel Management (in
consultation with the Secretary and the Secretary of Defense) may
prescribe regulations implementing the provisions of this chapter
with regard to the application of this chapter to Federal executive
agencies (other than the agencies referred to in paragraph (2)) as
employers. Such regulations shall be consistent with the regula-
tions pertaining to the States as employers and private employers,
except that employees of the Federal Government may be given
greater or additional rights.
(2) The following entities may prescribe regulations to carry
out the activities of such entities under this chapter:
(A) The Merit Systems Protection Board.
(B) The Office of Special Counsel.
(C) The agencies referred to in section 2302(a)(2)(C)(ii) of
title 5.
109–233, title V, Sec. 503(14), June 15, 2006, 120 Stat. 417.)
§ 4332. Reports
(a) ANNUAL REPORT BY SECRETARY.—The Secretary shall, after
consultation with the Attorney General and the Special Counsel re-
ferred to in section 4324(a)(1), transmit to Congress not later than
July 1 each year a report on matters for the fiscal year ending in
the year before the year in which such report is transmitted as fol-
lows:
(1) The number of cases reviewed by the Department of
Labor under this chapter during the fiscal year for which the
report is made.
(2) The number of cases reviewed by the Secretary of De-
fense under the National Committee for Employer Support of
the Guard and Reserve of the Department of Defense during
the fiscal year for which the report is made.
(3) The number of cases referred to the Attorney General
or the Special Counsel pursuant to section 4323 or 4324, re-
spectively, during such fiscal year and the number of actions
initiated by the Office of Special Counsel before the Merit Sys-
tems Protection Board pursuant to section 4324 during such
fiscal year.
(4) The number of complaints filed by the Attorney Gen-
eral pursuant to section 4323 during such fiscal year.
(5) The number of cases reviewed by the Secretary and the
Secretary of Defense through the National Committee for Em-
ployer Support of the Guard and Reserve of the Department of
Defense that involve the same person.
(6) With respect to the cases reported on pursuant to para-
graphs (1), (2), (3), (4), and (5)—
(A) the number of such cases that involve a disability-
related issue; and
(B) the number of such cases that involve a person
who has a service-connected disability.
(7) The nature and status of each case reported on pursu-
ant to paragraph (1), (2), (3), (4), or (5).
(8) With respect to the cases reported on pursuant to para-

graphs (1), (2), (3), (4), and (5) the number of such cases that
involve persons with different occupations or persons seeking
different occupations, as designated by the Standard Occupa-
tional Classification System.
(9) An indication of whether there are any apparent pat-
terns of violation of the provisions of this chapter, together
with an explanation thereof.
(10) Recommendations for administrative or legislative ac-
tion that the Secretary, the Attorney General, or the Special
Counsel considers necessary for the effective implementation of
this chapter, including any action that could be taken to en-
courage mediation, before claims are filed under this chapter,
between employers and persons seeking employment or reem-
ployment.
(b) QUARTERLY REPORTS.—
(1) QUARTERLY REPORT BY SECRETARY.—Not later than 30
days after the end of each fiscal quarter, the Secretary shall
submit to Congress, the Secretary of Defense, the Attorney
General, and the Special Counsel a report setting forth, for the
previous full quarter, the following:
(A) The number of cases for which the Secretary did
not meet the requirements of section 4322(f) of this title.
(B) The number of cases for which the Secretary re-
ceived a request for a referral under paragraph (1) of sec-
tion 4323(a) of this title but did not make such referral
within the time period required by such paragraph.
(2) QUARTERLY REPORT BY ATTORNEY GENERAL.—Not later
than 30 days after the end of each fiscal quarter, the Attorney
General shall submit to Congress, the Secretary, the Secretary
of Defense, and the Special Counsel a report setting forth, for
the previous full quarter, the number of cases for which the At-
torney General received a referral under paragraph (1) of sec-
tion 4323(a) of this title but did not meet the requirements of
paragraph (2) of section 4323(a) of this title for such referral.
(3) QUARTERLY REPORT BY SPECIAL COUNSEL.—Not later
than 30 days after the end of each fiscal quarter, the Special
Counsel shall submit to Congress, the Secretary, the Secretary
of Defense, and the Attorney General a report setting forth, for
the previous full quarter, the number of cases for which the
Special Counsel received a referral under paragraph (1) of sec-
tion 4324(a) of this title but did not meet the requirements of
paragraph (2)(B) of section 4324(a) of this title for such refer-
ral.
(c) UNIFORM CATEGORIZATION OF DATA.—The Secretary shall
coordinate with the Secretary of Defense, the Attorney General,
and the Special Counsel to ensure that—
(1) the information in the reports required by this section
is categorized in a uniform way; and
(2) the Secretary, the Secretary of Defense, the Attorney
General, and the Special Counsel each have electronic access
to the case files reviewed under this chapter by the Secretary,
the Secretary of Defense, the Attorney General, and the Spe-
cial Counsel with due regard for the provisions of section 552a
of title 5.
108–454, title II, Sec. 202, Dec. 10, 2004, 118 Stat. 3606; Pub. L. 110–181, div. A,
title V, Sec. 595, Jan. 28, 2008, 122 Stat. 139; Pub. L. 110–389, title III, Sec. 312(a)–
(d), Oct. 10, 2008, 122 Stat. 4164, 4165.)
§ 4333. Outreach
The Secretary, the Secretary of Defense, and the Secretary of
Veterans Affairs shall take such actions as such Secretaries deter-
mine are appropriate to inform persons entitled to rights and bene-
fits under this chapter and employers of the rights, benefits, and
obligations of such persons and such employers under this chapter.
§ 4334. Notice of rights and duties

(a) REQUIREMENT TO PROVIDE NOTICE.—Each employer shall
provide to persons entitled to rights and benefits under this chap-
ter a notice of the rights, benefits, and obligations of such persons
and such employers under this chapter. The requirement for the
provision of notice under this section may be met by the posting
of the notice where employers customarily place notices for employ-
ees.
(b) CONTENT OF NOTICE.—The Secretary shall provide to em-
ployers the text of the notice to be provided under this section.
(Added Pub. L. 108–454, title II, Sec. 203(a), Dec. 10, 2004, 118 Stat. 3606.)
§ 4335. Training for Federal executive agency human re-

sources personnel on employment and reemploy-
ment rights and limitations
(a) TRAINING REQUIRED.—The head of each Federal executive
agency shall provide training for the human resources personnel of
such agency on the following:
(1) The rights, benefits, and obligations of members of the
uniformed services under this chapter.
(2) The application and administration of the requirements
of this chapter by such agency with respect to such members.
(b) CONSULTATION.—The training provided under subsection (a)
shall be developed and provided in consultation with the Director
of the Office of Personnel Management.
(c) FREQUENCY.—The training under subsection (a) shall be
provided with such frequency as the Director of the Office of Per-
sonnel Management shall specify in order to ensure that the
human resources personnel of Federal executive agencies are kept
fully and currently informed of the matters covered by the training.
(d) HUMAN RESOURCES PERSONNEL DEFINED.—In this section,
the term ‘‘human resources personnel’’, in the case of a Federal ex-
ecutive agency, means any personnel of the agency who are author-
ized to recommend, take, or approve any personnel action that is
subject to the requirements of this chapter with respect to employ-
ees of the agency.
(Added Pub. L. 110–389, title III, Sec. 313(a), Oct. 10, 2008, 122 Stat. 4166.)
709
Chapter Sec.
51. Claims, Effective Dates, and Payments .................... 5100
53. Special Provisions Relating to Benefits ..................... 5301
55. Minors, Incompetents, and Other Wards .................. 5501
57. Records and Investigations ......................................... 5701
59. Agents and Attorneys ................................................. 5901
61. Penal and Forfeiture Provisions ................................ 6101
63. Outreach Activities ...................................................... 6301
711
CHAPTER 51—CLAIMS, EFFECTIVE DATES, AND
PAYMENTS
Sec.
5100. Definition of ‘‘claimant’’.
5101. Claims and forms.
5102. Application forms furnished upon request; notice to claimants of incom-
plete applications.
5103. Notice to claimants of required information and evidence.
5103A. Duty to assist claimants.
5104. Decisions and notices of decisions.
5105. Joint applications for social security and dependency and indemnity com-
pensation.
5106. Furnishing of information by other agencies.
5107. Claimant responsibility; benefit of the doubt.
5108. Reopening disallowed claims.
5109A. Revision of decisions on grounds of clear and unmistakable error.
5109B. Expedited treatment of remanded claims.
5110. Effective dates of awards.
5111. Commencement of period of payment.
5112. Effective dates of reductions and discontinuances.
5113. Effective dates of educational benefits.
5120. Payment of benefits; delivery.
5121. Payment of certain accrued benefits upon death of a beneficiary.
5121A. Substitution in case of death of claimant.
5122. Cancellation of checks mailed to deceased payees.
5123. Rounding down of pension rates.
5124. Acceptance of claimant’s statement as proof of relationship.
5125. Acceptance of reports of private physician examinations.
5126. Benefits not to be denied based on lack of mailing address.
§ 5100. Definition of ‘‘claimant’’
For purposes of this chapter, the term ‘‘claimant’’ means any
individual applying for, or submitting a claim for, any benefit
under the laws administered by the Secretary.
(Added Pub. L. 106–475, Sec. 2, Nov. 9, 2000, 114 Stat. 2096.)
§ 5101. Claims and forms

(a) A specific claim in the form prescribed by the Secretary (or
jointly with the Commissioner of Social Security, as prescribed by
section 5105 of this title) must be filed in order for benefits to be
paid or furnished to any individual under the laws administered by
the Secretary.
(b)(1) A claim by a surviving spouse or child for compensation
or dependency and indemnity compensation shall also be consid-
ered to be a claim for death pension and accrued benefits, and a
713
Sec. 5102 CH. 51—CLAIMS, EFFECTIVE DATES, AND PAYMENTS 714
claim by a surviving spouse or child for death pension shall be con-

sidered to be a claim for death compensation (or dependency and
indemnity compensation) and accrued benefits.
(2) A claim by a parent for compensation or dependency and
indemnity compensation shall also be considered to be a claim for
accrued benefits.
(c)(1) Any person who applies for or is in receipt of any com-
pensation or pension benefit under laws administered by the Sec-
retary shall, if requested by the Secretary, furnish the Secretary
with the social security number of such person and the social secu-
rity number of any dependent or beneficiary on whose behalf, or
based upon whom, such person applies for or is in receipt of such
benefit. A person is not required to furnish the Secretary with a
social security number for any person to whom a social security
number has not been assigned.
(2) The Secretary shall deny the application of or terminate the
payment of compensation or pension to a person who fails to fur-
nish the Secretary with a social security number required to be fur-
nished pursuant to paragraph (1) of this subsection. The Secretary
may thereafter reconsider the application or reinstate payment of
compensation or pension, as the case may be, if such person fur-
nishes the Secretary with such social security number.
(3) The costs of administering this subsection shall be paid for
from amounts available to the Department of Veterans Affairs for
the payment of compensation and pension.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1225, Sec. 3001; Pub. L. 97–295, Sec.
4(95)(A), Oct. 12, 1982, 96 Stat. 1313; Pub. L. 99–576, title VII, Sec. 701(61), Oct.
28, 1986, 100 Stat. 3296; Pub. L. 101–508, title VIII, Sec. 8053(a), Nov. 5, 1990, 104
Stat. 1388–352; renumbered Sec. 5101 and amended Pub. L. 102–40, title IV, Sec.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), (b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 108–183, title VII, Sec. 708(c)(2),
Dec. 16, 2003, 117 Stat. 2674.)
§ 5102. Application forms furnished upon request; notice to
claimants of incomplete applications
(a) FURNISHING FORMS.—Upon request made by any person
claiming or applying for, or expressing an intent to claim or apply
for, a benefit under the laws administered by the Secretary, the
Secretary shall furnish such person, free of all expense, all instruc-
tions and forms necessary to apply for that benefit.
(b) INCOMPLETE APPLICATIONS.—If a claimant’s application for
a benefit under the laws administered by the Secretary is incom-
plete, the Secretary shall notify the claimant and the claimant’s
representative, if any, of the information necessary to complete the
application.
(c) TIME LIMITATION.—(1) If information that a claimant and
the claimant’s representative, if any, are notified under subsection
(b) is necessary to complete an application is not received by the
Secretary within one year from the date such notice is sent, no ben-
efit may be paid or furnished by reason of the claimant’s applica-
tion.
(2) This subsection shall not apply to any application or claim
for Government life insurance benefits.
108–183, title VII, Sec. 701(a), Dec. 16, 2003, 117 Stat. 2670.)
715 CH. 51—CLAIMS, EFFECTIVE DATES, AND PAYMENTS Sec. 5103A
§ 5103. Notice to claimants of required information and evi-

dence
(a) REQUIRED INFORMATION AND EVIDENCE.—(1) Upon receipt
of a complete or substantially complete application, the Secretary
shall notify the claimant and the claimant’s representative, if any,
of any information, and any medical or lay evidence, not previously
provided to the Secretary that is necessary to substantiate the
claim. As part of that notice, the Secretary shall indicate which
portion of that information and evidence, if any, is to be provided
by the claimant and which portion, if any, the Secretary, in accord-
ance with section 5103A of this title and any other applicable pro-
visions of law, will attempt to obtain on behalf of the claimant.
(2)(A) The Secretary shall prescribe in regulations require-
ments relating to the contents of notice to be provided under this
subsection.
(B) The regulations required by this paragraph—
(i) shall specify different contents for notice based on
whether the claim concerned is an original claim, a claim for
reopening a prior decision on a claim, or a claim for an in-
crease in benefits;
(ii) shall provide that the contents for such notice be ap-
propriate to the type of benefits or services sought under the
claim;
(iii) shall specify for each type of claim for benefits the
general information and evidence required to substantiate the
basic elements of such type of claim; and
(iv) shall specify the time period limitations required pur-
suant to subsection (b).
(b) TIME LIMITATION.—(1) In the case of information or evi-
dence that the claimant is notified under subsection (a) is to be
provided by the claimant, such information or evidence must be re-
ceived by the Secretary within one year from the date such notice
is sent.
(2) This subsection shall not apply to any application or claim
for Government life insurance benefits.
(3) Nothing in paragraph (1) shall be construed to prohibit the
Secretary from making a decision on a claim before the expiration
of the period referred to in that subsection.
107–14, Sec. 8(a)(12), June 5, 2001, 115 Stat. 35; Pub. L. 108–183, title VII, Sec.
701(b), Dec. 16, 2003, 117 Stat. 2670; Pub. L. 110–389, title I, Sec. 101(a), Oct. 10,
2008, 122 Stat. 4147.)
§ 5103A. Duty to assist claimants

(a) DUTY TO ASSIST.—(1) The Secretary shall make reasonable
efforts to assist a claimant in obtaining evidence necessary to sub-
stantiate the claimant’s claim for a benefit under a law adminis-
(2) The Secretary is not required to provide assistance to a
claimant under this section if no reasonable possibility exists that
such assistance would aid in substantiating the claim.
(3) The Secretary may defer providing assistance under this
section pending the submission by the claimant of essential infor-
mation missing from the claimant’s application.
Sec. 5103A CH. 51—CLAIMS, EFFECTIVE DATES, AND PAYMENTS 716
(b) ASSISTANCE IN OBTAINING RECORDS.—(1) As part of the as-

sistance provided under subsection (a), the Secretary shall make
reasonable efforts to obtain relevant records (including private
records) that the claimant adequately identifies to the Secretary
and authorizes the Secretary to obtain.
(2) Whenever the Secretary, after making such reasonable ef-
forts, is unable to obtain all of the relevant records sought, the Sec-
retary shall notify the claimant that the Secretary is unable to ob-
tain records with respect to the claim. Such a notification shall—
(A) identify the records the Secretary is unable to obtain;
(B) briefly explain the efforts that the Secretary made to
obtain those records; and
(C) describe any further action to be taken by the Sec-
retary with respect to the claim.
(3) Whenever the Secretary attempts to obtain records from a
Federal department or agency under this subsection or subsection
(c), the efforts to obtain those records shall continue until the
records are obtained unless it is reasonably certain that such
records do not exist or that further efforts to obtain those records
would be futile.
(c) OBTAINING RECORDS FOR COMPENSATION CLAIMS.—In the
case of a claim for disability compensation, the assistance provided
by the Secretary under subsection (b) shall include obtaining the
following records if relevant to the claim:
(1) The claimant’s service medical records and, if the
claimant has furnished the Secretary information sufficient to
locate such records, other relevant records pertaining to the
claimant’s active military, naval, or air service that are held or
maintained by a governmental entity.
(2) Records of relevant medical treatment or examination
of the claimant at Department health-care facilities or at the
expense of the Department, if the claimant furnishes informa-
tion sufficient to locate those records.
(3) Any other relevant records held by any Federal depart-
ment or agency that the claimant adequately identifies and au-
thorizes the Secretary to obtain.
(d) MEDICAL EXAMINATIONS FOR COMPENSATION CLAIMS.—(1)
In the case of a claim for disability compensation, the assistance
provided by the Secretary under subsection (a) shall include pro-
viding a medical examination or obtaining a medical opinion when
such an examination or opinion is necessary to make a decision on
the claim.
(2) The Secretary shall treat an examination or opinion as
being necessary to make a decision on a claim for purposes of para-
graph (1) if the evidence of record before the Secretary, taking into
consideration all information and lay or medical evidence (includ-
ing statements of the claimant)—
(A) contains competent evidence that the claimant has a
current disability, or persistent or recurrent symptoms of dis-
ability; and
(B) indicates that the disability or symptoms may be asso-
ciated with the claimant’s active military, naval, or air service;
but
717 CH. 51—CLAIMS, EFFECTIVE DATES, AND PAYMENTS Sec. 5105
(C) does not contain sufficient medical evidence for the

Secretary to make a decision on the claim.
(e) REGULATIONS.—The Secretary shall prescribe regulations to
carry out this section.
(f) RULE WITH RESPECT TO DISALLOWED CLAIMS.—Nothing in
this section shall be construed to require the Secretary to reopen
a claim that has been disallowed except when new and material
evidence is presented or secured, as described in section 5108 of
this title.
(g) OTHER ASSISTANCE NOT PRECLUDED.—Nothing in this sec-
tion shall be construed as precluding the Secretary from providing
such other assistance under subsection (a) to a claimant in sub-
stantiating a claim as the Secretary considers appropriate.
(Added Pub. L. 106–475, Sec. 3(a), Nov. 9, 2000, 114 Stat. 2097.)
§ 5104. Decisions and notices of decisions

(a) In the case of a decision by the Secretary under section 511
of this title affecting the provision of benefits to a claimant, the
Secretary shall, on a timely basis, provide to the claimant (and to
the claimant’s representative) notice of such decision. The notice
shall include an explanation of the procedure for obtaining review
of the decision.
(b) In any case where the Secretary denies a benefit sought,
the notice required by subsection (a) shall also include (1) a state-
ment of the reasons for the decision, and (2) a summary of the evi-
dence considered by the Secretary.
(Added Pub. L. 101–237, title I, Sec. 115(a)(1), Dec. 18, 1989, 103 Stat. 2065, Sec.
3004; renumbered Sec. 5104, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991,
105 Stat. 238; amended Pub. L. 102–54, Sec. 14(d)(1), June 13, 1991, 105 Stat. 285;
Pub. L. 103–446, title XII, Sec. 1201(d)(15), Nov. 2, 1994, 108 Stat. 4684.)
§ 5105. Joint applications for social security and depend-

ency and indemnity compensation
(a) The Secretary and the Commissioner of Social Security
shall jointly prescribe forms for use by survivors of members and
former members of the uniformed services in filing application for
benefits under chapter 13 of this title and title II of the Social Se-
curity Act (42 U.S.C. 401 et seq.). Each such form shall request in-
formation sufficient to constitute an application for benefits under
both chapter 13 of this title and title II of the Social Security Act
(42 U.S.C. 401 et seq.).
(b) When an application on such a form is filed with either the
Secretary or the Commissioner of Social Security, it shall be
deemed to be an application for benefits under both chapter 13 of
this title and title II of the Social Security Act (42 U.S.C. 401 et
seq.). A copy of each such application filed with either the Sec-
retary or the Commissioner, together with any additional informa-
tion and supporting documents (or certifications thereof) which
may have been received by the Secretary or the Commissioner with
such application, and which may be needed by the other official in
connection therewith, shall be transmitted by the Secretary or the
Commissioner receiving the application to the other official. The
preceding sentence shall not prevent the Secretary and the Com-
missioner of Social Security from requesting the applicant, or any
other individual, to furnish such additional information as may be

necessary for purposes of chapter 13 of this title and title II of the
Social Security Act (42 U.S.C. 401 et seq.), respectively.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1226, Sec. 3005; Pub. L. 97–295, Sec.
4(95)(A), Oct. 12, 1982, 96 Stat. 1313; Pub. L. 98–160, title VII, Sec. 702(16), Nov.
21, 1983, 97 Stat. 1010; renumbered Sec. 5105, Pub. L. 102–40, title IV, Sec.
402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(9), Aug. 6, 1991,
105 Stat. 405; Pub. L. 103–296, title I, Sec. 108(k), Aug. 15, 1994, 108 Stat. 1488.)
§ 5106. Furnishing of information by other agencies

The head of any Federal department or agency shall provide
such information to the Secretary as the Secretary may request for
purposes of determining eligibility for or amount of benefits, or
verifying other information with respect thereto. The cost of pro-
viding information to the Secretary under this section shall be
borne by the department or agency providing the information.
(Added Pub. L. 94–432, title IV, Sec. 403(2), Sept. 30, 1976, 90 Stat. 1372, Sec. 3006;
amended Pub. L. 99–576, title VII, Sec. 701(62), Oct. 28, 1986, 100 Stat. 3296; re-
numbered Sec. 5106, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat.
238; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L.
106–475, Sec. 5, Nov. 9, 2000, 114 Stat. 2099.)
§ 5107. Claimant responsibility; benefit of the doubt

(a) CLAIMANT RESPONSIBILITY.—Except as otherwise provided
by law, a claimant has the responsibility to present and support a
claim for benefits under laws administered by the Secretary.
(b) BENEFIT OF THE DOUBT.—The Secretary shall consider all
information and lay and medical evidence of record in a case before
the Secretary with respect to benefits under laws administered by
the Secretary. When there is an approximate balance of positive
and negative evidence regarding any issue material to the deter-
mination of a matter, the Secretary shall give the benefit of the
doubt to the claimant.
(Added Pub. L. 100–687, div. A, title I, Sec. 103(a)(1), Nov. 18, 1988, 102 Stat. 4106,
Sec. 3007; renumbered Sec. 5107 and amended Pub. L. 102–40, title IV, Sec.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), (3),
(4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 106–398, Sec. 1 ((div. A),
title XVI, Sec. 1611(a)), Oct. 30, 2000, 114 Stat. 1654, 1654A-359; Pub. L. 106–419,
title I, Sec. 104(c)(2), Nov. 1, 2000, 114 Stat. 1828; Pub. L. 106–475, Sec. 4, Nov.
9, 2000, 114 Stat. 2098.)
§ 5108. Reopening disallowed claims

If new and material evidence is presented or secured with re-
spect to a claim which has been disallowed, the Secretary shall re-
open the claim and review the former disposition of the claim.
Sec. 3008; renumbered Sec. 5108, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7,
1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404,
405.)
§ 5109. Independent medical opinions

(a) When, in the judgment of the Secretary, expert medical
opinion, in addition to that available within the Department, is
warranted by the medical complexity or controversy involved in a
case being considered by the Department, the Secretary may secure
an advisory medical opinion from one or more independent medical

experts who are not employees of the Department.
(b) The Secretary shall make necessary arrangements with rec-
ognized medical schools, universities, or clinics to furnish such ad-
visory medical opinions. Any such arrangement shall provide that
the actual selection of the expert or experts to give the advisory
opinion in an individual case shall be made by an appropriate offi-
cial of such institution.
(c) The Secretary shall furnish a claimant with notice that an
advisory medical opinion has been requested under this section
with respect to the claimant’s case and shall furnish the claimant
with a copy of such opinion when it is received by the Secretary.
1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 404, 405.)
§ 5109A. Revision of decisions on grounds of clear and un-

mistakable error
(a) A decision by the Secretary under this chapter is subject to
revision on the grounds of clear and unmistakable error. If evi-
dence establishes the error, the prior decision shall be reversed or
revised.
(b) For the purposes of authorizing benefits, a rating or other
adjudicative decision that constitutes a reversal or revision of a
prior decision on the grounds of clear and unmistakable error has
the same effect as if the decision had been made on the date of the
prior decision.
(c) Review to determine whether clear and unmistakable error
exists in a case may be instituted by the Secretary on the Sec-
retary’s own motion or upon request of the claimant.
(d) A request for revision of a decision of the Secretary based
on clear and unmistakable error may be made at any time after
that decision is made.
(e) Such a request shall be submitted to the Secretary and
shall be decided in the same manner as any other claim.
§ 5109B. Expedited treatment of remanded claims

The Secretary shall take such actions as may be necessary to
provide for the expeditious treatment by the appropriate regional
office of the Veterans Benefits Administration of any claim that is
remanded to a regional office of the Veterans Benefits Administra-
tion by the Board of Veterans’ Appeals.
(Added Pub. L. 108–183, title VII, Sec. 707(a)(1), Dec. 16, 2003, 117 Stat. 2672.)

§ 5110. Effective dates of awards
(a) Unless specifically provided otherwise in this chapter, the
effective date of an award based on an original claim, a claim re-
opened after final adjudication, or a claim for increase, of com-
pensation, dependency and indemnity compensation, or pension,
shall be fixed in accordance with the facts found, but shall not be
earlier than the date of receipt of application therefor.
(b)(1) The effective date of an award of disability compensation
to a veteran shall be the day following the date of the veteran’s dis-
charge or release if application therefor is received within one year
from such date of discharge or release.
(2) The effective date of an award of increased compensation
shall be the earliest date as of which it is ascertainable that an in-
crease in disability had occurred, if application is received within
one year from such date.
(3)(A) The effective date of an award of disability pension to a
veteran described in subparagraph (B) of this paragraph shall be
the date of application or the date on which the veteran became
permanently and totally disabled, if the veteran applies for a retro-
active award within one year from such date, whichever is to the
advantage of the veteran.
(B) A veteran referred to in subparagraph (A) of this para-
graph is a veteran who is permanently and totally disabled and
who is prevented by a disability from applying for disability pen-
sion for a period of at least 30 days beginning on the date on which
the veteran became permanently and totally disabled.
(c) The effective date of an award of disability compensation by
reason of section 1151 of this title shall be the date such injury or
aggravation was suffered if an application therefor is received with-
in one year from such date.
(d) The effective date of an award of death compensation, de-
pendency and indemnity compensation, or death pension for which
application is received within one year from the date of death shall
be the first day of the month in which the death occurred.
(e)(1) Except as provided in paragraph (2) of this subsection,
the effective date of an award of dependency and indemnity com-
pensation to a child shall be the first day of the month in which
the child’s entitlement arose if application therefor is received with-
in one year from such date.
(2) In the case of a child who is eighteen years of age or over
and who immediately before becoming eighteen years of age was
counted under section 1311(b) of this title in determining the
amount of the dependency and indemnity compensation of a sur-
viving spouse, the effective date of an award of dependency and in-
demnity compensation to such child shall be the date the child at-
tains the age of eighteen years if application therefor is received
within one year from such date.
(f) An award of additional compensation on account of depend-
ents based on the establishment of a disability rating in the per-
centage evaluation specified by law for the purpose shall be pay-
able from the effective date of such rating; but only if proof of de-
pendents is received within one year from the date of notification
of such rating action.
(g) Subject to the provisions of section 5101 of this title, where
compensation, dependency and indemnity compensation, or pension
is awarded or increased pursuant to any Act or administrative
issue, the effective date of such award or increase shall be fixed in
accordance with the facts found but shall not be earlier than the
effective date of the Act or administrative issue. In no event shall
such award or increase be retroactive for more than one year from
the date of application therefor or the date of administrative deter-
mination of entitlement, whichever is earlier.
(h) Where an award of pension has been deferred or pension
has been awarded at a rate based on anticipated income for a year
and the claimant later establishes that income for that year was
at a rate warranting entitlement or increased entitlement, the ef-
fective date of such entitlement or increase shall be fixed in accord-
ance with the facts found if satisfactory evidence is received before
the expiration of the next calendar year.
(i) Whenever any disallowed claim is reopened and thereafter
allowed on the basis of new and material evidence resulting from
the correction of the military records of the proper service depart-
ment under section 1552 of title 10, or the change, correction, or
modification of a discharge or dismissal under section 1553 of title
10, or from other corrective action by competent authority, the ef-
fective date of commencement of the benefits so awarded shall be
the date on which an application was filed for correction of the
military record or for the change, modification, or correction of a
discharge or dismissal, as the case may be, or the date such dis-
allowed claim was filed, whichever date is the later, but in no event
shall such award of benefits be retroactive for more than one year
from the date of reopening of such disallowed claim. This sub-
section shall not apply to any application or claim for Government
life insurance benefits.
(j) Where a report or a finding of death of any person in the
active military, naval, or air service has been made by the Sec-
retary concerned, the effective date of an award of death compensa-
tion, dependency and indemnity compensation, or death pension, as
applicable, shall be the first day of the month fixed by that Sec-
retary as the month of death in such report or finding, if applica-
tion therefor is received within one year from the date such report
or finding has been made; however, such benefits shall not be pay-
able to any person for any period for which such person has re-
ceived, or was entitled to receive, an allowance, allotment, or serv-
ice pay of the deceased.
(k) The effective date of the award of benefits to a surviving
spouse or of an award or increase of benefits based on recognition
of a child, upon annulment of a marriage shall be the date the judi-
cial decree of annulment becomes final if a claim therefor is filed
within one year from the date the judicial decree of annulment be-
comes final; in all other cases the effective date shall be the date
the claim is filed.
(l) The effective date of an award of benefits to a surviving
spouse based upon a termination of a remarriage by death or di-
vorce, or of an award or increase of benefits based on recognition
of a child upon termination of the child’s marriage by death or di-
vorce, shall be the date of death or the date the judicial decree or
divorce becomes final, if an application therefor is received within
one year from such termination.
(n) The effective date of the award of any benefit or any in-
crease therein by reason of marriage or the birth or adoption of a
child shall be the date of such event if proof of such event is re-
ceived by the Secretary within one year from the date of the mar-
riage, birth, or adoption.
Sept. 19, 1962, 76 Stat. 558; Pub. L. 87–825, Sec. 1, Oct. 15, 1962, 76 Stat. 948;
Pub. L. 91–376, Sec. 7, Aug. 12, 1970, 84 Stat. 790; Pub. L. 91–584, Sec. 13, Dec.
24, 1970, 84 Stat. 1578; Pub. L. 93–177, Sec. 6(a), Dec. 6, 1973, 87 Stat. 696; Pub.
L. 93–527, Sec. 9(b), Dec. 21, 1974, 88 Stat. 1705; Pub. L. 94–71, title I, Sec. 104,
Aug. 5, 1975, 89 Stat. 396; Pub. L. 97–66, title II, Sec. 204(b), Oct. 17, 1981, 95 Stat.
1029; Pub. L. 98–160, title VII, Sec. 703(1), Nov. 21, 1983, 97 Stat. 1010; Pub. L.
98–223, title II, Sec. 213(3), Mar. 2, 1984, 98 Stat. 46; Pub. L. 98–369, div. B, title
V, Sec. 2501(a), July 18, 1984, 98 Stat. 1116; Pub. L. 99–576, title VII, Sec. 701(63),
Oct. 28, 1986, 100 Stat. 3296; renumbered Sec. 5110 and amended Pub. L. 102–40,
title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec.
4(a)(2)(A)(vi), (b)(4)(B), 5(c)(1), Aug. 6, 1991, 105 Stat. 403, 405, 406; Pub. L. 103–
446, title XII, Sec. 1201(i)(8), Nov. 2, 1994, 108 Stat. 4688; Pub. L. 108–454, title
III, Sec. 305, Dec. 10, 2004, 118 Stat. 3611.)
§ 5111. Commencement of period of payment

(a) Notwithstanding section 5110 of this title or any other pro-
vision of law and except as provided in subsection (c) of this sec-
tion, payment of monetary benefits based on an award or an in-
creased award of compensation, dependency and indemnity com-
pensation, or pension may not be made to an individual for any pe-
riod before the first day of the calendar month following the month
in which the award or increased award became effective as pro-
vided under section 5110 of this title or such other provision of law.
during the period between the effective date of an award or in-
creased award as provided under section 5110 of this title or other
provision of law and the commencement of the period of payment
based on such award as provided under subsection (a) of this sec-
tion, an individual entitled to receive monetary benefits shall be
deemed to be in receipt of such benefits for the purpose of all laws
administered by the Secretary.
(2) If any person who is in receipt of retired or retirement pay
would also be eligible to receive compensation or pension upon the
filing of a waiver of such pay in accordance with section 5305 of
this title, such waiver shall not become effective until the first day
of the month following the month in which such waiver is filed, and
nothing in this section shall prohibit the receipt of retired or retire-
ment pay for any period before such effective date.
(c)(1) This section shall apply to payments made pursuant to
section 5310 of this title only if the monthly amount of dependency
and indemnity compensation or pension payable to the surviving
spouse is greater than the amount of compensation or pension the
veteran would have received, but for such veteran’s death, for the
month in which such veteran’s death occurred.
(2) In the case of a temporary increase in compensation for
hospitalization or treatment where such hospitalization or treat-
ment commences and terminates within the same calendar month,
the period of payment shall commence on the first day of such
month.
(d) For the purposes of this section, the term ‘‘award or in-
creased award’’ means—
(1) an original or reopened award; or
(2) an award that is increased because of an added depend-

ent, increase in disability or disability rating, or reduction in
income.
3011; amended Pub. L. 98–223, title I, Sec. 113, Mar. 2, 1984, 98 Stat. 40; renum-
bered Sec. 5111 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May
7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), Aug. 6, 1991, 105 Stat.
403.)
§ 5112. Effective dates of reductions and discontinuances

(a) Except as otherwise specified in this section, the effective
date of reduction or discontinuance of compensation, dependency
and indemnity compensation, or pension shall be fixed in accord-
ance with the facts found.
(b) The effective date of a reduction or discontinuance of com-
pensation, dependency and indemnity compensation, or pension—
(1) by reason of marriage or remarriage, or death of a
payee shall be the last day of the month before such marriage,
remarriage, or death occurs;
(2) by reason of marriage, annulment, divorce, or death of
a dependent of a payee shall be the last day of the month in
which such marriage, annulment, divorce, or death occurs;
(3) by reason of receipt of active service pay or retirement
pay shall be the day before the date such pay began;
(4) by reason of—
(A) change in income shall (except as provided in sec-
tion 5312 of this title) be the last day of the month in
which the change occurred; and
(B) change in corpus of estate shall be the last day of
the calendar year in which the change occurred;
(5) by reason of a change in disability or employability of
a veteran in receipt of pension shall be the last day of the
month in which discontinuance of the award is approved;
(6) by reason of change in law or administrative issue,
change in interpretation of a law or administrative issue, or,
for compensation purposes, a change in service-connected or
employability status or change in physical condition shall be
the last day of the month following sixty days from the date
of notice to the payee (at the payee’s last address of record) of
the reduction or discontinuance;
(7) by reason of the discontinuance of school attendance of
a payee or a dependent of a payee shall be the last day of the
month in which such discontinuance occurred;
(8) by reason of termination of a temporary increase in
compensation for hospitalization or treatment shall be the last
day of the month in which the hospital discharge or termi-
nation of treatment occurred, whichever is earlier;
(9) by reason of an erroneous award based on an act of
commission or omission by the beneficiary, or with the bene-
ficiary’s knowledge, shall be the effective date of the award;
and
(10) by reason of an erroneous award based solely on ad-
ministrative error or error in judgment shall be the date of last
payment.
15, 1962, 76 Stat. 949; Pub. L. 89–730, Sec. 3, Nov. 2, 1966, 80 Stat. 1159; Pub.
L. 90–275, Sec. 5, Mar. 28, 1968, 82 Stat. 68; Pub. L. 92–198, Sec. 3, Dec. 15, 1971,
85 Stat. 664; Pub. L. 94–433, title IV, Sec. 402, Sept. 30, 1976, 90 Stat. 1378; Pub.
L. 95–588, title III, Sec. 303, Nov. 4, 1978, 92 Stat. 2506; Pub. L. 97–253, title IV,
Sec. 402(a), Sept. 8, 1982, 96 Stat. 802; Pub. L. 99–576, title V, Sec. 503, title VII,
Sec. 701(64), Oct. 28, 1986, 100 Stat. 3286, 3296; renumbered Sec. 5112 and amend-
ed Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239;
Pub. L. 107–103, title II, Sec. 204(b)(2), Dec. 27, 2001, 115 Stat. 990.)
§ 5113. Effective dates of educational benefits

(a) Except as provided in subsections (b) and (c), effective dates
relating to awards under chapters 30, 31, 32, 34, and 35 of this
title or chapter 106 of title 10 shall, to the extent feasible, cor-
respond to effective dates relating to awards of disability com-
pensation.
(b)(1) When determining the effective date of an award under
chapter 35 of this title for an individual described in paragraph (2)
based on an original claim, the Secretary may consider the individ-
ual’s application as having been filed on the eligibility date of the
individual if that eligibility date is more than one year before the
date of the initial rating decision.
(2) An individual referred to in paragraph (1) is an eligible per-
son who—
(A) submits to the Secretary an original application for
educational assistance under chapter 35 of this title within one
year of the date that the Secretary makes the rating decision;
(B) claims such educational assistance for pursuit of an ap-
proved program of education during a period preceding the
one-year period ending on the date on which the application
was received by the Secretary; and
(C) would have been entitled to such educational assist-
ance for such course pursuit if the individual had submitted
such an application on the individual’s eligibility date.
(3) In this subsection:
(A) The term ‘‘eligibility date’’ means the date on which an
individual becomes an eligible person.
(B) The term ‘‘eligible person’’ has the meaning given that
term under subparagraphs (A), (B), (D), and (E) of section
3501(a)(1) of this title.
(C) The term ‘‘initial rating decision’’ means with respect
to an eligible person a decision made by the Secretary that es-
tablishes (i) service connection for the death of the person from
whom such eligibility is derived or (ii) the existence of the serv-
ice-connected total disability permanent in nature (or, in the
case of a person made eligible under section 3501(a)(1)(E), the
total disability permanent in nature incurred or aggravated in
the line of duty in the active military, naval, or air service) of
the person from whom such eligibility is derived, as the case
may be.
(c) The effective date of an adjustment of benefits under any
chapter referred to in subsection (a) of this section, if made on the
basis of a certification made by the veteran or person and accepted
by the Secretary under section 3680(g) of this title, shall be the
date of the change.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1227, Sec. 3013; Pub. L. 89–358, Sec. 4(p),
Mar. 3, 1966, 80 Stat. 25; Pub. L. 99–576, title III, Sec. 321(10), Oct. 28, 1986, 100
Stat. 3278; Pub. L. 100–322, title III, Sec. 323, May 20, 1988, 102 Stat. 536; Pub.
L. 101–237, title IV, Sec. 419, Dec. 18, 1989, 103 Stat. 2087; Pub. L. 102–16, Sec.
10(a)(9), Mar. 22, 1991, 105 Stat. 56; renumbered Sec. 5113, Pub. L. 102–40, title
IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 5(c)(1), Aug. 6,
1991, 105 Stat. 406; Pub. L. 106–419, title I, Sec. 113(a), Nov. 1, 2000, 114 Stat.
1832; Pub. L. 109–444, Sec. 3(c)(2), Dec. 21, 2006, 120 Stat. 3307; Pub. L. 109–461,
title III, Sec. 301(c)(2), title X, Sec. 1006(b), Dec. 22, 2006, 120 Stat. 3427, 3468.)

§ 5120. Payment of benefits; delivery
(a) Monetary benefits under laws administered by the Sec-
retary shall be paid by checks drawn, pursuant to certification by
the Secretary, in such form as to protect the United States against
loss, and payable by the Treasurer of the United States. Such
checks shall be payable without separate vouchers or receipts ex-
cept in any case in which the Secretary may consider a voucher
necessary for the protection of the Government. Such checks shall
be transmitted by mail to the payee thereof at the payee’s last
known address and, if the payee has moved and filed a regular
change of address notice with the United States Postal Service,
shall be forwarded to the payee. The envelope or cover of each such
checks shall bear on the face thereof the following notice: ‘‘POST-
MASTER: PLEASE FORWARD if addressee has moved and filed a
regular change-of-address notice. If addressee is deceased, return
the letter with date of death, if known.’’
(b) Postmasters, delivery clerks, letter carriers, and all other
postal employees are prohibited from delivering any mail addressed
by the United States and containing any such check to any person
whomsoever if such person has died or in the case of a surviving
spouse, if the postal employee believes that the surviving spouse
has remarried (unless the mail is addressed to the surviving spouse
in the name the surviving spouse has acquired by the remarriage).
The preceding sentence shall apply in the case of checks in pay-
ment of benefits other than pension, compensation, dependency and
indemnity compensation, and insurance, only insofar as the Sec-
retary deems it necessary to protect the United States against loss.
(c) Whenever mail is not delivered because of the prohibition
of subsection (b), such mail shall be returned forthwith by the post-
master with a statement of the reason for so doing, and if because
of death or remarriage, the date thereof, if known. Checks returned
under this subsection because of death or remarriage shall be can-
celed.
(d) Notwithstanding subsection (a) of this section, pursuant to
an agreement with the Department of the Treasury under which
the Secretary certifies such benefits for payment, monetary benefits
under laws administered by the Secretary may be paid other than
by check upon the written request of the person to whom such ben-
efits are to be paid, if such noncheck payment is determined by the
Secretary to be in the best interest of such payees and the manage-
ment of monetary benefits programs by the Department.
(e) Whenever the first day of any calendar month falls on a
Saturday, Sunday, or legal public holiday (as defined in section
6103 of title 5), the Secretary shall, to the maximum extent prac-
ticable, certify benefit payments for such month in such a way that
such payments will be delivered by mail, or transmitted for credit
to the payee’s account pursuant to subsection (d) of this section, on
the Friday immediately preceding such Saturday or Sunday, or in
the case of a legal holiday, the weekday (other than Saturday) im-
mediately preceding such legal public holiday, notwithstanding
that such delivery or transmission of such payments is made in the
same calendar month for which such payments are issued.
(f)(1) In the case of a payee who does not have a mailing ad-
dress, payments of monetary benefits under laws administered by
the Secretary shall be delivered under an appropriate method pre-
scribed pursuant to paragraph (2) of this subsection.
(2) The Secretary shall prescribe an appropriate method or
methods for the delivery of payments of monetary benefits under
laws administered by the Secretary in cases described in paragraph
(1) of this subsection. To the maximum extent practicable, such
method or methods shall be designed to ensure the delivery of pay-
ments in such cases.
Sec. 402(a), (b)(1), Oct. 3, 1977, 91 Stat. 1065, 1066; Pub. L. 97–295, Sec. 4(73), Oct.
12, 1982, 96 Stat. 1310; Pub. L. 99–570, title XI, Sec. 11007(a)(2), Oct. 27, 1986,
100 Stat. 3207–170; Pub. L. 99–576, title VII, Sec. 701(65), Oct. 28, 1986, 100 Stat.
105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 403–405.)
§ 5121. Payment of certain accrued benefits upon death of a

beneficiary
(a) Except as provided in sections 3329 and 3330 of title 31,
periodic monetary benefits (other than insurance and servicemen’s
indemnity) under laws administered by the Secretary to which an
individual was entitled at death under existing ratings or decisions
or those based on evidence in the file at date of death (hereinafter
in this section and section 5122 of this title referred to as ‘‘accrued
benefits’’) and due and unpaid, shall, upon the death of such indi-
vidual be paid as follows:
(1) Upon the death of a person receiving an apportioned
share of benefits payable to a veteran, all or any part of such
benefits to the veteran or to any other dependent or depend-
ents of the veteran, as may be determined by the Secretary.
(2) Upon the death of a veteran, to the living person first
listed below:
(A) The veteran’s spouse.
(B) The veteran’s children (in equal shares).
(C) The veteran’s dependent parents (in equal shares).
(3) Upon the death of a surviving spouse or remarried sur-
viving spouse, to the children of the deceased veteran.
(4) Upon the death of a child, to the surviving children of
the veteran who are entitled to death compensation, depend-
ency and indemnity compensation, or death pension.
(5) Upon the death of a child claiming benefits under chap-
ter 18 of this title, to the surviving parents.
(6) In all other cases, only so much of the accrued benefits
may be paid as may be necessary to reimburse the person who
bore the expense of last sickness and burial.
(b) No part of any accrued benefits shall be used to reimburse

any political subdivision of the United States for expenses incurred
in the last sickness or burial of any beneficiary.
(c) Applications for accrued benefits must be filed within one
year after the date of death. If a claimant’s application is incom-
plete at the time it is originally submitted, the Secretary shall no-
tify the claimant of the evidence necessary to complete the applica-
tion. If such evidence is not received within one year from the date
of such notification, no accrued benefits may be paid.
105(b), June 30, 1972, 86 Stat. 395; Pub. L. 97–258, Sec. 3(k)(4), Sept. 13, 1982, 96
5121 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105
Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat.
403–405; Pub. L. 104–275, title V, Sec. 507, Oct. 9, 1996, 110 Stat. 3343; Pub. L.
107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35; Pub. L. 108–183, title I, Sec.
104(a)–(c), Dec. 16, 2003, 117 Stat. 2656.)
§ 5121A. Substitution in case of death of claimant

(a) SUBSTITUTION.—(1) If a claimant dies while a claim for any
benefit under a law administered by the Secretary, or an appeal of
a decision with respect to such a claim, is pending, a living person
who would be eligible to receive accrued benefits due to the claim-
ant under section 5121(a) of this title may, not later than one year
after the date of the death of such claimant, file a request to be
substituted as the claimant for the purposes of processing the claim
to completion.
(2) Any person seeking to be substituted for the claimant shall
present evidence of the right to claim such status within such time
as prescribed by the Secretary in regulations.
(3) Substitution under this subsection shall be in accordance
with such regulations as the Secretary may prescribe.
(b) LIMITATION.—Those who are eligible to make a claim under
this section shall be determined in accordance with section 5121 of
this title.
§ 5122. Cancellation of checks mailed to deceased payees

A check received by a payee in payment of accrued benefits
shall, if the payee died on or after the last day of the period cov-
ered by the check, be returned to the issuing office and canceled,
unless negotiated by the payee or the duly appointed representa-
tive of the payee’s estate. The amount represented by such check,
or any amount recovered by reason of improper negotiation of any
such check, shall be payable in the manner provided in section
5121 of this title, without regard to section 5121(c) of this title. Any
amount not paid in the manner provided in section 5121 of this
title shall be paid to the estate of the deceased payee unless the
estate will escheat.
Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub.
L. 104–316, title II, Sec. 202(t), Oct. 19, 1996, 110 Stat. 3845.)
§ 5123. Rounding down of pension rates

The monthly or other periodic rate of pension payable to an in-
dividual under section 1521, 1541, or 1542 of this title or under
section 306(a) of the Veterans’ and Survivors’ Pension Improve-
ment Act of 1978 (Public Law 95–588), if not a multiple of $1, shall
be rounded down to the nearest dollar.
105 Stat. 238; amended Pub. L. 102–83, Sec. 5(c)(1), Aug. 6, 1991, 105 Stat. 406.)
§ 5124. Acceptance of claimant’s statement as proof of rela-

tionship
(a) For purposes of benefits under laws administered by the
Secretary, the Secretary may accept the written statement of a
claimant as proof of the existence of any relationship specified in
subsection (b) for the purpose of acting on such individual’s claim
for benefits.
(b) Subsection (a) applies to proof of the existence of any of the
following relationships between a claimant and another person:
(1) Marriage.
(2) Dissolution of a marriage.
(3) Birth of a child.
(4) Death of any family member.
(c) The Secretary may require the submission of documentation
in support of the claimant’s statement if—
(1) the claimant does not reside within a State;
(2) the statement on its face raises a question as to its va-
lidity;
(3) there is conflicting information of record; or
(4) there is reasonable indication, in the statement or oth-
erwise, of fraud or misrepresentation.
(Added Pub. L. 103–446, title III, Sec. 301(a), Nov. 2, 1994, 108 Stat. 4657.)
§ 5125. Acceptance of reports of private physician examina-

tions
For purposes of establishing any claim for benefits under chap-
ter 11 or 15 of this title, a report of a medical examination admin-
istered by a private physician that is provided by a claimant in
support of a claim for benefits under that chapter may be accepted
without a requirement for confirmation by an examination by a
physician employed by the Veterans Health Administration if the
report is sufficiently complete to be adequate for the purpose of ad-
judicating such claim.
(Added Pub. L. 103–446, title III, Sec. 301(b), Nov. 2, 1994, 108 Stat. 4658.)
§ 5126. Benefits not to be denied based on lack of mailing

address
Benefits under laws administered by the Secretary may not be
denied a claimant on the basis that the claimant does not have a
mailing address.
(Added Pub. L. 106–475, Sec. 3(b), Nov. 9, 2000, 114 Stat. 2098.)
729
øPART IV—GENERAL ADMINISTRATIVE PROVISIONS¿
CHAPTER 53—SPECIAL PROVISIONS RELATING TO
BENEFITS
Sec.
5301. Nonassignability and exempt status of benefits.
5302. Waiver of recovery of claims by the United States.
5302A. Collection of indebtedness: certain debts of members of the Armed Forces
and veterans who die of injury incurred or aggravated in the line of
duty in a combat zone.
5303. Certain bars to benefits.
5303A. Minimum active-duty service requirement.
5304. Prohibition against duplication of benefits.
5305. Waiver of retired pay.
5306. Renouncement of right to benefits.
5307. Apportionment of benefits.
5308. Withholding benefits of persons in territory of the enemy.
5309. Payment of certain withheld benefits.
5310. Payment of benefits for month of death.
5311. Prohibition of certain benefit payments.
5312. Annual adjustment of certain benefit rates.
5313. Limitation on payment of compensation and dependency and indemnity
compensation to persons incarcerated for conviction of a felony.
5313A. Limitation on payment of clothing allowance to incarcerated veterans.
5313B. Prohibition on providing certain benefits with respect to persons who are
fugitive felons.
5314. Indebtedness offsets.
5315. Interest and administrative cost charges on delinquent payments of cer-
tain amounts due the United States.
5316. Authority to sue to collect certain debts.
5317. Use of income information from other agencies: notice and verification.
5317A. Use of income information from other agencies: independent verification
required before termination or reduction of certain benefits and serv-
ices.
5318. Review of Social Security Administration death information.
5319. Limitations on access to financial records.
§ 5301. Nonassignability and exempt status of benefits

(a)(1) Payments of benefits due or to become due under any
law administered by the Secretary shall not be assignable except
to the extent specifically authorized by law, and such payments
made to, or on account of, a beneficiary shall be exempt from tax-
ation, shall be exempt from the claim of creditors, and shall not be
liable to attachment, levy, or seizure by or under any legal or equi-
table process whatever, either before or after receipt by the bene-
ficiary. The preceding sentence shall not apply to claims of the
United States arising under such laws nor shall the exemption
therein contained as to taxation extend to any property purchased
in part or wholly out of such payments. The provisions of this sec-
tion shall not be construed to prohibit the assignment of insurance
731
Sec. 5301 CH. 53—SPECIAL PROVISIONS RELATING TO BENEFITS 732
otherwise authorized under chapter 19 of this title, or of service-

men’s indemnity.
(2) For the purposes of this subsection, in any case where a
payee of an educational assistance allowance has designated the
address of an attorney-in-fact as the payee’s address for the pur-
pose of receiving a benefit check and has also executed a power of
attorney giving the attorney-in-fact authority to negotiate such
benefit check, such action shall be deemed to be an assignment and
is prohibited.
(3)(A) This paragraph is intended to clarify that, in any case
where a beneficiary entitled to compensation, pension, or depend-
ency and indemnity compensation enters into an agreement with
another person under which agreement such other person acquires
for consideration the right to receive such benefit by payment of
such compensation, pension, or dependency and indemnity com-
pensation, as the case may be, except as provided in subparagraph
(B), and including deposit into a joint account from which such
other person may make withdrawals, or otherwise, such agreement
shall be deemed to be an assignment and is prohibited.
(B) Notwithstanding subparagraph (A), nothing in this para-
graph is intended to prohibit a loan involving a beneficiary under
the terms of which the beneficiary may use the benefit to repay
such other person as long as each of the periodic payments made
to repay such other person is separately and voluntarily executed
by the beneficiary or is made by preauthorized electronic funds
transfer pursuant to the Electronic Funds Transfers Act (15 U.S.C.
1693 et seq.).
(C) Any agreement or arrangement for collateral for security
for an agreement that is prohibited under subparagraph (A) is also
prohibited and is void from its inception.
(b) This section shall prohibit the collection by setoff or other-
wise out of any benefits payable pursuant to any law administered
by the Secretary and relating to veterans, their estates, or their de-
pendents, of any claim of the United States or any agency thereof
against (1) any person other than the indebted beneficiary or the
beneficiary’s estate; or (2) any beneficiary or the beneficiary’s es-
tate except amounts due the United States by such beneficiary or
the beneficiary’s estate by reason of overpayments or illegal pay-
ments made under such laws to such beneficiary or the bene-
ficiary’s estate or to the beneficiary’s dependents as such. If the
benefits referred to in the preceding sentence are insurance pay-
able by reason of yearly renewable term insurance, United States
Government life insurance, or National Service Life Insurance
issued by the United States, the exemption provided in this section
shall not apply to indebtedness existing against the particular in-
surance contract upon the maturity of which the claim is based,
whether such indebtedness is in the form of liens to secure unpaid
premiums or loans, or interest on such premiums or loans, or in-
debtedness arising from overpayments of dividends, refunds, loans,
or other insurance benefits.
(c)(1) Notwithstanding any other provision of this section, the
Secretary may, after receiving a request under paragraph (2) of
this subsection relating to a veteran, collect by offset of any com-
pensation or pension payable to the veteran under laws adminis-
733 CH. 53—SPECIAL PROVISIONS RELATING TO BENEFITS Sec. 5301
tered by the Secretary the uncollected portion of the amount of any

indebtedness associated with the veteran’s participation in a plan
prescribed in chapter 73 of title 10.
(2) If the Secretary concerned (as defined in section 101(5) of
title 37) has tried under section 3711(a) of title 31 to collect an
amount described in paragraph (1) of this subsection in the case of
any veteran, has been unable to collect such amount, and has de-
termined that the uncollected portion of such amount is not collect-
ible from amounts payable by that Secretary to the veteran or that
the veteran is not receiving any payment from that Secretary, that
Secretary may request the Secretary to make collections in the case
of such veteran as authorized in paragraph (1) of this subsection.
(3)(A) A collection authorized by paragraph (1) of this sub-
section shall be conducted in accordance with the procedures pre-
scribed in section 3716 of title 31 for administrative offset collec-
tions made after attempts to collect claims under section 3711(a) of
such title.
(B) For the purposes of subparagraph (A) of this paragraph, as
used in the second sentence of section 3716(a) of title 31—
(i) the term ‘‘records of the agency’’ shall be considered to
refer to the records of the department of the Secretary con-
cerned; and
(ii) the term ‘‘agency’’ in clauses (3) and (4) shall be consid-
ered to refer to such department.
(4) Funds collected under this subsection shall be credited to
the Department of Defense Military Retirement Fund under chap-
ter 74 of title 10 or to the Retired Pay Account of the Coast Guard,
as appropriate.
(d) Notwithstanding subsection (a) of this section, payments of
benefits under laws administered by the Secretary shall not be ex-
empt from levy under subchapter D of chapter 64 of the Internal
Revenue Code of 1986 (26 U.S.C. 6331 et seq.).
(e) In the case of a person who—
(1) has been determined to be eligible to receive pension or
compensation under laws administered by the Secretary but
for the receipt by such person of pay pursuant to any provision
of law providing retired or retirement pay to members or
former members of the Armed Forces or commissioned officers
of the National Oceanic and Atmospheric Administration or of
the Public Health Service; and
(2) files a waiver of such pay in accordance with section
5305 of this title in the amount of such pension or compensa-
tion before the end of the one-year period beginning on the
date such person is notified by the Secretary of such person’s
eligibility for such pension or compensation,
the retired or retirement pay of such person shall be exempt from
taxation, as provided in subsection (a) of this section, in an amount
equal to the amount of pension or compensation which would have
been paid to such person but for the receipt by such person of such
pay.
Sec. 701, Oct. 15, 1976, 90 Stat. 2405; Pub. L. 95–479, title III, Sec. 301, Oct. 18,
1978, 92 Stat. 1564; Pub. L. 97–295, Sec. 4(74), Oct. 12, 1982, 96 Stat. 1310; Pub.
L. 99–576, title V, Sec. 504, title VII, Sec. 701(68), Oct. 28, 1986, 100 Stat. 3286,
3296; Pub. L. 101–189, div. A, title XIV, Sec. 1404(b)(2), Nov. 29, 1989, 103 Stat.
1586; Pub. L. 102–25, title VII, Sec. 705(c)(2), Apr. 6, 1991, 105 Stat. 120; renum-
7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(d)(2), June 13, 1991, 105 Stat.
285; Pub. L. 102–83, Sec. 4(a)(1), (2)(A)(vii), (b)(1), (2)(E), (4)(C), Aug. 6, 1991, 105
Stat. 403–405; Pub. L. 102–86, title V, Sec. 505(a), Aug. 14, 1991, 105 Stat. 426;
Pub. L. 108–183, title VII, Sec. 702, Dec. 16, 2003, 117 Stat. 2671.)
§ 5302. Waiver of recovery of claims by the United States

(a) There shall be no recovery of payments or overpayments (or
any interest thereon) of any benefits under any of the laws admin-
istered by the Secretary whenever the Secretary determines that
recovery would be against equity and good conscience, if an appli-
cation for relief is made within 180 days from the date of notifica-
tion of the indebtedness by the Secretary to the payee, or within
such longer period as the Secretary determines is reasonable in a
case in which the payee demonstrates to the satisfaction of the Sec-
retary that such notification was not actually received by such
payee within a reasonable period after such date. The Secretary
shall include in the notification to the payee a statement of the
right of the payee to submit an application for a waiver under this
subsection and a description of the procedures for submitting the
application.
(b) With respect to any loan guaranteed, insured, or made
under chapter 37 of this title, the Secretary shall, except as pro-
vided in subsection (c) of this section, waive payment of an indebt-
edness to the Department by the veteran (as defined in sections
101, 3701, and 3702(a)(2)(C)(ii) of this title), or the veteran’s
spouse, following default and loss of the property, where the Sec-
retary determines that collection of such indebtedness would be
against equity and good conscience. An application for relief under
this subsection must be made within one year after the date on
which the veteran receives notice by certified mail with return re-
ceipt requested from the Secretary of the indebtedness. The Sec-
retary shall include in the notification a statement of the right of
the veteran to submit an application for a waiver under this sub-
section and a description of the procedures for submitting the ap-
plication.
(c) The recovery of any payment or the collection of any indebt-
edness (or any interest thereon) may not be waived under this sec-
tion if, in the Secretary’s opinion, there exists in connection with
the claim for such waiver an indication of fraud, misrepresentation
or bad faith on the part of the person or persons having an interest
in obtaining a waiver of such recovery or the collection of such in-
debtedness (or any interest thereon).
(d) No certifying or disbursing officer shall be liable for any
amount paid to any person where the recovery of such amount is
waived under subsection (a) or (b).
(e) Where the recovery of a payment or overpayment made
from the National Service Life Insurance Fund or United States
Government Life Insurance Fund is waived under this section, the
fund from which the payment was made shall be reimbursed from
the National Service Life Insurance appropriation or the military
and naval insurance appropriation, as applicable.
Sec. 202(a), June 30, 1972, 86 Stat. 396; Pub. L. 96–466, title VI, Sec. 605(c)(3), Oct.
101–237, title III, Sec. 311, Dec. 18, 1989, 103 Stat. 2075; renumbered Sec. 5302,
Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–
54, Sec. 5, June 13, 1991, 105 Stat. 268; Pub. L. 102–83, Sec. 4(a)(1), (3), (4), (b)(1),
(2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 102–547, Sec. 12, Oct. 28,
1992, 106 Stat. 3645; Pub. L. 105–33, title VIII, Sec. 8033(b), Aug. 5, 1997, 111 Stat.
669.)
§ 5302A. Collection of indebtedness: certain debts of mem-
bers of the Armed Forces and veterans who die of
injury incurred or aggravated in the line of duty in
a combat zone
(a) LIMITATION ON AUTHORITY.—The Secretary may not collect
all or any part of an amount owed to the United States by a mem-
ber of the Armed Forces or veteran described in subsection (b)
under any program under the laws administered by the Secretary,
other than a program referred to in subsection (c), if the Secretary
determines that termination of collection is in the best interest of
the United States.
(b) COVERED INDIVIDUALS.—A member of the Armed Forces or
veteran described in this subsection is any member or veteran who
dies as a result of an injury incurred or aggravated in the line of
duty while serving in a theater of combat operations (as deter-
mined by the Secretary in consultation with the Secretary of De-
fense) in a war or in combat against a hostile force during a period
of hostilities (as that term is defined in section 1712A(a)(2)(B) of
this title) after September 11, 2001.
(c) INAPPLICABILITY TO HOUSING AND SMALL BUSINESS BENEFIT
PROGRAMS.—The limitation on authority in subsection (a) shall not
apply to any amounts owed the United States under any program
carried out under chapter 37 of this title.
(Added Pub. L. 110–252, title I, Sec. 1303(a)(1), June 30, 2008, 122 Stat. 2327.)
§ 5303. Certain bars to benefits
(a) The discharge or dismissal by reason of the sentence of a
general court-martial of any person from the Armed Forces, or the
discharge of any such person on the ground that such person was
a conscientious objector who refused to perform military duty or re-
fused to wear the uniform or otherwise to comply with lawful or-
ders of competent military authority, or as a deserter, or on the
basis of an absence without authority from active duty for a contin-
uous period of at least one hundred and eighty days if such person
was discharged under conditions other than honorable unless such
person demonstrates to the satisfaction of the Secretary that there
are compelling circumstances to warrant such prolonged unauthor-
ized absence, or of an officer by the acceptance of such officer’s res-
ignation for the good of the service, or (except as provided in sub-
section (c)) the discharge of any individual during a period of hos-
tilities as an alien, shall bar all rights of such person under laws
administered by the Secretary based upon the period of service
from which discharged or dismissed, notwithstanding any action
subsequent to the date of such discharge by a board established
pursuant to section 1553 of title 10.
(b) Notwithstanding subsection (a), if it is established to the

satisfaction of the Secretary that, at the time of the commission of
an offense leading to a person’s court-martial, discharge, or res-
ignation, that person was insane, such person shall not be pre-
cluded from benefits under laws administered by the Secretary
based upon the period of service from which such person was sepa-
rated.
(c) Subsection (a) shall not apply to any alien whose service
was honest and faithful, and who was not discharged on the indi-
vidual’s own application or solicitation as an alien. No individual
shall be considered as having been discharged on the individual’s
own application or solicitation as an alien in the absence of affirm-
ative evidence establishing that the individual was so discharged.
(d) This section shall not apply to any war-risk insurance, Gov-
ernment (converted) or National Service Life Insurance policy.
(e)(1) Notwithstanding any other provision of law, (A) no bene-
fits under laws administered by the Secretary shall be provided, as
a result of a change in or new issuance of a discharge under section
1553 of title 10, except upon a case-by-case review by the board of
review concerned, subject to review by the Secretary concerned,
under such section, of all the evidence and factors in each case
under published uniform standards (which shall be historically con-
sistent with criteria for determining honorable service and shall
not include any criterion for automatically granting or denying
such change or issuance) and procedures generally applicable to all
persons administratively discharged or released from active mili-
tary, naval, or air service under other than honorable conditions;
and (B) any such person shall be afforded an opportunity to apply
for such review under such section 1553 for a period of time termi-
nating not less than one year after the date on which such uniform
standards and procedures are promulgated and published.
(2) Notwithstanding any other provision of law—
(A) no person discharged or released from active military,
naval, or air service under other than honorable conditions
who has been awarded a general or honorable discharge under
revised standards for the review of discharges, (i) as imple-
mented by the President’s directive of January 19, 1977, initi-
ating further action with respect to the President’s Proclama-
tion 4313 of September 16, 1974, (ii) as implemented on or
after April 5, 1977, under the Department of Defense’s special
discharge review program, or (iii) as implemented subsequent
to April 5, 1977, and not made applicable to all persons admin-
istratively discharged or released from active military, naval,
or air service under other than honorable conditions, shall be
entitled to benefits under laws administered by the Secretary
except upon a determination, based on a case-by-case review,
under standards (meeting the requirements of paragraph (1) of
this subsection) applied by the board of review concerned
under section 1553 of title 10, subject to review by the Sec-
retary concerned, that such person would be awarded an up-
graded discharge under such standards; and
(B) such determination shall be made by such board (i) on
an expedited basis after notification by the Department to the
Secretary concerned that such person has received, is in receipt
737 CH. 53—SPECIAL PROVISIONS RELATING TO BENEFITS Sec. 5303A
of, or has applied for such benefits or after a written request

is made by such person or such determination, (ii) on its own
initiative before October 9, 1978, in any case where a general
or honorable discharge has been awarded before October 9,
1977, under revised standards referred to in clause (A)(i), (ii),
or (iii) of this paragraph, or (iii) on its own initiative at the
time a general or honorable discharge is so awarded in any
case where a general or honorable discharge is awarded after
October 8, 1977.
If such board makes a preliminary determination that such person
would not have been awarded an upgraded discharge under stand-
ards meeting the requirements of paragraph (1) of this subsection,
such person shall be entitled to an appearance before the board, as
provided for in section 1553(c) of title 10, prior to a final deter-
mination on such question and shall be given written notice by the
board of such preliminary determination and of the right to such
appearance. The Secretary shall, as soon as administratively fea-
sible, notify the appropriate board of review of the receipt of bene-
fits under laws administered by the Secretary, or of the application
for such benefits, by any person awarded an upgraded discharge
under revised standards referred to in clause (A)(i), (ii), or (iii) of
this paragraph with respect to whom a favorable determination has
not been made under this paragraph.
1959, 73 Stat. 262; Pub. L. 95–126, Sec. 1(a), Oct. 8, 1977, 91 Stat. 1106; Pub. L.
97–295, Sec. 4(75), Oct. 12, 1982, 96 Stat. 1310; Pub. L. 99–576, title VII, Sec.
701(70), Oct. 28, 1986, 100 Stat. 3296; renumbered Sec. 5303, Pub. L. 102–40, title
IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), (3), (4),
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405.)
§ 5303A. Minimum active-duty service requirement

(a) Notwithstanding any other provision of law, any require-
ments for eligibility for or entitlement to any benefit under this
title or any other law administered by the Secretary that are based
on the length of active duty served by a person who initially enters
such service after September 7, 1980, shall be exclusively as pre-
scribed in this title.
a person described in paragraph (2) of this subsection who is dis-
charged or released from a period of active duty before completing
the shorter of—
(A) 24 months of continuous active duty, or
(B) the full period for which such person was called or or-
dered to active duty,
is not eligible by reason of such period of active duty for any ben-
efit under this title or any other law administered by the Secretary.
(2) Paragraph (1) of this subsection applies—
(A) to any person who originally enlists in a regular com-
ponent of the Armed Forces after September 7, 1980; and
(B) to any other person who enters on active duty after Oc-
tober 16, 1981, and has not previously completed a continuous
period of active duty of at least 24 months or been discharged
or released from active duty under section 1171 of title 10.
(3) Paragraph (1) of this subsection does not apply—
Sec. 5303A CH. 53—SPECIAL PROVISIONS RELATING TO BENEFITS 738
(A) to a person who is discharged or released from active

duty under section 1171 or 1173 of title 10;
(B) to a person who is discharged or released from active
duty for a disability incurred or aggravated in line of duty;
(C) to a person who has a disability that the Secretary has
determined to be compensable under chapter 11 of this title;
(D) to the provision of a benefit for or in connection with
a service-connected disability, condition, or death;
(E) to benefits under chapter 19 of this title;
(F) to benefits under chapter 30 or chapter 37 of this title
by reason of—
(i) a discharge or release from active duty for the con-
venience of the Government, as described in sections
3011(a)(1)(A)(ii)(II) and 3012(b)(1)(A)(iv) of this title;
(ii) a discharge or release from active duty for a med-
ical condition which preexisted service on active duty and
which the Secretary determines is not service connected,
as described in clauses (A)(ii)(I) and (B)(ii)(I) of section
3011(a)(1) of this title and in section 3012(b)(1)(A)(ii) of
this title;
(iii) an involuntary discharge or release from active
duty for the convenience of the Government as a result of
a reduction in force, as described in clauses (A)(ii)(III) and
(B)(ii)(III) of section 3011(a)(1) of this title and in section
3012(b)(1)(A)(v) of this title; or
(iv) a discharge or release from active duty for a phys-
ical or mental condition that was not characterized as a
disability and did not result from the individual’s own will-
ful misconduct but did interfere with the individual’s per-
formance of duty, as described in section 3011(a)(1)(A)(ii)(I)
of this title; or
(G) to benefits under chapter 43 of this title.
(c)(1) Except as provided in paragraph (2) of this subsection, no
dependent or survivor of a person as to whom subsection (b) of this
section requires the denial of benefits shall, by reason of such per-
son’s period of active duty, be provided with any benefit under this
title or any other law administered by the Secretary.
(2) Paragraph (1) of this subsection does not apply to benefits
under chapters 19 and 37 of this title.
(d)(1) Notwithstanding any other provision of law and except
as provided in paragraph (3) of this subsection, a person described
in paragraph (2) of this subsection who is discharged or released
from a period of active duty before completing the shorter of—
(A) 24 months of continuous active duty, or
(B) the full period for which such person was called or or-
dered to active duty,
is not eligible by reason of such period of active duty for any ben-
efit under Federal law (other than this title or any other law ad-
ministered by the Secretary), and no dependent or survivor of such
person shall be eligible for any such benefit by reason of such pe-
riod of active duty of such person.
(2) Paragraph (1) of this subsection applies—
(A) to any person who originally enlists in a regular com-
ponent of the Armed Forces after September 7, 1980; and
(B) to any other person who enters on active duty after Oc-
tober 13, 1982, and has not previously completed a continuous
period of active duty of at least 24 months or been discharged
or released from active duty under section 1171 of title 10.
(3) Paragraph (1) of this subsection does not apply—
(A) to any person described in clause (A), (B), or (C) of sub-
section (b)(3) of this section; or
(B) with respect to a benefit under (i) the Social Security
Act other than additional wages deemed to have been paid,
under section 229(a) of the Social Security Act (42 U.S.C.
429(a)), for any calendar quarter beginning after October 13,
1982, or (ii) title 5 other than a benefit based on meeting the
definition of preference eligible in section 2108(3) of such title.
(e) For the purposes of this section, the term ‘‘benefit’’ includes
a right or privilege, but does not include a refund of a participant’s
contributions to the educational benefits program provided by chap-
ter 32 of this title.
(f) Nothing in this section shall be construed to deprive any
person of any procedural rights, including any rights to assistance
in applying for or claiming a benefit.
(Added Pub. L. 97–66, title VI, Sec. 604(a)(1), Oct. 17, 1981, 95 Stat. 1035, Sec.
3103A; amended Pub. L. 97–306, title IV, Sec. 408(a), Oct. 14, 1982, 96 Stat. 1445;
Pub. L. 99–576, title III, Sec. 321(11), Oct. 28, 1986, 100 Stat. 3278; Pub. L. 100–
689, title I, Sec. 102(b)(3), Nov. 18, 1988, 102 Stat. 4163; Pub. L. 101–510, div. A,
title V, Sec. 562(a)(4), Nov. 5, 1990, 104 Stat. 1574; renumbered Sec. 5303A, Pub.
L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec.
4(a)(1), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 103–353, Sec.
3, Oct. 13, 1994, 108 Stat. 3169; Pub. L. 103–446, title IX, Sec. 908, Nov. 2, 1994,
108 Stat. 4678; Pub. L. 105–368, title X, Sec. 1005(b)(15), Nov. 11, 1998, 112 Stat.
3365.)
§ 5304. Prohibition against duplication of benefits

(a)(1) Except as provided in section 1414 of title 10 or to the
extent that retirement pay is waived under other provisions of law,
not more than one award of pension, compensation, emergency offi-
cers’, regular, or reserve retirement pay, or initial award of naval
pension granted after July 13, 1943, shall be made concurrently to
any person based on such person’s own service or concurrently to
any person based on the service of any other person.
(2) Notwithstanding the provisions of paragraph (1) of this sub-
section and of section 5305 of this title, pension under section 1521
or 1541 of this title may be paid to a person entitled to receive re-
tired or retirement pay described in section 5305 of this title con-
currently with such person’s receipt of such retired or retirement
pay if the annual amount of such retired or retirement pay is
counted as annual income for the purposes of chapter 15 of this
title.
(b)(1) Except as provided in paragraphs (2) and (3) of this sub-
section and in section 1521(i) of this title, the receipt of pension,
compensation, or dependency and indemnity compensation by a
surviving spouse, child, or parent on account of the death of any
person, or receipt by any person of pension or compensation on ac-
count of such person’s own service, shall not bar the payment of
pension, compensation, or dependency and indemnity compensation
on account of the death or disability of any other person.
(2) Benefits other than insurance under laws administered by

the Secretary may not be paid or furnished to or on account of any
child by reason of the death of more than one parent in the same
parental line; however, the child may elect one or more times to re-
ceive benefits by reason of the death of any one of such parents.
(3) Benefits other than insurance under laws administered by
the Secretary may not be paid to any person by reason of the death
of more than one person to whom such person was married; how-
ever, the person may elect one or more times to receive benefits by
reason of the death of any one spouse.
(c) Pension, compensation, or retirement pay on account of any
person’s own service shall not be paid to such person for any period
for which such person receives active service pay.
June 8, 1960, 74 Stat. 163; Pub. L. 88–664, Sec. 9, Oct. 13, 1964, 78 Stat. 1096;
Pub. L. 91–376, Sec. 6, Aug. 12, 1970, 84 Stat. 790; Pub. L. 95–588, title III, Sec.
304, Nov. 4, 1978, 92 Stat. 2507; Pub. L. 96–385, title V, Sec. 503(a), Oct. 7, 1980,
renumbered Sec. 5304 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1),
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), 5(c)(1), Aug. 6, 1991,
105 Stat. 403, 406; Pub. L. 108–454, title III, Sec. 308(a), Dec. 10, 2004, 118 Stat.
3614.)
§ 5305. Waiver of retired pay

Except as provided in section 1414 of title 10, any person who
is receiving pay pursuant to any provision of law providing retired
or retirement pay to persons in the Armed Forces, or as a commis-
sioned officer of the National Oceanic and Atmospheric Administra-
tion or of the Public Health Service, and who would be eligible to
receive pension or compensation under the laws administered by
the Secretary if such person were not receiving such retired or re-
tirement pay, shall be entitled to receive such pension or com-
pensation upon the filing by such person with the department by
which such retired or retirement pay is paid of a waiver of so much
of such person’s retired or retirement pay as is equal in amount to
such pension or compensation. To prevent duplication of payments,
the department with which any such waiver is filed shall notify the
Secretary of the receipt of such waiver, the amount waived, and the
effective date of the reduction in retired or retirement pay.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1231, Sec. 3105; Pub. L. 91–621, Sec. 6(a)(3),
Dec. 31, 1970, 84 Stat. 1864; Pub. L. 99–576, title VII, Sec. 701(72), Oct. 28, 1986,
100 Stat. 3297; renumbered Sec. 5305, Pub. L. 102–40, title IV, Sec. 402(b)(1), May
7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), (2)(A)(viii), Aug. 6, 1991, 105
Stat. 403; Pub. L. 108–454, title III, Sec. 308(b), Dec. 10, 2004, 118 Stat. 3614.)
§ 5306. Renouncement of right to benefits

(a) Any person entitled to pension, compensation, or depend-
ency and indemnity compensation under any of the laws adminis-
tered by the Secretary may renounce the right thereto. The applica-
tion renouncing the right shall be in writing over the person’s sig-
nature. Upon the filing of such an application, payment of such
benefits and the right thereto shall be terminated, and such person
shall be denied any and all rights thereto from such filing.
(b) Renouncement of rights shall not preclude any person from
filing a new application for pension, compensation, or dependency
and indemnity compensation at a later date, but such new applica-
tion shall be treated as an original application, and no payments

shall be made for any period before the date such new application
is filed.
(c) Notwithstanding subsection (b), if a new application for
pension under chapter 15 of this title or for dependency and indem-
nity compensation for parents under section 1315 of this title is
filed within one year after renouncement of that benefit, such ap-
plication shall not be treated as an original application and bene-
fits will be payable as if the renouncement had not occurred.
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), Aug.
6, 1991, 105 Stat. 403; Pub. L. 103–446, title V, Sec. 503, Nov. 2, 1994, 108 Stat.
4663.)
§ 5307. Apportionment of benefits
(a) All or any part of the compensation, pension, or emergency
officers’ retirement pay payable on account of any veteran may—
(1) if the veteran is being furnished hospital treatment, in-
stitutional, or domiciliary care by the United States, or any po-
litical subdivision thereof, be apportioned on behalf of the vet-
eran’s spouse, children, or dependent parents; and
(2) if the veteran is not living with the veteran’s spouse,
or if the veteran’s children are not in the custody of the vet-
eran, be apportioned as may be prescribed by the Secretary.
(b) Where any of the children of a deceased veteran are not in
the custody of the veteran’s surviving spouse, the pension, com-
pensation, or dependency and indemnity compensation otherwise
payable to the surviving spouse may be apportioned as prescribed
by the Secretary.
(c) If a veteran is not living with the veteran’s spouse, or if any
of the veteran’s children are not in the custody of the veteran, any
subsistence allowance payable to the veteran under chapter 31 of
this title or that portion of the educational assistance allowance
payable on account of dependents under chapter 34 of this title
may be apportioned as may be prescribed by the Secretary.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1231, Sec. 3107; Pub. L. 92–540, title V,
Sec. 505, Oct. 24, 1972, 86 Stat. 1099; Pub. L. 98–160, title VII, Sec. 703(2), Nov.
402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 404, 405.)
§ 5308. Withholding benefits of persons in territory of the

enemy
(a) When any alien entitled to gratuitous benefits under laws
administered by the Secretary is located in territory of, or under
military control of, an enemy of the United States or of any of its
allies, any award of such benefits in favor of such alien shall be
terminated forthwith.
(b) Any alien whose award is terminated under subsection (a)
shall not thereafter be entitled to any such gratuitous benefits ex-
cept upon the filing of a new claim, accompanied by evidence satis-
factory to the Secretary showing that such alien was not guilty of
mutiny, treason, sabotage, or rendering assistance to such enemy.
Except as provided in section 5309 of this title, such gratuitous
benefits shall not be paid for any period before the date the new
claim is filed.
(c) While such alien is located in territory of, or under military
control of, an enemy of the United States or of any of its allies, the
Secretary, in the Secretary’s discretion, may apportion and pay any
part of such benefits to the dependents of such alien. No dependent
of such alien shall receive benefits by reason of this subsection in
excess of the amount to which the dependent would be entitled if
such alien were dead.
L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405.)
§ 5309. Payment of certain withheld benefits
(a) Any person who, but for section 5308 of this title, was enti-
tled to benefits under any of the laws administered by the Sec-
retary, whose award of benefits was terminated under such section,
or whose benefits were not paid pursuant to sections 3329 and
3330 of title 31, and who was not guilty of mutiny, treason, sabo-
tage, or rendering assistance to an enemy of the United States or
its allies, shall be paid the full amount of any benefits not paid be-
cause of such section 5308, or withheld (including the amount of
any checks covered on such person’s account into the Treasury as
miscellaneous receipts together with any amount to such person’s
credit in the special-deposit account) pursuant to sections 3329 and
3330 of title 31. The Secretary shall certify to the Secretary of the
Treasury the amounts of payments which, but for this section,
would have been made from the special deposit account, and the
Secretary of the Treasury, as directed by the Secretary, shall reim-
burse the appropriations of the Department from such special de-
posit account, or cover into the Treasury as miscellaneous receipts
the amounts so certified.
(b) No payments shall be made for any period before the date
claim therefor is filed under this section to any person whose
award was terminated, or whose benefits were not paid, before July
1, 1954, because such person was a citizen or subject of Germany
or Japan residing in Germany or Japan.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1232, Sec. 3109; Pub. L. 97–258, Sec. 3(k)(4),
Sept. 13, 1982, 96 Stat. 1065; Pub. L. 99–576, title VII, Sec. 701(75), Oct. 28, 1986,
100 Stat. 3297; renumbered Sec. 5309 and amended Pub. L. 102–40, title IV, Sec.
(4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405.)
§ 5310. Payment of benefits for month of death

(a) If, in accordance with the provisions of section 5110(d) of
this title, a surviving spouse is entitled to death benefits under
chapter 11, 13, or 15 of this title for the month in which a veteran’s
death occurs, the amount of such death benefits for that month
shall be not less than the amount of benefits the veteran would
have received under chapter 11 or 15 of this title for that month
but for the death of the veteran.
(b)(1) If the surviving spouse of a veteran who was in receipt
of compensation or pension at the time of death is not entitled to
death benefits under chapter 11, 13, or 15 of this title for the
month in which the veteran’s death occurs, that surviving spouse

shall be entitled to a benefit for that month in the amount of bene-
fits the veteran would have received under chapter 11 or 15 of this
title for that month but for the death of the veteran.
(2) If (notwithstanding section 5112(b)(1) of this title) a check
or other payment is issued to, and in the name of, the deceased
veteran as a benefit payment under chapter 11 or 15 of this title
for the month in which death occurs, that check or other payment
(A) shall be treated for all purposes as being payable to the sur-
viving spouse, and (B) if that check or other payment is negotiated
or deposited, shall be considered to be the benefit to which the sur-
viving spouse is entitled under paragraph (1). However, if such
check or other payment is in an amount less than the amount of
the benefit under paragraph (1), the unpaid amount shall be treat-
ed in the same manner as an accrued benefit under section 5121
of this title.
Pub. L. 98–160, title VII, Sec. 703(3), Nov. 21, 1983, 97 Stat. 1010; renumbered Sec.
Stat. 238, 239; Pub. L. 104–275, title V, Sec. 506(a), Oct. 9, 1996, 110 Stat. 3343;
Pub. L. 105–114, title IV, Sec. 401(f), Nov. 21, 1997, 111 Stat. 2294.)
§ 5311. Prohibition of certain benefit payments

There shall be no payment of dependency and indemnity com-
pensation, death compensation, or death pension which, because of
a widow’s relationship with another man before enactment of Pub-
lic Law 87–674, would not have been payable by the Veterans’ Ad-
ministration under the standard for determining remarriage ap-
plied by that agency before said enactment.
(Added Pub. L. 91–376, Sec. 8(b), Aug. 12, 1970, 84 Stat. 790, Sec. 3111; renum-
bered Sec. 5311, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238.)
§ 5312. Annual adjustment of certain benefit rates

(a) Whenever there is an increase in benefit amounts payable
under title II of the Social Security Act (42 U.S.C. 401 et seq.) as
a result of a determination made under section 215(i) of such Act
(42 U.S.C. 415(i)), the Secretary shall, effective on the date of such
increase in benefit amounts, increase each maximum annual rate
of pension under sections 1521, 1541, and 1542 of this title, the
rate of increased pension paid under such sections 1521 and 1541
on account of children, and each rate of monthly allowance paid
under section 1805 of this title, as such rates were in effect imme-
diately prior to the date of such increase in benefit amounts pay-
able under title II of the Social Security Act, by the same percent-
age as the percentage by which such benefit amounts are in-
creased.
(b)(1) Whenever there is an increase in benefit amounts pay-
able under title II of the Social Security Act (42 U.S.C. 401 et seq.)
as a result of a determination made under section 215(i) of such
Act (42 U.S.C. 415(i)), the Secretary shall, effective on the date of
such increase in benefit amounts, increase the maximum monthly
rates of dependency and indemnity compensation for parents pay-
able under subsections (b), (c), and (d), and the monthly rate pro-
vided in subsection (g), of section 1315 of this title and the annual
income limitations prescribed in subsections (b)(3), (c)(3), and (d)(3)

of such section, and the annual benefit amount limitations under
sections 5507(c)(2)(D) and 5508 of this title, as such rates and limi-
tations were in effect immediately prior to the date of such increase
in benefit amounts payable under title II of the Social Security Act,
by the same percentage as the percentage by which such benefit
amounts are increased.
(2)(A) Whenever there is an increase under paragraph (1) of
this subsection in such rates and annual income limitations, the
Secretary shall, effective on the date of such increase in such rates
and limitations, adjust (as provided in subparagraph (B) of this
paragraph) the rates of dependency and indemnity compensation
payable under subsection (b)(1) or (c)(1) of section 1315 of this title
to any parent whose annual income is more than $800 but not
more than the annual income limitation in effect under subsection
(b)(3) or (c)(3) of such section, as appropriate, and adjust the rates
of such compensation payable under subsection (d)(1) of such sec-
tion to any parent whose annual income is more than $1,000 but
not more than the annual income limitation in effect under sub-
section (d)(3) of such section.
(B) The adjustment in rates of dependency and indemnity com-
pensation referred to in subparagraph (A) of this paragraph shall
be made by the Secretary in accordance with regulations which the
Secretary shall prescribe.
(c)(1) Whenever there is an increase under subsection (a) in
benefit rates payable under sections 1521, 1541, 1542, and 1805 of
this title and an increase under subsection (b) in benefit rates and
annual income limitations under section 1315 of this title, the Sec-
retary shall publish such rates and limitations (including those
rates adjusted by the Secretary under subsection (b)(2) of this sec-
tion), as increased pursuant to such subsections, in the Federal
Register at the same time as the material required by section
215(i)(2)(D) of the Social Security Act (42 U.S.C. 415(i)(2)(D)) is
published by reason of a determination under section 215(i) of such
Act (42 U.S.C. 415(i)).
(2) Whenever such rates and income limitations are so in-
creased, the Secretary may round such rates and income limita-
tions in such manner as the Secretary considers equitable and ap-
propriate for ease of administration.
amended Pub. L. 97–295, Sec. 4(76), Oct. 12, 1982, 96 Stat. 1311; renumbered Sec.
5312, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L.
102–83, Sec. 4(b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–
204, title IV, Sec. 421(c), Sept. 26, 1996, 110 Stat. 2926; Pub. L. 108–454, title V,
Sec. 506, Dec. 10, 2004, 118 Stat. 3622.)
§ 5313. Limitation on payment of compensation and depend-

ency and indemnity compensation to persons in-
carcerated for conviction of a felony
(a)(1) To the extent provided in subsection (d) of this section,
any person who is entitled to compensation or to dependency and
indemnity compensation and who is incarcerated in a Federal,
State, local, or other penal institution or correctional facility for a
period in excess of sixty days for conviction of a felony shall not be
paid such compensation or dependency and indemnity compensa-
tion, for the period beginning on the sixty-first day of such incar-
ceration and ending on the day such incarceration ends, in an
amount that exceeds—
(A) in the case of a veteran with a service-connected dis-
ability rated at 20 percent or more, the rate of compensation
payable under section 1114(a) of this title; or
(B) in the case of a veteran with a service-connected dis-
ability not rated at 20 percent or more or in the case of a sur-
viving spouse, parent, or child, one-half of the rate of com-
pensation payable under section 1114(a) of this title.
(2) The provisions of paragraph (1) of this subsection shall not
apply with respect to any period during which a person is partici-
pating in a work-release program or is residing in a halfway house.
(b)(1) All or any part of the compensation not paid to a veteran
by reason of subsection (a) of this section may, as appropriate in
an individual case, be apportioned under the same terms and con-
ditions as are provided under section 5307 of this title.
(2) All or any part of the dependency and indemnity compensa-
tion not paid to a surviving spouse or child by reason of subsection
(a) of this section may, as appropriate in an individual case, be ap-
portioned as follows:
(A) In the case of dependency and indemnity compensation
not paid to a surviving spouse, any apportionment shall be to
the surviving child or children.
(B) In the case of dependency and indemnity compensation
not paid to a surviving child, any apportionment shall be to the
surviving spouse or other surviving children, as applicable.
(3) No apportionment may be made under this subsection to or
on behalf of any person who is incarcerated in a Federal, State,
local, or other penal institution or correctional facility for conviction
of a felony.
(c) The Secretary shall not assign to any veteran a rating of
total disability based on the individual unemployability of the vet-
eran resulting from a service-connected disability during any period
during which the veteran is incarcerated in a Federal, State, local,
or other penal institution or correctional facility for conviction of a
felony.
(d) The provisions of subsection (a) of this section shall apply
(1) with respect to any period of incarceration of a person for con-
viction of a felony committed after October 7, 1980, and (2) with
respect to any period of incarceration on or after October 1, 1980,
for conviction of a felony of a person who on October 1, 1980, is in-
carcerated for conviction of such felony and with respect to whom
the action granting an award of compensation or dependency and
indemnity compensation is taken on or after such date.
(e) For purposes of this section—
(1) The term ‘‘compensation’’ includes disability compensa-
tion payable under section 1151 of this title.
(2) The term ‘‘dependency and indemnity compensation’’
means death compensation payable under section 1121 or 1141
of this title, death compensation and dependency and indem-
nity compensation payable under section 1151 of this title, and
any benefit payable under chapter 13 of this title.
amended Pub. L. 98–160, title VII, Sec. 702(17), Nov. 21, 1983, 97 Stat. 1010; re-
numbered Sec. 5313 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1),
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(c)(1), Aug.
6, 1991, 105 Stat. 404–406; Pub. L. 105–368, title X, Sec. 1005(b)(16), Nov. 11, 1998,
112 Stat. 3365; Pub. L. 109–461, title X, Sec. 1002(f), Dec. 22, 2006, 120 Stat. 3465.)
§ 5313A. Limitation on payment of clothing allowance to in-
carcerated veterans
In the case of a veteran who is incarcerated in a Federal,
State, local, or other penal institution or correctional facility for a
period in excess of 60 days and who is furnished clothing without
charge by the institution, the amount of any annual clothing allow-
ance payable to the veteran under section 1162 of this title shall
be reduced by an amount equal to 1/365 of the amount of the allow-
ance otherwise payable under that section for each day on which
the veteran was so incarcerated during the 12-month period pre-
ceding the date on which payment of the allowance would be due.
This section shall be carried out under regulations prescribed by
the Secretary.
(Added Pub. L. 104–275, title V, Sec. 502(a), Oct. 9, 1996, 110 Stat. 3341; amended
Pub. L. 109–461, title X, Sec. 1002(g), Dec. 22, 2006, 120 Stat. 3465.)
§ 5313B. Prohibition on providing certain benefits with re-

spect to persons who are fugitive felons
(a) A veteran who is otherwise eligible for a benefit specified
in subsection (c) may not be paid or otherwise provided such ben-
efit for any period during which such veteran is a fugitive felon. A
dependent of a veteran who is otherwise eligible for a benefit speci-
fied in subsection (c) may not be paid or otherwise provided such
benefit for any period during which such veteran or such depend-
ent is a fugitive felon.
(b) For purposes of this section:
(1) The term ‘‘fugitive felon’’ means a person who is a fugi-
tive by reason of—
(A) fleeing to avoid prosecution, or custody or confine-
ment after conviction, for an offense, or an attempt to com-
mit an offense, which is a felony under the laws of the
place from which the person flees; or
(B) violating a condition of probation or parole im-
posed for commission of a felony under Federal or State
law.
(2) The term ‘‘felony’’ includes a high misdemeanor under
the laws of a State which characterizes as high misdemeanors
offenses that would be felony offenses under Federal law.
(3) The term ‘‘dependent’’ means a spouse, surviving
spouse, child, or dependent parent of a veteran.
(c) A benefit specified in this subsection is a benefit under any
of the following:
(1) Chapter 11 of this title.
(6) Chapter 30, 31, 32, 34, or 35 of this title.

(d)(1) The Secretary shall furnish to any Federal, State, or
local law enforcement official, upon the written request of such offi-
cial, the most current address maintained by the Secretary of a
person who is eligible for a benefit specified in subsection (c) if such
official—
(A) provides to the Secretary such information as the Sec-
retary may require to fully identify the person;
(B) identifies the person as being a fugitive felon; and
(C) certifies to the Secretary that apprehending such per-
son is within the official duties of such official.
(2) The Secretary shall enter into memoranda of understanding
with Federal law enforcement agencies, and may enter into agree-
ments with State and local law enforcement agencies, for purposes
of furnishing information to such agencies under paragraph (1).
(Added Pub. L. 107–103, title V, Sec. 505(a)(1), Dec. 27, 2001, 115 Stat. 995.)
§ 5314. Indebtedness offsets
(a) Subject to subsections (b) and (d) of this section and section
3485(e) of this title, the Secretary shall (unless the Secretary
waives recovery under section 5302 of this title) deduct the amount
of the indebtedness of any person who has been determined to be
indebted to the United States by virtue of such person’s participa-
tion in a benefits program administered by the Secretary from fu-
ture payments made to such person under any law administered by
the Secretary.
(b) Deductions may not be made under subsection (a) of this
section with respect to the indebtedness of a person described in
such subsection unless the Secretary—
(1) has made reasonable efforts to notify such person of
such person’s right to dispute through prescribed administra-
tive processes the existence or amount of such indebtedness
and of such person’s right to request a waiver of such indebted-
ness under section 5302 of this title;
(2) has made a determination with respect to any such dis-
pute or request or has determined that the time required to
make such a determination before making deductions would
jeopardize the Secretary’s ability to recover the full amount of
such indebtedness through deductions from such payments;
and
(3) has made reasonable efforts to notify such person about
the proposed deductions from such payments.
(c) Notwithstanding any other provision of this title or of any
other law, the authority of the Secretary to make deductions under
this section or to take other administrative action authorized by
law for the purpose of collecting an indebtedness described in sub-
section (a) of this section, or for the purpose of determining the
creditworthiness of a person who owes such an indebtedness, shall
not be subject to any limitation with respect to the time for bring-
ing civil actions or for commencing administrative proceedings.
(d) The Secretary shall prescribe regulations for the adminis-
tration of this section.
3114; amended Pub. L. 102–16, Sec. 6(b)(3), Mar. 22, 1991, 105 Stat. 51; renum-
7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), 5(c)(1), Aug.
6, 1991, 105 Stat. 403–406.)
§ 5315. Interest and administrative cost charges on delin-

quent payments of certain amounts due the United
States
(a) Notwithstanding any other provision of this title or of any
other law and subject to sections 3485(e) and 5302 of this title, in-
terest and administrative costs (as described in subsections (b) and
(c) of this section) shall be charged, under regulations which the
Secretary shall prescribe, on any amount owed to the United
States—
(1) for an indebtedness resulting from a person’s participa-
tion in a benefits program administered by the Secretary other
than a loan, loan-guaranty, or loan-insurance program;
(2) for an indebtedness resulting from the provision of care
or services under chapter 17 of this title; or
(3) to the extent not precluded by the terms of the loan in-
struments concerned, for an indebtedness resulting from a per-
son’s participation in a program of loans, loan guaranties, or
loan insurance administered by the Secretary under this title.
(b)(1) Interest on the amount of any indebtedness described in
subsection (a) of this section shall accrue from the day on which
the initial notification of the amount due is mailed to the person
who owes such amount (using the most current address of such
person that is available to the Secretary), but interest under this
section shall not be charged (A) for any period before October 17,
1980, or (B) if the amount due is paid within a reasonable period
of time. The Secretary shall, in the regulations prescribed pursuant
to subsection (a) of this section, prescribe what constitutes a rea-
sonable period of time for payment of an indebtedness after the ini-
tial notification of indebtedness has been mailed.
(2) The rate of interest to be charged under this section shall
be based on the rate of interest paid by the United States for its
borrowing and shall be determined by the Secretary under such
regulations.
(c) The administrative costs to be charged under this section
with respect to an amount owed to the United States shall be so
much of the costs incurred by the United States in collecting such
amount as the Secretary determines, under such regulations, to be
reasonable and appropriate.
3115; amended Pub. L. 102–16, Sec. 6(b)(4), Mar. 22, 1991, 105 Stat. 51; renum-
7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), 5(C)(1), Aug.
6, 1991, 105 Stat. 403–406; Pub. L. 105–368, title X, Sec. 1005(b)(17), Nov. 11, 1998,
112 Stat. 3365.)
§ 5316. Authority to sue to collect certain debts

(a)(1) The Secretary shall take appropriate steps to authorize
attorneys employed by the Department to exercise, subject to para-
graphs (2) and (3) of this subsection, the right of the United States
to bring suit in any court of competent jurisdiction to recover any
indebtedness owed to the United States by a person by virtue of
such person’s participation in a benefits program administered by

the Secretary.
(2) No suit may be filed under this section to recover any in-
debtedness owed by any person to the United States unless the
Secretary has determined, under regulations which the Secretary
shall prescribe, that such person has failed to respond appro-
priately to reasonable administrative efforts to collect such indebt-
edness.
(3) The activities of attorneys employed by the Department in
bringing suit under this section shall be subject to the direction
and supervision of the Attorney General of the United States and
to such terms and conditions as the Attorney General may pre-
scribe.
(b) Nothing in this section shall derogate from the authority of
the Attorney General of the United States under sections 516 and
519 of title 28 to direct and supervise all litigation to which the
United States or an agency or officer of the United States is a
party.
105 Stat. 238; amended Pub. L. 102–54, Sec. 14(d)(3), June 13, 1991, 105 Stat. 285;
Pub. L. 102–83, Sec. 4(a)(1), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405.)
§ 5317. Use of income information from other agencies: no-
tice and verification
(a) The Secretary shall notify each applicant for a benefit or
service described in subsection (c) of this section that income infor-
mation furnished by the applicant to the Secretary may be com-
pared with information obtained by the Secretary from the Com-
missioner of Social Security or the Secretary of the Treasury under
section 6103(l)(7)(D)(viii) of the Internal Revenue Code of 1986. The
Secretary shall periodically transmit to recipients of such benefits
and services additional notifications of such matters.
(b) The Secretary may not, by reason of information obtained
from the Commissioner of Social Security or the Secretary of the
Treasury under section 6103(l)(7)(D)(viii) of the Internal Revenue
Code of 1986, terminate, deny, suspend, or reduce any benefit or
service described in subsection (c) of this section until the Secretary
takes appropriate steps to verify independently information relat-
ing to the following:
(1) The amount of the asset or income involved.
(2) Whether such individual actually has (or had) access to
such asset or income for the individual’s own use.
(3) The period or periods when the individual actually had
such asset or income.
(c) The benefits and services described in this subsection are
the following:
(1) Needs-based pension benefits provided under chapter
15 of this title or under any other law administered by the Sec-
retary.
(2) Parents’ dependency and indemnity compensation pro-
vided under section 1315 of this title.
(3) Health-care services furnished under subsections
(a)(2)(G), (a)(3), and (b) of section 1710 of this title.
(4) Compensation paid under chapter 11 of this title at the

100 percent rate based solely on unemployability and without
regard to the fact that the disability or disabilities are not
rated as 100 percent disabling under the rating schedule.
(d) In the case of compensation described in subsection (c)(4)
of this section, the Secretary may independently verify or otherwise
act upon wage or self-employment information referred to in sub-
section (b) of this section only if the Secretary finds that the
amount and duration of the earnings reported in that information
clearly indicate that the individual may no longer be qualified for
a rating of total disability.
(e) The Secretary shall inform the individual of the findings
made by the Secretary on the basis of verified information under
subsection (b) of this section, and shall give the individual an op-
portunity to contest such findings, in the same manner as applies
to other information and findings relating to eligibility for the ben-
efit or service involved.
(f) The Secretary shall pay the expenses of carrying out this
section from amounts available to the Department for the payment
of compensation and pension.
(g) The authority of the Secretary to obtain information from
the Secretary of the Treasury or the Commissioner of Social Secu-
rity under section 6103(l)(7)(D)(viii) of the Internal Revenue Code
of 1986 expires on September 30, 2011.
(Added Pub. L. 101–508, title VIII, Sec. 8051(b)(1), Nov. 5, 1990, 104 Stat. 1388–
350, Sec. 3117; renumbered Sec. 5317, Pub. L. 102–40, title IV, Sec. 402(b)(1), May
7, 1991, 105 Stat. 238; amended Pub. L. 102–83, Sec. 5(c)(1), Aug. 6, 1991, 105 Stat.
406; Pub. L. 102–568, title VI, Sec. 602(a), Oct. 29, 1992, 106 Stat. 4342; Pub. L.
103–66, title XII, Sec. 12004, Aug. 10, 1993, 107 Stat. 414; Pub. L. 104–262, title
I, Sec. 101(e)(3), Oct. 9, 1996, 110 Stat. 3181; Pub. L. 105–33, title VIII, Sec. 8014,
Aug. 5, 1997, 111 Stat. 664; Pub. L. 106–419, title IV, Sec. 402(d), Nov. 1, 2000,
114 Stat. 1863; Pub. L. 108–183, title VII, Sec. 708(c)(3), Dec. 16, 2003, 117 Stat.
2674; Pub. L. 110–389, title VIII, Sec. 802, Oct. 10, 2008, 122 Stat. 4185.)
§ 5317A. Use of income information from other agencies:

independent verification required before termi-
nation or reduction of certain benefits and services
(a) INDEPENDENT VERIFICATION REQUIRED.—The Secretary may
terminate, deny, suspend, or reduce any benefit or service specified
in section 5317(c), with respect to an individual under age 65 who
is an applicant for or recipient of such a benefit or service, by rea-
son of information obtained from the Secretary of Health and
Human Services under section 453(j)(11) of the Social Security Act,
only if the Secretary takes appropriate steps to verify independ-
ently information relating to the individual’s employment and in-
come from employment.
(b) OPPORTUNITY TO CONTEST FINDINGS.—The Secretary shall
inform each individual for whom the Secretary terminates, denies,
suspends, or reduces any benefit or service under subsection (a) of
the findings made by the Secretary under such subsection on the
basis of verified information and shall provide to the individual an
opportunity to contest such findings in the same manner as applies
to other information and findings relating to eligibility for the ben-
efit or service involved.
(c) SOURCE OF FUNDS FOR REIMBURSEMENT TO SECRETARY OF

HEALTH AND HUMAN SERVICES.—The Secretary shall pay the ex-
pense of reimbursing the Secretary of Health and Human Services
in accordance with section 453(j)(11)(E) of the Social Security Act,
for the cost incurred by the Secretary of Health and Human Serv-
ices in furnishing information requested by the Secretary under
section 453(j)(11) of such Act, from amounts available to the De-
partment for the payment of compensation and pensions.
(d) EXPIRATION OF AUTHORITY.—The authority under this sec-
tion shall expire on September 30, 2011.
(Added Pub. L. 110–157, title III, Sec. 301(b)(1), Dec. 26, 2007, 121 Stat. 1835)
§ 5318. Review of Social Security Administration death in-

formation
(a) The Secretary shall periodically compare Department of
Veterans Affairs information regarding persons to or for whom
compensation or pension is being paid with information in the
records of the Social Security Administration relating to persons
who have died for the purposes of—
(1) determining whether any such persons to whom com-
pensation and pension is being paid are deceased;
(2) ensuring that such payments to or for any such persons
who are deceased are terminated in a timely manner; and
(3) ensuring that collection of overpayments of such bene-
fits resulting from payments after the death of such persons is
initiated in a timely manner.
(b) The Social Security Administration death information re-
ferred to in subsection (a) of this section is death information avail-
able to the Secretary from or through the Commissioner of Social
Security, including death information available to the Commis-
sioner from a State, pursuant to a memorandum of understanding
entered into by the Secretary and the Commissioner. Any such
memorandum of understanding shall include safeguards to assure
that information made available under it is not used for unauthor-
ized purposes or improperly disclosed.
(Added Pub. L. 101–508, title VIII, Sec. 8053(b)(1), Nov. 5, 1990, 104 Stat. 1388–
352, Sec. 3118; renumbered Sec. 5318, Pub. L. 102–40, title IV, Sec. 402(b)(1), May
7, 1991, 105 Stat. 238; amended Pub. L. 108–183, title VII, Sec. 708(c)(4)(A), (B)(i),
Dec. 16, 2003, 117 Stat. 2674.)
§ 5319. Limitations on access to financial records
(a) The Secretary may make a request referred to in section
1113(p) of the Right to Financial Privacy Act of 1978 (12 U.S.C.
3413(p)) only if the Secretary determines that the requested infor-
mation—
(1) is necessary in order for the Secretary to administer
the provisions of law referred to in that section; and
(2) cannot be secured by a reasonable search of records
and information of the Department.
(b) The Secretary shall include a certification of the determina-
tions referred to in subsection (a) in each request presented to a
financial institution.
(c) Information disclosed pursuant to a request referred to in
subsection (a) may be used solely for the purpose of the administra-
tion of benefits programs under laws administered by the Secretary

if, except for the exemption in subsection (a), the disclosure of that
information would otherwise be prohibited by any provision of the
Right to Financial Privacy Act of 1978.
(Added Pub. L. 102–568, title VI, Sec. 603(b)(1), Oct. 29, 1992, 106 Stat. 4342.)
753
CHAPTER 55—MINORS, INCOMPETENTS, AND OTHER
WARDS
Sec.
5501. Commitment actions.
5502. Payments to and supervision of fiduciaries.
5503. Hospitalized veterans and estates of incompetent institutionalized vet-
erans.
5504. Administration of trust funds.
[5505. Repealed.]
5506. Definition of ‘‘fiduciary’’.
5507. Inquiry, investigations, and qualification of fiduciaries.
5508. Periodic onsite reviews of institutional fiduciaries.
5509. Authority to require fiduciary to receive payments at regional offices of the
Department when failing to provide required accounting.
§ 5501. Commitment actions

The Secretary may incur necessary court costs and other ex-
penses incident to proceedings for the commitment of mentally in-
competent veterans to a Department hospital or domiciliary when
necessary for treatment or domiciliary purposes.
L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; amended Pub. L.
102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 5502. Payments to and supervision of fiduciaries

(a)(1) Where it appears to the Secretary that the interest of the
beneficiary would be served thereby, payment of benefits under any
law administered by the Secretary may be made directly to the
beneficiary or to a relative or some other fiduciary for the use and
benefit of the beneficiary, regardless of any legal disability on the
part of the beneficiary. Where, in the opinion of the Secretary, any
fiduciary receiving funds on behalf of a Department beneficiary is
acting in such a number of cases as to make it impracticable to
conserve properly the estates or to supervise the persons of the
beneficiaries, the Secretary may refuse to make future payments in
such cases as the Secretary may deem proper.
(2) In a case in which the Secretary determines that a commis-
sion is necessary in order to obtain the services of a fiduciary in
the best interests of a beneficiary, the Secretary may authorize a
fiduciary appointed by the Secretary to obtain from the bene-
ficiary’s estate a reasonable commission for fiduciary services ren-
dered, but the commission for any year may not exceed 4 percent
of the monetary benefits under laws administered by the Secretary
paid on behalf of the beneficiary to the fiduciary during such year.
755
Sec. 5502 CH. 55—MINORS, INCOMPETENTS, AND OTHER WARDS 756
A commission may not be authorized for a fiduciary who receives

any other form of remuneration or payment in connection with ren-
dering fiduciary services for benefits under this title on behalf of
the beneficiary.
(b) Whenever it appears that any fiduciary, in the opinion of
the Secretary, is not properly executing or has not properly exe-
cuted the duties of the trust of such fiduciary or has collected or
paid, or is attempting to collect or pay, fees, commissions, or allow-
ances that are inequitable or in excess of those allowed by law for
the duties performed or expenses incurred, or has failed to make
such payments as may be necessary for the benefit of the ward or
the dependents of the ward, then the Secretary may appear, by the
Secretary’s authorized attorney, in the court which has appointed
such fiduciary, or in any court having original, concurrent, or ap-
pellate jurisdiction over said cause, and make proper presentation
of such matters. The Secretary, in the Secretary’s discretion, may
suspend payments to any such fiduciary who shall neglect or
refuse, after reasonable notice, to render an account to the Sec-
retary from time to time showing the application of such payments
for the benefit of such incompetent or minor beneficiary, or who
shall neglect or refuse to administer the estate according to law.
The Secretary may require the fiduciary, as part of such account,
to disclose any additional financial information concerning the ben-
eficiary (except for information that is not available to the fidu-
ciary). The Secretary may appear or intervene by the Secretary’s
duly authorized attorney in any court as an interested party in any
litigation instituted by the Secretary or otherwise, directly affecting
money paid to such fiduciary under this section.
(c) Authority is hereby granted for the payment of any court
or other expenses incident to any investigation or court proceeding
for the appointment of any fiduciary or other person for the pur-
pose of payment of benefits payable under laws administered by
the Secretary or the removal of such fiduciary and appointment of
another, and of expenses in connection with the administration of
such benefits by such fiduciaries, or in connection with any other
court proceeding hereby authorized, when such payment is author-
ized by the Secretary.
(d) All or any part of any benefits the payment of which is sus-
pended or withheld under this section may, in the discretion of the
Secretary, be paid temporarily to the person having custody and
control of the incompetent or minor beneficiary, to be used solely
for the benefit of such beneficiary, or, in the case of an incompetent
veteran, may be apportioned to the dependent or dependents, if
any, of such veteran. Any part not so paid and any funds of a men-
tally incompetent or insane veteran not paid to the chief officer of
the institution in which such veteran is a patient nor apportioned
to the veteran’s dependent or dependents may be ordered held in
the Treasury to the credit of such beneficiary. All funds so held
shall be disbursed under the order and in the discretion of the Sec-
retary for the benefit of such beneficiary or the beneficiary’s de-
pendents. Any balance remaining in such fund to the credit of any
beneficiary may be paid to the beneficiary if the beneficiary recov-
ers and is found competent, or if a minor, attains majority, or oth-
erwise to the beneficiary’s fiduciary, or, in the event of the bene-
757 CH. 55—MINORS, INCOMPETENTS, AND OTHER WARDS Sec. 5503
ficiary’s death, to the beneficiary’s personal representative, except

as otherwise provided by law; however, payment will not be made
to the beneficiary’s personal representative if, under the law of the
beneficiary’s last legal residence, the beneficiary’s estate would es-
cheat to the State. In the event of the death of a mentally incom-
petent or insane veteran, all gratuitous benefits under laws admin-
istered by the Secretary deposited before or after August 7, 1959,
in the personal funds of patients trust fund on account of such vet-
eran shall not be paid to the personal representative of such vet-
eran, but shall be paid to the following persons living at the time
of settlement, and in the order named: The surviving spouse, the
children (without regard to age or marital status) in equal parts,
and the dependent parents of such veteran, in equal parts. If any
balance remains, such balance shall be deposited to the credit of
the applicable current appropriation; except that there may be paid
only so much of such balance as may be necessary to reimburse a
person (other than a political subdivision of the United States) who
bore the expenses of last sickness or burial of the veteran for such
expenses. No payment shall be made under the two preceding sen-
tences of this subsection unless claim therefor is filed with the Sec-
retary within five years after the death of the veteran, except that,
if any person so entitled under said two sentences is under legal
disability at the time of death of the veteran, such five-year period
of limitation shall run from the termination or removal of the legal
disability.
(e) Any funds in the hands of a fiduciary appointed by a State
court or the Secretary derived from benefits payable under laws ad-
ministered by the Secretary, which under the law of the State
wherein the beneficiary had last legal residence would escheat to
the State, shall escheat to the United States and shall be returned
by such fiduciary, or by the personal representative of the deceased
beneficiary, less legal expenses of any administration necessary to
determine that an escheat is in order, to the Department, and shall
be deposited to the credit of the applicable revolving fund, trust
fund, or appropriation.
Aug. 7, 1959, 73 Stat. 297; Pub. L. 92–328, title I, Sec. 105(a), June 30, 1972, 86
Stat. 395; Pub. L. 93–295, title III, Sec. 301, May 31, 1974, 88 Stat. 183; Pub. L.
97–295, Sec. 4(77), Oct. 12, 1982, 96 Stat. 1311; Pub. L. 98–223, title II, Sec. 207(a),
(b)(1), Mar. 2, 1984, 98 Stat. 43; Pub. L. 99–576, title V, Sec. 505, title VII, Sec.
701(76), Oct. 28, 1986, 100 Stat. 3287, 3297; renumbered Sec. 5502 and amended
Pub. L. 102–40, title III, Sec. 305(a), title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat.
210, 238; Pub. L. 102–83, Sec. 4(a)(1), (2)(A)(ix), (3), (4), (b)(1), (2)(E), Aug. 6, 1991,
105 Stat. 403–405; Pub. L. 108–454, title V, Sec. 501(b), Dec. 10, 2004, 118 Stat.
3617.)
§ 5503. Hospitalized veterans and estates of incompetent in-

stitutionalized veterans
(a)(1)(A) Where any veteran having neither spouse nor child is
being furnished domiciliary care by the Department, no pension in
excess of $90 per month shall be paid to or for the veteran for any
period after the end of the third full calendar month following the
month of admission for such care.
(B) Except as provided in subparagraph (D) of this paragraph,
where any veteran having neither spouse nor child is being fur-
nished nursing home care by the Department, no pension in excess

of $90 per month shall be paid to or for the veteran for any period
after the end of the third full calendar month following the month
of admission for such care. Any amount in excess of $90 per month
to which the veteran would be entitled but for the application of
the preceding sentence shall be deposited in a revolving fund at the
Department medical facility which furnished the veteran nursing
care, and such amount shall be available for obligation without fis-
cal year limitation to help defray operating expenses of that facil-
ity.
(C) No pension in excess of $90 per month shall be paid to or
for a veteran having neither spouse nor child for any period after
the month in which such veteran is readmitted for care described
in subparagraph (A) or (B) of this paragraph and furnished by the
Department if such veteran is readmitted within six months of a
period of care in connection with which pension was reduced pursu-
ant to subparagraph (A) or (B) of this paragraph.
(D) In the case of a veteran being furnished nursing home care
by the Department and with respect to whom subparagraph (B) of
this paragraph requires a reduction in pension, such reduction
shall not be made for a period of up to three additional calendar
months after the last day of the third month referred to in such
subparagraph if the Secretary determines that the primary purpose
for the furnishing of such care during such additional period is for
the Department to provide such veteran with a prescribed program
of rehabilitation services, under chapter 17 of this title, designed
to restore such veteran’s ability to function within such veteran’s
family and community. If the Secretary determines that it is nec-
essary, after such period, for the veteran to continue such program
of rehabilitation services in order to achieve the purposes of such
program and that the primary purpose of furnishing nursing home
care to the veteran continues to be the provision of such program
to the veteran, the reduction in pension required by subparagraph
(B) of this paragraph shall not be made for the number of calendar
months that the Secretary determines is necessary for the veteran
to achieve the purposes of such program.
(2) The provisions of paragraph (1) shall also apply to a vet-
eran being furnished such care who has a spouse but whose pen-
sion is payable under section 1521(b) of this title. In such a case,
the Secretary may apportion and pay to the spouse, upon an af-
firmative showing of hardship, all or any part of the amounts in
excess of the amount payable to the veteran while being furnished
such care which would be payable to the veteran if pension were
payable under section 1521(c) of this title.
(b) Notwithstanding any other provision of this section or any
other provision of law, no reduction shall be made in the pension
of any veteran for any part of the period during which the veteran
is furnished hospital treatment, or institutional or domiciliary care,
for Hansen’s disease, by the United States or any political subdivi-
sion thereof.
(c) Where any veteran in receipt of an aid and attendance al-
lowance described in section 1114(r) of this title is hospitalized at
Government expense, such allowance shall be discontinued from
the first day of the second calendar month which begins after the
date of the veteran’s admission for such hospitalization for so long

as such hospitalization continues. Any discontinuance required by
administrative regulation, during hospitalization of a veteran by
the Department, of increased pension based on need of regular aid
and attendance or additional compensation based on need of reg-
ular aid and attendance as described in subsection (l) or (m) of sec-
tion 1114 of this title, shall not be effective earlier than the first
day of the second calendar month which begins after the date of
the veterans’ admission for hospitalization. In case a veteran af-
fected by this subsection leaves a hospital against medical advice
and is thereafter admitted to hospitalization within six months
from the date of such departure, such allowance, increased pension,
or additional compensation, as the case may be, shall be discon-
tinued from the date of such readmission for so long as such hos-
pitalization continues.
(d)(1) For the purposes of this subsection—
(A) the term ‘‘Medicaid plan’’ means a State plan for med-
ical assistance referred to in section 1902(a) of the Social Secu-
rity Act (42 U.S.C. 1396a(a)); and
(B) the term ‘‘nursing facility’’ means a nursing facility de-
scribed in section 1919 of such Act (42 U.S.C. 1396r), other
than a facility that is a State home with respect to which the
Secretary makes per diem payments for nursing home care
pursuant to section 1741(a) of this title.
(2) If a veteran having neither spouse nor child is covered by
a Medicaid plan for services furnished such veteran by a nursing
facility, no pension in excess of $90 per month shall be paid to or
for the veteran for any period after the month of admission to such
nursing facility.
(3) Notwithstanding any provision of title XIX of the Social Se-
curity Act, the amount of the payment paid a nursing facility pur-
suant to a Medicaid plan for services furnished a veteran may not
be reduced by any amount of pension permitted to be paid such
veteran under paragraph (2) of this subsection.
(4) A veteran is not liable to the United States for any pay-
ment of pension in excess of the amount permitted under this sub-
section that is paid to or for the veteran by reason of the inability
or failure of the Secretary to reduce the veteran’s pension under
this subsection unless such inability or failure is the result of a
willful concealment by the veteran of information necessary to
make a reduction in pension under this subsection.
(5) The provisions of this subsection shall apply with respect
to a surviving spouse having no child in the same manner as they
apply to a veteran having neither spouse nor child.
(6) The costs of administering this subsection shall be paid for
from amounts available to the Department of Veterans Affairs for
the payment of compensation and pension.
(7) This subsection expires on September 30, 2011.
2, Aug. 7, 1959, 73 Stat. 298; Pub. L. 86–211, Sec. 6, Aug. 29, 1959, 73 Stat. 435;
Pub. L. 87–544, Sec. 1, July 25, 1962, 76 Stat. 208; Pub. L. 87–556, Sec. 1, July
27, 1962, 76 Stat. 245; Pub. L. 87–645, Sec. 2(b), Sept. 7, 1962, 76 Stat. 441; Pub.
L. 88–450, Sec. 5(a), Aug. 19, 1964, 78 Stat. 504; Pub. L. 89–362, Sec. 1, 2, Mar.
7, 1966, 80 Stat. 30; Pub. L. 91–24, Sec. 10, June 11, 1969, 83 Stat. 34; Pub. L.
92–328, title I, Sec. 104, June 30, 1972, 86 Stat. 394; Pub. L. 93–177, Sec. 5, Dec.
6, 1973, 87 Stat. 696; Pub. L. 95–588, title III, Sec. 307, Nov. 4, 1978, 92 Stat. 2510;
Pub. L. 96–385, title V, Sec. 503(b), Oct. 7, 1980, 94 Stat. 1534; Pub. L. 97–66, title
VI, Sec. 602, Oct. 17, 1981, 95 Stat. 1034; Pub. L. 98–160, title VII, Sec. 703(4), Nov.
101–237, title I, Sec. 111(a), Dec. 18, 1989, 103 Stat. 2064; Pub. L. 101–508, title
VIII, Sec. 8003(a), Nov. 5, 1990, 104 Stat. 1388–342; renumbered Sec. 5503 and
amended Pub. L. 102–40, title III, Sec. 304(a), title IV, Sec. 402(b)(1), May 7, 1991,
105 Stat. 209, 238; Pub. L. 102–83, Sec. 4(a)(2)(A)(x), (3), (4), (b)(1), (2)(E), 5(c)(1),
Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 102–86, title I, Sec. 101(a), Aug. 14, 1991,
105 Stat. 414; Pub. L. 102–568, title VI, Sec. 601(a)–(c), Oct. 29, 1992, 106 Stat.
4341; Pub. L. 103–66, title XII, Sec. 12005, Aug. 10, 1993, 107 Stat. 414; Pub. L.
105–33, title VIII, Sec. 8015, Aug. 5, 1997, 111 Stat. 664; Pub. L. 105–368, title IX,
Sec. 904(a), Nov. 11, 1998, 112 Stat. 3361; Pub. L. 106–419, title III, Sec. 304, title
IV, Sec. 402(e), Nov. 1, 2000, 114 Stat. 1853, 1863; Pub. L. 107–103, title II, Sec.
204(a), title V, Sec. 504, Dec. 27, 2001, 115 Stat. 990, 995.)
§ 5504. Administration of trust funds
All cash balances in the personal funds of patients and the
funds due incompetent beneficiaries trust funds administered by
the Secretary, and all moneys received which are properly for de-
posit into these funds, may be deposited, respectively, into deposit
fund accounts with the United States Treasury and such balances
and deposits shall thereupon be available for disbursement for
properly authorized purposes. When any balances have been on de-
posit with the Treasurer of the United States for more than one
year and represent moneys belonging to individuals whose where-
abouts are unknown, they shall be transferred and disposed of as
directed in section 1322(a) of title 31.
Sept. 13, 1982, 96 Stat. 1065; renumbered Sec. 5504, Pub. L. 102–40, title IV, Sec.
402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), Aug. 6, 1991,
105 Stat. 403.)
ø§ 5505. Repealed. Pub. L. 103–446, title XII, Sec.
1201(g)(4)(A), Nov. 2, 1994, 108 Stat. 4687¿
§ 5506. Definition of ‘‘fiduciary’’
For purposes of this chapter and chapter 61 of this title, the
term ‘‘fiduciary’’ means—
(1) a person who is a guardian, curator, conservator, com-
mittee, or person legally vested with the responsibility or care
of a claimant (or a claimant’s estate) or of a beneficiary (or a
beneficiary’s estate); or
(2) any other person having been appointed in a represent-
ative capacity to receive money paid under any of the laws ad-
ministered by the Secretary for the use and benefit of a minor,
incompetent, or other beneficiary.
§ 5507. Inquiry, investigations, and qualification of fidu-
ciaries
(a) Any certification of a person for payment of benefits of a
beneficiary to that person as such beneficiary’s fiduciary under sec-
tion 5502 of this title shall be made on the basis of—
(1) an inquiry or investigation by the Secretary of the fit-
ness of that person to serve as fiduciary for that beneficiary,
such inquiry or investigation—
(A) to be conducted in advance of such certification;

(B) to the extent practicable, to include a face-to-face
interview with such person; and
(C) to the extent practicable, to include a copy of a
credit report for such person issued within one year of the
date of the proposed appointment;
(2) adequate evidence that certification of that person as fi-
duciary for that beneficiary is in the interest of such bene-
ficiary (as determined by the Secretary under regulations); and
(3) the furnishing of any bond that may be required by the
Secretary.
(b) As part of any inquiry or investigation of any person under
subsection (a), the Secretary shall request information concerning
whether that person has been convicted of any offense under Fed-
eral or State law which resulted in imprisonment for more than
one year. If that person has been convicted of such an offense, the
Secretary may certify the person as a fiduciary only if the Sec-
retary finds that the person is an appropriate person to act as fidu-
ciary for the beneficiary concerned under the circumstances.
(c)(1) In the case of a proposed fiduciary described in para-
graph (2), the Secretary, in conducting an inquiry or investigation
under subsection (a)(1), may carry out such inquiry or investigation
on an expedited basis that may include waiver of any specific re-
quirement relating to such inquiry or investigation, including the
otherwise applicable provisions of subparagraphs (A), (B), and (C)
of such subsection. Any such inquiry or investigation carried out on
such an expedited basis shall be carried out under regulations pre-
scribed for purposes of this section.
(2) Paragraph (1) applies with respect to a proposed fiduciary
who is—
(A) the parent (natural, adopted, or stepparent) of a bene-
ficiary who is a minor;
(B) the spouse or parent of an incompetent beneficiary;
(C) a person who has been appointed a fiduciary of the
beneficiary by a court of competent jurisdiction; or
(D) being appointed to manage an estate where the annual
amount of veterans benefits to be managed by the proposed fi-
duciary does not exceed $3,600, as adjusted pursuant to section
5312 of this title.
(d) TEMPORARY FIDUCIARIES.—When in the opinion of the Sec-
retary, a temporary fiduciary is needed in order to protect the as-
sets of the beneficiary while a determination of incompetency is
being made or appealed or a fiduciary is appealing a determination
of misuse, the Secretary may appoint one or more temporary fidu-
ciaries for a period not to exceed 120 days. If a final decision has
not been made within 120 days, the Secretary may not continue
the appointment of the fiduciary without obtaining a court order
for appointment of a guardian, conservator, or other fiduciary
under the authority provided in section 5502(b) of this title.
(Added Pub. L. 108–454, title V, Sec. 502(a), Dec. 10, 2004, 118 Stat. 3618.)
§ 5508. Periodic onsite reviews of institutional fiduciaries

In addition to such other reviews of fiduciaries as the Sec-
retary may otherwise conduct, the Secretary shall provide for the
periodic onsite review of any person or agency located in the

United States that receives the benefits payable under laws admin-
istered by the Secretary to another individual pursuant to the ap-
pointment of such person or agency as a fiduciary under section
5502(a)(1) of this title in any case in which the fiduciary is serving
in that capacity with respect to more than 20 beneficiaries and the
total annual amount of such benefits exceeds $50,000, as adjusted
pursuant to section 5312 of this title.
§ 5509. Authority to require fiduciary to receive payments
at regional offices of the Department when failing
to provide required accounting
(a) REQUIRED REPORTS AND ACCOUNTINGS.—The Secretary may
require a fiduciary to file a report or accounting pursuant to regu-
lations prescribed by the Secretary.
(b) ACTIONS UPON FAILURE TO FILE.—In any case in which a
fiduciary fails to submit a report or accounting required by the Sec-
retary under subsection (a), the Secretary may, after furnishing no-
tice to such fiduciary and the beneficiary entitled to such payment
of benefits, require that such fiduciary appear in person at a re-
gional office of the Department serving the area in which the bene-
ficiary resides in order to receive such payments.
§ 5510. Annual report
The Secretary shall include in the Annual Benefits Report of
the Veterans Benefits Administration or the Secretary’s Annual
Performance and Accountability Report information concerning fi-
duciaries who have been appointed to receive payments for bene-
ficiaries of the Department. As part of such information, the Sec-
retary shall separately set forth the following: —1
(1) The number of beneficiaries in each category (veteran,
surviving spouse, child, adult disabled child, or parent).
(2) The types of benefit being paid (compensation, pension,
dependency and indemnity compensation, death pension or
benefits payable to a disabled child under chapter 18 of this
title).
(3) The total annual amounts and average annual amounts
of benefits paid to fiduciaries for each category and type of ben-
efit.
(4) The number of fiduciaries who are the spouse, parent,
legal custodian, court-appointed fiduciary, institutional fidu-
ciary, custodian in fact, and supervised direct payees.
(5) The number of cases in which the fiduciary was
changed by the Secretary because of a finding that benefits
had been misused.
(6) How such cases of misuse of benefits were addressed by
the Secretary.
(7) The final disposition of such cases of misuse of benefits,
including the number and dollar amount of any benefits re-
issued to beneficiaries.
1 So in original.
(8) The number of fiduciary cases referred to the Office of

the Inspector General and the nature of the actions taken by
the Inspector General.
(9) The total amount of money recovered by the govern-
ment 2 in cases arising from the misuse of benefits by a fidu-
ciary.
(10) Such other information as the Secretary considers ap-
propriate.
(Added Pub. L. 108–454, title V, Sec. 505(a), Dec. 10, 2004, 118 Stat. 3621.)
2 So in original. Probably should be capitalized.

765
CHAPTER 57—RECORDS AND INVESTIGATIONS
Sec.
5701. Confidential nature of claims.
5702. Furnishing of records.
5703. Certification of records of District of Columbia.
5704. Transcript of trial records.
5705. Confidentiality of medical quality-assurance records.
5711. Authority to issue subpoenas.
5712. Validity of affidavits.
5713. Disobedience to subpoena.
5721. Purpose.
5722. Policy.
5723. Responsibilities.
5724. Provision of credit protection and other services.
5725. Contracts for data processing or maintenance.
5726. Reports and notice to Congress on data breaches.
5727. Definitions.
§ 5701. Confidential nature of claims
(a) All files, records, reports, and other papers and documents
pertaining to any claim under any of the laws administered by the
Secretary and the names and addresses of present or former mem-
bers of the Armed Forces, and their dependents, in the possession
of the Department shall be confidential and privileged, and no dis-
closure thereof shall be made except as provided in this section.
(b) The Secretary shall make disclosure of such files, records,
reports, and other papers and documents as are described in sub-
section (a) of this section as follows:
(1) To a claimant or duly authorized agent or representa-
tive of a claimant as to matters concerning the claimant alone
when, in the judgment of the Secretary, such disclosure would
not be injurious to the physical or mental health of the claim-
ant and to an independent medical expert or experts for an ad-
visory opinion pursuant to section 5109 or 7109 of this title.
(2) When required by process of a United States court to
be produced in any suit or proceeding therein pending.
(3) When required by any department or other agency of
the United States Government.
767
Sec. 5701 CH. 57—RECORDS AND INVESTIGATIONS 768
(4) In all proceedings in the nature of an inquest into the

mental competency of a claimant.
(5) In any suit or other judicial proceeding when in the
judgment of the Secretary such disclosure is deemed necessary
and proper.
(6) In connection with any proceeding for the collection of
an amount owed to the United States by virtue of a person’s
participation in any benefit program administered by the Sec-
retary when in the judgment of the Secretary such disclosure
is deemed necessary and proper.
(c)(1) The amount of any payment made by the Secretary to
any person receiving benefits under a program administered by the
Secretary shall be made known to any person who applies for such
information.
(2) Any appraisal report or certificate of reasonable value sub-
mitted to or prepared by the Secretary in connection with any loan
guaranteed, insured, or made under chapter 37 of this title shall
be made available to any person who applies for such report or cer-
tificate.
(3) Subject to the approval of the President, the Secretary may
publish at any time and in any manner any or all information of
record pertaining to any claim filed with the Secretary if the Sec-
retary determines that the public interest warrants or requires
such publication.
(d) The Secretary as a matter of discretion may authorize an
inspection of Department records by duly authorized representa-
tives of recognized organizations.
(e) Except as otherwise specifically provided in this section
with respect to certain information, the Secretary may release in-
formation, statistics, or reports to individuals or organizations
when in the Secretary’s judgment such release would serve a useful
purpose.
(f) The Secretary may, pursuant to regulations the Secretary
shall prescribe, release the name or address, or both, of any
present or former member of the Armed Forces, or a dependent of
a present or former member of the Armed Forces, (1) to any non-
profit organization if the release is directly connected with the con-
duct of programs and the utilization of benefits under this title, or
(2) to any criminal or civil law enforcement governmental agency
or instrumentality charged under applicable law with the protec-
tion of the public health or safety if a qualified representative of
such agency or instrumentality has made a written request that
such name or address be provided for a purpose authorized by law.
Any organization or member thereof or other person who, knowing
that the use of any name or address released by the Secretary pur-
suant to the preceding sentence is limited to the purpose specified
in such sentence, willfully uses such name or address for a purpose
other than those so specified, shall be guilty of a misdemeanor and
be fined not more than $5,000 in the case of a first offense and not
more than $20,000 in the case of any subsequent offense.
(g)(1) Subject to the provisions of this subsection, and under
regulations which the Secretary shall prescribe, the Secretary may
release the name or address, or both, of any person who is a
present or former member of the Armed Forces, or who is a de-
769 CH. 57—RECORDS AND INVESTIGATIONS Sec. 5701
pendent of a present or former member of the Armed Forces, to a

consumer reporting agency if the release of such information is nec-
essary for a purpose described in paragraph (2) of this subsection.
(2) A release of information under paragraph (1) of this sub-
section concerning a person described in such paragraph may be
made for the purpose of—
(A) locating such a person—
(i) who has been administratively determined to be in-
debted to the United States by virtue of the person’s par-
ticipation in a benefits program administered by the Sec-
retary; or
(ii) if the Secretary has determined under such regula-
tions that (I) it is necessary to locate such person in order
to conduct a study pursuant to section 527 of this title or
a study required by any other provision of law, and (II) all
reasonable steps have been taken to assure that the re-
lease of such information to such reporting agency will not
have an adverse effect on such person; or
(B) Obtaining a consumer report in order to assess the
ability of a person described in subparagraph (A)(i) of this
paragraph to repay the indebtedness of such person to the
United States, but the Secretary may release the name or ad-
dress of such person for the purpose stated in this clause only
if the Secretary determines under such regulations that such
person has failed to respond appropriately to administrative ef-
forts to collect such indebtedness.
(3) The Secretary may also release to a consumer reporting
agency, for the purposes specified in subparagraph (A) or (B) of
paragraph (2) of this subsection, such other information as the Sec-
retary determines under such regulations is reasonably necessary
to identify a person described in such paragraph, except that the
Secretary may not release to a consumer reporting agency any in-
formation which indicates any indebtedness on the part of such
person to the United States or any information which reflects ad-
versely on such person. Before releasing any information under this
paragraph, the Secretary shall, under such regulations, take rea-
sonable steps to provide for the protection of the personal privacy
of persons about whom information is proposed to be released
under this paragraph.
(4)(A) If the Secretary determines, under regulations which the
Secretary shall prescribe, that a person described in paragraph (1)
of this subsection has failed to respond appropriately to reasonable
administrative efforts to collect an indebtedness of such person de-
scribed in paragraph (2)(A)(i) of this subsection, the Secretary may
release information concerning the indebtedness, including the
name and address of such person, to a consumer reporting agency
for the purpose of making such information available for inclusion
in consumer reports regarding such person and, if necessary, for
the purpose of locating such person, if—
(i) the Secretary has (I) made reasonable efforts to notify
such person of such person’s right to dispute through pre-
scribed administrative processes the existence or amount of
such indebtedness and of such person’s right to request a waiv-
er of such indebtedness under section 5302 of this title, (II) af-
forded such person a reasonable opportunity to exercise such

rights, and (III) made a determination with respect to any such
dispute or request; and
(ii) thirty calendar days have elapsed after the day on
which the Secretary has made a determination that reasonable
efforts have been made to notify such person (I) that the Sec-
retary intends to release such information for such purpose or
purposes, and (II) that, upon the request of such person, the
Secretary shall inform such person of whether such informa-
tion has been so released and of the name and address of each
consumer reporting agency to which such information was re-
leased by the Secretary and of the specific information so re-
leased.
(B) After release of any information under subparagraph (A) of
this paragraph concerning the indebtedness of any person, the Sec-
retary shall promptly notify—
(i) each consumer reporting agency to which such informa-
tion has been released by the Secretary; and
(ii) each consumer reporting agency described in sub-
section (i)(3)(B)(i) of this section to which such information has
been transmitted by the Secretary through a consumer report-
ing agency described in subsection (i)(3)(B)(ii)(I) of this section,
of any substantial change in the status or amount of such in-
debtedness and, upon the request of any such consumer report-
ing agency for verification of any or all information so released,
promptly verify or correct, as appropriate, such information.
The Secretary shall also, after the release of such information,
inform such person, upon the request of such person, of the
name and address of each consumer reporting agency described
in clause (i) or (ii) of this subparagraph to which such informa-
tion was released or transmitted by the Secretary and of the
specific information so released or transmitted.
(h)(1) Under regulations which the Secretary shall prescribe,
the Secretary may release the name or address, or both, of any per-
son who is a present or former member of the Armed Forces, or
who is a dependent of a present or former member of the Armed
Forces (and other information relating to the identity of such per-
son), to any person in a category of persons described in such regu-
lations and specified in such regulations as a category of persons
to whom such information may be released, if the release of such
information is necessary for a purpose described in paragraph (2)
of this subsection.
(2) A release of information under paragraph (1) of this sub-
section may be made for the purpose of—
(A) determining the creditworthiness, credit capacity, in-
come, or financial resources of a person who has (i) applied for
any benefit under chapter 37 of this title, or (ii) submitted an
offer to the Secretary for the purchase of property acquired by
the Secretary under section 3720(a)(5) of this title;
(B) verifying, either before or after the Secretary has ap-
proved a person’s application for assistance in the form of a
loan guaranty or loan insurance under chapter 37 of this title,
information submitted by a lender to the Secretary regarding
the creditworthiness, credit capacity, income, or financial re-

sources of such person;
(C) offering for sale or other disposition by the Secretary,
pursuant to section 3720 of this title, any loan or installment
sale contract owned or held by the Secretary; or
(D) providing assistance to any applicant for benefits
under chapter 37 of this title or administering such benefits if
the Secretary promptly records the fact of such release in ap-
propriate records pertaining to the person concerning whom
such release was made.
(i)(1) No contract entered into for any of the purposes of sub-
section (g) or (h) of this section, and no action taken pursuant to
any such contract or either such subsection, shall result in the ap-
plication of section 552a of title 5 to any consumer reporting agency
or any employee of a consumer reporting agency.
(2) The Secretary shall take reasonable steps to provide for the
protection of the personal privacy of persons about whom informa-
tion is disclosed under subsection (g) or (h) of this section.
(3) For the purposes of this subsection and of subsection (g) of
this section—
(A) The term ‘‘consumer report’’ has the meaning provided
such term in subsection (d) of section 603 of the Fair Credit
Reporting Act (15 U.S.C. 1681a(d)).
(B) The term ‘‘consumer reporting agency’’ means—
(i) a consumer reporting agency as such term is de-
fined in subsection (f) of section 603 of the Fair Credit Re-
porting Act (15 U.S.C. 1681a(f)), or
(ii) any person who, for monetary fees, dues, or on a
cooperative nonprofit basis, regularly engages in whole or
in part in the practice of (I) obtaining credit or other infor-
mation on consumers for the purpose of furnishing such in-
formation to consumer reporting agencies (as defined in
clause (i) of this paragraph), or (II) serving as a marketing
agent under arrangements enabling third parties to obtain
such information from such reporting agencies.
(j) Except as provided in subsection (i)(1) of this section, any
disclosure made pursuant to this section shall be made in accord-
ance with the provisions of section 552a of title 5.
(k)(1)(A) Under regulations that the Secretary shall prescribe,
the Secretary may disclose the name and address of any individual
described in subparagraph (C) to an entity described in subpara-
graph (B) in order to facilitate the determination by such entity
whether the individual is, or after death will be, a suitable organ,
tissue, or eye donor if—
(i) the individual is near death (as determined by the Sec-
retary) or is deceased; and
(ii) the disclosure is permitted under regulations promul-
gated pursuant to section 264 of the Health Insurance Port-
ability and Accountability Act of 1996 (42 U.S.C. 1320d-2 note).
(B) An entity described in this subparagraph is—
(i) an organ procurement organization, including eye and
tissue banks; or
(ii) an entity that the Secretary has determined—
(I) is substantially similar in function, professionalism,

and reliability to an organ procurement organization; and
(II) should be treated for purposes of this subsection in
the same manner as an organ procurement organization.
(C) An individual described in this subparagraph is—
(i) a veteran; or
(ii) a dependent of veteran.
(2) In this subsection, the term ‘‘organ procurement organiza-
tion’’ has the meaning given the term ‘‘qualified organ procurement
organization’’ in section 371(b) of the Public Health Service Act (42
U.S.C. 273(b)).
Sept. 19, 1962, 76 Stat. 557; Pub. L. 91–24, Sec. 11, June 11, 1969, 83 Stat. 34; Pub.
L. 92–540, title IV, Sec. 412, Oct. 24, 1972, 86 Stat. 1093; Pub. L. 94–321, Sec. 1(a),
June 29, 1976, 90 Stat. 713; Pub. L. 94–581, title II, Sec. 210(b), Oct. 21, 1976, 90
Stat. 2863; Pub. L. 96–466, title VI, Sec. 606, Oct. 17, 1980, 94 Stat. 2212; Pub. L.
101–94, title III, Sec. 302(a), Aug. 16, 1989, 103 Stat. 628; renumbered Sec. 5701
and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat.
238, 239; Pub. L. 102–83, Sec. 2(c)(6), 4(a)(1), (2)(A)(xi), (3), (4), (b)(1), (2)(E), 5(c)(1),
Aug. 6, 1991, 105 Stat. 402–406; Pub. L. 107–14, Sec. 8(a)(13), June 5, 2001, 115
Stat. 35; Pub. L. 109–461, title II, Sec. 204(a), Dec. 22, 2006, 120 Stat. 3411.)
§ 5702. Furnishing of records

(a) Any person desiring a copy of any record, paper, and so
forth, in the custody of the Secretary that may be disclosed under
section 5701 of this title must submit to the Secretary an applica-
tion in writing for such copy. The application shall state specifi-
cally—
(1) the particular record, paper, and so forth, a copy of
which is desired and whether certified or uncertified; and
(2) the purpose for which such copy is desired to be used.
(b) The Secretary may establish a schedule of fees for copies
and certification of such records.
amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238,
239; Pub. L. 102–83, Sec. 4(a)(2)(A)(xii), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–
405; Pub. L. 103–446, title XII, Sec. 1201(e)(16), Nov. 2, 1994, 108 Stat. 4686.)
§ 5703. Certification of records of District of Columbia

When a copy of any public record of the District of Columbia
is required by the Secretary to be used in determining the eligi-
bility of any person for benefits under laws administered by the
Secretary, the official custodian of such public record shall without
charge provide the applicant for such benefits or any person (in-
cluding any veterans’ organization) acting on the veteran’s behalf
or the authorized representative of the Secretary with a certified
copy of such record.
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1),
(2)(A)(xiii), Aug. 6, 1991, 105 Stat. 403.)
§ 5704. Transcript of trial records

The Secretary may purchase transcripts of the record, includ-
ing all evidence, of trial of litigated cases.
4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 5705. Confidentiality of medical quality-assurance records

(a) Records and documents created by the Department as part
of a medical quality-assurance program (other than reports sub-
mitted pursuant to section 7311(g) of this title) are confidential and
privileged and may not be disclosed to any person or entity except
as provided in subsection (b) of this section.
(b)(1) Subject to paragraph (2) of this subsection, a record or
document described in subsection (a) of this section shall, upon re-
quest, be disclosed as follows:
(A) To a Federal agency or private organization, if such
record or document is needed by such agency or organization
to perform licensing or accreditation functions related to De-
partment health-care facilities or to perform monitoring, re-
quired by statute, of Department health-care facilities.
(B) To a Federal executive agency or provider of health-
care services, if such record or document is required by such
agency or provider for participation by the Department in a
health-care program with such agency or provider.
(C) To a criminal or civil law enforcement governmental
agency or instrumentality charged under applicable law with
the protection of the public health or safety, if a qualified rep-
resentative of such agency or instrumentality makes a written
request that such record or document be provided for a purpose
authorized by law.
(D) To health-care personnel, to the extent necessary to
meet a medical emergency affecting the health or safety of any
individual.
(2) The name of and other identifying information regarding
any individual patient or employee of the Department, or any other
individual associated with the Department for purposes of a med-
ical quality-assurance program, contained in a record or document
described in subsection (a) of this section shall be deleted from any
record or document before any disclosure made under this sub-
section if disclosure of such name and identifying information
would constitute a clearly unwarranted invasion of personal pri-
vacy.
(3) No person or entity to whom a record or document has been
disclosed under this subsection shall make further disclosure of
such record or document except for a purpose provided in this sub-
section.
(4) Nothing in this section shall be construed as authority to
withhold any record or document from a committee of either House
of Congress or any joint committee of Congress, if such record or
document pertains to any matter within the jurisdiction of such
committee or joint committee.
(5) Nothing in this section shall be construed as limiting the
use of records and documents described in subsection (a) of this
section within the Department (including contractors and consult-
ants of the Department).
(6) Nothing in this section shall be construed as authorizing or

requiring withholding from any person or entity the disclosure of
statistical information regarding Department health-care programs
(including such information as aggregate morbidity and mortality
rates associated with specific activities at individual Department
health-care facilities) that does not implicitly or explicitly identify
individual patients or employees of the Department, or individuals
who participated in the conduct of a medical quality-assurance re-
view.
(c) For the purpose of this section, the term ‘‘medical quality-
assurance program’’ means—
(1) with respect to any activity carried out before October
7, 1980, a Department systematic health-care review activity
carried out by or for the Department for the purpose of improv-
ing the quality of medical care or improving the utilization of
health-care resources in Department health-care facilities; and
(2) with respect to any activity carried out on or after Oc-
tober 7, 1980, a Department systematic health-care review ac-
tivity designated by the Secretary to be carried out by or for
the Department for either such purpose.
(d)(1) The Secretary shall prescribe regulations to carry out
this section. In prescribing such regulations, the Secretary shall
specify those activities carried out before October 7, 1980, which
the Secretary determines meet the definition of medical quality-as-
surance program in subsection (c)(1) of this section and those ac-
tivities which the Secretary has designated under subsection (c)(2)
of this section. The Secretary shall, to the extent appropriate, in-
corporate into such regulations the provisions of the administrative
guidelines and procedures governing such programs in existence on
October 7, 1980.
(2) An activity may not be considered as having been des-
ignated as a medical quality-assurance program for the purposes of
subsection (c)(2) of this section unless the designation has been
specified in such regulations.
(e) Any person who, knowing that a document or record is a
document or record described in subsection (a) of this section, will-
fully discloses such record or document except as provided for in
subsection (b) of this section shall be fined not more than $5,000
in the case of a first offense and not more than $20,000 in the case
of a subsequent offense.
amended Pub. L. 99–166, title II, Sec. 201, Dec. 3, 1985, 99 Stat. 949; renumbered
Sec. 5705 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), 403(b)(2), May 7,
1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(d)(4), June 13, 1991, 105 Stat. 285;
Pub. L. 102–83, Sec. 4(a)(2)(F), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404,
405.)
§ 5711. Authority to issue subpoenas
(a) For the purposes of the laws administered by the Secretary,
the Secretary, and those employees to whom the Secretary may
delegate such authority, to the extent of the authority so delegated,
shall have the power to—
(1) issue subpoenas for and compel the attendance of wit-

nesses within a radius of 100 miles from the place of hearing;
(2) require the production of books, papers, documents,
and other evidence;
(3) take affidavits and administer oaths and affirmations;
(4) aid claimants in the preparation and presentation of
claims; and
(5) make investigations and examine witnesses upon any
matter within the jurisdiction of the Department.
(b) Any person required by such subpoena to attend as a wit-
ness shall be allowed and paid the same fees and mileage as are
paid witnesses in the district courts of the United States.
14(d)(5)(A), June 13, 1991, 105 Stat. 286.)
§ 5712. Validity of affidavits
Any such oath, affirmation, affidavit, or examination, when
certified under the hand of any such employee by whom it was ad-
ministered or taken and authenticated by the seal of the Depart-
ment, may be offered or used in any court of the United States and
without further proof of the identity or authority of such employee
shall have like force and effect as if administered or taken before
a clerk of such court.
4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404.)
§ 5713. Disobedience to subpoena
In case of disobedience to any such subpoena, the aid of any
district court of the United States may be invoked in requiring the
attendance and testimony of witnesses and the production of docu-
mentary evidence, and such court within the jurisdiction of which
the inquiry is carried on may, in case of contumacy or refusal to
obey a subpoena issued to any officer, agent, or employee of any
corporation or to any other person, issue an order requiring such
corporation or other person to appear or to give evidence touching
the matter in question; and any failure to obey such order of the
court may be punished by such court as a contempt thereof.
14(d)(6)(A), (B), June 13, 1991, 105 Stat. 286.)

§ 5721. Purpose
The purpose of the Information Security Program is to estab-
lish a program to provide security for Department information and
information systems commensurate to the risk of harm, and to
communicate the responsibilities of the Secretary, Under Secre-
taries, Assistant Secretaries, other key officials, Assistant Sec-
retary for Information and Technology, Associate Deputy Assistant
Secretary for Cyber and Information Security, and Inspector Gen-
eral of the Department of Veterans Affairs as outlined in the provi-
sions of subchapter III of chapter 35 of title 44 (also known as the
‘‘Federal Information Security Management Act of 2002’’, which

was enacted as part of the E-Government Act of 2002 (Public Law
107–347)).
(Added Pub. L. 109–461, title IX, Sec. 902(a), Dec. 22, 2006, 120 Stat. 3450.)
§ 5722. Policy
(a) IN GENERAL.—The security of Department information and
information systems is vital to the success of the mission of the De-
partment. To that end, the Secretary shall establish and maintain
a comprehensive Department-wide information security program to
provide for the development and maintenance of cost-effective secu-
rity controls needed to protect Department information, in any
media or format, and Department information systems.
(b) ELEMENTS.—The Secretary shall ensure that the Depart-
ment information security program includes the following elements:
(1) Periodic assessments of the risk and magnitude of
harm that could result from the unauthorized access, use, dis-
closure, disruption, modification, or destruction of information
and information systems that support the operations and as-
sets of the Department.
(2) Policies and procedures that—
(A) are based on risk assessments;
(B) cost-effectively reduce security risks to an accept-
able level; and
(C) ensure that information security is addressed
throughout the life cycle of each Department information
system.
(3) Selection and effective implementation of minimum,
mandatory technical, operational, and management security
controls, or other compensating countermeasures, to protect
the confidentiality, integrity, and availability of each Depart-
ment system and its information.
(4) Subordinate plans for providing adequate security for
networks, facilities, systems, or groups of information systems,
as appropriate.
(5) Annual security awareness training for all Department
employees, contractors, and all other users of VA sensitive data
and Department information systems that identifies the infor-
mation security risks associated with the activities of such em-
ployees, contractors, and users and the responsibilities of such
employees, contractors, and users to comply with Department
policies and procedures designed to reduce such risks.
(6) Periodic testing and evaluation of the effectiveness of
security controls based on risk, including triennial certification
testing of all management, operational, and technical controls,
and annual testing of a subset of those controls for each De-
partment system.
(7) A process for planning, developing, implementing, eval-
uating, and documenting remedial actions to address defi-
ciencies in information security policies, procedures, and prac-
tices.
(8) Procedures for detecting, immediately reporting, and
responding to security incidents, including mitigating risks be-
fore substantial damage is done as well as notifying and con-
sulting with the US-Computer Emergency Readiness Team of

the Department of Homeland Security, law enforcement agen-
cies, the Inspector General of the Department, and other of-
fices as appropriate.
(9) Plans and procedures to ensure continuity of operations
for Department systems.
(c) COMPLIANCE WITH CERTAIN REQUIREMENTS.—The Secretary
shall comply with the provisions of subchapter III of chapter 35 of
title 44 and other related information security requirements pro-
mulgated by the National Institute of Standards and Technology
and the Office of Management and Budget that define Department
information system mandates.
§ 5723. Responsibilities
(a) SECRETARY OF VETERANS AFFAIRS.—In accordance with the
provisions of subchapter III of chapter 35 of title 44, the Secretary
is responsible for the following:
(1) Ensuring that the Department adopts a Department-
wide information security program and otherwise complies
with the provisions of subchapter III of chapter 35 of title 44
and other related information security requirements.
(2) Ensuring that information security protections are com-
mensurate with the risk and magnitude of the potential harm
to Department information and information systems resulting
from unauthorized access, use, disclosure, disruption, modifica-
tion, or destruction.
(3) Ensuring that information security management proc-
esses are integrated with Department strategic and operational
planning processes.
(4) Ensuring that the Under Secretaries, Assistant Secre-
taries, and other key officials of the Department provide ade-
quate security for the information and information systems
under their control.
(5) Ensuring enforcement and compliance with the require-
ments imposed on the Department under the provisions of sub-
chapter III of chapter 35 of title 44.
(6) Ensuring that the Department has trained program
and staff office personnel sufficient to assist in complying with
all the provisions of subchapter III of chapter 35 of title 44 and
other related information security requirements.
(7) Ensuring that the Assistant Secretary for Information
and Technology, in coordination with the Under Secretaries,
Assistant Secretaries, and other key officials of the Depart-
ment report to Congress, the Office of Management and Budg-
et, and other entities as required by law and Executive Branch
direction on the effectiveness of the Department information
security program, including remedial actions.
(8) Notifying officials other than officials of the Depart-
ment of data breaches when required under this subchapter.
(9) Ensuring that the Assistant Secretary for Information
and Technology has the authority and control necessary to de-
velop, approve, implement, integrate, and oversee the policies,
procedures, processes, activities, and systems of the Depart-
ment relating to subchapter III of chapter 35 of title 44, includ-

ing the management of all related mission applications, infor-
mation resources, personnel, and infrastructure.
(10) Submitting to the Committees on Veterans’ Affairs of
the Senate and House of Representatives, the Committee on
Government Reform of the House of Representatives, and the
Committee on Homeland Security and Governmental Affairs of
the Senate, not later than March 1 each year, a report on the
compliance of the Department with subchapter III of chapter
35 of title 44, with the information in such report displayed in
the aggregate and separately for each Administration, office,
and facility of the Department.
(11) Taking appropriate action to ensure that the budget
for any fiscal year, as submitted by the President to Congress
under section 1105 of title 31, sets forth separately the
amounts required in the budget for such fiscal year for compli-
ance by the Department with Federal law and regulations gov-
erning information security, including this subchapter and sub-
chapter III of chapter 35 of title 44.
(12) Providing notice to the Director of the Office of Man-
agement and Budget, the Inspector General of the Department,
and such other Federal agencies as the Secretary considers ap-
propriate of a presumptive data breach of which notice is pro-
vided the Secretary under subsection (b)(16) if, in the opinion
of the Assistant Secretary for Information and Technology, the
breach involves the information of twenty or more individuals.
(b) ASSISTANT SECRETARY FOR INFORMATION AND TECH-
NOLOGY.—The Assistant Secretary for Information and Technology,
as the Chief Information Officer of the Department, is responsible
for the following:
(1) Establishing, maintaining, and monitoring Department-
wide information security policies, procedures, control tech-
niques, training, and inspection requirements as elements of
the Department information security program.
(2) Issuing policies and handbooks to provide direction for
implementing the elements of the information security pro-
gram to all Department organizations.
(3) Approving all policies and procedures that are related
to information security for those areas of responsibility that
are currently under the management and the oversight of
other Department organizations.
(4) Ordering and enforcing Department-wide compliance
with and execution of any information security policy.
(5) Establishing minimum mandatory technical, oper-
ational, and management information security control require-
ments for each Department system, consistent with risk, the
processes identified in standards of the National Institute of
Standards and Technology, and the responsibilities of the As-
sistant Secretary to operate and maintain all Department sys-
tems currently creating, processing, collecting, or dissemi-
nating data on behalf of Department information owners.
(6) Establishing standards for access to Department infor-
mation systems by organizations and individual employees,
and to deny access as appropriate.
(7) Directing that any incidents of failure to comply with

established information security policies be immediately re-
ported to the Assistant Secretary.
(8) Reporting any compliance failure or policy violation di-
rectly to the appropriate Under Secretary, Assistant Secretary,
or other key official of the Department for appropriate admin-
istrative or disciplinary action.
(9) Reporting any compliance failure or policy violation di-
rectly to the appropriate Under Secretary, Assistant Secretary,
or other key official of the Department along with taking ac-
tion to correct the failure or violation.
(10) Requiring any key official of the Department who is
so notified to report to the Assistant Secretary with respect to
an action to be taken in response to any compliance failure or
policy violation reported by the Assistant Secretary.
(11) Ensuring that the Chief Information Officers and In-
formation Security Officers of the Department comply with all
cyber security directives and mandates, and ensuring that
these staff members have all necessary authority and means to
direct full compliance with such directives and mandates relat-
ing to the acquisition, operation, maintenance, or use of infor-
mation technology resources from all facility staff.
(12) Establishing the VA National Rules of Behavior for
appropriate use and protection of the information which is
used to support Department missions and functions.
(13) Establishing and providing supervision over an effec-
tive incident reporting system.
(14) Submitting to the Secretary, at least once every quar-
ter, a report on any deficiency in the compliance with sub-
chapter III of chapter 35 of title 44 of the Department or any
Administration, office, or facility of the Department.
(15) Reporting immediately to the Secretary on any signifi-
cant deficiency in the compliance described by paragraph (14).
(16) Providing immediate notice to the Secretary of any
presumptive data breach.
(c) ASSOCIATE DEPUTY ASSISTANT SECRETARY FOR CYBER AND
INFORMATION SECURITY.—In accordance with the provisions of sub-
chapter III of chapter 35 of title 44, the Associate Deputy Assistant
Secretary for Cyber and Information Security, as the Senior Infor-
mation Security Officer of the Department, is responsible for car-
rying out the responsibilities of the Assistant Secretary for Infor-
mation and Technology under the provisions of subchapter III of
chapter 35 of title 44, as set forth in subsection (b).
(d) DEPARTMENT INFORMATION OWNERS.—In accordance with
the criteria of the Centralized IT Management System, Department
information owners are responsible for the following:
(1) Providing assistance to the Assistant Secretary for In-
formation and Technology regarding the security requirements
and appropriate level of security controls for the information
system or systems where sensitive personal information is cur-
rently created, collected, processed, disseminated, or subject to
disposal.
(2) Determining who has access to the system or systems

containing sensitive personal information, including types of
privileges and access rights.
(3) Ensuring the VA National Rules of Behavior is signed
on an annual basis and enforced by all system users to ensure
appropriate use and protection of the information which is
used to support Department missions and functions.
(4) Assisting the Assistant Secretary for Information and
Technology in the identification and assessment of the common
security controls for systems where their information resides.
(5) Providing assistance to Administration and staff office
personnel involved in the development of new systems regard-
ing the appropriate level of security controls for their informa-
tion.
(e) OTHER KEY OFFICIALS.—In accordance with the provisions
of subchapter III of chapter 35 of title 44, the Under Secretaries,
Assistant Secretaries, and other key officials of the Department are
responsible for the following:
(1) Implementing the policies, procedures, practices, and
other countermeasures identified in the Department informa-
tion security program that comprise activities that are under
their day-to-day operational control or supervision.
(2) Periodically testing and evaluating information security
controls that comprise activities that are under their day-to-
day operational control or supervision to ensure effective im-
plementation.
(3) Providing a plan of action and milestones to the Assist-
ant Secretary for Information and Technology on at least a
quarterly basis detailing the status of actions being taken to
correct any security compliance failure or policy violation.
(4) Complying with the provisions of subchapter III of
chapter 35 of title 44 and other related information security
laws and requirements in accordance with orders of the Assist-
ant Secretary for Information and Technology to execute the
appropriate security controls commensurate to responding to a
security bulletin of the Security Operations Center of the De-
partment, with such orders to supersede and take priority over
all operational tasks and assignments and be complied with
immediately.
(5) Ensuring that—
(A) all employees within their organizations take im-
mediate action to comply with orders from the Assistant
Secretary for Information and Technology to—
(i) mitigate the impact of any potential security
vulnerability;
(ii) respond to a security incident; or
(iii) implement the provisions of a bulletin or alert
of the Security Operations Center; and
(B) organizational managers have all necessary au-
thority and means to direct full compliance with such or-
ders from the Assistant Secretary.
(6) Ensuring the VA National Rules of Behavior is signed
and enforced by all system users to ensure appropriate use and
protection of the information which is used to support Depart-

ment missions and functions on an annual basis.
(f) USERS OF DEPARTMENT INFORMATION AND INFORMATION
SYSTEMS.—Users of Department information and information sys-
tems are responsible for the following:
(1) Complying with all Department information security
program policies, procedures, and practices.
(2) Attending security awareness training on at least an
annual basis.
(3) Reporting all security incidents immediately to the In-
formation Security Officer of the system or facility and to their
immediate supervisor.
(4) Complying with orders from the Assistant Secretary for
Information and Technology directing specific activities when a
security incident occurs.
(5) Signing an acknowledgment that they have read, un-
derstand, and agree to abide by the VA National Rules of Be-
havior on an annual basis.
(g) INSPECTOR GENERAL OF DEPARTMENT OF VETERANS AF-
FAIRS.—In accordance with the provisions of subchapter III of chap-
ter 35 of title 44, the Inspector General of the Department is re-
sponsible for the following:
(1) Conducting an annual audit of the Department infor-
mation security program.
(2) Submitting an independent annual report to the Office
of Management and Budget on the status of Department infor-
mation security program, based on the results of the annual
audit.
(3) Conducting investigations of complaints and referrals
of violations as considered appropriate by the Inspector Gen-
eral.
§ 5724. Provision of credit protection and other services
(a) INDEPENDENT RISK ANALYSIS.—(1) In the event of a data
breach with respect to sensitive personal information that is proc-
essed or maintained by the Secretary, the Secretary shall ensure
that, as soon as possible after the data breach, a non-Department
entity or the Office of Inspector General of the Department con-
ducts an independent risk analysis of the data breach to determine
the level of risk associated with the data breach for the potential
misuse of any sensitive personal information involved in the data
breach.
(2) If the Secretary determines, based on the findings of a risk
analysis conducted under paragraph (1), that a reasonable risk ex-
ists for the potential misuse of sensitive personal information in-
volved in a data breach, the Secretary shall provide credit protec-
tion services in accordance with the regulations prescribed by the
Secretary under this section.
(b) REGULATIONS.—Not later than 180 days after the date of
the enactment of the Veterans Benefits, Health Care, and Informa-
tion Technology Act of 2006, the Secretary shall prescribe interim
regulations for the provision of the following in accordance with
subsection (a)(2):
(1) Notification.
(2) Data mining.
(3) Fraud alerts.
(4) Data breach analysis.
(5) Credit monitoring.
(6) Identity theft insurance.
(7) Credit protection services.
(c) REPORT.—(1) For each data breach with respect to sensitive
personal information processed or maintained by the Secretary, the
Secretary shall promptly submit to the Committees on Veterans’
Affairs of the Senate and House of Representatives a report con-
taining the findings of any independent risk analysis conducted
under subsection (a)(1), any determination of the Secretary under
subsection (a)(2), and a description of any services provided pursu-
ant to subsection (b).
(2) In the event of a data breach with respect to sensitive per-
sonal information processed or maintained by the Secretary that is
the sensitive personal information of a member of the Army, Navy,
Air Force, or Marine Corps or a civilian officer or employee of the
Department of Defense, the Secretary shall submit the report re-
quired under paragraph (1) to the Committee on Armed Services
of the Senate and the Committee on Armed Services of the House
of Representatives in addition to the Committees on Veterans’ Af-
fairs of the Senate and House of Representatives.
§ 5725. Contracts for data processing or maintenance

(a) CONTRACT REQUIREMENTS.—If the Secretary enters into a
contract for the performance of any Department function that re-
quires access to sensitive personal information, the Secretary shall
require as a condition of the contract that—
(1) the contractor shall not, directly or through an affiliate
of the contractor, disclose such information to any other person
unless the disclosure is lawful and is expressly permitted
under the contract;
(2) the contractor, or any subcontractor for a subcontract
of the contract, shall promptly notify the Secretary of any data
breach that occurs with respect to such information.
(b) LIQUIDATED DAMAGES.—Each contract subject to the re-
quirements of subsection (a) shall provide for liquidated damages
to be paid by the contractor to the Secretary in the event of a data
breach with respect to any sensitive personal information processed
or maintained by the contractor or any subcontractor under that
contract.
(c) PROVISION OF CREDIT PROTECTION SERVICES.—Any amount
collected by the Secretary under subsection (b) shall be deposited
in or credited to the Department account from which the contractor
was paid and shall remain available for obligation without fiscal
year limitation exclusively for the purpose of providing credit pro-
tection services pursuant to section 5724(b) of this title.
§ 5726. Reports and notice to congress on data breaches

(a) QUARTERLY REPORTS.—(1) Not later than 30 days after the
last day of a fiscal quarter, the Secretary shall submit to the Com-
mittees on Veterans’ Affairs of the Senate and House of Represent-
atives a report on any data breach with respect to sensitive per-
sonal information processed or maintained by the Department that
occurred during that quarter.
(2) Each report submitted under paragraph (1) shall identify,
for each data breach covered by the report—
(A) the Administration and facility of the Department re-
sponsible for processing or maintaining the sensitive personal
information involved in the data breach; and
(B) the status of any remedial or corrective action with re-
spect to the data breach.
(b) NOTIFICATION OF SIGNIFICANT DATA BREACHES.—(1) In the
event of a data breach with respect to sensitive personal informa-
tion processed or maintained by the Secretary that the Secretary
determines is significant, the Secretary shall provide notice of such
breach to the Committees on Veterans’ Affairs of the Senate and
House of Representatives.
(2) In the event of a data breach with respect to sensitive per-
sonal information processed or maintained by the Secretary that is
the sensitive personal information of a member of the Army, Navy,
Air Force, or Marine Corps or a civilian officer or employee of the
Department of Defense that the Secretary determines is significant
under paragraph (1), the Secretary shall provide the notice re-
quired under paragraph (1) to the Committee on Armed Services
of the Senate and the Committee on Armed Services of the House
of Representatives in addition to the Committees on Veterans’ Af-
fairs of the Senate and House of Representatives.
(3) Notice under paragraphs (1) and (2) shall be provided
promptly following the discovery of such a data breach and the im-
plementation of any measures necessary to determine the scope of
the breach, prevent any further breach or unauthorized disclosures,
and reasonably restore the integrity of the data system.
In this subchapter:
(1) AVAILABILITY.—The term ‘‘availability’’ means ensuring
timely and reliable access to and use of information.
(2) CONFIDENTIALITY.—The term ‘‘confidentiality’’ means
preserving authorized restrictions on access and disclosure, in-
cluding means for protecting personal privacy and proprietary
information.
(3) CONTROL TECHNIQUES.—The term ‘‘control techniques’’
means methods for guiding and controlling the operations of
information systems to ensure adherence to the provisions of
subchapter III of chapter 35 of title 44 and other related infor-
mation security requirements.
(4) DATA BREACH.—The term ‘‘data breach’’ means the loss,
theft, or other unauthorized access, other than those incidental
to the scope of employment, to data containing sensitive per-
sonal information, in electronic or printed form, that results in

the potential compromise of the confidentiality or integrity of
the data.
(5) DATA BREACH ANALYSIS.—The term ‘‘data breach anal-
ysis’’ means the process used to determine if a data breach has
resulted in the misuse of sensitive personal information.
(6) FRAUD RESOLUTION SYSTEMS.—The term ‘‘fraud resolu-
tion services’’ means services to assist an individual in the
process of recovering and rehabilitating the credit of the indi-
vidual after the individual experiences identity theft.
(7) IDENTITY THEFT.—The term ‘‘identity theft’’ has the
meaning given such term under section 603 of the Fair Credit
Reporting Act (15 U.S.C. 1681a).
(8) IDENTITY THEFT INSURANCE.—The term ‘‘identity theft
insurance’’ means any insurance policy that pays benefits for
costs, including travel costs, notary fees, and postage costs, lost
wages, and legal fees and expenses associated with efforts to
correct and ameliorate the effects and results of identity theft
of the insured individual.
(9) INFORMATION OWNER.—The term ‘‘information owner’’
means an agency official with statutory or operational author-
ity for specified information and responsibility for establishing
the criteria for its creation, collection, processing, dissemina-
tion, or disposal, which responsibilities may extend to inter-
connected systems or groups of interconnected systems.
(10) INFORMATION RESOURCES.—The term ‘‘information re-
sources’’ means information in any medium or form and its re-
lated resources, such as personnel, equipment, funds, and in-
formation technology.
(11) INFORMATION SECURITY.—The term ‘‘information secu-
rity’’ means protecting information and information systems
from unauthorized access, use, disclosure, disruption, modifica-
tion, or destruction in order to provide integrity, confiden-
tiality, and availability.
(12) INFORMATION SECURITY REQUIREMENTS.—The term
‘‘information security requirements’’ means information secu-
rity requirements promulgated in accordance with law, or di-
rected by the Secretary of Commerce, the National Institute of
Standards and Technology, and the Office of Management and
Budget, and, as to national security systems, the President.
(13) INFORMATION SYSTEM.—The term ‘‘information sys-
tem’’ means a discrete set of information resources organized
for the collection, processing, maintenance, use, sharing, dis-
semination, or disposition of information, whether automated
or manual.
(14) INTEGRITY.—The term ‘‘integrity’’ means guarding
against improper information modification or destruction, and
includes ensuring information non-repudiation and authen-
ticity.
(15) NATIONAL SECURITY SYSTEM.—The term ‘‘national se-
curity system’’ means an information system that is protected
at all times by policies and procedures established for the proc-
essing, maintenance, use, sharing, dissemination or disposition
of information that has been specifically authorized under cri-
teria established by statute or Executive Order to be kept clas-

sified in the interest of national defense or foreign policy.
(16) PLAN OF ACTION AND MILESTONES.—The term ‘‘plan of
action and milestones’’, means a plan used as a basis for the
quarterly reporting requirements of the Office of Management
and Budget that includes the following information:
(A) A description of the security weakness.
(B) The identity of the office or organization respon-
sible for resolving the weakness.
(C) An estimate of resources required to resolve the
weakness by fiscal year.
(D) The scheduled completion date.
(E) Key milestones with estimated completion dates.
(F) Any changes to the original key milestone date.
(G) The source that identified the weakness.
(H) The status of efforts to correct the weakness.
(17) PRINCIPAL CREDIT REPORTING AGENCY.—The term
‘‘principal credit reporting agency’’ means a consumer reporting
agency as described in section 603(p) of the Fair Credit Report-
ing Act (15 U.S.C. 1681a(p)).
(18) SECURITY INCIDENT.—The term ‘‘security incident’’
means an event that has, or could have, resulted in loss or
damage to Department assets, or sensitive information, or an
action that breaches Department security procedures.
(19) SENSITIVE PERSONAL INFORMATION.—The term ‘‘sen-
sitive personal information’’, with respect to an individual,
means any information about the individual maintained by an
agency, including the following:
(A) Education, financial transactions, medical history,
and criminal or employment history.
(B) Information that can be used to distinguish or
trace the individual’s identity, including name, social secu-
rity number, date and place of birth, mother’s maiden
name, or biometric records.
(20) SUBORDINATE PLAN.—The term ‘‘subordinate plan’’,
also referred to as a ‘‘system security plan’’, means a subordi-
nate plan defines the security controls that are either planned
or implemented for networks, facilities, systems, or groups of
systems, as appropriate, within a specific accreditation bound-
ary.
(21) TRAINING.—The term ‘‘training’’ means a learning ex-
perience in which an individual is taught to execute a specific
information security procedure or understand the information
security common body of knowledge.
(22) VA NATIONAL RULES OF BEHAVIOR.—The term ‘‘VA
National Rules of Behavior’’ means a set of Department rules
that describes the responsibilities and expected behavior of
personnel with regard to information system usage.
(23) VA SENSITIVE DATA.—The term ‘‘VA sensitive data’’
means all Department data, on any storage media or in any
form or format, which requires protection due to the risk of
harm that could result from inadvertent or deliberate disclo-
sure, alteration, or destruction of the information and includes
information whose improper use or disclosure could adversely
affect the ability of an agency to accomplish its mission, propri-

etary information, and records about individuals requiring pro-
tection under applicable confidentiality provisions.

There are authorized to be appropriated to carry out this sub-
chapter such sums as may be necessary for each fiscal year.
787
CHAPTER 59—AGENTS AND ATTORNEYS
Sec.
5901. Prohibition against acting as claims agent or attorney.
5902. Recognition of representatives of organizations.
5903. Recognition with respect to particular claims.
5904. Recognition of agents and attorneys generally.
5905. Penalty for certain acts.
§ 5901. Prohibition against acting as claims agent or attor-

ney
Except as provided by section 500 of title 5, no individual may
act as an agent or attorney in the preparation, presentation, or
prosecution of any claim under laws administered by the Secretary
unless such individual has been recognized for such purposes by
the Secretary.
7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 403–405.)
§ 5902. Recognition of representatives of organizations

(a)(1) The Secretary may recognize representatives of the
American National Red Cross, the American Legion, the Disabled
American Veterans, the United Spanish War Veterans, the Vet-
erans of Foreign Wars, and such other organizations as the Sec-
retary may approve, in the preparation, presentation, and prosecu-
tion of claims under laws administered by the Secretary.
(2) The Secretary may, in the discretion of the Secretary, fur-
nish, if available, space and office facilities for the use of paid full-
time representatives of national organizations so recognized.
(b)(1) No individual shall be recognized under this section—
(A) unless the individual has certified to the Secretary that
no fee or compensation of any nature will be charged any indi-
vidual for services rendered in connection with any claim; and
(B) unless, with respect to each claim, such individual has
filed with the Secretary a power of attorney, executed in such
manner and form as the Secretary may prescribe.
(2) An individual recognized under this section shall be subject
to the provisions of section 5904(b) of this title on the same basis
as an individual recognized under section 5904(a) of this title.
(c)(1) Unless a claimant specifically indicates in a power of at-
torney filed with the Department a desire to appoint only a recog-
nized representative of an organization listed in or approved under
789
Sec. 5903 CH. 59—AGENTS AND ATTORNEYS 790
subsection (a), the Secretary may, for any purpose, treat the power
of attorney naming such an organization, a specific office of such
an organization, or a recognized representative of such an organi-
zation as the claimant’s representative as an appointment of the
entire organization as the claimant’s representative.
(2) Whenever the Secretary is required or permitted to notify
a claimant’s representative, and the claimant has named in a
power of attorney an organization listed in or approved under sub-
section (a), a specific office of such an organization, or a recognized
representative of such an organization without specifically indi-
cating a desire to appoint only a recognized representative of the
organization, the Secretary shall notify the organization at the ad-
dress designated by the organization for the purpose of receiving
the notification concerned.
(d) Service rendered in connection with any such claim, while
not on active duty, by any retired officer, warrant officer, or en-
listed member of the Armed Forces recognized under this section
shall not be a violation of sections 203, 205, 206, or 207 of title 18.
June 11, 1969, 83 Stat. 34; Pub. L. 98–160, title VII, Sec. 703(5), Nov. 21, 1983,
7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 403–405; Pub. L. 104–275, title V, Sec. 508(a), Oct. 9, 1996, 110 Stat. 3343;
Pub. L. 109–461, title I, Sec. 101(a)(2), Dec. 22, 2006, 120 Stat. 3406.)
§ 5903. Recognition with respect to particular claims
(a) IN GENERAL.—The Secretary may recognize any individual
for the preparation, presentation, and prosecution of any particular
claim for benefits under any of the laws administered by the Sec-
retary if—
(1) such individual has certified to the Secretary that no
fee or compensation of any nature will be charged any indi-
vidual for services rendered in connection with such claim; and
(2) such individual has filed with the Secretary a power of
attorney, executed in such manner and in such form as the
Secretary may prescribe.
(b) SUSPENSION.—An individual recognized under this section
shall be subject to the provisions of section 5904(b) of this title on
the same basis as an individual recognized under section 5904(a)
of this title.
4(a)(1), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 109–461, title I, Sec.
101(a)(3), Dec. 22, 2006, 120 Stat. 3407.)
§ 5904. Recognition of agents and attorneys generally

(a) RECOGNITION.—(1) Except as provided in paragraph (4), the
Secretary may recognize any individual as an agent or attorney for
the preparation, presentation, and prosecution of claims under laws
administered by the Secretary.
(2) The Secretary shall prescribe in regulations (consistent
with the Model Rules of Professional Conduct of the American Bar
Association) qualifications and standards of conduct for individuals
recognized under this section, including a requirement that, as a
condition of being so recognized, an individual must—
791 CH. 59—AGENTS AND ATTORNEYS Sec. 5904
(A) show that such individual is of good moral character

and in good repute, is qualified to render claimants valuable
service, and is otherwise competent to assist claimants in pre-
senting claims;
(B) have such level of experience or specialized training as
the Secretary shall specify; and
(C) certify to the Secretary that the individual has satis-
fied any qualifications and standards prescribed by the Sec-
retary under this section.
(3) The Secretary shall prescribe in regulations requirements
that each agent or attorney recognized under this section provide
annually to the Secretary information about any court, bar, or Fed-
eral or State agency to which such agent or attorney is admitted
to practice or otherwise authorized to appear, any relevant identi-
fication number or numbers, and a certification by such agent or
attorney that such agent or attorney is in good standing in every
jurisdiction where the agent or attorney is admitted to practice or
otherwise authorized to appear.
(4) The Secretary may not recognize an individual as an agent
or attorney under paragraph (1) if such individual has been sus-
pended or disbarred by any court, bar, or Federal or State agency
to which the individual was previously admitted to practice and
has not been subsequently reinstated.
(5) The Secretary may prescribe in regulations reasonable re-
strictions on the amount of fees that an agent or attorney may
charge a claimant for services rendered in the preparation, presen-
tation, and prosecution of a claim before the Department. A fee
that does not exceed 20 percent of the past due amount of benefits
awarded on a claim shall be presumed to be reasonable.
(6)(A) The Secretary may charge and collect an assessment
from an individual recognized as an agent or attorney under this
section in any case in which the Secretary pays to the agent or at-
torney, from past-due benefits owed to a claimant represented by
the agent or attorney, an amount as a fee in accordance with a fee
arrangement between the claimant and the agent or attorney.
(B) The amount of an assessment under subparagraph (A)
shall be equal to five percent of the amount of the fee required to
be paid to the agent or attorney, except that the amount of such
an assessment may not exceed $100.
(C) The Secretary may collect an assessment under subpara-
graph (A) by offsetting the amount of the fee otherwise required to
be paid to the agent or attorney from the past-due benefits owed
to the claimant represented by the agent or attorney.
(D) An agent or attorney who is charged an assessment under
subparagraph (A) may not, directly or indirectly, request, receive,
or obtain reimbursement for such assessment from the claimant
represented by the agent or attorney.
(E) Amounts collected under this paragraph shall be deposited
in the account available for administrative expenses for veterans’
benefits programs. Amounts so deposited shall be merged with
amounts in such account and shall be available for the same pur-
pose, and subject to the same conditions and limitations, as
amounts otherwise in such account.
(b) SUSPENSION OF AGENTS AND ATTORNEYS.—The Secretary,

after notice and opportunity for a hearing, may suspend or exclude
from further practice before the Department any agent or attorney
recognized under this section if the Secretary finds that such agent
or attorney—
(1) has engaged in any unlawful, unprofessional, or dis-
honest practice;
(2) has been guilty of disreputable conduct;
(3) is incompetent;
(4) has violated or refused to comply with any of the laws
administered by the Secretary, or with any of the regulations
or instructions governing practice before the Department;
(5) has in any manner deceived, misled, or threatened any
actual or prospective claimant;
(6) has presented to the Secretary a frivolous claim, issue,
or argument, involving conduct inconsistent with ethical stand-
ards for the practice of law;
(7) has been suspended or disbarred by any court or bar
to which such agent or attorney was previously admitted to
practice, or has been disqualified from participating in or ap-
pearing before any Federal agency, and has not been subse-
quently reinstated;
(8) has charged excessive or unreasonable fees, as deter-
mined by the Secretary in accordance with subsection (c)(3)(A);
or
(9) has failed to comply with any other condition specified
in regulations prescribed by the Secretary for purposes of this
subsection.
(c)(1) Except as provided in paragraph (4), in connection with
a proceeding before the Department with respect to benefits under
laws administered by the Secretary, a fee may not be charged, al-
lowed, or paid for services of agents and attorneys with respect to
services provided before the date on which a notice of disagreement
is filed with respect to the case. The limitation in the preceding
sentence does not apply to fees charged, allowed, or paid for serv-
ices provided with respect to proceedings before a court.
(2) A person who, acting as agent or attorney in a case referred
to in paragraph (1) of this subsection, represents a person before
the Department or the Board of Veterans’ Appeals after a notice of
disagreement is filed with respect to the case shall file a copy of
any fee agreement between them with the Secretary pursuant to
regulations prescribed by the Secretary.
(3)(A) The Secretary may, upon the Secretary’s own motion or
at the request of the claimant, review a fee agreement filed pursu-
ant to paragraph (2) and may order a reduction in the fee called
for in the agreement if the Secretary finds that the fee is excessive
or unreasonable.
(B) A finding or order of the Secretary under subparagraph (A)
may be reviewed by the Board of Veterans’ Appeals under section
7104 of this title.
(C) If the Secretary under subsection (b) suspends or excludes
from further practice before the Department any agent or attorney
who collects or receives a fee in excess of the amount authorized
under this section, the suspension shall continue until the agent or
793 CH. 59—AGENTS AND ATTORNEYS Sec. 5905
attorney makes full restitution to each claimant from whom the

agent or attorney collected or received an excessive fee. If the agent
or attorney makes such restitution, the Secretary may reinstate
such agent or attorney under such rules as the Secretary may pre-
scribe.
(4) A reasonable fee may be charged or paid in connection with
any proceeding before the Department in a case arising out of a
loan made, guaranteed, or insured under chapter 37 of this title.
A person who charges a fee under this paragraph shall enter into
a written agreement with the person represented and shall file a
copy of the fee agreement with the Secretary at such time, and in
such manner, as may be specified by the Secretary.
(d) PAYMENT OF FEES OUT OF PAST-DUE BENEFITS.—(1) When
a claimant and an agent or attorney have entered into a fee agree-
ment described in paragraph (2), the total fee payable to the agent
or attorney may not exceed 20 percent of the total amount of any
past-due benefits awarded on the basis of the claim.
(2)(A) A fee agreement referred to in paragraph (1) is one
under which the total amount of the fee payable to the agent or
attorney—
(i) is to be paid to the agent or attorney by the Secretary
directly from any past-due benefits awarded on the basis of the
claim; and
(ii) is contingent on whether or not the matter is resolved
in a manner favorable to the claimant.
(B) For purposes of subparagraph (A), a claim shall be consid-
ered to have been resolved in a manner favorable to the claimant
if all or any part of the relief sought is granted.
(3) To the extent that past-due benefits are awarded in any
proceeding before the Secretary, the Board of Veterans’ Appeals, or
the United States Court of Appeals for Veterans Claims, the Sec-
retary may direct that payment of any fee to an agent or attorney
under a fee arrangement described in paragraph (1) be made out
of such past-due benefits. In no event may the Secretary withhold
for the purpose of such payment any portion of benefits payable for
a period after the date of the final decision of the Secretary, the
Board of Veterans’ Appeals, or Court of Appeals for Veterans
Claims making (or ordering the making of) the award.
Sec. 701(80), Oct. 28, 1986, 100 Stat. 3298; Pub. L. 100–687, div. A, title I, Sec.
104(a), Nov. 18, 1988, 102 Stat. 4108; renumbered Sec. 5904 and amended Pub. L.
102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–
83, Sec. 4(a)(1), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 102–
405, title III, Sec. 303(a), Oct. 9, 1992, 106 Stat. 1985; Pub. L. 103–446, title V, Sec.
504(a), Nov. 2, 1994, 108 Stat. 4663; Pub. L. 105–368, title V, Sec. 512(a)(1), Nov.
11, 1998, 112 Stat. 3341; Pub. L. 109–461, title I, Sec. 101(a)(1), (b), (c)(1), (d)–(f),
Dec. 22, 2006, 120 Stat. 3405, 3407, 3408.)
§ 5905. Penalty for certain acts

Whoever wrongfully withholds from any claimant or bene-
ficiary any part of a benefit or claim allowed and due to the claim-
ant or beneficiary, shall be fined as provided in title 18, or impris-
oned not more than one year, or both.
Sec. 701(81), Oct. 28, 1986, 100 Stat. 3298; Pub. L. 100–687, div. A, title I, Sec.
104(b), Nov. 18, 1988, 102 Stat. 4109; renumbered Sec. 5905 and amended Pub. L.
102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–
83, Sec. 5(c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 109–461, title I, Sec. 101(g),
Dec. 22, 2006, 120 Stat. 3408.)
795
CHAPTER 61—PENAL AND FORFEITURE PROVISIONS
Sec.
6101. Misappropriation by fiduciaries.
6102. Fraudulent acceptance of payments.
6103. Forfeiture for fraud.
6104. Forfeiture for treason.
6105. Forfeiture for subversive activities.
6106. Misuse of benefits by fiduciaries.
6107. Reissuance of benefits.
6108. Authority for judicial orders of restitution.
§ 6101. Misappropriation by fiduciaries

(a) Whoever, being a fiduciary (as defined in section 5506 of
this title) for the benefit of a minor, incompetent, or other bene-
ficiary under laws administered by the Secretary, shall lend, bor-
row, pledge, hypothecate, use, or exchange for other funds or prop-
erty, except as authorized by law, or embezzle or in any manner
misappropriate any such money or property derived therefrom in
whole or in part and coming into such fiduciary’s control in any
manner whatever in the execution of such fiduciary’s trust, or
under color of such fiduciary’s office or service as such fiduciary,
shall be fined in accordance with title 18, or imprisoned not more
than five years, or both.
(b) Any willful neglect or refusal to make and file proper ac-
countings or reports concerning such money or property as required
by law shall be taken to be sufficient evidence prima facie of such
embezzlement or misappropriation.
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–54, Sec. 14(d)(7),
June 13, 1991, 105 Stat. 286; Pub. L. 102–83, Sec. 4(a)(1), Aug. 6, 1991, 105 Stat.
403; Pub. L. 103–446, title XII, Sec. 1201(e)(17), Nov. 2, 1994, 108 Stat. 4686; Pub.
L. 108–454, title V, Sec. 501(c), Dec. 10, 2004, 118 Stat. 3618.)
§ 6102. Fraudulent acceptance of payments

(a) Any person entitled to monetary benefits under any of the
laws administered by the Secretary whose right to payment thereof
ceases upon the happening of any contingency, who thereafter
fraudulently accepts any such payment, shall be fined in accord-
ance with title 18, or imprisoned not more than one year, or both.
(b) Whoever obtains or receives any money or check under any
of the laws administered by the Secretary without being entitled to
it, and with intent to defraud the United States or any beneficiary
of the United States, shall be fined in accordance with title 18, or
imprisoned not more than one year, or both.
797
Sec. 6103 CH. 61—PENAL AND FORFEITURE PROVISIONS 798
14(d)(7), June 13, 1991, 105 Stat. 286; Pub. L. 102–83, Sec. 4(a)(1), Aug. 6, 1991,
105 Stat. 403.)
§ 6103. Forfeiture for fraud
(a) Whoever knowingly makes or causes to be made or con-
spires, combines, aids, or assists in, agrees to, arranges for, or in
any way procures the making or presentation of a false or fraudu-
lent affidavit, declaration, certificate, statement, voucher, or paper,
concerning any claim for benefits under any of the laws adminis-
tered by the Secretary (except laws pertaining to insurance bene-
fits) shall forfeit all rights, claims, and benefits under all laws ad-
ministered by the Secretary (except laws pertaining to insurance
benefits).
(b) Whenever a veteran entitled to disability compensation has
forfeited the right to such compensation under this section, the
compensation payable but for the forfeiture shall thereafter be paid
to the veteran’s spouse, children, and parents. Payments made to
a spouse, children, and parents under the preceding sentence shall
not exceed the amounts payable to each if the veteran had died
from service-connected disability. No spouse, child, or parent who
participated in the fraud for which forfeiture was imposed shall re-
ceive any payment by reason of this subsection. An apportionment
award under this subsection may not be made in any case after
September 1, 1959.
(c) Forfeiture of benefits by a veteran shall not prohibit pay-
ment of the burial allowance, death compensation, dependency and
indemnity compensation, or death pension in the event of the vet-
eran’s death.
(d)(1) After September 1, 1959, no forfeiture of benefits may be
imposed under this section or section 6104 of this title upon any
individual who was a resident of, or domiciled in, a State at the
time the act or acts occurred on account of which benefits would,
but not for this subsection, be forfeited unless such individual
ceases to be a resident of, or domiciled in, a State before the expi-
ration of the period during which criminal prosecution could be in-
stituted. This subsection shall not apply with respect to (A) any for-
feiture occurring before September 1, 1959, or (B) an act or acts
which occurred in the Philippine Islands before July 4, 1946.
(2) The Secretary is hereby authorized and directed to review
all cases in which, because of a false or fraudulent affidavit, dec-
laration, certificate, statement, voucher, or paper, a forfeiture of
gratuitous benefits under laws administered by the Secretary was
imposed, pursuant to this section or prior provisions of law, on or
before September 1, 1959. In any such case in which the Secretary
determines that the forfeiture would not have been imposed under
the provisions of this section in effect after September 1, 1959, the
Secretary shall remit the forfeiture, effective June 30, 1972. Bene-
fits to which the individual concerned becomes eligible by virtue of
any such remission may be awarded, upon application therefor, and
the effective date of any award of compensation, dependency and
indemnity compensation, or pension made in such a case shall be
fixed in accordance with the provisions of section 5110(g) of this
title.
799 CH. 61—PENAL AND FORFEITURE PROVISIONS Sec. 6105
Sept. 1, 1959, 73 Stat. 452; Pub. L. 91–24, Sec. 13(a), June 11, 1969, 83 Stat. 34;
Pub. L. 92–328, title II, Sec. 206, June 30, 1972, 86 Stat. 397; Pub. L. 98–160, title
VII, Sec. 703(6), Nov. 21, 1983, 97 Stat. 1011; Pub. L. 99–576, title VII, Sec. 701(83),
14(d)(8), June 13, 1991, 105 Stat. 286; Pub. L. 102–83, Sec. 4(a)(1), (b)(1), (2)(E),
Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 103–446, title XII, Sec. 1201(e)(18), (f)(5),
Nov. 2, 1994, 108 Stat. 4686, 4687.)
§ 6104. Forfeiture for treason

(a) Any person shown by evidence satisfactory to the Secretary
to be guilty of mutiny, treason, sabotage, or rendering assistance
to an enemy of the United States or of its allies shall forfeit all ac-
crued or future gratuitous benefits under laws administered by the
Secretary.
(b) The Secretary, in the Secretary’s discretion, may apportion
and pay any part of benefits forfeited under subsection (a) to the
dependents of the person forfeiting such benefits. No dependent of
any person shall receive benefits by reason of this subsection in ex-
cess of the amount to which the dependent would be entitled if
such person were dead.
(c) In the case of any forfeiture under this section there shall
be no authority after September 1, 1959 (1) to make an apportion-
ment award pursuant to subsection (b) or (2) to make an award to
any person of gratuitous benefits based on any period of military,
naval, or air service commencing before the date of commission of
the offense.
Sept. 1, 1959, 73 Stat. 452; Pub. L. 91–24, Sec. 13(b), June 11, 1969, 83 Stat. 34;
Pub. L. 97–295, Sec. 4(78), Oct. 12, 1982, 96 Stat. 1311; Pub. L. 99–576, title VII,
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(1),
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405.)
§ 6105. Forfeiture for subversive activities

(a) Any individual who is convicted after September 1, 1959, of
any offense listed in subsection (b) of this section shall, from and
after the date of commission of such offense, have no right to gratu-
itous benefits (including the right to burial in a national cemetery)
under laws administered by the Secretary based on periods of mili-
tary, naval, or air service commencing before the date of the com-
mission of such offense and no other person shall be entitled to
such benefits on account of such individual. After receipt of notice
of the return of an indictment for such an offense the Secretary
shall suspend payment of such gratuitous benefits pending disposi-
tion of the criminal proceedings. If any individual whose right to
benefits has been terminated pursuant to this section is granted a
pardon of the offense by the President of the United States, the
right to such benefits shall be restored as of the date of such par-
don.
(b) The offenses referred to in subsection (a) of this section are
those offenses for which punishment is prescribed in—
(1) sections 894, 904, and 906 of title 10 (articles 94, 104,
and 106 of the Uniform Code of Military Justice);
(2) sections 175, 229, 792, 793, 794, 798, 831, 1091, 2332a,
2332b, 2381, 2382, 2383, 2384, 2385, 2387, 2388, 2389, 2390,
and chapter 105 of title 18;
(3) sections 222, 223, 224, 225, and 226 of the Atomic En-
ergy Act of 1954 (42 U.S.C. 2272, 2273, 2274, 2275, and 2276);
and
(4) section 4 of the Internal Security Act of 1950 (50 U.S.C.
783).
(c) The Secretary of Defense or the Secretary of Homeland Se-
curity, as appropriate, shall notify the Secretary in each case in
which an individual is convicted of an offense listed in paragraph
(1) of subsection (b). The Attorney General shall notify the Sec-
retary in each case in which an individual is indicted or convicted
of an offense listed in paragraph (2), (3), or (4) of subsection (b).
Pub. L. 92–128, Sec. 2(c), Sept. 25, 1971, 85 Stat. 348; Pub. L. 93–43, Sec. 8, June
18, 1973, 87 Stat. 88; Pub. L. 97–295, Sec. 4(79), Oct. 12, 1982, 96 Stat. 1311; re-
238; Pub. L. 102–54, Sec. 14(d)(9), June 13, 1991, 105 Stat. 287; Pub. L. 102–83,
Sec. 4(a)(1), (2)(A)(xiv), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 103–
XVII, Sec. 1704(d), Nov. 25, 2002, 116 Stat. 2315; Pub. L. 108–183, title VII, Sec.
705(a), Dec. 16, 2003, 117 Stat. 2672.)
§ 6106. Misuse of benefits by fiduciaries
(a) FEE FORFEITURE IN CASE OF BENEFIT MISUSE BY FIDU-
CIARIES.—A fiduciary may not collect a fee from a beneficiary for
any month with respect to which the Secretary or a court of com-
petent jurisdiction has determined that the fiduciary misused all or
part of the individual’s benefit, and any amount so collected by the
fiduciary as a fee for such month shall be treated as a misused part
of the individual’s benefit.
(b) MISUSE OF BENEFITS DEFINED.—For purposes of this chap-
ter, misuse of benefits by a fiduciary occurs in any case in which
the fiduciary receives payment, under any of laws administered by
the Secretary, for the use and benefit of a beneficiary and uses
such payment, or any part thereof, for a use other than for the use
and benefit of such beneficiary or that beneficiary’s dependents. Re-
tention by a fiduciary of an amount of a benefit payment as a fidu-
ciary fee or commission, or as attorney’s fees (including expenses)
and court costs, if authorized by the Secretary or a court of com-
petent jurisdiction, shall be considered to be for the use or benefit
of such beneficiary.
(c) REGULATIONS.—The Secretary may prescribe by regulation
the meaning of the term ‘‘use and benefit’’ for purposes of this sec-
tion.
§ 6107. Reissuance of benefits

(a) NEGLIGENT FAILURE BY SECRETARY.—(1) In any case in
which the negligent failure of the Secretary to investigate or mon-
itor a fiduciary results in misuse of benefits by the fiduciary, the
Secretary shall pay to the beneficiary or the beneficiary’s successor
fiduciary an amount equal to the amount of benefits that were so
misused.
801 CH. 61—PENAL AND FORFEITURE PROVISIONS Sec. 6108
(2) There shall be considered to have been a negligent failure

by the Secretary to investigate and monitor a fiduciary in the fol-
lowing cases:
(A) A case in which the Secretary failed to review a fidu-
ciary’s accounting within 60 days of the date on which that ac-
counting is scheduled for review.
(B) A case in which the Secretary was notified of allega-
tions of misuse, but failed to act within 60 days of the date of
such notification to terminate the fiduciary.
(C) In any other case in which actual negligence is shown.
(b) REISSUANCE OF MISUSED BENEFITS IN OTHER CASES.—(1) In
any case in which a fiduciary described in paragraph (2) misuses
all or part of an individual’s benefit paid to such fiduciary, the Sec-
retary shall pay to the beneficiary or the beneficiary’s successor fi-
duciary an amount equal to the amount of such benefit so misused.
(2) Paragraph (1) applies to a fiduciary that—
(A) is not an individual; or
(B) is an individual who, for any month during a period
when misuse occurs, serves 10 or more individuals who are
beneficiaries under this title.
(3) In any other case in which the Secretary obtains
recoupment from a fiduciary who has misused benefits, the Sec-
retary shall promptly remit payment of the recouped amounts to
the beneficiary or the beneficiary’s successor fiduciary as the case
may be.
(c) LIMITATION ON TOTAL AMOUNT PAID.—The total of the
amounts paid to a beneficiary (or a beneficiary’s successor fidu-
ciary) under this section may not exceed the total benefit amount
misused by the fiduciary with respect to that beneficiary.
(d) RECOUPMENT OF AMOUNTS REISSUED.—In any case in
which the Secretary reissues a benefit payment (in whole or in
part) under subsection (a) or (b), the Secretary shall make a good
faith effort to obtain recoupment from the fiduciary to whom the
payment was originally made.
§ 6108. Authority for judicial orders of restitution

(a) Any Federal court, when sentencing a defendant convicted
of an offense arising from the misuse of benefits under this title,
may order, in addition to or in lieu of any other penalty authorized
by law, that the defendant make restitution to the Department.
(b) Sections 3612, 3663, and 3664 of title 18 shall apply with
respect to the issuance and enforcement of orders of restitution
under subsection (a). In so applying those sections, the Department
shall be considered the victim.
(c) If the court does not order restitution, or orders only partial
restitution, under subsection (a), the court shall state on the record
the reasons therefor.
(d) Amounts received in connection with misuse by a fiduciary
of funds paid as benefits under laws administered by the Secretary
shall be paid to the individual whose benefits were misused. If the
Secretary has previously reissued the misused benefits, the
amounts shall be treated in the same manner as overpayments re-
couped by the Secretary and shall be deposited to the credit of the

applicable revolving fund, trust fund, or appropriation.
(Added Pub. L. 108–454, title V, Sec. 504(b)(1), Dec. 10, 2004, 118 Stat. 3621.)
803
CHAPTER 63—OUTREACH ACTIVITIES
Sec.
6301. Purpose; definitions.
6302. Biennial plan.
6303. Outreach services.
6304. Veterans assistance offices.
6305. Outstationing of counseling and outreach personnel.
6306. Use of other agencies.
6307. Outreach for eligible dependents.
6308. Biennial report to Congress.
§ 6301. Purpose; definitions

(a) PURPOSE.—The Congress declares that—
(1) the outreach services program authorized by this chap-
ter is for the purpose of ensuring that all veterans (especially
those who have been recently discharged or released from ac-
tive military, naval, or air service, or from a reserve compo-
nent, and those who are eligible for readjustment or other ben-
efits and services under laws administered by the Department)
are provided timely and appropriate assistance to aid and en-
courage them in applying for and obtaining such benefits and
services in order that they may achieve a rapid social and eco-
nomic readjustment to civilian life and obtain a higher stand-
ard of living for themselves and their dependents; and
(2) the outreach services program authorized by this chap-
ter is for the purpose of charging the Department with the af-
firmative duty of seeking out eligible veterans and eligible de-
pendents and providing them with such services.
(b) DEFINITIONS.—For the purposes of this chapter—
(1) the term ‘‘outreach’’ means the act or process of reach-
ing out in a systematic manner to proactively provide informa-
tion, services, and benefits counseling to veterans, and to the
spouses, children, and parents of veterans who may be eligible
to receive benefits under the laws administered by the Sec-
retary, to ensure that such individuals are fully informed
about, and receive assistance in applying for, such benefits;
(2) the term ‘‘other governmental programs’’ includes all
programs under State or local laws as well as all programs
under Federal law other than those authorized by this title;
and
(3) the term ‘‘eligible dependent’’ means a spouse, sur-
viving spouse, child, or dependent parent of a person who
served in the active military, naval, or air service.
805
Sec. 6302 CH. 63—OUTREACH ACTIVITIES 806
(Added Pub. L. 109–233, title IV, Sec. 402(a), June 15, 2006, 120 Stat. 407; amended
Pub. L. 110–181, div. A, title XVII, Sec. 1710, Jan. 28, 2008, 122 Stat. 494.)
§ 6302. Biennial plan

(a) BIENNIAL PLAN REQUIRED.—The Secretary shall, during the
first nine months of every odd-numbered year, prepare a biennial
plan for the outreach activities of the Department for the two-fis-
cal-year period beginning on October 1 of that year.
(b) ELEMENTS.—Each biennial plan under subsection (a) shall
include the following:
(1) Plans for efforts to identify eligible veterans and eligi-
ble dependents who are not enrolled or registered with the De-
partment for benefits or services under the programs adminis-
(2) Plans for informing eligible veterans and eligible de-
pendents of modifications of the benefits and services under
the programs administered by the Secretary, including eligi-
bility for medical and nursing care and services.
(c) COORDINATION IN DEVELOPMENT.—In developing the bien-
nial plan under subsection (a), the Secretary shall consult with the
following:
(1) Directors or other appropriate officials of organizations
approved by the Secretary under section 5902 of this title.
(2) Directors or other appropriate officials of State and
local education and training programs.
(3) Representatives of nongovernmental organizations that
carry out veterans outreach programs.
(4) Representatives of State and local veterans employ-
ment organizations.
(5) Other individuals and organizations that the Secretary
(Added Pub. L. 109–233, title IV, Sec. 402(a), June 15, 2006, 120 Stat. 408.)
§ 6303. Outreach services

(a) REQUIREMENT TO PROVIDE SERVICES.—In carrying out the
purposes of this chapter, the Secretary shall provide the outreach
services specified in subsections (b) through (d). In areas where a
significant number of eligible veterans and eligible dependents
speak a language other than English as their principal language,
such services shall, to the maximum feasible extent, be provided in
the principal language of such persons.
(b) INDIVIDUAL NOTICE TO NEW VETERANS.—The Secretary
shall by letter advise each veteran at the time of the veteran’s dis-
charge or release from active military, naval, or air service (or as
soon as possible after such discharge or release) of all benefits and
services under laws administered by the Department for which the
veteran may be eligible. In carrying out this subsection, the Sec-
retary shall ensure, through the use of veteran-student services
under section 3485 of this title, that contact, in person or by tele-
phone, is made with those veterans who, on the basis of their mili-
tary service records, do not have a high school education or equiva-
lent at the time of discharge or release.
(c) DISTRIBUTION OF INFORMATION.—(1) The Secretary—
807 CH. 63—OUTREACH ACTIVITIES Sec. 6304
(A) shall distribute full information to eligible veterans

and eligible dependents regarding all benefits and services to
which they may be entitled under laws administered by the
Secretary; and
(B) may, to the extent feasible, distribute information on
other governmental programs (including manpower and train-
ing programs) which the Secretary determines would be bene-
ficial to veterans.
(2) Whenever a veteran or dependent first applies for any ben-
efit under laws administered by the Secretary (including a request
for burial or related benefits or an application for life insurance
proceeds), the Secretary shall provide to the veteran or dependent
information concerning benefits and health care services under pro-
grams administered by the Secretary. Such information shall be
provided not later than three months after the date of such applica-
tion.
(d) PROVISION OF AID AND ASSISTANCE.—The Secretary shall
provide, to the maximum extent possible, aid and assistance (in-
cluding personal interviews) to members of the Armed Forces, vet-
erans, and eligible dependents with respect to subsections (b) and
(c) and in the preparation and presentation of claims under laws
administered by the Department.
(e) ASSIGNMENT OF EMPLOYEES.—In carrying out this section,
the Secretary shall assign such employees as the Secretary con-
siders appropriate to conduct outreach programs and provide out-
reach services for homeless veterans. Such outreach services may
include site visits through which homeless veterans can be identi-
fied and provided assistance in obtaining benefits and services that
may be available to them.
§ 6304. Veterans assistance offices

(a) IN GENERAL.—The Secretary shall establish and maintain
veterans assistance offices at such places throughout the United
States and its territories and possessions, and in the Common-
wealth of Puerto Rico, as the Secretary determines to be necessary
to carry out the purposes of this chapter. The Secretary may main-
tain such offices on such military installations located elsewhere as
the Secretary, after consultation with the Secretary of Defense and
taking into account recommendations, if any, of the Secretary of
Labor, determines to be necessary to carry out such purposes.
(b) LOCATION OF OFFICES.—In establishing and maintaining
such offices, the Secretary shall give due regard to—
(1) the geographical distribution of veterans recently dis-
charged or released from active military, naval, or air service;
(2) the special needs of educationally disadvantaged vet-
erans (including their need for accessibility of outreach serv-
ices); and
(3) the necessity of providing appropriate outreach services
in less populated areas.
Sec. 6305 CH. 63—OUTREACH ACTIVITIES 808
§ 6305. Outstationing of counseling and outreach personnel

The Secretary may station employees of the Department at lo-
cations other than Department offices, including educational insti-
tutions, to provide—
(1) counseling and other assistance regarding benefits
under this title to veterans and other persons eligible for bene-
fits under this title; and
(2) outreach services under this chapter.
§ 6306. Use of other agencies

(a) In carrying out this chapter, the Secretary shall arrange
with the Secretary of Labor for the State employment service to
match the particular qualifications of an eligible veteran or eligible
dependent with an appropriate job or job training opportunity, in-
cluding, where possible, arrangements for outstationing the State
employment personnel who provide such assistance at appropriate
facilities of the Department.
(b) In carrying out this chapter, the Secretary shall, in con-
sultation with the Secretary of Labor, actively seek to promote the
development and establishment of employment opportunities,
training opportunities, and other opportunities for veterans, with
particular emphasis on the needs of veterans with service-con-
nected disabilities and other eligible veterans, taking into account
applicable rates of unemployment and the employment emphases
set forth in chapter 42 of this title.
(c) In carrying out this chapter, the Secretary shall cooperate
with and use the services of any Federal department or agency or
any State or local governmental agency or recognized national or
other organization.
(d) In carrying out this chapter, the Secretary shall, where ap-
propriate, make referrals to any Federal department or agency or
State or local governmental unit or recognized national or other or-
ganization.
(e) In carrying out this chapter, the Secretary may furnish
available space and office facilities for the use of authorized rep-
resentatives of such governmental unit or other organization pro-
viding services.
(f) In carrying out this chapter, the Secretary shall conduct and
provide for studies, in consultation with appropriate Federal de-
partments and agencies, to determine the most effective program
design to carry out the purposes of this chapter.
§ 6307. Outreach for eligible dependents

(a) NEEDS OF DEPENDENTS.—In carrying out this chapter, the
Secretary shall ensure that the needs of eligible dependents are
fully addressed.
(b) INFORMATION AS TO AVAILABILITY OF OUTREACH SERVICES
FOR DEPENDENTS.—The Secretary shall ensure that the availability
of outreach services and assistance for eligible dependents under
this chapter is made known through a variety of means, including
809 CH. 63—OUTREACH ACTIVITIES Sec. 6308
the Internet, announcements in veterans publications, and an-

nouncements to the media.
§ 6308. Biennial report to Congress

(a) REPORT REQUIRED.—The Secretary shall, not later than De-
cember 1 of every even-numbered year (beginning in 2008), submit
to Congress a report on the outreach activities carried out by the
Department.
(b) CONTENT.—Each report under this section shall include the
following:
(1) A description of the implementation during the pre-
ceding fiscal year of the current biennial plan under section
6302 of this title.
(2) Recommendations for the improvement or more effec-
tive administration of the outreach activities of the Depart-
ment.
811
Chapter Sec.
71. Board of Veterans’ Appeals ........................................ 7101
72. United States Court of Appeals for Veterans Claims 7251
73. Veterans Health Administration-Organization and
Functions .................................................................. 7301
74. Veterans Health Administration-Personnel .............. 7401
76. Health Professionals Educational Assistance Pro-
gram .......................................................................... 7601
77. Veterans Benefits Administration ............................. 7701
78. Veterans’ Canteen Service .......................................... 7801
813
CHAPTER 71—BOARD OF VETERANS’ APPEALS
Sec.
7101. Composition of Board of Veterans’ Appeals.
7101A. Members of Board: appointment; pay; performance review.
7102. Assignment of members of Board.
7103. Reconsideration; correction of obvious errors.
7104. Jurisdiction of the Board.
7105. Filing of notice of disagreement and appeal.
7105A. Simultaneously contested claims.
7106. Administrative appeals.
7107. Appeals: dockets; hearings.
7108. Rejection of applications.
[7110. Repealed.]
7111. Revision of decisions on grounds of clear and unmistakable error.
7112. Expedited treatment of remanded claims.
§ 7101. Composition of Board of Veterans’ Appeals
(a) There is in the Department a Board of Veterans’ Appeals
(hereinafter in this chapter referred to as the ‘‘Board’’). The Board
is under the administrative control and supervision of a chairman
directly responsible to the Secretary. The Board shall consist of a
Chairman, a Vice Chairman, and such number of members as may
be found necessary in order to conduct hearings and dispose of ap-
peals properly before the Board in a timely manner. The Board
shall have such other professional, administrative, clerical, and
stenographic personnel as are necessary in conducting hearings
and considering and disposing of appeals properly before the Board.
The Board shall have sufficient personnel under the preceding sen-
tence to enable the Board to conduct hearings and consider and
dispose of appeals properly before the Board in a timely manner.
(b)(1) The Chairman shall be appointed by the President, by
and with the advice and consent of the Senate, for a term of six
years. The Chairman shall be subject to the same ethical and legal
limitations and restrictions concerning involvement in political ac-
tivities as apply to judges of the United States Court of Appeals for
Veterans Claims.
(2) The Chairman may be removed by the President for mis-
conduct, inefficiency, neglect of duty, or engaging in the practice of
law or for physical or mental disability which, in the opinion of the
President, prevents the proper execution of the Chairman’s duties.
The Chairman may not be removed from office by the President on
any other grounds. Any such removal may only be made after no-
tice and opportunity for hearing.
(3) The Chairman may be appointed under this subsection to
more than one term. If, upon the expiration of the term of office
for which the Chairman was appointed, the position of Chairman
would become vacant, the individual serving as Chairman may,
with the approval of the Secretary, continue to serve as Chairman
until either appointed to another term or a successor is appointed,
815
Sec. 7101 CH. 71—BOARD OF VETERANS’ APPEALS 816
but not beyond the end of the Congress during which the term of
office expired.
(4) The Secretary shall designate one member of the Board as
Vice Chairman. The Vice Chairman shall perform such functions as
the Chairman may specify. Such member shall serve as Vice Chair-
man at the pleasure of the Secretary.
(c)(1)(A) The Chairman may from time to time designate one
or more employees of the Department to serve as acting members
of the Board. Except as provided in subparagraph (B), any such
designation shall be for a period not to exceed 90 days, as deter-
mined by the Chairman.
(B) An individual designated as an acting member of the Board
may continue to serve as an acting member of the Board in the
making of any determination on a proceeding for which the indi-
vidual was designated as an acting member of the Board, notwith-
standing the termination of the period of designation of the indi-
vidual as an acting member of the Board under subparagraph (A)
or (C).
(C) An individual may not serve as an acting member of the
Board for more than 270 days during any one-year period.
(D) At no time may the number of acting members exceed 20
percent of the total of the number of Board members and acting
Board members combined.
(2) In each annual report to the Congress under section 529 of
this title, the Secretary shall provide detailed descriptions of the
activities undertaken and plans made in the fiscal year for which
the report is made with respect to the authority provided by para-
graph (1) of this subsection. In each such report, the Secretary
shall indicate, in terms of full-time employee equivalents, the num-
ber of acting members of the Board designated under such para-
graph (1) during the year for which the report is made.
(d)(1) After the end of each fiscal year, the Chairman shall pre-
pare a report on the activities of the Board during that fiscal year
and the projected activities of the Board for the fiscal year during
which the report is prepared and the next fiscal year. Such report
shall be included in the documents providing detailed information
on the budget for the Department that the Secretary submits to the
Congress in conjunction with the President’s budget submission for
any fiscal year pursuant to section 1105 of title 31.
(2) Each such report shall include, with respect to the pre-
ceding fiscal year, information specifying—
(A) the number of cases appealed to the Board during that
year;
(B) the number of cases pending before the Board at the
beginning and at the end of that year;
(C) the number of such cases which were filed during each
of the 36 months preceding the current fiscal year;
(D) the average length of time a case was before the Board
between the time of the filing of an appeal and the disposition
during the preceding fiscal year;
(E) the number of members of the Board at the end of the
year and the number of professional, administrative, clerical,
stenographic, and other personnel employed by the Board at
the end of the preceding fiscal year; and
817 CH. 71—BOARD OF VETERANS’ APPEALS Sec. 7101A
(F) the number of employees of the Department designated

under subsection (c)(1) to serve as acting members of the Board
during that year and the number of cases in which each such
member participated during that year.
(3) The projections in each such report for the current fiscal
year and for the next fiscal year shall include (for each such
year)—
(A) an estimate of the number of cases to be appealed to
the Board; and
(B) an evaluation of the ability of the Board (based on ex-
isting and projected personnel levels) to ensure timely disposi-
tion of such appeals as required by section 7101(a) of this title.
(e) A performance incentive that is authorized by law for offi-
cers and employees of the Federal Government may be awarded to
a member of the Board (including an acting member) by reason of
that member’s service on the Board only if the Chairman of the
Board determines that such member should be awarded that incen-
tive. A determination by the Chairman for such purpose shall be
made taking into consideration the quality of performance of the
Board member.
Sec. 208(a)–(c), Mar. 2, 1984, 98 Stat. 43, 44; Pub. L. 100–687, div. A, title II, Sec.
201(a), 202(b), 208, 209, Nov. 18, 1988, 102 Stat. 4109, 4110, 4112; renumbered Sec.
Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(2), June 13, 1991, 105 Stat. 287; Pub. L.
102–83, Sec. 2(c)(3), 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 402, 404, 405;
Pub. L. 103–271, Sec. 2–5, July 1, 1994, 108 Stat. 740, 741; Pub. L. 103–446, title
II, Sec. 201(d), 203, Nov. 2, 1994, 108 Stat. 4657; Pub. L. 105–368, title V, Sec.
512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001,
115 Stat. 35.)
§ 7101A. Members of Board: appointment; pay; performance

review
(a)(1) The members of the Board of Veterans’ Appeals other
than the Chairman (and including the Vice Chairman) shall be ap-
pointed by the Secretary, with the approval of the President, based
upon recommendations of the Chairman.
(2) Each member of the Board shall be a member in good
standing of the bar of a State.
(b) Members of the Board (other than the Chairman and any
member of the Board who is a member of the Senior Executive
Service) shall, in accordance with regulations prescribed by the
Secretary, be paid basic pay at rates equivalent to the rates pay-
able under section 5372 of title 5.
(c)(1)(A) The Chairman shall establish a panel to review the
performance of members of the Board. The panel shall be com-
prised of the Chairman and two other members of the Board (other
than the Vice Chairman). The Chairman shall periodically rotate
membership on the panel so as to ensure that each member of the
Board (other than the Vice Chairman) serves as a member of the
panel for and within a reasonable period.
(B) Not less than one year after the job performance standards
under subsection (f) are initially established, and not less often
than once every three years thereafter, the performance review
panel shall determine, with respect to each member of the Board
Sec. 7101A CH. 71—BOARD OF VETERANS’ APPEALS 818
(other than the Chairman or a member who is a member of the

Senior Executive Service), whether that member’s job performance
as a member of the Board meets the performance standards for a
member of the Board established under subsection (f). Each such
determination shall be in writing.
(2) If the determination of the performance review panel in any
case is that the member’s job performance as a member of the
Board meets the performance standards for a member of the Board
established under subsection (f), the Chairman shall recertify the
member’s appointment as a member of the Board.
(3) If the determination of the performance review panel in any
case is that the member’s job performance does not meet the per-
formance standards for a member of the Board established under
subsection (f), the Chairman shall, based upon the individual cir-
cumstances, either—
(A) grant the member a conditional recertification; or
(B) recommend to the Secretary that the member be non-
certified.
(4) In the case of a member of the Board who is granted a con-
ditional recertification under paragraph (3)(A) or (5)(A), the per-
formance review panel shall review the member’s job performance
record and make a further determination under paragraph (1) con-
cerning that member not later than one year after the date of the
conditional recertification. If the determination of the performance
review panel at that time is that the member’s job performance as
a member of the Board still does not meet the performance stand-
ards for a member of the Board established under subsection (f),
the Chairman shall recommend to the Secretary that the member
be noncertified.
(5) In a case in which the Chairman recommends to the Sec-
retary under paragraph (3) or (4) that a member be noncertified,
the Secretary, after considering the recommendation of the Chair-
man, may either—
(A) grant the member a conditional recertification; or
(B) determine that the member should be noncertified.
(d)(1) If the Secretary, based upon the recommendation of the
Chairman, determines that a member of the Board should be non-
certified, that member’s appointment as a member of the Board
shall be terminated and that member shall be removed from the
Board.
(2)(A) Upon removal from the Board under paragraph (1) of a
member of the Board who before appointment to the Board served
as an attorney in the civil service, the Secretary shall appoint that
member to an attorney position at the Board, if the removed mem-
ber so requests. If the removed member served in an attorney posi-
tion at the Board immediately before appointment to the Board, ap-
pointment to an attorney position under this paragraph shall be in
the grade and step held by the removed member immediately be-
fore such appointment to the Board.
(B) The Secretary is not required to make an appointment to
an attorney position under this paragraph if the Secretary deter-
mines that the member of the Board removed under paragraph (1)
is not qualified for the position.
819 CH. 71—BOARD OF VETERANS’ APPEALS Sec. 7103
(e)(1) A member of the Board (other than the Chairman or a

member of the Senior Executive Service) may be removed as a
member of the Board by reason of job performance only as provided
in subsections (c) and (d). Such a member may be removed by the
Secretary, upon the recommendation of the Chairman, for any
other reason as determined by the Secretary.
(2) In the case of a removal of a member under this section for
a reason other than job performance that would be covered by sec-
tion 7521 of title 5 in the case of an administrative law judge, the
removal of the member of the Board shall be carried out subject to
the same requirements as apply to removal of an administrative
law judge under that section. Section 554(a)(2) of title 5 shall not
apply to a removal action under this subsection. In such a removal
action, a member shall have the rights set out in section 7513(b)
of that title.
(f) The Chairman, subject to the approval of the Secretary,
shall establish standards for the performance of the job of a mem-
ber of the Board (other than the Chairman or a member of the Sen-
ior Executive Service). Those standards shall establish objective
and fair criteria for evaluation of the job performance of a member
of the Board.
(g) The Secretary shall prescribe procedures for the adminis-
tration of this section, including deadlines and time schedules for
different actions under this section.
(Added Pub. L. 103–446, title II, Sec. 201(a)(1), Nov. 2, 1994, 108 Stat. 4655; amend-
ed Pub. L. 105–368, title X, Sec. 1002, Nov. 11, 1998, 112 Stat. 3363.)
§ 7102. Assignment of members of Board

(a) A proceeding instituted before the Board may be assigned
to an individual member of the Board or to a panel of not less than
three members of the Board. A member or panel assigned a pro-
ceeding shall make a determination thereon, including any motion
filed in connection therewith. The member or panel, as the case
may be, shall make a report under section 7104(d) of this title on
any such determination, which report shall constitute the final dis-
position of the proceeding by the member or panel.
(b) A proceeding may not be assigned to the Chairman as an
individual member. The Chairman may participate in a proceeding
assigned to a panel or in a reconsideration assigned to a panel of
members.
Sec. 208(c), (d), Mar. 2, 1984, 98 Stat. 44; renumbered Sec. 7102 and amended Pub.
L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L.
102–83, Sec. 4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404; Pub. L. 103–271, Sec. 6(a), July
1, 1994, 108 Stat. 741.)
§ 7103. Reconsideration; correction of obvious errors

(a) The decision of the Board determining a matter under sec-
tion 7102 of this title is final unless the Chairman orders reconsid-
eration of the decision in accordance with subsection (b). Such an
order may be made on the Chairman’s initiative or upon motion of
the claimant.
(b)(1) Upon the order of the Chairman for reconsideration of
the decision in a case, the case shall be referred—
(A) in the case of a matter originally heard by a single

member of the Board, to a panel of not less than three mem-
bers of the Board; or
(B) in the case of a matter originally heard by a panel of
members of the Board, to an enlarged panel of the Board.
(2) A panel referred to in paragraph (1) may not include the
member, or any member of the panel, that made the decision sub-
ject to reconsideration.
(3) A panel reconsidering a case under this subsection shall
render its decision after reviewing the entire record before the
Board. The decision of the panel shall be made by a majority vote
of the members of the panel. The decision of the panel shall con-
stitute the final decision of the Board.
(c) The Board on its own motion may correct an obvious error
in the record, without regard to whether there has been a motion
or order for reconsideration.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1241, Sec. 4003; Pub. L. 100–687, div. A,
title II, Sec. 202(a), Nov. 18, 1988, 102 Stat. 4110; renumbered Sec. 7103, Pub. L.
102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 103–271, Sec.
6(a), July 1, 1994, 108 Stat. 741.)
§ 7104. Jurisdiction of the Board

(a) All questions in a matter which under section 511(a) of this
title is subject to decision by the Secretary shall be subject to one
review on appeal to the Secretary. Final decisions on such appeals
shall be made by the Board. Decisions of the Board shall be based
on the entire record in the proceeding and upon consideration of all
evidence and material of record and applicable provisions of law
and regulation.
(b) Except as provided in section 5108 of this title, when a
claim is disallowed by the Board, the claim may not thereafter be
reopened and allowed and a claim based upon the same factual
basis may not be considered.
(c) The Board shall be bound in its decisions by the regulations
of the Department, instructions of the Secretary, and the precedent
opinions of the chief legal officer of the Department.
(d) Each decision of the Board shall include—
(1) a written statement of the Board’s findings and conclu-
sions, and the reasons or bases for those findings and conclu-
sions, on all material issues of fact and law presented on the
record; and
(2) an order granting appropriate relief or denying relief.
(e)(1) After reaching a decision on a case, the Board shall
promptly mail a copy of its written decision to the claimant at the
last known address of the claimant.
(2) If the claimant has an authorized representative, the Board
shall—
(A) mail a copy of its written decision to the authorized
representative at the last known address of the authorized rep-
resentative; or
(B) send a copy of its written decision to the authorized
representative by any means reasonably likely to provide the
authorized representative with a copy of the decision within
the same time a copy would be expected to reach the author-

ized representative if sent by first-class mail.
20, 1961, 75 Stat. 215; Pub. L. 100–687, div. A, title I, Sec. 101(b), title II, Sec.
203(a), 204, 205, Nov. 18, 1988, 102 Stat. 4106, 4110, 4111; renumbered Sec. 7104
238, 239; Pub. L. 102–54, Sec. 14(g)(2), June 13, 1991, 105 Stat. 288; Pub. L. 102–
83, Sec. 4(a)(3), (4), (b)(1), (2)(E), (c), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 103–
271, Sec. 7(b)(1), 8, July 1, 1994, 108 Stat. 743; Pub. L. 104–275, title V, Sec. 509,
Oct. 9, 1996, 110 Stat. 3344.)
§ 7105. Filing of notice of disagreement and appeal
(a) Appellate review will be initiated by a notice of disagree-
ment and completed by a substantive appeal after a statement of
the case is furnished as prescribed in this section. Each appellant
will be accorded hearing and representation rights pursuant to the
provisions of this chapter and regulations of the Secretary.
(b)(1) Except in the case of simultaneously contested claims,
notice of disagreement shall be filed within one year from the date
of mailing of notice of the result of initial review or determination.
Such notice, and appeals, must be in writing and be filed with the
activity which entered the determination with which disagreement
is expressed (hereinafter referred to as the ‘‘agency of original juris-
diction’’). A notice of disagreement postmarked before the expira-
tion of the one-year period will be accepted as timely filed.
(2) Notices of disagreement, and appeals, must be in writing
and may be filed by the claimant, the claimant’s legal guardian, or
such accredited representative, attorney, or authorized agent as
may be selected by the claimant or legal guardian. Not more than
one recognized organization, attorney, or agent will be recognized
at any one time in the prosecution of a claim.
(c) If no notice of disagreement is filed in accordance with this
chapter within the prescribed period, the action or determination
shall become final and the claim will not thereafter be reopened or
allowed, except as may otherwise be provided by regulations not in-
consistent with this title.
(d)(1) Where the claimant, or the claimant’s representative,
within the time specified in this chapter, files a notice of disagree-
ment with the decision of the agency of original jurisdiction, such
agency will take such development or review action as it deems
proper under the provisions of regulations not inconsistent with
this title. If such action does not resolve the disagreement either
by granting the benefit sought or through withdrawal of the notice
of disagreement, such agency shall prepare a statement of the case.
A statement of the case shall include the following:
(A) A summary of the evidence in the case pertinent to the
issue or issues with which disagreement has been expressed.
(B) A citation to pertinent laws and regulations and a dis-
cussion of how such laws and regulations affect the agency’s
decision.
(C) The decision on each issue and a summary of the rea-
sons for such decision.
(2) A statement of the case, as required by this subsection, will
not disclose matters that would be contrary to section 5701 of this
title or otherwise contrary to the public interest. Such matters may
Sec. 7105A CH. 71—BOARD OF VETERANS’ APPEALS 822
be disclosed to a designated representative unless the relationship

between the claimant and the representative is such that disclo-
sure to the representative would be as harmful as if made to the
claimant.
(3) Copies of the ‘‘statement of the case’’ prescribed in para-
graph (1) of this subsection will be submitted to the claimant and
to the claimant’s representative, if there is one. The claimant will
be afforded a period of sixty days from the date the statement of
the case is mailed to file the formal appeal. This may be extended
for a reasonable period on request for good cause shown. The ap-
peal should set out specific allegations of error of fact or law, such
allegations related to specific items in the statement of the case.
The benefits sought on appeal must be clearly identified. The agen-
cy of original jurisdiction may close the case for failure to respond
after receipt of the statement of the case, but questions as to time-
liness or adequacy of response shall be determined by the Board of
Veterans’ Appeals.
(4) The claimant in any case may not be presumed to agree
with any statement of fact contained in the statement of the case
to which the claimant does not specifically express agreement.
(5) The Board of Veterans’ Appeals may dismiss any appeal
which fails to allege specific error of fact or law in the determina-
tion being appealed.
687, div. A, title II, Sec. 203(b), 206, Nov. 18, 1988, 102 Stat. 4111; renumbered Sec.
Stat. 238, 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405;
Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35.)
§ 7105A. Simultaneously contested claims

(a) In simultaneously contested claims where one is allowed
and one rejected, the time allowed for the filing of a notice of dis-
agreement shall be sixty days from the date notice of the adverse
action is mailed. In such cases the agency of original jurisdiction
shall promptly notify all parties in interest at the last known ad-
dress of the action taken, expressly inviting attention to the fact
that notice of disagreement will not be entertained unless filed
within the sixty-day period prescribed by this subsection.
(b) Upon the filing of a notice of disagreement, all parties in
interest will be furnished with a statement of the case in the same
manner as is prescribed in section 7105. The party in interest who
filed a notice of disagreement will be allowed thirty days from the
date of mailing of such statement of the case in which to file a for-
mal appeal. Extension of time may be granted for good cause
shown but with consideration to the interests of the other parties
involved. The substance of the appeal will be communicated to the
other party or parties in interest and a period of thirty days will
be allowed for filing a brief or argument in answer thereto. Such
notice shall be forwarded to the last known address of record of the
parties concerned, and such action shall constitute sufficient evi-
dence of notice.
(Added Pub. L. 87–666, Sec. 1, Sept. 19, 1962, 76 Stat. 554, Sec. 4005A; renumbered
Sec. 7105A and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991,
105 Stat. 238, 239.)
§ 7106. Administrative appeals

Application for review on appeal may be made within the one-
year period prescribed in section 7105 of this title by such officials
of the Department as may be designated by the Secretary. An ap-
plication entered under this paragraph shall not operate to deprive
the claimant of the right of review on appeal as provided in this
chapter.
Sec. 7106 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991,
105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 404, 405.)
§ 7107. Appeals: dockets; hearings
(a)(1) Except as provided in paragraphs (2) and (3) and in sub-
section (f), each case received pursuant to application for review on
appeal shall be considered and decided in regular order according
to its place upon the docket.
(2) A case referred to in paragraph (1) may, for cause shown,
be advanced on motion for earlier consideration and determination.
Any such motion shall set forth succinctly the grounds upon which
the motion is based. Such a motion may be granted only—
(A) if the case involves interpretation of law of general ap-
plication affecting other claims;
(B) if the appellant is seriously ill or is under severe finan-
cial hardship; or
(C) for other sufficient cause shown.
(3) A case referred to in paragraph (1) may be postponed for
later consideration and determination if such postponement is nec-
essary to afford the appellant a hearing.
(b) The Board shall decide any appeal only after affording the
appellant an opportunity for a hearing.
(c) A hearing docket shall be maintained and formal recorded
hearings shall be held by such member or members of the Board
as the Chairman may designate. Such member or members des-
ignated by the Chairman to conduct the hearing shall, except in
the case of a reconsideration of a decision under section 7103 of
this title, participate in making the final determination of the
claim.
(d)(1) An appellant may request that a hearing before the
Board be held at its principal location or at a facility of the Depart-
ment located within the area served by a regional office of the De-
partment.
(2) A hearing to be held within an area served by a regional
office of the Department shall (except as provided in paragraph (3))
be scheduled to be held in accordance with the place of the case on
the docket under subsection (a) relative to other cases on the dock-
et for which hearings are scheduled to be held within that area.
(3) A hearing to be held within an area served by a regional
office of the Department may, for cause shown, be advanced on mo-
tion for an earlier hearing. Any such motion shall set forth suc-
cinctly the grounds upon which the motion is based. Such a motion
may be granted only—
(A) if the case involves interpretation of law of general ap-
plication affecting other claims;
(B) if the appellant is seriously ill or is under severe finan-

cial hardship; or
(C) for other sufficient cause shown.
(e)(1) At the request of the Chairman, the Secretary may pro-
vide suitable facilities and equipment to the Board or other compo-
nents of the Department to enable an appellant located at a facility
within the area served by a regional office to participate, through
voice transmission or through picture and voice transmission, by
electronic or other means, in a hearing with a Board member or
members sitting at the Board’s principal location.
(2) When such facilities and equipment are available, the
Chairman may afford the appellant an opportunity to participate
in a hearing before the Board through the use of such facilities and
equipment in lieu of a hearing held by personally appearing before
a Board member or panel as provided in subsection (d). Any such
hearing shall be conducted in the same manner as, and shall be
considered the equivalent of, a personal hearing. If the appellant
declines to participate in a hearing through the use of such facili-
ties and equipment, the opportunity of the appellant to a hearing
as provided in such subsection (d) shall not be affected.
(f) Nothing in this section shall preclude the screening of cases
for purposes of—
(1) determining the adequacy of the record for decisional
purposes; or
(2) the development, or attempted development, of a record
found to be inadequate for decisional purposes.
L. 87–666, Sec. 1, Sept. 19, 1962, 76 Stat. 553; renumbered Sec. 7107, Pub. L. 102–
40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 103–271, Sec. 7(a)(1),
July 1, 1994, 108 Stat. 742; Pub. L. 103–446, title III, Sec. 303, Nov. 2, 1994, 108
Stat. 4658; Pub. L. 105–368, title X, Sec. 1003, Nov. 11, 1998, 112 Stat. 3363.)
§ 7108. Rejection of applications

An application for review on appeal shall not be entertained
unless it is in conformity with this chapter.
L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238.)
§ 7109. Independent medical opinions

(a) When, in the judgment of the Board, expert medical opin-
ion, in addition to that available within the Department, is war-
ranted by the medical complexity or controversy involved in an ap-
peal case, the Board may secure an advisory medical opinion from
one or more independent medical experts who are not employees of
the Department.
(b) The Secretary shall make necessary arrangements with rec-
ognized medical schools, universities, or clinics to furnish such ad-
visory medical opinions at the request of the Chairman of the
Board. Any such arrangement shall provide that the actual selec-
tion of the expert or experts to give the advisory opinion in an indi-
vidual case shall be made by an appropriate official of such institu-
tion.
(c) The Board shall furnish a claimant with notice that an ad-
visory medical opinion has been requested under this section with
respect to the claimant’s case and shall furnish the claimant with
a copy of such opinion when it is received by the Board.
Pub. L. 100–687, div. A, title I, Sec. 103(b), Nov. 18, 1988, 102 Stat. 4107; renum-
bered Sec. 7109, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238;
Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
ø§ 7110. Repealed. Pub. L. 103–271, Sec. 7(b)(2), July 1, 1994,
108 Stat. 743¿
§ 7111. Revision of decisions on grounds of clear and unmis-
takable error
(a) A decision by the Board is subject to revision on the
grounds of clear and unmistakable error. If evidence establishes
the error, the prior decision shall be reversed or revised.
(b) For the purposes of authorizing benefits, a rating or other
adjudicative decision of the Board that constitutes a reversal or re-
vision of a prior decision of the Board on the grounds of clear and
unmistakable error has the same effect as if the decision had been
made on the date of the prior decision.
(c) Review to determine whether clear and unmistakable error
exists in a case may be instituted by the Board on the Board’s own
motion or upon request of the claimant.
(d) A request for revision of a decision of the Board based on
clear and unmistakable error may be made at any time after that
decision is made.
(e) Such a request shall be submitted directly to the Board and
shall be decided by the Board on the merits, without referral to any
adjudicative or hearing official acting on behalf of the Secretary.
(f) A claim filed with the Secretary that requests reversal or
revision of a previous Board decision due to clear and unmistakable
error shall be considered to be a request to the Board under this
section, and the Secretary shall promptly transmit any such re-
quest to the Board for its consideration under this section.
(Added Pub. L. 105–111, Sec. 1(b)(1), Nov. 21, 1997, 111 Stat. 2271.)
§ 7112. Expedited treatment of remanded claims

The Secretary shall take such actions as may be necessary to
provide for the expeditious treatment by the Board of any claim
that is remanded to the Secretary by the Court of Appeals for Vet-
erans Claims.
(Added Pub. L. 108–183, title VII, Sec. 707(b)(1), Dec. 16, 2003, 117 Stat. 2673.)
827
øPART V—BOARDS, ADMINISTRATIONS, AND SERVICES¿
CHAPTER 72—UNITED STATES COURT OF APPEALS FOR
VETERANS CLAIMS
Sec.
7251. Status.
7252. Jurisdiction; finality of decisions.
7253. Composition.
7254. Organization.
7255. Offices.
7256. Times and places of sessions.
7257. Recall of retired judges.
7261. Scope of review.
7262. Fee for filing appeals.
7263. Representation of parties; fee agreements.
7264. Rules of practice and procedure.
7265. Contempt authority; assistance to the Court.
7266. Notice of appeal.
7267. Decisions.
7268. Availability of proceedings.
7269. Publication of decisions.
7281. Employees.
7282. Budget and expenditures.
7283. Disposition of fees.
7284. Fee for transcript of record.
7285. Practice and registration fees.
7286. Judicial Conference of the Court.
7291. Date when Court decision becomes final.
7292. Review by United States Court of Appeals for the Federal Circuit.
SUBCHAPTER V—RETIREMENT AND SURVIVORS ANNUITIES
7296. Retirement of judges.
7297. Survivor annuities.
7298. Retirement Fund.
7299. Limitation on activities of retired judges.

§ 7251. Status
There is hereby established, under Article I of the Constitution
of the United States, a court of record to be known as the United
States Court of Appeals for Veterans Claims.
829
Sec. 7252 CH. 72—U.S. COURT OF APPEALS FOR VETERANS CLAIMS 830
(Added Pub. L. 100–687, div. A, title III, Sec. 301(a), Nov. 18, 1988, 102 Stat. 4113,
1991, 105 Stat. 238; Pub. L. 105–368, title V, Sec. 511(b), Nov. 11, 1998, 112 Stat.
3341.)
§ 7252. Jurisdiction; finality of decisions

(a) The Court of Appeals for Veterans Claims shall have exclu-
sive jurisdiction to review decisions of the Board of Veterans’ Ap-
peals. The Secretary may not seek review of any such decision. The
Court shall have power to affirm, modify, or reverse a decision of
the Board or to remand the matter, as appropriate.
(b) Review in the Court shall be on the record of proceedings
before the Secretary and the Board. The extent of the review shall
be limited to the scope provided in section 7261 of this title. The
Court may not review the schedule of ratings for disabilities adopt-
ed under section 1155 of this title or any action of the Secretary
in adopting or revising that schedule.
(c) Decisions by the Court are subject to review as provided in
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(3), June
13, 1991, 105 Stat. 287; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), 5(c)(1), Aug. 6, 1991,
105 Stat. 404–406; Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat.
3341.)
§ 7253. Composition
(a) COMPOSITION.—The Court of Appeals for Veterans Claims
is composed of at least three and not more than seven judges, one
of whom shall serve as chief judge in accordance with subsection
(d).
(b) APPOINTMENT.—The judges of the Court shall be appointed
by the President, by and with the advice and consent of the Senate,
solely on the grounds of fitness to perform the duties of the office.
A person may not be appointed to the Court who is not a member
in good standing of the bar of a Federal court or of the highest
court of a State. Not more than the number equal to the next whole
number greater than one-half of the number of judges of the Court
may be members of the same political party.
(c) TERM OF OFFICE.—The term of office of the judges of the
Court of Appeals for Veterans Claims shall be 15 years. A judge
who is nominated by the President for appointment to an addi-
tional term on the Court without a break in service and whose
term of office expires while that nomination is pending before the
Senate may continue in office for up to 1 year while that nomina-
tion is pending.
(d) CHIEF JUDGE.—(1) The chief judge of the Court is the head
of the Court. The chief judge of the Court shall be the judge of the
Court in regular active service who is senior in commission among
the judges of the Court who—
(A) have served for one or more years as judges of the
Court; and
(B) have not previously served as chief judge.
(2) In any case in which there is no judge of the Court in reg-
ular active service who has served as a judge of the Court for at
831 CH. 72—U.S. COURT OF APPEALS FOR VETERANS CLAIMS Sec. 7253
least one year, the judge of the court in regular active service who
is senior in commission and has not served previously as chief
judge shall act as the chief judge.
(3) Except as provided in paragraph (4), a judge of the Court
shall serve as the chief judge under paragraph (1) for a term of five
years or until the judge becomes age 70, whichever occurs first. If
no other judge is eligible under paragraph (1) to serve as chief
judge upon the expiration of that term, that judge shall continue
to serve as chief judge until another judge becomes eligible under
that paragraph to serve as chief judge.
(4)(A) The term of a chief judge shall be terminated before the
end of the term prescribed by paragraph (3) if—
(i) the chief judge leaves regular active service as a judge
of the Court;
(ii) the chief judge notifies the other judges of the Court
in writing that such judge desires to be relieved of the duties
of chief judge.
(B) The effective date of a termination of the term under sub-
paragraph (A) shall be the date on which the chief judge leaves
regular active service or the date of the notification under subpara-
graph (A)(ii), as the case may be.
(5) If a chief judge is temporarily unable to perform the duties
of chief judge, those duties shall be performed by the judge of the
Court in active service who is present, able and qualified to act,
and is next in precedence.
(6) Judges who have the same seniority in commission shall be
eligible for service as chief judge in accordance with their relative
precedence.
(e) SALARY.—Each judge of the Court shall receive a salary at
the same rate as is received by judges of the United States district
courts.
(f) REMOVAL.—(1) A judge of the Court may be removed from
office by the President on grounds of misconduct, neglect of duty,
or engaging in the practice of law. A judge of the Court may not
be removed from office by the President on any other ground.
(2) Before a judge may be removed from office under this sub-
section, the judge shall be provided with a full specification of the
reasons for the removal and an opportunity to be heard.
(g) RULES.—(1) The Court shall prescribe rules, consistent with
the provisions of chapter 16 of title 28, establishing procedures for
the filing of complaints with respect to the conduct of any judge of
the Court and for the investigation and resolution of such com-
plaints. In investigating and taking action with respect to any such
complaint, the Court shall have the powers granted to a judicial
council under such chapter.
(2) The provisions of sections 354(b) through 360 of title 28, re-
garding referral or certification to, and petition for review in, the
Judicial Conference of the United States and action thereon, shall
apply to the exercise by the Court of the powers of a judicial coun-
cil under paragraph (1) of this subsection. The grounds for removal
from office specified in subsection (f)(1) shall provide a basis for a
determination pursuant to section 354(b) or 355 of title 28, and cer-
tification and transmittal by the Conference shall be made to the
President for consideration under subsection (f).
(3)(A) In conducting hearings pursuant to paragraph (1), the

Court may exercise the authority provided under section 1821 of
title 28 to pay the fees and allowances described in that section.
(B) The Court shall have the power provided under section 361
of title 28 to award reimbursement for the reasonable expenses de-
scribed in that section. Reimbursements under this subparagraph
shall be made from funds appropriated to the Court.
(h) TEMPORARY EXPANSION OF COURT.—(1) During the period
from January 1, 2002, through August 15, 2005, the authorized
number of judges of the Court specified in subsection (a) is in-
creased by two.
(2)(A) Of the two additional judges authorized by this sub-
section—
(i) only one may be appointed pursuant to a nomination
made in 2002; and
(ii) only one may be appointed pursuant to a nomination
made in 2003.
(B) If a judge is not appointed under this subsection pursuant
to a nomination made in 2002, a judge may be appointed under
this subsection pursuant to a nomination made in 2004. If a judge
is not appointed under this subsection pursuant to a nomination
made in 2003, a judge may be appointed under this subsection pur-
suant to a nomination made in 2004. In either case, such an ap-
pointment may be made only pursuant to a nomination made be-
fore October 1, 2004.
(3) The term of office and the eligibility for retirement of a
judge appointed under this subsection, other than a judge described
in paragraph (4), are governed by the provisions of section 1012 of
the Court of Appeals for Veterans Claims Amendments of 1999
(title X of Public Law 106–117; 113 Stat. 1590; 38 U.S.C. 7296
note) if the judge is one of the first two judges appointed to the
Court after November 30, 1999.
(4) A judge of the Court as of December 27, 2001, who was ap-
pointed to the Court before January 1, 1991, may accept appoint-
ment as a judge of the Court under this subsection notwithstanding
that the term of office of the judge on the Court has not yet expired
under this section. The term of office of an incumbent judge who
receives an appointment as described in the preceding sentence
shall be 15 years, which includes any period remaining in the un-
expired term of the judge. Any service following an appointment
under this subsection shall be treated as though served as part of
the original term of office of that judge on the Court.
(5) Notwithstanding paragraph (1), an appointment may not be
made to the Court if the appointment would result in there being
more than seven judges on the Court who were appointed after
January 1, 1997. For the purposes of this paragraph, a judge serv-
ing in recall status under section 7257 of this title shall be dis-
regarded in counting the number of judges appointed to the Court
after such date.
(i) ADDITIONAL TEMPORARY EXPANSION OF COURT.—(1) Subject
to paragraph (2), effective as of December 31, 2009, the authorized
number of judges of the Court specified in subsection (a) is in-
creased by two.
(2) Effective as of January 1, 2013, an appointment may not

be made to the Court if the appointment would result in there
being more judges of the Court than the authorized number of
judges of the Court specified in subsection (a).
Sec. 4053; amended Pub. L. 101–94, title I, Sec. 102(c), Aug. 16, 1989, 103 Stat. 626;
renumbered Sec. 7253, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105
Stat. 238; Pub. L. 102–82, Sec. 3, Aug. 6, 1991, 105 Stat. 375; Pub. L. 102–585, title
VIII, Sec. 801, Nov. 4, 1992, 106 Stat. 4980; Pub. L. 105–368, title V, Secs. 501,
512(a)(1), Nov. 11, 1998, 112 Stat. 3340, 3341; Pub. L. 106–117, title X, Secs. 1031,
1032(a), 1033, Nov. 30, 1999, 113 Stat. 1594, 1595; Pub. L. 107–103, title VI, Sec.
601, Dec. 27, 2001, 115 Stat. 998; Pub. L. 107–273, div. C, title I, Sec. 11043(f), Nov.
2, 2002, 116 Stat. 1856; Pub. L. 108–454, title VIII, Sec. 802, Dec. 10, 2004, 118
Stat. 3625; Pub. L. 109–233, title V, Sec. 503(15), June 15, 2006, 120 Stat. 417; Pub.
L. 110–389, title VI, Sec. 601, Oct. 10, 2008, 122 Stat. 4176.)
§ 7254. Organization
(a) The Court of Appeals for Veterans Claims shall have a seal
which shall be judicially noticed.
(b) The Court may hear cases by judges sitting alone or in pan-
els, as determined pursuant to procedures established by the
Court. Any such panel shall have not less than three judges. The
Court shall establish procedures for the assignment of the judges
of the Court to such panels and for the designation of the chief of
each such panel.
(c)(1) A majority of the judges of the Court shall constitute a
quorum for the transaction of the business of the Court. A vacancy
in the Court shall not impair the powers or affect the duties of the
Court or of the remaining judges of the Court.
(2) A majority of the judges of a panel of the Court shall con-
stitute a quorum for the transaction of the business of the panel.
A vacancy in a panel of the Court shall not impair the powers or
affect the duties of the panel or of the remaining judges of the
panel.
(d) PRECEDENCE OF JUDGES.—The chief judge of the Court
shall have precedence and preside at any session that the chief
judge attends. The other judges shall have precedence and preside
according to the seniority of their original commissions. Judges
whose commissions bear the same date shall have precedence ac-
cording to seniority in age.
(e) Judges of the Court shall have the authority to administer
oaths.
Sec. 4054; amended Pub. L. 101–94, title IV, Sec. 402, Aug. 16, 1989, 103 Stat. 628;
Pub. L. 101–237, title VI, Sec. 602(b), Dec. 18, 1989, 103 Stat. 2095; renumbered
Sec. 7254, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub.
L. 102–54, Sec. 14(e)(4), June 13, 1991, 105 Stat. 287; Pub. L. 102–82, Sec. 8(3),
Aug. 6, 1991, 105 Stat. 377; Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998,
112 Stat. 3341; Pub. L. 106–117, title X, Sec. 1034, Nov. 30, 1999, 113 Stat. 1595.)
§ 7255. Offices
The principal office of the Court of Appeals for Veterans
Claims shall be in the Washington, D.C., metropolitan area, but
the Court may sit at any place within the United States.
1991, 105 Stat. 238; amended Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998,
112 Stat. 3341; Pub. L. 108–454, title VIII, Sec. 801, Dec. 10, 2004, 118 Stat. 3625.)
§ 7256. Times and places of sessions
The times and places of sessions of the Court of Appeals for
Veterans Claims shall be prescribed by the chief judge.
112 Stat. 3341.)
§ 7257. Recall of retired judges
(a)(1) A retired judge of the Court may be recalled for further
service on the Court in accordance with this section. To be eligible
to be recalled for such service, a retired judge must at the time of
the judge’s retirement provide to the chief judge of the Court (or,
in the case of the chief judge, to the clerk of the Court) notice in
writing that the retired judge is available for further service on the
Court in accordance with this section and is willing to be recalled
under this section. Such a notice provided by a retired judge to
whom section 7296(c)(1)(B) of this title applies is irrevocable.
(2) For the purposes of this section—
(A) a retired judge is a judge of the Court of Appeals for
Veterans Claims who retires from the Court under section
7296 of this title or under chapter 83 or 84 of title 5; and
(B) a recall-eligible retired judge is a retired judge who has
provided a notice under paragraph (1).
(b)(1) The chief judge may recall for further service on the
Court a recall-eligible retired judge in accordance with this section.
Such a recall shall be made upon written certification by the chief
judge that substantial service is expected to be performed by the
retired judge for such period, not to exceed 90 days (or the equiva-
lent), as determined by the chief judge to be necessary to meet the
needs of the Court.
(2) A recall-eligible retired judge may not be recalled for more
than 90 days (or the equivalent) during any calendar year without
the judge’s consent.
(3) If a recall-eligible retired judge is recalled by the chief
judge in accordance with this section and (other than in the case
of a judge who has previously during that calendar year served at
least 90 days (or the equivalent) of recalled service on the court)
declines (other than by reason of disability) to perform the service
to which recalled, the chief judge shall remove that retired judge
from the status of a recall-eligible judge. This paragraph shall not
apply to a judge to whom section 7296(c)(1)(A) or 7296(c)(1)(B) of
this title applies and who has, in the aggregate, served at least five
years of recalled service on the Court under this section.
(4) A recall-eligible retired judge who becomes permanently
disabled and as a result of that disability is unable to perform fur-
ther service on the Court shall be removed from the status of a re-
call-eligible judge. Determination of such a disability shall be made
pursuant to section 7253(g) or 7296(g) of this title.
(c) A retired judge who is recalled under this section may exer-
cise all of the judicial powers and duties of the office of a judge in
active service.
(d)(1) The pay of a recall-eligible retired judge to whom section

7296(c)(1)(B) of this title applies is the pay specified in that section.
(2) A judge who is recalled under this section who retired
under chapter 83 or 84 of title 5 or to whom section 7296(c)(1)(A)
of this title applies shall be paid, during the period for which the
judge serves in recall status, pay at the rate of pay in effect under
section 7253(e) of this title for a judge performing active service,
less the amount of the judge’s annuity under the applicable provi-
sions of chapter 83 or 84 of title 5 or the judge’s annuity under sec-
tion 7296(c)(1)(A) of this title, whichever is applicable.
(e)(1) Except as provided in subsection (d), a judge who is re-
called under this section who retired under chapter 83 or 84 of title
5 shall be considered to be a reemployed annuitant under that
chapter.
(2) Nothing in this section affects the right of a judge who re-
tired under chapter 83 or 84 of title 5 to serve as a reemployed an-
nuitant in accordance with the provisions of title 5.
(Added Pub. L. 106–117, title X, Sec. 1021(a), Nov. 30, 1999, 113 Stat. 1590; amend-
ed Pub. L. 110–389, title VI, Secs. 603(a), (b)(3), (4), (c), Oct. 10, 2008, 122 Stat.
4177, 4178.)
§ 7261. Scope of review
(a) In any action brought under this chapter, the Court of Ap-
peals for Veterans Claims, to the extent necessary to its decision
and when presented, shall—
(1) decide all relevant questions of law, interpret constitu-
tional, statutory, and regulatory provisions, and determine the
meaning or applicability of the terms of an action of the Sec-
retary;
(2) compel action of the Secretary unlawfully withheld or
unreasonably delayed;
(3) hold unlawful and set aside decisions, findings (other
than those described in clause (4) of this subsection), conclu-
sions, rules, and regulations issued or adopted by the Sec-
retary, the Board of Veterans’ Appeals, or the Chairman of the
Board found to be—
(A) arbitrary, capricious, an abuse of discretion, or oth-
erwise not in accordance with law;
(B) contrary to constitutional right, power, privilege,
or immunity;
(C) in excess of statutory jurisdiction, authority, or
limitations, or in violation of a statutory right; or
(D) without observance of procedure required by law;
and
(4) in the case of a finding of material fact adverse to the
claimant made in reaching a decision in a case before the De-
partment with respect to benefits under laws administered by
the Secretary, hold unlawful and set aside or reverse such find-
ing if the finding is clearly erroneous.
(b) In making the determinations under subsection (a), the
Court shall review the record of proceedings before the Secretary
and the Board of Veterans’ Appeals pursuant to section 7252(b) of

this title and shall—
(1) take due account of the Secretary’s application of sec-
tion 5107(b) of this title; and
(2) take due account of the rule of prejudicial error.
(c) In no event shall findings of fact made by the Secretary or
the Board of Veterans’ Appeals be subject to trial de novo by the
Court.
(d) When a final decision of the Board of Veterans’ Appeals is
adverse to a party and the sole stated basis for such decision is the
failure of the party to comply with any applicable regulation pre-
scribed by the Secretary, the Court shall review only questions
raised as to compliance with and the validity of the regulation.
Sec. 4061; amended Pub. L. 101–237, title VI, Sec. 602(c), Dec. 18, 1989, 103 Stat.
105 Stat. 238; Pub. L. 102–54, Sec. 14(e)(3), June 13, 1991, 105 Stat. 287; Pub. L.
102–83, Sec. 4(a)(1), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L.
105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 107–330, title
IV, Sec. 401(a), (b), Dec. 6, 2002, 116 Stat. 2832.)
§ 7262. Fee for filing appeals

(a) The Court of Appeals for Veterans Claims may impose a fee
of not more than $50 for the filing of any appeal with the Court.
The Court shall establish procedures under which such a fee may
be waived in the case of an appeal filed by or on behalf of a person
who demonstrates that the requirement that such fee be paid will
impose a hardship on that person. A decision as to such a waiver
is final and may not be reviewed in any other court.
(b) The Court may from time to time adjust the maximum
amount permitted for a fee imposed under subsection (a) of this
section based upon inflation and similar fees charged by other
courts established under Article I of the Constitution.
112 Stat. 3341.)
§ 7263. Representation of parties; fee agreements

(a) The Secretary shall be represented before the Court of Ap-
peals for Veterans Claims by the General Counsel of the Depart-
ment.
(b) Representation of appellants shall be in accordance with
the rules of practice prescribed by the Court under section 7264 of
this title. In addition to members of the bar admitted to practice
before the Court in accordance with such rules of practice, the
Court may allow other persons to practice before the Court who
meet standards of proficiency prescribed in such rules of practice.
(c) A person who represents an appellant before the Court
shall file a copy of any fee agreement between the appellant and
that person with the Court at the time the appeal is filed. The
Court, on its own motion or the motion of any party, may review
such a fee agreement.
(d) In reviewing a fee agreement under subsection (c) of this
section or under section 5904(c)(2) of this title, the Court may af-
firm the finding or order of the Board and may order a reduction
in the fee called for in the agreement if it finds that the fee is ex-
cessive or unreasonable. An order of the Court under this sub-
section is final and may not be reviewed in any other court.
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 105–368, title V, Sec.
512(a)(1), Nov. 11, 1998, 112 Stat. 3341.)
§ 7264. Rules of practice and procedure

(a) The proceedings of the Court of Appeals for Veterans
Claims shall be conducted in accordance with such rules of practice
and procedure as the Court prescribes.
(b) The mailing of a pleading, decision, order, notice, or process
in respect of proceedings before the Court shall be held sufficient
service of such pleading, decision, order, notice, or process if it is
properly addressed to the address furnished by the appellant on
the notice of appeal filed under section 7266 of this title.
(c) Section 455 of title 28 shall apply to judges and proceedings
of the Court.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–82, Sec. 4, Aug. 6,
1991, 105 Stat. 376; Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat.
3341.)
§ 7265. Contempt authority; assistance to the Court

(a) The Court shall have power to punish by fine or imprison-
ment such contempt of its authority as—
(1) misbehavior of any person in its presence or so near
thereto as to obstruct the administration of justice;
(2) misbehavior of any of its officers in their official trans-
actions; or
(3) disobedience or resistance to its lawful writ, process,
order, rule, decree, or command.
(b) The Court shall have such assistance in the carrying out of
its lawful writ, process, order, rule, decree, or command as is avail-
able to a court of the United States. The United States marshal for
a district in which the Court is sitting shall, if requested by the
chief judge of the Court, attend any session of the Court in that
district.
1991, 105 Stat. 238.)
§ 7266. Notice of appeal

(a) In order to obtain review by the Court of Veterans Appeals
of a final decision of the Board of Veterans’ Appeals, a person ad-
versely affected by such decision shall file a notice of appeal with
the Court within 120 days after the date on which notice of the de-
cision is mailed pursuant to section 7104(e) of this title.
(b) An appellant shall file a notice of appeal under this section
by delivering or mailing the notice to the Court.
(c) A notice of appeal shall be deemed to be received by the

Court as follows:
(1) On the date of receipt by the Court, if the notice is de-
livered.
(2) On the date of the United States Postal Service post-
mark stamped on the cover in which the notice is posted, if the
notice is properly addressed to the Court and is mailed.
(d) For a notice of appeal mailed to the Court to be deemed to
be received under subsection (c)(2) on a particular date, the United
States Postal Service postmark on the cover in which the notice is
posted must be legible. The Court shall determine the legibility of
any such postmark and the Court’s determination as to legibility
shall be final and not subject to review by any other Court.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 103–446, title V, Sec. 511(a), Nov. 2, 1994,
108 Stat. 4670; Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat.
3341; Pub. L. 107–103, title V, Sec. 507, Dec. 27, 2001, 115 Stat. 997.)
§ 7267. Decisions
(a) A decision upon a proceeding before the Court of Appeals
for Veterans Claims shall be made as quickly as practicable. In a
case heard by a panel of the Court, the decision shall be made by
a majority vote of the panel in accordance with the rules of the
Court. The decision of the judge or panel hearing the case so made
shall be the decision of the Court.
(b) A judge or panel shall make a determination upon any pro-
ceeding before the Court, and any motion in connection with such
a proceeding, that is assigned to the judge or panel. The judge or
panel shall make a report of any such determination which con-
stitutes the judge or panel’s final disposition of the proceeding.
(c) The Court shall designate in its decision in any case those
specific records of the Government on which it relied (if any) in
making its decision. The Secretary shall preserve records so des-
ignated for not less than the period of time designated by the Ar-
chivist of the United States.
1991, 105 Stat. 238; amended Pub. L. 102–82, Sec. 1, 8(1), Aug. 6, 1991, 105 Stat.
375, 377; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub.
L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341.)
§ 7268. Availability of proceedings

(a) Except as provided in subsection (b) of this section, all deci-
sions of the Court of Appeals for Veterans Claims and all briefs,
motions, documents, and exhibits received by the Court (including
a transcript of the stenographic report of the hearings) shall be
public records open to the inspection of the public.
(b)(1) The Court may make any provision which is necessary
to prevent the disclosure of confidential information, including a
provision that any such document or information be placed under
seal to be opened only as directed by the Court.
(2) After the decision of the Court in a proceeding becomes
final, the Court may, upon motion of the appellant or the Sec-
retary, permit the withdrawal by the party entitled thereto of origi-

nals of books, documents, and records, and of models, diagrams,
and other exhibits, submitted to the Court or the Court may, on
its own motion, make such other disposition thereof as it considers
advisable.
(c)(1) The Court shall prescribe rules, in accordance with sec-
tion 7264(a) of this title, to protect privacy and security concerns
relating to all filing of documents and the public availability under
this subsection of documents retained by the Court or filed elec-
tronically with the Court.
(2) The rules prescribed under paragraph (1) shall be con-
sistent to the extent practicable with rules addressing privacy and
security issues throughout the Federal courts.
(3) The rules prescribed under paragraph (1) shall take into
consideration best practices in Federal and State courts to protect
private information or otherwise maintain necessary information
security.
1991, 105 Stat. 238; amended Pub. L. 102–82, Sec. 8(2), Aug. 6, 1991, 105 Stat. 377;
Pub. L. 105–368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 110–
389, title VI, Sec. 602, Oct. 10, 2008, 122 Stat. 4177.)
§ 7269. Publication of decisions

(a) The Court of Appeals for Veterans Claims shall provide for
the publication of decisions of the Court in such form and manner
as may be best adapted for public information and use. The Court
may make such exceptions, or may authorize the chief judge to
make such exceptions, to the requirement for publication in the
preceding sentence as may be appropriate.
(b) Such authorized publication shall be competent evidence of
the decisions of the Court of Appeals for Veterans Claims therein
contained in all courts of the United States and of the several
States without any further proof or authentication thereof.
(c) Such publications shall be subject to sale in the same man-
ner and upon the same terms as other public documents.
112 Stat. 3341.)

§ 7281. Employees
(a) The Court of Appeals for Veterans Claims may appoint a
clerk without regard to the provisions of title 5 governing appoint-
ments in the competitive service. The clerk shall serve at the pleas-
ure of the Court.
(b) The judges of the Court may appoint law clerks and secre-
taries, in such numbers as the Court may approve, without regard
to the provisions of title 5 governing appointments in the competi-
tive service. Any such law clerk or secretary shall serve at the
pleasure of the appointing judge.
(c) The clerk, with the approval of the Court, may appoint nec-
essary deputies and employees without regard to the provisions of
title 5 governing appointments in the competitive service.
(d) The Court may fix and adjust the rates of basic pay for the
clerk and other employees of the Court without regard to the provi-
sions of chapter 51, subchapter III of chapter 53, or section 5373
of title 5. To the maximum extent feasible, the Court shall com-
pensate employees at rates consistent with those for employees
holding comparable positions in the judicial branch.
(e) In making appointments under subsections (a) through (c)
of this section, preference shall be given, among equally qualified
persons, to persons who are preference eligibles (as defined in sec-
tion 2108(3) of title 5).
(f) The Court may procure the services of experts and consult-
ants under section 3109 of title 5.
(g) The chief judge of the Court may exercise the authority of
the Court under this section whenever there are not at least two
other judges of the Court.
(h) The Court shall not be considered to be an agency within
the meaning of section 3132(a)(1) of title 5.
(i) The Court may accept and utilize voluntary services and un-
compensated (gratuitous) services, including services as authorized
by section 3102(b) of title 5 and may accept, hold, administer, and
utilize gifts and bequests of personal property for the purposes of
aiding or facilitating the work of the Court. Gifts or bequests of
money to the Court shall be covered into the Treasury.
Sec. 4081; amended Pub. L. 101–94, title II, Sec. 204(a), Aug. 16, 1989, 103 Stat.
105 Stat. 238; Pub. L. 102–82, Sec. 7, Aug. 6, 1991, 105 Stat. 377; Pub. L. 105–368,
title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 106–117, title X, Sec.
1035(1), Nov. 30, 1999, 113 Stat. 1595.)
§ 7282. Budget and expenditures

(a) The budget of the Court of Appeals for Veterans Claims as
submitted by the Court for inclusion in the budget of the President
for any fiscal year shall be included in that budget without review
within the executive branch.
(b) The Court may make such expenditures (including expendi-
tures for personal services and rent at the seat of Government and
elsewhere, and for law books, books of reference, and periodicals)
as may be necessary to execute efficiently the functions vested in
the Court.
(c) All expenditures of the Court shall be allowed and paid
upon presentation of itemized vouchers signed by the certifying of-
ficer designated by the chief judge. Except as provided in section
7285 of this title, all such expenditures shall be paid out of moneys
appropriated for purposes of the Court.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 105–368, title V, Sec.
512(a)(1), Nov. 11, 1998, 112 Stat. 3341.)
§ 7283. Disposition of fees

Except for amounts received pursuant to section 7285 of this
title, all fees received by the Court of Appeals for Veterans Claims
shall be covered into the Treasury as miscellaneous receipts.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 105–368, title V, Sec.
512(a)(1), Nov. 11, 1998, 112 Stat. 3341.)
§ 7284. Fee for transcript of record
The Court of Appeals for Veterans Claims may fix a fee, not
in excess of the fee authorized by law to be charged and collected
therefor by the clerks of the district courts, for comparing, or for
preparing and comparing, a transcript of the record of any pro-
ceeding before the Court, or for copying any record, entry, or other
paper and the comparison and certification thereof.
112 Stat. 3341.)
§ 7285. Practice and registration fees
(a) The Court of Appeals for Veterans Claims may impose a
reasonable periodic registration fee on persons admitted to practice
before the Court. The frequency and amount of such fee shall be
determined by the Court. The Court may also impose a reasonable
registration fee on persons (other than judges of the Court) partici-
pating at judicial conferences convened pursuant to section 7286 of
this title or in any other court-sponsored activity.
(b) Amounts received by the Court under subsection (a) of this
section shall be available to the Court for the following purposes:
(1) Conducting investigations and proceedings, including
employing independent counsel, to pursue disciplinary matters.
(2) Defraying the expenses of—
(A) judicial conferences convened pursuant to section
7286 of this title; and
(B) other activities and programs of the Court that are
intended to support and foster communication and rela-
tionships between the Court and persons practicing before
the Court or the study, understanding, public commemora-
tion, or improvement of veterans law or of the work of the
Court.
112 Stat. 3341; Pub. L. 107–103, title VI, Sec. 604(a)–(c)(1), Dec. 27, 2001, 115 Stat.
999; Pub. L. 110–389, title VI, Sec. 605, Oct. 10, 2008, 122 Stat. 4179.)
§ 7286. Judicial Conference of the Court

The Chief Judge of the Court of Appeals for Veterans Claims
may summon the judges of the Court to an annual judicial con-
ference, at a time and place that the Chief Judge designates, for
the purpose of considering the business of the Court and recom-
mending means of improving the administration of justice within
the Court’s jurisdiction. The Court shall provide by its rules for
representation and active participation at such conference by per-

sons admitted to practice before the Court and by other persons ac-
tive in the legal profession.
368, title V, Sec. 512(a)(1), (2)(A), Nov. 11, 1998, 112 Stat. 3341.)
Notwithstanding any other provision of law, the Court of Ap-
peals for Veterans Claims may exercise, for purposes of manage-
ment, administration, and expenditure of funds of the Court, the
authorities provided for such purposes by any provision of law (in-
cluding any limitation with respect to such provision of law) appli-
cable to a court of the United States (as that term is defined in sec-
tion 451 of title 28), except to the extent that such provision of law
is inconsistent with a provision of this chapter.
(Added Pub. L. 107–103, title VI, Sec. 605(a), Dec. 27, 2001, 115 Stat. 1000.)

(a) IN GENERAL.—The chief judge of the Court shall submit to
the appropriate committees of Congress each year a report summa-
rizing the workload of the Court for the fiscal year ending during
the preceding year.
(b) ELEMENTS.—Each report under subsection (a) shall include,
with respect to the fiscal year covered by such report, the following
information:
(1) The number of appeals filed with the Court.
(2) The number of petitions filed with the Court.
(3) The number of applications filed with the Court under
section 2412 of title 28.
(4) The total number of dispositions by each of the fol-
lowing:
(A) The Court as a whole.
(B) The Clerk of the Court.
(C) A single judge of the Court.
(D) A multi-judge panel of the Court.
(E) The full Court.
(5) The number of each type of disposition by the Court,
including settlement, affirmation, remand, vacation, dismissal,
reversal, grant, and denial.
(6) The median time from filing an appeal to disposition by
each of the following:
(A) The Court as a whole.
(B) The Clerk of the Court.
(C) A single judge of the Court.
(D) Multiple judges of the Court (including a multi-
judge panel of the Court or the full Court).
(7) The median time from filing a petition to disposition by
the Court.
(8) The median time from filing an application under sec-
tion 2412 of title 28 to disposition by the Court.
(9) The median time from the completion of briefing re-
quirements by the parties to disposition by the Court.
(10) The number of oral arguments before the Court.
(11) The number of cases appealed to the United States

Court of Appeals for the Federal Circuit.
(12) The number and status of appeals and petitions pend-
ing with the Court and of applications described in paragraph
(3) as of the end of such fiscal year.
(13) The number of cases pending with the Court more
than 18 months as of the end of such fiscal year.
(14) A summary of any service performed for the Court by
a recalled retired judge of the Court.
(15) An assessment of the workload of each judge of the
Court, including consideration of the following:
(A) The time required of each judge for disposition of
each type of case.
(B) The number of cases reviewed by the Court.
(C) The average workload of other Federal judges.
(c) APPROPRIATE COMMITTEES OF CONGRESS DEFINED.—In this
section, the term ‘‘appropriate committees of Congress’’ means—
(1) the Committee on Veterans’ Affairs of the Senate; and
(2) the Committee on Veterans’ Affairs of the House of
Representatives.
(Added Pub. L. 110–389, title VI, Sec. 604(a), Oct. 10, 2008, 122 Stat. 4178.)

§ 7291. Date when Court decision becomes final
(a) A decision of the United States Court of Appeals for Vet-
erans Claims shall become final upon the expiration of the time al-
lowed for filing, under section 7292 of this title, a notice of appeal
from such decision, if no such notice is duly filed within such time.
If such a notice is filed within such time, such a decision shall be-
come final—
(1) upon the expiration of the time allowed for filing a peti-
tion for certiorari with the Supreme Court of the United
States, if the decision of the Court of Appeals for Veterans
Claims is affirmed or the appeal is dismissed by the United
States Court of Appeals for the Federal Circuit and no petition
for certiorari is duly filed;
(2) upon the denial of a petition for certiorari, if the deci-
sion of the Court of Appeals for Veterans Claims is affirmed
or the appeal is dismissed by the United States Court of Ap-
peals for the Federal Circuit; or
(3) upon the expiration of 30 days from the date of
issuance of the mandate of the Supreme Court, if that Court
directs that the decision of the Court of Appeals for Veterans
Claims be affirmed or the appeal dismissed.
(b)(1) If the Supreme Court directs that the decision of the
Court of Appeals for Veterans Claims be modified or reversed, the
decision of the Court of Appeals for Veterans Claims rendered in
accordance with the mandate of the Supreme Court shall become
final upon the expiration of 30 days from the time it was rendered,
unless within such 30 days either the Secretary or the petitioner
has instituted proceedings to have such decision corrected to accord
with the mandate, in which event the decision of the Court of Ap-
peals for Veterans Claims shall become final when so corrected.
(2) If the decision of the Court of Appeals for Veterans Claims

is modified or reversed by the United States Court of Appeals for
the Federal Circuit and if—
(A) the time allowed for filing a petition for certiorari has
expired and no such petition has been duly filed, or
(B) the petition for certiorari has been denied, or
(C) the decision of the United States Court of Appeals for
the Federal Circuit has been affirmed by the Supreme Court,
then the decision of the Court of Appeals for Veterans Claims ren-
dered in accordance with the mandate of the United States Court
of Appeals for the Federal Circuit shall become final upon the expi-
ration of 30 days from the time such decision of the Court of Ap-
peals for Veterans Claims was rendered, unless within such 30
days either the Secretary or the petitioner has instituted pro-
ceedings to have such decision corrected so that it will accord with
the mandate, in which event the decision of the Court of Appeals
for Veterans Claims shall become final when so corrected.
(c) If the Supreme Court orders a rehearing, or if the case is
remanded by the United States Court of Appeals for the Federal
Circuit to the Court of Appeals for Veterans Claims for a rehear-
ing, and if—
(1) the time allowed for filing a petition for certiorari has
expired and no such petition has been duly filed, or
(2) the petition for certiorari has been denied, or
(3) the decision of the United States Court of Appeals for
the Federal Circuit has been affirmed by the Supreme Court,
then the decision of the Court of Appeals for Veterans Claims ren-
dered upon such rehearing shall become final in the same manner
as though no prior decision of the Court of Appeals for Veterans
Claims had been rendered.
(d) As used in this section, the term ‘‘mandate’’, in case a man-
date has been recalled before the expiration of 30 days from the
date of issuance thereof, means the final mandate.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 105–368, title V, Sec. 512(a)(1), (2)(B), Nov.
11, 1998, 112 Stat. 3341.)
§ 7292. Review by United States Court of Appeals for the

Federal Circuit
(a) After a decision of the United States Court of Appeals for
Veterans Claims is entered in a case, any party to the case may
obtain a review of the decision with respect to the validity of a deci-
sion of the Court on a rule of law or of any statute or regulation
(other than a refusal to review the schedule of ratings for disabil-
ities adopted under section 1155 of this title) or any interpretation
thereof (other than a determination as to a factual matter) that
was relied on by the Court in making the decision. Such a review
shall be obtained by filing a notice of appeal with the Court of Ap-
peals for Veterans Claims within the time and in the manner pre-
scribed for appeal to United States courts of appeals from United
States district courts.
(b)(1) When a judge or panel of the Court of Appeals for Vet-

erans Claims, in making an order not otherwise appealable under
this section, determines that a controlling question of law is in-
volved with respect to which there is a substantial ground for dif-
ference of opinion and that there is in fact a disagreement between
the appellant and the Secretary with respect to that question of
law and that the ultimate termination of the case may be materi-
ally advanced by the immediate consideration of that question, the
judge or panel shall notify the chief judge of that determination.
Upon receiving such a notification, the chief judge shall certify that
such a question is presented, and any party to the case may then
petition the Court of Appeals for the Federal Circuit to decide the
question. That court may permit an interlocutory appeal to be
taken on that question if such a petition is filed with it within 10
days after the certification by the chief judge of the Court of Ap-
peals for Veterans Claims. Neither the application for, nor the
granting of, an appeal under this paragraph shall stay proceedings
in the Court of Veterans Appeals, unless a stay is ordered by a
judge of the Court of Appeals for Veterans Claims or by the Court
of Appeals for the Federal Circuit.
(2) For purposes of subsections (d) and (e) of this section, an
order described in this paragraph shall be treated as a decision of
the Court of Appeals for Veterans Claims.
(c) The United States Court of Appeals for the Federal Circuit
shall have exclusive jurisdiction to review and decide any challenge
to the validity of any statute or regulation or any interpretation
thereof brought under this section, and to interpret constitutional
and statutory provisions, to the extent presented and necessary to
a decision. The judgment of such court shall be final subject to re-
view by the Supreme Court upon certiorari, in the manner pro-
vided in section 1254 of title 28.
(d)(1) The Court of Appeals for the Federal Circuit shall decide
all relevant questions of law, including interpreting constitutional
and statutory provisions. The court shall hold unlawful and set
aside any regulation or any interpretation thereof (other than a de-
termination as to a factual matter) that was relied upon in the de-
cision of the Court of Appeals for Veterans Claims that the Court
of Appeals for the Federal Circuit finds to be—
(A) arbitrary, capricious, an abuse of discretion, or other-
wise not in accordance with law;
(B) contrary to constitutional right, power, privilege, or im-
munity;
(C) in excess of statutory jurisdiction, authority, or limita-
tions, or in violation of a statutory right; or
(D) without observance of procedure required by law.
(2) Except to the extent that an appeal under this chapter pre-
sents a constitutional issue, the Court of Appeals may not review
(A) a challenge to a factual determination, or (B) a challenge to a
law or regulation as applied to the facts of a particular case.
(e)(1) Upon such review, the Court of Appeals for the Federal
Circuit shall have power to affirm or, if the decision of the Court
of Appeals for Veterans Claims is not in accordance with law, to
modify or reverse the decision of the Court of Appeals for Veterans
Claims or to remand the matter, as appropriate.
(2) Rules for review of decisions of the Court of Appeals for

Veterans Claims shall be those prescribed by the Supreme Court
under section 2072 of title 28.
Sec. 4092; amended Pub. L. 101–94, title III, Sec. 302(b), Aug. 16, 1989, 103 Stat.
105 Stat. 238; Pub. L. 102–54, Sec. 14(e)(5), June 13, 1991, 105 Stat. 287; Pub. L.
102–83, Sec. 4(b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 105–
368, title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 107–330, title IV,
Sec. 402(a), Dec. 6, 2002, 116 Stat. 2832.)
SUBCHAPTER V—RETIREMENT AND SURVIVORS

ANNUITIES
§ 7296. Retirement of judges
(a) For purposes of this section:
(1) The term ‘‘Court’’ means the United States Court of Ap-
peals for Veterans Claims.
(2) The term ‘‘judge’’ means a judge of the Court.
(b)(1) A judge who meets the age and service requirements set
forth in the following table may retire:
The judge has attained age: And the years of service as a judge are at least
65 15
66 14
67 13
68 12
69 11
70 10
(2) A judge who is not reappointed following the expiration of

the term for which appointed may retire upon the completion of
that term if the judge has served as a judge of the Court for 15
years or more.
(3) A judge who becomes permanently disabled and as a result
of that disability is unable to perform the duties of the office shall
retire.
(c)(1)(A) A judge who is appointed on or after the date of the
enactment of the Veterans’ Benefits Improvement Act of 2008 and
who retires under subsection (b) and elects under subsection (d) to
receive retired pay under this subsection shall (except as provided
in paragraph (2)) receive retired pay as follows:
(i) In the case of a judge who is a recall-eligible retired
judge under section 7257 of this title, the retired pay of the
judge shall (subject to section 7257(d)(2) of this title) be the
rate of pay applicable to that judge at the time of retirement,
as adjusted from time to time under subsection (f)(3).
(ii) In the case of a judge other than a recall-eligible re-
tired judge, the retired pay of the judge shall be the rate of pay
applicable to that judge at the time of retirement.
(B) A judge who retired before the date of the enactment of the
Veterans’ Benefits Improvement Act of 2008 and elected under sub-
section (d) to receive retired pay under this subsection, or a judge
who retires under subsection (b) and elects under subsection (d) to
receive retired pay under this subsection, shall (except as provided

in paragraph (2)) receive retired pay as follows:
(i) In the case of a judge who is a recall-eligible retired
judge under section 7257 of this title or who was a recall-eligi-
ble retired judge under that section and was removed from re-
call status under subsection (b)(4) of that section by reason of
disability, the retired pay of the judge shall be the pay of a
judge of the court.
(ii) In the case of a judge who at the time of retirement
did not provide notice under section 7257 of this title of avail-
ability for service in a recalled status, the retired pay of the
judge shall be the rate of pay applicable to that judge at the
time of retirement.
(iii) In the case of a judge who was a recall-eligible retired
judge under section 7257 of this title and was removed from
recall status under subsection (b)(3) of that section, the retired
pay of the judge shall be the pay of the judge at the time of
the removal from recall status.
(2) An individual who serves as a judge for less than 10 years
and who retires under subsection (b)(3) of this section and elects
under subsection (d) of this section to receive retired pay under this
subsection shall receive retired pay at a rate equal to one-half of
the rate of pay in effect at the time of retirement.
(3) Retired pay under this subsection shall begin to accrue on
the day following the day on which the individual’s salary as judge
ceases to accrue and shall continue to accrue during the remainder
of the individual’s life. Retired pay under this subsection shall be
paid in the same manner as the salary of a judge.
(d)(1) A judge may elect to receive retired pay under subsection
(c) of this section. Such an election—
(A) may be made only while an individual is a judge (ex-
cept that, in the case of an individual who fails to be re-
appointed as judge at the expiration of a term of office, the
election may be made at any time before the date after the day
on which the individual’s successor takes office); and
(B) may not be revoked after the retired pay begins to ac-
crue.
(2) In the case of a judge other than the chief judge, such an
election shall be made by filing notice of the election in writing
with the chief judge. In the case of the chief judge, such an election
shall be made by filing notice of the election in writing with the
Director of the Office of Personnel Management.
(3) The chief judge shall transmit to the Director of the Office
of Personnel Management a copy of each notice filed with the chief
judge under this subsection.
(e) If an individual for whom an election to receive retired pay
under subsection (c) is in effect accepts compensation for employ-
ment with the United States, the individual shall, to the extent of
the amount of that compensation, forfeit all rights to retired pay
under subsection (c) of this section for the period for which the
compensation is received.
(f)(1) Except as otherwise provided in this subsection, the pro-
visions of the civil service retirement laws (including the provisions
relating to the deduction and withholding of amounts from basic
pay, salary, and compensation) shall apply with respect to service

as a judge as if this section had not been enacted.
(2) In the case of any individual who has filed an election to
receive retired pay under subsection (c) of this section—
(A) no annuity or other payment shall be payable to any
person under the civil service retirement laws with respect to
any service performed by such individual (whether performed
before or after such election is filed and whether performed as
judge or otherwise) except as authorized by section 8440d of
title 5;
(B) no deduction for purposes of the Civil Service Retire-
ment and Disability Fund shall be made from retired pay pay-
able to that individual under subsection (c) of this section or
from any other salary, pay, or compensation payable to that in-
dividual, for any period beginning after the day on which such
election is filed; and
(C) such individual shall be paid the lump-sum credit com-
puted under section 8331(8) or 8401(a) of title 5, whichever ap-
plies, upon making application therefor with the Office of Per-
sonnel Management.
(3)(A) A cost-of-living adjustment provided by law in annuities
payable under civil service retirement laws shall apply to retired
pay under this section only in the case of retired pay computed
under paragraph (1)(A)(i) or (2) of subsection (c).
(B) If such a cost-of-living adjustment would (but for this sub-
paragraph) result in the retired pay of a retired judge being in ex-
cess of the annual rate of pay in effect for judges of the Court as
provided in section 7253(e) of this title, such adjustment may be
made only in such amount as results in the retired pay of the re-
tired judge being equal to that annual rate of pay (as in effect on
the effective date of such adjustment).
(g)(1) A judge who becomes permanently disabled and as a re-
sult of that disability is unable to perform the duties of the office
shall certify to the President in writing that such permanent dis-
ability exists. If the chief judge retires for such a disability, the re-
tirement of the chief judge shall not take effect until concurred in
by the President. If any other judge retires for such a disability,
the chief judge shall furnish to the President a certificate of dis-
ability signed by the chief judge.
(2) Whenever the President finds that a judge has become per-
manently disabled and as a result of that disability is unable to
perform the duties of the office, the President shall declare that
judge to be retired. Before a judge may be retired under this para-
graph, the judge shall be provided with a full specification of the
reasons for the retirement and an opportunity to be heard.
(h)(1) An individual who has filed an election to receive retired
pay under subsection (c) of this section may revoke such election
at any time before the first day on which retired pay would (but
for such revocation) begin to accrue with respect to such individual.
(2) Any revocation under this subsection shall be made by fil-
ing a notice of the election in writing with the Director of the Office
of Personnel Management. The Office of Personnel Management
shall transmit to the chief judge a copy of each notice filed under
this subsection.
(3) In the case of a revocation under this subsection—

(A) for purposes of this section, the individual shall be
treated as not having filed an election to receive retired pay
under subsection (c) of this section;
(B) for purposes of section 7297 of this title—
(i) the individual shall be treated as not having filed
an election under section 7297(b) of this title, and
(ii) section 7297(e) of this title shall not apply and the
amount credited to such individual’s account (together
with interest at 3 percent per year, compounded on Decem-
ber 31 of each year to the date on which the revocation is
filed) shall be returned to the individual;
(C) no credit shall be allowed for any service as a judge of
the Court unless with respect to such service either there has
been deducted and withheld the amount required by the civil
service retirement laws or there has been deposited in the Civil
Service Retirement and Disability Fund an amount equal to
the amount so required, with interest;
(D) the Court shall deposit in the Civil Service Retirement
and Disability Fund an amount equal to the additional amount
it would have contributed to such Fund but for the election
under subsection (d); and
(E) if subparagraphs (C) and (D) of this paragraph are
complied with, service on the Court shall be treated as service
with respect to which deductions and contributions had been
made during the period of service.
(i)(1) Beginning with the next pay period after the Director of
the Office of Personnel Management receives a notice under sub-
section (d) of this section that a judge has elected to receive retired
pay under this section, the Director shall deduct and withhold 1
percent of the salary of such judge. Amounts shall be so deducted
and withheld in a manner determined by the Director. Amounts de-
ducted and withheld under this subsection shall be deposited in the
Treasury of the United States to the credit of the Court of Appeals
for Veterans Claims Judges Retirement Fund. Deductions under
this subsection from the salary of a judge shall terminate upon the
retirement of the judge or upon the completion of 15 years of serv-
ice for which either deductions under this subsection or a deposit
under subsection (j) of this section has been made, whichever oc-
curs first.
(2) Each judge who makes an election under subsection (d) of
this section shall be considered to agree to the deductions from sal-
ary which are made under paragraph (1) of this subsection.
(j) A judge who makes an election under subsection (d) of this
section shall deposit, for service on the Court performed before the
election for which contributions may be made under this section, an
amount equal to 1 percent of the salary received for the first years,
not exceeding 15 years, of that service. Retired pay may not be al-
lowed until a deposit required by this subsection has been made.
(k) The amounts deducted and withheld under subsection (i) of
this section, and the amounts deposited under subsection (j) of this
section, shall be deposited in the Court of Appeals for Veterans
Claims Retirement Fund for credit to individual accounts in the
name of each judge from whom such amounts are received.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–82, Sec. 5(c)(1), Aug. 6, 1991, 105 Stat.
376; Pub. L. 102–198, Sec. 7(c)(4)(D), Dec. 9, 1991, 105 Stat. 1625; Pub. L. 105–368,
title V, Sec. 512(a)(1), Nov. 11, 1998, 112 Stat. 3341; Pub. L. 106–117, title X, Secs.
1022, 1035(2), Nov. 30, 1999, 113 Stat. 1592, 1595; Pub. L. 107–103, title VI, Sec.
602, Dec. 27, 2001, 115 Stat. 999; Pub. L. 110–389, title VI, Sec. 603(b)(1), (2), Oct.
10, 2008, 122 Stat. 4177, 4178.)
§ 7297. Survivor annuities

(a) For purposes of this section:
(1) The term ‘‘Court’’ means the United States Court of Ap-
peals for Veterans Claims.
(2) The term ‘‘judge’’ means a judge of the Court who is in
active service or who has retired under section 7296 of this
title.
(3) The term ‘‘pay’’ means salary received under section
7253(e) of this title and retired pay received under section 7296
of this title.
(4) The term ‘‘retirement fund’’ means the Court of Ap-
peals for Veterans Claims Retirement Fund established under
(5) The term ‘‘surviving spouse’’ means a surviving spouse
of an individual who (A) was married to such individual for at
least one year immediately preceding the individual’s death, or
(B) is a parent of issue by the marriage.
(6) The term ‘‘dependent child’’ has the meaning given the
term ‘‘child’’ in section 376(a)(5) of title 28.
(7) The term ‘‘Member of Congress’’ means a Representa-
tive, a Senator, a Delegate to Congress, or the Resident Com-
missioner of Puerto Rico.
(8) The term ‘‘assassination’’ as applied to a judge shall
have the meaning provided that term in section 376(a)(7) of
title 28 as applied to a judicial official.
(b) A judge may become a participant in the annuity program
under this section by filing a written election under this subsection
while in office or within six months after the date on which the
judge marries if the judge has retired under section 7296 of this
title. Any such election shall be made in such manner as may be
prescribed by the Court.
(c) There shall be deducted and withheld each pay period from
the pay of a judge who has made an election under subsection (b)
of this section a sum equal to that percentage of the judge’s pay
that is the same as provided for the deduction from the salary or
retirement salary of a judge of the United States Court of Federal
Claims for the purpose of a survivor annuity under section
376(b)(1)(B) of title 28. Amounts so deducted and withheld shall be
deposited in the retirement fund. A judge who makes an election
under subsection (b) of this section shall be considered by that elec-
tion to agree to the deductions from the judge’s pay required by
this subsection.
(d)(1) A judge who makes an election under subsection (b) of
this section shall deposit, with interest at 3 percent per year com-
pounded on December 31 of each year, to the credit of the retire-
ment fund, an amount equal to 3.5 percent of the judge’s pay and
of the judge’s basic salary, pay, or compensation for service as a

Member of Congress, and for any other civilian service within the
purview of section 8332 of title 5. Each such judge may elect to
make such deposits in installments during the judge’s period of
service in such amount and under such conditions as may be deter-
mined in each instance by the chief judge. Notwithstanding the
failure of a judge to make such deposit, credit shall be allowed for
the service rendered, but the annual annuity of the surviving
spouse of such judge shall be reduced by an amount equal to 10
percent of the amount of such deposit, computed as of the date of
the death of such judge, unless the surviving spouse elects to elimi-
nate such service entirely from credit under subsection (k) of this
section. However, a deposit shall not be required from a judge for
any year with respect to which deductions from the judge’s pay, or
a deposit, were actually made (and not withdrawn) under the civil
service retirement laws.
(2) The interest required under the first sentence of paragraph
(1) shall not be required for any period—
(A) during which a judge was separated from any service
described in section 376(d)(2) of title 28; and
(B) during which the judge was not receiving retired pay
based on service as a judge or receiving any retirement salary
as described in section 376(d)(1) of title 28.
(e) If the service of a judge who makes an election under sub-
section (b) of this section terminates other than pursuant to the
provisions of section 7296 of this title, or if any judge ceases to be
married after making the election under subsection (b) of this sec-
tion and revokes (in a writing filed as provided in subsection (b) of
this section) such election, the amount credited to the judge’s indi-
vidual account (together with interest at 3 percent per year com-
pounded on December 31 of each year to the date of the judge’s re-
linquishment of office) shall be returned to the judge. For the pur-
pose of this section, the service of a judge making an election under
subsection (b) of this section shall be considered to have terminated
pursuant to section 7296 of this title if—
(1) the judge is not reappointed following expiration of the
term for which appointed; and
(2) at or before the time of the expiration of that term, the
judge is eligible for and elects to receive retired pay under sec-
(f)(1) If a judge who makes an election under subsection (b) of
this section dies after having rendered at least 18 months of civil-
ian service (computed as prescribed in subsection (l) of this sec-
tion), for the last 18 months of which the salary deductions pro-
vided for by subsection (c) of this section or the deposits required
by subsection (d) of this section have actually been made (and not
withdrawn) or the salary deductions required by the civil service
retirement laws have actually been made (and not withdrawn)—
(A) if the judge is survived by a surviving spouse but not
by a dependent child, there shall be paid to the surviving
spouse an annuity beginning with the day of the death of the
judge, in an amount computed as provided in subsection (k) of
this section; or
(B) if the judge is survived by a surviving spouse and a de-

pendent child or children, there shall be paid to the surviving
spouse an immediate annuity in an amount computed as pro-
vided in subsection (k) of this section and there shall also be
paid to or on behalf of each such child an immediate annuity
equal to the lesser of—
(i) 10 percent of the average annual pay of such judge
(determined in accordance with subsection (k) of this sec-
tion), or
(ii) 20 percent of such average annual pay, divided by
the number of such children; or
(C) if the judge is not survived by a surviving spouse but
is survived by a dependent child or children, there shall be
paid to or on behalf of each such child an immediate annuity
equal to the lesser of—
(i) 20 percent of the average annual pay of such judge
(determined in accordance with subsection (k) of this sec-
tion), or
(ii) 40 percent of such average annual pay, divided by
the number of such children.
(2) The annuity payable to a surviving spouse under this sub-
section shall be terminated—
(A) upon the surviving spouse’s death; or
(B) upon the remarriage of the surviving spouse before age
55.
(3) The annuity payable to a child under this subsection shall
be terminated upon the child’s death.
(4) In case of the death of a surviving spouse of a judge leaving
a dependent child or children of the judge surviving the spouse, the
annuity of such child or children under paragraph (1)(B) of this
subsection shall be recomputed and paid as provided in paragraph
(1)(C) of this subsection. In any case in which the annuity of a de-
pendent child is terminated, the annuities of any remaining de-
pendent child or children, based upon the service of the same
judge, shall be recomputed and paid as though the child whose an-
nuity was so terminated had not survived the judge.
(5) If a judge dies as a result of an assassination and leaves
a survivor or survivors who are otherwise entitled to receive annu-
ity payments under this section, the 18-month requirement in the
matter in paragraph (1) preceding subparagraph (A) shall not
apply.
(g) Questions of family relationships, dependency, and dis-
ability arising under this section shall be determined in the same
manner as such questions arising under chapter 84 of title 5 are
determined.
(h)(1) If—
(A) a judge making an election under subsection (b) of this
section dies while in office (i) before having rendered 5 years
of civilian service computed as prescribed in subsection (l) of
this section, or (ii) after having rendered 5 years of such civil-
ian service but without a survivor entitled to annuity benefits
provided by subsection (f) of this section; or
(B) the right of all persons entitled to an annuity under
subsection (f) of this section based on the service of such judge
terminates before a claim for such benefits has been estab-

lished,
the total amount credited to the individual account of such judge
(with interest at 3 percent per year, compounded on December 31
of each year, to the date of the death of such judge) shall be paid
in the manner specified in paragraph (2) of this subsection.
(2) An amount payable under paragraph (1) of this subsection
shall be paid, upon the establishment of a valid claim therefor, to
the person or persons surviving at the date title to the payment
arises, in the following order of precedence:
(A) To the beneficiary or beneficiaries whom the judge des-
ignated in writing filed before death with the chief judge (ex-
cept that in the case of the chief judge such designation shall
be filed before death as prescribed by the Court).
(B) To the surviving spouse of the judge.
(C) To the child or children of the judge (and the descend-
ants of any deceased children by representation).
(D) To the parents of the judge or the survivor of them.
(E) To the executor or administrator of the estate of the
judge.
(F) To such other next of kin of the judge as may be deter-
mined by the chief judge to be entitled under the laws of the
domicile of the judge at the time of the judge’s death.
(3) Determination as to the surviving spouse, child, or parent
of a judge for the purposes of paragraph (2) of this subsection shall
be made without regard to the definitions in subsection (a) of this
section.
(4) Payment under this subsection in the manner provided in
this subsection shall be a bar to recovery by any other person.
(5) In a case in which the annuities of all persons entitled to
annuity based upon the service of a judge terminate before the ag-
gregate amount of annuity paid equals the total amount credited
to the individual account of such judge (with interest at 3 percent
per year, compounded on December 31 of each year to the date of
the death of the judge), the difference shall be paid, upon establish-
ment of a valid claim therefor, in the order of precedence pre-
scribed in paragraph (2) of this subsection.
(6) Any accrued annuity remaining unpaid upon the termi-
nation (other than by death) of the annuity of any individual based
upon the service of a judge shall be paid to that individual. Any
accrued annuity remaining unpaid upon the death of an individual
receiving an annuity based upon the service of a judge shall be
paid, upon the establishment of a valid claim therefor, in the fol-
lowing order of precedence:
(A) To the executor or administrator of the estate of that
person.
(B) After 30 days after the date of the death of such indi-
vidual, to such individual or individuals as may appear in the
judgment of the chief judge to be legally entitled thereto.
Such payment shall be a bar to recovery by any other individual.
(i) When a payment under this section is to be made to a
minor, or to a person mentally incompetent or under other legal
disability adjudged by a court of competent jurisdiction, the pay-
ment may be made to the person who is constituted guardian or
other fiduciary by the law of the State of residence of such claimant

or is otherwise legally vested with the care of the claimant or the
claimant’s estate. If no guardian or other fiduciary of the person
under legal disability has been appointed under the laws of the
State of residence of the claimant, the chief judge shall determine
the person who is otherwise legally vested with the care of the
claimant or the claimant’s estate.
(j) Annuities under this section shall accrue monthly and shall
be due and payable in monthly installments on the first business
day of the month following the month or other period for which the
annuity has accrued. An annuity under this section is not assign-
able, either in law or in equity, or subject to execution, levy, attach-
ment, garnishment, or other legal process.
(k)(1) The annuity of the surviving spouse of a judge making
an election under subsection (b) of this section shall be an amount
equal to the sum of the following:
(A) The product of—
(i) 1.5 percent of the judge’s average annual pay; and
(ii) the sum of the judge’s years of judicial service, the
judge’s years of prior allowable service as a Member of
Congress, the judge’s years of prior allowable service per-
formed as a member of the Armed Forces, and the judge’s
years, not exceeding 15, of prior allowable service per-
formed as a congressional employee (as defined in section
2107 of title 5).
(B) Three-fourths of 1 percent of the judge’s average an-
nual pay multiplied by the judge’s years of allowable service
not counted under subparagraph (A) of this paragraph.
(2) An annuity computed under this subsection may not exceed
50 percent of the judge’s average annual pay and may not be less
than 25 percent of such average annual pay. Such annuity shall be
further reduced in accordance with subsection (d) of this section (if
applicable).
(3) For purposes of this subsection, the term ‘‘average annual
pay’’, with respect to a judge, means the average annual pay re-
ceived by the judge for judicial service (including periods in which
the judge received retired pay under section 7296(d) of this title)
or for any other prior allowable service during the period of three
consecutive years in which the judge received the largest such av-
erage annual pay.
(l) Subject to subsection (d) of this section, the years of service
of a judge which are allowable as the basis for calculating the
amount of the annuity of the judge’s surviving spouse shall include
the judge’s years of service as a judge of the Court, the judge’s
years of service as a Member of Congress, the judge’s years of ac-
tive service as a member of the Armed Forces not exceeding 5
years in the aggregate and not including any such service for which
credit is allowed for the purposes of retirement or retired pay
under any other provision of law, and the judge’s years of any other
civilian service within the purview of section 8332 of title 5.
(m) Nothing contained in this section shall be construed to pre-
vent a surviving spouse eligible therefor from simultaneously re-
ceiving an annuity under this section and any annuity to which
such spouse would otherwise be entitled under any other law with-
out regard to this section, but in computing such other annuity

service used in the computation of such spouse’s annuity under this
section shall not be credited.
(n) A judge making an election under subsection (b) of this sec-
tion shall, at the time of such election, waive all benefits under the
civil service retirement laws except section 8440d of title 5. Such
a waiver shall be made in the same manner and shall have the
same force and effect as an election filed under section 7296(d) of
this title.
(o) Each survivor annuity payable from the retirement fund
shall be increased at the same time as, and by the same percentage
by which, annuities payable from the Judicial Survivors’ Annuities
Fund are increased pursuant to section 376(m) of title 28.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(6), June 13, 1991, 105
Stat. 287; Pub. L. 102–82, Sec. 5(c)(2), Aug. 6, 1991, 105 Stat. 376; Pub. L. 102–
198, Sec. 7(c)(4)(E), Dec. 9, 1991, 105 Stat. 1625; Pub. L. 105–368, title V, Sec. 503,
512(a)(1), Nov. 11, 1998, 112 Stat. 3340, 3341; Pub. L. 106–117, title X, Sec. 1023,
1035(2), Nov. 30, 1999, 113 Stat. 1592, 1595.)
§ 7298. Retirement Fund
(a) There is established in the Treasury a fund known as the
Court of Appeals for Veterans Claims Retirement Fund.
(b) Amounts in the fund are available for the payment of
judges’ retired pay under section 7296 of this title and of annuities,
refunds, and allowances under section 7297 of this title.
(c) Amounts deposited by, or deducted and withheld from the
salary and retired pay of, a judge under section 7296 or 7297 of
this title shall be deposited in the fund and credited to an indi-
vidual account of the judge.
(d) The chief judge of the Court of Appeals for Veterans Claims
shall submit to the President an annual estimate of the expendi-
tures and appropriations necessary for the maintenance and oper-
ation of the fund, and such supplemental and deficiency estimates
as may be required from time to time for the same purposes, ac-
cording to law.
(e)(1) The chief judge may cause periodic examinations of the
retirement fund to be made by an actuary, who may be an actuary
employed by another department of the Government temporarily
assigned for the purpose.
(2)(A) Subject to the availability of appropriations, there shall
be deposited in the Treasury to the credit of the retirement fund,
not later than the close of each fiscal year, such amounts as may
be required to reduce to zero the unfunded liability (if any) of the
fund. Such deposits shall be taken from sums available for that fis-
cal year for the payment of the expenses of the Court.
(B) For purposes of subparagraph (A) of this paragraph, the
term ‘‘unfunded liability’’, with respect to any fiscal year, means
the amount estimated by the chief judge to be equal to the excess
(as of the close of that fiscal year) of—
(i) the present value of all benefits payable from the fund
(determined on an annual basis in accordance with section
9503 of title 31), over
(ii) the sum of—
(I) the present values of future deductions under sec-

tions 7296(i) and 7297(c) of this title and future deposits
under sections 7296(j) and 7296(d) of this title, and
(II) the balance in the fund as of the close of the fiscal
year.
(C) For purposes of subparagraph (B), the term ‘‘present value’’
includes a value determined by an actuary with respect to a pay-
ment that may be made under subsection (b) from the retirement
fund within the contemplation of law.
(D) Amounts deposited in the retirement fund under this para-
graph shall not be credited to the account of any individual.
(f) The Secretary of the Treasury shall invest from time to
time, in interest-bearing securities of the United States, such por-
tions of the retirement fund as in such Secretary’s judgment may
not be immediately required for payments from the fund. The in-
come derived from such investments shall constitute a part of the
fund.
(g) For purpose of section 255(g)(1)(B) of the Balanced Budget
and Emergency Deficit Control Act of 1985 (2 U.S.C. 905(g)(1)(B)),
the retirement fund shall be treated in the same manner as the
Claims Judges’ Retirement Fund.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 105–368, title V, Sec. 502, 512(a)(1), (2)(C),
Nov. 11, 1998, 112 Stat. 3340, 3341; Pub. L. 106–117, title X, Sec. 1011(j), Nov. 30,
1999, 113 Stat. 1589.)
§ 7299. Limitation on activities of retired judges
(a) A retired judge of the Court who is recall-eligible under sec-
tion 7257 of this title and who in the practice of law represents (or
supervises or directs the representation of) a client in making any
claim relating to veterans’ benefits against the United States or
any agency thereof shall, pursuant to such section, be considered
to have declined recall service and be removed from the status of
a recall-eligible judge. The pay of such a judge, pursuant to section
7296 of this title, shall be the pay of the judge at the time of the
removal from recall status.
(b) A recall-eligible judge shall be considered to be an officer
or employee of the United States, but only during periods when the
judge is serving in recall status. Any prohibition, limitation, or re-
striction that would otherwise apply to the activities of a recall-eli-
gible judge shall apply only during periods when the judge is serv-
ing in recall status.
(Added Pub. L. 106–117, title X, Sec. 1024(a), Nov. 30, 1999, 113 Stat. 1593.)
857
CHAPTER 73—VETERANS HEALTH ADMINISTRATION-
ORGANIZATION AND FUNCTIONS
Sec.
7301. Functions of Veterans Health Administration: in general.
7302. Functions of Veterans Health Administration: health-care personnel edu-
cation and training programs.
7303. Functions of Veterans Health Administration: research programs.
7304. Regulations.
7305. Divisions of Veterans Health Administration.
7306. Office of the Under Secretary for Health.
7307. Office of Research Oversight.
7308. Office of Rural Health.
SUBCHAPTER II—GENERAL AUTHORITY AND ADMINISTRATION
7311. Quality assurance.
7312. Special medical advisory group.
7313. Advisory committees: affiliated institutions.
7314. Geriatric research, education, and clinical centers.
7315. Geriatrics and Gerontology Advisory Committee.
7316. Malpractice and negligence suits: defense by United States.
7317. Hazardous research projects: indemnification of contractors.
7318. National Center for Preventive Health.
7319. Mammography quality standards.
7320. Centers for mental illness research, education, and clinical activities.
7321. Committee on Care of Severely Chronically Mentally Ill Veterans.
7322. Breast cancer mammography policy.
7323. Required consultations with nurses.
7324. Annual report on use of authorities to enhance retention of experienced
nurses.
7325. Medical emergency preparedness centers.
7326. Education and training programs on medical response to consequences of
7327. Centers for research, education, and clinical activities on complex multi-
trauma associated with combat injuries.
7328. Medical preparedness centers.
7329. Parkinson’s Disease research, education, and clinical centers.
7330. Multiple sclerosis centers of excellence.
7330A. Epilepsy centers of excellence.
7331. Informed consent.
7332. Confidentiality of certain medical records.
7333. Nondiscrimination against alcohol and drug abusers and persons infected
with human immunodeficiency virus.
7334. Regulations.
7361. Authority to establish; status.
7362. Purpose of corporations.
7363. Board of directors; executive director.
7364. General powers.
859
Sec. 7301 CH. 73—ORGANIZATION AND FUNCTIONS 860
7364A. Coverage of employees under certain Federal tort claims laws.

7365. Applicable State law.
7366. Accountability and oversight.
[7368. Repealed.]
§ 7301. Functions of Veterans Health Administration: in gen-
eral
(a) There is in the Department of Veterans Affairs a Veterans
Health Administration. The Under Secretary for Health is the head
of the Administration. The Under Secretary for Health may be re-
ferred to as the Chief Medical Director.
(b) The primary function of the Administration is to provide a
complete medical and hospital service for the medical care and
treatment of veterans, as provided in this title and in regulations
prescribed by the Secretary pursuant to this title.
(Added Pub. L. 102–40, title IV, Sec. 401(a)(3), May 7, 1991, 105 Stat. 211; amended
Pub. L. 102–405, title III, Sec. 302(c)(1), (2), Oct. 9, 1992, 106 Stat. 1984.)
§ 7302. Functions of Veterans Health Administration: health-
care personnel education and training programs
(a) In order to carry out more effectively the primary function
of the Veterans Health Administration and in order to assist in
providing an adequate supply of health personnel to the Nation,
the Secretary—
(1) to the extent feasible without interfering with the med-
ical care and treatment of veterans, shall develop and carry
out a program of education and training of health personnel;
and
(2) shall carry out a major program for the recruitment,
training, and employment of veterans with medical military oc-
cupation specialties as—
(A) physician assistants;
(B) expanded-function dental auxiliaries; and
(C) other medical technicians.
(b) In carrying out subsection (a)(1), the Secretary shall include
in the program of education and training under that subsection the
developing and evaluating of new health careers, interdisciplinary
approaches, and career advancement opportunities.
(c) In carrying out subsection (a)(2), the Secretary shall include
in the program of recruitment, training, and employment under
that subsection measures to advise all qualified veterans with mili-
tary occupation specialties referred to in that subsection, and all
members of the armed forces about to be discharged or released
from active duty who have such military occupation specialties, of
employment opportunities with the Administration.
(d) The Secretary shall carry out subsection (a) in cooperation
with the following institutions and organizations:
(1) Schools of medicine, osteopathy, dentistry, nursing,
pharmacy, optometry, podiatry, public health, or allied health
professions.
(2) Other institutions of higher learning.
(3) Medical centers.
(4) Academic health centers.
861 CH. 73—ORGANIZATION AND FUNCTIONS Sec. 7303
(5) Hospitals.
(6) Such other public or nonprofit agencies, institutions, or
organizations as the Secretary considers appropriate.
(Added Pub. L. 102–40, title IV, Sec. 401(a)(3), May 7, 1991, 105 Stat. 211.)
§ 7303. Functions of Veterans Health Administration: re-
search programs
(a)(1) In order to carry out more effectively the primary func-
tion of the Administration and in order to contribute to the Na-
tion’s knowledge about disease and disability, the Secretary shall
carry out a program of medical research in connection with the pro-
vision of medical care and treatment to veterans. Funds appro-
priated to carry out this section shall remain available until ex-
pended.
(2) Such program of medical research shall include biomedical
research, mental illness research, prosthetic and other rehabilita-
tive research, and health-care-services research.
(3) Such program shall stress—
(A) research into spinal-cord injuries and other diseases
that lead to paralysis of the lower extremities; and
(B) research into injuries and illnesses particularly related
to service.
(4) In carrying out such research program, the Secretary shall
act in cooperation with the entities described in section 7302(d) of
this title.
(b) Prosthetic research shall include research and testing in
the field of prosthetic, orthotic, and orthopedic appliances and sen-
sory devices. In order that the unique investigative material and
research data in the possession of the Government may result in
the improvement of such appliances and devices for all disabled
persons, the Secretary (through the Under Secretary for Health)
shall make the results of such research available to any person,
and shall consult and cooperate with the Secretary of Health and
Human Services and the Secretary of Education, in connection with
programs carried out under section 204(b)(3) of the Rehabilitation
Act of 1973 (relating to the establishment and support of Rehabili-
tation Engineering Research Centers).
(c)(1) In conducting or supporting clinical research, the Sec-
retary shall ensure that, whenever possible and appropriate—
(A) women who are veterans are included as subjects in
each project of such research; and
(B) members of minority groups who are veterans are in-
cluded as subjects of such research.
(2) In the case of a project of clinical research in which women
or members of minority groups will under paragraph (1) be in-
cluded as subjects of the research, the Secretary shall ensure that
the project is designed and carried out so as to provide for a valid
analysis of whether the variables being tested in the research affect
women or members of minority groups, as the case may be, dif-
ferently than other persons who are subjects of the research.
(d)(1) The Secretary, in carrying out the Secretary’s respon-
sibilities under this section, shall foster and encourage the initi-
ation and expansion of research relating to the health of veterans
who are women.
(2) In carrying out this subsection, the Secretary shall consult

with the following to assist the Secretary in setting research prior-
ities:
(A) Officials of the Department assigned responsibility for
women’s health programs and sexual trauma services.
(B) The members of the Advisory Committee on Women
Veterans.
(C) Members of appropriate task forces and working
groups within the Department (including the Women Veterans
Working Group and the Task Force on Treatment of Women
Who Suffer Sexual Abuse).
Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 103–
452, title I, Sec. 102(a), (b)(1), Nov. 2, 1994, 108 Stat. 4785, 4786; Pub. L. 105–220,
title IV, Sec. 414(c), Aug. 7, 1998, 112 Stat. 1242; Pub. L. 107–135, title II, Sec.
205(a), Jan. 23, 2002, 115 Stat. 2460; Pub. L. 108–170, title IV, Sec. 401(b), Dec.
6, 2003, 117 Stat. 2061.)
(a) Unless specifically otherwise provided, the Under Secretary
for Health shall prescribe all regulations necessary to the adminis-
tration of the Veterans Health Administration, including regula-
tions relating to—
(1) travel, transportation of household goods and effects,
and deductions from pay for quarters and subsistence; and
(2) the custody, use, and preservation of the records, pa-
pers, and property of the Administration.
(b) Regulations prescribed by the Under Secretary for Health
are subject to the approval of the Secretary.
Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984.)
§ 7305. Divisions of Veterans Health Administration
The Veterans Health Administration shall include the fol-
lowing:
(1) The Office of the Under Secretary for Health.
(2) A Medical Service.
(3) A Dental Service.
(4) A Podiatric Service.
(5) An Optometric Service.
(6) A Nursing Service.
(7) Such other professional and auxiliary services as the
Secretary may find to be necessary to carry out the functions
of the Administration.
§ 7306. Office of the Under Secretary for Health

(a) The Office of the Under Secretary for Health shall consist
of the following:
(1) The Deputy Under Secretary for Health, who shall be
the principal assistant of the Under Secretary for Health and
who shall be a qualified doctor of medicine.
(2) The Associate Deputy Under Secretary for Health, who
shall be an assistant to the Under Secretary for Health and
the Deputy Under Secretary for Health and who shall be a

qualified doctor of medicine.
(3) Not to exceed eight Assistant Under Secretaries for
Health.
(4) Such Medical Directors as may be appointed to suit the
needs of the Department, who shall be either a qualified doctor
of medicine or a qualified doctor of dental surgery or dental
medicine.
(5) A Director of Nursing Service, who shall be a qualified
registered nurse and who shall be responsible to, and report di-
rectly to, the Under Secretary for Health for the operation of
the Nursing Service.
(6) A Director of Pharmacy Service, a Director of Dietetic
Service, a Director of Podiatric Service, and a Director of Opto-
metric Service, who shall be responsible to the Under Sec-
retary for Health for the operation of their respective Services.
(7) Such directors of such other professional or auxiliary
services as may be appointed to suit the needs of the Depart-
ment, who shall be responsible to the Under Secretary for
Health for the operation of their respective services.
(8) The Director of the National Center for Preventive
Health, who shall be responsible to the Under Secretary for
Health for the operation of the Center.
(9) The Advisor on Physician Assistants, who shall be a
physician assistant with appropriate experience and who shall
advise the Under Secretary for Health on all matters relating
to the utilization and employment of physician assistants in
the Administration.
(10) Such other personnel as may be authorized by this
chapter.
(b) Of the Assistant Under Secretaries for Health appointed
under subsection (a)(3)—
(1) not more than two may be persons qualified in the ad-
ministration of health services who are not doctors of medicine,
dental surgery, or dental medicines;
(2) one shall be a qualified doctor of dental surgery or den-
tal medicine who shall be directly responsible to the Under
Secretary for Health for the operation of the Dental Service;
and
(3) one shall be a qualified physician trained in, or having
suitable extensive experience in, geriatrics who shall be re-
sponsible to the Under Secretary for Health for evaluating all
research, educational, and clinical health-care programs car-
ried out in the Administration in the field of geriatrics and
who shall serve as the principal advisor to the Under Secretary
for Health with respect to such programs.
(c) Appointments under subsection (a) shall be made by the
Secretary. In the case of appointments under paragraphs (1), (2),
(3), (4), and (8) of that subsection, such appointments shall be
made upon the recommendation of the Under Secretary for Health.
(d) Except as provided in subsection (e)—
(1) any appointment under this section shall be for a pe-
riod of four years, with reappointment permissible for succes-
sive like periods,
(2) any such appointment or reappointment may be ex-

tended by the Secretary for a period not in excess of three
years, and
(3) any person so appointed or reappointed or whose ap-
pointment or reappointment is extended shall be subject to re-
moval by the Secretary for cause.
(e)(1) The Secretary may designate a member of the Chaplain
Service of the Department as Director, Chaplain Service, for a pe-
riod of two years, subject to removal by the Secretary for cause. Re-
designation under this subsection may be made for successive like
periods or for any period not exceeding two years.
(2) A person designated as Director, Chaplain Service, shall at
the end of such person’s period of service as Director revert to the
position, grade, and status which such person held immediately be-
fore being designated Director, Chaplain Service, and all service as
Director, Chaplain Service, shall be creditable as service in the
former position.
(f) In organizing the Office and appointing persons to positions
in the Office, the Under Secretary shall ensure that—
(1) the Office is staffed so as to provide the Under Sec-
retary, through a designated clinician in the appropriate dis-
cipline in each instance, with expertise and direct policy guid-
ance on—
(A) unique programs operated by the Administration
to provide for the specialized treatment and rehabilitation
of disabled veterans (including blind rehabilitation, care of
spinal cord dysfunction, mental illness, and long-term
care); and
(B) the programs established under section 1712A of
this title; and
(2) with respect to the programs established under section
1712A of this title, a clinician with appropriate expertise in
those programs is responsible to the Under Secretary for the
management of those programs.
Pub. L. 102–405, title II, Sec. 205, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat.
1983, 1984; Pub. L. 102–585, title V, Sec. 511(b), Nov. 4, 1992, 106 Stat. 4956; Pub.
L. 103–446, title XII, Sec. 1201(c)(3), Nov. 2, 1994, 108 Stat. 4683; Pub. L. 104–262,
title III, Sec. 344, Oct. 9, 1996, 110 Stat. 3207; Pub. L. 106–419, title II, Sec. 206,
Nov. 1, 2000, 114 Stat. 1842; Pub. L. 107–135, title I, Sec. 131, Jan. 23, 2002, 115
Stat. 2454.)
§ 7307. Office of Research Oversight

(a) REQUIREMENT FOR OFFICE.—(1) There is in the Veterans
Health Administration an Office of Research Oversight (hereinafter
in this section referred to as the ‘‘Office’’). The Office shall advise
the Under Secretary for Health on matters of compliance and as-
surance in human subjects protections, research safety, and re-
search impropriety and misconduct. The Office shall function inde-
pendently of entities within the Veterans Health Administration
with responsibility for the conduct of medical research programs.
(2) The Office shall—
(A) monitor, review, and investigate matters of medical re-
search compliance and assurance in the Department with re-
spect to human subjects protections; and
(B) monitor, review, and investigate matters relating to

the protection and safety of human subjects and Department
employees participating in medical research in Department
programs.
(b) DIRECTOR.—(1) The head of the Office shall be a Director,
who shall report directly to the Under Secretary for Health (with-
out delegation).
(2) Any person appointed as Director shall be—
(A) an established expert in the field of medical research,
administration of medical research programs, or similar fields;
and
(B) qualified to carry out the duties of the Office based on
demonstrated experience and expertise.
(c) FUNCTIONS.—(1) The Director shall report to the Under Sec-
retary for Health on matters relating to protections of human sub-
jects in medical research projects of the Department under any ap-
plicable Federal law and regulation, the safety of employees in-
volved in Department medical research programs, and suspected
misconduct and impropriety in such programs. In carrying out the
preceding sentence, the Director shall consult with employees of
the Veterans Health Administration who are responsible for the
management and conduct of Department medical research pro-
grams.
(2) The matters to be reported by the Director to the Under
Secretary under paragraph (1) shall include allegations of research
impropriety and misconduct by employees engaged in medical re-
search programs of the Department.
(3)(A) When the Director determines that such a recommenda-
tion is warranted, the Director may recommend to the Under Sec-
retary that a Department research activity be terminated, sus-
pended, or restricted, in whole or in part.
(B) In a case in which the Director reasonably believes that ac-
tivities of a medical research project of the Department place
human subjects’ lives or health at imminent risk, the Director shall
direct that activities under that project be immediately suspended
or, as appropriate and specified by the Director, be limited.
(d) GENERAL FUNCTIONS.—(1) The Director shall conduct peri-
odic inspections and reviews, as the Director determines appro-
priate, of medical research programs of the Department. Such in-
spections and reviews shall include review of required documented
assurances.
(2) The Director shall observe external accreditation activities
conducted for accreditation of medical research programs conducted
in facilities of the Department.
(3) The Director shall investigate allegations of research impro-
priety and misconduct in medical research projects of the Depart-
ment.
(4) The Director shall submit to the Under Secretary for
Health, the Secretary, and the Committees on Veterans’ Affairs of
the Senate and House of Representatives a report on any suspected
lapse, from whatever cause or causes, in protecting safety of
human subjects and others, including employees, in medical re-
search programs of the Department.
(5) The Director shall carry out such other duties as the Under
Secretary for Health may require.
(e) SOURCE OF FUNDS.—Amounts for the activities of the Office,
including its regional offices, shall be derived from amounts appro-
priated for the Veterans Health Administration for Medical Care.
(f) ANNUAL REPORT.—Not later than March 15 each year, the
Director shall submit to the Committees on Veterans’ Affairs of the
Senate and House of Representatives a report on the activities of
the Office during the preceding calendar year. Each such report
shall include, with respect to that year, the following:
(1) A summary of reviews of individual medical research
programs of the Department completed by the Office.
(2) Directives and other communications issued by the Of-
fice to field activities of the Department.
(3) Results of any investigations undertaken by the Office
during the reporting period consonant with the purposes of this
section.
(4) Other information that would be of interest to those
committees in oversight of the Department medical research
program.
(g) MEDICAL RESEARCH.—For purposes of this section, the term
‘‘medical research’’ means medical research described in section
7303(a)(2) of this title.
(Added Pub. L. 108–170, title IV, Sec. 401(a)(1), Dec. 6, 2003, 117 Stat. 2060.)
§ 7308. Office of Rural Health

(a) ESTABLISHMENT.—There is established in the Department
within the Office of the Under Secretary for Health an office to be
known as the ‘‘Office of Rural Health’’ (in this section referred to
as the ‘‘Office’’).
(b) HEAD.—The Director of the Office of Rural Health shall be
the head of the Office. The Director of the Office of Rural Health
shall be appointed by the Under Secretary of Health from among
individuals qualified to perform the duties of the position.
(c) FUNCTIONS.—The functions of the Office are as follows:
(1) In cooperation with the medical, rehabilitation, health
services, and cooperative studies research programs in the Of-
fice of Policy and the Office of Research and Development of
the Veterans Health Administration, to assist the Under Sec-
retary for Health in conducting, coordinating, promoting, and
disseminating research into issues affecting veterans living in
rural areas.
(2) To work with all personnel and offices of the Depart-
ment of Veterans Affairs to develop, refine, and promulgate
policies, best practices, lessons learned, and innovative and
successful programs to improve care and services for veterans
who reside in rural areas of the United States.
(3) To designate in each Veterans Integrated Service Net-
work (VISN) an individual who shall consult on and coordinate
the discharge in such Network of programs and activities of
the Office for veterans who reside in rural areas of the United
States.
(4) To perform such other functions and duties as the Sec-

retary or the Under Secretary for Health considers appro-
priate.
(Added Pub. L. 109–461, title II, Sec. 212(a)(1), Dec. 22, 2006, 120 Stat. 3421.)
SUBCHAPTER II—GENERAL AUTHORITY AND

ADMINISTRATION
§ 7311. Quality assurance
(1) establish and conduct a comprehensive program to
monitor and evaluate the quality of health care furnished by
the Veterans Health Administration (hereinafter in this section
referred to as the ‘‘quality-assurance program’’); and
(2) delineate the responsibilities of the Under Secretary for
Health with respect to the quality-assurance program, includ-
ing the duties prescribed in this section.
(b)(1) As part of the quality-assurance program, the Under Sec-
retary for Health shall periodically evaluate—
(A) whether there are significant deviations in mortality
and morbidity rates for surgical procedures performed by the
Administration from prevailing national mortality and mor-
bidity standards for similar procedures; and
(B) if there are such deviations, whether they indicate defi-
ciencies in the quality of health care provided by the Adminis-
tration.
(2) The evaluation under paragraph (1)(A) shall be made using
the information compiled under subsection (c)(1). The evaluation
under paragraph (1)(B) shall be made taking into account the fac-
tors described in subsection (c)(2)(B).
(3) If, based upon an evaluation under paragraph (1)(A), the
Under Secretary for Health determines that there is a deviation re-
ferred to in that paragraph, the Under Secretary for Health shall
explain the deviation in the report submitted under subsection (f).
(c)(1) The Under Secretary for Health shall—
(A) determine the prevailing national mortality and mor-
bidity standards for each type of surgical procedure performed
by the Administration; and
(B) collect data and other information on mortality and
morbidity rates in the Administration for each type of surgical
procedure performed by the Administration and (with respect
to each such procedure) compile the data and other information
so collected—
(i) for each medical facility of the Department, in the
case of cardiac surgery, heart transplant, and renal trans-
plant programs; and
(ii) in the aggregate, for each other type of surgical
procedure.
(2) The Under Secretary for Health shall—
(A) compare the mortality and morbidity rates compiled
under paragraph (1)(B) with the national mortality and mor-
bidity standards determined under paragraph (1)(A); and
(B) analyze any deviation between such rates and such
standards in terms of the following:
(i) The characteristics of the respective patient popu-

lations.
(ii) The level of risk for the procedure involved, based
on—
(I) patient age;
(II) the type and severity of the disease;
(III) the effect of any complicating diseases; and
(IV) the degree of difficulty of the procedure.
(iii) Any other factor that the Under Secretary for
Health considers appropriate.
(d) Based on the information compiled and the comparisons,
analyses, evaluations, and explanations made under subsections (b)
and (c), the Under Secretary for Health, in the report under sub-
section (f), shall make such recommendations with respect to qual-
ity assurance as the Under Secretary for Health considers appro-
priate.
(e)(1) The Secretary shall allocate sufficient resources (includ-
ing sufficient personnel with the necessary skills and qualifica-
tions) to enable the Administration to carry out its responsibilities
under this section.
(2) The Inspector General of the Department shall allocate suf-
ficient resources (including sufficient personnel with the necessary
skills and qualifications) to enable the Inspector General to monitor
the quality-assurance program.
446, title XII, Sec. 1201(g)(5), Nov. 2, 1994, 108 Stat. 4687.)
§ 7312. Special medical advisory group

(a) The Secretary shall establish an advisory committee to be
known as the special medical advisory group. The advisory group
shall advise the Secretary, through the Under Secretary for Health,
and the Under Secretary for Health directly, relative to the care
and treatment of disabled veterans and other matters pertinent to
the Administration.
(b) Members of the special medical advisory group shall be ap-
pointed by the Secretary upon the recommendation of the Under
Secretary for Health. The special medical advisory group shall be
composed of—
(1) members of the medical, dental, podiatric, optometric,
and allied scientific professions;
(2) other individuals considered by the Under Secretary for
Health to have experience pertinent to the mission of the Ad-
ministration; and
(3) a disabled veteran.
(c) The special medical advisory group shall meet on a regular
basis as prescribed by the Secretary. The number, terms of service,
pay, and allowances of members of the advisory group shall be pre-
scribed in accordance with existing law and regulations.
(d) Not later than February 1 of each year, the special medical
advisory group shall submit to the Secretary and the Congress a
report on the activities of the advisory group during the preceding
fiscal year. No report shall be required under this subsection after
December 31, 2004.
IV, Sec. 403(c)(5), Nov. 1, 2000, 114 Stat. 1864.)
§ 7313. Advisory committees: affiliated institutions
(a) In each case where the Secretary has a contract or agree-
ment with any school, institution of higher learning, medical cen-
ter, hospital, or other public or nonprofit agency, institution, or or-
ganization for the training or education of health personnel, the
Secretary shall establish an advisory committee to advise the Sec-
retary and the Under Secretary for Health with respect to policy
matters arising in connection with, and the operation of, the pro-
gram with respect to which it was appointed. Such a committee
may be a dean’s committee, a medical advisory committee, or the
like.
(b) Any such advisory committee may be established on an in-
stitution-wide, multi-disciplinary basis or on a regional basis when-
ever establishment on such a basis is found to be feasible.
(c) Members of each such advisory committee shall be ap-
pointed by the Secretary and shall include personnel of the Depart-
ment (including appropriate representation from the full-time staff)
and of the entity with which the Secretary has entered into the
contract or agreement. The number of members, and terms of
members, of each advisory committee shall be prescribed by the
Secretary.
(d) The Secretary shall require that the Chief of the Nursing
Service (or the designee of the Chief) at each Department health-
care facility be included in the membership of each policymaking
committee at that facility. Such committees include: (1) committees
relating to matters such as budget, education, position manage-
ment, clinical executive issues, planning, and resource allocation,
and (2) the dean’s committee or other advisory committee estab-
lished under subsection (a).
§ 7314. Geriatric research, education, and clinical centers
(a) The Secretary, upon the recommendation of the Under Sec-
retary for Health and pursuant to the provisions of this section,
shall designate not more than 25 Department health-care facilities
as the locations for centers of geriatric research, education, and
clinical activities and (subject to the appropriation of sufficient
funds for such purpose) shall establish and operate such centers at
such locations in accordance with this section.
(b) In designating locations for centers under subsection (a),
the Secretary, upon the recommendation of the Under Secretary for
Health, shall—
(1) designate each Department health-care facility that as
of August 26, 1980, was operating a geriatric research, edu-
cation, and clinical center unless (on the recommendation of
the Under Secretary for Health) the Secretary determines that
such facility does not meet the requirements of subsection (c)
or has not demonstrated effectiveness in carrying out the es-
tablished purposes of such center or the purposes of title III of
the Veterans’ Administration Health-Care Amendments of

1980 (Public Law 96–330; 94 Stat. 1048) or the potential to
carry out such purposes effectively in the reasonably foresee-
able future; and
(2) assure appropriate geographic distribution of such fa-
cilities.
(c) The Secretary may not designate a health-care facility as a
location for a center under subsection (a) unless the peer review
panel established under subsection (d) has determined under that
subsection that the proposal submitted by such facility as a loca-
tion for a new center under subsection (a) is among those proposals
which have met the highest competitive standards of scientific and
clinical merit, and the Secretary (upon the recommendation of the
Under Secretary for Health) determines that the facility has (or
may reasonably be anticipated to develop) each of the following:
(1) An arrangement with an accredited medical school
which provides education and training in geriatrics and with
which such facility is affiliated under which residents receive
education and training in geriatrics through regular rotation
through such center and through nursing home, extended care,
or domiciliary units of such facility so as to provide such resi-
dents with training in the diagnosis and treatment of chronic
diseases of older individuals, including cardiopulmonary condi-
tions, senile dementia, and neurological disorders.
(2) An arrangement under which nursing or allied health
personnel receive training and education in geriatrics through
regular rotation through nursing home, extended care, or domi-
ciliary units of such facility.
(3) The ability to attract the participation of scientists who
are capable of ingenuity and creativity in health-care research
efforts.
(4) A policymaking advisory committee composed of appro-
priate health-care and research representatives of the facility
and of the affiliated school or schools to advise the directors of
such facility and such center on policy matters pertaining to
the activities of such center during the period of the operation
of such center.
(5) The capability to conduct effectively evaluations of the
activities of such center.
(d)(1) In order to provide advice to assist the Secretary and the
Under Secretary for Health in carrying out their responsibilities
under this section, the Assistant Under Secretary for Health de-
scribed in section 7306(b)(3) of this title shall establish a panel to
assess the scientific and clinical merit of proposals that are sub-
mitted to the Secretary for the establishment of new centers under
this section.
(2) The membership of the panel shall consist of experts in the
fields of geriatric and gerontological research, education, and clin-
ical care. Members of the panel shall serve as consultants to the
Department for a period of no longer than six months.
(3) The panel shall review each proposal submitted to the
panel by the Assistant Under Secretary and shall submit its views
on the relative scientific and clinical merit of each such proposal
to the Assistant Under Secretary.
(4) The panel shall not be subject to the Federal Advisory Com-
mittee Act.
(e) Before providing funds for the operation of any such center
at a health-care facility other than a health-care facility designated
under subsection (b)(1), the Secretary shall assure that the center
at each facility designated under such subsection is receiving ade-
quate funding to enable such center to function effectively in the
areas of geriatric research, education, and clinical activities.
(f) There are authorized to be appropriated such sums as may
be necessary for the support of the research and education activi-
ties of the centers established pursuant to subsection (a). The
Under Secretary for Health shall allocate to such centers from
other funds appropriated generally for the Department medical
services account and medical and prosthetics research account, as
appropriate, such amounts as the Under Secretary for Health de-
termines appropriate.
(g) Activities of clinical and scientific investigation at each cen-
ter established under subsection (a) shall be eligible to compete for
the award of funding from funds appropriated for the Department
medical and prosthetics research account and shall receive priority
in the award of funding from such account insofar as funds are
awarded to projects for research in geriatrics and gerontology.
Pub. L. 102–83, Sec. 4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404; Pub. L. 102–405, title
III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 102–585, title V, Sec. 521,
Nov. 4, 1992, 106 Stat. 4958; Pub. L. 103–446, title XII, Sec. 1201(c)(4), 1202(b)(2),
Nov. 2, 1994, 108 Stat. 4683, 4689; Pub. L. 110–387, title IX, Sec. 901(a)(8), Oct.
10, 2008, 122 Stat. 4142.)
§ 7315. Geriatrics and Gerontology Advisory Committee
(a) The Secretary shall establish in the Veterans Health Ad-
ministration a Geriatrics and Gerontology Advisory Committee
(hereinafter in this section referred to as the ‘‘Committee’’). The
membership of the Committee shall be appointed by the Secretary,
upon the recommendation of the Under Secretary for Health, and
shall include individuals who are not employees of the Federal
Government and who have demonstrated interest and expertise in
research, education, and clinical activities related to aging and at
least one representative of a national veterans service organization.
The Secretary, upon the recommendation of the Under Secretary
for Health, shall invite representatives of other appropriate depart-
ments and agencies of the United States to participate in the ac-
tivities of the Committee and shall provide the Committee with
such staff and other support as may be necessary for the Com-
mittee to carry out effectively its functions under this section.
(b) The Committee shall—
(1) advise the Under Secretary for Health on all matters
pertaining to geriatrics and gerontology;
(2) assess, through an evaluation process (including a site
visit conducted not later than three years after the date of the
establishment of each new center and not later than two years
after the date of the last evaluation of those centers in oper-
ation on August 26, 1980), the ability of each center estab-
lished under section 7314 of this title to achieve its established
purposes and the purposes of title III of the Veterans’ Adminis-
tration Health-Care Amendments of 1980 (Public Law 96–330;

94 Stat. 1048);
(3) assess the capability of the Department to provide high
quality geriatric services, extended services, and other health-
care services to eligible older veterans, taking into consider-
ation the likely demand for such services from such veterans;
(4) assess the current and projected needs of eligible older
veterans for geriatric services, extended-care services, and
other health-care services from the Department and its activi-
ties and plans designed to meet such needs; and
(5) perform such additional functions as the Secretary or
Under Secretary for Health may direct.
(c)(1) The Committee shall submit to the Secretary, through
the Under Secretary for Health, such reports as the Committee
considers appropriate with respect to its findings and conclusions
under subsection (b). Such reports shall include the following:
(A) Descriptions of the operations of the centers of geriatric
research, education, and clinical activities established pursuant
to section 7314 of this title.
(B) Assessments of the quality of the operations of such
centers.
(C) An assessment of the extent to which the Department,
through the operation of such centers and other health-care fa-
cilities and programs, is meeting the needs of eligible older vet-
erans for geriatric services, extended-care services, and other
health-care services.
(D) Assessments of and recommendations for correcting
any deficiencies in the operations of such centers.
(E) Recommendations for such other geriatric services, ex-
tended-care services, and other health-care services as may be
needed to meet the needs of older veterans.
(2) Whenever the Committee submits a report to the Secretary
under paragraph (1), the Committee shall at the same time trans-
mit a copy of the report in the same form to the appropriate com-
mittees of Congress. Not later than 90 days after receipt of a report
under that paragraph, the Secretary shall submit to the appro-
priate committees of Congress a report containing any comments
and recommendations of the Secretary with respect to the report of
the Committee.
I, Sec. 102, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1973, 1984; Pub. L. 103–
446, title XII, Sec. 1201(i)(9), 1202(b)(2), Nov. 2, 1994, 108 Stat. 4688, 4689; Pub.
L. 107–330, title III, Sec. 308(g)(13), Dec. 6, 2002, 116 Stat. 2829.)
§ 7316. Malpractice and negligence suits: defense by United

States
(a)(1) The remedy—
(A) against the United States provided by sections 1346(b)
and 2672 of title 28, or
(B) through proceedings for compensation or other benefits
from the United States as provided by any other law, where
the availability of such benefits precludes a remedy under sec-
tion 1346(b) or 2672 of title 28,
for damages for personal injury, including death, allegedly arising

from malpractice or negligence of a health care employee of the Ad-
ministration in furnishing health care or treatment while in the ex-
ercise of that employee’s duties in or for the Administration shall
be exclusive of any other civil action or proceeding by reason of the
same subject matter against the health care employee (or employ-
ee’s estate) whose act or omission gave rise to such claim.
(2) For purposes of paragraph (1), the term ‘‘health care em-
ployee of the Administration’’ means a physician, dentist, podia-
trist, chiropractor, optometrist, nurse, physician assistant, ex-
panded-function dental auxiliary, pharmacist, or paramedical (such
as medical and dental technicians, nursing assistants, and thera-
pists), or other supporting personnel.
(b) The Attorney General shall defend any civil action or pro-
ceeding brought in any court against any person referred to in sub-
section (a) (or such person’s estate) for any such damage or injury.
Any such person against whom such civil action or proceeding is
brought shall deliver within such time after date of service or
knowledge of service as determined by the Attorney General, all
process served upon such person or an attested true copy thereof
to such person’s immediate superior or to whomever was des-
ignated by the Secretary to receive such papers and such person
shall promptly furnish copies of the pleading and process therein
to the United States attorney for the district embracing the place
wherein the proceeding is brought, to the Attorney General, and to
the Secretary.
(c) Upon a certification by the Attorney General that the de-
fendant was acting in the scope of such person’s employment in or
for the Administration at the time of the incident out of which the
suit arose, any such civil action or proceeding commenced in a
State court shall be removed without bond at any time before trial
by the Attorney General to the district court of the United States
of the district and division embracing the place wherein it is pend-
ing and the proceeding deemed a tort action brought against the
United States under the provisions of title 28 and all references
thereto. After removal the United States shall have available all
defenses to which it would have been entitled if the action had
originally been commenced against the United States. Should a
United States district court determine on a hearing on a motion to
remand held before a trial on the merits that the employee whose
act or omission gave rise to the suit was not acting within the
scope of such person’s office or employment, the case shall be re-
manded to the State court.
(d) The Attorney General may compromise or settle any claim
asserted in such civil action or proceeding in the manner provided
in section 2677 of title 28, and with the same effect.
(e) The Secretary may, to the extent the Secretary considers
appropriate, hold harmless or provide liability insurance for any
person to whom the immunity provisions of this section apply (as
described in subsection (a)), for damage for personal injury or
death, or for property damage, negligently caused by such person
while furnishing medical care or treatment (including the conduct
of clinical studies or investigations) in the exercise of such person’s
duties in or for the Administration, if such person is assigned to
a foreign country, detailed to State or political division thereof, or

is acting under any other circumstances which would preclude the
remedies of an injured third person against the United States, pro-
vided by sections 1346(b) and 2672 of title 28, for such damage or
injury.
(f) The exception provided in section 2680(h) of title 28 shall
not apply to any claim arising out of a negligent or wrongful act
or omission of any person described in subsection (a) in furnishing
medical care or treatment (including medical care or treatment fur-
nished in the course of a clinical study or investigation) while in
the exercise of such person’s duties in or for the Administration.
Pub. L. 108–170, title III, Sec. 302(e), Dec. 6, 2003, 117 Stat. 2058.)
§ 7317. Hazardous research projects: indemnification of con-
tractors
(a)(1) With the approval of the Secretary, any contract or re-
search authorized by section 7303 of this title, the performance of
which involves a risk of an unusually hazardous nature, may pro-
vide that the United States will indemnify the contractor as pro-
vided in paragraph (2), but only to the extent that the liability,
loss, or damage concerned arises out of the direct performance of
the contract and to the extent not covered by the financial protec-
tion required under subsection (e).
(2) Indemnity under paragraph (1) is indemnity against either
or both of the following:
(A) Liability (including reasonable expenses of litigation or
settlement) to third persons, except liability under State or
Federal workers’ injury compensation laws to employees of the
contractor employed at the site of and in connection with the
contract for which indemnification is granted, for death, bodily
injury, or loss of or damage to property, from a risk that the
contract defines as unusually hazardous.
(B) Loss of or damage to property of the contractor from
a risk that the contract defines as unusually hazardous.
(b) A contract that provides for indemnification in accordance
with subsection (a) must also provide for—
(1) notice to the United States of any claim or suit against
the contractor for death, bodily injury, or loss of or damage to
property; and
(2) control of or assistance in the defense by the United
States, at its election, of any such suit or claim for which in-
demnification is provided hereunder.
(c) A payment may not be made under subsection (a) unless
the Secretary certifies that the amount is just and reasonable.
(d) Upon approval by the Secretary, payments under sub-
section (a) may be made from—
(1) funds obligated for the performance of the contract con-
cerned;
(2) funds available for research or development or both,
and not otherwise obligated; or
(3) funds appropriated for those payments.
(e) Each contractor which is a party to an indemnification
agreement under subsection (a) shall have and maintain financial
protection of such type and in such amounts as the Secretary shall

require to cover liability to third persons and loss of or damage to
the contractor’s property. The amount of financial protection re-
quired shall be the maximum amount of insurance available from
private sources, except that the Secretary may establish a lesser
amount, taking into consideration the cost and terms of private in-
surance. Such financial protection may include private insurance,
private contractual indemnities, self-insurance, other proof of fi-
nancial responsibility, or a combination of such measures.
(f) In administering the provisions of this section, the Secretary
may use the facilities and services of private insurance organiza-
tions and may contract to pay a reasonable compensation therefor.
Any contract made under the provisions of this section may be
made without regard to the provisions of section 3709 of the Re-
vised Statutes (41 U.S.C. 5), upon a showing by the Secretary that
advertising is not reasonably practicable, and advance payments
may be made under any such contract.
(g) The authority to indemnify contractors under this section
does not create any rights in third persons which would not other-
wise exist by law.
(h) Funds appropriated to carry out this section shall remain
available until expended.
(i) In this section, the term ‘‘contractor’’ includes subcontrac-
tors of any tier under a contract containing an indemnification pro-
vision pursuant to subsection (a).
(Added Pub. L. 102–40, title IV, Sec. 401(a)(3), May 7, 1991, 105 Stat. 220.)
§ 7318. National Center for Preventive Health

(a)(1) The Under Secretary for Health shall establish and oper-
ate in the Veterans Health Administration a National Center for
Preventive Health (hereinafter in this section referred to as the
‘‘Center’’). The Center shall be located at a Department health care
facility.
(2) The head of the Center is the Director of Preventive Health
(hereinafter in this section referred to as the ‘‘Director’’).
(3) The Under Secretary for Health shall provide the Center
with such staff and other support as may be necessary for the Cen-
ter to carry out effectively its functions under this section.
(b) The purposes of the Center are the following:
(1) To provide a central office for monitoring and encour-
aging the activities of the Veterans Health Administration
with respect to the provision, evaluation, and improvement of
preventive health services.
(2) To promote the expansion and improvement of clinical,
research, and educational activities of the Veterans Health Ad-
ministration with respect to such services.
(c) In carrying out the purposes of the Center, the Director
shall do the following:
(1) Develop and maintain current information on clinical
activities of the Veterans Health Administration relating to
preventive health services, including activities relating to—
(A) the on-going provision of regularly-furnished serv-
ices; and
(B) patient education and screening programs carried

out throughout the Administration.
(2) Develop and maintain detailed current information on
research activities of the Veterans Health Administration re-
lating to preventive health services.
(3) In order to encourage the effective provision of preven-
tive health services by Veterans Health Administration per-
sonnel—
(A) ensure the dissemination to such personnel of any
appropriate information on such services that is derived
from research carried out by the Administration; and
(B) acquire and ensure the dissemination to such per-
sonnel of any appropriate information on research and
clinical practices relating to such services that are carried
out by researchers, clinicians, and educators who are not
affiliated with the Administration.
(4) Facilitate the optimal use of the unique resources of
the Department for cooperative research into health outcomes
by initiating recommendations, and responding to requests of
the Under Secretary for Health and the Director of the Medical
and Prosthetic Research Service, for such research into preven-
tive health services.
(5) Provide advisory services to personnel of Department
health-care facilities with respect to the planning or furnishing
of preventive health services by such personnel.
(d) There is authorized to be appropriated $1,500,000 to the
Medical Care General and Special Fund of the Department of Vet-
erans Affairs for each fiscal year for the purpose of permitting the
National Center for Preventive Health to carry out research, clin-
ical, educational, and administrative activities under this section.
Such activities shall be considered to be part of the operation of
health-care facilities of the Department without regard to the loca-
tion at which such activities are carried out.
(e) In this section, the term ‘‘preventive health services’’ has
the meaning given such term in section 1701(9) of this title.
(Added Pub. L. 102–585, title V, Sec. 511(a)(1), Nov. 4, 1992, 106 Stat. 4955; amend-
ed Pub. L. 103–446, title XII, Sec. 1201(c)(5), Nov. 2, 1994, 108 Stat. 4683.)
§ 7319. Mammography quality standards

(a) A mammogram may not be performed at a Department fa-
cility unless that facility is accredited for that purpose by a private
nonprofit organization designated by the Secretary. An organiza-
tion designated by the Secretary under this subsection shall meet
the standards for accrediting bodies established under subsection
(e) of section 354 of the Public Health Service Act (42 U.S.C. 263b).
(b) The Secretary, in consultation with the Secretary of Health
and Human Services, shall prescribe quality assurance and quality
control standards relating to the performance and interpretation of
mammograms and use of mammogram equipment and facilities of
the Department of Veterans Affairs consistent with the require-
ments of section 354(f)(1) of the Public Health Service Act. Such
standards shall be no less stringent than the standards prescribed
by the Secretary of Health and Human Services under section
354(f) of the Public Health Service Act.
(c)(1) The Secretary, to ensure compliance with the standards

prescribed under subsection (b), shall provide for an annual inspec-
tion of the equipment and facilities used by and in Department
health care facilities for the performance of mammograms. Such in-
spections shall be carried out in a manner consistent with the in-
spection of certified facilities by the Secretary of Health and
Human Services under section 354(g) of the Public Health Service
Act.
(2) The Secretary may not provide for an inspection under
paragraph (1) to be performed by a State agency.
(d) The Secretary shall ensure that mammograms performed
for the Department under contract with any non-Department facil-
ity or provider conform to the quality standards prescribed by the
Secretary of Health and Human Services under section 354 of the
Public Health Service Act.
(e) For the purposes of this section, the term ‘‘mammogram’’
has the meaning given such term in paragraph (5) of section 354(a)
of the Public Health Service Act.
(Added Pub. L. 104–262, title III, Sec. 321(a)(1), Oct. 9, 1996, 110 Stat. 3195.)
§ 7320. Centers for mental illness research, education, and

clinical activities
(a) The purpose of this section is to provide for the improve-
ment of the provision of health-care services and related counseling
services to eligible veterans suffering from mental illness (espe-
cially mental illness related to service-related conditions) through—
(1) the conduct of research (including research on improv-
ing mental health service facilities of the Department and on
improving the delivery of mental health services by the De-
partment);
(2) the education and training of health care personnel of
the Department; and
(3) the development of improved models and systems for
the furnishing of mental health services by the Department.
(b)(1) The Secretary shall establish and operate centers for
mental illness research, education, and clinical activities. Such cen-
ters shall be established and operated by collaborating Department
facilities as provided in subsection (c)(1). Each such center shall
function as a center for—
(A) research on mental health services;
(B) the use by the Department of specific models for fur-
nishing services to treat serious mental illness;
(C) education and training of health-care professionals of
the Department; and
(D) the development and implementation of innovative
clinical activities and systems of care with respect to the deliv-
ery of such services by the Department.
(2) The Secretary shall, upon the recommendation of the Under
Secretary for Health, designate the centers under this section. In
making such designations, the Secretary shall ensure that the cen-
ters designated are located in various geographic regions of the
United States. The Secretary may designate a center under this
section only if—
(A) the proposal submitted for the designation of the cen-

ter meets the requirements of subsection (c);
(B) the Secretary makes the finding described in sub-
section (d); and
(C) the peer review panel established under subsection (e)
makes the determination specified in subsection (e)(3) with re-
spect to that proposal.
(3) Not more than five centers may be designated under this
section.
(4) The authority of the Secretary to establish and operate cen-
ters under this section is subject to the appropriation of funds for
that purpose.
(c) A proposal submitted for the designation of a center under
this section shall—
(1) provide for close collaboration in the establishment and
operation of the center, and for the provision of care and the
conduct of research and education at the center, by a Depart-
ment facility or facilities in the same geographic area which
have a mission centered on care of the mentally ill and a De-
partment facility in that area which has a mission of providing
tertiary medical care;
(2) provide that no less than 50 percent of the funds appro-
priated for the center for support of clinical care, research, and
education will be provided to the collaborating facility or facili-
ties that have a mission centered on care of the mentally ill;
and
(3) provide for a governance arrangement between the col-
laborating Department facilities which ensures that the center
will be established and operated in a manner aimed at improv-
ing the quality of mental health care at the collaborating facil-
ity or facilities which have a mission centered on care of the
mentally ill.
(d) The finding referred to in subsection (b)(2)(B) with respect
to a proposal for designation of a site as a location of a center
under this section is a finding by the Secretary, upon the rec-
ommendation of the Under Secretary for Health, that the facilities
submitting the proposal have developed (or may reasonably be an-
ticipated to develop) each of the following:
(1) An arrangement with an accredited medical school that
provides education and training in psychiatry and with which
one or more of the participating Department facilities is affili-
ated under which medical residents receive education and
training in psychiatry through regular rotation through the
participating Department facilities so as to provide such resi-
dents with training in the diagnosis and treatment of mental
illness.
(2) An arrangement with an accredited graduate program
of psychology under which students receive education and
training in clinical, counseling, or professional psychology
through regular rotation through the participating Department
facilities so as to provide such students with training in the di-
agnosis and treatment of mental illness.
(3) An arrangement under which nursing, social work,
counseling, or allied health personnel receive training and edu-
cation in mental health care through regular rotation through

the participating Department facilities.
(4) The ability to attract scientists who have demonstrated
achievement in research—
(A) into the evaluation of innovative approaches to the
design of mental health services; or
(B) into the causes, prevention, and treatment of men-
tal illness.
(5) The capability to evaluate effectively the activities of
the center, including activities relating to the evaluation of
specific efforts to improve the quality and effectiveness of men-
tal health services provided by the Department at or through
individual facilities.
(e)(1) In order to provide advice to assist the Secretary and the
Under Secretary for Health to carry out their responsibilities under
this section, the official within the central office of the Veterans
Health Administration responsible for mental health and behav-
ioral sciences matters shall establish a peer review panel to assess
the scientific and clinical merit of proposals that are submitted to
the Secretary for the designation of centers under this section.
(2) The panel shall consist of experts in the fields of mental
health research, education and training, and clinical care. Members
of the panel shall serve as consultants to the Department.
panel by the official referred to in paragraph (1) and shall submit
to that official its views on the relative scientific and clinical merit
of each such proposal. The panel shall specifically determine with
respect to each such proposal whether that proposal is among those
proposals which have met the highest competitive standards of sci-
entific and clinical merit.
mittee Act (5 U.S.C. App.).
(f) Clinical and scientific investigation activities at each center
established under this section—
(1) may compete for the award of funding from amounts
appropriated for the Department of Veterans Affairs medical
and prosthetics research account; and
(2) shall receive priority in the award of funding from such
account insofar as funds are awarded to projects and activities
relating to mental illness.
(g) The Under Secretary for Health shall ensure that at least
three centers designated under this section emphasize research
into means of improving the quality of care for veterans suffering
from mental illness through the development of community-based
alternatives to institutional treatment for such illness.
(h) The Under Secretary for Health shall ensure that informa-
tion produced by the research, education and training, and clinical
activities of centers established under this section that may be use-
ful for other activities of the Veterans Health Administration is dis-
seminated throughout the Veterans Health Administration. Such
dissemination shall be made through publications, through pro-
grams of continuing medical and related education provided
through regional medical education centers under subchapter VI of
chapter 74 of this title, and through other means. Such programs
of continuing medical education shall receive priority in the award

of funding.
(i) The official within the central office of the Veterans Health
Administration responsible for mental health and behavioral
sciences matters shall be responsible for supervising the operation
of the centers established pursuant to this section and shall pro-
vide for ongoing evaluation of the centers and their compliance
with the requirements of this section.
(j)(1) There are authorized to be appropriated to the Depart-
ment of Veterans Affairs for the basic support of the research and
education and training activities of centers established pursuant to
this section amounts as follows:
(A) $3,125,000 for fiscal year 1998.
(B) $6,250,000 for each of fiscal years 1999 through 2001.
(2) In addition to funds appropriated for a fiscal year pursuant
to the authorization of appropriations in paragraph (1), the Under
Secretary for Health shall allocate to such centers from other funds
appropriated for that fiscal year generally for the Department of
Veterans Affairs medical services account and the Department of
Veterans Affairs medical and prosthetics research account such
amounts as the Under Secretary for Health determines appropriate
to carry out the purposes of this section.
(Added Pub. L. 104–262, title III, Sec. 334(a)(1), Oct. 9, 1996, 110 Stat. 3200;
amended Pub. L. 110–387, title IX, Sec. 901(a)(8), Oct. 10, 2008, 122 Stat. 4142.)
§ 7321. Committee on Care of Severely Chronically Mentally

Ill Veterans
(a) The Secretary, acting through the Under Secretary for
Health, shall establish in the Veterans Health Administration a
Committee on Care of Severely Chronically Mentally Ill Veterans.
The Under Secretary shall appoint employees of the Department
with expertise in the care of the chronically mentally ill to serve
on the committee.
(b) The committee shall assess, and carry out a continuing as-
sessment of, the capability of the Veterans Health Administration
to meet effectively the treatment and rehabilitation needs of men-
tally ill veterans whose mental illness is severe and chronic and
who are eligible for health care furnished by the Department, in-
cluding the needs of such veterans who are women. In carrying out
that responsibility, the committee shall—
(1) evaluate the care provided to such veterans through
the Veterans Health Administration;
(2) identify systemwide problems in caring for such vet-
erans in facilities of the Veterans Health Administration;
(3) identify specific facilities within the Veterans Health
Administration at which program enrichment is needed to im-
prove treatment and rehabilitation of such veterans; and
(4) identify model programs which the committee considers
to have been successful in the treatment and rehabilitation of
such veterans and which should be implemented more widely
in or through facilities of the Veterans Health Administration.
(c) The committee shall—
(1) advise the Under Secretary regarding the development

of policies for the care and rehabilitation of severely chronically
mentally ill veterans; and
(2) make recommendations to the Under Secretary—
(A) for improving programs of care of such veterans at
specific facilities and throughout the Veterans Health Ad-
ministration;
(B) for establishing special programs of education and
training relevant to the care of such veterans for employ-
ees of the Veterans Health Administration;
(C) regarding research needs and priorities relevant to
the care of such veterans; and
(D) regarding the appropriate allocation of resources
for all such activities.
(d)(1) Not later than April 1, 1997, the Secretary shall submit
to the Committees on Veterans’ Affairs of the Senate and House of
Representatives a report on the implementation of this section. The
report shall include the following:
(A) A list of the members of the committee.
(B) The assessment of the Under Secretary for Health,
after review of the initial findings of the committee, regarding
the capability of the Veterans Health Administration, on a sys-
temwide and facility-by-facility basis, to meet effectively the
treatment and rehabilitation needs of severely chronically men-
tally ill veterans who are eligible for Department care.
(C) The plans of the committee for further assessments.
(D) The findings and recommendations made by the com-
mittee to the Under Secretary for Health and the views of the
Under Secretary on such findings and recommendations.
(E) A description of the steps taken, plans made (and a
timetable for their execution), and resources to be applied to-
ward improving the capability of the Veterans Health Adminis-
tration to meet effectively the treatment and rehabilitation
needs of severely chronically mentally ill veterans who are eli-
gible for Department care.
(2) Not later than June 1 of each year through 2012, the Sec-
retary shall submit to the Committees on Veterans’ Affairs of the
Senate and House of Representatives a report containing informa-
tion updating the reports submitted under this subsection before
the submission of such report.
(Added Pub. L. 104–262, title III, Sec. 335(a), Oct. 9, 1996, 110 Stat. 3204; amended
Pub. L. 106–419, title IV, Sec. 402(f), Nov. 1, 2000, 114 Stat. 1863; Pub. L. 108–
170, title IV, Sec. 405(c), Dec. 6, 2003, 117 Stat. 2063; Pub. L. 110–387, title VIII,
Sec. 807, Oct. 10, 2008, 122 Stat. 4141.)
§ 7322. Breast cancer mammography policy

(a) The Under Secretary for Health shall develop a national
policy for the Veterans Health Administration on mammography
screening for veterans.
(b) The policy developed under subsection (a) shall—
(1) specify standards of mammography screening;
(2) provide recommendations with respect to screening,
and the frequency of screening, for—
(A) women veterans who are over the age of 39; and
(B) veterans, without regard to age, who have clinical

symptoms, risk factors, or family history of breast cancer;
and
(3) provide for clinician discretion.
(Added Pub. L. 105–114, title II, Sec. 208(a)(1), Nov. 21, 1997, 111 Stat. 2289.)
§ 7323. Required consultations with nurses

The Under Secretary for Health shall ensure that—
(1) the director of a geographic service area, in formulating
policy relating to the provision of patient care, shall consult
regularly with a senior nurse executive or senior nurse execu-
tives; and
(2) the director of a medical center shall include a reg-
istered nurse as a member of any committee used at that med-
ical center to provide recommendations or decisions on medical
center operations or policy affecting clinical services, clinical
outcomes, budget, or resources.
(Added Pub. L. 106–419, title II, Sec. 201(b)(1), Nov. 1, 2000, 114 Stat. 1840.)
§ 7324. Annual report on use of authorities to enhance re-

tention of experienced nurses
(a) ANNUAL REPORT.—Not later than January 31 each year,
the Secretary, acting through the Under Secretary for Health, shall
submit to Congress a report on the use during the preceding year
of authorities for purposes of retaining experienced nurses in the
Veterans Health Administration, as follows:
(1) The authorities under chapter 76 of this title.
(2) The authority under VA Directive 5102.1, relating to
the Department of Veterans Affairs nurse qualification stand-
ard, dated November 10, 1999, or any successor directive.
(3) Any other authorities available to the Secretary for
those purposes.
(b) REPORT ELEMENTS.—Each report under subsection (a) shall
specify for the period covered by such report, for each Department
medical facility and for each geographic service area of the Depart-
ment, the following:
(1) The number of waivers requested under the authority
referred to in subsection (a)(2), and the number of waivers
granted under that authority, to promote to the Nurse II grade
or Nurse III grade under the Nurse Schedule under section
7404(b)(1) of this title any nurse who has not completed a bac-
calaureate degree in nursing in a recognized school of nursing,
set forth by age, race, and years of experience of the individ-
uals subject to such waiver requests and waivers, as the case
may be.
(2) The programs carried out to facilitate the use of nurs-
ing education programs by experienced nurses, including pro-
grams for flexible scheduling, scholarships, salary replacement
pay, and on-site classes.
(Added Pub. L. 107–135, title I, Sec. 125(a)(1), Jan. 23, 2002, 115 Stat. 2452.)
§ 7325. Medical emergency preparedness centers

(a) ESTABLISHMENT OF CENTERS.—(1) The Secretary shall es-
tablish four medical emergency preparedness centers in accordance
with this section. Each such center shall be established at a De-
partment medical center and shall be staffed by Department em-
ployees.
(2) The Under Secretary for Health shall be responsible for
supervising the operation of the centers established under this
section. The Under Secretary shall provide for ongoing evalua-
tion of the centers and their compliance with the requirements
of this section.
(3) The Under Secretary shall carry out the Under Sec-
retary’s functions under paragraph (2) in consultation with the
Assistant Secretary of Veterans Affairs with responsibility for
operations, preparedness, security, and law enforcement func-
tions.
(b) MISSION.—The mission of the centers shall be as follows:
(1) To carry out research on, and to develop methods of de-
tection, diagnosis, prevention, and treatment of injuries, dis-
eases, and illnesses arising from the use of chemical, biological,
radiological, incendiary or other explosive weapons or devices
posing threats to the public health and safety.
(2) To provide education, training, and advice to health
care professionals, including health care professionals outside
the Veterans Health Administration, through the National Dis-
aster Medical System established pursuant to section 2811(b)
of the Public Health Service Act (42 U.S.C. 300hh-11(b)) or
through interagency agreements entered into by the Secretary
for that purpose.
(3) In the event of a disaster or emergency referred to in
section 1785(b) of this title, to provide such laboratory, epide-
miological, medical, or other assistance as the Secretary con-
siders appropriate to Federal, State, and local health care
agencies and personnel involved in or responding to the dis-
aster or emergency.
(c) SELECTION OF CENTERS.—(1) The Secretary shall select the
sites for the centers on the basis of a competitive selection process.
The Secretary may not designate a site as a location for a center
under this section unless the Secretary makes a finding under
paragraph (2) with respect to the proposal for the designation of
such site. To the maximum extent practicable, the Secretary shall
ensure the geographic dispersal of the sites throughout the United
States. Any such center may be a consortium of efforts of more
than one medical center.
(2) A finding by the Secretary referred to in paragraph (1) with
respect to a proposal for designation of a site as a location of a cen-
ter under this section is a finding by the Secretary, upon the rec-
ommendations of the Under Secretary for Health and the Assistant
Secretary with responsibility for operations, preparedness, security,
and law enforcement functions, that the facility or facilities submit-
ting the proposal have developed (or may reasonably be anticipated
to develop) each of the following:
(A) An arrangement with a qualifying medical school and

a qualifying school of public health (or a consortium of such
schools) under which physicians and other persons in the
health field receive education and training through the partici-
pating Department medical facilities so as to provide those per-
sons with training in the detection, diagnosis, prevention, and
treatment of injuries, diseases, and illnesses induced by expo-
sures to chemical and biological substances, radiation, and in-
cendiary or other explosive weapons or devices.
(B) An arrangement with a graduate school specializing in
epidemiology under which students receive education and
training in epidemiology through the participating Department
facilities so as to provide such students with training in the ep-
idemiology of contagious and infectious diseases and chemical
and radiation poisoning in an exposed population.
(C) An arrangement under which nursing, social work,
counseling, or allied health personnel and students receive
training and education in recognizing and caring for conditions
associated with exposures to toxins through the participating
Department facilities.
(D) The ability to attract scientists who have made signifi-
cant contributions to the development of innovative approaches
to the detection, diagnosis, prevention, or treatment of injuries,
diseases, and illnesses arising from the use of chemical, biologi-
cal, radiological, incendiary or other explosive weapons or de-
vices posing threats to the public health and safety.
(3) For purposes of paragraph (2)(A)—
(A) a qualifying medical school is an accredited medical
school that provides education and training in toxicology and
environmental health hazards and with which one or more of
the participating Department medical centers is affiliated; and
(B) a qualifying school of public health is an accredited
school of public health that provides education and training in
toxicology and environmental health hazards and with which
one or more of the participating Department medical centers is
affiliated.
(d) RESEARCH ACTIVITIES.—Each center shall conduct research
on improved medical preparedness to protect the Nation from
threats in the area of that center’s expertise. Each center may seek
research funds from public and private sources for such purpose.
(e) DISSEMINATION OF RESEARCH PRODUCTS.—(1) The Under
Secretary for Health and the Assistant Secretary with responsi-
bility for operations, preparedness, security, and law enforcement
functions shall ensure that information produced by the research,
education and training, and clinical activities of centers established
under this section is made available, as appropriate, to health-care
providers in the United States. Dissemination of such information
shall be made through publications, through programs of con-
tinuing medical and related education provided through regional
medical education centers under subchapter VI of chapter 74 of
this title, and through other means. Such programs of continuing
medical education shall receive priority in the award of funding.
(2) The Secretary shall ensure that the work of the centers is
conducted in close coordination with other Federal departments
and agencies and that research products or other information of the

centers shall be coordinated and shared with other Federal depart-
ments and agencies.
(f) COORDINATION OF ACTIVITIES.—The Secretary shall take ap-
propriate actions to ensure that the work of each center is carried
out—
(1) in close coordination with the Department of Defense,
the Department of Health and Human Services, and other de-
partments, agencies, and elements of the Government charged
with coordination of plans for United States homeland security;
and
(2) after taking into consideration applicable recommenda-
tions of the working group on the prevention, preparedness,
and response to bioterrorism and other public health emer-
gencies established under section 319F(a) of the Public Health
Service Act (42 U.S.C. 247d-6(a)) or any other joint interagency
advisory group or committee designated by the President or
the President’s designee to coordinate Federal research on
(g) ASSISTANCE TO OTHER AGENCIES.—The Secretary may pro-
vide assistance requested by appropriate Federal, State, and local
civil and criminal authorities in investigations, inquiries, and data
analyses as necessary to protect the public safety and prevent or
obviate biological, chemical, or radiological threats.
(h) DETAIL OF EMPLOYEES FROM OTHER AGENCIES.—Upon ap-
proval by the Secretary, the Director of a center may request the
temporary assignment or detail to the center, on a nonreimburs-
able basis, of employees from other departments and agencies of
the United States who have expertise that would further the mis-
sion of the center. Any such employee may be so assigned or de-
tailed on a nonreimbursable basis pursuant to such a request.
(i) FUNDING.—(1) Amounts appropriated for the activities of
the centers under this section shall be appropriated separately
from amounts appropriated for the Department for medical care.
(2) In addition to funds appropriated for a fiscal year specifi-
cally for the activities of the centers pursuant to paragraph (1), the
Under Secretary for Health shall allocate to such centers from
other funds appropriated for that fiscal year generally for the De-
partment medical services account and the Department medical
and prosthetics research account such amounts as the Under Sec-
retary determines appropriate to carry out the purposes of this sec-
tion. Any determination by the Under Secretary under the pre-
ceding sentence shall be made in consultation with the Assistant
and law enforcement functions.
(3) There are authorized to be appropriated for the centers
under this section $20,000,000 for each of fiscal years 2003 through
2007.
L. 110–387, title IX, Sec. 901(a)(8), Oct. 10, 2008, 122 Stat. 4142.)
§ 7326. Education and training programs on medical re-

sponses to consequences of terrorist activities
(a) EDUCATION PROGRAM.—The Secretary shall carry out a pro-
gram to develop and disseminate a series of model education and
training programs on the medical responses to the consequences of
(b) IMPLEMENTING OFFICIAL.—The program shall be carried out
through the Under Secretary for Health, in consultation with the
Assistant Secretary of Veterans Affairs with responsibility for oper-
ations, preparedness, security, and law enforcement functions.
(c) CONTENT OF PROGRAMS.—The education and training pro-
grams developed under the program shall be modelled after pro-
grams established at the F. Edward Hebert School of Medicine of
the Uniformed Services University of the Health Sciences and shall
include, at a minimum, training for health care professionals in the
following:
(1) Recognition of chemical, biological, radiological, incen-
diary, or other explosive agents, weapons, or devices that may
be used in terrorist activities.
(2) Identification of the potential symptoms of exposure to
those agents.
(3) Understanding of the potential long-term health con-
sequences, including psychological effects, resulting from expo-
sure to those agents, weapons, or devices.
(4) Emergency treatment for exposure to those agents,
weapons, or devices.
(5) An appropriate course of followup treatment, sup-
portive care, and referral.
(6) Actions that can be taken while providing care for ex-
posure to those agents, weapons, or devices to protect against
contamination, injury, or other hazards from such exposure.
(7) Information on how to seek consultative support and to
report suspected or actual use of those agents.
(d) POTENTIAL TRAINEES.—In designing the education and
training programs under this section, the Secretary shall ensure
that different programs are designed for health-care professionals
in Department medical centers. The programs shall be designed to
be disseminated to health professions students, graduate health
and medical education trainees, and health practitioners in a vari-
ety of fields.
(e) CONSULTATION.—In establishing education and training
programs under this section, the Secretary shall consult with ap-
propriate representatives of accrediting, certifying, and coordi-
nating organizations in the field of health professions education.
§ 7327. Centers for research, education, and clinical activi-

ties on complex multi-trauma associated with com-
bat injuries
(a) PURPOSE.—The purpose of this section is to provide for the
improvement of the provision of health care services and related re-
habilitation and education services to eligible veterans suffering
from complex multi-trauma associated with combat injuries

through—
(1) the development of improved models and systems for
the furnishing by the Department of health care, rehabilita-
tion, and education services to veterans;
(2) the conduct of research to support the provision of such
services in accordance with the most current evidence on
multi-trauma injuries; and
(3) the education and training of health care personnel of
the Department with respect to the provision of such services.
(b) DESIGNATION OF CENTERS.—(1) The Secretary shall des-
ignate an appropriate number of cooperative centers for clinical
care, consultation, research, and education activities on combat in-
juries.
(2) Each center designated under paragraph (1) shall function
as a center for—
(A) research on the long-term effects of injuries sustained
as a result of combat in order to support the provision of serv-
ices for such injuries in accordance with the most current evi-
dence on complex multi-trauma;
(B) the development of rehabilitation methodologies for
treating individuals with complex multi-trauma; and
(C) the continuous and consistent coordination of care from
the point of referral throughout the rehabilitation process and
ongoing follow-up after return to home and community.
(3) The Secretary shall designate one of the centers designated
under paragraph (1) as the lead center for activities referred to in
that paragraph. As the lead center for such activities, such center
shall—
(A) develop and provide periodic review of research prior-
ities, and implement protocols, to ensure that projects con-
tribute to the activities of the centers designated under para-
graph (1);
(B) oversee the coordination of the professional and tech-
nical activities of such centers to ensure the quality and valid-
ity of the methodologies and statistical services for research
project leaders;
(C) develop and ensure the deployment of an efficient and
cost-effective data management system for such centers;
(D) develop and distribute educational materials and prod-
ucts to enhance the evaluation and care of individuals with
combat injuries by medical care providers of the Department
who are not specialized in the assessment and care of complex
multi-trauma;
(E) develop educational materials for individuals suffering
from combat injuries and for their families; and
(F) serve as a resource for the clinical and research infra-
structure of such centers by disseminating clinical outcomes
and research findings to improve clinical practice.
(4) The Secretary shall designate centers under paragraph (1)
upon the recommendation of the Under Secretary for Health.
(5) The Secretary may designate a center under paragraph (1)
only if the center meets the requirements of subsection (c).
(c) REQUIREMENTS FOR CENTERS.—To be designated as a center

under this section, a facility shall—
(1) be a regional lead center for the care of traumatic brain
injury;
(2) be located at a tertiary care medical center and have
on-site availability of primary and subspecialty medical serv-
ices relating to complex multi-trauma;
(3) have, or have the capacity to develop, the capability of
managing impairments associated with combat injuries;
(4) be affiliated with a school of medicine;
(5) have, or have experience with, participation in clinical
research trials;
(6) provide amputation care and rehabilitation;
(7) have pain management programs;
(8) provide comprehensive brain injury rehabilitation; and
(9) provide comprehensive general rehabilitation.
(d) ADDITIONAL RESOURCES.—The Secretary shall provide each
center designated under this section such resources as the Sec-
retary determines to be required by such center to achieve ade-
quate capability of managing individuals with complex multi-trau-
ma, including—
(1) the upgrading of blind rehabilitation services by em-
ploying or securing the services of blind rehabilitation special-
ists;
(2) employing or securing the services of occupational
therapists with blind rehabilitation training;
(3) employing or securing the services of additional mental
health services providers; and
(4) employing or securing additional rehabilitation nursing
staff to meet care needs.
(e) COOPERATION WITH DEPARTMENT OF DEFENSE.—(1) The
Secretary of Veterans Affairs may assist the Secretary of Defense
in the care of members of the Armed Forces with complex multi-
trauma at military treatment facilities by—
(A) making available, in a manner that the Secretary of
Veterans Affairs considers appropriate, certified rehabilitation
registered nurses of the Department of Veterans Affairs to
such facilities to assess and coordinate the care of such mem-
bers; and
(B) making available, in a manner that the Secretary of
Veterans Affairs considers appropriate, blind rehabilitation
specialists of the Department of Veterans Affairs to such facili-
ties to consult with the medical staff of such facilities on the
special needs of such members who have visual impairment as
a consequence of combat injury.
(2) Assistance shall be provided under this subsection through
agreements for the sharing of health-care resources under section
8111 of this title.
(f) AWARD OF FUNDING.—Centers designated under this section
may compete for the award of funding from amounts appropriated
for the Department for medical and prosthetics research.
(g) DISSEMINATION OF INFORMATION.—(1) The Under Secretary
for Health shall ensure that information produced by the centers
designated under this section that may be useful for other activi-
ties of the Veterans Health Administration is disseminated

throughout the Administration.
(2) Information shall be disseminated under this subsection
through publications, through programs of continuing medical and
related education provided through regional medical education cen-
ters under subchapter VI of chapter 74 of this title, and through
other means.
(h) NATIONAL OVERSIGHT.—The Under Secretary for Health
shall designate an appropriate officer to oversee the operation of
the centers designated under this section and provide for periodic
evaluation of the centers.
(i) AUTHORIZATION OF APPROPRIATIONS.—(1) There are author-
ized to be appropriated to the Department of Veterans Affairs for
the centers designated under this section amounts as follows:
(A) $7,000,000 for fiscal year 2005.
(B) $8,000,000 for each of fiscal years 2006 through 2008.
(2) In addition to amounts authorized to be appropriated by
paragraph (1) for a fiscal year, the Under Secretary for Health may
allocate to each center designated under this section, from other
funds authorized to be appropriated for such fiscal year for the De-
partment generally for medical and for medical and prosthetic re-
search, such amounts as the Under Secretary for Health deter-
mines appropriate to carry out the purposes of this section.
(Added Pub. L. 108–422, title III, Sec. 302(a)(1), Nov. 30, 2004, 118 Stat. 2383.)
§ 7328. Medical preparedness centers
(a) ESTABLISHMENT OF CENTERS.—(1) The Secretary shall es-
tablish four medical emergency preparedness centers in accordance
with this section. Each such center shall be established at a De-
partment medical center and shall be staffed by Department em-
ployees.
(2) The Under Secretary for Health shall be responsible for
supervising the operation of the centers established under this
section. The Under Secretary shall provide for ongoing evalua-
tion of the centers and their compliance with the requirements
of this section.
(3) The Under Secretary shall carry out the Under Sec-
retary’s functions under paragraph (2) in consultation with the
Assistant Secretary of Veterans Affairs with responsibility for
operations, preparedness, security, and law enforcement func-
tions.
(b) MISSION.—The mission of the centers shall be as follows:
(1) To carry out research on, and to develop methods of de-
tection, diagnosis, prevention, and treatment of injuries, dis-
eases, and illnesses arising from the use of chemical, biological,
radiological, incendiary or other explosive weapons or devices
posing threats to the public health and safety.
(2) To provide education, training, and advice to health
care professionals, including health care professionals outside
the Veterans Health Administration, through the National Dis-
aster Medical System established pursuant to section 2811(b)
of the Public Health Service Act (42 U.S.C. 300hh-11(b)) or
through interagency agreements entered into by the Secretary
for that purpose.
(3) In the event of a disaster or emergency referred to in

section 1785(b) of this title, to provide such laboratory, epide-
miological, medical, or other assistance as the Secretary con-
siders appropriate to Federal, State, and local health care
agencies and personnel involved in or responding to the dis-
aster or emergency.
(c) SELECTION OF CENTERS.—(1) The Secretary shall select the
sites for the centers on the basis of a competitive selection process.
The Secretary may not designate a site as a location for a center
under this section unless the Secretary makes a finding under
paragraph (2) with respect to the proposal for the designation of
such site. To the maximum extent practicable, the Secretary shall
ensure the geographic dispersal of the sites throughout the United
States. Any such center may be a consortium of efforts of more
than one medical center.
(2) A finding by the Secretary referred to in paragraph (1) with
respect to a proposal for designation of a site as a location of a cen-
ter under this section is a finding by the Secretary, upon the rec-
ommendations of the Under Secretary for Health and the Assistant
and law enforcement functions, that the facility or facilities submit-
ting the proposal have developed (or may reasonably be anticipated
to develop) each of the following:
(A) An arrangement with a qualifying medical school and
a qualifying school of public health (or a consortium of such
schools) under which physicians and other persons in the
health field receive education and training through the partici-
pating Department medical facilities so as to provide those per-
sons with training in the detection, diagnosis, prevention, and
treatment of injuries, diseases, and illnesses induced by expo-
sures to chemical and biological substances, radiation, and in-
cendiary or other explosive weapons or devices.
(B) An arrangement with a graduate school specializing in
epidemiology under which students receive education and
training in epidemiology through the participating Department
facilities so as to provide such students with training in the ep-
idemiology of contagious and infectious diseases and chemical
and radiation poisoning in an exposed population.
(C) An arrangement under which nursing, social work,
counseling, or allied health personnel and students receive
training and education in recognizing and caring for conditions
associated with exposures to toxins through the participating
Department facilities.
(D) The ability to attract scientists who have made signifi-
cant contributions to the development of innovative approaches
to the detection, diagnosis, prevention, or treatment of injuries,
diseases, and illnesses arising from the use of chemical, biologi-
cal, radiological, incendiary or other explosive weapons or de-
vices posing threats to the public health and safety.
(3) For purposes of paragraph (2)(A)—
(A) a qualifying medical school is an accredited medical
school that provides education and training in toxicology and
environmental health hazards and with which one or more of
the participating Department medical centers is affiliated; and
(B) a qualifying school of public health is an accredited

school of public health that provides education and training in
toxicology and environmental health hazards and with which
one or more of the participating Department medical centers is
affiliated.
(d) RESEARCH ACTIVITIES.—Each center shall conduct research
on improved medical preparedness to protect the Nation from
threats in the area of that center’s expertise. Each center may seek
research funds from public and private sources for such purpose.
(e) DISSEMINATION OF RESEARCH PRODUCTS.—(1) The Under
Secretary for Health and the Assistant Secretary with responsi-
bility for operations, preparedness, security, and law enforcement
functions shall ensure that information produced by the research,
education and training, and clinical activities of centers established
under this section is made available, as appropriate, to health-care
providers in the United States. Dissemination of such information
shall be made through publications, through programs of con-
tinuing medical and related education provided through regional
medical education centers under subchapter VI of chapter 74 of
this title, and through other means. Such programs of continuing
medical education shall receive priority in the award of funding.
(2) The Secretary shall ensure that the work of the centers
is conducted in close coordination with other Federal depart-
ments and agencies and that research products or other infor-
mation of the centers shall be coordinated and shared with
other Federal departments and agencies.
(f) COORDINATION OF ACTIVITIES.—The Secretary shall take ap-
propriate actions to ensure that the work of each center is carried
out—
(1) in close coordination with the Department of Defense,
the Department of Health and Human Services, and other de-
partments, agencies, and elements of the Government charged
with coordination of plans for United States homeland security;
and
(2) after taking into consideration applicable recommenda-
tions of the working group on the prevention, preparedness,
and response to bioterrorism and other public health emer-
gencies established under section 319F(a) of the Public Health
Service Act (42 U.S.C. 247d-6(a)) or any other joint interagency
advisory group or committee designated by the President or
the President’s designee to coordinate Federal research on
(g) ASSISTANCE TO OTHER AGENCIES.—The Secretary may pro-
vide assistance requested by appropriate Federal, State, and local
civil and criminal authorities in investigations, inquiries, and data
analyses as necessary to protect the public safety and prevent or
obviate biological, chemical, or radiological threats.
(h) DETAIL OF EMPLOYEES FROM OTHER AGENCIES.—Upon ap-
proval by the Secretary, the Director of a center may request the
temporary assignment or detail to the center, on a nonreimburs-
able basis, of employees from other departments and agencies of
the United States who have expertise that would further the mis-
sion of the center. Any such employee may be so assigned or de-
tailed on a nonreimbursable basis pursuant to such a request.
(i) FUNDING.—(1) There are authorized to be appropriated for

the centers under this section $10,000,000 for each of fiscal years
2005 through 2007.
(2) In addition to any amounts appropriated for a fiscal year
specifically for the activities of the centers pursuant to paragraph
(1), the Under Secretary for Health shall allocate to the centers
from other funds appropriated for that fiscal year generally for the
Department medical services account and the Department medical
and prosthetic research account such amounts as the Under Sec-
retary determines necessary in order to carry out the purposes of
this section.
(Added Pub. L. 108–422, title III, Sec. 302(c)(1), Nov. 30, 2004, 118 Stat. 2386;
amended Pub. L. 110–387, title IX, Sec. 901(a)(8), Oct. 10, 2008, 122 Stat. 4142.)
§ 7329. Parkinson’s Disease research, education, and clinical

centers
(a) ESTABLISHMENT OF CENTERS.—(1) The Secretary, upon the
recommendation of the Under Secretary for Health, shall designate
not less than six Department health-care facilities as the locations
for centers of Parkinson’s Disease research, education, and clinical
activities.
(2) Subject to the availability of appropriations for such pur-
pose, the Secretary shall establish and operate centers of Parkin-
son’s Disease research, education, and clinical activities centers at
the locations designated pursuant to paragraph (1).
(b) CRITERIA FOR DESIGNATION OF FACILITIES.—(1) In desig-
nating Department health-care facilities for centers under sub-
section (a), the Secretary, upon the recommendation of the Under
Secretary for Health, shall assure appropriate geographic distribu-
tion of such facilities.
(2) Except as provided in paragraph (3), the Secretary shall
designate as the location for a center of Parkinson’s Disease re-
search, education, and clinical activities pursuant to subsection
(a)(1) each Department health-care facility that as of January 1,
2005, was operating a Parkinson’s Disease research, education, and
clinical center.
(3) The Secretary may not under subsection (a) designate a fa-
cility described in paragraph (2) if (on the recommendation of the
Under Secretary for Health) the Secretary determines that such fa-
cility—
(A) does not meet the requirements of subsection (c); or
(B) has not demonstrated—
(i) effectiveness in carrying out the established pur-
poses of such center; or
(ii) the potential to carry out such purposes effectively
in the reasonably foreseeable future.
(c) REQUIREMENTS FOR DESIGNATION.—(1) The Secretary may
not designate a Department health-care facility as a location for a
center under subsection (a) unless the peer review panel estab-
lished under subsection (d) has determined under that subsection
that the proposal submitted by such facility as a location for a new
center under subsection (a) is among those proposals that meet the
highest competitive standards of scientific and clinical merit.
(2) The Secretary may not designate a Department health-care

facility as a location for a center under subsection (a) unless the
Secretary (upon the recommendation of the Under Secretary for
Health) determines that the facility has (or may reasonably be an-
(A) An arrangement with an accredited medical school that
provides education and training in neurology and with which
the Department health-care facility is affiliated under which
residents receive education and training in innovative diag-
nosis and treatment of chronic neurodegenerative diseases and
movement disorders, including Parkinson’s Disease.
(B) The ability to attract the participation of scientists who
efforts.
(C) An advisory committee composed of veterans and ap-
propriate health-care and research representatives of the De-
partment health-care facility and of the affiliated school or
schools to advise the directors of such facility and such center
on policy matters pertaining to the activities of the center dur-
ing the period of the operation of such center.
(D) The capability to conduct effectively evaluations of the
(E) The capability to coordinate (as part of an integrated
national system) education, clinical, and research activities
within all facilities with such centers.
(F) The capability to jointly develop a consortium of pro-
viders with interest in treating neurodegenerative diseases, in-
cluding Parkinson’s Disease and other movement disorders, at
facilities without centers established under subsection (a) in
order to ensure better access to state-of-the-art diagnosis, care,
and education for neurodegenerative disorders throughout the
health-care system of the Department.
(G) The capability to develop a national repository in the
health-care system of the Department for the collection of data
on health services delivered to veterans seeking care for
neurodegenerative diseases, including Parkinson’s Disease, and
other movement disorders.
(d) PEER REVIEW PANEL.—(1) The Under Secretary for Health
shall establish a panel to assess the scientific and clinical merit of
proposals that are submitted to the Secretary for the establishment
of centers under this section.
(2)(A) The membership of the panel shall consist of experts in
neurodegenerative diseases, including Parkinson’s Disease and
other movement disorders.
(B) Members of the panel shall serve for a period of no longer
than two years, except as specified in subparagraph (C).
(C) Of the members first appointed to the panel, one half shall
be appointed for a period of three years and one half shall be ap-
pointed for a period of two years, as designated by the Under Sec-
retary at the time of appointment.
panel by the Under Secretary and shall submit its views on the rel-
ative scientific and clinical merit of each such proposal to the
Under Secretary.
mittee Act.
(e) PRIORITY OF FUNDING.—Before providing funds for the oper-
ation of a center designated under subsection (a) at a Department
health-care facility other than at a facility designated pursuant to
subsection (b)(2), the Secretary shall ensure that each Parkinson’s
Disease center at a facility designated pursuant to subsection (b)(2)
is receiving adequate funding to enable that center to function ef-
fectively in the areas of Parkinson’s Disease research, education,
and clinical activities.
(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated such sums as may be necessary for the support
of the research and education activities of the centers established
pursuant to subsection (a). The Under Secretary for Health shall
allocate to such centers from other funds appropriated generally for
the Department medical services account and medical and pros-
thetics research account, as appropriate, such amounts as the
Under Secretary for Health determines appropriate.
(g) AWARD COMPETITIONS.—Activities of clinical and scientific
investigation at each center established under subsection (a) shall
be eligible to compete for the award of funding from funds appro-
priated for the Department medical and prosthetics research ac-
count. Such activities shall receive priority in the award of funding
from such account insofar as funds are awarded to projects for re-
search in Parkinson’s Disease and other movement disorders.
§ 7330. Multiple sclerosis centers of excellence

(a) ESTABLISHMENT OF CENTERS.—(1) The Secretary, upon the
recommendation of the Under Secretary for Health, shall designate
not less than two Department health-care facilities as the locations
for multiple sclerosis centers of excellence.
pose, the Secretary shall establish and operate multiple sclerosis
centers of excellence at the locations designated pursuant to para-
graph (1).
(b) CRITERIA FOR DESIGNATION OF FACILITIES.—(1) In desig-
nating Department health-care facilities for centers under sub-
section (a), the Secretary, upon the recommendation of the Under
Secretary for Health, shall assure appropriate geographic distribu-
tion of such facilities.
(2) Except as provided in paragraph (3), the Secretary shall
designate as the location for a center pursuant to subsection (a)(1)
each Department health-care facility that as of January 1, 2005,
was operating a multiple sclerosis center of excellence.
(3) The Secretary may not under subsection (a) designate a fa-
cility described in paragraph (2) if (on the recommendation of the
Under Secretary for Health) the Secretary determines that such fa-
cility—
(A) does not meet the requirements of subsection (c); or
(B) has not demonstrated—
(i) effectiveness in carrying out the established pur-
poses of such center; or
(ii) the potential to carry out such purposes effectively

in the reasonably foreseeable future.
(c) REQUIREMENTS FOR DESIGNATION.—(1) The Secretary may
not designate a Department health-care facility as a location for a
center under subsection (a) unless the peer review panel estab-
lished under subsection (d) has determined under that subsection
that the proposal submitted by such facility as a location for a new
center under subsection (a) is among those proposals that meet the
highest competitive standards of scientific and clinical merit.
(2) The Secretary may not designate a Department health-care
facility as a location for a center under subsection (a) unless the
Secretary (upon the recommendation of the Under Secretary for
Health) determines that the facility has (or may reasonably be an-
(A) An arrangement with an accredited medical school that
provides education and training in neurology and with which
the Department health-care facility is affiliated under which
residents receive education and training in innovative diag-
nosis and treatment of autoimmune diseases affecting the cen-
tral nervous system, including multiple sclerosis.
(B) The ability to attract the participation of scientists who
efforts.
(C) An advisory committee composed of veterans and ap-
propriate health-care and research representatives of the De-
partment health-care facility and of the affiliated school or
schools to advise the directors of such facility and such center
on policy matters pertaining to the activities of the center dur-
ing the period of the operation of such center.
(D) The capability to conduct effectively evaluations of the
(E) The capability to coordinate (as part of an integrated
national system) education, clinical, and research activities
within all facilities with such centers.
(F) The capability to jointly develop a consortium of pro-
viders with interest in treating multiple sclerosis at facilities
without such centers in order to ensure better access to state-
of-the-art diagnosis, care, and education for autoimmune dis-
ease affecting the central nervous system throughout the
health-care system of the Department.
(G) The capability to develop a national repository in the
health-care system of the Department for the collection of data
on health services delivered to veterans seeking care for auto-
immune disease affecting the central nervous system.
(d) PEER REVIEW PANEL.—(1) The Under Secretary for Health
shall establish a panel to assess the scientific and clinical merit of
proposals that are submitted to the Secretary for the establishment
of centers under this section.
(2)(A) The membership of the panel shall consist of experts in
autoimmune disease affecting the central nervous system.
(B) Members of the panel shall serve for a period of no longer
than two years, except as specified in subparagraph (C).
Sec. 7330A CH. 73—ORGANIZATION AND FUNCTIONS 896

panel by the Under Secretary and shall submit its views on the rel-
ative scientific and clinical merit of each such proposal to the
Under Secretary.
mittee Act.
(e) PRIORITY OF FUNDING.—Before providing funds for the oper-
ation of a center designated under subsection (a) at a Department
health-care facility other than at a facility designated pursuant to
subsection (b)(2), the Secretary shall ensure that each multiple
sclerosis center at a facility designated pursuant to subsection
(b)(2) is receiving adequate funding to enable that center to func-
tion effectively in the areas of multiple sclerosis research, edu-
cation, and clinical activities.
(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated such sums as may be necessary for the support
of the research and education activities of the centers established
pursuant to subsection (a). The Under Secretary for Health shall
allocate to such centers from other funds appropriated generally for
the Department medical services account and medical and pros-
thetics research account, as appropriate, such amounts as the
Under Secretary for Health determines appropriate.
(g) AWARD COMPETITIONS.—Activities of clinical and scientific
investigation at each center established under subsection (a) shall
be eligible to compete for the award of funding from funds appro-
priated for the Department medical and prosthetics research ac-
count. Such activities shall receive priority in the award of funding
from such account insofar as funds are awarded to projects for re-
search in multiple sclerosis and other neurodegenerative disorders.
§ 7330A. Epilepsy centers of excellence
(a) ESTABLISHMENT OF CENTERS.—(1) Not later than 120 days
after the date of the enactment of the Veterans’ Mental Health and
Other Care Improvements Act of 2008, the Secretary shall des-
ignate at least four but not more than six Department health care
facilities as locations for epilepsy centers of excellence for the De-
partment.
(2) Of the facilities designated under paragraph (1), not less
than two shall be centers designated under section 7327 of this
title.
(3) Of the facilities designated under paragraph (1), not less
than two shall be facilities that are not centers designated under
pose, the Secretary shall establish and operate an epilepsy center
of excellence at each location designated under paragraph (1).
(b) DESIGNATION OF FACILITIES.—(1) In designating locations
for epilepsy centers of excellence under subsection (a), the Sec-
retary shall solicit proposals from Department health care facilities
seeking designation as a location for an epilepsy center of excel-
lence.
897 CH. 73—ORGANIZATION AND FUNCTIONS Sec. 7330A
(2) The Secretary may not designate a facility as a location for

an epilepsy center of excellence under subsection (a) unless the
peer review panel established under subsection (c) has determined
under that subsection that the proposal submitted by such facility
seeking designation as a location for an epilepsy center of excel-
lence is among those proposals that meet the highest competitive
standards of scientific and clinical merit.
(3) In choosing from among the facilities meeting the require-
ments of paragraph (2), the Secretary shall also consider appro-
priate geographic distribution when designating the epilepsy cen-
ters of excellence under subsection (a).
(c) PEER REVIEW PANEL.—(1) The Under Secretary for Health
shall establish a peer review panel to assess the scientific and clin-
ical merit of proposals that are submitted to the Secretary for the
designation of epilepsy centers of excellence under this section.
(2)(A) The membership of the peer review panel shall consist
of experts on epilepsy, including post-traumatic epilepsy.
(B) Members of the peer review panel shall serve for a period
of no longer than two years, except as specified in subparagraph
(C).
(3) The peer review panel shall review each proposal submitted
to the panel by the Under Secretary for Health and shall submit
its views on the relative scientific and clinical merit of each such
proposal to the Under Secretary.
(4) The peer review panel shall, in conjunction with the na-
tional coordinator designated under subsection (e), conduct regular
evaluations of each epilepsy center of excellence established and
operated under subsection (a) to ensure compliance with the re-
quirements of this section.
(5) The peer review panel shall not be subject to the Federal
Advisory Committee Act.
(d) EPILEPSY CENTER OF EXCELLENCE DEFINED.—In this sec-
tion, the term ‘‘epilepsy center of excellence’’ means a health care
facility that has (or in the foreseeable future can develop) the nec-
essary capacity to function as a center of excellence in research,
education, and clinical care activities in the diagnosis and treat-
ment of epilepsy and has (or may reasonably be anticipated to de-
velop) each of the following:
(1) An affiliation with an accredited medical school that
provides education and training in neurology, including an ar-
rangement with such school under which medical residents re-
ceive education and training in the diagnosis and treatment of
epilepsy (including neurosurgery).
(2) The ability to attract the participation of scientists who
are capable of ingenuity and creativity in health care research
efforts.
(3) An advisory committee composed of veterans and ap-
propriate health care and research representatives of the facil-
ity and of the affiliated school or schools to advise the directors
of such facility and such center on policy matters pertaining to
Sec. 7330A CH. 73—ORGANIZATION AND FUNCTIONS 898
the activities of the center during the period of the operation

of such center.
(4) The capability to conduct effectively evaluations of the
(5) The capability to assist in the expansion of the Depart-
ment’s use of information systems and databases to improve
the quality and delivery of care for veterans enrolled within
the Department’s health care system.
(6) The capability to assist in the expansion of the Depart-
ment telehealth program to develop, transmit, monitor, and re-
view neurological diagnostic tests.
(7) The ability to perform epilepsy research, education, and
clinical care activities in collaboration with Department med-
ical facilities that have centers for research, education, and
clinical care activities on complex multi-trauma associated
with combat injuries established under section 7327 of this
title.
(e) NATIONAL COORDINATOR FOR EPILEPSY PROGRAMS.—(1) To
assist the Secretary and the Under Secretary for Health in car-
rying out this section, the Secretary shall designate an individual
in the Veterans Health Administration to act as a national coordi-
nator for epilepsy programs of the Veterans Health Administration.
(2) The duties of the national coordinator for epilepsy programs
shall include the following:
(A) To supervise the operation of the centers established
pursuant to this section.
(B) To coordinate and support the national consortium of
providers with interest in treating epilepsy at Department
health care facilities lacking such centers in order to ensure
better access to state-of-the-art diagnosis, research, clinical
care, and education for traumatic brain injury and epilepsy
throughout the health care system of the Department.
(C) To conduct, in conjunction with the peer review panel
established under subsection (c), regular evaluations of the epi-
lepsy centers of excellence to ensure compliance with the re-
quirements of this section.
(D) To coordinate (as part of an integrated national sys-
tem) education, clinical care, and research activities within all
facilities with an epilepsy center of excellence.
(E) To develop jointly a national consortium of providers
with interest in treating epilepsy at Department health care
facilities lacking an epilepsy center of excellence in order to en-
sure better access to state-of-the-art diagnosis, research, clin-
ical care, and education for traumatic brain injury and epilepsy
throughout the health care system of the Department. Such
consortium should include a designated epilepsy referral clinic
in each Veterans Integrated Service Network.
(3) In carrying out duties under this subsection, the national
coordinator for epilepsy programs shall report to the official of the
Veterans Health Administration responsible for neurology.
(f) AUTHORIZATION OF APPROPRIATIONS.—(1) There are author-
ized to be appropriated $6,000,000 for each of fiscal years 2009
through 2013 for the support of the clinical care, research, and edu-
cation activities of the epilepsy centers of excellence established

and operated pursuant to subsection (a)(2).
(2) There are authorized to be appropriated for each fiscal year
after fiscal year 2013 such sums as may be necessary for the sup-
port of the clinical care, research, and education activities of the
epilepsy centers of excellence established and operated pursuant to
subsection (a)(2).
(3) The Secretary shall ensure that funds for such centers are
designated for the first three years of operation as a special pur-
pose program for which funds are not allocated through the Vet-
erans Equitable Resource Allocation system.
(4) In addition to amounts authorized to be appropriated under
paragraphs (1) and (2) for a fiscal year, the Under Secretary for
Health shall allocate to such centers from other funds appropriated
generally for the Department medical services account and medical
and prosthetics research account, as appropriate, such amounts as
the Under Secretary for Health determines appropriate.
(5) In addition to amounts authorized to be appropriated under
paragraphs (1) and (2) for a fiscal year, there are authorized to be
appropriated such sums as may be necessary to fund the national
coordinator established by subsection (e).
(Added Pub. L. 110–387, title IV, Sec. 404(a), Oct. 10, 2008, 122 Stat. 4124.)

§ 7331. Informed consent
The Secretary, upon the recommendation of the Under Sec-
retary for Health and pursuant to the provisions of section 7334 of
this title, shall prescribe regulations establishing procedures to en-
sure that all medical and prosthetic research carried out and, to
the maximum extent practicable, all patient care furnished under
this title shall be carried out only with the full and informed con-
sent of the patient or subject or, in appropriate cases, a representa-
tive thereof.
renumbered Sec. 7331 and amended Pub. L. 102–40, title IV, Sec. 401(a)(4)(A),
402(d)(1), 403(a)(1), May 7, 1991, 105 Stat. 221, 239; Pub. L. 102–405, title III, Sec.
302(c)(1), Oct. 9, 1992, 106 Stat. 1984.)
§ 7332. Confidentiality of certain medical records

(a)(1) Records of the identity, diagnosis, prognosis, or treat-
ment of any patient or subject which are maintained in connection
with the performance of any program or activity (including edu-
cation, training, treatment, rehabilitation, or research) relating to
drug abuse, alcoholism or alcohol abuse, infection with the human
immunodeficiency virus, or sickle cell anemia which is carried out
by or for the Department under this title shall, except as provided
in subsections (e) and (f), be confidential, and (section 5701 of this
title to the contrary notwithstanding) such records may be dis-
closed only for the purposes and under the circumstances expressly
authorized under subsection (b).
(2) Paragraph (1) prohibits the disclosure to any person or enti-
ty other than the patient or subject concerned of the fact that a
special written consent is required in order for such records to be

disclosed.
(b)(1) The content of any record referred to in subsection (a)
may be disclosed by the Secretary in accordance with the prior
written consent of the patient or subject with respect to whom such
record is maintained, but only to such extent, under such cir-
cumstances, and for such purposes as may be allowed in regula-
(2) Whether or not any patient or subject, with respect to
whom any given record referred to in subsection (a) is maintained,
gives written consent, the content of such record may be disclosed
by the Secretary as follows:
(A) To medical personnel to the extent necessary to meet
a bona fide medical emergency.
(B) To qualified personnel for the purpose of conducting
scientific research, management audits, financial audits, or
program evaluation, but such personnel may not identify, di-
rectly or indirectly, any individual patient or subject in any re-
port of such research, audit, or evaluation, or otherwise dis-
close patient or subject identities in any manner.
(C)(i) In the case of any record which is maintained in con-
nection with the performance of any program or activity relat-
ing to infection with the human immunodeficiency virus, to a
Federal, State, or local public-health authority charged under
Federal or State law with the protection of the public health,
and to which Federal or State law requires disclosure of such
record, if a qualified representative of such authority has made
a written request that such record be provided as required pur-
suant to such law for a purpose authorized by such law.
(ii) A person to whom a record is disclosed under this para-
graph may not redisclose or use such record for a purpose
other than that for which the disclosure was made.
(D) If authorized by an appropriate order of a court of com-
petent jurisdiction granted after application showing good
cause therefor. In assessing good cause the court shall weigh
the public interest and the need for disclosure against the in-
jury to the patient or subject, to the physician-patient relation-
ship, and to the treatment services. Upon the granting of such
order, the court, in determining the extent to which any disclo-
sure of all or any part of any record is necessary, shall impose
appropriate safeguards against unauthorized disclosure.
(E) To an entity described in paragraph (1)(B) of section
5701(k) of this title, but only to the extent authorized by such
section.
(3) In the event that the patient or subject who is the subject
of any record referred to in subsection (a) is deceased, the content
of any such record may be disclosed by the Secretary only upon the
prior written request of the next of kin, executor, administrator, or
other personal representative of such patient or subject and only if
the Secretary determines that such disclosure is necessary for such
survivor to obtain benefits to which such survivor may be entitled,
including the pursuit of legal action, but then only to the extent,
under such circumstances, and for such purposes as may be al-
lowed in regulations prescribed pursuant to section 7334 of this

title.
(c) Except as authorized by a court order granted under sub-
section (b)(2)(D), no record referred to in subsection (a) may be
used to initiate or substantiate any criminal charges against, or to
conduct any investigation of, a patient or subject.
(d) The prohibitions of this section shall continue to apply to
records concerning any person who has been a patient or subject,
irrespective of whether or when such person ceases to be a patient.
(e) The prohibitions of this section shall not prevent any inter-
change of records—
(1) within and among those components of the Department
furnishing health care to veterans, or determining eligibility
for benefits under this title; or
(2) between such components furnishing health care to vet-
erans and the Armed Forces.
(f)(1) Notwithstanding subsection (a) but subject to paragraph
(2), a physician or a professional counselor may disclose informa-
tion or records indicating that a patient or subject is infected with
the human immunodeficiency virus if the disclosure is made to (A)
the spouse of the patient or subject, or (B) to an individual whom
the patient or subject has, during the process of professional coun-
seling or of testing to determine whether the patient or subject is
infected with such virus, identified as being a sexual partner of
such patient or subject.
(2)(A) A disclosure under paragraph (1) may be made only if
the physician or counselor, after making reasonable efforts to coun-
sel and encourage the patient or subject to provide the information
to the spouse or sexual partner, reasonably believes that the pa-
tient or subject will not provide the information to the spouse or
sexual partner and that the disclosure is necessary to protect the
health of the spouse or sexual partner.
(B) A disclosure under such paragraph may be made by a phy-
sician or counselor other than the physician or counselor referred
to in subparagraph (A) if such physician or counselor is unavailable
by reason of absence or termination of employment to make the
disclosure.
(g) Any person who violates any provision of this section or any
regulation issued pursuant to this section shall be fined, in the case
of a first offense, up to the maximum amount provided under sec-
tion 5701(f) of this title for a first offense under that section and,
in the case of a subsequent offense, up to the maximum amount
provided under section 5701(f) of this title for a subsequent offense
under that section.
amended Pub. L. 100–322, title I, Sec. 121, May 20, 1988, 102 Stat. 502; renum-
bered Sec. 7332 and amended Pub. L. 102–40, title IV, Sec. 401(a)(4)(A), 402(d)(1),
403(a)(1), (2), (4), (5), May 7, 1991, 105 Stat. 221, 239; Pub. L. 109–461, title II, Sec.
204(b), Dec. 22, 2006, 120 Stat. 3411.)
§ 7333. Nondiscrimination against alcohol and drug abusers

and persons infected with the human immuno-
deficiency virus
(a) Veterans eligible for treatment under chapter 17 of this
title who are alcohol or drug abusers or who are infected with the
human immunodeficiency virus shall not be discriminated against
in admission or treatment by any Department health-care facility
solely because of their alcohol or drug abuse or dependency or be-
cause of their viral infection.
(b) The Secretary shall prescribe regulations for the enforce-
ment of this section. Such regulations, with respect to the admis-
sion and treatment of such veterans who are alcohol or drug abus-
ers, shall be prescribed in accordance with section 7334 of this title.
amended Pub. L. 100–322, title I, Sec. 122(a), May 20, 1988, 102 Stat. 503; renum-
bered Sec. 7333 and amended Pub. L. 102–40, title IV, Sec. 401(a)(4)(A), 402(d)(1),
403(a)(1), (2), May 7, 1991, 105 Stat. 221, 239.)
(a) Regulations prescribed by the Secretary under section 7331
of this title, section 7332 of this title with respect to the confiden-
tiality of alcohol and drug abuse medical records, and section 7333
of this title with respect to alcohol or drug abusers shall, to the
maximum extent feasible consistent with other provisions of this
title, make applicable the regulations described in subsection (b) to
the conduct of research and to the provision of hospital care, nurs-
ing home care, domiciliary care, and medical services under this
title.
(b) The regulations referred to in subsection (a) are—
(1) regulations governing human experimentation and in-
formed consent prescribed by the Secretary of Health and
Human Services, based on the recommendations of the Na-
tional Commission for the Protection of Human Subjects of Bio-
medical and Behavioral Research, established by section 201 of
the National Research Act (Public Law 93–348; 88 Stat. 348);
and
(2) regulations governing (A) the confidentiality of drug
and alcohol abuse medical records, and (B) the admission of
drug and alcohol abusers to private and public hospitals, pre-
scribed pursuant to the Comprehensive Alcohol Abuse and Al-
coholism Prevention, Treatment, and Rehabilitation Act of
1970 (42 U.S.C. 4551 et seq.) and the Drug Abuse Office and
Treatment Act of 1972 (21 U.S.C. 1101 et seq.).
(c) Regulations prescribed by the Secretary under sections
7331, 7332, and 7333 of this title may contain such definitions, and
may provide for such safeguards and procedures (including proce-
dures and criteria for the issuance and scope of court orders under
section 7332(b)(2)(C) of this title), as are necessary to prevent cir-
cumvention or evasion of such regulations or to facilitate compli-
ance with such regulations.
(d) In prescribing and implementing such regulations, the Sec-
retary shall, from time to time, consult with the Secretary of
Health and Human Services and, as appropriate, with the Presi-
dent (or the delegate of the President) in order to achieve the max-
imum possible coordination of the regulations, and the implementa-

tion of the regulations, which they and the Secretary prescribe.
amended Pub. L. 97–295, Sec. 4(87), Oct. 12, 1982, 96 Stat. 1312; Pub. L. 100–322,
title I, Sec. 122(a), May 20, 1988, 102 Stat. 504; renumbered Sec. 7334 and amended
Pub. L. 102–40, title IV, Sec. 401(a)(4)(A), 402(d)(1), 403(a)(1), (4), May 7, 1991, 105
Stat. 221, 239.)

§ 7361. Authority to establish; status
(a) The Secretary may authorize the establishment at any De-
partment medical center of a nonprofit corporation to provide a
flexible funding mechanism for the conduct of approved research
and education at the medical center. Except as otherwise required
in this subchapter or under regulations prescribed by the Sec-
retary, any such corporation, and its directors and employees, shall
be required to comply only with those Federal laws, regulations,
and executive orders and directives which apply generally to pri-
vate nonprofit corporations. Such a corporation may be established
to facilitate either research or education or both research and edu-
cation.
(b) If by the end of the four-year period beginning on the date
of the establishment of a corporation under this subchapter the cor-
poration is not recognized as an entity the income of which is ex-
empt from taxation under the Internal Revenue Code of 1986, the
Secretary shall dissolve the corporation.
(Added Pub. L. 100–322, title II, Sec. 204(a), May 20, 1988, 102 Stat. 510, Sec. 4161;
renumbered Sec. 7361 and amended Pub. L. 102–40, title IV, Sec. 401(a)(4)(B),
403(a)(1), (2), May 7, 1991, 105 Stat. 221, 239; Pub. L. 102–291, Sec. 3(a), May 20,
1992, 106 Stat. 179; Pub. L. 104–262, title III, Sec. 343(b), Oct. 9, 1996, 110 Stat.
3207; Pub. L. 106–117, title II, Sec. 204(a), Nov. 30, 1999, 113 Stat. 1562.)
§ 7362. Purpose of corporations

(a) Any corporation established under this subchapter shall be
established solely to facilitate research as described in section
7303(a) of this title and education and training as described in sec-
tions 7302, 7471, 8154, and 1701(6)(B) of this title in conjunction
with the applicable Department medical center. Any funds received
by the Secretary for the conduct of research or education at the
medical center other than funds appropriated to the Department
may be transferred to and administered by the corporation for
these purposes.
(b) For purposes of this section, the term ‘‘education and train-
ing’’ means the following:
(1) In the case of employees of the Veterans Health Admin-
istration, such term means work-related instruction or other
learning experiences to—
(A) improve performance of current duties;
(B) assist employees in maintaining or gaining special-
ized proficiencies; and
(C) expand understanding of advances and changes in
patient care, technology, and health care administration.
Such term includes (in the case of such employees) education
and training conducted as part of a residency or other program
designed to prepare an individual for an occupation or profes-

sion.
(2) In the case of veterans under the care of the Veterans
Health Administration, such term means instruction or other
learning experiences related to improving and maintaining the
health of veterans to patients and to the families and guard-
ians of patients.
403(a)(1)–(3), May 7, 1991, 105 Stat. 221, 239; Pub. L. 106–117, title II, Sec. 204(b),
Nov. 30, 1999, 113 Stat. 1562.)
§ 7363. Board of directors; executive director

(a) The Secretary shall provide for the appointment of a board
of directors for any corporation established under this subchapter.
The board shall include—
(1) the director of the medical center, the chief of staff of
the medical center, and as appropriate, the assistant chief of
staff for research for the medical center and the assistant chief
of staff for education for the medical center, or, in the case of
a facility at which such positions do not exist, those officials
who are responsible for carrying out the responsibilities of the
medical center director, chief of staff, and, as appropriate, the
assistant chief of staff for research and the assistant chief of
staff for education; and
(2) subject to subsection (c), members who are not officers
or employees of the Federal Government and who are familiar
with issues involving medical and scientific research or edu-
cation, as appropriate.
(b) Each such corporation shall have an executive director who
shall be appointed by the board of directors with the concurrence
of the Under Secretary for Health of the Department. The execu-
tive director of a corporation shall be responsible for the operations
of the corporation and shall have such specific duties and respon-
sibilities as the board may prescribe.
(c) An individual appointed under subsection (a)(2) to the board
of directors of a corporation established under this subchapter may
not be affiliated with, employed by, or have any other financial re-
lationship with any entity that is a source of funding for research
or education by the Department unless that source of funding is a
governmental entity or an entity the income of which is exempt
from taxation under the Internal Revenue Code of 1986.
403(a)(1), (2), (4), May 7, 1991, 105 Stat. 221, 239; Pub. L. 102–405, title III, Sec.
302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–262, title III, Sec. 343(b), Oct.
9, 1996, 110 Stat. 3207; Pub. L. 106–117, title II, Sec. 204(c), Nov. 30, 1999, 113
Stat. 1562.)
§ 7364. General powers

(a) A corporation established under this subchapter may—
(1) accept gifts and grants from, and enter into contracts
with, individuals and public and private entities solely to carry
out the purposes of this subchapter; and
(2) employ such employees as it considers necessary for

such purposes and fix the compensation of such employees.
(b) A corporation established under this subchapter may not
spend funds for a research project unless the project is approved
in accordance with procedures prescribed by the Under Secretary
for Health for research carried out with Department funds. Such
procedures shall include a peer review process.
(c)(1) A corporation established under this subchapter may not
spend funds for an education activity unless the activity is ap-
proved in accordance with procedures prescribed by the Under Sec-
retary for Health.
(2) The Under Secretary for Health shall prescribe policies and
procedures to guide the expenditure of funds by corporations under
paragraph (1) consistent with the purpose of such corporations as
flexible funding mechanisms.
403(a)(2), May 7, 1991, 105 Stat. 221, 239; Pub. L. 102–405, title III, Sec. 302(c)(1),
Oct. 9, 1992, 106 Stat. 1984; Pub. L. 106–117, title II, Sec. 204(d), Nov. 30, 1999,
113 Stat. 1562.)
§ 7364A. Coverage of employees under certain Federal tort

claims laws
(a) An employee of a corporation established under this sub-
chapter who is described by subsection (b) shall be considered an
employee of the Government, or a medical care employee of the
Veterans Health Administration, for purposes of the following pro-
visions of law:
(1) Section 1346(b) of title 28.
(2) Chapter 171 of title 28.
(b) An employee described in this subsection is an employee
who—
(1) has an appointment with the Department, whether
with or without compensation;
(2) is directly or indirectly involved or engaged in research
or education and training that is approved in accordance with
procedures established by the Under Secretary for Health for
research or education and training; and
(3) performs such duties under the supervision of Depart-
ment personnel.
(Added Pub. L. 108–170, title IV, Sec. 402(a)(1), Dec. 6, 2003, 117 Stat. 2061.)
§ 7365. Applicable State law

Any corporation established under this subchapter shall be es-
tablished in accordance with the nonprofit corporation laws of the
State in which the applicable medical center is located and shall,
to the extent not inconsistent with any Federal law, be subject to
the laws of such State.
renumbered Sec. 7365, Pub. L. 102–40, title IV, Sec. 401(a)(4)(B), May 7, 1991, 105
Stat. 221.)
§ 7366. Accountability and oversight

(a)(1)(A) The records of a corporation established under this
subchapter shall be available to the Secretary.
(B) For the purposes of sections 4(a)(1) and 6(a)(1) of the In-
spector General Act of 1978, the programs and operations of such
a corporation shall be considered to be programs and operations of
the Department with respect to which the Inspector General of the
Department has responsibilities under such Act.
(2) Such a corporation shall be considered an agency for the
purposes of section 716 of title 31 (relating to availability of infor-
mation and inspection of records by the Comptroller General).
(b) Each such corporation shall submit to the Secretary an an-
nual report providing a detailed statement of its operations, activi-
ties, and accomplishments during that year. A corporation with
revenues in excess of $300,000 for any year shall obtain an audit
of the corporation for that year. A corporation with annual reve-
nues between $10,000 and $300,000 shall obtain an independent
audit of the corporation at least once every three years. Any audit
under the preceding sentences shall be performed by an inde-
pendent auditor. The corporation shall include the most recent
such audit in the corporation’s report to the Secretary for that year.
(c)(1) Each member of the board of directors of a corporation
established under this subchapter, each employee of such a cor-
poration, and each employee of the Department who is involved in
the functions of the corporation during any year shall be subject to
Federal laws and regulations applicable to Federal employees with
respect to conflicts of interest in the performance of official func-
tions.
(2) Each corporation established under this subchapter shall
each year submit to the Secretary a statement signed by the execu-
tive director of the corporation verifying that each director and em-
ployee has certified awareness of the laws and regulations referred
to in paragraph (1) and of the consequences of violations of those
laws and regulations in the same manner as Federal employees are
required to so certify.
(d) The Secretary shall submit to the Committees on Veterans’
Affairs of the Senate and House of Representatives an annual re-
port on the corporations established under this subchapter. The re-
port shall set forth the following information:
(1) The location of each corporation.
(2) The amount received by each corporation during the
previous year, including—
(A) the total amount received;
(B) the amount received from governmental entities
for research and the amount received from governmental
entities for education;
(C) the amount received from all other sources for re-
search and the amount received from all other sources for
education; and
(D) if an amount received from a source referred to in
subparagraph (C) exceeded $25,000, information that iden-
tifies the source.
(3) The amount expended by each corporation during the

year, including—
(A) the amount expended for salary for research staff,
the amount expended for salary for education staff, and
the amount expended for salary for support staff;
(B) the amount expended for direct support of research
and the amount expended for direct support of education;
and
(C) if the amount expended with respect to any payee
exceeded $35,000, information that identifies the payee.
(4) The amount expended by each corporation during the
year for travel conducted in conjunction with research and the
amount expended for travel in conjunction with education.
403(a)(1), (2), May 7, 1991, 105 Stat. 221, 239; Pub. L. 104–262, title III, Sec.
343(c)–(e), Oct. 9, 1996, 110 Stat. 3207; Pub. L. 106–117, title II, Sec. 204(e), Nov.
30, 1999, 113 Stat. 1563; Pub. L. 107–103, title V, Sec. 509(f), Dec. 27, 2001, 115
Stat. 997; Pub. L. 108–170, title IV, Sec. 402(b), Dec. 6, 2003, 117 Stat. 2062.)
ø§ 7367. Repealed. Pub. L. 107–14, Sec. 8(a)(14)(A), June 5,

2001, 115 Stat. 35¿
ø§ 7368. Repealed. Pub. L. 110–387, title VIII, Sec. 806(a), Oct.
10, 2008, 122 Stat. 4141¿
909
CHAPTER 74—VETERANS HEALTH ADMINISTRATION-
PERSONNEL
Sec.
7401. Appointments in Veterans Health Administration.
7402. Qualifications of appointees.
7403. Period of appointments; promotions.
7404. Grades and pay scales.
7405. Temporary full-time appointments, part-time appointments, and without-
compensation appointments.
7406. Residencies and internships.
7407. Administrative provisions for section 7405 and 7406 appointments.
7408. Appointment of additional employees.
7409. Contracts for scarce medical specialist services.
7410. Additional pay authorities.
7411. Full-time board-certified physicians and dentists: reimbursement of con-
tinuing professional education expenses.
SUBCHAPTER II—COLLECTIVE BARGAINING AND PERSONNEL

ADMINISTRATION
7421. Personnel administration: in general.
7422. Collective bargaining.
7423. Personnel administration: full-time employees.
7424. Travel expenses of certain employees.
7425. Employees: laws not applicable.
7426. Retirement rights.

7431. Pay.
7432. Pay of Under Secretary for Health.
7433. Administrative matters.
SUBCHAPTER IV—PAY FOR NURSES AND OTHER HEALTH-CARE

PERSONNEL
7451. Nurses and other health-care personnel: competitive pay.
7452. Nurses and other health-care personnel: administration of pay.
7453. Nurses: additional pay.
7454. Physician assistants and other health care professionals: additional pay.
7455. Increases in rates of basic pay.
7456. Nurses: special rules for weekend duty.
7456A. Nurses: alternate work schedules.
7457. On-call pay.
7458. Recruitment and retention bonus pay.
SUBCHAPTER V—DISCIPLINARY AND GRIEVANCE PROCEDURES

7461. Adverse actions: section 7401(1) employees.
7462. Major adverse actions involving professional conduct or competence.
7463. Other adverse actions.
7464. Disciplinary Appeals Boards.
911
Sec. 7401 CH. 74—PERSONNEL 912
SUBCHAPTER VI—REGIONAL MEDICAL EDUCATION CENTERS

7471. Designation of Regional Medical Education Centers.
7472. Supervision and staffing of Centers.
7473. Personnel eligible for training.
7474. Consultation.
§ 7401. Appointments in Veterans Health Administration
There may be appointed by the Secretary such personnel as
the Secretary may find necessary for the health care of veterans (in
addition to those in the Office of the Under Secretary for Health
appointed under section 7306 of this title), as follows:
(1) Physicians, dentists, podiatrists, chiropractors, optom-
etrists, registered nurses, physician assistants, and expanded-
function dental auxiliaries.
(2) Scientific and professional personnel, such as micro-
biologists, chemists, and biostatisticians.
(3) Audiologists, speech pathologists, and audiologist-
speech pathologists, biomedical engineers, certified or reg-
istered respiratory therapists, dietitians, licensed physical
therapists, licensed practical or vocational nurses, medical in-
strument technicians, medical records administrators or spe-
cialists, medical records technicians, medical technologists,
dental hygienists, dental assistants, nuclear medicine tech-
nologists, occupational therapists, occupational therapy assist-
ants, kinesiotherapists, orthotist-prosthetists, pharmacists,
pharmacy technicians, physical therapy assistants, prosthetic
representatives, psychologists, diagnostic radiologic tech-
nologists, therapeutic radiologic technologists, social workers,
marriage and family therapists, licensed professional mental
health counselors, blind rehabilitation specialists, and blind re-
habilitation outpatient specialists.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(2), May 7, 1991, 105 Stat. 222; amended
170, title III, Secs. 301(a)(1), 302(a), Dec. 6, 2003, 117 Stat. 2054, 2057; Pub. L. 108–
422, title V, Sec. 502, Nov. 30, 2004, 118 Stat. 2396; Pub. L. 109–461, title II, Sec.
201(a), Dec. 22, 2006, 120 Stat. 3409.)
§ 7402. Qualifications of appointees

(a) To be eligible for appointment to the positions in the Ad-
ministration covered by subsection (b), a person must have the ap-
plicable qualifications set forth in that subsection.
(b)(1) PHYSICIAN.—To be eligible to be appointed to a physician
position, a person must—
(A) hold the degree of doctor of medicine or of doctor of os-
teopathy from a college or university approved by the Sec-
retary,
(B) have completed an internship satisfactory to the Sec-
retary, and
(C) be licensed to practice medicine, surgery, or osteopathy
in a State.
(2) DENTIST.—To be eligible to be appointed to a dentist posi-
tion, a person must—
913 CH. 74—PERSONNEL Sec. 7402
(A) hold the degree of doctor of dental surgery or dental

medicine from a college or university approved by the Sec-
retary, and
(B) be licensed to practice dentistry in a State.
(3) NURSE.—To be eligible to be appointed to a nurse position,
a person must—
(A) have successfully completed a full course of nursing in
a recognized school of nursing, approved by the Secretary, and
(B) be registered as a graduate nurse in a State.
(4) DIRECTOR OF A HOSPITAL, DOMICILIARY, CENTER, OR OUT-
PATIENT CLINIC.—To be eligible to be appointed to a director posi-
tion, a person must have such business and administrative experi-
ence and qualifications as the Secretary shall prescribe.
(5) PODIATRIST.—To be eligible to be appointed to a podiatrist
position, a person must—
(A) hold the degree of doctor of podiatric medicine, or its
equivalent, from a school of podiatric medicine approved by the
Secretary, and
(B) be licensed to practice podiatry in a State.
(6) OPTOMETRIST.—To be eligible to be appointed to an optom-
etrist position, a person must—
(A) hold the degree of doctor of optometry, or its equiva-
lent, from a school of optometry approved by the Secretary,
and
(B) be licensed to practice optometry in a State.
(7) PHARMACIST.—To be eligible to be appointed to a phar-
macist position, a person must—
(A) hold the degree of bachelor of science in pharmacy, or
its equivalent, from a school of pharmacy, approved by the Sec-
retary, and
(B) be registered as a pharmacist in a State.
(8) PSYCHOLOGIST.—To be eligible to be appointed to a psychol-
ogist position, a person must—
(A) hold a doctoral degree in psychology from a college or
university approved by the Secretary,
(B) have completed study for such degree in a specialty
area of psychology and an internship which are satisfactory to
the Secretary, and
(C) be licensed or certified as a psychologist in a State, ex-
cept that the Secretary may waive the requirement of licensure
or certification for an individual psychologist for a period not
to exceed two years on the condition that that psychologist pro-
vide patient care only under the direct supervision of a psy-
chologist who is so licensed or certified.
(9) SOCIAL WORKER.—To be eligible to be appointed to a social
worker position, a person must—
(A) hold a master’s degree in social work from a college or
university approved by the Secretary; and
(B) be licensed or certified to independently practice social
work in a State, except that the Secretary may waive the re-
quirement of licensure or certification for an individual social
worker for a reasonable period of time recommended by the
Under Secretary for Health.
(10) MARRIAGE AND FAMILY THERAPIST.—To be eligible to be

appointed to a marriage and family therapist position, a person
must—
(A) hold a master’s degree in marriage and family therapy,
or a comparable degree in mental health, from a college or uni-
versity approved by the Secretary; and
(B) be licensed or certified to independently practice mar-
riage and family therapy in a State, except that the Secretary
may waive the requirement of licensure or certification for an
individual marriage and family therapist for a reasonable pe-
riod of time recommended by the Under Secretary for Health.
(11) LICENSED PROFESSIONAL MENTAL HEALTH COUNSELOR.—
To be eligible to be appointed to a licensed professional mental
health counselor position, a person must—
(A) hold a master’s degree in mental health counseling, or
a related field, from a college or university approved by the
Secretary; and
(B) be licensed or certified to independently practice men-
tal health counseling.
(12) CHIROPRACTOR.—To be eligible to be appointed to a chiro-
practor position, a person must—
(A) hold the degree of doctor of chiropractic, or its equiva-
lent, from a college of chiropractic approved by the Secretary;
and
(B) be licensed to practice chiropractic in a State.
(13) PEER SPECIALIST.—To be eligible to be appointed to a peer
specialist position, a person must—
(A) be a veteran who has recovered or is recovering from
a mental health condition; and
(B) be certified by—
(i) a not-for-profit entity engaged in peer specialist
training as having met such criteria as the Secretary shall
establish for a peer specialist position; or
(ii) a State as having satisfied relevant State require-
ments for a peer specialist position.
(14) OTHER HEALTH-CARE POSITIONS.—To be appointed as a
physician assistant, expanded-function dental auxiliary, certified or
registered respiratory therapist, licensed physical therapist, li-
censed practical or vocational nurse, occupational therapist, dieti-
tian, microbiologist, chemist, biostatistician, medical technologist,
dental technologist, or other position, a person must have such
medical, dental, scientific, or technical qualifications as the Sec-
retary shall prescribe.
(c) Except as provided in section 7407(a) of this title, a person
may not be appointed in the Administration to a position listed in
section 7401(1) of this title unless the person is a citizen of the
United States.
(d) A person may not be appointed under section 7401(1) of
this title to serve in the Administration in any direct patient-care
capacity unless the Under Secretary for Health determines that the
person possesses such basic proficiency in spoken and written
English as will permit such degree of communication with patients
and other health-care personnel as will enable the person to carry
out the person’s health-care responsibilities satisfactorily. Any de-
termination by the Under Secretary for Health under this sub-

section shall be in accordance with regulations which the Secretary
shall prescribe.
(e) A person may not serve as Chief of Staff of a Department
health-care facility if the person is not serving on a full-time basis.
(f) A person may not be employed in a position under sub-
section (b) (other than under paragraph (4) of that subsection) if—
(1) the person is or has been licensed, registered, or cer-
tified (as applicable to such position) in more than one State;
and
(2) either—
(A) any of those States has terminated such license,
registration, or certification for cause; or
(B) the person has voluntarily relinquished such li-
cense, registration, or certification in any of those States
after being notified in writing by that State of potential
termination for cause.
(g) The Secretary may enter into contracts with not-for-profit
entities to provide—
(1) peer specialist training to veterans; and
(2) certification for veterans under subsection (b)(13)(B)(i).
Pub. L. 102–86, title III, Sec. 305(a), Aug. 14, 1991, 105 Stat. 417; Pub. L. 102–405,
title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 106–117, title II, Sec.
209, Nov. 30, 1999, 113 Stat. 1569; Pub. L. 106–419, title II, Sec. 205, Nov. 1, 2000,
114 Stat. 1842; Pub. L. 108–170, title III, Sec. 302(b), Dec. 6, 2003, 117 Stat. 2058;
Pub. L. 109–461, title II, Sec. 201(b), Dec. 22, 2006, 120 Stat. 3409; Pub. L. 110–
387, title IV, Sec. 405, Oct. 10, 2008, 122 Stat. 4129.)
§ 7403. Period of appointments; promotions

(a)(1) Appointments under this chapter of health-care profes-
sionals to whom this section applies may be made only after quali-
fications have been satisfactorily established in accordance with
regulations prescribed by the Secretary, without regard to civil-
service requirements.
(2) This section applies to the following persons appointed
under this chapter:
(A) Physicians.
(B) Dentists.
(C) Podiatrists.
(D) Optometrists.
(E) Nurses.
(F) Physician assistants.
(G) Expanded-function dental auxiliaries.
(H) Chiropractors.
(b)(1) Appointments described in subsection (a) shall be for a
probationary period of two years.
(2) The record of each person serving under such an appoint-
ment in the Medical, Dental, and Nursing Services shall be re-
viewed from time to time by a board, appointed in accordance with
regulations of the Secretary. If such a board finds that such person
is not fully qualified and satisfactory, such person shall be sepa-
rated from the service.
(c) Promotions of persons to whom this section applies shall be
made only after examination given in accordance with regulations
prescribed by the Secretary. Advancement within grade may be

made in increments of the minimum rate of basic pay of the grade
in accordance with regulations prescribed by the Secretary.
(d) In determining eligibility for reinstatement in the Federal
civil service of persons appointed to positions in the Administration
under this chapter who at the time of appointment have a civil-
service status, and whose employment in the Administration is ter-
minated, the period of service performed in the Administration
shall be included in computing the period of service under applica-
ble civil-service rules and regulations.
(e) In accordance with regulations prescribed by the Secretary,
the grade and annual rate of basic pay of a person to whom this
section applies whose level of assignment is changed from a level
of assignment in which the grade level is based on both the nature
of the assignment and personal qualifications may be adjusted to
the grade and annual rate of basic pay otherwise appropriate.
(f)(1) Upon the recommendation of the Under Secretary for
Health, the Secretary may—
(A) use the authority in subsection (a) to establish the
qualifications for and (subject to paragraph (2)) to appoint indi-
viduals to positions listed in section 7401(3) of this title; and
(B) use the authority provided in subsection (c) for the pro-
motion and advancement of Department employees serving in
such positions.
(2) In using such authority to appoint individuals to such posi-
tions, the Secretary shall apply the principles of preference for the
hiring of veterans and other persons established in subchapter I of
(3) Notwithstanding any other provision of this title or other
law, all matters relating to adverse actions, reductions-in-force, the
applicability of the principles of preference referred to in paragraph
(2), rights of part-time employees, disciplinary actions, and griev-
ance procedures involving individuals appointed to such positions
, whether appointed under this section or section 7405(a)(1)(B) of
this title (including similar actions and procedures involving an
employee in a probationary status), shall be resolved under the pro-
visions of title 5 as though such individuals had been appointed
under that title.
(g)(1) The Secretary may appoint in the competitive civil serv-
ice without regard to the provisions of subchapter I of chapter 33
of title 5 (other than sections 3303 and 3328 of such title) an indi-
vidual who—
(A) has a recognized degree or certificate from an accred-
ited institution in a health-care profession or occupation; and
(B) has successfully completed a clinical education pro-
gram affiliated with the Department.
(2) In using the authority provided by this subsection, the Sec-
retary shall apply the principles of preference for the hiring of vet-
erans and other persons established in subchapter I of chapter 33
of title 5.
(h)(1) If the Secretary uses the authority provided in sub-
section (c) for the promotion and advancement of an occupational
category of employees described in section 7401(3) of this title, as
authorized by subsection (f)(1)(B), the Secretary shall do so through
one or more systems prescribed by the Secretary. Each such system

shall be planned, developed, and implemented in collaboration
with, and with the participation of, exclusive employee representa-
tives of such occupational category of employees.
(2)(A) Before prescribing a system of promotion and advance-
ment of an occupational category of employees under paragraph (1),
the Secretary shall provide to exclusive employee representatives of
such occupational category of employees a written description of
the proposed system.
(B) Not later than 30 days after receipt of the description of
a proposed system under subparagraph (A), exclusive employee
representatives may submit to the Secretary the recommendations,
if any, of such exclusive employee representatives with respect to
the proposed system.
(C) The Secretary shall give full and fair consideration to any
recommendations received under subparagraph (B) in deciding
whether and how to proceed with a proposed system.
(3) The Secretary shall implement immediately any part of a
system of promotion and advancement under paragraph (1) that is
proposed under paragraph (2) for which the Secretary receives no
recommendations from exclusive employee representatives under
paragraph (2).
(4) If the Secretary receives recommendations under paragraph
(2) from exclusive employee representatives on any part of a pro-
posed system of promotion and advancement under that paragraph,
the Secretary shall determine whether or not to accept the rec-
ommendations, either in whole or in part. If the Secretary deter-
mines not to accept all or part of the recommendations, the Sec-
retary shall—
(A) notify the congressional veterans’ affairs committees of
the recommendations and of the portion of the recommenda-
tions that the Secretary has determined not to accept;
(B) meet and confer with such exclusive employee rep-
resentatives, for a period not less than 30 days, for purposes
of attempting to reach an agreement on whether and how to
proceed with the portion of the recommendations that the Sec-
retary has determined not to accept;
(C) at the election of the Secretary, or of a majority of such
exclusive employee representatives who are participating in
negotiations on such matter, employ the services of the Federal
Mediation and Conciliation Service during the period referred
to in subparagraph (B) for purposes of reaching such agree-
ment; and
(D) if the Secretary determines that activities under sub-
paragraph (B), (C), or both are unsuccessful at reaching such
agreement and determines (in the sole and unreviewable dis-
cretion of the Secretary) that further meeting and conferral
under subparagraph (B), mediation under subparagraph (C), or
both are unlikely to reach such agreement—
(i) notify the congressional veterans’ affairs commit-
tees of such determinations, identify for such committees
the portions of the recommendations that the Secretary
has determined not to accept, and provide such committees
an explanation and justification for determining to imple-
ment the part of the system subject to such portions of the

recommendations without regard to such portions of the
recommendations; and
(ii) commencing not earlier than 30 days after notice
under clause (i), implement the part of the system subject
to the recommendations that the Secretary has determined
not to accept without regard to those recommendations.
(5) If the Secretary and exclusive employee representatives
reach an agreement under paragraph (4) providing for the resolu-
tion of a disagreement on one or more portions of the recommenda-
tions that the Secretary had determined not to accept under that
paragraph, the Secretary shall immediately implement such resolu-
tion.
(6) In implementing a system of promotion and advancement
under this subsection, the Secretary shall—
(A) develop and implement mechanisms to permit exclu-
sive employee representatives to participate in the periodic re-
view and evaluation of the system, including peer review, and
in any further planning or development required with respect
to the system as a result of such review and evaluation; and
(B) provide exclusive employee representatives appropriate
access to information to ensure that the participation of such
exclusive employee representative in activities under subpara-
graph (A) is productive.
(7)(A) The Secretary may from time to time modify a system
of promotion and advancement under this subsection.
(B) In modifying a system, the Secretary shall take into ac-
count any recommendations made by the exclusive employee rep-
resentatives concerned.
(C) In modifying a system, the Secretary shall comply with
paragraphs (2) through (5) and shall treat any proposal for the
modification of a system as a proposal for a system for purposes of
such paragraphs.
(D) The Secretary shall promptly submit to the congressional
veterans’ affairs committees a report on any modification of a sys-
tem. Each report shall include—
(i) an explanation and justification of the modification; and
(ii) a description of any recommendations of exclusive em-
ployee representatives with respect to the modification and a
statement whether or not the modification was revised in light
of such recommendations.
(8) In the case of employees who are not within a unit with re-
spect to which a labor organization is accorded exclusive recogni-
tion, the Secretary may develop procedures for input from rep-
resentatives under this subsection from any appropriate organiza-
tion that represents a substantial percentage of such employees or,
if none, in such other manner as the Secretary considers appro-
priate, consistent with the purposes of this subsection.
(9) In this subsection, the term ‘‘congressional veterans’ affairs
committees’’ means the Committees on Veterans’ Affairs of the Sen-
ate and the House of Representatives.
170, title III, Secs. 301(b), 302(c), Nov. 24, 2003, 117 Stat. 2055, 2058.)
§ 7404. Grades and pay scales

(a) The annual rates or ranges of rates of basic pay for posi-
tions provided in section 7306 of this title shall be prescribed from
time to time by Executive order as authorized by chapter 53 of title
5 or as otherwise authorized by law. The pay of physicians and
dentists serving in positions to which an Executive order applies
under the preceding sentence shall be determined under sub-
chapter III of this chapter instead of such Executive order.
(b) The grades for positions provided for in paragraph (1) of
section 7401 of this title shall be as follows. The annual ranges of
rates of basic pay for those grades shall be prescribed from time
to time by Executive order as authorized by chapter 53 of title 5
or as otherwise authorized by law:
PHYSICIAN AND DENTIST SCHEDULE
Physician grade.
Dentist grade.
NURSE SCHEDULE
Nurse V.
Nurse IV.
Nurse III.
Nurse II.
Nurse I.
CLINICAL PODIATRIST, CHIROPRACTOR, AND OPTOMETRIST SCHEDULE
Chief grade.
Senior grade.
Intermediate grade.
Full grade.
Associate grade.
(d) Except as provided under subsection (e), subchapter III,
and section 7457 of this title, pay for positions for which basic pay
is paid under this section may not be paid at a rate in excess of
the rate of basic pay authorized by section 5316 of title 5 for posi-
tions in Level V of the Executive Schedule.
(e) The position of Chief Nursing Officer, Office of Nursing
Services, shall be exempt from the provisions of section 7451 of this
title and shall be paid at a rate determined by the Secretary, not
to exceed the maximum rate established for the Senior Executive
Service under section 5382 of title 5.
Pub. L. 102–405, title II, Sec. 206, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat.
1984; Pub. L. 102–585, title III, Sec. 301(a), Nov. 4, 1992, 106 Stat. 4951; Pub. L.
108–170, title III, Sec. 302(d), Dec. 6, 2003, 117 Stat. 2058; Pub. L. 108–445, Sec.
3(a), (f), Dec. 3, 2004, 118 Stat. 2636, 2643; Pub. L. 109–461, title II, Sec. 202, Dec.
22, 2006, 120 Stat. 3410.)
§ 7405. Temporary full-time appointments, part-time ap-

pointments, and without-compensation appoint-
ments
(a) The Secretary, upon the recommendation of the Under Sec-
retary for Health, may employ, without regard to civil service or
classification laws, rules, or regulations, personnel as follows:
(1) On a temporary full-time basis, part-time basis, or
without compensation basis, persons in the following positions:
(A) Positions listed in section 7401(1) of this title.
(B) Positions listed in section 7401(3) of this title.
(C) Librarians.
(D) Other professional, clerical, technical, and un-
skilled personnel (including interns, residents, trainees,
and students in medical support programs).
(2) On a fee basis, persons in the following positions:
(A) Positions listed in section 7401(1) of this title.
(B) Positions listed in section 7401(3) of this title.
(C) Other professional and technical personnel.
(b) Personnel employed under subsection (a)—
(1) shall be in addition to personnel described in section
7306, paragraphs (1) and (3) of section 7401, and section 7408
of this title; and
(2) shall be paid such rates of pay as the Secretary may
prescribe.
(c)(1) Temporary full-time appointments under this section of
persons in positions listed in paragraphs (1) and (3) of section 7401
of this title may be for a period in excess of 90 days only if the
Under Secretary for Health finds that circumstances render it im-
practicable to obtain the necessary services through appointments
under that section.
(2) A temporary full-time appointment may not be made for a
period in excess of two years in the case of a person who—
(A) has successfully completed—
(i) a full course of nursing in a recognized school of
nursing, approved by the Secretary; or
(ii) a full course of training for any category of per-
sonnel described in paragraph (3) of section 7401 of this
title, or as a physician assistant, in a recognized education
or training institution approved by the Secretary; and
(B) is pending registration or licensure in a State or certifi-
cation by a national board recognized by the Secretary.
(3)(A) Temporary full-time appointments of persons in posi-
tions referred to in subsection (a)(1)(D) shall not exceed three
years.
(B) Temporary full-time appointments under this paragraph
may be renewed for one or more additional periods not in excess
of three years each.
(4) Temporary full-time appointments of other personnel may
not be for a period in excess of one year except as authorized in
subsection (f).
(d) A part-time appointment may not be for a period of more
than one year, except for appointments of persons specified in sub-
section (a)(1)(A) and interns, residents, and other trainees in med-

ical support programs and except as authorized in subsection (f).
(e) A student who has a temporary appointment under this sec-
tion and who is pursuing a full course of nursing in a recognized
school of nursing approved by the Secretary, or who is pursuing a
full course of training for any category of personnel described in
paragraph (3) of section 7401 of this title in a recognized education
or training institution approved by the Secretary, may be re-
appointed for a period not to exceed the duration of the student’s
academic program.
(f) During any period during which the Secretary is exercising
the authority provided in subsections (a) and (f)(1) of section 7403
of this title in connection with the appointment, under paragraph
(3) of section 7401 of this title, of personnel in a category of per-
sonnel described in such paragraph—
(1) the Secretary may make temporary full-time appoint-
ments of personnel in such category for periods exceeding 90
days if the Under Secretary for Health finds that cir-
cumstances render it impractical to obtain the necessary serv-
ices through appointments under paragraph (3) of section 7401
of this title; and
(2) part-time appointments of personnel in such category
may be for periods of more than one year.
419, title II, Sec. 204, Nov. 1, 2000, 114 Stat. 1842; Pub. L. 108–170, title III, Sec.
301(c), Dec. 6, 2003, 117 Stat. 2057.)
§ 7406. Residencies and internships

(a)(1) The Secretary may establish residencies and internships.
The Secretary may appoint qualified persons to such positions
without regard to civil service or classification laws, rules, or regu-
lations.
(2) For the purposes of this section:
(A) The term ‘‘internship’’ includes the equivalency of an
internship as determined in accordance with regulations which
the Secretary shall prescribe.
(B) The term ‘‘intern’’ means a person serving an intern-
ship.
(b) The Secretary may prescribe the conditions of employment
of persons appointed under this section, including necessary train-
ing, and the customary amount and terms of pay for such positions
during the period of such employment and training. The amount
and terms of such pay may be established retroactively based on
changes in such customary amount and terms.
(c)(1) In order to carry out more efficiently the provisions of
subsection (a)(1), the Secretary may contract with one or more hos-
pitals, medical schools, or medical installations having hospital fa-
cilities and participating with the Department in the training of in-
terns or residents to provide, by the designation of one such insti-
tution to serve as a central administrative agency, for the central
administration—
(A) of stipend payments;
(B) provision of fringe benefits; and
(C) maintenance of records for such interns and residents.

(2) The Secretary may pay to such designated agency, without
regard to any other law or regulation governing the expenditure of
Government moneys either in advance or in arrears, an amount to
cover the cost for the period such intern or resident serves in a De-
partment facility furnishing hospital care or medical services of—
(A) stipends fixed by the Secretary pursuant to paragraph
(1);
(B) hospitalization, medical care, and life insurance and
any other employee benefits as are agreed upon by the partici-
pating institutions for the period that such intern or resident
serves in a Department facility furnishing hospital care or
medical services;
(C) tax on employers pursuant to chapter 21 of the Inter-
nal Revenue Code of 1986, where applicable; and
(D) an amount to cover a pro rata share of the cost of ex-
pense of such central administrative agency.
(3)(A) Any amounts paid by the Secretary to such central ad-
ministrative agency to cover the cost of hospitalization, medical
care, or life insurance or other employee benefits shall be in lieu
of any benefits of like nature to which such intern or resident may
be entitled under the provisions of title 5, and the acceptance of sti-
pends and employee benefits from the designated central adminis-
trative agency shall constitute a waiver by the recipient of any
claim such recipient might have to any payment of stipends or em-
ployee benefits to which such recipient may be entitled under this
title or title 5.
(B) Notwithstanding subparagraph (A), any period of service of
any such intern or resident in a Department facility furnishing
hospital care or medical services shall be deemed creditable service
for the purposes of section 8332 of title 5.
(4) The agreement with such central administrative agency
may further provide that the designated central administrative
agency shall—
(A) make all appropriate deductions from the stipend of
each intern and resident for local, State, and Federal taxes;
(B) maintain all records pertinent to such deductions and
make proper deposits of such deductions; and
(C) maintain all records pertinent to the leave accrued by
such intern and resident for the period during which such re-
cipient serves in a participating facility, including a Depart-
ment facility furnishing hospital care or medical services.
(5) Leave described in paragraph (4)(C) may be pooled, and the
intern or resident may be afforded leave by the facility in which
such person is serving at the time the leave is to be used to the
extent of such person’s total accumulated leave, whether or not
earned at the facility in which such person is serving at the time
the leave is to be afforded.
Pub. L. 104–262, title III, Sec. 345, Oct. 9, 1996, 110 Stat. 3208.)
§ 7407. Administrative provisions for section 7405 and 7406

appointments
(a) When the Under Secretary for Health determines that it is
not possible to recruit qualified citizens for the necessary services,
appointments under sections 7405 and 7406 of this title may be
made without regard to the citizenship requirements of section
7402(c) of this title or of any other law prohibiting the employment
of, or payment of compensation to, a person who is not a citizen
of the United States.
(b)(1) Subject to paragraph (2), the Under Secretary for Health
may waive for the purpose of the appointment of an individual
under section 7405 or 7406 of this title the requirements set forth
in section 7402(b) of this title—
(A) that a physician, dentist, psychologist, optometrist, reg-
istered nurse, practical or vocational nurse, or physical thera-
pist be licensed or certified, as appropriate;
(B) that the licensure or certification of such an individual
be in a State; and
(C) that a psychologist have completed an internship.
(2) The waivers authorized in paragraph (1) may be granted—
(A) in the case of clauses (A) and (C) of such paragraph,
if the individual (i) will be employed to conduct research or
serve in an academic position, and (ii) will have no responsi-
bility for furnishing direct patient care services; and
(B) in the case of clause (B) of such paragraph, if the indi-
vidual will be employed to serve in a country other than the
United States and the individual’s licensure or registration is
in the country in which the individual is to serve.
(c) The program of training prescribed by the Secretary in
order to qualify a person for the position of full-time physician as-
sistant or expanded-function dental auxiliary shall be considered a
full-time institutional program for purposes of chapter 34 of this
title. The Secretary may consider training for such a position to be
on a less than full-time basis for purposes of such chapter when the
combined classroom (and other formal instruction) portion of the
program and the on-the-job training portion of the program total
less than 30 hours per week.
(d) A person may not be appointed under section 7405 or 7406
of this title to an occupational category described in section 7401(1)
of this title or in section 7406 of this title unless the person meets
the requirements established in section 7402(d) of this title and
regulations prescribed under that section.
(e) In accordance with the provisions of section 7425(b) of this
title, the provisions of chapter 34 of title 5 pertaining to part-time
career employment shall not apply to part-time appointments
under sections 7405 and 7406 of this title.
§ 7408. Appointment of additional employees

(a) There shall be appointed by the Secretary under civil serv-
ice laws, rules, and regulations, such additional employees, other
than those provided in section 7306 and paragraphs (1) and (3) of
section 7401 of this title and those specified in sections 7405 and
7406 of this title, as may be necessary to carry out the provisions
of this chapter.
(b) The Secretary, after considering an individual’s existing
pay, higher or unique qualifications, or the special needs of the De-
partment, may appoint the individual to a position in the Adminis-
tration providing direct patient-care services or services incident to
direct patient-services at a rate of pay above the minimum rate of
the appropriate grade.
Pub. L. 103–446, title XII, Sec. 1201(e)(21), Nov. 2, 1994, 108 Stat. 4686.)
§ 7409. Contracts for scarce medical specialist services

(a) The Secretary may enter into contracts with institutions
and persons described in subsection (b) to provide scarce medical
specialist services at Department facilities. Such services may in-
clude the services of physicians, dentists, podiatrists, optometrists,
chiropractors, nurses, physician assistants, expanded-function den-
tal auxiliaries, technicians, and other medical support personnel.
(b) Institutions and persons with whom the Secretary may
enter into contracts under subsection (a) are the following:
(1) Schools and colleges of medicine, osteopathy, dentistry,
podiatry, optometry, and nursing.
(2) Clinics.
(3) Any other group or individual capable of furnishing
such scarce medical specialist services.
Pub. L. 108–170, title III, Sec. 302(f), Dec. 6, 2003, 117 Stat. 2058.)
§ 7410. Additional pay authorities

The Secretary may authorize the Under Secretary for Health
to pay advance payments, recruitment or relocation bonuses, and
retention allowances to the personnel described in paragraph (1) of
section 7401 of this title, or interview expenses to candidates for
appointment as such personnel, in the same manner, and subject
to the same limitations, as in the case of the authority provided
under sections 5524a, 5706b, 5753, and 5754 of title 5.
(Added Pub. L. 102–40, title I, Sec. 103(a)((1)), May 7, 1991, 105 Stat. 198; amended
§ 7411. Full-time board-certified physicians and dentists: re-

imbursement of continuing professional education
expenses
The Secretary shall reimburse any full-time board-certified
physician or dentist appointed under section 7401(1) of this title for
expenses incurred, up to $1,000 per year, for continuing profes-
sional education.
(Added Pub. L. 102–40, title I, Sec. 103(a)((1)), May 7, 1991, 105 Stat. 199.)
SUBCHAPTER II—COLLECTIVE BARGAINING AND

PERSONNEL ADMINISTRATION
§ 7421. Personnel administration: in general
(a) Notwithstanding any law, Executive order, or regulation,
the Secretary shall prescribe by regulation the hours and condi-
tions of employment and leaves of absence of employees appointed
under any provision of this chapter in positions in the Veterans
Health Administration listed in subsection (b).
(b) Subsection (a) refers to the following positions:
(1) Physicians.
(2) Dentists.
(3) Podiatrists.
(4) Optometrists.
(5) Registered nurses.
(6) Physician assistants.
(7) Expanded-duty dental auxiliaries.
(8) Chiropractors.
(Added Pub. L. 102–40, title II, Sec. 202, May 7, 1991, 105 Stat. 200; amended Pub.
L. 108–170, title III, Sec. 302(g), Dec. 6, 2003, 117 Stat. 2058.)
§ 7422. Collective bargaining

(a) Except as otherwise specifically provided in this title, the
authority of the Secretary to prescribe regulations under section
7421 of this title is subject to the right of Federal employees to en-
gage in collective bargaining with respect to conditions of employ-
ment through representatives chosen by them in accordance with
chapter 71 of title 5 (relating to labor-management relations).
(b) Such collective bargaining (and any grievance procedures
provided under a collective bargaining agreement) in the case of
employees described in section 7421(b) of this title may not cover,
or have any applicability to, any matter or question concerning or
arising out of (1) professional conduct or competence, (2) peer re-
view, or (3) the establishment, determination, or adjustment of em-
ployee compensation under this title.
(c) For purposes of this section, the term ‘‘professional conduct
or competence’’ means any of the following:
(1) Direct patient care.
(2) Clinical competence.
(d) An issue of whether a matter or question concerns or arises
out of (1) professional conduct or competence, (2) peer review, or (3)
the establishment, determination, or adjustment of employee com-
pensation under this title shall be decided by the Secretary and is
not itself subject to collective bargaining and may not be reviewed
by any other agency.
(e) A petition for judicial review or petition for enforcement
under section 7123 of title 5 in any case involving employees de-
scribed in section 7421(b) of this title or arising out of the applica-
bility of chapter 71 of title 5 to employees in those positions, shall
be taken only in the United States Court of Appeals for the District
of Columbia Circuit.
(Added Pub. L. 102–40, title II, Sec. 202, May 7, 1991, 105 Stat. 200.)
§ 7423. Personnel administration: full-time employees

(a) The hours of employment in carrying out responsibilities
under this title of any employee who is appointed in the Adminis-
tration under any provision of this chapter on a full-time basis in
a position listed in section 7421(b) of this title (other than an in-
tern or resident appointed pursuant to section 7406 of this title)
and who accepts responsibilities for carrying out professional serv-
ices for remuneration other than those assigned under this title
shall consist of not less than 80 hours in a biweekly pay period (as
that term is used in section 5504 of title 5).
(b) A person covered by subsection (a) may not do any of the
following:
(1) Teach or provide consultative services at any affiliated
institution if such teaching or consultation will, because of its
nature or duration, conflict with such person’s responsibilities
under this title.
(2) Accept payment under any insurance or assistance pro-
gram established under title XVIII or XIX of the Social Secu-
rity Act or under chapter 55 of title 10 for professional services
rendered by such person while carrying out such person’s re-
sponsibilities under this title.
(3) Accept from any source, with respect to any travel per-
formed by such person in the course of carrying out such per-
son’s responsibilities under this title, any payment or per diem
for such travel, other than as provided for in section 4111 of
title 5.
(4) Request or permit any individual or organization to
pay, on such person’s behalf for insurance insuring such person
against malpractice claims arising in the course of carrying out
such person’s responsibilities under this title or for such per-
son’s dues or similar fees for membership in medical or dental
societies or related professional associations, except where such
payments constitute a part of such person’s remuneration for
the performance of professional responsibilities permitted
under this section, other than those carried out under this
title.
(5) Perform, in the course of carrying out such person’s re-
sponsibilities under this title, professional services for the pur-
pose of generating money for any fund or account which is
maintained by an affiliated institution for the benefit of such
institution, or for such person’s personal benefit, or both.
(c) In the case of any fund or account described in subsection
(b)(5) that was established before September 1, 1973—
(1) the affiliated institution shall submit semiannually an
accounting to the Secretary and to the Comptroller General of
the United States with respect to such fund or account and
shall maintain such fund or account subject to full public dis-
closure and audit by the Secretary and the Comptroller Gen-
eral for a period of three years or for such longer period as the
Secretary shall prescribe, and
(2) no person in a position specified in paragraph (1)(B)
may receive any cash from amounts deposited in such fund or
account derived from services performed before that date.
(d) As used in this section:

(1) The term ‘‘affiliated institution’’ means a medical school
or other institution of higher learning with which the Secretary
has a contract or agreement as referred to in section 7313 of
this title for the training or education of health personnel.
(2) The term ‘‘remuneration’’ means the receipt of any
amount of monetary benefit from any non-Department source
in payment for carrying out any professional responsibilities.
(e)(1) The Secretary shall establish a leave transfer program
for the benefit of health-care professionals in positions listed in sec-
tion 7401(1) of this title. The Secretary may also establish a leave
bank program for the benefit of such health-care professionals.
(2) To the maximum extent feasible—
(A) the leave transfer program shall provide the same or
similar requirements and conditions as are provided for the
program established by the Director of the Office of Personnel
Management under subchapter III of chapter 63 of title 5; and
(B) any leave bank program established pursuant to para-
graph (1) shall be consistent with the requirements and condi-
tions provided for agency leave bank programs in subchapter
IV of such chapter.
(3) Participation by a health-care professional in the leave
transfer program established pursuant to paragraph (1), and in any
leave bank program established pursuant to such paragraph, shall
be voluntary. The Secretary may not require any health-care pro-
fessional to participate in such a program.
(4)(A) The Secretary and the Director of the Office of Personnel
Management may enter into an agreement that permits health-
care professionals referred to in paragraph (1) to participate in the
leave transfer program established by the Director of the Office of
Personnel Management under subchapter III of chapter 63 of title
5 or in any leave bank program established for other employees of
the Department pursuant to subchapter IV of chapter 63 of title 5,
or both.
(B) Participation of such health-care professionals in a leave
transfer program or a leave bank program pursuant to an agree-
ment entered into under subparagraph (A) shall be subject to such
requirements and conditions as may be prescribed in such agree-
ment.
(5) The Secretary is not required to establish a leave transfer
program for any personnel permitted to participate in a leave
transfer program pursuant to an agreement referred to in para-
graph (4).
(f) The Secretary may purchase promotional items of nominal
value for use in the recruitment of individuals for employment
under this chapter. The Secretary shall prescribe guidelines for the
administration of the preceding sentence.
(Added and amended Pub. L. 102–40, title II, Sec. 202, title IV, Sec. 401(b)(3)(A),
May 7, 1991, 105 Stat. 201, 230; Pub. L. 102–405, title II, Sec. 203, title III, Sec.
302(c)(1), Oct. 9, 1992, 106 Stat. 1983, 1984; Pub. L. 104–262, title III, Sec. 347,
Oct. 9, 1996, 110 Stat. 3208.)
§ 7424. Travel expenses of certain employees

(a) The Secretary may pay the expenses (other than member-
ship fees) of persons described in sections 7306 and 7401(1) of this
title (including persons in positions described in section 7401(1) of
this title who are appointed on a temporary full-time basis or a
part-time basis under section 7405 of this title) who are detailed
by the Under Secretary for Health to attend meetings of associa-
tions for the promotion of medical and related science.
(b)(1) The Secretary may prescribe regulations establishing
conditions under which officers and employees of the Administra-
tion who are nationally recognized principal investigators in med-
ical research may be permitted to accept payment, in cash or in
kind, from non-Federal agencies, organizations, and individuals for
travel and such reasonable subsistence expenses as are approved
by the Secretary pursuant to such regulations—
(A) in connection with their attendance at meetings or in
performing advisory services concerned with the functions or
activities of the Department; or
(B) in connection with acceptance of significant awards or
with activity related thereto concerned with functions or activi-
ties of the Department.
(2) Any such payment may be retained by such officers and
employees to cover the cost of such expenses or shall be deposited
to the credit of the appropriation from which the cost of such ex-
penses is paid, as may be provided in such regulations.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(3)(B), May 7, 1991, 105 Stat. 230;
amended Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984.)
§ 7425. Employees: laws not applicable

(a) Physicians, dentists, nurses, and other health-care profes-
sionals employed by the Administration and appointed under sec-
tion 7306, 7401(1), 7405, or 7406 of this chapter are not subject to
the following provisions of law:
(1) Section 413 of the Civil Service Reform Act of 1978.
(2) Subchapter II of chapter 31 of title 5.
(3) Subchapter VIII of chapter 33 of title 5.
(4) Subchapter V of chapter 35 of title 5.
(5) Subchapter II of chapter 43 of title 5.
(6) Section 4507 of title 5.
(7) Subchapter VIII of chapter 53 of title 5.
(8) Subchapter V of chapter 75 of title 5.
(b) Notwithstanding any other provision of law, no provision of
title 5 or any other law pertaining to the civil service system which
is inconsistent with any provision of section 7306 of this title or
this chapter shall be considered to supersede, override, or other-
wise modify such provision of that section or this chapter except to
the extent that such provision of title 5 or of such other law specifi-
cally provides, by specific reference to a provision of this chapter,
or such provision to be superseded, overridden, or otherwise modi-
fied.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(3)(B), May 7, 1991, 105 Stat. 231.)
§ 7426. Retirement rights

(a) Except as provided in subsection (b), persons appointed to
the Administration shall be subject to the provisions of and entitled
to benefits under subchapter III of chapter 83 of title 5 or sub-
chapter II of chapter 84 of title 5, whichever is applicable.
(b)(1) In computing the annuity under subchapter III of chap-
ter 83, or subchapter II of chapter 84, of title 5 of an individual
who retires under such subchapter (other than under section 8337
or 8451 of such title) after December 31, 1981, and who served at
any time on a less-than-full-time basis in a position in the Admin-
istration to which such individual was appointed under subchapter
I—
(A) for the purpose of determining such individual’s aver-
age pay, as defined by section 8331(4) or 8401(3) of title 5,
whichever is applicable, the annual rate of basic pay for full-
time service shall be deemed to be such individual’s rate of
basic pay; and
(B) the amount of such individual’s annuity as computed
under section 8339 or 8415 of title 5 (before application of any
reduction required by subsection (i) of section 8339) shall be
multiplied by the fraction equal to the ratio that that individ-
ual’s total full-time equivalent service bears to that individual’s
creditable service as determined under section 8332 or 8411 of
title 5, whichever is applicable.
(2) For the purposes of paragraph (1)(B), an individual’s full-
time equivalent service is the individual’s creditable service as de-
termined under section 8332 or 8411 of title 5, whichever is appli-
cable, except that any period of service of such individual served
on a less-than-full-time basis shall be prorated based on the frac-
tion such service bears to full-time service. For the purposes of the
preceding sentence, full-time service shall be considered to be 80
hours of service per biweekly pay period.
(3) A survivor annuity computed under section 8341, or sub-
chapter IV of chapter 84, of title 5 based on the service of an indi-
vidual described in paragraph (1) shall be computed based upon
such individual’s annuity as determined in accordance with such
paragraph.
(c) The provisions of subsection (b) shall not apply to the part-
time service before April 7, 1986, of a registered nurse, physician
assistant, or expanded-function dental auxiliary. In computing the
annuity under the applicable provision of law specified in that sub-
section of an individual covered by the preceding sentence, the
service described in that sentence shall be credited as full-time
service.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(3)(B), May 7, 1991, 105 Stat. 231;
amended Pub. L. 102–585, title V, Sec. 522, Nov. 4, 1992, 106 Stat. 4959; Pub. L.
106–398, Sec. 1[[div. A], title X, Sec. 1087(g)(5)], Oct. 30, 2000, 114 Stat. 1654,
1654A-294; Pub. L. 107–135, title I, Sec. 132, Jan. 23, 2002, 115 Stat. 2454.)

§ 7431. Pay
(a) ELEMENTS OF PAY.—Pay of physicians and dentists in the
Veterans Health Administration shall consist of three elements as
follows:
(1) Base pay as provided for under subsection (b).
(2) Market pay as provided for under subsection (c).
(3) Performance pay as provided under subsection (d).
(b) BASE PAY.—One element of pay for physicians and dentists
shall be base pay. Base pay shall meet the following requirements:
(1) Each physician and dentist is entitled to base pay de-
termined under the Physician and Dentist Base and Longevity
Pay Schedule.
(2) The Physician and Dentist Base and Longevity Pay
Schedule is composed of 15 rates of base pay designated, from
the lowest rate of pay to the highest rate of pay, as base pay
steps 1 through 15.
(3) The rate of base pay payable to a physician or dentist
is based on the total number of the years of the service of the
physician or dentist in the Veterans Health Administration as
follows:
For a physician or dentist The rate of base pay is
with total service of: the rate payable for:
two years or less ............................................................................... step 1
more than 2 years and not more than 4 years .............................. step 2
more than 8 years and not more than 10 years ............................ step 5
more than 10 years and not more than 12 years .......................... step 6
more than 28 years .......................................................................... step 15.
(4) At the same time as rates of basic pay are increased
for a year under section 5303 of title 5, the Secretary shall in-
crease the amount of base pay payable under this subsection
for that year by a percentage equal to the percentage by which
rates of basic pay are increased under such section for that
year.
(c) MARKET PAY.—One element of pay for physicians and den-
tists shall be market pay. Market pay shall meet the following re-
quirements:
(1) Each physician and dentist is eligible for market pay.
(2) Market pay shall consist of pay intended to reflect the
recruitment and retention needs for the specialty or assign-
ment (as defined by the Secretary) of a particular physician or
dentist in a facility of the Department of Veterans Affairs.
(3) The annual amount of the market pay payable to a
physician or dentist shall be determined by the Secretary on
a case-by-case basis.
(4)(A) In determining the amount of market pay for physi-

cians or dentists, the Secretary shall consult two or more na-
tional surveys of pay for physicians or dentists, as applicable,
whether prepared by private, public, or quasi-public entities in
order to make a general assessment of the range of pays pay-
able to physicians or dentists, as applicable.
(B)(i) In determining the amount of the market pay for a
particular physician or dentist under this subsection, and in
determining a tier (if any) to apply to a physician or dentist
under subsection (e)(1)(B), the Secretary shall consult with and
consider the recommendations of an appropriate panel or board
composed of physicians or dentists (as applicable).
(ii) A physician or dentist may not be a member of the
panel or board that makes recommendations under clause (i)
with respect to the market pay of such physician or dentist, as
the case may be.
(iii) The Secretary should, to the extent practicable, ensure
that a panel or board consulted under this subparagraph in-
cludes physicians or dentists (as applicable) who are practicing
clinicians and who do not hold management positions in the
medical facility of the Department at which the physician or
dentist subject to the consultation is employed.
(5) The determination of the amount of market pay of a
physician or dentist shall take into account—
(A) the level of experience of the physician or dentist
in the specialty or assignment of the physician or dentist;
(B) the need for the specialty or assignment of the
physician or dentist at the medical facility of the Depart-
ment concerned;
(C) the health care labor market for the specialty or
assignment of the physician or dentist, which may cover
any geographic area the Secretary considers appropriate
for the specialty or assignment;
(D) the board certifications, if any, of the physician or
dentist;
(E) the prior experience, if any, of the physician or
dentist as an employee of the Veterans Health Administra-
tion; and
(F) such other considerations as the Secretary con-
siders appropriate.
(6) The amount of market pay of a physician or dentist
shall be evaluated by the Secretary not less often than once
every 24 months. The amount of market pay may be adjusted
as the result of an evaluation under this paragraph. A physi-
cian or dentist whose market pay is evaluated under this para-
graph shall receive written notice of the results of such evalua-
tion in accordance with procedures prescribed under section
7433 of this title.
(7) No adjustment of the amount of market pay of a physi-
cian or dentist under paragraph (6) may result in a reduction
of the amount of market pay of the physician or dentist while
in the same position or assignment at the medical facility of
the Department concerned.
(d) PERFORMANCE PAY.—(1) One element of pay for physicians

and dentists shall be performance pay.
(2) Performance pay shall be paid to a physician or dentist on
the basis of the physician’s or dentist’s achievement of specific
goals and performance objectives prescribed by the Secretary.
(3) The Secretary shall ensure that each physician and dentist
of the Department is advised of the specific goals or objectives that
are to be measured by the Secretary in determining the eligibility
of that physician or dentist for performance pay.
(4) The amount of the performance pay payable to a physician
or dentist may vary annually on the basis of individual achieve-
ment or attainment of the goals or objectives applicable to the phy-
sician or dentist under paragraph (2).
(5) The amount of performance pay payable to a physician or
dentist in a fiscal year shall be determined in accordance with reg-
ulations prescribed by the Secretary, but may not exceed the lower
of—
(A) $15,000; or
(B) the amount equal to 7.5 percent of the sum of the base
pay and the market pay payable to such physician or dentist
in that fiscal year.
(6) A failure to meet goals or objectives applicable to a physi-
cian or dentist under paragraph (2) may not be the sole basis for
an adverse personnel action against that physician or dentist.
(e) REQUIREMENTS AND LIMITATIONS ON TOTAL PAY.—(1)(A)
Not less often than once every two years, the Secretary shall pre-
scribe for Department-wide applicability the minimum and max-
imum amounts of annual pay that may be paid under this section
to physicians and the minimum and maximum amounts of annual
pay that may be paid under this section to dentists.
(B) The Secretary may prescribe for Department-wide applica-
bility under this paragraph separate minimum and maximum
amounts of pay for a specialty or assignment. If the Secretary pre-
scribes separate minimum and maximum amounts for a specialty
or assignment, the Secretary may establish up to four tiers of min-
imum and maximum amounts for such specialty or assignment and
prescribe for each tier a minimum amount and a maximum amount
that the Secretary determines appropriate for the professional re-
sponsibilities, professional achievements, and administrative duties
of the physicians or dentists (as the case may be) whose pay is set
within that tier.
(C) Amounts prescribed under this paragraph shall be pub-
lished in the Federal Register, and shall not take effect until at
least 60 days after the date of publication.
(2) Except as provided in paragraph (3) and subject to para-
graph (4), the sum of the total amount of the annual rate of base
pay payable to a physician or dentist under subsection (b) and the
market pay determined for the physician or dentist under sub-
section (c) may not be less than the minimum amount, nor more
than the maximum amount, applicable to specialty or assignment
of the physician or dentist under paragraph (1).
(3) The sum of the total amount of the annual rate of base pay
payable to a physician or dentist under subsection (b) and the mar-
ket pay determined for the physician or dentist under subsection
(c) may exceed the maximum amount applicable to the specialty or

assignment of the physician or dentist under paragraph (1) as a re-
sult of an adjustment under paragraph (3) or (4) of subsection (b).
(4) In no case may the total amount of compensation paid to
a physician or dentist under this title in any year exceed the
amount of annual compensation (excluding expenses) specified in
(f) TREATMENT OF PAY.—Pay under subsections (b) and (c) of
this section shall be considered pay for all purposes, including re-
tirement benefits under chapters 83 and 84 of title 5 and other
benefits.
(g) ANCILLARY EFFECTS OF DECREASES IN PAY.—(1) A decrease
in pay of a physician or dentist resulting from an adjustment in the
amount of market pay of the physician or dentist under subsection
(c) shall not be treated as an adverse action.
(2) If the pay of a physician or dentist is reduced under this
subchapter as a result of an involuntary reassignment in connec-
tion with a disciplinary action taken against the physician or den-
tist, the involuntary reassignment shall be subject to appeal under
subchapter V of this chapter.
(h) DELEGATION OF RESPONSIBILITIES.—The Secretary may del-
egate to an appropriate officer or employee of the Department any
responsibility of the Secretary under subsection (c), (d), or (e) ex-
cept for the responsibilities of the Secretary under subsection (e)(1).
(Added Pub. L. 108–445, Sec. 3(b), Dec. 3, 2004, 118 Stat. 2636)
§ 7432. Pay of Under Secretary for Health

(a) BASE PAY.—The base pay of the Under Secretary for Health
shall be the annual rate of basic pay for positions at Level III of
the Executive Schedule under section 5314 of title 5.
(b) MARKET PAY.—(1) In the case of an Under Secretary for
Health who is also a physician or dentist, in addition to the base
pay specified in subsection (a) the Under Secretary for Health may
also be paid the market pay element of pay of physicians and den-
tists under section 7431(c) of this title.
(2) The amount of market pay of the Under Secretary for
Health under this subsection shall be established by the Secretary.
(3) In establishing the amount of market pay of the Under Sec-
retary for Health under this subsection, the Secretary shall utilize
an appropriate health care labor market selected by the Secretary
for purposes of this subsection.
(c) TREATMENT OF PAY.—Pay under this section shall be con-
sidered pay for all purposes, including retirement benefits under
chapters 83 and 84 of title 5 and other benefits.
(Added Pub. L. 108–445, Sec. 3(b), Dec. 3, 2004, 118 Stat. 2640.)
§ 7433. Administrative matters

(a) REGULATIONS.—(1) The Secretary shall prescribe regula-
tions relating to the pay of physicians and dentists in the Veterans
Health Administration under this subchapter.
(2) In prescribing the regulations, the Secretary shall take into
account the recommendations of the Under Secretary for Health on
the administration of this subchapter. In formulating recommenda-
tions for the purpose of this paragraph, the Under Secretary shall
request the views of representatives of labor organizations that are
exclusive representatives of physicians and dentists of the Depart-
ment and the views of representatives of professional organizations
of physicians and dentists of the Department.
(b) REPORTS.—(1) Not later than 18 months after the Secretary
prescribes the regulations required by subsection (a), and annually
thereafter for the next 5 years, the Secretary shall submit to the
resentatives a report on the pay of physicians and dentists in the
Veterans Health Administration under this subchapter.
(2) Each report under this subsection shall include the fol-
lowing:
(A) A description of the rates of pay in effect during the
current fiscal year with a comparison to the rates in effect dur-
ing the fiscal year preceding the current fiscal year, set forth
by facility and by specialty.
(B) The number of physicians and dentists who left the
Veterans Health Administration during the preceding fiscal
year.
(C) The number of unfilled physician positions and dentist
positions in each specialty in the Veterans Health Administra-
tion, the average and maximum lengths of time that such posi-
tions have been unfilled, and an assessment of the reasons
that such positions remain unfilled.
(D) An assessment of the impact of implementation of this
subchapter on efforts to recruit and retain physicians and den-
tists in the Veterans Health Administration.
(3) The first two annual reports under this subsection shall
also include a comparison of staffing levels, contract expenditures,
and average salaries of physicians and dentists in the Veterans
Health Administration for the current fiscal year and for the fiscal
year preceding the current fiscal year, set forth by facility and by
specialty.
(Added Pub. L. 108–445, Sec. 3(b), Dec. 3, 2004, 118 Stat. 2640.)
SUBCHAPTER IV—PAY FOR NURSES AND OTHER HEALTH-

CARE PERSONNEL
§ 7451. Nurses and other health-care personnel: competitive
pay
(a)(1) It is the purpose of this section to ensure, by a means
providing increased responsibility and authority to directors of De-
partment health-care facilities, that the rates of basic pay for
health-care personnel positions described in paragraph (2) in each
Department health-care facility (including the rates of basic pay of
personnel employed in such positions on a part-time basis) are suf-
ficient for that facility to be competitive, on the basis of pay and
other employee benefits, with non-Department health-care facilities
in the same labor-market area in the recruitment and retention of
qualified personnel for those positions.
(2) The health-care personnel positions referred to in para-
graph (1) (hereinafter in this section referred to as ‘‘covered posi-
tions’’) are the following:
(A) Registered nurse.

(B) Such positions referred to in paragraphs (1) and (3) of
section 7401 of this title (other than the positions of physician,
dentist, and registered nurse) as the Secretary may determine
upon the recommendation of the Under Secretary for Health.
(3)(A) Except as provided in subparagraph (B), the rates of
basic pay for covered positions in the Department shall be estab-
lished and adjusted in accordance with this section instead of sub-
section (b)(1) of section 7404 of this title or chapter 53 of title 5.
(B) Under such regulations as the Secretary shall prescribe,
the Secretary shall establish and adjust the rates of basic pay for
covered positions at the following health-care facilities in order to
provide rates of basic pay that enable the Secretary to recruit and
retain sufficient numbers of health-care personnel in such positions
at those facilities:
(i) The Veterans Memorial Medical Center in the Republic
of the Philippines.
(ii) Department of Veterans Affairs health-care facilities lo-
cated outside the contiguous States, Alaska, and Hawaii.
(4) The Secretary, after receiving the recommendation of the
Under Secretary for Health, shall prescribe regulations setting
forth criteria and procedures to carry out this section and section
7452 of this title. Requirements in such regulations for directors to
provide and maintain documentation of actions taken under this
section shall require no more documentation than the minimum es-
sential for responsible administration.
(b) The Secretary shall maintain the five grade levels for
nurses employed by the Department under section 7401(1) of this
title as specified in the Nurse Schedule in section 7404(b) of this
title. The Secretary shall, pursuant to regulations prescribed to
carry out this subchapter, establish grades for other covered posi-
tions as the Secretary considers appropriate.
(c)(1) For each grade in a covered position, there shall be a
range of basic pay. The maximum rate of basic pay for a grade
shall be 133 percent of the minimum rate of basic pay for the
grade, except that, if the Secretary determines that a higher max-
imum rate is necessary with respect to any such grade in order to
recruit and retain a sufficient number of high-quality health-care
personnel, the Secretary may raise the maximum rate of basic pay
for that grade to a rate not in excess of 175 percent of the min-
imum rate of basic pay for the grade. Whenever the Secretary exer-
cises the authority under the preceding sentence to establish the
maximum rate of basic pay at a rate in excess of 133 percent of
the minimum rate for that grade, the Secretary shall, in the next
annual report required by subsection (g), provide justification for
doing so to the Committees on Veterans’ Affairs of the Senate and
House of Representatives.
(2) The maximum rate of basic pay for any grade for a covered
position may not exceed the maximum rate of basic pay established
for positions in level V of the Executive Schedule under section
5316 of title 5.
(3) The range of basic pay for each such grade shall be divided
into equal increments, known as ‘‘steps’’. The Secretary shall pre-
scribe the number of steps. Each grade in a covered position shall
have the same number of steps. Rates of pay within a grade may
not be established at rates other than whole steps. Any increase
(other than an adjustment under subsection (d)) within a grade in
the rate of basic pay payable to an employee in a covered position
shall be by one or more of such step increments.
(d)(1) Subject to subsection (e), the rates of basic pay for each
grade in a covered position shall be adjusted periodically in accord-
ance with this subsection in order to achieve the purposes of this
section. Such adjustments shall be made—
(A) whenever there is an adjustment under section 5303 of
title 5 in the rates of pay under the General Schedule, with the
adjustment under this subsection to have the same effective
date and to be by the same percentage as the adjustment in
the rates of basic pay under the General Schedule; and
(B) at such additional times as the director of a Depart-
ment health-care facility, with respect to employees in that
grade at that facility, or the Under Secretary for Health, with
respect to covered Regional and Central Office employees in
that grade, determines.
(2) An adjustment in rates of basic pay under this subsection
for a grade shall be carried out by adjusting the amount of the
minimum rate of basic pay for that grade in accordance with para-
graph (3) and then adjusting the other rates for that grade to con-
form to the requirements of subsection (c). Except as provided in
paragraph (1)(A), such an adjustment in the minimum rate of basic
pay for a grade shall be made by the director of a Department
health-care facility so as to achieve consistency with the beginning
rate of compensation for corresponding health-care professionals in
the Bureau of Labor Statistics (BLS) labor-market area of that fa-
cility.
(3)(A) In the case of a Department health-care facility located
in an area for which there is current information, based upon an
industry-wage survey by the Bureau of Labor Statistics for that
labor market, on compensation for corresponding health-care pro-
fessionals for the BLS labor-market area of that facility, the direc-
tor of the facility concerned shall use that information as the basis
for making adjustments in rates of pay under this subsection.
Whenever the Bureau of Labor Statistics releases the results of a
new industry-wage survey for that labor market that includes in-
formation on compensation for corresponding health-care profes-
sionals, the director of that facility shall determine, not later than
30 days after the results of the survey are released, whether an ad-
justment in rates of pay for employees at that facility for any cov-
ered position is necessary in order to meet the purposes of this sec-
tion. If the director determines that such an adjustment is nec-
essary, the adjustment, based upon the information determined in
the survey, shall take effect on the first day of the first pay period
beginning after that determination.
(B) In the case of a Department health-care facility located in
an area for which the Bureau of Labor Statistics does not have cur-
rent information on compensation for corresponding health-care
professionals for the labor-market area of that facility for any cov-
ered position, the director of that facility shall conduct a survey in
accordance with this subparagraph and shall adjust the amount of
the minimum rate of basic pay for grades in that covered position
at that facility based upon that survey. To the extent practicable,
the director shall use third-party industry wage surveys to meet
the requirements of the preceding sentence. Any such survey shall
be conducted in accordance with regulations prescribed by the Sec-
retary. Those regulations shall be developed in consultation with
the Secretary of Labor in order to ensure that the director of a fa-
cility collects information that is valid and reliable and is con-
sistent with standards of the Bureau. The survey should be con-
ducted using methodology comparable to that used by the Bureau
in making industry-wage surveys except to the extent determined
infeasible by the Secretary. To the extent practicable, all surveys
conducted pursuant to this subparagraph or subparagraph (A) shall
include the collection of salary midpoints, actual salaries, lowest
and highest salaries, average salaries, bonuses, incentive pays, dif-
ferential pays, actual beginning rates of pay, and such other infor-
mation needed to meet the purpose of this section. Upon conducting
a survey under this subparagraph, the director concerned shall de-
termine, not later than 30 days after the date on which the collec-
tion of information through the survey is completed or published,
whether an adjustment in rates of pay for employees at that facil-
ity for any covered position is necessary in order to meet the pur-
poses of this section. If the director determines that such an adjust-
ment is necessary, the adjustment, based upon the information de-
termined in the survey, shall take effect on the first day of the first
pay period beginning after that determination.
(C)(i) A director of a Department health-care facility may use
data on the compensation paid to certified registered nurse anes-
thetists who are employed on a salary basis by entities that provide
anesthesia services through certified registered nurse anesthetists
in the labor-market area only if the director—
(I) has conducted a survey of compensation for certified
registered nurse anesthetists in the local labor-market area of
the facility under subparagraph (B);
(II) has used all available administrative authority with
regard to collection of survey data; and
(III) makes a determination (under regulations prescribed
by the Secretary) that such survey methods are insufficient to
permit the adjustments referred to in subparagraph (B) for
such nurse anesthetists employed by the facility.
(ii) For the purposes of this subparagraph, certified registered
nurse anesthetists who are so employed by such entities shall be
deemed to be corresponding health-care professionals to the cer-
tified registered nurse anesthetists employed by the facility.
(D) The Under Secretary for Health shall prescribe regulations
providing for the adjustment of the rates of basic pay for Regional
and Central Office employees in covered positions in order to as-
sure that those rates are sufficient and competitive.
(E) The director of a facility or Under Secretary for Health may
not adjust rates of basic pay under this subsection for any pay
grade so that the minimum rate of basic pay for that grade is
greater than the beginning rates of compensation for corresponding
positions at non-Department health-care facilities.
(4) If the director of a Department health-care facility, or the

Under Secretary for Health with respect to Regional and Central
Office employees, determines, after any survey under paragraph
(3)(B), that it is not necessary to adjust the rates of basic pay for
employees in a grade of a covered position at that facility in order
to carry out the purpose of this section, such an adjustment for em-
ployees at that facility in that grade shall not be made.
(5) Information collected by the Department in surveys con-
ducted under this subsection is not subject to disclosure under sec-
tion 552 of title 5.
(6) In this subsection—
(A) The term ‘‘beginning rate of compensation’’, with re-
spect to health-care personnel positions in non-Department
health-care facilities corresponding to a grade of a covered po-
sition, means the sum of—
(i) the minimum rate of pay established for personnel
in such positions who have education, training, and experi-
ence equivalent or similar to the education, training, and
experience required for health-care personnel employed in
the same category of Department covered positions; and
(ii) other employee benefits for those positions to the
extent that those benefits are reasonably quantifiable.
(B) The term ‘‘corresponding’’, with respect to health-care
personnel positions in non-Department health-care facilities,
means those positions for which the education, training, and
experience requirements are equivalent or similar to the edu-
cation, training, and experience requirements for health-care
personnel positions in Department health-care facilities.
(e)(1) An adjustment in a rate of basic pay under subsection (d)
may not reduce the rate of basic pay applicable to any grade of a
covered position.
(2) The director of a Department health-care facility, in deter-
mining whether to carry out a wage survey under subsection (d)(3)
with respect to rates of basic pay for a grade of a covered position,
may not consider as a factor in such determination the absence of
a current recruitment or retention problem for personnel in that
grade of that position. The director shall make such a determina-
tion based upon whether, in accordance with criteria established by
the Secretary, there is a significant pay-related staffing problem at
that facility in any grade for a position. If the director determines
that there is such a problem, or that such a problem is likely to
exist in the near future, the Director shall provide for a wage sur-
vey in accordance with subsection (d)(3).
(3) The Under Secretary for Health may, to the extent nec-
essary to carry out the purposes of subsection (d), modify any de-
termination made by the director of a Department health-care facil-
ity with respect to adjusting the rates of basic pay applicable to
covered positions. If the determination of the director would result
in an adjustment in rates of basic pay applicable to covered posi-
tions, any action by the Under Secretary under the preceding sen-
tence shall be made before the effective date of such pay adjust-
ment. Upon such action by the Under Secretary, any adjustment
shall take effect on the first day of the first pay period beginning
after such action. The Secretary shall ensure that the Under Sec-
retary establishes a mechanism for the timely exercise of the au-

thority in this paragraph.
(4) Each director of a Department health-care facility shall pro-
vide to the Secretary, not later than July 31 each year, a report on
staffing for covered positions at that facility. The report shall in-
clude the following:
(A) Information on turnover rates and vacancy rates for
each covered position, including a comparison of those rates
with the rates for the preceding three years.
(B) The director’s findings concerning the review and eval-
uation of the facility’s staffing situation, including whether
there is, or is likely to be, in accordance with criteria estab-
lished by the Secretary, a significant pay-related staffing prob-
lem at that facility for any covered position and, if so, whether
a wage survey was conducted, or will be conducted with re-
spect to that position.
(C) In any case in which the director conducts such a wage
survey during the period covered by the report, information de-
scribing the survey and any actions taken or not taken based
on the survey, and the reasons for taking (or not taking) such
actions.
(D) In any case in which the director, after finding that
there is, or is likely to be, in accordance with criteria estab-
lished by the Secretary, a significant pay-related staffing prob-
lem at that facility for any covered position, determines not to
conduct a wage survey with respect to that position, a state-
ment of the reasons why the director did not conduct such a
survey.
(5) Not later than September 30 of each year, the Secretary
and House of Representatives a report on staffing for covered posi-
tions at Department health care facilities. Each such report shall
(A) A summary and analysis of the information contained
in the most recent reports submitted by facility directors under
paragraph (4).
(B) The information for each such facility specified in para-
graph (4).
(f) Not later than March 1 of each year, the Secretary shall
submit to the Committees on Veterans’ Affairs of the Senate and
House of Representatives a report regarding any pay adjustments
under the authority of subsection (d) effective during the 12
months preceding the submission of the report. Each such report
shall set forth, by health-care facility, the percentage of such in-
creases and, in any case in which no increase was made, the basis
for not providing an increase.
(g) For the purposes of this section, the term ‘‘health-care facil-
ity’’ means a medical center, an independent outpatient clinic, or
an independent domiciliary facility.
renumbered Sec. 7451 and amended Pub. L. 102–40, title III, Sec. 301(b), (c), title
IV, Sec. 401(c)(1)(A), (2), May 7, 1991, 105 Stat. 208, 238; Pub. L. 102–405, title III,
Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 102–585, title III, Sec. 301(b)-
303, 304(b), 307, Nov. 4, 1992, 106 Stat. 4951–4953; Pub. L. 103–446, title XII, Sec.
1201(c)(7), (e)(23), Nov. 2, 1994, 108 Stat. 4684, 4686; Pub. L. 104–110, title I, Sec.
101(i), Feb. 13, 1996, 110 Stat. 768; Pub. L. 106–419, title II, Sec. 201(a), Nov. 1,
2000, 114 Stat. 1838; Pub. L. 107–135, title I, Sec. 133, Jan. 23, 2002, 115 Stat.
2454.)
§ 7452. Nurses and other health-care personnel: administra-

tion of pay
(a)(1) Regulations prescribed under section 7451(a) of this title
shall provide that whenever an employee in a covered position is
given a new duty assignment which is a promotion, the rate of
basic pay of that employee shall be increased at least one step in-
crement in that employee’s grade.
(2) A nurse serving in a head nurse position shall while so
serving receive basic pay at a rate two step increments above the
rate that would otherwise be applicable to the nurse. If such a
nurse is in the highest or next-to-highest step for that nurse’s
grade, the preceding sentence shall be applied by extrapolation to
create additional steps only for the purposes of this paragraph. The
limitation in section 7451(c)(1) of this title shall not apply with re-
spect to increased basic pay under this paragraph.
(3) An employee in a covered position who is promoted to the
next higher grade shall be paid in that grade at a step having a
rate of basic pay that is greater than the rate of basic pay applica-
ble to the employee in a covered position on the day before the ef-
fective date of the promotion.
(b)(1) Under regulations which the Secretary prescribes for the
administration of this section, the director of a Department health-
care facility (A) shall pay a cash bonus (in an amount to be deter-
mined by the director not to exceed $2,000) to an employee in a
covered position at that facility who becomes certified in a specialty
recognized by the Department, and (B) may provide such a bonus
to an employee in such a position who has demonstrated both ex-
emplary job performance and exemplary job achievement. The au-
thority of the Secretary under this subsection is in addition to any
other authority of the Secretary to provide job performance incen-
tives.
(2) The Secretary shall include in the annual report under sec-
tion 7451(g) of this title a discussion of the use during the period
covered by the report of the payment of bonuses under this sub-
section and other job performance incentives
(c)(1) The Secretary shall provide (in regulations prescribed for
the administration of this section) that the director of a Depart-
ment health-care facility, in making a new appointment of a person
under section 7401(1) of this title as an employee in a covered posi-
tion for employment at that facility, may make that appointment
at a rate of pay described in paragraph (3) without being subject
to a requirement for prior approval at any higher level of authority
within the Department in any case in which the director deter-
mines that it is necessary to do so in order to obtain the services
of employees in covered positions in cases in which vacancies exist
at that health-care facility.
(2) Such a determination may be made by the director of a
health-care facility only in order to recruit employees in covered po-
sitions with specialized skills, especially employees with skills
which are especially difficult or demanding.
(3) A rate of pay referred to in paragraph (1) is a rate of basic

pay in excess of the minimum rate of basic pay applicable to the
grade in which the appointment is made (but not in excess of the
maximum rate of basic pay for that grade).
(4) Whenever the director of a health-care facility makes an ap-
pointment described in paragraph (1) without prior approval at a
higher level of authority within the Department, the director
shall—
(A) state in a document the reasons for employing the em-
ployee in a covered position at a rate of pay in excess of the
minimum rate of basic pay applicable to the grade in which the
employee is appointed (and retain that document on file); and
(B) in the first budget documents submitted to the Sec-
retary by the director after the employee is employed, include
documentation for the need for such increased rates of basic
pay described in clause (A).
(5) Whenever the director of a health-care facility makes an ap-
pointment described in paragraph (1) on the basis of a determina-
tion described in paragraph (2), the covered employee appointed
may continue to receive pay at a rate higher than that which would
otherwise be applicable to that employee only so long as the em-
ployee continues to serve in a position requiring the specialized
skills with respect to which the determination was made.
(d) Whenever the director of a health-care facility makes an
appointment described in subsection (c)(1), the director may (with-
out a regard to any requirement for prior approval at any higher
level of authority within the Department) increase the rate of pay
of other employees in the same covered position at that facility who
are in the grade in which the appointment is made and are serving
in a position requiring the specialized skills with respect to which
the determination under subsection (c)(2) concerning the appoint-
ment was made. Any such increase shall continue in effect with re-
spect to any employee only so long as the employee continues to
serve in such a position.
(e) An employee in a covered position employed under section
7401(1) of this title who (without a break in employment) transfers
from one Department health-care facility to another may not be re-
duced in grade or step within grade (except pursuant to a discipli-
nary action otherwise authorized by law) if the duties of the posi-
tion to which the employee transfers are similar to the duties of
the position from which the employee transferred. The rate of basic
pay of such employee shall be established at the new health-care
facility in a manner consistent with the practices at that facility for
an employee of that grade and step, except that in the case of an
employee whose transfer (other than pursuant to a disciplinary ac-
tion otherwise authorized by law) to another health-care facility is
at the request of the Secretary, the Secretary may provide that for
at least the first year following such transfer the employee shall be
paid at a rate of basic pay up to the rate applicable to such em-
ployee before the transfer, if the Secretary determines that such
rate of pay is necessary to fill the position. Whenever the Secretary
exercises the authority under the preceding sentence relating to the
rate of basic pay of a transferred employee, the Secretary shall, in
the next annual report required under section 7451(g) of this title,
provide justification for doing so.
(f) In this section, the term ‘‘covered position’’ has the meaning
given that term in section 7451 of this title.
(g)(1) In order to recruit and retain highly qualified Depart-
ment nurse executives, the Secretary may, in accordance with regu-
lations prescribed by the Secretary, pay special pay to the nurse ex-
ecutive at each location as follows:
(A) Each Department health care facility.
(B) The Central Office.
(2) The amount of special pay paid to a nurse executive under
paragraph (1) shall be not less than $10,000 or more than $25,000.
(3) The amount of special pay paid to a nurse executive under
paragraph (1) shall be based on factors such as the grade of the
nurse executive position, the scope and complexity of the nurse ex-
ecutive position, the personal qualifications of the nurse executive,
the characteristics of the health care facility concerned, the nature
and number of specialty care units at the health care facility con-
cerned, demonstrated difficulties in recruitment and retention of
nurse executives at the health care facility concerned, and such
other factors as the Secretary considers appropriate.
(4) Special pay paid to a nurse executive under paragraph (1)
shall be in addition to any other pay (including basic pay) and al-
lowances to which the nurse executive is entitled, and shall be con-
sidered pay for all purposes, including retirement benefits under
chapters 83 and 84 of title 5, and other benefits, but shall not be
considered basic pay for purposes of adverse actions under sub-
chapter V of this chapter.
renumbered Sec. 7452 and amended Pub. L. 102–40, title III, Sec. 301(d), title IV,
Sec. 401(c)(1)(A), (3), May 7, 1991, 105 Stat. 208, 238; Pub. L. 102–585, title III, Sec.
304(a), Nov. 4, 1992, 106 Stat. 4952; Pub. L. 108–445, Sec. 5, Dec. 3, 2004, 118 Stat.
2645.)
§ 7453. Nurses: additional pay

(a) In addition to the rate of basic pay provided for nurses, a
nurse shall receive additional pay as provided by this section.
(b) A nurse performing service on a tour of duty, any part of
which is within the period commencing at 6 postmeridian and end-
ing at 6 antemeridian, shall receive additional pay for each hour
of service on such tour at a rate equal to 10 percent of the nurse’s
hourly rate of basic pay if at least four hours of such tour fall be-
tween 6 postmeridian and 6 antemeridian. When less than four
hours of such tour fall between 6 postmeridian and 6 antemeridian,
the nurse shall be paid the differential for each hour of service per-
formed between those hours.
(c) A nurse performing service on a tour of duty, any part of
which is within the period commencing at midnight Friday and
ending at midnight Sunday, shall receive additional pay for each
hour of service on such tour at a rate equal to 25 percent of such
nurse’s hourly rate of basic pay.
(d) A nurse performing service on a holiday designated by Fed-
eral statute or Executive order shall receive for each hour of such
service the nurse’s hourly rate of basic pay, plus additional pay at
a rate equal to such hourly rate of basic pay, for that holiday serv-
ice, including overtime service. Any service required to be per-
formed by a nurse on such a designated holiday shall be deemed
to be a minimum of two hours in duration.
(e)(1) A nurse performing officially ordered or approved hours
of service in excess of 40 hours in an administrative workweek, or
in excess of eight hours in a day, shall receive overtime pay for
each hour of such additional service. The overtime rates shall be
one and one-half times such nurse’s hourly rate of basic pay.
(2) For the purposes of this subsection, overtime must be of at
least 15 minutes duration in a day to be creditable for overtime
pay.
(3) Compensatory time off in lieu of pay for service performed
under the provisions of this subsection shall not be permitted, ex-
cept as voluntarily requested in writing by the nurse in question.
(4) Any excess service performed under this subsection on a
day when service was not scheduled for such nurse, or for which
such nurse is required to return to the nurse’s place of employ-
ment, shall be deemed to be a minimum of two hours in duration.
(5) For the purposes of this subsection, the period of a nurse’s
officially ordered or approved travel away from such nurse’s duty
station may not be considered to be hours of service unless—
(A) such travel occurs during such nurse’s tour of duty; or
(B) such travel—
(i) involves the performance of services while trav-
eling,
(ii) is incident to travel that involves the performance
of services while traveling,
(iii) is carried out under arduous conditions as deter-
mined by the Secretary, or
(iv) results from an event which could not be sched-
uled or controlled administratively.
(f) For the purpose of computing the additional pay provided
by subsection (b), (c), (d), or (e), a nurse’s hourly rate of basic pay
shall be derived by dividing such nurse’s annual rate of basic pay
by 2,080.
(g) When a nurse is entitled to two or more forms of additional
pay under subsection (b), (c), (d), or (e) for the same period of serv-
ice, the amounts of such additional pay shall be computed sepa-
rately on the basis of such nurse’s hourly rate of basic pay, except
that no overtime pay as provided in subsection (e) shall be payable
for overtime service performed on a holiday designated by Federal
statute or Executive order in addition to pay received under sub-
section (d) for such service.
(h) A nurse who is officially scheduled to be on call outside
such nurse’s regular hours or on a holiday designated by Federal
statute or Executive order shall be paid for each hour of such on-
call duty, except for such time as such nurse may be called back
to work, at a rate equal to 10 percent of the hourly rate for excess
service as provided in subsection (e).
(i) Any additional pay paid pursuant to this section shall not
be considered as basic pay for the purposes of the following provi-
sions of title 5 (and any other provision of law relating to benefits
based on basic pay):
(1) Subchapter VI of chapter 55.

(2) Section 5595.
(3) Chapters 81, 83, 84, and 87.
(j)(1) Notwithstanding any other provision of law and subject
to paragraph (2), the Secretary may increase the rates of additional
pay authorized under subsections (b) through (h) if the Secretary
determines that it is necessary to do so in order to obtain or retain
the services of nurses.
(2) An increase under paragraph (1) in rates of additional
pay—
(A) may be made at any specific Department health-care
facility in order to provide nurses, or any category of nurses,
at such facility additional pay in an amount competitive with,
but not exceeding, the amount of the same type of pay that is
paid to the same category of nurses at non-Federal health-care
facilities in the same geographic area as such Department
health-care facility (based upon a reasonably representative
sampling of such non-Federal facilities); and
(B) may be made on a nationwide, local, or other geo-
graphic basis if the Secretary finds that such an increase is
justified on the basis of a review of the need for such increase
(based upon a reasonably representative sampling of non-Fed-
eral health-care facilities in the geographic area involved).
Pub. L. 103–446, title XII, Sec. 1201(e)(24), (g)(6), Nov. 2, 1994, 108 Stat. 4686,
4687.)
§ 7454. Physician assistants and other health care profes-

sionals: additional pay
(a) Physician assistants and expanded-function dental auxil-
iaries shall be entitled to additional pay on the same basis as pro-
vided for nurses in section 7453 of this title.
(b)(1) When the Secretary determines it to be necessary in
order to obtain or retain the services of individuals in positions list-
ed in section 7401(3) of this title, the Secretary may, on a nation-
wide, local, or other geographic basis, pay persons employed in
such positions additional pay on the same basis as provided for
nurses in section 7453 of this title.
(2) Health care professionals employed in positions referred to
in paragraph (1) shall be entitled to additional pay on the same
basis as provided for nurses in section 7453(c) of this title.
(3) Employees appointed under section 7408 of this title shall
be entitled to additional pay on the same basis as provided for
nurses in section 7453(c) of this title.
(c) The Secretary shall prescribe by regulation standards for
compensation and payment under this section.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(4), May 7, 1991, 105 Stat. 234; Pub.
L. 107–135, title I, Sec. 121(a), Jan. 23, 2002, 115 Stat. 2450; Pub. L. 108–170, title
III, Secs. 301(d), 303(a), Dec. 6, 2003, 117 Stat. 2057, 2058.)
§ 7455. Increases in rates of basic pay

(a)(1) Subject to subsections (b), (c), and (d), when the Sec-
retary determines it to be necessary in order to obtain or retain the
services of persons described in paragraph (2), the Secretary may
increase the minimum, intermediate, or maximum rates of basic

pay authorized under applicable statutes and regulations. Any in-
crease in such rates of basic pay—
(A) may be made on a nationwide basis, local basis, or
other geographic basis; and
(B) may be made—
(i) for one or more of the grades listed in the schedules
in subsection (b)(1) of section 7404 of this title;
(ii) for one or more of the health personnel fields with-
in such grades; or
(iii) for one or more of the grades of the General
Schedule under section 5332 of title 5.
(2) Paragraph (1) applies to the following:
(A) Individuals employed in positions listed in paragraphs
(1) and (3) of section 7401 of this title.
(B) Health-care personnel who—
(i) are employed in the Administration (other than ad-
ministrative, clerical, and physical plant maintenance and
protective services employees);
(ii) are paid under the General Schedule pursuant to
section 5332 of title 5;
(iii) are determined by the Secretary to be providing
either direct patient-care services or services incident to
direct patient-care services; and
(iv) would not otherwise be available to provide med-
ical care and treatment for veterans.
(C) Employees who are Department police officers pro-
viding services under section 902 of this title.
(b) Increases in rates of basic pay may be made under sub-
section (a) only in order—
(1) to provide pay in an amount competitive with, but not
exceeding, the amount of the same type of pay paid to the
same category of personnel at non-Federal facilities in the
same labor market;
(2) to achieve adequate staffing at particular facilities; or
(3) to recruit personnel with specialized skills, especially
those with skills which are especially difficult or demanding.
(c)(1) The amount of any increase under subsection (a) in the
maximum rate for any grade may not (except in the case of nurse
anesthetists, pharmacists, and licensed physical therapists) exceed
by two times the amount by which the maximum for such grade
(under applicable provisions of law other than this subsection) ex-
ceeds the minimum for such grade (under applicable provisions of
law other than this subsection), and the maximum rate as so in-
creased may not exceed the rate paid for individuals serving as As-
sistant Under Secretary for Health.
(2) Whenever the amount of an increase under subsection (a)
results in a rate of basic pay for a position being equal to or greater
than the amount that is 94 percent of the maximum amount per-
mitted under paragraph (1), the Secretary shall promptly notify the
resentatives of the increase and the amount thereof.
(d)(1) In the exercise of the authority provided in subsection (a)
with respect to personnel described in subparagraph (B) or (C) of
paragraph (2) of that subsection to increase the rates of basic pay

for any category of personnel not appointed under subchapter I, the
Secretary shall, not less than 45 days before the effective date of
a proposed increase, notify the President of the Secretary’s inten-
tion to provide such an increase.
(2) Such a proposed increase shall not take effect if, before the
effective date of the proposed increase, the President disapproves
such increase and provides the appropriate committees of the Con-
gress with a written statement of the President’s reasons for such
disapproval.
(3) If, before that effective date, the President approves such
increase, the Secretary may advance the effective date to any date
not earlier than the date of the President’s approval.
Pub. L. 102–83, Sec. 2(c)(7), Aug. 6, 1991, 105 Stat. 402; Pub. L. 102–405, title II,
Sec. 201, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1983, 1984; Pub. L. 106–
419, title II, Sec. 203, Nov. 1, 2000, 114 Stat. 1841.)
§ 7456. Nurses: special rules for weekend duty

(a) Subject to subsection (b), if the Secretary determines it to
be necessary in order to obtain or retain the services of nurses at
any Department health-care facility, the Secretary may provide, in
the case of nurses appointed under this chapter and employed at
such facility, that such nurses who work two regularly scheduled
12-hour tours of duty within the period commencing at midnight
Friday and ending at midnight the following Sunday shall be con-
sidered for all purposes (except computation of full-time equivalent
employees for the purposes of determining compliance with per-
sonnel ceilings) to have worked a full 40-hour basic workweek.
(b)(1) Basic and additional pay for a nurse who is considered
under subsection (a) to have worked a full 40-hour basic workweek
shall be subject to paragraphs (2) and (3).
(2) The hourly rate of basic pay for such a nurse for service
performed as part of a regularly scheduled 12-hour tour of duty
within the period commencing at midnight Friday and ending at
midnight the following Sunday shall be derived by dividing the
nurse’s annual rate of basic pay by 1,248.
(3)(A) Such a nurse who performs a period of service in excess
of such nurse’s regularly scheduled two 12-hour tours of duty is en-
titled to overtime pay under section 7453(e) of this title, or other
applicable law, for officially ordered or approved service performed
in excess of eight hours on a day other than a Saturday or Sunday
or in excess of 24 hours within the period commencing at midnight
Friday and ending at midnight the following Sunday.
(B) Except as provided in subparagraph (C), a nurse to whom
this subsection is applicable is not entitled to additional pay under
section 7453 of this title, or other applicable law, for any period in-
cluded in a regularly scheduled 12-hour tour of duty.
(C) If the Secretary determines it to be further necessary in
order to obtain or retain the services of nurses at a particular facil-
ity, a nurse to whom this paragraph is applicable who performs
service in excess of such nurse’s regularly scheduled two 12-hour
tours of duty may be paid overtime pay under section 7453(e) of
this title, or other applicable law, for all or part of the hours of offi-
947 CH. 74—PERSONNEL Sec. 7456A
cially ordered or approved service performed by such nurse in ex-

cess of 40 hours during an administrative workweek.
(c) A nurse described in subsection (b)(1) who is absent on ap-
proved sick leave or annual leave during a regularly scheduled 12-
hour tour of duty shall be charged for such leave at a rate of five
hours of leave for three hours of absence.
(d) The Secretary shall prescribe regulations for the implemen-
tation of this section.
(Added Pub. L. 102–40, title IV, Sec. 401(b)(4), May 7, 1991, 105 Stat. 235.)
§ 7456A. Nurses: alternate work schedules

(a) APPLICABILITY.—This section applies to registered nurses
appointed under this chapter.
(b) 36/40 WORK SCHEDULE.—(1)(A) Subject to paragraph (2), if
the Secretary determines it to be necessary in order to obtain or
retain the services of registered nurses at any Department health-
care facility, the Secretary may provide, in the case of nurses em-
ployed at such facility, that such nurses who work three regularly
scheduled 12-hour tours of duty within a work week shall be con-
sidered for all purposes to have worked a full 40-hour basic work
week.
(B) A nurse who works under the authority in subparagraph
(A) shall be considered a 0.90 full-time equivalent employee in com-
puting full-time equivalent employees for the purposes of deter-
mining compliance with personnel ceilings.
(2)(A) Basic and additional pay for a nurse who is considered
under paragraph (1) to have worked a full 40-hour basic work week
shall be subject to subparagraphs (B) and (C).
(B) The hourly rate of basic pay for a nurse covered by this
paragraph for service performed as part of a regularly scheduled
36-hour tour of duty within the work week shall be derived by di-
viding the nurse’s annual rate of basic pay by 1,872.
(C) The Secretary shall pay overtime pay to a nurse covered by
this paragraph who—
(i) performs a period of service in excess of such nurse’s
regularly scheduled 36-hour tour of duty within an administra-
tive work week;
(ii) for officially ordered or approved service, performs a
period of service in excess of 8 hours on a day other than a day
on which such nurse’s regularly scheduled 12-hour tour of duty
falls;
(iii) performs a period of service in excess of 12 hours for
any day included in the regularly scheduled 36-hour tour of
duty work week; or
(iv) performs a period of service in excess of 40 hours dur-
ing an administrative work week.
(D) The Secretary may provide a nurse to whom this sub-
section applies with additional pay under section 7453 of this title
for any period included in a regularly scheduled 12-hour tour of
duty.
(3) A nurse who works a work schedule described in this sub-
section who is absent on approved sick leave or annual leave dur-
ing a regularly scheduled 12-hour tour of duty shall be charged for
such leave at a rate of ten hours of leave for every nine hours of
absence.
(c) HOLIDAY PAY.—A nurse working a work schedule under
subsection (b) that includes a holiday designated by law or Execu-
tive order shall be eligible for holiday pay under section 7453(d) of
this title for any service performed by the nurse on such holiday
under such section.
(d) 9-MONTH WORK SCHEDULE FOR CERTAIN NURSES.—(1) The
Secretary may authorize a registered nurse appointed under sec-
tion 7405 of this title, with the nurse’s written consent, to work full
time for nine months with 3 months off duty, within a fiscal year,
and be paid at 75 percent of the full-time rate for such nurse’s
grade for each pay period of such fiscal year.
(2) A nurse who works under the authority in paragraph (1)
shall be considered a 0.75 full-time equivalent employee in com-
puting full-time equivalent employees for the purposes of deter-
mining compliance with personnel ceilings.
(3) Work under this subsection shall be considered part-time
service for purposes of computing benefits under chapters 83 and
84 of title 5.
(4) A nurse who works under the authority in paragraph (1)
shall be considered a full-time employee for purposes of chapter 89
of title 5.
(e) NOTIFICATION OF MODIFICATION OF BENEFITS.—The Sec-
retary shall provide each employee with respect to whom an alter-
nate work schedule under this section may apply written notice of
the effect, if any, that the alternate work schedule will have on the
employee’s health care premium, retirement, life insurance pre-
mium, probationary status, or other benefit or condition of employ-
ment. The notice shall be provided not later than 14 days before
the employee consents to the alternate work schedule.
(f) REGULATIONS.—The Secretary shall prescribe regulations to
carry out this section.
§ 7457. On-call pay
(a) The Secretary may pay an employee to whom this section
applies pay at the rate provided in section 7453(h) of this title ex-
cept for such time as the employee may be called back to work.
(b) This section applies to an employee who meets each of the
following criteria:
(1) The employee is employed in a position listed in para-
graph (3) of section 7401 of this title or meets the criteria spec-
ified in clauses (i), (ii), and (iii) of section 7455(a)(2)(B) of this
title.
(2) The employee is employed in a work unit for which on-
call premium pay is authorized.
(3) The employee is officially scheduled to be on call out-
side such employee’s regular hours or on a holiday designated
by Federal statute or Executive order.
(c) An employee who is eligible for on-call pay under subsection
(a) and who was receiving standby premium pay pursuant to sec-
tion 5545 of title 5 on May 20, 1988, shall, as long as such em-
ployee is employed in the same position and work unit and remains
eligible for such standby pay, receive pay for any period of on-call
duty at the rate equal to the greater of—
(1) the rate of pay which such employee would receive if
being paid the rate of standby pay pursuant to such section
that such individual would be entitled to receive if such indi-
vidual were not scheduled to be on call instead, or
(2) the rate of pay which such employee is entitled to re-
ceive including on-call premium pay described in subsection
(a).
§ 7458. Recruitment and retention bonus pay

(a)(1) In order to recruit and retain registered nurses, the Sec-
retary may enter into agreements under this section. Such an
agreement may be entered into with any registered nurse who is
employed at, or who agrees to accept employment with the Depart-
ment at, a Department health-care facility that is designated by
the Secretary as a health-care facility with a significant shortage
in registered nurses in any clinical service.
(2) A registered nurse entering into an agreement under this
section shall agree to remain employed by the Department as a
registered nurse for a period of time to be specified in the agree-
ment and to serve during that period in a specific health-care facil-
ity that is designated by the Secretary as a health-care facility with
a significant shortage of registered nurses in that nurse’s clinical
service. Such period may not be less than two years or more than
four years. Such employment during such period may be on a full-
time basis or a part-time basis, as specified in the agreement. Part-
time employment as specified in such an agreement may not be
less than half-time.
(b)(1) The Secretary shall pay to any nurse entering into an
agreement under this section bonus pay in an amount specified in
the agreement. The amount of such bonus pay may not exceed—
(A) $2,000 per year, in the case of an agreement for two
years,
(B) $3,000 per year, in the case of an agreement for three
years, and
(C) $4,000 per year, in the case of an agreement for four
years.
(2) In the case of an agreement for employment on less than
a full-time basis, the amount of bonus pay shall be pro-rated ac-
cordingly.
(c)(1) Except as provided in paragraph (2) of this subsection, a
bonus under this section shall be paid in equal installments after
each year of service is completed throughout the period of obligated
service specified in the agreement.
(2)(A) The Secretary may make a payment in an amount not
in excess of 25 percent of the total bonus in a lump sum at the time
that the period of obligated service commences under the agree-
ment.
(B) If the Secretary makes a lump-sum payment under sub-
paragraph (A) of this paragraph, the remaining balance of the
bonus shall be paid in equal installments after each year of service
is completed throughout the period of obligated service specified in

the agreement.
(d)(1) A bonus paid to any individual under this section shall
be in addition to any pay or allowance to which the individual is
entitled.
(2) The amount of a bonus paid under this section shall not be
considered to be basic pay for the purposes of sections 5551, 5552,
and 5595 of title 5, chapters 81, 83, 84, and 87 of such title, or any
other provision of law creating an entitlement to benefits based on
basic pay.
(e) At least once each year the Secretary, upon the rec-
ommendation of the Under Secretary for Health, shall determine
the specific health-care facilities and clinical services, if any, as to
which there are significant problems with respect to the recruit-
ment and retention of registered nurses. Upon making any such de-
termination, the Secretary shall promptly notify the Committees on
Veterans’ Affairs of the Senate and the House of Representatives
of the determination and the basis for the determination.
(f) The Secretary may enter into agreements under this section
with individuals in a health profession other than nursing (and
other than a health profession for which special pay may be pro-
vided under subchapter III) if the Secretary determines that there
are significant problems with respect to recruitment and retention
of employees in that health profession. The Secretary’s authority to
enter into any such agreement under this section, and such agree-
ment, shall be subject to the provisions of this section in the same
manner as are the authority to enter into an agreement under this
section with a registered nurse and such an agreement.
(g)(1) Except as provided in paragraph (2) of this subsection,
an individual who voluntarily, or because of misconduct, fails to
perform services as assigned by the Secretary for the period of obli-
gated service provided in an agreement under this section shall re-
fund to the United States the amount by which the total amount
of bonus payments received by that individual under this section
exceeds the amount that such individual would have received
under an agreement under this section to serve for the period of
obligated service actually served (as determined at the time the
agreement is entered into). If the period actually served is less
than two years, the amount to be refunded is the entire amount
paid to the individual.
(2) An individual shall not be required to make a refund under
paragraph (1) of this subsection if the Secretary determines, in ac-
cordance with regulations prescribed under subsection (h) of this
section, that the individual’s failure to perform services for the pe-
riod of obligated service is due to circumstances (not including sep-
aration for cause) beyond the control of the individual.
(3) An obligation to refund any portion of a bonus payment
under this subsection is, for all purposes, a debt owed to the United
States.
(4) The provisions of this subsection and the specific amounts
that the individual could be required to refund shall be disclosed
to the individual at the time the agreement is entered into and
shall be clearly set forth in the contract.
(h) The Secretary shall prescribe regulations to carry out this

section.
(Added Pub. L. 100–322, title II, Sec. 212(a)((1)), May 20, 1988, 102 Stat. 514, Sec.
4120; renumbered Sec. 7458 and amended Pub. L. 102–40, title IV, Sec. 401(c)(4),
May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 404, 405; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106
Stat. 1984; Pub. L. 103–446, title XII, Sec. 1201(h)(4), Nov. 2, 1994, 108 Stat. 4688;
Pub. L. 110–387, title IX, Sec. 901(a)(6), Oct. 10, 2008, 122 Stat. 4142.)
SUBCHAPTER V—DISCIPLINARY AND GRIEVANCE

PROCEDURES
§ 7461. Adverse actions: section 7401(1) employees
(a) Whenever the Under Secretary for Health (or an official
designated by the Under Secretary for Health) brings charges
based on conduct or performance against a section 7401(1) em-
ployee and as a result of those charges an adverse personnel action
is taken against the employee, the employee shall have the right
to appeal the action.
(b)(1) If the case involves or includes a question of professional
conduct or competence in which a major adverse action was taken,
such an appeal shall be made to a Disciplinary Appeals Board
(2) In any other case, such an appeal shall be made—
(A) through Department grievance procedures under sec-
tion 7463 of this title, in any case that involves or includes a
question of professional conduct or competence in which a
major adverse action was not taken or in any case of an em-
ployee who is not covered by a collective bargaining agreement
under chapter 71 of title 5; or
(B) through grievance procedures provided through collec-
tive bargaining under chapter 71 of title 5 or through Depart-
ment grievance procedures under section 7463 of this title, as
the employee elects, in the case of an employee covered by a
collective bargaining agreement under chapter 71 of title 5
that does not involve or include a question of professional con-
duct or competence.
(c) For purposes of this subchapter—
(1) Section 7401(1) employees are employees of the Depart-
ment employed on a full-time basis under a permanent ap-
pointment in a position listed in section 7401(1) of this title
(other than interns and residents appointed pursuant to sec-
tion 7406 of this title).
(2) A major adverse action is an adverse action which in-
cludes any of the following:
(A) Suspension.
(B) Transfer.
(C) Reduction in grade.
(D) Reduction in basic pay.
(E) Discharge.
(3) A question of professional conduct or competence is a
question involving any of the following:
(A) Direct patient care.
(B) Clinical competence.
(d) An issue of whether a matter or question concerns, or

arises out of, professional conduct or competence is not itself sub-
ject to any grievance procedure provided by law, regulation, or col-
lective bargaining and may not be reviewed by any other agency.
(e) Whenever the Secretary proposes to prescribe regulations
under this subchapter, the Secretary shall publish the proposed
regulations in the Federal Register for notice-and-comment not less
than 30 days before the day on which they take effect.
(Added Pub. L. 102–40, title II, Sec. 203(a), May 7, 1991, 105 Stat. 202; amended
§ 7462. Major adverse actions involving professional con-
duct or competence
(a)(1) Disciplinary Appeals Boards appointed under section
7464 of this title shall have exclusive jurisdiction to review any
case—
(A) which arises out of (or which includes) a question of
professional conduct or competence of a section 7401(1) em-
ployee; and
(B) in which a major adverse action was taken.
(2) The board shall include in its record of decision in any
mixed case a statement of the board’s exclusive jurisdiction under
this subsection and the basis for such exclusive jurisdiction.
(3) For purposes of paragraph (2), a mixed case is a case that
includes both a major adverse action arising out of a question of
professional conduct or competence and an adverse action which is
not a major adverse action or which does not arise out of a question
of professional conduct or competence.
(b)(1) In any case in which charges are brought against a sec-
tion 7401(1) employee which arises out of, or includes, a question
of professional conduct or competence which could result in a major
adverse action, the employee is entitled to the following:
(A) At least 30 days advance written notice from the
Under Secretary for Health or other charging official specifi-
cally stating the basis for each charge, the adverse actions that
could be taken if the charges are sustained, and a statement
of any specific law, regulation, policy, procedure, practice, or
other specific instruction that has been violated with respect to
each charge, except that the requirement for notification in ad-
vance may be waived if there is reasonable cause to believe
that the employee has committed a crime for which the em-
ployee may be imprisoned.
(B) A reasonable time, but not less than seven days, to
present an answer orally and in writing to the Under Secretary
for Health or other deciding official, who shall be an official
higher in rank than the charging official, and to submit affida-
vits and other documentary evidence in support of the answer.
(2) In any case described in paragraph (1), the employee is en-
titled to be represented by an attorney or other representative of
the employee’s choice at all stages of the case.
(3)(A) If a proposed adverse action covered by this section is
not withdrawn, the deciding official shall render a decision in writ-
ing within 21 days of receipt by the deciding official of the employ-
ee’s answer. The decision shall include a statement of the specific
reasons for the decision with respect to each charge. If a major ad-
verse action is imposed, the decision shall state whether any of the
charges sustained arose out of a question of professional conduct or
competence. If any of the charges are sustained, the notice of the
decision to the employee shall include notice of the employee’s
rights of appeal.
(B) Notwithstanding the 21-day period specified in subpara-
graph (A), a proposed adverse action may be held in abeyance if the
employee requests, and the deciding official agrees, that the em-
ployee shall seek counseling or treatment for a condition covered
under the Rehabilitation Act of 1973. Any such abeyance of a pro-
posed action may not extend for more than one year.
(4)(A) The Secretary may require that any answer and submis-
sion under paragraph (1)(B) be submitted so as to be received with-
in 30 days of the date of the written notice of the charges, except
that the Secretary shall allow the granting of extensions for good
cause shown.
(B) The Secretary shall require that any appeal to a Discipli-
nary Appeals Board from a decision to impose a major adverse ac-
tion shall be received within 30 days after the date of service of the
written decision on the employee.
(c)(1) When a Disciplinary Appeals Board convenes to consider
an appeal in a case under this section, the board, before proceeding
to consider the merits of the appeal, shall determine whether the
case is properly before it.
(2) Upon hearing such an appeal, the board shall, with respect
to each charge appealed to the board, sustain the charge, dismiss
the charge, or sustain the charge in part and dismiss the charge
in part. If the deciding official is sustained (in whole or in part)
with respect to any such charge, the board shall—
(A) approve the action as imposed;
(B) approve the action with modification, reduction, or ex-
ception; or
(C) reverse the action.
(3) A board shall afford an employee appealing an adverse ac-
tion under this section an opportunity for an oral hearing. If such
a hearing is held, the board shall provide the employee with a tran-
script of the hearing.
(4) The board shall render a decision in any case within 45
days of completion of the hearing, if there is a hearing, and in any
event no later than 120 days after the appeal commenced.
(d)(1) After resolving any question as to whether a matter in-
volves professional conduct or competence, the Secretary shall
cause to be executed the decision of the Disciplinary Appeals Board
in a timely manner and in any event in not more than 90 days
after the decision of the Board is received by the Secretary. Pursu-
ant to the board’s decision, the Secretary may order reinstatement,
award back pay, and provide such other remedies as the board
found appropriate relating directly to the proposed action, includ-
ing expungement of records relating to the action.
(2) If the Secretary finds a decision of the board to be clearly
contrary to the evidence or unlawful, the Secretary may—
(A) reverse the decision of the board, or
(B) vacate the decision of the board and remand the mat-
ter to the Board for further consideration.
(3) If the Secretary finds the decision of the board (while not
clearly contrary to the evidence or unlawful) to be not justified by
the nature of the charges, the Secretary may mitigate the adverse
action imposed.
(4) The Secretary’s execution of a board’s decision shall be the
final administrative action in the case.
(e) The Secretary may designate an employee of the Depart-
ment to represent management in any case before a Disciplinary
Appeals Board.
(f)(1) A section 7401(1) employee adversely affected by a final
order or decision of a Disciplinary Appeals Board (as reviewed by
the Secretary) may obtain judicial review of the order or decision.
(2) In any case in which judicial review is sought under this
subsection, the court shall review the record and hold unlawful and
set aside any agency action, finding, or conclusion found to be—
(A) arbitrary, capricious, an abuse of discretion, or other-
wise not in accordance with law;
(B) obtained without procedures required by law, rule, or
regulation having been followed; or
(C) unsupported by substantial evidence.
(Added Pub. L. 102–40, title II, Sec. 203(a), May 7, 1991, 105 Stat. 203; amended
§ 7463. Other adverse actions

(a) The Secretary shall prescribe by regulation procedures for
the consideration of grievances of section 7401(1) employees arising
from adverse personnel actions in which each action taken either—
(1) is not a major adverse action; or
(2) does not arise out of a question of professional conduct
or competence.
Disciplinary Appeals Boards shall not have jurisdiction to review
such matters, other than as part of a mixed case (as defined in sec-
tion 7462(a)(3) of this title).
(b) In the case of an employee who is a member of a collective
bargaining unit under chapter 71 of title 5, the employee may seek
review of an adverse action described in subsection (a) either under
the grievance procedures provided through regulations prescribed
under subsection (a) or through grievance procedures determined
through collective bargaining, but not under both. The employee
shall elect which grievance procedure to follow. Any such election
may not be revoked.
(c)(1) In any case in which charges are brought against a sec-
tion 7401(1) employee which could result in a major adverse action
and which do not involve professional conduct or competence, the
employee is entitled to the same notice and opportunity to answer
with respect to those charges as provided in subparagraphs (A) and
(B) of section 7462(b)(1) of this title.
(2) In any other case in which charges are brought against a
section 7401(1) employee, the employee is entitled to—
(A) an advance written notice stating the specific reason
for the proposed action, and
(B) a reasonable time to answer orally and in writing and

to furnish affidavits and other documentary evidence in sup-
port of the answer.
(d) Grievance procedures prescribed under subsection (a) shall
(1) A right to formal review by an impartial examiner
within the Department of Veterans Affairs, who, in the case of
an adverse action arising from a question of professional con-
duct or competence, shall be selected from the panel designated
(2) A right to a prompt report of the findings and rec-
ommendations by the impartial examiner.
(3) A right to a prompt review of the examiner’s findings
and recommendations by an official of a higher level than the
official who decided upon the action. That official may accept,
modify, or reject the examiner’s recommendations.
(e) In any review of an adverse action under the grievance pro-
cedures prescribed under subsection (a), the employee is entitled to
be represented by an attorney or other representative of the em-
ployee’s choice at all stages of the case.
(Added Pub. L. 102–40, title II, Sec. 203(a), May 7, 1991, 105 Stat. 205.)
§ 7464. Disciplinary Appeals Boards

(a) The Secretary shall from time to time appoint boards to
hear appeals of major adverse actions described in section 7462 of
this title. Such boards shall be known as Disciplinary Appeals
Boards. Each board shall consist of three employees of the Depart-
ment, each of whom shall be of the same grade as, or be senior in
grade to, the employee who is appealing an adverse action. At least
two of the members of each board shall be employed in the same
category of position as the employee who is appealing the adverse
action. Members of a board shall be appointed from individuals on
the panel established under subsection (d).
(b)(1) In appointing a board for any case, the Secretary shall
designate one of the members to be chairman and one of the mem-
bers to be secretary of the board, each of whom shall have author-
ity to administer oaths.
(2) Appointment of boards, and the proceedings of such boards,
shall be carried out under regulations prescribed by the Secretary.
A verbatim record shall be maintained of board hearings.
(c)(1) Notwithstanding sections 5701 and 7332 of this title, the
chairman of a board, upon request of an employee whose case is
under consideration by the board (or a representative of that em-
ployee) may, in connection with the considerations of the board, re-
view records or information covered by those sections and may au-
thorize the disclosure of such records or information to that em-
ployee (or representative) to the extent the board considers appro-
priate for purposes of the proceedings of the board in that case.
(2) In any such case the board chairman may direct that meas-
ures be taken to protect the personal privacy of individuals whose
records are involved. Any person who uses or discloses a record or
information covered by this subsection for any purpose other than
in connection with the proceedings of the board shall be fined not
more than $5,000 in the case of a first offense and not more than
$20,000 in the case of a subsequent offense.
(d)(1) The Secretary shall provide for the periodic designation
of employees of the Department who are qualified to serve on Dis-
ciplinary Appeals Boards. Those employees shall constitute the
panel from which board members in a case are appointed. The Sec-
retary shall provide (without charge) a list of the names of employ-
ees on the panel to any person requesting such list.
(2) The Secretary shall announce periodically, and not less
often than annually, that the roster of employees on the panel is
available as described in paragraph (1). Such announcement shall
be made at Department medical facilities and through publication
in the Federal Register. Notice of a name being on the list must
be provided at least 30 days before the individual selected may
serve on a Board or as a grievance examiner. Employees, employee
organizations, and other interested parties may submit comments
to the Secretary concerning the suitability for service on the panel
of any employee whose name is on the list.
(3) The Secretary shall provide training in the functions and
duties of Disciplinary Appeals Boards and grievance procedures
under section 7463 of this title for employees selected to be on the
panel.
(Added Pub. L. 102–40, title II, Sec. 203(a), May 7, 1991, 105 Stat. 206.)
SUBCHAPTER VI—REGIONAL MEDICAL EDUCATION

CENTERS
§ 7471. Designation of Regional Medical Education Centers
(a) In carrying out the Secretary’s functions under section 7302
of this title with regard to the training of health personnel, the
Secretary shall implement a program under which the Secretary
shall designate as Regional Medical Education Centers such De-
partment hospitals as the Secretary determines appropriate to
carry out the provisions of this subchapter.
(b) Each Regional Medical Education Center (hereinafter in
this subchapter referred to as ‘‘Center’’) designated under sub-
section (a) shall provide continuing medical and related education
programs for personnel eligible for training under this subchapter.
Such programs shall include the following:
(1) The teaching of newly developed medical skills and the
use of newly developed medical technologies and equipment.
(2) Advanced clinical instruction.
(3) The opportunity for conducting clinical investigations.
(4) Clinical demonstrations in the use of new types of
health personnel and in the better use of the skills of existing
health personnel.
(5) Routine verification of basic medical skills and, where
determined necessary, remediation of any deficiency in such
skills.
§ 7472. Supervision and staffing of Centers

(a) Centers shall be operated under the supervision of the
Under Secretary for Health and shall be staffed with personnel
qualified to provide the highest quality instruction and training in

various medical and health care disciplines.
(b) As a means of providing appropriate recognition to persons
in the career service of the Administration who possess outstanding
qualifications in a particular medical or health care discipline, the
Under Secretary for Health shall from time to time and for such
period as the Under Secretary for Health considers appropriate as-
sign such persons to serve as visiting instructors at Centers.
(c) Whenever the Under Secretary for Health considers it nec-
essary for the effective conduct of the program provided for under
this subchapter, the Under Secretary for Health may contract for
the services of highly qualified medical and health personnel from
outside the Department to serve as instructors at such Centers.
§ 7473. Personnel eligible for training

(a) The Under Secretary for Health shall determine the man-
ner in which personnel are to be selected for training in the Cen-
ters. Preference shall be given to career personnel of the Adminis-
tration.
(b) To the extent that facilities are available medical and
health personnel from outside the Administration may, on a reim-
bursable basis, be provided training in the Centers. Such reim-
bursement may include reciprocal training of personnel of the Ad-
ministration provided under sharing arrangements entered into by
the Under Secretary for Health and the heads of the entities pro-
viding such reciprocal training. Any amounts received by the
United States as reimbursement under this subsection shall be
credited to the applicable Department medical appropriation ac-
count.
§ 7474. Consultation
The Under Secretary for Health shall carry out this subchapter
after consultation with the special medical advisory group estab-
lished pursuant to section 7312(a) of this title.
959
961
963
CHAPTER 76—HEALTH PROFESSIONALS EDUCATIONAL
ASSISTANCE PROGRAM
Sec.
7601. Establishment of program; purpose.
7602. Eligibility.
7603. Application and acceptance.
7604. Terms of agreement.
7613. Scholarship.
7614. Part-time students.
7615. Status of participants.
7618. Expiration of program.
7625. Allocation and distribution of funding.
7631. Periodic adjustments in amount of assistance.
7633. Regulations.
7634. Breach of agreement; waiver of liability.
7635. Service in other agencies.
7636. Exemption of educational assistance payments from taxation.
SUBCHAPTER V—STIPEND PROGRAM FOR MEMBERS OF THE SELECTED
RESERVE
7652. Eligibility: individuals entitled to benefits under the GI Bill program for
members of the Selected Reserve.
7653. Amount of assistance.
7655. Breach of agreement; liability.
SUBCHAPTER VI—EMPLOYEE INCENTIVE SCHOLARSHIP PROGRAM
7672. Eligibility; agreement.
7673. Scholarship.
[7676. Repealed.]
965
Sec. 7601 CH. 76—HEALTH PROFESSIONALS ED. ASST. 966
SUBCHAPTER VII—EDUCATION DEBT REDUCTION PROGRAM

7682. Eligibility.
7683. Education debt reduction.
[7684. Repealed.]
§ 7601. Establishment of program; purpose
(a) There is hereby established a program to be known as the
Department of Veterans Affairs Health Professionals Educational
Assistance Program (hereinafter in this chapter referred to as the
‘‘Educational Assistance Program’’). The program consists of—
(1) the scholarship program provided for in subchapter II
of this chapter;
(2) the tuition reimbursement program provided for in sub-
chapter III of this chapter;
(3) the Selected Reserve member stipend program provided
for under subchapter V of this chapter;
(4) the employee incentive scholarship program provided
for in subchapter VI of this chapter; and
(5) the education debt reduction program provided for in
subchapter VII of this chapter.
(b) The purpose of the Educational Assistance Program is to
assist in providing an adequate supply of trained health-care per-
sonnel for the Department and the Nation.
(Added Pub. L. 100–322, title II, Sec. 216(b), May 20, 1988, 102 Stat. 518, Sec. 4301;
amended Pub. L. 101–366, title II, Sec. 205(c)(1), Aug. 15, 1990, 104 Stat. 441; re-
238; Pub. L. 102–83, Sec. 4(a)(2)(B)(vi), (3), (4), Aug. 6, 1991, 105 Stat. 403, 404;
Pub. L. 103–446, title XII, Sec. 1201(e)(25), Nov. 2, 1994, 108 Stat. 4686; Pub. L.
105–368, title VIII, Sec. 805(1), Nov. 11, 1998, 112 Stat. 3358.)
(a)(1) To be eligible to participate in the Educational Assist-
ance Program under subchapter II, III, or VI of this chapter, an in-
dividual must be accepted for enrollment or be currently enrolled
as a student at a qualifying educational institution in a course of
education or training that is approved by the Secretary and that
leads toward completion of a degree in a field of education or train-
ing for which a scholarship may be awarded under subchapter II
of this chapter, for which tuition reimbursement may be provided
under subchapter III of this chapter, or for which a scholarship
may be awarded under subchapter VI of this chapter, as the case
may be.
(2) A qualifying educational institution for purposes of this sec-
tion is an educational institution that is in a State and that (as de-
termined by the Secretary) is an accredited institution.
(b) An individual is not eligible to apply to participate in the
Educational Assistance Program under subchapter II, III, or VI of
this chapter if the individual is obligated under any other Federal
program to perform service after completion of the course of edu-
cation or training of such individual referred to in subsection (a) of
this section.
967 CH. 76—HEALTH PROFESSIONALS ED. ASST. Sec. 7603
105–368, title VIII, Sec. 805(2), Nov. 11, 1998, 112 Stat. 3358.)
§ 7603. Application and acceptance

(a)(1) To apply to participate in the Educational Assistance
Program under subchapter II, III, V, or VI of this chapter, an indi-
vidual shall submit to the Secretary an application for such partici-
pation together with an agreement described in section 7604 of this
title under which the participant agrees to serve a period of obli-
gated service in the Veterans Health Administration as provided in
the agreement in return for payment of educational assistance as
provided in the agreement.
(2) To apply to participate in the Educational Assistance Pro-
gram under subchapter VII of this chapter, an individual shall sub-
mit to the Secretary an application for such participation.
(b)(1) An individual becomes a participant in the Educational
Assistance Program upon the Secretary’s approval of the individ-
ual’s application and the Secretary’s acceptance of the agreement
(if required).
(2) Upon the Secretary’s approval of an individual’s participa-
tion in the program, the Secretary shall promptly notify the indi-
vidual of that approval. Such notice shall be in writing.
(c)(1) In distributing application forms and agreement forms to
individuals desiring to participate in the Educational Assistance
Program, the Secretary shall include with such forms the following:
(A) A fair summary of the rights and liabilities of an indi-
vidual whose application is approved (and whose agreement is
accepted) by the Secretary, including a clear explanation of the
damages to which the United States is entitled if the indi-
vidual breaches the agreement.
(B) A full description of the terms and conditions that
apply to participation in the Educational Assistance Program
and service in the Veterans Health Administration.
(2) The Secretary shall make such application forms and other
information available to individuals desiring to participate in the
Educational Assistance Program on a date sufficiently early to
allow such individuals adequate time to prepare and submit such
forms.
(d) In selecting applicants for acceptance in the Educational
Assistance Program, the Secretary shall give priority to the appli-
cations of individuals who have previously received educational as-
sistance under the program and have not completed the course of
education or training undertaken under such program.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991,
105 Stat. 404, 405; Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2, 1994, 108
Stat. 4682; Pub. L. 105–368, title VIII, Sec. 805(3), Nov. 11, 1998, 112 Stat. 3359;
Pub. L. 106–419, title IV, Sec. 404(a)(10), Nov. 1, 2000, 114 Stat. 1865.)
§ 7604. Terms of agreement

An agreement between the Secretary and a participant in the
Educational Assistance Program shall be in writing, shall be signed
by the participant, and shall include the following provisions:
(1) The Secretary’s agreement—
(A) to provide the participant with educational assist-
ance as authorized in subchapter II, III, V, or VI of this
chapter and specified in the agreement; and
(B) to afford the participant the opportunity for em-
ployment in the Veterans Health Administration (subject
to the availability of appropriated funds for such purpose
and other qualifications established in accordance with
section 7402 of this title).
(2) The participant’s agreement—
(A) to accept such educational assistance;
(B) to maintain enrollment and attendance in the
course of training until completed;
(C) while enrolled in such course, to maintain an ac-
ceptable level of academic standing (as determined by the
educational institution offering such course of training
under regulations prescribed by the Secretary); and
(D) after completion of the course of training, to serve
as a full-time employee in the Veterans Health Adminis-
tration as specified in the agreement in accordance with
subchapter II, III, V, or VI of this chapter.
(3) A provision that any financial obligation of the United
States arising out of an agreement entered into under this
chapter, and any obligation of the participant which is condi-
tioned on such agreement, is contingent upon funds being ap-
propriated for educational assistance under this chapter.
(4) A statement of the damages to which the United States
is entitled under this chapter for the participant’s breach of the
agreement.
(5) Such other terms as are required to be included in the
agreement under subchapter II, III, V, or VI of this chapter or
as the Secretary may require consistent with the provisions of
this chapter.
numbered Sec. 7604 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), 403(b)(3),
105 Stat. 404, 405; Pub. L. 103–446, title XII, Sec. 1201(b)(1), (e)(26), Nov. 2, 1994,
108 Stat. 4682, 4686; Pub. L. 105–368, title VIII, Sec. 805(4), Nov. 11, 1998, 112
Stat. 3359.)

§ 7611. Authority for program
As part of the Educational Assistance Program, the Secretary
shall carry out a scholarship program under this subchapter. The
program shall be known as the Department of Veterans Affairs
Health Professional Scholarship Program (hereinafter in this chap-
ter referred to as the ‘‘Scholarship Program’’).
Stat. 238; amended Pub. L. 102–83, Sec. 4(a)(2)(B)(vi), (b)(1), (2)(E), Aug. 6, 1991,
105 Stat. 403–405.)
§ 7612. Eligibility; application; agreement

(a)(1) Except as provided in paragraph (2) of this subsection,
an individual must be accepted for enrollment or be enrolled (as de-
scribed in section 7602 of this title) as a full-time student to be eli-
gible to participate in the Scholarship Program.
(2) An individual who is an eligible Department employee may
be accepted as a participant if accepted for enrollment or enrolled
(as described in section 7602 of this title) for study on less than a
full-time but not less than a half-time basis. (Such a participant is
hereinafter in this subchapter referred to as a ‘‘part-time student’’.)
(3) For the purposes of paragraph (2) of this subsection, an eli-
gible Department employee is a full-time Department employee
who is permanently assigned to a Department health-care facility
on the date on which the individual submits the application re-
ferred to in section 7603 of this title and on the date on which the
individual becomes a participant in the Scholarship Program.
(b)(1) A scholarship may be awarded under this subchapter
only in a qualifying field of education or training.
(2) A qualifying field of education or training for purposes of
this subchapter is education or training leading to employment
(under section 7401 of this title) as any of the following:
(A) A physician, dentist, podiatrist, optometrist, nurse,
physician assistant, or expanded function dental auxiliary.
(B) A psychologist described in section 7401(3) of this title
or a certified or registered respiratory therapist, licensed phys-
ical therapist, or licensed practical or vocational nurse.
(3) The Secretary may designate additional fields of education
or training as qualifying fields of education or training if the edu-
cation or training leads to employment in a position which would
qualify the individual for increased basic pay under subsection
(a)(1) of section 7455 of this title for personnel described in sub-
section (a)(2)(B) of such section.
(4) Before awarding the initial scholarship in a course of edu-
cation or training other than medicine or nursing, the Secretary
shall notify the Committees on Veterans’ Affairs of the Senate and
House of Representatives of the Secretary’s intent to award a schol-
arship in such course of education or training. The notice shall in-
clude a statement of the reasons why the award of scholarships in
that course of education or training is necessary to assist in pro-
viding the Department with an adequate supply of personnel in the
health profession concerned. Any such notice shall be given not less
than 60 days before the first such scholarship is awarded.
(5) In selecting applicants for the Scholarship Program, the
Secretary—
(A) shall give priority to applicants who will be entering
their final year in a course of training; and
(B) shall ensure an equitable allocation of scholarships to
persons enrolled in the second year of a program leading to an
associate degree in nursing.
(c)(1) An agreement between the Secretary and a participant in

the Scholarship Program shall (in addition to the requirements set
forth in section 7604 of this title) include the following:
(A) The Secretary’s agreement to provide the participant
with a scholarship under this subchapter for a specified num-
ber (from one to four) of school years during which the partici-
pant is pursuing a course of education or training described in
(B) The participant’s agreement to serve as a full-time em-
ployee in the Veterans Health Administration for a period of
time (hereinafter in this subchapter referred to as the ‘‘period
of obligated service’’) of one calendar year for each school year
or part thereof for which the participant was provided a schol-
arship under the Scholarship Program, but for not less than
two years.
(2) In a case in which an extension is granted under section
7614(3) of this title, the number of years for which a scholarship
may be provided under this subchapter shall be the number of
school years provided for as a result of the extension.
(3) In the case of a participant who is a part-time student—
(A) the period of obligated service shall be reduced in ac-
cordance with the proportion that the number of credit hours
carried by such participant in any such school year bears to
the number of credit hours required to be carried by a full-time
student in the course of training being pursued by the partici-
pant, but in no event to less than one year; and
(B) the agreement shall include the participant’s agree-
ment to maintain employment, while enrolled in such course of
education or training, as a Department employee permanently
assigned to a Department health-care facility.
(4) If a participant’s period of obligated service is deferred
under section 7616(b)(3)(A)(i) of this title, the agreement terms
under paragraph (1) of this subsection shall provide for the partici-
pant to serve any additional period of obligated service that is pre-
scribed by the Secretary under section 7616(b)(4)(B) of this title.
amended Pub. L. 101–237, title II, Sec. 207(a), Dec. 18, 1989, 103 Stat. 2068; renum-
bered Sec. 7612 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1), (d)(1),
403(b)(4), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–405, title II, Sec. 202(a), Oct.
9, 1992, 106 Stat. 1983; Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2, 1994,
108 Stat. 4682.)
§ 7613. Scholarship
(a) A scholarship provided to a participant in the Scholarship
Program for a school year under the Scholarship Program shall
consist of payment of the tuition of the participant for that school
year, payment of other reasonable educational expenses (including
fees, books, and laboratory expenses) for that school year, and a sti-
pend determined under subsection (b) of this section.
(b) A stipend under this section for a school year shall be pay-
ment to the participant of not in excess of $485 per month (ad-
justed in accordance with section 7631 of this title) for each of the
12 consecutive months beginning with the first month of the school
year, except that a stipend may not be paid to a participant who
is a full-time employee of the Department. The stipend of a partici-

pant who is a part-time student shall be adjusted as provided in
sections 7614(1) and 7614(2) of this title.
(c) The Secretary may arrange with an educational institution
in which a participant in the Scholarship Program is enrolled for
the payment to the educational institution of the amounts of tui-
tion and other reasonable educational expenses described in sub-
section (a) of this section. Such payments may be made without re-
gard to subsections (a) and (b) of section 3324 of title 31.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug.
6, 1991, 105 Stat. 404, 405.)
§ 7614. Part-time students

In the case of a participant who is a part-time student—
(1) the maximum amount of the stipend payable to the
participant shall be reduced in accordance with the proportion
that the number of credit hours carried by such participant
bears to the number of credit hours required to be carried by
a full-time student in the course of education or training being
pursued by the participant;
(2) a stipend may not be paid for any month during which
the participant is not actually attending the course of training
in which the participant is enrolled; and
(3) the Secretary may extend the period for which a schol-
arship may be awarded to the participant to a maximum of six
school years if the Secretary determines that the extension
would be in the best interest of the United States.
Stat. 238; amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404,
405.)
§ 7615. Status of participants

Participants in the Scholarship Program shall not by reason of
their participation in such program (1) be considered to be employ-
ees of the Federal Government, or (2) be counted against any per-
sonnel ceiling affecting the Veterans Health Administration.
Stat. 238; amended Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2, 1994, 108
Stat. 4682.)
§ 7616. Obligated service

(a) Each participant in the Scholarship Program shall provide
service as a full-time employee of the Department for the period of
obligated service provided in the agreement of the participant en-
tered into under section 7603 of this title. Such service shall be
provided in the full-time clinical practice of such participant’s pro-
fession or in another health-care position in an assignment or loca-
tion determined by the Secretary.
(b)(1) Not later than 60 days before the participant’s service
commencement date, the Secretary shall notify the participant of
that service commencement date. That date is the date for the be-
ginning of the participant’s period of obligated service.
(2) As soon as possible after the participant’s service com-
mencement date, the Secretary shall—
(A) in the case of a participant who is not a full-time em-
ployee in the Veterans Health Administration, appoint such
participant as such an employee; and
(B) in the case of a participant who is an employee in the
Veterans Health Administration but is not serving in a posi-
tion for which such participant’s course of education or training
prepared such participant, assign such participant to such a
position.
(3)(A)(i) In the case of a participant receiving a degree from a
school of medicine, osteopathy, dentistry, optometry, or podiatry,
the participant’s service commencement date is the date upon
which the participant becomes licensed to practice medicine, oste-
opathy, dentistry, optometry, or podiatry, as the case may be, in a
State. However, the Secretary may, at the request of such partici-
pant, defer such date until the end of the period of time required
for the participant to complete an internship or residency or other
advanced clinical training. If the participant requests such a defer-
ral, the Secretary shall notify the participant that such deferral
could lead to an additional period of obligated service in accordance
with paragraph (4) of this subsection.
(ii) No such period of internship or residency or other advanced
clinical training shall be counted toward satisfying a period of obli-
gated service under this subchapter.
(B) In the case of a participant receiving a degree from a school
of nursing, the participant’s service commencement date is the
later of (i) the participant’s course completion date, or (ii) the date
upon which the participant becomes licensed as a registered nurse
in a State.
(C) In the case of a participant not covered by subparagraph
(A) or (B) of this paragraph, the participant’s service commence-
ment date is the later of (i) the participant’s course completion
date, or (ii) the date the participant meets any applicable licensure
or certification requirements.
(4) A participant whose period of obligated service is deferred
under paragraph (3)(A) of this subsection shall be required to un-
dertake internship or residency or other advanced clinical training
in an accredited program in an educational institution which is an
affiliated institution (as defined in section 7423(d)(1) of this title)
and with respect to which the affiliation agreement provides that
all or part of the internship or residency or other advanced clinical
training will be undertaken in a Department health-care facility.
Such a participant may, at the discretion of the Secretary and upon
the recommendation of the Under Secretary for Health, incur an
additional period of obligated service—
(A) at the rate of one-half of a calendar year for each year
of internship or residency or other advanced clinical training
(or a proportionate ratio thereof), if the internship, residency,
or advanced clinical training is in a medical specialty nec-
essary to meet the health-care requirements of the Department
(as determined under regulations prescribed by the Secretary);

or
(B) at the rate of three-quarters of a calendar year for each
year of internship or residency or other advanced clinical train-
ing (or a proportionate ratio thereof), if the internship, resi-
dency, or advanced clinical training is not in a medical spe-
cialty necessary to meet the health-care requirements of the
Department (as determined under regulations prescribed by
the Secretary).
(5) The Secretary shall by regulation prescribe the service com-
mencement date for participants who were part-time students.
Such regulations shall prescribe terms as similar as practicable to
the terms set forth in paragraph (3) of this subsection.
(c)(1) Except as provided in paragraph (2) of this subsection, a
participant in the Scholarship Program shall be considered to have
begun serving such participant’s period of obligated service—
(A) on the date, after such participant’s course completion
date, on which such participant (in accordance with subsection
(b) of this section) is appointed under this chapter as a full-
time employee in the Veterans Health Administration; or
(B) if the participant is a full-time employee in the Vet-
erans Health Administration on such course completion date,
on the date thereafter on which such participant is assigned to
a position for which such participant’s course of training pre-
pared such participant.
(2) A participant in the Scholarship Program who on such par-
ticipant’s course completion date is a full-time employee in the Vet-
erans Health Administration serving in a capacity for which such
participant’s course of training prepared such participant shall be
considered to have begun serving such participant’s period of obli-
gated service on such course completion date.
(3) For the purposes of this section, the term ‘‘course comple-
tion date’’ means the date on which a participant in the Scholar-
ship Program completes such participant’s course of education or
training under the program.
403(b)(5), May 7, 1991, 105 Stat. 238–240; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–405, title III, Sec. 302(c)(1),
Oct. 9, 1992, 106 Stat. 1984; Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2,
1994, 108 Stat. 4682.)
§ 7617. Breach of agreement: liability

(a) A participant in the Scholarship Program (other than a par-
ticipant described in subsection (b) of this section) who fails to ac-
cept payment, or instructs the educational institution in which the
participant is enrolled not to accept payment, in whole or in part,
of a scholarship under the agreement entered into under section
7603 of this title shall be liable to the United States for liquidated
damages in the amount of $1,500. Such liability is in addition to
any period of obligated service or other obligation or liability under
the agreement.
(b) A participant in the Scholarship Program shall be liable to
the United States for the amount which has been paid to or on be-
half of the participant under the agreement if any of the following

occurs:
(1) The participant fails to maintain an acceptable level of
academic standing in the educational institution in which the
participant is enrolled (as determined by the educational insti-
tution under regulations prescribed by the Secretary).
(2) The participant is dismissed from such educational in-
stitution for disciplinary reasons.
(3) The participant voluntarily terminates the course of
training in such educational institution before the completion
of such course of training.
(4) The participant fails to become licensed to practice
medicine, osteopathy, dentistry, podiatry, or optometry in a
State, fails to become licensed as a registered nurse in a State,
or fails to meet any applicable licensure requirement in the
case of any other health-care personnel who provide either di-
rect patient-care services or services incident to direct patient-
care services, during a period of time determined under regula-
(5) In the case of a participant who is a part-time student,
the participant fails to maintain employment, while enrolled in
the course of training being pursued by such participant, as a
Department employee permanently assigned to a Department
health-care facility.
Liability under this subsection is in lieu of any service obligation
arising under the participant’s agreement.
(c)(1) If a participant in the Scholarship Program breaches the
agreement by failing (for any reason) to complete such participant’s
period of obligated service, the United States shall be entitled to
recover from the participant an amount determined in accordance
with the following formula: A=3Φ(t-s/t)
In such formula:
(A) ‘‘A’’ is the amount the United States is entitled to re-
cover.
(B) ‘‘Φ’’ is the sum of (i) the amounts paid under this sub-
chapter to or on behalf of the participant, and (ii) the interest
on such amounts which would be payable if at the time the
amounts were paid they were loans bearing interest at the
maximum legal prevailing rate, as determined by the Treas-
urer of the United States.
(C) ‘‘t’’ is the total number of months in the participant’s
period of obligated service, including any additional period of
obligated service in accordance with section 7616(b)(4) of this
title.
(D) ‘‘s’’ is the number of months of such period served by
the participant in accordance with section 7613 of this title.
(2) Any amount of damages which the United States is entitled
to recover under this section shall be paid to the United States
within the one-year period beginning on the date of the breach of
the agreement.
6, 1991, 105 Stat. 404, 405.)
§ 7618. Expiration of program

The Secretary may not furnish scholarships to new partici-
pants in the Scholarship Program after December 31, 1998.
405; Pub. L. 102–585, title V, Sec. 523(a), Nov. 4, 1992, 106 Stat. 4959; Pub. L. 104–
110, title I, Sec. 101(j), Feb. 13, 1996, 110 Stat. 769; Pub. L. 105–114, title II, Sec.
207(a), Nov. 21, 1997, 111 Stat. 2289.)

shall carry out a tuition reimbursement program under this sub-
chapter. The program shall be known as the Department of Vet-
erans Affairs Nurse Education Tuition Reimbursement Program
(hereinafter in this chapter referred to as the ‘‘Tuition Reimburse-
ment Program’’).
Stat. 238; amended Pub. L. 102–83, Sec. 4(a)(2)(B)(vi), (b)(1), (2)(E), Aug. 6, 1991,
105 Stat. 403–405.)
§ 7622. Eligibility; application; agreement

(a) To be eligible to participate in the Tuition Reimbursement
Program, an individual must be a full-time employee in the Depart-
ment permanently assigned to a Department health-care facility
and must be enrolled in a course of training offered by an institu-
tion approved by the Secretary leading toward completion of (1) an
associate or higher degree in nursing, or (2) a masters degree or
doctoral degree in nursing.
(b) In selecting applicants for acceptance in the Tuition Reim-
bursement Program, the Secretary (in addition to according prior-
ities as set forth in section 7603(d) of this title) shall give special
consideration and emphasis to individuals pursuing a course of
study which will expedite an increase in the number of registered
nurses employed by the Department. The Secretary shall then give
priority, in the following order, to—
(1) individuals who have been employed as full-time em-
ployees in the Nursing Service in the Veterans Health Admin-
istration; and
(2) individuals who have previously received tuition reim-
bursement under the Tuition Reimbursement Program.
(c) An agreement between the Secretary and a participant in
the Tuition Reimbursement Program shall (in addition to the re-
quirements set forth in section 7604 of this title) contain the fol-
lowing:
(1) The Secretary’s agreement to provide the participant
with tuition reimbursement following successful completion (as
determined, pursuant to regulations prescribed by the Sec-
retary, by the educational institution involved) of (A) a course
or courses required for the course of study described in sub-
section (a) of this section, or (B) a course or courses taken as
necessary prerequisites for degree program enrollment if a let-
ter regarding the potential enrollment of the participant from

an appropriate official of the institution involved includes a
statement specifying such prerequisites.
(2) The participant’s agreement—
(A) to maintain employment, while enrolled in the
course of training being pursued by such participant, as a
full-time Department employee in the Veterans Health Ad-
ministration permanently assigned to a Department
health-care facility; and
(B) to continue to serve as a full-time employee in the
Veterans Health Administration for one year (hereinafter
in this subchapter referred to as the ‘‘period of obligated
service’’) after completion of the course for which the par-
ticipant received tuition reimbursement.
(d) Tuition reimbursement provided to a participant in the Tui-
tion Reimbursement Program may not exceed $2,000 per year (ad-
justed in accordance with section 7631 of this title).
(e) The Secretary may arrange with an educational institution
pursuant to which such an institution would provide a course or
courses at a Department health-care facility to participants in the
Tuition Reimbursement Program. Under such an arrangement, the
Secretary may agree to pay to the institution an amount not in ex-
cess of an amount determined by multiplying the number of par-
ticipants in such a course by the amount of tuition reimbursement
each participant would receive for enrolling and successfully com-
pleting such course.
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(9), June 13, 1991, 105
Stat. 287; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404,
405; Pub. L. 103–446, title XII, Sec. 1201(b), Nov. 2, 1994, 108 Stat. 4682.)

(a) Each participant in the Tuition Reimbursement Program
shall provide service in the full-time clinical practice of such par-
ticipant’s profession as a full-time employee of the Department for
the period of obligated service provided in the agreement of such
participant entered into under section 7603 of this title.
(b) A participant who on such participant’s course completion
date is a full-time employee in the Veterans Health Administration
shall be considered to have begun serving such participant’s period
of obligated service on the course completion date.
(c) Except in the case of a participant whose tuition was paid
pursuant to section 7622(e) of this title, if a participant in the Tui-
tion Reimbursement Program fails to successfully complete a
course, no reimbursement will be provided and no period of obli-
gated service will be incurred.
(d) In the case of a participant whose tuition was paid pursu-
ant to section 7622(e) of this title and who fails to complete the
course involved, the period of obligation shall be of the same dura-
tion as it would have been if the participant had successfully com-
pleted the course and the course completion date shall be consid-
ered to be the date on which the participant’s failure becomes an
established fact.
(e) For the purposes of this section, the term ‘‘course comple-
tion date’’ means the date on which a participant in the Tuition Re-
imbursement Program completes such participant’s course of train-
ing under the program.
amended Pub. L. 100–687, div. B, title XV, Sec. 1503(a)(3), Nov. 18, 1988, 102 Stat.
4134; renumbered Sec. 7623 and amended Pub. L. 102–40, title IV, Sec. 402(b)(1),
(d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), Aug. 6,
1991, 105 Stat. 404; Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2, 1994, 108
Stat. 4682.)
(a) A participant in the Tuition Reimbursement Program who
fails to maintain employment as a Department employee perma-
nently assigned to a Department health-care facility—
(1) may not be provided reimbursement for tuition for the
course or courses in which the participant is enrolled; and
(2) in lieu of any service obligation arising from participa-
tion in the program, shall be liable to the United States for the
amount which has been paid or is payable to or on behalf of
the participant under the agreement, reduced by the propor-
tion that the number of days served for completion of the serv-
ice obligation bears to the total number of days in the partici-
pant’s period of obligated service.
(b) Any amount of damages which the United States is entitled
to recover under this section shall be paid to the United States
within the one-year period beginning on the date of the breach of
the agreement.
amended Pub. L. 100–687, div. B, title XV, Sec. 1503(a)(4), Nov. 18, 1988, 102 Stat.
105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404.)
§ 7625. Allocation and distribution of funding
In determining the amount of funding to allocate to Depart-
ment health-care facilities for any fiscal year in connection with the
Tuition Reimbursement Program, the Secretary shall take into ac-
count (1) the personnel ceiling for that fiscal year for nursing per-
sonnel, and (2) the recruitment and retention needs of such facili-
ties, as determined by the Secretary.
Stat. 238; amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 404, 405.)

§ 7631. Periodic adjustments in amount of assistance
(a)(1) Whenever there is a general Federal pay increase, the
Secretary shall increase the maximum monthly stipend amount,
the maximum tuition reimbursement amount, the maximum Se-
lected Reserve member stipend amount, the maximum employee
incentive scholarship amount, and the maximum education debt re-
duction payments amount. Any such increase shall take effect with
respect to any school year that ends in the fiscal year in which the
pay increase takes effect.
(2) The amount of any increase under paragraph (1) of this

subsection is the previous maximum amount under that paragraph
multiplied by the overall percentage of the adjustment in the rates
of pay under the General Schedule made under the general Federal
pay increase. Such amount shall be rounded to the next lower mul-
tiple of $1.
(b) For purposes of this section:
(1) The term ‘‘maximum monthly stipend amount’’ means
the maximum monthly stipend that may be paid to a partici-
pant in the Scholarship Program specified in section 7613(b) of
this title and as previously adjusted (if at all) in accordance
with this section.
(2) The term ‘‘maximum tuition reimbursement amount’’
means the maximum amount of tuition reimbursement pro-
vided to a participant in the Tuition Reimbursement Program
specified in section 7622(e) of this title and as previously ad-
justed (if at all) in accordance with this section.
(3) The term ‘‘maximum Selected Reserve member stipend
amount’’ means the maximum amount of assistance provided
to a person receiving assistance under subchapter V of this
chapter, as specified in section 7653 of this title and as pre-
viously adjusted (if at all) in accordance with this section.
(4) The term ‘‘maximum employee incentive scholarship
amount’’ means the maximum amount of the scholarship pay-
able to a participant in the Department of Veterans Affairs
Employee Incentive Scholarship Program under subchapter VI
of this chapter, as specified in section 7673(b)(1) of this title
and as previously adjusted (if at all) in accordance with this
section.
(5) The term ‘‘maximum education debt reduction pay-
ments amount’’ means the maximum amount of education debt
reduction payments payable to a participant in the Depart-
ment of Veterans Affairs Education Debt Reduction Program
under subchapter VII of this chapter, as specified in section
7683(d)(1) of this title and as previously adjusted (if at all) in
accordance with this section.
(6) The term ‘‘general Federal pay increase’’ means an ad-
justment (if an increase) in the rates of pay under the General
Schedule under subchapter III of chapter 53 of title 5.
amended Pub. L. 101–366, title II, Sec. 205(b), Aug. 15, 1990, 104 Stat. 441; renum-
7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(10), June 13, 1991, 105 Stat.
107–135, title I, Secs. 101(f), (g), 102(d)(1), Jan. 23, 2002, 115 Stat. 2448, 2449.)

Not later than March 1 of each year, the Secretary shall sub-
mit to Congress a report on the Educational Assistance Program.
Each such report shall include the following information:
(1) The number of students receiving educational assist-
ance under the Educational Assistance Program, showing the
numbers of students receiving assistance under the Scholar-
ship Program, the Tuition Reimbursement Program, the Em-
ployee Incentive Scholarship Program, and the Education Debt
Reduction Program separately, and the number of students (if

any) enrolled in each type of health profession training under
each program.
(2) The education institutions (if any) providing such train-
ing to students in each program.
(3) The number of applications filed under each program,
by health profession category, during the school year beginning
in such year and the total number of such applications so filed
for all years in which the Educational Assistance Program (or
predecessor program) has been in existence.
(4) The average amounts of educational assistance pro-
vided per participant in the Scholarship Program, per partici-
pant in the Tuition Reimbursement Program, per participant
in the Employee Incentive Scholarship Program, and per par-
ticipant in the Education Debt Reduction Program.
(5) The amount of tuition and other expenses paid, by
health profession category, in the aggregate and at each edu-
cational institution for the school year beginning in such year
and for prior school years.
(6) The number of scholarships accepted, by health profes-
sion category, during the school year beginning in such year
and the number, by health profession category, which were of-
fered and not accepted.
(7) The number of participants who complete a course or
course of training in each program each year and for all years
that such program (or predecessor program) has been in exist-
ence.
405; Pub. L. 105–368, title VIII, Sec. 805(5), Nov. 11, 1998, 112 Stat. 3359.)
The Secretary shall prescribe regulations to carry out the Edu-
cational Assistance Program.
405.)
§ 7634. Breach of agreement; waiver of liability
(a) An obligation under the Educational Assistance Program
(or an agreement under the program) of a participant in the Edu-
cational Assistance Program for performance of services or pay-
ment of damages is canceled upon the death of the participant.
(b) The Secretary shall prescribe regulations providing for the
waiver or suspension of any obligation of a participant for service
or payment under the Educational Assistance Program (or an
agreement under the program) whenever noncompliance by the
participant is due to circumstances beyond the control of the partic-
ipant or whenever the Secretary determines that the waiver or sus-
pension of compliance is in the best interest of the United States.
(c) An obligation of a participant under the Educational Assist-
ance Program (or an agreement thereunder) for payment of dam-
ages may not be released by a discharge in bankruptcy under title
11 before the expiration of the five-year period beginning on the

first date the payment of such damages is due.
405.)
§ 7635. Service in other agencies

(a) The Secretary, with the consent of the participant or indi-
vidual involved and the consent of the head of the department or
agency involved, may permit—
(1) a period of obligated service required under this chap-
ter to be performed in the Veterans Health Administration to
be performed in another Federal department or agency or in
the Armed Forces in lieu of performance of such service in the
Veterans Health Administration; and
(2) a period of obligated service required to be performed
in another Federal department or agency or in the Armed
Forces under another Federal health personnel educational as-
sistance program to be performed in the Veterans Health Ad-
ministration.
(b) This section shall be carried out in cooperation with the
heads of other appropriate departments and agencies.
405; Pub. L. 103–446, title XII, Sec. 1201(b)(1), Nov. 2, 1994, 108 Stat. 4682.)
§ 7636. Exemption of educational assistance payments from

taxation
Notwithstanding any other law, any payment to, or on behalf
of a participant in the Educational Assistance Program, for tuition,
education expenses, a stipend, or education debt reduction under
this chapter shall be exempt from taxation.
Stat. 238; amended Pub. L. 105–368, title VIII, Sec. 805(6), Nov. 11, 1998, 112 Stat.
3359.)
SUBCHAPTER V—STIPEND PROGRAM FOR MEMBERS OF

THE SELECTED RESERVE
(a) As part of the Educational Assistance Program, the Sec-
retary of Veterans Affairs may select qualified individuals to re-
ceive assistance under this subchapter.
(b) To be eligible to receive assistance under this subchapter,
an individual must be accepted for enrollment or be enrolled as a
full-time student at a qualifying educational institution in a course
of education or training that is approved by the Secretary and that
leads toward completion of a degree in a health profession involv-
ing direct patient care or care incident to direct patient care.
105 Stat. 238.)
§ 7652. Eligibility: individuals entitled to benefits under the

GI Bill program for members of the Selected Re-
serve
The Secretary of Veterans Affairs may not approve an applica-
tion under section 7603 of this title of an individual applying to re-
ceive assistance under this subchapter unless—
(1) the individual is entitled to benefits under chapter 106
of title 10; and
(2) the score of the individual on the Armed Forces Quali-
fication Test was above the 50th percentile.
(d)(1), May 7, 1991, 105 Stat. 238, 239.)
§ 7653. Amount of assistance

The Secretary may pay to a person selected to receive assist-
ance under this subchapter the amount of $400 (adjusted in accord-
ance with section 7631 of this title) for each month of the person’s
enrollment in a program of education or training covered by the
agreement of the person entered into under section 7603 of this
title. Payment of such benefits for any period shall be coordinated
with any payment of benefits for the same period under chapter
106 of title 10.
(d)(1), May 7, 1991, 105 Stat. 238, 239.)

A person receiving assistance under this subchapter shall pro-
vide service in the full-time clinical practice of the person’s profes-
sion as a full-time employee of the Department for the period of ob-
ligated service provided in the agreement of such person entered
into under section 7603 of this title.
(d)(1), May 7, 1991, 105 Stat. 238, 239.)
§ 7655. Breach of agreement; liability

(a)(1) Subject to paragraph (2), an individual who is receiving
or has received a reserve member stipend under this subchapter
and who fails to perform the service for which the individual is ob-
ligated under section 7654 of this title shall be liable to the United
States in an amount determined in accordance with section
7617(c)(1) of this title.
(2) An individual who, as a result of performing active duty (in-
cluding active duty for training), is unable to perform the service
for which the individual is obligated under section 7654 of this title
shall be permitted to perform that service upon completion of the
active duty service (or active duty for training). The Secretary may,
by regulation, waive the requirement for the performance of the
service for which the individual is obligated under section 7654 of
this title in any case in which the Secretary determines that the
individual is unable to perform the service for reasons beyond the
control of the individual or in any case in which the waiver would

be in the best interest of the individual and the United States.
(b) Any amount owed the United States under subsection (a)
of this section shall be paid to the United States during the one-
year period beginning on the date of the breach of the agreement.
(d)(1), May 7, 1991, 105 Stat. 238, 239.)
SUBCHAPTER VI—EMPLOYEE INCENTIVE SCHOLARSHIP

PROGRAM
may carry out a scholarship program under this subchapter. The
program shall be known as the Department of Veterans Affairs
Employee Incentive Scholarship Program (hereinafter in this sub-
chapter referred to as the ‘‘Program’’). The purpose of the Program
is to assist, through the establishment of an incentive program for
individuals employed in the Veterans Health Administration, in
meeting the staffing needs of the Veterans Health Administration
for health professional occupations for which recruitment or reten-
tion of qualified personnel is difficult.
(Added Pub. L. 105–368, title VIII, Sec. 802(a), Nov. 11, 1998, 112 Stat. 3352;
§ 7672. Eligibility; agreement

(a) ELIGIBILITY.—To be eligible to participate in the Program,
an individual must be an eligible Department employee who is ac-
cepted for enrollment or enrolled (as described in section 7602 of
this title) as a full-time or part-time student in a field of education
or training described in subsection (c).
(b) ELIGIBLE DEPARTMENT EMPLOYEES.—For purposes of sub-
section (a), an eligible Department employee is any employee of the
Department who, as of the date on which the employee submits an
application for participation in the Program, has been continuously
employed by the Department for not less than one year.
(c) QUALIFYING FIELDS OF EDUCATION OR TRAINING.—A schol-
arship may be awarded under the Program only for education and
training in a field leading to appointment or retention in a position
(d) AWARD OF SCHOLARSHIPS.—Notwithstanding section
7603(d) of this title, the Secretary, in selecting participants in the
Program, may award a scholarship only to applicants who have a
record of employment with the Veterans Health Administration
which, in the judgment of the Secretary, demonstrates a high like-
lihood that the applicant will be successful in completing such edu-
cation or training and in employment in such field.
(e) AGREEMENT.—(1) An agreement between the Secretary and
a participant in the Program shall (in addition to the requirements
set forth in section 7604 of this title) include the following:
(A) The Secretary’s agreement to provide the participant
with a scholarship under the Program for a specified number
(from one to three) of school years during which the participant
pursues a course of education or training described in sub-

section (c) that meets the requirements set forth in section
(B) The participant’s agreement to serve as a full-time em-
ployee in the Veterans Health Administration for a period of
time (hereinafter in this subchapter referred to as the ‘‘period
of obligated service’’) determined in accordance with regula-
tions prescribed by the Secretary of up to three calendar years
for each school year or part thereof for which the participant
was provided a scholarship under the Program, but for not less
than 3 years.
(C) The participant’s agreement to serve under subpara-
graph (B) in a Department facility selected by the Secretary.
(2) In a case in which an extension is granted under section
7673(c)(2) of this title, the number of years for which a scholarship
may be provided under the Program shall be the number of school
years provided for as a result of the extension.
(3) In the case of a participant who is a part-time student, the
period of obligated service shall be reduced in accordance with the
proportion that the number of credit hours carried by such partici-
pant in any such school year bears to the number of credit hours
required to be carried by a full-time student in the course of train-
ing being pursued by the participant, but in no event to less than
1 year.
amended Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35; Pub. L. 107–135,
title I, Sec. 101(b), Jan. 23, 2002, 115 Stat. 2447.)
§ 7673. Scholarship
(a) SCHOLARSHIP.—A scholarship provided to a participant in
the Program for a school year shall consist of payment of the tui-
tion (or such portion of the tuition as may be provided under sub-
section (b)) of the participant for that school year and payment of
other reasonable educational expenses (including fees, books, and
laboratory expenses) for that school year.
(b) AMOUNTS.—The total amount of the scholarship payable
under subsection (a)—
(1) in the case of a participant in the Program who is a
full-time student, may not exceed $10,000 for the equivalent of
one year of full-time coursework; and
(2) in the case of a participant in the Program who is a
part-time student, shall bear the same ratio to the amount
that would be paid under paragraph (1) if the participant were
a full-time student in the course of education or training being
pursued by the participant as the coursework carried by the
participant to full-time coursework in that course of education
or training.
(c) LIMITATIONS ON PERIOD OF PAYMENT.—(1) The maximum
number of school years for which a scholarship may be paid under
subsection (a) to a participant in the Program shall be six school
years.
(2) A participant in the Program may not receive a scholarship
under subsection (a) for more than the equivalent of three years of
full-time coursework.
(d) PAYMENT OF EDUCATIONAL EXPENSES BY EDUCATIONAL IN-

STITUTIONS.—The Secretary may arrange with an educational insti-
tution in which a participant in the Program is enrolled for the
payment of the educational expenses described in subsection (a).
Such payments may be made without regard to subsections (a) and
(b) of section 3324 of title 31.
(e) FULL-TIME COURSEWORK.—For purposes of this section,
full-time coursework shall consist of the following:
(1) In the case of undergraduate coursework, 30 semester
hours per undergraduate school year.
(2) In the case of graduate coursework, 18 semester hours
per graduate school year.
amended Pub. L. 107–135, title I, Sec. 101(c)–(e), Jan. 23, 2002, 115 Stat. 2447,
2448.)

(a) IN GENERAL.—Each participant in the Program shall pro-
vide service as a full-time employee of the Department for the pe-
riod of obligated service provided in the agreement of the partici-
pant entered into under section 7603 of this title. Such service
shall be provided in the full-time clinical practice of such partici-
pant’s profession or in another health-care position in an assign-
ment or location determined by the Secretary.
(b) DETERMINATION OF SERVICE COMMENCEMENT DATE.—(1)
Not later than 60 days before a participant’s service commence-
ment date, the Secretary shall notify the participant of that service
commencement date. That date is the date for the beginning of the
participant’s period of obligated service.
(2) As soon as possible after a participant’s service commence-
ment date, the Secretary shall—
(A) in the case of a participant who is not a full-time em-
ployee in the Veterans Health Administration, appoint the par-
ticipant as such an employee; and
(B) in the case of a participant who is an employee in the
Veterans Health Administration but is not serving in a posi-
tion for which the participant’s course of education or training
prepared the participant, assign the participant to such a posi-
tion.
(3)(A) In the case of a participant receiving a degree from a
school of medicine, osteopathy, dentistry, optometry, or podiatry,
the participant’s service commencement date is the date upon
which the participant becomes licensed to practice medicine, oste-
opathy, dentistry, optometry, or podiatry, as the case may be, in a
State.
(B) In the case of a participant receiving a degree from a school
of nursing, the participant’s service commencement date is the
later of—
(i) the participant’s course completion date; or
(ii) the date upon which the participant becomes licensed
as a registered nurse in a State.
(C) In the case of a participant not covered by subparagraph
(A) or (B), the participant’s service commencement date is the later
of—
(i) the participant’s course completion date; or

(ii) the date the participant meets any applicable licensure
or certification requirements.
(4) The Secretary shall by regulation prescribe the service com-
mencement date for participants who were part-time students.
Such regulations shall prescribe terms as similar as practicable to
the terms set forth in paragraph (3).
(c) COMMENCEMENT OF OBLIGATED SERVICE.—(1) Except as
provided in paragraph (2), a participant in the Program shall be
considered to have begun serving the participant’s period of obli-
gated service—
(A) on the date, after the participant’s course completion
date, on which the participant (in accordance with subsection
(b)) is appointed as a full-time employee in the Veterans
Health Administration; or
(B) if the participant is a full-time employee in the Vet-
erans Health Administration on such course completion date,
on the date thereafter on which the participant is assigned to
a position for which the participant’s course of training pre-
pared the participant.
(2) A participant in the Program who on the participant’s
course completion date is a full-time employee in the Veterans
Health Administration serving in a capacity for which the partici-
pant’s course of training prepared the participant shall be consid-
ered to have begun serving the participant’s period of obligated
service on such course completion date.
(d) COURSE COMPLETION DATE DEFINED.—In this section, the
term ‘‘course completion date’’ means the date on which a partici-
pant in the Program completes the participant’s course of education
or training under the Program.
(Added Pub. L. 105–368, title VIII, Sec. 802(a), Nov. 11, 1998, 112 Stat. 3354.)

(a) LIQUIDATED DAMAGES.—A participant in the Program
(other than a participant described in subsection (b)) who fails to
accept payment, or instructs the educational institution in which
the participant is enrolled not to accept payment, in whole or in
part, of a scholarship under the agreement entered into under sec-
tion 7603 of this title shall be liable to the United States for liq-
uidated damages in the amount of $1,500. Such liability is in addi-
tion to any period of obligated service or other obligation or liability
under the agreement.
(b) LIABILITY DURING COURSE OF EDUCATION OR TRAINING.—(1)
Except as provided in subsection (d), a participant in the Program
shall be liable to the United States for the amount which has been
paid to or on behalf of the participant under the agreement if any
of the following occurs:
(A) The participant fails to maintain an acceptable level of
academic standing in the educational institution in which the
participant is enrolled (as determined by the educational insti-
tution under regulations prescribed by the Secretary).
(B) The participant is dismissed from such educational in-
stitution for disciplinary reasons.
(C) The participant voluntarily terminates the course of

education or training in such educational institution before the
completion of such course of education or training.
(D) The participant fails to become licensed to practice
medicine, osteopathy, dentistry, podiatry, or optometry in a
State, fails to become licensed as a registered nurse in a State,
or fails to meet any applicable licensure requirement in the
case of any other health-care personnel who provide either di-
rect patient-care services or services incident to direct patient-
care services, during a period of time determined under regula-
(E) In the case of a participant who is a part-time student,
the participant fails to maintain employment, while enrolled in
the course of training being pursued by the participant, as a
Department employee.
(2) Liability under this subsection is in lieu of any service obli-
gation arising under a participant’s agreement.
(c) LIABILITY DURING PERIOD OF OBLIGATED SERVICE.—(1) Ex-
cept as provided in subsection (d), if a participant in the Program
breaches the agreement by failing for any reason to complete such
participant’s period of obligated service, the United States shall be
entitled to recover from the participant an amount determined in
accordance with the following formula: A=3Φ(t-s/t)
(2) In such formula:
(A) ‘‘A’’ is the amount the United States is entitled to re-
cover.
(B) ‘‘Φ’’ is the sum of—
(i) the amounts paid under this subchapter to or on
behalf of the participant; and
(ii) the interest on such amounts which would be pay-
able if at the time the amounts were paid they were loans
bearing interest at the maximum legal prevailing rate, as
determined by the Treasurer of the United States.
(C) ‘‘t’’ is the total number of months in the participant’s
period of obligated service, including any additional period of
obligated service in accordance with section 7673(c)(2) of this
title.
(D) ‘‘s’’ is the number of months of such period served by
the participant in accordance with section 7673 of this title.
(d) LIMITATION ON LIABILITY FOR REDUCTIONS-IN-FORCE.—Li-
ability shall not arise under subsection (b)(1)(E) or (c) in the case
of a participant otherwise covered by the subsection concerned if
the participant fails to maintain employment as a Department em-
ployee due to a staffing adjustment.
(e) PERIOD FOR PAYMENT OF DAMAGES.—Any amount of dam-
ages which the United States is entitled to recover under this sec-
tion shall be paid to the United States within the 1-year period be-
ginning on the date of the breach of the agreement.
(Added Pub. L. 105–368, title VIII, Sec. 802(a), Nov. 11, 1998, 112 Stat. 3355.)
ø§ 7676. Repealed. Pub. L. 107–135, title I, Sec. 101(a)(1), Jan.

23, 2002, 115 Stat. 2447¿
SUBCHAPTER VII—EDUCATION DEBT REDUCTION
PROGRAM
(a) IN GENERAL.—(1) As part of the Educational Assistance
Program, the Secretary may carry out an education debt reduction
program under this subchapter. The program shall be known as
the Department of Veterans Affairs Education Debt Reduction Pro-
gram (hereinafter in this subchapter referred to as the ‘‘Education
Debt Reduction Program’’).
(2) The purpose of the Education Debt Reduction Program is
to assist in the recruitment of qualified health care professionals
for positions in the Veterans Health Administration for which re-
cruitment or retention of an adequate supply of qualified personnel
is difficult.
(b) RELATIONSHIP TO EDUCATIONAL ASSISTANCE PROGRAM.—
Education debt reduction payments under the Education Debt Re-
duction Program may be in addition to other assistance available
to individuals under the Educational Assistance Program.
(a) ELIGIBILITY.—An individual is eligible to participate in the
Education Debt Reduction Program if the individual—
(1) is a recently appointed employee in the Veterans
Health Administration serving in a position (as determined by
the Secretary) providing direct-patient care services or services
incident to direct-patient care services for which recruitment or
retention of qualified health-care personnel (as so determined)
is difficult; and
(2) owes any amount of principal or interest under a loan,
the proceeds of which were used by or on behalf of that indi-
vidual to pay costs relating to a course of education or training
which led to a degree that qualified the individual for the posi-
tion referred to in paragraph (1).
(b) COVERED COSTS.—For purposes of subsection (a)(2), costs
relating to a course of education or training include—
(1) tuition expenses;
(2) all other reasonable educational expenses, including ex-
penses for fees, books, and laboratory expenses; and
(3) reasonable living expenses.
(c) RECENTLY APPOINTED INDIVIDUALS.—For purposes of sub-
section (a), an individual shall be considered to be recently ap-
pointed to a position if the individual has held that position for less
than 6 months.
amended Pub. L. 107–135, title I, Sec. 102(b), Jan. 23, 2002, 115 Stat. 2448.)
§ 7683. Education debt reduction

(a) IN GENERAL.—Education debt reduction payments under
the Education Debt Reduction Program shall consist of payments
to individuals selected to participate in the program of amounts to
reimburse such individuals for payments by such individuals of
principal and interest on loans described in section 7682(a)(2) of
this title.
(b) FREQUENCY OF PAYMENT.—(1) The Secretary may make
education debt reduction payments to any given participant in the
Education Debt Reduction Program on a monthly or annual basis,
as determined by the Secretary.
(2) The Secretary shall make such payments at the end of the
period determined by the Secretary under paragraph (1).
(c) PERFORMANCE REQUIREMENT.—The Secretary may make
education debt reduction payments to a participant in the Edu-
cation Debt Reduction Program for a period only if the Secretary
determines that the individual maintained an acceptable level of
performance in the position or positions served by the participant
during the period.
(d) MAXIMUM ANNUAL AMOUNT.—(1) Subject to paragraph (2),
the amount of education debt reduction payments made to a partic-
ipant under the Education Debt Reduction Program may not ex-
ceed $44,000 over a total of five years of participation in the Pro-
gram, of which not more than $10,000 of such payments may be
made in each of the fourth and fifth years of participation in the
Program.
(2) The total amount payable to a participant in such Program
for any year may not exceed the amount of the principal and inter-
est on loans referred to in subsection (a) that is paid by the indi-
vidual during such year.
amended Pub. L. 107–135, title I, Sec. 102(c), Jan. 23, 2002, 115 Stat. 2448.)
ø§ 7684. Repealed. Pub. L. 107–135, title I, Sec. 102(a)(1), Jan.

23, 2002, 115 Stat. 2448¿
989
CHAPTER 77—VETERANS BENEFITS ADMINISTRATION
Sec.
7701. Organization of the Administration.
7703. Functions of the Administration.

7731. Establishment.
7732. Functions.
7732A. Employee certification.
7733. Personnel.

§ 7701. Organization of the Administration
(a) There is in the Department of Veterans Affairs a Veterans
Benefits Administration. The primary function of the Veterans
Benefits Administration is the administration of nonmedical bene-
fits programs of the Department which provide assistance to vet-
erans and their dependents and survivors.
(b) The Veterans Benefits Administration is under the Under
Secretary for Benefits, who is directly responsible to the Secretary
for the operations of the Administration. The Under Secretary for
Benefits may be referred to as the Chief Benefits Director.
(Added Pub. L. 102–83, Sec. 2(b), Aug. 6, 1991, 105 Stat. 399; amended Pub. L. 102–
405, title III, Sec. 302(c)(1), (3), Oct. 9, 1992, 106 Stat. 1984.)
§ 7703. Functions of the Administration

The Veterans Benefits Administration is responsible for the ad-
ministration of the following programs of the Department:
(1) Compensation and pension programs.
(2) Vocational rehabilitation and educational assistance
programs.
(3) Veterans’ housing loan programs.
(4) Veterans’ and servicemembers’ life insurance programs.
(5) Outreach programs and other veterans’ services pro-
grams.
(Added Pub. L. 102–83, Sec. 2(b), Aug. 6, 1991, 105 Stat. 399.)
991
Sec. 7731 CH. 77—VETERANS BENEFITS ADMINISTRATION 992

§ 7731. Establishment
(a) The Secretary shall carry out a quality assurance program
in the Veterans Benefits Administration. The program may be car-
ried out through a single quality assurance division in the Admin-
istration or through separate quality assurance entities for each of
the principal organizational elements (known as ‘‘services’’) of the
Administration.
(b) The Secretary shall ensure that any quality assurance enti-
ty established and operated under subsection (a) is established and
operated so as to meet generally applicable governmental stand-
ards for independence and internal controls for the performance of
quality reviews of Government performance and results.
(c)(1) The Secretary shall enter into a contract with an inde-
pendent third-party entity to conduct, during the three-year period
beginning on the date of the enactment of the Veterans’ Benefits
Improvement Act of 2008, an assessment of the quality assurance
program carried out under subsection (a).
(2) The assessment conducted under paragraph (1) shall evalu-
ate the following:
(A) The quality and accuracy of the work of employees of
the Veterans Benefits Administration, using a statistically
valid sample of such employees and a statistically valid sample
of such work.
(B) The performance of each regional office of the Veterans
Benefits Administration.
(C) The accuracy of the disability ratings assigned under
the schedule for rating disabilities under section 1155 of this
title.
(D) The consistency of disability ratings among regional of-
fices of the Veterans Benefits Administration, based on a sam-
ple of specific disabilities.
(E) The performance of employees and managers of the
Veterans Benefits Administration.
(3) The Secretary shall develop a mechanism for the automated
gathering and producing of data that can be used to monitor and
assess trends relating to the items described in paragraph (2).
(4)(A) Beginning on the date that is six months after the date
of the enactment of the Veterans’ Benefits Improvement Act of
2008, the Secretary shall—
(i) for each claim for disability compensation under laws
administered by the Secretary submitted to the Secretary on or
after such date, retain, monitor, and store in an accessible for-
mat the data described in subparagraph (B); and
(ii) develop a demographic baseline for the data retained,
monitored, and stored under subparagraph (A).
(B) The data described in this subparagraph includes the fol-
lowing:
(i) For each claim for disability compensation under laws
administered by the Secretary submitted by a claimant—
(I) the State in which the claimant resided when the
claim was submitted;
993 CH. 77—VETERANS BENEFITS ADMINISTRATION Sec. 7733
(II) the decision of the Secretary with respect to the

claim and each issue claimed; and
(III) the regional office and individual employee of the
Department responsible for rating the claim.
(ii) The State in which the claimant currently resides.
(iii) Such other data as the Secretary determines is appro-
priate for monitoring the accuracy and consistency of decisions
with respect to such claims.
(5) Nothing in this subsection shall be construed to require the
Secretary to replace the quality assurance program under sub-
section (a) that was in effect on the day before the date of the en-
actment of this subsection.
(Added Pub. L. 106–117, Sec. 801(a)(1), Nov. 30, 1999, 113 Stat. 1585; amended
Pub. L. 110–389, title II, Sec. 224(a), Oct. 10, 2008, 122 Stat. 4157.)
§ 7732. Functions
The Under Secretary for Benefits, acting through the quality
assurance entities established under section 7731(a), shall on an
ongoing basis perform and oversee quality reviews of the functions
of each of the principal organizational elements of the Veterans
Benefits Administration.
§ 7732A. Employee certification

(a) DEVELOPMENT OF CERTIFICATION EXAMINATION.—(1) The
Secretary shall provide for an examination of appropriate employ-
ees and managers of the Veterans Benefits Administration who are
responsible for processing claims for compensation and pension
benefits under the laws administered by the Secretary.
(2) In developing the examination required by paragraph (1),
the Secretary shall—
(A) consult with appropriate individuals or entities, includ-
ing examination development experts, interested stakeholders,
and employee representatives; and
(B) consider the data gathered and produced under section
7731(c)(3) of this title.
(b) EMPLOYEE AND MANAGER REQUIREMENT.—The Secretary
shall require appropriate employees and managers of the Veterans
Benefits Administration who are responsible for processing claims
for compensation and pension benefits under the laws administered
by the Secretary to take the examination provided under sub-
section (a).
(Added Pub. L. 110–389, title II, Sec. 225(a)(1), Oct. 10, 2008, 122 Stat. 4158.)
§ 7733. Personnel
The Secretary shall ensure that the number of full-time em-
ployees of the Veterans Benefits Administration assigned to quality
assurance functions under this subchapter is adequate to perform
the quality assurance functions for which they have responsibility.
Sec. 7734 CH. 77—VETERANS BENEFITS ADMINISTRATION 994
§ 7734. Annual report to Congress

The Secretary shall include in the annual report to the Con-
gress required by section 529 of this title a report on the quality
assurance activities carried out under this subchapter. Each such
report shall include—
(1) an appraisal of the quality of services provided by the
Veterans Benefits Administration, including—
(A) the number of decisions reviewed;
(B) a summary of the findings on the decisions re-
viewed;
(C) the number of full-time equivalent employees as-
signed to quality assurance in each division or entity;
(D) specific documentation of compliance with the
standards for independence and internal control required
by section 7731(b) of this title; and
(E) actions taken to improve the quality of services
provided and the results obtained;
(2) information with respect to the accuracy of decisions,
including trends in that information; and
(3) such other information as the Secretary considers ap-
propriate.
995
CHAPTER 78—VETERANS’ CANTEEN SERVICE
Sec.
7801. Purpose of Veterans’ Canteen Service.
7802. Duties of Secretary with respect to Service.
7803. Operation of Service.
7804. Financing of Service.
7806. Budget of Service.
7807. Audit of accounts.
7808. Service to be independent unit.
7809. Child-care centers.
7810. Exemption from personnel ceilings.
§ 7801. Purpose of Veterans’ Canteen Service

The Veterans’ Canteen Service (hereinafter in this chapter re-
ferred to as the ‘‘Service’’) in the Department is an instrumentality
of the United States, created for the primary purpose of making
available to veterans of the Armed Forces who are hospitalized or
domiciled in hospitals and homes of the Department, at reasonable
prices, articles of merchandise and services essential to their com-
fort and well-being.
amended Pub. L. 102–40, title IV, Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238;
Pub. L. 102–83, Sec. 4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404; Pub. L. 107–14, Sec.
8(a)(16), June 5, 2001, 115 Stat. 35.)
§ 7802. Duties of Secretary with respect to Service

(a) LOCATIONS FOR CANTEENS.—The Secretary shall establish,
maintain, and operate canteens where deemed necessary and prac-
ticable at hospitals and homes of the Department and at other De-
partment establishments where similar essential facilities are not
reasonably available from outside commercial sources.
(b) WAREHOUSES AND STORAGE DEPOTS.—The Secretary shall
establish, maintain, and operate such warehouses and storage de-
pots as may be necessary in operating the canteens.
(c) SPACE, BUILDINGS, AND STRUCTURES.—The Secretary shall
furnish the Service for its use in connection with the establish-
ment, maintenance, and operation thereof, such space, buildings,
and structures under control of the Department as the Secretary
may consider necessary, including normal maintenance and repair
service thereon. Reasonable charges, to be determined by the Sec-
retary, shall be paid annually by the Service for the space, build-
ings, and structures so furnished, except that the Secretary may re-
duce or waive such charges whenever payment of such charges
would impair the working capital required by the Service.
997
Sec. 7802 CH. 78—VETERANS’ CANTEEN SERVICE 998
(d) EQUIPMENT, SERVICES, AND UTILITIES.—The Secretary shall

transfer to the Service without charge, rental, or reimbursement
such necessary equipment as may not be needed for other pur-
poses, and furnish the Service such services and utilities, including
light, water, and heat, as may be available and necessary for its
use. Reasonable charges, to be determined by the Secretary, shall
be paid annually by the Service for the utilities so furnished.
(e) PERSONNEL.—The Secretary shall employ such persons as
are necessary for the establishment, maintenance, and operation of
the Service, and pay the salaries, wages, and expenses of all such
employees from the funds of the Service. Personnel necessary for
the transaction of the business of the Service at canteens, ware-
houses, and storage depots shall be appointed, compensated from
funds of the Service, and removed by the Secretary without regard
to the provisions of title 5 governing appointments in the competi-
tive service and chapter 51 and subchapter III of chapter 53 of title
5. Those employees are subject to the provisions of title 5 relating
to a preference eligible described in section 2108(3) of title 5, sub-
chapter I of chapter 81 of title 5, and subchapter III of chapter 83
of title 5. An employee appointed under this section may be consid-
ered for appointment to a Department position in the competitive
service in the same manner that a Department employee in the
competitive service is considered for transfer to such position. An
employee of the Service who is appointed to a Department position
in the competitive service under the authority of the preceding sen-
tence may count toward the time-in-service requirement for a ca-
reer appointment in such position any previous period of employ-
ment in the Service.
(f) CONTRACTS AND AGREEMENTS.—The Secretary shall make
all necessary contracts or agreements to purchase or sell merchan-
dise, fixtures, equipment, supplies, and services, without regard to
section 3709 of the Revised Statutes (41 U.S.C. 5) and to do all
things necessary to carry out such contracts or agreements, includ-
ing the making of necessary adjustments and compromising of
claims in connection therewith.
(g) PRICES.—The Secretary shall fix the prices of merchandise
and services in canteens so as to carry out the purposes of this
chapter.
(h) GIFTS AND DONATIONS.—The Secretary may accept gifts
and donations of merchandise, fixtures, equipment, and supplies
for the use and benefit of the Service.
(i) RULES AND REGULATIONS.—The Secretary shall make such
rules and regulations, not inconsistent with the provisions of this
chapter, as the Secretary considers necessary or appropriate to ef-
fectuate its purposes.
(j) DELEGATION.—The Secretary may delegate such duties and
powers to employees as the Secretary considers necessary or appro-
priate, whose official acts performed within the scope of the dele-
gated authority shall have the same force and effect as though per-
formed by the Secretary.
(k) AUTHORITY TO CASH CHECKS, ETC.—The Secretary may au-
thorize the use of funds of the Service when available, subject to
such regulations as the Secretary may deem appropriate, for the
purpose of cashing checks, money orders, and similar instruments
999 CH. 78—VETERANS’ CANTEEN SERVICE Sec. 7804
in nominal amounts for the payment of money presented by vet-

erans hospitalized or domiciled at hospitals and homes of the De-
partment, and by other persons authorized by section 7803 of this
title to make purchases at canteens. Such checks, money orders,
and other similar instruments may be cashed outright or may be
accepted, subject to strict administrative controls, in payment for
merchandise or services, and the difference between the amount of
the purchase and the amount of the tendered instrument refunded
in cash.
28, 1959, 73 Stat. 258; Pub. L. 94–581, title II, Sec. 210(d), Oct. 21, 1976, 90 Stat.
2864; Pub. L. 97–295, Sec. 4(88), Oct. 12, 1982, 96 Stat. 1312; Pub. L. 99–576, title
VII, Sec. 702(13), Oct. 28, 1986, 100 Stat. 3302; renumbered Sec. 7802 and amended
Pub. L. 102–40, title IV, Sec. 402(a), (b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239;
Pub. L. 102–54, Sec. 14(e)(7), June 13, 1991, 105 Stat. 287; Pub. L. 102–83, Sec.
4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 108–170, title III,
Sec. 304, Dec. 6, 2003, 117 Stat. 2058.)
§ 7803. Operation of Service

(a) PRIMARY BENEFICIARIES.—Canteens operated by the Service
shall be primarily for the use and benefit of—
(1) veterans hospitalized or domiciled at the facilities at
which canteen services are provided; and
(2) other veterans who are enrolled under section 1705 of
this title.
(b) OTHER AUTHORIZED USERS.—Service at such canteens may
also be furnished to—
(1) personnel of the Department and recognized veterans’
organizations who are employed at a facility at which canteen
services are provided and to other persons so employed;
(2) the families of persons referred to in paragraph (1) who
reside at the facility; and
(3) relatives and other persons while visiting a person
specified in this section.
amended Pub. L. 102–40, title IV, Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238;
III, Sec. 302, Nov. 30, 1999, 113 Stat. 1572; Pub. L. 108–422, title VI, Sec. 603, Nov.
30, 2004, 118 Stat. 2397.)
§ 7804. Financing of Service

To finance the establishment, maintenance, and operation of
the Service there is hereby authorized to be appropriated, from
time to time, such amounts as are necessary to provide for (1) the
acquisition of necessary furniture, furnishings, fixtures, and equip-
ment for the establishment, maintenance, and operation of can-
teens, warehouses, and storage depots; (2) stocks of merchandise
and supplies for canteens and reserve stocks of same in warehouses
and storage depots; (3) salaries, wages, and expenses of all employ-
ees; (4) administrative and operation expenses; and (5) adequate
working capital for each canteen and for the Service as a whole.
Amounts appropriated under the authority contained in this chap-
ter and all income from canteen operations become and will be ad-
ministered as a revolving fund to effectuate the provisions of this
chapter.
Sec. 209, June 6, 1972, 86 Stat. 204; Pub. L. 99–576, title VII, Sec. 702(14), Oct.
28, 1986, 100 Stat. 3302; renumbered Sec. 7804 and amended Pub. L. 102–40, title
IV, Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238.)
§ 7805. Revolving fund

The revolving fund shall be deposited in a checking account
with the Treasury of the United States. Such amounts thereof as
the Secretary may determine to be necessary to establish and
maintain operating accounts for the various canteens may be de-
posited in checking accounts or other interest-bearing accounts in
other depositaries selected by the Secretary.
Sec. 414(a)(1), May 20, 1988, 102 Stat. 549; renumbered Sec. 7805 and amended
Pub. L. 102–40, title IV, Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 7806. Budget of Service

The Service shall prepare annually and submit a budget pro-
gram as provided for wholly owned Government corporations by
chapter 91 of title 31, which shall contain an estimate of the needs
of the Service for the ensuing fiscal year including an estimate of
the amount required to restore any impairment of the revolving
fund resulting from operations of the current fiscal year.
Sept. 13, 1982, 96 Stat. 1065; Pub. L. 100–322, title IV, Sec. 414(a)(2), May 20,
1988, 102 Stat. 549; renumbered Sec. 7806 and amended Pub. L. 102–40, title IV,
Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238.)
§ 7807. Audit of accounts

The Service shall maintain a set of accounts which shall be au-
dited by the Comptroller General in accordance with the provisions
of chapter 35 of title 31.
Sec. 704, Jan. 2, 1975, 88 Stat. 1964; Pub. L. 97–295, Sec. 4(89), Oct. 12, 1982, 96
Stat. 1312; Pub. L. 97–452, Sec. 2(e)(3), Jan. 12, 1983, 96 Stat. 2479; renumbered
Sec. 7807 and amended Pub. L. 102–40, title IV, Sec. 402(a), (b)(1), May 7, 1991,
105 Stat. 238.)
§ 7808. Service to be independent unit

It is the purpose of this chapter that, under control and super-
vision of the Secretary, the Service shall function as an inde-
pendent unit in the Department and shall have exclusive control
over all its activities including sales, procurement and supply, fi-
nance, including disbursements, and personnel management, ex-
cept as otherwise provided in this chapter.
title IV, Sec. 402(a), (b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3),
(4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 7809. Child-care centers

(a)(1) The Secretary, through the Service, shall provide for the
operation of child-care centers at Department facilities in accord-
ance with this section. The operation of such centers shall be car-
ried out to the extent that the Secretary determines, based on the
1001 CH. 78—VETERANS’ CANTEEN SERVICE Sec. 7809
demand for the care involved, that such operation is in the best in-
terest of the Department and that is practicable to do so. The cen-
ters shall be available for the children of Department employees
and, to the extent space is available, the children of other employ-
ees of the Federal Government and the children of employees of af-
filiated schools and corporations created under section 7361 of this
title.
(2) There shall be in the Service an official who is responsible
for all matters relating to the provision of child-care services under
the authority of this section.
(b) The Service shall establish reasonable charges for child-
care services provided at each child-care center operated under this
section. The charges shall be subject to the approval of the Sec-
retary. In the case of a center operated directly by the Service, the
charges with respect to the center shall be sufficient to provide for
the operating expenses of the center, including the expenses of per-
sonnel assigned to the center. In the case of a center operated by
a contractor which is a for-profit entity, the charges shall be estab-
lished by taking into consideration the value of the space and serv-
ices furnished with respect to the center under subsection (c)(1) of
this section.
(c) In connection with the establishment and operation of any
child-care center under this section, the Secretary—
(1) shall furnish, at no cost to the center, space in existing
Department facilities and utilities, custodial services, and
other services and amenities necessary (as determined by the
Secretary) for the health and safety of the children provided
care at the center;
(2) may, on a reimbursable basis, convert space furnished
under clause (1) of this subsection for use as the child-care cen-
ter and provide other items necessary for the operation of the
center, including furniture, office machines and equipment,
and telephone service, except that the Secretary may furnish
basic telephone service and surplus furniture and equipment
without reimbursement;
(3) shall provide for the participation (directly or through
a parent advisory committee) of parents of children receiving
care in the center in the establishment of policies to govern the
operation of the center and in the oversight of the implementa-
tion of such policies;
(4) shall require the development and use of a process for
determining the fitness and suitability of prospective employ-
ees of or volunteers at the center; and
(5) shall require in connection with the operation of the
center compliance with all State and local laws, ordinances,
and regulations relating to health and safety and the operation
of child-care centers.
(d) The Secretary shall prescribe regulations to carry out this
section.
(e) For the purpose of this section, the term ‘‘parent advisory
committee’’ means a committee comprised of, and selected by, the
parents of children receiving care in a child-care center operated
under this section.
(Added Pub. L. 100–322, title IV, Sec. 412(a), May 20, 1988, 102 Stat. 547, Sec.
4209; renumbered Sec. 7809 and amended Pub. L. 102–40, title IV, Sec. 402(a),
(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(e)(8), June
13, 1991, 105 Stat. 287; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991,
105 Stat. 404, 405.)
§ 7810. Exemption from personnel ceilings
Persons who are employed by the Service and compensated
from the revolving fund established by section 7804 of this title
may not be considered to be employees of the Department for the
purposes of any personnel ceiling which may otherwise be applied
to employees of the Department by the President or an official of
the executive branch.
(Added Pub. L. 100–322, title IV, Sec. 414(b)(1), May 20, 1988, 102 Stat. 549, Sec.
4210; renumbered Sec. 7810 and amended Pub. L. 102–40, title IV, Sec. 402(a),
(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), Aug.
6, 1991, 105 Stat. 404.)
1003
CHAPTER 79—INFORMATION SECURITY EDUCATION
ASSISTANCE PROGRAM
Sec.
7901. Programs; purpose.
7902. Scholarship program.
7903. Education debt reduction program.
7904. Preferences in awarding financial assistance.
7905. Requirement of honorable discharge for veterans receiving assistance.
7906. Regulations.
7907. Termination.
§ 7901. Programs; purpose
(a) IN GENERAL.—To encourage the recruitment and retention
of Department personnel who have the information security skills
necessary to meet Department requirements, the Secretary may
carry out programs in accordance with this chapter to provide fi-
nancial support for education in computer science and electrical
and computer engineering at accredited institutions of higher edu-
cation.
(b) TYPES OF PROGRAMS.—The programs authorized under this
chapter are as follows:
(1) Scholarships for pursuit of doctoral degrees in com-
puter science and electrical and computer engineering at ac-
credited institutions of higher education.
(2) Education debt reduction for Department personnel
who hold doctoral degrees in computer science and electrical
and computer engineering at accredited institutions of higher
education.
(Added Pub. L. 109–461, title IX, Sec. 903(a)(1), Dec. 22, 2006, 120 Stat. 3460.)
§ 7902. Scholarship program

(a) AUTHORITY.—(1) Subject to the availability of appropria-
tions, the Secretary may establish a scholarship program under
which the Secretary shall, subject to subsection (d), provide finan-
cial assistance in accordance with this section to a qualified per-
son—
(A) who is pursuing a doctoral degree in computer science
or electrical or computer engineering at an accredited institu-
tion of higher education; and
(B) who enters into an agreement with the Secretary as
described in subsection (b).
(2)(A) Except as provided in subparagraph (B), the Secretary
may provide financial assistance under this section to an individual
for up to five years.
1005
Sec. 7902 CH. 79—INFORMATION SECURITY EDUCATION ASSISTANCE PROGRA...1006
(B) The Secretary may waive the limitation under subpara-

graph (A) if the Secretary determines that such a waiver is appro-
priate.
(b) SERVICE AGREEMENT FOR SCHOLARSHIP RECIPIENTS.—(1) To
receive financial assistance under this section an individual shall
enter into an agreement to accept and continue employment in the
Department for the period of obligated service determined under
paragraph (2).
(2) For the purposes of this subsection, the period of obligated
service for a recipient of financial assistance under this section
shall be the period determined by the Secretary as being appro-
priate to obtain adequate service in exchange for the financial as-
sistance and otherwise to achieve the goals set forth in section
7901(a) of this title. In no event may the period of service required
of a recipient be less than the period equal to the total period of
pursuit of a degree for which the Secretary agrees to provide the
recipient with financial assistance under this section. The period of
obligated service is in addition to any other period for which the
recipient is obligated to serve on active duty or in the civil service,
as the case may be.
(3) An agreement entered into under this section by a person
pursuing a doctoral degree shall include terms that provide the fol-
lowing:
(A) That the period of obligated service begins on a date
after the award of the degree that is determined under the reg-
ulations prescribed under section 7906 of this title.
(B) That the individual will maintain satisfactory academic
progress, as determined in accordance with those regulations,
and that failure to maintain such progress constitutes grounds
for termination of the financial assistance for the individual
under this section.
(C) Any other terms and conditions that the Secretary de-
termines appropriate for carrying out this section.
(c) AMOUNT OF ASSISTANCE.—(1) The amount of the financial
assistance provided for an individual under this section shall be the
amount determined by the Secretary as being necessary to pay—
(A) the tuition and fees of the individual; and
(B) $1,500 to the individual each month (including a
month between academic semesters or terms leading to the de-
gree for which such assistance is provided or during which the
individual is not enrolled in a course of education but is pur-
suing independent research leading to such degree) for books,
laboratory expenses, and expenses of room and board.
(2) In no case may the amount of assistance provided for an
individual under this section for an academic year exceed $50,000.
(3) In no case may the total amount of assistance provided for
an individual under this section exceed $200,000.
(4) Notwithstanding any other provision of law, financial as-
sistance paid an individual under this section shall not be consid-
ered as income or resources in determining eligibility for, or the
amount of benefits under, any Federal or federally assisted pro-
gram.
(d) REPAYMENT FOR PERIOD OF UNSERVED OBLIGATED SERV-
ICE.—(1) An individual who receives financial assistance under this
1007CH. 79—INFORMATION SECURITY EDUCATION ASSISTANCE PROGRA... Sec. 7903
section shall repay to the Secretary an amount equal to the un-

earned portion of the financial assistance if the individual fails to
satisfy the requirements of the service agreement entered into
under subsection (b), except in circumstances authorized by the
Secretary.
(2) The Secretary may establish, by regulations, procedures for
determining the amount of the repayment required under this sub-
section and the circumstances under which an exception to the re-
quired repayment may be granted.
(3) An obligation to repay the Secretary under this subsection
is, for all purposes, a debt owed the United States. A discharge in
bankruptcy under title 11 does not discharge a person from such
debt if the discharge order is entered less than five years after the
date of the termination of the agreement or contract on which the
debt is based.
(e) WAIVER OR SUSPENSION OF COMPLIANCE.—The Secretary
shall prescribe regulations providing for the waiver or suspension
of any obligation of an individual for service or payment under this
section (or an agreement under this section) whenever noncompli-
ance by the individual is due to circumstances beyond the control
of the individual or whenever the Secretary determines that the
waiver or suspension of compliance is in the best interest of the
United States.
(f) INTERNSHIPS.—(1) The Secretary may offer a compensated
internship to an individual for whom financial assistance is pro-
vided under this section during a period between academic semes-
ters or terms leading to the degree for which such assistance is pro-
vided. Compensation provided for such an internship shall be in
addition to the financial assistance provided under this section.
(2) An internship under this subsection shall not be counted to-
ward satisfying a period of obligated service under this section.
(g) INELIGIBILITY OF INDIVIDUALS RECEIVING MONTGOMERY GI
BILL EDUCATION ASSISTANCE PAYMENTS.—An individual who re-
ceives a payment of educational assistance under chapter 30, 31,
32, 34, or 35 of this title or chapter 1606 or 1607 of title 10 for a
month in which the individual is enrolled in a course of education
leading to a doctoral degree in information security is not eligible
to receive financial assistance under this section for that month.
§ 7903. Education debt reduction program
(a) AUTHORITY.—Subject to the availability of appropriations,
the Secretary may establish an education debt reduction program
under which the Secretary shall make education debt reduction
payments under this section to qualified individuals eligible under
subsection (b) for the purpose of reimbursing such individuals for
payments by such individuals of principal and interest on loans de-
scribed in paragraph (2) of that subsection.
(b) ELIGIBILITY.—An individual is eligible to participate in the
program under this section if the individual—
(1) has completed a doctoral degree in computer science or
electrical or computer engineering at an accredited institution
of higher education during the five-year period preceding the
date on which the individual is hired;
Sec. 7904 CH. 79—INFORMATION SECURITY EDUCATION ASSISTANCE PROGRA...1008
(2) is an employee of the Department who serves in a posi-

tion related to information security (as determined by the Sec-
retary); and
(3) owes any amount of principal or interest under a loan,
the proceeds of which were used by or on behalf of that indi-
vidual to pay costs relating to a doctoral degree in computer
science or electrical or computer engineering at an accredited
institution of higher education.
(c) AMOUNT OF ASSISTANCE.—(1) Subject to paragraph (2), the
amount of education debt reduction payments made to an indi-
vidual under this section may not exceed $82,500 over a total of
five years, of which not more than $16,500 of such payments may
be made in each year.
(2) The total amount payable to an individual under this sec-
tion for any year may not exceed the amount of the principal and
interest on loans referred to in subsection (b)(3) that is paid by the
individual during such year.
(d) PAYMENTS.—(1) The Secretary shall make education debt
reduction payments under this section on an annual basis.
(2) The Secretary shall make such a payment—
(A) on the last day of the one-year period beginning on the
date on which the individual is accepted into the program es-
tablished under subsection (a); or
(B) in the case of an individual who received a payment
under this section for the preceding fiscal year, on the last day
of the one-year period beginning on the date on which the indi-
vidual last received such a payment.
(3) Notwithstanding any other provision of law, education debt
reduction payments under this section shall not be considered as
income or resources in determining eligibility for, or the amount of
benefits under, any Federal or federally assisted program.
(e) PERFORMANCE REQUIREMENT.—The Secretary may make
education debt reduction payments to an individual under this sec-
tion for a year only if the Secretary determines that the individual
maintained an acceptable level of performance in the position or
positions served by the individual during the year.
(f) NOTIFICATION OF TERMS OF PROVISION OF PAYMENTS.—The
Secretary shall provide to an individual who receives a payment
under this section notice in writing of the terms and conditions
that apply to such a payment.
(g) COVERED COSTS.—For purposes of subsection (b)(3), costs
relating to a course of education or training include—
(1) tuition expenses; and
(2) all other reasonable educational expenses, including
fees, books, and laboratory expenses.
§ 7904. Preferences in awarding financial assistance

In awarding financial assistance under this chapter, the Sec-
retary shall give a preference to qualified individuals who are oth-
erwise eligible to receive the financial assistance in the following
order of priority:
(1) Veterans with service-connected disabilities.
(2) Veterans.
1009CH. 79—INFORMATION SECURITY EDUCATION ASSISTANCE PROGRA... Sec. 7907
(3) Persons described in section 4215(a)(1)(B) of this title.

(4) Individuals who received or are pursuing degrees at in-
stitutions designated by the National Security Agency as Cen-
ters of Academic Excellence in Information Assurance Edu-
cation.
(5) Citizens of the United States.
§ 7905. Requirement of honorable discharge for veterans re-

ceiving assistance
No veteran shall receive financial assistance under this chap-
ter unless the veteran was discharged from the Armed Forces
under honorable conditions.
The Secretary shall prescribe regulations for the administra-
tion of this chapter.
§ 7907. Termination
The authority of the Secretary to make a payment under this
chapter shall terminate on July 31, 2017.
1011
PART VI—ACQUISITION AND DISPOSITION OF
PROPERTY
Chapter Sec.
81. Acquisition and Operation of Hospital and Domi-
ciliary Facilities; Procurement and Supply; En-
hanced-Use Leases of Real Property ...................... 8101
82. Assistance in Establishing New State Medical
Schools; Grants to Affiliated Medical Schools; As-
sistance to Health Manpower Training Institu-
tions .......................................................................... 8201
83. Acceptance of Gifts and Bequests .............................. 8301
85. Disposition of Deceased Veterans’ Personal Prop-
erty ............................................................................ 8501
1013
CHAPTER 81—ACQUISITION AND OPERATION OF HOS-
PITAL AND DOMICILIARY FACILITIES; PROCUREMENT
AND SUPPLY; ENHANCED-USE LEASES OF REAL PROP-
ERTY
SUBCHAPTER I—ACQUISITION AND OPERATION OF MEDICAL FACILITIES
Sec.
8101. Definitions.
8102. Acquisition of medical facilities.
8103. Authority to construct and alter, and to acquire sites for, medical facilities.
8104. Congressional approval of certain medical facility acquisitions.
8105. Structural requirements.
8106. Construction contracts.
8107. Operational and construction plans for medical facilities.
8108. Contributions to local authorities.
8109. Parking facilities.
8110. Operation of medical facilities.
8111. Sharing of Department of Veterans Affairs and Department of Defense
health care resources.
8111A. Furnishing of health-care services to members of the Armed Forces during
a war or national emergency.
8112. Partial relinquishment of legislative jurisdiction.
8113. Property formerly owned by National Home for Disabled Volunteer Sol-
diers.
8114. Use of federally owned facilities; use of personnel.
8115. Acceptance of certain property.
8116. Nursing home revolving fund.
8117. Emergency preparedness.
8118. Authority for transfer of real property; Department of Veterans Affairs
Capital Asset Fund.
8119. Annual report on outpatient clinics.

8121. Revolving supply fund.
8122. Authority to procure and dispose of property and to negotiate for common
services.
8123. Procurement of prosthetic appliances.
8124. Grant of easements in Government-owned lands.
8125. Procurement of health-care items.
8126. Limitation on prices of drugs procured by Department and certain other
Federal agencies.
goals and preferences.
8128. Small business concerns owned and controlled by veterans: contracting pri-
ority.
SUBCHAPTER III—STATE HOME FACILITIES FOR FURNISHING

DOMICILIARY, NURSING HOME, AND HOSPITAL CARE
8131. Definitions.
8134. General regulations.
8135. Applications with respect to projects; payments.
8136. Recapture provisions.
8137. State control of operations.
8138. Treatment of certain health facilities as State homes.
1015
Sec. 8101 CH. 81—MEDICAL FACILITY CONSTRUCTION/SUPPLIES 1016
SUBCHAPTER IV—SHARING OF MEDICAL FACILITIES, EQUIPMENT, AND

INFORMATION
8151. Statement of congressional purpose.
8152. Definitions.
8153. Sharing of health-care resources.
8154. Exchange of medical information.
8155. Pilot programs; grants to medical schools.
8156. Coordination with health services development activities carried out under
the National Health Planning and Resources Development Act of 1974.
8157. Joint title to medical equipment.
8158. Deposit in escrow.
SUBCHAPTER V—ENHANCED—USE LEASES OF REAL PROPERTY

8161. Definitions.
8162. Enhanced-use leases.
8163. Hearing and notice requirements regarding proposed leases.
8164. Authority for disposition of leased property.
8165. Use of proceeds.
8166. Construction standards.
8167. Exemption from State and local taxes.
[8168. Repealed.]
8169. Expiration.
AMENDMENT OF ANALYSIS
Pub. L. 108–422, title IV, Sec. 411(c)(2), (f), Nov. 30, 2004, 118
Stat. 2389, 2390, provided that, effective at the end of the 30-day
period beginning on the date on which the Secretary of Veterans
Affairs certifies to Congress that the Secretary is in compliance
with section 1710B(b) of this title, this analysis is amended by
striking out item 8116.
SUBCHAPTER I—ACQUISITION AND OPERATION OF
MEDICAL FACILITIES
For the purposes of this subchapter:
(1) The term ‘‘alter’’, with respect to a medical facility, means
to repair, remodel, improve, or extend such medical facility.
(2) The terms ‘‘construct’’ and ‘‘alter’’, with respect to a medical
facility, include such engineering, architectural, legal, fiscal, and
economic investigations and studies and such surveys, designs,
plans, construction documents, specifications, procedures, and other
similar actions as are necessary for the construction or alteration,
as the case may be, of such medical facility and as are carried out
after the completion of the advanced planning (including the devel-
opment of project requirements and design development) for such
facility.
(3) The term ‘‘medical facility’’ means any facility or part there-
of which is, or will be, under the jurisdiction of the Secretary for
the provision of health-care services (including hospital, nursing
home, or domiciliary care or medical services), including any nec-
essary building and auxiliary structure, garage, parking facility,
mechanical equipment, trackage facilities leading thereto, abutting
sidewalks, accommodations for attending personnel, and recreation
facilities associated therewith.
(4) The term ‘‘committee’’ means the Committee on Veterans’
Affairs of the House of Representatives or the Committee on Vet-
1017 CH. 81—MEDICAL FACILITY CONSTRUCTION/SUPPLIES Sec. 8103
erans’ Affairs of the Senate, and the term ‘‘committees’’ means both
such committees.
(Added Pub. L. 96–22, title III, Sec. 301(a), June 13, 1979, 93 Stat. 55, Sec. 5001;
405; Pub. L. 104–262, title II, Sec. 207(a), Oct. 9, 1996, 110 Stat. 3190.)
§ 8102. Acquisition of medical facilities

(a) The Secretary shall provide medical facilities for veterans
entitled to hospital, nursing home, or domiciliary care or medical
services under this title.
(b) No medical facility may be constructed or otherwise ac-
quired or altered except in accordance with the provisions of this
subchapter.
(c) In carrying out this subchapter, the Secretary—
(1) shall provide for the construction and acquisition of
medical facilities in a manner that results in the equitable dis-
tribution of such facilities throughout the United States, taking
into consideration the comparative urgency of the need for the
services to be provided in the case of each particular facility;
and
(2) shall give due consideration to excellence of architec-
ture and design.
(d) In considering the need for any project for the construction,
alteration, or acquisition (other than by exchange) of a medical fa-
cility which is expected to involve a total expenditure of more than
$2,000,000, the Secretary shall give consideration to the sharing of
health-care resources with the Department of Defense under sec-
tion 8111 of this title as an alternative to all or part of such
project.
amended Pub. L. 99–576, title II, Sec. 221(a), Oct. 28, 1986, 100 Stat. 3259; renum-
7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(f)(2), June 13, 1991, 105 Stat.
287; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8103. Authority to construct and alter, and to acquire sites

for, medical facilities
(a) Subject to section 8104 of this title, the Secretary—
(1) may construct or alter any medical facility and may ac-
quire, by purchase, lease, condemnation, donation, exchange,
or otherwise, such land or interests in land as the Secretary
considers necessary for use as the site for such construction or
alteration;
(2) may acquire, by purchase, lease, condemnation, dona-
tion, exchange, or otherwise, any facility (including the site of
such facility) that the Secretary considers necessary for use as
a medical facility; and
(3) in order to assure compliance with section 8110(a)(2) of
this title, in the case of any outpatient medical facility for
which it is proposed to lease space and for which a qualified
lessor and an appropriate leasing arrangement are available,
shall execute a lease for such facility within 12 months after
funds are made available for such purpose.
(b) Whenever the Secretary considers it to be in the interest of

the United States to construct a new medical facility to replace an
existing medical facility, the Secretary (1) may demolish the exist-
ing facility and use the site on which it is located for the site of
the new medical facility, or (2) if in the judgment of the Secretary
it is more advantageous to construct such medical facility on a dif-
ferent site in the same locality, may exchange such existing facility
and the site of such existing facility for the different site.
(c) Whenever the Secretary determines that any site acquired
for the construction of a medical facility is not suitable for that
purpose, the Secretary may exchange such site for another site to
be used for that purpose or may sell such site.
(d)(1) The Secretary may provide for the acquisition of not
more than three facilities for the provision of outpatient services or
nursing home care through lease-purchase arrangements on real
property under the jurisdiction of the Department of Veterans Af-
fairs.
(2)(A) In carrying out this subsection and notwithstanding any
other provision of law, the Secretary may lease, with or without
compensation and for a period of not to exceed 35 years, to another
party any of the real property described in paragraph (1) of this
subsection.
(B) Such real property shall be used as the site of a facility re-
ferred to in paragraph (1) of this subsection—
(i) constructed and owned by the lessee of such real prop-
erty; and
(ii) leased under paragraph (3)(A) of this subsection to the
Department for such use and for such other activities as the
Secretary determines are appropriate.
(3)(A) The Secretary may enter into a lease for the use of any
facility described in paragraph (2)(B) of this subsection for not
more than 35 years under such terms and conditions as may be in
the best interests of the Department.
(B) Each agreement to lease a facility under subparagraph (A)
of this paragraph shall include a provision that—
(i) the obligation of the United States to make payments
under the agreement is subject to the availability of appropria-
tions for that purpose; and
(ii) the ownership of such facility shall vest in the United
States at the end of such lease.
(4)(A) The Secretary may sublease any space in such a facility
to another party at a rate not less than—
(i) the rental rate paid by the Secretary for such space
under paragraph (3) of this subsection; plus
(ii) the amount the Secretary pays for the costs of admin-
istering such facility (including operation, maintenance, utility,
and rehabilitation costs) which are attributable to such space.
(B) In any such sublease, the Secretary shall include such
terms relating to default and nonperformance as the Secretary con-
siders appropriate to protect the interests of the United States.
(5) The Secretary shall use the receipts of any payment for the
lease of real property under paragraph (2) for the payment of the
lease of a facility under paragraph (3).
(6) The authority to enter into an agreement under this sub-

section—
(A) shall not take effect until the Secretary has entered
into agreements under section 316 of this title to carry out at
least three collocations; and
(B) shall expire on October 1, 1993.
amended Pub. L. 101–237, title VI, Sec. 603(b), Dec. 18, 1989, 103 Stat. 2097; re-
105 Stat. 404, 405; Pub. L. 103–446, title XII, Sec. 1201(d)(16), Nov. 2, 1994, 108
Stat. 4684.)
§ 8104. Congressional approval of certain medical facility
acquisitions
(a)(1) The purpose of this subsection is to enable Congress to
ensure the equitable distribution of medical facilities throughout
the United States, taking into consideration the comparative ur-
gency of the need for the services to be provided in the case of each
particular facility.
(2) No funds may be appropriated for any fiscal year, and the
Secretary may not obligate or expend funds (other than for advance
planning and design), for any major medical facility project or any
major medical facility lease unless funds for that project or lease
have been specifically authorized by law.
(3) For the purpose of this subsection:
(A) The term ‘‘major medical facility project’’ means a
project for the construction, alteration, or acquisition of a med-
ical facility involving a total expenditure of more than
$10,000,000, but such term does not include an acquisition by
exchange.
(B) The term ‘‘major medical facility lease’’ means a lease
for space for use as a new medical facility at an average an-
nual rental of more than $1,000,000.
(b) Whenever the President or the Secretary submit to the
Congress a request for the funding of a major medical facility
project (as defined in subsection (a)(3)(A)) or a major medical facil-
ity lease (as defined in subsection (a)(3)(B)), the Secretary shall
submit to each committee, on the same day, a prospectus of the
proposed medical facility. Any such prospectus shall include the fol-
lowing:
(1) A detailed description of the medical facility to be con-
structed, altered, leased, or otherwise acquired under this sub-
chapter, including a description of the location of such facility
and, in the case of a prospectus proposing the construction of
a new or replacement medical facility, a description of the con-
sideration that was given to acquiring an existing facility by
lease or purchase and to the sharing of health-care resources
with the Department of Defense under section 8111 of this
title.
(2) An estimate of the cost to the United States of the con-
struction, alteration, lease, or other acquisition of such facility
(including site costs, if applicable).
(3) An estimate of the cost to the United States of the
equipment required for the operation of such facility.
(4) Demographic data applicable to such facility, including

information on projected changes in the population of veterans
to be served by the facility over a five-year period and a ten-
year period.
(5) Current and projected workload and utilization data re-
garding the facility.
(6) Current and projected operating costs of the facility, in-
cluding both recurring and non-recurring costs.
(7) The priority score assigned to the project or lease under
the Department’s prioritization methodology and, if the project
or lease is being proposed for funding before a project or lease
with a higher score, a specific explanation of the factors other
than the priority score that were considered and the basis on
which the project or lease is proposed for funding ahead of
projects or leases with higher priority scores.
(8) In the case of a prospectus proposing the construction
of a new or replacement medical facility, a description of each
alternative to construction of the facility that was considered.
(c) Not less than 30 days before obligating funds for a major
medical facility project approved by a law described in subsection
(a)(2) of this section in an amount that would cause the total
amount obligated for that project to exceed the amount specified in
the law for that project (or would add to total obligations exceeding
such specified amount) by more than 10 percent, the Secretary
shall provide the committees with notice of the Secretary’s inten-
tion to do so and the reasons for the specified amount being exceed-
ed.
(d) In any case in which the Secretary proposes that funds be
used for a purpose other than the purpose for which such funds
were appropriated, the Secretary shall promptly notify each com-
mittee, in writing, of the particulars involved and the reasons why
such funds were not used for the purpose for which appropriated.
(e) The Secretary may accept gifts or donations for any of the
purposes of this subchapter.
(f) The Secretary may not obligate funds in an amount in ex-
cess of $500,000 from the Advance Planning Fund of the Depart-
ment toward design or development of a major medical facility
project (as defined in subsection (a)(3)(A)) until—
(1) the Secretary submits to the committees a report on
the proposed obligation; and
(2) a period of 30 days has passed after the date on which
the report is received by the committees.
(g) The limitation in subsection (f) does not apply to a project
for which funds have been authorized by law in accordance with
subsection (a)(2).
amended Pub. L. 99–166, title III, Sec. 301, 303, Dec. 3, 1985, 99 Stat. 954, 955;
Pub. L. 99–576, title II, Sec. 221(b), Oct. 28, 1986, 100 Stat. 3259; Pub. L. 100–322,
title IV, Sec. 422, May 20, 1988, 102 Stat. 553; renumbered Sec. 8104 and amended
L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–405,
title III, Sec. 301(a), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 103–79, Sec. 3(a), Aug.
13, 1993, 107 Stat. 771; Pub. L. 104–262, title II, Sec. 205(a), 206(a), (c), Oct. 9,
1996, 110 Stat. 3189, 3190; Pub. L. 105–368, title VII, Sec. 704, Nov. 11, 1998, 112
Stat. 3350; Pub. L. 108–170, title II, Sec. 201, Dec. 6, 2003, 117 Stat. 2047; Pub.
L. 108–422, title IV, Sec. 416, Nov. 30, 2004, 118 Stat. 2393; Pub. L. 109–461, title
VIII, Sec. 812, Dec. 22, 2006, 120 Stat. 3447; Pub. L. 110–387, title VII, Sec. 705,
Oct. 10, 2008, 122 Stat. 4138.)
§ 8105. Structural requirements

(a) Each medical facility (including each nursing home facility
for which the Secretary contracts under section 1720 of this title
and each State home facility constructed or altered under sub-
chapter III of this chapter) shall be of fire, earthquake, and other
natural disaster resistant construction in accordance with stand-
ards which the Secretary shall prescribe on a State or regional
basis after surveying appropriate State and local laws, ordinances,
and building codes and climatic and seismic conditions pertinent to
each such facility. When an existing structure is acquired for use
as a medical facility, it shall be altered to comply with such stand-
ards.
(b)(1) In order to carry out this section, the Secretary shall ap-
point an advisory committee to be known as the ‘‘Advisory Com-
mittee on Structural Safety of Department Facilities’’, on which
shall serve at least one architect and one structural engineer who
are experts in structural resistance to fire, earthquake, and other
natural disasters and who are not employees of the Federal Gov-
ernment.
(2) Such advisory committee shall advise the Secretary on all
matters of structural safety in the construction and altering of
medical facilities in accordance with the requirements of this sec-
tion and shall review and make recommendations to the Secretary
on the regulations prescribed under this section.
(3) The Associate Deputy Secretary, the Under Secretary for
Health or the designee of the Under Secretary for Health, and the
Department official charged with the responsibility for construction
shall be ex officio members of such advisory committee.
amended Pub. L. 96–128, title V, Sec. 501(e), Nov. 28, 1979, 93 Stat. 987; renum-
Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–
406; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984.)
§ 8106. Construction contracts

(a) The Secretary may carry out any construction or alteration
authorized under this subchapter by contract if the Secretary con-
siders it to be advantageous to the United States to do so.
(b)(1) The Secretary may obtain, by contract or otherwise, the
services of individuals who are architects or engineers and of archi-
tectural and engineering corporations and firms, to the extent that
the Secretary may require such services for any medical facility au-
thorized to be constructed or altered under this subchapter.
(2) No corporation, firm, or individual may be employed under
the authority of paragraph (1) of this subsection on a permanent
basis.
(c) Notwithstanding any other provision of this section, the
Secretary shall be responsible for all construction authorized under
this subchapter, including the interpretation of construction con-
tracts, the approval of materials and workmanship supplied pursu-
ant to a construction contract, approval of changes in the construc-
tion contract, certification of vouchers for payments due the con-

tractor, and final settlement of the contract.
405.)
§ 8107. Operational and construction plans for medical fa-

cilities
(a) In order to promote effective planning for the efficient pro-
vision of care to eligible veterans, the Secretary, based on the anal-
ysis and recommendations of the Under Secretary for Health, shall
submit to each committee an annual report regarding long-range
health planning of the Department. The report shall be submitted
each year not later than the date on which the budget for the next
fiscal year is submitted to the Congress under section 1105 of title
31.
(b) Each report under subsection (a) shall include the following:
(1) A five-year strategic plan for the provision of care
under chapter 17 of this title to eligible veterans through co-
ordinated networks of medical facilities operating within pre-
scribed geographic service-delivery areas, such plan to include
provision of services for the specialized treatment and rehabili-
tative needs of disabled veterans (including veterans with spi-
nal cord dysfunction, blindness, amputations, and mental ill-
ness) through distinct programs or facilities of the Department
dedicated to the specialized needs of those veterans.
(2) A description of how planning for the networks will be
coordinated.
(c) The Secretary shall submit to each committee not later than
January 31 of each year a report showing the location, space, cost,
and status of each medical facility (1) the construction, alteration,
lease, or other acquisition of which has been approved under sec-
tion 8104(a) of this title, and (2) which was uncompleted as of the
date of the last preceding report made under this subsection.
(d)(1) The Secretary shall submit to each committee, not later
than January 31 of each year, a report showing the current prior-
ities of the Department for proposed major medical construction
projects. Each such report shall identify the 20 projects, from with-
in all the projects in the Department’s inventory of proposed
projects, that have the highest priority and, for those 20 projects,
the relative priority and rank scoring of each such project and the
projected cost of such project (including the projected operating
costs, including both recurring and nonrecurring costs). The 20
projects shall be compiled, and their relative rankings shall be
shown, by category of project (including the categories of ambula-
tory care projects, nursing home care projects, and such other cat-
egories as the Secretary determines).
(2) The Secretary shall include in each report, for each project
listed, a description of the specific factors that account for the rel-
ative ranking of that project in relation to other projects within the
same category.
(3) In a case in which the relative ranking of a proposed project
has changed since the last report under this subsection was sub-
mitted, the Secretary shall also include in the report a description

of the reasons for the change in the ranking, including an expla-
nation of any change in the scoring of the project under the Depart-
ment’s scoring system for proposed major medical construction
projects.
amended Pub. L. 99–166, title III, Sec. 302(a)–(c)(1), Dec. 3, 1985, 99 Stat. 955; Pub.
L. 99–576, title II, Sec. 222, Oct. 28, 1986, 100 Stat. 3259; renumbered Sec. 8107
238, 239; Pub. L. 102–54, Sec. 14(f)(3), June 13, 1991, 105 Stat. 287; Pub. L. 102–
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–405, title III,
Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–262, title II, Sec. 204, Oct.
9, 1996, 110 Stat. 3188; Pub. L. 105–368, title X, Sec. 1005(b)(18), Nov. 11, 1998,
112 Stat. 3365; Pub. L. 108–170, title II, Sec. 203, Dec. 6, 2003, 117 Stat. 2048.)
§ 8108. Contributions to local authorities

The Secretary may make contributions to local authorities to-
ward, or for, the construction of traffic controls, road improve-
ments, or other devices adjacent to a medical facility if considered
necessary for safe ingress or egress.
405.)
§ 8109. Parking facilities

(a) For the purpose of this section—
(1) The term ‘‘garage’’ means a structure (or part of a
structure) in which vehicles may be parked.
(2) The term ‘‘parking facility’’ includes—
(A) a surface parking lot; and
(B) a garage.
(3) The term ‘‘eligible person’’ means an individual to
whom the Secretary is authorized to furnish medical examina-
tion or treatment.
(b) In order to accommodate the vehicles of employees of med-
ical facilities, vehicles used to transport veterans and eligible per-
sons to or from such facilities for the purpose of examination or
treatment, and the vehicles of visitors and other individuals having
business at such facilities, the Secretary—
(1) may construct or alter parking facilities, and may ac-
quire, by purchase, lease, condemnation, donation, exchange,
or otherwise, such land or interests in land as the Secretary
considers necessary for use as the site for any such construc-
tion or alteration;
(2) may acquire, by purchase, lease, condemnation, dona-
tion, exchange, or otherwise, any facility that the Secretary
considers necessary for use as a parking facility; and
(3) may operate and maintain parking facilities.
(c)(1) Except as provided in paragraph (2) of this subsection,
each employee, visitor, and other individual having business at a
medical facility for which parking fees have been established under
subsection (d) or (e) of this section shall be charged the applicable
parking fee for the use of a parking facility at such medical facility.
(2) A parking fee shall not be charged under this subsection for
the accommodation of any vehicle used to transport to or from a
medical facility—
(A) a veteran or eligible person in connection with such
veteran or eligible person seeking examination or treatment; or
(B) a volunteer worker (as determined in accordance with
regulations which the Secretary shall prescribe) in connection
with such worker performing services for the benefit of vet-
erans receiving care at a medical facility.
(3) The Secretary shall collect (or provide for the collection of)
parking fees charged under this subsection.
(d)(1) For each medical facility where funds from the revolving
fund described in subsection (h) of this section are expended for—
(A) a garage constructed or acquired by the Department at
a cost exceeding $500,000 (or, in the case of acquisition by
lease, $100,000 per year); or
(B) a project for the alteration of a garage at a cost exceed-
ing $500,000,
the Secretary shall prescribe a schedule of parking fees to be
charged at all parking facilities used in connection with such med-
ical facility.
(2) The parking fee schedule prescribed for a medical facility
referred to in paragraph (1) of this subsection shall be designed to
establish fees which the Secretary determines are reasonable under
the circumstances.
(e) The Secretary may prescribe a schedule of parking fees for
the parking facilities at any medical facility not referred to in sub-
section (d) of this section. Any such schedule shall be designed to
establish fees which the Secretary determines to be reasonable
under the circumstances and shall cover all parking facilities used
in connection with such medical facility.
(f) The Secretary may contract (by lease or otherwise) for the
operation of parking facilities at medical facilities under such terms
and conditions as the Secretary prescribes and may do so without
regard to laws requiring full and open competition.
(g) Subject to subsections (h) and (i) of this section, there are
authorized to be appropriated such amounts as are necessary to fi-
nance (in whole or in part) the construction, alteration, and acqui-
sition (including site acquisition) of parking facilities at medical fa-
cilities.
(h)(1) Amounts appropriated pursuant to subsection (g) of this
section and parking fees collected under subsection (c) of this sec-
tion shall be administered as a revolving fund and shall be avail-
able without fiscal year limitation.
(2) The revolving fund shall be deposited in a checking account
with the Treasurer of the United States.
graph, no funds other than funds from the revolving fund may be
expended for the construction, alteration, or acquisition (including
site acquisition) of a garage at a medical facility after September
30, 1986.
(B) Subparagraph (A) of this paragraph does not apply to the
use of funds for investigations and studies, surveys, designs, plans,
construction documents, specifications, and similar actions not di-

rectly involved in the physical construction of a structure.
(i)(1) The expenditure of funds from the revolving fund may be
made only for the construction, alteration, and acquisition (includ-
ing site acquisition) of parking facilities at medical facilities and
may be made only as provided for in appropriation Acts.
(2) For the purpose of section 8104(a)(2) of this title, a bill, res-
olution, or amendment which provides that funds in the revolving
fund (including any funds proposed in such bill, resolution, or
amendment to be appropriated to the revolving fund) may be ex-
pended for a project involving a total expenditure of more than
$4,000,000 for the construction, alteration, or acquisition (including
site acquisition) of a parking facility or facilities at a medical facil-
ity shall be considered to be a bill, resolution, or amendment mak-
ing an appropriation which may be expended for a major medical
facility project.
(j) Funds in a construction account or capital account that are
available for a construction project or a nonrecurring maintenance
project may be used for the construction or relocation of a surface
parking lot incidental to that project.
amended Pub. L. 99–576, title II, Sec. 223(a)(1), Oct. 28, 1986, 100 Stat. 3259; re-
6, 1991, 105 Stat. 404, 405; Pub. L. 103–79, Sec. 3(b), Aug. 13, 1993, 107 Stat. 771;
title VII, Sec. 705, Nov. 11, 1998, 112 Stat. 3350; Pub. L. 108–422, title IV, Sec.
415, Nov. 30, 2004, 118 Stat. 2393.)
§ 8110. Operation of medical facilities
(a)(1) The Secretary shall establish the total number of hos-
pital beds and nursing home beds in medical facilities over which
the Secretary has direct jurisdiction for the care and treatment of
eligible veterans. The Secretary shall establish the total number of
such beds so as to maintain a contingency capacity to assist the
Department of Defense in time of war or national emergency to
care for the casualties of such war or national emergency. Of the
number of beds authorized pursuant to the preceding sentence, the
Secretary shall maintain the availability of such additional beds
and facilities in addition to the operating bed level as the Secretary
considers necessary for such contingency purposes. The President
shall include in the Budget transmitted to the Congress for each
fiscal year pursuant to section 1105 of title 31, an amount for med-
ical care and amounts for construction sufficient to maintain the
availability of the contingency capacity referred to in the second
sentence of this paragraph. The Secretary shall staff and maintain,
in such a manner as to ensure the immediate acceptance and time-
ly and complete care of patients, and in a manner consistent with
the policies of the Secretary on overtime, sufficient beds and other
treatment capacities to accommodate, and provide such care to, eli-
gible veterans applying for admission and found to be in need of
hospital care or medical services.
(2) The Secretary shall maintain the bed and treatment capac-
ities of all Department medical facilities, including the staffing re-
quired to maintain such capacities, so as to ensure the accessibility
and availability of such beds and treatment capacities to eligible

veterans in all States, to minimize delays in admissions and in the
provision of hospital, nursing home, and domiciliary care, and of
medical services furnished pursuant to section 1710(a) of this title,
and to ensure that eligible veterans are provided such care and
services in an appropriate manner.
(3)(A) The Under Secretary for Health shall at the end of each
fiscal year (i) analyze agencywide admission policies and the
records of those eligible veterans who apply for hospital care, med-
ical services, and nursing home care, but are rejected or not imme-
diately admitted or provided such care or services, and (ii) review
and make recommendations regarding the adequacy of staff levels
for compliance with the policy established under subparagraph (C),
the adequacy of the established operating bed levels, the geo-
graphic distribution of operating beds, the demographic character-
istics of the veteran population and the associated need for medical
care and nursing home facilities and services in each State, and the
proportion of the total number of operating beds that are hospital
beds and that are nursing home beds.
(B) After considering the analyses and recommendations of the
Under Secretary for Health pursuant to subparagraph (A) of this
paragraph for any fiscal year, the Secretary shall report to the
committees, on or before December 1 after the close of such fiscal
year, on the results of the analysis of the Under Secretary for
Health and on the numbers of operating beds and level of treat-
ment capacities required to enable the Department to carry out the
primary function of the Veterans Health Administration. The Sec-
retary shall include in each such report recommendations for (i) the
numbers of operating beds and the level of treatment capacities re-
quired for the health care of veterans and the maintenance of the
contingency capacity referred to in paragraph (1) of this subsection,
and (ii) the appropriate staffing and funds therefor.
(C) The Secretary shall, in consultation with the Under Sec-
retary for Health, establish a nationwide policy on the staffing of
Department medical facilities in order to ensure that such facilities
have adequate staff for the provision to veterans of appropriate,
high-quality care and services. The policy shall take into account
the staffing levels and mixture of staff skills required for the range
of care and services provided veterans in Department facilities.
(4)(A) With respect to each law making appropriations for the
Department for any fiscal year (or any part of a fiscal year), there
shall be provided to the Department the funded personnel ceiling
defined in subparagraph (C) of this paragraph and the funds appro-
priated therefor.
(B) In order to carry out the provisions of subparagraph (A) of
this paragraph, the Director of the Office of Management and
Budget shall, with respect to each such law (i) provide to the De-
partment for the fiscal year (or part of a fiscal year) concerned such
funded personnel ceiling and the funds necessary to achieve such
ceiling, and (ii) submit to the appropriate committees of the Con-
gress and to the Comptroller General of the United States certifi-
cation that the Director has so provided such ceiling. Not later
than the thirtieth day after the enactment of such a law or, in the
event of the enactment of such a law more than thirty days prior
to the fiscal year for which such law makes such appropriations,
not later than the tenth day of such fiscal year, the certification re-
quired in the first sentence of this subparagraph shall be sub-
mitted, together with a report containing complete information on
the personnel ceiling that the Director has provided to the Depart-
ment for the employees described in subparagraph (C) of this para-
graph.
(C) For the purposes of this paragraph, the term ‘‘funded per-
sonnel ceiling’’ means, with respect to any fiscal year (or part of a
fiscal year), the authorization by the Director of the Office of Man-
agement and Budget to employ (under the appropriation accounts
for medical care, medical and prosthetic research, and medical ad-
ministration and miscellaneous operating expenses) not less than
the number of employees for the employment of which appropria-
tions have been made for such fiscal year (or part of a fiscal year).
(5) Notwithstanding any other provision of this title or of any
other law, funds appropriated for the Department under the appro-
priation accounts for medical care, medical and prosthetic research,
and medical administration and miscellaneous operating expenses
may not be used for, and no employee compensated from such
funds may carry out any activity in connection with, the conduct
of any study comparing the cost of the provision by private contrac-
tors with the cost of the provision by the Department of commercial
or industrial products and services for the Veterans Health Admin-
istration unless such funds have been specifically appropriated for
that purpose.
(6)(A) Temporary research personnel of the Veterans Health
Administration shall be excluded from any ceiling on full-time
equivalent employees of the Department or any other personnel
ceiling otherwise applicable to employees of the Department.
(B) For purposes of subparagraph (A) of this paragraph, the
term ‘‘temporary research personnel’’ means personnel who are em-
ployed in the Veterans Health Administration in other than a ca-
reer appointment for work on a research activity and who are not
paid by the Department or are paid from funds appropriated to the
Department to support such activity.
(b) When the Secretary determines, in accordance with regula-
tions which the Secretary shall prescribe, that a Department facil-
ity serves a substantial number of veterans with limited English-
speaking ability, the Secretary shall establish and implement pro-
cedures, upon the recommendation of the Under Secretary for
Health, to ensure the identification of sufficient numbers of individ-
uals on such facility’s staff who are fluent in both the language
most appropriate to such veterans and in English and whose re-
sponsibilities shall include providing guidance to such veterans and
to appropriate Department staff members with respect to cultural
sensitivities and bridging linguistic and cultural differences.
(c) The Secretary shall include in the materials submitted to
Congress each year in support of the budget of the Department for
the next fiscal year a report on activities and proposals involving
contracting for performance by contractor personnel of work pre-
viously performed by Department employees. The report shall—
(1) identify those specific activities that are currently per-
formed at a Department facility by more than 10 Department
employees which the Secretary proposes to study for possible

contracting involving conversion from performance by Depart-
ment employees to performance by employees of a contractor;
and
(2) identify those specific activities that have been con-
tracted for performance by contractor employees during the
prior fiscal year (shown by location, subject, scope of contracts,
and savings) and shall describe the effect of such contracts on
the quality of delivery of health services during such year.
(d) The Secretary may not in any fiscal year close more than
50 percent of the beds within a bed section (of 20 or more beds)
of a Department medical center unless the Secretary first submits
to the Committees on Veterans’ Affairs of the Senate and the
House of Representatives a report providing a justification for the
closure. No action to carry out such closure may be taken after the
submission of such report until the end of the 21-day period begin-
ning on the date of the submission of the report.
(e) The Secretary shall submit to the Committees on Veterans’
Affairs of the Senate and the House of Representatives, not later
than January 20 of each year, a report documenting by network for
the preceding fiscal year the following:
(1) The number of medical service and surgical service
beds, respectively, that were closed during that fiscal year and,
for each such closure, a description of the changes in delivery
of services that allowed such closure to occur.
(2) The number of nursing home beds that were the sub-
ject of a mission change during that fiscal year and the nature
of each such mission change.
(1) The term ‘‘closure’’, with respect to beds in a medical
center, means ceasing to provide staffing for, and to operate,
those beds. Such term includes converting the provision of such
bed care from care in a Department facility to care under con-
tract arrangements.
(2) The term ‘‘bed section’’, with respect to a medical cen-
ter, means psychiatric beds (including beds for treatment of
substance abuse and post-traumatic stress disorder), inter-
mediate, neurology, and rehabilitation medicine beds, extended
care (other than nursing home) beds, and domiciliary beds.
(3) The term ‘‘justification’’, with respect to closure of beds,
means a written report that includes the following:
(A) An explanation of the reasons for the determina-
tion that the closure is appropriate and advisable.
(B) A description of the changes in the functions to be
carried out and the means by which such care and services
would continue to be provided to eligible veterans.
(C) A description of the anticipated effects of the clo-
sure on veterans and on their access to care.
amended Pub. L. 96–151, title III, Sec. 301(a), Dec. 20, 1979, 93 Stat. 1095; Pub.
L. 97–66, title VI, Sec. 601(b), Oct. 17, 1981, 95 Stat. 1033; Pub. L. 97–72, title I,
Sec. 108, Nov. 3, 1981, 95 Stat. 1053; Pub. L. 97–306, title IV, Sec. 409(b), Oct. 14,
1982, 96 Stat. 1446; Pub. L. 97–452, Sec. 2(e)(4), Jan. 12, 1983, 96 Stat. 2479; Pub.
L. 98–160, title VII, Sec. 702(19), Nov. 21, 1983, 97 Stat. 1010; Pub. L. 98–528, title
I, Sec. 102, Oct. 19, 1984, 98 Stat. 2688; Pub. L. 99–576, title VII, Sec. 702(15), Oct.
28, 1986, 100 Stat. 3302; Pub. L. 100–322, title II, Sec. 222(a), title IV, Sec. 401(a),
May 20, 1988, 102 Stat. 531, 543; renumbered Sec. 8110 and amended Pub. L. 102–
40, title IV, Sec. 402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83,
Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 102–
405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 103–446, title XI,
Sec. 1103, title XII, Sec. 1201(b)(1), (d)(17), (g)(7), Nov. 2, 1994, 108 Stat. 4681,
4682, 4684, 4687; Pub. L. 104–66, title I, Sec. 1141(c), Dec. 21, 1995, 109 Stat. 726;
Pub. L. 104–262, title I, Sec. 101(e)(4), title III, Sec. 305, Oct. 9, 1996, 110 Stat.
3181, 3194; Pub. L. 106–117, title III, Sec. 301, Nov. 30, 1999, 113 Stat. 1571; Pub.
L. 107–135, title I, Sec. 124, Jan. 23, 2002, 115 Stat. 2452; Pub. L. 107–314, div.
A, title VII, Sec. 726(a), Dec. 2, 2002, 116 Stat. 2599.)
§ 8111. Sharing of Department of Veterans Affairs and De-

partment of Defense health care resources
(a) REQUIRED COORDINATION AND SHARING OF HEALTH CARE
RESOURCES.—The Secretary of Veterans Affairs and the Secretary
of Defense shall enter into agreements and contracts for the mutu-
ally beneficial coordination, use, or exchange of use of the health
care resources of the Department of Veterans Affairs and the De-
partment of Defense with the goal of improving the access to, and
quality and cost effectiveness of, the health care provided by the
Veterans Health Administration and the Military Health System to
the beneficiaries of both Departments.
(b) JOINT REQUIREMENTS FOR SECRETARIES OF VETERANS AF-
FAIRS AND DEFENSE.—To facilitate the mutually beneficial coordi-
nation, use, or exchange of use of the health care resources of the
two Departments, the two Secretaries shall carry out the following
functions:
(1) Develop and publish a joint strategic vision statement
and a joint strategic plan to shape, focus, and prioritize the co-
ordination and sharing efforts among appropriate elements of
the two Departments and incorporate the goals and require-
ments of the joint sharing plan into the strategic plan of each
Department under section 306 of title 5 and the performance
plan of each Department under section 1115 of title 31.
(2) Jointly fund the Department of Veterans Affairs-De-
partment of Defense Joint Executive Committee under section
320 of this title.
(3) Continue to facilitate and improve sharing between in-
dividual Department of Veterans Affairs and Department of
Defense health care facilities, but giving priority of effort to
initiatives (A) that improve sharing and coordination of health
resources at the intraregional and nationwide levels, and (B)
that improve the ability of both Departments to provide coordi-
nated health care.
(4) Establish a joint incentive program under subsection
(d).
ø(c) Repealed. Pub. L. 108–136, div. A, title V, Sec. 583(b)(1),
Nov. 24, 2003, 117 Stat. 1491.¿
(d) JOINT INCENTIVES PROGRAM.—(1) Pursuant to subsection
(b)(4), the two Secretaries shall carry out a program to identify,
provide incentives to, implement, fund, and evaluate creative co-
ordination and sharing initiatives at the facility, intraregional, and
nationwide levels. The program shall be administered by the De-
partment of Veterans Affairs-Department of Defense Joint Execu-
tive Committee, under procedures jointly prescribed by the two

Secretaries.
(2) To facilitate the incentive program, there is established in
the Treasury a fund to be known as the ‘‘DOD-VA Health Care
Sharing Incentive Fund’’. Each Secretary shall annually contribute
to the fund a minimum of $15,000,000 from the funds appropriated
to that Secretary’s Department. Such funds shall remain available
until expended and shall be available for any purpose authorized
by this section.
(3) The program under this subsection shall terminate on Sep-
tember 30, 2010.
(e) GUIDELINES AND POLICIES FOR IMPLEMENTATION OF COORDI-
NATION AND SHARING RECOMMENDATIONS, CONTRACTS, AND AGREE-
MENTS.—(1) To implement the recommendations made by the De-
partment of Veterans Affairs-Department of Defense Joint Execu-
tive Committee with respect to health care resources, as well as to
carry out other health care contracts and agreements for coordina-
tion and sharing initiatives as they consider appropriate, the two
Secretaries shall jointly issue guidelines and policy directives. Such
guidelines and policies shall provide for coordination and sharing
that—
(A) is consistent with the health care responsibilities of the
Department of Veterans Affairs under this title and with the
health care responsibilities of the Department of Defense
under chapter 55 of title 10;
(B) will not adversely affect the range of services, the qual-
ity of care, or the established priorities for care provided by ei-
ther Department; and
(C) will not reduce capacities in certain specialized pro-
grams of the Department of Veterans Affairs that the Sec-
retary is required to maintain in accordance with section
(2) To facilitate the sharing and coordination of health care
services between the two Departments, the two Secretaries shall
jointly develop and implement guidelines for a standardized, uni-
form payment and reimbursement schedule for those services. Such
schedule shall be revised periodically as necessary. The two Secre-
taries may on a case-by-case basis waive elements of the schedule
if they jointly agree that such a waiver is in the best interests of
both Departments.
(3)(A) The guidelines established under paragraph (1) shall au-
thorize the heads of individual Department of Defense and Depart-
ment of Veterans Affairs medical facilities and service regions to
enter into health care resources coordination and sharing agree-
ments.
(B) Under any such agreement, an individual who is a primary
beneficiary of one Department may be provided health care, as pro-
vided in the agreement, at a facility or in the service region of the
other Department that is a party to the sharing agreement.
(C) Each such agreement shall identify the health care re-
sources to be shared.
(D) Each such agreement shall provide, and shall specify proce-
dures designed to ensure, that the availability of direct health care
to individuals who are not primary beneficiaries of the providing
Department is (i) on a referral basis from the facility or service re-

gion of the other Department, and (ii) does not (as determined by
the head of the providing facility or region) adversely affect the
range of services, the quality of care, or the established priorities
for care provided to the primary beneficiaries of the providing De-
partment.
(E) Each such agreement shall provide that a providing De-
partment or service region shall be reimbursed for the cost of the
health care resources provided under the agreement and that the
rate of such reimbursement shall be as determined in accordance
with paragraph (2).
(F) Each proposal for an agreement under this paragraph shall
be effective (i) on the 46th day after the receipt of such proposal
by the Committee, unless earlier disapproved, or (ii) if earlier ap-
proved by the Committee, on the date of such approval.
(G) Any funds received through such a uniform payment and
reimbursement schedule shall be credited to funds that have been
allotted to the facility of either Department that provided the care
or services, or is due the funds from, any such agreement.
(f) ANNUAL JOINT REPORT.—(1) At the time the President’s
budget is transmitted to Congress in any year pursuant to section
1105 of title 31, the two Secretaries shall submit to Congress a
joint report on health care coordination and sharing activities
under this section during the fiscal year that ended during the pre-
vious calendar year.
(2) Each report under this section shall include the following:
(A) The guidelines prescribed under subsection (e) (and
any revision of such guidelines).
(B) The assessment of further opportunities identified by
the Department of Veterans Affairs-Department of Defense
Joint Executive Committee under subsection (d)(3) of section
320 of this title for the sharing of health-care resources be-
tween the two Departments.
(C) Any recommendation made by that committee under
subsection (c)(2) of that section during that fiscal year.
(D) A review of the sharing agreements entered into under
subsection (e) and a summary of activities under such agree-
ments during such fiscal year and a description of the results
of such agreements in improving access to, and the quality and
cost effectiveness of, the health care provided by the Veterans
Health Administration and the Military Health System to the
beneficiaries of both Departments.
(E) A summary of other planning and activities involving
either Department in connection with promoting the coordina-
tion and sharing of Federal health-care resources during the
preceding fiscal year.
(F) Such recommendations for legislation as the two Secre-
taries consider appropriate to facilitate the sharing of health-
care resources between the two Departments.
(3) In addition to the matters specified in paragraph (2), the
two Secretaries shall include in the annual report under this sub-
section an overall status report of the progress of health resources
sharing between the two Departments as a consequence of subtitle
C of title VII of the Bob Stump National Defense Authorization Act
for Fiscal Year 2003 (Public Law 107–314) and of other sharing ini-
tiatives taken during the period covered by the report. Such status
report shall indicate the status of such sharing and shall include
appropriate data as well as analyses of that data. The annual re-
port shall include the following:
(A) Enumerations and explanations of major policy deci-
sions reached by the two Secretaries during the period covered
by the report period with respect to sharing between the two
Departments.
(B) A description of progress made in new ventures or par-
ticular areas of sharing and coordination that would be of pol-
icy interest to Congress consistent with the intent of such sub-
title.
(C) A description of enhancements of access to care of
beneficiaries of both Departments that came about as a result
of new sharing approaches brought about by such subtitle.
(D) A description of proposals for which funds are provided
through the joint incentives program under subsection (d), to-
gether with a description of their results or status at the time
of the report, including access improvements, savings, and
quality-of-care enhancements they brought about, and a de-
scription of any additional use of funds made available under
subsection (d).
(4) In addition to the matters specified in paragraphs (2) and
(3), the two Secretaries shall include in the annual report under
this subsection for each year through 2008 the following:
(A) A description of the measures taken, or planned to be
taken, to implement the health resources sharing project under
section 722 of the Bob Stump National Defense Authorization
Act for Fiscal Year 2003 (Public Law 107–314) and any cost
savings anticipated, or cost sharing achieved, at facilities par-
ticipating in the project, including information on improve-
ments in access to care, quality, and timeliness, as well as im-
pediments encountered and legislative recommendations to
ameliorate such impediments.
(B) A description of the use of the waiver authority pro-
vided by section 722(d)(1) of the Bob Stump National Defense
Authorization Act for Fiscal Year 2003 (Public Law 107–314),
including—
(i) a statement of the numbers and types of requests
for waivers under that section of administrative policies
that have been made during the period covered by the re-
port and, for each such request, an explanation of the con-
tent of each request, the intended purpose or result of the
requested waiver, and the disposition of each request; and
(ii) descriptions of any new administrative policies
that enhance the success of the project.
(5) In addition to the matters specified in paragraphs (2), (3),
and (4), the two Secretaries shall include in the annual report
under this subsection for each year through 2009 a report on the
pilot program for graduate medical education under section 725 of
the Bob Stump National Defense Authorization Act for Fiscal Year
2003 (Public Law 107–314), including activities under the program
during the preceding year and each Secretary’s assessment of the

efficacy of providing education and training under that program.
(g) DEFINITIONS.—For the purposes of this section:
(1) The term ‘‘beneficiary’’ means a person who is a pri-
mary beneficiary of the Department of Veterans Affairs or of
the Department of Defense.
(2) The term ‘‘direct health care’’ means health care pro-
vided to a beneficiary in a medical facility operated by the De-
partment of Veterans Affairs or the Department of Defense.
(3) The term ‘‘head of a medical facility’’ (A) with respect
to a medical facility of the Department of Veterans Affairs,
means the director of the facility, and (B) with respect to a
medical facility of the Department of Defense, means the med-
ical or dental officer in charge or the contract surgeon in
charge.
(4) The term ‘‘health-care resource’’ includes hospital care,
medical services, and rehabilitative services, as those terms
are defined in paragraphs (5), (6), and (8), respectively, of sec-
tion 1701 of this title, services under sections 1782 and 1783
of this title, any other health-care service, and any health-care
support or administrative resource.
(5) The term ‘‘primary beneficiary’’ (A) with respect to the
Department means a person who is eligible under this title
(other than under section 1782, 1783, or 1784 or subsection (d)
of this section) or any other provision of law for care or services
in Department medical facilities, and (B) with respect to the
Department of Defense, means a member or former member of
the Armed Forces who is eligible for care under section 1074
of title 10.
(6) The term ‘‘providing Department’’ means the Depart-
ment of Veterans Affairs, in the case of care or services fur-
nished by a facility of the Department of Veterans Affairs, and
the Department of Defense, in the case of care or services fur-
nished by a facility of the Department of Defense.
(7) The term ‘‘service region’’ means a geographic service
area of the Veterans Health Administration, in the case of the
Department of Veterans Affairs, and a service region, in the
case of the Department of Defense.
amended Pub. L. 97–174, Sec. 3(a), (b)(1), May 4, 1982, 96 Stat. 70, 73; Pub. L. 97–
452, Sec. 2(e)(4), Jan. 12, 1983, 96 Stat. 2479; renumbered Sec. 8111 and amended
L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406;
446, title XII, Sec. 1201(g)(8), (i)(10), Nov. 2, 1994, 108 Stat. 4687, 4688; Pub. L.
107–135, title II, Sec. 208(e)(6), Jan. 23, 2002, 115 Stat. 2464; Pub. L. 107–314, div.
A, title VII, Sec. 721(a)(1), Dec. 2, 2002, 116 Stat. 2589; Pub. L. 108–136, div. A,
title V, Sec. 583(b), (c), Nov. 24, 2003, 117 Stat. 1491, 1492; Pub. L. 108–422, title
VI, Sec. 605, Nov. 30, 2004, 118 Stat. 2399; Pub. L. 109–163, div. A, title VII, Sec.
747(a), title X, Sec. 1056(g), Jan. 6, 2006, 119 Stat. 3363, 3440; Pub. L. 109–364,
div. A, title VII, Sec. 743, Oct. 17, 2006, 120 Stat. 2308; Pub. L. 109–444, Sec.
8(a)(6), (7), Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X, Secs. 1004(a)(6),
(7), 1006(b), Dec. 22, 2006, 120 Stat. 3465, 3468.)
Sec. 8111A CH. 81—MEDICAL FACILITY CONSTRUCTION/SUPPLIES 1034
§ 8111A. Furnishing of health-care services to members of

the Armed Forces during a war or national emer-
gency
(a)(1) During and immediately following a period of war, or a
period of national emergency declared by the President or the Con-
gress that involves the use of the Armed Forces in armed conflict,
the Secretary may furnish hospital care, nursing home care, and
medical services to members of the Armed Forces on active duty.
(2)(A) During and immediately following a disaster or emer-
gency referred to in subparagraph (B), the Secretary may furnish
hospital care and medical services to members of the Armed Forces
on active duty responding to or involved in that disaster or emer-
gency.
(B) A disaster or emergency referred to in this subparagraph
is any disaster or emergency as follows:
(i) A major disaster or emergency declared by the Presi-
dent under the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.).
(ii) A disaster or emergency in which the National Disaster
Medical System established pursuant to section 2811(b) of the
Public Health Service Act (42 U.S.C. 300hh-11(b)) is activated
by the Secretary of Health and Human Services under para-
graph (3)(A) of that section or as otherwise authorized by law.
(3) The Secretary may give a higher priority to the furnishing
of care and services under this section than to the furnishing of
care and services to any other group of persons eligible for care and
services in medical facilities of the Department with the exception
of veterans with service-connected disabilities.
(4) For the purposes of this section, the terms ‘‘hospital care’’,
‘‘nursing home care’’, and ‘‘medical services’’ have the meanings
given such terms by sections 1701(5), 101(28), and 1701(6) of this
title, respectively, and the term ‘‘medical services’’ includes services
(b)(1) During a period in which the Secretary is authorized to
furnish care and services to members of the Armed Forces under
subsection (a) of this section, the Secretary, to the extent author-
ized by the President and subject to the availability of appropria-
tions or reimbursements under subsection (c) of this section, may
enter into contracts with private facilities for the provision during
such period by such facilities of hospital care and medical services
described in paragraph (2) of this subsection.
(2) Hospital care and medical services referred to in paragraph
(1) of this subsection are—
(A) hospital care and medical services authorized under
this title for a veteran and necessary for the care or treatment
of a condition for which the veteran is receiving medical serv-
ices at a Department facility under subsection (a) of section
1710 of this title, in a case in which the delay involved in fur-
nishing such care or services at such Department facility or at
any other Department facility reasonably accessible to the vet-
eran would, in the judgment of the Under Secretary for Health,
be likely to result in a deterioration of such condition; and
(B) hospital care for a veteran who—
(i) is receiving hospital care under section 1710 of this

title; or
(ii) is eligible for hospital care under such section and
requires such care in a medical emergency that poses a se-
rious threat to the life or health of the veteran;
if Department facilities are not capable of furnishing or
continuing to furnish the care required because of the fur-
nishing of care and services to members of the Armed
Forces under subsection (a) of this section.
(c)(1) The cost of any care or services provided by the Depart-
ment under subsection (a) of this section shall be reimbursed to the
Department by the Department of Defense at such rates as may be
agreed upon by the Secretary and the Secretary of Defense based
on the cost of the care or services provided.
(2) Amounts received under this subsection shall be credited to
funds allotted to the Department facility that provided the care or
services.
(d)(1) The Secretary of Veterans Affairs and the Secretary of
Defense shall jointly review plans for the implementation of this
section not less often than annually.
(2) Whenever a modification to such plans is agreed to, the
Secretaries shall jointly submit to the Committees on Veterans’ Af-
fairs of the Senate and House of Representatives a report on such
modification. Any such report shall be submitted within 30 days
after the modification is agreed to.
(e) The Secretary shall prescribe regulations to govern any ex-
ercise of the authority of the Secretary under subsections (a) and
(b) of this section and of the Under Secretary for Health under sub-
section (b)(2)(A) of this section.
(Added Pub. L. 97–174, Sec. 4(a), May 4, 1982, 96 Stat. 74, Sec. 5011A; renumbered
Sec. 8111A, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238;
amended Pub. L. 102–54, Sec. 14(f)(4), June 13, 1991, 105 Stat. 287; Pub. L. 102–
83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L.
102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106 Stat. 1984; Pub. L. 104–262, title
I, Sec. 101(e)(5), Oct. 9, 1996, 110 Stat. 3181; Pub. L. 106–419, title IV, Sec. 403(b),
Nov. 1, 2000, 114 Stat. 1864; Pub. L. 107–135, title II, Sec. 208(e)(7), Jan. 23, 2002,
115 Stat. 2464; Pub. L. 107–287, Sec. 4(b), Nov. 7, 2002, 116 Stat. 2029; Pub. L.
109–444, Sec. 8(a)(8), Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title X, Secs.
1004(a)(8), 1006(b), Dec. 22, 2006, 120 Stat. 3466, 3468.)
§ 8112. Partial relinquishment of legislative jurisdiction

The Secretary, on behalf of the United States, may relinquish
to the State in which any lands or interests therein under the su-
pervision or control of the Secretary are situated, such measure of
legislative jurisdiction over such lands or interests as is necessary
to establish concurrent jurisdiction between the Federal Govern-
ment and the State concerned. Such partial relinquishment of leg-
islative jurisdiction shall be initiated by filing a notice thereof with
the Governor of the State concerned, or in such other manner as
may be prescribed by the laws of such State, and shall take effect
upon acceptance by such State.
405.)
§ 8113. Property formerly owned by National Home for Dis-

abled Volunteer Soldiers
If by reason of any defeasance or conditional clause or clauses
contained in any deed of conveyance of property to the National
Home for Disabled Volunteer Soldiers, which property is owned by
the United States, the full and complete enjoyment and use of such
property is threatened, the Attorney General, upon request of the
President, shall institute in the United States district court for the
district in which the property is located such proceedings as may
be proper to extinguish all outstanding adverse interests. The At-
torney General may procure and accept, on behalf of the United
States, by gift, purchase, cession, or otherwise, absolute title to,
and complete jurisdiction over, all such property.
Stat. 238.)
§ 8114. Use of federally owned facilities; use of personnel

(a) The Secretary, subject to the approval of the President, may
use as medical facilities such suitable buildings, structures, and
grounds owned by the United States on March 3, 1925, as may be
available for such purposes, and the President may by Executive
order transfer any such buildings, structures, and grounds to the
control and jurisdiction of the Department upon the request of the
Secretary.
(b) The President may require the architectural, engineering,
constructing, or other forces of any of the departments of the Gov-
ernment to do or assist in the construction and alteration of med-
ical facilities, and the President may employ for such purposes in-
dividuals and agencies not connected with the Government, if in
the opinion of the President such is desirable, at such compensa-
tion as the President may consider reasonable.
Stat. 238; amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105
Stat. 404, 405.)
§ 8115. Acceptance of certain property

The President may accept from any State or other political
subdivision, or from any person, any building, structure, equip-
ment, or grounds suitable for the care of disabled persons, with due
regard to fire or other hazards, state of repair, and all other perti-
nent considerations. The President may designate which agency of
the Federal Government shall have the control and management of
any property so accepted.
Stat. 238.)
§ 8116. Nursing home revolving fund

(a)(1) Amounts realized from a transfer pursuant to section
8122(a)(2)(C) of this title shall be administered as a revolving fund
and shall be available without fiscal year limitation.
(2) The revolving fund shall be deposited in a checking account

with the Treasurer of the United States.
(b)(1) The expenditure of funds from the revolving fund may be
made only for the construction, alteration, and acquisition (includ-
ing site acquisition) of nursing home facilities and may be made
only as provided for in appropriation Acts.
(2) For the purpose of section 8104(a)(2) of this title, a bill, res-
olution, or amendment which provides that funds in the revolving
fund may be expended for a project involving a total expenditure
of more than $2,000,000 for the construction, alteration, or acquisi-
tion (including site acquisition) of a nursing home facility shall be
considered to be a bill, resolution, or amendment making an appro-
priation which may be expended for a major medical facility
project.
May 7, 1991, 105 Stat. 238, 239.)
REPEAL OF SECTION
Pub. L. 108–422, title IV, Sec. 411(c)(1),(f), Nov. 30, 2004, 118
Stat. 2389, 2390, provided that this section is repealed effective at
the end of the 30-day period beginning on the date on which the
Secretary of Veterans Affairs certifies to Congress that the Sec-
retary is in compliance with section 1710B(b) of this title.
EFFECTIVE DATE OF REPEAL
Repeal effective at the end of the 30-day period beginning on
the date on which the Secretary of Veterans Affairs certifies to
Congress that the Secretary is in compliance with section 1710B(b)
of this title, see section 411(f) of Pub. L. 108–422, set out as an Ef-
fective Date of 2004 Amendment note under section 1710B of this
title.
§ 8117. Emergency preparedness
(a) READINESS OF DEPARTMENT MEDICAL CENTERS.—(1) The
Secretary shall take appropriate actions to provide for the readi-
ness of Department medical centers to protect the patients and
staff of such centers from a public health emergency (as defined in
section 2801 of the Public Health Service Act) or otherwise to re-
spond to such an emergency so as to enable such centers to fulfill
their obligations as part of the Federal response to such emer-
gencies.
(2) Actions under paragraph (1) shall include—
(A) the provision of decontamination equipment and per-
sonal protection equipment at Department medical centers;
(B) the provision of training in the use of such equipment
to staff of such centers;
(C) organizing, training, and equipping the staff of such
centers to support the activities carried out by the Secretary of
Health and Human Services under section 2801 of the Public
Health Service Act in the event of a public health emergency
and incidents covered by the National Response Plan devel-
oped pursuant to section 502(6) of the Homeland Security Act

of 2002, or any successor plan; and
(D) providing medical logistical support to the National
Disaster Medical System and the Secretary of Health and
Human Services as necessary, on a reimbursable basis, and in
coordination with other designated Federal agencies.
(b) SECURITY AT DEPARTMENT MEDICAL AND RESEARCH FACILI-
TIES.—(1) The Secretary shall take appropriate actions to provide
for the security of Department medical centers and research facili-
ties, including staff and patients at such centers and facilities.
(2) In taking actions under paragraph (1), the Secretary shall
take into account the results of the evaluation of the security needs
at Department medical centers and research facilities required by
section 154(b)(1) of the Public Health Security and Bioterrorism
Preparedness and Response Act of 2002 (Public Law 107–188; 116
Stat. 631), including the results of such evaluation relating to the
following needs:
(A) Needs for the protection of patients and medical staff
during emergencies, including a chemical or biological attack
or other terrorist attack.
(B) Needs, if any, for screening personnel engaged in re-
search relating to biological pathogens or agents, including
work associated with such research.
(C) Needs for securing laboratories or other facilities en-
gaged in research relating to biological pathogens or agents.
(c) TRACKING OF PHARMACEUTICALS AND MEDICAL SUPPLIES
AND EQUIPMENT.—The Secretary shall develop and maintain a cen-
tralized system for tracking the current location and availability of
pharmaceuticals, medical supplies, and medical equipment
throughout the Department health care system in order to permit
the ready identification and utilization of such pharmaceuticals,
supplies, and equipment for a variety of purposes, including re-
sponse to a public health emergency. The Secretary shall, through
existing medical procurement contracts, and on a reimbursable
basis, make available as necessary, medical supplies, equipment,
and pharmaceuticals in response to a public health emergency in
support of the Secretary of Health and Human Services.
(d) TRAINING.—The Secretary shall ensure that the Depart-
ment medical centers, in consultation with the accredited medical
school affiliates of such medical centers, implement curricula to
train resident physicians and health care personnel in medical
matters relating to public health emergencies or attacks from an
incendiary or other explosive weapon consistent with section
319F(a) of the Public Health Service Act.
(e) PARTICIPATION IN NATIONAL DISASTER MEDICAL SYSTEM.—
(1) The Secretary shall establish and maintain a training program
to facilitate the participation of the staff of Department medical
centers, and of the community partners of such centers, in the Na-
tional Disaster Medical System established pursuant to section
2812 of the Public Health Service Act (42 U.S.C. 300hh-11(b) 1 ).
(2) The Secretary shall establish and maintain the training
program under paragraph (1) in accordance with the recommenda-
1Term ‘‘(b)’’ probably should not appear.
tions of the working group on the prevention, preparedness, and re-

sponse to public health emergencies established under section 319F
of the Public Health Service Act (42 U.S.C. 247d-6(a) 2 ).
(3) The Secretary shall establish and maintain the training
program under paragraph (1) in consultation with the following:
(A) The Secretary of Defense.
(B) The Secretary of Health and Human Services.
(C) The Administrator of the Federal Emergency Manage-
ment Agency.
(f) MENTAL HEALTH COUNSELING.—(1) With respect to activi-
ties conducted by personnel serving at Department medical centers,
the Secretary shall develop and maintain various strategies for pro-
viding mental health counseling and assistance, including coun-
seling and assistance for post-traumatic stress disorder, following
a bioterrorist attack or other public health emergency to the fol-
lowing persons:
(A) Veterans.
(B) Local and community emergency response providers.
(C) Active duty military personnel.
(D) Individuals seeking care at Department medical cen-
ters.
(2) The strategies under paragraph (1) shall include the fol-
lowing:
(A) Training and certification of providers of mental health
counseling and assistance.
(B) Mechanisms for coordinating the provision of mental
health counseling and assistance to emergency response pro-
viders referred to in paragraph (1).
(3) The Secretary shall develop and maintain the strategies
under paragraph (1) in consultation with the Secretary of Health
and Human Services, the American Red Cross, and the working
group referred to in subsection (e)(2).
(g) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated, such sums as may be necessary to carry out
this section for each of fiscal years 2007 through 2011.
L. 109–295, title VI, Sec. 612(c), Oct. 4, 2006, 120 Stat. 1410; Pub. L. 109–417, title
III, Sec. 306, Dec. 19, 2006, 120 Stat. 2863; Pub. L. 110–387, title IX, Sec. 901(a)(7),
Oct. 10, 2008, 122 Stat. 4142.)
§ 8118. Authority for transfer of real property; Department

of Veterans Affairs Capital Asset Fund
(a)(1) The Secretary may transfer real property under the ju-
risdiction or control of the Secretary (including structures and
equipment associated therewith) to another department or agency
of the United States, to a State (or a political subdivision of a
State), or to any public or private entity, including an Indian tribe.
Such a transfer may be made only if the Secretary receives com-
pensation of not less than the fair market value of the property, ex-
cept that no compensation is required, or compensation at less than
fair market value may be accepted, in the case of a transfer to a
grant and per diem provider (as defined in section 2002 of this
2Term ‘‘(a)’’ probably should not appear.
title). When a transfer is made to a grant and per diem provider

for less than fair market value, the Secretary shall require in the
terms of the conveyance that if the property transferred is used for
any purpose other than a purpose under chapter 20 of this title,
all right, title, and interest to the property shall revert to the
United States.
(2) The Secretary may exercise the authority provided by this
section notwithstanding sections 521, 522, and 541 through 545 of
title 40. Any such transfer shall be in accordance with this section
and section 8122 of this title.
(3) The authority provided by this section may not be used in
a case to which section 8164 of this title applies.
(4) The Secretary may enter into partnerships or agreements
with public or private entities dedicated to historic preservation to
facilitate the transfer, leasing, or adaptive use of structures or
properties specified in subsection (b)(3)(D).
(5) The authority of the Secretary under paragraph (1) expires
on the date that is seven years after the date of the enactment of
this section.
(b)(1) There is established in the Treasury of the United States
a revolving fund to be known as the Department of Veterans Af-
fairs Capital Asset Fund (hereinafter in this section referred to as
the ‘‘Fund’’). Amounts in the Fund shall remain available until ex-
pended.
(2) Proceeds from the transfer of real property under this sec-
tion shall be deposited into the Fund.
(3) To the extent provided in advance in appropriations Acts,
amounts in the Fund may be expended for the following purposes:
(A) Costs associated with the transfer of real property
under this section, including costs of demolition, environmental
remediation, maintenance and repair, improvements to facili-
tate the transfer, and administrative expenses.
(B) Costs, including costs specified in subparagraph (A),
associated with future transfers of property under this section.
(C) Costs associated with enhancing medical care services
to veterans by improving, renovating, replacing, updating, or
establishing patient care facilities through construction
projects to be carried out for an amount less than the amount
specified in 8104(a)(3)(A) for a major medical facility project.
(D) Costs, including costs specified in subparagraph (A),
associated with the transfer, lease, or adaptive use of a struc-
ture or other property under the jurisdiction of the Secretary
that is listed on the National Register of Historic Places.
(c) The Secretary shall include in the budget justification mate-
rials submitted to Congress for any fiscal year in support of the
President’s budget for that fiscal year for the Department specifica-
tion of the following:
(1) The real property transfers to be undertaken in accord-
ance with this section during that fiscal year.
(2) All transfers completed under this section during the
preceding fiscal year and completed and scheduled to be com-
pleted during the fiscal year during which the budget is sub-
mitted.
(3) The deposits into, and expenditures from, the Fund

that are incurred or projected for each of the preceding fiscal
year, the current fiscal year, and the fiscal year covered by the
budget.
(Added Pub. L. 108–422, title IV, Sec. 411(a)(1), Nov. 30, 2004, 118 Stat. 2388.)
§ 8119. Annual report on outpatient clinics
(a) ANNUAL REPORT REQUIRED.—The Secretary shall submit to
the committees an annual report on community-based outpatient
clinics and other outpatient clinics of the Department. The report
shall be submitted each year not later than the date on which the
budget for the next fiscal year is submitted to the Congress under
(b) CONTENTS OF REPORT.—Each report required under sub-
(1) A list of each community-based outpatient clinic and
other outpatient clinic of the Department, and for each such
clinic, the type of clinic, location, size, number of health profes-
sionals employed by the clinic, workload, whether the clinic is
leased or constructed and operated by the Secretary, and the
annual cost of operating the clinic.
(2) A list of community-based outpatient clinics and other
outpatient clinics that the Secretary opened during the fiscal
year preceding the fiscal year during which the report is sub-
mitted and a list of clinics the Secretary proposes opening dur-
ing the fiscal year during which the report is submitted and
the subsequent fiscal year, together with the cost of activating
each such clinic and the information required to be provided
under paragraph (1) for each such clinic and proposed clinic.
(3) A list of proposed community-based outpatient clinics
and other outpatient clinics that are, as of the date of the sub-
mission of the report, under review by the National Review
Panel and a list of possible locations for future clinics identi-
fied in the Department’s strategic planning process, including
any identified locations in rural and underserved areas.
(4) A prioritized list of sites of care identified by the Sec-
retary that the Secretary could establish without carrying out
construction or entering into a lease, including—
(A) any such sites that could be expanded by hiring
additional staff or allocating staff to Federal facilities or
facilities operating in collaboration with the Federal Gov-
ernment; and
(B) any sites established, or able to be established,

§ 8121. Revolving supply fund
(a) The revolving supply fund established for the operation and
maintenance of a supply system for the Department (including pro-
curement of supplies, equipment, and personal services and the re-
pair and reclamation of used, spent, or excess personal property)
shall be—
(1) available without fiscal year limitations for all expenses

necessary for the operation and maintenance of such supply
system;
(2) reimbursed from appropriations for the cost of all serv-
ices, equipment, and supplies furnished, at rates determined
by the Secretary on the basis of estimated or actual direct cost
(which may be based on the cost of recent significant purchases
of the equipment or supply item involved) and indirect cost;
and
(3) credited with advances from appropriations for activi-
ties to which services or supplies are to be furnished, and all
other receipts resulting from the operation of the fund, includ-
ing property returned to the supply system when no longer re-
quired by activities to which it had been furnished, the pro-
ceeds of disposal of scrap, excess or surplus personal property
of the fund, and receipts from carriers and others for loss of
or damage to personal property.
(b) The Secretary may authorize the Secretary of Defense to
make purchases through the fund in the same manner as activities
of the Department. When services, equipment, or supplies are fur-
nished to the Secretary of Defense through the fund, the reim-
bursement required by paragraph (2) of subsection (a) shall be
made from appropriations made to the Department of Defense, and
when services or supplies are to be furnished to the Department of
Defense, the fund may be credited, as provided in paragraph (3) of
subsection (a), with advances from appropriations available to the
Department of Defense.
(c) At the end of each fiscal year, there shall be covered into
the Treasury of the United States as miscellaneous receipts such
amounts as the Secretary determines to be in excess of the require-
ments necessary for the maintenance of adequate inventory levels
and for the effective financial management of the revolving supply
fund.
(d) An adequate system of accounts for the fund shall be main-
tained on the accrual method, and financial reports prepared on
the basis of such accounts. An annual business type budget shall
be prepared for operations under the fund.
(e) The Secretary is authorized to capitalize, at fair and reason-
able values as determined by the Secretary, all supplies and mate-
rials and depot stocks of equipment on hand or on order.
(Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1253, Sec. 5011; amended Pub. L. 87–314,
Sept. 26, 1961, 75 Stat. 675; Pub. L. 94–581, title II, Sec. 210(e)(6), Oct. 21, 1976,
90 Stat. 2865; renumbered Sec. 5021, Pub. L. 96–22, title III, Sec. 301(b)(1), June
13, 1979, 93 Stat. 61; Pub. L. 96–330, title IV, Sec. 402(a), Aug. 26, 1980, 94 Stat.
105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat.
404, 405; Pub. L. 108–170, title IV, Sec. 403(a), Dec. 6, 2003, 117 Stat. 2062.)
§ 8122. Authority to procure and dispose of property and to

negotiate for common services
(a)(1) The Secretary may lease for a term not exceeding three
years lands or buildings, or parts or parcels thereof, belonging to
the United States and under the Secretary’s control. Any lease
made pursuant to this subsection to any public or nonprofit organi-
zation may be made without regard to the provisions of section
3709 of the Revised Statutes (41 U.S.C. 5). Notwithstanding section

1302 of title 40, or any other provision of law, a lease made pursu-
ant to this subsection to any public or nonprofit organization may
provide for the maintenance, protection, ore restoration, by the les-
see, of the property leased, as a part or all of the consideration for
the lease. Prior to the execution of any such lease, the Secretary
shall give appropriate public notice of the Secretary’s intention to
do so in the newspaper of the community in which the lands or
buildings to be leased are located. The proceeds from such leases,
less expenses for maintenance, operation, and repair of buildings
leased for living quarters, shall be covered into the Treasury of the
United States as miscellaneous receipts.
(2) Except as provided in paragraph (3), the Secretary may not
during any fiscal year transfer to any other department or agency
of the United States or to any other entity real property that is
owned by the United States and administered by the Secretary un-
less the proposed transfer is described in the budget submitted to
Congress pursuant to section 1105 of title 31 for that fiscal year.
(3)(A) Subject to subparagraph (B) of this paragraph, the Sec-
retary may, without regard to paragraph (2) of this subsection or
any other provision of law relating to the disposition of real prop-
erty by the United States, transfer to a State for use as the site
of a State nursing-home or domiciliary facility real property de-
scribed in subparagraph (E) of this paragraph which the Secretary
determines to be excess to the needs of the Department.
(B) A transfer of real property may not be made under this
paragraph unless—
(i) the Secretary has determined that the State has pro-
vided sufficient assurance that it has the resources (including
any resources which are reasonably likely to be available to the
State under subchapter III of chapter 81 of this title and sec-
tion 1741 of this title) necessary to construct and operate a
State home nursing or domiciliary care facility; and
(ii) the transfer is made subject to the conditions (I) that
the property be used by the State for a nursing-home or domi-
ciliary care facility in accordance with the conditions and limi-
tations applicable to State home facilities constructed with as-
sistance under subchapter III of chapter 81 of this title, and
(II) that, if the property is used at any time for any other pur-
pose, all right, title, and interest in and to the property shall
revert to the United States.
(C) A transfer of real property may not be made under this
paragraph until—
(i) the Secretary submits to the Committees on Veterans’
Affairs of the Senate and House of Representatives, not later
than June 1 of the year in which the transfer is proposed to
be made (or the year preceding that year), a report providing
notice of the proposed transfer; and
(ii) a period of 90 consecutive days elapses after the report
is received by those committees.
(D) A transfer under this paragraph shall be made under such
additional terms and conditions as the Secretary considers appro-
priate to protect the interests of the United States.
(E) Real property described in this subparagraph is real prop-

erty that is owned by the United States and administered by the
Secretary.
(b) The Secretary may, for the purpose of extending benefits to
veterans and dependents, and to the extent the Secretary deems
necessary, procure the necessary space for administrative purposes
by lease, purchase, or construction of buildings, or by condemnation
or declaration of taking, pursuant to law.
(c) The Secretary may procure laundry services, and other com-
mon services as specifically approved by the Secretary from non-
profit, tax-exempt educational, medical or community institutions,
without regard to the requirements of section 302(c) of the Federal
Property and Administrative Services Act of 1949, as amended (41
U.S.C. 252(c)), whenever such services are not reasonably available
from private commercial sources. Notwithstanding this exclusion,
the provisions of section 304 of that Act (41 U.S.C. 254) shall apply
to procurement authorized by this subsection.
(d)(1) Real property under the jurisdiction of the Secretary may
not be declared excess by the Secretary and disposed of by the Gen-
eral Services Administration or any other entity of the Federal
Government unless the Secretary determines that the property is
no longer needed by the Department in carrying out its functions
and is not suitable for use for the provision of services to homeless
veterans by the Department or by another entity under an en-
hanced-use lease of such property under section 8162 of this title.
(2) The Secretary may transfer real property under this sec-
tion, or under section 8118 of this title, if the Secretary—
(A) places a notice in the real estate section of local news-
papers and in the Federal Register of the Secretary’s intent to
transfer that real property (including land, structures, and
equipment associated with the property);
(B) holds a public hearing;
(C) provides notice to the Administrator of General Serv-
ices of the Secretary’s intention to transfer that real property
and waits for 30 days to elapse after providing that notice; and
(D) after such 30-day period has elapsed, notifies the con-
gressional veterans’ affairs committees of the Secretary’s inten-
tion to dispose of the property and waits for 60 days to elapse
from the date of that notice.
title II, Sec. 202(a), (b), Nov. 7, 1966, 80 Stat. 1373; Pub. L. 93–82, title III, Sec.
302(2), Aug. 2, 1973, 87 Stat. 195; Pub. L. 94–581, title II, Sec. 210(e)(7), Oct. 21,
1976, 90 Stat. 2865; renumbered Sec. 5022 and amended Pub. L. 96–22, title III,
Sec. 301(b), June 13, 1979, 93 Stat. 61; Pub. L. 96–330, title IV, Sec. 403(a), Aug.
26, 1980, 94 Stat. 1052; Pub. L. 97–295, Sec. 4(91), Oct. 12, 1982, 96 Stat. 1313;
Pub. L. 98–160, title IV, Sec. 401, Nov. 21, 1983, 97 Stat. 1004; Pub. L. 100–322,
title IV, Sec. 421(a)(1), May 20, 1988, 102 Stat. 552; Pub. L. 100–687, div. B, title
XV, Sec. 1505, Nov. 18, 1988, 102 Stat. 4135; renumbered Sec. 8122 and amended
L. 102–54, Sec. 14(f)(5), June 13, 1991, 105 Stat. 288; Pub. L. 102–83, Sec. 4(a)(1),
(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105 Stat. 403–406; Pub. L. 107–95, Sec.
10(a), Dec. 21, 2001, 115 Stat. 920; Pub. L. 107–217, Sec. 3(j)(3), Aug. 21, 2002, 116
Stat. 1300; Pub. L. 108–422, title IV, Sec. 411(e)(1), (2), Nov. 30, 2004, 118 Stat.
2389.)
§ 8123. Procurement of prosthetic appliances

The Secretary may procure prosthetic appliances and nec-
essary services required in the fitting, supplying, and training and
use of prosthetic appliances by purchase, manufacture, contract, or
in such other manner as the Secretary may determine to be proper,
without regard to any other provision of law.
title II, Sec. 210(e)(8), Oct. 21, 1976, 90 Stat. 2865; renumbered Sec. 5023, Pub. L.
96–22, title III, Sec. 301(b)(1), June 13, 1979, 93 Stat. 61; renumbered Sec. 8123,
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8124. Grant of easements in Government-owned lands

The Secretary, whenever the Secretary deems it advantageous
to the Government and upon such terms and conditions as the Sec-
retary deems advisable, may grant on behalf of the United States
to any State, or any agency or political subdivision thereof, or to
any public-service company, easements in and rights-of-way over
lands belonging to the United States which are under the Sec-
retary’s supervision and control. Such grant may include the use of
such easements or rights-of-way by public utilities to the extent au-
thorized and under the conditions imposed by the laws of such
State relating to use of public highways. Such partial, concurrent,
or exclusive jurisdiction over the areas covered by such easements
or rights-of-way, as the Secretary deems necessary or desirable, is
hereby ceded to the State in which the land is located. The Sec-
retary may accept or secure on behalf of the United States from the
State in which is situated any land conveyed in exchange for any
such easement or right-of-way, such jurisdiction as the Secretary
may deem necessary or desirable over the land so acquired. Any
such easement or right-of-way shall be terminated upon abandon-
ment or nonuse of the same and all right, title, and interest in the
land covered thereby shall thereupon revert to the United States
or its assignee.
title II, Sec. 210(e)(9), Oct. 21, 1976, 90 Stat. 2865; renumbered Sec. 5024, Pub. L.
96–22, title III, Sec. 301(b)(1), June 13, 1979, 93 Stat. 61; renumbered Sec. 8124,
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8125. Procurement of health-care items

(a) Except as provided in subsections (b) and (c) of this section,
the Secretary may not procure health-care items under local con-
tracts.
(b)(1) A health-care item for use by the Department may be
procured under a local contract if—
(A) the procurement is within the limits prescribed in
paragraph (3) of this subsection; and
(B)(i) the item is not otherwise available to the Depart-
ment medical center concerned,
(ii) procurement of the item by a local contract is necessary
for the effective furnishing of health-care services or the con-
duct of a research or education program at a Department med-
ical center, as determined by the director of the center in ac-
cordance with regulations which the Under Secretary for

Health shall prescribe, or
(iii) procurement under a local contract is demonstrably
more cost-effective for the item.
(2) In the case of the need for an emergency procurement of a
health-care item, such item may be procured under a local contract,
but no greater quantity of such item may be procured by a local
contract than is reasonably necessary to meet the emergency need
and the reasonably foreseeable need for the item at the medical
center concerned until resupply can be achieved through procure-
ment actions other than emergency procurement.
(3)(A) Except as provided in subparagraphs (C) and (D) of this
paragraph, not more than 20 percent of the total of all health-care
items procured by the Department in any fiscal year (measured as
a percent of the total cost of all such health-care items procured by
the Department in that fiscal year) may be procured under local
contracts.
(B) Local contracts for the procurement of health-care items
shall, to the maximum extent feasible, be awarded to regular deal-
ers or manufacturers engaged in the wholesale supply of such
items.
(C) The Secretary may increase for a fiscal year the percentage
specified in subparagraph (A) of this section to a percentage not
greater than 30 percent if the Secretary, based on the experience
of the Department during the two fiscal years preceding such fiscal
year, determines that the increase and the amount of the increase
are necessary in the interest of the effective furnishing of health-
care services by the Department. The authority to increase such
percentage may not be delegated.
(D) Items procured through an emergency procurement shall
not be counted for the purpose of this paragraph.
(c) A provision of law that is inconsistent with subsection (a)
or (b) of this section shall not apply, to the extent of the inconsist-
ency, to the procurement of a health-care item for use by the De-
partment.
(d)(1) Not later than December 1 of each year, the director of
each Department medical center shall transmit to the Secretary a
report containing a list indicating the quantity of each health-care
item procured at that medical center under a local contract during
the preceding fiscal year and the total amount paid for such item
during such fiscal year.
(2) Not later than February 1 of each year, the Secretary shall
submit to the Committees on Veterans’ Affairs of the Senate and
the House of Representatives a report on the experience in carrying
out this section during the preceding fiscal year.
(e) For the purposes of this section:
(1) The term ‘‘health-care item’’ includes any item listed in,
or (as determined by the Secretary) of the same nature as an
item listed in, Federal Supply Classification (FSC) Group 65 or
66. Effective December 1, 1992, such term also includes any
item listed in, or (as determined by the Secretary) of the same
nature as an item listed in, Federal Supply Classification
(FSC) Group 73. Such term does not include perishable items.
(2) The term ‘‘local contract’’ means a contract entered into

by a Department medical center for procurement of an item for
use by that medical center.
(3) The term ‘‘emergency procurement’’ means a procure-
ment necessary to meet an emergency need, affecting the
health or safety of a person being furnished health-care serv-
ices by the Department, for an item.
(Added Pub. L. 100–322, title IV, Sec. 403(a)(1), May 20, 1988, 102 Stat. 543, Sec.
5025; amended Pub. L. 100–687, div. B, title XV, Sec. 1507(b), (c), Nov. 18, 1988,
102 Stat. 4136, 4137; renumbered Sec. 8125, Pub. L. 102–40, title IV, Sec. 402(b)(1),
1991, 105 Stat. 404, 405; Pub. L. 102–405, title III, Sec. 302(c)(1), Oct. 9, 1992, 106
Stat. 1984; Pub. L. 107–14, Sec. 8(a)(15), June 5, 2001, 115 Stat. 35.)
§ 8126. Limitation on prices of drugs procured by Depart-

ment and certain other Federal agencies
(a) Each manufacturer of covered drugs shall enter into a mas-
ter agreement with the Secretary under which—
(1) beginning January 1, 1993, the manufacturer shall
make available for procurement on the Federal Supply Sched-
ule of the General Services Administration each covered drug
of the manufacturer;
(2) with respect to each covered drug of the manufacturer
procured by a Federal agency described in subsection (b) on or
after January 1, 1993, that is purchased under depot con-
tracting systems or listed on the Federal Supply Schedule, the
manufacturer has entered into and has in effect a pharma-
ceutical pricing agreement with the Secretary (or the Federal
agency involved, if the Secretary delegates to the Federal agen-
cy the authority to enter into such a pharmaceutical pricing
agreement) under which the price charged during the one-year
period beginning on the date on which the agreement takes ef-
fect may not exceed 76 percent of the non-Federal average
manufacturer price (less the amount of any additional discount
required under subsection (c)) during the one-year period end-
ing one month before such date (or, in the case of a covered
drug for which sufficient data for determining the non-Federal
average manufacturer price during such period are not avail-
able, during such period as the Secretary considers appro-
priate), except that such price may nominally exceed such
amount if found by the Secretary to be in the best interests of
the Department or such Federal agencies;
(3) with respect to each covered drug of the manufacturer
procured by a State home receiving funds under section 1741
of this title, the price charged may not exceed the price
charged under the Federal Supply Schedule at the time the
drug is procured; and
(4) unless the manufacturer meets the requirements of
paragraphs (1), (2), and (3), the manufacturer may not receive
payment for the purchase of drugs or biologicals from—
(A) a State plan under title XIX of the Social Security
Act, except as authorized under section 1927(a)(3) of such
Act,
(B) any Federal agency described in subsection (b), or
(C) any entity that receives funds under the Public

Health Service Act.
(b) The Federal agencies described in this subsection are as fol-
lows:
(1) The Department.
(2) The Department of Defense.
(3) The Public Health Service, including the Indian Health
Service.
(4) The Coast Guard.
(c) With respect to any covered drug the price of which is de-
termined in accordance with a pharmaceutical pricing agreement
entered into pursuant to subsection (a)(2), beginning on or after
January 1, 1993, the manufacturer shall provide a discount in an
amount equal to the amount by which the change in non-Federal
price exceeds the amount equal to—
(1) the non-Federal average manufacturer price of the drug
during the 3-month period that ends one year before the last
day of the month preceding the month during which the con-
tract for the covered drug goes into effect (or, in the case of a
covered drug for which sufficient data for determining the non-
Federal average manufacturer price during such period is not
available, during such period as the Secretary considers appro-
priate); multiplied by
(2) the percentage increase in the Consumer Price Index
for all urban consumers (U.S. city average) between the last
month of the period described in paragraph (1) and the last
month preceding the month during which the contract goes
into effect for which Consumer Price Index data is available.
(d) In the case of a covered drug of a manufacturer that has
entered into a multi-year contract with the Secretary under sub-
section (a)(2) for the procurement of the drug—
(1) during any one-year period that follows the first year
for which the contract is in effect, the contract price charged
for the drug may not exceed the contract price charged during
the preceding one-year period, increased by the percentage in-
crease in the Consumer Price Index for all urban consumers
(U.S. city average) during the 12-month period ending with the
last month of such preceding one-year period for which Con-
sumer Price Index data is available; and
(2) in applying subsection (c) to determine the amount of
the discount provided with respect to the drug during a year
that follows the first year for which the contract is in effect,
any reference in such subsection to ‘‘the month during which
the contract goes into effect’’ shall be considered a reference to
the first month of such following year.
(e)(1) The manufacturer of any covered drug the price of which
is determined in accordance with a pharmaceutical pricing agree-
ment entered into pursuant to subsection (a)(2) shall—
(A) not later than 30 days after the first day of the last
quarter that begins before the agreement takes effect (or, in
the case of an agreement that takes effect on January 1, 1993,
not later than December 4, 1992), report to the Secretary the
non-Federal average manufacturer price for the drug during
the one-year period that ends on the last day of the previous
quarter; and
(B) not later than 30 days after the last day of each quar-
ter for which the agreement is in effect, report to the Secretary
the non-Federal average manufacturer price for the drug dur-
ing such quarter.
(2) The provisions of subparagraphs (B) and (C) of section
1927(b)(3) of the Social Security Act shall apply to drugs described
in paragraph (1) and the Secretary in the same manner as such
provisions apply to covered outpatient drugs and the Secretary of
Health and Human Services under such subparagraphs, except
that references in such subparagraphs to prices or information re-
ported or required under ‘‘subparagraph (A)’’ shall be deemed to
refer to information reported under paragraph (1).
(3) In order to determine the accuracy of a drug price that is
reported to the Secretary under paragraph (1), the Secretary may
audit the relevant records of the manufacturer or of any wholesaler
that distributes the drug, and may delegate the authority to audit
such records to the appropriate Federal agency described in sub-
section (b).
(4) Any information contained in a report submitted to the Sec-
retary under paragraph (1) or obtained by the Secretary through
any audit conducted under paragraph (3) shall remain confidential,
except as the Secretary determines necessary to carry out this sec-
tion and to permit the Comptroller General and the Director of the
Congressional Budget Office to review the information provided.
(f) The Secretary shall supply to the Secretary of Health and
Human Services—
(1) upon the execution or termination of any master agree-
ment, the name of the manufacturer, and
(2) on a quarterly basis, a list of manufacturers who have
entered into master agreements under this section.
(g)(1) Any reference in this section to a provision of the Social
Security Act shall be deemed to be a reference to the provision as
in effect on November 4, 1992.
(2) A manufacturer is deemed to meet the requirements of sub-
section (a) if the manufacturer establishes to the satisfaction of the
Secretary that the manufacturer would comply (and has offered to
comply) with the provisions of this section (as in effect immediately
after the enactment of this section), and would have entered into
an agreement under this section (as such section was in effect at
such time), but for a legislative change in this section after Novem-
ber 4, 1992.
(h) In this section:
(1) The term ‘‘change in non-Federal price’’ means, with re-
spect to a covered drug that is subject to an agreement under
this section, an amount equal to—
(A) the non-Federal average manufacturer price of the
drug during the 3-month period that ends with the month
preceding the month during which a contract goes into ef-
fect (or, in the case of a covered drug for which sufficient
data for determining the non-Federal average manufac-
turer price during such period is not available, during such
period as the Secretary considers appropriate); minus
(B) the non-Federal average manufacturer price of the

drug during the 3-month period that ends one year before
the end of the period described in subparagraph (A) (or, in
the case of a covered drug for which sufficient data for de-
termining the non-Federal average manufacturer price
during such period is not available, during such period
preceding the period described in subparagraph (A) as the
Secretary considers appropriate).
(2) The term ‘‘covered drug’’ means—
(A) a drug described in section 1927(k)(7)(A)(ii) of the
Social Security Act, or that would be described in such sec-
tion but for the application of the first sentence of section
1927(k)(3) of such Act;
(B) a drug described in section 1927(k)(7)(A)(iv) of the
Social Security Act, or that would be described in such sec-
tion but for the application of the first sentence of section
1927(k)(3) of such Act; or
(C) any biological product identified under section
600.3 of title 21, Code of Federal Regulations.
(3) The term ‘‘depot’’ means a centralized commodity man-
agement system through which covered drugs procured by an
agency of the Federal Government are—
(A) received, stored, and delivered through—
(i) a federally owned and operated warehouse sys-
tem, or
(ii) a commercial entity operating under contract
with such agency; or
(B) delivered directly from the commercial source to
the entity using such covered drugs.
(4) The term ‘‘manufacturer’’ means any entity which is
engaged in—
(A) the production, preparation, propagation,
compounding, conversion, or processing of prescription
drug products, either directly or indirectly by extraction
from substances of natural origin, or independently by
means of chemical synthesis, or by a combination of ex-
traction and chemical synthesis, or
(B) in the packaging, repackaging, labeling, relabeling,
or distribution of prescription drug products.
Such term does not include a wholesale distributor of drugs or
a retail pharmacy licensed under State law.
(5) The term ‘‘non-Federal average manufacturer price’’
means, with respect to a covered drug and a period of time (as
determined by the Secretary), the weighted average price of a
single form and dosage unit of the drug that is paid by whole-
salers in the United States to the manufacturer, taking into ac-
count any cash discounts or similar price reductions during
that period, but not taking into account—
(A) any prices paid by the Federal Government; or
(B) any prices found by the Secretary to be merely
nominal in amount.
(6) The term ‘‘weighted average price’’ means, with respect
to a covered drug and a period of time (as determined by the
Secretary) an amount equal to—
(A) the sum of the products of the average price per

package unit of each quantity of the drug sold during the
period and the number of package units of the drug sold
during the period; divided by
(B) the total number of package units of the drug sold
during the period.
(i)(1) If the Secretary modifies a multi-year contract described
in subsection (d) to include a covered drug of the manufacturer that
was not available for inclusion under the contract at the time the
contract went into effect, the price of the drug shall be determined
as follows:
(A) For the portion of the first contract year during which
the drug is so included, the price of the drug shall be deter-
mined in accordance with subsection (a)(2), except that the ref-
erence in such subsection to ‘‘the one-year period beginning on
the date the agreement takes effect’’ shall be considered a ref-
erence to such portion of the first contract year.
(B) For any subsequent contract year, the price of the drug
shall be determined in accordance with subsection (d), except
that each reference in such subsection to ‘‘the first year for
which the contract is in effect’’ shall be considered a reference
to the portion of the first contract year during which the drug
is included under the contract.
(2) In this subsection, the term ‘‘contract year’’ means any one-
year period for which a multi-year contract described in subsection
(d) is in effect.
(Added Pub. L. 102–585, title VI, Sec. 603(a)(1), Nov. 4, 1992, 106 Stat. 4971;
amended Pub. L. 103–18, Sec. 1(a), Apr. 12, 1993, 107 Stat. 53; Pub. L. 103–446,
title XII, Sec. 1201(e)(27), (f)(6), Nov. 2, 1994, 108 Stat. 4686, 4687; Pub. L. 104–
106, div. A, title VII, Sec. 737(a), Feb. 10, 1996, 110 Stat. 383; Pub. L. 105–115,
title I, Sec. 125(b)(2)(E), Nov. 21, 1997, 111 Stat. 2325.)
§ 8127. Small business concerns owned and controlled by

veterans: contracting goals and preferences
(a) CONTRACTING GOALS.—(1) In order to increase contracting
opportunities for small business concerns owned and controlled by
veterans and small business concerns owned and controlled by vet-
erans with service-connected disabilities, the Secretary shall—
(A) establish a goal for each fiscal year for participation in
Department contracts (including subcontracts) by small busi-
ness concerns owned and controlled by veterans who are not
veterans with service-connected disabilities in accordance with
paragraph (2); and
(B) establish a goal for each fiscal year for participation in
Department contracts (including subcontracts) by small busi-
ness concerns owned and controlled by veterans with service-
connected disabilities in accordance with paragraph (3).
(2) The goal for a fiscal year for participation under paragraph
(1)(A) shall be determined by the Secretary.
(3) The goal for a fiscal year for participation under paragraph
(1)(B) shall be not less than the Government-wide goal for that fis-
cal year for participation by small business concerns owned and
controlled by veterans with service-connected disabilities under sec-
tion 15(g)(1) of the Small Business Act (15 U.S.C. 644(g)(1)).
(4) The Secretary shall establish a review mechanism to ensure

that, in the case of a subcontract of a Department contract that is
counted for purposes of meeting a goal established pursuant to this
section, the subcontract was actually awarded to a business con-
cern that may be counted for purposes of meeting that goal.
(b) USE OF NONCOMPETITIVE PROCEDURES FOR CERTAIN SMALL
CONTRACTS.—For purposes of meeting the goals under subsection
(a), and in accordance with this section, in entering into a contract
with a small business concern owned and controlled by veterans for
an amount less than the simplified acquisition threshold (as de-
fined in section 4 of the Office of Federal Procurement Policy Act
(41 U.S.C. 403)), a contracting officer of the Department may use
procedures other than competitive procedures.
(c) SOLE SOURCE CONTRACTS FOR CONTRACTS ABOVE SIM-
PLIFIED ACQUISITION THRESHOLD.—For purposes of meeting the
goals under subsection (a), and in accordance with this section, a
contracting officer of the Department may award a contract to a
small business concern owned and controlled by veterans using
procedures other than competitive procedures if—
(1) such concern is determined to be a responsible source
with respect to performance of such contract opportunity;
(2) the anticipated award price of the contract (including
options) will exceed the simplified acquisition threshold (as de-
fined in section 4 of the Office of Federal Procurement Policy
Act (41 U.S.C. 403)) but will not exceed $5,000,000; and
(3) in the estimation of the contracting officer, the contract
award can be made at a fair and reasonable price that offers
best value to the United States.
(d) USE OF RESTRICTED COMPETITION.—Except as provided in
subsections (b) and (c), for purposes of meeting the goals under
subsection (a), and in accordance with this section, a contracting of-
ficer of the Department shall award contracts on the basis of com-
petition restricted to small business concerns owned and controlled
by veterans if the contracting officer has a reasonable expectation
that two or more small business concerns owned and controlled by
veterans will submit offers and that the award can be made at a
fair and reasonable price that offers best value to the United
States.
(e) ELIGIBILITY OF SMALL BUSINESS CONCERNS.—A small busi-
ness concern may be awarded a contract under this section only if
the small business concern and the veteran owner of the small
business concern are listed in the database of veteran-owned busi-
nesses maintained by the Secretary under subsection (f).
(f) DATABASE OF VETERAN-OWNED BUSINESSES.—(1) Subject to
paragraphs (2) through (6), the Secretary shall maintain a data-
base of small business concerns owned and controlled by veterans
and the veteran owners of such business concerns.
(2) To be eligible for inclusion in the database, such a veteran
shall submit to the Secretary such information as the Secretary
may require with respect to the small business concern or the vet-
eran.
(3) Information maintained in the database shall be submitted
on a voluntary basis by such veterans.
(4) In maintaining the database, the Secretary shall carry out

at least the following two verification functions:
(A) Verification that each small business concern listed in
the database is owned and controlled by veterans.
(B) In the case of a veteran who indicates a service-con-
nected disability, verification of the service-disabled status of
such veteran.
(5) The Secretary shall make the database available to all Fed-
eral departments and agencies and shall notify each such depart-
ment and agency of the availability of the database.
(6) If the Secretary determines that the public dissemination
of certain types of information maintained in the database is inap-
propriate, the Secretary shall take such steps as are necessary to
maintain such types of information in a secure and confidential
manner.
(g) ENFORCEMENT PENALTIES FOR MISREPRESENTATION.—Any
business concern that is determined by the Secretary to have mis-
represented the status of that concern as a small business concern
owned and controlled by veterans or as a small business concern
owned and controlled by service-disabled veterans for purposes of
this subsection shall be debarred from contracting with the Depart-
ment for a reasonable period of time, as determined by the Sec-
retary.
(h) TREATMENT OF BUSINESSES AFTER DEATH OF VETERAN-
OWNER.—(1) Subject to paragraph (3), if the death of a veteran
causes a small business concern to be less than 51 percent owned
by one or more veterans, the surviving spouse of such veteran who
acquires ownership rights in such small business concern shall, for
the period described in paragraph (2), be treated as if the surviving
spouse were that veteran for the purpose of maintaining the status
of the small business concern as a small business concern owned
and controlled by veterans.
(2) The period referred to in paragraph (1) is the period begin-
ning on the date on which the veteran dies and ending on the ear-
liest of the following dates:
(A) The date on which the surviving spouse remarries.
(B) The date on which the surviving spouse relinquishes
an ownership interest in the small business concern.
(C) The date that is ten years after the date of the vet-
eran’s death.
(3) Paragraph (1) only applies to a surviving spouse of a vet-
eran with a service-connected disability rated as 100 percent dis-
abling or who dies as a result of a service-connected disability.
(i) PRIORITY FOR CONTRACTING PREFERENCES.—Preferences for
awarding contracts to small business concerns shall be applied in
the following order of priority:
(1) Contracts awarded pursuant to subsection (b), (c), or (d)
to small business concerns owned and controlled by veterans
with service-connected disabilities.
(2) Contracts awarded pursuant to subsection (b), (c), or (d)
to small business concerns owned and controlled by veterans
that are not covered by paragraph (1).
(3) Contracts awarded pursuant to—
(A) section 8(a) of the Small Business Act (15 U.S.C.

637(a)); or
(B) section 31 of such Act (15 U.S.C. 657a).
(4) Contracts awarded pursuant to any other small busi-
ness contracting preference.
(j) APPLICABILITY OF REQUIREMENTS TO CONTRACTS.—(1) If
after December 31, 2008, the Secretary enters into a contract,
memorandum of understanding, agreement, or other arrangement
with any governmental entity to acquire goods or services, the Sec-
retary shall include in such contract, memorandum, agreement, or
other arrangement a requirement that the entity will comply, to
the maximum extent feasible, with the provisions of this section in
acquiring such goods or services.
(2) Nothing in this subsection shall be construed to supersede
or otherwise affect the authorities provided under the Small Busi-
ness Act (15 U.S.C. 631 et seq.).
(k) ANNUAL REPORTS.—Not later than December 31 each year,
the Secretary shall submit to Congress a report on small business
contracting during the fiscal year ending in such year. Each report
shall include, for the fiscal year covered by such report, the fol-
lowing:
(1) The percentage of the total amount of all contracts
awarded by the Department during that fiscal year that were
awarded to small business concerns owned and controlled by
veterans.
(2) The percentage of the total amount of all such contracts
awarded to small business concerns owned and controlled by
veterans with service-connected disabilities.
awarded by each Administration of the Department during
that fiscal year that were awarded to small business concerns
owned and controlled by veterans.
awarded by each such Administration during that fiscal year
that were awarded to small business concerns owned and con-
trolled by veterans with service-connected disabilities.
(l) DEFINITIONS.—In this section:
(1) The term ‘‘small business concern’’ has the meaning
given that term under section 3 of the Small Business Act (15
U.S.C. 632).
(2) The term ‘‘small business concern owned and controlled
by veterans’’ means a small business concern—
(A)(i) not less than 51 percent of which is owned by
one or more veterans or, in the case of a publicly owned
business, not less than 51 percent of the stock of which is
owned by one or more veterans; and
(ii) the management and daily business operations of
which are controlled by one or more veterans; or
(B) not less than 51 percent of which is owned by one
or more veterans with service-connected disabilities that
are permanent and total who are unable to manage the
daily business operations of such concern or, in the case of
a publicly owned business, not less than 51 percent of the
stock of which is owned by one or more such veterans.
(Added Pub. L. 109–461, title V, Sec. 502(a)(1), Dec. 22, 2006, 120 Stat. 3431;
amended Pub. L. 110–389, title VIII, Sec. 806, Oct. 10, 2008, 122 Stat. 4189.)
§ 8128. Small business concerns owned and controlled by
veterans: contracting priority
(a) CONTRACTING PRIORITY.—In procuring goods and services
pursuant to a contracting preference under this title or any other
provision of law, the Secretary shall give priority to a small busi-
ness concern owned and controlled by veterans, if such business
concern also meets the requirements of that contracting preference.
(b) DEFINITION.—For purposes of this section, the term ‘‘small
business concern owned and controlled by veterans’’ means a small
business concern that is included in the small business database
maintained by the Secretary under section 8127(f) of this title.
SUBCHAPTER III—STATE HOME FACILITIES FOR FUR-

NISHING DOMICILIARY, NURSING HOME, AND HOSPITAL
CARE
For the purpose of this subchapter—
(1) The veteran population of each State shall be deter-
mined on the basis of the latest figures certified by the Depart-
ment of Commerce.
(2) The term ‘‘State’’ does not include any possession of the
United States.
(3) The term ‘‘construction’’ means the construction of new
domiciliary or nursing home buildings, the expansion, remod-
eling, or alteration of existing buildings for the provision of
domiciliary, nursing home, adult day health, or hospital care in
State homes, and the provision of initial equipment for any
such buildings.
(4) The term ‘‘cost of construction’’ means the amount
found by the Secretary to be necessary for a construction
project, including architect fees, but excluding land acquisition
costs.
Sec. 3(1), (2), July 5, 1977, 91 Stat. 262; Pub. L. 99–576, title II, Sec. 224(d), Oct.
402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 404, 405; Pub. L. 104–262, title III, Sec. 342(b)(1), Oct. 9, 1996, 110
Stat. 3206.)
§ 8132. Declaration of purpose

The purpose of this subchapter is to assist the several States
to construct State home facilities (or to acquire facilities to be used
as State home facilities) for furnishing domiciliary or nursing home
care to veterans, and to expand, remodel, or alter existing buildings
for furnishing domiciliary, nursing home, adult day health, or hos-
pital care to veterans in State homes.
Sec. 3(3), July 5, 1977, 91 Stat. 262; Pub. L. 98–528, title I, Sec. 105(1), Oct. 19,
1984, 98 Stat. 2689; renumbered Sec. 8132, Pub. L. 102–40, title IV, Sec. 402(b)(1),
May 7, 1991, 105 Stat. 238; Pub. L. 104–262, title III, Sec. 342(b)(2), Oct. 9, 1996,
110 Stat. 3206.)

(a) There are hereby authorized to be appropriated such sums
as are necessary to carry out this subchapter. Sums appropriated
pursuant to this section shall be used for making grants to States
which have submitted, and have had approved by the Secretary,
applications for carrying out the purposes and meeting the require-
ments of this subchapter.
(b) Sums appropriated pursuant to subsection (a) of this sec-
tion shall remain available until expended.
Pub. L. 89–311, Sec. 7(a), Oct. 31, 1965, 79 Stat. 1157; Pub. L. 90–432, Sec. 2, July
26, 1968, 82 Stat. 448; Pub. L. 93–82, title IV, Sec. 403(c), Aug. 2, 1973, 87 Stat.
196; Pub. L. 95–62, Sec. 3(4), July 5, 1977, 91 Stat. 262; Pub. L. 96–151, title I,
Sec. 101(a), Dec. 20, 1979, 93 Stat. 1092; Pub. L. 97–251, Sec. 8, Sept. 8, 1982, 96
Stat. 716; Pub. L. 99–576, title II, Sec. 224(a), Oct. 28, 1986, 100 Stat. 3262; Pub.
L. 101–110, Sec. 1(c), Oct. 6, 1989, 103 Stat. 682; Pub. L. 101–237, title II, Sec.
201(b), Dec. 18, 1989, 103 Stat. 2066; renumbered Sec. 8133, Pub. L. 102–40, title
IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–585, title IV, Sec. 402, Nov. 4, 1992,
106 Stat. 4954.)
§ 8134. General regulations

(a)(1) The Secretary shall prescribe regulations for the pur-
poses of this subchapter.
(2) In those regulations, the Secretary shall prescribe for each
State the number of nursing home and domiciliary beds for which
assistance under this subchapter may be furnished. Such regula-
tions shall be based on projected demand for such care 10 years
after the date of the enactment of the Veterans Millennium Health
Care and Benefits Act by veterans who at such time are 65 years
of age or older and who reside in that State. In determining such
projected demand, the Secretary shall take into account travel dis-
tances for veterans and their families.
(3)(A) In those regulations, the Secretary shall establish cri-
teria under which the Secretary shall determine, with respect to an
application for assistance under this subchapter for a project de-
scribed in subparagraph (B) which is from a State that has a need
for additional beds as determined under subsections (a)(2) and
(d)(1), whether the need for such beds is most aptly characterized
as great, significant, or limited. Such criteria shall take into ac-
count the availability of beds already operated by the Secretary
and other providers which appropriately serve the needs which the
State proposes to meet with its application.
(B) This paragraph applies to a project for the construction or
acquisition of a new State home facility, a project to increase the
number of beds available at a State home facility, and a project to
replace beds at a State home facility.
(4) The Secretary shall review and, as necessary, revise regula-
tions prescribed under paragraphs (2) and (3) not less often than
every four years.
(b) The Secretary shall prescribe the following by regulation:
(1) General standards of construction, repair, and equip-

ment for facilities constructed or acquired with assistance re-
ceived under this subchapter.
(2) General standards for the furnishing of care in facilities
which are constructed or acquired with assistance received
under this subchapter, which standards shall be no less strin-
gent than those standards prescribed by the Secretary pursu-
ant to section 1720(b) of this title.
(c) The Secretary may inspect any State facility constructed or
acquired with assistance received under this subchapter at such
times as the Secretary deems necessary to insure that such facility
meets the standards prescribed under subsection (b)(2).
(d)(1) In prescribing regulations to carry out this subchapter,
the Secretary shall provide that in the case of a State that seeks
assistance under this subchapter for a project described in sub-
section (a)(3)(B), the determination of the unmet need for beds for
State homes in that State shall be reduced by the number of beds
in all previous applications submitted by that State under this sub-
chapter, including beds which have not been recognized by the Sec-
retary under section 1741 of this title.
(2)(A) Financial assistance under this subchapter for a renova-
tion project may only be provided for a project for which the total
cost of construction is in excess of $400,000 (as adjusted from time-
to-time in such regulations to reflect changes in costs of construc-
tion).
(B) For purposes of this paragraph, a renovation project is a
project to remodel or alter existing buildings for which financial as-
sistance under this subchapter may be provided and does not in-
clude maintenance and repair work which is the responsibility of
the State.
Pub. L. 89–311, Sec. 7(b), Oct. 31, 1965, 79 Stat. 1157; Pub. L. 93–82, title IV, Sec.
403(d), Aug. 2, 1973, 87 Stat. 196; Pub. L. 94–581, title I, Sec. 107(b), title II, Sec.
206(b), Oct. 21, 1976, 90 Stat. 2847, 2859; Pub. L. 95–62, Sec. 3(5), (6), July 5, 1977,
91 Stat. 262; Pub. L. 96–330, title IV, Sec. 404, Aug. 26, 1980, 94 Stat. 1052; Pub.
L. 98–528, title I, Sec. 105(2), Oct. 19, 1984, 98 Stat. 2689; renumbered Sec. 8134,
54, Sec. 14(f)(6), June 13, 1991, 105 Stat. 288; Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
5(c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 106–117, title II, Sec. 207(a), Nov.
30, 1999, 113 Stat. 1564.)
§ 8135. Applications with respect to projects; payments

(a) Any State desiring to receive assistance for a project for
construction of State home facilities (or acquisition of a facility to
be used as a State home facility) must submit to the Secretary an
application. Such application shall set forth the following:
(1) The amount of the grant requested with respect to such
project which may not exceed 65 percent of the estimated cost
of construction (or of the estimated cost of facility acquisition
and construction) of such project.
(2) A description of the site for such project.
(3) Plans and specifications for such project in accordance
with regulations prescribed by the Secretary pursuant to sec-
tion 8134(a)(2) of this title.
(4) Reasonable assurance that upon completion of such

project the facilities will be used principally to furnish to vet-
erans the level of care for which such application is made and
that not more than 25 percent of the bed occupancy at any one
time will consist of patients who are not receiving such level
of care as veterans.
(5) Reasonable assurance that title to such site is or will
be vested solely in the applicant, a State home, or another
agency or instrumentality of the State.
(6) Reasonable assurance that adequate financial support
will be available for the construction of the project (or for facil-
ity acquisition and construction of the project) by July 1 of the
fiscal year for which the application is approved and for its
maintenance and operation when complete.
(7) Reasonable assurance that the State will make such re-
ports in such form and containing such information as the Sec-
retary may from time to time reasonably require, and give the
Secretary, upon demand, access to the records upon which such
information is based.
(8) Reasonable assurance that the rates of pay for laborers
and mechanics engaged in construction of the project will be
not less than the prevailing local wage rates for similar work
as determined in accordance with sections 3141–3144, 3146,
and 3147 of title 40.
(9) In the case of a project for acquisition of a facility, rea-
sonable assurance that the estimated total cost of acquisition
of the facility and of any expansion, remodeling, and alteration
of the acquired facility will not be greater than the estimated
cost of construction of an equivalent new facility.
(b)(1) Any State seeking to receive assistance under this sub-
chapter for a project that would involve construction or acquisition
of either nursing home or domiciliary facilities shall include with
its application under subsection (a) the following:
(A) Documentation (i) that the site for the project is in rea-
sonable proximity to a sufficient concentration and population
of veterans who are 65 years of age and older, and (ii) that
there is a reasonable basis to conclude that the facilities when
complete will be fully occupied.
(B) A financial plan for the first three years of operation
of such facilities.
(C) A five-year capital plan for the State home program for
that State.
(2) Failure to provide adequate documentation under para-
graph (1)(A) or to provide an adequate financial plan under para-
graph (1)(B) shall be a basis for disapproving the application.
(c)(1) Upon receipt of an application under subsection (a) for fi-
nancial assistance under this subchapter, the Secretary—
(A) shall determine whether the application meets the re-
quirements of this section and of the regulations prescribed
under section 8134 of this title;
(B) shall notify the State submitting the application
whether the application conforms with those requirements and,
if it does not, of the actions necessary to bring the application
into conformance with those requirements; and
(C) shall determine the priority of the project described in

the application in accordance with the provisions of this sub-
section.
(2) Subject to paragraphs (3) and (5)(C) of this subsection, the
Secretary shall accord priority to applications in the following
order:
(A) An application from a State that has made sufficient
funds available for the project for which the grant is requested
so that such project may proceed upon approval of the grant
without further action required by the State to make such
funds available for such purpose.
(B) An application from a State for a project at an existing
facility to remedy a condition or conditions that have been
cited by an accrediting institution, by the Secretary, or by a
local licensing or approving body of the State as being threat-
ening to the lives or safety of the patients in the facility.
(C) An application from a State that has not previously ap-
plied for award of a grant under this subchapter for construc-
tion or acquisition of a State nursing home.
(D) An application for construction or acquisition of a nurs-
ing home or domiciliary from a State that the Secretary deter-
mines, in accordance with regulations under this subchapter,
has a great need for the beds to be established at such home
or facility.
(E) An application from a State for renovations to a State
home facility other than renovations described in subpara-
graph (B).
(F) An application for construction or acquisition of a nurs-
ing home or domiciliary from a State that the Secretary deter-
mines, in accordance with regulations under this subchapter,
has a significant need for the beds to be established at such
home or facility.
(G) An application that meets other criteria as the Sec-
retary determines appropriate and has established in regula-
tions.
(H) An application for construction or acquisition of a
nursing home or domiciliary from a State that the Secretary
determines, in accordance with regulations under this sub-
chapter, has a limited need for the beds to be established at
such home or facility.
(3) In according priorities to projects under paragraph (2) of
this subsection, the Secretary—
(A) may not accord any priority to a project for the con-
struction or acquisition of a hospital; and
(B) may not accord any priority to a project which would
expand a State’s capacity to furnish hospital care in a State
home.
(4) The Secretary shall establish a list of approved projects (in-
cluding projects that have been conditionally approved under para-
graph (6) of this subsection), in the order of their priority, as of Au-
gust 15 of each year. The Secretary shall award grants in the order
of their priority on the list during the fiscal year beginning on Oc-
tober 1 of the calendar year in which the list was made.
(5)(A) The Secretary shall defer approval of an application that

otherwise meets the requirements of this section if the State sub-
mitting the application does not, by the July 1 deadline (as defined
in subparagraph (D) of this paragraph), demonstrate to the satis-
faction of the Secretary that the State has provided adequate finan-
cial support for construction of the project.
(B) In a case in which approval of an application is deferred
under subparagraph (A) of this paragraph, the Secretary shall se-
lect for award of a grant or grants under this subsection an appli-
cation or applications which would not have been approved during
the fiscal year but for the deferral and to which the Secretary ac-
cords the highest priority under paragraph (2) of this subsection.
(C) An application deferred in accordance with the require-
ments of this paragraph shall be accorded priority in any subse-
quent fiscal year ahead of applications that had not been approved
before the first day of the fiscal year in which the deferred applica-
tion was first approved.
(D) For the purposes of this paragraph, the term ‘‘July 1 dead-
line’’ means July 1 of the fiscal year in which the State is notified
by the Secretary of the availability of funding for a grant for such
project.
(6)(A) The Secretary may conditionally approve a project under
this section, conditionally award a grant for the project, and obli-
gate funds for the grant if the Secretary determines that the appli-
cation for the grant is sufficiently complete to warrant awarding
the grant and that, based on assurances provided by the State sub-
mitting the application, the State will complete the application and
meet all the requirements referred to in paragraph (1)(A) of this
subsection by the date, not later than 180 days after the date of
the conditional approval, specified by the Secretary.
(B) If a State does not complete the application and meet all
the requirements referred to in such paragraph by the date speci-
fied by the Secretary under subparagraph (A) of this paragraph,
the Secretary shall rescind the conditional approval and award
under such subparagraph and deobligate the funds previously obli-
gated in connection with the application. In the event the Secretary
rescinds conditional approval of a project under this subparagraph,
the Secretary may not further obligate funds for the project during
the fiscal year in which the Secretary rescinds such approval.
(7)(A) Subject to subparagraph (B) of this paragraph, the Sec-
retary may increase the amount of any grant awarded to any State
for a project under this section by an amount by which the Sec-
retary determines that the estimated cost of the construction or ac-
quisition has increased from the estimated cost on which the Sec-
retary based the determination to award the grant, without regard
to the position of such project on the list established under para-
graph (4) of this subsection, if the Secretary determines that the
grant was awarded before the State entered into a contract for the
construction or acquisition provided for in such project.
(B) A grant may not be increased under subparagraph (A) of
this paragraph by more than 10 percent of the amount of the grant
initially awarded for such project, and the amount of such grant,
as increased, may not exceed 65 percent of the cost of the project.
(d) No application submitted to the Secretary under this sec-

tion shall be disapproved until the Secretary has afforded the ap-
plicant notice and an opportunity for a hearing.
(e) The amount of a grant under this subchapter shall be paid
to the applicant or, if designated by the applicant, the State home
for which such project is being carried out or any other agency or
instrumentality of the applicant. Such amount shall be paid, in ad-
vance or by way of reimbursement, and in such installments con-
sistent with the progress of the project as the Secretary may deter-
mine and certify for payment to the Secretary of the Treasury.
Funds paid under this section for an approved project shall be used
solely for carrying out such project as so approved.
(f) Any amendment of any application, whether or not ap-
proved, shall be subject to approval in the same manner as an
original application.
Pub. L. 89–311, Sec. 7(a), Oct. 31, 1965, 79 Stat. 1157; Pub. L. 93–82, title IV, Sec.
403(e), Aug. 2, 1973, 87 Stat. 196; Pub. L. 94–581, title II, Sec. 206(b), 210(e)(10),
Oct. 21, 1976, 90 Stat. 2859, 2865; Pub. L. 95–62, Sec. 3(7)–(12), July 5, 1977, 91
Stat. 262, 263; Pub. L. 97–295, Sec. 4(92), Oct. 12, 1982, 96 Stat. 1313; Pub. L. 98–
528, title I, Sec. 105(3), Oct. 19, 1984, 98 Stat. 2689; Pub. L. 99–166, title II, Sec.
205, Dec. 3, 1985, 99 Stat. 953; Pub. L. 99–576, title II, Sec. 224(b), (c), Oct. 28,
1986, 100 Stat. 3262, 3263; Pub. L. 100–322, title II, Sec. 206, May 20, 1988, 102
Stat. 513; renumbered Sec. 8135 and amended Pub. L. 102–40, title IV, Sec.
402(b)(1), (d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(f)(7), June
13, 1991, 105 Stat. 288; Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat.
404, 405; Pub. L. 102–585, title IV, Sec. 403(a), 404(a), Nov. 4, 1992, 106 Stat. 4954;
Pub. L. 103–446, title XII, Sec. 1201(d)(18), Nov. 2, 1994, 108 Stat. 4684; Pub. L.
104–262, title III, Sec. 342(b)(3), Oct. 9, 1996, 110 Stat. 3206; Pub. L. 106–117, title
II, Sec. 207(b), Nov. 30, 1999, 113 Stat. 1565; Pub. L. 107–217, Sec. 3(j)(4), Aug. 21,
2002, 116 Stat. 1300.)
§ 8136. Recapture provisions

(a) If, within the 20-year period beginning on the date of the
approval by the Secretary of the final architectural and engineering
inspection of any project with respect to which a grant has been
made under this subchapter (except that the Secretary, pursuant
to regulations which the Secretary shall prescribe, may at the time
of such grant provide for a shorter period than 20, but not less
than seven, years, based on the magnitude of the project and the
grant amount involved, in the case of the acquisition, expansion,
remodeling, or alteration of existing facilities), the facilities covered
by the project cease to be operated by a State, a State home, or an
agency or instrumentality of a State principally for furnishing
domiciliary, nursing home, or hospital care to veterans, the United
States shall be entitled to recover from the State which was the re-
cipient of the grant under this subchapter, or from the then owner
of such facilities, 65 percent of the then value of such project (but
in no event an amount greater than the amount of assistance pro-
vided under this subchapter), as determined by agreement of the
parties or by action brought in the district court of the United
States for the district in which such facilities are situated.
(b) The establishment and operation by the Secretary of an
outpatient clinic in facilities described in subsection (a) shall not
constitute grounds entitling the United States to any recovery
under that subsection.
Pub. L. 93–82, title IV, Sec. 403(f), Aug. 2, 1973, 87 Stat. 196; Pub. L. 94–581, title
II, Sec. 206(b), Oct. 21, 1976, 90 Stat. 2859; Pub. L. 95–62, Sec. 3(13), July 5, 1977,
91 Stat. 263; Pub. L. 97–295, Sec. 4(92), Oct. 12, 1982, 96 Stat. 1313; Pub. L. 98–
528, title I, Sec. 105(4), Oct. 19, 1984, 98 Stat. 2690; renumbered Sec. 8136, Pub.
4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–585, title IV, Sec. 405,
Nov. 4, 1992, 106 Stat. 4954; Pub. L. 106–419, title II, Sec. 222, Nov. 1, 2000, 114
Stat. 1845.)
§ 8137. State control of operations

Except as otherwise specifically provided, nothing in this sub-
chapter shall be construed as conferring on any Federal officer or
employee the right to exercise any supervision or control over the
administration, personnel, maintenance, or operation of any State
home for which facilities are constructed or acquired with assist-
ance received under this subchapter.
Pub. L. 98–528, title I, Sec. 105(5), Oct. 19, 1984, 98 Stat. 2690; renumbered Sec.
8137, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238.)
§ 8138. Treatment of certain health facilities as State homes

(a) The Secretary may treat a health facility (or certain beds
in a health facility) as a State home for purposes of subchapter V
of chapter 17 of this title if the following requirements are met:
(1) The facility (or certain beds in such facility) meets the
standards for the provision of nursing home care that are ap-
plicable to State homes, as prescribed by the Secretary under
section 8134(b) of this title, and such other standards relating
to the facility (or certain beds in such facility) as the Secretary
may require.
(2) The facility (or certain beds in such facility) is licensed
or certified by the appropriate State and local agencies charged
with the responsibility of licensing or otherwise regulating or
inspecting State home facilities.
(3) The State demonstrates in an application to the Sec-
retary that, but for the treatment of a facility (or certain beds
in such facility), as a State home under this subsection, a sub-
stantial number of veterans residing in the geographic area in
which the facility is located who require nursing home care
will not have access to such care.
(4) The Secretary determines that the treatment of the fa-
cility (or certain beds in such facility) as a State home best
meets the needs of veterans for nursing home care in the geo-
graphic area in which the facility is located.
(5) The Secretary approves the application submitted by
the State with respect to the facility (or certain beds in such
facility).
(b) The Secretary may not treat a health facility (or certain
beds in a health facility) as a State home under subsection (a) if
the Secretary determines that such treatment would increase the
number of beds allocated to the State in excess of the limit on the
number of beds provided for by regulations prescribed under sec-
tion 8134(a) of this title.
(c) The number of beds occupied by veterans in a health facility

for which payment may be made under subchapter V of chapter 17
of this title by reason of subsection (a) shall not exceed—
(1) 100 beds in the aggregate for all States; and
(2) in the case of any State, the difference between—
(A) the number of veterans authorized to be in beds in
State homes in such State under regulations prescribed
under section 8134(a) of this title; and
(B) the number of veterans actually in beds in State
homes (other than facilities or certain beds treated as
State homes under subsection (a)) in such State under reg-
ulations prescribed under such section.
(d) The number of beds in a health facility in a State that has
been treated as a State home under subsection (a) shall be taken
into account in determining the unmet need for beds for State
homes for the State under section 8134(d)(1) of this title.
(e) The Secretary may not treat any new health facilities (or
any new certain beds in a health facility) as a State home under
subsection (a) after September 30, 2009.
(Added Pub. L. 109–461, title II, Sec. 211(c)(1), Dec. 22, 2006, 120 Stat. 3420.)
SUBCHAPTER IV—SHARING OF MEDICAL FACILITIES,

EQUIPMENT, AND INFORMATION
§ 8151. Statement of congressional purpose
It is the purpose of this subchapter to strengthen the medical
programs at Department facilities and improve the quality of
health care provided veterans under this title by authorizing the
Secretary to enter into agreements with health-care providers in
order to share health-care resources with, and receive health-care
resources from, such providers while ensuring no diminution of
services to veterans.
(Added Pub. L. 89–785, title II, Sec. 203, Nov. 7, 1966, 80 Stat. 1373, Sec. 5051;
amended Pub. L. 101–366, title II, Sec. 202(a), Aug. 15, 1990, 104 Stat. 438; renum-
Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub.
L. 103–210, Sec. 3(a), Dec. 20, 1993, 107 Stat. 2497; Pub. L. 104–262, title III, Sec.
301(a), Oct. 9, 1996, 110 Stat. 3191.)
(1) The term ‘‘health-care resource’’ includes hospital care
and medical services (as those terms are defined in section
1701 of this title), services under sections 1782 and 1783 of
this title, any other health-care service, and any health-care
support or administrative resource.
(2) The term ‘‘health-care providers’’ includes health-care
plans and insurers and any organizations, institutions, or other
entities or individuals who furnish health-care resources.
(3) The term ‘‘hospital’’, unless otherwise specified, in-
cludes any Federal, State, local, or other public or private hos-
pital.
Stat. 238; amended Pub. L. 102–54, Sec. 14(f)(8), June 13, 1991, 105 Stat. 288; Pub.
L. 103–210, Sec. 3(b), Dec. 20, 1993, 107 Stat. 2497; Pub. L. 104–262, title III, Sec.
301(b), Oct. 9, 1996, 110 Stat. 3191; Pub. L. 107–135, title II, Sec. 208(e)(8), Jan.
23, 2002, 115 Stat. 2464.)
§ 8153. Sharing of health-care resources

(a)(1) To secure health-care resources which otherwise might
not be feasibly available, or to effectively utilize certain other
health-care resources, the Secretary may, when the Secretary de-
termines it to be in the best interest of the prevailing standards
of the Department medical care program, make arrangements, by
contract or other form of agreement for the mutual use, or ex-
change of use, of health-care resources between Department
health-care facilities and any health-care provider, or other entity
or individual.
(2) The Secretary may enter into a contract or other agreement
under paragraph (1) if such resources are not, or would not be,
used to their maximum effective capacity.
(3)(A) If the health-care resource required is a commercial
service, the use of medical equipment or space, or research, and is
to be acquired from an institution affiliated with the Department
in accordance with section 7302 of this title, including medical
practice groups and other entities associated with affiliated institu-
tions, blood banks, organ banks, or research centers, the Secretary
may make arrangements for acquisition of the resource without re-
gard to any law or regulation (including any Executive order, cir-
cular, or other administrative policy) that would otherwise require
the use of competitive procedures for acquiring the resource.
(B)(i) If the health-care resource required is a commercial serv-
ice or the use of medical equipment or space, and is not to be ac-
quired from an entity described in subparagraph (A), any procure-
ment of the resource may be conducted without regard to any law
or regulation that would otherwise require the use of competitive
procedures for procuring the resource, but only if the procurement
is conducted in accordance with the simplified procedures pre-
scribed pursuant to clause (ii).
(ii) The Secretary, in consultation with the Administrator for
Federal Procurement Policy, may prescribe simplified procedures
for the procurement of health-care resources under this subpara-
graph. The Secretary shall publish such procedures for public com-
ment in accordance with section 22 of the Office of Federal Pro-
curement Policy Act (41 U.S.C. 418b). Such procedures shall permit
all responsible sources, as appropriate, to submit a bid, proposal,
or quotation (as appropriate) for the resources to be procured and
provide for the consideration by the Department of bids, proposals,
or quotations so submitted.
(iii) Pending publication of the procedures under clause (ii), the
Secretary shall (except as provided under subparagraph (A)) pro-
cure health-care resources referred to in clause (i) in accordance
with all procurement laws and regulations.
(C) Any procurement of health-care resources other than those
covered by subparagraph (A) or (B) shall be conducted in accord-
ance with all procurement laws and regulations.
(D) For any procurement to be conducted on a sole source basis
other than a procurement covered by subparagraph (A), a written
justification shall be prepared that includes the information and is

approved at the levels prescribed in section 303(f) of the Federal
Property and Administrative Services Act of 1949 (41 U.S.C.
253(f)).
(E) As used in this paragraph, the term ‘‘commercial service’’
means a service that is offered and sold competitively in the com-
mercial marketplace, is performed under standard commercial
terms and conditions, and is procured using firm-fixed price con-
tracts.
(b) Arrangements entered into under this section shall provide
for payment to the Department in accordance with procedures that
provide appropriate flexibility to negotiate payment which is in the
best interest of the Government. Any proceeds to the Government
received therefrom shall be credited to the applicable Department
medical appropriation and to funds that have been allotted to the
facility that furnished the resource involved.
(c) Eligibility for hospital care and medical services furnished
any veteran pursuant to this section shall be subject to the same
terms as though provided in a Department health care facility, and
provisions of this title applicable to persons receiving hospital care
or medical services in a Department health care facility shall apply
to veterans treated under this section.
(d) When a Department health care facility provides hospital
care or medical services, pursuant to a contract or agreement au-
thorized by this section, to an individual who is not eligible for
such care or services under chapter 17 of this title and who is enti-
tled to hospital or medical insurance benefits under title XVIII of
the Social Security Act (42 U.S.C. 1395 et seq.), such benefits shall
be paid, notwithstanding any condition, limitation, or other provi-
sion in that title which would otherwise preclude such payment to
such facility for such care or services or, if the contract or agree-
ment so provides, to the community health care facility which is a
party to the contract or agreement.
(e) The Secretary may make an arrangement that authorizes
the furnishing of services by the Secretary under this section to in-
dividuals who are not veterans only if the Secretary determines—
(1) that veterans will receive priority under such an ar-
rangement; and
(2) that such an arrangement—
(A) is necessary to maintain an acceptable level and
quality of service to veterans at that facility; or
(B) will result in the improvement of services to eligi-
ble veterans at that facility.
(f) Any amount received by the Secretary from a non-Federal
entity as payment for services provided by the Secretary during a
prior fiscal year under an agreement entered into under this sec-
tion may be obligated by the Secretary during the fiscal year in
which the Secretary receives the payment.
(g) The Secretary shall submit to the Congress not later than
February 1 of each year a report on the activities carried out under
this section during the preceding fiscal year. Each report shall in-
clude—
(1) an appraisal of the effectiveness of the activities au-

thorized in this section and the degree of cooperation from
other sources, financial and otherwise; and
(2) recommendations for the improvement or more effective
administration of such activities.
amended Pub. L. 91–496, Sec. 4, Oct. 22, 1970, 84 Stat. 1092; Pub. L. 93–82, title
III, Sec. 303, Aug. 2, 1973, 87 Stat. 195; Pub. L. 94–581, title I, Sec. 115(a)(1), title
II, Sec. 206(c), 210(e)(11), Oct. 21, 1976, 90 Stat. 2852, 2859, 2865; Pub. L. 96–151,
title III, Sec. 304, Dec. 20, 1979, 93 Stat. 1096; Pub. L. 97–295, Sec. 4(95)(A), Oct.
12, 1982, 96 Stat. 1313; Pub. L. 98–160, title VII, Sec. 702(20), Nov. 21, 1983, 97
Stat. 1010; Pub. L. 99–576, title II, Sec. 231(c)(1), Oct. 28, 1986, 100 Stat. 3264;
Pub. L. 101–366, title II, Sec. 202(b), Aug. 15, 1990, 104 Stat. 438; renumbered Sec.
8153, Pub. L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L.
102–54, Sec. 14(f)(9), June 13, 1991, 105 Stat. 288; Pub. L. 102–83, Sec. 4(a)(3), (4),
(b)(1), (2)(D), (E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 103–210, Sec. 3(c), Dec.
20, 1993, 107 Stat. 2498; Pub. L. 104–262, title III, Sec. 301(c), (d)(1), Oct. 9, 1996,
110 Stat. 3191, 3193; Pub. L. 105–114, title IV, Sec. 402(d), (e), Nov. 21, 1997, 111
Stat. 2294; Pub. L. 106–419, title IV, Sec. 404(b)(2), Nov. 1, 2000, 114 Stat. 1866;
Pub. L. 108–170, title IV, Sec. 405(d), Dec. 6, 2003, 117 Stat. 2063.)
§ 8154. Exchange of medical information

(a) The Secretary is authorized to enter into agreements with
medical schools, hospitals, research centers, and individual mem-
bers of the medical profession under which medical information
and techniques will be freely exchanged and the medical informa-
tion services of all parties to the agreement will be available for
use by any party to the agreement under conditions specified in the
agreement. In carrying out the purposes of this section, the Sec-
retary shall utilize recent developments in electronic equipment to
provide a close educational, scientific, and professional link be-
tween Department hospitals and major medical centers. Such
agreements shall be utilized by the Secretary to the maximum ex-
tent practicable to create, at each Department hospital which is a
part of any such agreement, an environment of academic medicine
which will help such hospital attract and retain highly trained and
qualified members of the medical profession.
(b) In order to bring about utilization of all medical informa-
tion in the surrounding medical community, particularly in remote
areas, and to foster and encourage the widest possible cooperation
and consultation among all members of the medical profession in
such community, the educational facilities and programs estab-
lished at Department hospitals and the electronic link to medical
centers shall be made available for use by the surrounding medical
community (including State home facilities furnishing domiciliary,
nursing home, or hospital care to veterans). The Secretary may
charge a fee for such services (on annual or like basis) at rates
which the Secretary determines, after appropriate study, to be fair
and equitable. The financial status of any user of such services
shall be taken into consideration by the Secretary in establishing
the amount of the fee to be paid. Any proceeds to the Government
received therefrom shall be credited to the applicable Department
medical appropriation.
(c) The Secretary is authorized to enter into agreements with
public and nonprofit private institutions, organizations, corpora-
tions, and other entities in order to participate in cooperative
health-care personnel education programs within the geographical

area of any Department health-care facility located in an area re-
mote from major academic health centers.
amended Pub. L. 94–424, Sec. 1(1), Sept. 28, 1976, 90 Stat. 1332; Pub. L. 94–581,
title II, Sec. 206(d), 210(e)(12), Oct. 21, 1976, 90 Stat. 2859, 2865; Pub. L. 96–151,
title I, Sec. 102(a), Dec. 20, 1979, 93 Stat. 1092; Pub. L. 97–251, Sec. 9, Sept. 8,
1982, 96 Stat. 716; renumbered Sec. 8154, Pub. L. 102–40, title IV, Sec. 402(b)(1),
1991, 105 Stat. 404, 405.)
§ 8155. Pilot programs; grants to medical schools
(a) The Secretary may establish an Advisory Subcommittee on
Programs for Exchange of Medical Information, of the Special Med-
ical Advisory Group, established under section 7312 of this title, to
advise the Secretary on matters regarding the administration of
this section and to coordinate these functions with other research
and education programs in the Department of Medicine and Sur-
gery. The Assistant Under Secretary for Health charged with ad-
ministration of the Department of Medicine and Surgery medical
research program shall be an ex officio member of this Sub-
committee.
(b) The Secretary, upon the recommendation of the Sub-
committee, is authorized to make grants to medical schools, hos-
pitals, and research centers to assist such medical schools, hos-
pitals, and research centers in planning and carrying out agree-
ments authorized by section 8154 of this title. Such grants may be
used for the employment of personnel, the construction of facilities,
the purchasing of equipment when necessary to implement such
programs, and for such other purposes as will facilitate the admin-
istration of this section.
(c)(1) There is hereby authorized to be appropriated an amount
not to exceed $3,500,000 for fiscal year 1976; $1,700,000 for the pe-
riod beginning July 1, 1976, and ending September 30, 1976;
$4,000,000 for fiscal year 1977; $4,000,000 for fiscal year 1978; and
$4,000,000 for fiscal year 1979 and for each of the three succeeding
fiscal years, for the purpose of developing and carrying out medical
information programs under this section on a pilot program basis
and for the grants authority in subsection (b) of this section. Pilot
programs authorized by this subsection shall be carried out at De-
partment hospitals in geographically dispersed areas of the United
States.
(2) Funds authorized under this section shall not be available
to pay the cost of hospital, medical, or other care of patients except
to the extent that such cost is determined by the Secretary to be
incident to research, training, or demonstration activities carried
out under this section.
(d) The Secretary, after consultation with the Subcommittee
shall prescribe regulations covering the terms and conditions for
making grants under this section.
(e) Each recipient of a grant under this section shall keep such
records as the Secretary may prescribe, including records which
fully disclose the amount and disposition by such recipient of the
proceeds of such grant, the total cost of the project or undertaking
in connection with which such grant is made or used, and the
amount of that portion of the cost of the project or undertaking

supplied by other sources, and such records as will facilitate an ef-
fective audit.
(f) The Secretary and the Comptroller General of the United
States, or any of their duly authorized representatives, shall have
access, for the purpose of audit and examination, to any books, doc-
uments, papers, and records of the recipient of any grant under
this section which are pertinent to any such grant.
amended Pub. L. 92–69, Aug. 6, 1971, 85 Stat. 178; Pub. L. 94–424, Sec. 1(2), Sept.
28, 1976, 90 Stat. 1332; Pub. L. 94–581, title II, Sec. 206(e), 210(e)(13), Oct. 21,
1976, 90 Stat. 2859, 2865; Pub. L. 96–151, title I, Sec. 102(b), Dec. 20, 1979, 93 Stat.
(d)(1), May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–405, title III, Sec. 302(c)(1),
Oct. 9, 1992, 106 Stat. 1984; Pub. L. 103–446, title XII, Sec. 1201(d)(19), Nov. 2,
1994, 108 Stat. 4684.)
§ 8156. Coordination with health services development ac-
tivities carried out under the National Health
Planning and Resources Development Act of 1974
The Secretary and the Secretary of Health and Human Serv-
ices shall, to the maximum extent practicable, coordinate programs
carried out under this subchapter and programs carried out under
part F of title XVI of the Public Health Service Act (42 U.S.C. 300t
et seq.).
amended Pub. L. 94–581, title I, Sec. 115(a)(2), Oct. 21, 1976, 90 Stat. 2853; Pub.
L. 97–295, Sec. 4(93), (95)(A), Oct. 12, 1982, 96 Stat. 1313; renumbered Sec. 8156,
83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8157. Joint title to medical equipment

(a) Subject to subsection (b), the Secretary may enter into
agreements with institutions described in section 8153(a) of this
title for the joint acquisition of medical equipment.
(b)(1) The Secretary may not pay more than one-half of the
purchase price of equipment acquired through an agreement under
subsection (a).
(2) Any equipment to be procured under such an agreement
shall be procured by the Secretary. Title to such equipment shall
be held jointly by the United States and the institution.
(3) Before equipment acquired under such an agreement may
be used, the parties to the agreement shall arrange by contract
under section 8153 of this title for the exchange or use of the
equipment.
(4) The Secretary may not contract for the acquisition of med-
ical equipment to be purchased jointly under an agreement under
subsection (a) until the institution which enters into the agreement
provides to the Secretary its share of the purchase price of the
medical equipment.
(c)(1) Notwithstanding any other provision of law, the Sec-
retary may transfer the interest of the Department in equipment
acquired through an agreement under subsection (a) to the institu-
tion which holds joint title to the equipment if the Secretary deter-
mines that the transfer would be justified by compelling clinical
considerations or the economic interest of the Department. Any

such transfer may only be made upon agreement by the institution
to pay to the Department the amount equal to one-half of the de-
preciated purchase price of the equipment. Any such payment
when received shall be credited to the applicable Department med-
ical appropriation.
may acquire the interest of an institution in equipment acquired
under subsection (a) if the Secretary determines that the acquisi-
tion would be justified by compelling clinical considerations or the
economic interests of the Department. The Secretary may not pay
more than one-half the depreciated purchase price of that equip-
ment.
(Added Pub. L. 102–405, title I, Sec. 103(a)(1), Oct. 9, 1992, 106 Stat. 1973.)
§ 8158. Deposit in escrow
(a) To facilitate the procurement of medical equipment pursu-
ant to section 8157 of this title, the Secretary may enter into es-
crow agreements with institutions described in section 8153(a) of
this title. Any such agreement shall provide that—
(1) the institutions shall pay to the Secretary the funds
necessary to make a payment under section 8157(b)(4) of this
title;
(2) the Secretary, as escrow agent, shall administer those
funds in an escrow account; and
(3) the Secretary shall disburse the escrowed funds to pay
for such equipment upon its delivery or in accordance with the
contract to procure the equipment and shall disburse all ac-
crued interest or other earnings on the escrowed funds to the
institution.
(b) As escrow agent for funds placed in escrow pursuant to an
agreement under subsection (a), the Secretary may—
(1) invest the escrowed funds in obligations of the Federal
Government or obligations which are insured or guaranteed by
the Federal Government;
(2) retain in the escrow account interest or other earnings
on such investments;
(3) disburse the funds pursuant to the escrow agreement;
and
(4) return undisbursed funds to the institution.
(c)(1) If the Secretary enters into an escrow agreement under
this section, the Secretary may enter into an agreement to procure
medical equipment if one-half the purchase price of the equipment
is available in an appropriation or fund for the expenditure or obli-
gation.
(2) Funds held in an escrow account under this section shall
not be considered to be public funds.
(Added Pub. L. 102–405, title I, Sec. 103(a)(1), Oct. 9, 1992, 106 Stat. 1974.)
SUBCHAPTER V—ENHANCED-USE LEASES OF REAL

PROPERTY
For the purposes of this subchapter:
(1) The term ‘‘enhanced-use lease’’ means a written lease

entered into by the Secretary under this subchapter.
(2) The term ‘‘congressional veterans’ affairs committees’’
means the Committees on Veterans’ Affairs of the Senate and
the House of Representatives.
(Added Pub. L. 102–86, title IV, Sec. 401(a), Aug. 14, 1991, 105 Stat. 417.)
§ 8162. Enhanced-use leases
(a)(1) The Secretary may in accordance with this subchapter
enter into leases with respect to real property that is under the ju-
risdiction or control of the Secretary. Any such lease under this
subchapter may be referred to as an ‘‘enhanced-use lease’’. The Sec-
retary may dispose of any such property that is leased to another
party under this subchapter in accordance with section 8164 of this
title. The Secretary may exercise the authority provided by this
subchapter notwithstanding section 8122 of this title, subchapter II
of chapter 5 of title 40, sections 541–555 and 1302 of title 40, or
any other provision of law (other than Federal laws relating to en-
vironmental and historic preservation) inconsistent with this sec-
tion. The applicability of this subchapter to section 421(b) of the
Veterans’ Benefits and Services Act of 1988 (Public Law 100–322;
102 Stat. 553) is covered by subsection (c).
(2) The Secretary may enter into an enhanced-use lease only
if—
(A) the Secretary determines that—
(i) at least part of the use of the property under the
lease will be to provide appropriate space for an activity
contributing to the mission of the Department;
(ii) the lease will not be inconsistent with and will not
adversely affect the mission of the Department; and
(iii) the lease will enhance the use of the property; or
(B) the Secretary determines that the implementation of a
business plan proposed by the Under Secretary for Health for
applying the consideration under such a lease to the provision
of medical care and services would result in a demonstrable
improvement of services to eligible veterans in the geographic
service-delivery area within which the property is located.
(3) The provisions of sections 3141–3144, 3146, and 3147 of
title 40 shall not, by reason of this section, become inapplicable to
property that is leased to another party under an enhanced-use
lease.
(4) A property that is leased to another party under an en-
hanced-use lease may not be considered to be unutilized or under-
utilized for purposes of section 501 of the McKinney-Vento Home-
less Assistance Act (42 U.S.C. 11411).
(b)(1)(A) If the Secretary has determined that a property
should be leased to another party through an enhanced-use lease,
the Secretary shall select the party with whom the lease will be en-
tered into using selection procedures determined by the Secretary
that ensure the integrity of the selection process.
(B) In the case of a property that the Secretary determines is
appropriate for use as a facility to furnish services to homeless vet-
erans under chapter 20 of this title, the Secretary may enter into
an enhanced-use lease with a provider of homeless services without
regard to the selection procedures required under subparagraph

(A).
(2) The term of an enhanced-use lease may not exceed 75
years.
(3)(A) Each enhanced-use lease shall be for fair consideration,
as determined by the Secretary. Consideration under such a lease
may be provided in whole or in part through consideration in-kind.
(B) Consideration in-kind may include provision of goods or
services of benefit to the Department, including construction, re-
pair, remodeling, or other physical improvements of Department fa-
cilities, maintenance of Department facilities, or the provision of of-
fice, storage, or other usable space.
(4) The terms of an enhanced-use lease may provide for the
Secretary to—
(A) obtain facilities, space, or services on the leased prop-
erty; and
(B) use minor construction funds for capital contribution
payments.
(c)(1) Subject to paragraph (2), the entering into an enhanced-
use lease covering any land or improvement described in section
421(b)(2) of the Veterans’ Benefits and Services Act of 1988 (Public
Law 100–322; 102 Stat. 553) or section 224(a) of the Military Con-
struction and Veterans Affairs and Related Agencies Appropria-
tions Act, 2008 shall be considered to be prohibited by such sec-
tions unless specifically authorized by law.
(2) The entering into an enhanced-use lease by the Secretary
covering any land or improvement described in such section
421(b)(2) shall not be considered to be prohibited under that section
if under the lease—
(A) the designated property is to be used only for child-
care services;
(B) those services are to be provided only for the benefit
of—
(i) employees of the Department;
(ii) individuals employed on the premises of such prop-
erty; and
(iii) employees of a health-personnel educational insti-
tution that is affiliated with a Department facility;
(C) over one-half of the employees benefited by the child-
care services provided are required to be employees of the De-
partment; and
(D) over one-half of the children to whom child-care serv-
ices are provided are required to be children of employees of
the Department.
Pub. L. 106–117, title II, Sec. 208(a), (b), Nov. 30, 1999, 113 Stat. 1567; Pub. L. 106–
400, Sec. 2, Oct. 30, 2000, 114 Stat. 1675; Pub. L. 107–95, Sec. 10(b), Dec. 21, 2001,
115 Stat. 920; Pub. L. 107–217, Sec. 3(j)(5), Aug. 21, 2002, 116 Stat. 1300; Pub. L.
108–178, Sec. 4(i)(1), Dec. 15, 2003, 117 Stat. 2642; Pub. L. 110–161, div. I, title
II, Sec. 224(c), Dec. 26, 2007, 121 Stat. 2272.)
§ 8163. Hearing and notice requirements regarding pro-

posed leases
(a) If the Secretary proposes to enter into an enhanced-use
lease with respect to certain property, the Secretary shall conduct
a public hearing before entering into the lease. The hearing shall
be conducted in the community in which the property is located. At
the hearing, the Secretary shall receive the views of veterans serv-
ice organizations and other interested parties regarding the pro-
posed lease of the property and the possible effects of the uses to
be made of the property under a lease of the general character then
contemplated. The possible effects to be addressed at the hearing
shall include effects on—
(1) local commerce and other aspects of the local commu-
nity;
(2) programs administered by the Department; and
(3) services to veterans in the community.
(b) Before conducting such a hearing, the Secretary shall pro-
vide reasonable notice to the congressional veterans’ affairs com-
mittees and to the public of the proposed lease and of the hearing.
The notice shall include the following:
(1) The time and place of the hearing.
(2) Identification of the property proposed to be leased.
(3) A description of the proposed uses of the property
under the lease.
(4) A description of how the uses to be made of the prop-
erty under a lease of the general character then con-
templated—
(A) would—
(i) contribute in a cost-effective manner to the
mission of the Department;
(ii) not be inconsistent with the mission of the De-
partment;
(iii) not adversely affect the mission of the Depart-
ment; and
(iv) affect services to veterans; or
(B) would result in a demonstrable improvement of
services to eligible veterans in the geographic service-deliv-
ery area within which the property is located.
(5) A description of how those uses would affect services to
veterans.
(c)(1) If after a hearing under subsection (a) the Secretary in-
tends to enter into an enhanced-use lease of the property involved,
the Secretary shall notify the congressional veterans’ affairs com-
mittees of the Secretary’s intention to enter into such lease and
shall publish a notice of such intention in the Federal Register.
(2) The Secretary may not enter into an enhanced use lease
until the end of the 45-day period beginning on the date of the sub-
mission of notice under paragraph (1).
(3) Each notice under paragraph (1) shall include the following:
(A) An identification of the property involved.
(B) An explanation of the background of, rationale for, and
economic factors in support of, the proposed lease.
(C) A summary of the views expressed by interested par-
ties at the public hearing conducted in connection with the pro-
posed designation, together with a summary of the Secretary’s
evaluation of those views.
(D) A description of the provisions of the proposed lease.
(E) A description of how the proposed lease—
(i) would—
(I) contribute in a cost-effective manner to the
mission of the Department;
(II) not be inconsistent with the mission of the De-
partment;
(III) not adversely affect the mission of the De-
partment; and
(IV) affect services to veterans; or
(ii) would result in a demonstrable improvement of
services to eligible veterans in the geographic service-deliv-
ery area within which the property is located.
(F) A description of how the proposed lease would affect
services to veterans.
(G) A summary of a cost-benefit analysis of the proposed
lease.
Pub. L. 106–117, title II, Sec. 208(c), Nov. 30, 1999, 113 Stat. 1567; Pub. L. 106–
419, title II, Sec. 241, title IV, Sec. 404(b)(1), Nov. 1, 2000, 114 Stat. 1847, 1865;
Pub. L. 108–170, title II, Sec. 202(a), (d)(1), Dec. 6, 2003, 117 Stat. 2047, 2048.)
§ 8164. Authority for disposition of leased property

(a) If, during the term of an enhanced-use lease or within 30
days after the end of the term of the lease, the Secretary deter-
mines that the leased property is no longer needed by the Depart-
ment, the Secretary may initiate action for the transfer to the les-
see of all right, title, and interest of the United States in the prop-
erty . A disposition of property may not be made under this section
unless the Secretary determines that the disposition under this sec-
tion rather than under section 8118 or 8122 of this title is in the
best interests of the Department.
(b) A disposition under this section may be made for such con-
sideration as the Secretary determines is in the best interest of the
United States and upon such other terms and conditions as the
(c) Not less than 45 days before a disposition of property is
made under this section, the Secretary shall notify the congres-
sional veterans’ affairs committees of the Secretary’s intent to dis-
pose of the property and shall publish notice of the proposed dis-
position in the Federal Register. The notice shall describe the back-
ground of, rationale for, and economic factors in support of, the pro-
posed disposition (including a cost-benefit analysis summary) and
the method, terms, and conditions of the proposed disposition.
Pub. L. 108–170, title II, Sec. 202(b), Dec. 6, 2003, 117 Stat. 2047; Pub. L. 108–422,
title IV, Sec. 411(e)(3), Nov. 30, 2004, 118 Stat. 2390.)
§ 8165. Use of proceeds

(a)(1) Funds received by the Department under an enhanced-
use lease and remaining after any deduction from those funds
under subsection (b) shall be deposited in the Department of Vet-
erans Affairs Medical Care Collections Fund established under sec-
tion 1729A of this title.
(2) Funds received by the Department from a disposal of leased
property under section 8164 of this title shall be deposited in the
Department of Veterans Affairs Capital Asset Fund established

(b) An amount sufficient to pay for any expenses incurred by
the Secretary in any fiscal year in connection with an enhanced-
use lease shall be deducted from the proceeds of the lease for that
fiscal year and may be used by the Secretary to reimburse the ac-
count from which the funds were used to pay such expenses. The
Secretary may use the proceeds from any enhanced-use lease to re-
imburse applicable appropriations of the Department for any ex-
penses incurred in the development of additional enhanced-use
leases.
(Added Pub. L. 102–86, title IV, Sec. 401(a), Aug. 14, 1991, 105 Stat. 421; Pub. L.
106–117, title II, Sec. 208(d), Nov. 30, 1999, 113 Stat. 1568; Pub. L. 107–217, Sec.
3(j)(6), Aug. 21, 2002, 116 Stat. 1301; Pub. L. 108–7, div. K, title I, Sec. 113(d)(1),
Feb. 20, 2003, 117 Stat. 482; Pub. L. 108–170, title II, Sec. 202(c), Dec. 6, 2003, 117
Stat. 2048; Pub. L. 108–178, Sec. 4(i)(2), Dec. 15, 2003, 117 Stat. 2642; Pub. L. 108–
422, title IV, Sec. 411(e)(4), Nov. 30, 2004, 118 Stat. 2390.)
§ 8166. Construction standards

(a) Unless the Secretary provides otherwise, the construction,
alteration, repair, remodeling, or improvement of the property that
is the subject of the lease shall be carried out so as to comply with
all standards applicable to construction of Federal buildings. Any
such construction, alteration, repair, remodeling, or improvement
shall not be subject to any State or local law relating to land use,
building codes, permits, or inspections unless the Secretary pro-
vides otherwise.
(b) Unless the Secretary has provided that Federal construc-
tion standards are not applicable to a property, the Secretary shall
conduct periodic inspections of any such construction, alteration,
repair, remodeling, or improvement for the purpose of ensuring
that the standards are met.
Pub. L. 108–422, title IV, Sec. 417, Nov. 30, 2004, 118 Stat. 2393.)
§ 8167. Exemption from State and local taxes

The interest of the United States in any property subject to an
enhanced-use lease and any use by the United States of such prop-
erty during such lease shall not be subject, directly or indirectly,
to any State or local law relative to taxation, fees, assessments, or
special assessments, except sales taxes charged in connection with
any construction, alteration, repair, remodeling, or improvement
project carried out under the lease.
(Added Pub. L. 102–86, title IV, Sec. 401(a), Aug. 14, 1991, 105 Stat. 421.)
ø§ 8168. Repealed. Pub. L. 105–114, title II, Sec. 205(b)(1),

Nov. 21, 1997, 111 Stat. 2288¿
§ 8169. Expiration
The authority of the Secretary to enter into enhanced-use
leases under this subchapter expires on December 31, 2011.
Pub. L. 103–452, title I, Sec. 103(d), Nov. 2, 1994, 108 Stat. 4786; Pub. L. 104–110,
title I, Sec. 101(k), Feb. 13, 1996, 110 Stat. 769; Pub. L. 105–114, title II, Sec.
205(a), Nov. 21, 1997, 111 Stat. 2288; Pub. L. 106–117, title II, Sec. 208(e), Nov.
30, 1999, 113 Stat. 1568.)
1077
øPART VI—ACQUISITION AND DISPOSITION OF
PROPERTY¿
CHAPTER 82—ASSISTANCE IN ESTABLISHING NEW
STATE MEDICAL SCHOOLS; GRANTS TO AFFILIATED
MEDICAL SCHOOLS; ASSISTANCE TO HEALTH MAN-
POWER TRAINING INSTITUTIONS
Sec.
8201. Coordination with public health programs; administration.

8213. Pilot program assistance.
8214. Limitations.
SUBCHAPTER II—GRANTS TO AFFILIATED MEDICAL SCHOOLS

8223. Grants.
SUBCHAPTER III—ASSISTANCE TO PUBLIC AND NONPROFIT INSTITU-

TIONS OF HIGHER LEARNING, HOSPITALS AND OTHER HEALTH MAN-
POWER INSTITUTIONS AFFILIATED WITH THE DEPARTMENT TO IN-
CREASE THE PRODUCTION OF PROFESSIONAL AND OTHER HEALTH
PERSONNEL
8232. Definition.
8233. Grants.
SUBCHAPTER IV—EXPANSION OF DEPARTMENT HOSPITAL EDUCATION

AND TRAINING CAPACITY
8241. Expenditures to remodel and make special allocations to Department hos-
pitals for health manpower education and training.
§ 8201. Coordination with public health programs; adminis-
tration
(a) The Secretary and the Secretary of Health and Human
Services shall, to the maximum extent practicable, coordinate the
programs carried out under this chapter and the programs carried
out under titles VII, VIII, and IX of the Public Health Service Act
(42 U.S.C. 292 et seq.).
(b) The Secretary may not enter into any agreement under
subchapter I of this chapter after September 30, 1979.
(c) The Secretary, after consultation with the special medical
advisory committee established pursuant to section 7312(a) of this
title, shall prescribe regulations covering the terms and conditions
1079
Sec. 8201 CH. 82—GRANTS TO HEALTH INSTITUTIONS 1080
for entering into agreements and making grants under this chap-
ter.
(d) Payments made pursuant to grants under this chapter may
be made in installments, and either in advance or by way of reim-
bursement, with necessary adjustments on account of overpay-
ments or underpayments, as the Secretary may determine.
(e) In carrying out the purposes of this chapter, the Secretary
may lease to any eligible institution for such consideration and
under such terms and conditions as the Secretary deems appro-
priate, such land, buildings, and structures (including equipment
therein) under the control and jurisdiction of the Department as
may be necessary. The three-year limitation on the term of a lease
prescribed in section 8122(a) of this title shall not apply with re-
spect to any lease entered into pursuant to this chapter, but no
such lease may be for a period of more than 50 years. Any lease
entered into pursuant to this chapter may be entered into without
regard to the provisions of section 3709 of the Revised Statutes (41
U.S.C. 5). Notwithstanding section 1302 of title 40, or any other
provision of law, a lease entered into pursuant to this chapter may
provide for the maintenance, protection, or restoration, by the les-
see, of the property leased, as a part or all of the consideration of
the lease.
(f) In making grants under this chapter, the Secretary shall
give special consideration to applications from institutions which
provide reasonable assurances, which shall be included in the grant
agreement, that priority for admission to health manpower and
training programs carried out by such institutions will be given to
otherwise qualified veterans who during their military service ac-
quired medical military occupation specialties, and that among
such qualified veterans those who served during the Vietnam era
and those who are entitled to disability compensation under laws
administered by the Secretary or whose discharge or release was
for a disability incurred or aggravated in line of duty will be given
the highest priority. In carrying out this chapter and section 7302
of this title in connection with health manpower and training pro-
grams assisted or conducted under this title or in affiliation with
a Department medical facility, the Secretary shall take appropriate
steps to encourage the institutions involved to afford the priorities
described in the first sentence of this subsection and to advise all
qualified veterans with such medical military occupation specialties
of the steps the Secretary has taken under this subsection and the
opportunities available to them as a result of such steps.
(g)(1) Each recipient of assistance under this chapter shall
keep such records as the Secretary shall prescribe, including
records which fully disclose the amount and disposition by such re-
cipient of the proceeds of such assistance, the total cost of the
project or undertaking in connection with which such assistance is
made or used, the amount of that portion of the cost of the project
or undertaking supplied by other sources, and such records as will
facilitate an effective audit.
(2) The Secretary and the Comptroller General of the United
States, or any of their duly authorized representatives, shall have
access for the purpose of audit and examination to any books, docu-
1081 CH. 82—GRANTS TO HEALTH INSTITUTIONS Sec. 8213
ments, papers, and records of the recipient of any assistance under

this chapter which are pertinent to such assistance.
Pub. L. 94–581, title I, Sec. 116(1), (2), title II, Sec. 210(f)(1), Oct. 21, 1976, 90 Stat.
2853, 2854, 2865; Pub. L. 96–151, title I, Sec. 103(a), Dec. 20, 1979, 93 Stat. 1093;
Pub. L. 96–330, title IV, Sec. 403(b), Aug. 26, 1980, 94 Stat. 1052; Pub. L. 97–295,
Sec. 4(94), Oct. 12, 1982, 96 Stat. 1313; renumbered Sec. 8201 and amended Pub.
L. 102–40, title IV, Sec. 402(b)(2)(A), (d)(1), 403(b)(6), May 7, 1991, 105 Stat. 239,
240; Pub. L. 102–54, Sec. 14(f)(10), June 13, 1991, 105 Stat. 288; Pub. L. 102–83,
Sec. 4(a)(1), (3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 403–405; Pub. L. 103–446,
title XII, Sec. 1201(d)(20), Nov. 2, 1994, 108 Stat. 4685; Pub. L. 106–419, title IV,
Sec. 403(b), Nov. 1, 2000, 114 Stat. 1864; Pub. L. 107–217, Sec. 3(j)(7), Aug. 21,
2002, 116 Stat. 1301.)

The purpose of this subchapter is to authorize the Secretary to
implement a pilot program under which the Secretary may provide
assistance in the establishment of new State medical schools at col-
leges or universities which are primarily supported by the States
in which they are located if such schools are located in proximity
to, and operated in conjunction with, Department medical facilities.
Pub. L. 94–581, title II, Sec. 210(f)(2), Oct. 21, 1976, 90 Stat. 2865; renumbered Sec.
8211, Pub. L. 102–40, title IV, Sec. 402(b)(2)(B), May 7, 1991, 105 Stat. 239; Pub.
L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)

(a) There is authorized to be appropriated $25,000,000 for the
fiscal year ending June 30, 1973, and a like sum for each of the
six succeeding fiscal years. Sums appropriated pursuant to this sec-
tion shall be used for making grants pursuant to section 8213 of
this title.
tion shall remain available until the end of the sixth fiscal year fol-
lowing the fiscal year for which they are appropriated.
bered Sec. 8212 and amended Pub. L. 102–40, title IV, Sec. 402(b)(2)(B), (d)(1), May
7, 1991, 105 Stat. 239.)
§ 8213. Pilot program assistance

enter into an agreement to provide to any college or university
which is primarily supported by the State in which it is located
(hereinafter in this subchapter referred to as ‘‘institution’’) the fol-
lowing assistance to enable such institution to establish a new
medical school:
(1) The extension, alteration, remodeling, improvement, or
repair of buildings and structures (including, as part of a lease
made under paragraph (1), the provision of equipment) pro-
vided under paragraph (1) to the extent necessary to make
them suitable for use as medical school facilities.
(2) The making of grants to assist the institution to pay
the cost of the salaries of the faculty of such school during the
initial 12-month period of operation of the school and the next

six such 12-month periods, but payment under this paragraph
may not exceed an amount equal to—
(A) 90 percent of the cost of faculty salaries during the
first 12-month period of operation,
(B) 90 percent of such cost during the second such pe-
riod,
(C) 90 percent of such cost during the third such pe-
riod,
(D) 80 percent of such cost during the fourth such pe-
riod,
(E) 70 percent of such cost during the fifth such pe-
riod,
(F) 60 percent of such cost during the sixth such pe-
riod, and
(G) 50 percent of such cost during the seventh and
eighth such periods.
(b)(1) The Secretary may not enter into any agreement under
subsection (a) of this section unless the Secretary finds, and the
agreement includes satisfactory assurances, that—
(A) there will be adequate State or other financial support
for the proposed school;
(B) the overall plans for the school meet such professional
and other standards as the Secretary deems appropriate;
(C) the school will maintain such arrangements with the
Department medical facility with which it is associated (includ-
ing but not limited to such arrangements as may be made
under subchapter IV of chapter 81 of this title) as will be mu-
tually beneficial in the carrying out of the mission of the med-
ical facility and the school; and
(D) on the basis of consultation with the appropriate ac-
creditation body or bodies approved for such purpose by the
Secretary of Education, there is reasonable assurance that,
with the aid of an agreement under subsection (a) of this sec-
tion, such school will meet the accreditation standards of such
body or bodies within a reasonable time.
(2) Any agreement entered into by the Secretary under this
subchapter shall contain such terms and conditions (in addition to
those imposed pursuant to section 8201(e) of this title and sub-
section (b)(1) of this section) as the Secretary deems necessary and
appropriate to protect the interest of the United States.
(c) If the Secretary, in accordance with such regulations as the
Secretary shall prescribe, determines that any school established
with assistance under this chapter—
(1) is not accredited and fails to gain appropriate accredi-
tation within a reasonable period of time;
(2) is accredited but fails substantially to carry out the
terms of the agreement entered into under this chapter; or
(3) is no longer operated for the purpose for which such as-
sistance was granted,
the Secretary shall be entitled to recover from the recipient of as-
sistance under this chapter the facilities of such school which were
established with assistance under this chapter. In order to recover
such facilities the Secretary may bring an action in the district
court of the United States for the district in which such facilities
are situated.
Pub. L. 94–581, title I, Sec. 116(3), (4), title II, Sec. 210(f)(3), Oct. 21, 1976, 90 Stat.
2854, 2865; Pub. L. 97–15, June 17, 1981, 95 Stat. 99; Pub. L. 97–295, Sec. 4(95)(B),
402(b)(2)(B), (d)(1), May 7, 1991, 105 Stat. 239; Pub. L. 102–83, Sec. 4(a)(3), (4),
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8214. Limitations
The Secretary may not use the authority under this subchapter
to assist in the establishment of more than eight new medical
schools. Such schools shall be located in geographically dispersed
areas of the United States.
bered Sec. 8214, Pub. L. 102–40, title IV, Sec. 402(b)(2)(B), May 7, 1991, 105 Stat.
239; amended Pub. L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
SUBCHAPTER II—GRANTS TO AFFILIATED MEDICAL

SCHOOLS
carry out a program of grants to medical schools which have main-
tained affiliations with the Department in order to assist such
schools to expand and improve their training capacities and to co-
operate with institutions of the types assisted under subchapter III
of this chapter in carrying out the purposes of such subchapter.
bered Sec. 8221, Pub. L. 102–40, title IV, Sec. 402(b)(2)(C), May 7, 1991, 105 Stat.
239; amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat.
404, 405.)
(a) There is authorized to be appropriated for carrying out pro-
grams authorized under this chapter $50,000,000 for the fiscal year
ending June 30, 1973; a like sum for each of the six succeeding fis-
cal years; $15,000,000 for the fiscal year ending September 30,
1980; $25,000,000 for the fiscal year ending September 30, 1981;
and $30,000,000 for the fiscal year ending September 30, 1982.
tion shall remain available until the end of the sixth fiscal year fol-
lowing the fiscal year for which they are appropriated.
(c) There is authorized to be appropriated for fiscal year 1979
to carry out the programs authorized under this chapter such sums
as may be necessary (1) to make to institutions with which the Sec-
retary has entered into agreements under subchapter I of this
chapter supplemental grants for which the Secretary had, before
May 1, 1978, approved applications from such institutions, and (2)
to meet fully the commitments made by the Secretary before May
1, 1978, for grants and applications approved under authority of
this subchapter and subchapters III and IV of this chapter, except
that no funds appropriated under this subsection may be used for
grants and applications approved under this subchapter and such
subchapters III and IV until the full amounts for which applica-
tions had been so approved have been obligated under such sub-
chapter I.
Pub. L. 95–520, Sec. 7, Oct. 26, 1978, 92 Stat. 1822; Pub. L. 96–151, title I, Sec.
103(b)(1), Dec. 20, 1979, 93 Stat. 1093; renumbered Sec. 8222, Pub. L. 102–40, title
IV, Sec. 402(b)(2)(C), May 7, 1991, 105 Stat. 239; Pub. L. 102–83, Sec. 4(b)(1), (2)(E),
Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8223. Grants
(a) Any medical school which is affiliated with the Department
under an agreement entered into pursuant to this title may apply
to the Secretary for a grant under this subchapter to assist such
school, in part, to carry out, through the Department medical facil-
ity with which it is affiliated, projects and programs in furtherance
of the purposes of this subchapter, except that no grant shall be
made for the construction of any building which will not be located
on land under the jurisdiction of the Secretary. Any such applica-
tion shall contain such information in such detail as the Secretary
deems necessary and appropriate.
(b) An application for a grant under this section may be ap-
proved by the Secretary only upon the Secretary’s determination
that—
(1) the proposed projects and programs for which the grant
will be made will make a significant contribution to improving
the medical education (including continuing education) pro-
gram of the school;
(2) the application contains or is supported by adequate as-
surance that any Federal funds made available under this sub-
chapter will be supplemented by funds or other resources
available from other sources, whether public or private;
(3) the application sets forth such fiscal control and ac-
counting procedures as may be necessary to assure proper dis-
bursement of, and accounting for, Federal funds expended
under this subchapter; and
(4) the application provides for making such reports, in
such form and containing such information, as the Secretary
may require to carry out the Secretary’s functions under this
subchapter, and for keeping such records and for affording
such access thereto as the Secretary may find necessary to as-
sure the correctness and verification of such reports.
Pub. L. 94–581, title II, Sec. 207, 210(f)(4), Oct. 21, 1976, 90 Stat. 2860, 2865; Pub.
L. 96–151, title I, Sec. 103(b)(2), Dec. 20, 1979, 93 Stat. 1093; renumbered Sec. 8223,
Pub. L. 102–40, title IV, Sec. 402(b)(2)(C), May 7, 1991, 105 Stat. 239; Pub. L. 102–
83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
SUBCHAPTER III—ASSISTANCE TO PUBLIC AND NON-

PROFIT INSTITUTIONS OF HIGHER LEARNING, HOS-
PITALS AND OTHER HEALTH MANPOWER INSTITUTIONS
AFFILIATED WITH THE DEPARTMENT TO INCREASE THE
PRODUCTION OF PROFESSIONAL AND OTHER HEALTH
PERSONNEL
carry out a program of grants to provide assistance in the estab-
lishment of cooperative arrangements among universities, colleges,
junior colleges, community colleges, schools of allied health profes-
sions, State and local systems of education, hospitals, and other
nonprofit health manpower institutions affiliated with the Depart-
ment, designed to coordinate, improve, and expand the training of
professional and technical allied health and paramedical personnel,
and to assist in developing and evaluating new health careers,
interdisciplinary approaches and career advancement opportuni-
ties, so as to improve and expand allied and other health man-
power utilization.
bered Sec. 8231, Pub. L. 102–40, title IV, Sec. 402(b)(2)(D), May 7, 1991, 105 Stat.
239; amended Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat.
404, 405.)
§ 8232. Definition
For the purpose of this subchapter, the term ‘‘eligible institu-
tion’’ means any nonprofit educational facility or other public or
nonprofit institution, including universities, colleges, junior col-
leges, community colleges, schools of allied health professions,
State and local systems of education, hospitals, and other nonprofit
health manpower institutions for the training or education of allied
health or other health personnel affiliated with the Department for
the conduct of or the providing of guidance for education and train-
ing programs for health manpower.
bered Sec. 8232, Pub. L. 102–40, title IV, Sec. 402(b)(2)(D), May 7, 1991, 105 Stat.
239; amended Pub. L. 102–83, Sec. 4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404.)
§ 8233. Grants
(a) Any eligible institution may apply to the Secretary for a
grant under this subchapter to assist such institution to carry out
through the Department medical facility with which it is, or will
become affiliated, educational and clinical projects and programs,
matching the clinical requirements of the facility to the health
manpower training potential of the eligible institution, for the ex-
pansion and improvement of such institution’s capacity to train
health manpower, including physicians’ assistants, nurse practi-
tioners, and other new types of health personnel in furtherance of
the purposes of this subchapter. Any such application shall contain
a plan to carry out such projects and programs and such other in-
formation in such detail as the Secretary deems necessary and ap-
propriate.
(b) An application for a grant under this section may be ap-

proved by the Secretary only upon the Secretary’s determination
that—
(1) the proposed projects and programs for which the grant
will be made will make a significant contribution to improving
the education (including continuing education) or training pro-
gram of the eligible institution;
(2) the application contains or is supported by adequate as-
surance that any Federal funds made available under this sub-
chapter will be supplemented by funds or other resources
available from other sources, whether public or private;
(3) the application sets forth such fiscal control and ac-
counting procedures as may be necessary to assure proper dis-
bursement of, and accounting for, Federal funds expended
under this subchapter; and
(4) the application provides for making such reports, in
such form and containing such information, as the Secretary
may require to carry out the Secretary’s functions under this
subchapter, and for keeping such records and for affording
such access thereto as the Secretary may find necessary to as-
sure the correctness and verification of such reports.
Pub. L. 94–581, title II, Sec. 210(f)(5), Oct. 21, 1976, 90 Stat. 2866; Pub. L. 96–330,
title IV, Sec. 405, Aug. 26, 1980, 94 Stat. 1052; renumbered Sec. 8233, Pub. L. 102–
40, title IV, Sec. 402(b)(2)(D), May 7, 1991, 105 Stat. 239; Pub. L. 102–83, Sec.
4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
SUBCHAPTER IV—EXPANSION OF DEPARTMENT HOSPITAL

EDUCATION AND TRAINING CAPACITY
§ 8241. Expenditures to remodel and make special alloca-
tions to Department hospitals for health manpower
education and training
Out of funds appropriated to the Department pursuant to the
authorization in section 8222 of this title, the Secretary may ex-
pend such sums as the Secretary deems necessary, not to exceed
30 per centum thereof, for (1) the necessary extension, expansion,
alteration, improvement, remodeling, or repair of Department
buildings and structures (including provision of initial equipment,
replacement of obsolete or worn-out equipment, and, where nec-
essary, addition of classrooms, lecture facilities, laboratories, and
other teaching facilities) to the extent necessary to make them suit-
able for use for health manpower education and training in order
to carry out the purpose set forth in section 7302, and (2) special
allocations to Department hospitals and other medical facilities for
the development or initiation of improved methods of education and
training which may include the development or initiation of plans
which reduce the period of required education and training for
health personnel but which do not adversely affect the quality of
such education or training.
Pub. L. 94–581, title II, Sec. 210(f)(6), Oct. 21, 1976, 90 Stat. 2866; renumbered Sec.
8241 and amended Pub. L. 102–40, title IV, Sec. 402(b)(2)(E), (d)(1), 403(b)(7), May
7, 1991, 105 Stat. 239, 240; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6,
1991, 105 Stat. 404, 405.)
1087
PROPERTY¿
CHAPTER 83—ACCEPTANCE OF GIFTS AND BEQUESTS
Sec.
8301. Authority to accept gifts, devises, and bequests.
8302. Legal proceedings.
8303. Restricted gifts.
8304. Disposition of property.
§ 8301. Authority to accept gifts, devises, and bequests

The Secretary may accept devises, bequests, and gifts, made in
any manner, with respect to which the testator or donor shall have
indicated the intention that such property shall be for the benefit
of groups of persons formerly in the active military, naval, or air
service who by virtue of such service alone, or disability suffered
therein or therefrom, are or shall be patients or members of any
one or more hospitals or homes operated by the United States Gov-
ernment, or has indicated the intention that such property shall be
for the benefit of any such hospital or home, or shall be paid or de-
livered to any official, as such, or any agency in administrative con-
trol thereof. The Secretary may also accept, for use in carrying out
all laws administered by the Secretary, gifts, devises, and bequests
which will enhance the Secretary’s ability to provide services or
benefits.
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405; Pub. L. 102–86, title V, Sec. 504, Aug. 14,
1991, 105 Stat. 426.)
§ 8302. Legal proceedings

For the purpose of acquiring title to and possession of any
property which the Secretary is by this chapter authorized to ac-
cept, the Secretary may initiate and appear in any appropriate
legal proceedings, and take such steps therein or in connection
therewith as in the Secretary’s discretion may be desirable and ap-
propriate to reduce said property to possession. The Secretary may
incur such expenses incident to such proceedings as the Secretary
deems necessary or appropriate, which shall be paid as are other
administrative expenses of the Department. All funds received by
devise, bequest, gift, or otherwise, for the purposes contemplated in
this chapter, including net proceeds of sales authorized by this
chapter, shall be deposited with the Treasurer of the United States
to the credit of the General Post Fund.
1089
Sec. 8303 CH. 83—ACCEPTANCE OF GIFTS AND BEQUESTS 1090
title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4),
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8303. Restricted gifts

Disbursements from the General Post Fund shall be made on
orders by and within the discretion of the Secretary and in the
manner prescribed in section 8523 of this title; except that (1) if
the testator or donor has directed or shall direct that the devise,
bequest, or gift be devoted to a particular use authorized by this
chapter, the same, less expenses incurred, or the net proceeds
thereof, shall be used or disbursed as directed, except that a preca-
tory direction shall be fulfilled only insofar as may be proper or
practicable; and (2) if the testator or donor shall have indicated the
desire that the devise, bequest, or gift shall be for the benefit of
persons in hospitals or homes, or other institutions operated by the
United States but under the jurisdiction of an official other than
the Secretary, the same, less expenses incurred, or the net proceeds
thereof which may come into possession of the Secretary, shall be
disbursed by transfer to the governing authorities of such institu-
tion, or otherwise, in such manner as the Secretary may determine,
for the benefit of the persons in the institution indicated by the tes-
tator or donor, for proper purposes, as nearly as practicable in con-
formity with such desire of the testator or donor.
L. 102–83, Sec. 4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8304. Disposition of property

If the Secretary receives any property other than moneys as
contemplated by this chapter, the Secretary is authorized in the
Secretary’s discretion to sell, assign, transfer, and convey the same,
or any interest therein claimed by virtue of such devise, bequest,
or gift, for such price and upon such terms as the Secretary deems
advantageous (including consent to partition of realty and com-
promise of contested claim of title) and the Secretary’s assignment,
deed, or other conveyance of any such property, executed in the
name and on behalf of the United States, shall be valid to pass to
the purchaser thereof such title to said property as the United
States, beneficially or as trustee of the General Post Fund, may
have by virtue of any such devise, bequest, or gift, and the pro-
ceedings incident thereto, subject to the conditions, limitations, and
provisions of the instruments so executed by the Secretary.
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8305. Savings provision

(a) Nothing contained in this chapter shall be construed to re-
peal or modify any law authorizing the acceptance of devises, be-
quests, or gifts to the United States for their own use and benefit
or for any particular purpose specified by the donors or testators.
1091 CH. 83—ACCEPTANCE OF GIFTS AND BEQUESTS Sec. 8305
(b) Whenever the United States receives property and it ap-

pears that it is, or shall have been, the intention of the testator or
donor that such devise, bequest, or gift be for the benefit of those
persons described in section 8301 of this title, or any particular
hospital or other institution operated primarily for their benefit,
such property or the proceeds thereof shall be credited to the Gen-
eral Post Fund, and shall be used or disbursed in accordance with
the provisions of this chapter.
239.)
1093
PROPERTY¿
CHAPTER 85—DISPOSITION OF DECEASED VETERANS’
PERSONAL PROPERTY
SUBCHAPTER I—PROPERTY LEFT ON DEPARTMENT FACILITY
Sec.
8502. Disposition of unclaimed personal property.
8503. Notice of provisions of this subchapter.
8504. Disposition of other unclaimed property.
8505. Sale or other disposition of property.
8506. Notice of sale.
8507. Payment of small shipping charges.
8508. Relinquishment of Federal jurisdiction.
8509. Definitions.
8510. Finality of decisions.
SUBCHAPTER II—DEATH WHILE PATIENT OF DEPARTMENT FACILITY
8521. Presumption of contract for disposition of personalty.
8522. Sale of assets accruing to the Fund.
8523. Disbursements from the Fund.
8524. Disposal of remaining assets.
8525. Court actions.
8526. Filing of claims for assets.
8527. Notice of provisions of subchapter.
8528. Investment of the Fund.
SUBCHAPTER I—PROPERTY LEFT ON DEPARTMENT

FACILITY
§ 8501. Vesting of property left by decedents
(a) Personal property left by any decedent upon premises used
as a Department facility, which premises are subject to the exclu-
sive legislative jurisdiction of the United States and are within the
exterior boundaries of any State or dependency of the United
States, shall vest and be disposed of as provided in this subchapter,
except that—
(1) if such person died leaving a last will and testament
probated under the laws of the place of such person’s domicile
or under the laws of the State or dependency of the United
States within the exterior boundaries of which such premises
or a part thereof may be, the personal property of such dece-
dent situated upon such premises shall vest in the person or
persons entitled thereto under the provisions of such last will
and testament; and
(2) if such person died leaving any such property not dis-
posed of by a last will and testament probated in accord with
1095
Sec. 8502 CH. 85—DECEASED VETERANS’ PERSONAL PROPERTY 1096
the provisions of paragraph (1) such property shall vest in the

persons entitled to take such property by inheritance under
and upon the conditions provided by the law of the decedent’s
domicile. This paragraph shall not apply to property to which
the United States is entitled except where such title is divested
out of the United States.
(b) Any officer or employee of the United States in possession
of any such property may deliver same to the executor (or the ad-
ministrator with will annexed) who shall have qualified in either
jurisdiction as provided in subsection (a)(1); or if none such then
to the domiciliary administrator or to any other qualified adminis-
trator who shall demand such property. When delivery shall have
been made to any such executor or administrator in accordance
with this subsection, neither the United States nor any officer or
employee thereof shall be liable therefor.
Aug. 6, 1991, 105 Stat. 404.)
§ 8502. Disposition of unclaimed personal property

(a) Notwithstanding the provisions of section 8501 of this title,
the Secretary may dispose of the personal property of such dece-
dent left or found upon such premises as hereafter provided in this
subchapter.
(b) If any veteran (admitted as a veteran), or a dependent or
survivor of a veteran receiving care under the penultimate sentence
of section 1781(b) of this title, upon such person’s last admission
to, or during such person’s last period of maintenance in, a Depart-
ment facility, has personal property situated on such facility and
shall have designated in writing a person (natural or corporate) to
receive such property when such veteran, dependent or survivor
dies, the Secretary or employee of the Department authorized by
the Secretary so to act, may transfer possession of such personal
property to the person so designated. If there exists no person so
designated by such veteran, dependent, or survivor or if the one so
designated declines to receive such property, or failed to request
such property within ninety days after the Department mails to
such designate a notice of death and of the fact of such designation,
a description of the property, and an estimate of transportation
cost, which shall be paid by such designate if required under the
regulations hereinafter mentioned, or if the Secretary declines to
transfer possession to such designate, possession of such property
may in the discretion of the Secretary or the Secretary’s designated
subordinate, be transferred to the following persons in the order
and manner herein specified unless the parties otherwise agree in
writing delivered to the Department, namely, executor or adminis-
trator, or if no notice of appointment received, to the spouse, chil-
dren, grandchildren, parents, grandparents, siblings of the veteran.
If claim is made by two or more such relatives having equal prior-
ities, as hereinabove prescribed, or if there are conflicting claims
the Secretary or the Secretary’s designee may in such case deliver
the property either jointly or separately in equal values, to those
equally entitled thereto or may make delivery as may be agreed
1097 CH. 85—DECEASED VETERANS’ PERSONAL PROPERTY Sec. 8503
upon by those entitled, or may in the discretion of the Secretary

or the Secretary’s designee withhold delivery from them and re-
quire the qualification of an administrator or executor of the vet-
erans’ estate and thereupon make delivery to such.
(c) If the property of any decedent is not so delivered or
claimed and accepted the Secretary or the Secretary’s designee may
dispose of such property by public or private sale in accordance
with the provisions of this subchapter and regulations prescribed
by the Secretary.
(d) All sales authorized by this subchapter shall be for cash
upon delivery at the premises where sold and without warranty,
express or implied. The proceeds of such sales after payment of any
expenses incident thereto as may be prescribed by regulations, to-
gether with any other moneys left or found on a facility, not dis-
posed of in accordance with this subchapter, shall be credited to
the General Post Fund, National Homes, Department of Veterans
Affairs, a trust fund provided for in section 1321(a)(45) of title 31.
In addition to the purposes for which such fund may be used under
the existing law, disbursements may be made therefrom as author-
ized by the Secretary by regulation or otherwise for the purpose of
satisfying any legal liability incurred by any employee in admin-
istering the provisions of this subchapter, including any expense in-
curred in connection therewith. Legal liability shall not exist when
delivery or sale shall have been made in accordance with this sub-
chapter.
(e) If, notwithstanding such sale, a claim is filed with the Sec-
retary within five years after notice of sale as herein required, by
or on behalf of any person or persons who if known would have
been entitled to the property under section 8501 of this title or to
possession thereof under this section, the Secretary shall determine
the person or persons entitled under the provisions of this sub-
chapter and may pay to such person or persons so entitled the pro-
ceeds of sale of such property, less expenses. Such payment shall
be made out of the said trust fund, and in accord with the provi-
sions of this section or section 8501 of this title. Persons under
legal disability to sue in their own name may make claim for the
proceeds of sale of such property at any time within five years after
termination of such legal disability.
(f) Any such property, the sale of which is authorized under
this subchapter and which remains unsold, may be used, destroyed,
or otherwise disposed of in accordance with regulations promul-
gated by the Secretary.
Sec. 208(a), Oct. 21, 1976, 90 Stat. 2860; Pub. L. 97–258, Sec. 3(k)(9), Sept. 13, 1982,
May 7, 1991, 105 Stat. 238, 239; Pub. L. 102–54, Sec. 14(f)(11), June 13, 1991, 105
Stat. 288; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), 5(c)(1), Aug. 6, 1991, 105
Stat. 404–406; Pub. L. 103–446, title XII, Sec. 1201(i)(11), Nov. 2, 1994, 108 Stat.
4689; Pub. L. 107–135, title II, Sec. 208(e)(9), Jan. 23, 2002, 115 Stat. 2464.)
§ 8503. Notice of provisions of this subchapter

All persons having or bringing personal property on the prem-
ises of a Department facility shall be given reasonable notice of the
provisions of this subchapter. In case of a mentally incompetent
person, notice hereof shall be given the guardian or other person

having custody or control of such person or, if none, to such per-
son’s nearest relative if known. The admission to or continued
maintenance in such facility after reasonable notice of the provi-
sions of this subchapter shall constitute consent to the provisions
hereof. The death of any person on any such facility or the leaving
of property thereon shall be prima facie evidence of a valid agree-
ment for the disposition of such property in accordance with the
provisions of this subchapter.
Aug. 6, 1991, 105 Stat. 404.)
§ 8504. Disposition of other unclaimed property
Any other unclaimed property found on the premises under the
control of the Department shall be stored by the officer in charge
of such premises and may be sold, used, destroyed, or otherwise
disposed of in accordance with regulations promulgated by the Sec-
retary if the owner thereof fails to claim same within ninety days.
If undisposed of, the same may be reclaimed by the owner, such
person’s personal representative or next of kin, upon payment of
reasonable storage charges prescribed by regulations. If sold, the
net proceeds thereof shall be credited to said post fund to be ex-
pended as other assets of such fund. The person who was entitled
to such property, or such person’s legal representative, or assignee,
shall be paid the proceeds of sale thereof, less expenses if claim
therefor be made within five years from the date of finding. If the
owner shall have died intestate without creditors or next of kin
surviving, such proceeds shall not be paid to such person’s legal
representative.
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8505. Sale or other disposition of property

Any unclaimed personal property as described in section 8502
of this title of veterans who have heretofore died or who may here-
after die while maintained as such in a Department facility, and
also any unclaimed property heretofore or hereafter found or situ-
ated in such facility, may be sold, used, destroyed, or otherwise dis-
posed of in accordance with this subchapter, and subject to regula-
tions promulgated by the Secretary pursuant hereto; and the net
proceeds of sale thereof shall be credited and be subject to dis-
bursement as provided in this subchapter.
239; Pub. L. 102–83, Sec. 4(a)(3), (4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8506. Notice of sale

At least ninety days before any sale pursuant to this sub-
chapter, written or printed notice thereof describing the property to
be sold shall be mailed to the owner of the property or, if deceased,
to the owner’s executor or administrator, or to the nearest kin, if
any such appear by the records of the Department. If none such ap-
pears from said records, similar notice shall be posted at the facil-
ity where the death occurred or property shall have been found (if
in existence) and at the place where such property is situated at
the time of such notice, and also at the place where probate notices
are posted in the county wherein the sale is to be had. The person
posting such notice shall make an affidavit setting forth the time
and place of such posting and attaching thereto a copy of such no-
tice, and such affidavit shall be prima facie evidence of such post-
ing and admissible in evidence as proof of the same.
Aug. 6, 1991, 105 Stat. 404.)
§ 8507. Payment of small shipping charges

Upon receipt of a proper claim for such property under the pro-
visions of this subchapter the Secretary is hereby authorized, in
the Secretary’s discretion and in accordance with regulations pre-
scribed by the Secretary, to pay mailing or shipping charges not to
exceed $25 in the case of each deceased veteran as hereinabove de-
fined.
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8508. Relinquishment of Federal jurisdiction

Subject to the provisions of this subchapter and to the extent
necessary to effectuate the purposes of this subchapter, there is
hereby relinquished to the respective State or dependency of the
United States such jurisdiction pertaining to the administration of
estates of decedents as may have been ceded to the United States
by said State or dependency of the United States respecting the
Federal reservation on which is situated any Department facility
while such facility is operated by the Department; such jurisdiction
with respect to any such property on any such reservation to be to
the same extent as if such premises had not been ceded to the
United States. Nothing in this section shall be construed to deprive
any State or dependency of the United States of any jurisdiction
which it now has nor to give any State, possession, or dependency
of the United States authority over any Federal official as such on
such premises or otherwise.
4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404.)
The term ‘‘facility’’ or ‘‘Department facility’’ as used in this sub-
chapter means those facilities over which the Department has di-
rect and exclusive administrative jurisdiction, including hospitals
or other facilities on property owned or leased by the United States
while operated by the Department.
4(a)(3), (4), Aug. 6, 1991, 105 Stat. 404.)
§ 8510. Finality of decisions
Decisions by the Secretary under this subchapter shall not be
reviewable administratively by any other officer of the United
States.
4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
SUBCHAPTER II—DEATH WHILE PATIENT OF DEPARTMENT

FACILITY
§ 8520. Vesting of property left by decedents
(a) Whenever any veteran (admitted as a veteran), or a de-
pendent or survivor of a veteran receiving care under the penul-
timate sentence of section 1781(b) of this title, shall die while a
member or patient in any facility, or any hospital while being fur-
nished care or treatment therein by the Department, and shall not
leave any surviving spouse, next of kin, or heirs entitled, under the
laws of the decedent’s domicile, to the decedent’s personal property
as to which such person dies intestate, all such property, including
money and choses in action, owned by such person at the time of
death and not disposed of by will or otherwise, shall immediately
vest in and become the property of the United States as trustee for
the sole use and benefit of the General Post Fund (hereinafter in
this subchapter referred to as the ‘‘Fund’’), a trust fund prescribed
by section 1321(a)(45) of title 31.
(b) The provisions of subsection (a) are conditions precedent to
the initial, and also to the further furnishing of care or treatment
by the Department in a facility or hospital. The acceptance and the
continued acceptance of care or treatment by any veteran (admitted
as a veteran to a Department facility or hospital) shall constitute
an acceptance of the provisions and conditions of this subchapter
and have the effect of an assignment, effective at such person’s
death, of such assets in accordance with and subject to the provi-
sions of this subchapter and regulations issued in accordance with
this subchapter.
Sec. 208(b), Oct. 21, 1976, 90 Stat. 2860; Pub. L. 97–258, Sec. 3(k)(9), Sept. 13, 1982,
Stat. 238; Pub. L. 102–83, Sec. 4(a)(3), (4), 5(c)(1), Aug. 6, 1991, 105 Stat. 404, 406;
Pub. L. 107–14, Sec. 8(a)(16), June 5, 2001, 115 Stat. 35; Pub. L. 107–135, title II,
Sec. 208(e)(9), Jan. 23, 2002, 115 Stat. 2464.)
§ 8521. Presumption of contract for disposition of personalty

The fact of death of a veteran (admitted as such), or a depend-
ent or survivor of a veteran receiving care under the penultimate
sentence of section 1781(b) of this title, in a facility or hospital,
while being furnished care or treatment therein by the Depart-
ment, leaving no spouse, next of kin, or heirs, shall give rise to a
conclusive presumption of a valid contract for the disposition in ac-
cordance with this subchapter, but subject to its conditions, of all
property described in section 8520 of this title owned by said dece-

dent at death and as to which such person dies intestate.
Sec. 208(c), Oct. 21, 1976, 90 Stat. 2860; Pub. L. 99–576, title VII, Sec. 701(100),
4(a)(3), (4), 5(c)(1), Aug. 6, 1991, 105 Stat. 404, 406; Pub. L. 107–135, title II, Sec.
208(e)(9), Jan. 23, 2002, 115 Stat. 2464.)
§ 8522. Sale of assets accruing to the Fund
Any assets heretofore or hereafter accruing to the benefit of
the Fund, other than money, but including jewelry and other per-
sonal effects, may be sold at the times and places and in the man-
ner prescribed by regulations issued by the Secretary. Upon receipt
of the purchase price the Secretary is authorized to deliver at the
place of sale, said property sold, and upon request to execute and
deliver appropriate assignments or other conveyances thereof in
the name of the United States, which shall pass to the purchaser
such title as decedent had at date of death. The net proceeds after
paying any proper sales expense as determined by the Secretary
shall forthwith be paid to the Treasurer of the United States to the
credit of the Fund; and may be disbursed as are other moneys in
the Fund by the Division of Disbursements, Treasury Department,
upon order of said Secretary. Articles of personal adornment which
are obviously of sentimental value, shall be retained and not sold
or otherwise disposed of until the expiration of five years from the
date of death of the veteran, without a claim therefor, unless for
sanitary or other proper reasons it is deemed unsafe to retain
same, in which event they may be destroyed forthwith. Any other
articles coming into possession of the Secretary or the Secretary’s
representative by virtue of this subchapter which, under regula-
tions promulgated by the Secretary, are determined to be unsalable
may be destroyed forthwith or at the time prescribed by regula-
tions, or may be used for the purposes for which disbursements
might properly be made from the Fund, or if not usable, otherwise
disposed of in accordance with regulations.
Sec. 701(101), Oct. 28, 1986, 100 Stat. 3300; renumbered Sec. 8522, Pub. L. 102–
40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8523. Disbursements from the Fund

Disbursements from the Fund shall be made by the Division
of Disbursements, Treasury Department, upon the order and with-
in the discretion of the Secretary for the benefit of members and
patients while being supplied care or treatment by the Department
in any facility or hospital. The authority contained in the preceding
sentence is not limited to facilities or hospitals under direct admin-
istrative control of the Department. There shall be paid out of the
assets of the decedent so far as may be the valid claims of creditors
against the decedent’s estate that would be legally payable there-
from in the absence of this subchapter and without the benefit of
any exemption statute, and which may be presented to the Depart-
ment within one year from the date of death, or within the time,
to the person, and in the manner required or permitted by the law
of the State wherein administration, if any, is had upon the estate

of the deceased veteran; and also the proper expenses and costs of
administration, if any. If the decedent’s estate is insolvent the dis-
tribution to creditors shall be in accordance with the laws of the
decedent’s domicile, and the preferences and priorities prescribed
thereby shall govern, subject to any applicable law of the United
States.
(4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8524. Disposal of remaining assets

The remainder of such assets or their proceeds shall become
assets of the United States as trustee for the Fund and disposed
of in accordance with this subchapter. If there is administration
upon the decedent’s estate such assets, other than money, upon
claim therefor within the time required by law, shall be delivered
by the administrator of the estate to the Secretary or the Sec-
retary’s authorized representative, as upon final distribution; and
upon the same claim there shall be paid to the Treasurer of the
United States for credit to the Fund any such money, available for
final distribution. In the absence of administration, any money,
chose in action, or other property of the deceased veteran held by
any person shall be paid or transferred to the Secretary upon de-
mand by the Secretary or the Secretary’s duly authorized rep-
resentative, who shall deliver itemized receipt therefor. Such pay-
ment or transfer shall constitute a complete acquittance of the
transferor with respect to any claims by any administrator, cred-
itor, or next of kin of such decedent.
40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238; Pub. L. 102–83, Sec. 4(b)(1),
(2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8525. Court actions

If necessary to obtain such assets the Secretary, through the
Secretary’s authorized attorneys, may bring and prosecute appro-
priate actions at law or other legal proceedings, the costs and ex-
penses thereof to be paid as are other administrative expenses of
the Department.
(4), (b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8526. Filing of claims for assets

Notwithstanding the crediting to said Fund of the assets, or
proceeds thereof, of any decedent, whether upon determination by
a court or the Department pursuant to the provisions of section
8520 of this title, any person claiming a right to such assets may
within five years after the death of the decedent file a claim on be-
half of such person and any other claiming with the Secretary.
Upon receipt of due proof that any person was at date of death of
the veteran entitled to the veteran’s personal property, or a part
thereof, under the laws of the State of domicile of the decedent, the
Secretary may pay out of the Fund, but not to exceed the net
amount credited thereto from said decedent’s estate less any nec-
essary expenses, the amount to which such person, or persons, was
or were so entitled, and upon similar claim any assets of the dece-
dent which shall not have been disposed of shall be delivered in
kind to the parties legally entitled thereto. If any person so entitled
is under legal disability at the date of death of such decedent, such
five-year period of limitation shall run from the termination or re-
moval of legal disability. In the event of doubt as to entitlement,
the Secretary may cause administration or other appropriate pro-
ceedings to be instituted in any court having jurisdiction. In deter-
mining questions of fact or law involved in the adjudication of
claims made under this section, no judgment, decree, or order en-
tered in any action at law, suit in equity, or other legal proceeding
of any character purporting to determine entitlement to said assets
or any part thereof, shall be binding upon the United States or the
Secretary or determinative of any fact or question involving entitle-
ment to any such property or the proceeds thereof, or any part of
the Fund, unless the Secretary has been seasonably served with
notice and permitted to become a party to such suit or proceeding
if the Secretary makes a request therefor within thirty days after
such notice. Notice may be served in person or by registered mail
or by certified mail upon the Secretary, or upon the Secretary’s au-
thorized attorney in the State wherein the action or proceedings
may be pending. Notice may be waived by the Secretary or by the
Secretary’s authorized attorney, in which event the finding, judg-
ment, or decree shall have the same effect as if the Secretary were
a party and served with notice. Any necessary court costs or ex-
penses if authorized by the Secretary may be paid as are other ad-
ministrative expenses of the Department.
(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8527. Notice of provisions of subchapter

The Secretary shall prescribe a form of application for hospital
treatment and domiciliary care which shall include notice of the
provisions of this subchapter.
4(b)(1), (2)(E), Aug. 6, 1991, 105 Stat. 404, 405.)
§ 8528. Investment of the Fund

Money in the Fund not required for current disbursements
may be invested and reinvested by the Secretary of the Treasury
in interest-bearing obligations of the United States or in obliga-
tions guaranteed as to both principal and interest by the United
States.
L. 102–40, title IV, Sec. 402(b)(1), May 7, 1991, 105 Stat. 238.)

Title 38

Uploaded by

Copyright:

Available Formats

Title 38

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Title 38

Uploaded by

Copyright:

Available Formats

TITLE 38, UNITED STATES CODE —

[AS AMENDED THROUGH P.L. 111-5, ENACTED FEBRUARY 17, 2009]

For changes after the closing date of this document (February

PART II—GENERAL BENEFITS

PART III—READJUSTMENT AND RELATED BENEFITS

PART IV—GENERAL ADMINISTRATIVE PROVISIONS

PART V—BOARDS, ADMINISTRATIONS, AND SERVICES

PART VI—ACQUISITION AND DISPOSITION OF PROPERTY

CHAPTER 3—DEPARTMENT OF VETERANS AFFAIRS

CHAPTER 5—AUTHORITY AND DUTIES OF THE SECRETARY

SUBCHAPTER II—SPECIFIED FUNCTIONS

SUBCHAPTER III—ADVISORY COMMITTEES

CHAPTER 9—SECURITY AND LAW ENFORCEMENT ON PROP-

PART II—GENERAL BENEFITS

SUBCHAPTER II—WARTIME DISABILITY COMPENSATION

SUBCHAPTER III—WARTIME DEATH COMPENSATION

SUBCHAPTER IV—PEACETIME DISABILITY COMPENSATION

SUBCHAPTER V—PEACETIME DEATH COMPENSATION

SUBCHAPTER VI—GENERAL COMPENSATION PROVISIONS

1159. Protection of service connection.

CHAPTER 13—DEPENDENCY AND INDEMNITY

SUBCHAPTER II—DEPENDENCY AND INDEMNITY

CHAPTER 15—PENSION FOR NON-SERVICE-CONNECTED

SUBCHAPTER II—VETERANS’ PENSIONS

1523. Combination of ratings.

SUBCHAPTER III—PENSIONS TO SURVIVING SPOUSES AND

SUBCHAPTER IV—ARMY, NAVY, AIR FORCE, AND COAST

CHAPTER 17—HOSPITAL, NURSING HOME, DOMICILIARY,

SUBCHAPTER II—HOSPITAL, NURSING HOME, OR

1716. Hospital care by other agencies of the United States.

SUBCHAPTER III—MISCELLANEOUS PROVISIONS RELATING

SUBCHAPTER IV—HOSPITAL CARE AND MEDICAL TREAT-

SUBCHAPTER V—PAYMENTS TO STATE HOMES

SUBCHAPTER VI—SICKLE CELL ANEMIA

SUBCHAPTER VIII—HEALTH CARE OF PERSONS OTHER

CHAPTER 18—BENEFITS FOR CHILDREN OF VIETNAM

SUBCHAPTER I—CHILDREN OF VIETNAM VETERANS BORN

SUBCHAPTER II—CHILDREN OF WOMEN VIETNAM

SUBCHAPTER III—CHILDREN OF CERTAIN KOREA SERVICE

SUBCHAPTER IV—GENERAL PROVISIONS

1902. Premium rates and policy values.

SUBCHAPTER II—UNITED STATES GOVERNMENT LIFE

SUBCHAPTER III—SERVICEMEMBERS’ GROUP LIFE

1968. Duration and termination of coverage; conversion.

CHAPTER 20—BENEFITS FOR HOMELESS VETERANS

SUBCHAPTER II—COMPREHENSIVE SERVICE PROGRAMS

SUBCHAPTER III—TRAINING AND OUTREACH

SUBCHAPTER IV—TREATMENT AND REHABILITATION FOR

SUBCHAPTER V—HOUSING ASSISTANCE

2042. Supported housing for veterans participating in compensated work thera-

SUBCHAPTER VI—LOAN GUARANTEE FOR MULTIFAMILY

SUBCHAPTER VII—OTHER PROVISIONS

CHAPTER 21—SPECIALLY ADAPTED HOUSING FOR

CHAPTER 23—BURIAL BENEFITS

CHAPTER 24—NATIONAL CEMETERIES AND MEMORIALS

2408. Aid to States for establishment, expansion, and improvement of veterans’

PART III—READJUSTMENT AND RELATED BENEFITS

SUBCHAPTER II—BASIC EDUCATIONAL ASSISTANCE

SUBCHAPTER III—SUPPLEMENTAL EDUCATIONAL