article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Helping Our Professionals Educationally (HOPE) Act of 2001''. SEC. 2. TRANSFER OF ENTITLEMENT TO EDUCATIONAL ASSISTANCE UNDER MONTGOMERY GI BILL BY MEMBERS OF THE ARMED FORCES WITH CRITICAL MILITARY SKILLS. (a) Authority To Transfer to Family Members.--(1) Subchapter II of chapter 30 of title 38, United States Code, is amended by adding at the end the following new section: ``Sec. 3020. Transfer of entitlement to basic educational assistance: members of the Armed Forces with critical military skills ``(a) In General.--Subject to the provisions of this section, each Secretary concerned may, for the purpose of enhancing recruitment and retention of members of the Armed Forces with critical military skills and at such Secretary's sole discretion, permit an individual described in subsection (b) who is entitled to basic educational assistance under this subchapter to elect to transfer, in whole or in part, up to one- half of such individual's entitlement to such assistance to the dependents specified in subsection (c). ``(b) Eligible Individuals.--An individual referred to in subsection (a) is any member of the Armed Forces who, at the time of the approval by the Secretary concerned of the member's request to transfer entitlement to basic educational assistance under this section-- ``(1) has completed six years of service in the Armed Forces; ``(2) either-- ``(A) has a critical military skill designated by the Secretary concerned for purposes of this section; or ``(B) is in a military specialty designated by the Secretary concerned for purposes of this section as requiring critical military skills; and ``(3) enters into an agreement to serve at least four more years as a member of the Armed Forces. ``(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 paragraphs (1) and (2). ``(d) Limitation on Months of Transfer.--The total number of months of entitlement transferred by an individual under this section may not exceed 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 and the percentage of such entitlement to be transferred to each such dependent; and ``(2) specify the period for which the transfer shall be effective 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 individual's request to transfer such entitlement without regard to whether 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 portion of the entitlement so transferred. ``(B) 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 Veterans Affairs. ``(g) Commencement of Use.--A dependent to whom entitlement to basic educational assistance is transferred under this section may not commence the use of the transferred entitlement until the following: ``(1) In the case of entitlement transferred to a spouse, the completion by the individual making the transfer of 6 years of service in the Armed Forces. ``(2) In the case of entitlement transferred to a child, both-- ``(A) the completion by the individual making the transfer 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 certificate); 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 (4) and (5), a dependent to whom entitlement is transferred under this section is entitled to basic educational assistance under this subchapter in the same manner and at the same rate as the individual from whom the entitlement was transferred. ``(3) The death of an individual transferring an entitlement under this section shall not affect the use of the entitlement by the individual to whom the entitlement is transferred. ``(4) Notwithstanding section 3031 of this title, a child to whom entitlement is transferred under this section may not use any entitlement so transferred after attaining the age of 26 years. ``(5) 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. ``(6) 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 diploma (or equivalency certificate). ``(i) Overpayment.--(1) In the event of an overpayment of basic educational assistance with respect to a dependent to whom entitlement is transferred under this section, the dependent 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 of this title. ``(2) Except as provided in paragraph (3), if an individual transferring 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 subsection, 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 overpayment of basic educational 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 Appropriations.--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 personnel are available in the fiscal year for purposes of making transfers of funds under section 2006 of title 10 with respect to such transfers of entitlement. ``(k) Regulations.--The Secretary of Defense shall prescribe regulations for purposes of this section. Such regulations shall specify the manner and effect of an election to modify or revoke a transfer of entitlement under subsection (f)(2), and shall specify the manner of the applicability of the administrative provisions referred to in subsection (h)(5) to a dependent to whom entitlement is transferred under this section. ``(l) Annual Reports.--(1) Not later than January 31, 2003, and each year thereafter, each Secretary concerned shall submit to the Committees on Armed Services 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 such Secretary during the preceding year. ``(2) Each report shall set forth-- ``(A) the number of transfers of entitlement under this section that were approved by such Secretary during the preceding year; or ``(B) if no transfers of entitlement under this section were approved by such Secretary during that year, a justification for such Secretary's decision not to approve any such transfers of entitlement during that year. ``(m) Secretary Concerned Defined.--Notwithstanding section 101(25) of this title, in this section, the term `Secretary concerned' means-- ``(1) the Secretary of the Army with respect to matters concerning the Army; ``(2) the Secretary of the Navy with respect to matters concerning the Navy or the Marine Corps; ``(3) the Secretary of the Air Force with respect to matters concerning the Air Force; and ``(4) the Secretary of the Defense with respect to matters concerning the Coast Guard, or the Secretary of Transportation when it is not operating as a service in the Navy.''. (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 3019 the following new item: ``3020. Transfer of entitlement to basic educational assistance: members of the Armed Forces with critical military skills.''. (b) Treatment under Department of Defense Education Benefits Fund.--Section 2006(b)(2) of title 10, United States Code, is amended by adding at the end the following: ``(D) The present value of the future benefits payable from the Fund as a result of transfers under section 3020 of title 38 of entitlement to basic educational assistance under chapter 30 of title 38.''. (c) Plan for Implementation.--Not later than June 30, 2002, the Secretary of Defense shall submit to Congress a report describing the manner in which the Secretaries of the military departments and the Secretary of Transportation propose to exercise the authority granted by section 3020 of title 38, United States Code, as added by subsection (a). SEC. 3. AUTHORITY FOR ACCELERATED PAYMENTS OF BASIC EDUCATIONAL ASSISTANCE UNDER MONTGOMERY GI BILL. (a) In General.--Section 3014 of title 38, United States Code, is amended by adding at the end the following new subsection: ``(c)(1)(A) Notwithstanding any other provision of this chapter and subject to subparagraph (B), an individual entitled to basic educational assistance under this subchapter may elect to receive an accelerated payment of the basic educational assistance allowance. ``(B) The Secretary may not make an accelerated payment for a course to an individual who has received an advance payment under section 3680(d) of this title for the same enrollment period. ``(2)(A) Pursuant to an election under paragraph (1), the Secretary shall make an accelerated payment to an individual for a course in a lump-sum amount equal to the lesser of-- ``(i) the amount of the educational assistance allowance for the month, or fraction thereof, in which the course begins plus the educational assistance allowance for each of the succeeding four months; or ``(ii)(I) in the case of a course offered on a quarter, semester, or term basis, the amount of aggregate monthly educational assistance allowance otherwise payable under this subchapter for the course for the entire quarter, semester, or term; or ``(II) in the case of a course that is not offered on a quarter, semester, or term basis, the amount of aggregate monthly educational assistance allowance otherwise payable under this subchapter for the entire course. ``(B) In the case of an adjustment under section 3015(h) of this title in the monthly rate of basic educational assistance that occurs during a period for which an accelerated payment is made under this subsection, the Secretary shall pay-- ``(i) on an accelerated basis the amount of the allowance otherwise payable under this subchapter for the period without regard to the adjustment under that section; and ``(ii) on the date of the adjustment any additional amount of the allowance that is payable for the period as a result of the adjustment. ``(3) For each accelerated payment made to an individual under this subsection, the individual's entitlement under this subchapter shall be charged at the same rate at which the entitlement would be charged if the individual had received a monthly educational assistance allowance for the period of educational pursuit covered by the accelerated payment. ``(4) The Secretary shall prescribe regulations to carry out this subsection. The regulations shall include the requirements, conditions, and methods for the request, issuance, delivery, certification of receipt and use, and recovery of overpayment of an accelerated payment under this subsection.''. (b) Effective Date.--The amendment made by subsection (a) shall take effect on the date that is six months after the date of the enactment of this Act, and shall apply with respect to courses of education beginning on or after that date. SEC. 4. AVAILABILITY OF MONTGOMERY GI BILL BENEFITS FOR TRAINING FOR TECHNOLOGICAL OCCUPATIONS OFFERED BY ENTITIES OTHER THAN EDUCATIONAL INSTITUTIONS. (a) In General.--Section 3452(c) of title 38, United States Code, is amended to read as follows: ``(c) The term `educational institution' means the following: ``(1) Any public or private elementary school, secondary school, vocational school, correspondence school, business school, junior college, teachers' college, college, normal school, professional school, university, or scientific or technical institution, or other institution furnishing education for adults. ``(2) Any entity that provides training required for completion of any State-approved alternative teacher certification program (as determined by the Secretary). ``(3) Any entity that provides, either directly or under an agreement with another entity, a course or courses to fulfill the requirements for the attainment of a license or certificate generally recognized as necessary to obtain, maintain, or advance in employment in a vocation or profession in a technological occupation (as defined by the Secretary).''. (b) Effective Date.--The amendment made by subsection (a) shall take effect on October 1, 2001, and shall apply with respect to training courses, approved by the Secretary of Veterans Affairs, for certification for technological occupations beginning on or after that date. SEC. 5. MODIFICATION OF TIME FOR USE BY CERTAIN MEMBERS OF SELECTED RESERVE OF ENTITLEMENT TO CERTAIN EDUCATIONAL ASSISTANCE. Section 16133(b) of title 10, United States Code, is amended by adding at the end the following new paragraph: ``(5)(A) In the case of a person who continues to serve as member of the Selected Reserve as of the end of the 10-year period applicable to the person under subsection (a), as extended, if at all, under paragraph (4), the period during which the person may use the person's entitlement shall expire at the end of the 5-year period beginning on the date the person is separated from the Selected Reserve. ``(B) Subparagraph (A) shall not apply with respect to an individual otherwise described by that subparagraph who is separated from the armed forces under other than honorable conditions. ``(C) The provisions of paragraph (4) shall apply with respect to any period of active duty of a person referred to in subparagraph (A) during the 5-year period referred to in that subparagraph.''.
summary: Helping Our Professionals Educationally (HOPE) Act of 2001 - Authorizes the Secretary of each military department to permit a member who is entitled to basic educational assistance under the Veterans Educational Assistance Program (VEAP), has served at least six years, has a critical military skill or is in a military specialty designated as critical, and agrees to serve at least four more years to transfer such assistance to one or more dependents. Allows up to 18 months of entitlement to be transferred. Prohibits a spouse from using such assistance until the transferor has completed six years of service. Prohibits a child from using such assistance until the transferor has completed ten years of service and the child has completed secondary school requirements or is 18 years of age.Authorizes a VEAP-entitled individual to elect to receive an accelerated lump-sum payment of basic educational assistance, under specified conditions.Makes Montgomery GI Bill benefits available for training which leads to licensing or certification in technological occupations.Makes members who continue in the Selected Reserve beyond the ten-year period required for entitlement to educational assistance eligible for such assistance for five years after separation from such service (unless such separation is under other than honorable conditions).