[104th Congress Public Law 275]
[From the U.S. Government Printing Office]


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[DOCID: f:publ275.104]


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               VETERANS' BENEFITS IMPROVEMENTS ACT OF 1996

[[Page 110 STAT. 3322]]

Public Law 104-275
104th Congress

                                 An Act


 
To amend title 38, United States Code, to improve the benefits programs 
  administered by the Secretary of Veterans Affairs, to provide for a 
       study of the Federal programs for veterans, and for other 
             purposes. <<NOTE: Oct. 9, 1996 -  [S. 1711]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, <<NOTE: Veterans' 
Benefits Improvements Act of 1996.>> 

<<NOTE: 38 USC 101 note.>> SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Veterans' Benefits 
Improvements Act of 1996''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to title 38, United States Code.

                       TITLE I--EDUCATION BENEFITS

Sec. 101. Employment handicap for which an individual may receive 
           training and rehabilitation assistance.
Sec. 102. Permanent authority for alternative teacher certification 
           programs.
Sec. 103. Period of operation for approval.
Sec. 104. Elimination of distinction between open circuit TV and 
           independent study.
Sec. 105. Cooperative programs.
Sec. 106. Enrollment of certain VEAP participants in Montgomery GI Bill. 

Sec. 107. Montgomery GI Bill eligibility for certain active duty members 
           of Army and Air National Guard. 

                 TITLE II--HOUSING AND MEMORIAL AFFAIRS

                           Subtitle A--Housing

Sec. 201. Extension of enhanced loan asset sale authority.
Sec. 202. Direct loans to refinance loans under Native American veteran 
           housing loan pilot program.

                      Subtitle B--Memorial Affairs

Sec. 211. Clarification of eligibility of minors for burial in national 
           cemeteries.
Sec. 212. Burial benefits for certain veterans who die in State nursing 
           homes.
Sec. 213. Outer burial receptacles. 

                   TITLE III--EMPLOYMENT AND TRAINING

              Subtitle A--Veterans' Employment and Training

Sec. 301. Regional Administrator.
Sec. 302. Support personnel for Directors of Veterans' Employment and 
           Training.
Sec. 303. Pilot program to integrate and streamline functions of local 
           veterans' employment representatives.

  Subtitle B--Technical Amendments Relating to the Uniformed Services 
             Employment and Reemployment Rights Act of 1994

Sec. 311. Amendments to chapter 43 of title 38, United States Code.
Sec. 312. Amendments to transition rules and effective dates.
Sec. 313. Effective dates.

[[Page 110 STAT. 3323]]

               TITLE IV--VETERANS LIFE INSURANCE PROGRAMS

Sec. 401. Short title.
Sec. 402. Merger of Retired Reserve Servicemembers' Group Life Insurance 
           and Veterans' Group Life Insurance and extension of Veterans' 
           Group Life Insurance to members of the Ready Reserve.
Sec. 403. Conversion of SGLI and VGLI to commercial life insurance 
           policy.
Sec. 404. Information to be provided members concerning automatic 
           maximum coverage of $200,000 under Servicemen's Group Life 
           Insurance.
Sec. 405. Renaming of Servicemen's Group Life Insurance program.
Sec. 406. Technical amendment.

     TITLE V--DEPARTMENT OF VETERANS AFFAIRS ADMINISTRATIVE MATTERS

Sec. 501. Revision of authority relating to Centers for Minority 
           Veterans and Women Veterans. 
Sec. 502. Limitation on clothing allowance for incarcerated veterans.
Sec. 503. Extension of Veterans' Claims Adjudication Commission.
Sec. 504. Pilot program for use of contract physicians for disability 
           examinations.
Sec. 505. Expansion of period of Vietnam era for certain veterans. 
Sec. 506. Payment of benefit to surviving spouse for month in which 
           veteran dies.
Sec. 507. Increase in period for which accrued benefits payable.
Sec. 508. Appointment of veterans service organizations as claimants' 
           representatives.
Sec. 509. Provision of copies of Board of Veterans' Appeals decisions.
Sec. 510. Limitation on relocation or reduction in staffing of certain 
           elements of the Education Service of the Veterans Benefits 
           Administration.

                         TITLE VI--OTHER MATTERS

Sec. 601. Extension of certain authorities for services for homeless 
           veterans.
Sec. 602. Repair and long-term maintenance of war memorials.

    TITLE VII--COMMISSION ON SERVICEMEMBERS AND VETERANS TRANSITION 
                               ASSISTANCE

Sec. 701. Establishment of Commission.
Sec. 702. Duties of Commission.
Sec. 703. Powers of Commission.
Sec. 704. Miscellaneous administrative provisions.
Sec. 705. Commission personnel matters.
Sec. 706. Termination of Commission.
Sec. 707. Definitions.
Sec. 708. Funding.

SEC. 2. REFERENCES TO TITLE 38, UNITED STATES CODE.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to or repeal 
of a section or other provision, the reference shall be considered to be 
made to a section or other provision of title 38, United States Code.

                       TITLE I--EDUCATION BENEFITS

SEC. 101. EMPLOYMENT HANDICAP FOR WHICH AN INDIVIDUAL MAY RECEIVE 
                        TRAINING AND REHABILITATION ASSISTANCE.

    (a) Definitions.--Section 3101 is amended--
            (1) in paragraph (1), by inserting ``, resulting in 
        substantial part from a disability described in section 
        3102(1)(A) of this title,'' after ``impairment'';
            (2) in paragraph (6), by inserting ``authorized under 
        section 3120 of this title'' after ``assistance''; and
            (3) in paragraph (7), by inserting ``, resulting in 
        substantial part from a service-connected disability rated at 10 
        percent or more,'' after ``impairment''.

    (b) Basic Entitlement.--Section 3102 is amended--

[[Page 110 STAT. 3324]]

            (1) in paragraph (1)(A)(i), by striking out ``which is'' and 
        all that follows through ``chapter 11 of this title and'' and 
        inserting in lieu thereof ``rated at 20 percent or more'';
            (2) in paragraph (2)(A), by striking out ``which is'' and 
        all that follows through ``chapter 11 of this title and'' and 
        inserting in lieu thereof ``rated at 10 percent''; and
            (3) by amending paragraph (2)(B) to read as follows:
                    ``(B) is determined by the Secretary to be in need 
                of rehabilitation because of a serious employment 
                handicap.''.

    (c) Periods of Eligibility.--Section 3103 is amended--
            (1) in subsection (b)(3), by striking out ``described in 
        section 3102(1)(A)(i) of this title'' and inserting in lieu 
        thereof ``rated at 10 percent or more'';
            (2) in subsection (c)--
                    (A) in the matter preceding paragraph (1), by 
                striking out ``particular'' and inserting in lieu 
                thereof ``current''; and
                    (B) in paragraph (2), by striking out ``veteran's 
                employment'' and inserting in lieu thereof ``veteran's 
                current employment''; and
            (3) in subsection (d), by striking out ``under this 
        chapter'' and inserting in lieu thereof ``in accordance with the 
        provisions of section 3120 of this title''.

    (d) Scope of Services and Assistance.--Section 3104 is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)--
                          (i) by striking out ``such veteran's 
                      disability or disabilities cause'' and inserting 
                      in lieu thereof ``the veteran has an employment 
                      handicap or''; and
                          (ii) by inserting ``reasonably'' after ``goal 
                      is'';
                    (B) in paragraph (7)(A)--
                          (i) by striking out ``(i)''; and
                          (ii) by striking out ``, and (ii)'' and all 
                      that follows through ``such Act''; and
                    (C) in paragraph (12), by striking out ``For the 
                most severely disabled veterans requiring'' and 
                inserting in lieu thereof ``For veterans with the most 
                severe service-connected disabilities who require''; and
            (2) by striking out subsection (b) and redesignating 
        subsection (c) as subsection (b).

    (e) Duration of Rehabilitation Programs.--Paragraph (1) of section 
3105(c) is amended by striking out ``veteran's employment'' and 
inserting in lieu thereof ``veteran's current employment''.
    (f) Initial and Extended Evaluations; Determinations Regarding 
Serious Employment Handicap.--(1) Section 3106 is amended--
            (A) in subsection (a), by striking out ``described in clause 
        (i) or (ii) of section 3102(1)(A) of this title'' and inserting 
        in lieu thereof ``rated at 10 percent or more'';
            (B) in subsection (b), by striking out ``counseling in 
        accordance with'';
            (C) in subsection (c), by striking out ``with extended'' and 
        inserting in lieu thereof ``with an extended''; and

[[Page 110 STAT. 3325]]

            (D) by redesignating subsections (d) and (e) as subsections 
        (e) and (f), respectively, and inserting after subsection (c) 
        the following new subsection:

    ``(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 feasible, the Secretary 
shall determine whether the veteran is capable of participating in a 
program of independent living services and assistance under section 3120 
of this title.''.
    (2) Chapter 31 is amended--
            (A) in section 3107(c)(2), by striking out ``3106(e)'' and 
        inserting in lieu thereof ``3106(f)'';
            (B) in section 3109, by striking out ``3106(d)'' and 
        inserting in lieu thereof ``3106(e)'';
            (C) in section 3118(c), by striking out ``3106(e)'' and 
        inserting in lieu thereof ``3106(f)''; and
            (D) in section 3120(b), by striking out ``3106(d)'' and 
        inserting in lieu thereof ``3106(d) or (e)''.

    (g) Allowances.--Section 3108 is amended--
            (1) in subsection (a)(2), by striking out ``following the 
        conclusion of such pursuit'' and inserting in lieu thereof 
        ``while satisfactorily following a program of employment 
        services provided under section 3104(a)(5) of this title''; and
            (2) in subsection (f)(1)--
                    (A) in subparagraph (A)--
                          (i) by inserting ``eligible for and'' after 
                      ``veteran is'';
                          (ii) by striking out ``chapter 30 or 34'' and 
                      inserting in lieu thereof ``chapter 30''; and
                          (iii) by striking out ``either chapter 30 or 
                      chapter 34'' and inserting in lieu thereof 
                      ``chapter 30''; and
                    (B) in subparagraph (B), by striking out ``chapter 
                30 or 34'' and inserting in lieu thereof ``chapter 30''.

    (h) Employment Assistance.--Paragraph (1) of section 3117(a) is 
amended by inserting ``rated at 10 percent or more'' after 
``disability''.
    (i) Program of Independent Living Services and Assistance.--Section 
3120 is amended--
            (1) in subsection (b), by striking out ``service-connected 
        disability described in section 3102(1)(A)'' and inserting in 
        lieu thereof ``serious employment handicap resulting in 
        substantial part from a service-connected disability described 
        in section 3102(1)(A)(i)''; and
            (2) in subsection (d), by striking out ``and (b)''.

    (j) <<NOTE: 38 USC 3101 note.>>  Effective Date.--(1) Except as 
provided in paragraph (2), the amendments made by this section shall 
take effect on the date of the enactment of this Act.

    (2) The amendments made by subsection (a) (other than paragraph 
(2)), subsection (d) (other than subparagraphs (A) and (B) of paragraph 
(1)), and subsection (i) shall only apply with respect to claims of 
eligibility or entitlement to services and assistance (including claims 
for extension of such services and assistance) under chapter 31 of title 
38, United States Code, received by the Secretary of Veterans Affairs on 
or after the date of the enactment of this Act, including those claims 
based on original applications, and applications seeking to reopen, 
revise, reconsider, or otherwise

[[Page 110 STAT. 3326]]

adjudicate or readjudicate on any basis claims for services and 
assistance under such chapter.
SEC. 102. PERMANENT AUTHORITY FOR ALTERNATIVE TEACHER 
                        CERTIFICATION PROGRAMS.

    Subsection (c) of section 3452 is amended by striking out ``For the 
period ending on September 30, 1996, such'' and inserting in lieu 
thereof ``Such''.

SEC. 103. PERIOD OF OPERATION FOR APPROVAL.

    (a) In General.--(1) Chapter 36 is amended--
            (A) by striking out section 3689; and
            (B) by striking out the item relating to section 3689 in the 
        table of sections at the beginning of such chapter.

    (2) Subparagraph (C) of section 3680A(d)(2) is amended by striking 
out ``3689(b)(6) of this title'' and inserting in lieu thereof 
``subsection (g)''.
    (b) Disapproval of Enrollment in Certain Courses.--Section 3680A is 
amended by adding after subsection (d) the following new subsections:
    ``(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 institution 
if--
            ``(1) the educational institution has been operating for 
        less than two years;
            ``(2) the course is offered at a branch of the educational 
        institution 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 
        institution 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 educational 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), the Secretary may 
approve the enrollment of an eligible veteran in a course approved under 
this chapter if the course is offered by an educational institution 
under contract with the Department of Defense or the Department of 
Transportation and is given on or immediately adjacent to a military 
base, Coast Guard station, National Guard facility, or facility of the 
Selected Reserve.''.
    (c) Approval of Accredited Courses.--Subsection (b) of section 3675 
is amended to read as follows:

[[Page 110 STAT. 3327]]

    ``(b) As a condition of approval under this section, the State 
approving 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 
        enforced.
            ``(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.''.
SEC. 104. ELIMINATION OF DISTINCTION BETWEEN OPEN CIRCUIT TV AND 
                        INDEPENDENT STUDY.

    (a) Veterans' Educational Assistance Program.--Subsection (f) of 
section 3482 is amended by striking out ``in part''.
    (b) Survivors' and Dependents' Educational Assistance.--Section 3523 
is amended--
            (1) in subsection (a)(4), by inserting ``(including open 
        circuit television)'' after ``independent study program'' the 
        second place it appears; and
            (2) in subsection (c), by striking out ``radio'' and all 
        that follows through the end and inserting in lieu thereof 
        ``radio.''.

    (c) Administration of Educational Benefits.--Subsection (c) of 
section 3680A is amended by striking out ``radio'' and all that follows 
through the end and inserting in lieu thereof ``radio.''.

SEC. 105. COOPERATIVE PROGRAMS.

    (a) Chapter 30.--Section 3032 is amended by striking out subsection 
(d) and redesignating subsections (e) and (f) as subsections (d) and 
(e), respectively.
    (b) Chapter 32.--Section 3231 is amended by striking out subsection 
(d) and redesignating subsections (e) and (f) as subsections (d) and 
(e), respectively.
    (c) Chapter 35.--Subsection (b) of section 3532 is amended by 
striking out ``$327'' and inserting in lieu thereof ``$404''.
    (d) Chapter 1606.--Section 16131 of title 10, United States Code, is 
amended--
            (1) by striking out subsection (e) and redesignating 
        subsections (f), (g), (h), (i), and (j) as subsections (e), (f), 
        (g), (h), and (i), respectively; and
            (2) in subsection (b)(1), by striking out ``(g)'' and 
        inserting in lieu thereof ``(f)''.
SEC. 106. ENROLLMENT OF CERTAIN VEAP PARTICIPANTS IN MONTGOMERY GI 
                        BILL.

    (a) In General.--Subchapter II of chapter 30 is amended by inserting 
after section 3018B the following new section:

``Sec. 3018C. Opportunity for certain VEAP participants to enroll

    ``(a) Notwithstanding any other provision of law, an individual 
who--

[[Page 110 STAT. 3328]]

            ``(1) is a participant on the date of the enactment of the 
        Veterans' Benefits Improvements Act of 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 
        completed the requirements of a secondary school diploma (or 
        equivalency certificate) or has successfully completed the 
        equivalent of 12 semester hours in a program of education 
        leading to a standard college degree;
            ``(4) if discharged or released from active duty during the 
        one-year period specified in paragraph (5), is discharged or 
        released therefrom with an honorable discharge; and
            ``(5) during the one-year period beginning on the date of 
        the enactment of the Veterans' Benefits Improvements Act of 
        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 
        prescribed by the Secretary of Defense for the purpose of 
        carrying out this section or which the Secretary of 
        Transportation 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 individual 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 
        miscellaneous 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.
    ``(2) For each individual who is disenrolled from such program, the 
Secretary shall refund--
            ``(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 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

[[Page 110 STAT. 3329]]

subsection (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.
    ``(d) The procedures provided in regulations referred to in 
subsection (a) shall provide for notice of the requirements of 
subparagraphs (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.''.
    (b) Conforming Amendments.--(1) The table of sections at the 
beginning of chapter 30 is amended by inserting after the item relating 
to section 3018B the following new item:

``3018C. Opportunity for certain VEAP participants to enroll.''.

    (2) Subsection (d) of section 3013 is amended by striking out ``or 
3018B'' and inserting in lieu thereof ``, 3018B, or 3018C''.
    (3) Subsection (f) of section 3015 is amended by inserting 
``, 3018B, or 3018C'' after ``section 3018A''.
    (c) Transfer of Educational Assistance Funds.--(1) Subparagraph (B) 
of section 3232(b)(2) is amended--
            (A) by striking out ``, for the purposes of section 1322(a) 
        of title 31,''; and
            (B) by striking out ``as provided in such section'' and 
        inserting in lieu thereof ``to the Secretary for payments for 
        entitlement earned under subchapter II of chapter 30''.

    (2) Paragraph (1) of section 3035(b) is amended by inserting before 
the period at the end the following: ``and from transfers from the Post-
Vietnam Era Veterans Education Account pursuant to section 3232(b)(2)(B) 
of this title''.
SEC. 107. MONTGOMERY GI BILL ELIGIBILITY FOR CERTAIN ACTIVE DUTY 
                        MEMBERS OF ARMY AND AIR NATIONAL GUARD.

    (a) In General.--Paragraph (7) of section 3002 is amended by 
striking out ``November 29, 1989'' and inserting in lieu thereof ``June 
30, 1985''.
<<NOTE: 38 USC 3002 note.>>     (b) Application.--(1) An individual may 
only become eligible for benefits under chapter 30 of title 38, United 
States Code, as a result of the amendment made by subsection (a) by 
making an election to become entitled to basic educational assistance 
under such chapter. The election may only be made during the nine-month 
period beginning on the date of the enactment of this Act and in the 
manner required by the Secretary of Defense.

    (2) In the case of any individual making an election under paragraph 
(1)--
            (A) the basic pay of an individual who, while a member of 
        the Armed Forces, makes an election under paragraph (1) 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
            (B) to the extent that basic pay is not so reduced before 
        the individual's discharge or release from active duty, the 
        Secretary of Veterans Affairs shall collect from an individual 
        who makes such an election an amount equal to the difference 
        between $1,200 and the total amount of reductions under 
        subparagraph (A), which amount shall be paid into the Treasury 
        as miscellaneous receipts.

[[Page 110 STAT. 3330]]

    (3) In the case of any individual making an election under paragraph 
(1), the 10-year period referred to in section 3031 of such title shall 
begin on the later of--
            (A) the date determined under such section 3031; or
            (B) the date on which the election under paragraph (1) 
        becomes effective.

                 TITLE II--HOUSING AND MEMORIAL AFFAIRS

                           Subtitle A--Housing

SEC. 201. EXTENSION OF ENHANCED LOAN ASSET SALE AUTHORITY.

    Paragraph (2) of section 3720(h) is amended by striking out 
``December 31, 1996'' and inserting in lieu thereof ``December 31, 
1997''.
SEC. 202. DIRECT LOANS TO REFINANCE LOANS UNDER NATIVE AMERICAN 
                        VETERAN HOUSING LOAN PILOT PROGRAM.

    (a) Authority.--Section 3762 is amended--
            (1) by redesignating subsection (h) as subsection (i); and
            (2) by inserting after subsection (g) the following new 
        subsection (h):

    ``(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 subsection 
unless the loan meets the requirements set forth in subparagraphs (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 purposes 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.''.
    (b) Loan Fee.--Section 3729(a)(2)(E) is amended by striking out ``or 
3712(a)(1)(F)'' and inserting in lieu thereof ``3712(a)(1)(F), or 
3762(h)''.

                      Subtitle B--Memorial Affairs

SEC. 211. CLARIFICATION OF ELIGIBILITY OF MINORS FOR BURIAL IN 
                        NATIONAL CEMETERIES.

    Section 2402(5) is amended by inserting after ``minor child'' the 
following: ``(which for purposes of this chapter includes a child under 
21 years of age, or under 23 years of age if pursuing a course of 
instruction at an approved educational institution)''.
SEC. 212. BURIAL BENEFITS FOR CERTAIN VETERANS WHO DIE IN STATE 
                        NURSING HOMES.

    Subsection (a) of section 2303 is amended to read as follows:

[[Page 110 STAT. 3331]]

    ``(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 advertisement for 
        proposals for supplies and services for the Department; 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 Department facility (as defined in section 1701(4) 
        of this title) to which the deceased was properly admitted for 
        hospital, nursing home, or domiciliary care under section 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 under section 1741 of this title.''.

SEC. 213. OUTER BURIAL RECEPTACLES.

    (a) In General.--Subsection (d) of section 2306 is amended--
            (1) in paragraph (1), by striking out ``a grave liner'' each 
        place it appears and inserting in lieu thereof ``an outer burial 
        receptacle'';
            (2) in paragraph (2)--
                    (A) by striking out ``grave liners'' and inserting 
                in lieu thereof ``outer burial receptacles''; and
                    (B) by striking out ``specifications and 
                procedures'' and inserting in lieu thereof ``regulations 
                or procedures''; and
            (3) by adding at the end the following:

    ``(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 
        survivors, 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 
                incurred by the Secretary (or, with respect to Arlington 
                National 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.''.

[[Page 110 STAT. 3332]]

    (b) Conforming Amendments.--(1) The heading of such section is 
amended to read as follows:

``Sec. 2306. Headstones, markers, and burial receptacles''.

    (2) The table of sections at the beginning of chapter 23 is amended 
by striking out the item relating to section 2306 and inserting in lieu 
thereof the following new item:

``2306. Headstones, markers, and burial receptacles.''.

                   TITLE III--EMPLOYMENT AND TRAINING

              Subtitle A--Veterans' Employment and Training

SEC. 301. REGIONAL ADMINISTRATOR.

    Paragraph (1) of section 4102A(e) is amended by adding at the end 
the following: ``Each Regional Administrator appointed after the date of 
the enactment of the Veterans' Benefits Improvements Act of 1996 shall 
be a veteran.''.
SEC. 302. SUPPORT PERSONNEL FOR DIRECTORS OF VETERANS' EMPLOYMENT 
                        AND TRAINING.

    Subsection (a) of section 4103 is amended--
            (1) in the first sentence, by striking out ``full-time 
        Federal clerical support'' and inserting in lieu thereof ``full-
        time Federal clerical or other support personnel''; and
            (2) in the third sentence, by striking out ``Full-time 
        Federal clerical support personnel'' and inserting in lieu 
        thereof ``Full-time Federal clerical or other support 
        personnel''.
<<NOTE: 38 USC 4104 note.>> SEC. 303. PILOT PROGRAM TO INTEGRATE 
                        AND STREAMLINE FUNCTIONS OF LOCAL 
                        VETERANS' EMPLOYMENT REPRESENTATIVES.

    (a) Authority To Conduct Pilot Program.--In order to assess the 
effects on the timeliness and quality of services to veterans resulting 
from re-focusing the staff resources of local veterans' employment 
representatives, the Secretary of Labor may conduct a pilot program 
under which the primary responsibilities of local veterans' employment 
representatives will be case management and the provision and 
facilitation of direct employment and training services to veterans.
    (b) Authorities Under Chapter 41.--To implement the pilot program, 
the Secretary of Labor may suspend or limit application of those 
provisions of chapter 41 of title 38, United States Code (other than 
sections 4104(b)(1) and (c)) that pertain to the Local Veterans' 
Employment Representative Program in States designated by the Secretary 
under subsection (d), except that the Secretary may use the authority of 
such chapter, as the Secretary may determine, in conjunction with the 
authority of this section, to carry out the pilot program. The Secretary 
may collect such data as the Secretary considers necessary for 
assessment of the pilot program. The Secretary shall measure and 
evaluate on a continuing basis the effectiveness of the pilot program in 
achieving its stated goals in general, and in achieving such goals in 
relation

[[Page 110 STAT. 3333]]

to their cost, their effect on related programs, and their structure and 
mechanisms for delivery of services.
    (c) Targeted Veterans.--Within the pilot program, eligible veterans 
who are among groups most in need of intensive services, including 
disabled veterans, economically disadvantaged veterans, and veterans 
separated within the previous four years from active military, naval, or 
air service shall be given priority for service by local veterans' 
employment representatives. Priority for the provision of service shall 
be given first to disabled veterans and then to the other categories of 
veterans most in need of intensive services in accordance with 
priorities determined by the Secretary of Labor in consultation with 
appropriate State labor authorities.
    (d) States Designated.--The pilot program shall be limited to not 
more than five States to be designated by the Secretary of Labor.
    (e) Reports to Congress.--(1) Not later than one year after the date 
of the enactment of this Act, the Secretary of Labor shall submit to the 
Committees on Veterans' Affairs of the Senate and the House of 
Representatives an interim report describing in detail the development 
and implementation of the pilot program on a State by State basis.
    (2) Not later than 120 days after the expiration of this section 
under subsection (h), the Secretary of Labor shall submit to the 
Committees on Veterans' Affairs of the Senate and the House of 
Representatives a final report evaluating the results of the pilot 
program and make recommendations based on the evaluation, which may 
include legislative recommendations.
    (f) Definitions.--For the purposes of this section:
            (1) The term ``veteran'' has the meaning given such term by 
        section 101(2) of title 38, United States Code.
            (2) The term ``disabled veteran'' has the meaning given such 
        term by section 4211(3) of such title.
            (3) The term ``active military, naval, or air service'' has 
        the meaning given such term by section 101(24) of such title.

    (g) Allocation of Funds.--Any amount otherwise available for fiscal 
year 1997, 1998, or 1999 to carry out section 4102A(b)(5) of title 38, 
United States Code, with respect to a State designated by the Secretary 
of Labor pursuant to subsection (d) shall be available to carry out the 
pilot program during that fiscal year with respect to that State.
    (h) Expiration Date.--The authority to carry out the pilot program 
under this section shall expire on October 1, 1999.

  Subtitle B--Technical Amendments Relating to the Uniformed Services 
             Employment and Reemployment Rights Act of 1994

SEC. 311. AMENDMENTS TO CHAPTER 43 OF TITLE 38, UNITED STATES 
                        CODE.

    Chapter 43 is amended as follows:
            (1) Section 4301(a)(2) is amended by striking out ``under 
        honorable conditions''.

[[Page 110 STAT. 3334]]

            (2) Section 4303(16) is amended by inserting ``national'' 
        before ``emergency''.
            (3) Section 4311 is amended by striking out subsections (b) 
        and (c) and inserting in lieu thereof the following:

    ``(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 investigation under this chapter, or (4) 
has exercised a right provided for in this chapter. The prohibition in 
this subsection shall apply with respect 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, 
        application for membership, service, application for service, or 
        obligation for service in the uniformed services is a motivating 
        factor 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 
        enforce 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 
        participation in an investigation under this chapter, or (D) 
        exercise of a right provided for in this chapter, is a 
        motivating factor 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.''.
            (4) Section 4312 is amended--
                    (A) in subsection (a), by striking out ``who is 
                absent from a position of employment'' and inserting in 
                lieu thereof ``whose absence from a position of 
                employment is necessitated'';
                    (B) in subsection (c)--
                          (i) by striking out ``section 270'' in 
                      paragraph (3) and inserting in lieu thereof 
                      ``section 10147''; and
                          (ii) in paragraph (4)--
                                    (I) by striking out ``section 
                                672(a), 672(g), 673, 673b, 673c, or 
                                688'' in subparagraph (A) and inserting 
                                in lieu thereof ``section 688, 12301(a), 
                                12301(g), 12302, 12304, or 12305'';
                                    (II) by amending subparagraph (B) to 
                                read as follows:
                    ``(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;'';

[[Page 110 STAT. 3335]]

                                    (III) by striking out ``section 
                                673b'' in subparagraph (C) and inserting 
                                in lieu thereof ``section 12304''; and
                                    (IV) by striking out ``section 3500 
                                or 8500'' in subparagraph (E) and 
                                inserting in lieu thereof ``section 
                                12406''; and
                    (C) in subsection (d)(2)(C), by striking out ``is 
                brief or for a nonrecurrent period and without a 
                reasonable expectation'' and inserting in lieu thereof 
                ``is for a brief, nonrecurrent period and there is no 
                reasonable expectation''.
            (5) Section 4313(a)(4) is amended--
                    (A) by striking out ``uniform services'' in 
                subparagraph (A)(ii) and inserting in lieu thereof 
                ``uniformed services''; and
                    (B) by striking out ``of lesser status and pay 
                which'' and inserting in lieu thereof ``which is the 
                nearest approximation to a position referred to first in 
                clause (A)(i) and then in clause (A)(ii) which''.
            (6) Section 4316(d) is amended by adding at the end the 
        following new sentence: ``No employer may require any such 
        person to use vacation, annual, or similar leave during such 
        period of service.''.
            (7) Section 4317(a) is amended--
                    (A) by striking out ``(a)(1)(A) Subject to 
                paragraphs (2) and (3), in'' and inserting in lieu 
                thereof ``(a)(1) In'';
                    (B) by redesignating clauses (i) and (ii) of 
                paragraph (1) (as amended by subparagraph (A) of this 
                paragraph) as subparagraphs (A) and (B), respectively;
                    (C) by redesignating subparagraph (B) as paragraph 
                (2); and
                    (D) by redesignating subparagraph (C) as paragraph 
                (3), and in that paragraph by redesignating clauses (i) 
                and (ii) as subparagraphs (A) and (B), respectively, and 
                by redesignating subclauses (I) and (II) as clauses (i) 
                and (ii), respectively.
            (8) The last sentence of section 4318(b)(2) is amended by 
        striking out ``services,'' and inserting in lieu thereof 
        ``services, such payment period''.
            (9) Section 4322 is amended--
                    (A) in the second sentence of subsection (d) by 
                inserting ``attempt to'' before ``resolve''; and
                    (B) in subsection (e)--
                          (i) in the matter preceding paragraph (1), by 
                      striking out ``with respect to a complaint under 
                      subsection (d) are unsuccessful,'' and inserting 
                      in lieu thereof ``with respect to any complaint 
                      filed under subsection (a) do not resolve the 
                      complaint,''; and
                          (ii) in paragraph (2), by inserting ``or the 
                      Office of Personnel Management'' after ``Federal 
                      executive agency''.
            (10) Section 4323(a) is amended--
                    (A) in paragraph (1), by striking out ``of an 
                unsuccessful effort to resolve a complaint''; and
                    (B) in paragraph (2)(A), by striking out ``regarding 
                the complaint under section 4322(c)'' and inserting in 
                lieu thereof ``under section 4322(a)''.

[[Page 110 STAT. 3336]]

            (11) Section 4324 is amended--
                    (A) in subsection (a)(1), by striking out ``of an 
                unsuccessful effort to resolve a complaint relating to a 
                Federal executive agency'';
                    (B) in subsection (b)--
                          (i) in the matter preceding paragraph (1), by 
                      inserting ``or the Office of Personnel 
                      Management'' after ``Federal executive agency''; 
                      and
                          (ii) in paragraph (1), by striking out 
                      ``regarding a complaint under section 4322(c)'' 
                      and inserting in lieu thereof ``under section 
                      4322(a)''; and
                    (C) in subsection (c)(2)--
                          (i) by inserting ``or the Office of Personnel 
                      Management'' after ``Federal executive agency''; 
                      and
                          (ii) by striking out ``employee'' and 
                      inserting in lieu thereof ``Office''.
            (12) Section 4325(d)(1) is amended--
                    (A) by striking out ``, alternative employment in 
                the Federal Government under this chapter,''; and
                    (B) by striking out ``employee'' the last place it 
                appears and inserting in lieu thereof ``employees''.
            (13) Section 4326(a) is amended by inserting ``have 
        reasonable access to and the right to interview persons with 
        information relevant to the investigation and shall'' after ``at 
        all reasonable times,''.
SEC. 312. AMENDMENTS TO TRANSITION RULES AND EFFECTIVE DATES.

    (a) Reemployment.--Section 8(a) of the Uniformed Services Employment 
and Reemployment Rights Act of 1994 (Public Law 103-353; 108 Stat. 3175; 
38 U.S.C. 4301 note) is amended--
            (1) in paragraph (3), by adding at the end thereof the 
        following: ``Any service begun up to 60 days after the date of 
        the enactment of this Act, which is served up to 60 days after 
        the date of the enactment of this Act pursuant to orders issued 
        under section 502(f) of title 32, United States Code, shall be 
        considered under chapter 43 of title 38, United States Code, as 
        in effect on the day before such date of enactment. Any service 
        pursuant to orders issued under such section 502(f) served after 
        60 days after the date of the enactment of this Act, regardless 
        of when begun, shall be considered under the amendments made by 
        this Act.''; and
            (2) in paragraph (4), by striking out ``such period'' and 
        inserting in lieu thereof ``such 60-day period''.

    (b) Insurance.--Section 8(c)(2) of such Act is amended by striking 
out ``person on active duty'' and inserting in lieu thereof ``person 
serving a period of service in the uniformed services''.

<<NOTE: 38 USC 4301 note.>> SEC. 313. EFFECTIVE DATES.

    (a) In General.--Except as provided in subsection (b), the 
amendments made by this subtitle shall take effect as of October 13, 
1994.
    (b) Reorganized Title 10 References.--The amendments made by clause 
(i), and subclauses (I), (III), and (IV) of clause (ii), of section 
311(4)(B) shall take effect as of December 1, 1994.

[[Page 110 STAT. 3337]]

  <<NOTE: Veterans' Insurance Reform Act of 1996.>> TITLE IV--VETERANS 
LIFE INSURANCE PROGRAMS

<<NOTE: 38 USC 101 note.>> SEC. 401. SHORT TITLE.

    This title may be cited as the ``Veterans' Insurance Reform Act of 
1996''.
SEC. 402. MERGER OF RETIRED RESERVE SERVICEMEMBERS' GROUP LIFE 
                        INSURANCE AND VETERANS' GROUP LIFE 
                        INSURANCE AND EXTENSION OF VETERANS' GROUP 
                        LIFE INSURANCE TO MEMBERS OF THE READY 
                        RESERVE.

    (a) Definitions.--Section 1965(5) is amended--
            (1) by adding ``and'' at the end of subparagraph (B);
            (2) by striking out subparagraphs (C) and (D); and
            (3) by redesignating subparagraph (E) as subparagraph (C).

    (b) Persons Insured.--Section 1967 is amended--
            (1) in subsection (a)--
                    (A) by inserting ``and'' at the end of paragraph 
                (1);
                    (B) by striking out paragraphs (3) and (4); and
                    (C) in the matter following paragraph (2), by 
                striking out ``or the first day a member of the 
                Reserves, whether or not assigned to the Retired Reserve 
                of a uniformed service, meets the qualifications of 
                section 1965(5)(C) of this title, or the first day a 
                member of the Reserves meets the qualifications of 
                section 1965(5)(D) of this title,''; and
            (2) by striking out subsection (d).

    (c) Duration and Termination of Coverage.--Section 1968 is amended--
            (1) in subsection (a)--
                    (A) by striking out ``subparagraph (B), (C), or (D) 
                of section 1965(5)'' in the matter preceding paragraph 
                (1) and inserting in lieu thereof ``section 
                1965(5)(B)'';
                    (B) by striking out the period at the end of 
                paragraphs (1) and (2) and inserting in lieu thereof a 
                semicolon;
                    (C) by striking out the period at the end of 
                paragraph (3) and inserting in lieu thereof ``; and'';
                    (D) in paragraph (4)--
                          (i) by striking out ``one hundred and twenty 
                      days after'' in the matter preceding subparagraph 
                      (A) and all that follows through ``(A) unless on'' 
                      and inserting in lieu thereof ``120 days after 
                      separation or release from such assignment, unless 
                      on'';
                          (ii) by striking out ``prior to the expiration 
                      of one hundred and twenty days'' and inserting in 
                      lieu thereof ``before the end of 120 days'';
                          (iii) by striking out the semicolon after 
                      ``such assignment'' and inserting in lieu thereof 
                      a period; and
                          (iv) by striking out subparagraphs (B) and 
                      (C); and
                    (E) by striking out paragraphs (5) and (6); and
            (2) in subsection (b), by striking out the last two 
        sentences.

    (d) Deductions.--Section 1969 is amended--

[[Page 110 STAT. 3338]]

            (1) in subsection (a)(2), by striking out ``is assigned to 
        the Reserve (other than the Retired Reserve)'' and all that 
        follows through ``section 1965(5)(D) of this title,'';
            (2) by striking out subsection (e); and
            (3) by redesignating subsections (f) and (g) as subsections 
        (e) and (f), respectively.

<<NOTE: 38 USC 1968 note.>>     (e) Conversion of SGLI to VGLI.--The 
Servicemembers' Group Life Insurance of any member of the Retired 
Reserve of a uniformed service shall be converted to Veterans' Group 
Life Insurance effective 90 days after the date of the enactment of this 
Act.
SEC. 403. CONVERSION OF SGLI AND VGLI TO COMMERCIAL LIFE INSURANCE 
                        POLICY.

    (a) Option to Convert SGLI.--Subsection (b) of section 1968, as 
amended by section 402(c)(2), is amended--
            (1) by inserting ``(1)'' after ``(b)'' at the beginning of 
        the subsection;
            (2) by striking out ``would cease,'' in the first sentence 
        and all that follows through the period at the end of the 
        sentence and inserting in lieu thereof ``would cease--
            ``(A) shall be automatically converted to Veterans' Group 
        Life Insurance, subject to (i) the timely payment of the initial 
        premium under terms prescribed by the Secretary, and (ii) the 
        terms and conditions 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.''; and
            (3) by designating the second sentence as paragraph (2) and 
        in that sentence striking out ``Such automatic conversion'' and 
        inserting in lieu thereof ``Automatic conversion to Veterans' 
        Group Life Insurance under paragraph (1)''.

    (b) VGLI Conversion.--Section 1977 is amended--
            (1) in subsection (a)--
                    (A) by inserting ``(1)'' after ``(a)'';
                    (B) by striking out the last two sentences; and
                    (C) by adding at the end the following:

    ``(2) If any person insured under Veterans' Group Life Insurance 
again becomes insured under Servicemembers' Group Life Insurance but 
dies before terminating or converting such person's Veterans' Group 
Insurance, Veterans' Group Life Insurance shall be payable only if such 
person is insured for less than $200,000 under Servicemembers' Group 
Life Insurance, and then only in an amount which, when added to the 
amount of Servicemembers' Group Life Insurance payable, does not exceed 
$200,000.''; and
            (2) in subsection (e)--
                    (A) in the first sentence, by inserting ``at any 
                time'' after ``shall have the right''; and
                    (B) by striking out the third sentence and inserting 
                in lieu thereof the following: ``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.''.

[[Page 110 STAT. 3339]]

SEC. 404. INFORMATION TO BE PROVIDED MEMBERS CONCERNING AUTOMATIC 
                        MAXIMUM COVERAGE OF $200,000 UNDER 
                        SERVICEMEN'S GROUP LIFE INSURANCE.

    Section 1967, as amended by section 402(b), is further amended by 
inserting after subsection (c) the following new subsection (d):
    ``(d) Whenever a member has the opportunity to make an election 
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 
of $200,000, and at such other times periodically thereafter as the 
Secretary concerned considers appropriate, the Secretary concerned shall 
furnish to the member general information concerning life insurance. 
Such information shall include--
            ``(1) the purpose and role of life insurance in financial 
        planning;
            ``(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.''.
SEC. 405. RENAMING OF SERVICEMEN'S GROUP LIFE INSURANCE PROGRAM.

<<NOTE: 38 USC 1965 note.>>     (a) In General.--The program of 
insurance operated by the Secretary of Veterans Affairs under subchapter 
III of chapter 19 of title 38, United States Code, is hereby 
redesignated as the Servicemembers' Group Life Insurance program.

    (b) Amendments to Chapter 19.-- Chapter 19 is amended as follows:
            (1) The following provisions are amended by striking out 
        ``Servicemen's Group Life Insurance'' each place it appears and 
        inserting in lieu thereof ``Servicemembers' Group Life 
        Insurance'':
                    (A) Subsections (a), (c), and (e) of section 1967.
                    (B) Section 1968(b).
                    (C) Subsections (a) through (d) of section 1969.
                    (D) Subsections (a), (f), and (g) of section 1970.
                    (E) Section 1971(b).
                    (F) Section 1973.
                    (G) The first sentence of section 1974(a).
                    (H) Subsections (a), (d), and (g) of section 1977.
            (2)(A) The heading of subchapter III is amended to read as 
        follows:

        ``SUBCHAPTER III--SERVICEMEMBERS' GROUP LIFE INSURANCE''.

            (B) The heading of section 1974 is amended to read as 
        follows:

``Sec. 1974. Advisory Council on Servicemembers' Group Life Insurance''.

            (3) The table of sections at the beginning of the chapter is 
        amended--
                    (A) by striking out the item relating to subchapter 
                III and inserting in lieu thereof the following:

[[Page 110 STAT. 3340]]

        ``subchapter iii--servicemembers' group life insurance'';

                and
                    (B) by striking out the item relating to section 
                1974 and inserting in lieu thereof the following:

``1974. Advisory Council on Servicemembers' Group Life Insurance.''.

    (c) Other Conforming Amendments.--(1) Section 1315(f)(1)(F) is 
amended by striking out ``servicemen's'' the first place it appears and 
inserting in lieu thereof ``servicemembers' ''.
    (2) Sections 3017(a)(2)(A)(i) and 3224(1) are amended by striking 
out ``Servicemen's'' each place it appears and inserting in lieu thereof 
``Servicemembers' ''.
<<NOTE: 38 USC 1965 note.>>     (d) References.--Any reference to 
Servicemen's Group Life Insurance or to the Advisory Council on 
Servicemen's Group Life Insurance in any Federal law, Executive order, 
regulation, delegation of authority, or other document of the Federal 
Government shall be deemed to refer to Servicemembers' Group Life 
Insurance or the Advisory Council on Servicemembers' Group Life 
Insurance, respectively.

SEC. 406. TECHNICAL AMENDMENT.

    Section 1977(a) is amended by striking out ``and (e)'' in the first 
and second sentences.

     TITLE V--DEPARTMENT OF VETERANS AFFAIRS ADMINISTRATIVE MATTERS

SEC. 501. REVISION OF AUTHORITY RELATING TO CENTERS FOR MINORITY 
                        VETERANS AND WOMEN VETERANS.

    (a) SES Status of Directors.--Sections 317(b) and 318(b) are each 
amended by inserting ``career or'' before ``noncareer''.
    (b) Additional Functions of Center for Minority Veterans.--Section 
317(d) is amended--
            (1) by redesignating paragraph (10) as paragraph (12); and
            (2) by inserting after paragraph (9) the following new 
        paragraphs (10) and (11):
            ``(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 
        Advisory Committee on Minority Veterans provided for under 
        section 544 of this title.''.

    (c) Definition of Minority Veterans.--Section 317 is amended by 
adding at the end the following:
    ``(g) In this section--
            ``(1) The term `veterans who are minorities' means veterans 
        who are minority group members.

[[Page 110 STAT. 3341]]

            ``(2) The term `minority group member' has the meaning given 
        such term in section 544(d) of this title.''.

    (d) Clarification of Functions of Center for Women Veterans.--
Section 318(d)(10) is amended by striking out ``(relating to'' and all 
that follows through ``and of'' and inserting in lieu thereof ``(42 
U.S.C. 289a-2) with respect to the inclusion of women in clinical 
research and on''.
    (e) Additional Functions of Advisory Committees.--(1) Section 542(b) 
is amended by inserting ``, including the Center for Women Veterans'' 
before the period at the end.
    (2) Section 544(b) is amended by inserting ``, including the Center 
for Minority Veterans'' before the period at the end.
    (f) Termination Date of Advisory Committee on Minority Veterans.--
Section 544(e) is amended by striking out ``December 31, 1997'' and 
inserting in lieu thereof ``December 31, 1999''.
SEC. 502. LIMITATION ON CLOTHING ALLOWANCE FOR INCARCERATED 
                        VETERANS.

    (a) Pro Rata Reduction.--Chapter 53 is amended by inserting after 
section 5313 the following new section:

``Sec. 5313A. Limitation on payment of clothing allowance to 
                        incarcerated veterans

    ``In the case of a veteran who is incarcerated in a Federal, State, 
or local penal institution for a period in excess of 60 days and who is 
furnished clothing without charge by the institution, the amount of any 
annual clothing allowance 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 allowance otherwise payable under that section for each day on 
which the veteran was so incarcerated during the 12-month period 
preceding the date on which <<NOTE: Regulations.>>  payment of the 
allowance would be due. This section shall be carried out under 
regulations prescribed by the Secretary.''.

    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
5313 the following new item:

``5313A. Limitation on payment of clothing allowance to incarcerated 
           veterans.''.

SEC. 503. EXTENSION OF VETERANS' CLAIMS ADJUDICATION COMMISSION.

    (a) Extension of Time for Submission of Final Report.--Section 
402(e)(2) of the Veterans' Benefits Improvements Act of 1994 <<NOTE: 38 
USC 5101 note.>>  (Public Law 103-446; 108 Stat. 4661) is amended by 
striking out ``Not later than 18 months after such date'' and inserting 
in lieu thereof ``Not later than December 31, 1996''.

    (b) Funding.--From amounts appropriated to the Department of 
Veterans Affairs for each of fiscal years 1996 and 1997 for the payment 
of compensation and pension, the amount of $75,000 is hereby made 
available for the activities of the Veterans' Claims Adjudication 
Commission under title IV of the Veterans' Benefits Improvements Act of 
1994 (Public Law 103-446; 108 Stat. 4659; 38 U.S.C. 5101 note).
<<NOTE: 38 USC 5101 note.>> SEC. 504. PILOT PROGRAM FOR USE OF 
                        CONTRACT PHYSICIANS FOR DISABILITY 
                        EXAMINATIONS.

    (a) Authority.--The Secretary of Veterans Affairs, acting through 
the Under Secretary for Benefits, may conduct a pilot program under this 
section under which examinations with respect

[[Page 110 STAT. 3342]]

to medical disability of applicants for benefits under laws administered 
by the Secretary that are carried out through the Under Secretary for 
Benefits may be made by persons other than employees of the Department 
of Veterans Affairs. Any such examination shall be performed pursuant to 
contracts entered into by the Under Secretary for Benefits with those 
persons.
    (b) Limitation.--The Secretary may carry out the pilot program under 
this section through not more than 10 regional offices of the Department 
of Veterans Affairs.
    (c) Source of Funds.--Payments for contracts under the pilot program 
under this section shall be made from amounts available to the Secretary 
of Veterans Affairs for payment of compensation and pensions.
    (d) Report to Congress.--Not later than three years after the date 
of the enactment of this Act, the Secretary shall submit to the Congress 
a report on the effect of the use of the authority provided by 
subsection (a) on the cost, timeliness, and thoroughness of medical 
disability examinations.
SEC. 505. EXPANSION OF PERIOD OF VIETNAM ERA FOR CERTAIN VETERANS.

    (a) In General.--Paragraph (29) of section 101 is amended to read as 
follows:
    ``(29) The term `Vietnam era' means the following:
            ``(A) The period beginning on February 28, 1961, and ending 
        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.''.

    (b) Limited Expansion for Specific Compensation Purposes.--(1) 
Paragraphs (1)(B) and (3) of section 1116(a) are each amended by 
striking out ``during the Vietnam era'' and inserting in lieu thereof 
``during the period beginning on January 9, 1962, and ending on May 7, 
1975,''.
    (2) Paragraphs (1)(A), (2)(C), (2)(E), (2)(F), and (4) of such 
section are amended by striking out ``during the Vietnam era'' and 
inserting in lieu thereof ``during the period beginning on January 9, 
1962, and ending on May 7, 1975''.
    (c) Limited Expansion for Specific Health Care Purposes.--(1) The 
provision stipulated in paragraph (2) is amended--
            (A) in clause (i), by striking out ``during the Vietnam 
        era,'' and inserting in lieu thereof ``during the period 
        beginning on January 9, 1962, and ending on May 7, 1975,''; and
            (B) in clause (ii), by striking out ``such era'' and 
        inserting in lieu thereof ``such period''.

    (2) The provision referred to in paragraph (1)--
            (A) if the Veterans' Health Care Eligibility Reform Act of 
        1996 is enacted as a measure of the One Hundred Fourth Congress, 
        is paragraph (4)(A) of section 1710(e) of title 38, United 
        States Code, as added by section 102 of such Act; and
            (B) if such Act is not enacted as a measure of the One 
        Hundred Fourth Congress, is paragraph (1)(A) of section 1710(e) 
        of such title.

<<NOTE: 38 USC 101 note.>>     (d) Effective Date.--The amendments made 
by this section shall take effect on January 1, 1997. No benefit may be 
paid

[[Page 110 STAT. 3343]]

or provided by reason of such amendments for any period before such 
date.
SEC. 506. PAYMENT OF BENEFIT TO SURVIVING SPOUSE FOR MONTH IN 
                        WHICH VETERAN DIES.

    (a) Benefit for Month of Death.--Section 5310 is amended--
            (1) by inserting ``(a)'' before ``If, in accordance with''; 
        and
            (2) by adding at the end the following:

    ``(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 benefits 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 surviving spouse, and (B) if 
that check or other payment is negotiated or deposited, shall be 
considered to be the benefit to which the surviving spouse is entitled 
under this paragraph. 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 treated in the same manner as an accrued benefit 
under section 5121 of this title.''.
<<NOTE: 38 USC 5310 note.>>     (b) Effective Date.--The amendments made 
by this section shall apply with respect to the death of compensation 
and pension recipients occurring after December 31, 1996.
SEC. 507. INCREASE IN PERIOD FOR WHICH ACCRUED BENEFITS PAYABLE.

    Subsection (a) of section 5121 is amended by striking out ``one 
year'' in the matter preceding paragraph (1) and inserting in lieu 
thereof ``two years''.
SEC. 508. APPOINTMENT OF VETERANS SERVICE ORGANIZATIONS AS 
                        CLAIMANTS' REPRESENTATIVES.

    (a) Power of Attorney Naming a Veterans Service Organization.--
Section 5902 is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following new 
        subsection (c):

    ``(c)(1) Unless a claimant specifically indicates in a power of 
attorney filed with the Department a desire to appoint only a recognized 
representative of an organization listed in or approved under 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 organization 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 subsection (a), a 
specific office of such an organization, or a recognized representative 
of such an organization without specifically indicating a desire to 
appoint only a recognized representative of the organiza

[[Page 110 STAT. 3344]]

tion, the Secretary shall notify the organization at the address 
designated by the organization for the purpose of receiving the 
notification concerned.''.
<<NOTE: 38 USC 5902 note.>>     (b) Applicability.--The amendments made 
by this section apply to any power of attorney filed with the Department 
of Veterans Affairs, regardless of the date of its execution.
SEC. 509. PROVISION OF COPIES OF BOARD OF VETERANS' APPEALS 
                        DECISIONS.

    Subsection (e) of section 7104 is amended to read as follows:
    ``(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 
        representative; 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 authorized 
        representative if sent by first-class mail.''.
SEC. 510. LIMITATION ON RELOCATION OR REDUCTION IN STAFFING OF 
                        CERTAIN ELEMENTS OF THE EDUCATION SERVICE 
                        OF THE VETERANS BENEFITS ADMINISTRATION.

    No funds available to the Department of Veterans Affairs may be 
obligated or expended before January 1, 1998, to relocate any function 
of, or to reduce the number of personnel assigned to, any of the 
following elements of the Veterans Benefits Administration of the 
Department of Veterans Affairs:
            (1) The Office of Education Procedures Systems.
            (2) The Office of Education Operations.
            (3) The Office of Education Policy and Program 
        Administration.

                         TITLE VI--OTHER MATTERS

SEC. 601. EXTENSION OF CERTAIN AUTHORITIES FOR SERVICES FOR 
                        HOMELESS VETERANS.

    (a) Authority for Community-Based Residential Care for Homeless 
Chronically Mentally Ill Veterans and Other Veterans.--Section 115(d) of 
the Veterans' Benefits and Services Act of 1988 (38 U.S.C. 1712 note) is 
amended by striking out ``December 31, 1997'' and inserting in lieu 
thereof ``December 31, 1998''.
    (b) Authorizations of Appropriations for Homeless Veterans 
Reintegration Projects.--Section 738(e)(1) of the Stewart B. McKinney 
Homeless Assistance Act (42 U.S.C. 11448(e)(1)) is amended by adding at 
the end the following:
            ``(E) $10,000,000 for fiscal year 1997.
            ``(F) $10,000,000 for fiscal year 1998.''.
SEC. 602. REPAIR AND LONG-TERM MAINTENANCE OF WAR MEMORIALS.

    (a) Repair and Long-term Maintenance of War Memorials.--Section 
5(b)(2) of the Act entitled ``An Act for the creation

[[Page 110 STAT. 3345]]

of an American Battle Monuments Commission to erect suitable memorials 
commemorating the services of the American soldier in Europe, and for 
other purposes'', approved March 4, 1923 (36 U.S.C. 125(b)(2)), is 
amended--
            (1) by inserting ``(A)'' after ``(2)''; and
            (2) by adding at the end the following:

    ``(B) In assuming responsibility for a war memorial under paragraph 
(1), the Commission may enter into arrangements with the sponsors of the 
memorial to provide for the repair or long-term maintenance of the 
memorial. Any funds transferred to the Commission for the purpose of 
this subparagraph shall, in lieu of subparagraph (A), be deposited by 
the Commission in the fund established by paragraph (3).
    ``(3)(A) There is established in the Treasury a fund which shall be 
available to the Commission for expenses for the maintenance and repair 
of memorials with respect to which the Commission enters into 
arrangements under paragraph (2)(B). The fund shall consist of (i) 
amounts deposited, and interest and proceeds credited, under 
subparagraph (B), and (ii) obligations obtained under subparagraph (C).
    ``(B) The Commission shall deposit in the fund such amounts from 
private contributions as may be accepted under paragraph (2)(B). The 
Secretary of the Treasury shall credit to the fund the interest on, and 
the proceeds from sale or redemption of, obligations held in the fund.
    ``(C) The Secretary of the Treasury shall invest any portion of the 
fund that, as determined by the Commission, is not required to meet 
current expenses. Each investment shall be made in an interest bearing 
obligation of the United States or an obligation guaranteed as to 
principal and interest by the United States that, as determined by the 
Commission, has a maturity suitable for the fund.
    ``(D) The Commission shall separately account for all moneys 
deposited in and expended from the fund with respect to each war 
memorial for which an arrangement for the repair or long-term 
maintenance of the memorial is entered to under paragraph (2)(B).''.
    (b) Accounting Procedures Relating to Receipt and Expenditure of 
Contributions.--Such Act is further amended by adding at the end the 
following new section:
<<NOTE: 36 USC 138d.>>     ``Sec. 14. (a) The Commission shall have a 
system of financial controls to enable the Commission to comply with the 
requirements of subsection (b) and section 5(b)(3)(D).

    ``(b) The Commission shall--
            ``(1) by March 1 of each year (beginning with 1998)--
                    ``(A) prepare a financial statement which covers all 
                accounts and associated activities of the Commission for 
                the preceding fiscal year and is consistent with the 
                requirements of section 3515 of title 31, United States 
                Code; and
                    ``(B) submit the financial statement, together with 
                a narrative summary, to the Committees on Veterans' 
                Affairs of the Senate and House of Representatives; and
            ``(2) obtain an audit by the Comptroller General of the 
        United States of each financial statement prepared under 
        paragraph (1)(A), which shall be conducted in accordance with

[[Page 110 STAT. 3346]]

        applicable generally accepted government auditing standards and 
        shall be in lieu of any audit otherwise required by law.

    ``(c) The Commission may not obligate, withdraw, or expend funds 
received as contributions before March 1, 1998.''.

 <<NOTE: 38 USC 545 note.>> TITLE VII--COMMISSION ON SERVICEMEMBERS AND 
VETERANS TRANSITION ASSISTANCE

SEC. 701. ESTABLISHMENT OF COMMISSION.

    (a) Establishment.--There is established a commission to be known as 
the Commission on Servicemembers and Veterans Transition Assistance 
(hereafter in this title referred to as the ``Commission'').
    (b) Membership.--(1) The Commission shall be composed of 12 members 
appointed from among private United States citizens with appropriate and 
diverse experiences, expertise, and historical perspectives on veterans, 
military, organizational, and management matters. The members shall be 
appointed as follows:
            (A) Four shall be appointed jointly by the chairman and 
        ranking minority member of the Committee on Veterans' Affairs of 
        the House of Representatives.
            (B) Four shall be appointed jointly by the chairman and 
        ranking minority member of the Committee on Veterans' Affairs of 
        the Senate.
            (C) Two shall be appointed jointly by the chairman and 
        ranking minority member of the Committee on National Security of 
        the House of Representatives.
            (D) Two shall be appointed jointly by the chairman and 
        ranking minority member of the Committee on Armed Services of 
        the Senate.

    (2)(A) One member of the Commission appointed under each of 
subparagraphs (A) and (B) of paragraph (1) shall be a representative of 
a veterans service organization.
    (B) To the maximum extent practicable, the individuals appointed 
under paragraph (1) as members of the Commission shall be veterans.
    (C) Not more than seven of the members of the Commission may be 
members of the same political party.
    (3) In addition to the members appointed under paragraph (1), the 
following shall be nonvoting members of the Commission:
            (A) The Under Secretary for Benefits of the Department of 
        Veterans Affairs.
            (B) The Assistant Secretary of Defense for Force Management 
        and Personnel.
            (C) The Assistant Secretary of Labor for Veterans' 
        Employment and Training.

    (4) The appointments of members of the Commission shall, to the 
maximum extent practicable, be made after consultation with 
representatives of veterans service organizations.
    (5) The appointments of the members of the Commission shall be made 
not later than 45 days after the date of the enactment of this Act.
    (c) Period of Appointment; Vacancies.--Members shall be appointed 
for the life of the Commission. Any vacancy in the

[[Page 110 STAT. 3347]]

Commission shall not affect its powers, but shall be filled in the same 
manner as the original appointment.
    (d) Initial Meeting.--Not later than 30 days after the date on which 
all members of the Commission have been appointed under subsection 
(b)(1), the Commission shall hold its first meeting.
    (e) Quorum.--A majority of the members of the Commission shall 
constitute a quorum, but a lesser number may hold hearings.
    (f) Chairman and Vice Chairman.--The Commission shall select a 
chairman and vice chairman from among its members.
    (g) Meetings.--The Commission shall meet at the call of the chairman 
of the Commission.
    (h) Panels.--The Commission may establish panels composed of less 
than the full membership of the Commission for the purpose of carrying 
out the Commission's duties. The actions of such panels shall be subject 
to the review and control of the Commission. Any findings and 
determinations made by such a panel shall not be considered the findings 
and determinations of the Commission unless approved by the Commission.
    (i) Authority of Individuals To Act for Commission.--Any member or 
agent of the Commission may, if authorized by the Commission, take any 
action which the Commission is authorized to take under this title.

SEC. 702. DUTIES OF COMMISSION.

    (a) In General.--The Commission shall--
            (1) review the adequacy and effectiveness of veterans 
        transition assistance and benefits programs in providing 
        assistance to members of the Armed Forces in making the 
        transition and adjustment to civilian life;
            (2) review the allocation under law of responsibility for 
        the administration of veterans transition assistance and 
        benefits programs among the various departments and agencies of 
        the Government and determine the feasibility and desirability of 
        consolidating such administration;
            (3) evaluate proposals for improving such programs, 
        including proposals for alternative means of providing services 
        delivered by such programs; and
            (4) make recommendations to Congress regarding the need for 
        improvements in such programs.

    (b) Review of Programs To Assist Members of the Armed Forces at 
Separation.--(1) While carrying out the general duties specified in 
subsection (a), the members of the Commission appointed under 
subparagraphs (C) and (D) of section 701(b)(1) and the member specified 
in subparagraph (B) of section 701(b)(3) shall review primarily the 
programs intended to assist members of the Armed Forces at the time of 
their separation from service in the Armed Forces, including programs 
designed to assist families of such members.
    (2) In carrying out the review, those members of the Commission 
shall determine the following:
            (A) The adequacy of the programs referred to in paragraph 
        (1) for their purposes.
            (B) The adequacy of the support of the Armed Forces for such 
        programs.
            (C) The adequacy of funding levels for such programs.
            (D) The effect, if any, of the existence of such programs on 
        military readiness.

[[Page 110 STAT. 3348]]

            (E) The extent to which such programs provide members of the 
        Armed Forces with job-search skills.
            (F) The extent to which such programs prepare such members 
        for employment in the private sector and in the public sector.
            (G) The effectiveness of such programs in assisting such 
        members in finding employment in the public sector upon their 
        separation from service.
            (H) The ways in which such programs could be improved.

    (3) In carrying out the review, the Commission shall make use of 
previous studies which have been made of such programs.
    (c) Review of Programs To Assist Veterans.--(1) While carrying out 
the general duties specified in subsection (a), the members of the 
Commission appointed under subparagraphs (A) and (B) of section 
701(b)(1) and the members specified in subparagraphs (A) and (C) of 
section 701(b)(3) shall review the following programs:
            (A) Educational assistance programs.
            (B) Job counseling, job training, and job placement services 
        programs.
            (C) Rehabilitation and training programs.
            (D) Housing loan programs.
            (E) Small business loan and small business assistance 
        programs.
            (F) Employment and employment training programs for 
        employment in the public sector and the private sector, 
        including employer training programs and union apprenticeship 
        programs.
            (G) Government personnel policies (including veterans' 
        preference policies) and the enforcement of such policies.
            (H) Programs that prepare the families of members of the 
        Armed Forces for their transition from military life to civilian 
        life and facilitate that transition.

    (2) In carrying out the review, such members of the Commission shall 
determine the following:
            (A) The adequacy of the programs referred to in paragraph 
        (1) for their purposes.
            (B) The adequacy of the support of the Department of 
        Veterans Affairs for such programs.
            (C) The adequacy of funding levels for such programs.
            (D) The extent to which such programs provide veterans with 
        job-search skills.
            (E) The extent to which such programs prepare veterans for 
        employment in the private sector and in the public sector.
            (F) The effectiveness of such programs in assisting veterans 
        in finding employment in the public sector upon their separation 
        from service.
            (G) The ways in which such programs could be improved.

    (d) Reports.--(1) Not later than 90 days after the date on which all 
members of the Commission have been appointed under section 701(b)(1), 
the Commission shall submit to the Committees on Veterans' Affairs and 
Armed Services of the Senate and the Committees on Veterans' Affairs and 
National Security of the House of Representatives a report setting forth 
a plan for the work of the Commission. The Commission shall develop the 
plan in consultation with the Secretary of Defense, the Secretary of 
Veterans

[[Page 110 STAT. 3349]]

Affairs, the Secretary of Labor, and the heads of other appropriate 
departments and agencies of the Government.
    (2)(A) Not later than 18 months after the date of the first meeting 
of the Commission, the Commission shall submit to the committees 
referred to in paragraph (1), and to the Secretary of Defense, the 
Secretary of Veterans Affairs, and the Secretary of Labor, a report 
setting forth the activities, findings, and recommendations of the 
Commission, including any recommendations for legislative action and 
administrative action as the Commission considers appropriate.
    (B) Not later than 90 days after receiving the report referred to in 
subparagraph (A), the Secretary of Defense, the Secretary of Veterans 
Affairs, and the Secretary of Labor shall jointly transmit the report to 
Congress, together with the Secretaries' comments on the report.

SEC. 703. POWERS OF COMMISSION.

    (a) Hearings.--The Commission may hold such hearings, sit and act at 
such times and places, take such testimony, and receive such evidence as 
the Commission considers advisable to carry out the purposes of this 
title.
    (b) Information From Federal Agencies.--The Commission may secure 
directly from the Department of Defense, the Department of Veterans 
Affairs, and any other department or agency of the Government such 
information as the Commission considers necessary to carry out its 
duties under this title. Upon request of the chairman of the Commission, 
the head of such department or agency shall furnish such information 
expeditiously to the Commission.

SEC. 704. MISCELLANEOUS ADMINISTRATIVE PROVISIONS.

    (a) Postal Services.--The Commission may use the United States mails 
in the same manner and under the same conditions as other departments 
and agencies of the Government.
    (b) Gifts.--The Commission may accept, use, and dispose of gifts or 
donations of services or property.
    (c) Miscellaneous Administrative Support.--The Secretary of Defense, 
the Secretary of Veterans Affairs, and the Secretary of Labor shall, 
upon the request of the chairman of the Commission, furnish the 
Commission, on a reimbursable basis, any administrative and support 
services as the Commission may require.

SEC. 705. COMMISSION PERSONNEL MATTERS.

    (a) Compensation of Members.--Each member of the Commission may be 
compensated at a rate equal to the daily equivalent of the annual rate 
of basic pay prescribed for level IV of the Executive Schedule under 
section 5315 of title 5, United States Code, for each day (including 
travel time) during which such member is engaged in performing the 
duties of the Commission.
    (b) Travel and Travel Expenses.--(1) Members and personnel of the 
Commission may travel on military aircraft, military vehicles, or other 
military conveyances when travel is necessary in the performance of a 
duty of the Commission except when the cost of commercial transportation 
is less expensive.
    (2) The members of the Commission may be allowed travel expenses, 
including per diem in lieu of subsistence, at rates authorized for 
employees of agencies under subchapter I of chapter 57 of title 5, 
United States Code, while away from their homes or

[[Page 110 STAT. 3350]]

regular places of business in the performance of services for the 
Commission.
    (c) Staff.--(1) The chairman of the Commission may, without regard 
to civil service laws and regulations, appoint and terminate an 
executive director and up to five additional staff members as may be 
necessary to enable the Commission to perform its duties. In appointing 
an individual as executive director, the chairman shall, to the maximum 
extent practicable, attempt to appoint an individual who is a veteran. 
The employment of an executive director shall be subject to confirmation 
by the Commission.
    (2) The chairman of the Commission may fix the compensation of the 
executive director and other personnel without regard to the provisions 
of chapter 51 and subchapter III of chapter 53 of title 5, United States 
Code, relating to classification of positions and General Schedule pay 
rates, except that the rate of pay for the executive director and other 
staff members may not exceed the rate payable for level V of the 
Executive Schedule under section 5316 of such title.
    (d) Detail of Government Employees.--Upon request of the chairman of 
the Commission, the head of any department or agency of the Government 
may detail, on a nonreimbursable basis, any personnel of the department 
or agency to the Commission to assist the Commission in carrying out its 
duties.
    (e) Procurement of Temporary and Intermittent Services.--The 
chairman of the Commission may procure temporary and intermittent 
services under section 3109(b) of title 5, United States Code, at rates 
for individuals which do not exceed the daily equivalent of the annual 
rate of basic pay prescribed for level IV of the Executive Schedule 
under section 5316 of such title.

SEC. 706. TERMINATION OF COMMISSION.

    The Commission shall terminate 90 days after the date on which it 
submits its report under section 702(d)(2).

SEC. 707. DEFINITIONS.

    For the purposes of this title:
            (1) The term ``veterans transition assistance and benefits 
        program'' means any program of the Government the purpose of 
        which is--
                    (A) to assist, by rehabilitation or other means, 
                members of the Armed Forces in readjusting or otherwise 
                making the transition to civilian life upon their 
                separation from service in the Armed Forces; or
                    (B) to assist veterans in making the transition to 
                civilian life.
            (2) The term ``Armed Forces'' has the meaning given such 
        term in section 101(10) of title 38, United States Code.
            (3) The term ``veteran'' has the meaning given such term in 
        section 101(2) of title 38, United States Code.
            (4) The term ``veterans service organization'' means any 
        organization covered by section 5902(a) of title 38, United 
        States Code.

SEC. 708. FUNDING.

    (a) In General.--The Secretary of Defense shall, upon the request of 
the chairman of the Commission, make available to the Commission such 
amounts as the Commission may require to carry out its duties under this 
title. The Secretary shall make

[[Page 110 STAT. 3351]]

such amounts available from amounts appropriated for the Department of 
Defense, except that such amounts may not be from amounts appropriated 
for the transition assistance program (TAP), the Army career alumni 
program (ACAP), or any similar program.
    (b) Availability.--Any sums made available to the Commission under 
subsection (a) shall remain available, without fiscal year limitation, 
until the termination of the Commission.

    Approved October 9, 1996.

LEGISLATIVE HISTORY--S. 1711:
---------------------------------------------------------------------------

SENATE REPORTS: No. 104-371 (Comm. on Veterans' Affairs).
CONGRESSIONAL RECORD, Vol. 142 (1996):
            Sept. 28, considered and passed Senate and House.

                                  <all>