April 2009

Semantics Lead to Zero California Tuition Cap

By Terry Howell

The Department of Veterans Affairs recently reset the Post-9/11 GI Bill tuition rate for California to zero. This is because state operated colleges and universities in California do not charge tuition for resident undergraduate studies - California residents are required to pay "fees" only. This all comes down to a matter of semantics. As written, the New Post-9/11 GI Bill requires the VA to pay each veteran's tuition based on the highest in-state undergraduate tuition rate at a state operated school in the for the state of enrollment.

This "matter of sematics" will force veterans using the Post-9/11 GI Bill benefits to attend private colleges in California to find another source to help cover the tuition portion of their college bill.

According to a report by Inside Higher Ed, this tuition rate will likely mean that private colleges in California will be less likely to enter into the Yellow Ribbon Program, a federal matching program to cover the balance between the standard veterans' benefit payment rate and actual private college's tuition rates. This could result in veterans incurring thousands of dollars in out-of-pocket expenses or student debt each semester.

The following table demonstrates what this means to veterans attending school on campuses located in California:

Post-9/11 GI Bill Benefits

Attending California State Run School*

Attending a Private University

Tuition Coverage
100%
0%  **
Fees
Up to $6,587 per term
Up to $6,587 per term
Housing Allowance
$1,716 per Month
$1,716 per Month
Book Stipend
Up to $1,000
Up to $1,000

* Example Cal State Sacramento
**Veterans will be responsible to find alternative means for covering the tuition costs - student loans, grants, "yellow Ribbon, out-of-pocket.

Note: This is another example of why it is critical thet veterans choose the school and GI Bill package that best suits their needs. Call 1-888-GIBILL-1 to speak to a VA representative.

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DoD Inches Toward GI Bill Transferability Policy

By Terry Howell

The DoD has taken another step toward clarifying their policy on Post-9/11 GI Bill transferability. Unfortunately the fact sheet they released states "The rules for Post-9/11 GI Bill transferability are in the final stages, but have not been signed. The following information represents proposed policy, which is subject to change."

So just as we start to get excited about the release of the new guidelines, the DoD adds a caveat. DoD Officials decided to confirm policy details before they officially are set because VA will begin to accept Post-9/11 GI Bill application on Friday May 1.

Read the official DoD Post-9/11 Transferability Fact Sheet.

In addition to the release of the so-called fact sheet, the Armed Forces Press Service posted an article which you may find helpful. Read the full article on Military.com.

Remember - Only the DoD and VA can answer your specific eligibility questions. To get the correct answers call the VA at 1-888-GIBILL-1.

VA to Accept New GI Bill Applications May 1

By Terry Howell

News from the Department of Veterans Affairs GI Bill Website:

"Starting May 1, 2009, the Department of Veterans Affairs will begin accepting applications for the Post-9/11 GI Bill. The application form is available online."

"The form requires that individuals currently eligible for another education benefit make an irrevocable election from their existing program to the Post-9/11 GI Bill. Typically individuals who are eligible for more than one benefit may use a combined total of 48 months of entitlement. Therefore, for those individuals eligible for the Montgomery GI Bill (MGIB) program, please be advised that if you have entitlement remaining under the MGIB, the number of months of Post-9/11 GI Bill entitlement you will be eligible for will be equal to the number of months remaining under MGIB. However, if you exhaust all of your MGIB entitlement, then you may be entitled to a maximum of 12 additional months of entitlement under the Post-9/11 GI Bill."

"Starting May 1, 2009 VA will begin processing applications for Post-9/11 GI Bill benefits and you will receive a letter explaining VA’s decision regarding your eligibility for the program. Payments for the Post-9/11 GI Bill will not be processed until August 1, 2009."

"Click here to access the application form which includes instructions for submitting completed applications."

FYI - Those who are using the Montgomery GI Bill (Chapter 30) and do not plan to switch to the Post-9/11 GI Bill will not be required to submit a new application (VA-22-1990 or 22-1995).

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LEARN MORE:

Please read the other blog entries on the Military Education Blog or visit http://www.military.com/money-for-school/gi-bill/learn-to-use-your-gi-bill to learn more. In addition you should go to the VA website www.gibill.va.gov or call 1-888-GIBILL-1 to get the information straight from the VA.

Do not rely on the comments below, while some are accurate, many are not.

4 Steps to Figuring Your New GI Bill Tuition Rate

The New GI Bill, which does not go into effect until Aug. 1, 2009, offers three major education related benefits - Tuition and fees, a monthly living expense stipend (or housing allowance), and up to $1000 a year for books and supplies. The following blog entry will help you figure out how much of your tuition and fees will be covered by the Post-9/11 GI Bill.

There are specific rules and policies governing each of these benefits. The following information ONLY applies to the tuition and fees portion of the Post-9/11 GI Bill. To learn the basics about the other stipends visit the Military.com Post-9/11 Overview or the VA's GI Bill Website. You can also call the VA for more specific guidance at 1-888-GIBILL-1.

Finding Your Tuition and Fees Payment Rate

Unlike the Montgomery GI Bill, the Post-9/11 GI Bill requires the Department of Veterans Affairs to pay your tuition and fees directly to the school. This payment rate is capped at the tuition and fees rate for the most expensive in-state public college undergraduate tuition and fees for the State of enrollment - the school's home State - not yours.

There are four steps to determining how much of your tuition and fees will be covered by the Post-9/11 GI Bill:

  1. Determine your Post 9/11-GI Bill entitlement percentage - This is based on the number of months you have served on active duty since Sept. 11, 2001. The percentages run from 40% for more than 90 days to 100% for 36 or more months. 

    Learn more about the Post-9/11 GI Bill.

  2. Determine the maximum amount the VA will pay based on the in-state tuition rate for your school's state -  See the Maximum In-state Tuition & Fees table.

  3. Ask your school about their per-credit hour tuition rate and per-term fees.

  4. Multiply the maximum in-state tuition & fees by your Post-9/11 entitlement percentage (from step 1) and compare this to your school's tuition and fees. If your entitlement is equal to or more than the school's tuition and fees then you are covered - there is no refund of the difference.

    On the other hand, if your entitlement is less than the school's tuition and fees, you will be responsible to fund the difference.*


*It is important to note that many schools can chose to participate in the "Yellow-Ribbon" program in which all or part of the difference will be covered by the school and the Department of Veterans Affairs. Be sure to ask your school if they are planning to participate in the program.

Learn more about the Yellow Ribbon program.

Be sure to call 1-888-GI-BILL-1 (1-888-442-4551) to speak with a Veterans Benefits Counselor for specific guidance on your best benefits option.

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IAVA's Take on the VA's Post-9/11 Final Regulations

By Patrick Campbell
Chief Legislative Counsel, Iraq and Afghanistan Veterans of America

Iraq and Afghanistan Veterans of America is pleased to see that the VA adopted many of our recommended changes to the Post-9/11 GI Bill regulations. The recently published final regulations addressed over half of IAVA’s top concerns. These changes are worth thousands of dollars to veterans who will be using this new benefit, and specifically include:

  • Ensuring that school health insurance programs are covered by the new GI Bill.
  • Encouraging private universities and colleges to participate in the Yellow Ribbon Program by increasing flexibility--
    • Allowing separate schools within a college to participate
    • Removing restrictive requirements on how schools fund the program
  • Allowing spouses/dependents to benefit from a servicemember’s enlistment kickers.
  • Clearly defining when a servicemember with readjustment issues can leave school and not be billed for courses not completed.

We were also grateful to see the VA include GI Bill eligibility for officers of the Public Health Service (PHS) and National Oceanic Atmospheric Administration (NOAA) and clarify that other forms of financial aid will not affect GI Bill benefits.

While a majority of these regulatory changes were pro-veteran, IAVA still has some concerns with the regulations that should be addressed immediately. For example,

  • Unfair prohibition on transferring benefits to children between the ages of 18-26
  • Denying enlistment kickers to part-time students and distance learners
  • Denying the Montgomery GI Bill buy-in refunds to part-time students and distance learners

Learn more about IAVA and their efforts to support troops and veterans of the wars in Iraq and Afghanistan.

VA Sheds Light on Post-9/11 GI Bill Rules

By Terry Howell

This week the VA released the "Post-9/11 GI Bill; Final Rule." This set of regulations governing the policy and procedures for the new GI Bill, is not an easy read. But, it does offer clarification and answers some of the questions we have been asking for the last six months.

The final rule was developed by the Department of Veterans Affairs based on the statutes as currently written. Many details are clearly defined by the statute. However, the law also has many gaps and several ambiguous passages. Leaving the VA to try fill the gaps as best they could.
While the VA doesn’t have the authority to alter or create rules that conflict with the existing law, they do have the authority to set policy based on past rulings and policies where applicable.

It appears that the VA used as “veteran-friendly” an approach as possible in developing the final rule. As part of the process, the VA issued a preliminary copy of the regulations and provided time for comments and feedback. The first 13 pages of the document are dedicated to listing and answering the comments they received.

Although far from finished reading it, I decided to pull out some of the more interesting rulings found in the comment response section of the document.

Note: It is important to remember the VA was given a poorly written law to start with, and in my opinion, they have done their best to make it work within the limits of their authority.

Some National Guard and Active Guard Reserve Deemed Ineligible
The VA has determined that there is no section of the existing statute that will allow them to authorize eligibility for members of the National Guard or Active Guard Reserve (AGR) serving under title 32, U.S.C..

NOAA and PHS Officers Now Deemed Eligible
According to the final rule, service as a commissioned National Oceanic and Atmospheric Administration or Public Health Services officer meets the active duty requirement for eligibility as long as all other Post-9/11 GI Bill eligibility requirements have been met.

Clarifications on Transferring Benefits
Although the DoD has yet to issue their final policy on transferability, the VA has clarified how it will apply to those the DoD deem eligible. The general rule is that the person receiving the transferred GI Bill benefits will get the same payment and benefits as the servicemember or veteran would have got if they kept it.

- Transferring Kickers: Based on comments and the statute, the VA has clarified that the rate of payment for transferred benefits under the Post-9/11 GI Bill will include any kicker to which the transferor is entitled.

- Payment Rate and Stipends for Transferred Benefits: A dependent child and surviving spouse will always receive benefit payments in the same manner as an individual off active duty (or veteran). This means that they will be eligible to receive the housing allowance if all other criteria are met.

However, a dependent spouse of an active duty servicemember will receive benefits in the same manner as the transferor, thus he or she will not be eligible for the monthly housing allowance.

- Combining Transferred and Earned GI Bill Benefits: If a spouse and/or dependent child has earned GI Bill benefits of their own and had benefits transferred to them, he or she may use their own (earned) Post-9/11 GI Bill benefits and/or benefits that were transferred to them.

In addition, the VA's final rule states that this "combining of education assistance" is not subject to the 48 months limit as long as the only educational assistance paid is under the Post-9/11 GI Bill. However, if the dependent is awarded educational assistance under another program, such as the Montgomery GI Bill, the 48 months limit will apply.

This means that spouses who are qualified for the Post-9/11 GI Bill due to their own active-duty service and have Post-9/11 GI Bill benefits transferred to them by their husband of wife can get up to 72 months of the Post-9/11 GI Bill.

Education Benefits for Students Attending Foriegn Institutions
Tuition and fee limits for eligible students studying abroad will be based on the national average "in-state tuition and fees" rates. In addition, the living stipend (Monthly Housing Allowance) will also be based on the national average as set by the DoD's Basic Allowance for Housing at the E-5 with Dependents rate (approximately $1,200 a month). Note: students taking classes solely via distance learning (online) are not eligilble for the monthly housing stipend.

No Monthly Verification Requirement
The new GI Bill will no longer require students to verify their status each month to receive their benefits. However, they will be required to notify the VA if they change the number of units they are carrying during a given term.

Keep in mind that the topics covered here are only the tip of the iceberg, I will continue to comb through the document to find answers to your more frequently asked questions.

Now that the “Final Rule” has been released, VA representatives will have better information and a greater ability to answer your personal benefit eligibility and status questions. Be sure to ask as many questions as possible since you will soon be asked to make an irrevocable choice of which GI Bill program – Montgomery GI Bill (Chapter 30) or Post-9/11 GI Bill (Chapter 33) – will work best for you.

My advice–don’t rush to judgment, weigh the facts and make a careful decision. Here is a link to a recent blog posting that could help you know what to ask: VA Offers Info on GI Bill Decision.

Call the VA at 1-888-GIBILL-1 or visit the Q&A section of the VA website to get the facts on your personal GI Bill benefits.

For those suffering insomnia, feel free to read the VA’s Post-9/11 GI Bill; Final Rule (PDF). – Beware it contains 42 single-spaced three-column pages of Government speak.

Continue reading »

Senator Comments on New GI Bill

U.S. Senator Daniel K. Akaka (D-HI), Chairman of the Veterans' Affairs Committee, recently delivered a clear message on the need for VA to implement the new GI Bill on-time and effectively. Chairman Akaka made the comments in response to a recent hearing on VA's efforts to use information technology to improve the delivery of benefits. Senator Akaka was a cosponsor of the Post-9/11 GI Bill. Senator Akaka's full statement, as well as the written testimony from the witnesses at the hearing, is available here.

About Military Education Blog

Education benefits like tuition assistance, the GI Bill, credit for military experience, and credit-by-exam are designed to help service members and veterans reach their full potential. Accessing these military education benefits is often difficult or confusing, and we’re here to help. We provide information, advice, and resources to help you navigate the ins and outs of the military education system.

This blog features the latest military education news and real life education experiences of military veterans and current members of the Army, Navy, Marine Corps, Air Force, Coast Guard, National Guard and Reserve.

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