sser of the following two periods ive duty:

rity: 38 U.S.C. 3231(b))

he individual's first obligated pef active duty which began after iber 31, 1976, or

The individual's period of active which began after December 31, nd which is 6 years in length, f enrolled in a course, courses or ram of education leading to a ry school diploma or equivacertificate, the individual:

[ust be an enlisted member of the Forces,

Must be a participant

Must be training during the last ths of his or her first period of duty, or any time thereafter,

If he or she originally enlisted September 7, 1980, must have leted at least 24 months of his or iginal enlistment

rity: 38 U.S.C. 3231(b), 10 U.S.C. 977) Election to receive educational ase allowance under 38 U.S.C. chapinstead of 10 U.S.C. chapter 1606. dividual who serves in the SeReserves may not receive credit at service under both 38 U.S.C. er 32 and 10 U.S.C. Chapter 1606. or she wishes to receive edual assistance based upon this e, the veteran must elect the er under which he or she will rebenefits.

This election must be in writing bmitted to VA.

f a veteran elects to receive edual assistance under 38 U.S.C. er 32, and negotiates an edual assistance check which is upon the period of service for the election was made, the elecs irrevocable. Negotiation of an tional assistance check provided either 38 U.S.C. chapter 32 or 10 chapter 1606, but based upon a 1 of service which preceded the 1 for which an election was made,

will not serve to make the election irrevocable.

(Authority: 38 U.S.C. 3221(f); Pub. L. 101-237)

[48 FR 36577, Aug. 12, 1983, as amended at 51 FR 12852, Apr. 16, 1986; 53 FR 34496, Sept. 7, 1988; 57 FR 38614, Aug. 26, 1992; 61 FR 20728, May 8, 1996; 61 FR 29029, June 7, 1996]

$21.5041 Periods of entitlement.

(a) Ten-year delimiting period. Except as provided in § 21.5042 no educational assistance shall be afforded an eligible individual under chapter 32 beyond the date of 10 years after the later of the following:

(1) His or her last discharge or release from a period of active duty of 90 days or more of continuous service; or

(2) His or her last discharge or release from a period of active duty of any length when the eligible individual is discharged or released

(i) For a service-connected disability; (ii) For a medical condition which preexisted such service and which VA determines is not service-connected;

(iii) For hardship; or

(iv) Involuntarily for convenience of the government after October 1, 1987, as a result of a reduction in force, as determined by the Secretary of the military department concerned in accordance with regulations prescribed by the Secretary of Defense or by the Secretary of Transportation with respect to the Coast Guard when it is not operating as a service in the Navy.

§ 21.5042 Extended period of eligibility.

(a) General. A veteran shall be granted an extension of the applicable delimiting period, as otherwise determined by $21.5041 of this part provided

(1) The veteran applies for an extension.

(2) The veteran was prevented from initiating or completing the chosen program of education within the otherwise applicable delimiting period because of a physical or mental disability that did not result from the willful misconduct of the veteran. VA will not consider the disabling effects of chronic alcoholism to be the result of willful misconduct. See §21.5021(v).

(Authority: 38 U.S.C. 105, 3232, 3462; Pub. L. 99-576, Pub. L. 100-689)

(b) Application. The veteran must apply for the extended period of eligibility in time for VA to receive the application by the later of the following dates:

(1) One year from the last date of the delimiting period otherwise applicable to the veteran under $21.5401 of this part, or

(2) One year from the termination date of the period of the veteran's mental or physical disability.

(Authority: 38 U.S.C. 3232, Pub. L. 99-576)

(c) Qualifying period of disability. (1) A veteran's extended period of eligibility shall be based on the period of time that the veteran himself or herself was prevented by reason of physical or mental disability, not the result of the veteran's willful misconduct, from initiating or completing his or her chosen program of education.

(2) VA will not consider the disabling effects of chronic alcoholism to be the result of willful misconduct provided the last date of the time limit for filing a claim for the extension determined under $21.5030(c)(3) of this part occurs after November 17, 1988.

(Authority: 38 U.S.C. 105; Pub. L. 100-689)

(3) Evidence must be presented which clearly establishes that the veteran's disability made pursuit of his or her program medically infeasible during

the veteran's original period of eligibility as determined by §21.5041 of this part. A period of disability following the end of the original disability period will not be a basis for extension.

(4) VA will not consider a veteran who is disabled for a period of 30 days or less as having been prevented from enrolling or reenrolling in the chosen program of education or was forced to discontinue attendance, because of the short disability.

(Authority: 38 U.S.C. 3232, Pub. L. 99-576)

(d) Commencing date. The veteran shall elect the commencing date of an extended period of eligibility. The date chosen

(1) Must be on or after the original date of expiration of eligibility as determined by § 21.5041 of this part, and

(2) Must be on or before the 90th day following the date on which the veteran's application for an extension was approved by VA, if the veteran is training during the extended period of eligibility in a course not organized on a term, quarter or semester basis, or

(3) Must be on or before the first day of the first ordinary term, quarter or semester following the 90th day after the veteran's application for an extension was approved by VA if the veteran is training during the extended period of eligibility in a course organized on a term, quarter or semester basis.

(Authority: 38 U.S.C. 3232; Pub. L. 99-576)

(4) For a veteran whose entitlement to an extended period of eligibility is dependent upon the disabling effects of chronic alcoholism, may not begin before November 18, 1988.

(Authority: 38 U.S.C. 105, 3232; Pub. 99-576. Pub. L. 100-689)

(e) Determining the length of extended periods of eligibility. A veteran's extended period of eligibility shall be based upon the qualifying period of disability, and determined as follows:

(1) If the veteran is in training in a course organized on a term, quarter or semester basis, his or her extended period of eligibility shall contain the same number of days as the number of days from the date during the veteran's original delimiting period that his or

her training became medically infeasible to the earliest of the following dates:

(i) The commencing date of the ordinary term, quarter or semester following the day the veteran's training became medically feasible,

(ii) The veteran's delimiting date as determined by § 21.5041 of this part, or (iii) The date the veteran resumed training.

(2) If the veteran is training in a course not organized on a term, quarter or semester basis, his or her extended period of eligibility shall contain the same number of days as the cumber of days from the date during the veteran's original delimiting period that his or her training became medically infeasible to the earlier of the following dates:

(i) The date the veteran's training became medically feasible, or

(1) The veteran's delimiting date as determined by § 21.5041 of this part.

Authority: 38 U.S.C. 3232; Pub. L. 99-576)

(f) Discontinuance. If the veteran is pursuing a course on the date an extended period of eligibility expires (as determined under this section), VA will discontinue the educational assistance allowance effective the day before the end of the extended period of eligibility.

Authority: 38 U.S.C. 3232; Pub. L. 99-576)

53 FR 34496, Sept. 7, 1988, as amended at 55 FR 31582, Aug. 3, 1990]

PARTICIPATION

$21.5050 Application requirements for participation.

(a) An individual, who is otherwise eligible to become a participant, must apply to the Service Department under which he or she serves upon forms prescribed by the Service Department and/ or Secretary of Defense.

(b) No application to participate may be made before entry upon active duty. (c) Each application must be submitted in time to permit the Service Department to make the required deduction from the individual's military pay for at least 1 month before the ap

plicant's discharge or release from active duty.

(Authority: 38 U.S.C. 3221)

§ 21.5052 Contribution requirements.

(a) Minimum period of participation. Each individual who agrees to participate must do so for a minimum period of 12 consecutive months, unless the participant:

(1) Is allowed to disenroll for hardship reasons;

(2) Is permitted to suspend participation for hardship reasons;

(3) Is discharged or released from active duty;

(4) Otherwise ceases to be legally eligible to participate; or

(5) Elects to make a lump-sum contribution which, when taken together with his or her other contributions, equals the equivalent of at least 12 months' participation.

(Authority: 38 U.S.C. 3221, 3222)

(b) Amount of monthly contribution. The individual shall specify the amount of his or her contribution to the fund.

(1) The contribution shall be at least $25 per month but not more than $100 per month.

(2) The contribution shall be evenly divided by five. See $21.5292 for contributions made furing the 1-year pilot program.

(c) Amount of total contribution. An individual may contribute for the number of months required to reach a total contribution of $2,700.

(d) Changing the monthly contribution. An individual may increase or decrease the amount of the monthly contribution, but may not do so more than once a month.

(e) Prohibition against contributing. An individual may not make contributions to the fund after the date of his or her discharge. The VA does not consider the return of an unnegotiated refund check to be a contribution. A person who returns a refund check remains continuously eligible for benefits.

(Authority: 38 U.S.C. 3222)

(f) Lump-sum contribution. After September 30, 1980 an individual may make

a lump-sum contribution or contributions in place of or in addition to monthly contributions.

(1) A lump-sum contribution:

(i) Must be evenly divisible by five, (ii) Must, when taken together with any monthly contributions the participant may have made or may agree to make, equal or exceed 12 months' participation, and

(iii) Must not exceed $2,700 when taken together with any monthly contributions the participant may have made or may agree to make.

(2) The Department of Veterans Affairs will consider the lump-sum contributions to have been made by monthly deductions from the participant's military pay at the rate of $100 per month unless the participant specifies a different rate which must be

(i) No lower than $25 per month, (ii) No higher than $100 per month, and

(iii) Evenly divisible by five.

(3) If otherwise eligible to make contributions, a participant:

(i) May make a lump-sum contribution to cover any period of his or her active duty. This may entail a retroactive period, including one which—

(A) Begins after December 31, 1976, and before October 1, 1980, or

(B) Although made after October 27, 1986, includes all or part of the period beginning on July 1, 1985, and ending on October 27, 1986.

(Authority: Pub. L. 99-576, sec. 309(c))

(ii) May make a lump-sum contribution which has the effect of increasing the amount of a monthly contribution the participant made previously, but the payment cannot have the effect of increasing the monthly contribution to an amount greater than $100;

(iii) May make a lump-sum payment to cover a period for which he or she previously obtained a refund;

(iv) May not make a lump-sum payment to cover a period during which the participant was not on active duty or will not be on active duty.

(4) A participant may make as many lump-sum contributions as he or she desires, but he or she may not make

graph (b)(3) of this section, no indimal on active duty in the Armed ces may initially enroll after June 985.

An initial enrollment occurs when rviceperson who has never contribto the fund

First makes a lump-sum payment he fund, or

First authorizes an allotment to for deposit in the fund. See 32 CFR 10).

Notwithstanding the provisions of graph (b)(1) of this section, any indual on active duty in the Armed ces who was eligible to enroll on e 30, 1985, may enroll at any time ing the period beginning on October 986, and ending on March 31, 1987.

hority: 38 U.S.C. 3221(a), Pub. L. 99-576, 309; Pub. L. 99-576)

FR 2695, Jan. 21, 1986; 51 FR 12321, Apr. 10, 3, as amended at 53 FR 34496, Sept. 7, 1988]

5058 Resumption of participation. General. An eligible individual, remains otherwise eligible, may me active contribution to the fund, = or she has:

Voluntarily elected to suspend folng completion of minimum partici

on:

Suspended at any time for reasons ardship; or

Received a discharge or release à active duty after participation reenlisted.

thonty: 38 U.S.C. 3221)

Disenrollment in order to participate ther educational programs. A person elects to disenroll in order to ree educational assistance allowance er 38 U.S.C. chapter 34 or to receive officer adjustment benefit payable er sec. 207, Pub. L. 101-366, 104 Stat. may not reenroll if he or she has tiated a check under the provis of law governing the program ted in lieu of the Post-Vietnam Era erans' Educational Assistance Prom. A person who elects to disenroll order to receive educational assiste under the Montgomery GI Bill

Active Duty, as provided in §21.7045, may not reenroll.

(Authority: 38 U.S.C. 3018A, 3018B, 3018C, 3202(1), 3222)

(c) Reenrollment permitted following some disenrollments. (1) Except as provided in paragraph (b) of this section, a person who has disenrolled may reenroll, but will have to qualify again for minimum participation as described in § 21.5052(a).

(2) If a person does reenroll, he or she may "repurchase" entitlement by tendering previously refunded contributions which he or she received upon disenrollment, subject to the conditions of § 21.5052(f).

(Authority: 38 U.S.C. 3221, 3222)

[45 FR 31, Jan. 2, 1980, as amended at 46 FR 29474, June 2, 1981; 47 FR 51745, Nov. 17, 1982; 51 FR 12853, Apr. 16, 1986; 58 FR 38058, July 15, 1993; 58 FR 40468, July 28, 1993; 61 FR 7217, 7218, Feb. 27, 1996; 61 FR 29029, June 7, 1996]

$21.5060 Disenrollment.

(a) Voluntary disenrollment. (1) An individual may disenroll at anytime after the initial 12 months of participation.

(2) At any time within the initial 12 months of participation, an individual may elect to disenroll for reasons of personal hardship only.

(Authority: 38 U.S.C. 3221(a), (b))

(b) Nonvoluntary disenrollment. The Department of Veterans Affairs shall disenroll automatically an individual who meets any of the following sets of conditions:

(1) The individual is discharged or released from his or her initial obligated period of active service and:

(i) The discharge or release is under dishonorable conditions, or

(ii) A statutory bar to benefits administered by the Department of Veterans Affairs exists for the individual;

(2) The individual participated only after completion of the initial or subsequent period of active service; is discharged or released and:

(i) The discharge or release is under dishonorable conditions, or

(ii) A statutory bar to benefits exists for the individual; or