§3011. Basic educational assistance entitlement for service on active duty

(a) Except as provided in subsection (c) of this section, each individual

[See main edition for text of (1)]

(2) who, except as provided in subsection (e) of this section, completed the requirements of a secondary school diploma (or equivalency certificate) not later than—

[See main edition for text of (A) and (B)] except that (i) an individual described in clause (1)(B) of this subsection may meet the requirement of this clause by having successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree, and (ii) an individual described in clause (1)(A) of this subsection may meet such requirement by having successfully completed (or otherwise received academic credit for) the equivalent of such 12 semester hours before the end of the individual's initial obligated period of active duty; and

[See main edition for text of (3)]

is entitled to basic educational assistance under this chapter.

[See main edition for text of (b)]

(c) [See main edition for text of (1)]

(2) An individual who after December 31, 1976, receives a commission as an officer in the Armed Forces upon graduation from the United States Military Academy, the United States Naval Academy, the United States Air Force Academy, or the Coast Guard Academy is not eligible for educational assistance under this section.

(3) An individual who after December 31, 1976, receives a commission as an officer in the Armed Forces upon completion of a program of educational assistance under section 2107 of title 10 is not eligible for educational assistance under this section if the individual enters on active duty

(A) before October 1, 1996; or

(B) after September 30, 1996, and while participating in such program received more than $2,000 for each year of such participation.

(d) [See main edition for text of (1) and (2)]

(3) The period of service referred to in paragraph (1) is also any period of service on active duty which an individual in the Selected Reserve was ordered to perform under section 12301, 12302, 12304, 12306, or 12307 of title 10 for a period of less than 2 years.

[See main edition for text of (e)]

(f)(1) For the purposes of this chapter, a member referred to in paragraph (2) or (3) of this subsection who serves the periods of active duty referred to in that paragraph shall be deemed to have served a continuous period of active duty the length of which is the aggregate length of the periods of active duty referred to in that paragraph.

[See main edition for text of (2)]

(3) This subsection applies to a member who after a period of continuous active duty as an enlisted member or warrant officer, and following successful completion of officer training school, is discharged in order to accept, without a break in service, a commission as an officer in the Armed Forces for a period of active duty.

[See main edition for text of (g) and (h)]

(1) The Secretary concerned shall inform any member of the Armed Forces who has not completed that member's initial obligated period of active duty (as described in subsection (a)(1)(A)) and who indicates the intent to be discharged or released from such duty for the convenience of the Government of the minimum active duty requirements for entitlement to educational assistance benefits under this chapter. Such information shall be provided to the member in a timely manner.

(As amended Pub. L. 104-106, div. A, title XV, § 1501(e)(2)(A), Feb. 10, 1996, 110 Stat. 501; Pub. L. 104-201, div. A, title V, §556(a), Sept. 23, 1996, 110 Stat. 2528; Pub. L. 105-368, title II, §§ 203(a), 207(a), Nov. 11, 1998, 112 Stat. 3326, 3328; Pub. L. 106-117, title VII, §§ 702(a), 704, Nov. 30, 1999, 113 Stat. 1583, 1584.)

AMENDMENTS

1999 Subsec. (f)(1). Pub. L. 106-117, §702(a)(1), substituted "paragraph (2) or (3)” for “paragraph (2)”. Subsec. (f)(3). Pub. L. 106-117, §702(a)(2), added par. (3).

Subsec. (i). Pub. L. 106–117, §704, struck out "Federal" before "Government".

1998 Subsec. (a)(2). Pub. L. 105-368, §203(a), substituted "successfully completed (or otherwise received academic credit for)" for "successfully completed" in two places in concluding provisions.

Subsec. (i). Pub. L. 105-368, §207(a), added subsec. (i). 1996 Subsec. (c)(2). Pub. L. 104-201, §556(a)(1), struck out "or upon completion of a program of educational assistance under section 2107 of title 10" after "Coast Guard Academy".

Subsec. (c)(3). Pub. L. 104–201, §556(a)(2), added par. (3).

Subsec. (d)(3). Pub. L. 104-106 substituted "section 12301, 12302, 12304, 12306, or 12307 of title 10" for "section 672, 673, 673b, 674, or 675 of title 10".

EFFECTIVE DATE OF 1999 AMENDMENT

Pub. L. 106-117, title VII, §702(c), Nov. 30, 1999, 113 Stat. 1583, provided that: "The amendments made by subsection (a) [amending this section] shall take effect on the date of the enactment of this Act [Nov. 30, 1999] and apply with respect to an individual first appointed as a commissioned officer on or after July 1, 1985."

EFFECTIVE DATE OF 1998 AMENDMENT

Pub. L. 105-368, title II, § 203(b), Nov. 11, 1998, 112 Stat. 3326, provided that: "The amendments made by subsection (a) [amending this section and sections 3012 and 3018 to 3018C of this title] shall take effect on October 1, 1998."

Pub. L. 105-368, title II, §207(d)(1), Nov. 11, 1998, 112 Stat. 3328, provided that: "The amendments made by subsections (a) and (b) [amending this section and section 3012 of this title] shall take effect 120 days after the date of the enactment of this Act [Nov. 11, 1998]."'

EFFECTIVE DATE OF 1996 AMENDMENT Amendment by Pub. L. 104-106 effective as if included in the Reserve Officer Personnel Management Act, title

XVI of Pub. L. 103-337, as enacted on Oct. 5, 1994, see section 1501(f)(3) of Pub. L. 104-106, set out as a note under section 113 of Title 10, Armed Forces.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3012, 3013, 3015, 3016, 3017, 3018, 3018A, 3018B, 3018C, 3021, 3031, 3034, 3036, 3232, 3462, 4214, 5303A of this title; title 10 section 2006; title 42 section 12603.

§3012. Basic educational assistance entitlement for service in the Selected Reserve

(a) Except as provided in subsection (d) of this section, each individual

[See main edition for text of (1)]

(2) who, except as provided in subsection (f) of this section, before completion of the service described in clause (1) of this subsection, has completed the requirements of a secondary school diploma (or an equivalency certificate), except that (i) an individual described in clause (1)(B) of this subsection may meet the requirement of this clause by having successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree, and (ii) an individual described in clause (1)(A) of this subsection may meet such requirement by having successfully completed (or otherwise received academic credit for) the equivalent of such 12 semester hours before the end of the individual's initial obligated period of active duty; and

[See main edition for text of (3)]

is entitled to basic educational assistance under this chapter.

(b)(1) [See main edition for text of (A)]

(B) The requirement of four years of service under clauses (1)(A)(ii) and (1)(B)(ii) of subsection (a) of this section is not applicable to an individual

[See main edition for text of (i) and (ii)]

(iii) who, before completing the four years of service described in clauses (1)(A)(ii) and (1)(B)(ii) of subsection (a) of this section, ceases to be a member of the Selected Reserve during the period beginning on October 1, 1991, and ending on September 30, 1999, by reason of the inactivation of the person's unit of assignment or by reason of involuntarily ceasing to be designated as a member of the Selected Reserve pursuant to section 10143(a) of title 10.

[See main edition for text of (2); (c)]

(d) [See main edition for text of (1)] (2) An individual who after December 31, 1976, receives a commission as an officer in the Armed Forces upon graduation from the United States Military Academy, the United States Naval Academy, the United States. Air Force Academy, or the Coast Guard Academy is not eligible for educational assistance under this section.

(3) An individual who after December 31, 1976, receives a commission as an officer in the Armed Forces upon completion of a program of

educational assistance under section 2107 of title 10 is not eligible for educational assistance under this section if the individual enters on active duty

(A) before October 1, 1996; or

(B) after September 30, 1996, and while participating in such program received more than $2,000 for each year of such participation.

[See main edition for text of (e) and (f)] (g)(1) The Secretary concerned shall inform any member of the Armed Forces who has not completed that member's initial service (as described in paragraph (2)) and who indicates the intent to be discharged or released from such service for the convenience of the Government of the minimum service requirements for entitlement to educational assistance benefits under this chapter. Such information shall be provided to the member in a timely manner.

(2) The initial service referred to in paragraph (1) is the initial obligated period of active duty (described in subparagraphs1 (A)(i) or (B)(i) of subsection (a)(1)) or the period of service in the Selected Reserve (described in subparagraphs 1 (A)(ii) or (B)(ii) of subsection (a)(1)).

(As amended Pub. L. 104-106, div. A, title XV, § 1501(e)(2)(B), Feb. 10, 1996, 110 Stat. 501; Pub. L. 104-201, div. A, title V, §556(b), Sept. 23, 1996, 110 Stat. 2528; Pub. L. 105-368, title II, §§ 203(a), 207(b), Nov. 11, 1998, 112 Stat. 3326, 3328; Pub. L. 106-117, title VII, §704, Nov. 30, 1999, 113 Stat. 1584.)

AMENDMENTS

1999 Subsec. (g)(1). Pub. L. 106-117 struck out "Federal" before "Government".

1998 Subsec. (a)(2)(i), (ii). Pub. L. 105-368, § 203(a), substituted "successfully completed (or otherwise received academic credit for)" for "successfully completed".

Subsec. (g). Pub. L. 105-368, § 207(b), added subsec. (g). 1996 Subsec. (b)(1)(B)(iii). Pub. L. 104-106 substituted "section 10143(a) of title 10" for "section 268(b) of title 10".

Subsec. (d)(2). Pub. L. 104-201, §556(b)(1), struck out "or upon completion of a program of educational assistance under section 2107 of title 10" after "Coast Guard Academy".

Subsec. (d)(3). Pub. L. 104-201, §556(b)(2), added par. (3).

EFFECTIVE DATE OF 1998 AMENDMENT Amendment by section 203(a) of Pub. L. 105-368 effective Oct. 1, 1998, see section 203(b) of Pub. L. 105-368, set out as a note under section 3011 of this title.

Amendment by section 207(b) of Pub. L. 105-368 effective 120 days after Nov. 11, 1998, see section 207(d)(1) of Pub. L. 105-368, set out as a note under section 3011 of this title.

EFFECTIVE DATE OF 1996 AMENDMENT Amendment by Pub. L. 104-106 effective as if included in the Reserve Officer Personnel Management Act, title XVI of Pub. L. 103-337, as enacted on Oct. 5, 1994, see section 1501(f)(3) of Pub. L. 104-106, set out as a note under section 113 of Title 10, Armed Forces.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3013, 3016, 3017, 3018, 3018A, 3018B, 3018C, 3021, 3031, 3034, 3036, 5303A of this title; title 10 sections 2006, 16131.

1 So in original. Probably should be "subparagraph”.

§3013. Duration of basic educational assistance

[See main edition for text of (a) to (c)]

(d) Subject to section 3695 of this title, each individual entitled to educational benefits under section 3018A, 3018B, or 3018C of this title is entitled to the lesser of

[See main edition for text of (1) and (2); (e) and (f)] (As amended Pub. L. 104-275, title I, §106(b)(2), Oct. 9, 1996, 110 Stat. 3329.)

AMENDMENTS

1996 Subsec. (d). Pub. L. 104-275 substituted ", 3018B, or 3018C" for "or 3018B".

§3015. Amount of basic educational assistance

(a) The amount of payment of educational assistance under this chapter is subject to section 3032 of this title. Except as otherwise provided in this section, a basic educational assistance allowance under this subchapter shall be paid— (1) at the monthly rate of $528 (as increased from time to time under subsection (g)) for an approved program of education pursued on a full-time basis; or

[See main edition for text of (2)]

(b) In the case of an individual entitled to an educational assistance allowance under section 3011 or 3018 of this title and whose initial obligated period of active duty is two years, a basic educational assistance allowance under this chapter shall (except as provided in the succeeding subsections of this section) be paid

(1) at the monthly rate of $429 (as increased from time to time under subsection (g)) for an approved program of education pursued on a full-time basis; or

[See main edition for text of (2); (c)]

(d)(1) In the case of an individual who has a skill or specialty designated by the Secretary concerned as a skill or specialty in which there is a critical shortage of personnel or for which it is difficult to recruit, the Secretary concerned, pursuant to regulations to be prescribed by the Secretary of Defense, may, at the time the individual first becomes a member of the Armed Forces, increase the rate of the basic educational assistance allowance applicable to such individual to such rate in excess of the rate prescribed under subsections (a), (b), and (c) of this section as the Secretary of Defense considers appropriate, but the amount of any such increase may not exceed $950 per month.

(2) In the case of an individual who after October 7, 1997, receives an enlistment bonus under section 308a or 308f of title 37, receipt of that bonus does not affect the eligibility of that individual for an increase under paragraph (1) in the rate of the basic educational assistance allowance applicable to that individual, and the Secretary concerned may provide such an increase for that individual (and enter into an agreement with that individual that the United States agrees to make payments pursuant to such an increase) without regard to any provision of law (enacted before, on, or after the date of the enactment of this paragraph) that limits the authority to make such payments.

(e)(1)(A) Except as provided in subparagraph (B) of this paragraph and subject to paragraph (2) of this subsection, in the case of an individual who on December 31, 1989, was entitled to educational assistance under chapter 34 of this title, the rate of the basic educational assistance allowance applicable to such individual under this chapter shall be increased by the amount equal to one-half of the educational assistance allowance that would be applicable to such individual under such chapter 34 (as of the time the assistance under this chapter is provided and based on the rates in effect on December 31, 1989) if such chapter were in effect.

(B) Notwithstanding subparagraph (A) of this paragraph, in the case of an individual described in that subparagraph who is pursuing a cooperative program on or after October 9, 1996, the rate of the basic educational assistance allowance applicable to such individual under this chapter shall be increased by the amount equal to onehalf of the educational assistance allowance that would be applicable to such individual for pursuit of full-time institutional training under chapter 34 (as of the time the assistance under this chapter is provided and based on the rates in effect on December 31, 1989) if such chapter were in effect.

[See main edition for text of (2)]

(f) In the case of an individual for whom the Secretary of Defense made contributions under section 3222(c) of this title and who is entitled to educational assistance under section 3018A, 3018B, or 3018C of this chapter, the Secretary shall increase the rate of the basic educational assistance allowance applicable to such individual in excess of the rate provided under subsection (a) of this section in a manner consistent with, as determined by the Secretary of Defense, the agreement entered into with such individual pursuant to the rules and regulations issued by the Secretary of Defense under section 3222(c) of this title.

(g) With respect to any fiscal year, the Secretary shall provide a percentage increase (rounded to the nearest dollar) in the rates payable under subsections (a)(1) and (b)(1) equal to the percentage by which

[See main edition for text of (1) and (2)]

(As amended Pub. L. 104-275, title I, §106(b)(3), Oct. 9, 1996, 110 Stat. 3329; Pub. L. 105-114, title IV, §401(b), Nov. 21, 1997, 111 Stat. 2293; Pub. L. 105-178, title VIII, §8203(a)(1)–(3), June 9, 1998, 112 Stat. 493; Pub. L. 105-261, div. A, title V, §565(a), title VI, § 656(a), Oct. 17, 1998, 112 Stat. 2029, 2053.) REFERENCES IN TEXT

The date of the enactment of this paragraph, referred to in subsec. (d)(2), is the date of enactment of Pub. L. 105-261 which was approved Oct. 17, 1998.

AMENDMENTS

1998 Subsec. (a). Pub. L. 105-178, §8203(a)(3)(A), struck out "subsections (b), (c), (d), (e), (f), and (g) of“' before "this section" in introductory provisions.

Subsec. (a)(1). Pub. L. 105-178, §8203(a)(1)(A), substituted "$528 (as increased from time to time under subsection (g))" for "$400".

Subsec. (b). Pub. L. 105-178, § 8203(a)(3)(B), în introductory provisions, substituted "In" for "Except as pro

vided in subsections (c), (d), (e), (f), and (g), in” and inserted "(except as provided in the succeeding subsections of this section)" after "under this chapter shall".

Subsec. (b)(1). Pub. L. 105-178, §8203(a)(1)(B), substituted "$429 (as increased from time to time under subsection (g))” for “$325".

Subsec. (d). Pub. L. 105-261, §656(a), designated existing provisions as par. (1) and added par. (2).

Pub. L. 105-261, §565(a), inserted “, at the time the individual first becomes a member of the Armed Forces," after "Secretary of Defense, may" and substituted "$950 per month" for "$400 per month, in the case of an individual who first became a member of the Armed Forces before November 29, 1989, or $700 per month, in the case of an individual who first became a member of the Armed Forces on or after that date."

Subsec. (g). Pub. L. 105-178, §8203(a)(2), substituted ", the Secretary shall provide a percentage increase (rounded to the nearest dollar) in the rates payable under subsections (a)(1) and (b)(1)" for "beginning on or after October 1, 1994, the Secretary shall continue to pay, in lieu of the rates payable under subsection (a)(1) or (b)(1) of this section, the monthly rates payable under this subsection for the previous fiscal year and shall provide, for any such fiscal year, a percentage increase in such rates".

1997-Subsec. (e)(1)(A). Pub. L. 105-114, § 401(b)(1), substituted “(1)(A) Except as provided in subparagraph (B) of this paragraph and subject to paragraph (2)” for “(1) Subject to paragraph (2)”.

Subsec. (e)(1)(B). Pub. L. 105-114, § 401(b)(2), added subpar. (B).

1996 Subsec. (f). Pub. L. 104-275 inserted ", 3018B, or 3018C" after "section 3018A".

EFFECTIVE DATE OF 1998 AMENDMENTS

Pub. L. 105-261, div. A, title V, §565(b), Oct. 17, 1998, 112 Stat. 2029, provided that: "The amendments made by subsection (a) [amending this section] shall take effect on October 1, 1998, and shall apply with respect to individuals who first become members of the Armed Forces on or after that date."

Pub. L. 105-178, title VIII, § 8203(a)(4), June 9, 1998, 112 Stat. 493, provided that: "The amendments made by this subsection [amending this section] shall take effect on October 1, 1998, and shall apply with respect to educational assistance allowances paid for months after September 1998. However, no adjustment in rates of educational assistance shall be made under subsection (g) of section 3015 of title 38, United States Code, as amended by paragraph (2), for fiscal year 1999."

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3018A, 3018B, 3018C, 3032, 3035 of this title; title 10 sections 2006, 16131; title 42 section 12603.

§3017. Death benefit

(a) [See main edition for text of (1)]

(2)(A) The payment referred to in paragraph (1) of this subsection shall be made to the person or persons first listed below who is surviving on the date of such individual's death:

(i) The beneficiary or beneficiaries designated by such individual under the individual's Servicemembers' Group Life Insurance policy.

[See main edition for text of (ii) to (iv), (B); (b) and (c)]

(As amended Pub. L. 104-275, title IV, § 405(c)(2), Oct. 9, 1996, 110 Stat. 3340.)

AMENDMENTS

1996 Subsec. (a)(2)(A)(i). Pub. L. 104-275 substituted "Servicemembers' Group" for "Servicemen's Group".

§3018. Opportunity for certain active-duty personnel to withdraw election not to enroll

[See main edition for text of (a)]

(b) An individual described in clauses (1) through (3) of subsection (a) of this section who made an election under section 3011(c)(1) or 3012(d)(1) of this title and who

[See main edition for text of (1) to (3)]

(4) before completing such obligated period of service (1) has completed the requirements of a secondary school diploma (or an equivalency certificate), or (ii) has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree; and

[See main edition for text of (5)]

is entitled to basic educational assistance under this chapter.

[See main edition for text of (c) and (d)]

(As amended Pub. L. 105-368, title II, §203(a), Nov. 11, 1998, 112 Stat. 3326.)

AMENDMENTS

1998 Subsec. (b)(4)(ii). Pub. L. 105-368 substituted "successfully completed (or otherwise received academic credit for)" for "successfully completed".

EFFECTIVE DATE OF 1998 AMENDMENT

Amendment by Pub. L. 105-368 effective Oct. 1, 1998, see section 203(b) of Pub. L. 105-368, set out as a note under section 3011 of this title.

§3018A. Opportunity for certain active-duty personnel to enroll before being involuntarily separated from service

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

[See main edition for text of (1)]

(2) before applying for benefits under this section, has completed the requirements of a secondary school diploma (or equivalency certificate) or has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree;

[See main edition for text of (3) to (5)]

is entitled to basic educational assistance under this chapter.

[See main edition for text of (b) to (d)] (As amended Pub. L. 105-368, title II, §203(a), Nov. 11, 1998, 112 Stat. 3326.)

AMENDMENTS

1998 Subsec. (a)(2). Pub. L. 105-368 substituted "successfully completed (or otherwise received academic credit for)" for "successfully completed".

EFFECTIVE DATE OF 1998 AMENDMENT

Amendment by Pub. L. 105-368 effective Oct. 1, 1998, see section 203(b) of Pub. L. 105-368, set out as a note under section 3011 of this title.

§3018B. Opportunity for certain persons to enroll

(a) Notwithstanding any other provision of law

(1) the Secretary of Defense shall, subject to the availability of appropriations, allow an individual who

[See main edition for text of (A)]

(B) before applying for benefits under this section, has completed the requirements of a secondary school diploma (or equivalency certificate) or has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree;

[See main edition for text of (C) to (E)]

(2) the Secretary, in consultation with the Secretary of Defense, shall, subject to the availability of appropriations, allow an individual who

[See main edition for text of (A)]

(B) before applying for benefits under this section, has completed the requirements of a secondary school diploma (or equivalency certificate) or has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree;

[See main edition for text of (C) and (D)]

(E) before October 23, 1993, elects to receive assistance under this section pursuant to procedures referred to in subparagraph (C) of this paragraph,

to elect to become entitled to basic education assistance under this chapter.

[See main edition for text of (b) and (d)]

(As amended Pub. L. 105-368, title II, §203(a), title X, §1005(b)(6), Nov. 11, 1998, 112 Stat. 3326, 3365.)

AMENDMENTS

1998 Subsec. (a)(1)(B), (2)(B). Pub. L. 105-368, § 203(a), substituted "successfully completed (or otherwise received academic credit for)" for "successfully completed".

Subsec. (a)(2)(E). Pub. L. 105-368, §1005(b)(6), which directed the substitution of "before October 23, 1993," for "before the one-year period beginning on the date of the enactment of this section,", was executed by making the substitution for text which did not include the word "the" before the word "enactment", to reflect the probable intent of Congress.

EFFECTIVE DATE OF 1998 AMENDMENT Amendment by section 203(a) of Pub. L. 105-368 effective Oct. 1, 1998, see section 203(b) of Pub. L. 105-368, set out as a note under section 3011 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3013, 3015, 3035 of this title.

§3018C. Opportunity for certain VEAP participants to enroll

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

(1) is a participant on October 9, 1996, in the educational benefits program provided by chapter 32 of this title;

(2) is serving on active duty (excluding the periods referred to in section 3202(1)(C) of this title) on such date;

(3) before applying for benefits under this section, has completed the requirements of a secondary school diploma (or equivalency certificate) or has successfully completed (or otherwise received academic credit for) the equivalent of 12 semester hours in a program of education leading to a standard college degree;

(4) if discharged or released from active duty after the date on which the individual makes the election described in paragraph (5), is discharged or released therefrom with an honorable discharge; and

(5) during the one-year period beginning on October 9, 1996, makes an irrevocable election to receive benefits under this section in lieu of benefits under chapter 32 of this title, pursuant to procedures which the Secretary of each military department shall provide in accordance with regulations 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.