§ 3020. Authority to transfer unused education benefits to family members for career service members

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 2001

   An Act to revise, codify, and enact into law, title 10 of the United States Code, entitled ‘Armed Forces’, and title 32 of the United States Code, entitled ‘National Guard’

   Pub. L. 107–107 div. A title VI § 654(a)(1) · 115 Stat. 1012

   Enacted · 38 U.S.C. § 3020

   Added Pub. L. 107–107, div. A, title VI, § 654(a)(1), Dec. 28, 2001, 115 Stat. 1153

   Source evidence

   Code source credit
   Added Pub. L. 107–107, div. A, title VI, § 654(a)(1), Dec. 28, 2001, 115 Stat. 1153

   Enacted provision · exact public law section
   (1) Subchapter II of chapter 30 of title 38, United States Code, is amended by adding at the end the following new section: “§ 3020. Transfer of entitlement to basic educational assistance: members of the Armed Forces with critical military skills “(a) In General.— Subject to the provisions of this section, each Secretary concerned may, for the purpose of enhancing recruitment and retention of members of the Armed Forces with critical military skills and at such Secretary’s sole discretion, permit an individual described in subsection (b) who is entitled to basic educational assistance under this subchapter to elect to transfer to one or more of the dependents specified in subsection (c) a portion of such individual’s entitlement to such assistance, subject to the limitation under subsection (d). “(b) Eligible Individuals.— An individual referred to in subsection (a) is any member of the Armed Forces who, at the time of the approval by the Secretary concerned of the member’s request to transfer entitlement to basic educational assistance under this section— “(1) has completed six years of service in the Armed Forces; “(2) either— “(A) has a critical military skill designated by the Secretary concerned for purposes of this section; or “(B) is in a military specialty designated by the Secretary concerned for purposes of this section as requiring critical military skills; and “(3) enters into an agreement to serve at least four more years as a member of the Armed Forces. “(c) Eligible Dependents.— An individual approved to transfer an entitlement to basic educational assistance under this section may transfer the individual’s entitlement as follows: “(1) To the individual’s spouse. “(2) To one or more of the individual’s children. “(3) To a combination of the individuals referred to in paragraphs (1) and (2). “(d) Limitation on Months of Transfer.— The total number of months of entitlement transferred by an individual under this section may not exceed 18 months. “(e) Designation of Transferee.— An individual transferring an entitlement to basic educational assistance under this section shall— “(1) designate the dependent or dependents to whom such entitlement is being transferred; “(2) designate the number of months of such entitlement to be transferred to each such dependent; and “(3) specify the period for which the transfer shall be effective for each dependent designated under paragraph (1). “(f) Time for Transfer; Revocation and Modification.— (1) Subject to the time limitation for use of entitlement under section 3031 of this title, an individual approved to transfer entitlement to basic educational assistance under this section may transfer such entitlement at any time after the approval of the individual’s request to transfer such entitlement without regard to whether the individual is a member of the Armed Forces when the transfer is executed. “(2) (A) An individual transferring entitlement under this section may modify or revoke at any time the transfer of any unused portion of the entitlement so transferred. “(B) The modification or revocation of the transfer of entitlement under this paragraph shall be made by the submittal of written notice of the action to both the Secretary concerned and the Secretary of Veterans Affairs. “(g) Commencement of Use.— A dependent to whom entitlement to basic educational assistance is transferred under this section may not commence the use of the transferred entitlement until— “(1) in the case of entitlement transferred to a spouse, the completion by the individual making the transfer of six years of service in the Armed Forces; or “(2) in the case of entitlement transferred to a child, both— “(A) the completion by the individual making the transfer of 10 years of service in the Armed Forces; and “(B) either— “(i) the completion by the child of the requirements of a secondary school diploma (or equivalency certificate); or “(ii) the attainment by the child of 18 years of age. “(h) Additional Administrative Matters.— (1) The use of any entitlement to basic educational assistance transferred under this section shall be charged against the entitlement of the individual making the transfer at the rate of one month for each month of transferred entitlement that is used. “(2) Except as provided under subsection (e)(2) and subject to paragraphs (4) and (5), a dependent to whom entitlement is transferred under this section is entitled to basic educational assistance under this subchapter in the same manner and at the same rate as the individual from whom the entitlement was transferred. “(3) The death of an individual transferring an entitlement under this section shall not affect the use of the entitlement by the dependent to whom the entitlement is transferred. “(4) Notwithstanding section 3031 of this title, a child to whom entitlement is transferred under this section may not use any entitlement so transferred after attaining the age of 26 years. “(5) The administrative provisions of this chapter (including the provisions set forth in section 3034(a)(1) of this title) shall apply to the use of entitlement transferred under this section, except that the dependent to whom the entitlement is transferred shall be treated as the eligible veteran for purposes of such provisions. “(6) The purposes for which a dependent to whom entitlement is transferred under this section may use such entitlement shall include the pursuit and completion of the requirements of a secondary school diploma (or equivalency certificate). “(i) Overpayment.— (1) In the event of an overpayment of basic educational assistance with respect to a dependent to whom entitlement is transferred under this section, the dependent and the individual making the transfer shall be jointly and severally liable to the United States for the amount of the overpayment for purposes of section 3685 of this title. “(2) Except as provided in paragraph (3), if an individual transferring entitlement under this section fails to complete the service agreed to by the individual under subsection (b)(3) in accordance with the terms of the agreement of the individual under that subsection, the amount of any transferred entitlement under this section that is used by a dependent of the individual as of the date of such failure shall be treated as an overpayment of basic educational assistance under paragraph (1). “(3) Paragraph (2) shall not apply in the case of an individual who fails to complete service agreed to by the individual— “(A) by reason of the death of the individual; or “(B) for a reason referred to in section 3011(a)(1)(A)(ii)(I) of this title. “(j) Approvals of Transfer Subject to Availability of Appropriations.— The Secretary concerned may approve transfers of entitlement to basic educational assistance under this section in a fiscal year only to the extent that appropriations for military personnel are available in that fiscal year for purposes of making deposits in the Department of Defense Education Benefits Fund under section 2006 of title 10 in that fiscal year to cover the present value of future benefits payable from the Fund for the Department of Defense portion of payments of basic educational assistance attributable to increased usage of benefits as a result of such transfers of entitlement in that fiscal year. “(k) Regulations.— The Secretary of Defense shall prescribe regulations for purposes of this section. Such regulations shall specify the manner and effect of an election to modify or revoke a transfer of entitlement under subsection (f)(2) and shall specify the manner of the applicability of the administrative provisions referred to in subsection (h)(5) to a dependent to whom entitlement is transferred under this section. “(l) Annual Report.— (1) Not later than January 31 each year (beginning in 2003), the Secretary of Defense shall submit to the Committees on Armed Services and the Committees on Veterans’ Affairs of the Senate and House of Representatives a report on the transfers of entitlement to basic educational assistance under this section that were approved by each Secretary concerned during the preceding fiscal year. “(2) Each report shall set forth— “(A) the number of transfers of entitlement under this section that were approved by such Secretary during the pre-ceding fiscal year; or “(B) if no transfers of entitlement under this section were approved by such Secretary during that fiscal year, a justification for such Secretary’s decision not to approve any such transfers of entitlement during that fiscal year. “(m) Secretary Concerned Defined.— Notwithstanding section 101(25) of this title, in this section, the term ‘Secretary concerned’ means— “(1) the Secretary of the Army with respect to matters concerning the Army; “(2) the Secretary of the Navy with respect to matters concerning the Navy or the Marine Corps; “(3) the Secretary of the Air Force with respect to matters concerning the Air Force; and “(4) the Secretary of Defense with respect to matters concerning the Coast Guard, or the Secretary of Transportation when it is not operating as a service in the Navy”.

   Effective date note
   Pub. L. 107–314, div. A, title VI, § 643(c)(1), Dec. 2, 2002, 116 Stat. 2578, provided that: “The amendments made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 3020 of title 38, United States Code, by section 654(a)(1) of the National Defense Authorization Act for Fiscal Year 2002 (Public Law 107–107; 115 Stat. 1153).” Amendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of Title 10, Armed Forces.

2. 2002

   Homeland Security Act of 2002

   Pub. L. 107–296 title XVII § 1704(d) · 116 Stat. 2135

   Substituted · 38 U.S.C. § 3020(m)(4)

   Pub. L. 107–296 substituted “of Homeland Security” for “of Transportation”

   Source evidence

   Code amendment note
   Subsec. (m)(4). Pub. L. 107–296 substituted “of Homeland Security” for “of Transportation”.

   Enacted provision · exact public law section
   (d) Title 38, United States Code.— Title 38, United States Code, is amended in sections 101(25)(d), 1560(a), 3002(5), 3002(a)(1)(A)(ii)(I), 3011(a)(1)(A)(ii)(II), 3011(a)(1)(B)(ii)(III), 3011(a)(1)(C)(iii)(II)(cc), 3012(b)(1)(A)(v), 3012(b)(1)(B)(ii)(V), 3018(b)(3)(B)(iv), 3018A(a)(3), 3018B(a)(1)(C), 3018B(a)(2)(C), 3018C(a)(5), 3020(m), 3035(b)(2), 3035(c), 3035(d), 3035(e), 3680A(g), and 6105(c) by striking “of Transportation” each place it appears and inserting “of Homeland Security”.

   Effective date note
   Pub. L. 107–314, div. A, title VI, § 643(c)(1), Dec. 2, 2002, 116 Stat. 2578, provided that: “The amendments made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 3020 of title 38, United States Code, by section 654(a)(1) of the National Defense Authorization Act for Fiscal Year 2002 (Public Law 107–107; 115 Stat. 1153).” Amendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of Title 10, Armed Forces.

3. 2002

   Pub. L. 107–314 § 643(a)(1) · 116 Stat. 2458

   1. Substituted · 38 U.S.C. § 3020(h)(2)

      Pub. L. 107–314, § 643(a)(1), substituted “paragraphs (5) and (6)” for “paragraphs (4) and (5)”

   2. Struck · 38 U.S.C. § 3020(h)(2)

      Pub. L. 107–314, § 643(a)(1), struck out “and at the same rate” after “in the same manner”

   Source evidence

   Code amendment note
   Subsec. (h)(2). Pub. L. 107–314, § 643(a)(1), substituted “paragraphs (5) and (6)” for “paragraphs (4) and (5)” and struck out “and at the same rate” after “in the same manner”.

   Enacted provision · exact public law section
   (1) in paragraph (2)— (A) by striking “paragraphs (4) and (5)” and inserting “paragraphs (5) and (6)”; and (B) by striking “and at the same rate”;

   Effective date note
   Pub. L. 107–314, div. A, title VI, § 643(c)(1), Dec. 2, 2002, 116 Stat. 2578, provided that: “The amendments made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 3020 of title 38, United States Code, by section 654(a)(1) of the National Defense Authorization Act for Fiscal Year 2002 (Public Law 107–107; 115 Stat. 1153).” Amendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of Title 10, Armed Forces.

4. 2002

   Pub. L. 107–314 § 643(a)(2) · 116 Stat. 2458

   1. Added · 38 U.S.C. § 3020(h)(3)(7)

      Pub. L. 107–314, § 643(a)(2), (3), added par. (3)

   2. Redesignated · 38 U.S.C. § 3020(h)(3)(7)

      Pub. L. 107–314, § 643(a)(2), (3), redesignated former pars. (3) to (6) as (4) to (7), respectively

   Source evidence

   Code amendment note
   Subsec. (h)(3) to (7). Pub. L. 107–314, § 643(a)(2), (3), added par. (3) and redesignated former pars. (3) to (6) as (4) to (7), respectively.

   Enacted provision · exact public law section
   (2) by redesignating paragraphs (3) through (6) as paragraphs (4) through (7), respectively; and

   Effective date note
   Pub. L. 107–314, div. A, title VI, § 643(c)(1), Dec. 2, 2002, 116 Stat. 2578, provided that: “The amendments made by subsection (a) [amending this section] shall take effect as if included in the enactment of section 3020 of title 38, United States Code, by section 654(a)(1) of the National Defense Authorization Act for Fiscal Year 2002 (Public Law 107–107; 115 Stat. 1153).” Amendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of Title 10, Armed Forces.

5. 2008

   Post-9/11 Veterans Educational Assistance Act of 2008

   Pub. L. 110–252 § 5006(a)(1) · 122 Stat. 2323

   Substituted · 38 U.S.C. § 3020

   Pub. L. 110–252, § 5006(a)(1), substituted “Authority to transfer unused education benefits to family members for career service members” for “Transfer of entitlement to basic educational assistance: members of the Armed Forces with critical military skills” in section catchline

   Source evidence

   Code amendment note
   Pub. L. 110–252, § 5006(a)(1), substituted “Authority to transfer unused education benefits to family members for career service members” for “Transfer of entitlement to basic educational assistance: members of the Armed Forces with critical military skills” in section catchline.

   Enacted provision · exact public law section
   (1) by striking the section heading and subsections (a) and (b) and inserting the following: “§ 3020. Authority to transfer unused education benefits to family members for career service members “(a) In General.— Subject to the provisions of this section, the Secretary of Defense may authorize the Secretary concerned, to promote recruitment and retention of members of the Armed Forces, to permit an individual described in subsection (b) who is entitled to basic educational assistance under this subchapter to elect to transfer to one or more of the dependents specified in subsection (c) the unused portion of entitlement to such assistance, subject to the limitation under subsection (d). “(b) Eligible Individuals.— An individual referred to in subsection (a) is any member of the Armed Forces— “(1) who, while serving on active duty or as a member of the Selected Reserve at the time of the approval by the Secretary concerned of the member’s request to transfer entitlement to basic educational assistance under this section, has completed six years of service in the Armed Forces and enters into an agreement to serve at least four more years as a member of the Armed Forces; or “(2) as determined in regulations pursuant to subsection (k).” ;

6. 2008

   Post-9/11 Veterans Educational Assistance Act of 2008

   Pub. L. 110–252 § 5006(a)(1) · 122 Stat. 2323

   1. Added · 38 U.S.C. § 3020(a); 38 U.S.C. § 3020(b)

      Pub. L. 110–252, § 5006(a)(1), added subsecs. (a) and (b)

   2. Struck · 38 U.S.C. § 3020(a); 38 U.S.C. § 3020(b)

      Pub. L. 110–252, § 5006(a)(1), struck out former subsecs. (a) and (b) which provided for transfers of entitlement to basic educational assistance from eligible members of the Armed Forces to certain dependents and described eligibility criteria for such members, respectively

   Source evidence

   Code amendment note
   Subsecs. (a), (b). Pub. L. 110–252, § 5006(a)(1), added subsecs. (a) and (b) and struck out former subsecs. (a) and (b) which provided for transfers of entitlement to basic educational assistance from eligible members of the Armed Forces to certain dependents and described eligibility criteria for such members, respectively.

   Enacted provision · exact public law section
   (1) by striking the section heading and subsections (a) and (b) and inserting the following: “§ 3020. Authority to transfer unused education benefits to family members for career service members “(a) In General.— Subject to the provisions of this section, the Secretary of Defense may authorize the Secretary concerned, to promote recruitment and retention of members of the Armed Forces, to permit an individual described in subsection (b) who is entitled to basic educational assistance under this subchapter to elect to transfer to one or more of the dependents specified in subsection (c) the unused portion of entitlement to such assistance, subject to the limitation under subsection (d). “(b) Eligible Individuals.— An individual referred to in subsection (a) is any member of the Armed Forces— “(1) who, while serving on active duty or as a member of the Selected Reserve at the time of the approval by the Secretary concerned of the member’s request to transfer entitlement to basic educational assistance under this section, has completed six years of service in the Armed Forces and enters into an agreement to serve at least four more years as a member of the Armed Forces; or “(2) as determined in regulations pursuant to subsection (k).” ;

7. 2008

   Post-9/11 Veterans Educational Assistance Act of 2008

   Pub. L. 110–252 § 5006(a)(2) · 122 Stat. 2323

   1. Added · 38 U.S.C. § 3020(d)

      Pub. L. 110–252, § 5006(a)(2), added subsec. (d)

   2. Struck · 38 U.S.C. § 3020(d)

      Pub. L. 110–252, § 5006(a)(2), struck out former subsec. (d). Prior to amendment, text read as follows: “The total number of months of entitlement transferred by an individual under this section may not exceed 18 months.”

   Source evidence

   Code amendment note
   Subsec. (d). Pub. L. 110–252, § 5006(a)(2), added subsec. (d) and struck out former subsec. (d). Prior to amendment, text read as follows: “The total number of months of entitlement transferred by an individual under this section may not exceed 18 months.”

   Enacted provision · exact public law section
   (2) by striking subsection (d) and inserting the following: “(d) Limitation on Months of Transfer.— (1) An individual approved to transfer an entitlement to basic educational assistance under this section may transfer any unused entitlement to one or more of the dependents specified in subsection (c). “(2) The total number of months of entitlement transferred by an individual under this section may not exceed 36 months. The Secretary of Defense may prescribe regulations that would limit the months of entitlement that may be transferred under this section to no less than 18 months.” ;

8. 2008

   Post-9/11 Veterans Educational Assistance Act of 2008

   Pub. L. 110–252 § 5006(a)(3) · 122 Stat. 2323

   Substituted · 38 U.S.C. § 3020(f)(1)

   Pub. L. 110–252, § 5006(a)(3), substituted “only while” for “without regard to whether”

   Source evidence

   Code amendment note
   Subsec. (f)(1). Pub. L. 110–252, § 5006(a)(3), substituted “only while” for “without regard to whether”.

   Enacted provision · exact public law section
   (3) in subsection (f)(1) by striking “without regard to whether” and inserting “only while”; and

9. 2008

   Post-9/11 Veterans Educational Assistance Act of 2008

   Pub. L. 110–252 § 5006(a)(4) · 122 Stat. 2323

   Inserted · 38 U.S.C. § 3020(f)(2)(A)

   Pub. L. 110–252, § 5006(a)(4), inserted “as long as the individual is serving on active duty or as a member of the Selected Reserve” after “so transferred”

   Source evidence

   Code amendment note
   Subsec. (f)(2)(A). Pub. L. 110–252, § 5006(a)(4), inserted “as long as the individual is serving on active duty or as a member of the Selected Reserve” after “so transferred”.

   Enacted provision · exact public law section
   (4) in subsection (f)(2) by inserting “as long as the individual is serving on active duty or as a member of the Selected Reserve” after “so transferred”;

10. 2008

    Post-9/11 Veterans Educational Assistance Act of 2008

    Pub. L. 110–252 § 5006(a)(5) · 122 Stat. 2323

    Added · 38 U.S.C. § 3020(f)(3)

    Pub. L. 110–252, § 5006(a)(5), added par. (3)

    Source evidence

    Code amendment note
    Subsec. (f)(3). Pub. L. 110–252, § 5006(a)(5), added par. (3).

    Enacted provision · exact public law section
    (5) by adding at the end of subsection (f) the following: “(3) Entitlement transferred under this section may not be treated as marital property, or the asset of a marital estate, subject to division in a divorce or other civil proceeding.” ;

11. 2008

    Post-9/11 Veterans Educational Assistance Act of 2008

    Pub. L. 110–252 § 5006(a)(6) · 122 Stat. 2323

    Inserted · 38 U.S.C. § 3020(h)(5)

    Pub. L. 110–252, § 5006(a)(6), inserted “may use the benefit without regard to the 10-year delimiting date, but” after “under this section”

    Source evidence

    Code amendment note
    Subsec. (h)(5). Pub. L. 110–252, § 5006(a)(6), inserted “may use the benefit without regard to the 10-year delimiting date, but” after “under this section”.

    Enacted provision · exact public law section
    (6) in subsection (h)(5) by inserting “may use the benefit without regard to the 10-year delimiting date, but” after “under this section”; and

12. 2008

    Post-9/11 Veterans Educational Assistance Act of 2008

    Pub. L. 110–252 § 5006(a)(7) · 122 Stat. 2323

    1. Added · 38 U.S.C. § 3020(k)

       Pub. L. 110–252, § 5006(a)(7), added subsec. (k)

    2. Struck · 38 U.S.C. § 3020(k)

       Pub. L. 110–252, § 5006(a)(7), struck out former subsec. (k). Prior to amendment, text read as follows: “The Secretary of Defense shall prescribe regulations for purposes of this section. Such regulations shall specify the manner and effect of an election to modify or revoke a transfer of entitlement under subsection (f)(2) and shall specify the manner of the applicability of the administrative provisions referred to in subsection (h)(5) to a dependent to whom entitlement is transferred under this section.”

    Source evidence

    Code amendment note
    Subsec. (k). Pub. L. 110–252, § 5006(a)(7), added subsec. (k) and struck out former subsec. (k). Prior to amendment, text read as follows: “The Secretary of Defense shall prescribe regulations for purposes of this section. Such regulations shall specify the manner and effect of an election to modify or revoke a transfer of entitlement under subsection (f)(2) and shall specify the manner of the applicability of the administrative provisions referred to in subsection (h)(5) to a dependent to whom entitlement is transferred under this section.”

    Enacted provision · exact public law section
    (7) by striking subsection (k) and inserting the following: “(k) Regulations.— The Secretary of Defense, in coordination with the Secretary of Veterans Affairs, shall prescribe regulations for purposes of this section. Such regulations shall specify— “(1) the manner of authorizing the military departments to offer transfer of entitlements under this section; “(2) the eligibility criteria in accordance with subsection (b); “(3) the limitations on the amount of entitlement eligible to be transferred; and “(4) the manner and effect of an election to modify or revoke a transfer of entitlement under subsection (f)(2).” .

13. 2011

    National Defense Authorization Act for Fiscal Year 2012

    Pub. L. 112–81 div. A title X § 1063(b) · 125 Stat. 1298

    1. Redesignated · 38 U.S.C. § 3020(l); 38 U.S.C. § 3020(m)

       Pub. L. 112–81 redesignated subsec. (m) as (l)

    2. Struck · 38 U.S.C. § 3020(l); 38 U.S.C. § 3020(m)

       Pub. L. 112–81 struck out former subsec. (l) which required the Secretary of Defense to submit an annual report on approved transfers of entitlement to basic educational assistance

    Source evidence

    Code amendment note
    Subsecs. (l), (m). Pub. L. 112–81 redesignated subsec. (m) as (l) and struck out former subsec. (l) which required the Secretary of Defense to submit an annual report on approved transfers of entitlement to basic educational assistance.

    Enacted provision · exact public law section
    (b) Title 38.— Section 3020 of title 38, United States Code, is amended— (1) by striking subsection (l); and (2) by redesignating subsection (m) as subsection  (1).

14. 2021

    William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 div. A title IX § 926(f) · 134 Stat. 3388

    Inserted · 38 U.S.C. § 3020(l)(3)

    Pub. L. 116–283 inserted “or the Space Force” before semicolon

    Source evidence

    Code amendment note
    Subsec. (l)(3). Pub. L. 116–283 inserted “or the Space Force” before semicolon.

    Enacted provision · exact public law section
    (f) Secretary Concerned for GI Bill.— Section 3020(l)(3) of title 38, United States Code, is amended by inserting “or the Space Force” before the semicolon.

20 of 20 references resolved to an enrolled provision