States Face Compliance Challenges with New VA Education Benefit

On August 8, 2014, the president signed the Veterans Access, Choice and Accountability Act of 2014 (Choice Act, P.L. 113-146). Beginning July 1, 2015, Section 702 of the Choice Act requires public institutions of higher education (IHEs) to charge in-state tuition rates to qualifying veterans and dependents living in the state, regardless of formal residency. Public IHEs that do not comply will be unable to receive Post-9/11 GI Bill and Montgomery GI Bill-Active Duty (MGIB-AD) funding. The Department of Veterans Affairs (VA) wrote in an October 2014 letter to governors that most states and territories are not fully compliant with the new law’s provisions. This Issue Brief explains Section 702 and what actions states must take to become compliant.