§16135. Failure to participate satisfactorily; penalties

(a)(1) A member of the Selected Reserve of the Ready Reserve of an armed force who fails to participate satisfactorily in required training as a member of the Selected Reserve during a term of enlistment or other period of obligated service that created entitlement of the member to educational assistance under this chapter, and during which the member has received such assistance, shall, at the option of the Secretary concerned-

(A) be ordered to active duty for a period of two years or the period of obligated service the person has remaining under section 16132 of this title, whichever is less; or

(B) be required to refund to the United States an amount determined under subsection (b).

(2) The Secretary concerned may waive the requirements of paragraph (1), or may reduce the amount of any refund under clause (B) of such paragraph, in the case of any individual member when the Secretary determines that the failure to participate satisfactorily was due to reasons beyond the control of the member.

(3) Any refund by a member under this section shall not affect the period of obligation of such member to serve as a Reserve in the Selected Reserve.

(b)(1) The amount of a refund under subsection (a) shall be the amount equal to the product of-

(A) the number of months of obligated service the person has remaining under the agreement entered into under section 2131(a) ¹ of this title divided by the original number of months of such obligation; and

(B) the total amount of educational assistance provided to the member under this chapter,

as increased by interest determined under paragraph (2).

(2) The amount computed under paragraph (1) shall bear interest at the rate equal to the highest rate being paid by the United States on the day on which the refund is determined to be due for securities having maturities of 90 days or less and shall accrue from the day on which the member is first notified of the amount due to the United States as a refund under this section.

(Added Pub. L. 95–79, title IV, §402(a), July 30, 1977, 91 Stat. 330 , §2135; amended Pub. L. 95–485, title IV, §402(b), Oct. 20, 1978, 92 Stat. 1613 ; Pub. L. 96–342, title IX, §906(b), Sept. 8, 1980, 94 Stat. 1117 ; Pub. L. 98–525, title VII, §705(a)(1), Oct. 19, 1984, 98 Stat. 2566 ; Pub. L. 100–689, title I, §111(b)(6), Nov. 18, 1988, 102 Stat. 4173 ; renumbered §16135 and amended Pub. L. 103–337, div. A, title XVI, §1663(b)(2), (6), Oct. 5, 1994, 108 Stat. 3006 , 3007.)

References in Text

Section 2131(a) of this title, referred to in subsec. (b)(1)(A), was renumbered section 16131(a) of this title by Pub. L. 103–337, div. A, title XVI, §1663(b)(2), Oct. 5, 1994, 108 Stat. 3006 .

Amendments

1994-Pub. L. 103–337, §1663(b)(2), renumbered section 2135 of this title as this section.

Subsec. (a)(1)(A). Pub. L. 103–337, §1663(b)(6)(A), substituted "16132" for "2132".

Subsec. (b)(1)(A). Pub. L. 103–337, §1663(b)(6)(B), which directed substitution of "section 16132(a)" for "section 2132(a)", could not be executed because "section 2132(a)" does not appear in subsec. (b)(1)(A).

1988-Subsec. (a)(1). Pub. L. 100–689, §111(b)(6)(A), inserted ", and during which the member has received such assistance," after "chapter".

Subsec. (b)(1)(A). Pub. L. 100–689, §111(b)(6)(B), added subpar. (A) and struck out former subpar. (A) which read as follows: "the number of months of obligated service remaining under the agreement entered into under section 2132(a)(3) divided by the original number of months of such obligation; and".

1984-Pub. L. 98–525 amended section generally, substituting provisions relating to the failure to participate satisfactorily and penalties for provisions which had designated Sept. 30, 1985, as the termination date for enlistments qualifying for educational assistance.

1980-Pub. L. 96–342 substituted "1985" for "1980".

1978-Pub. L. 95–485 substituted "1980" for "1978".

Effective Date of 1994 Amendment

Amendment by Pub. L. 103–337 effective Dec. 1, 1994, except as otherwise provided, see section 1691 of Pub. L. 103–337, set out as an Effective Date note under section 10001 of this title.

Effective Date of 1984 Amendment

Amendment by Pub. L. 98–525 effective July 1, 1985, applicable only to members of the Armed Forces who qualify for educational assistance under this chapter on or after such date, see section 705(b) of Pub. L. 98–525, set out as a note under section 16131 of this title.

Section Referred to in Other Sections

This section is referred to in section 16132 of this title; title 38 section 3485.

¹ See References in Text note below.