Page:United States Statutes at Large Volume 116 Part 4.djvu/150

 116 STAT. 2578 PUBLIC LAW 107-314—DEC. 2, 2002 of Defense Education Benefits Fund established under section 2006 of title 10 or from appropriations made to the Department of Transportation, as appropriate.". 38 USC 3020 (c) EFFECTIVE DATE. —(1) The amendments made by subsection °ote. (a) 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). 38 USC 3035 (2) The amendments made by subsection (b) shall take effect °ote. as if made by section 654 of the National Defense Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat. 1153). Subtitle F—Other Matters SEC. 651. PAYMENT OF INTEREST ON STUDENT LOANS. (a) AUTHORITY. — (1) Chapter 109 of title 10, United States Code, is amended by adding at the end the following new section: "§2174. Interest payment program: members on active duty "(a) AUTHORITY. — (1) The Secretary concerned may pay in accordance with this section the interest and any special allowances that accrue on one or more student loans of an eligible member of the armed forces. "(2) The Secretary of a military department may exercise the authority under paragraph (1) only if approved by the Secretary of Defense and subject to such requirements, conditions, and restrictions as the Secretary of Defense may prescribe. "(b) ELIGIBLE MEMBERS.— ^A member of the armed forces is eligible for the benefit under subsection (a) while the member— "(1) is serving on active duty in fulfillment of the member's first enlistment in the armed forces or, in the case of an officer, is serving on active duty and has not completed more than three years of service on active duty; "(2) is the debtor on one or more unpaid loans described in subsection (c); and "(3) is not in default on any such loan. "(c) STUDENT LOANS. —The authority to make payments under subsection (a) may be exercised with respect to the following loans: "(1) A loan made, insured, or guaranteed under part B of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071etseq.). "(2) A loan made under part D of such title (20 U.S.C. 1087a et seq.). "(3) A loan made under part E of such title (20 U.S.C. 1087aa et seq.). "(d) MAXIMUM BENEFIT. —The months for which interest and any special allowance may be paid on behalf of a member of the armed forces under this section are any 36 consecutive months during which the member is eligible under subsection (b). "(e) FUNDS FOR PAYMENTS.—Appropriations available for the pay and allowances of military personnel shall be available for payments under this section. "(f) COORDINATION. — (1) The Secretary of Defense and, with respect to the Coast Guard when it is not operating as a service in the Navy, the Secretary of the Department in which the Coast

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