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                  CONGRESSIONAL BUDGET OFFICE

U                            COST ESTIMATE
                                                               November 6, 2017


                                  H.R. 3949
        Veterans Apprenticeship and Labor Opportunity Reform Act

            As ordered reported by the House Committee on Veterans' Affairs
                               on November 2, 2017


 The Department of Veterans Affairs (VA) provides educational benefits for eligible
 veterans, military personnel, and their spouses and children who are enrolled in approved
 programs of education. Those programs must be approved by the State Approving
 Agency (SAA) in the state where they are offered.

 Under current law, programs that are offered in more than one state must be approved by
 the SAA in every state in which they operate. H.R. 3949 would allow the SAA in the
 state in which a multistate apprenticeship program is headquartered to approve a program
 for nationwide use as long as it meets the minimum standards for such programs
 established by the Department of Labor.

 VA subsidizes the SAAs' costs of approving programs from mandatory appropriations;
 that funding is capped at $21 million in 2018 and is adjusted annually for inflation.
 Because the agencies indicate that VA funding does not cover all the costs of approving
 education programs, CBO expects that any savings from reducing the number of
 approvals for multistate apprenticeship programs would be used to cover other
 unreimbursed expenses. Thus, implementing H.R. 3949 would have no net effect on
 direct spending.

 Enacting H.R. 3949 would not affect direct spending or revenues; therefore, pay-as-you-
 go procedures do not apply.

 CBO estimates that enacting H.R. 3949 would not increase net direct spending or on-
 budget deficits in any of the four consecutive 10-year periods beginning in 2028.

 H.R. 3949 contains no intergovernmental or private-sector mandates as defined in the
 Unfunded Mandates Reform Act.

 The CBO staff contact for this estimate is David Newman. The estimate was approved by
 H. Samuel Papenfuss, Deputy Assistant Director for Budget Analysis.

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