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FPCD-82-12 1 (1982-01-26)

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                                                  JANUARY 26, 182
B-205530



The Honorable John G. Tower
Chairman, Committee on
  Armed Services
United States Senate

The Honorable G. V. Montgomery                           117339
Chairman, Committee on
  Veterans Affairs
House of Representatives

The Honorable Melvin Price
Chairman, Committee on
  Armed Services
House of Representatives

The Honorable Alan K. Simpson
Chairman, Committee on
  Veterans Affairs
United States Senate

     Subject: l The Cost Effectiveness of an Education Assistance
               'Program (GI Bill) As a Recruiting Incentive Is
               Unknown (FPCD-82-12)

     During the first session of the 97th Congress, several bills
were introduced in both the House of Representatives and the
Senate to provide the Armed Forces with an expanded and permanent
educational assistance program (GI Bill) to improve military serv-
ice recruiting--at a cost of over $2 billion annually. Addi-
tional proposals, including one by the Department of Defense
(DOD), are expected to be introduced during the early months of
the second session of this Congress. Extensive hearings have
been held on the proposals already introduced, and more debate
is expected on this issue.

     The question of whether an expanded educational assistance
program would improve recruitment is not new, having been debated
during the 96th Congress. As a result of this debate, the Con-
gress authorized DOD to conduct an Educational Assistance Test
Program to determine whether expanded educational assistance




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