A Chance To Serve Act
A Chance To Serve Act expands benefits for Peace Corps and AmeriCorps volunteers and makes related changes to health care, education benefits, loan relief, and eligibility for federal employment. For Peace Corps volunteers, the bill adds a 3-year period of noncompetitive eligibility for civilian federal jobs after service, broadens eligibility protections for volunteers with respect to immigration status, tackles regular payment of stipends, adds a one-year extended health-care option through the VA for former volunteers, and strengthens readjustment allowances (including loan relief and tax treatment). For AmeriCorps, the bill increases national service capacity (at least 500,000 slots), raises the living allowance to at least 200% of the poverty line, expands noncompetitive eligibility for federal jobs after service, provides a one-year health benefit, doubles the Segal AmeriCorps Education Award (and allows its use toward credentials), and adds loan relief provisions similar to Peace Corps. The bill also broadens Public Service Loan Forgiveness to cover national service and Peace Corps, and creates a new tax exclusion for certain national service payments.
Key Points
- 1Peace Corps expanded benefits
- 2- Extended noncompetitive eligibility for 3 years after service for federal civilian positions.
- 3- Non-discrimination broadened to include lawful permanent residents (and refugees/asylees and other admitted aliens) in Peace Corps-related protections.
- 4- Stipend payments to volunteers aimed to be regular and predictable, including during funding gaps or shutdowns.
- 5- Health care: former Peace Corps volunteers get one year of hospital care/medical services through the VA, with costs reimbursed; former volunteers also gain extended health-care rights under updated Peace Corps Act provisions.
- 6- Readjustment allowances increased (payments lifted to $425; updates to eligibility language and CPI adjustments; new consultative requirements on health/mental health care).
- 7- Loan relief: suspension of federal loan payments and no interest accrual during service; deferment/forbearance treated as if payments were made for loan forgiveness/rehabilitation programs.
- 8- Non-taxable readjustment allowances.
- 9AmeriCorps expanded benefits
- 10- National service positions: minimum of 500,000 positions available.
- 11- Living allowance: at least 200% of the poverty line, adjusted per CNCS rules.
- 12- Extended noncompetitive eligibility: agency heads may noncompetitively appoint individuals who completed national service (up to 3 years after service) to competitive federal positions.
- 13- Health benefits: one-year health coverage after completing service at no cost to the participant, matching the health benefit received during service.
- 14- Segal AmeriCorps Education Award: doubled in value.
- 15- Use of Segal Award: expanded to cover recognized postsecondary credentials (as defined by the Workforce Innovation and Opportunity Act).
- 16- Public Service Loan Forgiveness: relief extended to include national service and Peace Corps service.
- 17- Immigration status nondiscrimination: refugees, asylees, and other lawfully admitted aliens may serve and receive education benefits.
- 18- Planning grants for underserved communities, with temporary waivers of matching funds.
- 19- Shorter terms of service: CNCS may set terms below 1,700 hours with proportional changes to education awards.
- 20- Loan relief during service: similar suspension of loan payments and interest accrual as for Peace Corps.
- 21- National service laws defined for scope and application.
- 22Public Service Loan Forgiveness (PSLF)
- 23- Expands eligibility to include service in a national service program or Peace Corps, in addition to other qualifying employment.
- 24Tax treatment
- 25- National service education awards and living allowances will be excluded from gross income for federal tax purposes for taxable years ending after enactment.