This document describes a hearing to review a report of the Commission to Assess Veterans' Education Policy, which was established by Congress in 1986, and the initial response from the Department of Veterans Affairs (DVA), which administers education and training programs. Following the opening statements by Congressmen Timothy J. Penny and Christopher H. Smith, statements by the following individuals appear: (1) Janet D. Steiger, Commission to Assess Veterans' Education Policy; (2) Grady W. Horton, DVA; (3) Lynn Denzin, National Association of Veterans Program Administrators; (4) Samuel J. Walsh, American Legion; and (5) John C. Bollinger, Paralyzed Veterans of America. The document's appendix contains the written testimony of Janet D. Steiger; recommendations of the Commission to Assess Veterans' Education Policy; a statement by Grady W. Horton; and "An Interim Report on Veterans' Education Policy," prepared by the Veterans Benefits Administration of the DVA. The interim report contains appendices that include comments from the Administrator's Educational Assistance Advisory Committee, cost estimates for positions with which the Veterans Administration is in agreement, and draft legislation. Next in the document are testimony from Lynn Denzin; statements from the American Legion delivered by Samuel J. Walsh and Richard S. Christian; a statement from John C. Bollinger; the testimony of Congressman Douglas H. Bosco; a statement by Robert L. Alvarez, Military Order of the Purple Heart; written committee questions from Timothy J. Penny and Christopher Smith and responses to them; and responses from Lynn Denzin to questions that resulted from the hearing. (CML)