Order Code RL33985
Veterans’ Benefits: Issues in the 110th Congress
Updated May 21, 2007
Carol D. Davis, Coordinator,
Shannon S. Loane, and Meredith Peterson
Knowledge Services Group
Christine Scott, Charmaine Mercer, and Libby Perl
Domestic Social Policy Division
Douglas Reid Weimer
American Law Division
Veterans’ Benefits: Issues in the 110th Congress
Summary
Congressional interest in benefits for veterans has increased in the wake of the
ongoing wars in Iraq and Afghanistan. This report provides a general discussion of
veterans’ benefits issues that are part of the legislative agenda of the 110th Congress
or are likely to be of legislative interest. Among those issues are disability
compensation and pensions; education benefits; homelessness; life insurance; the
status or eligibility of groups such as U.S. merchant seamen and World War II
Filipino veterans for veterans benefits; Reserve and National Guard eligibility for
veterans’ benefits; the U.S. Court of Appeals for Veterans Claims; and legal
representation for veterans. For each issue, an overview is provided, along with
summaries of pertinent pending legislation. In addition, an overview of the benefits
and their eligibility requirements, demographics for both the veteran population and
the benefit population, and summary data on the FY2008 budget for veterans’
benefits are provided. Issues that are not addressed by this report are veterans’
medical care and appropriations for the Department of Veterans Affairs. This report
will be updated upon relevant legislative activity.
Key Policy Staff
Name
Issues
Telephone
Carol D. Davis
Coordinator
7-8994
Christine Scott
Status or eligibility issues;
7-7366
Carol D. Davis
veterans demographics;
7-8994
VA budget; disability
compensation; pensions;
insurance programs
Charmaine Mercer
Veterans and military
7-4894
Shannon S. Loane
education benefits
7-6223
Libby Perl
Homeless veterans
7-7806
Meredith Peterson
7-8990
Douglas Reid Weimer
U.S. Court of Appeals for
7-7574
Veterans Claims; legal
representation for veterans
Sidath Viranga Panangala
Veterans health
7-0623
Contents
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Eligibility for Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Demographics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Veteran Population . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
The Benefit Population . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Budget . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Status or Eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
U.S. Merchant Seamen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Filipino Veterans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Reserve and National Guard . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Disability Compensation and Pension Benefits . . . . . . . . . . . . . . . . . . . . . . . 6
Claims Backlog . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Cost-of-Living Adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Homelessness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Life Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Servicemembers’ Group Life Insurance (SGLI) and Family
Servicemembers’ Group Life Insurance (FSGLI) . . . . . . . . . . . . 11
Traumatic Servicemembers’ Group Life Insurance (TSGLI) . . . . . . . 11
Veterans’ Group Life Insurance (VGLI) . . . . . . . . . . . . . . . . . . . . . . . 11
Service-Disabled Veterans Insurance (S-DVI) . . . . . . . . . . . . . . . . . . 11
Legal Representation for Veterans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
U.S. Court of Appeals for Veterans Claims . . . . . . . . . . . . . . . . . . . . . . . . . 13
Veterans’ Benefits:
Issues in the 110th Congress
Introduction
Congress has been involved with providing benefits to veterans since the earliest
days of the nation, enacting the first veterans’ pension law in 1789. As the nation
grew and successive wars increased the number of veterans, the variety of benefits
that were available to veterans — that is, disability compensation, education benefits,
life insurance, etc. — continued to develop. In addition, benefits were extended to
veterans’ dependents and survivors, such as educational assistance, dependency and
indemnity compensation, and death pensions.
The ongoing wars in Iraq and Afghanistan have heightened congressional
interest in veterans’ benefits. This report discusses veterans’ benefits issues that are
already part of the legislative agenda for the 110th Congress or are likely to be of
interest to Congress. These issues include disability compensation and pensions,
including the benefit claims backlog and the annual cost-of-living adjustment;
education benefits; homelessness; life insurance; the status or eligibility of groups,
such as U.S. merchant seamen and World War II Filipino veterans for veterans’
benefits; Reserve and National Guard eligibility for veterans’ benefits; the U.S. Court
of Appeals for Veterans Claims; and legal representation for veterans. These benefits
and issues fall under the jurisdiction of the Department of Veterans Affairs (VA),
Veterans Benefits Administration (VBA). Also presented in this report are an
overview of the benefits and their eligibility requirements, data on both the veteran
population and the benefit population, and summary information on the FY2008
budget for veterans’ benefits. Issues that are not covered in this report are veterans’
medical care1 and appropriations for the VA.2
Overview
Benefits
Veterans and their spouses, dependents, or survivors may be eligible for a range
of benefits, including compensation for service-connected disabilities, educational
1 For information on veterans’ medical care issues, see CRS Report RL33993, Veterans’
Health Care Issues, by Sidath Viranga Panangala.
2 For background information on appropriations for the Department of Veterans Affairs, see
CRS Report RL33427, Military Construction, Military Quality of Life and Veterans Affairs:
FY2007 Appropriations, by Daniel H. Else, Christine Scott, and Sidath Viranga Panangala.
CRS-2
assistance, housing loans, life insurance, burial benefits, and a pension benefit for
older or permanently disabled low-income veterans who served during a period of
war. Currently, the Veterans Disability Benefits Commission is studying the benefits
available to veterans and their survivors as a result of disability or death due to
military service. The commission, which was established by Title XV of the
National Defense Authorization Act for FY2004 (P.L. 108-136), is charged with
evaluating the appropriateness of the benefits, the standards used to determine
whether or not a veteran is compensated, and the appropriate level of each benefit.
The contractors working for the commission have released reports on some of the
study issues,3 and the report of the full commission is due in late 2007.
Eligibility for Benefits
Eligibility for most VA benefits is primarily determined by the individual’s
active duty military service and the individual’s being discharged under conditions
other than dishonorable.4 For certain benefits, such as the pension benefit, at least
part of the active duty military service must have been during a period of war.5 For
many benefits, the eligibility requirements for members of the National Guard and
Reserve called to active duty will be different from those of the regular armed forces.
Certain civilian groups have also been recognized as being eligible for veterans
benefits. The GI Bill Improvement Act of 1977 (P.L. 95-202) recognized the
services of the Women’s Air Forces Service Pilots — a civilian group that was
attached to the U.S. Army Air Force during World War II — as active duty military
service for benefits administered by the VA, and it provided a method for other
civilian groups to apply to the Secretary of the Air Force for similar recognition. As
of March 2007, a total of 38 civilian groups had received recognition.6
Demographics
The VA is the major source, and in some cases the only source, for information
on the total veteran population and beneficiaries of veterans benefits. Estimates of
the veteran population will be different from the population receiving benefits during
a specific time period for several reasons, including not all veterans may be receiving
benefits in a given period of time; benefits may be, depending on the specific benefit,
provided to veterans, surviving spouses, and children; and some veterans, surviving
spouses, or children may receive more than one type of benefit in a given period of
time.
3 Links to Veterans Disability Benefits Commission documents and to other information on
the group are available on the Commission’s website at [http://www.vetscommission.org/].
4 Even if the condition of discharge generally bars an individual from benefits, certain
exceptions may apply. See CRS Report RL33113, Veterans Affairs: Basic Eligibility for
Disability Benefit Programs, by Douglas Reid Weimer.
5 Many wars have federally designated beginning and ending dates. For veterans benefits,
the periods of war are defined in 38 U.S.C. § 101(11). For additional information, see CRS
Report RS21405, Periods of War, by Barbara Salazar Torreon.
6 For a list of civilian groups with recognition, see 38 CFR Chapter 1 § 3.7.
CRS-3
Veteran Population. The VA estimates7 the veteran population by various
characteristics, including age, sex, state, and period of service. As of September 30,
2006, there were an estimated 24 million living veterans in the United States and
Puerto Rico.
The five states with the largest estimated number of veterans (California,
Florida, Texas, New York, and Pennsylvania) together accounted for 32.5% of the
total estimated population of veterans. The five states with the smallest estimated
number of veterans (Alaska, Vermont, Wyoming, North Dakota, and the District of
Columbia) together accounted for 1.1% of the total estimated number of veterans.8
As of September 30, 2006, the majority of all veterans (63.7%) were age 55 or
older, with 4.5% aged 85 or older. Female veterans were 7.2% of the total veteran
population and had an age distribution that was generally younger than for all
veterans. As of September 30, 2006, only 30.6% of female veterans were aged 55
or older. The majority (57.6%) of female veterans were under age 50.
The Benefit Population. The VA also provides data on the number of
beneficiaries of veterans benefits in FY2006. Disability compensation benefits were
provided to 2,683,380 veterans, 329,710 survivors, and 1,192 children. In addition,
84,990 veterans were provided with a clothing allowance, and 1,079 veterans
received Equal Access to Justice Act (EAJA) payments.9 Pension benefits were
provided to 332,034 veterans and 203,346 survivors. The caseload for readjustment
benefits (including education and training, work-study, tuition assistance, and the all-
volunteer force educational assistance programs) was 565,032.10
Budget
The President’s proposed FY2008 budget contains $86.8 billion in total gross
budget authority for the VA, with $45.0 billion in budget authority for mandatory
programs (such as disability compensation, pension, and readjustment benefits) and
the balance — $41.8 billion — for discretionary programs (primarily medical
benefits). This proposed level of budget authority is an increase of 12.2% from the
7 The Department of Veterans Affairs estimates (VetPop2004 Version 1.0, Office of the
Actuary, Office of Policy, U.S. Department of Veterans Affairs, December 2004) are based
on a model that uses detailed data on veterans from the decennial census through April
2000; actual DOD separations, including Reserve and National Guard forces with a federal
activation, through September 2003; and projected DOD separations, including an estimate
for an increased level of Reserve separations, through September 2009.
8 According to 38 U.S.C. § 101(20), the District of Columbia and Puerto Rico are considered
to be states for matters pertaining to veterans.
9 Equal Access to Justice Act (EAJA) payments are awards from successful challenges of
the Department of Veterans Affairs’ policies, procedures, or regulations in the U.S. Court
of Appeals for Veterans Claims under the Equal Access to Justice Act.
10 Department of Veterans Affairs, FY2008 Budget Submission, National Cemetery
Administration, Benefits Programs, and Departmental Administration, Volume 2 of 4, pp.
2A-3 and 2B-13. [http://www.va.gov/budget/summary/VolumeIINationalCemetery
AdministrationBenefitsProgramsandDepartmentalAdmin.pdf].
CRS-4
FY2007 level of $77.3 billion, with the largest change (18.1%) in discretionary
programs. Between FY2006 and FY2007, total budget authority for the VA grew by
5.8%, with the largest increase (14%) being for mandatory programs.
Issues in the 110th Congress
Status or Eligibility
While former members of the U.S. armed forces and members of a number of
civilian groups are eligible for benefits administered by the VA, other groups have
been requesting either status as veterans or additional veterans benefits from
Congress.
U.S. Merchant Seamen. Certain U.S. merchant seamen were recognized in
1988 as having active duty service for veterans benefits under P.L. 95-202. Merchant
seamen who received recognition either (1) served aboard Army-owned vessels or
certain merchant marine vessels in support of U.S. armed forces (vessels must have
some part of a qualifying voyage in contested waters between December 7, 1941 and
August 15, 1945); (2) were in a military invasion during World War II; or (3) were
requisitioned by the U.S. Army for Operation Mulberry in the 1944 invasion of
Normandy. U.S. merchant seamen who do not meet these criteria are not recognized
as having active duty service for the full range of veterans benefits.11
In the 110th Congress, H.R. 23 (sponsored by Representative Bob Filner) and S.
961 (sponsored by Senator Daniel Inouye) would provide a monthly benefit of $1,000
to qualified U.S. merchant seamen and their survivors. Under these bills, a qualified
U.S. merchant seaman is one who served between December 7, 1941, and December
31, 1946, as a crew member aboard a vessel that (1) was operated by the now defunct
War Shipping Administration or the Office of Defense Transportation; (2) did not
operate on inland waters, the Great Lakes, or any U.S. lake, bay, or harbor; (3) was
under contract to, was charter to, or was the property of, the U.S. government; and
(4) was serving the U.S. armed forces. In addition, the seaman had to be licensed to
serve (or documented for service) as a crew member. The House Committee on
Veterans’ Affairs held a hearing on H.R. 23 on April 18, 2007. H.R. 447 (sponsored
by Representative Jeff Fortenberry) would provide that merchant seamen who
received the Mariners Medal be provided VA health care on the same basis as
recipients of the Purple Heart.
Filipino Veterans. Under current law, former members of the Regular or
“Old” Philippine Scouts who fought during World War II are recognized for all
benefits administered by the VA. Former members of the Commonwealth Army of
the Philippines are recognized for many of the benefits administered by the VA.
However, because of the economic differences between the United States and the
Philippines, benefits for residents of the Philippines have a lower dollar value than
those for U.S. residents. In addition, former members of two other Philippine groups
11 For more information on U.S. merchant seamen, see CRS Report RL33992, Veterans
Benefits: Merchant Seamen, by Christine Scott and Douglas Reid Weimer.
CRS-5
that fought during World War II, the Recognized Guerilla Forces and the New
Philippine Scouts, are recognized for only a limited number of benefits administered
by the VA.12
In the 110th Congress, H.R. 760 (sponsored by Representative Bob Filner) and
S. 57 (sponsored by Senator Daniel Inouye) would eliminate the distinction between
the Regular or “Old” Philippine Scouts and the other three groups of veterans —
Commonwealth Army of the Philippines, Recognized Guerrilla Forces, and New
Philippine Scouts — and make them all fully eligible for VA benefits similar to those
received by U.S. veterans. Hearings on these bills were held by the House
Committee on Veterans Affairs on February 15, 2007, and by the Senate Committee
on Veterans Affairs on April 11, 2007. S. 66 (sponsored by Senator Daniel Inouye)
would require the Secretary of the Army to determine, based on the written
application of any person who is a national of the Philippine Islands, whether or not
the person performed any military service in the Philippine Islands in aid of the
armed forces of the United States during World War II that would qualify the person
to receive any U.S. veterans, military, or other benefits.
Reserve and National Guard13
Reservists called to active duty may, depending on the length of active military
service and discharge conditions (other than dishonorable), qualify for the full range
of benefits administered by the VA. Reservists that are not called to active duty (i.e.,
not activated) may qualify for some benefits administered by the VA. National
Guard members establish eligibility for benefits by being called to federal service
during a period of war or a national emergency. More specifically:
! Reservists and Guard members are eligible for disability
compensation for service-connected disabilities — disabilities that
are incurred or aggravated during active duty (or active-duty
training) — and for certain other conditions incurred during
inactive-duty training.
! Reservists and Guard members may be eligible for educational
benefits. The determination of eligibility is made by either the
Department of Defense or the Department of Homeland Security if
the Reservist or Guard member is activated, or by the Reserve
component if the Reservist or Guard member is not activated.
! Reservists and Guard members may be eligible for VA home loans
if they have served at least six years, are activated for at least 90
days, or have service-connected disabilities. Reservists or Guard
12 For more information on Filipino veterans, see CRS Report RL33876, Overview of
Filipino Veterans’ Benefits, by Sidath Viranga Panangala, Christine Scott, and Carol D.
Davis.
13 Reservists are members of the reserve elements of the Army, Navy, Air Force, Marine
Corps, and Coast Guard. National Guard are members of the Army National Guard and the
Air National Guard.
CRS-6
members who are not eligible for the VA home loan benefit may be
eligible for Federal Housing Administration (FHA) loans on
favorable terms.
! Reservists and Guard members are eligible for VA life insurance.
! Reservists are eligible for VA burial flags if they served their initial
obligation, were discharged for service-connected disabilities, or
died while they were members of the reserves.
To date, no bills that would affect the current benefits of the Reserve or the
National Guard have been introduced into the 110th Congress.
Disability Compensation and Pension Benefits
A veteran disabled because of an injury or disease that was incurred, or
aggravated, during active military service may be entitled to a monthly disability
compensation benefit. The veteran must have been discharged, or separated from
service, under conditions other than dishonorable. The following groups of veterans
qualify for disability compensation because their disabilities are presumed to be
service-connected: former prisoners of war; veterans exposed to herbicides during
military operations in Vietnam; veterans exposed to ionizing radiation; and certain
Gulf War veterans.
The monthly disability compensation benefit is not subject to federal income
taxes, and the amount varies based on the level of disability and the number of
dependents. To receive benefits, a veteran must file a claim for benefits and have the
VA evaluate his or her disability to assign a rating for the disability of between 0%
to 100% (in 10% increments).14
A veteran of limited means who has wartime service (i.e., part of his or her
military service occurred during a period of war) and is either age 65 or older or is
permanently and totally disabled (not service-connected) may be eligible for a
monthly pension benefit. However, the pension benefit was designed to provide
monthly income to very-low income veterans who served during times of war, so the
veteran’s gross income can reduce the maximum benefit. The pension benefit is
higher if the veteran is housebound or requires aid and attendance.15
Claims Backlog. The large and growing number of pending claims has
become a concern for veterans service organizations, the VA, and Congress.
14 For more information on the VA’s disability rating system, see CRS Report RL33991,
Disability Evaluation of Military Servicemembers, by Christine Scott, Sidath Viranga
Panangala, Sarah A. Lister, and Charles A. Henning.
15 Aid and attendance is an additional benefit paid to veterans, their spouses, surviving
spouses, and parents. This allowance is paid in all compensation, dependency indemnity
compensation, and pension programs. The payment is based on the need for aid and
attendance of another person, or by a specific disability.
CRS-7
According to the VA,16 for the week ending March 3, 2007, there were 632,140
pending claims for disability compensation benefits and pensions. This was an
increase of 7.4% from the week ending March 4, 2006 (when there were 588,789
claims pending) and an increase of 20.5% from the week ending March 7, 2005
(when there were 524,956 claims pending).
The size of the claims backlog is related to the increase in the number of claims.
According to the VA, the number of claims has increased from 578,773 in FY2000
to 806,382 in FY2006. The VA attributes the increase in claims to several factors,
including (1) the large size of the military’s active duty force; (2) the aging of the
veteran population; and (3) increases in the number and complexity of conditions
claimed. The VA has also expanded outreach efforts that have contributed to the
increase in claims.17
To address this issue, legislation has been introduced in the 110th Congress that
would have an impact on disability determinations by the VA. The Wounded
Warrior Assistance Act of 2007 is pending in both the Senate (S. 1283, introduced
by Senator Mark Pryor) and in the House (H.R. 1538, introduced by Representative
Ike Skelton). Both bills contain provisions that address disability evaluation,
including a mandate for a joint Department of Defense (DOD)-VA study and report
to Congress on the disability evaluation systems used by each department,
recommendations for improvement, and the feasibility of consolidating the two
systems. The House unanimously passed H.R. 1538 on a 426-0 vote on March 28,
2007. H.R. 653 (sponsored by Representative Thomas M. Reynolds) would have the
Secretary of Veterans Affairs accept (if there is no clear and convincing evidence to
the contrary) that an injury or disease is service-connected based on the sworn
affidavit of a veteran who served in combat on or before July 27, 1953 (prior to or
during the Korean War). H.R. 797 (sponsored by Representative Tammy Baldwin)
and S. 1163 (introduced by Senator Daniel Akaka) would expand disability
compensation for veterans who are visually impaired in both eyes. The House passed
H.R. 797 on a 424-0 vote on March 21, 2007.
Cost-of-Living Adjustment. Under current law, certain benefits for
veterans, survivors, and dependents — disability compensation, pension, dependency
and indemnity compensation, and the clothing allowance — are not automatically
adjusted for inflation. Each year legislation has been introduced and enacted to
provide an annual cost-of-living (or inflation) adjustment (COLA) equal to the
COLA provided to Social Security recipients.
In the 110th Congress, S. 423 (sponsored by Senator Daniel Akaka) and H.R.
1284 (sponsored by Representative John Hall) would provide a veterans cost-of-
16 Veterans Benefit Administration, VBA Weekly Monday Morning Workload Report, Week
Ending March 3, 2007. Weekly reports for all periods cited in this report are available at
[http://www.vba.va.gov/bln/201/reports/mmrindex.htm]
17 U.S. Congress, House Committee on Veterans Affairs, Hearing on the Impact of OEF/OIF
on the VA Claims Process, Statement of Ronald R. Aument, Deputy Under Secretary for
Benefits, Department of Veterans Affairs, March 13, 2007, available at
[http://www.va.gov/OCA/testimony/hvac/sdama/070313RA.asp].
CRS-8
living adjustment equal to the COLA for Social Security benefits effective December
1, 2007. H.R. 1284 was passed by the House on a 418-0 vote on March 21, 2007.
S. 161 (sponsored by Senator John Thune) and H.R. 402 (sponsored by
Representative Joe Knollenberg) would create an automatic veterans COLA based
on the Social Security adjustment.
Education
Congress has demonstrated an interest in providing education benefits to
members of the armed forces since 1944. The Servicemen’s Readjustment Act of
1944 (P.L. 78-346), more commonly referred to as the GI Bill of Rights, provided
support, including education benefits, to veterans of World War II. After the original
GI Bill expired in 1956, other laws and programs enacted for similar purposes
included the Korean GI Bill (P.L. 82-550), the Vietnam-Era GI Bill (P.L. 89-358),
the Post-Vietnam Era Veterans’ Educational Assistance Program (VEAP, P.L. 94-
502), and the current Montgomery GI Bill (MGIB, P.L. 98-525).
Military education benefits have evolved significantly since their inception in
1944. For example, education benefits initially were completely subsidized by the
federal government, the cost of tuition and applicable fees were issued to institutions
of higher education on behalf of the veteran, and the veteran could participate in a
myriad of education and training programs. In addition to tuition and fees, the
monthly benefit also included a monthly allowance for living expenses. Conversely,
current benefits are partially subsidized by the federal government and issued directly
to the veteran, who must utilize these payments to cover both educational costs and
living expenses. Furthermore, the types of authorized education and training for
which the benefit may be used have been restricted.18
The current education benefit, the MGIB, consists of three programs:
MGIB-Active Duty (MGIB-AD) for individuals who are on active duty or following
separation from active duty; MGIB-Selected Reserves (MGIB-SR) for members of
the selected reserves; and MGIB-Reserve Educational Assistance Program (REAP)19
for members of reserve components who are called or ordered to active duty in
response to a war or national emergency as declared by the President or Congress.
Maximum monthly benefit amounts in 2007 range from a high of $1,075
(MGIB-AD) for active duty members who enlist for three years or more and enroll
full-time in eligible programs; to $860 for individuals in the selected reserves who
are called to active duty and who serve more than two consecutive years on active
18 For more information about the different federal education benefits available to veterans
and military personnel , see CRS Report RL33281, Montgomery GI Bill Education Benefits:
Analysis of College Prices and Federal Student Aid Under the Higher Education Act, by
Charmaine Mercer and Rebecca Skinner.
19 This program was authorized by the National Defense Authorization Act for FY2005 (P.L.
108-375).
CRS-9
duty (REAP); to $309 for members of the selected reserves (MGIB-SR) who are not
serving on active duty.20
Congressional interest in the education benefits afforded to military personnel
greatly increased after the terrorist attacks of September 11, 2001, and the U.S.
military became involved in Iraq and Afghanistan, which resulted in increasing
numbers of military personnel and reservists being called to active duty. Several bills
have been introduced in the 110th Congress that specifically address the Montgomery
GI Bill education benefits. For example, S. 22 (sponsored by Senator Jim Webb)
would extend educational assistance under the MGIB to certain individuals who
served on active duty on or after September 11, 2001. Similarly, H.R. 1211
(sponsored by Representative Jim Matheson) would increase the amount and the
duration of the MGIB monthly payments for members of the Selected Reserve who
have been called to active duty following September 11, 2001. Most of the other
MGIB bills pending in the 110th Congress focus on increasing the amount of the
monthly benefits or providing parity between the benefit amounts for active duty
members and reservists who have served on active duty since September 11, 2001.
To date, none of the bills have been reported out of committee.
Homelessness
The ongoing wars in Iraq and Afghanistan have resulted in heightened
congressional attention to the issue of homeless veterans. The VA estimates that just
under 196,000 veterans are homeless on any given night.21 According to two studies
that have attempted to capture the characteristics of the homeless, veterans make up
between 19% and 23% of the adult homeless population.22 Both male and female
veterans are more likely to be homeless than their nonveteran counterparts.23 Among
the explanations for the over representation of veterans among the homeless are
20 The benefit amounts shown for each program are for full-time institutional training. The
amounts are less for individuals who attend school less than full-time and who served less
than the aforementioned number of years. The education benefits payment rate schedule is
available at [http://www.gibill.va.gov/GI_Bill_Info/rates.htm].
21 John Nakashima, Craig W. Burnette, James F. McGuire, and Amanda Sheely, Community
Homelessness Assessment, Local Education and Networking Group (CHALENG) Report to
Congress, U.S. Department of Veterans Affairs, April 15, 2007, Appendix 5, available at
[http://www1.va.gov/homeless/docs/CHALENG_REPORT_FY2006_DRAFT.pdf].
22 The estimate of 19% included only the sheltered homeless population, while the estimate
of 23% included the unsheltered and sheltered populations. See U.S. Department of
Housing and Urban Development, The Annual Homeless Assessment Report to Congress,
February 28, 2007, p. 32, available at [http://www.huduser.org/Publications/pdf/ahar.pdf]
and Martha R. Burt, Laudan Y. Aron, et. al., Homelessness: Programs and the People They
Serve, Urban Institute, December 1999, p. 18, available at [http://www.urban.org
/UploadedPDF/homelessness.pdf].
23 See Robert Rosenheck, Linda Frisman, and An-Me Chung, “The Proportion of Veterans
Among Homeless Men,” American Journal of Public Health 84, no. 3 (March 1994), p. 466;
Gail Gamache, Robert Rosenheck, and Richard Tessler, “Overrepresentation of Women
Veterans Among Homeless Women,” American Journal of Public Health 93, no. 7 (July
2003), p. 1134.
CRS-10
mental health diagnoses, including post-traumatic stress disorder, addictions to
alcohol and other substances, and physical health problems.24
Multiple programs exist to serve homeless veterans. The primary programs are
the VA’s Homeless Providers Grant and Per Diem Program, Domiciliary Care for
Homeless Veterans program, Health Care for Homeless Veterans program, and the
Compensated Work Therapy Program. The Department of Labor also has a program
for homeless veterans called the Homeless Veterans Reintegration Program. In
FY2006, approximately $238 million was appropriated for these five programs to
assist homeless veterans.25
None of the federal programs for homeless veterans provide funding for
permanent supportive housing. Although veterans are eligible for permanent housing
through Department of Housing and Urban Development (HUD) programs, the VA
programs only provide transitional housing for up to 24 months. The HUD VA
Supported Housing (HUD-VASH) program is a collaboration between HUD and the
VA that serves homeless veterans who have chronic mental illnesses or chronic
substance abuse disorders, and the program provided approximately 1,700 Section
8 vouchers for homeless veterans in 1992. According to the VA, most of those
vouchers are still being used by veterans. During the 107th Congress, an additional
2,000 Section 8 vouchers for homeless veterans were authorized in P.L. 107-95, but
they were never funded. No other vouchers were authorized until the 109th Congress,
when P.L. 109-461 provided for additional HUD-VASH vouchers — 500 in FY2007,
1,000 in FY2008, 1,500 in FY2009, 2,000 in FY2010, and 2,500 in FY2011. At
three recent congressional hearings, witnesses and committee Members discussed the
issue of permanent supportive housing for veterans, including funding for vouchers.26
In the 110th Congress, S. 874 (sponsored by Senator Richard Burr) would
provide supportive services to help keep very low-income veteran families in
permanent housing and prevent homelessness. S. 1084 (sponsored by Senator Barack
Obama) would create no fewer than 20,000 Section 8 vouchers for homeless veterans
and would provide funds through HUD for the acquisition, rehabilitation, and
24 Testimony of Cheryl Beversdorf, Director, National Coalition for Homeless Veterans,
before the House Appropriations Committee, Subcommittee on Military Construction and
Veterans Affairs, FY2008 Appropriations, 110th Cong., 1st sess., March 8, 2007.
25 For more information on these programs for homeless veterans, see CRS Report
RL30442, Homelessness: Targeted Federal Programs and Recent Legislation, by Libby
Perl, Adrienne L. Fernandes, Paul M. Irwin, Garrine P. Laney, Sidath Viranga Panangala,
Ramya Sundararaman, and Barbara English.
26 See U.S. Congress, House Committee on Appropriations, Subcommittee on Military
Construction and Veterans Affairs, FY2008 Appropriations, 110th Cong., 1st sess., March 8,
2007; Senate Committee on Banking, Housing and Urban Affairs, Subcommittee on
Housing, Transportation, and Community Development, Meeting the Housing Needs of
Veterans, 109th Cong., 2nd sess., August 2, 2006; Senate Committee on Veterans Affairs,
Looking At Our Homeless Veterans Programs: How Effective Are They?, 109th Cong., 2nd
sess., March 16, 2006, S.Hrg. 109-533, available at [http://frwebgate.access.gpo.gov/cgi-bin/
useftp.cgi?IPaddress=162.140.64.128&filename=28175.pdf&directory=/diskb/wais/data/
109_senate_hearings].
CRS-11
construction of permanent supportive housing for very low-income veterans and their
families. S. 1384 (sponsored by Senator Daniel Akaka) would address the per diem
portion of the Homeless Providers Grant and Per Diem Program by removing from
law the requirement that per diem payments to service providers be offset by the
receipt of other sources of funding. This bill would also institute a demonstration
program aimed at preventing homelessness in returning members of the armed
services and would reauthorize a transition program for incarcerated veterans.
Life Insurance
The VA administers several life insurance programs for veterans. Three
programs are closed for enrollment, but still have active policies: United States
Government Life Insurance (a World War I program); National Service Life
Insurance (a World War II program); and Veterans Special Life Insurance (a Korean
War program). The following current programs are open for enrollment.
Servicemembers’ Group Life Insurance (SGLI)27 and Family
Servicemembers’ Group Life Insurance (FSGLI). SGLI coverage is available
to eligible servicemembers in $50,000 increments up to $400,000. Spouses and
dependent children are eligible for FSGLI if the servicemember is insured under
SGLI. Under FSGLI, spouse coverage can be elected in $10,000 increments up to
$100,000 but cannot exceed the servicemember’s SGLI coverage amount.
Dependent children coverage under FSGLI is $10,000 and is automatic for
servicemembers with SGLI coverage.
Traumatic Servicemembers’ Group Life Insurance (TSGLI). TSGLI
became effective December 1, 2005, and all servicemembers with SGLI coverage are
automatically covered by TSGLI. For specified traumatic injuries, TSGLI provides
a benefit that ranges from $25,000 to $100,000, depending on the type and severity
of the traumatic injury. TSGLI benefits are also retroactive to October 7, 2001, for
traumatic injuries incurred in Operation Enduring Freedom or Operation Iraqi
Freedom. The servicemember applies to his or her uniformed service for a TSGLI
benefit. The uniformed service determines whether the servicemember is eligible for
it, and, if so, the amount that he or she should receive. Then the uniformed service
notifies the VA to pay the TSGLI benefit to the servicemember.
Veterans’ Group Life Insurance (VGLI). VGLI coverage is available in
$10,000 increments up to $400,000, but it cannot exceed the level of SGLI coverage
that the member had in force at the time of separation from service. Upon separation
from service, an SGLI member can convert his or her coverage to a commercial plan
offered by participating commercial insurance companies or to a renewable VGLI
policy.
Service-Disabled Veterans Insurance (S-DVI). S-DVI coverage is
available in $1,000 increments up to $10,000 for veterans who do not have
dishonorable discharges, were released from active duty after April 25, 1951, and
27 For more information on SGLI, please see CRS Report RL32769, Military Death Benefits:
Status and Proposals, by David F. Burrelli and Jennifer R. Corwell.
CRS-12
received new service-connected disability ratings within two years of applying for S-
DVI coverage. In addition, supplemental coverage of $20,000 is available for S-DVI
policy holders who are under age 65, are eligible for waivers of S-DVI premiums due
to total disability, and apply for the supplemental coverage within one year of being
notified that the premium waiver has been granted.
In the 110th Congress, H.R. 585 (sponsored by Representative Stephanie
Herseth) and S. 225 (sponsored by Senator Larry Craig) would expand retroactive
TSGLI coverage by eliminating the requirement that the traumatic injury be incurred
in Operation Enduring Freedom or Operation Iraqi Freedom. S. 643 (sponsored by
Senator Daniel Akaka) would increase the supplemental S-DVI benefit from $20,000
to $40,000. S. 1315 (sponsored by Senator Daniel Akaka) would create a level-
premium term life insurance program for veterans who have service-connected
disabilities. The coverage would be available in $10,000 increments up to $50,000.
Legal Representation for Veterans
Since the American Civil War, Congress has regulated the representation of
veterans before the VA and its predecessors. This regulation has continued to evolve
over the years, with Congress establishing various standards for representation,
criteria and guidelines for fees, and limitation on when a veteran may engage the
services of an attorney (on a fee basis) to represent him or her in the appeals process.
The VA claims appeal process is a detailed multistep procedure.28 A recently
enacted law — the Veterans Benefits, Health Care, and Information Technology Act
of 200629 (“act”) — has modified attorney participation in appeals. The Secretary of
Veterans Affairs (“Secretary”) is required to provide additional qualifications and
standards for agents30 and attorneys who represent veterans before the VA. These
standards deal with (1) training and character and (2) fee criteria and limitations. The
Secretary is authorized to charge and collect fees from the agents or attorneys to be
used for administrative expenses for veterans’ benefits programs. The following
grounds for suspension of agents and attorneys are provided in the act: presenting
frivolous claims, prior suspensions, charging excessive or unreasonable fees, or
failure to comply with the Secretary’s regulations.
A significant change that the act made in the role of attorneys in the appeal
process is when in the appeal process an attorney may commence services for fees.
Previously, an attorney could not represent a veteran for a fee until the Board of
Veterans Appeals (BVA) made a final decision.31 This had the effect of excluding
an attorney from the process until all of the administrative appeals had been
exhausted. The act now permits an attorney to enter the appeal process at a much
28 See CRS Report RL33704, Veterans Affairs: The Appeal Process for Veterans’ Claims,
by Douglas Reid Weimer.
29 P.L. 109-461, Title I.
30 “Agents” or representatives of various veterans’ service organizations may represent a
veteran in his/her appeal process. See CRS Report RL33704.
31 Id. at 3. See Figure I. Appeal Process.
CRS-13
earlier date — after the veteran has received a decision on his or her claim from the
VA and decides to appeal this initial decision administratively through the filing of
a Notice of Disagreement (NOD).32 An attorney may now provide representation for
a fee after the NOD is filed. The act requires the Secretary to provide Congress with
an evaluation of the effect of the new system of representation. The act also modified
the requirements to file attorney fee agreements so as to reflect the earlier point when
an attorney or agent can enter the appeals process. The Secretary is also authorized
to review a fee agreement, and the Secretary may order a reduction in an agreed upon
fee if the Secretary finds the fee excessive or unreasonable. The Secretary’s decision
may be reviewed by the BVA, which is authorized to make the final review of the
issue.33
This change in the veterans’ appeal procedure has been somewhat controversial.
While veterans’ groups such as the National Organization of Veterans Advocates
(NOVA) and the Paralyzed Veterans of America (PVA) have supported the change,
other groups — most notably, the Disabled American Veterans (DAV) — have
vigorously opposed the legislative change, continue to oppose implementation of the
law, and are seeking a repeal of the law.34 Opposition to the change may be
summarized into three broad categories. First, representatives of veterans’ groups
have been the exclusive representatives of veterans in the VA administrative appeal
process and are reluctant to change this arrangement. Second, there is a belief that
any benefits should belong exclusively to the veteran and should not be shared or
paid to a legal representative. Third, there is a reluctance to have previous work done
by veteran representatives reviewed by attorneys.
On March 5, 2007, H.R. 1318 was introduced by Representative Ron Lewis.
If enacted, the legislation would repeal the authority for certain agent or attorney
representation in veterans’ benefit cases before the VA. In effect, the bill would
return to the procedure that existed before P.L. 109-461 became law and permit
representation only after the BVA renders a final decision in the case. The bill has
been referred to the House Committee on Veterans’ Affairs.
U.S. Court of Appeals for Veterans Claims
Sometimes a veteran may not agree with the VA’s initial decision concerning
an award or the amount of the benefit.35 Within the VA, there is an extensive
appeal/review process that concludes with the decision of the Board of Veterans
Appeals (BVA).36 Final decisions of the BVA may be appealed to the U.S. Court of
32 Id.
33 38 U.S.C. § 7104.
34 See [http://www.dav.org/voters/claims_process.html].
35 See CRS Report RL33704, Veterans Affairs: The Appeal Process for Veterans’ Claims,
by Douglas Reid Weimer.
36 See CRS Report RL33704.
CRS-14
Appeals for Veterans Claims (CAVC).37 The CAVC is an independent court,
separate and apart from the VA. The CAVC does not hold trials, hear witness
testimony, or receive new evidence.38 In deciding a case, the CAVC considers the
BVA decision, the briefs submitted by the parties, and the record that was considered
by the VA and made available to the BVA.39
The veteran who is appealing to the CAVC may represent himself or herself or
may be represented by an attorney or an authorized representative.40 The VA’s
Office of General Counsel represents the Secretary of Veterans Affairs and the VA
before the CAVC.41 Following a final decision of the CAVC, that decision may be
appealed to the U.S. Court of Appeals for the Federal Circuit (“Federal Circuit”)42 by
either the veteran or the VA. Appeals to the Federal Circuit are required to be filed
within 60 days of the final CAVC decision.43 Following a final decision by the
Federal Circuit, either the veteran or the VA may petition the U.S. Supreme Court for
certiorari, or review, of that decision within 90 days of the Federal Circuit’s final
action.44
Congress has been concerned about the CAVC’s backlog of cases and the
overall length of time needed to process an appeal through the VA and then through
the CAVC.45 An additional, related concern is the hardship experienced by those
veterans who are not receiving any benefits while their appeals are pending. In
response to these concerns, the Senate Committee on Veterans Affairs held a hearing
on the CAVC and the backlog on July 13, 2006.46 It was reported at this hearing that
there was a backlog of more than 5,800 cases. Among the issues discussed was the
possible recall of retired CAVC judges to help reduce the backlog.47 Following the
hearing, two retired judges were recalled to process or decide more cases through the
system. After the recall term of these two judges ended, two other retired judges
37 See CRS Report RS22561, Veterans Affairs: The U.S. Court of Appeals for Veterans
Claims — Judicial Review of the VA Decision Making, by Douglas Reid Weimer.
38 38 U.S.C. § 7261.
39 See CRS Report RS22561.
40 Representation before the court is governed by U.S. Vet. App. R. 46.
41 38 U.S.C. § 7263(a).
42 Id. § 7292.
43 28 U.S.C. § 2107.
44 38 U.S.C. § 7292(c). A petition for certiorari requests the Supreme Court to review the
decision of the lower court. The Court has broad discretion in deciding which cases it
chooses to review.
45 As all claims and appeals are different, it has not been possible to determine the “average”
length of an appeal through the VA and CAVC process.
46 U.S. Congress, Senate Committee on Veterans’ Affairs, Battling the Backlog Part II:
Challenges Facing the U.S. Court of Appeals for Veterans Claims, 109th Cong., 2nd sess.,
July 13, 2006, S.Hrg. 109-694, available at [http://frwebgate.access.gpo.gov/cgi-bin/getdoc
.cgi?dbname=109_senate_hearings&docid=f:29716.pdf].
47 Id. The judges would be “recalled” to serve on the court in their retirement.
CRS-15
were recalled. At the present time, two judges are serving in recall status. It has been
reported that the CAVC is now on a “record setting pace of decision making.”48
With more appeals being filed each month, it is anticipated that the CAVC will
continue to have a heavy workload.
On May 3, 2007, S. 1289 was introduced by Senator Larry Craig. If enacted, the
legislation would amend Title 38 of the U.S. Code to modify the salary and the terms
of the judges of the CAVC. The bill would also modify the recall provisions for
retired CAVC judges and other matters relating to the CAVC. The bill has been
referred to the Senate Committee on Veterans’ Affairs.
crsphpgw
48 See [http://veterans.senate.gov/ranking_member_news.cfm?FuseAction=Home.Home
&month=1&year=2007&release_id=897].