Order Code RL33876
Overview of Filipino Veterans’ Benefits
Updated October 10, 2008
Sidath Viranga Panangala,
Christine Scott, and Carol D. Davis
Domestic Social Policy Division

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Overview of Filipino Veterans’ Benefits
Summary
The United States has had a continuous relationship with the Philippine Islands
since 1898, when they were acquired by the United States as a result of the
Spanish-American War. Filipinos have served in, and with, the U.S. Armed Forces
since the Spanish-American War, and especially during World War II. The Islands
remained a possession of the United States until 1946.
Since 1946, Congress has passed several laws affecting various categories of
Filipino veterans. Many of these laws have been liberalizing laws that have provided
Filipino World War II veterans with medical and monetary benefits similar to
benefits available to U.S. veterans.
However, not all veterans’ benefits are available to veterans of the
Commonwealth Army of the Philippines, Recognized Guerrilla Forces, and New
Philippine Scouts. In the 110th Congress, two measures, H.R. 760 and S. 57, have
been introduced that would eliminate the distinction between the Regular, or “Old,”
Philippine Scouts and the other three groups of veterans — the Commonwealth Army
of the Philippines, Recognized Guerrilla Forces, and New Philippine Scouts —
making them all fully eligible for veterans’ benefits similar to those received by U.S.
veterans.
This report defines the four specific groups (Regular Philippine Scouts,
Commonwealth Army of the Philippines, Recognized Guerilla Forces, and New
Philippine Scouts) of Filipino nationals who served under the command of the United
States, outlines the Rescission Acts of 1946, benefit changes since 1946, current
benefits for Filipino veterans by group, and recent legislative proposals. It will be
updated as legislative events warrant.

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Contents
Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Regular, or “Old,” Philippine Scouts . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Commonwealth Army of the Philippines . . . . . . . . . . . . . . . . . . . . . . . 2
Recognized Guerrilla Forces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
New Philippine Scouts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Rescission Acts of 1946 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
First Supplemental Surplus Appropriation Rescission Act
(P.L. 79-301) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Second Supplemental Surplus Appropriation Rescission Act
(P.L. 79-391) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Legislative Intent of the Rescission Acts . . . . . . . . . . . . . . . . . . . . . . . . 3
Benefit Changes, 1946-1998 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Health Care Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
P.L. 80-865 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
P.L. 82-311 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
P.L. 83-421 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
P.L. 85-461 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
P.L. 88-40 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
P.L. 89-612 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Veterans Health Care Expansion Act of 1973 (P.L. 93-82) . . . . . . . . . . 7
Veterans’ Health Care, Training, and Small Business
Loan Act of 1981 (P.L. 97-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Non-Health Care Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
P.L. 82-21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
P.L. 89-613 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
P.L. 89-641 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Benefit Changes Since 1998 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Foster Care Independence Act of 1999 (P.L. 106-169) . . . . . . . . . . . . . 9
The Departments of Veterans Affairs and Housing and Urban
Development, and Independent Agencies Appropriations Act,
2001 (P.L. 106-377) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
The Veterans Benefits and Health Care Improvement Act
of 2000 (P.L. 106-419) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
The Veterans Health Care, Capital Asset, and
Business Improvement Act of 2003 (P.L. 108-170) . . . . . . . . . . 10
The Veterans Benefits Act of 2003 (P.L. 108-183) . . . . . . . . . . . . . . . 10
Legislation in the 110th Congress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
List of Tables
Table 1. Filipino Veterans and Survivors, Eligibility for VA Benefits . . . . . . . 12

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Overview of Filipino Veterans’ Benefits
Background
The Philippine Islands became a U.S. possession in 1898, when they were ceded
from Spain following the Spanish-American War (1898-1902).1 In 1934, Congress
passed the Philippine Independence Act (Tydings-McDuffie Act, P.L. 73-127), which
set a 10-year timetable for the eventual independence of the Philippines and in the
interim established a Commonwealth of the Philippines vested with certain powers
over its internal affairs. In 1935, the Philippine Constitution was adopted and the first
President of the Philippines was elected. The granting of full independence was
ultimately delayed until 1946 because of the Japanese occupation of the Islands from
1942-1945.
Among other things, P.L. 73-127 reserved to the United States the power to
maintain military bases and armed forces in the Philippines and, upon order of the
President of the United States, the right to call into the service of the U.S. Armed
Forces all military forces organized by the Philippine government. On July 26, 1941,
President Franklin D. Roosevelt issued an executive order inducting all military
forces of the Commonwealth of the Philippines under the command of a newly
created command structure called the United States Armed Forces of the Far East
(USAFFE). These units remained under USAFFE command through the duration of
World War II (WWII), until authority over them was returned to the Commonwealth
at the time of independence.
From time to time since 1946, Congress has passed laws providing, and in some
instances repealing, benefits to Filipino veterans. This report, which will be updated
as legislative events warrant, provides an overview of major Filipino veterans
legislation enacted by Congress since 1946. The report begins by defining the
specific groups of Filipino nationals who served under the command of the United
States, outlines the Rescission Acts of 1946, the changes to benefits for Filipino
veterans since 1946, and recent legislative proposals. Table 1, at the end of this
report, shows the current benefits for Filipino veterans and survivors.
Regular, or “Old,” Philippine Scouts. These were soldiers who enlisted
as Philippine Scouts prior to October 6, 1945. They were members of a small,
regular component of the U.S. Army that was considered to be in regular active
service. The Regular Philippine Scouts were part of the U.S. Army throughout their
1 38 U.S.C. §101(6).

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existence, and are entitled to all benefits administered by the Department of Veterans
Affairs (VA) by the same criteria that apply to any veteran of U.S. military service.2
Commonwealth Army of the Philippines. These soldiers enlisted in the
organized military forces of the Government of the Philippines under the provisions
of the Philippine Independence Act of 1934. They served before July 1, 1946, while
such forces were in the service of the U.S. Armed Forces pursuant to the military
order of the President of the United States dated July 26, 1941.
Recognized Guerrilla Forces. These were individuals who served in
resistance units recognized by, and cooperating with, the U.S. Armed Forces during
the period April 20, 1942, to June 20, 1946.3 They served primarily during the
Japanese occupation of the Islands. Following reoccupation of the Islands by the
U.S. Armed Forces, they became a recognized part of the Commonwealth Army of
the Philippines by order of the President of the Philippines.
New Philippine Scouts. These were Philippine citizens who served with
the U.S. Armed Forces with the consent of the Philippine government between
October 6, 1945, and June 30, 1947, and who were discharged from such service
under conditions other than dishonorable.4 Since these scouts were recruited as a
result of the Armed Forces Voluntary Recruitment Act of 1945 (P.L. 79-190), they
are referred to as “New” Scouts.
Rescission Acts of 1946
In 1946, Congress passed the first Supplemental Surplus Appropriation
Rescission Act (P.L. 79-301) and the second Supplemental Surplus Appropriation
Rescission Act (P.L. 79-391), which came to be commonly known as the “Rescission
Acts of 1946.” It should be noted that the Rescission Acts of 1946 applied only to
Filipino veterans who were members of the Commonwealth Army of the Philippines,
Recognized Guerrilla Forces, or the New Philippine Scouts. Veterans who served
as Regular, or “Old,” Philippine Scouts were categorized as U.S. veterans. They
were, and remain, generally entitled to all veterans’ benefits for which any other U.S.
veteran is eligible.
First Supplemental Surplus Appropriation Rescission Act (P.L. 79-
301). Enacted on February 18, 1946, P.L. 79-301 authorized a $200 million
appropriation to the Commonwealth Army of the Philippines with a provision
limiting benefits for these veterans to: (1) compensation for service-connected
2 38 C.F.R. §3.40(a).
3 38 C.F.R. §3.40(d).
4 38 C.F.R. §3.40(b).

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disabilities5 or death; and (2) National Service Life Insurance contracts already in
force.6 Furthermore, this provision included bill language stating that:
Service before July 1, 1946, in the organized military forces of the government
of the Commonwealth of the Philippines while such forces were in the service
of the Armed Forces of the United States pursuant to the military order of the
President, dated July 26, 1941 ... shall not be deemed to have been active
military, naval or air service for the purposes of any law of the United States
conferring rights, privileges, or benefits upon any person by reason of the service
of such person or the service of any other person in the Armed Forces.7
Because of differences between economic conditions and living standards in the
United States and the Philippines, P.L. 79-301 also provided that any benefits paid
to Commonwealth Army veterans would be paid at the rate of one Philippine peso
to each dollar8 for a veteran who was a member of the U.S. Armed Forces, with the
assumption that one peso would obtain for Philippine veterans in the Philippine
economy the equivalent of $1 of goods and services for American veterans in the
American economy. Prior to the enactment of P.L. 79-301, Commonwealth Army
veterans were determined by the then Veterans’ Administration to be eligible for U.S.
veterans’ benefits.9
Second Supplemental Surplus Appropriation Rescission Act (P.L.
79-391). Enacted on May 27, 1946, P.L. 79-391 provided that service in the
Philippine Scouts (the New Philippine Scouts) under Section 14 of the Armed Forces
Voluntary Recruitment Act of 1945 (P.L. 79-190) shall not be deemed to have been
active military or air service for the purpose of any laws administered by the
Veterans’ Administration.
Legislative Intent of the Rescission Acts. There is little background
information on the intent of Congress in passing the first Rescission Act, as it affects
veterans of the Commonwealth Army. However, statements made by Senator Carl
5 The term “service-connected” means, with respect to disability, that such disability was
incurred or aggravated in the line of duty in the active military, naval, or air service. The
VA determines whether veterans have service-connected disabilities, and for those with such
disabilities, assigns ratings from 0 to 100% based on the severity of the disability.
Percentages are assigned in increments of 10%.
6 P.L. 79-301; 60 Stat. 14.
7 Ibid; now codified at 38 U.S.C. §107.
8 For example, if a veteran who was a member of the U.S. Armed Forces received $50 for
a benefit, a veteran who was a member of the Commonwealth Army would receive 50 pesos
for the same benefit.
9 In 1942, the Solicitor of the VA ruled that members of the Commonwealth Army called
into the service of the United States by the President’s order of July 26, 1941, were eligible
for benefits under the Veterans’ National Life Insurance Act. In 1945, General Omar
Bradley, then Director of the Veterans’ Administration, expressed an opinion to the Senate
Appropriations Committee that the term “veterans” included these Commonwealth Army
veterans. Filipino American Veterans and Dependents Association v. United States of
America, 391 F. Supp. 1314 (N.D. Cal. 1974).

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Hayden during hearings on the second Rescission Act, which affected New
Philippine Scouts, provide some indication of legislative intent in the passage of the
first Rescission Act, and to the subsequent passage of the second Rescission Act.
Furthermore, other events at the time may provide some context in which the
Rescission Acts were considered.
At the end of World War II, when Congress was considering a $200 million
appropriation for the support of the Philippine Army, Senator Carl Hayden of the
Senate Committee on Appropriations sent a letter to General Omar Bradley, then
Director of the Veterans’ Administration, requesting information concerning the
status of the Filipino servicemen and the potential cost of their veterans benefits. In
his response to the committee, General Bradley indicated that the total cost of paying
veterans’ benefits to members of the Philippine Commonwealth Army and their
dependents, under then existing veterans’ laws, would amount in the long run (75
years) to about $3 billion. It seems clear from Senator Hayden’s statements that the
passage of the first Rescission Act was meant to balance competing financial
interests by providing some benefits, such as pensions for service-connected
disability or death, while at the same time reducing the U.S. liability for future
benefits. To accomplish this, Senator Hayden, Senator Russell and Senator Brooks
included language by way of an amendment to the first Rescission bill stating that
service by members of the Commonwealth Army was not considered active military,
naval, or air service in the U.S. Armed Forces. Furthermore, hearings on the second
Rescission Act also clearly indicate that it was Congress’s intent to limit wartime
benefits given to New Philippine Scouts:
Because neither the President nor the Congress has declared an end to the war,
a [New] Philippine Scout upon separation from service would be entitled to the
same benefits as an American soldier who served in time of war. Unless this
amendment [to the second Rescission Act] is adopted, a [New Philippine] Scout
would be entitled to claim every advantage provided for the G.I. bill of rights
such as loans, education, unemployment compensation, hospitalization,
domiciliary care and other benefits provided by the laws administered by the
Veterans’ Administration. Because hostilities have actually ceased, the
amendment makes it perfectly clear that these wartime benefits do not apply and
that the 50,000 men now authorized to be enlisted in the [New] Philippine Scouts
will be entitled only to pensions resulting from service-connected disability or
service-connected death.10
In addition, the passage of the Rescission Acts may have been influenced by
other bills under consideration by Congress at that time. In 1946, Congress passed
the Philippine Rehabilitation Act (P.L. 79-370) and the Philippine Trade Act (P.L.
79-371). The terms of the Rehabilitation Act required the United States to pay
claims for rehabilitation of the Philippines and war damage claims up to $620
million. Of this sum, $220 million was allocated for repair of public property. The
remaining $400 million was allocated for war damage claims of individuals and
associations. The Philippine Trade Act provided for free trade between the United
States and the Philippines until July 3, 1954. These bills under consideration at the
10 U.S. Congress, Senate Committee on Appropriations, Subcommittee on Deficiency,
Hearings on H.R. 5604, 79th Cong., 2nd sess., March 25, 1946, p. 29.

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time would have provided economic stability to the newly emerging nation.
According to Senator Hayden:
As I see it, the best thing the American government can do is to help the Filipino
people to help themselves. Where there was a choice between expenditures for
the rehabilitation of the economy of the Philippine Islands and payments in cash
to Filipino veterans, I am sure it is better to spend any equal sum of money, for
example, on improving the roads and port facilities. What the Filipino veteran
needs is steady employment rather than to depend for his living upon a monthly
payment sent from the United States.11
Therefore, it seems clear that Congress considered the Rescission Acts in the
context of providing for the comprehensive economic development of the soon to be
sovereign Republic of the Philippines.
Benefit Changes, 1946-1998
Health Care Benefits
P.L. 80-865. Enacted on July 1, 1948, P.L. 80-865 authorized aid not to
exceed $22.5 million for the construction and equipping of a hospital in the
Philippines to provide care for Commonwealth Army veterans and Recognized
Guerrilla Forces. P.L. 80-865 also authorized $3.3 million annually for a five-year
grant program to reimburse the Republic of the Philippines for the care and treatment
of service-connected conditions of those veterans. In 1951, plans for a new hospital
were completed, and construction of a new hospital began in 1953. Work was
completed at a total cost of $9.4 million, and the hospital was dedicated on
November 20, 1955.12 This facility came to be known as the Veterans Memorial
Medical Center (VMMC), and the facility was turned over to the Philippine
government. The hospital is now organized under the Philippine Department of
National Defense.13
P.L. 82-311. Enacted on April 9, 1952, P.L. 82-311 authorized the President
to transfer the United States Army Provisional Philippine Scout Hospital at Fort
McKinley, Philippines, including all the equipment contained in the hospital, to the
Republic of the Philippines. P.L. 82-311 also authorized a five-year grant program
to reimburse the Republic of the Philippines for the medical care of Regular
Philippine Scouts undergoing treatment at the United States Army Provisional
Philippine Scout Hospital.
11 U.S. Congress, Senate Committee on Appropriations, Subcommittee on Deficiency,
Hearings on H.R. 5604, 79th Cong., 2nd sess., March 25, 1946, p. 61.
12 U.S. Congress, House Committee on Veterans’ Affairs, Medical Care of Veterans,
Committee print, 90th Cong., 1st sess., April 17, 1967. House Committee print no. 4, p. 384.
13 See [http://server.pvao.mil.ph/vmmc.html].

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P.L. 83-421. Enacted on June 18, 1954, P.L. 83-421 extended the five-year
grant program for an additional five years, through June 30, 1958, and authorized
payments of $3 million for the first year, and then payments decreasing by $500,000
each year. No change was made to the provision stating that funds could be used for
either medical care on a contract basis or for hospital operations.
P.L. 85-461. The VMMC was originally intended to provide care for service-
connected conditions only. However, P.L. 85-461 enacted on June 18, 1958,
expanded its use to include veterans of any war for any nonservice-connected
disability if such veterans were unable to defray the expenses of necessary hospital
care. The VA was authorized to pay for such care on a contract basis. P.L. 85-461
also authorized the President, with the concurrence of the Republic of the
Philippines, to modify the agreement between the United States and the Philippines
with respect to hospital and medical care for Commonwealth Army veterans, and
Recognized Guerrilla Forces.14 The law stated that in lieu of any grants made after
July 1, 1958, the VA may enter into a contract with the VMMC under which the
United States would pay for hospital care in the Republic of the Philippines for
Commonwealth Army veterans and Recognized Guerrilla Forces determined by the
VA to need such hospital care for service-connected disabilities. P.L. 85-461 also
required that the contract must be entered into before July 1, 1958, would be for a
period of not more than five consecutive fiscal years beginning July 1, 1958, and
shall provide for payments for such hospital care at a per diem rate to be jointly
determined for each fiscal year by the two governments to be fair and reasonable.
P.L. 85-461 also authorized the Republic of the Philippines to use at their
discretion beds, equipment, and other facilities of the VMMC at Manila, not required
for hospital care of Commonwealth Army veterans with service-connected
disabilities, for the care of other persons.15
P.L. 88-40. Enacted on June 13, 1963, P.L. 88-40 extended the grant program
for another five years, through June 30, 1968. Under provisions of P.L. 88-40, costs
for any one fiscal year were not to exceed $500,000.
P.L. 89-612. Enacted on September 30, 1966, P.L. 89-612 expanded the grant
program to include hospital care at the VMMC for Commonwealth Army veterans,
determined by the VA to need such care for nonservice-connected disabilities if they
were unable to defray the expenses of such care. P.L. 89-612 also authorized the
provision of hospital care to New Philippine Scouts for service-connected
14 This law defined “Commonwealth Army Veterans” as “persons who served before July
1, 1946, in the organized military forces of the Government of the Philippines, while such
forces were in the service of the Armed Forces pursuant to the military order of the
President dated July 26, 1941, including among such military forces organized guerrilla
forces under commanders appointed, designated, or subsequently recognized by the
Commander in Chief, Southwest Pacific Area, or another competent authority in the Army
of the United States, and who were discharged or released from such service under
conditions other than dishonorable.”
15 This language contained in P.L. 85-461 was restated in P.L. 85-857, which consolidated
the laws of the Veterans’ Administration.

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disabilities, and for nonservice-connected conditions if they were enlisted before July
4, 1946, the date of Philippine independence. P.L. 89-612 also authorized $500,000
for replacing and upgrading equipment and for restoring the physical plant of the
hospital. P.L. 89-612 also provided an annual appropriation of $100,000 for six
years, beginning in 1967, for grants to the VMMC for medical research and training
of health service personnel.
Veterans Health Care Expansion Act of 1973 (P.L. 93-82). Enacted on
August 1, 1973, P.L. 93-82 authorized nursing home care for eligible Commonwealth
Army veterans and New Philippine Scouts. P.L. 93-82 also provided that available
beds, equipment, and other facilities at the VMMC could be made available, at the
discretion of the Republic of the Philippines, for other persons, subject to: (1) priority
of admissions and hospitalizations given to Commonwealth Army veterans or New
Philippine scouts needing hospital care for service-connected conditions; and (2) the
use of available facilities on a contract basis for hospital care or medical services for
persons eligible to receive care from the VA. P.L. 93-82 also authorized funding of
up to $2 million annually for medical care, and provided for annual grants of up to
$50,000 for education and training of health service personnel at the VMMC, and of
up to $50,000 for replacing and upgrading equipment and maintaining the physical
plant.
Veterans’ Health Care, Training, and Small Business Loan Act of
1981 (P.L. 97-72). Enacted on November 3, 1981, P.L. 97-72 made substantial
changes to then existing law. P.L. 97-72 amended section 632 [now 1732] of Title
38 “to make it explicitly clear that it is the position of the United States that the
primary responsibility for providing medical care and treatment for Commonwealth
Army veterans and New Philippine Scouts rests with the Republic of the
Philippines.”16 The committee report accompanying P.L. 97-72 stated the long-
standing position of Congress with regard to health care for Filipino veterans:
There is little doubt that in 1948 when Congress enacted P.L. 80-865, authorizing
a 5-year grant program to provide medical benefits to Filipino veterans with
service-connected illnesses, including the authorization for constructing and
equipping a hospital in Luzon, it intended that this program be temporary and
that the Philippine government would eventually assume responsibility for
funding the program and operations of the hospital.... These grants were
renewed for an additional 5 years in 1954, but on a decreasing annual scale of
payments (P.L. 83-421). The Committee report on this bill stated that
progressively reducing these grants over five years was to make clear the intent
of Congress that the Philippine government would be expected to gradually
assume full responsibility for the hospital.... However, because of the moral
obligation of the United States to provide care for Filipino veterans and the
concern that the Philippine government would not be able to maintain a high
standard of medical care to these veterans if assistance by the United States were
withheld, this program was extended in 5-year increments through [FY] 1978.
P.L. 89-612, enacted in September 1966, expanded the program to include
medical care for nonservice-connected disabilities if the veteran were unable to
16 U.S. Congress, House Committee on Veterans’ Affairs, Veterans’ Health Care, Training,
and Small Business Loan Act of 1981. Report to accompany H.R. 3499. 97th Cong., 1st sess.,
H.Rept. 97-79.

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defray the expense of medical care and included New Philippine Scouts in the
coverage.17

Furthermore, P.L. 97-72 gave the VA the authority to contract for the care and
treatment of U.S. veterans in the VMMC, and to provide grant authority of $500,000
per year for a period of five years for making grants to the VMMC to assist in the
replacement and upgrading of equipment and the rehabilitation of the physical plant
and facilities of the center.
The grant program was further authorized by making amendments to the grant
amount and the time frame for entering into contracts by the following acts:
! P.L. 100-687, enacted on November 18, 1988;
! Department of Veterans Affairs Health-Care Personnel Act of 1991
(P.L. 102-40), enacted on May 7, 1991;
! Veterans’ Benefits Improvement Act of 1991 (P.L. 102-86), enacted
on August 14, 1991; and
! Veterans Health Care Act of 1992 (P.L. 102-585), enacted on
November 4, 1992.
In 1993, the VA discontinued referrals of U.S. veterans to the VMMC, because
the VA determined that the VMMC was not providing a reasonable standard of care.
Until this time, the VMMC had been the primary contract hospital for the VA in the
Philippines. Because of this change in the referral process, the grant-in-aid funding
for the VMMC was last authorized by P.L. 102-585 through September 30, 1994, and
the program was allowed to expire. However, Congress continued to appropriate
funds for the program through September 30, 1996.18 During a tour of the VMMC
in May 2006, the VA Secretary announced that “the VMMC will receive a grant of
$500,000, or approximately 25.5 million pesos, from the U.S. government to help the
institution purchase additional equipment and materials for the treatment of Filipino
veterans.”19 The VA currently provides grants of equipment under the authority of
38 U.S.C. §1731.
Non-Health Care Benefits
P.L. 82-21. Enacted on April 25, 1951, P.L. 82-21 authorized funeral and
burial benefits, including burial flags, for Commonwealth Army veterans residing in
the Philippines (at half the rate of U.S. veterans). These benefits were not extended
to New Philippine Scouts.
P.L. 89-613. Enacted on September 30, 1966, P.L. 89-613 extended
dependents’ and survivors’ education assistance to include children of
17 Ibid.
18 Department of Veterans Affairs and Housing and Urban Development, Independent
Agencies Appropriations Act, 1995 (P.L. 103-327).
19 U.S. Embassy Press Release, “Medical Center to Benefit from 25-Million Peso Grant;
Hosts Visiting U.S. Secretary of Veterans Affairs,” May 1, 2006.

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Commonwealth Army veterans and New Philippine Scouts. These benefits were
made payable at half the rate of the benefits for children of U.S. veterans.
P.L. 89-641. As a result of a Joint Republic of the Philippines-U.S.
Commission study of Philippine veterans’ problems, P.L. 89-641, enacted on October
11, 1966 changed how benefits were to be computed by providing for the payment
of benefits in pesos based on pesos being equal in value to U.S. 50 cents for each
U.S. dollar authorized. In 1978, testifying before the Senate Committee on
Appropriations, the General Accounting Office (now the Government Accountability
Office) stated that:
[T]he intent of the 1966 law was apparently to restore Philippines beneficiaries
to approximately their situation in 1946, taking into account the changes
occurring in the economies and living standards in the Philippines and the U.S.
since 1946. Since the law was enacted, however, legislative increases and
devaluations of the peso have provided Filipino veterans with undue increases
in benefits and has resulted in Filipino veterans achieving much higher levels of
benefits than their counterparts in the U.S.20
Benefit Changes Since 1998
Foster Care Independence Act of 1999 (P.L. 106-169). Enacted on
December 12, 1999, P.L. 106-169 expanded U.S. income-based benefits to certain
World War II veterans, including Filipino veterans, who served in the organized
military forces of the Philippines while those forces were in the service of the U.S.
Armed Forces. Until the enactment of this act, recipients of Supplemental Security
Income (SSI)21 were generally required to reside in the United States to maintain their
eligibility. This law enabled eligible Filipino veterans to return to the Philippines and
retain 75% of their SSI benefits.
The Departments of Veterans Affairs and Housing and Urban
Development, and Independent Agencies Appropriations Act, 2001 (P.L.
106-377). Enacted on October 27, 2000, P.L. 106-477 changed the rate of
compensation payments to veterans of the Commonwealth Army of the Philippines
and veterans of Recognized Guerrilla Forces who lawfully reside in the United
States. P.L. 106-377 also authorized the VA to provide hospital care, medical
services, and nursing home care to these two veterans groups, similar to care and
services available to U.S veterans. In order to receive these benefits, they were
required to be legal permanent residents of the United States and be receiving VA
disability compensation. P.L. 106-377, also authorized outpatient care at the Manila
VA Outpatient Clinic to service-connected U.S. veterans for their nonservice-
20 U.S. Congress, Senate Committee on Appropriations, Veterans Administration Benefits
Programs in the Republic of the Philippines, Hearings, 95th Cong., 1st sess., August 31, 1977
(Washington: GPO, 1978).
21 This program is administered by the Social Security Administration.

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CRS-10
connected disabilities.22 Prior to the enactment of P.L. 106-377, the VA was limited
to providing outpatient treatment for U.S. veterans in the Philippines only for their
service-connected conditions.
The Veterans Benefits and Health Care Improvement Act of 2000
(P.L. 106-419). Enacted on November 1, 2000, P.L. 106-419 changed the amount
of monetary burial benefits that the VA will pay to survivors of veterans of the
Philippine Commonwealth Army and Recognized Guerrilla Forces who lawfully
reside in the United States at the time of death.
The Veterans Health Care, Capital Asset, and Business
Improvement Act of 2003 (P.L. 108-170). Enacted on December 6, 2003, P.L.
108-170 authorized the VA to provide hospital care, nursing home care, and
outpatient medical services to Filipino Commonwealth Army veterans, veterans of
Recognized Guerrilla Forces, and New Philippine Scouts. Currently, these groups
of veterans are eligible for hospital care, nursing home care, and outpatient medical
services within the United States.
The Veterans Benefits Act of 2003 (P.L. 108-183). Enacted on
December 16, 2003, P.L. 108-183 added service in the New Philippine Scouts as
qualifying service for payment of disability compensation, dependency, and
indemnity compensation (DIC) and monetary burial benefits at the full-dollar rate,
and provided for payment of DIC at the full-dollar rate to survivors of veterans of the
Philippine Commonwealth Army and Recognized Guerrilla Forces who lawfully
reside in the United States.
It should be noted that veterans of the U.S. Armed Forces have the same
entitlement to monetary benefits in the Philippines that they would have in the United
States, with the exception of home loans and related programs, which are not
available in the Philippines. Table 1 provides a summary of benefits currently
available to Filipino veterans and survivors by category of service (Regular
Philippine Scouts, Commonwealth Army of the Philippines, Recognized Guerilla
Forces, and New Philippine Scouts).
22 38 U.S.C. Section 1724(e). This clinic refers to the Manila VA Clinic, which is located
at 2201 Roxas Boulevard, Pasay City, Metro Manila, and not to the VMMC.

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Legislation in the 110th Congress
H.R. 760 and S. 57 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
— making them all fully eligible for VA benefits similar to those received by U.S.
veterans. H.R. 760 has been reported out of committee. S. 66 would require the
Secretary of the Army to validate claims by Filipinos that they performed military
service in the Philippine Islands during World War II that would qualify them for
benefits under U.S. law and issue a certificate of service.
S. 1315, as passed by the Senate, incorporates provisions from S. 57. S. 1315
would alter current law to deem certain service with Philippine forces during World
War II as active service and establish rates for the Improved Pension and the Death
Pension for veterans who served with the Philippine forces and their survivors living
outside the United States. Under the provisions of S. 1315, single Filipino veterans
living outside the United States would receive $3,600 a year, married veterans would
receive $4,500 a year, and veterans’ survivors would receive $2,400 a year.
However, under the bill, veterans living outside the United States who are eligible
for, or receiving, the Social Security benefit for World War II veterans living
overseas would not be not eligible for the new Improved Pension rates. The bill also
would not apply the current income or net worth limitations for the Improved Pension
and the Death Pension for veterans who served with the Philippine forces and their
survivors living outside the United States. In addition, the bill would not require any
veteran who served with the Philippine forces or their survivors receiving other
federal benefits at the time of enactment to apply for the Improved Pension or the
Death Pension if receiving the new benefits would make them ineligible for their
other federal benefits or reduce the amount of their other federal benefits. S. 1315
provides that disability compensation (for service-connected disabilities) will be paid
to all recipients at the same rate regardless of residence, while maintaining the
general payment rate of 50 cents per dollar for other benefits to Filipino veterans and
survivors living outside the United States.23 On September 22, 2008, the House
passed an amended version of S. 1315 that did not contain the Filipino benefit
provisions.
H.R. 6897, as passed by the House on September 23, 2008, would provide a
one-time payment to Filipino veterans who served in the Commonwealth Army of
the Philippines, Recognized Guerrilla Forces, and New Philippine Scouts. The
payment would be $15,000 for U.S. citizens and $9,000 for non-U.S citizens.
Payments are made from the Filipino Veterans Equity Compensation Fund and are
subject to funds being available (appropriated). P.L. 110-329 appropriates $198
million for the Filipino Veterans Equity Compensation Fund.
23 To offset the cost of the expanded pension benefits for Filipino veterans and survivors,
S. 1315 denies, to veterans over age 65 receiving the Improved Pension benefit, the special
monthly pension (for housebound or aid and attendance) unless the veteran also meets the
disability requirements for the Improved Pension program. This would overturn a decision
of the United States Court of Appeals for Veterans Claims in Hartness v. Nicholson, 20
VET. App. 216 (2006).

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Table 1. Filipino Veterans and Survivors, Eligibility for VA Benefits
Regular, or “Old,”
Commonwealth Army
Recognized
New Philippine Scouts
Philippine Scouts
of the Philippines
Guerrilla Forces
Living
Living
Living
Living
Living in
Outside
Living in
Outside
Living in
Outside
Living in
Outside
Veterans’ Benefit
the U.Sa
the U.S.
the U.Sa
the U.S.
the U.Sa
the U.S.
the U.Sa
the U.S.
Compensation for service-connected disability
Yes
Yes
Yes
Yesb
Yes
Yesb
Yes
Yesb
Dependency and Indemnity Compensation/DIC (survivors)
Yes
Yes
Yes
Yesb
Yes
Yesb
Yes
Yesb
Medical care
Yes
Noc
Yes
No
Yes
No
Yes
No
Education benefitsd
Yes
Yes
No
No
No
No
No
No
Education benefits for children
Yes
Yes
Yes
Yesb
Yes
Yesb
Yes
Yesb
Pension for nonservice-connected disability
Yes
Yes
No
No
No
No
No
No
Death pension (survivors)
Yes
Yes
No
No
No
No
No
No
Burial allowance
Yes
Yes
Yes
Yesb
Yes
Yesb
Yes
Yesb
Burial flag
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Burial in a national cemetery
Yes
Yes
Yes
No
Yes
No
Yes
No
Clothing allowance
Yes
Yes
Yes
Yesb
Yes
Yesb
Yes
Yesb
Guaranteed housing loans
Yes
Noe
No
No
No
No
No
No
Small business loans
Yes
Noe
No
No
No
No
No
No
Veterans Employment Training Service (VETS)f
Yes
Yesg
No
No
No
No
No
No
Adaptive housing grants
Yes
Noe
No
No
No
No
No
No
Adaptive vehicle grants
Yes
Yes
No
No
No
No
No
No
Source: Table prepared by the Congressional Research Service (CRS) based on information provided by the Department of Veterans Affairs.
Notes:
a. Living in the United States as a U.S. citizen or legal resident.
b. Benefit is paid at the rate of 50 cents per $1.
c. Regular or “Old” Philippine Scouts residing in the Philippines are only eligible for hospital care for treatment of service-connected conditions. In addition, they are authorized
to receive outpatient care in facilities other than the Manila VA Outpatient Clinic for service-connected conditions only. Finally, if they are service-connected, they are
eligible to receive care for service-connected and nonservice-connected conditions at the Manila VA Outpatient Clinic based on resources available at the clinic.
d. The time period for using education benefits has expired.
e. Certain benefits are not available to any U.S. veteran living overseas.
f. This program did not exist in 1946.
g. Must be enrolled in a degree granting college or university.

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