Congressional Bills of Interest

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Senator John Warner's (R-VA) bill (S. 484) and  Rep. Tom Davis, (R-VA). bill (H.R. 994) would authorize federal civilian and military retirees to pay health insurance premiums on a pretax basis and allow active duty and retired military personnel to deduct certain supplemental premiums or enrollment fees for TRICARE Prime and dental programs. In spite of numerous co-sponsors the price tag of turning this into law is a difficult roadblock.


Combat-Related Special Compensation Act of 2006
S.2385, Harry Reed (D-NV) would extend eligibility for Combat-Related Special Compensation to service members who are medically retired for combat- or operations-related conditions before attaining 20 years of service. Currently, these members must forfeit $1 of their military retired pay for each $1 they receive in VA disability compensation. This would ensure they receive the retired pay they earned by service by exempting from this dollar-for-dollar offset an amount of retired pay equal to 2.5% of their highest 3-year average basic pay times their years of service.  For example, it would ensure a member who is disability retired for combat wounds with 15 years of service receives at least 37.5% of high-3 average basic pay from the Defense Department in addition to his or her VA disability compensation.

The Senate has passed a bill ending the deduction of VA survivor benefits from SBP when the members death is caused by military service.
Representative Chet Edwards (D-TX) sponsored a discharge petition on Representative Henry Brown's (R-SC) bill, House Resolution 808 on this issue.
If a majority of representatives sign the discharge petition, it will be brought to the floor of the House for a vote.

 An amendment sponsored by Sens. Saxby Chambliss, R-GA, Johnny Isakson, R-GA, and Richard Durbin, D-IL. would clarify veteran’s preference.
Some federal agencies have failed to consider qualified reservists for jobs requiring veterans preference because they have a release from active duty, rather than a "discharge" certificate, The amendment would remove the term "separated from" from the law's definition of eligible veterans, and would replace it with "discharged or released from active duty."

Defense Bill, Concurrent Receipt, SBP Fixes
The Senate has finally passed its version of the FY2006 Defense Authorization Bill (S. 1042), Now the House and Senate must get together to work out the difference between the Senate version and the House version of the bill (H.R. 1815). Some of the most significant Senate differences include:
*Sen. Bill Nelson's (D-FL) amendment to implement 30-year paid-up Survivor Benefit Plan (SBP) coverage and end the deduction of VA survivor benefits from SBP annuities when the member's death is caused by military service.
*Sen. Harry Reid's (D-NV) amendment to provide full, immediate concurrent receipt for disabled retirees rated "unemployable" by the VA, retroactive to Jan. 1, 2005.
*Sen. Lindsey Graham's (R-SC) amendment to authorize permanent, premium-based TRICARE coverage for all drilling Guard and Reserve members (and their families) who agree to continue in Selected Reserve status.

Senate Examines VA “Unemployability” Growth
Senators reviewed the sharp rise in the Veterans Administration’s Individual Unemployability (IU) disability rating at a Veterans Affairs Committee hearing.
Chairman Larry Craig (R-ID) said, Congress needs to better understand the IU management process and the extent to which VA pushes rehabilitation; whether VA follows up after granting the rating; and whether the rating encourages veterans not to return to work, which would disqualify them for the rating.
Senator Patty Murray (D-WA) expressed concern that the IU hearing might send the wrong signal - that expressions of skepticism about the unemployability rating system might stigmatize and deter deserving veterans from seeking help from the VA. She urged better access to VA medical and vocational-rehabilitation services. Murray also recommended increased funding and a hearing on transition
assistance, reemployment, and financial protections for troops.

The Committee learned that IU ratings had doubled since 1999, and that Vietnam-era veterans made up 40% of the total. The minimum requirement for consideration of an IU rating is 60% for a single disability or a combined 70% evaluation with at least one 40% disability.
VADM Dan Cooper, USN (Ret.), VA Benefits Undersecretary, said there was no single clear explanation for the increase in IU ratings. He noted a 384,000 increase (17%) in the overall number of VA disability ratings since 1999 and said the percentage of veterans with combined or multiple disabilities of 60% or higher had risen from 17% then to 29% today. About 221,000 veterans have an IU rating today.