One Hundred Eleventh Congress of the United States of America 1st SessionBegun and held at the City of Washington on Tuesday, the sixth day of January, two thousand and nine S. 407 IN THE SENATE OF THE UNITED STATES AN ACT To amend title 38, United States Code, to provide for an increase, effective December 1, 2009, in the rates of compensation for veterans with service-connected disabilities and the rates of dependency and indemnity compensation for the survivors of certain disabled veterans, to codify increases in the rates of such compensation that were effective as of December 1, 2008, and for other purposes.

1.

Short title

This Act may be cited as the Veterans' Compensation Cost-of-Living Adjustment Act of 2009.

2.

Increase in rates of disability compensation and dependency and indemnity compensation

(a)

Rate adjustment

Effective on December 1, 2009, the Secretary of Veterans Affairs shall increase, in accordance with subsection (c), the dollar amounts in effect on November 30, 2009, for the payment of disability compensation and dependency and indemnity compensation under the provisions specified in subsection (b). (b)

Amounts To be increased

The dollar amounts to be increased pursuant to subsection (a) are the following: (1)

Wartime disability compensation

Each of the dollar amounts under section 1114 of title 38, United States Code. (2)

Additional compensation for dependents

Each of the dollar amounts under section 1115(1) of such title. (3)

Clothing allowance

The dollar amount under section 1162 of such title. (4)

Dependency and indemnity compensation to surviving spouse

Each of the dollar amounts under subsections (a) through (d) of section 1311 of such title. (5)

Dependency and indemnity compensation to children

Each of the dollar amounts under sections 1313(a) and 1314 of such title. (c)

Determination of increase

(1)

Percentage

Except as provided in paragraph (2), each dollar amount described in subsection (b) shall be increased by the same percentage as the percentage by which benefit amounts payable under title II of the Social Security Act (42 U.S.C. 401 et seq.) are increased effective December 1, 2009, as a result of a determination under section 215(i) of such Act (42 U.S.C. 415(i)). (2)

Rounding

Each dollar amount increased under paragraph (1), if not a whole dollar amount, shall be rounded to the next lower whole dollar amount. (d)

Special rule

The Secretary of Veterans Affairs may adjust administratively, consistent with the increases made under subsection (a), the rates of disability compensation payable to persons under section 10 of Public Law 85–857 (72 Stat. 1263) who have not received compensation under chapter 11 of title 38, United States Code. (e)

Publication of adjusted rates

The Secretary of Veterans Affairs shall publish in the Federal Register the amounts specified in subsection (b), as increased under subsection (a), not later than the date on which the matters specified in section 215(i)(2)(D) of the Social Security Act (42 U.S.C. 415(i)(2)(D)) are required to be published by reason of a determination made under section 215(i) of such Act during fiscal year 2010.

3.

Codification of 2008 cost-of-living adjustment in rates of disability compensation and dependency and indemnity compensation

(a)

Veterans' disability compensation

Section 1114 of title 38, United States Code, is amended— (1)in subsection (a), by striking $117 and inserting $123; (2)in subsection (b), by striking $230 and inserting $243; (3)in subsection (c), by striking $356 and inserting $376; (4)in subsection (d), by striking $512 and inserting $541; (5)in subsection (e), by striking $728 and inserting $770; (6)in subsection (f), by striking $921 and inserting $974; (7)in subsection (g), by striking $1,161 and inserting $1,228; (8)in subsection (h), by striking $1,349 and inserting $1,427; (9)in subsection (i), by striking $1,517 and inserting $1,604; (10)in subsection (j), by striking $2,527 and inserting $2,673; (11)in subsection (k)— (A)by striking $91 both places it appears and inserting $96; and (B)by striking $3,145 and $4,412 and inserting $3,327 and $4,667, respectively; (12)in subsection (l), by striking $3,145 and inserting $3,327; (13)in subsection (m), by striking $3,470 and inserting $3,671; (14)in subsection (n), by striking $3,948 and inserting $4,176; (15)in subsections (o) and (p), by striking $4,412 each place it appears and inserting $4,667; (16)in subsection (r), by striking $1,893 and $2,820 and inserting $2,002 and $2,983, respectively; and (17)in subsection (s), by striking $2,829 and inserting $2,993. (b)

Additional compensation for dependents

Section 1115(1) of such title is amended— (1)in subparagraph (A), by striking $142 and inserting $150; (2)in subparagraph (B), by striking $245 and $71 and inserting $259 and $75, respectively; (3)in subparagraph (C), by striking $96 and $71 and inserting $101 and $75, respectively; (4)in subparagraph (D), by striking $114 and inserting $120; (5)in subparagraph (E), by striking $271 and inserting $286; and (6)in subparagraph (F), by striking $227 and inserting $240. (c)

Clothing allowance for certain disabled veterans

Section 1162 of such title is amended by striking $677 and inserting $716. (d)

Dependency and indemnity compensation for surviving spouses

(1)

New law DIC

Section 1311(a) of such title is amended— (A)in paragraph (1), by striking $1,091 and inserting $1,154; and (B)in paragraph (2), by striking $233 and inserting $246. (2)

Old law DIC

The table in paragraph (3) of such section is amended to read as follows: Pay gradeMonthly ratePay gradeMonthly rate 1 If the veteran served as sergeant major of the Army, senior enlisted advisor of the Navy, chief master sergeant of the Air Force, sergeant major of the Marine Corps, or master chief petty officer of the Coast Guard, at the applicable time designated by section 1302 of this title, the surviving spouse's rate shall be $1,419. 2 If the veteran served as Chairman or Vice-Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army, Chief of Naval Operations, Chief of Staff of the Air Force, Commandant of the Marine Corps, or Commandant of the Coast Guard, at the applicable time designated by section 1302 of this title, the surviving spouse's rate shall be $2,643. E–1$1,154W–4$1,380 E–2$1,154O–1$1,219 E–3$1,154O–2$1,260 E–4$1,154O–3$1,347 E–5$1,154O–4$1,427 E–6$1,154O–5$1,571 E–7$1,194O–6$1,771 E–8$1,260O–7$1,912 E–9$1,3141O–8$2,100 W–1$1,219O–9$2,246 W–2$1,267O–10$2,4632 W–3$1,305 . (3)

Additional DIC for children or disability

Section 1311 of such title is amended— (A)in subsection (b), by striking $271 and inserting $286; (B)in subsection (c), by striking $271 and inserting $286; and (C)in subsection (d), by striking $128 and inserting $135. (e)

Dependency and indemnity compensation for children

(1)

DIC when no surviving spouse

Section 1313(a) of such title is amended— (A)in paragraph (1), by striking $462 and inserting $488; (B)in paragraph (2), by striking $663 and inserting $701; (C)in paragraph (3), by striking $865 and inserting $915; and (D)in paragraph (4), by striking $865 and $165 and inserting $915 and $174, respectively. (2)

Supplemental DIC for certain children

Section 1314 of such title is amended— (A)in subsection (a), by striking $271 and inserting $286; (B)in subsection (b), by striking $462 and inserting $488; and (C)in subsection (c), by striking $230 and inserting $243. (f)

Dependency and indemnity compensation payable to parents

Section 1315 is amended— (1)in subsection (b)— (A)in paragraph (1), by striking $163 and inserting $569; and (B)in paragraph (3), by striking $4,038 and inserting $13,456; (2)in subsection (c)— (A)in paragraph (1), by striking $115 and inserting $412; and (B)in paragraph (3), by striking $4,038 and inserting $13,456; (3)in subsection (d)— (A)in paragraph (1), by striking $109 and inserting $387; and (B)in paragraph (3), by striking $5,430 and inserting $18,087; and (4)in subsection (g), by striking $85 and inserting $308. (g)

Effective date

The amendments made by this section shall take effect on December 1, 2008.

Speaker of the House of Representatives Vice President of the United States and President of the Senate