I 112th CONGRESS 1st Session H. R. 1979 IN THE HOUSE OF REPRESENTATIVES May 25, 2011 Mr. Andrews introduced the following bill; which was referred to the Committee on Armed Services, and in addition to the Committee on Veterans’ Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To amend title 10, United States Code, to expand eligibility for concurrent receipt of military retired pay and veterans’ disability compensation to include additional chapter 61 disability retirees, to coordinate eligibility for combat-related special compensation and concurrent receipt, to eliminate the reduction of SBP survivor annuities by dependency and indemnity compensation, and to enhance the ability of members of the reserve components who serve on active duty or perform active service to receive credit for such service in determining eligibility for early receipt of non-regular service retired pay.

1.

Eligibility for payment of both retired pay and veterans’ disability compensation for certain additional military retirees with compensable service-connected disabilities

(a)

Extension of Concurrent Receipt Authority to Retirees With Service-Connected Disabilities Rated Less Than 50 Percent

Subsection (a) of section 1414 of title 10, United States Code, is amended— (1)by striking Compensation in the subsection heading and all that follows through Subject and inserting Compensation.—Subject; and (2)by striking paragraph (2). (b)

Repeal of Phase-In of Concurrent Receipt of Retired Pay and Veterans’ Disability Compensation

Such section is further amended— (1)in subsection (a), as amended by subsection (a) of this section, by striking the final sentence; (2)by striking subsection (c) and redesignating subsections (d) and (e) as subsections (c) and (d), respectively; and (3)in subsection (d), as so redesignated, by striking paragraphs (3) and (4). (c)

Clerical Amendments

(1)

Section heading

The heading for section 1414 of such title is amended to read as follows:

1414.

Members eligible for retired pay who are also eligible for veterans’ disability compensation: concurrent payment of retired pay and disability compensation

. (2)

Table of sections

The item relating to such section in the table of sections at the beginning of chapter 71 of such title is amended to read as follows: 1414. Members eligible for retired pay who are also eligible for veterans’ disability compensation: concurrent payment of retired pay and disability compensation. . (d)

Effective Date

The amendments made by this section shall take effect as of January 1, 2012, and shall apply to payments for months beginning on or after that date.

2.

Coordination of service eligibility for combat-related special compensation and concurrent receipt

(a)

Eligibility for TERA Retirees

Subsection (c) of section 1413a of title 10, United States Code, is amended by striking “entitled to retired pay who—” and all that follows through the end of paragraph (1) and inserting “who— (1)is entitled to retired pay, other than a member retired under chapter 61 of this title with less than 20 years of service creditable under section 1405 of this title and less than 20 years of service computed under section 12732 of this title; and . (b)

Amendments To Standardize Similar Provisions

(1)

Clerical and conforming amendments

Section 1413a of such title is further amended— (A)in the heading for paragraph (3) of subsection (b), by striking rules and inserting rule; and (B)in subsection (f), by striking Subsection (d) and inserting Subsection (c). (2)

Specification of qualified retirees for concurrent receipt purposes

Section 1414 of such title, as amended by section 3, is amended— (A)in subsection (a)— (i)by striking a member or and all that follows through is entitled and inserting an individual who is a qualified retiree for any month is entitled; and (ii)by inserting retired pay and veterans’ disability compensation after both; and (B)in subsection (d), by adding at the end the following new paragraph: (3)

Qualified retiree

The term qualified retiree means a member or former member of the uniformed services who, with respect to any month— (A)is entitled to retired pay, other than in the case of a member retired under chapter 61 of this title with less than 20 years of service creditable under section 1405 of this title and less than 20 years of service computed under section 12732 of this title; and (B)is entitled to veterans’ disability compensation. . (3)

Standardization with crsc rule for chapter 61 retirees

Subsection (b) of section 1414 of such title is amended— (A)by striking Special Rules in the subsection heading and all that follows through is subject to and inserting Special Rule for Chapter 61 Disability Retirees.—In the case of a qualified retiree who is retired under chapter 61 of this title, the retired pay of the member is subject to; and (B)by striking paragraph (2). (c)

Effective Date

The amendments made by this section shall take effect as of January 1, 2012, and shall apply to payments for months beginning on or after that date.

3.

Repeal of requirement of reduction of SBP survivor annuities by dependency and indemnity compensation

(a)

Repeal

(1)

Repeal

Subchapter II of chapter 73 of title 10, United States Code, is amended as follows: (A)In section 1450, by striking subsection (c). (B)In section 1451(c)— (i)by striking paragraph (2); and (ii)by redesignating paragraphs (3) and (4) as paragraphs (2) and (3), respectively. (2)

Conforming amendments

Such subchapter is further amended as follows: (A)In section 1450— (i)by striking subsection (e); and (ii)by striking subsection (k). (B)In section 1451(g)(1), by striking subparagraph (C). (C)In section 1452— (i)in subsection (f)(2), by striking does not apply— and all that follows and inserting does not apply in the case of a deduction made through administrative error.; and (ii)by striking subsection (g). (D)In section 1455(c), by striking , 1450(k)(2),. (b)

Prohibition on Retroactive Benefits

No benefits may be paid to any person for any period before the effective date provided under subsection (f) by reason of the amendments made by subsection (a). (c)

Prohibition on recoupment of certain amounts previously refunded to SBP recipients

A surviving spouse who is or has been in receipt of an annuity under the Survivor Benefit Plan under subchapter II of chapter 73 of title 10, United States Code, that is in effect before the effective date provided under subsection (f) and that is adjusted by reason of the amendments made by subsection (a) and who has received a refund of retired pay under section 1450(e) of title 10, United States Code, shall not be required to repay such refund to the United States. (d)

Repeal of authority for optional annuity for dependent children

Section 1448(d)(2) of such title is amended— (1)by striking Dependent children.— and all that follows through In the case of a member described in paragraph (1), and inserting Dependent children.—In the case of a member described in paragraph (1),; and (2)by striking subparagraph (B). (e)

Restoration of eligibility for previously eligible spouses

The Secretary of the military department concerned shall restore annuity eligibility to any eligible surviving spouse who, in consultation with the Secretary, previously elected to transfer payment of such annuity to a surviving child or children under the provisions of section 1448(d)(2)(B) of title 10, United States Code, as in effect on the day before the effective date provided under subsection (f). Such eligibility shall be restored whether or not payment to such child or children subsequently was terminated due to loss of dependent status or death. For the purposes of this subsection, an eligible spouse includes a spouse who was previously eligible for payment of such annuity and is not remarried, or remarried after having attained age 55, or whose second or subsequent marriage has been terminated by death, divorce or annulment. (f)

Effective Date

This section and the amendments made by this section shall take effect on the later of— (1)October 1, 2011; or (2)the first day of the first month that begins after the date of the enactment of this Act.

4.

Elimination of fiscal year limitation in considering active duty and active service for early eligibility for receipt of non-regular service retired pay

(a)

Consideration of 90-Day periods of service

Section 12731(f)(2)(A) of title 10, United States Code, is amended by striking below 60 years of age by three months for each aggregate of 90 days on which such person so performs in any fiscal year after such date, subject to subparagraph (C) and inserting , subject to subparagraph (C), below 60 years of age by three months for each aggregate of 90 days on which such person serves on such active duty or performs such active service after such date. (b)

Retroactive effective date

The amendment made by subsection (a) shall take effect as of January 28, 2008, and as if included in the National Defense Authorization Act for Fiscal Year 2008 (Public Law 110–181) as enacted.