[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9105 Introduced in House (IH)]
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119th CONGRESS
2d Session
H. R. 9105
To reinstate criminal penalties for persons charging veterans
unauthorized fees relating to claims for benefits under the laws
administered by the Secretary of Veterans Affairs, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 2, 2026
Mr. Pappas (for himself, Mr. Bacon, Ms. Bynum, Mr. Lawler, Ms. Norton,
Ms. Budzinski, Mr. Keating, Ms. Titus, Mr. Vindman, Mr. Panetta, and
Ms. Craig) introduced the following bill; which was referred to the
Committee on Veterans' Affairs, and in addition to the Committee on
Energy and Commerce, 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 reinstate criminal penalties for persons charging veterans
unauthorized fees relating to claims for benefits under the laws
administered by the Secretary of Veterans Affairs, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Stopping Abuse, Fraud, and
Exploitation by Governing Unaccredited Representatives Defrauding
Veterans Act of 2026'' or the ``SAFEGUARD Veterans Act of 2026''.
SEC. 2. REINSTATEMENT OF PENALTIES FOR CHARGING VETERANS UNAUTHORIZED
FEES RELATING TO CLAIMS FOR BENEFITS UNDER LAWS
ADMINISTERED BY THE SECRETARY OF VETERANS AFFAIRS.
(a) In General.--Section 5905 of title 38, United States Code, is
amended--
(1) in the section heading, by striking ``Penalty'' and
inserting ``Penalties'';
(2) by striking ``Whoever'' and inserting the following:
``(a) Withholding of Benefits.--Whoever''; and
(3) by adding at the end the following new subsections:
``(b) Charging of Unauthorized Fees.--Except as provided in
sections 5904 and 1984 of this title, whoever solicits, contracts for,
charges, or receives, or attempts to contract for, charge, or receive,
any fee or compensation with respect to the preparation, presentation,
or prosecution of any claim for a benefit under laws administered by
the Secretary shall be--
``(1) fined as provided in title 18, or imprisoned not more
than one year, or both; and
``(2) barred from recognition under this chapter by the
Secretary as an agent or attorney for the preparation,
presentation, or prosecution of a claim under laws administered
by the Secretary--
``(A) for a period of one year beginning on the
date of the first violation; and
``(B) for a period of 10 years beginning on the
date of each subsequent violation.
``(c) Recognition Required.--No person may assist a claimant in the
preparation, presentation, or prosecution of a claim under a law
administered by the Secretary, unless--
``(1) recognized by the Secretary under this chapter as an
agent or attorney for such purposes; or
``(2) acting under direct supervision of an agent or
attorney described in paragraph (1).
``(d) Definition of Preparation, Presentation, or Prosecution.--In
this section, the term `preparation, presentation, or prosecution'--
``(1) except as provided in paragraph (2), means any act
associated with filing a claim or appeal for a benefit under a
law administrated by the Secretary; and
``(2) does not include--
``(A) the provision of a medical opinion or
completion of a disability benefits questionnaire by a
private sector medical professional; or
``(B) the preparation of an expert opinion in
support of a claim or appeal.''.
(b) Proposed Rule.--Not later than 90 days after the date of the
enactment of this Act, the General Counsel of the Department of
Veterans Affairs shall initiate a rulemaking process for purposes of
administering section 5905 of such title and defining ``preparation,
presentation, or prosecution'', as amended by subsection (a).
(c) Effect on State Law.--The provisions of section 5905, as
amended by subsection (a), shall supersede any provisions of the law of
any State or Freely Associated State relating to the recognition of an
individual as an agent or attorney for the preparation, presentation,
or prosecution of a claim under a law administered by the Secretary of
Veterans Affairs, including with respect to provisions of law regarding
fee agreements or authority to charge for such services.
(d) Submission to Congress.--The Secretary shall include in
documents submitted to Congress in support of the President's budget
submitted pursuant to section 1105 of title 31, United States Code,
detailed estimates of the sums and staffing necessary to administer
chapter 59 of title 38, United States Code.
(e) Clerical Amendment.--The table of sections at the beginning of
chapter 59 of such title is amended by striking the item relating to
section 5905 and insert the following new item:
``5905. Penalties for certain acts.''.
SEC. 3. PROMOTION OF ASSISTANCE FROM PERSONS RECOGNIZED BY THE
SECRETARY OF VETERANS AFFAIRS FOR INDIVIDUALS WHO FILE
CERTAIN CLAIMS UNDER LAWS ADMINISTERED BY THE SECRETARY.
(a) Notice to Claimants of Available Assistance From Recognized
Persons.--Section 5103A of title 38, United States Code, is amended--
(1) by redesignating subsections (g) through (i) as
subsections (i) through (k), respectively;
(2) by inserting after subsection (f) the following new
subsections:
``(g) Notice Regarding Availability of Representation.--Upon
receipt of an initial claim by a claimant not represented by an
accredited person, the Secretary shall provide notice to the claimant
that--
``(1) provides the website address of the online tool
maintained under subsection (h); and
``(2) provides the website address of an appropriate and
publicly accessible website of the Department through which a
claimant may report--
``(A) a person, who is not an accredited person,
who represented the claimant; and
``(B) any fee charged by such person for such
representation.
``(h) Online List of Accredited, Suspended, or Excluded Persons.--
(1) The Secretary shall maintain an online tool that allows a claimant
to search a list of accredited persons and persons who are suspended or
excluded.
``(2) The Secretary shall ensure that the list required by
paragraph (1) is current at least once each calendar quarter.
``(3) The Secretary shall ensure that the online tool required by
paragraph (1) is easily accessible to a claimant.''; and
(3) by adding at the end the following new subsection:
``(l) Definitions.--In this section:
``(1) The term `accredited person' means--
``(A) a veterans service organization recognized
under section 5902 of this title; or
``(B) an individual recognized under section 5904
of this title.
``(2) The term `represent' means to prepare, present, or
prosecute a claim under a law administered by the Secretary on
behalf of a claimant.
``(3) The term `suspended or excluded' with respect to a
person means the Secretary has suspended or excluded the person
from practice before the Department under sections 5904(b) and
5905(b) of this title.''.
(b) Online Information Regarding Persons That Assist Claimants.--
(1) In general.--The Secretary of Veterans Affairs shall
include, in each website portal of the Department of Veterans
Affairs through which an individual may file a claim for a
benefit administered by the Secretary, a warning regarding fees
an agent or attorney may charge such individual for assistance
in filing such claim.
(2) Contents.--A warning under paragraph (1) shall include
the following:
(A) A link to the online tool maintained under
subsection (h) of section 5103A of such title, as
amended by subsection (a).
(B) A link to the website of the Department
described in subsection (g)(2) of such section, as
amended by subsection (a).
(c) Report.--Not later than 180 days after the date of the
enactment of this Act, the Secretary shall--
(1) complete a review of the regulations, processes, and
procedures of the Department of Veterans Affairs that pertain
to recognition under section 5904 of title 38, United States
Code;
(2) develop recommendations for legislative or
administrative action to improve such regulations, processes,
and procedures; and
(3) submit to the Committee on Veterans' Affairs of the
Senate and the Committee on Veterans' Affairs of the House of
Representatives a report containing the findings of the
Secretary with respect to the review completed under paragraph
(1) and the recommendations developed under paragraph (2).
SEC. 4. IMPROVE WARNINGS ABOUT POTENTIAL PREDATORY PRACTICES REGARDING
AGENTS AND ATTORNEYS FOR VETERANS CLAIMS.
(a) In General.--Section 5901(b) of title 38, United States Code,
is amended--
(1) in paragraph (1)--
(A) in the matter before subparagraph (A) by
striking ``, each time a claimant under a law
administered by the Secretary logs in to a website or
online tool of the Department, such website or online
tool issues to the claimant'' and inserting ``each
public-facing website and online tool of the Department
issues'';
(B) in subparagraph (A), by inserting ``, including
individuals lacking recognition by the Secretary as
described in subsection (a)'' after ``chapter'';
(C) in subparagraph (C), by striking ``; and'' and
inserting a semicolon;
(D) in subparagraph (D), by striking the period at
the end and inserting ``; and''; and
(E) by adding at the end the following new
subparagraph:
``(E) a message discouraging veterans from sharing their
Department account log-in credentials or bank account log-in
credentials, such as usernames or passwords, with anyone.'';
and
(2) by adding at the end the following new paragraph:
``(3) The Secretary shall carry out this subsection by acting
through the Chief Veterans Experience Officer.''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect on the date that is 180 days after the date of the
enactment of this Act.
SEC. 5. GATHERING INFORMATION ABOUT PERSONS CHARGING FOR ASSISTANCE OR
COACHING WITH FILING CLAIMS.
The Secretary of Veterans Affairs shall take such actions as may be
necessary to ensure that on any form that is used by the Department of
Veterans Affairs to accept a claim for a benefit under a law
administered by the Secretary includes--
(1) a question regarding whether the claimant was charged
for assistance or coaching by any person when gathering
information or filing the claim; and
(2) an option to name the person who provided such
assistance or coaching.
SEC. 6. DEPARTMENT OF VETERANS AFFAIRS ACCREDITATION SYSTEM.
The Secretary of Veterans Affairs shall establish a system for the
purposes of recognition of persons under chapter 59 of title 38, United
States Code, that--
(1) has 99.9 percent uptime, responsive, and accessible;
(2) enables agents and attorneys to certify that they have
met the requirements for recognition under such chapter;
(3) enables clients of agents and attorneys recognized
under such chapter to file complaints regarding such agents and
attorneys and to report violations described in paragraphs (1)
through (9) of section 5904(b) and section 5905(b) of such
title; and
(4) is integrated with systems used to administer section 3
of this Act and the amendments made by that section.
SEC. 7. RESTRICTIONS ON THE USE OF AUTOMATED TELEPHONE EQUIPMENT.
Section 227(b)(1) of the Communications Act of 1934 (47 U.S.C.
227(b)(1)) is amended--
(1) in subparagraph (C), by striking ``or'' at the end;
(2) in subparagraph (D), by striking the period at the end
and inserting ``; or''; and
(3) by adding at the end the following:
``(E) to make any call to a telephone number
assigned to a Federal department or agency if such call
is made by means of equipment that--
``(i) has the capacity, without further
human intervention after initial activation--
``(I) to make a series of repeated
calls to such number; and
``(II) to provide and receive
information by means of such calls; and
``(ii) is operated by any individual or
entity other than the individual or entity to
whom the information provided or received
during such call relates.''.
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