[Congressional Record Volume 140, Number 73 (Monday, June 13, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: June 13, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
BOARD OF VETERANS' APPEALS ADMINISTRATIVE PROCEDURES IMPROVEMENT ACT OF 
                                  1994

  Mr. MONTGOMERY. Mr. Speaker, I move to suspend the rules and pass the 
Senate bill (S. 1904) to amend title 38, United States Code, to improve 
the organization and procedures of the Board of Veterans' Appeals, as 
amended.
  The Clerk read as follows:

                                S. 1904

       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 ``Board of Veterans' Appeals 
     Administrative Procedures Improvement Act of 1994''.

     SEC. 2. NUMBER OF MEMBERS OF BOARD OF VETERANS' APPEALS.

       Section 7101(a) of title 38, United States Code, is amended 
     by striking out ``(not more than 65)''.

     SEC. 3. ETHICAL AND LEGAL LIMITATIONS ON CHAIRMAN.

       Section 7101(b)(1) of title 38 United States Code, is 
     amended by inserting after the first sentence the following 
     new sentence: ``The Chairman shall be subject to the same 
     ethical and legal limitations and restrictions concerning 
     involvement in political activities as apply to judges of the 
     United States Court of Veterans Appeals.''.

     SEC. 4. ACTING AND TEMPORARY MEMBERS OF BOARD OF VETERANS' 
                   APPEALS.

       (2) In General.--Subsection (c) of section 7101 of title 
     38, United States Code, is amended--
       (1) by striking out paragraph (1) and inserting in lieu 
     thereof the following:
       ``(1)(A) The Chairman may from time to time designate one 
     or more employees of the Department to serve as acting 
     members of the Board. Except as provided in subparagraph (B), 
     any such designation shall be for a period not to exceed 90 
     days, as determined by the Chairman.
       ``(B) An individual designated as an acting member of the 
     Board may continue to serve as an acting member of the Board 
     in the making of any determination on a proceeding for which 
     the individual was designated as an acting member of the 
     Board, notwithstanding the termination of the period of 
     designation of the individual as an acting member of the 
     Board under subparagraph (A) or (C).
       ``(C) An individual may not serve as an acting member of 
     the Board for more than 270 days during any one-year period.
       ``(D) At no time may the number of acting members exceed 20 
     percent of the total of the number of Board members and 
     acting Board members combined.'';
       (2) by striking out paragraph (2);
       (3) by redesignating paragraph (3) as paragraph (2); and
       (4) in paragraph (2), as so redesignated, by striking out 
     ``the number of temporary Board members'' and all that 
     follows through the period at the end and inserting in lieu 
     thereof ``the number of acting members of the Board 
     designated under such paragraph (1) during the year for which 
     the report is made.''.
       (b) Conforming Amendments.--(1) Subsection (e) of such 
     section is amended by striking out ``a temporary or'' and 
     inserting in lieu thereof ``an''.
       (2) Subsection (d)(3)(B) of such section is amended by 
     striking ``section 7103(d)'' and inserting in lieu thereof 
     ``section 7101(a)''.

     SEC. 5. CHAIRMAN'S ANNUAL REPORT ON BOARD ACTIVITIES.

       Section 7101(d)(2) of title 38, United States Code, is 
     amended--
       (1) by striking out ``and'' at the end of subparagraph (D);
       (2) by striking out the period at the end of subparagraph 
     (E) and inserting in lieu thereof ``; and''; and
       (3) by adding at the end the following new subparagraph:
       ``(F) the number of employees of the Department designated 
     under subsection (c)(1) to serve as acting members of the 
     Board during that year and the number of cases in which each 
     such member participated during that year.''.

     SEC. 6. DECISIONS BY THE BOARD.

       (a) Action by BVA.--Section 7102 and 7103 of title 38, 
     United States Code, are amended to read as follows:

     Sec. 7102. Assignment of members of Board

       ``(a) A proceeding instituted before the Board may be 
     assigned to an individual member of the Board or to a panel 
     of not less than three members of the Board. A member or 
     panel assigned a proceeding shall make a determination 
     thereon, including any motion filed in connection therewith. 
     The member or panel, as the case may be, shall make a report 
     under section 7104(d) of this title on any such 
     determination, which report shall constitute the final 
     disposition of the proceeding by the member or panel.
       ``(b) A proceeding may not be assigned to the Chairman as 
     an individual member. The Chairman may participate in a 
     proceeding assigned to a panel or in a reconsideration 
     assigned to a panel of members.

     ``Sec. 7103. Reconsideration; correction of obvious errors

       ``(a) The decision of the Board determining a matter under 
     section 7102 of this title is final unless the Chairman 
     orders reconsideration of the decision in accordance with 
     subsection (b). Such an order may be made on the Chairman's 
     initiative or upon motion of the claimant.
       ``(b)(1) Upon the order of the Chairman for reconsideration 
     of the decision in a case, the case shall be referred--
       ``(A) in the case of a matter originally heard by a single 
     member of the Board, to a panel of not less than three 
     members of the Board; or
       ``(B) in the case of a matter originally heard by a panel 
     of members of the Board, to an enlarged panel of the Board.
       ``(2) A panel referred to in paragraph (1) may not include 
     the member, or any member of the panel, that made the 
     decision subject to reconsideration.
       ``(3) A panel reconsidering a case under this subsection 
     shall render its decision after reviewing the entire record 
     before the Board. The decision of the panel shall be made by 
     a majority vote of the members of the panel. The decision of 
     the panel shall constitute the final decision of the Board.
       ``(c) The Board on its own motion may correct an obvious 
     error in the record, without regard to whether there has been 
     a motion or order for reconsideration.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 71 of such title is amended by striking 
     out the item relating to section 7103 and inserting in lieu 
     thereof the following:
``7103. Reconsideration; correction of obvious errors.''.
       (a) In General.--(1) Section 7107 of title 38, United 
     States Code, is amended to read as follows:

     ``Sec. 7107. Appeals: dockets; hearings

       ``(a)(1) Each case received pursuant to application for 
     review on appeal shall be considered and decided in regular 
     order according to its place upon the docket.
       ``(2) A case referred to in paragraph (1) may, for cause 
     shown, be advanced on motion for earlier consideration and 
     determination. Any such motion shall set forth succinctly the 
     grounds upon which it is based and may not be granted unless 
     the case involves interpretation of law of general 
     application affecting other claims or for other sufficient 
     cause shown.
       ``(b) The Board shall decide any appeal only after 
     affording the appellant an opportunity for a hearing.
       ``(c) A hearing docket shall be maintained and formal 
     recorded hearings shall be held by such member or members of 
     the Board as the Chairman may designate. Such member or 
     members designated by the Chairman to conduct the hearing 
     shall, except in the case of a reconsideration of a decision 
     under section 7103 of this title, participate in making the 
     final determination of the claim.
       ``(d)(1) An appellant may request that a hearing before the 
     Board be held at its principal location or at a facility of 
     the Department located within the area served by a regional 
     office of the Department.
       ``(2) A hearing to be held within an area served by a 
     regional office of the Department shall (except as 
     provided in paragraph (3)) be scheduled to be held in the 
     order in which requests for hearings within that area are 
     received by the Department.
       ``(3) In a case in which the Secretary is aware that the 
     appellant is seriously ill or is under severe financial 
     hardship, a hearing may be scheduled at a time earlier than 
     would be provided for under paragraph (2).
       ``(e)(1) At the request of the Chairman, the Secretary may 
     provide suitable facilities and equipment to the Board or 
     other components of the Department to enable an appellant 
     located at a facility within the area served by a regional 
     office to participate, through voice transmission or through 
     picture and voice transmission, by electronic or other means, 
     in a hearing with a Board member or members sitting at the 
     Board's principal location.
       ``(2) When such facilities and equipment are available, the 
     Chairman may afford the appellant an opportunity to 
     participate in a hearing before the Board through the use of 
     such facilities and equipment in lieu of a hearing held by 
     personally appearing before a Board member or panel as 
     provided in subsection (d). Any such hearing shall be 
     conducted in the same manner as, and shall be considered the 
     equivalent of, a personal hearing. If the appellant declines 
     to participate in a hearing through the use of such 
     facilities and equipment, the opportunity of the appellant to 
     a hearing as provided in such subsection (d) shall not be 
     affected.''.
       (2) The item relating to section 7107 in the table of 
     sections at the beginning of chapter 71 of such title is 
     amended to read as follows:

``7107. Appeals: dockets; hearings.''.

       (b) Conforming Amendments.--(1) Section 7104(a) of such 
     title is amended by striking out the third sentence.
       (2) Section 7110 of such title is repealed.
       (3) The table of sections at the beginning of chapter 71 of 
     such title is amended by striking out the item relating to 
     section 7110.

     SEC. 8. CROSS-REFERENCE CORRECTION.

       Section 7104(a) of title 38, United States Code, is amended 
     by striking out ``211(a)'' and inserting in lieu thereof 
     ``511(a)''.

     SEC. 9. REVISION TO INCOME VERIFICATION REQUIREMENTS.

       (a) Parents DIC.--Section 1315(e) of title 38, United 
     States Code, is amended--
       (1) in the first sentence--
       (A) by striking out ``shall'' and inserting in lieu thereof 
     ``may''; and
       (B) by striking out ``each year'' and inserting in lieu 
     thereof ``for a calendar year''; and
       (2) in the second sentence--
       (A) by striking out ``file with the Secretary a revised 
     report'' and inserting in lieu thereof ``notify the 
     Secretary''; and
       (B) by striking out ``the estimated''.
       (b) Pension.--Section 1506 of such title is amended--
       (1) in paragraph (2)--
       (A) by striking out ``shall'' and inserting in lieu thereof 
     ``may''; and
       (B) by striking out ``each year'' and inserting in lieu 
     thereof ``for a calendar year''; and
       (2) in paragraph (3)--
       (A) by striking out ``file a revised report'' and inserting 
     in lieu thereof ``notify the Secretary'';
       (B) by striking out ``estimated'' each place is appears; 
     and
       (C) by striking out ``such applicant's or recipient's 
     estimate of''.
  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Mississippi [Mr. Montgomery] will be recognized for 20 minutes, and the 
gentleman from Arizona [Mr. Stump] will be recognized for 20 minutes.
  The Chair recognizes the gentleman from Mississippi [Mr. Montgomery].

                              {time}  1220

  Mr. MONTGOMERY. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, this measure reflects a compromise agreement between the 
House and Senate Veterans' Affairs Committees on urgently needed 
legislation that will allow the VA's Board of Veterans' Appeals to 
operate in a more efficient manner.
  Last November, as part of H.R. 3400, the reinventing Government 
legislation proposed by the administration, the committee favorably 
reported, and the House passed, a number of provisions that are similar 
to those embodied in the compromise agreement.
  Mr. Speaker, according to the VA, there is a growing backlog of 
pending appeals which, without our actions, will become much worse. 
Right now, there are about 40,000 appeals pending before the Board. A 
veteran filing an appeal today would have to wait over to 2 years for a 
decision. That is not right, and we need to act to reduce that time.
  The compromise we have worked out with our colleagues in the other 
body will permit individual Board members to decide veterans' appeals. 
The law now requires that all cases be decided by a panel of members. 
The VA believes such a change will result in a 25-percent improvement 
in the Board's productivity.
  The agreement also lifts the current 65-member cap on the number of 
BVA Board members. This will allow the Board to grow to a size 
necessary to conduct hearings and dispose of appeals properly before 
the Board in a timely manner, as the law requires.
  The agreement also authorizes the chairman of the Board to develop 
and utilize new means for conducting hearings on appeals, including use 
of video conferencing, to reduce delays in scheduling hearings and to 
make it easier for veterans to present their cases at hearings closer 
to their homes.
  Finally, the agreement relaxes current requirements in law regarding 
the submission of annual income questionnaires for means-tested 
programs such as VA pension. In about 75 percent of these cases, the VA 
can now verify an individual's income to determine eligibility for 
these benefits through the Internal Revenue Service.
  There follows a joint explanatory statement which reflects the 
agreement between the committees:

                 Joint Explanatory Statement on S. 1904

       S. 1904 reflects a compromise agreement that the Senate and 
     House of Representatives Committees on Veterans' Affairs have 
     reached on certain bills considered in the Senate and the 
     House of Representatives during the 103d Congress. These are 
     Subtitle D of Title XII of H.R. 3400, which the House passed 
     on November 22, 1993 (hereinafter referred to as ``House 
     bill''), and S. 1904, which the Senate passed on April 21, 
     1994 (hereinafter referred to as ``Senate bill'').
       The Committees on Veterans' Affairs of the Senate and House 
     of Representatives have prepared the following explanation of 
     S. 1904 as amended (hereinafter referred to as the 
     ``compromise agreement''). Differences between the provisions 
     contained in the compromise agreement on the related 
     provisions in the above-mentioned bills are noted in this 
     document, except for clerical corrections, conforming changes 
     made necessary by the compromise agreement, and minor 
     drafting, technical, and clarifying changes.


            number of members of board of veterans' appeals

                              Current law

       Section 7101(a) of title 38, United States Code, specifies 
     that the Board of Veterans' Appeals may be comprised of more 
     than 65 members in addition to the Chairman and Vice 
     Chairman.

                               House bill

       Section 12301(a) of the House bill would revise and restate 
     the provisions of section 7101(a) of title 38. As part of 
     that revision, section 12301(a) would eliminate the 65-member 
     limitation on the number of members who can serve on the 
     Board of Veterans' Appeals in addition to the Chairman and 
     Vice Chairman. In addition, the House bill would codify the 
     position of Deputy Vice Chairman of the Board, to be 
     designated by the Chairman.

                              Senate bill

       Section 1(a) would delete the language in section 7101(a) 
     which provides that the number of Board members, in addition 
     to the Chairman and Vice Chairman, may not exceed 65.

                          Compromise agreement

       Section 2 follows the Senate bill.


               ethical and legal limitations on chairman

                              Current law

       Provisions relating to the Chairman of the Board of 
     Veterans' Appeals (hereinafter referred to as ``Chairman'') 
     are found in section 7101 of title 38. There are no 
     provisions in current law that place ethical or legal 
     limitations or restrictions on the Chairman specifically with 
     respect to political activities.

                               House bill

       Section 12301(b) would provide that the Chairman of the 
     Board is subject to the same ethical and legal limitations 
     and restrictions regarding involvement in political 
     activities as judges on the United States of Veterans 
     Appeals. These limitations and restrictions are found in 
     Canon 7--A Judge Should Refrain from Political Activity--of 
     the Codes of Conduct for Judges and Judicial Employees, 
     issued by the Judicial Conference of the United States.

                              Senate bill

       No provision.

                          Compromise agreement

       Section 3 follows the House bill.


     acting and temporary members of the board of veterans' appeals

                              Current law

       Section 7102(a)(2)(A) authorizes the Chairman to designate 
     an employee of the Department of Veterans Affairs 
     (hereinafter referred to as ``Department'' or ``VA'') to 
     serve as an acting member on a section of the Board, for a 
     period not to exceed 90 days. The Chairman may designate an 
     acting member to serve on a section if the section is 
     composed of fewer than three members due to the absence of a 
     member, a vacancy on the Board, or the inability of a member 
     assigned to the section to serve on that section. Under 
     section 7102(a)(2)(B), an acting member may not serve for 
     more than 270 days in any 12-month period.
       Section 7101(c) authorizes the Chairman to designate 
     Department employees to serve as temporary members for a 
     period of not more than 1 year. Temporary members may be 
     designated when there are fewer than 65 members of the Board 
     and may not serve for more than 24 months during any 48-month 
     period.

                               House bill

       As part of a revision of section 7101, section 12301(c) of 
     the House bill would remove the limitation on the period of 
     time acting members are allowed to serve and would remove the 
     authority of the Chairman to designate temporary members.

                              Senate bill

       Section 1(b) would amend section 7101(c) to eliminate the 
     authority to designate temporary members. The provision 
     authorizing the Chairman to designate acting members would be 
     amended and moved from section 7102 to 7101. The new section 
     7101 provision would be substantively identical to the 
     current provision in section 7102 governing acting members, 
     limiting such service to 90 days at a time and a total of no 
     more than 270 days during any 1-year period. The new section 
     7101 would add a provision to permit an acting member to 
     continue to serve in that capacity, notwithstanding the time 
     limitations, with respect to any proceedings for which the 
     acting member was designated.

                          Compromise agreement

       Section 4 follows the Senate bill, with an amendment 
     limiting the number of acting members who can serve at any 
     time to 20 percent of the total number of regular and acting 
     Board members combined.


              chairman's annual report of board activities

                              Current law

       Section 529 of title 38 requires the Secretary of Veterans 
     Affairs (hereinafter referred to as ``Secretary'') to submit 
     an annual report to Congress including a financial 
     accounting, a description of all work accomplished by the 
     Department, and the activities of the Department during that 
     fiscal year. Section 7101(c)(3) requires the Secretary to 
     include in this report the number of temporary and acting 
     Board members designated during the fiscal year covered by 
     the report.
       Section 7101(d) requires the Chairman to prepare a report, 
     to be submitted with the Secretary's budget request to 
     Congress, at the end of each fiscal year on the activities of 
     the Board during that year and the projected activities for 
     the fiscal year in which the report is prepared and the 
     following fiscal year. Section 7101(d) does not require the 
     Chairman to include any information concerning acting or 
     temporary members designated during the year covered in the 
     report.

                               House bill

       Section 12301(d) would remove the requirement that the 
     Secretary include information concerning temporary members in 
     the annual report to Congress, to conform with the removal of 
     the authority to designate temporary members. Section 
     12301(e) would require that the Chairman's annual report 
     include the names of acting Board members designated during 
     the year and the number of cases in which each acting member 
     participated.

                              Senate bill

       Section 1(b) would remove the requirement that the 
     Secretary include information concerning temporary members in 
     the annual report to Congress. Section 1(c) would require the 
     Chairman's annual report to include only the number of acting 
     members designated during the year and the number of cases in 
     which each acting member participated.

                          Compromise agreement

       Section 5 follows the Senate bill.


                         decisions by the board

                              Current law

       Section 7102(a)(1) authorizes the Chairman to divide the 
     Board into sections of three members and assign members to 
     the sections.
       Section 7102(c) provides that the Chairman will assign 
     proceedings to sections of the Board. A section will make a 
     decision concerning any proceeding assigned to the 
     section, including any decision regarding motions filed in 
     connection with such a proceeding, and make a report of 
     the section's decision, which will be the final 
     disposition of the proceeding.
       Section 7103(a) states that a decision of the majority of 
     the section will be the decision of the section, which is 
     final unless the Chairman orders reconsideration of the case.

                               House bill

       Section 12302(a) would amend section 7102 to authorize 
     assignment of a proceeding to an individual Board member or 
     to a panel of Board members, other than the Chairman, who 
     would render a decision on the proceeding and make a report 
     on the determination. Section 12302(a) would provide that 
     decisions of a panel are to be made by a majority of the 
     members of the panel.

                              Senate bill

       Section 1(d) is substantively similar to section 12302(a) 
     of the House bill, except that it would specify that a panel 
     must consist of at least three members and it would not 
     exclude the Chairman from participating in a decision on a 
     proceeding, either individually or on a panel.

                          Compromise agreement

       Section 6 would authorize assignment of a proceeding to an 
     individual Board member or to a panel consisting of at least 
     three members. The Chairman would be permitted to participate 
     in a proceeding or reconsideration of a decision, but only as 
     a member of a panel.


                            reconsideration

                              Current law

       Section 7103(b) provides that when the Chairman orders 
     reconsideration of a case, the decision on reconsideration is 
     made by an expanded section of the Board. A decision of the 
     majority of the expanded section is final.

                               House bill

       Section 12302(a) would require that after the Chairman 
     orders reconsideration of a case, the matter must be referred 
     to a panel of at least three members where the original 
     decision was rendered by an individual member, and to an 
     enlarged panel where the original decision on appeal was 
     rendered by a panel of members. This section would prohibit 
     the original decisionmakers from participating in the 
     reconsideration. The decision of a majority of the members of 
     the reconsideration panel would be final.

                              Senate bill

       Section 1(d) is substantively identical to the House bill.

                          Compromise agreement

       Section 6 of the compromise agreement contains this 
     provision.


                                hearings

                              Current law

       Section 7102(b) provides that a hearing docket will be 
     maintained and that hearings will be held by the member or 
     members designated by the Chairman, who must be a member or 
     members of the section which will make the final decision in 
     the case. Section 7104(a) states that the Board must afford a 
     claimant the opportunity for a hearing before a decision is 
     rendered in the case. Section 7110 provides that a claimant 
     may request a hearing before a traveling section of the 
     Board, to be held at a location within the area served by a 
     regional office of the Department. Hearings before a 
     traveling section of the Board are scheduled in the order in 
     which the requests for such hearings in a particular area are 
     received by the Department. Section 7107 governs the 
     docketing of appeals.

                               House bill

       Section 12304 would amend the heading of section 7110 to 
     reflect that it contains all provisions governing hearings. 
     This section would make it clear that an appellant may 
     request a hearing at the Board's principal location in 
     Washington, D.C., or at a regional office of the Department. 
     Section 12304 also would add authority for the Board to 
     schedule a hearing at a time earlier than it would otherwise 
     be held, if the claimant is seriously ill or is under severe 
     financial hardship. This section also would provide authority 
     for the Secretary to provide facilities and equipment to the 
     Board for purposes of allowing an appellant located at a 
     facility in an area served by a regional office to 
     participate in a hearing with a Board member who is at the 
     Board's principal location, through voice transmission or 
     picture and voice transmission, by electronic or other 
     means. This section also would require, however, that the 
     appellant be given the opportunity for a hearing in 
     Washington, D.C. or before a traveling member of the 
     Board, if the appellant chooses either method over a 
     hearing through the use of electronic means.

                              Seante bill

       With respect to hearings, section 1(e) contains 
     substantively identical provisions as in the House bill. 
     However, section 1(e) would repeal section 7110 and would 
     move the hearing provisions to section 7107, thereby 
     combining the provisions governing the docketing of appeals 
     and the scheduling of hearings into one section. Provisions 
     of existing section 7107 would remain substantively the same. 
     Provisions relating to hearings in existing sections 7102, 
     7104, and 7110 would be included in the amended section 7107. 
     The Senate bill would provide that hearings held before a 
     traveling member or members of the Board would be held at a 
     location within the area served by a regional office of the 
     Department, not necessarily at the regional office.

                          Compromise agreement

       Section 7 follows the Senate bill, except that with respect 
     to hearings held before a traveling member of members of the 
     Board, it would specify that such hearings would be held at a 
     facility of the Department in the area served by a regional 
     office of the Department. In addition, section 7 would add an 
     exception to the requirement that the hearing be held before 
     a member or members of section that will make the final 
     determination, to exclude cases in which the Chairman orders 
     reconsideration. Section 7 also would remove a redundant 
     provision in 7104(a), which states that the Board will make a 
     decision in a case only after the appellant has been given 
     the opportunity for a hearing. Under section 7 of the bill, 
     that requirement would appear in amended section 7107.


  annual income questionnaires for recipients of pension and parents' 
                 dependency and indemnity compensation

                              Current law

       Section 1506 of title 38 directs VA to require annual 
     income reports for purposes of pension eligibility. Any 
     applicant for or recipient of VA pension must file with VA a 
     report containing information on the individual's annual 
     income received during the previous year and on the corpus of 
     the individual's estate at the end of the year, as well as 
     the income and estate of any spouse or dependent child. The 
     report must also contain an estimate of the individual's 
     income for the current year and any expected increase in the 
     value of the corpus of his or her estate.
       For a surviving child, in addition to the above 
     information, the report must include an estimate of the 
     current year's annual income and any expected increase in the 
     value of the corpus of the estate of any person who is 
     legally responsible for the support of the child and with 
     whom the child is residing.
       Section 1506 also requires that any applicant or recipient 
     of pension, or any person who is legally responsible for the 
     support of a surviving child applying for or receiving 
     pension, must promptly file a revised report whenever there 
     is a material change in estimated annual income or in the 
     estimated value of the corpus of that individual's estate.
       Section 1315(e) directs VA to require an annual income 
     report as a condition of an award or of continuation of 
     parents' dependency and indemnity compensation (DIC), except 
     in the case of a parent who has reached the age of 72 and has 
     been receiving DIC during 2 consecutive calendar years. The 
     report must show the total income expected in that year and 
     the total income received in the previous year. The recipient 
     must file a revised report whenever there is a material 
     change in estimated annual income.

                               House bill

       Section 12305 would amend section 1506 to eliminate the 
     statutory requirement for income reports for purposes of 
     pension eligibility, thereby giving VA discretionary 
     authority to require the submission of income questionnaires. 
     Section 12305 would also amend section 1506 to provide that 
     when there is any change in income or in the value of the 
     corpus of the individual's estate, the individual would be 
     required to notify VA of the change, rather than file a 
     revised income report.

                              Senate bill

       No provision.

                          Compromise agreement

       Section 9 includes the provision in the House bill, with a 
     minor technical amendment.
       Section 9 of the compromise agreement also includes a 
     provision that would eliminate the statutory requirement for 
     income reports for purposes of eligibility for parents' DIC, 
     thereby giving VA discretionary authority to require the 
     submission of an income report.

  Mr. Speaker, the provisions contained in the bill, as amended, is 
strongly supported by the administration and I urge my colleagues to 
support the agreement we have reached with the other body.
  Mr. Speaker, I reserve the balance of my time.
  Mr. STUMP. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. STUMP asked and was given permission to revise and extend his 
remarks.)
  Mr. STUMP. Mr. Speaker, I rise in strong support of the amendment in 
the nature of a substitute to S. 1904, the Board of Veterans' Appeals 
Administrative Procedures Improvement Act of 1994.
  I commend Chairman Montgomery for his leadership in quickly bringing 
this needed bill to the floor.
  Also, I commend Mr. Slattery, the chairman, and Mr. Bilirakis, the 
ranking minority member, of the Subcommittee on Compensation, Pension 
and Insurance for their hard work in crafting the compromise with the 
other body which led to this bill.
  I urge my colleagues to support our bipartisan effort to help reduce 
the rapidly growing backlog of appeals at the VA's Board of Veterans 
Appeals.
  Mr. Speaker, at the rate appeals are piling up at the VA's Board of 
Veterans Appeals, by the end of the next fiscal year, veterans could be 
faced with the prospect of waiting up to 6 years to have their claims 
appeals decided. Of course, it is preposterous to expect that kind of a 
wait for a veteran appealing some aspect of the Government's decision 
on a claim for a service-connected disability or some other benefit to 
which the veteran may be entitled.
  The amendment in the nature of a substitute to S. 1904 would allow a 
number of structural and operational improvements for the Board without 
requiring any additional funding. Possibly the most important change 
would be to allow decisions on appeals by single members of the Board. 
Current law requires three member decisions. It is not a panacea, but 
it should at least improve an unacceptable situation by reducing the 
number of required decisionmakers for each claim in the appeal process.
  My colleagues should bear in mind that this legislation would not by 
itself solve the problems at the Board of Veterans Appeals. The Board 
desperately needs more staff to handle the volume of appeals and I 
intend to continue to press for funding to expand the Board's staff.
  Mr. Speaker, I am pleased the differences on this legislation could 
be worked out in a very constructive fashion with the other body. S. 
1904 has moved more quickly than anything else for veterans that I can 
recall in the past several years, and hopefully we can follow suit with 
other needed veterans legislation as well.
  Mr. Speaker, I yield such time as he may consume to the gentleman 
from Florida [Mr. Goss].
  (Mr. GOSS asked and was given permission to revise and extend his 
remarks.)
  Mr. GOSS. Mr. Speaker, I thank the distinguished ranking member, Mr. 
Stump from Arizona, for yielding me this time.
  Mr. Speaker, I rise in very strong support of S. 1904. The world has 
just witnessed a very moving and well-deserved tribute to the heroes of 
D-day. President Clinton and a very large entourage of distinguished 
people visited Normandy to visibly underscore and reconfirm the 
gratitude that our Nation owes.
  We all saluted all veterans of all wars for the enormous sacrifice 
and the honor which they deserve, which comes from their service for 
our Nation. But our words are really only as good as the deeds we apply 
to back them up. And it remains to be very disturbing that there are 
still huge gaps in the coverage and care we reasonably should provide 
our Nation's veterans, including outpatient clinics, nursing homes, and 
other promised services.
  Today, this House considers legislation to address one small part of 
a big problem, the growing backlog of claims now pending before the 
Board of Veterans' Appeals. I urge all colleagues to support S. 1904, 
because the current bureaucracy in the veterans compensation system has 
gotten out of hand. In fact, that is an understatement. It has gotten 
out of sight.
  The average appeal in the DVA in Florida now takes more than 1 year, 
and sometimes 2 years, to resolve. These are legitimate claims, and 
this is not just Florida, I am sure. It is elsewhere in our country, as 
I understand the testimony has indicated. Meanwhile, the lives of 
veterans who served our country in its highest calling are being put on 
hold until this bureaucracy deals with it somehow.
  I have written Secretary Brown about this matter, and I am very happy 
to be standing here today to commend the work of the gentleman from 
Mississippi [Mr. Montgomery], the chairman, and the gentleman from 
Arizona [Mr. Stump], the ranking member, and all the members who 
participated in this. Colleagues in the other body we know brought this 
legislation back.
  It is great we have got a beginning to solving this problem. There is 
no question that we should have done this some time ago, but the fact 
that we are doing it today appears to me that we are going in the right 
direction and there is some hope.
  The gentleman from Mississippi [Mr. Montgomery] has outlined most of 
the improvements that are there: Streamlining eligibility, making the 
system work for the veterans rather than working against them.
  As I recall, the Board of Veterans' Appeals was established to give 
our Nation's veterans the due process all Americans expect from their 
Government, plus to give the veterans the benefits of the doubt, which 
at the very least we owe them in our Nation.
  Certainly S. 1904 is not going to solve all these problems, but it 
should help our veterans get better treatment as they seek to collect 
on the benefits they have earned and they deserve.
  As I stand here today, and I think back, was it only a week ago that 
President Clinton reminded us of the valor of these men and women? Dare 
we forget that, today or ever.
  Mr. STUMP. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I thank the gentleman from Florida for his statement. 
Once again, I thank the chairman of the committee, my good friend, the 
gentleman from Mississippi [Mr. Montgomery], for the hard work he does 
on behalf of the veterans and leadership he provides on this committee.
  Mr. Speaker, I yield back the balance of my time.
  Mr. MONTGOMERY. Mr. Speaker, I yield myself 1 minute.
  I would like to thank the ranking minority member, the gentleman from 
Arizona [Mr. Stump], for helping us bring this legislation to the 
floor. It certainly will, we believe, close up the time now that a 
veteran has to wait on compensation and pension claims, and also the 
subcommittee chairman, the gentleman from Kansas [Mr. Slattery], and 
also the ranking minority member on that committee, the gentleman from 
Florida. [Mr. Bilirakis], that this bill is here today.
  To the gentleman from Florida [Mr. Goss], we know the problems in 
Florida with veterans. More veterans are moving into Florida than any 
other State. Older veterans are following the sun and going to Florida. 
We did in our veterans construction bill have more funds for Florida 
for the different projects, so we know about Florida. We are trying to 
do our best.
  Mr. GOSS. Mr. Speaker, if the distinguished chairman will yield for 
the purpose of me acknowledging that indeed we are most grateful for 
the efforts of the distinguished chairman and the ranking member to try 
and cope with a program and problem in Florida that we all now 
understand is out of control, we are most grateful for the efforts you 
have made on our behalf.
  Mr. BILIRAKIS. Mr. Speaker, throughout the 103d Congress, the 
Veterans' Subcommittee on Compensation, Pension, and Insurance has held 
numerous hearings on the problems plaguing the VA claims processing 
system. I would like to take this opportunity to commend subcommittee 
chairman, Jim Slattery, for his attention to this important matter. 
Also. I wish to thank full committee Chairman Montgomery and ranking 
minority member Bob Stump for bringing S. 1904 to House floor so 
quickly.
  Earlier this year, the Chairman of the Board of Veterans' Appeals, 
Charles Cragin, testified that, based on the statistics from the first 
quarter of fiscal year 1994, the Board was looking at an averaging 
response time of 2,397 days by the end of fiscal year 1995. Clearly, a 
response time of 6\1/2\ years is unacceptable. The Nation's veterans 
deserve to have their cases resolved in a timely manner.
  Therefore, I am pleased that we are taking the first steps toward 
improving the claims process by addressing the current claims backlog 
at the Board of Veterans' Appeals [BVA]. S. 1904 contains numerous 
changes that will hopefully allow the BVA to operate more effectively.
  S. 1904 will provide the Board with greater flexibility to deal with 
its large volume of pending claims. For example, the legislation 
removes the current 65-member limitation on the number of members who 
can serve on the Board of Veterans' Appeals. S. 1904 also provides 
authority for single member decisions--a change which should 
significantly increase the productivity of the Board.
  Current law requires the VA to require annual income reports for 
purposes of eligibility for a pension or parents' dependency and 
indemnity compensation [DIC]. S. 1904 eliminates this statutory 
requirement for income reports, giving VA discretionary authority to 
require the submission of income questionnaires. The elimination of the 
income reports will free up VBA employees to handle veterans' claims.
  While S. 1904 is a step in the right direction, I believe more must 
been done. At the end of March, three more Board members resigned from 
the Board in order to accept administrative law judge [ALJ] positions 
with the Social Security Administration. This means that, since July 
1993, a total of six Board members have left BVA for ALJ positions. 
Overall, in the last 8 months the Board has lost approximately 10 
percent of its current membership to the Social Security 
Administration.
  Perhaps even more alarming, an additional 20 Board members have 
submitted applications for ALJ positions, and Board chairman Charles 
Cragin recently informed me that another eight Board members have 
already interviewed for ALJ positions.
  Since the Social Security Administration plans to hire a total of 500 
ALJ's over the next 3 years, if we do not act, losses to the Board may 
be expected to continue, perhaps even accelerate. If this were to 
happen to the VA, it will take many years to regain the knowledge, 
experience, and expertise departing Board members take with them.
  The loss of experienced Board members will only compound the problems 
currently facing the Board. The current cadre of Board members possess 
skills and experience that simply cannot be duplicated and that are 
essential to make judicial review work in a timely manner.
  One of the main reasons members are leaving the Board is the pay 
differential between Board members and ALJ's. At one time, the Board 
members were recognized as performing professional responsibilities at 
least comparable to those of administrative law judges, particularly 
those GS-15's who reviewed entitlement to Social Security benefits.
  However, since the Federal employees Pay Comparability Act of 1990, 
ALJ's have been placed on a pay scale that awards them compensation 
averaging at least $20,000 more per year than that of the average Board 
member.
  I have introduced legislation, H.R. 69, that restores pay 
comparability between Board members and ALJs. I am pleased that the 
veterans service organizations support my legislation. I am hopeful 
that the Congress will take action on H.R. 69 before the 103d Congress 
adjourns.
  In closing, I would like to urge my colleagues to support S. 1904.
  Thank you, Mr. Speaker.
  Mr. GILMAN. Mr. Speaker, I am pleased to rise in support of S. 1904, 
legislation that improves the organization and procedures of the Board 
of Veterans' Appeals.
  As a staunch supporter of the rights of our Nation's service men and 
women, I believe this legislation is long overdue. This measure will 
streamline the operations of the Board of Veterans' Appeals, the 
administrative appeals board for claims adjudicated by the Veterans 
Benefits Administration.
  Specific provisions of this measure include: Removing the current 65-
member limit on the size of the Board; requiring the chairman of the 
Board to comply with the same ethical standards and legal restrictions 
as do the judges on the U.S. Court of Veterans Appeals; eliminating the 
chairman's current authority to designate temporary Board members; 
authorizing the chairman the authority to assign an appeals case to an 
individual Board member or to a panel of at least three members; and, 
stipulating that any appellant may request a hearing at the Board's 
headquarters in Washington, DC or at a regional VA office.
  I am optimistic that these improvements, to the current system, will 
ensure that our Nation's veterans receive the compensation and the 
benefits that they have valiantly earned and deserve.
  I am pleased to rise in support of this important measure.

                             {time}   1230

  Mr. MONTGOMERY. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Edwards of California). The question is 
on the motion offered by the gentleman from Mississippi [Mr. 
Montgomery] that the House suspend the rules and pass the Senate bill, 
S. 1904, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the Senate bill was passed.
  A motion to reconsider was laid on the table.

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