[Congressional Record Volume 140, Number 144 (Thursday, October 6, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: October 6, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
               THE PROCESS PATENT PROTECTION ACT OF 1994

  Mr. FORD. Mr. President, I ask unanimous consent that the Senate 
proceed to the immediate consideration of H.R. 4307, a bill relating to 
biotechnology patents.
  The PRESIDING OFFICER. The clerk will report.
  The legislative clerk read as follows:

       A bill (H.R. 4307) an act to amend title 35 of the United 
     States Code with respect to applications for process patents, 
     and for certain other purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill.


                           Amendment No. 2636

    (Purpose: To amend title 35 United States Code, with respect to 
                   applications for process patents)

  Mr. FORD. Mr. President, in behalf of Senator DeConcini and Senator 
Hatch, I send a substitute amendment to the desk and ask for its 
immediate consideration.
  The PRESIDING OFFICER. The clerk will report.
  The legislative clerk read as follows:

       The Senator from Kentucky [Mr. Ford], for Mr. DeConcini, 
     (for himself, Mr. Hatch, and Mr. Kennedy) proposes an 
     amendment numbered 2636.
       Strike out all after the enacting clause and insert in lieu 
     thereof the following:

                  TITLE I--PROCESS PATENT APPLICATIONS

     SECTION 101. EXAMINATION OF PROCESS PATENT APPLICATIONS FOR 
                   OBVIOUSNESS.

       Section 103 of title 35, United States Code, is amended--
       (1) by designating the first paragraph as subsection (a);
       (2) by designating the second paragraph as subsection (c); 
     and
       (3) by inserting after the first paragraph the
       ``(b)(1) Notwithstanding subsection (a), and upon timely 
     election by the applicant for patent to proceed under this 
     subsection, a ``biotechnological process'' using or resulting 
     in a composition of matter that is novel under section 102 
     and nonobvious under subsection (a) of this section shall be 
     considered nonobvious if--
       ``(A) claims to the process and the composition of matter 
     are contained in either the same application for patent or in 
     separate applications having the same effective filing date; 
     and
       ``(B) the composition of matter, and the process at the 
     time it was invented, were owned by the same person or 
     subject to an obligation of assignment to the same person.
       ``(2) A patent issued on a process under paragraph (1)--
       ``(A) shall also contain the claims to the composition of 
     matter used in or made by that process, or
       ``(B) shall, if such composition of matter is claimed in 
     another patent, be set to expire on the same date as such 
     other patent, notwithstanding section 154.''.

    
    
     For purposes of subsection (b), the term biotechnological 
     process'' means a process of genetically altering or 
     otherwise inducing a cell or a living organism to express an 
     exogenous nucleotide sequence or to express specific 
     physiological characteristics. Such processes include genetic 
     alteration of a cell to express an exogenous nucleotide 
     sequence, cell fusion procedures yielding a cell line that 
     expresses a specific protein, including a monoclonal 
     antibody, and genetic alteration of a multicellular organism 
     to induce said organism to express an exogenous nucleotide 
     sequence or to express predefined physiological 
     characteristics.

     SEC. 102 PRESUMPTION OF VALIDITY; DEFENSES.

       Section 282 of title 35, United States Code, is amended by 
     inserting after the second sentence of the first paragraph 
     the following: ``Notwithstanding the preceding sentence, if a 
     claim to a composition of matter is held invalid and that 
     claim was the basis of a determination of nonobviousness 
     under section 103(b)(1), the process shall no longer be 
     considered nonobvious solely on the basis of section 
     103(b)(1).''.

     SEC. 103. EFFECTIVE DATE.

       The amendments made by section 101 shall apply to any 
     application for patent filed on or after the date of the 
     enactment of this Act and to any application for patent 
     pending on such date of enactment, including (in either case) 
     as application for the reissue of a patent.


                           amendment no. 2637

(Purpose: To confer jurisdiction on the United States Court 
    of Federal Claims relating to certain claims arising out of the 
                  furnishing of software and services)

  Mr. FORD. Mr. President, on behalf of Senator Hatch, I send an 
amendment to the desk, and ask unanimous consent to proceed to its 
immediate consideration, that the amendment be agreed to, that 
substitute amendment as amended, be agreed to, that the bill be read a 
third time, passed, and the motion to reconsider be laid upon the 
table, and that any statements appear in the Record at the appropriate 
place as if read.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The amendment (No. 2637) was agreed to, as follows:

       On page   , insert between lines    and    the following:

     SEC.   . JURISDICTION OF UNITED STATES COURT OF FEDERAL 
                   CLAIMS RELATING TO CERTAIN SOFTWARE AND SERVICE 
                   CLAIMS.

       (a) Jurisdiction.--Jurisdiction is conferred upon the 
     United States Court of Federal Claims to hear, determine, and 
     render conclusions that are sufficient to inform the Congress 
     of the amount, if any, legally or equitably due upon the 
     claims of Inslaw, Inc., a Delaware Corporation (hereinafter 
     referred to as ``Inslaw'') and William A. Hamilton and Nancy 
     Burke Hamilton, individually against the United States which 
     claims arise out of the furnishing of computer software and 
     services to the United States Department of Justice. The 
     hearings and proceedings conducted, determinations and 
     conclusions made, and report submitted to the Congress under 
     this subsection shall be conducted in accordance with the 
     provisions of section 2509 of title 28, United States Code.
       (b) Waiver of Sovereign Immunity and Defense.--For purposes 
     of the report submitted under subsection (a), any available 
     defense relating to statute of limitations, any form of 
     estoppel, laches, res judicata, failure to exhaust all 
     remedies, and any available defense of sovereign immunity of 
     the United States, the Department of Justice, or any other 
     United States Government agency is specifically waived as to 
     the respective claims of Inslaw, William A. Hamilton, and 
     Nancy Burke Hamilton.


               the process patent protection act of 1994

  Mr. DeCONCINI. Mr. President, I urge my colleagues to join with me 
and Senators Hatch and Kennedy in passing H.R. 4307, the Process Patent 
Protection Act of 1994. This bill will remedy a situation which has 
endangered the competitiveness of America's burgeoning biotech 
industry.
  To date, patent law has failed to provide the biotechnology industry 
with adequate protection for the processes they utilize. Because of the 
failure of our laws, foreign competitors have an unfair advantage. 
Furthermore, biotech firms cannot obtain much needed investment to 
continue their research in vital areas ranging from pharmaceuticals, to 
agriculture and environmental cleanup. For 5 years Congress has worked 
to resolve the inequity in the law, and H.R. 4307 is the result of 
these efforts.
  On September 20, 1994 the House passed H.R. 4307, a bill similar to 
S. 298, the Biotechnology Patent Protection Act of 1993, which passed 
the Senate on July 15, 1993. S. 238 amended the patent code, in 
particular title 35, to provide protection for the biotechnology 
industry which was having difficulty obtaining process patents due to 
conflicting court decisions. The Senate bill was industry specific and 
concerned only biotechnology claims.
  H.R. 4307 took a different approach to the problem in that it was 
generic, or industry neutral. Although the electronics and computer 
industry initially raised concerns over this approach, H.R. 4307 was 
narrowed, prior to passage, to address their concerns. However, the 
bill remained generic in nature.
  The amendment in the nature of a substitute proposed by Senators 
DeConcini, Hatch and Kennedy, takes an approach which is more general 
than S. 298 but more narrow than H.R. 4307 as it passed the House. In 
order to address concerns raised by the chemical industry that H.R. 
4307 would create the possibility of overreaching process claims which 
could extend the scope of patent protection far downstream or upstream 
of the actual process which the bill seeks to protect, language has 
been added to narrow the bill to cover only biotechnological processes. 
In order to clarify and avoid any misunderstanding as to the parameters 
to which the protections of this amendment would be applicable, a 
definition of biotechnological process has also been added to the House 
language.
  By limiting the applicability of this law to these type of processes, 
only those industries which engage in biotechnological endeavors will 
be affected. This alternative proposal to H.R. 4307 has been accepted 
as a viable solution to the concerns of the chemical industry. By 
adding the clarifying language to the House bill, the amendment in the 
nature of a substitute accomplishes the proponent's original goal in a 
manner acceptable to all concerned industries and the Patent and 
Trademark Office. Furthermore, it enjoys bipartisan support in 
Congress.
  I urge my colleagues to support the Patent Protection Act, and 
provide the American biotech industry the much needed protection which 
will allow them to maintain their position as world leaders in this 
vital field. The benefits of maintaining this position will be enjoyed 
by Americans for generations to come.


               the process patent protection act of 1994

  Mr. KENNEDY. Mr. President, I urge all of my colleagues to join in 
passing H.R. 4307, the Process Patent Protection Act of 1994. This bill 
makes essential changes to patent law which will help stimulate 
biomedical innovation and foster the international competitiveness of 
the American biotech industry. I am a principal cosponsor of the 
Biotechnology Patent Protection Act which passed the Senate earlier 
this session and which proposed legislative reforms similar to those in 
H.R. 4307.
  The United States is the world's leader in the research, development 
and manufacture of biotechnology products, and Massachusetts is home to 
many prominent biotechnology companies. More than 100 million people 
are treated annually with medicines derived from biotechnology and more 
than 100 new products are being developed to treat Alzheimer's disease, 
AIDS, cancer, cystic fibrosis and many other illnesses. Our country is 
unsurpassed in translating state of the art science into economic 
growth and improved human health.
  The Process Patent Protection Act of 1994 would resolve an issue that 
has been debated by Congress for over 5 years. The legislation is 
needed because of the failure of patent law to keep pace with 
technological innovations in the field of biotechnology. Specifically, 
current law fails to protect the ability of biotech firms to patent the 
processes by which they produce new inventions.
  This legislation will extend patent protection to cover the process 
for preparing and using a biotechnology product. This kind of 
protection is routinely granted in Western Europe and Japan, and is 
already available under current law for inventions in areas other than 
biotechnology. However, by failing to protect process patents for 
American biotechnology, our current patent law grants foreign 
competitors unnecessary and unfair advantages.
  Common sense tells us to reward innovation and punish imitators, but 
our patent laws have the opposite effect for biotechnology 
manufacturers. In a research-intensive industry such as biotechnology, 
the need to protect innovation is particularly urgent.
  Without adequate patent protection, biotech firms cannot attract the 
investment needed to pursue promising new therapies. Companies must 
have assurances that rival firms cannot pirate their original research. 
The current patent law also leads to inconsistent decisions, and time-
consuming patent litigation that drains companies' research resources.
  This bill provides a needed remedy for these inadequacies. By 
granting adequate protection to biotechnology products, it ensures that 
the nation will benefit from cutting-edge therapies, and that the 
biotechnology industry will remain innovative and competitive. The bill 
has broad bipartisan support, and the Bush and Clinton Administrations 
have supported similar reforms.
  I strongly urge passage of the Patent Protection Act of 1994, so that 
our patent laws will continue to serve as a stimulus to innovation, not 
a barrier.
  The substitute amendment (No. 2636), as amended, was agreed to.
  The bill (H.R. 4307), as amended, was deemed read the third time and 
passed.

      VETERANS' COMPENSATION COST-OF-LIVING ADJUSTMENT ACT OF 1994

  Mr. FORD. Mr. President, I ask that the Chair lay before the Senate a 
message from the House of Representatives on a bill (S. 1927) to 
increase 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.
  The PRESIDING OFFICER laid before the Senate the following message 
from the House of Representatives:

       Resolved, That the bill from the Senate (S. 1927) entitled 
     ``An Act to increase 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'', do pass with the following 
     amendments:
  Strike out all after the enacting clause, and insert:

     SECTION 1. SHORT TITLE; REFERENCES TO TITLE 38, UNITED STATES 
                   CODE.

       (a) Short Title.--This Act may be cited as the ``Veterans' 
     Benefits Act of 1994''.
       (b) References.--Except as otherwise expressly provided, 
     whenever in this Act an amendment or repeal is expressed in 
     terms of an amendment to, or repeal of, a section or other 
     provision, the reference shall be considered to be made to a 
     section or other provision of title 38, United States Code.
    TITLE I--COST-OF-LIVING ADJUSTMENT IN RATES OF COMPENSATION AND 
                 DEPENDENCY AND INDEMNITY COMPENSATION

     SEC. 101. DISABILITY COMPENSATION.

       Section 1114 is amended--
       (1) by striking out ``$87'' in subsection (a) and inserting 
     in lieu thereof ``$89'';
       (2) by striking out ``$166'' in subsection (b) and 
     inserting in lieu thereof ``$170'';
       (3) by striking out ``$253'' in subsection (c) and 
     inserting in lieu thereof ``$260'';
       (4) by striking out ``$361'' in subsection (d) and 
     inserting in lieu thereof ``$371'';
       (5) by striking out ``$515'' in subsection (e) and 
     inserting in lieu thereof ``$530'';
       (6) by striking out ``$648'' in subsection (f) and 
     inserting in lieu thereof ``$667'';
       (7) by striking out ``$819'' in subsection (g) and 
     inserting in lieu thereof ``$843'';
       (8) by striking out ``$948'' in subsection (h) and 
     inserting in lieu thereof ``$976'';
       (9) by striking out ``$1,067'' in subsection (i) and 
     inserting in lieu thereof ``$1,099'';
       (10) by striking out ``$1,774'' in subsection (j) and 
     inserting in lieu thereof ``$1,827'';
       (11) by striking out ``$2,207'' and ``$3,093'' in 
     subsection (k) and inserting in lieu thereof ``$2,273'' and 
     ``$3,187'', respectively;
       (12) by striking out ``$2,207'' in subsection (l) and 
     inserting in lieu thereof ``$2,273'';
       (13) by striking out ``$2,432'' in subsection (m) and 
     inserting in lieu thereof ``$2,504'';
       (14) by striking out ``$2,768'' in subsection (n) and 
     inserting in lieu thereof ``$2,851'';
       (15) by striking out ``$3,093'' each place it appears in 
     subsections (o) and (p) and inserting in lieu thereof 
     ``$3,185'';
       (16) by striking out ``$1,328'' and ``$1,978'' in 
     subsection (r) and inserting in lieu thereof ``$1,367'' and 
     ``$2,037'', respectively; and
       (17) by striking out ``$1,985'' in subsection (s) and 
     inserting in lieu thereof ``$2,044''.

     SEC. 102. ADDITIONAL COMPENSATION FOR DEPENDENTS.

       Section 1115(1) is amended--
       (1) by striking out ``$105'' in subparagraph (A) and 
     inserting in lieu thereof ``$108'';
       (2) by striking out ``$178'' and ``$55'' in subparagraph 
     (B) and inserting in lieu thereof ``$183'' and ``$56'', 
     respectively;
       (3) by striking out ``$72'' and ``$55'' in subparagraph (C) 
     and inserting in lieu thereof ``$74'' and ``$56'', 
     respectively;
       (4) by striking out ``$84'' in subparagraph (D) and 
     inserting in lieu thereof ``$86'';
       (5) by striking out ``$195'' in subparagraph (E) and 
     inserting in lieu thereof ``$200''; and
       (6) by striking out ``$164'' in subparagraph (F) and 
     inserting in lieu thereof ``$168''.

     SEC. 103. CLOTHING ALLOWANCE FOR CERTAIN DISABLED VETERANS.

       Section 1162 is amended by striking out ``$478'' and 
     inserting in lieu thereof ``$492''.

     SEC. 104. DEPENDENCY AND INDEMNITY COMPENSATION FOR SURVIVING 
                   SPOUSES.

       Section 1311 is amended--
       (1) in subsection (a)(1), by striking out ``$769'' and 
     inserting in lieu thereof ``$792'';
       (2) in subsection (a)(2), by striking out ``$169'' and 
     inserting in lieu thereof ``$174'';
       (3) in subsection (a)(3), by striking out the table therein 
     and inserting in lieu thereof the following:

       

                                                                        
                           Monthly                              Monthly 
       ``Pay grade           rate            Pay grade            rate  
                                                                        
    E-7.................       $817  O-3.....................       $923
    E-8.................        863  O-4.....................        976
    E-9.................     \1\901  O-5.....................      1,075
    W-1.................        836  O-6.....................      1,212
    W-2.................        869  O-7.....................      1,309
    W-3.................        895  O-8.....................      1,433
    W-4.................        947  O-9.....................      1,536
    O-1.................        836  O-10....................   \2\1,685
    O-2.................        863                                     
                                                                        
``\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 402 of  
  this title, the surviving spouse's rate shall be $971.                
``\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 402 of this title, the surviving spouse's rate  
  shall be $1,805.'';                                                   

       (4) in subsection (c), by striking out ``$195'' and 
     inserting in lieu thereof ``$200''; and
       (5) in subsection (d), by striking out ``$95'' in 
     subsection (c) and inserting in lieu thereof ``$97''.

     SEC. 105. DEPENDENCY AND INDEMNITY COMPENSATION FOR CHILDREN.

       (a) DIC for Orphan Children.--Section 1313(a) is amended--
       (1) by striking out ``$327'' in paragraph (1) and inserting 
     in lieu thereof ``$336'';
       (2) by striking out ``$471'' in paragraph (2) and inserting 
     in lieu thereof ``$485'';
       (3) by striking out ``$610'' in paragraph (3) and inserting 
     in lieu thereof ``$628''; and
       (4) by striking out ``$610'' and ``$120'' in paragraph (4) 
     and inserting in lieu thereof ``$628'' and ``$123'', 
     respectively.
       (b) Supplemental DIC for Disabled Adult Children.--Section 
     1314 is amended--
       (1) by striking out ``$195'' in subsection (a) and 
     inserting in lieu thereof ``$200'';
       (2) by striking out ``$327'' in subsection (b) and 
     inserting in lieu thereof ``$336''; and
       (3) by striking out ``$166'' in subsection (c) and 
     inserting in lieu thereof ``$170''.

     SEC. 106. EFFECTIVE DATE.

       The amendments made by this title shall take effect on 
     December 1, 1994.
        TITLE II--DISABILITIES RESULTING FROM HERBICIDE EXPOSURE

     SEC. 201. CODIFICATION OF PRESUMPTIONS ESTABLISHED 
                   ADMINISTRATIVELY.

       Section 1116(a)(2) is amended by adding at the end the 
     following new subparagraphs:
       ``(D) Hodgkin's disease becoming manifest to a degree of 
     disability of 10 percent or more.
       ``(E) Porphyria cutanea tarda becoming manifest to a degree 
     of disability of 10 percent or more within a year after the 
     last date on which the veteran performed active military, 
     naval, or air service in the Republic of Vietnam during the 
     Vietnam era.
       ``(F) Respiratory cancers (cancer of the lung, bronchus, 
     larynx, or trachea) becoming manifest to a degree of 10 
     percent or more within 30 years after the last date on which 
     the veteran performed active military, naval, or air service 
     in the Republic of Vietnam during the Vietnam era.
       ``(G) Multiple myeloma becoming manifest to a degree of 
     disability of 10 percent or more.''.
          TITLE III--BOARD OF VETERANS' APPEALS ADMINISTRATION

     SEC. 301. APPOINTMENT, PAY COMPARABILITY, AND PERFORMANCE 
                   REVIEWS FOR MEMBERS OF THE BOARD OF VETERANS' 
                   APPEALS.

       (a) In General.--(1) Chapter 71 is amended by inserting 
     after section 7101 the following new section:

     ``Sec. 7101A. Members of Board: appointment; pay; performance 
       review

       ``(a) The members of the Board of Veterans' Appeals other 
     than the Chairman (and including the Vice Chairman) shall be 
     appointed by the Secretary, with the approval of the 
     President, based upon recommendations of the Chairman.
       ``(b) Members of the Board (other than the Chairman and any 
     member of the Board who is a member of the Senior Executive 
     Service) shall, in accordance with regulations prescribed by 
     the Secretary, be paid basic pay at rates equivalent to the 
     rates payable under section 5372 of title 5.
       ``(c)(1) Not less than one year after the job performance 
     standards under subsection (f) are initially established, and 
     not less often than once every three years thereafter, the 
     Chairman shall determine, with respect to each member of the 
     Board (other than a member who is a member of the Senior 
     Executive Service), whether that member's job performance as 
     a member of the Board meets the performance standards for a 
     member of the Board established under subsection (f). Each 
     such determination shall be in writing.
       ``(2) If the determination of the Chairman in any case is 
     that the member's job performance as a member of the Board 
     meets the performance standards for a member of the Board 
     established under subsection (f), the member's appointment as 
     a member of the Board shall be recertified.
       ``(3) If the determination of the Chairman in any case is 
     that the member's job performance does not meet the 
     performance standards for a member of the Board established 
     under subsection (f), the Chairman shall, based upon the 
     individual circumstances, either--
       ``(A) grant the member a conditional recertification; or
       ``(B) recommend to the Secretary that the member be 
     noncertified.
       ``(4) In the case of a member of the Board who is granted a 
     conditional recertification under paragraph (3) or (5)(C), 
     the Chairman shall review the member's job performance record 
     and make a further determination under paragraph (1) 
     concerning that member not later than one year after the date 
     of the conditional recertification. If the determination of 
     the Chairman at that time is that the member's job 
     performance as a member of the Board still does not meet the 
     performance standards for a member of the Board established 
     under subsection (f), the Chairman shall recommend to the 
     Secretary that the member be noncertified.
       ``(5)(A) In a case in which the Chairman recommends to the 
     Secretary under paragraph (3) or (4) that a member be 
     noncertified, the Secretary shall establish a panel to review 
     that recommendation. The panel shall be established from 
     among employees of the Department other than members of the 
     Board or of the Board's staff and may include Federal 
     employees from outside the Department with appropriate 
     expertise.
       ``(B) The panel shall review the matter and recommend to 
     the Secretary whether the Board member should be noncertified 
     or should be granted a conditional recertification.
       ``(C) The Secretary, after considering the recommendation 
     of the panel, may either--
       ``(i) grant the member a conditional recertification; or
       ``(ii) determine that the member should be noncertified.
       ``(d)(1) If the Secretary, based upon the recommendation of 
     the Chairman and after considering the recommendation of the 
     panel under subsection (c)(5), determines that a member of 
     the Board should be noncertified, that member's appointment 
     as a member of the Board shall be terminated and that member 
     shall be removed from the Board.
       ``(2) An individual so removed from the Board shall have 
     the right to be employed by the Board in an attorney-advisor 
     position.
       ``(e)(1) A member of the Board (other than the Chairman or 
     a member of the Senior Executive Service) may be removed as a 
     member of the Board by reason of job performance only as 
     provided in subsections (c) and (d). Such a member may be 
     removed by the Secretary, upon the recommendation of the 
     Chairman, for any other reason as determined by the 
     Secretary.
       ``(2) In the case of a removal of a member under this 
     section for a reason other than job performance that would be 
     covered by section 7521 of title 5 in the case of an 
     administrative law judge, the removal of the member of the 
     Board shall be carried out subject to the same requirements 
     as apply to removal of an administrative law judge under that 
     section. Section 554(a)(2) of title 5 shall not apply to a 
     removal action under this subsection. In such a removal 
     action, a member shall have the rights set out in section 
     7513(b) of that title.
       ``(f) The Chairman, subject to the approval of the 
     Secretary, shall establish standards for the performance of 
     the job of a member of the Board (other than a member of the 
     Senior Executive Service). Those standards shall establish 
     objective and fair criteria for evaluation of the job 
     performance of a member of the Board.
       ``(g) The Secretary shall prescribe procedures for the 
     administration of this section, including deadlines and time 
     schedules for different actions under this section.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     7101 the following new item:

``7101A. Members of Board: appointment; pay; performance review.''.
       (b) Save Pay Provision.--The rate of basic pay payable to 
     an individual who is a member of the Board of Veterans' 
     Appeals on the date of the enactment of this Act may not be 
     reduced by reason of the amendments made by this section to a 
     rate below the rate payable to such individual on the day 
     before such date.
       (c) Effective Date.--Section 7101A(b) of title 38, United 
     States Code, as added by subsection (a), shall take effect on 
     the first day of the first pay period beginning after 
     December 31, 1994.

     SEC. 302. CONFORMING AMENDMENTS.

       Section 7101(b) is amended--
       (1) by striking out paragraph (2);
       (2) by designating as paragraph (2) the text in paragraph 
     (1) beginning ``The Chairman may be removed''; and
       (3) by striking out ``Members (including the Chairman)'' in 
     paragraph (3) and inserting in lieu thereof ``The Chairman''.

     SEC. 303. DEADLINE FOR ESTABLISHMENT OF PERFORMANCE 
                   EVALUATION CRITERIA FOR BOARD MEMBERS.

       (a) Deadline.--The job performance standards required to be 
     established by section 7101A(d) of title 38, United States 
     Code, as added by subsection (a), shall be established not 
     later than 90 days after the date of the enactment of this 
     Act.
       (b) Submission to Congressional Committee.--Not later than 
     the date on which the standards referred to in subsection (a) 
     take effect, the Secretary of Veterans Affairs shall submit 
     to the Committees on Veterans' Affairs of the Senate and 
     House of Representatives a report containing the Secretary's 
     proposal for the establishment of those standards.
                  TITLE IV--ADJUDICATION IMPROVEMENTS

     SEC. 401. SHORT TITLE.

       This title may be cited as the ``Veterans' Adjudication 
     Improvements Act of 1994''.

     SEC. 402. REPORT ON FEASIBILITY OF REORGANIZATION OF 
                   ADJUDICATION DIVISIONS IN VBA REGIONAL OFFICES.

       Not later than 180 days after the date of the enactment of 
     this Act, the Secretary of Veterans Affairs shall submit to 
     the Committees on Veterans' Affairs of the Senate and House 
     of Representatives a report addressing the feasibility and 
     impact of a reorganization of the adjudication divisions 
     located within the regional offices of the Veterans Benefits 
     Administration to a number of such divisions that would 
     result in improved efficiency in the processing of claims 
     filed by veterans, their survivors, or other eligible 
     persons, for benefits administered by the Secretary.

     SEC. 403. MASTER VETERAN RECORD.

       (a) Requirement.--The Secretary of Veterans Affairs shall 
     implement a recordkeeping system whereby each veteran and 
     other person eligible for benefits under laws administered by 
     the Secretary shall be identified by a single identification 
     number and through which information relating to that person, 
     including that person's current eligibility or entitlement 
     status with respect to each benefit or service administered 
     by the Secretary, shall be available through electronic means 
     to employees of the Department located in each regional 
     office of the Veterans Benefits Administration or medical 
     center of the Veterans Health Administration.
       (b) Deadline for Implementation.--The recordkeeping system 
     required by subsection (a) shall be implemented not later 
     than two years after the date of the enactment of this Act.

     SEC. 404. REPORT ON PILOT PROGRAMS.

       (a) In General.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of Veterans Affairs 
     shall submit to the Committees on Veterans' Affairs of the 
     Senate and House of Representatives a report enumerating and 
     describing each pilot program and major initiative being 
     tested in the regional offices of the Veterans Benefits 
     Administration that affect the adjudication of claims for 
     benefits administered by the Secretary.
       (b) Contents.--The report shall include the Secretary's 
     recommendations regarding the need, if any, for legislation 
     to implement any of such pilot programs the Secretary may 
     recommend. If the Secretary indicates that legislation is not 
     required to implement one or more of such programs, the 
     Secretary shall advise the Committees as to whether any such 
     pilot program will be implemented and provide a timetable for 
     such implementation.

     SEC. 405. ACCEPTANCE OF CERTAIN DOCUMENTATION FOR CLAIMS 
                   PURPOSES.

       (a) Statements of Claimant To Be Accepted as Proof of 
     Relationships.--Chapter 51 is amended by adding at the end 
     the following new section:

     ``Sec. 5124. Acceptance of claimant's statement as proof of 
       relationship

       ``(a) For purposes of benefits under laws administered by 
     the Secretary, the Secretary shall accept the written 
     statement of a claimant as proof of the existence of any 
     relationship specified in subsection (b) for the purpose of 
     acting on such individual's claim for benefits.
       ``(b) Subsection (a) applies to proof of the existence of 
     any of the following relationships between a claimant and 
     another person:
       ``(1) Marriage.
       ``(2) Dissolution of a marriage.
       ``(3) Birth of a child.
       ``(4) Death of any family member.
       ``(c) The Secretary may require the submission of 
     documentation in support of the claimant's statement--
       ``(1) if the claimant does not reside within a State; or
       ``(2) if the statement on its face raises a question as to 
     its validity.''.
       (b) Reports of Examinations by Private Physicians.--Such 
     chapter, as amended by subsection (a), is further amended by 
     adding at the end the following new section:

     ``Sec. 5125. Acceptance of reports of private physician 
       examinations

       ``For purposes of establishing a claim for benefits under 
     chapter 11 or 15 of this title, a report of a medical 
     examination administered by a private physician that is 
     provided by a claimant in support of a claim for benefits 
     under that chapter shall be accepted without a requirement 
     for confirmation by an examination by a physician employed by 
     the Veterans Health Administration if the report is 
     sufficiently complete to be adequate for disability rating 
     purposes.''.
       (c) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new items:

``5124. Acceptance of claimant's statement as proof of relationship.
``5125. Acceptance of reports of private physician examinations.''.

     SEC. 406. EXPEDITED TREATMENT OF REMANDED CLAIMS.

       The Secretary shall take such actions as may be necessary 
     to provide for the expeditious treatment, by the Board of 
     Veterans' Appeals and by the regional offices of the Veterans 
     Benefits Administration, of any claim that has been remanded 
     by the Board of Veterans' Appeals or by the United States 
     Court of Veterans Appeals for additional development or other 
     appropriate action.

     SEC. 407. SCREENING OF APPEALS.

       Section 7107 of title 38, United States Code, is amended--
       (1) in subsection (a)(1), by striking out ``Each case'' and 
     inserting in lieu thereof ``Except as provided in subsection 
     (f), each case''; and
       (2) by adding at the end the following new subsection:
       ``(f) Nothing in this section shall preclude the screening 
     of cases for purposes of--
       ``(1) determining the adequacy of the record for decisional 
     purposes; or
       ``(2) the development, or attempted development, of a 
     record found to be inadequate for decisional purposes.''.

     SEC. 408. REVISION OF DECISIONS BASED ON CLEAR AND 
                   UNMISTAKABLE ERROR.

       (a) Original Decisions.--(1) Chapter 51 is amended by 
     inserting after section 5109 the following new section:

     ``Sec. 5109A. Revision of decisions on grounds of clear and 
       unmistakable error

       ``(a) A decision by the Secretary under this chapter is 
     subject to revision on the grounds of clear and unmistakable 
     error. If evidence establishes the error, the prior decision 
     shall be reversed or revised.
       ``(b) For the purposes of authorizing benefits, a rating or 
     other adjudicative decision that constitutes a reversal or 
     revision of a prior decision on the grounds of clear and 
     unmistakable error has the same effect as if the decision had 
     been made on the date of the prior decision.
       ``(c) Review to determine whether clear and unmistakable 
     error exists in a case may be instituted by the Secretary on 
     the Secretary's own motion or upon request of the claimant.
       ``(d) A request for revision of a decision of the Secretary 
     based on clear and unmistakable error may be made at any time 
     after that decision is made.
       ``(e) Such a request shall be submitted to the Secretary 
     and shall be decided in the same manner as any other 
     claim.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by inserting after the item relating to section 
     5109 the following new item:

``5109A. Revision of decisions on grounds of clear and unmistakable 
              error.''.

       (b) BVA Decisions.--(1) Chapter 71 is amended by adding at 
     the end the following new section:

     ``Sec. 7111. Revision of decisions on grounds of clear and 
       unmistakable error

       ``(a) A decision by the Board is subject to revision on the 
     grounds of clear and unmistakable error. If evidence 
     establishes the error, the prior decision shall be reversed 
     or revised.
       ``(b) For the purposes of authorizing benefits, a rating or 
     other adjudicative decision of the Board that constitutes a 
     reversal or revision of a prior decision of the Board on the 
     grounds of clear and unmistakable error has the same effect 
     as if the decision had been made on the date of the prior 
     decision.
       ``(c) Review to determine whether clear and unmistakable 
     error exists in a case may be instituted by the Board on the 
     Board's own motion or upon request of the claimant.
       ``(d) A request for revision of a decision of the Board 
     based on clear and unmistakable error may be made at any time 
     after that decision is made.
       ``(e) Such a request shall be submitted directly to the 
     Board and shall be decided by the Board on the merits, 
     without referral to any adjudicative or hearing official 
     acting on behalf of the Secretary.
       ``(f) A claim filed with the Secretary that requests 
     reversal or revision of a previous Board decision due to 
     clear and unmistakable error shall be considered to be a 
     request to the Board under this section, and the Secretary 
     shall promptly transmit any such request to the Board for its 
     consideration under this section.''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``7111. Revision of decisions on grounds of clear and unmistakable 
              error.''.

       (c) Effective Date.--(1) Sections 5109A and 7111 of title 
     38, United States Code, as added by this section, apply to 
     any determination made before, on, or after the date of the 
     enactment of this Act.
       (2) Notwithstanding section 402 of the Veterans Judicial 
     Review Act (38 U.S.C. 7251 note), chapter 72 of title 38, 
     United States Code, shall apply with respect to any decision 
     of the Board of Veterans' Appeals on a claim alleging that a 
     previous determination of the Board was the product of clear 
     and unmistakable error if that claim is filed after, or was 
     pending before the Department of Veterans Affairs, the Court 
     of Veterans Appeals, the Court of Appeals for the Federal 
     Circuit, or the Supreme Court on, the date of the enactment 
     of this Act.
                         TITLE V--MISCELLANEOUS

     SEC. 501. RESTATEMENT OF INTENT OF CONGRESS CONCERNING 
                   COVERAGE OF RADIATION-EXPOSED VETERANS 
                   COMPENSATION ACT OF 1988.

       (a) Restatement of Absence of Statutory Limitation to 
     United States Tests.--(1) Clause (i) of section 1112(c)(3)(B) 
     is amended by inserting ``(without regard to whether the 
     nation conducting the test was the United States or another 
     nation)'' after ``nuclear device''.
       (2) The amendment made by paragraph (1) shall take effect 
     as of May 1, 1988.
       (b) Proof of Service Connection of Disabilities Relating to 
     Exposure to Ionizing Radiation.--(1) Section 1113(b) is 
     amended--
       (A) by striking out ``title or'' and inserting in lieu 
     thereof ``title,''; and
       (B) by inserting ``, or section 5 of Public Law 98-542 (38 
     U.S.C. 1154 note)'' after ``of this section''.
       (2) The amendments made by paragraph (1) shall apply with 
     respect to applications for veterans benefits that are 
     submitted to the Secretary of Veterans Affairs after the date 
     of the enactment of this Act.

     SEC. 502. EXTENSION OF AUTHORITY TO MAINTAIN REGIONAL OFFICE 
                   IN THE PHILIPPINES.

       Section 315(b) is amended by striking out ``December 31, 
     1994'' and inserting in lieu thereof ``December 31, 1999''.

     SEC. 503. RENOUNCEMENT OF BENEFIT RIGHTS.

       Section 5306 is amended by adding at the end the following 
     new subsection:
       ``(c) Notwithstanding subsection (b), if a new application 
     for pension under chapter 15 of this title or for dependency 
     and indemnity compensation for parents under section 1315 of 
     this title is filed within one year after renouncement of 
     that benefit, such application shall not be treated as an 
     original application and benefits will be payable as if the 
     renouncement had not occurred.''.

     SEC. 504. EFFECTIVE DATE OF DISCONTINUANCE OF COMPENSATION 
                   UPON DEATH OF CERTAIN VETERANS.

       (a) In General.--Section 5112 is amended by adding the 
     following new subsection:
       ``(d) In the case of a veteran who, at time of death, was 
     in receipt of compensation for a disability rated as totally 
     disabling with an additional amount being paid for a spouse, 
     if the Secretary determines that the surviving spouse of such 
     veteran is not eligible for dependency and indemnity 
     compensation, the effective date of the discontinuance of 
     such compensation shall be the last day of the month in which 
     such death occurred.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply with respect to deaths occurring after September 
     30, 1994.

         Amend the title so as to read: ``An Act to amend title 
     38, United States Code, to provide a cost-of-living 
     adjustment in the rates of disability compensation for 
     veterans with service-connected disabilities and the rates of 
     dependency and indemnity compensation for survivors of such 
     veterans, to revise and improve veterans' benefits programs, 
     and for other purposes.''.
  Mr. FORD. Mr. President, I move that the Senate concur in the 
amendments with the House with a further amendment which I now send to 
the desk on behalf of Senator Rockefeller, and I ask unanimous consent 
that the amendment be agreed to, the motion to reconsider be laid upon 
the table, and any statements appear at the appropriate place in the 
Record as if read.
  The PRESIDING OFFICER. Without objection, it is so ordered. The clerk 
will report the amendment.

       The Senator from Kentucky [Mr. Ford] for Mr. Rockefeller, 
     proposes an amendment numbered 2683.

  The legislative clerk read as follows:

  The amendment is as follows:

       In lieu of the matter inserted, insert the following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Veterans' Compensation Cost-
     of-Living Adjustment Act of 1994''.

     SEC. 2. INCREASE IN RATES OF DISABILITY COMPENSATION AND 
                   DEPENDENCY AND INDEMNITY COMPENSATION.

       (a) Rate Adjustment.--The Secretary of Veterans Affairs 
     shall, effective on December 1, 1994, increase the dollar 
     amounts in effect for the payment of disability compensation 
     and dependency and indemnity compensation by the Secretary, 
     as specified in subsection (b)
       (b) Amounts To Be Increased.--The dollar amounts to be 
     increased pursuant to subsection (a) are the following:
       (1) Compensation.--Each of the dollar amounts in effect 
     under section 1114 of title 38, United States Code.
       (2) Additional compensation for dependents.--Each of the 
     dollar amounts in effect under section 1115(1) of such title.
       (3) Clothing allowance.--The dollar amount in effect under 
     section 1162 of such title.
       (4) New dic rates.--The dollar amounts in effect under 
     paragraphs (1) and (2) of section 1311(a) of such title.
       (5) Old dic rates.--Each of the dollar amounts in effect 
     under section 1311(a)(3) of such title.
       (6) Additional dic for disability.--The dollar amounts in 
     effect under sections 1311(c) and 1311(d) of such title.
       (7) DIC for dependent children.--The dollar amounts in 
     effect under sections 1313(a) and 1314 of such title.
       (c) Determination of Percentage Increase.--(1) The increase 
     under subsection (a) shall be made in the dollar amounts 
     specified in subsection (b) as in effect on November 30, 
     1994. Each such amount 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, 1994, as a result 
     of a determination under section 215(i) of such Act (42 
     U.S.C. 415(i)).
       (2) In the computation of increased dollar amounts pursuant 
     to paragraph (1), any amount which as so computed is not an 
     even multiple of $1 shall be rounded to the next lower whole 
     dollar amount.
       (d) Special Rule.--The Secretary may adjust 
     administratively, consistent with the increases made under 
     subsection (a), the rates of disability compensation payable 
     to persons within the purview of section 10 of Public Law 85-
     857 (72 Stat. 1263) who are not in receipt of compensation 
     payable pursuant to chapter 11 of title 38, United States 
     Code.

     SEC. 3. PUBLICATION OF ADJUSTED RATES.

       At the same time as 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 1994, the Secretary of Veterans Affairs shall 
     publish in the Federal Register the amounts specified in 
     section 2(b), as increased pursuant to section 2.


      veterans' compensation cost-of-living adjustment act of 1994

  Mr. ROCKEFELLER. Mr. President, as the chairman of the Committee on 
Veterans' Affairs, I rise today to urge the Senate to pass S. 1927, the 
proposed ``Veterans' Compensation Cost-of-Living Adjustment Act of 
1994,'' as it will be amended by the amendment I am offering.
  Mr. President, effective December 1, 1994, my amendment would 
increase the rates of compensation paid to veterans with service-
connected disabilities, and the rates of dependency and indemnity 
compensation [DIC] paid to the survivors of certain service-disabled 
veterans, by the same percentage as the increase in Social Security and 
VA pension benefits.
  Mr. President, ever since I began my career in public service, I have 
worked closely with the veterans of my home State of West Virginia, and 
now, as chairman of the Committee on Veterans' Affairs, I have had the 
opportunity to work with veterans all across the country. Consequently, 
I am keenly aware of the fact that the compensation payments that would 
be increased by this measure have a profound effect on the everyday 
lives of veterans and their families. The compensation payments that 
this measure would adjust affect over 2\1/2\ million veterans and 
veterans' survivors, including nearly 30,000 in West Virginia.
  As chairman of the Committee on Veterans' Affairs, I am committed to 
ensuring that these veterans and veterans' survivors receive the 
benefits they deserve. I believe strongly that we have a fundamental 
obligation to meet the needs of those who became disabled as the result 
of military service, as well as the needs of their families. This 
measure fulfills one of the most important aspects of that obligation. 
It is our responsibility to continue to provide cost-of-living 
adjsutments--equally to all qualified recipienst--in compensation and 
DIC benefits, in order to guarantee that the value of these essential, 
service-connected VA benefits are not eroded by inflation.
  I am very proud that Congress consistently has fulfilled its 
obligation to make sure that the real value of these benefits it 
preserved by providing an annual COLA for compensation and DIC benefits 
every fiscal year since 1976. Most recently, on November 11, 1993, 
Veterans' Day, President Clinton signed Public Law 103-140 into law, 
providing a 2.6-percent increase in these benefits, effective December 
1, 1993.
  Mr. President, we cannot every repay the debt we owe to the 
individuals who have sacrificed so much for our country. Service-
disabled veterans and the survivors of those who died as the result of 
service-connected conditions are reminded daily of the price they have 
paid for the freedom we all enjoy. The very least we can do is protect 
the value of the benefits they have earned through their sacrifice.
  Mr. President, I strongly urge all of my colleagues to support this 
vitally important measure.
  The PRESIDING OFFICER. The question is on agreeing to the motion.
  The motion was agreed to.

                          ____________________