Congressional Record, Volume 142 Issue 104 (Tuesday, July 16, 1996)

[Congressional Record Volume 142, Number 104 (Tuesday, July 16, 1996)]
[House]
[Pages H7557-H7563]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

VETERANS' EDUCATION AND COMPENSATION BENEFITS AMENDMENTS OF 1996

Mr. STUMP. Mr. Speaker, I move to suspend the rules and pass the bill
(H.R. 3674) to amend title 38, United States Code, to clarify the
causal relationship required between a veteran's service-connected
disability and employment handicap for purposes of determining
eligibility for training and rehabilitation assistance, to transfer
certain educational assistance entitlements from the Post-Vietnam Era
Educational Assistance Program to the Montgomery GI bill, and for other
purposes, as amended.
The Clerk read as follows:

H.R. 3674

Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,

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

(a) Short Title.--This Act may be cited as the ``Veterans'
Education and Compensation Benefits Amendments of 1996''.
(b) References.--Except as otherwise expressly provided,
whenever in this Act an amendment is expressed in terms of an
amendment to 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--VETERANS' EDUCATION PROGRAMS

SEC. 101. EMPLOYMENT HANDICAP FOR WHICH AN INDIVIDUAL MAY
RECEIVE TRAINING AND REHABILITATION ASSISTANCE.

(a) Definitions.--Section 3101 is amended--
(1) in paragraph (1), by inserting ``, resulting in
substantial part from a disability described in section
3102(1)(A) of this title,'' after ``impairment'';
(2) in paragraph (6), by inserting ``authorized under
section 3120 of this title'' after ``assistance''; and
(3) in paragraph (7), by inserting ``, resulting in
substantial part from a service-connected disability rated at
10 percent or more,'' after ``impairment''.
(b) Basic Entitlement.--Section 3102 is amended--
(1) in paragraph (1)(A)(i), by striking out ``which is''
and all that follows through ``chapter 11 of this title'' and
inserting in lieu thereof ``rated at 20 percent or more'';
(2) in paragraph (2)(A), by striking out ``which is'' and
all that follows through ``chapter 11 of this title'' and
inserting in lieu thereof ``rated at 10 percent''; and
(3) by amending paragraph (2)(B) to read as follows:
``(B) is determined by the Secretary to be in need of
rehabilitation because of a serious employment handicap.''.
(c) Periods of Eligibility.--Section 3103 is amended--
(1) in subsection (b)(3), by striking out ``described in
section 3102(1)(A)(i) of this title'' and inserting in lieu
thereof ``rated at 10 percent or more'';
(2) in subsection (c)--
(A) in the matter preceding paragraph (1), by striking out
``particular'' and inserting in lieu thereof ``current''; and
(B) in paragraph (2), by striking out ``veteran's
employment'' and inserting in lieu thereof ``veteran's
current employment''; and
(3) in subsection (d), by striking out ``under this
chapter'' and inserting in lieu thereof ``in accordance with
the provisions of section 3120 of this title''.
(d) Scope of Services and Assistance.--Section 3104 is
amended--
(1) in subsection (a)--
(A) in paragraph (1)--
(i) by striking out ``such veteran's disability or
disabilities cause'' and inserting in lieu thereof ``the
veteran has an employment handicap or''; and
(ii) by inserting ``reasonably'' after ``goal is'';
(B) in paragraph (7)(A)--
(i) by striking out ``(i)''; and
(ii) by striking out ``, and (ii)'' and all that follows
through ``such Act''; and
(C) in paragraph (12), by striking out ``For the most
severely disabled veterans requiring'' and inserting in lieu
thereof ``For veterans with the most severe service-connected
disabilities who require''; and
(2) by striking out subsection (b) and redesignating
subsection (c) as subsection (b).
(e) Duration of Rehabilitation Programs.--Paragraph (1) of
section 3105(c) is amended by striking out ``veteran's
employment'' and inserting in lieu thereof ``veteran's
current employment''.
(f) Initial and Extended Evaluations; Determinations
Regarding Serious Employment Handicap.--(1) Section 3106 is
amended--
(A) in subsection (a), by striking out ``described in
clause (i) or (ii) of section 3102(1)(A) of this title'' and
inserting in lieu thereof ``rated at 10 percent or more'';
(B) in subsection (b), by striking out ``counseling in
accordance with'';
(C) in subsection (c), by striking out ``with extended''
and inserting in lieu thereof ``with an extended''; and
(D) by redesignating subsections (d) and (e) as subsections
(e) and (f), respectively, and inserting after subsection (c)
the following new subsection:
``(d) In any case in which the Secretary has determined
that a veteran has a serious employment handicap and also
determines, following such initial and any such extended
evaluation, that achievement of a vocational goal currently
is not reasonably feasible, the Secretary shall determine
whether the veteran is capable of participating in a program
of independent living services and assistance under section
3120 of this title.''.
(2) Chapter 31 is amended--
(A) in section 3107(c)(2), by striking out ``3106(e)'' and
inserting in lieu thereof ``3106(f)'';
(B) in section 3109, by striking out ``3106(d)'' and
inserting in lieu thereof ``3106(e)'';
(C) in section 3118(c), by striking out ``3106(e)'' and
inserting in lieu thereof ``3106(f)''; and
(D) in section 3120(b), by striking out ``3106(d)'' and
inserting in lieu thereof ``3106(d) or (e)''.
(g) Allowances.--Section 3108 is amended--
(1) in subsection (a)(2), by striking out ``following the
conclusion of such pursuit'' and inserting in lieu thereof
``while satisfactorily following a program of employment
services provided under section 3104(a)(5) of this title'';
and
(2) in subsection (f)(1)--
(A) in subparagraph (A)--
(i) by inserting ``eligible for and'' after ``veteran is'';
(ii) by striking out ``chapter 30 or 34'' and inserting in
lieu thereof ``chapter 30''; and
(iii) by striking out ``either chapter 30 or chapter 34''
and inserting in lieu thereof ``chapter 30''; and
(B) in subparagraph (B), by striking out ``chapter 30 or
34'' and inserting in lieu thereof ``chapter 30''.
(h) Employment Assistance.--Paragraph (1) of section
3117(a) is amended by inserting ``rated at 10 percent or
more'' after ``disability''.
(i) Program of Independent Living Services and
Assistance.--Section 3120 is amended--
(1) in subsection (b), by striking out ``service-connected
disability described in section 3102(1)(A)'' and inserting in
lieu thereof ``serious employment handicap resulting in
substantial part from a service-connected disability
described in section 3102(1)(A)(i)''; and
(2) in subsection (d), by striking out ``and (b)''.
(j) Effective Date.--(1) Except as provided in paragraph
(2), the amendments made by this section shall take effect on
the date of the enactment of this Act.
(2) The amendments made by subsection (a) (other than
paragraph (2)), subsection (d) (other than subparagraphs (A)
and (B) of paragraph (1)), and subsection (i) shall only
apply with respect to claims of eligibility or entitlement to
services and assistance (including claims for extension of
such services and assistance) under chapter 31 of title 38,
United States Code, received by the Secretary on or after the
date of the enactment of this Act, including those claims
based on original applications, and applications seeking to
reopen, revise, reconsider, or otherwise adjudicate or
readjudicate on any basis claims for services and assistance
under such chapter.

SEC. 102. INCREASE IN BASIC MONTGOMERY GI BILL RATES.

(a) In General.--Section 3015 is amended--

[[Page H7558]]

(1) in subsection (a)(1), by striking out ``$400'' and
inserting in lieu thereof ``$421.62''; and
(2) in subsection (b)(1), by striking out ``$325'' and
inserting in lieu thereof ``$343.51''.
(b) Effective Date.--The amendments made by subsection (a)
shall take effect on October 1, 1996.

SEC. 103. ENROLLMENT OF CERTAIN VEAP PARTICIPANTS IN
MONTGOMERY GI BILL.

(a) In General.--Subchapter II of chapter 30 is amended by
inserting after section 3018B the following new section:

``Sec. 3018C. Opportunity for certain VEAP participants to
enroll

``(a) Notwithstanding any other provision of law, an
individual who--
``(1) is a participant on the date of the enactment of the
Veterans' Education and Compensation Benefits Amendments of
1996 in the educational benefits program provided by chapter
32;
``(2) is serving on active duty (excluding the periods
referred to in section 3202(1)(C)) on such date;
``(3) before applying for benefits under this section, has
completed the requirements of a secondary school diploma (or
equivalency certificate) or has successfully completed the
equivalent of 12 semester hours in a program of education
leading to a standard college degree;
``(4) if discharged or released from active duty during the
180-day period specified in paragraph (5), is discharged or
released therefrom with an honorable discharge; and
``(5) before 180 days after the date of the enactment of
the Veterans' Education and Compensation Benefits Amendments
of 1996, makes an irrevocable election to receive benefits
under this section in lieu of benefits under chapter 32 of
this title, pursuant to procedures which the Secretary of
each military department shall provide in accordance with
regulations prescribed by the Secretary of Defense for the
purpose of carrying out this section or which the Secretary
of Transportation shall provide for such purpose with respect
to the Coast Guard when it is not operating as a service in
the Navy;

may elect to become entitled to basic educational assistance
under this chapter.
``(b) With respect to an individual who makes an election
under subsection (a) to become entitled to basic education
assistance under this chapter--
``(1) the basic pay of the individual shall be reduced (in
a manner determined by the Secretary of Defense) until the
total amount by which such basic pay is reduced is $1,200; or
``(2) to the extent that basic pay is not so reduced before
the individual's discharge or release from active duty as
specified in subsection (a)(4) of this section, the Secretary
shall collect from the individual an amount equal to the
difference between $1,200 and the total amount of reductions
under paragraph (1), which shall be paid into the Treasury of
the United States as miscellaneous receipts.
``(c)(1) Except as provided in paragraph (3) of this
subsection, an individual who is enrolled in the educational
benefits program provided by chapter 32 of this title and who
makes the election described in subsection (a)(5) of this
section shall be disenrolled from such chapter 32 program as
of the date of such election.
``(2) For each individual who is disenrolled from such
program, the Secretary shall refund--
``(A) to the individual, as provided in section 3223(b) of
this title and subject to subsection (b)(2) of this section,
the unused contributions made by the individual to the Post-
Vietnam Era Veterans Education Account established pursuant
to section 3222(a) of this title; and
``(B) to the Secretary of Defense the unused contributions
(other than contributions made under section 3222(c) of this
title) made by such Secretary to the Account on behalf of
such individual.
``(3) Any contribution made by the Secretary of Defense to
the Post-Vietnam Era Veterans Education Account pursuant to
subsection (c) of section 3222 of this title on behalf of any
individual referred to in paragraph (1) of this subsection
shall remain in such account to make payments of benefits to
such individual under section 3015(f) of this title.
``(d) The procedures provided in regulations referred to in
subsection (a) shall provide for notice of the requirements
of subparagraphs (B), (C), and (D) of section 3011(a)(3) and
of subparagraph (A) of section 3012(a)(3) of this title.
Receipt of such notice shall be acknowledged in writing.''.
(b) Conforming Amendments.--(1) The table of sections at
the beginning of chapter 30 is amended by inserting after the
item relating to section 3018B the following new item:

``3018C. Opportunity for certain VEAP participants to enroll.''.

(2) Subsection (d) of section 3013 is amended by striking
out ``or 3018B'' and inserting in lieu thereof ``, 3018B, or
3018C''.
(3) Subsection (f) of section 3015 is amended by inserting
``, 3018B, or 3018C'' after ``section 3018A''.
(4) Paragraph (3) of section 3035(b) is amended by striking
out ``or 3018B'' in the matter preceding subparagraph (A) and
inserting in lieu thereof ``, 3018B, or 3018C''.
(c) Transfer of Educational Assistance Funds.--(1)
Subparagraph (B) of section 3232(b)(2) is amended--
(A) by striking out ``, for the purposes of section 1322(a)
of title 31,''; and
(B) by striking out ``as provided in such section'' and
inserting in lieu thereof ``to the Secretary for payments for
entitlement earned under subchapter II of chapter 30''.
(2) Paragraph (1) of section 3035(b) of such title is
amended by inserting before the period at the end the
following: ``and from transfers from the Post-Vietnam Era
Veterans Education Account pursuant to section 3232(b)(2)(B)
of this title''.
(3) Subsection (a) of section 1322 of title 31, United
States Code, is amended by striking out ``(82)'' and
inserting in lieu thereof ``(81)''.

SEC. 104. MONTGOMERY GI BILL ELIGIBILITY FOR CERTAIN ACTIVE
DUTY MEMBERS OF ARMY AND AIR NATIONAL GUARD.

(a) In General.--Paragraph (7) of section 3002 is amended
by striking out ``November 29, 1989'' and inserting in lieu
thereof ``June 30, 1985''.
(b) Application.--(1) An individual may only become
eligible for benefits under chapter 30 of title 38, United
States Code, as a result of the amendment made by subsection
(a) by making an election to become entitled to basic
educational assistance under such chapter. The election may
only be made within the nine-month period beginning on the
date of the enactment of this Act in the manner required by
the Secretary of Defense.
(2) In the case of any individual making an election under
paragraph (1)--
(A) the basic pay of an individual who, while a member of
the Armed Forces, makes an election under paragraph (1) shall
be reduced (in a manner determined by the Secretary of
Defense) until the total amount by which such basic pay is
reduced is $1,200; or
(B) to the extent that basic pay is not so reduced before
the individual's discharge or release from active duty, the
Secretary of Defense shall collect from an individual who
makes such an election an amount equal to the difference
between $1,200 and the total amount of reductions under
subparagraph (A), which amount shall be paid into the
Treasury of the United States as miscellaneous receipts.
(3) In the case of any individual making an election under
paragraph (1), the 10-year period referred to in section 3031
of such title shall begin on the later of--
(A) the date determined under such section 3031; or
(B) the date the election under paragraph (1) of this
subsection becomes effective.

SEC. 105. PERMANENT AUTHORITY FOR ALTERNATIVE TEACHER
CERTIFICATION PROGRAMS.

Subsection (c) of section 3452 is amended by striking out
``For the period ending on September 30, 1996, such'' and
inserting in lieu thereof ``Such''.
TITLE II--VETERANS' BENEFITS PROGRAMS

SEC. 201. EFFECTIVE DATE OF DISCONTINUANCE OF CERTAIN
VETERANS' BENEFITS BY REASON OF DEATH OF
RECIPIENT.

(a) Date of Discontinuance of Benefits.--Section 5112(b)(1)
of title 38, United States Code, is amended to read as
follows:
``(1) by reason of--
``(A) the marriage or remarriage of the payee, shall be the
last day of the month before the month during which such
marriage or remarriage occurs; and
``(B) the death of the payee, shall be (i) the last day of
the month before the month during which the death occurs, or
(ii) in the case of a payee who was in receipt of
compensation or pension and who has a surviving spouse who is
not entitled to have benefits computed under section 5310 of
this title for the month in which the death occurs, the date
on which the death occurs;''.
(b) Payment of Benefit for Final Month.--Section 5112 of
such title is further amended by adding at the end the
following new subsection:
``(d) In the case of discontinuance of payment of
compensation or pension covered by subsection (b)(1)(B)(ii),
the payment for the final calendar month (or any portion
thereof) for which such benefit is payable shall
(notwithstanding any other provision of law) be payable to
the surviving spouse.''.
(c) Commencement Date for DIC.--Section 5110(d) of such
title is amended by adding at the end the following new
paragraph:
``(3) Notwithstanding paragraph (1), the effective date of
an award of dependency and indemnity compensation for which
application is received within one year from the date of
death shall, in the case of a surviving spouse who is not
entitled to have benefits computed under section 5310 of this
title for the month in which the death occurs, be the day
following the date on which the death occurred.''.
(d) Effective Date.--The amendments made by this section
shall apply with respect to the death of compensation and
pension recipients occurring after October 1, 1997.

SEC. 202. INCREASE IN PERIOD FOR WHICH ACCRUED BENEFITS
PAYABLE.

Subsection (a) of section 5121 is amended by striking out
``one year'' in the matter preceding paragraph (1) and
inserting in lieu thereof ``two years''.

SEC. 203. INCREASE IN AUTOMOBILE ALLOWANCE.

(a) In General.--Subsection (a) of section 3902 is amended
by striking out ``$5,500'' and inserting in lieu thereof
``$6,500''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply with respect to purchases of automobiles and
other

[[Page H7559]]

conveyances on or after the date of the enactment of this
Act.

SECTION 204. LEGAL ASSISTANCE FOR FINANCIALLY NEEDY VETERANS
IN CONNECTION WITH COURT OF VETERANS APPEALS
PROCEEDINGS.

(a) In General.--Subchapter III of chapter 72 is amended by
adding at the end the following new section:

``Sec. 7287. Legal assistance for financially needy veterans
in proceedings before the Court

``(a)(1) The Court of Veterans Appeals shall provide funds
in order to provide financial assistance by grant or contract
to legal assistance entities for purposes of programs
described in subsection (b). Such funds shall be provided
from amounts transferred to the Court under subsection (c)(1)
or specifically appropriated to the Court for the purposes of
this section.
``(2) The Court shall seek to provide funds for such
purpose through a nonprofit organization selected by it. If
the Court determines that there exists no nonprofit
organization that would be an appropriate recipient of funds
under this section for the purposes referred to in paragraph
(1) and that it is consistent with the mission of the Court,
the Court shall provide financial assistance, by grant or
contract, directly to legal assistance entities for purposes
of permitting such entities to carry out programs described
in subsection (b).
``(b)(1) A program referred to in subsection (a) is any
program under which a legal assistance entity uses financial
assistance under this section to provide assistance or carry
out activities (including assistance, services, or activities
referred to in paragraph (3)) in order to ensure that
individuals described in paragraph (2) receive, without
charge, legal assistance in connection with decisions to
which section 7252(a) of this title may apply or with other
proceedings before the Court.
``(2) An individual referred to in paragraph (1) is any
veteran or other person who--
``(A) is or seeks to be a party to an action before the
Court; and
``(B) cannot, as determined by the Court or the entity
concerned, afford the costs of legal advice and
representation in connection with that action.
``(3) Assistance, services, and activities under a program
described in this subsection may include the following for
individuals described in paragraph (2) in connection with
proceedings before the Court:
``(A) Financial assistance to defray the expenses of legal
advice or representation (other than payment of attorney
fees) by attorneys, clinical law programs of law schools, and
veterans service organizations.
``(B) Case screening and referral services for purposes of
referring cases to pro bono attorneys and such programs and
organizations.
``(C) Education and training of attorneys and other legal
personnel who may appear before the Court by attorneys and
such programs and organizations.
``(D) Encouragement and facilitation of the pro bono
representation by attorneys and such programs and
organizations.
``(4) A legal assistance entity that receives financial
assistance described in subsection (a) to carry out a program
under this subsection shall make such contributions
(including in-kind contributions) to the program as the
nonprofit organization or the Court, as the case may be,
shall specify when providing the assistance.
``(5) A legal assistance entity that receives financial
assistance under subsection (a) to carry out a program
described in this subsection may not require or request the
payment of a charge or fee in connection with the program by
or on behalf of any individual described in paragraph (2).
``(c)(1)(A) From amounts appropriated to the Department for
each of fiscal years 1997 through 2003 for the payment of
compensation and pension, the Secretary shall transfer to the
Court the amount specified under subparagraph (B) for each
such fiscal year, and such funds shall be available for use
by the Court only in accordance with this section.
``(B) The amount to be transferred to the Court under
subparagraph (A) for any fiscal year is $700,000 for fiscal
year 1997 and the same amount for each succeeding fiscal year
through fiscal year 2003 increased by 3 percent per year,
reduced for any such fiscal year by such amount as may
otherwise be specifically appropriated for the purposes of
the program under this section for that fiscal year.
``(2) The Court shall provide funds available to it for the
purposes of the program under this section to a nonprofit
organization described in subsection (a)(1). Such funds shall
be provided to such organization in advance or by way of
reimbursement, to cover some or all of the administrative
costs of the organization in providing financial assistance
to legal assistance entities carrying out programs described
in subsection (b).
``(3) Funds shall be provided under this subsection
pursuant to a written agreement entered into by the Court and
the organization receiving the funds.
``(d) A nonprofit organization may--
``(1) accept funds, in advance or by way of reimbursement,
from the Court under subsection (a)(1) in order to provide
the financial assistance referred to in that subsection;
``(2) provide financial assistance by grant or contract to
legal assistance entities under this section for purposes of
permitting such entities to carry out programs described in
subsection (b);
``(3) administer any such grant or contract; and
``(4) accept funds, in advance or by way of reimbursement,
from the Court under subsection (c) in order to cover the
administrative costs referred to in that subsection.
``(e)(1) Not later than February 1 of each year, the Court
shall submit to Congress a report on the funds and financial
assistance provided under this section during the preceding
fiscal year. Based on the information provided the Court by
entities receiving such funds and assistance, each report
shall--
``(A) set forth the amount, if any, of funds provided to
nonprofit organizations under paragraph (1) of subsection (a)
during the fiscal year covered by the report;
``(B) set forth the amount, if any, of financial assistance
provided to legal assistance entities pursuant to paragraph
(1) of subsection (a) or under paragraph (2) of that
subsection during that fiscal year;
``(C) set forth the amount, if any, of funds provided to
nonprofit organizations under subsection (c) during that
fiscal year; and
``(D) describe the programs carried out under this section
during that fiscal year.
``(2) The Court may require that any nonprofit organization
and any legal assistance entity to which funds or financial
assistance are provided under this section provide the Court
with such information on the programs carried out under this
section as the Court determines necessary to prepare a report
under this subsection.
``(f) For the purposes of this section:
``(1) The term `nonprofit organization' means any not-for-
profit organization that is involved with the provision of
legal assistance to persons unable to afford such assistance.
``(2) The term `legal assistance entity' means a not-for-
profit organization or veterans service organization capable
of providing legal assistance to persons with respect to
matters before the Court.
``(3) The term `veterans service organization' means an
organization referred to in section 5902(a)(1) of this title,
including an organization approved by the Secretary under
that section.''.
(b) Clerical Amendment.--The table of sections at the
beginning of such chapter is amended by inserting after the
item relating to section 7286 the following new item:

``7287. Legal assistance for financially needy veterans in proceedings
before the Court.''.

The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Arizona [Mr. Stump] and the gentleman from Mississippi [Mr. Montgomery]
will each be recognized for 20 minutes.
The Chair recognizes the gentleman from Arizona [Mr. Stump].
(Mr. STUMP asked and was given permission to revise and extend his
remarks.)

general leave

Mr. STUMP. Mr. Speaker, I ask unanimous consent that all Members may
have 5 legislative days within which to revise and extend their remarks
and include extraneous material on H.R. 3674.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Arizona?
There was no objection.
Mr. STUMP. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, H.R. 3674, is one of the most significant pieces of
veterans legislation to be considered by the House in some time.
It is probably the largest expansion of benefits for veterans since
the Persian Gulf war. As provided for in the congressional budget
resolution, H.R. 3674 increases a variety of veterans' benefits by the
total of $230 million over the next 6 years.
This bill: Increases the Montgomery GI bill active duty monthly basic
rate by $5, to a total of $421.62 per month. Allows certain active duty
servicemembers in the post-Vietnam era educational assistance program
to transfer into the Montgomery GI bill.
Provides Montgomery GI bill eligibility for certain active duty
members of the Army and Air National Guard. Makes permanent, the
authority for alternative teacher certificate programs. Allows a
surviving spouse to retain compensation or pension payments pro rated
to the date of death instead of the end of the month before the veteran
died.
Increases from 1 year to 2 years, the period of time for which
accrued benefits are payable to a surviving spouse in the case of a
veteran who dies while a claim is being adjudicated. Increases the
maximum one-time allowance for the purchase of an automobile by a
severely disabled veteran from $5,500 to $6,500.
And the bill authorizes funds for the pro bono legal assistance
program in connection with proceedings before the U.S. Court of
Veterans Appeals.

[[Page H7560]]

Mr. Speaker, all these benefit improvements are offset by a provision
clarifying the causal relationship required between a veterans'
service-connected disability and an employment handicap for purposes of
determining eligibility for vocational rehabilitation. In addition to
my distinguished colleague, Sonny Montgomery, I want to thank the
chairmen and ranking members of all three of our subcommittees and all
members of the Committee on Veterans' Affairs for their contribution to
this legislation.
Several committee members authored separate bills which have made
their way into H.R. 3674. Additionally, Mr. Speaker, I want to
acknowledge the contribution of this legislation made by the
distinguished chairman of the Budget Committee, Mr. Kasich.
He and his staff worked very closely with the Veterans' Affairs
Committee during this year's budget debate to work out an agreement
allowing this bill to be considered within the context of the
committee's balanced budget proposal.

{time} 1400

Mr. Speaker, I yield such time as he may consume to the gentleman
from Indiana [Mr. Buyer], the chairman of the Subcommittee on Education
and Training.
Mr. BUYER. I thank the chairman for yielding me this time.
Mr. Speaker, H.R. 3674 is really a consolidation of several bills
taken up by two benefits subcommittees. I would like to thank my
colleague, Terry Everett, for this work, on this bill, along with my
other colleagues in the leadership, Sonny Montgomery and Bob Stump; and
also great appreciation to the professional staff for the job that they
have done on this bill.
This bill contains several notable provisions that will enhance a
wide variety of benefits and will spend about $229 million over the
next 6 years to increase veterans benefits. The remaining $56 million
will go to deficit reduction.
I would like to take a moment and say what we really seek to do is
override the Court of Veterans Appeals decision in Davenport versus
Brown. It will clarify the causal relationship required between a
veteran's service-connected disability and an employment handicap, for
purposes of determining eligibility for vocational rehabilitation.
It is my understanding in the Davenport versus Brown, Mr. Davenport,
an attorney, with a 10-percent service-connected disability for a foot
fungus wanted both rehabilitation in the form of a master's degree
program in cinema so he could move to California for work in the movie
industry. The VA denied the claim, saying that the fungus did not cause
him an employability problem. He then appealed to the Court of Veterans
Appeals, who then said that the service-connected disability did not
have to cause an employability problem, merely had to be a service
disability and have a employability problem due to any cause to get voc
rehabilitation.
I disagree with the decision of the Court of Veterans Appeals and so
do many of my colleagues in this body. We have worked in a bipartisan
fashion to draft this bill. Section 101, in fact, will override the
Court of Veterans Appeals decision in Davenport versus Brown by
reestablishing the longstanding requirement that a veteran's employment
handicap be the result of a service-connected disability in order to
qualify for vocational rehabilitation benefits.
Section 102 would increase the basic monthly rate for the Montgomery
GI bill benefits by $5 to $421.62 for 3-year enlistees and $343.51 for
2-year enlistees. That is an increase in veterans benefits over 6
years of $92 million.

Section 103 of this bill will allow active duty service members to
transfer from the old post Vietnam Era Education Assistance Program,
known as VEAP, to the Montgomery GI bill under chapter 30. Under VEAP,
a veteran could expect a maximum benefit of $8,100. Under the
Montgomery GI bill, a veteran can expect a minimum of about $15,500 for
a 3-year enlistment. This will increase veterans benefits by $18
million over 6 years.
Section 104 of this bill will offer active duty Army or Air Force
National Guard members who are not eligible for any sort of education
benefit to participate in the Montgomery GI bill. These are Guardsmen
and women who enlisted between June 30, 1985 and November 29, 1989. We
are increasing veterans benefits by $14 million over 6 years.
Section 105 would make permanent the program to provide GI bill
funding for veterans enrolled in programs designed to certify teachers
through nontraditional education institutions. We are increasing
veterans benefits by $6 million over 6 years.
Section 201 will allow a surviving spouse to retain compensation or
pension payments prorated to the day of death instead of the end of the
month before a veteran died. We are increasing veterans benefits by
over $70 million over 6 years.
Section 202 increases the period of time for which accrued benefits
are payable to a surviving spouse to 2 years. These are spouses of
veterans who die while their claim is being adjudicated. We are doing
this because of the large increase in adjudication time at VBA. We are
increasing veterans benefits under this provision by $17 million over 6
years.
Section 203 would increase the maximum, one-time auto purchase
allowance from $5,500 to $6,500. The allowance is available only to
severely disabled veterans if their disability is service-connected. We
are increasing veterans benefits in this provision by $6 million over 6
years.
Section 204 will keep the pro bono legal representation program at
the Court of Veterans Appeals alive by directing VA transfer $700,000
per year from the C&P account to the court. The pro bono program
provides legal representation of financially needy veterans in
connection with proceedings before the U.S. Court of Veterans Appeals
at no cost to the veterans. We are increasing veterans benefits by this
provision $6 million over 6 years.
That is a total increase in veterans benefits by this committee of
$229 million over 6 years. I think that is an excellent action.
A lot of things go out and get CNN headline news. It is a shame when
we are working in this Congress that the work of my dear colleagues,
Sonny Montgomery and Bob Stump, doing great things on behalf of
veterans, is not shown.
This is virtually our only opportunity in this Congress to make these
kinds of program improvements. These are good provisions that will make
a difference in the lives of thousands of veterans and surviving
spouses. It is a bipartisan bill.
I thank all the Members on both sides of the aisle for their support,
and I urge the full support of this bill by my colleagues.
Mr. MONTGOMERY. Mr. Speaker, I yield myself such time as I may
consume.
To the gentleman from Indiana [Mr. Buyer] just in the well, this is
important legislation. What we are doing is helping the young veteran,
and it certainly should be pointed out that the legislation we have
brought up today is very, very beneficial for our veterans and their
dependents.
This last bill, H.R. 3674, as amended, does include several
provisions that would improve the GI bill and make it available to more
veterans. The monthly benefits have been mentioned, if they go to
school, a $5 a month increase allows service members participating in
the old VEAP program that was after the Vietnam war, a program to
enroll in the GI bill. It provides eligibility for educational benefits
to certain active duty members of the National Guard. These active duty
members are known as AGR's. It also makes permanent a program to
encourage veterans to become teachers.
Mr. Speaker, a $5 a month increase does not sound like a lot of
money, but there are a lot of people out there getting these
educational benefits, and anything we can do to encourage more veterans
to use this program we think is worthwhile.
I want to thank the gentleman from Arizona [Mr. Stump], chairman, and
the gentleman from Indiana [Mr. Buyer], the gentleman from Alabama [Mr.
Everett], the gentleman from Illinois [Mr. Evans], the gentleman from
California [Mr. Filner], and other members of the committee for
supporting us on this bill. I am very pleased with the recent
Department of Defense report that said that the GI bill is the best
recruiting tool that the military

[[Page H7561]]

has. It is really better than the cash benefits. But really the main
purpose of the GI bill is to help veterans readjust to civilian life
when they leave the military service. Over 2 million young men and
women have chosen to participate in the Montgomery GI bill since the
program started in 1985.
Mr. Speaker, this bill has brought in a lot of money, of the $100 a
month the active duty people pay for 12 months, has brought in more
than $2 billion. So this has really helped the cost of the program, and
it has not been a heavy cost, to the taxpayer.
I want to say that this has brought qualified young people into the
military service. We need quick learners now that the type of equipment
we have in the military is very sophisticated and these young people
need to have quick minds. We believe the educational benefits bring in
the qualified people.
Mr. Speaker, the last veterans' bill, H.R. 3674, as amended, includes
several provisions that would improve the Montgomery GI bill and make
it available to more veterans. It increases the monthly benefit for
veterans going to school by $5 a month, it allows servicemembers
participating in the old VEAP program to enroll in the GI bill, and it
provides eligibility for education benefits to certain active duty
members of the National Guard. It also makes permanent a program to
encourage veterans to become teachers.
A $5 per month increase doesn't sound like a lot of money, but
anything we can do to encourage more veterans to use this program is
worthwhile. I want to thank Mr. Stump, Mr. Buyer, and the other members
for supporting VA on this.
Mr. Speaker, I am very pleased with a recent Department of Defense
[DOD] report concerning the Montgomery GI bill. Recruiters from all
services say this program is the best recruitment tool they have, and
DOD strongly supports the GI bill's continuation. The principal purpose
of the GI bill is to help veterans readjust to civilian life. The best
news is that, in March of this year, 95 percent of all new active-duty
recruits chose to enroll in the GI bill. This means that over 11,000
young men and women will have the means to further their education--in
addition to the over 2 million recruits who have chosen to participate
in the Montgomery GI bill since the program began in 1985.
Additionally, Mr. Speaker, I would like my colleagues to know that
since the GI bill's establishment, more than $2 billion have been
returned to the Treasury because of the basic pay reduction required
under the GI bill for active duty service members.
This program has been a winner in every way. The GI bill has enabled
the services to recruit the bright young people they need, it has been
a cost-effective program and, most important, millions of fine men and
women will have an opportunity to go to school that they might not have
had but for the GI bill.
I want to commend Mr. Evans for sponsoring the provision in this bill
which would allow the VA to pay 2 years in back benefits to the
survivor of a veteran whose claim is allowed after his or her death.
Mr. Evans, in tandem with Terry Everett, the chairman of the
Subcommittee on Compensation, Pensions, Insurance and Memorial Affairs,
has worked hard and searched for the best ways to improve veterans
programs within that subcommittee's jurisdiction.
Mr. Speaker, I yield 3 minutes to the gentleman from California [Mr.
Filner].
Mr. FILNER. I thank the gentleman for yielding me this time.
Mr. Speaker, I will not take up time by again summarizing this bill.
I do, though, want to particularly point out two of the provisions in
H.R. 3674. First, this measure would provide a modest increase in the
benefits paid under the Montgomery GI bill--active duty. As the costs
of education continue to rise, we must ensure that the GI bill is a
meaningful readjustment benefit that provides an adequate level of
assistance to our veteran students. Additionally, in a recent report,
the Department of Defense cautioned that we must pay close attention to
the benefit levels paid under the Montgomery GI bill if this program is
to continue to be an effective recruitment tool.
Next, a provision of H.R. 3674 would permit certain active-duty
individuals who have eligibility under the Veterans' Educational
Assistance Program, known as VEAP, to transfer to the Montgomery GI
bill. By way of background, the new GI bill, as introduced by Mr.
Montgomery and approved by the House in 1984, would have permitted all
servicemembers with VEAP eligibility to transfer to the new program.
The new GI bill was a far more generous program than VEAP, and Sonny
wanted those members of the Armed Forces who were VEAP-eligibles to
have the opportunity to enroll in the more attractive program.
Unfortunately, the then-chairman and ranking member of the Senate Armed
Services Committee, both of whom were opposed to the new GI bill,
refused to accept this provision. The only way to reach a compromise
and establish the new program was to accept the Senate restrictions on
eligibility. Since then, however, Sonny has taken every opportunity to
move individuals out of the VEAP program and into the Montgomery GI
bill. H.R. 3674 continues his good work, and will enable yet another
group of servicemembers to establish Montgomery GI bill eligibility.
The Montgomery GI bill has been a landmark program, and I am proud to
have the opportunity make it even stronger and better.
Mr. STUMP. Mr. Speaker, I yield 3 minutes to the gentleman from
Pennsylvania [Mr. Fox], a member of the committee.
Mr. FOX of Pennsylvania. Mr. Speaker, I want to thank Chairman Stump
for yielding time and for his leadership with this legislation. I am
grateful for his assistance including provisions to authorize the
exceptional veterans pro bono legal representation program within the
bill. I would also like to thank Mr. Montgomery, the ranking member;
Mr. Buyer, Mr. Everett, Mr. Hutchinson, Mr. Evans, Mr. Mascara, Mr.
Bilirakis, Mr. Tejeda, Mr. Weller, Mr. Stearns, and my other colleagues
on the committee for their strong support of our legislation to
authorize the outstanding pro bono legal program which represents
veterans before the Court of Veterans Appeals.
Mr. Speaker, the pro bono program provides countless hours of
volunteer legal service to veterans who would otherwise be unable to be
represented before the Court of Veterans Appeals.
This exceptional initiative helps veterans secure the rights and
benefits that they have earned by virtue of their dedicated service to
our great Nation. Moreover, the program improves the efficiency of the
court and provides training to lawyers to assist veterans across the
Nation.
In fiscal year 1994 the pro bono program volunteer attorneys provided
over 15,000 hours of service and a remarkable 77 percent of their
veteran clients were successful in overturning the initial decision of
the board. Not surprisingly, the program has broad support from the
court and veterans service organizations and has received commendations
from Supreme Court Chief Justice William Rehnquist.
After hearing from the Court of Veterans Appeals, the pro bono
program, the veterans service organizations, the Department of Veterans
Affairs, and the Veterans Law Section of the Federal Bar Association, I
introduced H.R. 3943 to provide statutory authorization for this
tremendous service initiative.

{time} 1415

Accordingly, I am delighted that this legislation was included within
the bill that we have here today, H.R. 3674. But I would also like to
express my gratitude to the Committee on Veterans' Affairs, the staff,
the pro bono program, the Court of Veterans Appeals, and the veterans
service organizations for their help on the bill.
Again I thank the gentleman from Arizona [Mr. Stump], the chairman,
and the gentleman from Mississippi [Mr. Montgomery], the ranking
member, for their leadership on this important legislation we will act
on today.
Mr. MONTGOMERY. Mr. Speaker, I yield 3 minutes to the gentleman from
Illinois [Mr. Evans].
Mr. EVANS. Mr. Speaker, I first want to thank all those Members,
particularly the gentleman from Pennsylvania [Mr. Fox], for sponsoring
the provision to authorize funds for the pro bono legal assistance
program. The veterans who have been awarded benefits by the Court of
Veterans Appeals as a result of the legal assistance provided by the
program fully understand the importance of this program and the need
for this program in the future to be available to veterans who need it.
I want to commend the gentleman from Arizona, Chairman Stump, the
gentleman from Indiana, Subcommittee Chairman Buyer and the gentleman
from Alabama, Subcommittee Chairman Everett, as well as the gentleman

[[Page H7562]]

from Mississippi, Ranking Member Sonny Montgomery and the gentleman
from California, Bob Filner, for all their hard work on this
legislation.
This bill makes a number of enhancements to the Montgomery GI bill, a
program I have been pleased to name. We had an amendment in the
committee to name it the Montgomery GI bill, and I was pleased to offer
that amendment. By providing an opportunity for more service members to
enroll in the Montgomery GI bill, we increase the educational
opportunities for deserving Americans, and by increasing the benefit
level wherever we can we signify our commitment to the education needs
of our veterans and service members.
Mr. Speaker, I am not sure I will have another opportunity on this
floor to express my thoughts about my colleague the gentleman from
Mississippi, Congressman Sonny Montgomery. I believe every veteran in
this country owes the gentleman a debt of gratitude for his work and
commitment to serving veterans. Through his work, particularly on
establishing the GI bill program, he has left a legacy that will be
long remembered. He has earned the title ``Mr. Veteran.''
The gentleman has been a faithful guardian and protector of the
veterans of this Nation, and we will miss him very much. I want to
personally offer my appreciation for his many years of service on the
Committee on Veterans Affairs and the Committee on National Security
and to wish him the very best in the future.
Mr. STUMP. Mr. Speaker, I yield 3 minutes to the gentleman from New
York [Mr. Gilman], the chairman of the Committee on International
Relations.
(Mr. GILMAN asked and was given permission to revise and extend his
remarks.)
Mr. GILMAN. Mr. Speaker, I am pleased to rise in strong support of
this measure, the veterans educational compensation benefits
amendments, and to commend our committee's distinguished chairman, the
gentleman from Arizona [Mr. Stump], and his ranking minority member
partner, the distinguished gentleman from Mississippi [Mr. Montgomery].
These two gentleman have kept our veterans' affairs and their benefits
right before the American public, before the Congress, and we owe them
a deep debt of gratitude for doing what they are doing to keep our
veterans in good stead.
This legislation now before us makes several adjustments to veterans
compensation programs. It makes improvements to the Montgomery GI bill,
a historic measure. The bill increases the monthly basic Montgomery GI
bill rates.
The most significant change to education benefits is that veterans
will now have to prove that their employment handicaps are directly
related to service-connected disabilities in order to be eligible for
training and vocational rehabilitation benefits.
This legislation also allows a surviving spouse to retain
compensation or pension payments pro rated until the day of death,
instead of the end of the previous month before the veteran died, as
under current law.
Furthermore, the payment period for accrued benefits is increased
from 1 to 2 years, and the maximum allowance provided by the VA
Secretary for the purchase of an automobile is increased from $5,500 to
$6,500.
Finally, funding is authorized for financial assistance, by contract
or grant, to legal assistance entities to represent financially needy
veterans in proceedings before the U.S. Court of Veterans Appeals,
enabling them to pursue their appeal properly.
Mr. Speaker, this bill provides for numerous improvements to veterans
compensation and education benefits programs. I strongly urge its
passage.
Again, I want to thank the leadership of the Veterans' Affairs
Committee and ranking minority member for their excellent work in
helping our veterans.
Mr. STUMP. Mr. Speaker, I yield 3 minutes to the gentleman from
Florida [Mr. Bilirakis].
Mr. BILIRAKIS. Mr. Speaker, I am still out of breath running here
from the airport, but I appreciate the gentleman from Arizona yielding
me the time.
Mr. Speaker, I rise in support of H.R. 3674, the veterans educational
and compensation benefits amendments. I ask unanimous consent to revise
and extend my remarks.
I am pleased that a bill I introduced, H.R. 109, has been
incorporated into H.R. 3674, My bill addresses a problem that confronts
the surviving spouse of a recently deceased veteran. Under current law,
if a veteran dies before the end of the month, even if it is only by a
few hours, the surviving spouse will have that month's disability
compensation revoked.
Clearly this policy creates a huge financial burden for a recent
widow, especially if she is not eligible for dependency and indemnity
compensation. H.R. 3674 allows a surviving spouse to retain
compensation or pension payments by prorating these payments to the
date of death, and therefore, provides the surviving spouse with
compensation for each day the veteran lived in that final month. For
example, if the veteran lives until the 15th of the month, his spouse
will be allowed to keep his compensation from the 1st through the 15th.
In the 104th Congress, my legislation has received widespread
bipartisan support in the House and is supported by the veterans'
organizations and the VA. I want to thank Compensation Subcommittee
Chairman Everett and Education Subcommittee Chairman Buyer for their
support on this important issue.
The enactment of H.R. 3674 would recognize that the financial
obligations of a veteran's household do not vanish upon the veteran's
death. Rent or mortgage payments and other bills will still come due,
and a surviving spouse should not be left without any contribution from
the VA for the last days of a veteran's life.
I urge my colleagues to support H.R. 3674.
Mr. MONTGOMERY. Mr. Speaker, I yield myself 1 minute.
Mr. Speaker, we have the blue sheets on each one of the four bills
that we have talked about today, and if any Member would like to have
one of those blue sheets, they explain each bill.
Mr. Speaker, I would like to thank my colleagues for the kind words
that have been said about us today. You know, this is really what it is
all about serving in Congress, the little things you are able to do
that are appreciated.
Mr. Speaker, with that, I yield back the balance of my time.
Mr. STUMP. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, in closing, let me once again acknowledge the splendid
cooperation from the ranking member, my good friend the gentleman from
Mississippi, Sonny Montgomery, as well as the subcommittee ranking
members, the gentleman from Illinois, Mr. Evans, the gentleman from
Texas, Mr. Edwards, the gentleman from California, Mr. Filner. I almost
forgot him, as well as my own subcommittee chairmen, the gentleman from
Alabama, Mr. Everett, the gentleman from Arkansas, Mr. Hutchinson, and
the gentleman from Indiana, Mr. Buyer, for all the hard work they have
done. Especially I would like to thank the staff for the many hours
that they have put in helping us to arrive at this point today. We take
pride in being very bipartisan on this committee, and that extends down
to the staff, too, and we are proud that we can do that and accomplish
what we can for the veterans.
Mr. STEARNS. Mr. Speaker, in an era of international economic
competition, education is more important than ever. The link between
education and our economic competitiveness is clear. In this decade, 89
percent of the jobs being created require some form of post-secondary
training. That is why I rise today in support of this measure which
increases the monetary amount and expands access to certain members of
the Army and National Guard for the Montgomery GI bill.
By allowing participants in the Veterans' Education Assistance
Program to transfer into the Montgomery GI bill, veterans will be
afforded a greater education benefit, and an unpopular and relatively
unsuccessful program will be brought nearer to closure. It is in our
Nation's best interest to provide improved education opportunities
whenever possible.
This legislation represents a substantial stride toward transforming
the Department of Veterans' Affairs into a more effective and efficient
organization that can better serve our Nation's veterans. I urge my
colleagues to support this measure and thus demonstrate its commitment
to our outstanding young men and women who are the backbone of our
Armed Forces.

[[Page H7563]]

Mr. STUMP. Mr. Speaker, I have no further requests for time, and I
yield back the balance of my time.
The SPEAKER pro tempore (Mr. Gutknecht). The question is on the
motion offered by the gentleman from Arizona [Mr. Stump] that the House
suspend the rules and pass the bill, H.R. 3674, as amended.
The question was taken; and (two-thirds having voted in favor
thereof) the rules were suspended and the bill, as amended, was passed.
A motion to reconsider was laid on the table.

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