[Congressional Record Volume 145, Number 103 (Tuesday, July 20, 1999)]
[Senate]
[Pages S8878-S8880]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. DeWINE (for himself, Mr. Dodd, Ms. Snowe, Ms. Landrieu, 
        Mr. Reid, Mrs. Boxer, Mr. Inouye, Mr. Sarbanes, Mr. Kennedy, 
        and Mr. Wellstone):
  S. 1399. A bill to amend title 38, United States Code, to provide 
that pay adjustments for nurses and certain other health-care 
professionals employed by the Department of Veterans Affairs shall be 
made in the manner applicable to Federal employees generally and to 
revise the authority for the Secretary of Veterans Affairs to make 
further locality pay adjustments for those professionals; to the 
Committee on Veterans' Affairs.


                   va nurse appreciation act of 1999

  Mr. DeWINE. Mr. President, I rise today to introduce legislation to 
address a little known but very important issue within the Department 
of Veterans Affairs. The legislation would correct an injustice 
suffered throughout this decade by a workforce of 39,000 dedicated 
nurses who devote their careers toward the caring of our nation's 
veterans. Due to an unintentional use of federal law, the VA has 
allowed nurses to go up to five years in a row without a single raise. 
In some cases, VA nurses have received pay cuts by as much as eight 
percent in a single year, or received a token raise of one-tenth of one 
percent. I am today, along with Senators Dodd, Snowe, Landrieu, Reid, 
Boxer, Inouye, Sarbanes and Kennedy, calling on Congress to put an end 
to this practice by passing the VA Nurse Appreciation Act.
  We find ourselves in this situation because of unintended 
consequences. In 1990, Congress passed the Nurse Pay Act, which allowed 
VA medical center directors to give VA nurses higher annual pay raises 
than other federal employees on the General Schedule (GS). At the time, 
this well intentioned bill was needed to address a national nursing 
shortage in VA hospitals. However, after the shortage eased, many 
medical center directors used the discretion given to them by the law 
to provide minimal raises and even pay cuts. In my own state of Ohio, 
from 1996 to 1998, VA nurses in Columbus took a 2.8% pay cut, while 
federal employees in the same area received pay raises ranging from 
2.4% to 3%. This clearly was not what Congress had in mind when it 
passed the 1990 Nurse Pay Act.
  Unfortunately, the problem is widespread and knows no geographic 
boundaries. From 1996-1999, nurses at sixteen different VA medical 
centers had their pay rate cut by as much as eight percent, while other 
federal employees received annual GS increases ranging from 2.4% to 
3.6% or more. In addition, from 1996-1999, no raises were given to 
Grade I, II or III nurses at approximately 80 VA medical centers around 
the country.
  To address this wrong, the VA Nurse Appreciation Act. This bill would 
ensure that Title 38 nurses would be eligible to receive the same 
annual GS increase plus locality pay provided to all other federal 
employees in their area. The bill would preserve the essential purpose 
of the 1990 Nurse Pay Act by giving the VA Secretary the discretion to 
increase pay, or delegate this authority to VA medial center directors 
if they have trouble recruiting or retaining quality nurses.
  Mr. President, what message are we sending to our veterans when we 
are not willing to pay the nurses that provide their daily care the 
same pay increases that every federal employee now receives. Congress 
should be dedicated to providing our veterans the

[[Page S8879]]

best possible health services, and putting an emphasis on top quality 
nursing care is a right step in that direction. This bill would end the 
practice of discriminatory pay cuts by directors of VA medical 
facilities and provide the assurance of at least the GS raise received 
by all other federal employees. This bill is really about fairness. It 
would help those dedicated workers who have not been receiving regular 
pay raises for years. If we can pass this bill quickly, we can insure 
all VA nurses will receive a much-deserved pay raise in January 2000.
  This bill is companion legislation to H.R. 1216, introduced by my 
colleague and friend from Ohio, Congressman LaTourette. It has the 
support of the American Nurses Association (ANA), the American 
Federation of Government Employees (AFGE) and the National Federation 
of Federal Employees (NFFE) along with various veterans groups, 
including the Disabled American Veterans and the Paralyzed Veterans of 
America. The LaTourette bill has bipartisan support from more than 70 
House members, including 11 members of the House committee on Veterans' 
Affairs.
  Congress now has the chance to right a wrong and show VA nurses that 
their compassion and dedication are appreciated. I urge my colleagues 
to support and cosponsor the VA Nurse Appreciation Act.
  I ask unanimous consent that the text of the VA Nurse Appreciation 
Act and letters in support of the legislation be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                S. 1399

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Department of Veterans 
     Affairs Nurses Appreciation Act of 1999''.

     SEC. 2. REVISED AUTHORITY FOR ADJUSTMENT OF BASIC PAY FOR 
                   NURSES AND CERTAIN OTHER HEALTH-CARE 
                   PROFESSIONALS OF THE DEPARTMENT OF VETERANS 
                   AFFAIRS.

       (a) Annual Adjustments under Title 5.--Section 7451 of 
     title 38, United States Code, is amended--
       (1) by striking subsections (d), (e), (f), and (g); and
       (2) by adding after subsection (c) the following new 
     subsection (d):
       ``(d) The rates of basic pay for each grade in a covered 
     position shall (notwithstanding subsection (a)(3)(A)) be 
     adjusted annually by the same percentages as the rates of pay 
     under the General Schedule are adjusted pursuant to sections 
     5303 and 5304 of title 5. Adjustments under this subsection 
     shall be effective on the same date as the annual adjustments 
     made in accordance with such sections 5303 and 5304.''.
       (b) Revised Title 38 Locality Pay Authority.--Such section 
     is further amended by adding after subsection (d), as added 
     by subsection (a) of this section, the following new 
     subsection (e):
       ``(e)(1) Whenever after October 1, 2002, the Secretary 
     determines that the rates of basic pay in effect for a grade 
     of a covered position, as most recently adjusted under 
     subsection (d), at a given Department health-care facility 
     are inadequate to recruit or retain high-quality personnel in 
     that grade at that facility, the Secretary shall in 
     accordance with this subsection adjust the rates of basic pay 
     for that grade at that facility.
       ``(2) An adjustment in rates of basic pay for a grade under 
     this subsection shall be made by determining a minimum rate 
     of basic pay for the grade and then adjusting the other rates 
     of basic pay for the grade to conform to the requirements of 
     subsection (c).
       ``(3)(A) The Secretary shall determine a minimum rate of 
     basic pay for a grade for purposes of paragraph (2) so as to 
     achieve consistency between the rates of basic pay for the 
     grade at the facility concerned and the rates of compensation 
     in the Bureau of Labor Statistics labor market in which the 
     facility is located for non-Department health-care positions 
     requiring education, training, and experience that is 
     equivalent or similar to the education, training, and 
     experience required for Department personnel in the grade at 
     the facility.
       ``(B) The Secretary shall utilize the most current 
     industry-wage survey of the Bureau of Labor Statistics for a 
     labor market in meeting the objective specified in 
     subparagraph (A).
       ``(C) For purposes of this paragraph, the term `rate of 
     compensation', with respect to health-care positions in non-
     Department health-care facilities, means the sum of--
       ``(i) the rate of pay for personnel in such positions; and
       ``(ii) any employee benefits (other than benefits similar 
     to benefits received by employees in the covered position 
     concerned) for those health-care positions to the extent that 
     such employee benefits are reasonably quantifiable.
       ``(4) An adjustment under this subsection may not reduce 
     any rate of basic pay.
       ``(5) An adjustment in rates of basic pay under this 
     subsection shall take effect on the first day of the first 
     pay period beginning after the date on which the adjustment 
     is made.
       ``(6) The Secretary shall prescribe regulations providing 
     for the adjustment of rates of basic pay for employees in 
     covered positions in the Central and Regional Offices in 
     order to assure the recruitment and retention of high-quality 
     personnel in such positions in such offices. The regulations 
     shall provide for such adjustment in a manner similar to the 
     adjustment of rates of basic pay under this subsection.''.
       (c) Annual Adjustments in Increased Rates of Basic Pay.--
     Section 7455 of such title is amended--
       (1) in subsection (a)(1), by striking ``and (d)'' and 
     inserting ``(d), and (e)''; and
       (2) by adding at the end the following:
       ``(e) Whenever an annual adjustment in rates of basic pay 
     under sections 5303 and 5304 of title 5 becomes effective on 
     or after the effective date of an increase in rates of basic 
     pay under this section, the rates of basic pay as so 
     increased under this section shall be adjusted in accordance 
     with appropriate conversion rules prescribed under section 
     5305(f) of title 5, effective as of the effective date of 
     such annual adjustment in rates of basic pay.''.
       (d) Conforming Amendment.--Subsection (c)(1) of section 
     7451 of such title is amended by striking the third sentence.
       (e) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 1999.

     SEC. 3. SAVINGS PROVISION.

       In the case of an employee of the Veterans Health 
     Administration who on the day before the effective date of 
     the amendment made by section 2(a) is receiving a rate of pay 
     by reason of the second sentence of section 7451(e) of title 
     38, United States Code, as in effect on that day, the 
     provisions of the second and third sentences of that section, 
     as in effect on that day, shall continue to apply to that 
     employee, notwithstanding the amendment made by section 2(a).
                                  ____

         AMERICAN FEDERATION OF GOVERNMENT EMPLOYEES, AFL-CIO,
                                    Washington, DC, June 29, 1999.
       Dear Senator: On behalf of the American Federation of 
     Government Employees, AFL-CIO, and the 600,000 federal 
     employees we represent, I am writing to urge you to become an 
     original co-sponsor of the Department of Veterans Affairs 
     Nurses Appreciation Act of 1999. This bipartisan bill will be 
     introduced by Senator Mike DeWine (R-OH) and Senator Chris 
     Dodd (D-CT).
       The bill corrects an incongruity in the pay system for 
     workers at the Department of Veterans Affairs (DVA) which has 
     hurt nurses and other health care workers. For the last 
     decade, the roughly 39,000 DVA nurses who care for our ailing 
     veterans have been part of a unique, locality-based pay 
     system that gives hospital directors discretion over nurses 
     salaries. Unfortunately, this atypical discretion has been 
     used to freeze nurse pay, provide minuscule annual raises and 
     even cut pay rates by as much as 8% in a single year.
       The Department of Veterans Affairs Nurses Appreciation Act, 
     which is being introduced at the request of AFGE, will 
     rectify the longstanding abuse of DVA nurses. It will put a 
     permanent stop to wage freezes and negative pay adjustments. 
     It will guarantee that DVA nurses and other health care 
     employees receive the same general schedule (GS) increase 
     plus locality pay given to virtually all other federal 
     workers, including federal workers who work alongside our DVA 
     nurses. Should the DVA have problems recruiting or retaining 
     quality nurses in the future, the Secretary will have the 
     flexibility to increase pay if necessary.
       The primary purpose of this bill is to ensure that DVA 
     employees who have been denied annual pay increases will 
     start to be put on equal footing with their GS co-workers.
       Veterans service organizations such as the Disabled 
     American Veterans, the Vietnam Veterans of America, and the 
     Paralyzed Veterans of America support passage of the 
     Department of Veterans Affairs Nurses Appreciation Act of 
     1999.
       Year after year, DVA nurses have lagged behind in pay 
     increases, as compared to their GS co-workers. For example, 
     in 1996, the average pay raise for nurses was 1.2 percent; 
     compared to the 2.4 percent average increase received by 
     their GS co-workers. In 1997, the average pay raise for 
     nurses was again 1.2 percent, compared to the 3.0 percent 
     average increase received by their GS co-workers. In 1998, 
     the average pay raise for nurses was 2.2 percent, compared to 
     the 2.9 percent average increase received by their GS co-
     workers. In 1999, the average pay raise for nurses was 3.0 
     percent, compared to the 3.6 percent average increase 
     received by their GS co-workers. From 1996 through 1999, DVA 
     nurses on average were denied a pay raise equal to 4.5 
     percent because of the current pay system for nurses.
       DVA nurses, like their co-workers, deserve praise and 
     respect for standing by our nation's veterans. As you may 
     recall during the government shutdown DVA nurses and their 
     co-workers took care of veterans without even knowing whether 
     they would get paid.
       Many DVA nurses could have pursued higher paying jobs in 
     the private sector. Instead, most have chosen to stay with 
     the DVA because they care deeply for our aging and ailing 
     veterans and are earnestly committed to

[[Page S8880]]

     their specialized and patriotic work. In fact, most DVA 
     nurses have dedicated their entire careers to caring for 
     veterans. The average DVA nurse is a 47 year old female with 
     11 years of tenure.
       DVA nurses, like their co-workers, provide not only a vital 
     service for our nation's veterans, but honor veterans with 
     compassion, respect and professional care. I urge you to 
     demonstrate to these dedicated workers that their work is 
     valued and appreciated by becoming an original co-sponsor of 
     the Department of Veterans Affairs Nurse Appreciation Act. If 
     you have any questions about this bill, please contact Mike 
     Hall in Senator DeWine's office at 224-2315 or Dominic 
     DelPozzo in Senator Dodd's office at 224-2823 or Linda 
     Bennett in AFGE's Legislative Department at (202) 639-6413.
           Sincerely,
                                            Bobby L. Harnage, Sr.,
     National President.
                                  ____



                                  American Nurses Association,

                                    Washington, DC, June 11, 1999.
     Hon. Steven C. LaTourette,
     U.S. House of Representatives,
     Washington, DC.
       Dear Representative LaTourette: The American Nurses 
     Association (ANA) is pleased to support H.R. 1216, the VA 
     Nurse Appreciation Act of 1999. While the Veterans Health 
     Administration (VHA) has made some effort to address the 
     implementation problems of the VA Nurse Locality Pay System, 
     more significant and immediate action must be taken to ensure 
     that VA registered nurses are appropriately paid for their 
     expert work.
       H.R. 1216 would allow for all Title 38 registered nurses, 
     employed within the VHA, to receive the same pay adjustment 
     provided all federal employees covered by the Federal 
     Employees Pay Comparability Act (FEPCA). This pay adjustment 
     would include both the nationwide component and a locality 
     pay component. Passage of H.R. 1216 provides for this 
     adjustment without requiring that VA registered nurses be 
     placed on the General Schedule levels of one to fifteen.
       ANA strongly supports the provision that provides 
     additional authority, starting in 2002, to the Secretary of 
     the Veterans Administration to adjust the rates of basic pay. 
     This provision is necessary to ensure that the VA can 
     continue to adequately recruit and retain registered nurses. 
     The VA's inability to recruit and retain registered nurses 
     was one of the primary reasons for passage of the original VA 
     nurse locality pay bill. In the near future, nursing will 
     again be facing a tightening labor market and the VA must be 
     able to compete.
       ANA applauds your efforts to address this significant 
     problem and we stand ready to assist in anyway possible.
           Sincerely,
                                              Marjorie Vanderbilt,
                           Director, Federal Government Relations.

 Mr. DODD. Mr. President, I rise today to join my colleague, 
Senator DeWine, in introducing the Nurse Appreciation Act of 1999. It 
will alter the Department of Veterans Affairs' regulations regarding 
compensation rates for nurses. Unfortunately, the current regulations 
have led to hardship for many of our nation's VA nurses.
  For example, from 1996 through 1999, nurses at 16 VA hospitals have 
seen their pay slashed by up to eight percent. Also, during those same 
years, nurses at 80 VA hospitals have not received a single raise. 
Meanwhile, other federal employees at all VA hospitals received the 
annual General Schedule increases of 2.4 percent to 3.6 percent. This 
nation cannot continue a policy of turning a blind eye to those who 
care for its sick and wounded veterans.
  The Nurse Appreciation Act of 1999 will correct this injustice which 
seems to be an unintended consequence of the Nurses Pay Act of 1990. 
That law was written when VA hospitals faced a shortage of qualified 
nurses, and it gave hospital directors wide discretion in setting pay 
rates for nurses in their hospitals. The law partially served its 
purpose because it allowed directors to increase nurses' pay rates if 
they were having difficulty recruiting and retaining qualified nurses. 
Those who wrote the law, however, could not have anticipated that the 
VA would take advantage of the fact that the law did not mandate any 
minimum annual increase each year. They could not have anticipated that 
the law would be used to freeze or even reduce nurses' pay rates.
  Over the past several years, a few factors emerged to create the 
inequity in VA nurses' compensation. First, the nurse shortage of a 
decade ago has subsided. Second, VA hospital directors and network 
directors have been granted more responsibility for their budgets. In 
other words, if hospital directors can save money by not providing an 
annual increase to nurses, then the directors can use that money for 
other purposes. Finally, to make matters worse, the funding that goes 
to these hospitals has been, in many cases, steady or decreasing over 
the past few years. I know, for example, that the two VA hospitals in 
Connecticut have not received a real funding increase in about three 
years. So the hospitals in Newington, West Haven, and in many other 
cities throughout the country must tighten their belts each year to 
absorb costs due to inflation.
  The pressure to save money has caused many hospital directors to 
forgo providing even the slightest annual increase to nurses. Yet, 
hospital budget pressures have absolutely no bearing on whether other 
federal employees--including other veterans hospital employees--receive 
their annual salary increases. Those increases are prescribed by the 
federal government. This legislation just says that nurses should be 
treated the same as the others. It says that nurses should not bear a 
disproportionate share of the burden caused by stagnant budgets at our 
VA hospitals.
  Apparently the VA believes that, in the absence of a nurse shortage, 
annual increases for nurses are unnecessary. But I do not subscribe to 
that reasoning. We should not wait for a crisis before we take action. 
If we get to the point where some VA hospitals are unable to retain 
well-qualified nurses as a result of unbearably inadequate pay, we will 
have waited far too long and will have badly degraded services at our 
VA hospitals.
  Furthermore, this nation has benefitted from a robust economy over 
the last several years. That economy has given a boost to nearly every 
segment of society. Clearly, though, despite the immense value of their 
work, many VA nurses have been left behind. Valuable work on behalf of 
this nation deserves, at a minimum, adequate compensation. This bill 
will provide that compensation and enable us to do right by our VA 
hospital nurses.
                                 ______