[Congressional Record Volume 150, Number 127 (Friday, October 8, 2004)]
[House]
[Page H9027]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      VETERANS' COMPENSATION COST-OF-LIVING ADJUSTMENT ACT OF 2004

  Mr. SMITH of New Jersey. Mr. Speaker, I ask unanimous consent to take 
from the Speaker's table the bill (H.R. 4175) to increase, effective as 
of December 1, 2004, the rates of disability compensation for veterans 
with service-connected disabilities and the rates of dependency and 
indemnity compensation for survivors of certain service-connected 
disabled veterans, and for other purposes, with a Senate amendment 
thereto, and concur in the Senate amendment.
  The Clerk read the title of the bill.
  The Clerk read the Senate amendment, as follows:

       Senate amendment:
       Strike out all after the enacting clause and insert:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Veterans' Compensation Cost-
     of-Living Adjustment Act of 2004''.

     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, 2004, 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 sections 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 surviving spouses with minor 
     children.--The dollar amount in effect under section 1311(b) 
     of such title.
       (7) Additional dic for disability.--The dollar amounts in 
     effect under sections 1311(c) and 1311(d) of such title.
       (8) DIC for dependent children.--The dollar amounts in 
     effect under sections 1313(a) and 1314 of such title.
       (c) Determination of Increase.--(1) The increase under 
     subsection (a) shall be made in the dollar amounts specified 
     in subsection (b) as in effect on November 30, 2004.
       (2) Except as provided in paragraph (3), 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, 2004, as a result of a determination under 
     section 215(i) of such Act (42 U.S.C. 415(i)).
       (3) Each dollar amount increased pursuant to paragraph (2) 
     shall, if not a whole dollar amount, be rounded down 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 2005, the Secretary of Veterans Affairs shall 
     publish in the Federal Register the amounts specified in 
     subsection (b) of section 2, as increased pursuant to that 
     section.

  Mr. SMITH of New Jersey (during the reading). Mr. Speaker, I ask 
unanimous consent that the Senate amendment be considered as read and 
printed in the Record.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New Jersey?
  There was no objection.
  (Mr. SMITH of New Jersey asked and was given permission to revise and 
extend his remarks.)
  Mr. Speaker, H.R. 4175, as amended, would provide a cost-of-living 
adjustment (COLA), in the same amount as given to Social Security 
recipients, to disabled veterans and surviving spouses. All veterans 
and qualified survivors of veterans who receive disability compensation 
would receive a full COLA beginning on December 1 of this year.
  More than 2.5 million veterans were receiving service-connected 
disability compensation as of April 2004. The basic purpose of the 
disability compensation program is to provide a measure of relief from 
the impaired earning capacity of veterans disabled as a result of their 
military service. These benefits are paid monthly, and range from $106 
for a 10 percent disability to $2,239 for a 100 percent disability. 
Additional monetary benefits are available for our most severely 
disabled veterans, as well as those with dependents.
  Spouses of veterans who died on active duty or as the result of a 
service-connected disability likewise are entitled to monetary 
compensation, as the Nation assumes, in part, the legal and moral 
obligation of the veteran to support the spouse and children. Depending 
on their spouse's rank or grade in service, a spouse receives between 
$967 and $2,063 monthly. Currently, there are more than 300,000 
surviving spouses and more than 29,000 children receiving dependency 
and indemnity compensation (DIC).
  I urge my colleagues to support this bipartisan measure.
  Mr. EVANS. Mr. Speaker, I would like to thank Chris Smith, Chairman 
of the Full Committee, the Benefits Subcommittee Chairman, Henry Brown 
and Ranking Member of the Benefits Subcommittee, Michael Michaud, for 
working together to assure that the spending power of our Nation's 
disabled veterans and their survivors will not be eroded by the passage 
of time. Once again the Committee on Veterans Affairs had demonstrated 
the meaning of bipartisanship. Your work is strongly supported by 
Members from both sides of the aisle.
  H.R. 4175, the Veterans' Compensation Cost-of-Living Adjustment Act 
of 2004 will help our service-disabled veterans and their survivors to 
maintain the value of their compensation benefits despite any increase 
in the cost-of-living. Although we will not know the exact amount of 
the increase until computations of the Social Security cost-of-living 
increase are completed later this month, we can rest assured that 
benefits will be increased in 2005.
  The Nation's veterans and survivors have earned these benefits. H.R. 
4175 is a bill which deserves the support of all Members of this House 
and I urge all Members to support it.
  The SPEAKER pro tempore. Is there objection to the original request 
of the gentleman from New Jersey?
  There was no objection.
  A motion to reconsider was laid on the table.

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