[Congressional Record Volume 152, Number 43 (Thursday, April 6, 2006)]
[Senate]
[Pages S3219-S3220]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. CRAIG (for himself and Mr. Akaka):
  S. 2562. A bill to increase, effective as of December 1, 2006, 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; to the Committee on Veterans' 
Affairs.
  Mr. CRAIG. Mr. President, today I join Senator Akaka in introducing 
legislation that would provide a cost-of-living adjustment to the rates 
of disability compensation provided to our Nation's disabled veterans 
and to the compensation provided to survivors of veterans and 
servicemembers who died, or who will die, as a result of military 
service. Every year since 1976 Congress has enacted an annual COLA 
adjustment for veterans with disabilities and survivors. The regularity 
of Congress's action on COLA legislation underscores its importance. 
Without it, inflation would erode the purchasing power of millions of 
beneficiaries.
  According to its fiscal year 2007 budget, VA estimates that it will 
provide disability compensation to 2,867,013 veterans with service-
connected disabilities in the upcoming fiscal year. Among the veterans 
estimated to receive such compensation are 5 World War I veterans; 
335,180 World War II veterans; 160,889 Korean-conflict veterans; 
992,360 Vietnam-era veterans; and 762,230 veterans of the Persian Gulf 
war era. The COLA legislation will also benefit an estimated 348,479 
survivors.
  The Congressional Budget Office, CBO, estimates that inflation, at 
the close of this fiscal year, will be at 2.2 percent as measured by 
the consumer price index published by the Department of Labor's Bureau 
of Labor Statistics. Once the actual inflation level is known, this 
legislation would adjust payment rates in effect on November 30, 2006, 
and be applied to payments made to veterans and survivors effective 
December 1, 2006. CBO also estimates that the legislation will increase 
direct spending by $530 million in fiscal year 2007. Again, because of 
the importance accorded to annual COLA legislation, all of this 
spending is assumed in the budget baseline and, thus, requires no 
offset.
  In summary, this legislation is critical to the lives of over 3 
million beneficiaries who have served our country well and faithfully. 
I ask my colleagues for their continued support for our nation's 
veterans. And I ask for their support of the Veterans' Compensation 
Cost-of-Living Adjustment Act of 2006.
  I ask unanimous consent that the text of the legislation be printed 
in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2562

       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 ``Veterans' Compensation Cost-
     of-Living Adjustment Act of 2006''.

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

       (a) Rate Adjustment.--Effective on December 1, 2006, the 
     Secretary of Veterans Affairs shall increase, in accordance 
     with subsection (c), the dollar amounts in effect on

[[Page S3220]]

     November 30, 2006, for the payment of disability compensation 
     and dependency and indemnity compensation under the 
     provisions specified in subsection (b).
       (b) Amounts to Be Increased.--The dollar amounts to be 
     increased pursuant to subsection (a) are the following:
       (1) Wartime disability compensation.--Each of the dollar 
     amounts under section 1114 of title 38, United States Code.
       (2) Additional compensation for dependents.--Each of the 
     dollar amounts under sections 1115(1) of such title.
       (3) Clothing allowance.--The dollar amount under section 
     1162 of such title.
       (4) Dependency and indemnity compensation to surviving 
     spouse.--Each of the dollar amounts under subsections (a) 
     through (d) of section 1311 of such title.
       (5) Dependency and indemnity compensation to children.--
     Each of the dollar amounts under sections 1313(a) and 1314 of 
     such title.
       (c) Determination of Increase.--
       (1) Percentage.--Except as provided in paragraph (2), each 
     dollar amount described in subsection (b) 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, 2006, 
     as a result of a determination under section 215(i) of such 
     Act (42 U.S.C. 415(i)).
       (2) Rounding.--Each dollar amount increased under paragraph 
     (1), if not a whole dollar amount, shall be rounded to the 
     next lower whole dollar amount.
       (d) Special Rule.--The Secretary of Veterans Affairs may 
     adjust administratively, consistent with the increases made 
     under subsection (a), the rates of disability compensation 
     payable to persons under section 10 of Public Law 85-857 (72 
     Stat. 1263) who have not received compensation under chapter 
     11 of title 38, United States Code.

     SEC. 3. PUBLICATION OF ADJUSTED RATES.

       The Secretary of Veterans Affairs shall publish in the 
     Federal Register the amounts specified in section 2(b), as 
     increased under that section, not later than the date on 
     which 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 2007.
                                 ______