[Congressional Record Volume 162, Number 83 (Wednesday, May 25, 2016)]
[Senate]
[Page S3203]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 4174. Mr. REID submitted an amendment intended to be proposed by 
him to the bill S. 2943, to authorize appropriations for fiscal year 
2017 for military activities of the Department of Defense, for military 
construction, and for defense activities of the Department of Energy, 
to prescribe military personnel strengths for such fiscal year, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of part II subtitle D of title V, add the 
     following:

     SEC. ___. ELIGIBILITY FOR PAYMENT OF BOTH RETIRED PAY AND 
                   VETERANS' DISABILITY COMPENSATION FOR MILITARY 
                   RETIREES WITH SERVICE-CONNECTED DISABILITIES 
                   RATED 40 PERCENT DISABLING.

       (a) In General.--Subsection (a)(2) of section 1414 of title 
     10, United States Code, is amended by striking ``means'' and 
     all that follows and inserting ``means the following:
       ``(A) During the period beginning on January 1, 2004, and 
     ending on June 30, 2017, a service-connected disability or 
     combination of service-connected disabilities that is rated 
     as not less than 50 percent disabling by the Secretary of 
     Veterans Affairs.
       ``(B) After June 30, 2017, a service-connected disability 
     or combination of service-connected disabilities that is 
     rated as not less than 40 percent disabling by the Secretary 
     of Veterans Affairs.''.
       (b) Clerical Amendments.--
       (1) The heading of such section is amended to read as 
     follows:

     ``Sec. 1414. Members eligible for retired pay who are also 
       eligible for veterans' disability compensation rated 40 
       percent or higher: concurrent payment of retired pay and 
       disability compensation''.

       (2) The item relating to such section in the table of 
     sections at the beginning of chapter 71 of such title is 
     amended to read as follows:

``1414. Members eligible for retired pay who are also eligible for 
              veterans' disability compensation rated 40 percent or 
              higher: concurrent payment of retired pay and disability 
              compensation.''.

       (c) Effective Date.--The amendments made by this section 
     shall take effect on July 1, 2017, and shall apply to 
     payments for months beginning on or after that date.

     SEC. ___. COORDINATION OF SERVICE ELIGIBILITY FOR COMBAT-
                   RELATED SPECIAL COMPENSATION AND CONCURRENT 
                   RECEIPT.

       (a) Amendment To Standardize Similar Provisions.--Paragraph 
     (2) of section 1414(b) of title 10, United States Code, is 
     amended to read as follows:
       ``(2) Special rule for retirees with fewer than 20 years of 
     service.--The retired pay of a qualified retiree who is 
     retired under chapter 61 of this title with fewer than 20 
     years of creditable service is subject to reduction by the 
     lesser of--
       ``(A) the amount of the reduction under sections 5304 and 
     5305 of title 38; or
       ``(B) the amount (if any) by which the amount of the 
     member's retired pay under such chapter exceeds the amount 
     equal to 2\1/2\ percent of the member's years of creditable 
     service multiplied by the member's retired pay base under 
     section 1406(b)(1) or 1407 of this title, whichever is 
     applicable to the member.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on July 1, 2017, and shall apply to 
     payments for months beginning on or after that date.
                                 ______