[Congressional Record Volume 170, Number 73 (Monday, April 29, 2024)]
[House]
[Pages H2695-H2696]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                    VETERAN FRAUD REIMBURSEMENT ACT

  Mr. BOST. Madam Speaker, I move to suspend the rules and pass the 
bill (H.R. 4016) to amend title 38, United States Code, to improve the 
repayment by the Secretary of Veterans Affairs of benefits misused by a 
fiduciary.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 4016

       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 ``Veteran Fraud Reimbursement 
     Act''.

     SEC. 2. IMPROVEMENT TO REPAYMENT BY SECRETARY OF VETERANS 
                   AFFAIRS OF CERTAIN MISUSED BENEFITS.

       Section 6107 of title 38, United States Code, is amended to 
     read as follows:

     ``Sec. 6107. Reissuance of benefits

       ``(a) Reissuance of Misused Benefits.--(1) In any case in 
     which a fiduciary misuses all or part of an individual's 
     benefit paid to such fiduciary, the Secretary shall pay to 
     the beneficiary or the beneficiary's successor fiduciary an 
     amount equal to the amount of such benefit so misused.
       ``(2) In any case in which the Secretary reissues a benefit 
     payment (in whole or in part) under paragraph (1), the 
     Secretary shall make a good faith effort to obtain recoupment 
     from the fiduciary to whom the payment was originally made.
       ``(3) In any case in which the Secretary obtains recoupment 
     from a fiduciary who has misused benefits, the Secretary 
     shall promptly remit payment of the recouped amounts to the 
     beneficiary or the beneficiary's successor fiduciary, as the 
     case may be, to the extent that such amounts have not been 
     paid under paragraph (1).
       ``(b) Limitation on Total Amount Paid.--The total of the 
     amounts paid to a beneficiary or the beneficiary's successor 
     fiduciary under this section may not exceed the total benefit 
     amount misused by the fiduciary with respect to that 
     beneficiary.
       ``(c) Oversight of Negligence.--(1) The Secretary shall 
     establish methods and timing with respect to determining 
     whether an instance of misuse by a fiduciary, of all or part 
     of an individual's benefit paid to such fiduciary, is the 
     result of negligence by the Secretary.
       ``(2) The Secretary may not withhold the reissuing of a 
     benefit payment under subsection (a)(1) by reason of a 
     pending determination under paragraph (1).
       ``(3) The Secretary is not required to make a determination 
     under paragraph (1) for each instance of misuse by a 
     fiduciary, of all or part of an individual's benefit paid to 
     such fiduciary.''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Illinois (Mr. Bost) and the gentleman from California (Mr. Takano) each 
will control 20 minutes.
  The Chair recognizes the gentleman from Illinois.


                             General Leave

  Mr. BOST. Madam Speaker, I ask unanimous consent that all Members may 
have 5 legislative days in which to revise and extend their remarks on 
H.R. 4016.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Illinois?
  There was no objection.

                              {time}  2000

  Mr. BOST. Madam Speaker, I yield myself such time as I may consume.
  Madam Speaker, I rise today in support of H.R. 4016 as offered by 
Representative Connolly. This bill would ensure that VA's fiduciary 
program is managed effectively so that our Nation's most vulnerable 
veterans receive the benefits they earned.
  The VA appoints fiduciaries for veterans who are unable to manage 
their VA benefits. A fiduciary misuses a veteran's VA benefit when they 
spend a veteran's benefit on anything other than the veteran's care and 
welfare. However, before a veteran who is a victim of misuse can be 
made financially whole, the VA is required to determine whether the 
misuse was as a result of VA negligence, but VA does not monitor 
whether these negligence determinations are being made in a timely way. 
This bureaucratic red tape has resulted in long wait times for veterans 
to recoup their misused benefits. Some veterans have passed away before 
recouping their misused benefits. We must ensure the VA promptly makes 
whole any veteran who was a victim of misuse by a fiduciary.
  H.R. 4016 would ensure just that. It would prohibit VA from 
withholding repayment of misused benefits because the VA is still 
working on a negligence determination.
  It would also require the VA to establish methods to ensure that 
negligence determinations are made in a timely way. Veterans deserve to 
receive their benefits without bureaucratic hurdles and unnecessary 
delays.
  Madam Speaker, I urge all of my colleagues to support H.R. 4016, and 
I reserve the balance of my time.
  Mr. TAKANO. Madam Speaker, I yield myself such time as I may consume.
  Madam Speaker, I rise in strong support of the bill from 
Representative Connolly, H.R. 4016, the Veteran Fraud Reimbursement 
Act, and encourage my colleagues to do the same.
  Beneficiaries in the fiduciary program are among the most vulnerable 
in VA's care. Because they are often elderly or mentally ill, they are 
at greater risk for financial abuse and theft of benefits. 
Unfortunately, in spite of VA's best efforts at vetting proposed 
fiduciaries, bad actors do arise from time to time.
  When that happens, theft or misuse can have a devastating impact on 
the financial stability of the beneficiary. Not only that, the strain 
of being taken advantage of can further erode their physical and mental 
health, as well.
  As such, I support this bill's goal of speeding restitution to those 
beneficiaries who may have suffered from theft or misuse of funds by a 
fiduciary. We must empower the VA to make these beneficiaries whole as 
soon as possible. It is the right thing to do.
  Madam Speaker, I encourage my colleagues to support the bill, and I 
reserve the balance of my time.
  Mr. BOST. Madam Speaker, I yield 3 minutes to the gentlewoman from 
Iowa (Mrs. Miller-Meeks).
  Mrs. MILLER-MEEKS. Madam Speaker, I thank Chairman Bost for yielding 
me time to speak.
  I rise in strong support of H.R. 4016, the Veteran Fraud 
Reimbursement Act. This bipartisan piece of legislation, introduced by 
Representative Ciscomani and Representative Connolly, aims to enhance 
the repayment process by the Secretary of Veterans Affairs for 
misappropriated benefits.
  Our veterans have selflessly served our Nation with honor and 
courage, and it is our duty to ensure they receive the benefits they 
rightly deserve and have earned. However, instances of misappropriation 
of veterans' benefits are a grave injustice that cannot be tolerated. 
This bill addresses this issue head-on by instituting crucial reforms 
to ensure that our veterans are promptly reimbursed for any benefits 
misappropriated by their fiduciaries.
  Under this proposed legislation, the Secretary of Veterans Affairs is 
mandated to reissue benefits to veterans in cases where they are 
defrauded of their benefits. Additionally, the Secretary must make a 
good faith effort to recoup misused funds from the responsible 
fiduciaries, thereby holding them accountable for their actions.
  As a 24-year military veteran, I would also like to state that this 
bill ensures that veterans are not unduly penalized due to delays in 
determining negligence and guarantees that they receive their benefits 
owed to them in a timely manner. We cannot turn a blind eye to the 
injustices faced by our veterans.
  By supporting H.R. 4016, we demonstrate our unwavering commitment to 
protecting the rights and well-being of those who have bravely served 
our country.
  Madam Speaker, I urge all of my colleagues to join me in supporting 
this crucial legislation and standing up for our veterans.
  Mr. TAKANO. Madam Speaker, I yield 5 minutes to the gentleman from

[[Page H2696]]

Virginia (Mr. Connolly), the coauthor of this legislation who serves on 
the Foreign Affairs Committee and the Oversight and Accountability 
Committee.

  Mr. CONNOLLY. Madam Speaker, I thank the ranking member of the 
Veterans' Affairs Committee and Mr. Bost for their leadership and 
support in trying to fix a wrong.
  Mr. Bost, I think, perfectly described the intent of this bill and 
what the problem is, and I think Mr. Takano did a great job in helping 
us understand what pain is incurred when veterans in a fiduciary status 
experience fraud and cannot get reimbursed in a timely manner for their 
benefits.
  As both gentlemen indicated, we have examples of veterans who have 
died before this issue is adjudicated. That is wrong. No veteran and no 
family of a veteran should have to go through that once the 
determination has been made that fraud has occurred.
  More than 50 percent of the people in this fiduciary category are 
pensioners. As Mr. Takano said, this is among the most vulnerable 
population of veterans, so they are easy to defraud, easy to exploit 
and take advantage of, and the government must stand by those men and 
women who served in uniform, served bravely, and deserve the best 
treatment from their government, not negligent treatment.
  Today, this bill, H.R. 4016, the Veterans Fraud Reimbursement Act, 
grew out of actually an encounter I had with veterans in my district 
who were describing this very problem. We can't solve every problem, 
but this one we can.
  I urge my colleagues to support this legislation. I thank my 
colleagues on both sides of the aisle for making this a bipartisan 
effort. I hope that it will pass with no opposition and clear the 
Senate so that we can start making sure that our veterans are kept 
whole.
  Mr. TAKANO. Madam Speaker, I ask all my colleagues to join me in 
supporting H.R. 4016, and I yield back the balance of my time.
  Mr. BOST. Madam Speaker, once again, I encourage Members to support 
this legislation, and I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Illinois (Mr. Bost) that the House suspend the rules and 
pass the bill, H.R. 4016.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. BOST. Madam Speaker, on that I demand the yeas and nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further 
proceedings on this motion will be postponed.

                          ____________________