[Congressional Record (Bound Edition), Volume 147 (2001), Part 11]
[House]
[Pages 15178-15189]
[From the U.S. Government Publishing Office, www.gpo.gov]




                     VETERANS BENEFITS ACT OF 2001

  Mr. SMITH of New Jersey. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 2540) to amend title 38, United States Code, to 
make

[[Page 15179]]

various improvements to veterans benefits programs under laws 
administered by the Secretary of Veterans Affairs, and for other 
purposes, as amended.
  The Clerk read as follows:

                               H.R. 2540

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

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Veterans 
     Benefits Act of 2001''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. References to title 38, United States Code.

TITLE I--ANNUAL COST-OF-LIVING ADJUSTMENT IN COMPENSATION AND DIC RATES

Sec. 101. Increase in rates of disability compensation and dependency 
              and indemnity compensation.
Sec. 102. Publication of adjusted rates.

                   TITLE II--COMPENSATION PROVISIONS

Sec. 201. Presumption that diabetes mellitus (type 2) is service-
              connected.
Sec. 202. Inclusion of illnesses that cannot be clearly defined in 
              presumption of service connection for Gulf War veterans.
Sec. 203. Preservation of service connection for undiagnosed illnesses 
              to provide for participation in research projects by Gulf 
              War veterans.
Sec. 204. Presumptive period for undiagnosed illnesses program 
              providing compensation for veterans of Persian Gulf War 
              who have certain illnesses.

    TITLE III--ADMINISTRATION OF UNITED STATES COURT OF APPEALS FOR 
                            VETERANS CLAIMS

Sec. 301. Registration fees.
Sec. 302. Administrative authorities.

                        TITLE IV--OTHER MATTERS

Sec. 401. Payment of insurance proceeds to an alternate beneficiary 
              when first beneficiary cannot be identified.
Sec. 402. Extension of copayment requirement for outpatient 
              prescription medications.
Sec. 403. Department of Veterans Affairs Health Services Improvement 
              Fund made subject to appropriations.
Sec. 404. Native American veteran housing loan pilot program.
Sec. 405. Modification of loan assumption notice requirement.
Sec. 406. Elimination of requirement for providing a copy of notice of 
              appeal to the Secretary.
Sec. 407. Pilot program for expansion of toll-free telephone access to 
              veterans service representatives.
Sec. 408. Technical and clerical amendments.
Sec. 409. Codification of recurring provisions in annual Department of 
              Veterans Affairs appropriations Acts.

     SEC. 2. REFERENCES TO TITLE 38, UNITED STATES CODE.

       Except as otherwise expressly provided, whenever in this 
     Act an amendment or repeal is expressed in terms of an 
     amendment to, or repeal of, a section or other provision, the 
     reference shall be considered to be made to a section or 
     other provision of title 38, United States Code.

TITLE I--ANNUAL COST-OF-LIVING ADJUSTMENT IN COMPENSATION AND DIC RATES

     SEC. 101. INCREASE IN RATES OF DISABILITY COMPENSATION AND 
                   DEPENDENCY AND INDEMNITY COMPENSATION.

       (a) Rate Adjustment.--The Secretary of Veterans Affairs 
     shall, effective on December 1, 2001, 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, 2001.
       (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, 2001, 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. 102. 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 2002, the Secretary of Veterans Affairs shall 
     publish in the Federal Register the amounts specified in 
     subsection (b) of section 101, as increased pursuant to that 
     section.

                   TITLE II--COMPENSATION PROVISIONS

     SEC. 201. PRESUMPTION THAT DIABETES MELLITUS (TYPE 2) IS 
                   SERVICE-CONNECTED.

       Section 1116(a)(2) is amended by adding at the end the 
     following new subparagraph:
       ``(H) Diabetes Mellitus (Type 2).''.

     SEC. 202. INCLUSION OF ILLNESSES THAT CANNOT BE CLEARLY 
                   DEFINED IN PRESUMPTION OF SERVICE CONNECTION.

       (a) Illnesses That Cannot Be Clearly Defined.--(1) 
     Subsection (a) of section 1117 is amended by inserting ``or 
     fibromyalgia, chronic fatigue syndrome, a chronic 
     multisymptom illness, or any other illness that cannot be 
     clearly defined (or combination of illnesses that cannot be 
     clearly defined)'' after ``illnesses)''.
       (2) Subsection (c)(1) of such section is amended by 
     inserting ``or fibromyalgia, chronic fatigue syndrome, a 
     chronic multisymptom illness, or any other illness that 
     cannot be clearly defined (or combination of illnesses that 
     cannot be clearly defined)'' in the matter preceding 
     subparagraph (A) after ``illnesses)''.
       (b) Signs or Symptoms That May Indicate Undiagnosed 
     Illnesses.--(1) Section 1117 is further amended by adding at 
     the end the following new subsection:
       ``(g) For purposes of this section, signs or symptoms that 
     may be a manifestation of an undiagnosed illness include the 
     following:
       ``(1) Fatigue.
       ``(2) Unexplained rashes or other dermatological signs or 
     symptoms.
       ``(3) Headache.
       ``(4) Muscle pain.
       ``(5) Joint pain.
       ``(6) Neurologic signs or symptoms.
       ``(7) Neuropsychological signs or symptoms.
       ``(8) Signs or symptoms involving the respiratory system 
     (upper or lower).
       ``(9) Sleep disturbances.
       ``(10) Gastrointestinal signs or symptoms.
       ``(11) Cardiovascular signs or symptoms.
       ``(12) Abnormal weight loss.
       ``(13) Menstrual disorders.''.
       (2) Section 1118(a) is amended by adding at the end the 
     following new paragraph:
       ``(4) For purposes of this section, signs or symptoms that 
     may be a manifestation of an undiagnosed illness include the 
     signs and symptoms listed in section 1117(g) of this 
     title.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on April 1, 2002.

     SEC. 203. PRESERVATION OF SERVICE CONNECTION FOR UNDIAGNOSED 
                   ILLNESSES TO PROVIDE FOR PARTICIPATION IN 
                   RESEARCH PROJECTS BY GULF WAR VETERANS.

       (a) Authority for Secretary To Provide for Participation 
     Without Loss of Benefits.--Section 1117 is amended by adding 
     after subsection (g), as added by section 202(b), the 
     following new subsection:
       ``(h)(1) If the Secretary determines with respect to a 
     medical research project sponsored by the Department that it 
     is necessary for the conduct of the project that Persian Gulf 
     veterans in receipt of compensation under this section or 
     section 1118 of this title participate in the project without 
     the possibility of loss of service connection under either 
     such section, the Secretary shall provide that service 
     connection granted under either such section for disability 
     of a veteran who participated in the research project may not 
     be terminated.
       ``(2) Paragraph (1) does not apply in a case in which--
       ``(A) the original award of compensation or service 
     connection was based on fraud; or
       ``(B) it is clearly shown from military records that the 
     person concerned did not have the requisite service or 
     character of discharge.

[[Page 15180]]

       ``(3) The Secretary shall publish in the Federal Register a 
     notice of each determination made by the Secretary under 
     paragraph (1) with respect to a medical research project.''.
       (b) Effective Date.--The authority provided by subsection 
     (h) of section 1117 of title 38, United States Code, as added 
     by subsection (a), may be used by the Secretary of Veterans 
     Affairs with respect to any medical research project of the 
     Department of Veterans Affairs, whether commenced before, on, 
     or after the date of the enactment of this Act.

     SEC. 204. PRESUMPTIVE PERIOD FOR UNDIAGNOSED ILLNESSES 
                   PROGRAM PROVIDING COMPENSATION FOR VETERANS OF 
                   PERSIAN GULF WAR WHO HAVE CERTAIN ILLNESSES.

       Section 1117 is amended--
       (1) in subsection (a)(2), by striking ``within the 
     presumptive period prescribed under subsection (b)'' and 
     inserting ``before December 31, 2003''; and
       (2) by striking subsection (b).

    TITLE III--ADMINISTRATION OF UNITED STATES COURT OF APPEALS FOR 
                            VETERANS CLAIMS

     SEC. 301. REGISTRATION FEES.

       (a) Fees for Court-Sponsored Activities.--Subsection (a) of 
     section 7285 is amended by adding at the end the following 
     new sentence: ``The Court may also impose registration fees 
     on persons participating in a judicial conference convened 
     pursuant to section 7286 of this title or any other court-
     sponsored activity.''.
       (b) Use of Fees.--Subsection (b) of such section is amended 
     by striking ``for the purposes of (1)'' and all that follows 
     through the period and inserting ``for the following 
     purposes:
       ``(1) Conducting investigations and proceedings, including 
     employing independent counsel, to pursue disciplinary 
     matters.
       ``(2) Defraying the expenses of--
       ``(A) judicial conferences convened pursuant to section 
     7286 of this title; and
       ``(B) other activities and programs that are designed to 
     support and foster bench and bar communication and 
     relationships or the study, understanding, public 
     commemoration, or improvement of veterans law or of the work 
     of the Court.''.
       (c) Clerical Amendments.--(1) The heading for such section 
     is amended to read as follows:

     ``Sec. 7285. Practice and registration fees''.

       (2) The item relating to such section in the table of 
     sections at the beginning of chapter 72 is amended to read as 
     follows:

``7285. Practice and registration fees.''.

     SEC. 302. ADMINISTRATIVE AUTHORITIES.

       (a) In General.--Subchapter III of chapter 72 is amended by 
     adding at the end the following new section:

     ``Sec. 7287. Administration

       ``Notwithstanding any other provision of law, the Court of 
     Appeals for Veterans Claims may exercise, for purposes of 
     management, administration, and expenditure of funds, the 
     authorities provided for such purposes by any provision of 
     law (including any limitation with respect to such provision) 
     applicable to a court of the United States as defined in 
     section 451 of title 28, except to the extent that such 
     provision of law is inconsistent with a provision of this 
     chapter.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item related to section 7286 the following new item:

7287. Administration.''.

                        TITLE IV--OTHER MATTERS

     SEC. 401. PAYMENT OF INSURANCE PROCEEDS TO AN ALTERNATE 
                   BENEFICIARY WHEN FIRST BENEFICIARY CANNOT BE 
                   IDENTIFIED.

       (a) NSLI.--Section 1917 is amended by adding at the end the 
     following new subsection:
       ``(f)(1) Following the death of the insured--
       ``(A) if the first beneficiary otherwise entitled to 
     payment of the insurance proceeds does not make a claim for 
     such payment within three years after the death of the 
     insured, payment of the proceeds may be made to another 
     beneficiary designated by the insured, in the order of 
     precedence as designated by the insured, as if the first 
     beneficiary had predeceased the insured; and
       ``(B) if within five years after the death of the insured, 
     no claim has been filed by a person designated by the insured 
     as a beneficiary and the Secretary has not received any 
     notice in writing that any such claim will be made, payment 
     of the insurance proceeds may (notwithstanding any other 
     provision of law) be made to such person as may in the 
     judgment of the Secretary be equitably entitled to the 
     proceeds of the policy.
       ``(2) Payment of insurance proceeds under paragraph (1) 
     shall be a bar to recovery by any other person.''.
       (b) USGLI.--Section 1951 is amended--
       (1) by inserting ``(a)'' before ``United States 
     Government''; and
       (2) by adding at the end the following new subsection:
       ``(b)(1) Following the death of the insured--
       ``(A) if the first beneficiary otherwise entitled to 
     payment of the insurance proceeds does not make a claim for 
     such payment within three years after the death of the 
     insured, payment of the proceeds may be made to another 
     beneficiary designated by the insured, in the order of 
     precedence as designated by the insured, as if the first 
     beneficiary had predeceased the insured; and
       ``(B) if within five years after the death of the insured, 
     no claim has been filed by a person designated by the insured 
     as a beneficiary and the Secretary has not received any 
     notice in writing that any such claim will be made, payment 
     of the insurance proceeds may (notwithstanding any other 
     provision of law) be made to such person as may in the 
     judgment of the Secretary be equitably entitled to the 
     proceeds of the policy.
       ``(2) Payment of insurance proceeds under paragraph (1) 
     shall be a bar to recovery by any other person.''.
       (c) Transition Provision.--In the case of a person insured 
     under subchapter I or II of chapter 19 of title 38, United 
     States Code, who dies before the date of the enactment of 
     this Act, the three-year and five-year periods specified in 
     subsection (f)(1) of section 1917 of title 38, United States 
     Code, as added by subsection (a), and subsection (b)(1) of 
     section 1951 of such title, as added by subsection (b), shall 
     for purposes of the applicable subsection be treated as being 
     the three-year and five-year periods, respectively, beginning 
     on the date of the enactment of this Act.

     SEC. 402. EXTENSION OF COPAYMENT REQUIREMENT FOR OUTPATIENT 
                   PRESCRIPTION MEDICATIONS.

       Section 1722A(d) is amended by striking ``September 30, 
     2002'' and inserting ``September 30, 2006''.

     SEC. 403. DEPARTMENT OF VETERANS AFFAIRS HEALTH SERVICES 
                   IMPROVEMENT FUND MADE SUBJECT TO 
                   APPROPRIATIONS.

       (a) Amounts To Be Subject to Appropriations.--Effective 
     October 1, 2002, subsection (c) of section 1729B is amended 
     by striking ``Amounts in the fund are hereby made 
     available,'' and inserting ``Subject to the provisions of 
     appropriations Acts, amounts in the fund shall be 
     available,''.
       (b) Technical Amendment.--Subsection (b) of such section is 
     amended by striking paragraph (1) and redesignating 
     paragraphs (2), (3), and (4) as paragraphs (1), (2), and (3), 
     respectively.

     SEC. 404. NATIVE AMERICAN VETERAN HOUSING LOAN PILOT PROGRAM.

       (a) Extension of Native American Veteran Housing Loan Pilot 
     Program.--Section 3761(c) is amended by striking ``December 
     31, 2001'' and inserting ``December 31, 2005''.
       (b) Authorization of the Use of Certain Federal Memorandums 
     of Understanding.--Section 3762(a)(1) is amended--
       (1) by inserting ``(A)'' after ``(1)'';
       (2) by striking ``and'' after the semicolon and inserting 
     ``or''; and
       (3) by adding at the end the following:
       ``(B) the tribal organization that has jurisdiction over 
     the veteran has entered into a memorandum of understanding 
     with any department or agency of the United States with 
     respect to direct housing loans to Native Americans that the 
     Secretary determines substantially complies with the 
     requirements of subsection (b); and''.

     SEC. 405. MODIFICATION OF LOAN ASSUMPTION NOTICE REQUIREMENT.

       Section 3714(d) is amended to read as follows:
       ``(d) With respect to a loan guaranteed, insured, or made 
     under this chapter, the Secretary shall provide, by 
     regulation, that at least one instrument evidencing either 
     the loan or the mortgage or deed of trust therefor, shall 
     conspicuously contain, in such form as the Secretary shall 
     specify, a notice in substantially the following form: `This 
     loan is not assumable without the approval of the Department 
     of Veterans Affairs or its authorized agent'.''.

     SEC. 406. ELIMINATION OF REQUIREMENT FOR PROVIDING A COPY OF 
                   NOTICE OF APPEAL TO THE SECRETARY.

       (a) Repeal.--Section 7266 is amended by striking subsection 
     (b).
       (b) Conforming Amendments.--Such section is further 
     amended--
       (1) by striking ``(1)'' after ``(a)'';
       (2) by redesignating paragraph (2) as subsection (b);
       (3) by redesignating paragraph (3) as subsection (c) and 
     redesignating subparagraphs (A) and (B) thereof as paragraphs 
     (1) and (2); and
       (4) by redesignating paragraph (4) as subsection (d) and by 
     striking ``paragraph (3)(B)'' therein and inserting 
     ``subsection (c)(2)''.

     SEC. 407. PILOT PROGRAM FOR EXPANSION OF TOLL-FREE TELEPHONE 
                   ACCESS TO VETERANS SERVICE REPRESENTATIVES.

       (a) Pilot Program.--The Secretary of Veterans Affairs shall 
     conduct a pilot program to test the benefits and cost-
     effectiveness of expanding access to veterans service 
     representatives of the Department of Veterans Affairs through 
     a toll-free (so-called ``1-800'') telephone number. Under the 
     pilot program, the Secretary shall expand the available hours 
     of such access to veterans service representatives to not 
     less than 12 hours on each regular business day and not less 
     than six hours on Saturday.
       (b) Information To Be Provided.--The Secretary shall 
     ensure, as part of the pilot program, that veterans service 
     representatives of the Department of Veterans Affairs

[[Page 15181]]

     have available to them (in addition to information about 
     benefits provided under laws administered by the Secretary) 
     information about veterans benefits provided by--
       (1) all other departments and agencies of the United 
     States; and
       (2) State governments.
       (c) Consultation.--The Secretary shall establish the pilot 
     program in consultation with the heads of other departments 
     and agencies of the United States that provide veterans 
     benefits.
       (d) Veterans Benefits Defined.--For purposes of this 
     section, the term ``veterans benefits'' means benefits 
     provided to a person based upon the person's own service, or 
     the service of someone else, in the Armed Forces.
       (e) Period of Pilot Program.--The pilot program shall--
       (1) begin not later than six months after the date of the 
     enactment of this Act; and
       (2) end at the end of the two-year period beginning on the 
     date on which the program begins.
       (f) Report.--Not later than 120 days after the end of the 
     pilot program, the Secretary shall submit to the Committees 
     on Veterans' Affairs of the Senate and House of 
     Representatives a report on the pilot program. The report 
     shall provide the Secretary's assessment of the benefits and 
     cost-effectiveness of continuing or making permanent the 
     pilot program, including an assessment of the extent to which 
     there is a demand for access to veterans service 
     representatives during the period of expanded access to such 
     representatives provided under the pilot program.

     SEC. 408. TECHNICAL AND CLERICAL AMENDMENTS.

       (a) Amendments to Title 38, United States Code.--Title 38, 
     United States Code, is amended as follows:
       (1)(A) Section 712 is repealed.
       (B) The table of sections at the beginning of chapter 7 is 
     amended by striking the item relating to section 712.
       (2) Section 1710B(c)(2)(B) is amended by inserting ``on'' 
     before ``November 30, 1999''.
       (3) Section 3695(a)(5) is amended by striking ``1610'' and 
     inserting ``1611''.
       (b) Other Amendments.--
       (1) Section 1001(a)(2) of the Veterans' Benefits 
     Improvements Act of 1994 (38 U.S.C. 7721 note) is amended by 
     striking ``and'' at the end of subparagraph (C).
       (2) Section 12 of the Homeless Veterans Comprehensive 
     Service Programs Act of 1992 (38 U.S.C. 7721 note) is amended 
     in the first sentence by striking ``to carry out this Act'' 
     and all that follows in that sentence and inserting ``to 
     carry out this Act $50,000,000 for fiscal year 2001.''.

     SEC. 409. CODIFICATION OF RECURRING PROVISIONS IN ANNUAL 
                   DEPARTMENT OF VETERANS AFFAIRS APPROPRIATIONS 
                   ACTS.

       (a) Codification of Recurring Provisions.--Section 313 is 
     amended by adding at the end the following new subsections:
       ``(c) Compensation and Pension.--Funds appropriated for 
     Compensation and Pensions are available for the following 
     purposes:
       ``(1) The payment of compensation benefits to or on behalf 
     of veterans as authorized by section 107 and chapters 11, 13, 
     51, 53, 55, and 61 of this title.
       ``(2) Pension benefits to or on behalf of veterans as 
     authorized by chapters 15, 51, 53, 55, and 61 of this title 
     and section 306 of the Veterans' and Survivors' Pension 
     Improvement Act of 1978.
       ``(3) The payment of benefits as authorized under chapter 
     18 of this title.
       ``(4) Burial benefits, emergency and other officers' 
     retirement pay, adjusted-service credits and certificates, 
     payments of premiums due on commercial life insurance 
     policies guaranteed under the provisions of article IV of the 
     Soldiers' and Sailors' Civil Relief Act of 1940 (50 U.S.C. 
     App. 540 et seq.), and other benefits as authorized by 
     sections 107, 1312, 1977, and 2106 and chapters 23, 51, 53, 
     55, and 61 of this title and the World War Adjusted 
     Compensation Act (43 Stat. 122, 123), the Act of May 24, 1928 
     (Public Law No. 506 of the 70th Congress; 45 Stat. 735), and 
     Public Law 87-875 (76 Stat. 1198).
       ``(d) Medical Care.--Funds appropriated for Medical Care 
     are available for the following purposes:
       ``(1) The maintenance and operation of hospitals, nursing 
     homes, and domiciliary facilities.
       ``(2) Furnishing, as authorized by law, inpatient and 
     outpatient care and treatment to beneficiaries of the 
     Department, including care and treatment in facilities not 
     under the jurisdiction of the Department.
       ``(3) Furnishing recreational facilities, supplies, and 
     equipment.
       ``(4) Funeral and burial expenses and other expenses 
     incidental to funeral and burial expenses for beneficiaries 
     receiving care from the Department.
       ``(5) Administrative expenses in support of planning, 
     design, project management, real property acquisition and 
     disposition, construction, and renovation of any facility 
     under the jurisdiction or for the use of the Department.
       ``(6) Oversight, engineering, and architectural activities 
     not charged to project cost.
       ``(7) Repairing, altering, improving, or providing 
     facilities in the medical facilities and homes under the 
     jurisdiction of the Department, not otherwise provided for, 
     either by contact or by the hire of temporary employees and 
     purchase of materials.
       ``(8) Uniforms or uniform allowances, as authorized by 
     sections 5901 and 5902 of title 5.
       ``(9) Aid to State homes, as authorized by section 1741 of 
     this title.
       ``(10) Administrative and legal expenses of the Department 
     for collecting and recovering amounts owed the Department as 
     authorized under chapter 17 of this title and Public Law 87-
     693, popularly known as the Federal Medical Care Recovery Act 
     (42 U.S.C. 2651 et seq.).
       ``(e) Medical Administration and Miscellaneous Operating 
     Expenses.--Funds appropriated for Medical Administration and 
     Miscellaneous Operating Expenses are available for the 
     following purposes:
       ``(1) The administration of medical, hospital, nursing 
     home, domiciliary, construction, supply, and research 
     activities authorized by law.
       ``(2) Administrative expenses in support of planning, 
     design, project management, architectural work, engineering, 
     real property acquisition and disposition, construction, and 
     renovation of any facility under the jurisdiction or for the 
     use of the Department, including site acquisition.
       ``(3) Engineering and architectural activities not charged 
     to project costs.
       ``(4) Research and development in building construction 
     technology.
       ``(f) General Operating Expenses.--Funds appropriated for 
     General Operating Expenses are available for the following 
     purposes:
       ``(1) Uniforms or allowances therefor.
       ``(2) Hire of passenger motor vehicles.
       ``(3) Reimbursement of the General Services Administration 
     for security guard services.
       ``(4) Reimbursement of the Department of Defense for the 
     cost of overseas employee mail.
       ``(5) Administration of the Service Members Occupational 
     Conversion and Training Act of 1992 (10 U.S.C. 1143 note).
       ``(g) Construction.--Funds appropriated for Construction, 
     Major Projects, and for Construction, Minor Projects, are 
     available, with respect to a project, for the following 
     purposes:
       ``(1) Planning.
       ``(2) Architectural and engineering services.
       ``(3) Maintenance or guarantee period services costs 
     associated with equipment guarantees provided under the 
     project.
       ``(4) Services of claims analysts.
       ``(5) Offsite utility and storm drainage system 
     construction costs.
       ``(6) Site acquisition.
       ``(h) Construction, Minor Projects.--In addition to the 
     purposes specified in subsection (g), funds appropriated for 
     Construction, Minor Projects, are available for--
       ``(1) repairs to any of the nonmedical facilities under the 
     jurisdiction or for the use of the Department which are 
     necessary because of loss or damage caused by a natural 
     disaster or catastrophe; and
       ``(2) temporary measures necessary to prevent or to 
     minimize further loss by such causes.''.
       (b) Definition.--(1) Chapter 1 is amended by adding at the 
     end the following new section:

     ``Sec. 117. Definition of cost of direct and guaranteed loans

       ``For the purpose of any provision of law appropriating 
     funds to the Department for the cost of direct or guaranteed 
     loans, the cost of any such loan, including the cost of 
     modifying any such loan, shall be as defined in section 502 
     of the Congressional Budget Act of 1974 (2 U.S.C. 661a).''.
       (2) The table of sections at the beginning of such chapter 
     is amended by adding at the end the following new item:

``117. Definition of cost of direct and guaranteed loans.''.
       (c) Effective Date.--Subsections (c) through (h) of section 
     313 of title 38, United States Code, as added by subsection 
     (a), and section 117 of such title, as added by subsection 
     (b), shall take effect with respect to funds appropriated for 
     fiscal year 2003.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
Jersey (Mr. Smith) and the gentleman from Illinois (Mr. Evans) each 
will control 20 minutes.
  The Chair recognizes the gentleman from New Jersey (Mr. Smith).
  Mr. SMITH of New Jersey. Mr. Speaker, I yield myself such time as I 
may consume.
  Mr. Speaker, as chairman of the Committee on Veterans' Affairs, I am 
very pleased to bring before the House H.R. 2540, as amended, Veterans 
Benefits Act of 2001.
  This is the fourth major piece of legislation that the Committee on 
Veterans' Affairs has brought to the floor this year. Earlier this 
year, the House passed H.R. 801, the Veterans' Survivor Benefits 
Improvements Act of 2001, which was signed into law on June 5.
  This legislation, Public Law 107-14, expands health and life 
insurance coverage for dependents and survivors of

[[Page 15182]]

veterans. The House also approved H.R. 811, the Veterans' Hospitals 
Emergency Repair Act, which provides $550 million over 2 years to 
repair and renovate VA medical facilities.
  While this legislation is still awaiting action in the Senate, having 
passed the House, funding was included in the VA-HUD appropriations 
bill approved last night to begin these needed repairs.
  In addition, the House has approved H.R. 1291, the 21st Century 
Montgomery G.I. Bill Enhancement Act, which also is awaiting Senate 
action. It provides a 70 percent increase in G.I. educational benefits 
to qualifying service members.
  Mr. Speaker, today we bring yet another vitally important piece of 
legislation to the floor that will provide increases in VA compensation 
payments to disabled veterans and their survivors.
  Mr. Speaker, there are more than 2.3 million disabled veterans or 
survivors of disabled veterans today receiving compensation who will 
receive a boost with passage of H.R. 2540, including more than 170,000 
veterans rated 100 percent disabled who will get an additional $767 
each year added to their existing benefit.
  I would note parenthetically in the State of New Jersey there are 
3,246 disabled veterans with a rating of 100%, and they, too, will get 
an additional $767 in benefits.

                              {time}  1230

  Upon enactment of this legislation, all veterans or qualified 
survivors will get the 2.7 percent COLA. The cost for this will be over 
$400 million in the first year and $543 million over the next 4 years. 
In all, the compensation package for the COLA will be $2.5 billion over 
5 years.
  Another very important component of this bill addresses the lingering 
effects of service to Persian Gulf War veterans. Many veterans who 
applied for disability compensation for poorly-defined illnesses found 
that a beneficial law we adopted in 1994, the Persian Gulf War Veterans 
Act, had a ``Catch-22.'' If a doctor could diagnose the illness, and 
the symptoms had not arisen in service or within 1 year, the claim was 
denied.
  Mr. Speaker, there is an evolution occurring in medicine today with 
respect to so-called chronic multi- symptom illnesses. Some of these 
illnesses, such as chronic fatigue syndrome, have case definitions that 
are generally accepted in the medical profession, although their cause 
and effect and treatment are unknown. Concerned physicians who study 
and treat many patients with one or more symptoms may not agree that a 
given set of symptoms fit one case definition or another. At other 
times, physicians may decide to treat discrete symptoms without 
reaching a definitive diagnosis. This bill provides the expansion 
authority; and my good friend and colleague, the gentleman from Idaho 
(Mr. Simpson), the chairman of the Subcommittee on Benefits, will 
explain this momentarily in greater detail.
  Let me also say that this legislation is the work of a tremendous 
amount of bipartisanship as well as a great deal of work by our 
respective staffs, and I would like to single out a number of Members. 
First of all, beginning with my good friend, the ranking member, the 
gentleman from Illinois (Mr. Evans), who was instrumental in working on 
section 2 of this important piece of legislation. He has contributed 
very constructively to the shaping of this bill.
  I would especially like to thank the gentleman from Idaho (Mr. 
Simpson), as I mentioned before, chairman of the Subcommittee on 
Benefits, and the ranking member of the subcommittee, the gentleman 
from Texas (Mr. Reyes). I would just note that while the gentleman from 
Idaho is only in his second term and is already a subcommittee 
chairman, he is not new to policy making. Chairman Simpson is an 
accomplished lawmaker. As I think many of my colleagues know, he served 
in his State legislature for 14 years. His positions included majority 
caucus chairman, assistant majority leader in the Idaho House of 
Representatives; and he served as speaker, for 6 years in the Idaho 
House of Representatives. He is also a member of the Idaho Republican 
Party Hall of Fame. We are very fortunate to have him serving as 
chairman.
  Let me also thank some of the other Members who worked on this. The 
gentleman from Florida (Mr. Bilirakis), who helped shape the final 
outcome of this bill. After markup, some issues remained that were 
hammered out in a constructive dialogue. There were some lingering 
issues that needed to be resolved, and he was instrumental in crafting 
that compromise.
  Let me also thank the gentleman from Indiana (Mr. Buyer), a Persian 
Gulf War vet himself, who worked on this legislation very mightily; the 
gentleman from Nevada (Mr. Gibbons), who intended on offering an 
extension on the bill--a compromise--extends the period by 2 years. I 
also want to thank the gentleman from Mississippi (Mr. Shows); and the 
gentleman from Illinois (Mr. Manzullo), the latter who had a major bill 
on Gulf War vets with multiple cosponsors, in excess of 200, who was 
also very instrumental in shaping this legislation.
  Finally, I want to thank our staff: Jeannie McNally, Darryl Kehrer, 
Paige McManus, Devon Seibert, Kingston Smith, Summer Larson, and my 
good friend and chief counsel, Patrick Ryan.
  Also the minority staff: Beth Kilker, Debbie Smith, Mary Ellen 
McCarthy, and Michael Durishin, who worked hard on this bill. I urge 
support for this important veterans legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. EVANS. Mr. Speaker, I yield myself such time as I may consume.
  I rise in strong support of H.R. 2540, the Veterans Benefits Act of 
2001; and I commend and salute our distinguished chairman of the 
committee for his leadership in working with the Members on both sides 
to bring this measure before us today. I join with him in saluting the 
staff that he has recognized as well.
  I also want to recognize the new chairman of the Subcommittee on 
Benefits, the gentleman from Idaho (Mr. Simpson), and the ranking 
Democratic member of the Subcommittee on Benefits, the gentleman from 
Texas (Mr. Reyes), who contributed to the bill before us today.
  In addition, I want to publicly acknowledge the important 
contributions of the gentleman from New Mexico (Mr. Udall) and the 
gentlewoman from California (Mrs. Capps) and others to this 
legislation.
  As amended, this resolution contains many provisions important to our 
veterans, and I will highlight just a few.
  The bill provides an annual cost of living adjustment, effective 
December 1, 2001, to recipients of service-connected disability 
compensation and dependency and indemnity compensation. It is the 
obligation of this grateful Nation to preserve the purchasing power of 
these benefits. This COLA will mirror the COLA received by Social 
Security recipients.
  Section 201 of the bill is the one that I introduced. This section 
provides a statutory basis for a presumption of service-connection for 
Vietnam veterans with Type 2 diabetes who were exposed to herbicides. 
This provision assures our Nation's veterans that this is a benefit 
based in law.
  Section 202 of the bill is based on H.R. 1406, which I introduced. It 
identifies additional ill-defined or undiagnosed illnesses or illnesses 
for which service-connection is presumed for Gulf War veterans. 
Additionally, it lists symptoms or signs that may be associated.
  H.R. 2540 authorizes a 2-year pilot program for expanded toll-free 
access to veterans' benefits counselors. This provision is derived from 
the recommendations made by the gentleman from Louisiana (Mr. Baker), a 
member of the committee, and the gentlewoman from California (Mrs. 
Capps), a Member of good standing; and we appreciate her work.
  I am pleased that H.R. 2540 also extends the authority of the VA to 
make direct home loans to Native Americans who live on trust lands. I 
want to thank the gentleman from New Mexico (Mr. Udall) for introducing 
similar legislation in H.R. 1929.

[[Page 15183]]

  Again, I want to thank the chairman of the full committee and the 
chairman and ranking member of the subcommittee for bringing this bill 
before us today. I urge all our colleagues to support H.R. 2540, as 
amended.
  Mr. Speaker, I rise in strong support of H.R. 2540, the Veterans 
Benefits Act of 2001. I commend and thank the distinguished Chairman of 
the Committee, Chris Smith, for his leadership in working with members 
on both sides of the aisle to bring this measure before us today. I 
also want to recognize the new Chairman of the Subcommittee on 
Benefits, Mr. Simpson, and the Ranking Democratic Member of the 
Subcommittee on Benefits, Mr. Reyes, who contributed to the bill before 
us today.
  I fully support the cost-of-living increase provided by Title I of 
H.R. 2540. The purchasing power of the benefits which our veterans have 
earned must be maintained and not be diminished because basic living 
expenses have increased. Our Nation's veterans have earned their 
benefits. It is the obligation of a grateful Nation to preserve the 
purchasing power of these benefits and pay them in a timely manner.
  As a long time supporter of benefits for veterans who have suffered 
from the effects of exposure to herbicides such as Agent Orange, I 
welcome VA's recent regulation providing a presumption of service-
connection for Vietnam veterans exposed to dioxin who now suffer from 
diabetes Mellitus, Type 2. This was the right action to take. Now it is 
time to provide a statutory presumption that makes it clear to veterans 
that their eligibility is protected as a matter of law. Section 201 of 
the bill is based on legislation I introduced, H.R. 862. This important 
step will not result in any additional benefit costs, but will assure 
our Nation's veterans of their statutory right.
  I also strongly support section 202 of the bill, based on H.R. 1406 
which I introduced to overturn a narrow and erroneous opinion of the 
Department of Veterans Affairs (VA) General Counsel. Thousands of 
veterans who were healthy before their service in Southwest Asia have 
experienced a variety of unexplained symptoms since going to Southwest 
Asia. Claims for service-connected compensation filed by Gulf War 
veterans were originally denied because no single disease entity or 
syndrome responsible for these illnesses had been identified. In 
providing for compensation due to undiagnosed illnesses or illnesses 
which could not be clearly defined, the Congress specifically intended 
that under Public Law 103-446, veterans be given the benefit of the 
doubt and provided service-connected compensation benefits. Because of 
an erroneous Opinion of VA's General Counsel, the law's intent has been 
frustrated and many veterans have been denied compensation.
  As many veterans organizations have noted, both the former Chairman 
of this Committee [Bob Stump] and I have criticized VA's interpretation 
of the term ``undiagnosed illness'' in VA General Counsel Precedent 
Opinion 8-98 as extremely restrictive. That opinion held that VA is 
precluded from providing benefits to veterans who develop symptoms 
after military service and who receive a diagnostic label, such as 
``chronic service fatigue syndrome'' even for illnesses which are not 
clearly defined. Thousands of veterans have had their claims denied 
because ``chronic fatigue syndrome'' or another diagnostic label such 
as ``irritable bowel syndrome'' was provided. Other veterans with 
identical symptoms whose physicians did not attach a diagnostic label 
have had their claims granted. Such disparate treatment is unfair and 
unacceptable.
  Since there is no known cause for these illnesses and no specific 
laboratory tests to confirm the diagnosis, as a practical matter VA's 
ability to provide compensation has been limited to veterans whose 
symptoms became manifest during active duty or active duty for training 
or to veterans whose physician indicated that the veterans symptoms 
were due to an ``undiagnosed'' condition. Section 202 of H.R. 2540 
places the emphasis where Congress originally intended by focusing on 
the symptoms which have had such a disabling affect on the lives of 
some Gulf War veterans. The bill addresses illnesses which are not 
clearly defined, rather than illnesses whose etiology is not clearly 
defined. As Dr. Claudia Miller, an experienced medical researcher 
testified at the October 26, 1999, hearing of the Subcommittee on 
Benefits concerning Persian Gulf War Veterans Issues, ``In medicine, we 
will label something with a name, as you are aware, and call it a 
diagnosis, but it may not convey what the etiology is. There are very 
few places in medicine where we say what the etiology is when we give a 
diagnosis. One of the few is infectious diseases.''
  In focusing on the symptoms of poorly defined illnesses, the bill 
applies to disabilities resulting from what is increasingly referred to 
in medical research as ``chronic multisymptom illnesses''. (See, 
``Chronic Multisymptom Illness Affecting Air Force Veterans of the Gulf 
War'', Fukuda et al, JAMA 1988; 280:981-988, ``Clinical Risk 
Communication: Explaining Causality To Gulf War Veterans With Chronic 
Multisymptom Illnesses'' Engel, Sunrise Symposium (June 25, 1999) 
(Found at www.deploymenthealth.mil/education/risk comm.doc) and 
``Multiple Chemical Sensitivity and Chronic Fatigue Syndrome in British 
Gulf War Veterans,'' Reid et al, American Journal of Epidemiology, 2001 
153:604-609. Veterans must be provided the benefit of the doubt. VA's 
cost estimate for compensating Gulf veterans who suffer from 
fibromyalgia, chronic fatigue syndome and irritable bowel syndrome is 
evidence that claims which Congress intended to recognize in its 1994 
legislation are being denied under present law.
  The handling of claims based on undiagnosed illnesses continues to be 
problematic. Current VA policy requires VA to consider symptoms 
attributed to a diagnosed condition under whatever rating is 
appropriate and to also give full credence to symptoms which cannot be 
attributed to any of the diagnosed illnesses. In some cases, 
adjudicators in VA Regional Offices have failed to follow VA policy. I 
hope that by expanding the coverage of service-connection to illnesses 
which cannot be clearly defined, VA adjudicators will make fewer such 
errors.
  I regret that having expended so much of our Nation's resources on a 
large tax cut, we lack the funding to make this provision effective 
until April 1, 2002. There is one and only one reason for not making 
this provision effective upon enactment and even retroactive to the 
date of the original legislation. Having spent our Nation's ``surplus'' 
on large tax cuts for the wealthiest Americans, we have to search for 
nickels and dimes to meet our debt to our Nation's disabled veterans. 
This is a disgrace, but it is the result with which we are now forced 
to live.
  I understand the concerns raised by those who believe the presumptive 
period for undiagnosed illnesses should be extended. Except for members 
of the Guard and Reserve who, though not assigned to the Gulf have 
suffered adverse effects following the administration of anthrax and 
other vaccines while on inactive duty for training. I am not aware of 
any cases where symptoms of undiagnosed illnesses have recently become 
manifest. I am also not aware of any servicemembers recently assigned 
to the Gulf having experienced symptoms of undiagnosed illnesses, 
chronic fatigue syndrome or fibromyalgia. However, because this may 
exist, I do not oppose the two-year extension of time contained in the 
Manager's amendment. Although I hope that no disabilities with a long 
latency period such as cancer or other illnesses will result from Gulf 
Service, I will support a presumption of service-connection if and when 
certain disabilities are determined to be more prevalent in Gulf 
veterans than comparable populations.
  Section 203 of H.R. 2540 gives the Secretary of Veterans Affairs the 
authority to protect the service connection of veterans receiving 
compensation benefits. Last year, Congresswoman Capps and I became 
aware that VA was having difficulty in recruiting veterans to 
participate in a VA-sponsored research study concerning the prevalence 
of Amyotrophic Lateral Sclerosis (ALS or Lou Gehrig's Disease) in Gulf 
War veterans. Because ALS is such a rare disease, the validity of the 
study required that as many veterans as possible with this condition be 
identified. A number of veterans refused to participate in the study 
because they were currently receiving service connected compensation 
benefits attributed to an undiagnosed illness. If ALS were to be 
diagnosed, the veteran would lose those benefits. In response to a 
joint request from Mrs. Capps, Mr. Stearns, Mr. Bilirakis and myself to 
protect the benefits of the ALS study participants, former Acting 
Secretary Gober stated in an October 19, 2000, letter, ``there is 
simply no viable way to provide such protection consistent with 
existing law and standards of ethnical conduct for Government 
employees.''
  Section 203 of H.R. 2540 is intended to remedy this dilemma and 
provide the VA with the authority needed to enable veterans to 
participate in medical research studies, without fear that their 
benefits will be placed in jeopardy. Absent such authority, there is a 
very real risk that veterans will be caught in a ``Catch-22'' 
situation. Without adequate research, it may not be possible to 
demonstrate an association between service in Southwest Asia and 
specific rare illnesses experienced by a small number of Gulf War 
veterans. If the research is inadequate, deserving veterans may be 
denied compensation. Medical research serves an important humanitarian 
goal,

[[Page 15184]]

by furthering knowledge concerning human diseases and treatment. 
Veterans who participate in such research, without any likelihood of 
direct benefit to their own lives, deserve to be protected, not 
punished, for their humanitarian spirit. By preserving the service 
connected character of the veteran's disabilities, they and their 
survivors would qualify for compensation and dependency and indemnity 
compensation (DIC) benefits.
  I am also pleased that the bill addresses concerns expressed by Mrs. 
Capps and Mr. Baker concerning VA's toll-free telephone service. The 
proposed pilot project should provide veterans with improved access to 
VA employees for those questions which cannot be handled by VA's 
automated telephone system. This is particularly important for the 
growing population of elderly veterans and survivors, who may have 
difficulty navigating through the high-tech world of automated 
telephone systems. I expect that this pilot program will provide us 
with valuable information concerning VA's ability to handle telephonic 
inquiries.
  Likewise, I strongly support the provisions in H.R. 2540 that are 
derived from H.R. 1929 introduced by Tom Udall and myself to extend the 
pilot program providing direct home loans to veterans residing on 
tribal lands. It is critical that this Congress continued to recognize 
the important differences between homes on tribal land and conventional 
home loans under Anglo-American legal principles of real property. This 
bill provides another home ownership option to Native American veterans 
residing on tribal lands.
  H.R. 2540 also contains provisions derived from H.R. 2222, introduced 
by Mr. Filner and H.R. 2359, introduced by Chairman Smith and myself. 
VA should not be holding monies which could be distributed to the 
beneficiaries or heirs of a veteran when the primary beneficiary cannot 
be located. VA should make every effort to assure that the rightful or 
equitable beneficiaries of these interests receive the funds to which 
they are entitled.
  Section 406 of H.R. 2540 would eliminate the requirement that 
veterans filing an appeal with the U.S. Court of Appeals for Veterans 
Claims also notify the VA. This requirement has apparently caused 
confusion among appellants and caused some to be denied their right to 
appeal a decision to the court in a timely manner. Since current court 
rules require the U.S. Court of Appeals for Veterans Claims to notify 
the Secretary of Veterans Affairs when an appeal is documented, 
sufficient notice would be provided to the Secretary with the 
elimination of this requirement.
  I thank the Chairman and Ranking Member of the Subcommittee for 
bringing this bill forward and urge all members to support H.R. 2540.
  Mr. Speaker, I reserve the balance of my time.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 4 minutes to the 
gentleman from Idaho (Mr. Simpson), the distinguished chairman of the 
Subcommittee on Benefits.
  Mr. SIMPSON. Mr. Speaker, I thank the gentleman for yielding me this 
time and for his kinds words; and I am proud to rise in support of H.R. 
2540, the Veterans Benefits Act of 2001. This bill comprises several of 
the bills we took testimony on in the Subcommittee on Benefits on July 
10 as well as administrative provisions affecting the Court of Appeals 
for Veterans Claims, all of which we marked up in subcommittee on July 
12.
  I will briefly outline the various provisions of the bill, which 
makes an array of improvements to veterans benefits programs.
  Title I would provide a cost of living adjustment, already mentioned, 
effective December 1, 2001, to the rates of disability compensation for 
veterans with service-connected disabilities and the rates of 
dependency and indemnity compensation. As the committee has done in the 
past, the rate of increase will be the same as the Social Security COLA 
increase.
  On July 9, the Department of Veterans Affairs issued final rules 
adding Type 2 diabetes to the regulatory list of service-connected 
illnesses presumed to be associated with exposures to the herbicide 
agents in Vietnam. VA based its decision on recent findings by the 
National Academy of Sciences. Section 201 of this bill codifies the VA 
regulations.
  The remaining sections of title 2 addresses issues unique to Persian 
Gulf War veterans. They indeed are selfless individuals who went into 
harm's way to fight tyranny. About 12,000 of our 714,000 service 
members who served in the Gulf suffer from hard-to-diagnose illnesses.
  Section 202 would expand the definition of undiagnosed illnesses to 
include fibromyalgia, chronic fatigue syndrome, and chronic multi-
symptom illnesses for the statutory presumption of service connection, 
as well as for other illnesses that cannot be clearly defined. This 
section also lists signs and symptoms that may be a manifestation of an 
undiagnosed illness.
  I would like to take this opportunity to thank the gentleman from 
Illinois (Mr. Manzullo), the gentleman from Mississippi (Mr. Shows), 
and the gentleman from Florida (Mr. Bilirakis) for their work, and the 
gentleman from Texas (Mr. Reyes) for working with me on this provision.
  Section 203 would grant the Secretary the authority to protect the 
service-connected grant of a Persian Gulf war veteran who participates 
in a Department-sponsored medical research project. It is the 
committee's intention that this provision will broaden participation in 
vital scientific and medical studies.
  Section 204 would expand to December 31, 2003 the presumptive period 
for providing compensation to veterans with undiagnosed illnesses. This 
authority expires at the end of this year. And I would like to thank 
the gentleman from Florida (Mr. Gibbons) and the gentleman from Indiana 
(Mr. Buyer) for their work with us on this issue.
  Title 3 would provide greater administrative flexibility to the U.S. 
Court of Appeals for Veterans Claims so that registration fees paid to 
the court might be used in connection with practitioner disciplinary 
proceedings and in support of bench and bar and veterans' law 
educational activities. Title 3 also authorizes the collection of 
registration fees for other court-sponsored activities where 
appropriate.
  Section 401 would give the VA the authority to make a payment of life 
insurance proceedings to an alternate beneficiary when the primary 
beneficiary cannot be located within 3 years. Currently, there is no 
time limitation for the first-named beneficiary of a national service 
life insurance or United States Government life insurance policy to 
file a claim. As a result, VA is required to hold the unclaimed funds 
indefinitely. Section 402 would extend the copayment requirement for a 
VA outpatient prescription medication to September 30, 2006 from 
September 30, 2002.
  Section 403 would make the availability of funds from VA's Health 
Services Improvement Fund subject to the provisions of the 
appropriations acts.
  Section 404 would extend the Native Americans Veteran Housing Loan 
Pilot program to 2005.
  Section 405 would modify the loan assumption notice requirement.
  Section 406 would eliminate the need for a claimant to send a copy of 
a notice of appeal to the Secretary. Removal of this notice requirement 
would not impair VA's ability to receive notice of the filing of an 
appeal and to respond to those who are properly filed with the court.
  Finally, section 407 would establish a 2-year nationwide pilot 
program requiring the Secretary to expand the available hours of the 
VA's 1-800 toll-free information service and to assess the extent to 
which demands for such service exists. This pilot would provide 
information on veterans benefits and services administered by all 
Federal departments and agencies.
  I would like to thank the gentleman from Louisiana (Mr. Baker) and 
his staff for working with the subcommittee on this provision, along 
with the gentlewoman from California (Mrs. Capps) for her testimony 
that she submitted at the subcommittee's July 10 hearing.
  Mr. Speaker, I also want to thank a real gentleman, the gentleman 
from Texas (Mr. Reyes), the ranking member of the Subcommittee on 
Benefits, for his support and counsel in my first few weeks as chairman 
of this subcommittee.
  Lastly, we would not be considering this bill if it were not for the 
wisdom and foresight of the gentleman from New Jersey (Mr. Smith), 
chairman of the full committee, and the ranking member, the gentleman 
from Illinois

[[Page 15185]]

(Mr. Evans). These two gentlemen have served together on the Committee 
on Veterans' Affairs for some 20 years, and I appreciate their 
leadership.
  Mr. Speaker, H.R. 2540 is a strong bill; and I urge my colleagues 
support of it.
  Mr. EVANS. Mr. Speaker, I yield 5 minutes to the gentleman from Texas 
(Mr. Reyes).
  Mr. REYES. Mr. Speaker, I thank the gentleman for yielding me this 
time.
  As an original cosponsor and strong supporter of H.R. 2540, the 
Veterans Benefits Act of 2001, I am pleased that we are moving forward 
to assure a cost of living increase for our Nation's disabled veterans 
and their families, and the other benefits provided in this legislation 
as well. The sooner the benefits provided in this bill can be enacted 
into law, I believe the better.
  I want to acknowledge the cooperation of our chairman and ranking 
member, the gentleman from New Jersey (Mr. Smith) and the gentleman 
from Illinois (Mr. Evans), as well as our new subcommittee chair, the 
gentleman from Idaho (Mr. Simpson), in moving this bill forward. I 
appreciate their commitment and leadership to the benefits accorded to 
our veterans.
  I want to highlight the provisions addressing the needs of Gulf War 
veterans. A new report of the Institute of Medicine acknowledges that 
symptoms experienced by Gulf War veterans have a significant degree of 
overlap with symptoms of patients diagnosed with conditions such as 
fibromyalgia, chronic fatigue syndrome, and irritable bowel syndrome.
  When legislation was originally passed to provide service-connected 
compensation benefits to our Nation's Gulf War veterans, it was the 
intent of Congress that those who were experiencing these symptoms, 
such as fatigue, joint pain, and others noted in the recent IOM report, 
would be compensated. Unfortunately, VA's General Counsel ruled that 
only veterans whose symptoms did not carry a diagnostic label would be 
compensated. Currently, VA's ability to receive compensation depends on 
the happenstance of whether or not the examining physician attributes a 
diagnostic label to the symptoms. This is unfair to our Nation's 
veterans and must be changed.
  The Gulf War provisions of H.R. 2540 place the emphasis where it was 
originally intended by focusing on the symptoms experienced by Gulf War 
veterans rather than a particular label which may be attributed to 
them. The term chronic multi-symptom illness is intended to include 
veterans who experience more than one symptom lasting at least 6 
months. It is my understanding that thousands of Gulf War veterans have 
had claims denied because their symptoms were attributed to a diagnosis 
of chronic fatigue syndrome. Most of these war veterans would be 
eligible for benefits provided by this bill as of April 1, 2002.
  I deeply regret that the large tax cut recently signed into law 
leaves no funds available to make this provision effective any sooner. 
I would prefer that this bill provide those benefits and be effective 
as of November 2, 1994, when the original law was passed.

                              {time}  1245

  Nonetheless, I recognize that under the financial constraints that we 
must now live with, there is no money to provide for an earlier 
effective date. Sick Gulf War veterans deserve the compensation 
provided by this bill.
  Mr. Speaker, I would also like to state that I support the manager's 
amendment extending until December 31, 2003, the period in which Gulf 
War veterans may manifest symptoms qualifying for compensation as an 
undiagnosed illness. The measure before us moves us towards the goal of 
meeting the needs of our sick Gulf War veterans in a responsible 
manner.
  Again, I want to thank the chairman, the ranking member and the chair 
of the Subcommittee on Benefits for their leadership and their vision 
to our Nation's veterans.
  H.R. 2540 is a good bill and I urge all the Members to support it.
  Mr. SMITH of New Jersey. Mr. Speaker, because of great interest and 
the number of speakers on H.R. 2540, I ask unanimous consent that we 
have an additional 10 minutes equally divided between the majority and 
minority.
  The SPEAKER pro tempore (Mr. Ryan of Wisconsin). Is there objection 
to the request of the gentleman from New Jersey?
  There was no objection.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 3 minutes to the 
gentleman from Indiana (Mr. Buyer).
  Mr. BUYER. Mr. Speaker, I rise in strong support of the Veterans 
Benefits Act of 2001. I also wish to extend my compliments to the 
chairman, the gentleman from New Jersey (Mr. Smith) and the gentleman 
from Illinois (Mr. Evans); also the gentleman from Idaho (Mr. Simpson) 
and the gentleman from Texas (Mr. Reyes) and also recognition to my 
Gulf War comrade, the gentleman from Nevada (Mr. Gibbons).
  I am especially pleased with the compensation provision for Vietnam 
and Gulf War veterans. For too long the Vietnam veterans have been 
waiting for VA to recognize illnesses like diabetes melitus for 
compensation and pension benefits.
  I also clearly recall as a freshman in this Chamber in the 103rd 
Congress, it having only been a few months since I returned from the 
Persian Gulf, having to fight for my colleagues just to receive their 
medical attention as a result of military service.
  The concerns and appreciation of the country for their service was 
real, but the medical science to link causation to service in the Gulf 
War was severely lacking.
  In 1994, I recall Joe Kennedy and the gentleman from Illinois (Mr. 
Evans) and myself introducing something very radical. It was called 
compensation for an undiagnosed illness. As we were downsizing the 
military, we wanted to make sure that these Gulf War veterans received 
their medical attention, yet they were also in economic dire straits. 
So we also wanted to make sure their families were taken care of as we 
then focused and put millions of dollars into medical research to press 
the bounds of science.
  The VA then struggled with our initiatives. What they then learned 
was, simply put, that the VA over the last several years has narrowly 
interpreted congressional intent to provide for sick veterans with 
disability compensation that they so dearly earned and should receive.
  The VA failed to consider illnesses like fibromyalgia, chronic 
fatigue syndrome, and chronic multisymptom illnesses and other 
illnesses that cannot be clearly defined as having been attributed to 
service in the Persian Gulf.
  I am especially pleased that this bill will include a list of 
symptoms that the VA must recognize as being a manifestation of an 
undiagnosed illness.
  This bill will help clarify Congress's intent with regards to the 
benefits of sick Persian Gulf War veterans. I fully support this bill 
and look forward to referring the measure to the Senate.
  Mr. EVANS. Mr. Speaker, I yield 2 minutes to the gentleman from 
California (Mr. Filner).
  Mr. FILNER. Mr. Speaker, I thank the Chair and the ranking member for 
bringing us H.R. 2540, the Veterans Benefit Act. I would like to 
briefly call attention to another provision which will provide fairness 
for our Nation's veterans.
  The VA currently holds about 4,000 national life insurance and U.S. 
Government life insurance policies valued at about $23 million on which 
payment has not been made. Why is this? Because the VA has been unable 
to locate the person identified as the beneficiary following the death 
of the veteran.
  I introduced recently a bill, H.R. 2222, regarding this problem, and 
I am pleased that this provision to permit the VA to pay an alternate 
beneficiary, if the primary beneficiary cannot be located within 3 
years of the death of the insured veteran, has been included in H.R. 
2540. I know this provision will benefit the families of many, many, 
many veterans.
  I also support the expanded definition which will allow Gulf War 
veterans to obtain service-connected compensation for chronic 
multisymptom illnesses such as chronic fatigue syndrome.
  Like the gentleman from Texas (Mr. Reyes) before me, I am upset that 
the

[[Page 15186]]

provisions must be delayed until April 1, 2002. Once again, the reason 
for this is because this Congress enacted a tax plan first, before the 
budget. So we have to live within the context of a budget which was 
greatly restricted and restrained to us. So having spent this surplus, 
we are unable to promptly pay our debt to our Nation's Gulf War 
veterans. I find this deplorable, but we are under these congressional 
rules.
  Of course, because this bill improves benefits for our veterans, I 
urge my colleagues to vote for H.R. 2540. I thank the chairman for 
another strong bill.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 2 minutes to the 
gentleman from Illinois (Mr. Manzullo).
  Mr. MANZULLO. Mr. Speaker, 10 years ago a patriot from Freeport, 
Illinois, named Dan Steele went off to war in Iraq to fight for the 
American people and protect the freedoms this country has known for 
more than 200 years.
  During the buildup in the Gulf, Dan's leg was fractured by an Iraqi 
soldier's apparent suicide attack. Over the next 8 years, Dan suffered 
from various conditions shared by many in the Gulf War.
  In May of 1999, Dan succumbed to his illnesses and passed away. The 
county coroner listed ``Gulf War Syndrome'' as a secondary cause on his 
death certificate.
  Shortly after Dan's funeral, I dispatched Al Pennimen, a retired 
judge on my staff, to contact his widow, Donna. She vowed to Dan to do 
whatever she could to help other Gulf War veterans suffering from 
mysterious ailments. Her story moved me to introduce legislation, H.R. 
612, that now has the support of over 225 Members of Congress. A 
companion bill has been introduced in the Senate by Senator Kay Bailey 
Hutchinson. I am pleased to announce that significant portions of H.R. 
612 are included in this benefits package today.
  I thank the gentleman from New Jersey (Mr. Smith) and members of the 
Committee on Veterans Affairs for strengthening the part of the bill 
that provides enhanced benefits for ailing Gulf War veterans. These 
provisions will allow more sick veterans to qualify for compensation by 
expanding the list of eligible illnesses, adding strong report language 
on multiple chemical sensitivity, codifying 13 possible symptoms, and 
extending by 2 years the time period during which these symptoms may 
arise.
  Mr. Speaker, I urge my colleagues to vote in favor of H.R. 2540. It 
goes a long way towards fulfilling the promises we have made to our 
veterans.
  Mr. EVANS. Mr. Speaker, I yield 2 minutes to the gentleman from 
Mississippi (Mr. Shows).
  Mr. SHOWS. Mr. Speaker, I am proud to be a member of the Committee on 
Veterans Affairs and to show my strong support for H.R. 2540, the 
Veterans Benefits Act of 2001. This important legislation will take 
meaningful action to improve benefits our Nation's veterans have 
earned. As my colleagues know, we have been concerned about the 
appalling 75 percent rate at which Gulf War veterans suffering from 
undiagnosed illnesses have been denied compensation from the VA.
  Earlier this year, I introduced H.R. 612, the Persian Gulf War 
Compensation Act of 2001 with two other outstanding advocates for 
veterans, the gentleman from Illinois (Mr. Manzullo) and the gentleman 
from California (Mr. Gallegly). This legislation garnered strong 
bipartisan support from over 225 Members of Congress. I am pleased to 
say that the gentleman from New Jersey (Mr. Smith), the gentleman from 
Illinois (Mr. Evans) and my fellow subcommittee members helped us on 
some provisions in this bill that are key to provisions in H.R. 612.
  The Veterans Benefit Act of 2001 will now clarify VA standards for 
compensation by recognizing fibromyalgia, chronic fatigue syndrome, 
multiple chemical sensitivity, and other ailments, or poorly defined 
illnesses associated with Gulf War service.
  Additionally, this bill extends the presumptive period for 
undiagnosed illnesses to December 31, 2003. This is a true victory for 
the veteran.
  Mr. Speaker, these veterans put their lives on the line to protect, 
defend and advance ideals of democracy, and our American way of life by 
serving the United States military. They answered the call. We have a 
duty to answer them. Vote for this bill. It is the right thing to do.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 2 minutes to the 
gentleman from Louisiana (Mr. Baker).
  Mr. BAKER. Mr. Speaker, all too often we pick up the telephone and 
dial a 1-800 number or dial a business enterprise and we are, by 
computer, referenced from department to department to department, and 
often are not even able to communicate with another human being to get 
an answer to our very simple question.
  Most of us see that simply as an aggravation, but when it happens to 
a veteran of military service when calling on his country to have a 
question answered, it is an insult. That is why I am grateful for the 
inclusion of a pilot program for 2 years which makes an effort to have 
a 1-800 veterans number. Amazingly, we will have a human being on the 
end of that phone. It is a long overdue service, and I think we should 
explore the potentials. It may be fraught with difficulty and difficult 
to perfect, but there is one thing that is for sure: The veterans who 
have given to this country are at least deserving of respectful 
treatment.
  Mr. Speaker, I thank my colleagues for taking this step towards what 
I think is an appropriate action for the veterans of our country.
  Mr. EVANS. Mr. Speaker, I yield 2 minutes to the gentleman from Texas 
(Mr. Rodriguez).
  Mr. RODRIGUEZ. Mr. Speaker, while we have a long way to go, the 
Veterans Benefit Act is a step in the right direction. The compensation 
legislation before us would streamline the rating system of certain 
service-connected illnesses, as well as provide a cost-of-living 
adjustment to those receiving disability compensation benefits.
  As a member of the committee, I am proud to join the bipartisan 
efforts to improve the quality and deliver the veterans benefits 
program. Veterans should not be left wondering if the Federal 
Government is going to fulfill its promise. Those who have received 
service-connected disability benefits can expect a cost-of-living 
benefit. So can their survivors. For Vietnam veterans who were exposed 
to Agent Orange and now suffer from diabetes, the Veterans Benefit Act 
acknowledges their entitlement to service-connected disabilities 
benefits.
  In addition, Gulf War veterans suffering from ill-defined illnesses 
which modern medical technology cannot really diagnose, the Veterans 
Benefit Act will likewise extend the presumption of service 
connections. Veterans who suffer from disabilities should not be 
abandoned and their disabilities should not be ignored simply because 
doctors cannot diagnose the causes.
  Finally, I am supportive of a 2-year nationwide pilot program to 
include in the bill expansion of the availability of hours of the VA 1-
800 toll-free information service. Veterans worked around the clock for 
us, and they deserve for us to do the same for them. Our freedoms did 
not come free, and for veterans the physical and psychological wounds 
of the war do not go away.
  I want to take this opportunity to thank the gentleman from New 
Jersey (Mr. Smith) for his hard work, and that of my distinguished 
colleague, the gentleman from Illinois (Mr. Evans), the ranking member.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 2 minutes to the 
gentleman from Mississippi (Mr. Pickering), who carries on the 
tradition of our former chairman, Mr. Montgomery.
  Mr. PICKERING. Mr. Speaker, I rise in strong support of H.R. 2540, 
the Veterans Benefit Act. Today we have 250,000 veterans in 
Mississippi; 54,000 are World War II veterans, 77,000 are Vietnam 
veterans, 39,000 served in Korea, and 33,000 are Gulf War vets. This 
bill provides them compensation benefits and COLA.
  It recognizes the 33,000 Gulf War veterans and gives them an 
extension of the presumptive period to recognize the mysterious 
illnesses that they returned with, and provides them we hope with the 
care they have so richly earned.

[[Page 15187]]

  It provides for a great new pilot program to provide information, as 
the gentleman from Louisiana (Mr. Baker) mentioned, a voice-to-voice, a 
person-to-person providing the care they need to get the care they 
deserve.
  Mr. Speaker, I want to commend the gentleman from New Jersey (Mr. 
Smith) for his leadership. He has been aggressive and assertive in 
representing veterans across this country and in my State of 
Mississippi.
  Secretary Principi has done a tremendous job. We are making progress 
because we know to recruit and retain the young people today in our 
military force, we must show the care and the commitment, the respect 
and the appreciation to the veterans who served yesterday.
  This bill, along with H.R. 1291, the Montgomery GI bill, is a 
significant step in the right direction, and for that I give great 
support and commendation to the committee and to the chairman and to 
the other Members and to this bill.

                              {time}  1300

  Mr. EVANS. Mr. Speaker, I yield 2 minutes to the gentlewoman from 
California (Mrs. Capps).
  Mrs. CAPPS. Mr. Speaker, I rise in strong support of this bill. I 
want to thank the gentleman from New Jersey (Mr. Smith) and the 
gentleman from Illinois (Mr. Evans) for their leadership on this 
important legislation.
  I wish to highlight a couple of provisions contained in H.R. 2540 
that I have worked on for some time. The first provision would end a 
Catch-22 faced by vets and VA researchers. Currently vets can lose 
benefits for an ``undiagnosed illness'' if participation in a VA study 
determines the illness and it is not service connected. This issue was 
brought to my attention last year. VA researchers told me of concerns 
that some vets might not participate in an ongoing study to look at 
possible connections between Gulf War service and Lou Gehrig's disease. 
I learned that some vets feared losing needed benefits by participating 
in the study. This lack of participation could compromise an important 
study that could benefit vets and all people suffering from Lou 
Gehrig's disease. H.R. 2540 fixes this problem by letting VA protect 
compensation in such cases. This provision is based on a bill the 
gentleman from Illinois (Mr. Evans) and I introduced earlier this year.
  H.R. 2540 also contains provisions to temporarily expand hours for 
VA's toll-free information lines to at least 12 hours a day Monday 
through Friday and 6 hours on Saturday. I have a lot of interest in 
this subject having introduced legislation for the last 2 years which 
would operate information lines 24 hours a day, 7 days a week. My bill 
would also get the information line to include crisis intervention 
services. I am very pleased that the committee has included provisions 
to keep this information line open longer hours. It will make it easier 
for vets to get information on the benefits that they have earned. I 
look forward to working with the committee as we follow up on this 
important pilot program.
  I urge my colleagues to support this bill.
  Mr. Speaker, I rise today in strong support of H.R. 2540, the 
Veterans Benefits act of 2001. As an original cosponsor, I am proud to 
speak on behalf of this important legislation.
  First, I would like to thank Mr. Simpson, the Chairman of the 
Subcommittee on Benefits and Mr. Reyes, the Ranking Member for their 
excellent leadership on the issue of improving services for our 
nation's veterans. I would also like to commend Mr. Smith, Chairman of 
the full Committee and Mr. Evans, the Ranking Member for their 
leadership.
  This bill offers several important initiatives to improve the lives 
of our veterans. I am especially pleased about the inclusion of the 
provisions in Sec. 203 and Sec. 407. I am pleased to have worked 
closely with the Subcommittee on these two critical areas.
  Sec. 203 would eliminate a classic ``Catch-22'' situation faced by 
our veterans and the VA in medical research studies and is based on 
legislation, H.R. 1406, the Gulf War Undiagnosed Illness Act of 2001, 
Representative Evans and I introduced earlier this year. Under the 
current scenario, veterans who are being compensated on the basis of an 
``undiagnosed illness'' and who participate in a VA-sponsored medical 
research study, could lose their benefits if they are ``diagnosed'' 
with a non-service related condition during the course of the study.
  Last year, VA personnel told me about their concerns that if veterans 
declined to participate in a study because of the risk of losing 
benefits, the data may be insufficient and render the study unusable. 
These concerns were raised in connection with a study being done last 
year to determine a possible connection between ALS and service in the 
Gulf War.
  This legislation would give the VA the authority to protect 
compensation for undiagnosed illnesses when the VA determines that such 
protection is needed to ensure adequate participation by veterans in 
VA-sponsored medical research. This guarantee is particularly important 
for research that requires a high level of participation to achieve 
valid findings. I would again like to commend Ranking Member Evans for 
his leadership in this area.
  Sec. 407 of this bill establishes a pilot program at the VA to expand 
access to veterans benefits counselors. Under the bill, the hours would 
be expanded to no less than 12 hours a day, Monday through Friday and 
no less than six hours on Saturday. This expansion of access is 
essential to provide our veterans with the services that they richly 
deserve.
  I am proud to have authored H.R. 1435, the Veterans Emergency 
Telephone Service Act of 2001. This bill would address the pressing 
need of some of our nation's veterans for 24 hour access to crisis 
intervention services.
  By virtue of their service and sacrifice on behalf of this nation, 
our veterans deserve the very best support services we can provide. 
Such moments don't always occur during business hours, Monday through 
Friday. The bill before us takes critical steps to fulfill our 
obligation to our veterans.
  I look forward to continuing to work closely with the Committee on 
ways in which veterans' access to telephone service can be improved and 
expanded even more in its hours of availability and the services 
offered. I strongly urge an aye vote on H.R. 2540.
  Mr. SMITH of New Jersey. Mr. Speaker, I yield 2 minutes to the 
distinguished gentleman from New York (Mr. Gilman), the chairman 
emeritus of the Committee on International Relations.
  Mr. GILMAN. Mr. Speaker, I thank the gentleman for yielding me this 
time. I am pleased to rise today in strong support of H.R. 2540, the 
Veterans Benefits Act of 2001. I ask our colleagues to join in full 
support of this important legislation.
  Mr. Speaker, the House typically passes a general veterans benefits 
bill each year. H.R. 2540 represents this year's benefit legislation 
providing several important improvements to existing programs. I want 
to thank the distinguished gentleman from New Jersey (Mr. Smith) for 
all the good work he is doing for our veterans throughout the country.
  First, this bill provides for the annual cost-of-living adjustment to 
the rates of disability compensation for those veterans with service-
connected disabilities. This new rate will go into effect in December 
of this year. Congress has approved an annual cost-of-living adjustment 
to these veterans and survivors since 1976.
  Second, this legislation adds type II diabetes to the list of 
diseases presumed to be service connected in Vietnam veterans exposed 
to herbicide agents. It also greatly extends the definition of 
undiagnosed illnesses for Persian Gulf War veterans and authorizes the 
Secretary of Veterans Affairs to protect the grant of service 
connection of Gulf War veterans who participate in VA-sponsored medical 
research projects. These are long overdue benefits. It also extends the 
presumptive period for providing compensation to Persian Gulf veterans 
with undiagnosed illnesses to December 31, 2003.
  Mr. Speaker, many of our veterans from the Vietnam and Gulf Wars went 
years suffering from undiagnosed ailments while receiving neither 
recognition nor treatment from the veterans health care system. During 
the past 10 years, the Congress made great strides in recognizing the 
special circumstances surrounding the post-service experiences of these 
veterans. This bill is an extension of that process. For that reason, I 
urge its adoption by the House. I want to thank the gentleman from New 
Jersey again for his dedicated service to the veterans of our Nation.

[[Page 15188]]


  Mr. SMITH of New Jersey. Mr. Speaker, I yield 2 minutes to the 
distinguished gentleman from California (Mr. Cunningham).
  Mr. CUNNINGHAM. Mr. Speaker, I would like to laud my colleagues on 
both sides of the aisle. Veterans issues are very important. Both sides 
of the aisle support this bill very well. But every once in a while we 
have got people that just cannot stop themselves from partisan shots, 
and they need to be answered.
  The gentleman from California said there is not enough money for 
veterans because we spent the surplus in tax relief. First of all, 
surplus is defined as the amount of money above what it needs to run 
the Government with a 4 to 6 percent increase. That is what this 
committee has done.
  Secondly, the 124 deployments, $200 billion cost destroying our 
military and our ability to fund things like the veterans, $200 billion 
under the peacekeeping deployments of Bill Clinton. Recently, the 
ranking minority member says, ``Well, this is a good step but we have 
got a long way to go.'' The gentleman from Missouri, the minority 
leader, recently said that raising taxes in 1993, he was proud of it 
when the Democrats had control of the White House, the House and the 
Senate, and he would do it again.
  I think it is right to point out what those taxes were. The first 
part of those taxes were to cut the COLAs of the veterans. The second 
part was to cut the COLAs of the military. That is the wrong direction. 
The third was to increase the tax on the middle class which affected 
military and the veterans. The fourth was to increase taxes on Social 
Security and then take every dime out of the Social Security Trust Fund 
which raises the debt which veterans and military have to pay for.
  So yes, I think we are going in the right direction. We do have a 
long way to go. Let us analyze what is the reason why we do not have 
the dollars to put forward that we really need. We have had 124 
deployments taxing our veterans and our military. That is why I laud 
both sides of the aisle now for increasing those funds.
  Mr. BILIRAKIS. Mr. Speaker, as an original sponsor, I rise in strong 
support of H.R. 2540, the Veterans' Benefits Act of 2001.
  One of the most important bills the Congress approves each year is 
legislation providing disabled veterans an annual cost-of-living 
adjustment (COLA). H.R. 2540 provides a COLA, effective December 1, 
2001, to disabled veterans and the surviving spouses of veterans who 
are receiving Dependency and Indemnity Compensation (DIC). As in 
previous years, these deserving men and women will receive the same 
COLA that Social Security recipients will receive. I am pleased that we 
are acting to provide disabled veterans and their survivors with an 
annual COLA.
  The bill makes a number of other benefits improvements, including the 
addition of Diabetes Mellitus (Type 2) to the list of diseases presumed 
to be service-connected in Vietnam veterans exposed to herbicide 
agents. The bill also requires the Secretary of Veterans' Affairs to 
establish a two-year nationwide pilot program to expand the VA's 1-800 
toll-free information service to include information on all federal 
veterans' benefits and veterans' benefits administered by each state.
  The legislation also contains provisions affecting compensation for 
Persian Gulf veterans. Specifically, the bill expands the definition of 
undiagnosed illnesses for Persian Gulf veterans to include 
fibromyalgia, chronic fatigue syndrome and chronic multi-symptom 
illness for the statutory presumption of service-connection. The 
legislation also extends the presumptive period for Persian Gulf 
illnesses, which is scheduled to expire at the end of this year, until 
December 31, 2003.
  When Veterans' Affairs Committee considered H.R. 2540, Members of the 
Committee had some concerns about the provisions pertaining to Persian 
Gulf veterans. I was pleased that we were able to sit down and work out 
these differences so the House could proceed with this important 
legislation.
  I urge my colleagues to support the Veterans' Benefits Act of 2001.
  Mr. GALLEGLY. Mr. Speaker, I rise in support of the Veterans Benefits 
Act of 2001, a measure that will improve veterans' benefits, especially 
for our veterans who became ill as a result of their service in the 
Gulf War.
  Mr. Speaker, I am pleased to say that the Veterans Benefits Act of 
2001 contains many important provisions from H.R. 612--the Persian Gulf 
War Illness Compensation Act--which I introduced with my colleagues 
Congressmen Don Manzullo and Ronnie Shows.
  Since the end of the Gulf War, the Veterans Administration has denied 
nearly 80 percent of all sick Gulf War veterans' claims for 
compensation. In the view of many, including the National Gulf War 
Resource Center, the Veterans' Administration has employed too strict a 
standard for diagnosing Gulf War Illness.
  In response, the Veterans Benefits Act includes a critical two-year 
extension for Gulf War veterans to report and be compensated for Gulf 
War Illness. In addition, the bill includes a comprehensive list of 
symptoms that constitute Gulf War Illness. The measure also expands the 
definition of undiagnosed illness to include fibromyalgia and chronic 
fatigue syndrome as diseases that are compensatible, diseases often 
mistakenly attributed to Gulf War veterans.
  I want to personally thank Chairman Smith and the members of the 
Veterans' Affairs Committee in working with me and Congressmen Manzullo 
and Shows in getting this critical language included in this bill. When 
we move into conference, I hope that we continue to work to strengthen 
some of these provisions, including further extending the date of Gulf 
War veteran can be compensated for Gulf War related symptoms.
  As one of the original cosponsors of the 1991 resolution to authorize 
then-President Bush to use force in the Persian Gulf, I believe we must 
go the extra mile to take care of the men and women who went to war 
against Iraqi dictator Saddam Hussein and are now suffering from these 
unexplained and devastating ailments.
  Many of those suffering from Gulf War Illness were Reservists and 
National Guardsmen uprooted from their families and jobs. They answered 
the call, and we have a duty to help them. I urge my colleagues to vote 
for this important measure.
  Mr. UDALL of New Mexico. Mr. Speaker, I strongly support H.R. 2540, 
the Veterans Benefits Act of 2001.
  This legislation provides an important annual cost-of-living 
adjustment for disabled veterans, as well as surviving spouses of 
veteran's who receive dependency and indemnity compensation. H.R. 2540 
also makes a number of important changes to improve insurance, 
compensation, and housing programs for our nation's veterans.
  I want to thank Chairman Smith, Ranking Member Evans, and my 
colleagues on the Veterans' Affairs Committee for supporting the 
inclusion of provisions from H.R. 1929, the Native American Veterans 
Home Loan Act of 2001, in H.R. 2540. Ranking Member Evans, fourteen 
other Members and I introduced H.R. 1929 on May 21st of this year to 
extend the Native American Veterans Home Loan Pilot Program for another 
four years, and expedite the process of obtaining VA home loans for 
Native American Veterans living on tribal and trust lands. This program 
helps many Native Americans Veterans who might otherwise be unable to 
obtain suitable housing. Including the important provisions of H.R. 
1929 in H.R. 2540 will allow other Native American Veterans to take 
advantage of this important program.
  The Native American Veterans Home Loan Pilot Program, however, is 
just one of many VA benefits improved through H.R. 2540. I ask my 
colleagues to join me in support of these important benefit 
enhancements for the men and women who have sacrificed so much in 
defense of liberty and democracy.
  Mr. EVANS. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  Mr. SMITH of New Jersey. Mr. Speaker, I thank all of my colleagues 
for their participation in this debate in helping to craft what I think 
is a very worthwhile bill.
  Mr. Speaker, I have no further requests for time, and I yield back 
the balance of my time.
  The SPEAKER pro tempore (Mr. Ryan of Wisconsin). The question is on 
the motion offered by the gentleman from New Jersey (Mr. Smith) that 
the House suspend the rules and pass the bill, H.R. 2540, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds of 
those present have voted in the affirmative.
  Mr. SMITH of New Jersey. Mr. 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 and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.

[[Page 15189]]



                          ____________________