[House Report 118-627]
[From the U.S. Government Publishing Office]


118th Congress }                                             {    Report
                        HOUSE OF REPRESENTATIVES
 2d Session    }                                             {  118-627

======================================================================



 
FISCAL YEAR 2024 VETERANS AFFAIRS MAJOR MEDICAL FACILITY AUTHORIZATION 
                                  ACT

                                _______
                                

 August 9, 2024.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

   Mr. Bost, from the Committee on Veterans' Affairs, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 6324]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Veterans' Affairs, to whom was referred 
the bill (H.R. 6324) to authorize major medical facility 
projects for the Department of Veterans Affairs for fiscal year 
2024, and for other purposes, having considered the same, 
reports favorably thereon with an amendment and recommends that 
the bill as amended do pass.

                                CONTENTS

                                                                   Page
Amendment........................................................     1
Purpose and Summary..............................................     2
Background and Need for Legislation..............................     3
Hearings.........................................................     3
Subcommittee Consideration.......................................     4
Committee Consideration..........................................     4
Committee Votes..................................................     5
Committee Oversight Findings.....................................     5
Statement of General Performance Goals and Objectives............     5
Earmarks and Tax and Tariff Benefits.............................     5
Committee Cost Estimate..........................................     5
Budget Authority and Congressional Budget Office Estimate........     5
Federal Mandates Statement.......................................     7
Advisory Committee Statement.....................................     7
Applicability to Legislative Branch..............................     7
Statement on Duplication of Federal Programs.....................     7
Section-by-Section Analysis of the Legislation...................     8
Changes in Existing Law Made by the Bill, as Reported............     8

    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Fiscal Year 2024 Veterans Affairs 
Major Medical Facility Authorization Act''.

SEC. 2. AUTHORIZATION OF MAJOR MEDICAL FACILITY PROJECTS OF DEPARTMENT 
                    OF VETERANS AFFAIRS FOR FISCAL YEAR 2024.

  (a) In General.--The Secretary of Veterans Affairs may carry out the 
following major medical facility projects in fiscal year 2024 at the 
locations specified and in an amount for each project not to exceed the 
amount specified for such location:
          (1) Construction of a new specialty care building 201, 
        renovation of building 18, and expansion of parking facilities 
        in American Lake, Washington, in an amount not to exceed 
        $155,600,000.
          (2) Expansion of clinical space for mental health, expansion 
        of parking facilities, and land acquisition in Dallas, Texas, 
        in an amount not to exceed $93,100,000.
          (3) Construction of a new health care center and utility 
        plant in El Paso, Texas, in an amount not to exceed 
        $759,200,000.
          (4) Replacement of community living center and expansion of 
        parking facilities in Perry Point, Maryland, in an amount not 
        to exceed $274,310,000.
          (5) Seismic retrofit and renovation of buildings 100 and 101, 
        roadway and site improvements, construction of a new specialty 
        care facility, and demolition and expansion of parking 
        facilities in Portland, Oregon, in an amount not to exceed 
        $613,000,000.
          (6) Initiation of replacement of the medical center of the 
        Sierra Nevada Health Care System of the Department of Veterans 
        Affairs, including land acquisition and preliminary site work, 
        in Reno, Nevada, in an amount not to exceed $223,800,000.
          (7) Construction of a new spinal cord injury building, 
        partial renovation of building 1, parking facilities, central 
        utility plant upgrades, and the seismic retrofit of the 
        existing spinal cord injury building 11 at the San Diego Health 
        Care System of the Department in San Diego, California, in an 
        amount not to exceed $311,700,000.
          (8) Construction of a new research facility, parking 
        structure, and demolition in San Francisco, California, in an 
        amount not to exceed $264,500,000.
          (9) Seismic corrections for building 1, construction of a new 
        administrative building, and expansion of the outpatient clinic 
        and parking structure in San Juan, Puerto Rico, in an amount 
        not to exceed $370,370,000.
          (10) Phase 1 of the replacement of bed tower, expansion of 
        clinical building, consolidation of administrative building and 
        warehouse, water tower, and new utility plant and parking 
        garages in St. Louis, Missouri, in an amount not to exceed 
        $599,840,000.
          (11) Construction of a new surgical and clinical space tower, 
        renovation of buildings 1 and 2, and demolition in West Haven, 
        Connecticut, in an amount not to exceed $153,128,000.
  (b) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary of Veterans Affairs for fiscal year 2024 
or the year in which funds are appropriated for the Construction, Major 
Projects account, $3,818,548,000 for the projects authorized in 
subsection (a).
  (c) Offset.--The loan fee table in section 3729(b)(2) of title 38, 
United States Code, is amended by striking ``November 15, 2031'' each 
place it appears and inserting ``August 3, 2032''.

                          Purpose and Summary

    H.R. 6324, the ``Fiscal Year 2024 Veterans Affairs Major 
Medical Facility Authorization Act,'' was introduced by 
Representative Mike Bost of Illinois, Chairman of the Committee 
on Veterans' Affairs, on November 9, 2023. The bill would 
authorize the Department of Veterans Affairs (VA) to complete 
certain major medical facility construction projects and 
authorize the appropriations for each project for Fiscal Year 
(FY) 2024 in: American Lake, Washington; Dallas, Texas; El 
Paso, Texas; Perry Point, Maryland; Portland, Oregon; Reno, 
Nevada; San Diego, California; San Fransisco, California; San 
Juan, Puerto Rico; St. Louis, Missouri; and West Haven, 
Connecticut.

                  Background and Need for Legislation


Section 1: Short Title

    This Act may be cited as the ``Fiscal Year 2024 Veterans 
Affairs Major Medical Facility Authorization Act.''

Section 2: Authorization of Major Medical Facility Projects of 
        Department of Veterans Affairs for Fiscal Year 2024

    This section would authorize 11 major medical facility 
projects that were requested by VA in the FY 2024 President's 
budget.\1\ Section 8104 of title 38, United States Code 
(U.S.C.), requires congressional authorization for VA major 
medical facility projects. A ``major medical facility project'' 
is defined as a project for the construction, alteration, or 
acquisition of a medical facility involving a total expenditure 
of more than $20 million.\2\ Authorizing VA major construction 
is a longstanding, annual responsibility of the Committee. The 
Committee believes this function is necessary to provide 
veterans with suitable, modern medical facilities.
---------------------------------------------------------------------------
    \1\https://www.va.gov/opa/docs/remediation-required/management/
fy2025-va-budget-volume-iv.pdf.
    \2\https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-
title38-section8104#=0&
edition=prelim.
---------------------------------------------------------------------------
    As described below, if authorized, these projects would: 
facilitate the construction of new specialty care buildings, 
renovation of existing buildings, construction of parking 
facilities, expansion of clinical spaces and utility spaces, as 
well as make seismic corrections. The bill would authorize this 
construction in the following locations: American Lake, 
Washington for $155,600,000; Dallas, Texas for $93,100,000; El 
Paso, Texas for $759,200,000; Perry Point, Maryland for 
$274,310,000; Portland, Oregon for $613,000,000; Reno, Nevada 
for $223,800,000; San Diego, California for $311,700,000; San 
Francisco, California for $264,500,000; San Juan, Puerto Rico 
for $370,370,000; St. Louis, Missouri for $599,840,000; and 
West Haven, Connecticut for $153,128,000. The construction 
authorization totals $3,818,548,000.
    Veterans who utilize the VA Home Loan Program pay a small 
fee that is included in their monthly mortgage payments. This 
section would also offset the costs of the legislation's other 
sections by extending the expiration of the current rates for 
VA home loan funding fees by 262 days to August 3, 2032. 
Veterans with service-connected disabilities do not pay the 
funding fee and would not be affected by this extension of the 
home loan fees. The Committee believes this extension of 
current funding fee rates is a reasonable way to cover the 
costs associated with this legislation.

                                Hearings

    On March 21, 2024, the Subcommittee on Health held a 
legislative hearing on H.R. 6324 and other bills that were 
pending before the subcommittee.
    The following witnesses testified:
          The Honorable Mike Bost, U.S. House of 
        Representatives, Illinois 12th; The Honorable Chris 
        Deluzio, U.S. House of Representatives, Pennsylvania 
        17th; The Honorable Jack Bergman, U.S. House of 
        Representatives, Michigan 1st; The Honorable Greg 
        Murphy, U.S. House of Representatives, North Carolina 
        3rd; The Honorable Derrick Van Orden, U.S. House of 
        Representatives, Wisconsin 3rd; The Honorable Nick 
        LaLota, U.S. House of Representatives, New York 1st; 
        The Honorable Debbie Dingell, U.S. House of 
        Representatives, Michigan 6th; The Honorable Lauren 
        Underwood, U.S. House of Representatives, Illinois 
        14th; Dr. Ajit Pai, Executive Director, Office of 
        Rehabilitation and Prosthetic Services, Veterans Health 
        Administration, U.S. Department of Veterans Affairs; 
        Dr. Michael Brennan, Executive Director, Office of 
        Construction and Facilities Management, U.S. Department 
        of Veterans Affairs; Dr. Wendy Tenhula, Deputy Chief 
        Research and Development Officer, Office of Research 
        and Development, Veterans Health Administration, U.S. 
        Department of Veterans Affairs; Dr. David Perry Chief 
        Officer, Workforce Management and Consulting, Veterans 
        Health Administration, U.S. Department of Veterans 
        Affairs; Mr. Jon Retzer, Assistant National Legislative 
        Director, Disabled American Veterans; Mr. Roscoe 
        Butler, Senior Health Policy Advisor, Paralyzed 
        Veterans of America; Ms. Brittany Elliot, Veteran 
        (USMC), Advocate; Ms. Melissa Bryant, Chair, Board of 
        Directors, Minority Veterans of America.
    The following organizations submitted statements for the 
record:
          Wounded Warrior Project, Treat Now, and Superior 
        Ambulance.

                       Subcommittee Consideration

    On April 16, 2024, the Subcommittee on Health met in an 
open markup session, a quorum being present, on H.R. 6324 and 
other bills pending before the subcommittee.
    H.R. 6324 was ordered favorably forwarded with unanimous 
consent to the Full Committee on Veterans Affairs.
    A motion by Rep. Brownley of California to favorably 
forward H.R. 6324 to the Full committee was adopted by voice 
vote.

                        Committee Consideration

    On May 1, 2024, the Full Committee met in an open markup 
session, a quorum being present, and ordered H.R. 6324, as 
amended, to be reported favorably to the House of 
Representatives by voice vote. During consideration of the 
bill, the following amendments were considered:
          An amendment in the nature of a substitute to H.R. 
        6324 offered by Rep. Mike Bost was adopted by voice 
        vote. The amendment in the nature of a substitute would 
        make a change to include an offset by extending the 
        home loan fee.
          An amendment to the amendment in nature of a 
        substitute to H.R. 6324 offered by Rep. Jack Bergman 
        was adopted by voice vote. The amendment to the 
        amendment in nature of a substitute would reduce the 
        Reno, Nevada project authorization amount to 
        $223,800,000, add central utility plant upgrades to the 
        San Diego, California project authorization, and 
        correct the bill's total authorization amount from 
        $3,892,212 to $3,818,548,000.
    A motion by Ranking Member Takano to report H.R. 6324, as 
amended, favorably to the House of Representatives was agreed 
to by voice vote.

                            Committee Votes

    In compliance with clause 3(b) of rule XIII of the Rules of 
the House of Representatives, no recorded votes were taken on 
amendments or in connection with ordering H.R. 6324, as 
amended, reported to the House.

                      Committee Oversight Findings

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the descriptive portions of 
this report.

         Statement of General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the Committee's performance 
goals and objectives of H.R. 6324, as amended, are to authorize 
major medical construction projects at VA.

                  Earmarks and Tax and Tariff Benefits

    H.R. 6324, as amended, does not contain any Congressional 
earmarks, limited tax benefits, or limited tariff benefits as 
defined in clause 9 of rule XXI of the Rules of the House of 
Representatives.

                        Committee Cost Estimate

    The Committee adopts as its own the Congressional Budget 
Office cost estimate on this measure.

     Budget Authority and Congressional Budget Office Cost Estimate

    Pursuant to clause (3)(c)(3) of rule XIII of the Rules of 
the House of Representatives, the following is the cost 
estimate for H.R. 6324, as amended, provided by the 
Congressional Budget Office pursuant to section 402 of the 
Congressional Budget Act of 1974:




    H.R. 6324 would authorize appropriations for the Department 
of Veterans Affairs (VA) to construct medical and related 
facilities. The bill also would increase the fees that VA 
charges borrowers for its home loan guarantees.
    Spending subject to appropriation: H.R. 6324 would 
authorize the appropriation of $3,819 million for fiscal year 
2024 to construct or renovate eleven major medical facilities 
for VA. A total of $3,400 million was provided for the 
authorized projects in prior appropriations acts, including the 
Military Construction, Veterans Affairs, and Related Agencies 
Appropriations Act, 2024 (Division A of Public Law 118-42). 
Thus, the bill would authorize an additional $419 million in 
appropriations compared with current law. Using information on 
historical spending patterns for similar projects, CBO 
estimates that implementing the construction projects 
authorized by H.R. 6324 would cost an additional $409 million 
over the 2024-2034 period. Such spending would be subject to 
the appropriation of specified amounts.
    The costs of the legislation, detailed in Table 1, fall 
within budget function 700 (veterans benefits and services).

                                                   TABLE 1.--ESTIMATED BUDGETARY EFFECTS OF H.R. 6324
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                               By fiscal year, millions of dollars--
                                          --------------------------------------------------------------------------------------------------------------
                                            2024    2025    2026    2027    2028    2029    2030    2031     2032    2033    2034   2024-2029  2024-2034
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                     INCREASES IN SPENDING SUBJECT TO APPROPRIATION
 
Authorization............................     419       0       0       0       0       0       0       0        0       0       0       419        419
Estimated Outlays........................       8      63     126      84      54      33      21      10        5       3       2       368        409
 
                                                            DECREASES (-) IN DIRECT SPENDING
 
Estimated Budget Authority...............       0       0       0       0       0       0       0       0     -425       0       0         0       -425
Estimated Outlays........................       0       0       0       0       0       0       0       0     -425       0       0         0       -425
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Direct spending: H.R. 6324 would increase the fees that VA 
charges borrowers for its loan guarantees. VA provides loan 
guarantees to lenders that allow eligible borrowers to obtain 
better loan terms--such as lower interest rates or smaller down 
payments--to purchase, construct, improve, or refinance a home. 
VA typically pays lenders up to 25 percent of the outstanding 
mortgage balance if a borrower's home is foreclosed upon. Those 
payments, net of fees paid by borrowers and recoveries by 
lenders, constitute the subsidy cost for the loan 
guarantees.\1\ That subsidy cost is reflected in the federal 
budget as direct spending.
---------------------------------------------------------------------------
    \1\Under the Federal Credit Reform Act of 1990, the subsidy cost of 
a loan guarantee is the net present value of estimated payments by the 
government to cover defaults and delinquencies, interest subsidies, or 
other expenses offset by any payments to the government, including 
origination or other fees, penalties, and recoveries on defaulted 
loans. Such subsidy costs are calculated by discounting those expected 
cash flows using the rate on Treasury securities of comparable 
maturity. The resulting estimated subsidy costs are recorded in the 
budget when the loans are disbursed or modified. A positive subsidy 
indicates that the loan results in net outlays from the Treasury; a 
negative subsidy indicates that the loan results in net receipts to the 
Treasury.
---------------------------------------------------------------------------
    Under current law, the rates for most of the fees that 
borrowers pay to VA for loans guaranteed after November 15, 
2031, will drop from a weighted average of about 2.3 percent to 
about 1.2 percent of the loan amount. The bill would extend the 
higher rates through August 3, 2032, thereby reducing the 
subsidy cost of loans guaranteed during that period. Using its 
forecast of loan volume based on data provided by VA, CBO 
estimates that extending the higher rates would decrease direct 
spending by $425 million over the 2024-2034 period.
    The CBO staff contacts for this estimate are Christopher 
Mann and Paul B.A. Holland. The estimate was reviewed by 
Christina Hawley Anthony, Deputy Director of Budget Analysis.

                                         Phillip L. Swagel,
                             Director, Congressional Budget Office.

                       Federal Mandates Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandate Reform Act, P.L. 104-4) is inapplicable to H.R. 6324, 
as amended.

                      Advisory Committee Statement

    No advisory committees within the meaning of Section 5(b) 
of the Federal Advisory Committee Act would be created by H.R. 
6324, as amended.

                  Applicability to Legislative Branch

    The Committee finds that H.R. 6324, as amended, does not 
relate to the terms and conditions of employment or access to 
public services or accommodations within the meaning of section 
102 (b)(3) of the Congressional Accountability Act.

              Statement on Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of rule XIII of the Rules of the 
House of Representatives, the Committee finds that no provision 
of H.R. 6324, as amended, would establish or reauthorize a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

             Section-by-Section Analysis of the Legislation


Section 1. Short title

    This section would establish the short title of the bill as 
``Fiscal Year 2024 Veterans Affairs Major Medical Facility 
Authorization Act.''

Section 2. Authorization of major medical facility projects of 
        Department of Veterans Affairs for fiscal year 2024

    This section would authorize the Secretary of Veterans 
Affairs to carry out the following major medical facility 
projects in fiscal year 2024: American Lake, Washington: 
construction of a new specialty care building, renovations, and 
expansion of parking facilities, in an amount not to exceed 
$155,600,000; Dallas, Texas: expansion of clinical space and 
parking facilities and land acquisition, in an amount not to 
exceed $93,100,000; El Paso, Texas: construction of a new 
health care center and utility plant, in an amount not to 
exceed $759,200,000; Perry Point, Maryland: replacement of 
community living center and expansion of parking facilities, in 
an amount not to exceed $274,310,000; Portland, Oregon: seismic 
retrofit and renovation of buildings, roadway and site 
improvements, construction of a new specialty care facility, 
expansion of parking, and demolition, in an amount not to 
exceed $613,000,000; Reno, Nevada: land acquisition and 
preliminary work for initiation of replacement of medical 
center in an amount not to exceed $223,800,000; San Diego, 
California: construction of a new spinal cord injury facility, 
utility plant upgrades, partial renovation of an existing 
building, utility plant upgrades, parking facilities, and 
seismic retrofit of existing spinal cord injury building, in an 
amount not to exceed $311,700,000; San Fransisco, California: 
construction of a new research facility, parking structure, and 
demolition, in an amount not to exceed $264,500,000; San Juan, 
Puerto Rico: seismic corrections, construction of a new 
administrative building, expansion of outpatient clinic, and 
parking structure, in an amount not to exceed $370,370,000; St. 
Louis, Missouri: phase one of replacement of bed tower, 
expansion of clinical building, consolidation of administrative 
building and warehouse, water tower, and new utility plant and 
parking garages, in an amount not to exceed $599,840,000; and 
West Haven, Connecticut: construction of new surgical and 
clinical space tower, renovations, and demolition, in an amount 
not to exceed $153,128,000. The total authorization for all 
such projects is $3,818,548,000. This section would also offset 
the legislation's costs by extending current VA home loan 
funding fee rates as established in 38 U.S.C. Sec. 3729, from 
November 15, 2031, to August 3, 2032.

         Changes in Existing Law Made by the Bill, as Reported

    In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italics, existing law in which no change 
is proposed is shown in roman):

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italics, and existing law in which no 
change is proposed is shown in roman):

                      TITLE 38, UNITED STATES CODE



           *       *       *       *       *       *       *
PART III--READJUSTMENT AND RELATED BENEFITS

           *       *       *       *       *       *       *


CHAPTER 37--HOUSING AND SMALL BUSINESS LOANS

           *       *       *       *       *       *       *


SUBCHAPTER III--ADMINISTRATIVE PROVISIONS

           *       *       *       *       *       *       *


Sec. 3729. Loan fee

  (a) Requirement of Fee.--(1) Except as provided in subsection 
(c), a fee shall be collected from each person obtaining a 
housing loan guaranteed, insured, or made under this chapter, 
and each person assuming a loan to which section 3714 of this 
title applies. No such loan may be guaranteed, insured, made, 
or assumed until the fee payable under this section has been 
remitted to the Secretary.
  (2) The fee may be included in the loan and paid from the 
proceeds thereof.
  (b) Determination of Fee.--(1) The amount of the fee shall be 
determined from the loan fee table in paragraph (2). The fee is 
expressed as a percentage of the total amount of the loan 
guaranteed, insured, or made, or, in the case of a loan 
assumption, the unpaid principal balance of the loan on the 
date of the transfer of the property.
  (2) The loan fee table referred to in paragraph (1) is as 
follows:


 
----------------------------------------------------------------------------------------------------------------
             Type of loan                Active duty  veteran          Reservist              Other obligor
----------------------------------------------------------------------------------------------------------------
(A)(i) Initial loan described in       2.15                     2.40                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other initial loan described in
 section 3710(a) other than with 5-
 down or 10-down (closed on or after
 October 1, 2004, and before January
 1, 2020).
(A)(ii) Initial loan described in      2.30                     2.30                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other initial loan described in
 section 3710(a) other than with 5-
 down or 10-down (closed on or after
 January 1, 2020, and before April 7,
 2023).
(A)(iii) Initial loan described in     2.15                     2.15                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other initial loan described in
 section 3710(a) other than with 5-
 down or 10-down (closed on or after
 April 7, 2023, and before [November
 15, 2031] August 3, 2032 ).
(A)(iv) Initial loan described in      1.40                     1.40                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other initial loan described in
 section 3710(a) other than with 5-
 down or 10-down (closed on or after
 [November 15, 2031] August 3, 2032 ).
(B)(i) Subsequent loan described in    3.30                     3.30                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other subsequent loan described
 in section 3710(a) (closed on or
 after October 1, 2004, and before
 January 1, 2020).
(B)(ii) Subsequent loan described in   3.60                     3.60                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other subsequent loan described
 in section 3710(a) (closed on or
 after January 1, 2020, and before
 April 7, 2023).
(B)(iii) Subsequent loan described in  3.30                     3.30                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other subsequent loan described
 in section 3710(a) (closed on or
 after April 7, 2023, and before
 [November 15, 2031] August 3, 2032 ).
(B)(iv) Subsequent loan described in   1.25                     1.25                     NA
 section 3710(a) to purchase or
 construct a dwelling with 0-down, or
 any other subsequent loan described
 in section 3710(a) (closed on or
 after [November 15, 2031] August 3,
 2032 ).
(C)(i) Loan described in section       1.50                     1.75                     NA
 3710(a) to purchase or construct a
 dwelling with 5-down (closed before
 January 1, 2020).
(C)(ii) Loan described in section      1.65                     1.65                     NA
 3710(a) to purchase or construct a
 dwelling with 5-down (closed on or
 after January 1, 2020, and before
 April 7, 2023).
(C)(iii) Loan described in section     1.50                     1.50                     NA
 3710(a) to purchase or construct a
 dwelling with 5-down (closed on or
 after April 7, 2023, and before
 [November 15, 2031] August 3, 2032 ).
(C)(iv) Loan described in section      0.75                     0.75                     NA
 3710(a) to purchase or construct a
 dwelling with 5-down (closed on or
 after [November 15, 2031] August 3,
 2032 ).
(D)(i) Loan described in section       1.25                     1.50                     NA
 3710(a) to purchase or construct a
 dwelling with 10-down (closed before
 January 1, 2020).
(D)(ii) Loan described in section      1.40                     1.40                     NA
 3710(a) to purchase or construct a
 dwelling with 10-down (closed on or
 after January 1, 2020, and before
 April 7, 2023).
(D)(iii) Loan described in section     1.25                     1.25                     NA
 3710(a) to purchase or construct a
 dwelling with 10-down (closed on or
 after April 7, 2023, and before
 [November 15, 2031] August 3, 2032 ).
(D)(iv) Loan described in section      0.50                     0.50                     NA
 3710(a) to purchase or construct a
 dwelling with 10-down (closed on or
 after [November 15, 2031] August 3,
 2032 ).
(E) Interest rate reduction            0.50                     0.50                     NA
 refinancing loan.
(F) Direct loan under section 3711...  1.00                     1.00                     NA
(G) Manufactured home loan under       1.00                     1.00                     NA
 section 3712 (other than an interest
 rate reduction refinancing loan).
(H) Loan to Native American veteran    1.25                     1.25                     NA
 under section 3762 (other than an
 interest rate reduction refinancing
 loan).
(I) Loan assumption under section      0.50                     0.50                     0.50
 3714.
(J) Loan under section 3733(a).......  2.25                     2.25                     2.25.
----------------------------------------------------------------------------------------------------------------

  (3) Any reference to a section in the ``Type of loan'' column 
in the loan fee table in paragraph (2) refers to a section of 
this title.
  (4) For the purposes of paragraph (2):
          (A) The term ``active duty veteran'' means any 
        veteran eligible for the benefits of this chapter other 
        than a Reservist.
          (B) The term ``Reservist'' means a veteran described 
        in section 3701(b)(5)(A) of this title who is eligible 
        under section 3702(a)(2)(E) of this title.
          (C) The term ``other obligor'' means a person who is 
        not a veteran, as defined in section 101 of this title 
        or other provision of this chapter.
          (D)(i) The term ``initial loan'' means a loan to a 
        veteran guaranteed under section 3710 or made under 
        section 3711 of this title if the veteran has never 
        obtained a loan guaranteed under section 3710 or made 
        under section 3711 of this title.
          (ii) If a veteran has obtained a loan guaranteed 
        under section 3710 or made under section 3711 of this 
        title and the dwelling securing such loan was 
        substantially damaged or destroyed by a major disaster 
        declared by the President under section 401 of the 
        Robert T. Stafford Disaster Relief and Emergency 
        Assistance Act (42 U.S.C. 5170), the Secretary shall 
        treat as an initial loan, as defined in clause (i), the 
        next loan the Secretary guarantees or makes to such 
        veteran under section 3710 or 3711, respectively, if--
                  (I) such loan is guaranteed or made before 
                the date that is three years after the date on 
                which the dwelling was substantially damaged or 
                destroyed; and
                  (II) such loan is only for repairs or 
                construction of the dwelling, as determined by 
                the Secretary.
          (E) The term ``subsequent loan'' means a loan to a 
        veteran, other than an interest rate reduction 
        refinancing loan, guaranteed under section 3710 or made 
        under section 3711 of this title that is not an initial 
        loan.
          (F) The term ``interest rate reduction refinancing 
        loan'' means a loan described in section 3710(a)(8), 
        3710(a)(9)(B)(i), 3710(a)(11), 3712(a)(1)(F), or 
        3762(h) of this title.
          (G) The term ``0-down'' means a downpayment, if any, 
        of less than 5 percent of the total purchase price or 
        construction cost of the dwelling.
          (H) The term ``5-down'' means a downpayment of at 
        least 5 percent or more, but less than 10 percent, of 
        the total purchase price or construction cost of the 
        dwelling.
          (I) The term ``10-down'' means a downpayment of 10 
        percent or more of the total purchase price or 
        construction cost of the dwelling.
  (c) Waiver of Fee.--(1) A fee may not be collected under this 
section from a veteran who is receiving compensation (or who, 
but for the receipt of retirement pay or active service pay, 
would be entitled to receive compensation), from a surviving 
spouse of any veteran (including a person who died in the 
active military, naval, air, or space service) who died from a 
service-connected disability, or from a member of the Armed 
Forces who is serving on active duty and who provides, on or 
before the date of loan closing, evidence of having been 
awarded the Purple Heart.
  (2)(A) A veteran described in subparagraph (B) shall be 
treated as receiving compensation for purposes of this 
subsection as of the date of the rating described in such 
subparagraph without regard to whether an effective date of the 
award of compensation is established as of that date.
  (B) A veteran described in this subparagraph is a veteran who 
is rated eligible to receive compensation--
          (i) as the result of a pre-discharge disability 
        examination and rating; or
          (ii) based on a pre-discharge review of existing 
        medical evidence (including service medical and 
        treatment records) that results in the issuance of a 
        memorandum rating.

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