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(b) The Administrator of Veterans' Affairs may adjust administratively, consistent with the increases authorized by this section, the rates of disability compensation payable to persons within the purview of section 10 of Public Law 85-857 who are not in receipt of compensation payable pursuant to chapter 11 of title 38, United States Code. SEC. 2. Section 315(1) of title 38, United States Code, is amended

(1) by striking out “$31” in subparagraph (A) and inserting in lieu thereof "$35".

(2) by striking out "$53" in subparagraph (B) and inserting in lieu thereof “$59”;

(3) by striking out “$67” in subparagraph (C) and inserting in lieu thereof $75";

(4) by striking out "$83” and “$15” in subparagraph (D) and inserting in lieu thereof "$93” and “$17”, respectively;

(5) by striking out “$21" in subparagraph (E) and inserting in lieu thereof “$24”;

(6) by striking out "$36” in subparagraph (F) and inserting in lieu thereof "$40";

(7) by striking out "$53” and “$15" in subparagraph (G) and inserting in lieu thereof “$59” and “$17'', respectively;

(8) by striking out“$25” in subparagraph (H) and inserting in lieu thereof “$28"; and

(9) by striking out“$48” in subparagraph (I) and inserting in lieu thereof “$54”. Sec. 3. (a) Chapter 11 of title 38, United States Code, is amended by adding at the end thereof the following new section: "g 363. Automatic cost-of-living increases for disability compensation

“(a) The rates payable under sections 314 (except the $47 rate in subsection (k)), and 315 of this title, shall be increased by such percentage as the Secretary of Health, Education, and Welfare shall certify in the Federal Register for social security recipients as a cost-of-living increase under section 215 of the Social Security Act, effective the same date as the latter increase.

“(b) Where a rate so determined involves a fraction of a dollar, the amount payable shall be fixed at the nearest dollar, with fifty cents being increased to the next higher dollar.

"(c) The Administrator shall adjust administratively, consistent with the increases authorized by this section, the rates of disability compensation payable to persons within the purview of section 10 of Public Law 85–857 who are not in receipt of compensation payable pursuant to chapter 11 of this title.”

(b) The analysis of such chapter 11 is amended by adding at the end thereof the following: “S 363. Automatic cost-of living increase for disability compensation."

SEC. 4. Section 411 of title 38, United States Code, is amended to read as follows:

(a) Dependency and indemnity compensation shall be paid to a widow, based on the pay grade of her deceased husband, at monthly rates set forth in the following table: Pay grade

Monthly rate
"Pay grade

Monthly rate E-1 $210 W-4.

$299 E-2 215 0-1

264 E-3 222 0-2

274 E-4 235 0-3

293 E-5 242 0-4

310 E-6 247 0-5

341 E-7

259
0-6..

384 E-8 274 ()-7

416 E-9

0-8

455 W-1. 264 ()-9

489 W-2

275 ()-10. W-3.

284 "1 If the veteran served as sergeant major of the Army, senior enlisted adviser of the Navy, chief master sergeant of the Air Force, or sergeant major of the Marine Corps, at the applicable time designated by sec. 402 of this title, the widow's rate shall be $308.

“2 Ifthe veteran served as Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army, Chief of Naval Operations, Chief of Staff of the Air Force, or Commandant of the Marine Corps, at the applicable time designated by sec. 402 of this titie, the widow's rate shall be $573.

1 286

2 535

(b) If there is a widow with one or more children below the age of eighteen of a deceased veteran, the dependency and indemnity compensation paid monthly to the widow shall be increased by $25 for each such child.

"(c) The monthly rate of dependency and indemnity compensation payable to a widow shall be increased by $63 if she iş. (1) a patient in a nursing home or (2) helpless or blind, or so nearly helpless or blind as to need or require the regular aid añd attendance of another person.

SEC. 5. Section 413 of title 38, United States Code, is amended to read as follows:

"Whenever there is no widow of a deceased veteran, entitled to dependency and indemnity compensation, dependency and indemnity compensation shall be paid in equal shares to the children of the deceased veteran at the following monthly rates:

“(i) One child, $105.
(2) Two children, $152.
"(3) Three children, $196.

*(4) More than three children, $196, plus $39 for each child in excess of three.” ŞEÇ. 3. (a) Subsection (a) of section 414 of title 38, United States Code, is amended by striking out "$55" and inserting in lieu thereof “$63”.

(b) Şubsection (b) of section 414 of 'such title is amended by striking out "$92"' and inserting in lieu thereof $105":

(c) Subsection (c) of section 414 of such title is amended by striking out “$47" and inserting in lieu thereof “$54".

Sec. 6. (a) Chapter 13 of title 38, United States Code, is amended by adding at the end of subchapter II thereof the following new section: "§ 418. Automatic cost-of-living increases in dependency and indemnity com

pensation "(a) The rates of dependency and indemnity compensation payable under sections 411, 413, 414, and 415 of this chapter shall be increased by such percentage as the Secretary of Health, Education, and Welfare shall certify in the Federal Register for social security recipients as a cost-of-living increase under section 215, of the Social Security Act, effective the same date as the latter increase.

"(b) Where a rate so determined involves a fraction of a dollar, the amount payable shall be fixed at the nearest dollar, with fifty cents being increased to the next higher dollar.”

(b) The analysis of such chapter 13 is amended by adding at the end of subchapter II thereof the following: “8 418. Automatic cost-of-living increases in dependency and indemnity compensation."

Sec. 7. This Act shall take effect as of March 1, 1974.

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[No. 118)

COMMITTEE ON VETERANS' AFFAIRS, U.S. SENATE

EXECUTIVE OFFICE OF THE PRESIDENT,
OFFICE OF MANAGEMENT AND BUDGET,

Washington, D.C., April 2, 1974.
Hon. VANCE HARTKE,
Chairman, Committee on Veterans Affairs,
U.S. Senate, Washington, D.C.

DEAR MR. CHAIRMAN: This is in response to your request of March 11, 1974 for the views of this Office on S. 3067, a bill to amend title 38, United States Code, to increase the rates of disability compensation for disabled veterans, and for other purposes.

On March 12, 1974 draft legislation was submitted to the President of the Senate by the Administrator of Veterans Affairs to provide for a 12-percent increase in veterans compensation benefits and a 14-percent increase for recipients of dependents and indemnity compensation (DIC) benefits. The draft bill would also provide for an automatic adjustment in these benefits to protect against future increases in the cost of living

In testimony before your Committee, also on March 12, 1974, the Veterans Administration stated its reasons for recommending enactment of the Administration's proposal in lieu of S. 3067.

We concur with the views expressed by the VA in its testimony and in its letter transmitting the Administration's draft bill to the Congress. Accordingly, we recommend enactment of the Administration's proposal in lieu of S. 3067. Enactment of the Administration's proposal would be in accord with the program of the President. Sincerely,

WILFRED H. ROMMEL, Assistant Director for Legislative Reference.

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93D CONGRESS

2D SESSION

S. 3072

IN THE SENATE OF THE UNITED STATES

FEBRUARY 27, 1974 Mr. HARTKE (for himself, Mr. Hansen, Mr. TALMADGE, Mr. RANDOLPH, Mr.

Hughes, Mr. Cranston, Mr. THURMOND, Mr. Stafford, and Mr. MCCLURE) introduced the following bill; which was read twice and referred to the Committee on Veterans Affairs

A BILL

To amend title 38, United States Code, to liberalize the pro

visions relating to payment of dependency and indemnity

compensation, and for other purposes. 1 Be it enacted by the Senate and Ilouse of Representa

2 tives of the United States of America in Congress assembled,

3 That this Act may be cited as the “Survivors Dependency

4 and Indemnity Compensation Act of 1974”.

5

SEC. 2. Section 411 of title 38, United States Code, is

6 amended to read as follows:

II

(Star Print)

32-022 0.74 - 2

2

1 “(a) Dependency and indemnity compensation shall 2 be paid to a widow, based on the pay grade of her deceased 3 husband, at monthly rates set forth in the following table:

0-2

0-4

1

"Pay Grade
Monthly rate
“Pay Grade

Monthly rate
E-1
$213 W-4

$30+ 1-2

219
0-1

269
E-
2:26

278 E-4

239
0-3

298
E-5
246

316 E-6 252 0-5

347 E-7 263 0-6

391 E-S 278 0-7

423 E-9

291
0-8

463
W-1
269 0-9

498 W-2 280 0-10

2 544 W-3

289 " ?1f the veteran served as sergeant major of the Army, senior enlisted advisor of the Navy, chief master sergeant of the Air Force, sergeant major of the Marine (Corps, or master chief petty officer of the ('oast Guard, at the applicable time designated by sec. 102 of this title, the widow's rate shall be $313.

"If the veteran served as Chairman of the Joint (hiefs of Staff. Chief of Staff of the Army, (hief of Naval Operations, (hief of Staff of the Air Force, or Commiundant of the Marine ('orps, at the applicable time designated by sec. 102 of this title, the widow's rate shall be $.583.

4 “(1) If there is a widow withi one or more children 5 below the age of eighteen of a deceased veteran, the de

6 pendency and indemnity compensation paid monthly to the

7 widow shall be increased by $26 for each such child.

8

"(c) The monthly rate of dependency and indemnity 9 compensation payable to a widow shall be increased by $64 10 if she is (1) a patient in a nursing home or (2) helpless

or blind, or so nearly helpless or blind as to need or require

11

12 the regular aid and attendance of another person.”

13

SEC. 3. Section 413 of title 38, United States Code,

14 is aniended to read as follows:

15

"Whenever there is no widow of a deceased veteran

16 entitled to dependency and indemnity compensation, de17 pendency and indemnity compensation shall be paid in equal

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