701-Delay 5.1-percent increase in non-service-connected pension benefits by 6 months or As a result of Public Law 95-588, increases in the non-serviceconnected pension program were indexed by the same amount and at the same time as increases in the Social Security program according to the rise in the Consumer Price Index. Public Law 97253, the Omnibus Budget Reconciliation Act of 1982 mandated the rounding down of pension rates to the nearest dollar effective June 1, 1983, the date on which such increases become effective. Therefore, when the proposed rounding down to the nearest dollar of the pension rates on June 1st occurs, most non-service-connected pensioners will experience a reduction of pennies per month in their existing benefits which was not the intent of Congress in enacting Public Law 97-253. When the Committee agreed to the President's rounding down of pension rates proposal, it was not anticipated that this most needy group of veterans and dependents would lose benefits, but rather that the increase in pension rates on June 1, 1983, would more than offset the rounding down to the nearest dollar. The Committee, therefore, reluctantly accepts this proposal with the understanding that such a delay will occur across-the-board in all Federal programs. This recommendation would repeal the authorization of advance payment of educational benefits under the Veterans' Administration's vocational rehabilitation (chapter 31) and educational assistance programs (chapters 34 and 35). Current law permits advance payments of such benefits to be made to those eligible veterans and eligible persons who apply_for such payment and who meet certain eligibility criteria. The amount of such advance payment is limited to the month (or fraction thereof) in which the training program begins, plus the amount payable for the succeeding month. If the advance pay applicant is on active duty, the amount of advance pay will be in a lump sum based upon the amount payable for the entire term, semester, or quarter, as applicable. Advance payment of educational assistance and subsistence allowance has been a source of substantial overpayments. In many instances, eligible veterans and eligible persons have received an advance payment of benefits and have subsequently failed to pursue, discontinued pursuit of their training program, or reduced the rate of pursuit, resulting in an overpayment of all or part of their advance payment. In addition, the VA pays a reporting fee to each educational institution which elects to handle advance payment checks. Terminating advance payments will also eliminate the payment of a reporting fee to schools which deliver the checks. VA educational overpayments continue at an unacceptably high rate. Part of the reason is the advance payment, and eliminating it will result in substantial cost savings. At the same time, the veteran or dependent will not have their assistance reduced and will continue to be paid the full amount of their entitlement. Since many veterans accept the advance payment and then fail to commence the course or do not notify the educational institution or the VA that they have changed or cancelled the courses for which they received an advance payment, an educational overpayment is established. Termination of the authority to make advance payments, therefore, will result in cost savings. The Committee agrees with this recommendation. Correspondence training is specifically designed to assist veterans in obtaining the necessary skills to enable them to find employment or improve occupational skills. For 5 consecutive years, the Veterans' Administration has recommended termination of this program on the grounds it was not meeting the objective of providing substantial employment for veterans, and that it was primarily used for recreational and avocational purposes. The VA believes the program is ineffective, has potential for continued abuses, and should be terminated. For the past 3 years, the Committee has agreed to the VA recommendation to terminate correspondence training. However, the Senate, in each instance, has disagreed. In addition, the reimbursement rate for this program has been decreased from 90 percent to 55 percent of the costs. The majority of those currently pursuing correspondence training are serious students. The Committee has been told that many of these trainees are active duty servicepersons or veterans who are physically unable to take institutional education and training courses. The Committee, therefore, disagrees with the Administration view that this program has not fulfilled its intended purpose. Further, unless the Senate takes the initiative to terminate this program, this Committee does not plan to take action to end the program. If the Senate should pass legislation ending the program, then this Committee will give such a proposal every consideration. 703-To extend for 3 years, or until Sept. 30, 1986, the authority of the Administrator to provide health services on a fee basis in the Commonwealth of Puerto Rico and the Virgin Islands: President's request: Budget authority. Outlays... Committee recommendations: Budget authority. The current authority in section 601 of title 38, United States Code, to provide fee basis health services to eligible veterans and dependents expires on September 30, 1983. The Congress mandated, in the joint explanatory statement accompanying H.R. 6350 as amended, which became Public Law 97251, that the VA provide it with a study on the cost effectiveness of delivery of such services in Puerto Rico and the Virgin Islands by December 1, 1982, including a budget request for construction if necessary. The study was not received until January 21, 1983, and makes no recommendation for legislation or funds for construction. The Administrator transmitted a letter to the Speaker of the House dated February 14, 1983, requesting that this authority be extended for an additional 3 years. The Committee recommends that this authority be extended only for 1 year in order to require the Veterans' Administration to submit plans for the permanent solution of this problem at the earliest possible date. H.R. 1645, sponsored by a majority of the Committee members, was introduced on February 24 to accomplish, among other things, the extension of the authority for one additional year. Funding for this program is considered part of current service provided by the medical care budget. 705-To eliminate advance payment of educational benefits. (Administrative costs.) 705-Authorize contributions for construction projects on land adjacent to and facilitating -.553 -433 -.361 -.553 -.433 -.361 Estimate 1984 1985 1986 -0.340 -0.325 -0.308 -.325 -.308 +.340 +.325 +.308 +.340 +.325 +.308 Estimate 1984 1985 1986 This proposal would allow the VA to contribute funds to local governments to improve roadways and facilities adjacent to national cemeteries. The Committee accepts this proposal. 701-Provide compensation entitlement to certain ROTC members if injured prior to Oct. 1, 1982: President's requests: Budget authority. Outlays.. Committee recommendations: Budget authority. 1 Insignificant. Current law provides entitlement to disability compensation to ROTC members who suffer a disability in line of duty while attending summer camp if the disability was incurred on or after October 1, 1982. This proposal would give entitlement to a small number of former ROTC members who were injured prior to October 1982. [In millions of dollars] Legislative proposal 701-Provide benefits to adopted child, regardless of age at adoption, who became helpless prior to age 18 providing veteran was supporting child at age 18: President's request: Budget authority. Outlays..... Committee recommendations: Budget authority. 1 Insignificant. Current law definition of a child includes an adopted child who was adopted by the veteran prior to the child's 18th birthday. This proposal would permit adoption of a disabled child after its 18th birthday if the child was being supported by the veteran on its 18th birthday. [In millions of dollars] Legislative proposal 701-Exempt temporary hospital ratings from provisions of Omnibus Reconciliation Act of 1982: President's request: Budget authority. Outlays... Committee recommendations: Budget authority. Outlays.. |