I. VIEWS AND ESTIMATES ON PROGRAMS UNDER COMMITTEE'S JURISDICTION-Con. The Committee does not necessarily agree with.the Current law provides that the dependents of a Total-Readjustment Benefits.. 00 BA I. VIEWS AND ESTIMATES ON PROGRAMS UNDER COMMITTEE'S JURISDICTION-Con. [In millions of dollars] C. Programs authorized by Committee, etc.-Continued 1. Eliminate the inspection of vocational rehabilitation BA Present law requires schools to show that vocational Schools have objected to the financial burden in complying with the 50 percent rule. At the time the 50 percent rule was enacted, over 600,000 veterans were enrolled in vocational training. Now there are only 65,000 in the program and the VA believes the basic purpose of safeguarding the program has been served. 1. Authorize contributions for construction projects on BA This proposal would allow the VA to contribute The Committee agrees with this proposal. Medical Care: 1. Elimination of construction and operation of Garage BA The Committee rejects this proposal. Proposed Legislation-- Receipts: 1. Proprietary receipts.... The Administration proposes to establish a % of 1 percent loan processing fee for all loans guaranteed, insured or made by the VA. The collection of a funding fee of 1⁄2 of 1 percent would be authorized for all home loans guaranteed, insured, or made by the VA for two primary effects: (1) offset the cost of paying claims on approximately 3.7 percent of loans resulting in foreclosure; (2) deposit the one-time fee in the Treasury as miscellaneous receipts which will be credited as offsets to VA. The Committee will not oppose the proposed legislation. However, the Committee feels two amendments are necessary: (1) deposit the fees into the VA Loan Guaranty Revolving Fund to insure its solvency since quarantees are paid from it in the event of foreclosures; and (2) exempt service-connected disabled veterans from payment as the Committee believes these veterans must receive priority and preferential treatment in view of disabilities incurred in service to their Nation. In addition, the Committee will consider adding the fee to the loan principal to alleviate the one-time cost to the veteran. BA 0 -89.7 -99.8 -104 -89.7 -99.8 -104 I. VIEWS AND ESTIMATES ON PROGRAMS UNDER COMMITTEE'S JURISDICTION-Con. [In millions of dollars] 0 C. Programs authorized by Committee, etc.-Continued Medical Care: 1. Studies on contracting out under OMB Circular BA care. The Administration proposes to conduct cost comparison studies for contracting out certain indirect hospital services now provided by VA employees at a cost of $2 million. Recent testimony by the VA before the Committee indicated such studies would cost $29.1 million. The Committee does not approve partial funding of such studies without positive identification of how the additional $27.1 million would be obtained. The additional funds could not be taken from the Medical Care accounts in accordance with the provisions of Public Law 97-66. At a cost of $500,000 the VA proposed study to determine the feasibility of collecting user fees for medical services to non-service-connected disabled veterans not in receipt of pension is contrary to the Committee's belief that eligible veterans should not be charged for medical services. The Committee rejects both proposals, and urges the Committee on Appropriations to use these funds for the Nurse Scholarship Program. General Operating Expense8: 1. Study the aging veteran population..... An comprehensive study on the aging veteran population was conducted as mandated by Public Law 94-581. In establishing priorities for expenditures, the Committee feels funds for such a study would be better utilized to implement the Nurse Scholarship Program to help alleviate the VA nurse shortage which has caused the closing of over 800 hospital beds in 1981. The Committee rejects this proposal and urges b. Committee Initiatives: (Requiring legislation). 1. New GI Education Bill. H.R. 1400 was reported by the Committee on Burial Benefits: BA 1. Provide burial and funeral expenses to certain de- BA Public Law 97-35, the Omnibus Reconciliation Act Since enactment of Public Law 97-35, the Committee has learned that bodies of some deceased veterans remain unclaimed. Since it was not the intent of Congress that these destitute veterans be deprived of a proper burial, the Committee desires to authorize burial expenses for this small segment of the veteran population. Committee Initiatives: (No legislation required). I. VIEWS AND ESTIMATES ON PROGRAMS UNDER COMMITTEE'S JURISDICTION-Con. [In millions of dollars) C. Programs authorized by Committee, etc.--Continued 1. Fund Nurse Scholarship Program and 13 FTEE... BA The Committee is concerned that no funding was VA hospitals have been forced to close over 800 beds 2. Add 199 FTEE to Medical and Prosthetic Research BA The President's fiscal year 1983 budget would add Total-Programs Authorized by Committee, but BA II. VIEWS AND ESTIMATES ON OUTYEAR INITIATIVES C. Major Committee Outyear Initiatives: The Committee opposes this measure. See comments in I., 1. Authorize new educational benefits for certain veterans....... BA The Committee has reported H. R. 1400, to establish new educational assistance programs for veterans and members of the Armed Forces. In addition to restoring lost educational opportunities to individuals whose careers were interrupted by reason of active military service, the bill is also designed to enhance and make more attractive service in the Armed Forces. The Committee has been informed that the Administration is planning to submit similar legislation to the Congress. The cost of H. R. 1400 to the Department of Defense are: $32.7 in BA and $51.7 in O for fiscal year 1984 and $250.5 million in BA and $261.5 million in O. BA D. Totals, Committee Views and Estimates on Revenues...... BA IV. CREDIT BUDGET [In millions of dollars] 1983 The Veterans' Administration loan guaranty program provides a Federal guaranty to private lending institutions which loan funds to eligible veterans to purchase a home or condominium. There is no prescribed maximum amount of a guaranteed loan; however, the VA guaranty is limited to 60% of the loan up to a maximum of $27,500 for the purchase of a home or condominium to be occupied by the veteran. The President's new score keeping; i.e., reflecting the full face value or principal of these loans in the credit budget totally distorts the Federal liability in this instance. While this approach may provide certain insight to economists, it does not assist budget analysts who must work and consider actual fiscal obligations. The Committee prefers the accounting display of the Credit Budget to be reflected in the manner used in previous fiscal years. 11, 718. 525 |