Accordingly, the principal effects of the bill would be with respect to those veterans of the Spanish-American War group whose initial claim for pension or claim for an increased award was filed after the effective date of the act. As regards that group, it would (1) reduce the authorized monthly rate of pension for persons who performed 90 days service (or who were discharged for disability incurred in service in line of duty) from $96.75 to $75 (or possibly $63); (2) render ineligible for pension persons who served for 70 days or more but less than 90 days and who were not discharged for disability incurred in service in line of duty; (3) preclude the payment of pension based on age alone or on permanent partial disability; (4) preclude the payment of pension based on permanent total disability due to the veteran's willful misconduct or vicious habits; and (5) restrict the payment of pension to those unmarried veterans whose annual income does not exceed $1,400 or to those married veterans or veterans with minor children whose annual income does not exceed $2,700. Insofar as persons presently entitled to pension under the provisions of part III of Veterans Regulation No. 1 (a), as amended, are concerned, the bill would have no practical effect, since all of such persons would likewise be eligible for pension under the provisions of the proposed Pension Act of 1954. The proposal would not remove from the pension rolls any persons currently in receipt of pension under either the service pension laws or part III of Veterans Regulation No. 1 (a). Accordingly, the practical effect of the bill would be to establish a new system of veterans' pension which would run concurrently with the two existing pension systems. In addition to the eligibility provisions set forth in the bill which, as stated above, are essentially the same as those in part III of Veterans Regulation No. 1 (a), as amended, the bill also contains a number of administrative provisions which, although they are not contained in part III, are currently applicable to it. These provisions relate to waiver of recovery of overpayments (sec. 7), forfeiture of benefits (sec. 8), effective dates of awards and appeals (sec. 9), and penalties for improper administration by fiduciaries of estates of veterans (sec. 13). Of course, there are numerous other administrative provisions which, although not contained in part III, are applicable to that law by reason of their general text, and which for the same reason would apply to the proposed act, although not specifically set forth therein. It should be recognized, however, that there can be no assurance that questions not now anticipated as to the applicability of administrative provisions not listed in the bill will not arise after the bill's enactment, or that legal problems brought about by reason of the changes from the part III phraseology will not occur. It follows, of course, that a safer course to pursue in order to preclude any such questions or problems would be to amend part III so as to effect the changes in law which are contemplated by the legislation. Section 12 of H. R. 7535 proposes to repeal part V of Veterans Regulation No. 1 (a), as amended, an obsolete provision of law, which authorized the payment of pension to otherwise eligible veterans, and the dependents of such veterans, who entered military or naval service on or after August 13, 1898, and who left the continental United States under orders for service in Guam, Cuba, or Puerto Rico but who did not participate in the Boxer Rebellion or Philippine Insurrection. H. R. 7535, if enacted into law, would not create any additional cost to the Government. Its enactment could result in a savings to the extent that veterans of the Spanish-American War group whose initial claim for pension is filed subsequent to the bill's effective date would receive, upon allowance of the claim, lower rates of pension than are currently provided by the service pension laws, and other SpanishAmerican War veterans who are currently eligible under the service pension laws would be entitled to nothing. As the number involved would undoubtedly be small, the resultant savings would be slight. Further, the savings would probably be offset by additional administrative expense occasioned by physical examinations and annual inquiries with regard to income in the new cases. The Veterans' Administration would interpose no objection to the enactment of H. R. 7535. However, from an administrative point of view, rather than establish another pension system, it would be preferable to accomplish the results sought by the bill by specific amendments to part III of Veterans Regulation No. 1 (a), as amended, together with a provision similar to section 11 of the bill, precluding payment of pension under the service pension laws to Spanish-American War veterans who file claim therefor subsequent to the effective date of the bill. Advice has been received from the Bureau of the Budget that there would be no objection to the submission of this report to your committee. Sincerely yours, H. V. HIGLEY, Administrator. [No. 214] COMMITTEE ON VETERANS' AFFAIRS, HOUSE OF REPRESENTATIVES VETERANS' ADMINISTRATION, Washington 25, D. C., March 29, 1954. Hon. EDITH NOURSE ROGERS, Chairman, Committee on Veterans' Affairs, House of Representatives, Washington 25, D. C. DEAR MRS. ROGERS: This refers to your request for a report by the Veterans' Administration on H. R. 345, 83d Congress, a bill to amend part II of Veterans Regulation No. 1 (a). The purpose of the bill is to provide that on and after June 27, 1950, when certain persons suffer a disability not the result of their own misconduct while en route under orders to report to a place for final acceptance, induction, entry upon active duty, or examination incident thereto, such disability shall be considered to have been incurred in the active military or naval service. The bill would provide compensation and certain related benefits for persons and the dependents of persons who incurred disability or death under the conditions outlined therein prior to actual entry into active service on a basis similar to that extended to persons who incurred disability or death prior to completion of entry into active service during World War I (Veterans Regulation No. 1 (a), pt. I, par. III) and also during the period from August 27, 1940, to the termination of hostilities in World War II (Public Law 300, 78th Cong., approved May 11, 1944). It may be noted that under section 1 of Public Law 23, 82d Congress, April 25, 1951, the Congress specifically extended free indemnity coverage to persons generally within the purview of the bill for death resulting from disability incurred while en route under orders to report for induction or entry into active service. Such persons have thus been considered for indemnity purposes on a parity with persons in the active service. Enactment of the bill would extend that parity by authorizing the payment of compensation for disabilities considered service connected and death resulting therefrom as well as hospital care and outpatient treatment for such disabilities. The language of the bill differs from the language of existing law applicable to the similar categories of persons covered during the World War II period by Public Law 300, 78th Congress, May 11, 1944. If it is intended to provide the same coverage under H. R. 345 as in the World War II cases, it would be preferable to specifically amend the existing law in order to avoid possible ambiguities and problems of statutory construction. The Veterans' Administration does not have available data on which to base an estimate of the cost of the bill, if enacted. In view of the precedents established for persons similarly situated during the periods of World Wars I and II, it would not appear unreasonable to extend benefits to this category of persons based on disabilities incurred during the so-called Korea period. Advice has been received from the Bureau of the Budget that there is no objection to the presentation of this report to the committee. Sincerely yours, H. V. HIGLEY, Administrator. [No. 215] COMMITTEE ON VETERANS' AFFAIRS, HOUSE OF REPRESENTATIVES VETERANS' ADMINISTRATION, Washington 25, D. C., March 29, 1954. Hon. EDITH NOURSE ROGERS, Chairman, Committee on Veterans' Affairs, House of Representatives, Washington 25, D. C. DEAR MRS. ROGERS: Reference is made to your request for a report by the Veterans' Administration on H. R. 1413, 83d Congress, a bill to amend subparagraph (k) of paragraph II, part I, Veterans Regulation No. 1 (a), as amended, to authorize compensation for blindness of one eye with 5/200 visual acuity or less. The purpose of the bill is to amend the present law governing the payment of added compensation for certain specific disabilities (subpar. (k) of par. II, pt. I, Veterans Regulation No. 1 (a), as amended), to authorize a special monthly allowance of $47 for "blindness of one eye, with 5/200 visual acuity or less" which allowance, with respect to impairment of vision, is presently limited to the greater visual defect of "blindness of one eye, having only light perception." While the bill amends that portion of the law which provides rates of compensation for disability incurred in or aggravated by wartime service, there would be a proportionate increase in the rates for disability incurred in peacetime service (under pt. II of Veterans Regulation No. 1 (a), as amended) because Public Law 876, 80th Congress, July 2, 1948, provides that the compensation payable for peacetime service-connected disabilities shall be equal to 80 percent of the compensation "now or hereafter" provided for such disabilities incurred in a period of war. Further, the full $47 additional allowance would be payable for such disability to veterans of service on or after June 27, 1950, and prior to such date as shall thereafter be determined by Presidential proclamation or concurrent resolution of the Congress, by virtue of Public Law 28, 82d Congress, May 11, 1951. The present law (subpar. (k), par. II, pt. I, Veterans Regulation No. 1 (a), as amended) provides: (k) If the disabled person, as the result of service-incurred disability, hes suffered the anatomical loss or loss of use of a creative organ, or one foot, or one hand, or blindness of one eye, having only light perception, the rate of compensation therefor shall be $47 per month independent of any other compensation provided in part I, paragraph II, subparagraphs (a) to (j); and in the event of anatomical loss or loss of use of a creative organ, or one foot, or one hand, or blindness of one eye, having only light perception, in addition to the requirement for any of the rates specified in subparagraphs (1) to (n), inclusive, of part I, paragraph II, the rate of compensation shall be increased by $47 per month for each such loss or loss of use, but in no event to exceed $400 per month. There are many types of injuries or diseases which result in as great or greater disability than those specified in subparagraph (k) but for which no additional allowance is provided under existing law. Visual acuity of 5/200 in one eye does not cause disability proportionate to the disability resulting from the losses presently specified in subparagraph (k) or to many other disabilities for which no special statutory award is provided. Statutory awards for extremities and for the eyes have heretofore been based upon a definite requirement that there exists "loss or loss of use." In addition to the manifold problems of equitable differentiation in these cases, there is the further fact that vision of 5/200 is less disabling than enucleation of the eye or blindness having only light perception. The extension of the statutory award to veterans having a visual acuity of 5/200 would thus be discriminatory. Under present coding procedure, only the major disability for which compensation is now being paid under said subparagraph (k) is recorded for statistical purposes, although the disabled person may also have visual acuity of 5/200 or less in one eye. Therefore, in the absence of an extensive study of individual records, it is not possible to determine the full number who might qualify for the benefits of the bill. However, based upon the available records of cases of this type, it is estimated that approximately 1,935 veterans entitled to wartime compensation would be eligible for the additional payment under H. R. 1413, if enacted, at a cost approximating $1,091,000 for the first year, and about 185 veterans entitled to peacetime compensation would be eligible at an approximate cost of $84,000 for the first year. Accordingly, the total minimum cost of the bill for the first year would approximate $1,175,000. In view of the discriminatory aspects of the proposal, the Veterans' Administration is unable to recommend its favorable consideration by your committee. Advice has been received from the Bureau of the Budget that there is no objection to the presentation of this unfavorable report on H. R. 1413 to the committee. Sincerely yours, H. V. HIGLEY, Administrator. [No. 216] COMMITTEE ON VETERANS' AFFAIRS, HOUSE OF REPRESENTATIVES VETERANS' ADMINISTRATION, Washington 25, D. C., March 29, 1954. Hon. EDITH NOURSE ROGERS, Chairman, Committee on Veterans' Affairs, House of Representatives, Washington 25, D. C. DEAR MRS. ROGERS: This has reference to your request for a report by the Veterans' Administration on H. R. 5853, 83d Congress, a bill to provide pension for certain veterans of World War I and for their dependents. The general purposes of the bill are to provide liberalized pension benefits for certain persons who served in the military or naval service of the United States between April 6, 1917, and July 2, 1921, both dates inclusive, and their dependents, and to establish pension benefits for a portion of the group, and their dependents. The bill is identical with, or similar in purpose to, a number of bills which have been introduced in earlier Congresses over a number of years. Recent examples are H. R. 1275 and H. R. 1665, 82d Congress, which were pending before your committee at the close of that Congress. The bill is also similar in purpose to H. R. 1604, 83d Congress, now pending before your committee, and concerning which the Veterans' Administration submitted a report on February 4, 1954 (Committee Print No. 186, 83d Cong.). Under existing law (pt. III, Veterans Regulation No. 1 (a), as amended) veterans of World War I, among others, are eligible for pension based on permanent and total non-service-connected disability. Pension is payable to any such veteran who served in the active military or naval service for a period of 90 days or more during such war and who was discharged thereform under conditions other than dishonorable, or who, having served less than 90 days, was discharged for disability incurred in service in line of duty. To be eligible for such pension, the veteran must have been in active service before the cessation of hostilities and be suffering from non-serviceconnected permanent and total disability not incurred as a result of his own willful misconduct or vicious habits. The rate is $63 per month, except that where the veteran shall have been rated permanent and total and has been in receipt of pension for a continuous period of 10 years, or reaches the age of 65 years and is permanently and totally disabled, the rate is $75 per month. A rate of $129 per month is authorized in the case of an otherwise eligible veteran who is, on account of age or physical or mental disability, helpless or blind |