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Managing America: Veteran Affairs

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Week Ending June 26, 2009

S.407 A bill to amend title 38, United States Code, to provide for an increase, effective December 1, 2009, in the rates of compensation for veterans with service-connected disabilities and the rates of dependency and indemnity compensation for the survivors of certain disabled veterans, to codify increases in the rates of such compensation that were effective as of December 1, 2008, and for other purposes.

The cost-of-living adjustment (COLA) rates for veterans disability compensation, compensation for dependents, the clothing allowance for disabled vets children and the dependency and indemnity compensation for surviving spouses and children is increased to match the same percentage as the increase in benefits provided under the Old Age, Survivors and Disability Insurance program of the Social Security Administration. The increase would be made on the same date as that for the OADIP.

The “”department estimates that it will provide disability compensation to 3,154,217 veterans with service-connected disabilities in fiscal year 2010. Among the veterans estimated to receive such compensation are: 1 World War I veteran; 243,697 World War II veterans; 157,427 Korean-conflict veterans; 1,058,883 Vietnam-era veterans; 1,070,162 veterans of the Persian Gulf War era; and 612,172 veterans who served during peacetime.”

The bill applies to basic compensation rates for veterans with service-connected disabilities and the rates payable for certain severe disabilities; the allowance for spouses, children, and dependent parents paid to service-connected disabled veterans rated 30 percent or more disabled; the annual clothing allowance paid to veterans whose compensable disability requires the use of a prosthetic or orthopedic appliance (including a wheelchair) that tends to tear or wear out clothing or requires the use of a medication prescribed by a physician for a service-connected skin condition if the medication causes irreparable damage to the veteran's outer garments; and the dependency and indemnity compensation (hereinafter, `DIC') rates paid to surviving spouses of veterans whose deaths were service-connected; surviving spouses for dependent children below the age of 18; surviving spouses who are so disabled that they need aid and attendance or are permanently housebound;  surviving spouses covered under section 1318 of title 38, United States Code; and the children of veterans whose deaths were service- connected if no surviving spouse is entitled to DIC, the child is age 18 through 22 and attending an approved educational institution, or the child is age 18 or over and became permanently incapable of self-support prior to reaching age 18.

Sponsor:  Senator Daniel Akaka (D-HI)

Vote: Passed Senate by Unanimous Consent. House agreed to by the Yeas and Nays: (2/3 required): 403 - 0 (Roll no. 419).

Cost to the taxpayers: “CBO does not anticipate a cost-of-living increase in 2010 for Social Security; thus, CBO estimates that enacting this bill would have no impact on spending for those programs.”

Earmark Certification:  

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