For Immediate Release November 7, 2003

HOUSE APPROVES LANDMARK BILL TO FAIRLY COMPENSATE DISABLED VETERANS AND INCREASE MILITARY PAY
Outdated ‘Concurrent Receipt’ Law Overhauled in National Defense Authorization Act

Washington -- U.S. Congressman John Peterson (R-PA/5) applauded legislation approved by the U.S. House of Representatives today that will provide a historic increase in benefits for disabled veterans by overhauling a Civil War-era law known as ‘concurrent receipt.’

The 2004 National Defense Authorization Act (H.R. 1588), which was overwhelmingly approved today by the House of Representatives, also provides a 4.15 percent average increase in base pay for men and women in uniform, reduces out-of-pocket housing expenses for military personnel, and increases other compensation including the family separation allowance and special bonuses for active duty military personnel.

As a result of an agreement reached between Congress and the President, the bill includes a historic change to current law that will provide disabled military retirees with ‘concurrent receipt’ of their retirement pay and disability benefits. “For more than a century, veterans who received disability compensation have been prevented from also receiving their full retirement pay,” explained Peterson, who has worked to overturn the outdated law. “For example, a veteran who may be entitled to $1,000 a month in military retirement and $300 a month in VA disability has only received a check for $700 in retirement and $300 in disability.”

The National Defense Authorization Act will provide ‘concurrent receipt’ benefits to all military retirees with a Purple Heart or combat-related disability, including national guardsmen and reservists, as well as all remaining military retirees who are 50 percent or more disabled from non-combat related activities. The benefits will be fully phased in over 10 years. The National Defense Authorization Act is expected to be approved by the U.S. Senate, and will be sent to the President for his signature.

“This outdated law has been a travesty of fairness for veterans who have made incredible sacrifices to protect our nation and preserve our freedom,” continued Peterson. “This agreement is a huge step forward after years of gridlock. I am proud to be serving in the Congress that finally had the courage to do the right thing for our disabled veterans. It is critical that we properly compensate these American heroes, and I will continue to work to make sure that our nation’s servicemen and women -- both retired and active duty -- receive the compensation they deserve.”

The new ‘concurrent receipt’ benefits are supported by numerous veterans organizations including the Disabled American Veterans, AMVETS, Fleet Reserve Association, Retired Enlisted Association, Reserve Officers Association, Air Force Sergeants Association, Non Commissioned Officers Association, National Association for Uniformed Services, and Military Officers Association of America Veterans of Foreign Wars.

The National Defense Authorization Act for Fiscal Year 2004 (H.R. 1588) includes the following measures to improve ‘concurrent receipt’ benefits for disabled veterans:

Blue Ribbon Commission

• Establishes a 13-member bipartisan Blue Ribbon Commission to review and make recommendations for improving the VA disability system. The members, seven of whom will be highly decorated combat veterans, will be appointed by Congressional leaders and the While House. For the first time since 1946, there will be a top-to-bottom review of the disability system.

Purple Heart

• Continues to provide full concurrent receipt to all Purple Heart veterans who are retired after 20 years and who have a VA disability rating of 10% - 100%.

Combat-Related Special Compensation (CRSC)

• Under current law, combat-related special compensation (CRSC) veterans 60% disabled and above have full concurrent receipt through the Purple Heart Plus plan for disabilities related to combat situations. H.R. 1588 expands full concurrent receipt to all CRSC veterans with a VA disability rating of 10% - 100%.

National Guard and Reservists

• Very few retired reservists and national guardsmen qualify under current law for the Purple Heart or CRSC concurrent receipt. H.R. 1588 removes this barrier and extends full concurrent receipt to all retired national guardsmen and reservists (10 - 100% disabled) with 20 years of service who are Purple Heart recipients, or who are CRSC qualified.

Remaining Military Retirees

• Under current law, no other military retirees receive concurrent receipt. H.R. 1588 provides full concurrent receipt to the most disabled military retirees - those who have a disability rating of 50% or above.

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