This week, U.S. Rep. Gus Bilirakis, R-Fla., threw his support behind a bill that “protects veterans who receive disability benefits from the Department of Veterans Affairs (VA) from having to face the unfair and unwarranted recoupment of their separation pay.”
U.S. Rep. Ruben Gallego, D-Ariz., introduced the “Restore Veterans’ Compensation Act” with Bilirakis and U.S. Rep. Mark DeSailnier, D-Calif., as co-sponsors.
“Veterans deserve more benefits, not less, and that is why I am proud to introduce the Restore Veterans’ Compensation Act to protect our veterans from the financial burdens of having to give back their separation pay. It is up to Congress to rectify this inequity, and I am looking forward to engaging my colleagues on both sides of the aisle on this important issue,” said Gallego.
“The brave men and women who return from serving our country should be able to receive all of the benefits promised to them,” said Bilirakis. “The issue of concurrent receipt remains an injustice that must be rectified for all veterans. However, this important legislation will provide immediate relief for one group of veterans who have been facing unreasonable financial penalties and unnecessary bureaucratic roadblocks when attempting to access the benefits they have earned.”
Bilirakis’ office offered some of the details behind the proposal.
“Currently, outdated policies prohibit veterans from receiving concurrent receipt of unrelated benefit payments. Therefore, veterans who receive separation pay who later qualify for VA disability benefits have their separation pay recouped,” Bilirakis’ office noted. “Specifically, the Restore Veterans’ Compensation Act bill would: no longer allow for the recoupment of separation pay from veterans who later become eligible for VA disability benefits because the two compensate for different things—workplace injuries (disability benefits) versus time served (separation pay); ensure veterans who later qualify for military retirement pay only have to repay the net amount of separation pay instead of the gross amount to prevent the federal government from recouping more than the veteran received; and, change the recoupment rate for retired military veterans to 25 percent of those same veterans’ paycheck instead of the current 40 percent.”
The bill has the support of the Disabled American Veterans (DAV).
“Withholding a Veteran’s VA disability compensation due to a non-related military separation benefit must end,” said DAV National Service Director Jim Marszalek. “The Restore Veterans’ Compensation Act would afford justice for veterans and would allow them to keep their separation payments based on their service, which differs from VA disability compensation.”
The bill was sent to the U.S. House Veterans Affairs Committee, on which Bilirakis serves, and the U.S. House Armed Services Committee. So far, there is no companion measure over in the U.S. Senate.
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