97-1052. Cost-of-Living Adjustments and Headstone or Marker Allowance Rate  

  • [Federal Register Volume 62, Number 11 (Thursday, January 16, 1997)]
    [Notices]
    [Pages 2442-2444]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-1052]
    
    
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    DEPARTMENT OF VETERANS AFFAIRS
    
    Cost-of-Living Adjustments and Headstone or Marker Allowance Rate
    
    AGENCY: Department of Veterans Affairs.
    
    ACTION: Notice.
    
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    SUMMARY: As required by law, the Department of Veterans Affairs (VA) is 
    hereby giving notice of cost-of-living adjustments (COLAs) in certain 
    benefit rates and income limitations. These COLAs affect the pension 
    and parents' dependency and indemnity compensation (DIC) programs. 
    These adjustments are based on the rise in the Consumer Price Index 
    (CPI) during the one year period ending September 30, 1996. VA is also 
    giving notice of the maximum amount of reimbursement that may be paid 
    for headstones or markers purchased in lieu of Government-furnished 
    headstones or markers in Fiscal Year 1997, which began on October 1, 
    1996.
    
    DATES: These COLAs are effective December 1, 1996. The headstone or 
    marker allowance rate is effective October 1, 1996.
    
    FOR FURTHER INFORMATION CONTACT: Paul Trowbridge, Consultant, 
    Compensation and Pension Service (213B), Veterans Benefit 
    Administration, Department of Veterans Affairs, 810 Vermont Avenue NW., 
    Washington, DC 20420, (202) 273-7218.
    
    SUPPLEMENTARY INFORMATION: Under 38 U.S.C. 2306(d), VA may provide 
    reimbursement for the cost of non-Government headstones or markers at a 
    rate equal to the actual cost or the average actual cost of Government-
    furnished headstones or markers during the fiscal year preceding the 
    fiscal year in which the non-Government headstone or marker was 
    purchased, whichever is less.
        Section 8041 of Pub. L. 101-508 amended 38 U.S.C. 2306(d) to 
    eliminate the payment of the monetary allowance in lieu of VA-provided 
    headstone or marker for deaths occurring on or after November 1, 1990. 
    However, in a precedent opinion (O. G. C. Prec. 17-90), VA's General 
    Counsel held that there is no limitation period applicable to claims 
    for benefits under the provisions of 38 U.S.C. 2306(d).
        The average actual cost of Government-furnished headstones or 
    markers during any fiscal year is determined by dividing the sum of VA
    
    [[Page 2443]]
    
    costs during that fiscal year for procurement, transportation, and 
    miscellaneous administration, inspection and support staff by the total 
    number of headstones and markers procured by VA during that fiscal year 
    and rounding to the nearest whole dollar amount.
        The average actual cost of Government-furnished headstones or 
    markers for Fiscal Year 1996 under the above computation method was 
    $96. Therefore, effective October 1, 1996, the maximum rate of 
    reimbursement for non-Government headstones or markers purchased during 
    Fiscal Year 1997 is $96.
    
    Cost of Living Adjustments
    
        Under the provisions of 38 U.S.C. 5312 and section 306 of Pub. L. 
    95-588, VA is required to increase the benefit rates and income 
    limitations in the pension and parents' DIC programs by the same 
    percentage, and effective the same date, as increases in the benefit 
    amounts payable under title II of the Social Security Act. The 
    increased rates and income limitations are also required to be 
    published in the Federal Register.
        The Social Security Administration has announced that there will be 
    a 2.9 percent cost-of-living increase in social security benefits 
    effective December 1, 1996. Therefore, applying the same percentage, 
    the following increased rates and income limitations for the VA pension 
    and parents' DIC programs will be effective December 1, 1996:
    
    Table 1.--Improved Pension
    
    Maximum annual rates
    
    (1) Veterans permanently and totally disabled (38 U.S.C. 1521):
        Veteran with no dependents, $8,486
        Veteran with one dependent, $11,115
        For each additional dependent, $1,445
    (2) Veterans in need of aid and attendance (38 U.S.C. 1521):
        Veteran with no dependents, $13,573
        Veteran with one dependent, $16,201
        For each additional dependent, $1,445
    (3) Veterans who are housebound (38 U.S.C. 1521):
        Veteran with no dependents, $10,373
        Veteran with one dependent, $13,001
        For each additional dependent, $1,445
    (4) Two veterans married to one another, combined rates (38 U.S.C. 
    1521):
        Neither veteran in need of aid and attendance or housebound, 
    $11,115
        Either veteran in need of aid and attendance, $16,201
        Both veterans in need of aid and attendance, $21,286
        Either veteran housebound, $13,001
        Both veterans housebound, $14,889
        One veteran housebound and one veteran in need of aid and 
    attendance, $18,085
        For each dependent child, $1,445
    (5) Surviving spouse alone and with a child or children of the deceased 
    veteran in custody of the surviving spouse (38 U.S.C. 1541):
        Surviving spouse alone, $5,688
        Surviving spouse and one child in his or her custody, $7,450
        For each additional child in his or her custody, $1,445
    (6) Surviving spouses in need of aid and attendance (38 U.S.C. 1541):
        Surviving spouse alone, $9,096
        Surviving spouse with one child in his or her custody, $10,854
        For each additional child in his or her custody, $1,445
    (7) Surviving spouses who are housebound (38 U.S.C. 1541):
        Surviving spouse alone, $6,954
        Surviving spouse and one child in his or her custody, $8,712
        For each additional child in his or her custody, $1,445
    (8) Surviving child alone (38 U.S.C. 1542), $1,445
    
        Reduction for income. The rate payable is the applicable maximum 
    rate minus the countable annual income of the eligible person. (38 
    U.S.C. 1521, 1541 and 1542).
        Mexican border period and World War I veterans. The applicable 
    maximum annual rate payable to a Mexican border period or World War I 
    veteran under this table shall be increased by $1,922. (38 U.S.C. 
    1521(g)).
    
    Parents' DIC
    
        DIC shall be paid monthly to parents of a deceased veteran in the 
    following amounts (38 U.S.C. 1315):
        One parent. If there is only one parent, the monthly rate of DIC 
    paid to such parent shall be $403 reduced on the basis of the parent's 
    annual income according to the following formula:
    
                                     Table 2                                
                         [For each $1 of annual income]                     
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     The $403 monthly rate shall be reduced    Which is more   But not more 
                       by                          than            than     
    ------------------------------------------------------------------------
    $0.00...................................              $0            $800
      .08...................................             800           9,654
    ------------------------------------------------------------------------
    
        No DIC is payable under this table if annual income exceeds $9,654.
        One parent who has remarried. If there is only one parent and the 
    parent has remarried and is living with the parent's spouse, DIC shall 
    be paid under Table 2 or under Table 4, whichever shall result in the 
    greater benefit being paid to the veteran's parent. In the case of 
    remarriage, the total combined annual income of the parent and the 
    parent's spouse shall be counted in determining the monthly rate of 
    DIC.
        Two parents not living together. The rates in Table 3 apply to (1) 
    two parents who are not living together, or (2) an unmarried parent 
    when both parents are living and the other parent has remarried. The 
    monthly rate of DIC paid to each such parent shall be $290 reduced on 
    the basis of each parent's annual income, according to the following 
    formula:
    
                                     Table 3                                
                         [For each $1 of annual income]                     
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     The $290 monthly rate shall be reduced    Which is more   But not more 
                       by                          than            than     
    ------------------------------------------------------------------------
    $0.00...................................              $0            $800
      .06...................................             800             900
      .07...................................             900           1,100
      .08...................................           1,100           9,654
    ------------------------------------------------------------------------
    
        No DIC is payable under this table if annual income exceeds $9,654.
        Two parents living together or remarried parents living with 
    spouses. The rates in Table 4 apply to each parent living with another 
    parent; and each remarried parent, when both parents are alive. The 
    monthly rate of DIC paid to such parents will be $272 reduced on the 
    basis of the combined annual income of the two parents living together 
    or the remarried parent or parents and spouse or spouses, as computed 
    under the following formula:
    
                                     Table 4                                
                         [For each $1 of annual income]                     
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     The $272 monthly rate shall be reduced    Which is more   But not more 
                       by                          than            than     
    ------------------------------------------------------------------------
    $.00....................................              $0          $1,000
      .03...................................           1,000           1,500
      .04...................................           1,500           1,900
      .05...................................           1,900           2,400
      .06...................................           2,400           2,900
      .07...................................           2,900           3,200
      .08...................................           3,200          12,977
    ------------------------------------------------------------------------
    
        No DIC is payable under this table if combined annual income 
    exceeds $12,977.
        The rates in this table are also applicable in the case of one 
    surviving parent who has remarried, computed on the basis of the 
    combined income of the
    
    [[Page 2444]]
    
    parent and spouse, if this would be a greater benefit than that 
    specified in Table 2 for one parent.
        Aid and attendance. The monthly rate of DIC payable to a parent 
    under Tables 2 through 4 shall be increased by $216 if such parent is 
    (1) a patient in a nursing home, or (2) helpless or blind, or so nearly 
    helpless or blind as to need or require the regular aid and attendance 
    of another person.
        Minimum rate. The monthly rate of DIC payable to any parent under 
    Tables 2 through 4 shall not be less than $5.
    
                Table 5.--Section 306 Pension Income Limitations            
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    (1) Veteran or surviving spouse with no dependents, $9,654 (Pub. L. 95- 
     588, section 306(a)).                                                  
    (2) Veteran with no dependents in need of aid and attendance, $10,154   
     (38 U.S.C. 1521(d) as in effect on December 31, 1978).                 
    (3) Veteran or surviving spouse with one or more dependents, $12,977    
     (Pub. L. 95-588, section 306(a)).                                      
    (4) Veteran with one or more dependents in need of aid and attendance,  
     $13,477 (38 U.S.C. 1521(d) as in effect on December 31, 1978).         
    (5) Child (no entitled veteran or surviving spouse), $7,891 (Pub. L. 95-
     588, section 306(a)).                                                  
    (6) Spouse income exclusion (38 CFR 3.262), $3,079 (Pub. L. 95-588,     
     section 306(a)(2)(B)).                                                 
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                  Table 6.--Old-Law Pension Income Limitations              
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    (1) Veteran or surviving spouse without dependents or an entitled child,
     $8,450 (Pub. L. 95-588, section 306(b)).                               
    (2) Veteran or surviving spouse with one or more dependents, $12,184    
     (Pub. L. 95-588, section 306(b)).                                      
    ------------------------------------------------------------------------
    
        Dated: January 6, 1997.
    Jesse Brown,
    Secretary of Veterans Affairs.
    [FR Doc. 97-1052 Filed 1-15-97; 8:45 am]
    BILLING CODE 8320-01-P
    
    
    

Document Information

Effective Date:
12/1/1996
Published:
01/16/1997
Department:
Veterans Affairs Department
Entry Type:
Notice
Action:
Notice.
Document Number:
97-1052
Dates:
These COLAs are effective December 1, 1996. The headstone or marker allowance rate is effective October 1, 1996.
Pages:
2442-2444 (3 pages)
PDF File:
97-1052.pdf