[Federal Register Volume 62, Number 243 (Thursday, December 18, 1997)]
[Notices]
[Pages 66408-66410]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-32986]
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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,
parents' dependency and indemnity compensation (DIC), and spina bifida
programs. These adjustments are based on the rise in the Consumer Price
Index (CPI) during the one-year period ending September 30, 1997. 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 1998, which began on
October 1, 1997.
DATES: These COLAs are effective December 1, 1997. The headstone or
marker allowance rate is effective October 1, 1997.
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 a 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
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 1997 under the above computation method was
$109. Therefore, effective October 1, 1997, the maximum rate of
reimbursement for non-Government headstones or markers purchased during
Fiscal Year 1998 is $109.
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 2.1 percent cost-of-living increase in Social Security benefits
effective December 1, 1997. Therefore, applying the same percentage and
rounding up in accordance with 38 CFR 3.29, the following increased
rates and income limitations for the VA pension and parents' DIC
programs will be effective December 1, 1997:
[[Page 66409]]
Table 1.--Improved Pension
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Maximum annual rates
(1) Veterans permanently and totally disabled (38 U.S.C. 1521):
Veteran with no dependents, $8,665
Veteran with one dependent, $11,349
For each additional dependent, $1,476
(2) Veterans in need of aid and attendance (38 U.S.C. 1521):
Veteran with no dependents, $13,859
Veteran with one dependent, $16,542
For each additional dependent, $1,476
(3) Veterans who are housebound (38 U.S.C. 1521):
Veteran with no dependents, $10,591
Veteran with one dependent, $13,275
For each additional dependent, $1,476
(4) Two veterans married to one another, combined rates (38 U.S.C.
1521):
Neither veteran in need of aid and attendance or housebound, $11,349
Either veteran in need of aid and attendance, $16,542
Both veterans in need of aid and attendance, $21,734
Either veteran housebound, $13,275
Both veterans housebound, $15,202
One veteran housebound and one veteran in need of aid and
attendance, $18,465
For each dependent child, $1,476
(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, $5,808
Surviving spouse and one child in his or her custody, $7,607
For each additional child in his or her custody, $1,476
(6) Surviving spouses in need of aid and attendance (38 U.S.C. 1541):
Surviving spouse alone, $9,288
Surviving spouse with one child in his or her custody, $11,082
For each additional child in his or her custody, $1,476
(7) Surviving spouses who are housebound (38 U.S.C. 1541):
Surviving spouse alone, $7,101
Surviving spouse and one child in his or her custody, $8,895
For each additional child in his or her custody, $1,476
(8) Surviving child alone (38 U.S.C. 1542), $1,476
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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 $1,963. (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):
Table 2
One parent. If there is only one parent, the monthly rate of DIC
paid to such parent shall be $412, reduced on the basis of the parent's
annual income, according to the following formula:
For each $1 of annual income
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The $412 monthly rate
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Which is But not
Shall be reduced by more than more than
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$0.00............................................. 0 $800
.08............................................... $800 9,857
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No DIC is payable under this table if annual income exceeds $9,857.
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 $297, 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 $297 monthly rate
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Which is But not
Shall be reduced by more than more than
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$0.00............................................. 0 $800
.06............................................... $800 900
.07............................................... 900 1,100
.08............................................... 1,100 9,857
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No DIC is payable under this table if annual income exceeds $9,857.
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 $278 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 $278 monthly rate
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Which is But not
Shall be reduced by more than more than
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$.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 13,250
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No DIC is payable under this table if combined annual income
exceeds $13,250.
The rates in this table are also applicable in the case of one
surviving
[[Page 66410]]
parent who has remarried, computed on the basis of the combined income
of the 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 $221 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, $9,857 (Pub. L. 95-
588, section 306(a)).
(2) Veteran with no dependents in need of aid and attendance, $10,357
(38 U.S.C. 1521(d) as in effect on December 31, 1978).
(3) Veteran or surviving spouse with one or more dependents, $13,250
(Pub. L. 95-588, section 306(a)).
(4) Veteran with one or more dependents in need of aid and attendance,
$13,750 (38 U.S.C. 1521(d) as in effect on December 31, 1978).
(5) Child (no entitled veteran or surviving spouse), $8,057 (Pub. L. 95-
588, section 306(a)).
(6) Spouse income exclusion (38 CFR 3.262), $3,144 (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,
$8,628 (Pub. L. 95-588, section 306(b)).
(2) Veteran or surviving spouse with one or more dependents, $12,440
(Pub. L. 95-588, section 306(b)).
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Spina Bifida Benefits
Section 421 of Pub. L. 104-204 added a new chapter 18 to title 38,
United States Code, authorizing VA to provide certain benefits,
including a monthly monetary allowance, to children born with spina
bifida who are natural children of veterans who served in the Republic
of Vietnam during the Vietnam era. Pursuant to 38 U.S.C. 1805(b)(3),
spina bifida rates are subject to adjustment under the provisions of 38
U.S.C. 5312, which provides for the adjustment of certain VA benefit
rates whenever there is an increase in benefit amounts payable under
title II of the Social Security Act (42 U.S.C. 401 et seq.). Effective
December 1, 1997, spina bifida monthly rates are as follows:
Level I: $205
Level II: $715
Level III: $1,226
Dated: December 10, 1997.
Hershel W. Gober,
Acting Secretary of Veterans Affairs.
[FR Doc. 97-32986 Filed 12-17-97; 8:45 am]
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