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On October 16, the House Majority Whip
Representative Blunt (MO) announced a plan to partially overturn the
prohibition in receiving both military retired pay and VA disability
compensation.
Effective January 1, 2004, phased in over 10 years, military retirees
with a VA disability rating of 50% - 100% will receive retired pay. For
example, if rated at 100%, the payment will be $750 per month for the
first year with annual increases through 2013, 90% will receive $500,
80% will receive $350, 70% will receive $250, 60% will receive $125 and
50% will receive $100. Effective Jan 1, 2014, the offset is eliminated
and full retirement pay is restored.
Therefore, effective January 1, Special Compensation for Severely
Disabled Military Retirees (60% - 100%) will be terminated.
Effective January 1, Combat Related Special Compensation (CRSC) is
expanded to include all percentages of disability (10% - 100%); however,
guidelines for CRSC remain the same. There will be an annual “open
season” to choice between CRSC and Concurrent Receipt as the retired pay
increases on an annual basis. Retirees are not permitted to draw CRSC
and retired pay.
Military Retirees from the National Guard and Reserve with 20 years of
service will also be eligible as the 7200 point requirement will be
eliminated.
Military Retirees who retired under Chapter 61, Title 10, United States
Code, with less than 20 years of service are not included in the new
plan.
CRSC program will continue to be administered by the Department of
Defense, and retired pay will be received from Defense Finance
Accounting Service.
The plan also includes a Veterans’ Disability Benefits Commission to
study of the benefits that are provided to compensate and assist
veterans and their survivors for disabilities and deaths attributable to
military service. Since two congressional committee provide oversight
over Title 38, United States Code, and the Court of Appeals for
Veterans’ Claims provides judicial review, The American Legion does not
believe such a Commission is warranted.
Although many more disabled military retirees will receive both
payments, many others will be left out. The American Legion will
continue to press Congress for full concurrent receipt for all
service-disabled military retirees.
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