To increase benefits for disabled U.S. veterans and provide a fair benefit to World War II Filipino veterans for their service to the United States.

SA 4572. Mr. BURR (for himself, Mr. Vitter, Mr. Isakson, and Mr.
Craig) proposed an amendment to the bill S. 1315, to amend title 38,
United States Code, to enhance life insurance benefits for disabled
veterans, and for other purposes; as follows:

Strike section 401 and insert the following:

SEC. 401. EXPANSION OF ELIGIBILITY FOR BENEFITS PROVIDED BY
DEPARTMENT OF VETERANS AFFAIRS FOR CERTAIN
SERVICE IN THE ORGANIZED MILITARY FORCES OF THE
COMMONWEALTH OF THE PHILIPPINES AND THE
PHILIPPINE SCOUTS.

(a) Modification of Status of Certain Service.--
(1) In general.--Section 107 is amended to read as follows:

``Sec. 107. Certain service with Philippine forces deemed to
be active service

``(a) In General.--Service described in subsection (b)
shall be deemed to have been active military, naval, or air
service for purposes of any law of the United States
conferring rights, privileges, or benefits upon any
individual by reason of the service of such individual or the
service of any other individual in the Armed Forces.
``(b) Service Described.--Service described in this
subsection is service--
``(1) before July 1, 1946, in the organized military forces
of the Government of the Commonwealth of the Philippines,
while such forces were in the service of the Armed Forces of
the United States pursuant to the military order of the
President dated July 26, 1941, including among such military
forces organized guerrilla forces under commanders appointed,
designated, or subsequently recognized by the Commander in
Chief, Southwest Pacific Area, or other competent authority
in the Army of the United States; or
``(2) in the Philippine Scouts under section 14 of the
Armed Forces Voluntary Recruitment Act of 1945 (59 Stat.
538).
``(c) Dependency and Indemnity Compensation for Certain
Recipients Residing Outside the United States.--(1)
Dependency and indemnity compensation provided under chapter
13 of this title to an individual described in paragraph (2)
shall be made at a rate of $0.50 for each dollar authorized.
``(2) An individual described in this paragraph is an
individual who resides outside the United States and is
entitled to dependency and indemnity compensation under
chapter 13 of this title based on service described in
subsection (b).
``(d) Exception on Pension and Death Pension for
Individuals Residing Outside the United States.--An
individual who resides outside the United States shall not,
while so residing, be entitled to a pension under subchapter
II or III of chapter 15 of this title based on service
described in subsection (b).
``(e) United States Defined.--In this section, the term
`United States' means the States, the District of Columbia,
Puerto Rico, Guam, American Samoa, the Virgin Islands, the
Commonwealth of the Northern Mariana Islands, and any other
possession or territory of the United States.''.
(2) Clerical amendment.--The table of sections at the
beginning of chapter 1 is amended by striking the item
related to section 107 and inserting the following new item:

``107. Certain service with Philippine forces deemed to be active
service.''.

(3) Effective date.--The amendments made by this subsection
shall apply with respect to the payment or provision of
benefits on or April 1, 2009. No benefits are payable or are
required to be provided by reason of such amendment for any
period before such date.
(b) Pension and Death Pension Benefit Protection.--
Notwithstanding any other provision of law, a veteran with
service described in section 107(b) of title 38, United
States Code (as added by subsection (a)), who is receiving
benefits under a Federal or federally assisted program as of
April 1, 2009, or a survivor of such veteran who is receiving
such benefits as that date, may not be required to apply for
or receive benefits under chapter 15 of such title if the
receipt of such benefits would--
(1) make such veteran or survivor ineligible for any
Federal or federally assisted program for which such veteran
or survivor qualifies; or
(2) reduce the amount of benefit such veteran or survivor
would receive from any Federal or federally assisted program
for which such veteran or survivor qualifies.
(c) Increase in Specially Adapted Housing Benefits for
Disabled Veterans.--
(1) In general.--Section 2102 is amended--
(A) in subsection (b)(2), by striking ``$10,000'' and
inserting ``$11,000'';
(B) in subsection (d)--
(i) in paragraph (1), by striking ``$50,000'' and inserting
``$55,000''; and
(ii) in paragraph (2), by striking ``$10,000'' and
inserting ``$11,000''; and
(C) by adding at the end the following new subsection:
``(e)(1) Effective on October 1 of each year (beginning in
2009), the Secretary shall increase the amounts described in
subsection (b)(2) and paragraphs (1) and (2) of subsection
(d) in accordance with this subsection.
``(2) The increase in amounts under paragraph (1) to take
effect on October 1 of a year shall be by an amount of such
amounts equal to the percentage by which--
``(A) the residential home cost-of-construction index for
the preceding calendar year, exceeds
``(B) the residential home cost-of-construction index for
the year preceding the year described in subparagraph (A).
``(3) The Secretary shall establish a residential home
cost-of-construction index for

[[Page S3311]]

the purposes of this subsection. The index shall reflect a
uniform, national average change in the cost of residential
home construction, determined on a calendar year basis. The
Secretary may use an index developed in the private sector
that the Secretary determines is appropriate for purposes of
this subsection.''.
(2) Effective date.--The amendments made by this subsection
shall take effect on April 1, 2009, and shall apply with
respect to payments made in accordance with section 2102 of
title 38, United States Code, on or after that date.
(d) Annual Adjustment of Amount of Burial and Funeral
Expenses for Deaths From Service-Connected Disability.--
Section 2307 is amended--
(1) by inserting ``(a)'' before ``In any case''; and
(2) by adding at the end the following new subsection:
``(b) With respect to any fiscal year, the Secretary shall
provide a percentage increase (rounded to the nearest dollar)
in the amount authorized by subsection (a)(1) by the amount
equal to the percentage of such amount by which--
``(1) the Consumer Price Index (all items, United States
city average) for the 12-month period ending on the June 30
preceding the beginning of the fiscal year for which the
increase is made, exceeds
``(2) the Consumer Price Index for the 12-month period
preceding the 12-month period described in paragraph (1).''.
(e) Increase in Assistance for Providing Automobiles or
Other Conveyances to Certain Disabled Veterans.--
(1) In general.--Section 3902 is amended--
(A) in subsection (a), by striking ``$11,000'' and
inserting ``$15,000''; and
(B) by adding at the end the following new subsection:
``(e) Effective on October 1 of each year (beginning in
2009), the Secretary shall increase the amount described in
subsection (a) by a percentage of such amount equal to the
percentage by which--
``(1) the Consumer Price Index (all items, United States
city average) for the 12-month period ending on the June 30
preceding the beginning of the fiscal year for which the
increase is made, exceeds
``(2) the Consumer Price Index for the 12-month period
preceding the 12-month period described in paragraph (1).''.
(2) Effective date.--The amendments made by this subsection
shall take effect on April 1, 2009, and shall apply with
respect to payments made in accordance with section 3902 of
title 38, United States Code, on or after that date.
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