Summary#
This bill, the Major Richard Star Act (S. 1032), would let certain military disability retirees receive both their military retired pay and veterans’ disability compensation at the same time when the disability is combat-related. The main change is that retired pay for these disability retirees would not be reduced because they also get VA disability compensation. The stated policy goal is to allow concurrent receipt for combat-related disability retirees.
Key changes:
- Who benefits: Members or former members entitled to retired pay under chapter 61 (disability retirement) who also get VA disability compensation for a combat-related disability.
- Removal of offset: Retired pay for those people would be paid “without regard to” the usual rules that reduce military retired pay when VA compensation is paid (the rules in title 38, sections 5304 and 5305).
- Technical updates: The bill changes and cleans up related wording in current law to reflect the end of a prior phase-in and to reorganize some paragraphs.
- Effective date: The change would start on the first day of the first month after the law is enacted and apply to payments for months beginning on or after that date.
What it means for you#
- Disability retirees with combat-related disabilities: If you retired under chapter 61 for a disability and the VA has deemed that disability combat-related, you could receive both your full military retired pay and your VA disability compensation at the same time. The bill applies month by month.
- Veterans receiving VA compensation (non-combat-related): The bill does not change rules for disability that are not classified as combat-related; current offsets would still apply to those cases.
- Active service members considering disability retirement: This change may affect retirement planning for those who expect a combat-related disability retirement, because it would allow concurrent payments if the law is in force when payments begin.
- Department of Defense and VA administrators: Agencies that pay retired pay and VA compensation would need to apply the new rule for eligible cases.
- Taxpayers: Federal benefit payments for eligible retirees could increase (see Expenses).
Expenses#
No publicly available information.
- The bill text itself does not include a fiscal note or an estimate of the cost to the federal government.
- This could mean higher federal spending for benefit payments because some retirees would receive both payments without the prior offset.
- There could also be administrative costs for DoD and VA systems and staff to implement and track concurrent payments.
Proponents' View#
- The bill appears intended to let disability retirees with combat-related disabilities receive the full retirement pay and VA compensation at the same time.
- A possible argument for the bill is that it treats combat-related disabilities differently in recognition of the link between service in combat and the injury or illness.
- Supporters may say the bill corrects what they view as an unfair reduction in benefits for those whose disabilities are combat-related.
- The bill’s sponsors (many Senators listed in the source material) show bipartisan interest.
Opponents' View#
- One concern is cost: allowing concurrent payments could increase federal spending, but the bill does not show how much.
- The bill does not include a fiscal estimate or detailed implementation plan, so it is unclear how agencies would handle cases already in pay status or disputed claims.
- There may be administrative complexity in applying the change month by month and reconciling it with other concurrent-pay programs; the bill does not explain administrative procedures.
- The bill only covers disabilities defined as “combat-related” under the referenced law; it may raise questions about cases where the combat-related status is unclear or contested.