Custom Federal Regulations Service™

**This is supplemental material**

**for Book I of your set of**

**Federal Regulations**

Title 38, Parts 17, 46, 47, 51--52, and 58--61

*Medical*

**Veterans Benefits Administration**

Supplement No. 35

Covering period of *Federal Register* issues

through March 4, 2007

Copyright © 2007 Jonathan Publishing

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Fax: 202/275-5947

E-mail: coarms@vba.va.gov

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Copyright © 2007 Jonathan Publishing

> **GENERAL INSTRUCTIONS**

Custom Federal Regulations Service™

**Supplemental Materials for *Book I***

**Code of Federal Regulations**

**Title 38, Parts 17, 46, 47, 51--52, and 58--61**

***Medical***

**Veterans Benefits Administration**

**Supplement No. 35**

5 March 2007

Covering the period of Federal Register issues

through March 4, 2007

When **Book I** was originally prepared, it was current through final
regulations published in the *Federal Register* of 15 January 2000.
These supple­mental materials are designed to keep your regulations up to
date. You should file the attached pages immediately, and record the
fact that you did so on the *Supplement Filing Record* which is at page
I-8 of Book I, *Medical*.

> **To ensure accuracy and timeliness of your materials,**
>
> **it is important that you follow these simple procedures:**
>
> 1\. Always file your supplemental materials immediately upon receipt.
>
> 2\. Before filing, always check the Supplement Filing Record (page
> I-8) to be sure that all prior supplements have been filed. If you are
> missing any supple­ments, contact the Veterans Benefits Administration
> at the address listed on page I-2.
>
> 3\. After filing, enter the relevant information on the Supplement
> Filing Record sheet (page I-8)---the date filed, name/initials of
> filer, and date through which the *Federal Register* is covered.
>
> 4\. If as a result of a failure to file, or an undelivered supplement,
> you have more than one supplement to file at a time, be certain to
> file them in chronological order, lower number first.
>
> 5\. Always retain the filing instructions (simply insert them at the
> back of the book) as a backup record of filing and for reference in
> case of a filing error.
>
> 6\. Be certain that you *permanently discard* any pages indicated for
> removal in the filing instructions in order to avoid confusion later.

To execute the filing instructions, simply remove *and throw away* the
pages listed under *Remove These Old Pages,* and replace them in each
case with the corres­pond­ing pages from this supplement listed under *Add
These New Pages*. Occasionally new pages will be added without removal
of any old material (reflecting new regulations), and occasionally old
pages will be removed with­out addition of any new material (reflecting
rescinded regulations)---in these cases the word *None* will appear in
the appropriate column.

> **FILING INSTRUCTIONS**

**Book I, Supplement No. 35**

**March 5, 2007**

*Remove these Add these Section(s)*

*[old pages]{.underline} [new pages]{.underline} [Affected]{.underline}*

**Do not file this supplement until you confirm that**

**all prior supplements have been filed**

59.50-3 to 59.50-4 59.50-3 to 59.50-4 §59.50

**Be sure to complete the**

***Supplement Filing Record* (page I-8)**

**when you have finished filing this material.**

> **HIGHLIGHTS**

**Book I, Supplement No. 35**

**March 5, 2007**

***Supplement* Highlights *references***: Where substantive changes are
made in the text of regulations, the paragraphs of *Highlights* sections
are cited at the end of the relevant section of text. Thus, if you are
reading §17.100, you will see a note at the end of that section which
reads: "Supplement *Highlights* references---37(1)." This means that
paragraph 1 of the *Highlights* section in Supplement No. 37 contains
information about the changes made in §17.100. By keeping and filing the
*Highlights* sections, you will have a reference source explaining all
substantive changes in the text of the regulations.

***Supplement frequency***: Beginning 1 January 2000, supplements for
this Book I will be issued *every month* during which a final rule
addition or modification is made to the parts of Title 38 covered by
this book. Supplements will be numbered consecutively as issued.

**Modifications in this supplement include the following:**

1\. On 14 February 2007, the VA published a final rule, effective that
same date, to adopt as final without change the interim final rule
affecting §59.50 published on 11 August 2006.

\(b\) (1) If a State accepts a partial grant for a project under
§59.80(a)(2), VA will give that project the highest priority for the
next fiscal year within the priority group to which it is assigned
(without further prioritization of that priority group) to receive up to
30 percent of the funds available for that year. Funds available do not
include funds conditionally obligated in the previous fiscal year under
§59.70(a)(2).

\(2\) If, in a given fiscal year, more than one State previously
accepted a partial grant under §59.80(a)(2), these partial-grant
recipients will be further prioritized on the priority list for that
fiscal year based on the date that VA first awarded a partial grant for
the project (the earlier the grant was awarded, the higher the priority
given). The partial-grant recipients, in aggregate, may receive up to 30
percent of the funds available for that year that would be set aside for
partial-grant recipients.

\(c\) An application will be given priority on the priority list (after
applications described in paragraph (b) of this section) for the next
fiscal year ahead of all applications that had not been approved under
§59.20 on the date that the application was approved under §59.20, if:

\(1\) During the current fiscal year VA would have awarded a grant based
on the application except for the fact that VA determined that the State
did not, by July 1, provide evidence that it had its matching funds for
the project, and

\(2\) The State was notified prior to July 1 that VA had funding
available for this grant application.

\(d\) The priority list will not contain any project for the
construction or acquisition of a hospital or hospital beds.

\(e\) For purposes of establishing priorities under this section:

\(1\) A State has a great need for nursing home and domiciliary beds if
the State:

> \(i\) Has no State homes with nursing home or domiciliary beds, or
>
> \(ii\) Has an unmet need of 2,000 or more nursing home and domiciliary
> beds;

\(2\) A State has a significant need for nursing home and domiciliary
beds if the State has an unmet need of 1,000 to 1,999 nursing home and
domiciliary beds; and

\(3\) A State has a limited need for nursing home and domiciliary beds
if the State has an unmet need of 999 or fewer nursing home and
domiciliary beds.

\(f\) Projects that could be placed in more than one subpriority will be
placed in the subpriority toward which the preponderance of the cost of
the project is allocated. For example, under priority group
1---subpriority 1, if a project for which 25 percent of the funds needed
would concern seismic and 75 percent of the funds needed would concern
building construction, the project would be placed in the subpriority
for building construction.

\(g\) Once the Secretary prioritizes the applications in the priority
list, VA will not change the priorities unless a change is necessary as
a result of an appeal. (Authority: 38 U.S.C. 101, 501, 1710, 1742, 8105,
8131-8137).

\[66 FR 33847, June 26, 2001, as amended at 71 FR 46104, Aug. 11, 2006;
72 FR 6959, Feb. 14, 2007\]

**Supplement *Highlights* references**: 33(1), 35(1).

*Next Section is §59.60*