To amend title 38, United States Code, to make certain improvements in the procedures for adjudication of claims for benefits under laws administered by the Secretary of Veterans Affairs.

Summary: Veterans Claims Procedures Improvement Act of 2003 - Prohibits payment or furnishing of veterans' benefits, if the Secretary of Veterans Affairs notifies a benefit claimant that certain information is necessary to complete the claimant's application and such information is not received by the Secretary within one year after such notification.

Requires written notification to a claimant by the Secretary of additional information or evidence needed to complete a claim application. (Current law requires notification, but does not specify that the notification must be written.) Requires the claimant to submit to the Secretary such additional information or evidence within the time period specified by the Secretary, which period shall end not less than 60 days after the date of such notification or one year from the date of application, whichever is later. Allows the Secretary to: (1) extend the time limits for good cause; and (2) decide a claim before the end of such limits.

Revises appellate review procedures applicable to filing a notice of disagreement with the Board of Veterans Appeals to require a claimant to be notified in writing to provide clarification on whether or not appellate review is desired or what issue or issues are being appealed.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Veterans Claims Procedures 
Improvement Act of 2003''.

SEC. 2. TIME LIMITATION ON INFORMATION TO COMPLETE CLAIM.

    Section 5102 of title 38, United States Code, is amended by adding 
at the end the following new subsection:
    ``(c)(1) If the Secretary notifies a claimant and the claimant's 
representative, if any, under subsection (b) that certain information 
is necessary to complete the claimant's application and that 
information is not received by the Secretary within one year from the 
date of such notification, no benefit may be paid or furnished by 
reason of the claimant's application.
    ``(2) This subsection shall not apply to any application or claim 
for Government life insurance benefits.''.

SEC. 3. EFFECT OF NOTICE TO CLAIMANTS OF REQUIRED INFORMATION AND 
              EVIDENCE.

    (a) Notice Required to Be in Writing.--Subsection (a) of section 
5103 of title 38, United States Code, is amended by inserting ``in 
writing'' in the first sentence after ``shall notify''.
    (b) Time Limitation.--Subsection (b) of that section is amended--
            (1) in paragraph (1), by striking ``if such'' and all that 
        follows through ``application'' and inserting ``such 
        information or evidence must be submitted within the time 
        period specified by the Secretary, which period shall end not 
        less than 60 days after the date of such notification or one 
        year from the date of application, whichever is later'';
            (2) by redesignating paragraph (2) as paragraph (4); and
            (3) by inserting after paragraph (1) the following new 
        paragraphs:
    ``(2) The Secretary may in any case extend for good cause the time 
period under paragraph (1) for submitting information or evidence.
    ``(3) The limitation in paragraph (1) shall not be construed to 
prohibit the Secretary from making a decision on a claim before the end 
of the period specified under that paragraph. If the Secretary issues a 
decision before the end of the period specified in paragraph (1) and 
information or evidence pertinent to the claim is received within that 
period, the prior decision shall be readjudicated, the information or 
evidence shall be considered, and a new decision shall be issued.''.
    (c) Effect on Prior Cases.--In the case of a claimant for benefits 
under laws administered by the Secretary of Veterans Affairs who 
asserts that after November 9, 2000, the claimant was misled by a 
notification from the Secretary that information and evidence needed to 
substantiate the claim was required to be submitted before the end of 
the one-year period provided in section 5103 of title 38, United States 
Code, the claimant may request to have the prior decision vacated and a 
new decision issued. Upon receiving such a request, the Secretary shall 
vacate the decision and issue a new decision if the request, 
information, and evidence are submitted not later than one year after 
the date of the enactment of this Act. Unless there is a timely request 
from the claimant or the claimant's legal representative, nothing in 
this Act shall be construed as establishing a duty on the part of the 
Secretary of Veterans Affairs to locate and readjudicate a claim 
described in this subsection.

SEC. 4. CLARIFICATION OF PROCEDURES APPLICABLE TO FILING A NOTICE OF 
              DISAGREEMENT WITH THE BOARD OF VETERANS APPEALS.

    (a) Notice of Disagreement.--Section 7105 of title 38, United 
States Code, is amended--
            (1) by redesignating subsections (b), (c), and (d) as 
        subsections (d), (e), and (f), respectively; and
            (2) by striking subsection (a) and inserting the following:
    ``(a) Appellate review shall be initiated by a written notice 
submitted to the Secretary expressing disagreement with an initial 
determination of the Secretary. Such a notice may be referred to as a 
`notice of disagreement'. Unless the claimant or the claimant's 
representative clearly indicates that the claimant does not want 
appellate review of the determination in whole or in part, any such 
notice shall be sufficient to initiate appellate review of the 
determination.
    ``(b)(1) If it is not clear from the claimant's notice whether or 
not appellate review is desired or what issue or issues are being 
appealed, the claimant shall be notified in writing and requested to 
provide clarification. Any such notification shall indicate that the 
adjudicative determination will be final if no valid notice of 
disagreement is received before the end of the 60-day period beginning 
on the date on which the request for clarification is sent or the one-
year period beginning on the date of the adjudicative determination, 
whichever is later.
    ``(2) Unless clarification requested under paragraph (1) is 
received within the time period prescribed in that paragraph or within 
any extension of time granted by the Secretary for good cause, the 
document shall not be treated as a notice of disagreement.
    ``(c) In order to proceed on the appeal, the claimant must submit a 
written substantive appeal after a statement of the case is furnished 
as prescribed in this section. The appellant shall be accorded hearing 
and representation rights in accordance with this chapter and 
regulations of the Secretary.''.
    (b) Manner of Filing Notice of Disagreement.--Paragraph (1) of 
subsection (d) of such section, as redesignated by subsection (a)(1), 
is amended--
            (1) in the first sentence--
                    (A) by inserting ``or as otherwise provided in 
                subsection (b),'' after ``contested claims,''; and
                    (B) by striking ``initial review or determination'' 
                and inserting ``the initial determination''; and
            (2) in the second sentence, by striking ``notice, and'' and 
        all that follows and inserting ``notice and appeal must be 
        filed with the Secretary.''.
    (c) Conforming Amendments.--(1) Paragraph (1) of subsection (f) of 
such section, as redesignated by subsection (a)(1), is amended--
            (A) in the first sentence, by striking ``the decision of'' 
        and all that follows through ``deems proper'' and inserting 
        ``the Secretary, the Secretary shall take such development or 
        review action as the Secretary considers proper''; and
            (B) in the second sentence, by striking ``such agency'' and 
        inserting ``the Secretary''.
    (2) Paragraph (3) of such subsection is amended by striking ``The 
agency of original jurisdiction'' at the beginning of the last sentence 
and inserting ``The Secretary''.