II 

110TH CONGRESS 

1ST SESSION S. 935 

To repeal the requirement for reduction of survivor annuities under the 

Survivor Benefit Plan by veterans’ dependency and indemnity compensation, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 20, 2007 

Mr. NELSON of Florida (for himself, Mr. HAGEL, Mr. BINGAMAN, Ms. MIKULSKI, Mrs. LINCOLN, Mr. BIDEN, Mr. VITTER, Mr. DOMENICI, Mr. 

KERRY, Mr. MARTINEZ, Mr. SALAZAR, Ms. SNOWE, Mr. BROWN, Mrs. 

FEINSTEIN, Mrs. MURRAY, and Mrs. CLINTON) introduced the following 

bill; which was read twice and referred to the Committee on Armed Services 

A BILL 

To repeal the requirement for reduction of survivor annuities 

under the Survivor Benefit Plan by veterans’ dependency 

and indemnity compensation, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. REPEAL OF REQUIREMENT OF REDUCTION OF 

4 SBP SURVIVOR ANNUITIES BY DEPENDENCY 

5 AND INDEMNITY COMPENSATION. 

6 (a) REPEAL.— 


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•S 935 IS

1 (1) IN GENERAL.—Subchapter II of chapter 73 

2 of title 10, United States Code, is amended as fol3 lows: 

4 (A) In section 1450, by striking subsection 

5 (c). 

6 (B) In section 1451(c)— 

7 (i) by striking paragraph (2); and 

8 (ii) by redesignating paragraphs (3) 

9 and (4) as paragraphs (2) and (3), respec10 tively. 

11 (2) CONFORMING AMENDMENTS.—Such sub12 chapter is further amended as follows: 

13 (A) In section 1450— 

14 (i) by striking subsection (e); and 

15 (ii) by striking subsection (k). 

16 (B) In section 1451(g)(1), by striking sub17 paragraph (C). 

18 (C) In section 1452— 

19 (i) in subsection (f)(2), by striking 

20 ‘‘does not apply—’’ and all that follows 

21 and inserting ‘‘does not apply in the case 

22 of a deduction made through administra23 tive error.’’; and 

24 (ii) by striking subsection (g). 


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•S 935 IS

1 (D) In section 1455(c), by striking ‘‘, 

2 1450(k)(2),’’. 

3 (b) PROHIBITION ON RETROACTIVE BENEFITS.—No 

4 benefits may be paid to any person for any period before 

5 the effective date provided under subsection (f) by reason 

6 of the amendments made by subsection (a). 

7 (c) PROHIBITION ON RECOUPMENT OF CERTAIN

8 AMOUNTS PREVIOUSLY REFUNDED TO SBP RECIPI9 ENTS.—A surviving spouse who is or has been in receipt 

10 of an annuity under the Survivor Benefit Plan under sub11 chapter II of chapter 73 of title 10, United States Code, 

12 that is in effect before the effective date provided under 

13 subsection (f) and that is adjusted by reason of the 

14 amendments made by subsection (a) and who has received 

15 a refund of retired pay under section 1450(e) of title 10, 

16 United States Code, shall not be required to repay such 

17 refund to the United States. 

18 (d) REPEAL OF AUTHORITY FOR OPTIONAL ANNUITY

19 FOR DEPENDENT CHILDREN.—Section 1448(d)(2) of 

20 such title is amended— 

21 (1) by striking ‘‘DEPENDENT CHILDREN.—’’ 

22 and all that follows through ‘‘In the case of a mem23 ber described in paragraph (1),’’ and inserting ‘‘DE24 PENDENT CHILDREN.—In the case of a member de25 scribed in paragraph (1),’’; and 


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•S 935 IS

1 (2) by striking subparagraph (B). 

2 (e) RESTORATION OF ELIGIBILITY FOR PREVIOUSLY

3 ELIGIBLE SPOUSES.—The Secretary of the military de4 partment concerned shall restore annuity eligibility to any 

5 eligible surviving spouse who, in consultation with the Sec6 retary, previously elected to transfer payment of such an7 nuity to a surviving child or children under the provisions 

8 of section 1448(d)(2)(B) of title 10, United States Code, 

9 as in effect on the day before the effective date provided 

10 under subsection (f). Such eligibility shall be restored 

11 whether or not payment to such child or children subse12 quently was terminated due to loss of dependent status 

13 or death. For the purposes of this subsection, an eligible 

14 spouse includes a spouse who was previously eligible for 

15 payment of such annuity and is not remarried, or remar16 ried after having attained age 55, or whose second or sub17 sequent marriage has been terminated by death, divorce 

18 or annulment. 

19 (f) EFFECTIVE DATE.—The sections and the amend20 ments made by this section shall take effect on the later 

21 of— 

22 (1) the first day of the first month that begins 

23 after the date of the enactment of this Act; or 

24 (2) the first day of the fiscal year that begins 

25 in the calendar year in which this Act is enacted. 


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•S 935 IS

1 SEC. 2. EFFECTIVE DATE OF PAID-UP COVERAGE UNDER 

2 SURVIVOR BENEFIT PLAN. 

3 (a) SURVIVOR BENEFIT PLAN.—Section 1452(j) of 

4 title 10, United States Code, is amended by striking ‘‘Oc5 tober 1, 2008’’ and inserting ‘‘October 1, 2007’’. 

6 (b) RETIRED SERVICEMAN’S FAMILY PROTECTION

7 PLAN.—Section 1436a of such title is amended by striking 

8 ‘‘October 1, 2008’’ and inserting ‘‘October 1, 2007’’. 

Æ 


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