I 

111TH CONGRESS 

2D SESSION H. R. 4525 

To amend title 10, United States Code, to expand the eligibility for concurrent 

receipt of military retired pay and veterans’ disability compensation to 

include all members of the uniformed services who are retired under 

chapter 61 of such title for disability, regardless of the members’ disability rating percentage. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 26, 2010 

Mr. WILSON of South Carolina introduced the following bill; which was referred to the Committee on Armed Services, and in addition to the Committees on the Budget and Veterans’ Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such 

provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To amend title 10, United States Code, to expand the eligibility for concurrent receipt of military retired pay and 

veterans’ disability compensation to include all members 

of the uniformed services who are retired under chapter 

61 of such title for disability, regardless of the members’ 

disability rating percentage. 

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


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1 SECTION 1. EXPANSION OF ELIGIBILITY FOR CONCURRENT 

2 RECEIPT OF MILITARY RETIRED PAY AND 

3 VETERANS’ DISABILITY COMPENSATION TO 

4 INCLUDE ALL CHAPTER 61 DISABILITY RE5 TIREES REGARDLESS OF DISABILITY RATING 

6 PERCENTAGE. 

7 (a) PHASED EXPANSION CONCURRENT RECEIPT.— 

8 Subsection (a) of section 1414 of title 10, United States 

9 Code, is amended to read as follows: 

10 ‘‘(a) PAYMENT OF BOTH RETIRED PAY AND DIS11 ABILITY COMPENSATION.— 

12 ‘‘(1) PAYMENT OF BOTH REQUIRED.— 

13 ‘‘(A) IN GENERAL.—Subject to subsection 

14 (b), a member or former member of the uni15 formed services who is entitled for any month 

16 to retired pay and who is also entitled for that 

17 month to veterans’ disability compensation for a 

18 qualifying service-connected disability (in this 

19 section referred to as a ‘qualified retiree’) is en20 titled to be paid both the retired pay and the 

21 veterans’ disability compensation for that 

22 month without regard to sections 5304 and 

23 5305 of title 38. 

24 ‘‘(B) APPLICABILITY OF FULL CONCUR25 RENT RECEIPT PHASE-IN REQUIREMENT.—Dur26 ing the period beginning on January 1, 2004, 


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1 and ending on December 31, 2013, payment of 

2 retired pay to a qualified retiree is subject to 

3 subsection (c). 

4 ‘‘(C) PHASE-IN EXCEPTION FOR 100 PER5 CENT DISABLED RETIREES.—The payment of 

6 retired pay is subject to subsection (c) only dur7 ing the period beginning on January 1, 2004, 

8 and ending on December 31, 2004, in the case 

9 of the following qualified retirees: 

10 ‘‘(i) A qualified retiree receiving vet11 erans’ disability compensation for a dis12 ability rated as 100 percent. 

13 ‘‘(ii) A qualified retiree receiving vet14 erans’ disability compensation at the rate 

15 payable for a 100 percent disability by rea16 son of a determination of individual 

17 unemployability. 

18 ‘‘(D) PHASE-IN EXCEPTION FOR CERTAIN

19 CHAPTER 61 DISABILITY RETIREES.—Subject to 

20 subsection (b), on and after January 1, 2011, 

21 subsection (c) shall not apply to a qualified re22 tiree who has a qualifying service-connected dis23 ability described in subparagraph (B) or (C) of 

24 paragraph (2). 


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1 ‘‘(2) QUALIFYING SERVICE-CONNECTED DIS2 ABILITY DEFINED.—In this section, the term ‘quali3 fying service-connected disability’, with respect to a 

4 qualified retiree, means the following: 

5 ‘‘(A) In the case of a qualified retiree re6 ceiving retired pay under any provision of law 

7 other than chapter 61 of this title, or under 

8 chapter 61 with 20 years or more of service 

9 otherwise creditable under section 1405 or com10 puted under section 12732 of this title, a serv11 ice-connected disability or combination of serv12 ice-connected disabilities that is rated as dis13 abling by the Secretary of Veterans Affairs. 

14 ‘‘(B) In the case of a qualified retiree re15 ceiving retired pay under chapter 61 of this 

16 title with less than 20 years of service otherwise 

17 creditable under section 1405 or computed 

18 under section 12732 of this title, a service-con19 nected disability or combination of service-con20 nected disabilities that is rated by the Secretary 

21 of Veterans Affairs at the disabling level speci22 fied in one of the following clauses (and is ef23 fective on or after the date specified in the ap24 plicable clause): 


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1 ‘‘(i) January 1, 2011, rated 100 per2 cent, or a rate payable at 100 percent by 

3 reason of individual unemployability or 

4 rated 90 percent. 

5 ‘‘(ii) January 1, 2012, rated 80 per6 cent or 70 percent. 

7 ‘‘(iii) January 1, 2013, rated 60 per8 cent or 50 percent. 

9 ‘‘(C) In the case of a qualified retiree re10 ceiving retired pay under chapter 61 regardless 

11 of years of service, a service-connected disability 

12 or combination of service-connected disabilities 

13 that is rated by the Secretary of Veterans Af14 fairs at the disabling level specified in one of 

15 the following clauses (and is effective on or 

16 after the date specified in the applicable 

17 clause): 

18 ‘‘(i) January 1, 2014, rated 40 per19 cent or 30 percent. 

20 ‘‘(ii) January 1, 2015, any rating.’’. 

21 (b) CONFORMING AMENDMENT TO SPECIAL RULES

22 FOR CHAPTER 61 DISABILITY RETIREES.—Subsection (b) 

23 of such section is amended to read as follows: 

24 ‘‘(b) SPECIAL RULES FOR CHAPTER 61 DISABILITY

25 RETIREES..— 


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1 ‘‘(1) CAREER RETIREES.—The retired pay of a 

2 member retired under chapter 61 of this title with 

3 20 years or more of service otherwise creditable 

4 under section 1405 of this title, or at least 20 years 

5 of service computed under section 12732 of this 

6 title, at the time of the member’s retirement, is sub7 ject to reduction under sections 5304 and 5305 of 

8 title 38, but only to the extent that the amount of 

9 the member’s retired pay under chapter 61 of this 

10 title exceeds the amount of retired pay to which the 

11 member would have been entitled under any other 

12 provision of law based upon the member’s service in 

13 the uniformed services if the member had not been 

14 retired under chapter 61 of this title. 

15 ‘‘(2) SPECIAL RULE FOR RETIREES WITH

16 FEWER THAN 20 YEARS OF SERVICE.—The retired 

17 pay of a member retired under chapter 61 of this 

18 title with fewer than 20 years of creditable service 

19 otherwise creditable under section 1405 or computed 

20 under section 12732 of this title, at the time of the 

21 member’s retirement, is subject to reduction under 

22 sections 5304 and 5305 of title 38, but only to the 

23 extent that the amount of the member’s retired pay 

24 under chapter 61 of this title exceeds the amount 

equal to 21 25 ⁄2 percent of the member’s years of credVerDate Nov 24 2008 22:25 Jan 27, 2010 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H4525.IH H4525

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1 itable service multiplied by the member’s retired pay 

2 base under section 1406(b)(1) or 1407 of this title, 

3 whichever is applicable to the member.’’. 

4 (c) FULL CONCURRENT RECEIPT PHASE-IN.—Sub5 section (c) of such section is amended— 

6 (1) by striking ‘‘the second sentence of’’ in the 

7 matter preceding paragraph (1); and 

8 (2) in paragraph (1), by adding at the end the 

9 following new subparagraph: 

10 ‘‘(G) For a month for which the retiree re11 ceives veterans’ disability compensation for a 

12 disability rated as 40 percent or less or has a 

13 service-connected disability rated as zero per14 cent, $0.’’. 

15 (d) CLERICAL AMENDMENTS.— 

16 (1) SECTION HEADING.—The heading of such 

17 section is amended to read as follows: 

18 ‘‘§ 1414. Concurrent receipt of retired pay and vet19 erans’ disability compensation’’. 

20 (2) TABLE OF SECTIONS.—The table of sections 

21 at the beginning of chapter 71 of such title is 

22 amended by striking the item related to section 1414 

23 and inserting the following new item: 

‘‘1414. Concurrent receipt of retired pay and veterans’ disability compensation.’’. 


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1 (e) EFFECTIVE DATE.—The amendments made by 

2 this section shall take effect on January 1, 2011. 

3 (f) FUNDING OFFSET.—The Chairman of the Com4 mittee on the Budget of the House of Representatives 

5 shall provide the necessary adjustments in allocations, ag6 gregates, and other appropriate levels in the concurrent 

7 resolution on the budget for fiscal year 2011 to implement 

8 this section and the amendments made by this section. 

Æ 


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