I 

116TH CONGRESS 

1ST SESSION H. R. 4360 

To amend title 38, United States Code, to improve the due process accorded 

veterans with respect to recovery of overpayments made by the Department and other amounts owed by veterans to the United States, to 

improve the processing of veterans benefits by the Department of Veterans Affairs, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

SEPTEMBER 17, 2019 

Mr. KIM (for himself and Mr. HILL of Arkansas) introduced the following bill; 

which was referred to the Committee on Veterans’ Affairs 

A BILL 

To amend title 38, United States Code, to improve the 

due process accorded veterans with respect to recovery 

of overpayments made by the Department and other 

amounts owed by veterans to the United States, to improve the processing of veterans benefits by the Department of Veterans Affairs, 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. SHORT TITLE. 

4 This Act may be cited as the ‘‘VA Overpayment Ac5 countability Act’’. 


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1 SEC. 2. REPAIR OF CREDIT. 

2 (a) IN GENERAL.—Chapter 53 of title 38, United 

3 States Code, is amended by adding at the end the fol4 lowing new section: 

5 ‘‘§ 5320. Correction of erroneous information sub6 mitted to consumer reporting agencies 

7 ‘‘(a) CORRECTING ERRORS BY THE DEPARTMENT.— 

8 In any case in which the Secretary finds that the Depart9 ment has submitted erroneous information to a consumer 

10 reporting agency about the indebtedness of any person 

11 who has been determined by the Secretary to be indebted 

12 to the United States by virtue of the participation of that 

13 person in a benefits program administered by the Sec14 retary, the Secretary shall— 

15 ‘‘(1) instruct the consumer reporting agency to 

16 remove such erroneous information from the con17 sumer report of such person or take such other ac18 tion as may be required to ensure that such erro19 neous information is not included in the report of 

20 such person; and 

21 ‘‘(2) transmit to the consumer reporting agency 

22 such information as the consumer reporting agency 

23 may require to take such appropriate actions. 

24 ‘‘(b) CORRECTING ERRORS BY DEBT COLLECTORS.— 

25 In any case in which the Secretary finds that a debt col26 lector acting on behalf of the Department has submitted 


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1 erroneous information to a consumer reporting agency 

2 about the indebtedness of any person who has been deter3 mined by the Secretary to be indebted to the United States 

4 by virtue of the participation of that person in a benefits 

5 program administered by the Secretary, the Secretary 

6 shall instruct the debt collector to request the consumer 

7 reporting agency remove such erroneous information from 

8 the consumer report of such person or take such other 

9 action as may be required to ensure such erroneous infor10 mation is not included in the report of such person. 

11 ‘‘(c) NOTICE.—Not later than 60 days after the date 

12 on which the Secretary issues an instruction under sub13 section (a)(1) or (b) with respect to a person, the Sec14 retary shall notify the person that the Secretary issued 

15 such instruction. 

16 ‘‘(d) DEFINITIONS.—In this section: 

17 ‘‘(1) The terms ‘consumer report’ and ‘con18 sumer reporting agency’ have the meanings given 

19 such terms in section 603 of the Fair Credit Report20 ing Act (15 U.S.C. 1681a). 

21 ‘‘(2) The term ‘debt collector’ has the meaning 

22 given such term in section 803 of the Fair Debt Col23 lection Practices Act (15 U.S.C. 1692a).’’. 


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1 (b) CLERICAL AMENDMENT.—The table of sections 

2 at the beginning of chapter 53 of such title is amended 

3 by adding at the end the following new item: 

‘‘5320. Correction of erroneous information submitted to consumer reporting 

agencies.’’. 

4 (c) EFFECTIVE DATE.—The amendments made by 

5 this section shall take effect on the date of the enactment 

6 of this Act and shall apply with respect to deductions 

7 made under section 5314 of such title, administrative 

8 costs under section 5315 of such title, and suits filed 

9 under section 5316 of such title on or after such date. 

10 SEC. 3. IMPROVED PROCESSING OF BENEFITS BY DEPART11 MENT OF VETERANS AFFAIRS. 

12 The Secretary of Veterans Affairs shall improve the 

13 information technology of the Department of Veterans Af14 fairs (including the eBenefits system or successor system) 

15 as may be necessary to achieve the following: 

16 (1) NOTIFICATION OF DEBTS INCURRED.—The 

17 Secretary shall provide a notification to a person 

18 who— 

19 (A) is entitled to a payment from the Sec20 retary under a benefits program administered 

21 by the Secretary; 

22 (B) incurs a debt to the United States 

23 under that benefits program; and 

24 (C) elects to receive such notifications. 


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1 (2) REVIEW OF INFORMATION REGARDING DE2 PENDENTS.—A person entitled to a payment from 

3 the Secretary under a benefits program administered 

4 by the Secretary may review information relating to 

5 dependents of that person. 

6 (3) TRACKING METRICS.—The Secretary shall 

7 be able to track— 

8 (A) the number and amount of payments 

9 made by the Secretary to a person entitled to 

10 a payment from the Secretary under a benefits 

11 program administered by the Secretary who in12 curs a debt to the United States under such 

13 program; 

14 (B) the average debt to the United States 

15 incurred by a person described in subparagraph 

16 (A); 

17 (C) how frequently the Secretary approves 

18 and denies applications for relief under section 

19 5302(a) of title 38, United States Code; and 

20 (D) such other metrics the Secretary deter21 mines appropriate. 


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1 SEC. 4. AUDIT OF ERRONEOUS PAYMENTS BY VETERANS 

2 BENEFITS ADMINISTRATION; PLAN OF COR3 RECTION. 

4 (a) AUDIT.—Not later than 180 days after the date 

5 of the enactment of this Act, the Secretary of Veterans 

6 Affairs shall complete an audit to determine the following: 

7 (1) The frequency by which the Department of 

8 Veterans Affairs makes an error that results in a 

9 payment to a person by virtue of such person’s par10 ticipation in a benefits program administered by the 

11 Secretary that such person is not entitled to or in 

12 an amount that exceeds the amount to which the 

13 person is entitled. 

14 (2) Whether and to what degree vacant posi15 tions in the Veterans Benefits Administration affect 

16 such frequency. 

17 (b) PLAN.—Not later than 30 days after the comple18 tion of the audit under subsection (a), the Secretary of 

19 Veterans Affairs shall submit to the Committees on Vet20 erans’ Affairs of the Senate and House of Representatives 

21 a plan and description of resources necessary to align in22 formation technology systems to ensure that errors de23 scribed in subsection (a)(1) are not the result of commu24 nication or absence of communication between information 

25 technology systems. 

Æ 


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