[Federal Register Volume 60, Number 34 (Tuesday, February 21, 1995)]
[Rules and Regulations]
[Pages 9626-9627]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-4165]



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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 3

RIN 2900-AH29


Reductions and Discontinuances (Federal Employees' Compensation)

AGENCY: Department of Veterans Affairs.

ACTION: Final rule.

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SUMMARY: This document amends Department of Veterans Affairs (VA) 
adjudication regulations concerning reduction or discontinuance of VA 
benefits when a payee is also entitled to benefits under the Federal 
Employees' Compensation Act (FECA) for the same injury or death for 
which VA payment is being made. The intended effect of this amendment 
is to bring VA regulations into conformance with the statutory 
prohibition against concurrent receipt of VA benefits and FECA benefits 
for the same injury or death.

EFFECTIVE DATE: This amendment is effective February 21, 1995.

FOR FURTHER INFORMATION CONTACT: Lorna Weston, Consultant, Regulations 
Staff, Compensation and Pension Service, Veterans Benefits 
Administration, 810 Vermont Avenue, NW., Washington, DC 20420, 
telephone (202) 273-7210.

SUPPLEMENTARY INFORMATION: 5 U.S.C. 8116(a) prohibits a federal 
employee who is receiving benefits for a work-related injury or death 
under FECA from receiving benefits from VA for the same injury or 
death.
    Currently the adjudication regulations at 38 CFR 3.500(e) specify 
that the effective date for reduction of VA benefits based on an 
election of FECA benefits will be the end of the month following the 
month in which notice is received from the Department of Labor's Office 
of Workers' Compensation Programs that a VA payee has elected FECA 
benefits. The regulations do not prohibit concurrent payment of VA and 
FECA benefits. Thus, in those cases where FECA payment is authorized 
prior to a proper election and discontinuance of VA benefits, a 
potential for duplicate payment exists.
    VA is amending 38 CFR 3.500(e) to provide that the effective date 
for reduction or discontinuance of VA benefits in cases where FECA 
benefits are elected for an injury or death which is the basis of VA 
payment will be the day preceding the date on which the FECA award 
became effective.
    The final rule is made effective upon publication, since it makes 
changes merely to reflect statutory requirements.
    The Secretary certifies that this final rule will not have a 
significant economic impact on a substantial number of small entities 
as they are defined in the Regulatory Flexibility Act, 5 U.S.C. 601-
612. This rule will directly affect VA beneficiaries, but will not 
directly affect small business. Therefore, pursuant to 5 U.S.C. 605(b), 
this final regulation is exempt from the [[Page 9627]] initial and 
final regulatory flexibility analyses requirements of sections 603 and 
604.

    The Catalogue of Federal Domestic Assistance program numbers are 
64.109 and 64.110.

List of Subjects in 38 CFR Part 3

    Administrative practice and procedure, Claims, Health care, 
Individuals with disabilities, Pensions, Veterans.

    Approved: February 10, 1995.
Jesse Brown,
Secretary of Veterans Affairs.

    For the reasons set out in the preamble, 38 CFR part 3 is amended 
as set forth below:

PART 3--ADJUDICATION

Subpart A--Pension, Compensation, and Dependency and Indemnity 
Compensation

    1. The authority citation for part 3, subpart A continues to read 
as follows:

    Authority: 38 U.S.C. 501(a), unless otherwise noted.

    2. In Sec. 3.500, paragraph (e) is amended by removing the first 
sentence and adding in its place ``The day preceding the date the award 
of benefits under the Federal Employees' Compensation Act became 
effective.''; and by adding an authority citation to read as follows:


Sec. 3.500  General.

* * * * *
    (e) * * *

(Authority: 5 U.S.C. 8116)
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[FR Doc. 95-4165 Filed 2-17-95; 8:45 am]
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