A bill to amend title 38, United States Code, to expand the requirements for reissuance of veterans benefits in cases of misuse of benefits by certain fiduciaries to include misuse by all fiduciaries, and to improve oversight of fiduciaries, and for other purposes.

To amend title 38, United States Code, to expand the requirements for reissuance of veterans benefits in cases of misuse of benefits by certain fiduciaries to include misuse by all fiduciaries, to improve oversight of fiduciaries, and for other purposes. 1. Expansion of requirements for reissuance of veterans benefits in cases of misuse of benefits by certain fiduciaries to include misuse by all fiduciaries Section 6107 of title 38, United States Code, is amended— (1) by striking subsections (a) and (b) and inserting the following new subsection (a): (a) Reissuance of misused benefits (1) In any case in which a fiduciary misuses all or part of an individual's benefit paid to such fiduciary, the Secretary shall pay to the beneficiary or the beneficiary's successor fiduciary an amount equal to the amount of such benefit so misused. (2) In any case in which the Secretary obtains recoupment from a fiduciary who has misused benefits, the Secretary shall promptly remit payment of the recouped amounts to the beneficiary or the beneficiary's successor fiduciary as the case may be to the extent that such amounts have not been reissued under paragraph (1). ; (2) in subsection (d), by striking or (b) (3) by redesignating subsections (c) and (d) as subsections (b) and (c), respectively. 2. Improved access to financial records for purposes of oversight by Department of Veterans Affairs of fiduciaries Section 5502 of title 38, United States Code, is amended by adding at the end the following new subsection: (f) (1) The Secretary shall require any person or entity appointed or recognized as a fiduciary for a Department beneficiary under this section to provide authorization for the Secretary to obtain (subject to the cost reimbursement requirements of section 1115(a) of the Right to Financial Privacy Act of 1978 ( 12 U.S.C. 3415(a) (A) for the administration of a program administered by the Secretary; or (B) in order to safeguard the beneficiary's benefits against neglect, misappropriation, misuse, embezzlement, or fraud. (2) Notwithstanding section 1104(a)(1) of such Act ( 12 U.S.C. 3404(a)(1) (3) The authorization provided by the fiduciary under paragraph (1) shall be a condition of appointment as a fiduciary. (4) (A) An authorization obtained by the Secretary pursuant to this subsection shall be considered to meet the requirements of the Right to Financial Privacy Act of 1978 ( 12 U.S.C. 3401 et seq. 12 U.S.C. 3403(a) 12 U.S.C. 3404(a)(1) (B) The certification requirements of section 1103(b) of such Act ( 12 U.S.C. 3403(b) (C) A request for a financial record by the Secretary pursuant to an authorization provided by a fiduciary under this subsection is deemed to meet the requirements of section 1104(a)(3) of such Act ( 12 U.S.C. 3404(a)(3) 12 U.S.C. 3402 (D) The Secretary shall inform any person or entity who provides authorization under this subsection of the duration and scope of the authorization. (E) (i) If a fiduciary of a Department beneficiary refuses to provide or revokes any authorization to permit the Secretary to obtain from any financial institution any financial record concerning benefits paid by the Secretary for such beneficiary, the Secretary may, on that basis, revoke the appointment or the recognition of the fiduciary for such beneficiary and for any other Department beneficiary for whom such fiduciary has been appointed or recognized. (ii) If an appointment or recognition of a fiduciary is revoked under clause (i), benefits may be paid as provided in subsection (d). (5) For purposes of section 1113(d) of such Act ( 12 U.S.C. 3413(d) (6) In this subsection: (A) The term fiduciary (B) The term financial institution 12 U.S.C. 3401 (C) The term financial record .

Summary: This bill authorizes the Department of Veterans Affairs (VA) to reissue veterans benefits to a beneficiary in all cases of fiduciary misuse. The VA shall pay the beneficiary or the successor fiduciary an amount equal to the misused benefits. VA access to fiduciary-held financial accounts shall be increased by requiring any fiduciary to authorize the VA to obtain any financial record held by an institution regarding the fiduciary or the beneficiary whenever the VA determines that such record is necessary: for the administration of a VA program; or to safeguard the beneficiary's benefits against neglect, misappropriation, embezzlement, or fraud.