SEC. 2. PAYMENT IN LIEU OF A COST-OF-LIVING ADJUST-
MENT TO RECIPIENTS OF SOCIAL SECURITY, 
SUPPLEMENTAL SECURITY INCOME, RAIL-
ROAD RETIREMENT BENEFITS, AND VET-
ERANS DISABILITY COMPENSATION OR PEN-
SION BENEFITS. 
(a) AUTHORITY TO MAKE PAYMENTS.— 
(1) ELIGIBILITY.— 
(A) IN GENERAL.—The Secretary of the 
Treasury shall disburse, out of any funds in the 
Treasury of the United States not otherwise ap-
propriated, a cash payment equal to $250 for 
each non-COLA year of a program providing 
benefit payments described in clause (i), (ii), or 
(iii) of subparagraph (C) or in subparagraph 
(D) to each individual who, for any month dur-
ing such year, is entitled to such benefit pay-
ment. 
(B) NON-COLA YEAR.—For purposes of 
this section, the term ‘‘non-COLA year’’ means, 
in connection with a program referred to in 
subparagraph (A), a 12-month period for 
which— 
(i) a cost-of-living adjustment is gen-
erally provided under such program in re-
lation to an index specified in section 
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215(i) of the Social Security Act (42 
U.S.C. 415(i)); and 
(ii) such an adjustment does not take 
effect by reason of the performance of such 
index. 
(C) BENEFIT PAYMENT DESCRIBED.—For 
purposes of subparagraph (A): 
(i) TITLE II BENEFIT.—A benefit pay-
ment described in this clause is a monthly 
insurance benefit payable (without regard 
to sections 202(j)(1) and 223(b) of the So-
cial Security Act (42 U.S.C. 402(j)(1), 
423(b)) under— 
(I) section 202(a) of such Act 
(42 U.S.C. 402(a)); 
(II) section 202(b) of such Act 
(42 U.S.C. 402(b)); 
(III) section 202(c) of such Act 
(42 U.S.C. 402(c)); 
(IV) section 202(d)(1)(B)(ii) of 
such 
Act 
(42 
U.S.C. 
402(d)(1)(B)(ii)); 
(V) section 202(e) of such Act 
(42 U.S.C. 402(e)); 
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(VI) section 202(f) of such Act 
(42 U.S.C. 402(f)); 
(VII) section 202(g) of such Act 
(42 U.S.C. 402(g)); 
(VIII) section 202(h) of such Act 
(42 U.S.C. 402(h)); 
(IX) section 223(a) of such Act 
(42 U.S.C. 423(a)); 
(X) section 227 of such Act (42 
U.S.C. 427); or 
(XI) section 228 of such Act (42 
U.S.C. 428). 
(ii) RAILROAD
RETIREMENT
BEN-
EFIT.—A benefit payment described in this 
clause is a monthly annuity or pension 
payment payable (without regard to section 
5(a)(ii) of the Railroad Retirement Act of 
1974 (45 U.S.C. 231d(a)(ii))) under— 
(I) section 2(a)(1) of such Act 
(45 U.S.C. 231a(a)(1)); 
(II) section 2(c) of such Act (45 
U.S.C. 231a(c)); 
(III) section 2(d)(1)(i) of such 
Act (45 U.S.C. 231a(d)(1)(i)); 
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(IV) section 2(d)(1)(ii) of such 
Act (45 U.S.C. 231a(d)(1)(ii)); 
(V) section 2(d)(1)(iii)(C) of such 
Act to an adult disabled child (45 
U.S.C. 231a(d)(1)(iii)(C)); 
(VI) section 2(d)(1)(iv) of such 
Act (45 U.S.C. 231a(d)(1)(iv)); 
(VII) section 2(d)(1)(v) of such 
Act (45 U.S.C. 231a(d)(1)(v)); or 
(VIII) section 7(b)(2) of such Act 
(45 U.S.C. 231f(b)(2)) with respect to 
any of the benefit payments described 
in clause (i) of this subparagraph. 
(iii) VETERANS BENEFIT.—A benefit 
payment described in this clause is a com-
pensation or pension payment payable 
under— 
(I) section 1110, 1117, 1121, 
1131, 1141, or 1151 of title 38, 
United States Code; 
(II) section 1310, 1312, 1313, 
1315, 1316, or 1318 of title 38, 
United States Code; 
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(III) section 1513, 1521, 1533, 
1536, 1537, 1541, 1542, or 1562 of 
title 38, United States Code; or 
(IV) section 1805, 1815, or 1821 
of title 38, United States Code, 
to a veteran, surviving spouse, child, or 
parent as described in paragraph (2), (3), 
(4)(A)(ii), or (5) of section 101, title 38, 
United States Code. 
(D) SSI CASH
BENEFIT
DESCRIBED.—A 
SSI cash benefit described in this subparagraph 
is a cash benefit payable under section 1611 
(other than under subsection (e)(1)(B) of such 
section) or 1619(a) of the Social Security Act 
(42 U.S.C. 1382, 1382h). 
(2) REQUIREMENT.—A payment shall be made 
under paragraph (1) only to individuals who reside 
in 1 of the 50 States, the District of Columbia, 
Puerto Rico, Guam, the United States Virgin Is-
lands, American Samoa, or the Northern Mariana 
Islands, or who are utilizing a foreign or domestic 
Army Post Office, Fleet Post Office, or Diplomatic 
Post Office address. For purposes of the preceding 
sentence, the determination of the individual’s resi-
dence shall be based on the address of record, as of 
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the date of certification under subsection (b) for a 
payment under this section under a program speci-
fied in paragraph (1). 
(3) NO
DOUBLE
PAYMENTS.—An individual 
shall be paid only 1 payment for any non-COLA 
year under this section, regardless of whether the in-
dividual is entitled to, or eligible for, more than 1 
benefit or cash payment described in paragraph (1). 
(4) LIMITATION.—A payment under this section 
shall not be made (or, in the case of subparagraph 
(D), shall not be due)— 
(A) in the case of an individual entitled to 
a benefit specified in paragraph (1)(B)(i) or 
paragraph (1)(B)(ii)(VIII) if, for any month 
within the 12-month period ending with the 
month of payment, such individual’s benefit 
under such paragraph was not payable by rea-
son of subsection (x) or (y) of section 202 of 
the Social Security Act (42 U.S.C. 402) or sec-
tion 1129A of such Act (42 U.S.C. 1320a–8a); 
(B) in the case of an individual entitled to 
a benefit specified in paragraph (1)(B)(iii) if, 
for any month within the 12-month period end-
ing with the month of payment, such individ-
ual’s benefit under such paragraph was not 
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payable, or was reduced, by reason of section 
1505, 5313, or 5313B of title 38, United 
States Code; 
(C) in the case of an individual entitled to 
a benefit specified in paragraph (1)(C) if, for 
any month within the 12-month period ending 
with the month of payment, such individual’s 
benefit under such paragraph was not payable 
by reason of subsection (e)(1)(A) or (e)(4) of 
section 1611 (42 U.S.C. 1382) or section 
1129A of such Act (42 U.S.C. 1320a–8a); or 
(D) in the case of any individual whose 
date of death occurs— 
(i) before the date of the receipt of 
the payment; or 
(ii) in the case of a direct deposit, be-
fore the date on which such payment is de-
posited into such individual’s account. 
In the case of any individual whose date of 
death occurs before a payment is negotiated (in 
the case of a check) or deposited (in the case 
of a direct deposit), such payment shall not be 
due and shall not be reissued to the estate of 
such individual or to any other person. 
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(5) TIMING AND MANNER OF PAYMENTS.—The 
Secretary of the Treasury shall commence disbursing 
payments under this section at the earliest prac-
ticable date for any non-COLA year prior to April 
1 following such year. The Secretary of the Treasury 
may disburse any payment electronically to an indi-
vidual in such manner as if such payment was a 
benefit payment or cash benefit to such individual 
under the applicable program described in subpara-
graph (B) or (C) of paragraph (1). 
(b) IDENTIFICATION OF RECIPIENTS.—The Commis-
sioner of Social Security, the Railroad Retirement Board, 
and the Secretary of Veterans Affairs shall certify the in-
dividuals entitled to receive payments under this section 
for each non-COLA year and provide the Secretary of the 
Treasury with the information needed to disburse such 
payments. A certification of an individual shall be unaf-
fected by any subsequent determination or redetermina-
tion of the individual’s entitlement to, or eligibility for, a 
benefit specified in subparagraph (B) or (C) of subsection 
(a)(1) (except that such certification shall be affected by 
a determination that an individual is an individual de-
scribed in subparagraph (A), (B), (C), or (D) of sub-
section (a)(4) during a period described in such subpara-
graphs). 
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(c) TREATMENT OF PAYMENTS.— 
(1) PAYMENT TO BE DISREGARDED FOR PUR-
POSES OF ALL FEDERAL AND FEDERALLY ASSISTED 
PROGRAMS.—A payment under subsection (a) shall 
not be regarded as income and shall not be regarded 
as a resource for the month of receipt and the fol-
lowing 9 months, for purposes of determining the 
eligibility of the recipient (or the recipient’s spouse 
or family) for benefits or assistance, or the amount 
or extent of benefits or assistance, under any Fed-
eral program or under any State or local program fi-
nanced in whole or in part with Federal funds. 
(2) PAYMENT NOT CONSIDERED INCOME FOR 
PURPOSES OF TAXATION.—A payment under sub-
section (a) shall not be considered as gross income 
for purposes of the Internal Revenue Code of 1986. 
(3) PAYMENTS
PROTECTED
FROM
ASSIGN-
MENT.—The 
provisions 
of 
sections 
207 
and 
1631(d)(1) of the Social Security Act (42 U.S.C. 
407, 1383(d)(1)), section 14(a) of the Railroad Re-
tirement Act of 1974 (45 U.S.C. 231m(a)), and sec-
tion 5301 of title 38, United States Code, shall 
apply to any payment made under subsection (a) as 
if such payment was a benefit payment or cash ben-
efit to such individual under the applicable program 
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described in subparagraph (B) or (C) of subsection 
(a)(1). 
(4) PAYMENTS SUBJECT TO OFFSET.—Notwith-
standing paragraph (3)— 
(A) any payment made under this section 
shall, in the case of a payment of a direct de-
posit which is made after the date of the enact-
ment of this Act, be subject to the reclamation 
provisions under subpart B of part 210 of title 
31, Code of Federal Regulations (relating to 
reclamation of benefit payments); and 
(B) any payment made under this section 
shall not, for purposes of section 3716 of title 
31, United States Code, be considered a benefit 
payment or cash benefit made under the appli-
cable program described in subparagraph (B) 
or (C) of subsection (a)(1), and all amounts 
paid shall be subject to offset to collect delin-
quent debts. 
(d) PAYMENT TO REPRESENTATIVE PAYEES AND FI-
DUCIARIES.— 
(1) IN GENERAL.—In any case in which an in-
dividual who is entitled to a payment under sub-
section (a) and whose benefit payment or cash ben-
efit described in paragraph (1) of that subsection is 
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paid to a representative payee or fiduciary, the pay-
ment under subsection (a) shall be made to the indi-
vidual’s representative payee or fiduciary and the en-
tire payment shall be used only for the benefit of the 
individual who is entitled to the payment. 
(2) APPLICABILITY.— 
(A) PAYMENT ON THE BASIS OF A TITLE 
II OR SSI BENEFIT.—Section 1129(a)(3) of the 
Social Security Act (42 U.S.C. 1320a–8(a)(3)) 
shall apply to any payment made on the basis 
of an entitlement to a benefit specified in para-
graph (1)(B)(i) or (1)(C) of subsection (a) in 
the same manner as such section applies to a 
payment under title II or XVI of such Act. 
(B) PAYMENT ON THE BASIS OF A RAIL-
ROAD
RETIREMENT
BENEFIT.—Section 13 of 
the Railroad Retirement Act (45 U.S.C. 231l) 
shall apply to any payment made on the basis 
of an entitlement to a benefit specified in para-
graph (1)(B)(ii) of subsection (a) in the same 
manner as such section applies to a payment 
under such Act. 
(C) PAYMENT ON THE BASIS OF A VET-
ERANS
BENEFIT.—Sections 5502, 6106, and 
6108 of title 38, United States Code, shall 
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apply to any payment made on the basis of an 
entitlement to a benefit specified in paragraph 
(1)(B)(iii) of subsection (a) in the same manner 
as those sections apply to a payment under that 
title. 
Æ 
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