Veterans Fiduciary Reform and Honoring Noble Service Act

Bill: 112-hr-5948
Sponsor: Rep. Johnson, Bill [R-OH-6]
Introduced: 2012-06-12 in the House
Policy area: Armed Forces and National Security
Subjects: Administrative remedies
Cemeteries and funerals
Computer security and identity theft
Congressional oversight
Criminal justice information and records
Department of Veterans Affairs
Disability assistance
Financial services and investments
Fraud offenses and financial crimes
Government information and archives
Government studies and investigations
Internet and video services
Internet, web applications, social media
Lawyers and legal services
Legal fees and court costs
Veterans' education, employment, rehabilitation
Veterans' loans, housing, homeless programs
Veterans' medical care
Veterans' pensions and compensation

Summary:
action_date: 2012-06-12
text: 
Veterans Fiduciary Reform Act of 2012 - Requires that, in any case in which the Secretary of Veterans Affairs (VA) must determine whether a VA beneficiary needs a fiduciary for purposes of the administration of VA laws and benefits, the Secretary shall consider the following when adjudicating whether such beneficiary should be considered mentally incapacitated or incompetent: (1) any such determination made by a court; and (2) an evaluation made by a medical professional, taking into account the role of financial management in the beneficiary's rehabilitation. Allows an individual determined to be mentally incapacitated or incompetent to appeal such determination. Requires the Secretary, in hearing such appeal, to consider court determinations, medical evidence, and evidence offered by the appellant. Allows a person determined to be competent and for whom a fiduciary has been appointed to file a claim for the termination of such fiduciary. Directs the Secretary to maintain a list of state and local agencies and nonprofit social service agencies that are qualified to act as a fiduciary. Requires a fiduciary to use a secure, encrypted connection when conducting Internet activity relating to financial information of the beneficiary.
 
Directs the Secretary, in inquiring into or investigating a proposed fiduciary, to conduct: (1) a face-to-face interview within 30 days after the inquiry or investigation begins, and (2) a background check. Requires each fiduciary to disclose the number of beneficiaries that the fiduciary acts on behalf of. Requires the Secretary to: (1) maintain records of any person who has previously served as a fiduciary and had such status revoked, and (2) notify the beneficiary within 14 days after learning that the fiduciary has been convicted of a crime.
 
Directs the Secretary, upon reason to believe that a fiduciary may be misusing all or part of a beneficiary benefit, to: (1) conduct a thorough investigation, and (2) report results to the Attorney General and the head of each federal department or agency that pays a beneficiary benefit to such fiduciary. Allows the Secretary to require that a fiduciary serve only with respect to VA benefits, with exceptions.
 
Requires each Veterans Benefits Administration regional office to maintain specified fiduciary information.
 
Provides for the predesignation of a fiduciary.
 
Allows a beneficiary for whom the Secretary has appointed a fiduciary to file a claim for removal and appointment of a new beneficiary. Requires the continuation of benefits during such period.
 
Provides for fiduciary commissions.
 
Requires (under current law, permits) a fiduciary to file an annual accounting of the administration of beneficiary benefits.
 
Requires a report from the Secretary to the congressional veterans committees on the implementation of this Act.

action_date: 2012-09-19
text: 
Veterans Fiduciary Reform and Honoring Noble Service Act - (Sec. 2) Provides that, when in the opinion of the Secretary of Veterans Affairs (VA) a temporary fiduciary is needed to protect the benefits of a VA beneficiary while a determination of incompetency is being made or appealed or a fiduciary is appealing a determination of misuse, the Secretary may appoint one or more temporary fiduciaries for up to 120 days. 
 
Requires the Secretary to provide a written statement to a beneficiary determined by the Secretary to be mentally incompetent for purposes of appointing a fiduciary. Allows the beneficiary to appeal such determination. Allows a beneficiary for whom the Secretary appoints a fiduciary to, at any time, request the Secretary to remove such fiduciary and appoint a new one. Requires the Secretary to comply with any such request made in good faith. Prohibits any such removal or new appointment from delaying or interrupting the beneficiary's receipt of benefits. Requires a appointed fiduciary appointed by the Secretary to act independently of the VA and in the interest of the beneficiary.
 
Provides for the predesignation of a fiduciary. Provides that, if a beneficiary does not designate a fiduciary, the Secretary shall appoint, to the extent possible, a fiduciary who is: (1) a relative, (2) a guardian, or (3) authorized to act on their behalf under a durable power of attorney. Provides for: (1) fiduciary commissions when necessary; and (2) the temporary payment of benefits to a person having custody and control of an incompetent or minor beneficiary, to be used solely for the benefit of the beneficiary.
 
Directs the Secretary to maintain a list of state and local agencies and nonprofit social service agencies that are qualified to act as a fiduciary.
 
Requires any certification of a fiduciary to be made on the basis of an inquiry or investigation of his or her fitness and qualifications. Requires the investigation to include a face-to-face interview and a background check. Allows a person convicted of a federal or state offense to serve as a fiduciary only when the Secretary finds such person to be appropriate under the circumstances. Requires each fiduciary to disclose the number of beneficiaries that the fiduciary acts on behalf of. Requires the Secretary to: (1) maintain records of any person who has previously served as a fiduciary and had such status revoked, and (2) notify the beneficiary within 14 days after learning that the fiduciary has been convicted of a crime.
 
Directs the Secretary, upon reason to believe that a fiduciary may be misusing all or part of a beneficiary benefit, to: (1) conduct a thorough investigation, and (2) report results to the Attorney General and the head of each federal department or agency that pays a beneficiary benefit to such fiduciary. Requires each Veterans Benefits Administration regional office to maintain specified fiduciary information.
 
Requires (under current law, permits) a fiduciary to file an annual accounting of the administration of beneficiary benefits. Requires the Secretary to conduct annual random audits of fiduciaries who receive a commission for such service. Requires fiduciary repayment of misused benefits.
 
Requires a report from the Secretary to the congressional veterans committees on the implementation of this section.
 
(Sec. 3) Authorizes the Secretary of the Army to establish at Arlington National Cemetery (Virginia) a Place of Remembrance for the interment of the unidentified remains of members of the Armed Forces who died while on active duty in a war or contingency operation, or in the line of duty.
 
(Sec. 4) Directs the Secretary to furnish an appropriate casket or urn for the burial in a national cemetery of a deceased veteran with no known next of kin.
 
(Sec. 5) Requires the Secretary, in the case of a deceased veteran with no apparent next of kin and without sufficient resources to cover funeral and burial expenses, to ensure that the entity responsible for transporting the body to a national cemetery for burial notifies the VA as to whether such veteran was cremated and steps taken to ensure that such veteran has no next of kin.
 
(Sec. 6) Directs the Secretary to report to the veterans committees on VA compliance with industry standards for caskets and urns.
 
(Sec. 7) Excludes from interment or memorialization in a national cemetery any person convicted of a tier III sex offender offense and sentenced to a minimum of life imprisonment.
 
(Sec. 8) Directs the Secretary, with respect to the interment, funeral, memorial service, or ceremony (service) of a deceased veteran at a national cemetery, to ensure that: (1) the expressed wishes of the next of kin or other agent of such veteran are given deference when determining whether such service affects the safety and security of the cemetery and its visitors; (2) all appropriate public cemetery areas may be used by the family for contemplation, prayer, mourning, or reflection; and (3) during such service, the family may display any chosen religious or other symbols.
 
(Sec. 9) Directs the Secretary to provide veterans' case-tracking information access to employees of a Member of Congress or of a state or local governmental agency who assist veterans with benefit claims. Directs the Secretary to ensure that such access does not: (1) allow the employee to modify the data in the case-tracking system, and (2) include access to medical records.
 
(Sec. 10) Requires the Secretary, in the event of a data breach with respect to sensitive personal information that is processed or maintained by the Secretary, to notify Congress and each individual whose sensitive personal information is involved in the data breach. Directs the Secretary to make such notifications within: (1) 10 business days, or (2) 15 business days upon determining that providing the earlier notification is not feasible due to circumstances necessary to accurately identify the individuals whose sensitive personal information is involved or to prevent further breach or unauthorized disclosure and reasonably restore the integrity of the data system.
 
 Requires such notification, in writing or by email or other electronic means, to include: (1) a description of the sensitive personal information involved, (2) a telephone number that the individual may use to contact the VA, (3) notice that the individual is entitled to receive certain credit protection services at no cost, (4) the toll-free contact telephone numbers and addresses for the major credit reporting agencies, and (5) a toll-free telephone number and website address to obtain identity theft information. Directs the Secretary to notify the general public concerning any data breach involving sensitive personal information within 10 business days or as soon as possible under the infeasibility exception, above.
 
(Sec. 11) Directs the Secretary to ensure that no VA employee who violates any federal civil law or regulation covered by the Federal Acquisition Regulation, or any internal VA policy, receives any retention incentive, payment, or award for or during the year of such violation.
 
(Sec. 12) Places a specified limit, for each of FY2013-FY2017, on the total amount of awards and bonuses for VA employees.


Legislative actions:
action_date: 2012-09-20
text: Received in the Senate and Read twice and referred to the Committee on Veterans' Affairs.
action_date: 2012-09-19
text: The title of the measure was amended. Agreed to without objection.
action_date: 2012-09-19
text: Motion to reconsider laid on the table Agreed to without objection.
action_date: 2012-09-19
text: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H6088-6092)
action_date: 2012-09-19
text: Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.(text: CR H6088-6092)
action_date: 2012-09-19
text: DEBATE - The House proceeded with forty minutes of debate on H.R. 5948.
action_date: 2012-09-19
text: Considered under suspension of the rules. (consideration: CR H6088-6094)
action_date: 2012-09-19
text: Mr. Miller (FL) moved to suspend the rules and pass the bill, as amended.
action_date: 2012-09-19
text: Placed on the Union Calendar, Calendar No. 490.
action_date: 2012-09-19
text: Reported (Amended) by the Committee on Veterans' Affairs. H. Rept. 112-678.
action_date: 2012-09-19
text: Reported (Amended) by the Committee on Veterans' Affairs. H. Rept. 112-678.
action_date: 2012-07-11
text: Ordered to be Reported (Amended) by Voice Vote.
action_date: 2012-07-11
text: Committee Consideration and Mark-up Session Held.
action_date: 2012-06-27
text: Forwarded by Subcommittee to Full Committee (Amended) by Voice Vote .
action_date: 2012-06-27
text: Subcommittee Consideration and Mark-up Session Held.
action_date: 2012-06-20
text: Subcommittee Hearings Held.
action_date: 2012-06-18
text: Referred to the Subcommittee on Oversight and Investigations.
action_date: 2012-06-12
text: Referred to the House Committee on Veterans' Affairs.
action_date: 2012-06-12
text: Introduced in House
action_date: 2012-06-12
text: Introduced in House