An Act to amend title 38, United States Code, to provide increases in the rates of disability and dependency and indemnity compensation for disabled veterans and their survivors, to provide for the payment of benefits to surviving spouses and children of certain totally disabled service-connected disabled veterans, to increase the amounts paid for funeral and burial expenses of deceased veterans, and for other purposes.
PL 95-479 (H.R.11886), enacted 10/18/1978

92 STAT. 1560 
PUBLIC LAW 95-479—OCT. 18, 1978 
Oct. 18, 1978 
[H.R. 11886] 
Veterans' 
Disability 
Compensation 
and Survivors' 
Benefits Act of 
1978. 
38 u s e 101 note. 
Public Law 95-479 
95th Congress 
An Act 
To amend title 38, United States Code, to provide increases in the rates of dis-
ability and dependency and indemnity compensation for disabled veterans 
and their survivors, to provide for the payment of benefits to surviving spouses 
and children of certain totally disabled service-connected disabled veterans, 
to increase the amounts paid for funeral and burial expenses of deceased 
veterans, and for other purposes. 
Be it enacted hy the Senate and House of Representatives of the 
United States of America in Cmigress assembled^ That (a) this Act 
may be cited as the "Veterans' Disability Compensation and Survivors' 
Benefits Act of 1978". 
(b) Except as otherwise expressly provided, whenever in this Act 
an amendment or repeal is expressed in terms of an amendment to, or 
repeal of, a section or other provision, the reference shall be considered 
to be made to a section or other provision of title 38, United States 
Code. 
TITLE I—VETERANS' DISABILITY COMPENSATION 
BENEFITS 
RATES OF DISABILITY COMPENSATION 
38 use 314. 
SEC. 101. (a) Section 314 is amended— 
(I) by striking out "$41" in subsection (a) and inserting in 
lieu thereof "$44"; 
,., 
. . 
- 
(2) by striking out "$75" in subsection (b) and inserting in 
' ' 
^^ 
_ 
lieu thereof "$80"; 
(3) by striking out "$113" in subsection (c) and inserting in 
lieu thereof "$121"; 
(4) by striking out "$155" in subsection (d) and inserting in 
I 
Ji:j 
lieu thereof "$166"; 
tt 
(5) by striking out "$216" in subsection (e) and inserting in 
lieu thereof "$232"; 
(6) by striking out "$272" in subsection (f) and inserting in 
lieu thereof "$292"; 
(7) by striking out "$322" in subsection (g) and inserting in 
lieu thereof "$346"; 
(8) by striking out "$373" in subsection (h) and inserting in 
lieu thereof "$400"; 
(9) by striking out "$419" in subsection (i) and inserting in 
lieu thereof "$450"; 
(10) by striking out "754" in subsection (j) and inserting in 
J 
lieu thereof "$809"; 
(II) by striking out "$937" and "$1,312" in subsection (k) and 
inserting in lieu thereof "$1,005" and "$1,408", respectively; 
(12) by striking out "$937" in subsection (1) and inserting in 
lieu thereof "$1,005"; 
(13) by striking out "$1,032" in subsection (m) and inserting 
in lieu thereof "$1,107"; 
(14) by striking out "$1,172" in subsection (n) and inserting in 
lieu thereof "$1,258"; 
PUBLIC LAW 95-479—OCT. 18, 1978 
92 STAT. 1561 
(15) by striking out "$1,312" eacli place it appears in subsections 
(o) and (p) and inserting in lieu thereof "$1,408"; and 
(16) by striking out "$843" in subsection (s) and inserting 
in lieu thereof "$905". 
(b) Subsection (p) of section 314 (as amended by clause (15) of sub- 38 USC 314. 
section (a) of this section) is further amended by inserting before the 
semicolon a period and the following new sentence: "In the event the 
veteran has suffered the anatomical loss oi- loss of use, or a combination 
of anatomical loss and loss of use, of three extremities, the Administra-
tor shall allow the next higher rate or intermediate rate, but in no event 
in excess of $1,408". 
(c) Section 314(r) is amended by striking out the first sentence and 
inserting in lieu thereof the following new sentences: "Subject to sec-
tion 3203(e) of this title, if any veter-an, otherwise entitled to the com- 38 USC 3203. 
pensatioji authorized under subsection (o) of this section or at the 
maximum rate authorized under subsection (p) of this section, is in 
need of regular aid and attendance, then, in addition to such compen-
sation under subsection (o) or (p) of this section— 
"(1) the veteran shall be paid a monthly aid and attendance 
allowance at the rate of $604; or 
" (2) if the veteran, in addition to such need for regular aid and 
attendance, is in need of a higher level of care, such veteran shall 
be paid a monthly aid and attendance allowance at the rate of 
$900, in lieu of tlie allowance authorized in clause (1) of this 
subsection, if the Administi-ator finds that the veteran, in the 
absence of the provision of such care, would require hospitaliza-
tion, nursing home care, or other residential institutional care. 
For the purposes of clause (2) of this subsection, need for a higher 
level of care shall be considered to be need for personal health-care 
services provided on a daily basis in the veteran's home by a person 
who is licensed to provide such services or who provides such serv-
ices under the regular supervision of a licensed health-care profes-
sional. The existence of the need for such care shall be determined by a 
physician employed by the Veterans' Administration or, in areas where 
no such physician is available, by a physican carrying out such func-
tion under contract or fee arr'angement based on an examination by 
such physician.". 
(d) Section 314 is amended by adding at the end thereof the 38 USC 314. 
following new subsection: 
"(t) (1) If the veteran (A) is entitled to receive compensation 
at any rate provided for under subsections (a) through (i) of this 
ti section and compensation under subsection (k) of this section, 
• 
(B) has suffered the loss or loss of use of an extremity as a result 
of a service-connected disability ratable at 40 per centum or more, 
f 
and (C) has suffered the loss or loss of use of the paired extremity 
as a result of a non-service-connected disability, not the result of 
the veteran's own willful misconduct, that would be rated, if 
service-connected, at 40 per centum or more, the monthly rate of 
compensation payable to such veteran shall be increased by $175. 
"(^2) If a veteran described in paragraph (1) of this subsection 
• receives any money or property of value pursuant to an award 
in a judicial proceeding based upon, or a settlement or compromise 
of, any cause of action for damages for the non-service-connected 
;, disability described in such paragraph, the increase in the rate 
92 STAT. 1562 
PUBLIC LAW 95-479—OCT. 18, 1978 
, 
of compensation otlierAvise payable under this subsection shall not 
be paid for any month following a month in which any such 
i; 
money or property is received until such time as the total of the 
amount of such increase that would otherwise have been payable 
hU: Jcii It - 
equals the total of the amount of any such money received and 
tlie fair market value of any such property received.". 
Rates of 
(e) The Administrator of Veterans' Affairs may adjust administra-
compensation. 
tively, consistent with the increases autliorized by the amendments 
^«iTQr^^'^"i°m 
^'^^^^ by this section, the rates of disability compensation payable to 
note 
^'"^''' 
persons within the purview of section 10 of Public Law 85-857 who 
are not in receipt of compensation payable pursuant to chapter 11 of 
38 use 301 et 
title 38, United States Code. 
seq. 
RATES o r ADDITIONAL COMPENSATION FOR DEPENDENTS 
38 use 315. 
SKC. 102. (a) Section315(1) isamended— 
(1) by striking out "$46" i)i clause (A) and inserting in lieu 
thereof "$49";_ 
(2) by striking out "$77" in clause (B) and inserting in lieu 
thereof "83"; 
(3) by striking out "$98" in clause (C) and inserting in lieu 
' 
thereof"$110"; 
(4) by striking out "$120" and "$22" in clause (D) and inserting 
;: 
in lieu thereof''$137" and "$27", respectively; 
" 
(5) by striking out "$30" in clause (Ej and inserting in lieu 
' 
thereof''$34"; 
(6) by striking out "$.52" in clause (F) and inserting in lieu 
thereof "$61"; 
(7) by striking out "$77" and '"$22" in clause (G) and inserting 
•' 
in lieu thereof "$88" and "$27". respectively; 
(8) by striking out "$37" in clause (H) and inserting in lieu 
thereof "$40"; 
(9) by striking out "$83" in clause (I) and inserting in lieu 
thereof "$89"; and 
(10) by striking out "$70" in clause (J) and inserting in lieu 
thereof "$75". 
(b) Section 315 is further amended by striking out "50 per centum" 
in the matter preceding paragraph (i) and in paragraph (2) and 
inserting in lieu thereof "30 per centum". 
CLOTHING ALLOWANCE FOR CERTAIN DISABLED VETERANS 
38 use 362. 
SEC. 103. Section 362 is amended by striking out "$203" and insert-
ing in lieu thereof "$218". 
. 
M :^ 
TITLE II—SURVIVORS' DEPENDENCY AND INDEMNITY 
COMPENSATION BENEFITS 
' O 
RATES OF DEPENDENCY AND INDEMNITY COMPENSATION 
'' 
- •' 
FOR SURVIVING SPOUSES 
38 use 411. 
SEC. 201. (a) Subsection (a) of section 411 is amended to read as 
follows: 
"(a) Dependency and indemnity compensation shall be paid to a 
surviving spouse, based on the pay grade of the persons upon whose 
PUBLIC LAW 95-479—OCT. 18, 1978 
92 STAT. 1563 
death entitlement is predicated, at monthly rates set forth in the 
following table: 
''Pay grade: 
Monthly rate "Pay grade: 
Monthly rate 
E-1 
§297 
W-4 
$426 
E-2 
307 
0-1 
376 
E-3 
314 
0-2 
388 
E-4 
334 
0-3 
416 
E-5 
343 
0-4 
439 
E-6 
351 
O-o 
484 
E-7 
368 
0-6 
544 
E-8 
388 
0-7 
590 
E-9 
'406 
0-8 
&46 
W-1 
376 
0-9 
694 
W-2 
391 
O-IO 
=760 
W-3 
402 
"1 If the veteran served as sergeant major of the Army^ senior enlisted advisor of the 
Xavy, chief master sergeant of the Air Force, sergeant major of the Marine Corps, or 
master chief petty officer of the Coast Guard, at the applicable time designated by section 
402 of this title, the surviving spouse's rate shall be $437. 
"2 If the veteran served as Chairman of the Joint Chiefs of Staff, Chief of Staff of the 
Army, Chief of Naval Operations. Chief of Staff of the Air Force or Commandant of the 
Marine Corps, at the applicable time designated by section 402 of this title, the surviving 
spouse's rate shall be $814.". 
(b) Subsection (b) of such section is amended by striking out 
'•$33'' and inserting in lieu thereof "$35". 
(c) Subsection (c) of such section is amended by striking out 
"$83" and inserting in lieu thereof "$89"'. 
(d) Such section is further amended by adding at the end thereof 
the following new subsection: 
''(d) The monthly rate of dependency and indemnity compensation 
])ayable to a sur\iving spouse shall be increased by $45 if the surviving 
spouse is, by reason of disability, permanently housebound but does 
not qualify for the aid and attendance allowance under subsection (c) 
of this section. For the purposes of this subsection, the requirement 
of 'permanently housebound' will be considered to have been met 
when the surviving spouse is substantially confined to such surviving 
si)ouse's home (ward or clinical aivas. if institutionalized) or imme-
diate premises by reason of a disability or disabilities which it is rea-
sonably certain will i*em'ain throughout such surviving spouse's life-
time.". 
RAl'ES OF DEPKNDKNCV AM) l.NDKMMTV COMPEXSATION FOR (IIII.DRKX 
SEC. '102. Secti(m 413 is amended— 
38 USC 413. 
(1) by striking out "$140" in clause (1) and inserting in lieu 
thereof "$150" ; 
(2) bv striking out "$201" in clause (2) and inserting in lieu 
thereof ""$216": 
(3) by striking out "$259" in clause (3) and inserting in lieu 
:; thereof''$278"; and 
, 
> 
(4) by striking out ''$259" and ''$52" in clause (4) and in.serting 
in lieu thereof "$278" and "$56". respectively. 
RATES OF SUPPLEMENTAL DEPENDENCY AND INDEMNITY 
COMPENSATION FOR CHILDREN 
S E C 203. Section 414 is amended— 
38 USC 414. 
(1) by striking out "$83" in subsection (a) and inserting in 
lieu thereof "$89"; 
92 STAT. 1564 
PUBLIC LAW 95-479—OCT. 18, 1978 
(2) by striking out "$140" in subsection (b) and inserting in 
lieu thereof "$150"; and 
(3) by striking out "$7l" in subsection (c) and inserting in lieu 
thereof "$76". 
BENEFITS FOR SURVIVING SPOUSES AND CHILDREN OF CERTAIN 
* 
- 
TOTAIXY DISABLED VETERANS 
38 use 410. 
SEC. 204. Section 410 is amended by redesignating subsection (b) 
as subsection (c) and by inserting after subsection (a) the following 
new subsection (b): 
"(b) (1) Notwithstanding the provisions of subsection (a) of this 
section, when any veteran dies, not as the result of the veteran's own 
willful misconduct, if the veteran was in receipt of (or but for the 
receipt of retired or retirement pay was entitled to receive) compensa-
tion at the time of death for a service-connected disability that either 
(A) was continuously rated totally disabling for a period of ten or 
more years immediately preceding death, or (B) if so rated for a 
lesser period, was so rated continuously for a period of not less than 
five years from the date of such veteran's discharge or other release 
from active duty, the Administrator shall pay benefits under this 
chapter to the veteran's surviving spouse, if such surviving spouse was 
married to such veteran for not less than two years immediately 
preceding such veteran's death, and to such veteran's children, in the 
same manner as if the veteran's death were service connected. 
" (2) If a surviving spouse or a child receives any money or property 
of value pursuant to an award in a judicial proceeding based upon, or 
a settlement or compromise of, any cause of action for damages for 
the death of a veteran described in paragraph (1) of this subsection, 
benefits under this chapter payable to such surviving spouse or child 
by virtue of this subsection shall not be paid for any month following 
a month in which any such money or property is received until such 
time as the total amount of such benefits that would otherwise have 
been payable equals the total of the amount of the money received and 
the fair market value of the property received. 
"(3) For purposes of sections 1448(d) and 1450(c) of title 10, eligi-
bility for benefits under this chapter by virtue of this subsection shall 
be deemed eligibility for dependency and indemnity compensation 
38 use 411. 
under section 411 (a) of this title.". 
TITLE III—MISCELLANEOUS PROVISIONS 
NONTAXABLE STATUS OF CERTAIN RETIRED PAY RECEIVED IN LIEU 
OF V E T E R A N S ' BENEFITS 
38 use 3101. 
SEC 301. Section 3101 is amended by adding at the end thereof the 
X 
following new subsection: 
"(d) In the case of a person who— 
"(1) has been determined to be eligible to receive pension or 
compensation under laws administered by the Veterans' Adminis-
tration but for the receipt by such person of pay pursuant to any 
, , 
provision of law providing retired or retirement pay to members 
or former members of the Armed Forces or commissioned officers 
(%i the National Oceanic and Atmospheric Administration or of 
11:6 Public Health Service: and 
PUBLIC LAW 95-479—OCT. 18, 1978 
92 STAT. 1565 
-' 
"(^) lilt'^ y
- waiver of such pay in accoidanco with section ;]10r> 
of this title in tlie amount of such pension or compensation before 
tlie end of tlie one-year period beginning on the date such person 
is notified by the Veterans' Administration of such person's eligi-
bility for such pension or compensation, 
the retired or retirement pay of such person shall be exempt from 
taxation, as provided in subsection (a) of this section, in an amount 
equal to the amount of j)ension or compensation which would have 
been paid to such j)erson but for the receipt l)y such person of such 
pay.". 
IfATK OK SI'KCIAL I'KNSKtN I'OK MKDAI. OK IIOXOK KKCII'IKXTS 
SEC. 302. Section 562 (a) is amended by striking out "$100"' and 38 USC 562. 
inserting in lieu thereof "$200". 
BURIAL BEXEFITS 
. s. 
SEC. 803. (a) Section 902(a) and section 903(a) (1) are amended by 38 USC 902, 
striking out "$250" and inserting in lieu thereof "$300''. 
^^3. 
(b) Section 906(b) is amended by striking out "dying in the service, 
38 USC 906. 
and". 
(c) The first sentence of section 907 is amended by inserting "the 38 USC 907. 
greater of (1) $1,100, or (2) "after "not exceeding". 
A I : T 0 M 0 B I L E A L L O W A N C E F O K C E R T A I N IMSABf.ED VETERANS 
SEC. 304. Section 1902(a) is amended bv striking out ".'^3.300" and 
38 USC 1902. 
inserting in lieu thereof "$3,800". 
STIDY OF IIEALTH-CARE AND COMPENSATiON NEEDS OF FOK'MER I'l.TSdNEItS 
OF W^\R 
SEC. 305. (a) The Administrator of Veterans' Affairs, in consulta- 38USC301 note, 
tion with the Secretary of Defense, shall carry out a comprehensive 
study of the disability compensation awarded to, and the health-care 
needs of, vetei-ans who are former prisoners of war. The Administra-
tor shall include in such study— 
(1) descriptions and analyses of the repatriation procedures, 
including physical examinations, for former prisoners of war and 
the adequacy of such procedures and the resultant medical records 
of former prisoners of war; 
(2) the types and severity of disabilities that are particularly 
prevalent among former prisoners of war in various theaters of 
operation at various times; 
(3) a description and analysis of procedures used with respect 
to former prisoners of war in determining eligibility for health-
care benefits and in adjudicating claims for disability compensa-
tion, including an analysis of the current use of statutor}' and 
regulatory provisions specifically relating to former prisoners of 
war; and 
(4) a survey and analysis of the medical liteiatui'e on the 
health-related problems of former prisoners of war. 
"(b) The Administrator shall transmit to the Congress and to the Report to 
President a report on the results of such study not later than Febru- Congress and 
ary 1, 1980. Such report shall include recommendations for such President, 
administrative and legislative action as the Administrator considers 
92 STAT. 1566 
PUBLIC LAW 95-479—OCT. 18, 1978 
may be necessary to assure that former prisoners of war receive com-
pensation and health-care benefits for all disabilities which may rea-
sonably be attributed to their internment. 
REQUIREMENT OF UNITED STATES CITIZENSHIP FOR SUPERlN'tENDENTS AND 
ASSISTANT SUPERINTENDENTS OF CEMETERIES OPERATED BY THE AMERI-
CAN BATTLE MONUMENTS COMMISSION 
SEC 306. The third paragraph of the first section of the Act entitled 
"An Act for the creation of an American Battle Monuments Commis-
sion to erect suitable memorials commemorating the services of the 
American soldier in Europe, and for other purposes", approved 
March 4,1923 (36 U.S.C. 121), is amended by adding after the last sen-
(.,^- 
fa 
tence thereof the following new sentence: "No individual may be 
employed as the superintendent, or as an assistant superintendent, of 
a cemetery operated by the Commission unless such individual is a 
citizen of the United States.". 
- ,, 
* 'V 
J B. 
MEMORIAL TO HONOR VETERANS OF THE VIETNAM CONFLICT I N MEMORIAL 
^'"* 
AMPHITHEATER OF ARLINGTON NATIONAL CEMETERY 
24 use 295a 
SEC. 307. The Secretary of Defense shall have placed in the Trophy 
note. 
^^, _ ,j 
Hall of the Memorial Amphitheater at Arlington National Cemetery 
a memorial plaque which shall bear the following inscription: "The 
people of the United States of America pay tribute to those members 
of the Armed Forces of the United States who served honorably in 
Southeast Asia during the Vietnam conflict.". To further honor those 
.;; -: • i '••< 
members of the Armed Forces who lost their lives in hostile action in 
Southeast Asia during the Vietnam conflict, the Secretary of Defense 
shall have placed near such plaque in a suitable repository a display 
of the Purple Heart Medal and other medals, ribbons, and decorations 
associated with service in Southeast Asia during the Vietnam conflict. 
TITLE IV—EFFECTIVE DATES 
38 use 314note. 
SEC. 401. (a) Except as provided in subsection (b), the amend-
ments made by this Act shall take effect on October 1,1978. 
(b) The amendm.ent made by section 302 shall take effect on Janu-
ary 1,1979. 
; Approved October 18, 1978. 
LEGISLATIVE HISTORY: 
HOUSE REPORT No. 95-1226 (Comm. on Veterans' Affairs). 
SENATE REPORT No. 95-1054 accompanying S. 2828 (Comm. on Veterans' Affairs). 
CONGRESSIONAL RECORD, Vol. 124 (1978): 
June 28, considered and passed House. 
Aug. 7, considered and passed Senate, amended in lieu of S. 2828. 
Sept. 26, House concurred in Senate amendments with amendments. 
> 
Oct. 2, Senate agreed to House amendments. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 14, No. 42: 
Oct. 18, Presidential statement.