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SECTION 1. SHORT TITLE.

This Act may be cited as the ''Veterans Compensation Equity Act of
2000''.

SEC. 2. CONCURRENT RECEIPT OF RETIRED PAY AND DISABILITY RETIREMENT FOR
VETERANS WHO RECEIVED THE PURPLE HEART.

(a) Concurrent Receipt.--Section 5304 of title 38, United States
Code, is amended--
(1) by adding at the end of subsection (a)(1) the following
new sentence: ''Notwithstanding the preceding sentence,
emergency officers', regular, or reserve retirement pay (other
than retired pay under chapter 61 of title 10) shall be paid to
a veteran concurrently with compensation for a service-
connected disability, without deduction from either the
retirement pay or the compensation, in the case of a veteran
who was awarded the Purple Heart and whose retirement pay is
based on service of 20 years or more.''; and
(2) by adding at the end the following new subsection:
''(d) Compensation paid by the Secretary for a service-connected
disability may not be considered in determining eligibility for any
other benefit under any provision of Federal, State, or local law and
may not be counted as income of the veteran or the veteran's family for
purposes of any provision of Federal, State, or local law for which
eligibility for any benefit or program is determined based upon
income.''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply with respect to payments for periods beginning on or after the
date of the enactment of this Act.

SEC. 3. PRESERVATION OF VETERAN'S COMPENSATION BENEFIT FOR SURVIVING
SPOUSE.

(a) Compensation Benefit To Survive Death of Veteran.--Section 1311
of title 38, United States Code, is amended by adding at the end the
following new subsection:
''(f) Notwithstanding the preceding provisions of this section, the
rate of dependency and indemnity compensation paid for any month to the
surviving spouse of a veteran who was awarded the Purple Heart shall be
at the rate at which compensation under chapter 11 of this title would
be paid for that month to that veteran if the veteran were not deceased
(except that, for purposes of section 1115 of this title, such rate of
compensation shall be determined as if the veteran had no spouse).''.
(b) Effective Date.--The amendment made by this section shall apply
with respect to payments for months beginning on or after the date of
the enactment of this Act.

SEC. 4. ANNUITIES UNDER SURVIVOR BENEFIT PLAN TO BE 100 PERCENT OF
RETIRED PAY BASE AMOUNT.

(a) Termination.--Section 1451 of title 10, United States Code, is
amended--
(1) in subsection (a)--
(A) in paragraph (1), by striking out ''shall be''
in the matter preceding subparagraph (A) and all that
follows in that paragraph and inserting in lieu thereof
''shall be the amount equal to 100 percent of the base
amount.''; and
(B) in paragraph (2), by striking out ''shall be''
in the matter preceding subparagraph (A) and all that
follows in that paragraph and inserting in lieu thereof
''shall be the amount equal to a percentage of the base
amount that--
''(A) is less than 100 percent; and
''(B) is determined under subsection (f).''; and
(2) in paragraph (1) of subsection (c), by striking out
''shall be'' in the matter preceding subparagraph (A) and all
that follows in that paragraph and inserting in lieu thereof
''shall be the amount equal to 100 percent of the retired pay
to which the member or former member would have been entitled
if the member or former member had been entitled to that pay
based upon his years of active service when he died.''.
(b) Repeal of Requirement for Reduction of Annuity at Age 62.--Such
section is further amended by striking out subsection (d).
(c) Repeal of Alternative Computation for Certain Beneficiaries for
Whom Social Security Offset Was More Beneficial Than Two-Tier
Computation.--Such section is further amended by striking out
subsection (e).
(d) Conforming Amendment.--Subsection (f) of such section is
amended by striking out ''(a)(2), (b)(2), or (e)(2)(B)'' and inserting
in lieu thereof ''(a)(2) or (b)(2)''.
(e) Effective Date.--The amendments made by this section shall
apply to payment of annuities for months that begin after the date of
the enactment of this Act.
(f) Recomputation of Existing Annuities.--In the case of a person
who is a beneficiary under the Survivor Benefit Plan established by
subchapter II of chapter 73 of title 10, United States Code, on the
date of the enactment of this Act, the Secretary concerned (as defined
in section 101 of title 37, United States Code) shall recompute the
amount of that person's annuity as necessary to reflect the amendments
made by this section.
Makes the rate of dependency and indemnity compensation (DIC) for the surviving spouse of a veteran who was awarded the Purple Heart the same as the rate of compensation for service-connected disability or death that would be paid to a veteran if the veteran were not deceased (thereby continuing the DIC payment beyond the veteran's death).
Makes annuities under the Survivor Benefit Plan 100 percent of the base amount. (Currently, such annuities are specified percentages of such base amount based on age.) Repeals: (1) the requirement for annuity reduction at age 62; and (2) an alternative computation of such annuity for certain beneficiaries. Requires the recomputation of existing annuities due to amendments made by this Act.