IMMEDIATE RELEASE 
Wednesday, March 13, 2002


Smith Praises Record Budget Increase for Veterans

Says It Will "Maintain Our Commitments And Sustain Vital VA Health Care Programs"

(Washington, DC) - Congressman Chris Smith (NJ-4), Chairman of the House Committee on Veterans' Affairs today backed the 2003 budget proposal of the House Budget Committee, saying it will "maintain our commitments and sustain vital VA health care programs."  Smith particularly welcomed elimination of the Administration's ill-fated proposal to impose a new $1,500 deductible on some veterans seeking VA health care, as well as an historic breakthrough on the issue of concurrent receipt.

"Under Budget Committee Chairman Jim Nussle's proposal, the VA's budget authority for fiscal year 2003 will jump to a record $56.9 billion, an increase of 11.6%, including a whopping 12% increase in VA health care. That's $2.6 billion above this year's spending level, more than $1.2 billion above the Administration's proposed budget for medical care," said Smith.

"Combined with spending on disability compensation and other VA benefit programs, this budget will give veterans about 99% of the funding that we requested on their behalf," said Smith

On Monday, Smith and the Veterans' Affairs Committee had recommended that the Budget Committee significantly increase VA health care funding, without imposition of the controversial $1,500 deductible.  The Administration had proposed an annual $1,500 deductible for 'Priority 7' veterans - those without service-connected disabilities and whose incomes are above poverty levels.  The VA estimated 471,000 veterans would have had their health care services diminished or eliminated as a result.

"Under the budget plan we recommended, and which is now being adopted by the Budget Committee, the Administration's $1,500 proposal will be replaced dollar-for-dollar with new funds," said Smith.  "From day one, I have called that proposal a 'nonstarter' and I am pleased that Chairman Nussle and his colleagues on the Budget Committee have agreed," he said.

Smith also hailed the language included in the Budget Committee's draft to resolve the problem of concurrent receipt, the glitch in the law that requires military retirees to have their pensions lowered by the amount of disability compensation payments they also receive.  "There is no reason that a veteran, who risked life and limb for his country, and suffers from a disability as a result, should be penalized because he choose to serve honorably in our military until retirement," Smith said.

"Last year, we made historic improvements in the delivery of benefits and services to our nation's 25 million veterans and their families," said Smith.  "We reinvigorated the GI Bill education and training program, jump-started the fight to end homelessness among veterans, increased disability compensation payments, and strengthened the provision of VA health care nationwide.  Now, by adopting this budget proposal, we will be taking a giant step forward to ensure that we leave no veteran behind," he said.
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