HR6047-119

What This Bill Does

This bill changes several VA benefit rules. It adds an $833.33 supplemental monthly allowance for veterans eligible for aid and attendance under the high-need subsections (r) or (t), starting December 1, 2026. It also requires certain dependency and indemnity compensation amounts to rise when Social Security benefit amounts rise, with an added percentage amount for a limited number of increases and Federal Register publication by VA.

The bill changes VA home-loan fee rules. Earlier text allowed VA to collect fees for subsequent loans and from veterans with disability ratings of 70 percent or less through September 30, 2035. The reported text extends several VA loan-fee table dates to September 30, 2036 and raises specified loan-fee percentages from 0.50 to 1.40 or 1.0. It also extends certain pension-payment limits to September 30, 2036. Finally, the Home Affordability for Guard and Reserve section expands how active duty and veteran status are counted for VA home-loan eligibility, including qualifying service by reserve component members and National Guard members after September 11, 2001, while adding a 1.00 percentage-point loan fee for some newly eligible borrowers.

Who Benefits and How

Veterans receiving advanced aid and attendance benefit from an added $833.33 monthly payment. Surviving spouses and dependents receiving dependency and indemnity compensation benefit from temporary increases tied to Social Security cost-of-living adjustments. Reserve component members benefit because more service can count toward VA home-loan eligibility. Army National Guard members and Air National Guard members benefit from recognition of specified title 32 and full-time National Guard service. The VA Home Loan Guaranty Program benefits from extended and increased fee authority that supports program receipts.

Who Bears the Burden and How

VA benefits payment staff must implement new monthly allowances, DIC adjustments, publication duties, loan-fee tables, pension limits, and home-loan eligibility rules. Veterans with disability ratings of 70 percent or less seeking covered subsequent VA housing loans may lose fee waivers or pay higher fees. Newly eligible Guard and Reserve home-loan borrowers may receive eligibility but must pay the additional 1.00 percentage-point fee. Department of Defense personnel offices must share benefit information with VA or service members. Federal taxpayers bear cost exposure for higher benefit payments.

Key Provisions

• Adds an $833.33 supplemental monthly allowance for veterans eligible for advanced aid and attendance.
• Requires limited dependency and indemnity compensation increases tied to Social Security benefit increases.
• Extends VA home-loan fee authority and raises selected loan-fee percentages through September 30, 2036.
• Extends certain VA pension-payment limits through September 30, 2036.
• Expands VA home-loan eligibility for qualifying Reserve and National Guard service after September 11, 2001.
• Requires VA and Defense officials to notify newly eligible Guard and Reserve members about home-loan benefits.