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<PRE>        S.1927

                       One Hundred Third Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Tuesday,
 the twenty-fifth day of January, one thousand nine hundred and ninety-
                                  four


                                 An Act

  
 
  To amend title 38, United States Code, to provide a cost-of-living 
adjustment in the rates of disability compensation for veterans with 
service-connected disabilities and the rates of dependency and indemnity 
compensation for survivors of such veterans, to revise and improve 
veterans' benefits programs, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Veterans' Compensation Cost-of-
Living Adjustment Act of 1994''.

SEC. 2. INCREASE IN RATES OF DISABILITY COMPENSATION AND DEPENDENCY AND 
              INDEMNITY COMPENSATION.

    (a) Rate Adjustment.--The Secretary of Veterans Affairs shall, 
effective on December 1, 1994, increase the dollar amounts in effect 
for the payment of disability compensation and dependency and indemnity 
compensation by the Secretary, as specified in subsection (b)
    (b) Amounts To Be Increased.--The dollar amounts to be increased 
pursuant to subsection (a) are the following:
        (1) Compensation.--Each of the dollar amounts in effect under 
    section 1114 of title 38, United States Code.
        (2) Additional compensation for dependents.--Each of the dollar 
    amounts in effect under section 1115(1) of such title.
        (3) Clothing allowance.--The dollar amount in effect under 
    section 1162 of such title.
        (4) New dic rates.--The dollar amounts in effect under 
    paragraphs (1) and (2) of section 1311(a) of such title.
        (5) Old dic rates.--Each of the dollar amounts in effect under 
    section 1311(a)(3) of such title.
        (6) Additional dic for disability.--The dollar amounts in 
    effect under sections 1311(c) and 1311(d) of such title.
        (7) DIC for dependent children.--The dollar amounts in effect 
    under sections 1313(a) and 1314 of such title.
    (c) Determination of Percentage Increase.--(1) The increase under 
subsection (a) shall be made in the dollar amounts specified in 
subsection (b) as in effect on November 30, 1994. Each such amount 
shall be increased by the same percentage as the percentage by which 
benefit amounts payable under title II of the Social Security Act (42 
U.S.C. 401 et seq.) are increased effective December 1, 1994, as a 
result of a determination under section 215(i) of such Act (42 U.S.C. 
415(i)).
    (2) In the computation of increased dollar amounts pursuant to 
paragraph (1), any amount which as so computed is not an even multiple 
of $1 shall be rounded to the next lower whole dollar amount.
    (d) Special Rule.--The Secretary may adjust administratively, 
consistent with the increases made under subsection (a), the rates of 
disability compensation payable to persons within the purview of 
section 10 of Public Law 85-857 (72 Stat. 1263) who are not in receipt 
of compensation payable pursuant to chapter 11 of title 38, United 
States Code.

SEC. 3. PUBLICATION OF ADJUSTED RATES.

    At the same time as the matters specified in section 215(i)(2)(D) 
of the Social Security Act (42 U.S.C. 415(i)(2)(D)) are required to be 
published by reason of a determination made under section 215(i) of 
such Act during fiscal year 1994, the Secretary of Veterans Affairs 
shall publish in the Federal Register the amounts specified in section 
2(b), as increased pursuant to section 2.







                               Speaker of the House of Representatives.







                            Vice President of the United States and    
                                               President of the Senate.

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