WASHINGTON, D.C. – U.S. Senators Cory Booker (D-NJ), Bob Menendez (D-NJ), Tina Smith (D-MN), and Chris Van Hollen (D-MD) have sent a letter to David Shulkin, the United States Secretary of Veteran Affairs, urging him to address the consequences of the Veterans Benefits Administration (VBA) efforts to recoup improperly dispersed pension and disability payments on the ability of currently and formerly incarcerated veterans to reenter society and reintegrate into their communities.

“We are writing to you regarding issues faced by incarcerated and formerly incarcerated veterans, and to report our concern that the VA is making it harder for veterans with criminal records to successfully reintegrate due to the manner in which it is recouping compensation and pension benefits. Federal law requires the Veteran Benefits Administration (VBA) to reduce compensation and pension benefits payments to veterans who are incarcerated for more than 60 days. However, the VA Office of Inspector General (OIG) found that from May 2008 through June 2015, the VBA failed to adjust the disability or pension payments for 1,300 of 2,500 cases of federally incarcerated veterans,” the Senators wrote.

“As the VBA seeks to implement the repayment program, we respectfully seek your assistance in learning more about how veterans who fall under the repayment provisions will be affected,” the Senators continued.

“In short, we remain concerned that these recoupment efforts constitute a further barrier to reintegration for affected veterans. We are sure you share the goal of helping these veterans have the best chance of becoming productive citizens after incarceration and leading fulfilling lives,” the Senators concluded.

In November of 2017, Booker released a comprehensive resource guide for New Jersey veterans to assist with the transition from military to civilian life, including information on health benefits, workforce centers, employment opportunities, crisis support resources, and federal and state education programs.

The full text of the letter is available here and below:

The Honorable David Shulkin                                                                                               

Secretary

United States Department of Veterans Affairs                                                                         

810 Vermont Avenue, NW                                                                                                       

Washington, DC 20420

Dear Secretary Shulkin:

Thank you for your continued work to strengthen transparency and accountability throughout the U.S. Department of Veterans Affairs (VA). We believe such steps are essential to fulfilling our commitment to best serve the needs of our veterans. We arewriting to you regarding issues faced by incarcerated and formerly incarcerated veterans, and to report our concern that the VA is making it harder for veterans with criminal records to successfully reintegrate due to the manner in which it is recouping compensation and pension benefits.

Federal law requires the Veteran Benefits Administration (VBA) to reduce compensation and pension benefits payments to veterans who are incarcerated for more than 60 days. However, the VA Office of Inspector General (OIG) found that from May 2008 through June 2015, the VBA failed to adjust the disability or pension payments for 1,300 of 2,500 cases of federally incarcerated veterans. This equates to 53 percent of federal cases and has resulted in improper payments worth approximately $59.9 million. Additionally, between March 2013 and August 2014, the VBA failed to adjust benefits for 3,800 out of 21,600 veterans incarcerated at the state and local level. This equated to 18 percent of cases, and approximately $44.2 million in wrongful payments.

The OIG also reported that the Computer Matching Agreement (CMA) between the VBA and the Federal Bureau of Prisons (BOP), which was intended to manage the information flow between VBA and BOP, expired in July 2008. Although a new CMA was reached in October 2010, the VBA failed to establish a secure method for receiving BOP data and allowed the CMA to expire again in April 2012. A new CMA to replace the 2010 agreement was not in place until April 2015, but in March 2016, the VBA had still not utilized BOP data as they were unsure how to manage the workload. This failure of the VBA to implement the CMA, and general mismanagement over the course of eight years, has directly contributed to the overpayment problem.

As the VBA seeks to implement the repayment program, we respectfully seek your assistance in learning more about how veterans who fall under the repayment provisions will be affected. Specifically, we would appreciate information regarding:

  • The process and progress of repayments, specifically how much money has so far been collected, and the types of repayment plans available;

  • How many prior year repayments the VBA intends to collect;

  • How and when veterans are originally informed of their obligation to self-report;

  • Whether  the VBA has begun  to utilize the information from BOP via the CMA, and if so, when that process began;

  • The rationale for veterans to self-report incarceration while the VBA possesses a CMA with the BOP, and is also provided information via the Social Security Administration; and

  • The number of reductions or waivers that have been granted through the appeals process.

In short, we remain concerned that these recoupment efforts constitute a further barrier to reintegration for affected veterans. We are sure you share the goal of helping these veterans have the best chance of becoming productive citizens after incarceration and leading fulfilling lives. Thank you for your time and consideration of this matter.

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