Could a fire sale cut the VA claim backlog? - Military News | News From Afghanistan, Iraq And Around The World - Military Times

Could a fire sale cut the VA claim backlog?

A key lawmaker has proposed an unorthodox solution to clearing the 780,000-case backlog of veterans benefits claims: a fire sale.

Veterans who apply for disability compensation could receive an immediate payment if they are willing to accept a reduced amount, or they could hold out for a bigger check if they are willing to wait for a full review of their claim, under a proposal offered Thursday by Rep. Bob Filner, D-Calif., former chairman and now ranking minority party member of the House Veterans Affairs Committee.

Checks could go out in a few days, Filner said, connecting the idea to the marketing practices of businesses that cut prices for early buyers.

He suggested that anyone who takes an immediate benefit would receive disability compensation calculated as if they had a 30 percent disability, which means they would get a minimum of $376 a month, and more if they have dependents. By accepting the payment, they would be ineligible for a bigger payment later if they qualified for higher disability rating.

Filner mentioned the idea during a hearing on the 2012 Veterans Affairs Department budget, where he and other lawmakers were skeptical about VA’s assertion that the growing claims backlog would finally start to shrink in 2012.

VA now has about 785,000 pending compensation and pension claims. That includes about 260,000 disability compensation claims for first-time applicants — the group that would be offered faster service under Filner’s proposal.

For years, Filner has supported reducing the claims backlog by automatically approving a large number without review. He has talked about automatically approving any claim involving a disability that would be rated at 30 percent or less, automatically approving any claim from Vietnam-era veterans, and automatically approving any claim in which a certified veterans service officer helped the veteran do the paperwork.

VA and many veterans groups have opposed Filner’s ideas, worried that a claims process with only spot checks for accuracy would encourage cheating.

This time, however, VA didn’t say no to Filner’s idea. VA Secretary Eric Shinseki, while not endorsing the proposal, said he would have his staff look at it.

“We look at every opportunity to take on new ideas,” Shinseki said. “We will look at this option.”