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CHAPTER II. BILLS REPORTED FROM THE COMMITTEE

ON LABOR AND PUBLIC WELFARE

The Legislative Reorganization Act of 1946, which as amended is currently effective, lists four subjects concerning veterans' affairs. which are to be referred to the Senate Committee on Labor and Public Welfare. These are (1) vocational rehabilitation and education of veterans; (2) veterans' hospitals, medical care and treatment of veterans: (3) soldiers' and sailors' civil relief; and (4) readjustment of servicemen to civil life. Other matters concerned with "veterans' measures generally" are to be referred to the Senate Committee on Finance.

Within the 4 categories listed above, there were 14 bills referred to the Subcommittee on Veterans' Affairs of the Labor and Public Welfare Committee, which were enacted into public law during the 88th Congress. In order to assemble all of the veterans' measures which were passed during the 88th Congress, the following pages will list first, in chronological order of approval by the President, the enactments which, in the earlier forms of the bills, were referred to that committee. The acts which in their earlier forms were referred to other committees of the Senate will be listed in a later chapter, likewise in the order of approval of the acts by the President.

A. Appointment of Chief Medical Director

(Public Law 88-18, approved May 8, 1963)

1. BACKGROUND

Chapter 73, title 38, sets forth the functions, activities, and responsibilities of the Department of Medicine and Surgery of the Veterans' Administration.

Section 4103 (b) provides for the appointment of the Chief Medical Director by the Administrator with the requirement that he be a "qualified doctor of medicine." The former Chief Medical Director, the distinguished physician, Dr. William S. Middleton, recently retired from this position because of age. At the present time, the Administrator of Veterans' Affairs is considering several individuals for appointment to this important post. In this connection, he is utilizing the services of the Special Medical Advisory Committee authorized by section 4112 of title 38. This Medical Advisory Committee, the members of which are nominated by the Chief Medical Director, is charged with the duty of advising the Administrator, through the Chief Medical Director, on questions relating to the care and treatment of disabled veterans and other matters pertinent to the Department of Medicine and Surgery.

In order to provide the widest latitude in the selection of a new Chief Medical Director, this legislation is necessary in order to per

mit the consideration of doctors retired from the Armed Forces for the position of Chief Medical Director. This legislation would permit the Administrator to have through December 31, 1963, the opportunity of appointing the best qualified individual available to this post, from any source, be it civilian service or service in one of the branches of the Armed Forces.

As indicated in the favorable report from the Veterans' Administration which follows, there would be no additional cost to the Government, nor any duplication of compensation, by the enactment of this legislation since it permits a retired officer to waive his retirement pay while serving as Chief Medical Director and later to resume his retired status with pay after the conclusion of his service as Chief Medical Director.

A similar, although broader, piece of legislation of a temporary nature was enacted for the benefit of a former Chief Medical Director.

2. LEGISLATIVE HISTORY

On March 6, 1963, Representative Olin E. Teague, of Texas, introduced H.R. 4549, proposing to amend section 4103 of title 38, United States Code, with respect to the appointment of the Chief Medical Director of the Department of Medicine and Surgery of the Veterans' Administration. The bill was referred to the House Committee on Veterans' Affairs.

On April 3, 1963, the bill was reported in the House (Rept. 182). On April 8, 1963, Senator Lister Hill, of Alabama, introduced an identical bill, S. 1280, in the Senate. The bill was referred to the Labor and Public Welfare Committee.

H.R. 4549 was considered and passed by the House on April 10, 1963.1 The bill was referred to the Senate Committee on Labor and Public Welfare and was reported in the Senate on April 25, 1963 (Rept. 156). It passed the Senate on April 26, 1963.2 The bill was approved on May 8, 1963, and became Public Law 88-18.

3. DIGEST OF THE ACT

The act authorized a temporary exception to the prohibition against employing regular retired officers of the uniformed services in a Government position, so as to permit the appointment of such a retired officer, prior to January 1, 1964, to the position of Chief Medical Director in the Veterans' Administration. The act did not affect the applicability of the dual compensation restriction to such appointment, so that any such retired officer would have been required to waive receipt of this retired pay for the period of his service as Chief Medical Director.

1 Congressional Record, Apr. 10, 1963, p. 6162. 2 Ibid., Apr. 26, 1963, p. 7167.

4. TEXT OF THE ACT

Following is the text of Public Law 88-18:

[Public Law 88-18, 88th Cong. (77 Stat. 15), May 8, 1963]

AN ACT To amend section 4103 of title 38, United States Code, with respect to the appointment of the Chief Medical Director of the Department of Medicine and Surgery of the Veterans' Administration

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 4103 (b) of title 38, United States Code, is amended by inserting immediately before the last sentence thereof the following: "Section 62 of title 5 of the United States Code shall not apply to any individual appointed Chief Medical Director before January 1, 1964; however, section 59a of title 5 shall apply, in accordance with its terms, to any such individual.

B. Hospitalization of Philippine Veterans

(Public Law 88-40, approved June 13, 1963)

1. BACKGROUND

In 1948. a program was begun which, when it reached maturity, provided a modern Veterans Memorial Hospital in Manila in 1955 and, in 1958, provided outpatient medical care for Commonwealth Army veterans with service-connected disorders. The program was designed to serve the twofold purpose of meeting an obligation to comrades in arms at the same time that we contributed to their postwar development. Our efforts have not gone unrewarded. Thousands of Filipino veterans injured in World War II have received treatment and have thus been enabled to resume productive pursuits and occupations. The Veterans Memorial Hospital stands today as a fitting symbol of the friendly relations and solidarity of the two nations. The 722-bed institution is one of the finest hospitals in the Far East. It furnishes high-quality hospital care and, in addition, has affiliated itself with outstanding universities and medical colleges for the training of doctors, nurses, dentists, and other medical personnel so vitally needed in the Philippines.

The Philippine Government will eventually assume full responsibility for the operation of the hospital and the treatment of veterans. Lowering the ceiling on hospital care from $2 million to $500,000 is a step in this direction, as the Government of the Philippines step by step assumes complete responsibility for the hospital and medical care program.

2. LEGISLATIVE HISTORY

On January 9, 1963, Representative Olin E. Teague, of Texas, introduced H.R. 249, proposing to amend section 632 of title 38, United States Code, to provide for an extension of the program of grants-inaid to the Republic of the Philippines for the hospitalization of certain veterans. The bill was referred to the House Committee on Veterans' Affairs.

On January 18, 1963, Senator Ralph Yarborough, of Texas, introduced S. 331, a similar bill, which would extend the period during which the Administrator of Veterans' Affairs could contract for the

hospital and medical care of certain veterans in the Republic of the Philippines.

On March 6, 1963, H.R. 249 was reported in the House (Rept. 70). The Subcommittee on Veterans' Affairs of the Labor and Public Welfare Committee held hearings on the companion bill, S. 331, on March 13, 1963. The House passed over H.R. 249 on March 18, 1963, and considered and passed the bill on April 1, 1963. The bill was referred to the Senate Committee on Labor and Public Welfare.

On May 27, 1963, the identical bill, S. 331, was reported in the Senate (Rept. 190). On June 4, 1963, Senate action on S. 331 was indefinitely postponed and H.R. 249 was passed in lieu of the Senate bill. The bill was approved on June 13, 1963, and became Public Law 88-40.

3. DIGEST OF THE ACT

The act extended for an additional 5 years beyond the June 30, 1963, expiration date the program for reimbursement of the Philippine Government covering hospitalization and outpatient care for service-connected veterans of the Commonwealth Army who served with the Armed Forces of the United States during World War II. It placed a ceiling of $500,000 on hospital payments for any fiscal year after 1963 and permitted the furnishing of drugs and medical services to Commonwealth Army veterans or to U.S. veterans.

4. TEXT OF THE ACT

Following is the text of Public Law 88-40:

[Public Law 88-40, 88th Cong. (77 Stat. 66), June 13, 1963]

AN ACT To amend section 632 of title 38, United States Code, to provide for an extension of the program of grants-in-aid to the Republic of the Philippines for the hospitalization of certain veterans

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the second sentence of paragraph (1) of section 632 of title 38, United States Code, is amended by striking out "five consecutive fiscal years", and inserting in lieu thereof "ten consecutive fiscal years,"; and by inserting before the period at the end of such sentence "ending before July 1, 1963, nor $500,000 for any one fiscal year beginning on or after such date".

SEC. 2. Section 632 of title 38, United States Code, is amended by adding at the end thereof the following: "Such agreement may also provide that during the contract period specified in paragraph (1) of this section, payments for hospital care and for medical services provided to Commonwealth Army veterans or to United States veterans may consist in whole or in part of available medicines, medical supplies, and equipment furnished by the Administrator to the Veterans Memorial Hospital at valuations therefor as determined by the Administrator. The Administrator is authorized to furnish through the revolving supply fund. pursuant to section 5011 of this title, such medicines, medical supplies, and equipment as necessary for this purpose and to use therefor, as applicable, appropriations available for such payments."

3 Ibid., Mar. 8, 1963, p. 4395. 4 Ibid., Apr. 1, 1963, p. 5186.

5 Ibid., June 4, 1963, p. 10046.

C. Approval by State Agencies of Courses Under the War
Orphans Educational Assistance Program

(Public Law 88-126, approved Sept. 23, 1963)

1. LEGISLATIVE HISTORY

On January 18, 1963, Senator Ralph Yarborough, of Texas, introduced S. 330, proposing to amend chapter 35 of title 38 to provide that after the expiration of the Korean conflict veterans' education and training program, approval of courses under the war orphans' education assistance program shall be by State approving agencies. The bill was referred to the Senate Committee on Labor and Public Welfare.

On April 9, 10, 23, 24, and May 7, 1963, the Subcommittee on Veterans' Affairs of the Committee on Labor and Public Welfare held hearings on S. 330 and on another bill, S. 5, which proposed to provide readjustment assistance to veterans who served in the Armed Forces between January 31, 1955, and July 1, 1963.

S. 330 was reported in the Senate on June 27, 1963 (Rep. 334), and it passed the Senate on July 9, 1963. It was reported in the House on August 14, 1963 (Rept. 676), and passed the House on September 9, 1963. The bill was approved on September 23, 1963, and became Public Law 88-126.

2. DIGEST OF THE ACT

This act provides that after the expiration of the education and training program under the Korean GI bill, the approval of courses under the War Orphans' Educational Assistance Act shall be made by State approving agencies. After the termination of the education and training program for Korean conflict veterans, scheduled for January 31, 1965, the law would have required that thereafter the Veterans' Administration would be responsible for the approval of any educational courses under the war orphans' education program. This act gives the Administrator of Veterans' Affairs authority to rely upon State approving agencies and make reimbursement for their services after January 31, 1965.

3. TEXT OF THE ACT

The following is the text of Public Law 88-126:

[Public Law 88-126, 88th Cong. (77 Stat. 158), Sept. 23, 1963]

AN ACT To amend chapter 35 of title 38, United States Code, to provide that after the expiration of the Korean conflict veterans' education and training program, approval of courses under the war orphan's educational assistance program shall be by State approving agencies

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That chapter 35 of title 38, United States Code, is amended by adding at the end thereof the following:

"Subchapter VII-State Approving Agencies

"1771. Designation

"(a) Unless otherwise established by the law of the State concerned, the chief executive of each State is requested to create or designate a State department or

Ibid., July 9, 1965, p. 12204.

Ibid., Sept. 9, 1963, p. 16562.

40-629-65- -3

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