BUSINESS OFFICE                                                                                         44-02-014

DISABILITY COMPENSATION BENEFITS

POLICY STATEMENT.

The Division of Veterans Healthcare Services (DVHS) requires that each of the New Jersey Veterans Memorial Homes (VMH) develop and implement policies and procedures to work with each VMH resident to assist them in applying for and receiving a determination of any and all federal VA Disability Compensation Benefits to which the resident may be entitled.

PURPOSE.

The Service-Connected Disability payment will be provided directly to the veteran from the United States Department of Veterans Affairs (VA).  It is the policy of the New Jersey Veterans Memorial Home to:

1. Deduct the amount of Disability Benefits for Service-Connected Disabilities from the total income used to calculate the care and maintenance fee for services upon admission to the VMH, and also effective during the calendar year (annually) when fee-for-services are re-evaluated.     

2. Deduct the Service-Connected Disability monies from the amount of Aid and Attendance received in computation of total income.           

DEFINITIONS.

Disability Compensation - (Also referred to as "Service Connected Disability Compensation.")  A monetary benefit paid to veterans who have been disabled by injury or disease incurred or aggravated during active military service.  This monetary benefit is
related to the residual effect of an injury or disease.  This benefit, which is not subject to federal or state income tax, is paid monthly and the amounts are determined by Congress. Veterans whose separation or discharge was under conditions that were other than
dishonorable are provided this benefit.  A veteran with a disability rated at 30% or more receives additional allowances for dependents (e.g. a wife and two children; a spouse; or dependent parents) who are in need of the aid and attendance of another person.

Aid and Attendance - A veteran's benefit payment to a resident in a nursing home or one who is declared “bedridden” who is otherwise determined by the VA to be in need of the regular aid and attendance of another person, based on the actual requirement of personal assistance from others as defined in §3.352-1, (the inability to dress or undress him/herself or  to keep him/herself clean and presentable; the inability to feed him/herself because of the loss of coordination of upper extremities; the inability to attend to their wants of nature or someone who requires the frequent adjustment of special prosthetic or orthopedic appliances; etc.).

PROCEDURE.

1. As per the NJDMAVA’s Application for Admission to a New Jersey Veterans Memorial Home (VMH), every applicant must submit all required financial records prior to admission. The Business Manager/designee must have enough time to review these financial records before the admission process can begin.

2. All veteran/spouse applicants and current residents are to have an income determination completed at the time of admission and annually thereafter, identifying the percentage of disability, and the amount of Disability Compensation monies being received.

3. Applicants, if eligible, will be referred to the VSO or to the Veteran’s Entitlement Counselor to be assisted in the completion of an application for Aid and Attendance benefits during the admission, or as soon as possible thereafter.

4. The percentage of disability and the Disability Compensation amounts are to be determined utilizing the current rate schedules as published by Congress (See the web site for the U.S. Department of Veterans Affairs; Veterans Compensation Benefits Rate Tables at http://www.vba.va.gov/bln/21/rates/comp01.htm ).

5. In calculating the care and maintenance fees, veteran residents receiving Aid and Attendance will have their determined Disability Compensation amounts deducted from their Aid and Attendance monies and the balance remaining will be included in the income of the resident/spouse. For those individuals receiving only Disability Compensation monies, the entire disability payment will be excluded from the income of the resident's spouse.

6. For statistical purposes, the percentages of disability and amounts of Disability Compensation monies are to be indicated on a separate line item on the Care and Maintenance Fee Calculation Form.

Revised:  July 1998
Revised:  June 2011

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