119th CONGRESS 1st Session
To amend title 38, United States Code, to allow for certain fee agreements for services rendered in the preparation, presentation, and prosecution of initial claims and supplemental claims for benefits under laws administered by the Secretary of Veterans Affairs, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES · May 1, 2025 · Sponsor: Mr. Bergman · Committee: Committee on Veterans' Affairs
- (a) Short title
- This Act may be cited as the or the .
- (b) Table of contents
- (a) Notice of availability of assistance from accredited persons
- Section 5103A of title 38, United States Code, is amended—
- by redesignating subsections (g) through (i) as subsections (h) through (j), respectively; or
- (g) Notice of availability of representation
- Upon receipt of a claim, or supplemental claim, by a claimant not represented by an accredited person, the Secretary shall provide notice to the claimant that—
- an accredited person may be available to the claimant for the preparation, presentation, or prosecution of such claim or supplemental claim;
- an organization recognized under section 5902 of this title is available to the claimant for the preparation, presentation, or prosecution of such claim or supplemental claim at no cost to the claimant; and
- includes the web addresses of the Department websites described in paragraph (2).
- (2)
- The Secretary shall maintain, on a publicly available website of the Department—
- (i) a list of accredited persons available to the claimant for the preparation, presentation, or prosecution of an initial claim or supplemental claim; and
- (ii) a system through which a claimant may report—
- a person, who is not an accredited person, who prepared, presented, or prosecuted a claim or supplemental claim on behalf of the claimant; and
- any fee charged by such person associated with such preparation, presentation, or prosecution.
- With respect to the list described in paragraph (1)(A), the Secretary shall—
- (i) update the such list not less than quarterly; and
- (ii) ensure such list is easily accessible to a claimant.
- In this subsection, the term means—
accredited person
- an organization recognized under section 5902 of this title; or
- an attorney, agent, or other person recognized under section 5904 of this title.
- by inserting after subsection (f) the following new subsections:
- (b) Online warnings of fees for certain representation
- The Secretary of Veterans Affairs shall include, in each web portal of the Department of Veterans Affairs through which an individual may file a claim for a benefit under the laws administered by the Secretary, a warning with respect to fees an agent or attorney recognized under section 5904 of such title may charge such individual associated with the preparation, presentation, or prosecution of such claim. Such warning shall include the web addresses of the Department websites maintained pursuant to subsection (g) of section 5103A of such title, as added by subsection (a).
- (c) Report
- Not later than 180 days after the date of the enactment of this Act, the Secretary shall—
- (a) In general
- Section 5904 of title 38, United States Code, is amended—
- in subsection (a)—
- in paragraph (1)—
- (i) by inserting before ; and
- (ii) by adding at the end the following new subparagraphs:
- (B)
- (i) An individual desiring recognition under this section shall submit to the Secretary an application in such form, at such time, and containing such information and assurances as the Secretary has determined appropriate to recognize such individual under this section.
- (ii) If the Secretary cannot verify whether the individual satisfies the qualifications and standards prescribed under paragraph (2) before the end of the 180-day period beginning after the date on which the Secretary receives an application under clause (i), the Secretary shall recognize the individual on a conditional and temporary basis for a one-year period.
- (iii) At the end of such one-year period, the Secretary shall recognize the individual on a conditional and temporary basis for such additional 180-day periods until the date on which the Secretary can verify whether the individual satisfies such qualifications and standards.
- (C)
- (i) The Secretary may not refuse to recognize under this section an individual as an agent or attorney solely on the basis that such individual—
- before the date of the enactment of this subparagraph—
- charged a claimant a fee for services rendered in the preparation, presentation, or prosecution of an initial claim; or
- charged a claimant a fee for such services while such individual was not recognized under this section; or
- is an employee of a nonprofit organization and seeks recognition under this section in the official capacity of such individual.
- (ii) In this subparagraph, the term means an organization described in of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code.
nonprofit organization section 501(c)(3)
- (7)
- The Secretary shall prescribe regulations to recognize an individual as an agent or attorney to render services in the preparation, presentation, and prosecution of initial claims, or a supplemental claim presented after a final decision with respect to that claim.
- The Secretary may charge and collect an assessment from an individual who—
- (i) seeks recognition under this section as an agent or attorney for the preparation, presentation, and prosecution of an initial claim under the laws administered by the Secretary or a supplemental claim presented after a final decision with respect to that claim; and
- (ii) charges or collects fees from a claimant for services rendered in such preparation, presentation, and prosecution.
- An assessment described in subparagraph (B) shall—
- (a) Penalties for unauthorized fees
- (1) In general
- Section 5905 of title 38, United States Code, is amended—
- in the section heading, by striking and inserting (and conforming the table of sections at the beginning of chapter 59 of such title accordingly);
- by striking and inserting the following:
- (a) Withholding of benefits
- (b) Charging of unauthorized fees
- Except as provided in sections 5904 or 1984 of this title, whoever solicits, contracts for, charges, or receives, or attempts to solicit, contract for, charge, or receive, any fee or any other consideration with respect to the preparation, presentation, or prosecution of any claim for benefits under the laws administered by the Secretary shall be fined as provided in title 18, or imprisoned not more than one year, or both.
- Paragraph (1) shall not apply to the provision of a medical examination or a medical opinion by a third party that does not have a business relationship with an individual recognized under section 5904 of this title for the preparation, presentation, or prosecution of a claim for benefits under laws administered by the Secretary.
- (c) Violations during conditional and temporary recognition
- If an individual recognized as an agent or attorney on a conditional and temporary basis pursuant to clause (ii) or (iii) of section 5904(a)(1)(B) violates any law or regulation administered by the Secretary under this chapter—
- the Secretary shall, after notice, revoke the conditional and temporary recognition of the individual; and
- such individual shall, after notice and opportunity for a hearing—
- be fined $50,000; and
- shall be barred from recognition under section 5904 of this title—
- (i) for a period of one year beginning on the date of the first violation; and
- (ii) for a period of 10 years beginning on the date of each subsequent violation.
- (d) Deposit of fines
- Any amount received by the Federal Government from a fine imposed under subsection (b) or subsection (c) shall be deposited in the fund established by section 5904(a)(7)(D) of this title.
- by adding at the end the following new subsections:
- (2) Clerical amendment
- The table of sections at the beginning of chapter 59 of such title is amended by striking the item relating to section 5905 and inserting the following new item:
- (b) Effective date
- The amendments made by this section shall take effect on the date that is 180 days after the date on which the Secretary prescribes the regulations required by subsection (b) of section 3.
Not later than one year after the date of the enactment of this Act, the Comptroller General of the United States shall—
- complete a review of the process by which the Secretary of Veterans Affairs, under section 5904 of title 38, United States Code, as amended by this Act, recognizes agents and attorneys for the preparation, presentation, and prosecution of claims for benefits under laws administered by the Secretary; and
- submit to the Committees on Veterans’ Affairs of the House of Representatives and the Senate a report that includes—
- an identification of deficiencies in the administration of such section, as amended by this Act; and
- recommendations of the Comptroller General with respect to legislative or administrative action to improve the administration of such section, as amended by this Act.
- (a) Knowledge test
- Not later than 180 days after the date of the enactment of this Act, the Secretary of Veterans Affairs shall publish, on a publicly-available website of the Department of Veterans Affairs, and on an on-demand basis, the necessary knowledge test to satisfy the requirements for recognition under section 5904 of title 38, United States Code, as amended by this Act.
- (b) Continuing legal education requirements
- (1) In general
- Not later than one year after the date of the enactment of this Act, the Secretary shall issue regulations that—
- update the continuing legal education requirements for continued recognition as an agent or attorney under section 5904 of such title, as amended by this Act; and
- increase the amount of continuing legal education required for such recognition to an amount that is greater than the amount of such continuing legal education required for such recognition as of the date of the enactment of this Act.
- (2) Biennial reviews
- Not later than two years after the date on which the Secretary issues the regulations required under paragraph (1), and on a basis not less frequent than biennially thereafter, the Secretary shall conduct a review of the continuing legal education requirements for continued recognition as an agent or attorney under such section, as amended by this Act.
This Act, and the amendments made by this Act, supersede any State law that is inconsistent with the rights established by this Act, or the amendments made by this Act, and preclude the implementation of such a law, whether statutory, common law, or otherwise, and whether adopted before or after the date of enactment of this Act.
Section 5503(d)(7) of title 38, United States Code, is amended by striking November 30, 2031and inserting April 30, 2032.