Veterans Claims Bill Limits Contracts To Providers With 750 Cases

The text as introduced · 621 words

89R8188 CXP-D

By: Hancock
S.B. No. 1591

A BILL TO BE ENTITLED

AN ACT

relating to the provision of claims assistance services to

veterans.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 434.0078, Government Code, is amended by

adding Subsections (f) and (g) to read as follows:

(f) The commission may contract with the following persons

to provide claims assistance services under Section 434.007(a)(5),

including federal appellate litigation services at the United

States Court of Appeals for Veterans Claims:

(1) a law firm specializing in veteran benefits law

that:

(A) has at least 10 years of experience

representing veterans in disability cases before the United States

Department of Veterans Affairs based on a VA Form 21-22a appointing

at least one attorney employed by the firm as the claimant's

representative of record;

(B) has a principal owner or practice section

chairperson licensed to practice before the United States Court of

Appeals for Veterans Claims who:

(i) has entered appearances in at least 750

cases at the United States Court of Appeals for Veterans Claims; and

(ii) is an accredited representative with

the United States Department of Veterans Affairs;

(C) employs at least one attorney licensed to

practice law in this state who resides in this state; and

(D) maintains a physical office in this state and

has maintained a physical office in this state for at least one year

immediately preceding the date on which the firm enters into a

contract with the commission to provide services under this

subsection; and

(2) an organization exempt from federal income tax

under Section 501(a), Internal Revenue Code of 1986, as an

organization described by Section 501(c)(3) of that code whose

primary mission is to provide disability claims assistance to

veterans and that:

(A) has at least 10 years of experience

representing veterans in disability cases before the United States

Department of Veterans Affairs based on a VA Form 21-22 appointing

the organization as the claimant's representative organization of

record;

(B) employs at least one attorney licensed to

practice before the United States Court of Appeals for Veterans

Claims who:

(i) has entered appearances in at least 750

cases at the United States Court of Appeals for Veterans Claims; and

(ii) is an accredited representative with

the United States Department of Veterans Affairs;

(C) employs at least one attorney licensed to

practice law in this state who resides in this state; and

(D) maintains a physical office in this state and

has maintained a physical office in this state for at least one year

immediately preceding the date on which the organization enters

into a contract with the commission to provide services under this

subsection.

(g) Services provided under Subsection (f) must be provided

as follows:

(1) for representation before the United States Court

of Appeals for Veterans Claims following an adverse decision at the

Board of Veterans' Appeals, representation is free of charge to the

claimant and the state if the claimant's net worth is less than $2

million;

(2) for appeals or supplemental claims following an

initial denial or a remand from the United States Court of Appeals

for Veterans Claims, a person described by Subsection (f) may

charge a claimant a reasonable fee, as defined by applicable

federal statutes and regulations, including the factors and

presumptions specified by 38 C.F.R. Section 14.636, that does not

exceed 33 percent of the claimant's past due benefits;

(3) a fee may not be charged to a claimant for

preparing and filing initial claims with the United States

Department of Veterans Affairs; and

(4) fees or costs may not be charged to the state by a

person described by Subsection (f).

SECTION 2. This Act takes effect September 1, 2025.