HR 695: Medal of Honor Act

HR 695 in plain English: This act increases the monthly special pension for living Medal of Honor recipients and sets rules about inflation adjustments to that pension. It also extends an existing cap on pension payments for Medal of Honor recipients living in Medicaid nursing homes with no spouse or child, limiting those payments to $90 per month through January 31, 2033.

Stated purpose

This act increases the monthly special pension paid to living Medal of Honor recipients and makes related adjustments to how that pension is calculated and updated each year.

Key points

• Increases the monthly special pension amount for living Medal of Honor recipients.
• Prohibits inflation-based increases to the pension if the amount was already raised that year.
• Extends the $90 per month pension cap for recipients in Medicaid nursing homes through January 31, 2033.

Arguments supporters make

• Medal of Honor recipients performed the highest acts of military bravery, and a meaningful pension increase is a fitting and long-overdue way to honor their sacrifice.
• Tying the pension to an existing compensation rate rather than a fixed number ensures the benefit keeps pace with veterans' compensation levels going forward.
• Extending the Medicaid nursing home pension cap is necessary to continue an existing policy and avoid a gap in the law.

Arguments opponents make

• Extending the $90-per-month cap on pensions for nursing home veterans keeps a very low payment limit in place for some of the most vulnerable veterans, which critics may see as prioritizing one group while shortchanging another.
• Linking the pension to a compensation rate formula rather than setting a clear dollar amount makes the benefit harder for recipients and the public to understand and predict.
• The extension of the nursing home pension cap through 2033 delays any reconsideration of whether $90 per month is an adequate or fair amount for veterans in that situation.

Tradeoffs

Increasing recognition for Medal of Honor recipients comes alongside the continuation of a strict payment cap for nursing home veterans with no dependents, meaning the bill balances a benefit increase for one group with an extended restriction on another. Tying the pension rate to a formula provides automatic adjustments but also removes the double adjustment protection added in the same bill, creating a tension between flexibility and simplicity.

Current status in Congress: Became law.