84R4566 MCK-D
By: Miller of Fort Bend H.B. No. 3600
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of persons who assist veterans in
applying for benefits from the United States Department of Veterans
Affairs.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 434, Government Code, is amended by
adding Subchapter H to read as follows:
SUBCHAPTER H. VETERANS BENEFITS ASSISTANCE
Sec. 434.351. DEFINITIONS. In this subchapter:
(1) "Accredited," with respect to an individual, means
the individual is authorized by the United States Department of
Veterans Affairs through accreditation recognition to provide
assistance to claimants in the preparation, presentation, or
prosecution of claims for veterans benefits.
(2) "Assistance," with respect to an initial claim for
veterans benefits, means providing claimant-specific advice,
direction, and recommendations for or preparing or submitting an
application or other forms for veterans benefits on behalf of a
claimant.
(3) "Claimant" means an individual who has filed or
has expressed to an individual who is a service organization
representative, agent, or attorney and who is accredited an
intention to file a written application for determination of
entitlement to veterans benefits and implementing directives.
(4) "Commission" means the Texas Veterans Commission.
(5) "Referring person" means a business,
organization, or other person who provides or may provide a
state-licensed service to a claimant or potential claimant and that
has a financial interest in a successful award for veterans
benefits from the claimant.
(6) "Veterans benefits" means a payment, service,
commodity, function, or status, entitlement to which is determined
under a law administered by the United States Department of
Veterans Affairs pertaining to veterans, dependents, and survivors
and other potential beneficiaries under Title 38, Code of Federal
Regulations.
Sec. 434.352. EXEMPTION. (a) An accredited representative
of the following organizations is exempt from this subchapter:
(1) American Legion;
(2) Veterans of Foreign Wars; and
(3) Disabled American Veterans.
(b) An accredited representative of the commission is
exempt from Section 434.353.
Sec. 434.353. DISCLOSURE REQUIREMENTS FOR ASSISTING
CLAIMANT. (a) Each individual offering to provide or providing
assistance to a veteran with an initial claim for veterans benefits
shall certify the following in writing on a form approved by the
commission:
(1) that the individual has provided evidence from the
United States Department of Veterans Affairs to the claimant that
the individual is:
(A) currently accredited, in compliance with the
provisions of Title 38, Code of Federal Regulations; or
(B) nonaccredited and working as an accredited
attorney's representative in compliance with Title 38, Code of
Federal Regulations, relating to authorized claim representation
under an attorney;
(2) that the claimant or members of the claimant's
family did not make any payment, direct or indirect, including any
disguised fees, in consideration for providing assistance with an
initial claim for veterans benefits;
(3) that the individual did not coerce the claimant or
members of the claimant's family into any monetary arrangement that
benefits the individual providing assistance; and
(4) that if, as a result of the individual providing
assistance for a claim, income is accrued to the individual
providing assistance from the sale of a product or services to the
claimant or members of the claimant's family, the income is both
justified and reasonable as compared with income from similar
products or services available in the community.
(b) A referring person or the individual providing
assistance under this section shall provide to each claimant or
each member of the claimant's family a written disclosure of the
requirements of this subchapter in a form approved by the
commission.
(c) The disclosure form required by Subsection (b) must be
signed by the individual providing assistance with an initial claim
for veterans benefits or the referring person, as applicable, and
by the claimant or members of the claimant's family. The individual
providing assistance and referring person shall:
(1) provide copies of the disclosure form to the
claimant or members of the claimant's family receiving assistance
or a referral for assistance, as applicable, on the day the form is
completed and signed; and
(2) retain the disclosure form until the third
anniversary of the date the form is signed.
Sec. 434.354. COMPLAINT PROCEDURES; AUDITS. (a) The
commission shall establish procedures for processing complaints
related to the provision of assistance with an initial claim for
veterans benefits.
(b) The commission shall investigate each complaint filed
with the commission to determine whether an individual violated
this subchapter.
(c) If, after an investigation, the commission determines
that an individual has violated this subchapter, the commission
shall:
(1) report the violation for criminal prosecution to
the appropriate prosecuting attorney in the county in which the
violation occurred; and
(2) notify the United States Department of Veterans
Affairs of:
(A) an accredited individual's violation of
Title 38, Code of Federal Regulations; or
(B) a nonaccredited individual who is providing
assistance with an initial claim for veterans benefits in violation
of Title 38, Code of Federal Regulations.
(d) The commission shall randomly audit accredited
individuals and referring persons to determine compliance with this
subchapter.
Sec. 434.355. COMMISSION DUTIES. The commission shall
notify annually, or more often as necessary, each accredited
individual and referring person of the disclosure requirements of
this subchapter, including the requirement:
(1) to provide a disclosure form to each claimant or
members of the claimant's family as provided by Section 434.353;
(2) that a copy of the completed, signed disclosure
form be:
(A) provided to the commission; and
(B) retained for three years from the date of
signing; and
(3) that referring persons may refer individuals to
provide assistance with an initial claim for veterans benefits only
if those individuals are accredited or, if nonaccredited, are a
representative of an accredited attorney.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2015.