President Bush has recommended to Congress a four-part payment plan for veterans disabled on Oct. 7, 2001, or later. It would apply automatically to future disabled veterans and would offer an alternative to veterans receiving disability benefits who were separated or retired since Oct. 7, 2001. According to Donna Shalala, the plan would direct the services to conduct a physical to determine if an ill or injured member is unfit for duty. If found unfit, the member would receive a lifetime annuity based on time in service and final rank. The annuity would be 2.5 percent of basic pay multiplied by total years of service. The Veterans Administration then would award a disability rating, and would provide compensation to help adjust to civilian life, along with monthly payments for loss of earnings ability and loss of quality of life due to the disabilities.
