The resolution urges Congress to amend federal law to allow veterans to receive disability compensation without the requirement to repay separation payments they received upon leaving military service. Currently, federal regulations prohibit veterans from receiving multiple forms of compensation for their service, leading to a situation where the Department of Veterans Affairs (VA) cannot award disability benefits to veterans who have received separation payments until those payments are fully recouped. This policy often catches veterans off guard, as many are unaware of the recoupment process until they apply for disability benefits, resulting in unexpected financial difficulties.

The resolution highlights the significant financial impact of this policy, noting that the VA recouped over $1.6 billion from more than 79,000 veterans between 2013 and 2020. It argues that separation pay from the Department of Defense and disability compensation from the VA serve different purposes and should not be subject to the same restrictions against double-dipping. By urging Congress to pass legislation that eliminates the recoupment requirement, the resolution aims to protect disabled veterans from undue financial hardship and ensure they receive the benefits they are entitled to without the burden of repayment.