GOVERNMENT RELATIONS REPORT
Updated VA 1394 Procedures: What You Need to Know By Amy Schoppman NMEDA DIRECTOR OF GOVERNMENT RELATIONS & PUBLIC POLICY
E
arlier this year, I woke up in
updated VBA rating decision. For
entirely—I was eager to discuss the
a North Little Rock Hampton
the member cases in question, the
challenge with NMEDA’s contacts
Inn. Such an occurrence would
updated eligibility determinations
at VACO and VBA. After providing
normally be considered a bad thing,
typically occurred around the time
an overview of the frequency and
but in this instance, I was filled with
the veteran engaged the mobility
duration of these cases, as well as
neither regret nor dread. In fact, I was
dealer for services. In most of these
a few strongly worded testimonials
feeling rather satisfied with myself
cases, neither the veterans nor the
from dealers and veterans, VA staff
given that I’d driven nearly 1,000
dealers were promptly notified of the
agreed that they would reexamine
miles in 1.5 days and was about to
veteran’s eligibility change, so dealers
the agency’s approach to confirming
whip up a few of those adorable mini
“
a veteran’s eligibility in an effort to
and deliveries only to be ultimately
identify why this was happening and
denied payment for the authorized
how it could be remedied.
waffles in the criminally underrated free breakfast area before continuing my road trip from Florida to New Mexico. To further reveal how low maintenance I can be, I was also legitimately excited to spend the better part of that morning on a call with VA Central Office (VACO) and the Veterans Benefits Administration (VBA). We had much to discuss, namely the confounding “approved but not eligible” situations that had been cropping up over the past year or so. Some background: since 2020, NMEDA has witnessed a sharp increase in dealer reports of VA denying Auto Adaptive Equipment (AAE) benefit payments due to a
proceeded with vehicle modifications
It turns out that there was a pretty straightforward answer to ‘why was this happening?’: VA did not have any mechanism for communication between VHA and VBA regarding changes in a veteran’s eligibility.”
work. VA’s proposed “resolutions” for such cases were unappealing at best: the dealer was directed to repossess the vehicle, convince the veteran to return the vehicle, or file an equitable relief claim and hope for the best.
It turns out that there was a pretty straightforward answer to “why was this happening?”: VA did not have any mechanism for communication between VHA and VBA regarding changes in a veteran’s eligibility. VHA
previously eligible service-connected
Knowing that there had to be better
was relying on VA Form 21-4502
veteran being deemed ineligible to
options for resolution—or, ideally,
to validate a veteran’s eligibility,
receive such benefits based on an
some method for preventing these
but a subsequent rating decision
“approved but not eligible” cases
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NMEDA Circuit Breaker
