H.R. 9105

119 HR 9105 IH: Stopping Abuse, Fraud, and Exploitation by Governing Unaccredited Representatives Defrauding Veterans Act of 2026
 U.S. House of Representatives
 2026-06-02
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 I  119th CONGRESS  2d Session  H. R. 9105  IN THE HOUSE OF REPRESENTATIVES   June 2, 2026   Mr. Pappas  (for himself,  Mr. Bacon ,  Ms. Bynum ,  Mr. Lawler ,  Ms. Norton ,  Ms. Budzinski ,  Mr. Keating ,  Ms. Titus ,  Mr. Vindman ,  Mr. Panetta , and  Ms. Craig ) introduced the following bill; which was referred to the  Committee on Veterans' Affairs , and in addition to the Committee on  Energy and Commerce , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned   A BILL
To reinstate criminal penalties for persons charging veterans unauthorized fees relating to claims for benefits under the laws administered by the Secretary of Veterans Affairs, and for other purposes.
1.
Short title
This Act may be cited as the   Stopping Abuse, Fraud, and Exploitation by Governing Unaccredited Representatives Defrauding Veterans Act of 2026   or the   SAFEGUARD Veterans Act of 2026  .
2.
Reinstatement of penalties for charging veterans unauthorized fees relating to claims for benefits under laws administered by the Secretary of Veterans Affairs
(a)
In general
Section 5905 of title 38, United States Code, is amended—
(1)
in the section heading, by striking
Penalty   and inserting
Penalties  ;
(2)
by striking  Whoever  and inserting the following:
(a)
Withholding of benefits
Whoever
 ; and
(3)
by adding at the end the following new subsections:
(b)
Charging of unauthorized fees
Except as provided in sections 5904 and 1984 of this title, whoever solicits, contracts for, charges, or receives, or attempts to contract for, charge, or receive, any fee or compensation with respect to the preparation, presentation, or prosecution of any claim for a benefit under laws administered by the Secretary shall be—
(1)
fined as provided in title 18, or imprisoned not more than one year, or both; and
(2)
barred from recognition under this chapter by the Secretary as an agent or attorney for the preparation, presentation, or prosecution of a claim under laws administered by the Secretary—
(A)
for a period of one year beginning on the date of the first violation; and
(B)
for a period of 10 years beginning on the date of each subsequent violation.
(c)
Recognition required
No person may assist a claimant in the preparation, presentation, or prosecution of a claim under a law administered by the Secretary, unless—
(1)
recognized by the Secretary under this chapter as an agent or attorney for such purposes; or
(2)
acting under direct supervision of an agent or attorney described in paragraph (1).
(d)
Definition of preparation, presentation, or prosecution
In this section, the term  preparation, presentation, or prosecution —
(1)
except as provided in paragraph (2), means any act associated with filing a claim or appeal for a benefit under a law administrated by the Secretary; and
(2)
does not include—
(A)
the provision of a medical opinion or completion of a disability benefits questionnaire by a private sector medical professional; or
(B)
the preparation of an expert opinion in support of a claim or appeal.
 .
(b)
Proposed rule
Not later than 90 days after the date of the enactment of this Act, the General Counsel of the Department of Veterans Affairs shall initiate a rulemaking process for purposes of administering section 5905 of such title and defining  preparation, presentation, or prosecution , as amended by subsection (a).
(c)
Effect on State law
The provisions of section 5905, as amended by subsection (a), shall supersede any provisions of the law of any State or Freely Associated State relating to the recognition of an individual as an agent or attorney for the preparation, presentation, or prosecution of a claim under a law administered by the Secretary of Veterans Affairs, including with respect to provisions of law regarding fee agreements or authority to charge for such services.
(d)
Submission to Congress
The Secretary shall include in documents submitted to Congress in support of the President’s budget submitted pursuant to section 1105 of title 31, United States Code, detailed estimates of the sums and staffing necessary to administer  chapter 59  of title 38, United States Code.
(e)
Clerical amendment
The table of sections at the beginning of chapter 59 of such title is amended by striking the item relating to section 5905 and insert the following new item:
5905. Penalties for certain acts.
  .
3.
Promotion of assistance from persons recognized by the Secretary of Veterans Affairs for individuals who file certain claims under laws administered by the Secretary
(a)
Notice to claimants of available assistance from recognized persons
Section 5103A of title 38, United States Code, is amended—
(1)
by redesignating subsections (g) through (i) as subsections (i) through (k), respectively;
(2)
by inserting after subsection (f) the following new subsections:
(g)
Notice regarding availability of representation
Upon receipt of an initial claim by a claimant not represented by an accredited person, the Secretary shall provide notice to the claimant that—
(1)
provides the website address of the online tool maintained under subsection (h); and
(2)
provides the website address of an appropriate and publicly accessible website of the Department through which a claimant may report—
(A)
a person, who is not an accredited person, who represented the claimant; and
(B)
any fee charged by such person for such representation.
(h)
Online list of accredited, suspended, or excluded persons
(1)
The Secretary shall maintain an online tool that allows a claimant to search a list of accredited persons and persons who are suspended or excluded.
(2)
The Secretary shall ensure that the list required by paragraph (1) is current at least once each calendar quarter.
(3)
The Secretary shall ensure that the online tool required by paragraph (1) is easily accessible to a claimant.
 ; and
(3)
by adding at the end the following new subsection:
(l)
Definitions
In this section:
(1)
The term  accredited person  means—
(A)
a veterans service organization recognized under section 5902 of this title; or
(B)
an individual recognized under section 5904 of this title.
(2)
The term  represent  means to prepare, present, or prosecute a claim under a law administered by the Secretary on behalf of a claimant.
(3)
The term  suspended or excluded  with respect to a person means the Secretary has suspended or excluded the person from practice before the Department under sections 5904(b) and 5905(b) of this title.
 .
(b)
Online information regarding persons that assist claimants
(1)
In general
The Secretary of Veterans Affairs shall include, in each website portal of the Department of Veterans Affairs through which an individual may file a claim for a benefit administered by the Secretary, a warning regarding fees an agent or attorney may charge such individual for assistance in filing such claim.
(2)
Contents
A warning under paragraph (1) shall include the following:
(A)
A link to the online tool maintained under subsection (h) of section 5103A of such title, as amended by subsection (a).
(B)
A link to the website of the Department described in subsection (g)(2) of such section, as amended by subsection (a).
(c)
Report
Not later than 180 days after the date of the enactment of this Act, the Secretary shall—
(1)
complete a review of the regulations, processes, and procedures of the Department of Veterans Affairs that pertain to recognition under section 5904 of title 38, United States Code;
(2)
develop recommendations for legislative or administrative action to improve such regulations, processes, and procedures; and
(3)
submit to the Committee on Veterans’ Affairs of the Senate and the Committee on Veterans’ Affairs of the House of Representatives a report containing the findings of the Secretary with respect to the review completed under paragraph (1) and the recommendations developed under paragraph (2).
4.
Improve warnings about potential predatory practices regarding agents and attorneys for veterans claims
(a)
In general
Section 5901(b) of title 38, United States Code, is amended—
(1)
in paragraph (1)—
(A)
in the matter before subparagraph (A) by striking  , each time a claimant under a law administered by the Secretary logs in to a website or online tool of the Department, such website or online tool issues to the claimant  and inserting  each public-facing website and online tool of the Department issues ;
(B)
in subparagraph (A), by inserting  , including individuals lacking recognition by the Secretary as described in subsection (a)  after  chapter ;
(C)
in subparagraph (C), by striking  ; and  and inserting a semicolon;
(D)
in subparagraph (D), by striking the period at the end and inserting  ; and ; and
(E)
by adding at the end the following new subparagraph:
(E)
a message discouraging veterans from sharing their Department account log-in credentials or bank account log-in credentials, such as usernames or passwords, with anyone.
 ; and
(2)
by adding at the end the following new paragraph:
(3)
The Secretary shall carry out this subsection by acting through the Chief Veterans Experience Officer.
 .
(b)
Effective date
The amendment made by subsection (a) shall take effect on the date that is 180 days after the date of the enactment of this Act.
5.
Gathering information about persons charging for assistance or coaching with filing claims
The Secretary of Veterans Affairs shall take such actions as may be necessary to ensure that on any form that is used by the Department of Veterans Affairs to accept a claim for a benefit under a law administered by the Secretary includes—
(1)
a question regarding whether the claimant was charged for assistance or coaching by any person when gathering information or filing the claim; and
(2)
an option to name the person who provided such assistance or coaching.
6.
Department of Veterans Affairs accreditation system
The Secretary of Veterans Affairs shall establish a system for the purposes of recognition of persons under  chapter 59  of title 38, United States Code, that—
(1)
has 99.9 percent uptime, responsive, and accessible;
(2)
enables agents and attorneys to certify that they have met the requirements for recognition under such chapter;
(3)
enables clients of agents and attorneys recognized under such chapter to file complaints regarding such agents and attorneys and to report violations described in paragraphs (1) through (9) of section 5904(b) and section 5905(b) of such title; and
(4)
is integrated with systems used to administer section 3 of this Act and the amendments made by that section.
7.
Restrictions on the use of automated telephone equipment
Section 227(b)(1) of the Communications Act of 1934 ( 47 U.S.C. 227(b)(1) ) is amended—
(1)
in subparagraph (C), by striking  or  at the end;
(2)
in subparagraph (D), by striking the period at the end and inserting  ; or ; and
(3)
by adding at the end the following:
(E)
to make any call to a telephone number assigned to a Federal department or agency if such call is made by means of equipment that—
(i)
has the capacity, without further human intervention after initial activation—
(I)
to make a series of repeated calls to such number; and
(II)
to provide and receive information by means of such calls; and
(ii)
is operated by any individual or entity other than the individual or entity to whom the information provided or received during such call relates.
 .