United States Court of Appeals for the Federal Circuit
VETERAN WARRIORS, INC., ANDREW D. SHEETS,
KRISTIE SHEETS,
Petitioners
v.
SECRETARY OF VETERANS AFFAIRS,
Respondent
2021-1378
Petition for review pursuant to 38 U.S.C. Section 502.
Decided: March 25, 2022
TIMOTHY Q. LI, Sidley Austin LLP, New York, NY, argued
for petitioners. Also represented by MICHAEL R.
FRANZINGER, Washington, DC; BARTON FRANK STICHMAN,
I, National Veterans Legal Services Program, Washington,
DC.
SOSUN BAE, Commercial Litigation Branch, Civil Division,
United States Department of Justice, Washington,
DC, argued for respondent. Also represented by BRIAN M.
BOYNTON, CLAUDIA BURKE, PATRICIA M. MCCARTHY.
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VETERAN WARRIORS, INC. v.
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Before MOORE, Chief Judge, REYNA and CHEN, Circuit
Judges.
MOORE, Chief Judge.
Veteran Warriors, Inc., Andrew D. Sheets, and Kristie
Sheets (Petitioners) petition for review of a final rule promulgated
by the Department of Veterans Affairs.1 They
claim seven parts of that rule are invalid under the two step
framework set forth in Chevron U.S.A., Inc. v. Natural
Resources Defense Council, Inc., 467 U.S. 837 (1984). The
government challenges Petitioners’ standing. For the following
reasons, we dismiss in part, grant in part, and deny
in part the petition.
BACKGROUND
In 2010, Congress enacted the Caregivers and Veterans
Omnibus Health Services Act, Pub. L. No. 111-163, 124
Stat. 1130 (Caregivers Act) (codified in scattered sections
of title 38). That Act required the VA to establish two programs,
both of which were designed to help individuals who
provide eligible veterans with personal care services. One
program provided assistance to family caregivers—individuals
who provide veterans with personal care services and
who are related to or live with those veterans. 38 U.S.C.
§ 1720G(a) (detailing the family caregivers program). The
other program provided assistance to general caregivers—
other individuals who provide veterans with personal care
services. Id. § 1720G(b) (detailing the general caregivers
program). To implement these programs, the VA promulgated
a series of regulations. 38 C.F.R. pt. 71 (2015).
In 2018, Congress amended the Caregivers Act. See
John S. McCain III, Daniel K. Akaka, and Samuel R.
1 The parties do not identify any relevant distinction
between the VA and the Secretary of Veterans Affairs.
Therefore, we refer to them collectively as the VA.
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Johnson VA Maintaining Internal Systems and Strengthening
Integrated Outside Networks Act, Pub. L. No. 115-
182, 132 Stat. 1393 (VA MISSION Act). The VA MISSION
Act expanded the class of veterans who qualify as eligible
under the family caregivers program. For example, the
program now applies to all veterans regardless of their service
dates, and there are new avenues for a veteran to qualify
as eligible for benefits. Id. § 161, 132 Stat. at 1438–40.
To implement the VA MISSION Act and further improve
the family caregivers program, the VA overhauled its
regulations. Program of Comprehensive Assistance for
Family Caregivers Improvements and Amendments Under
the VA MISSION Act of 2018, 85 Fed. Reg. 46,226 (July 31,
2020) (Final Rule) (to be codified at 38 C.F.R. pt. 71); see
also Program of Comprehensive Assistance for Family
Caregivers Improvements and Amendments Under the VA
MISSION Act of 2018, 85 Fed. Reg. 13,356 (proposed
Mar. 6, 2020) (Proposed Rule) (to be codified at 38 C.F.R.
pt. 71). In general, the VA attempted to clarify, streamline,
and regularize its implementation of the Caregivers Act.
Veteran Warriors (a veterans advocacy organization),
Andrew Sheets (an eligible veteran), and Kristie Sheets
(Mr. Sheets’ caregiver) petition for review of seven parts of
the Final Rule. They challenge six definitions in 38 C.F.R.
§ 71.15 and the residency requirement imposed in 38
C.F.R. § 71.10(b). The government contests Petitioners’
standing.
DISCUSSION
I. Standing
Veteran Warriors claims associational standing to
challenge the Final Rule. To succeed in that claim, Veteran
Warriors must prove (1) “its members would otherwise
have standing to sue in their own right,” (2) “the interests
it seeks to protect are germane to [its] purpose,” and (3)
“neither the claim asserted nor the relief requested
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requires the participation of individual members in the
lawsuit.” Hunt v. Wash. State Apple Advert. Comm’n, 432
U.S. 333, 343 (1977). And it must do so for each challenged
portion of the Final Rule. See Nat’l Org. of Veterans’ Advocs.,
Inc. v. Sec’y of Veterans Affs., 981 F.3d 1360, 1370
(Fed. Cir. 2020) (en banc) (noting that standing must be
shown for “the particular challenged rule”); Mil.-Veterans
Advoc. v. Sec’y of Veterans Affs., 7 F.4th 1110, 1122–32
(Fed. Cir. 2021) (assessing standing on a challenge-by-challenge
basis).
In large part, Veteran Warriors has carried its burden
to prove standing. It provided a declaration from Donald
Lewis, who has standing to challenge three aspects of the
Final Rule. Pet’rs’ Reply Br. Ex. 1; see also Government’s
Suppl. Br. Ex. A ¶ 3 (noting that Mr. Lewis was denied benefits
based on the VA’s definitions for “in need of personal
care services,” “inability to perform an activity of daily living,”
and “need for supervision, protection, or instruction”).
It has also proven that Mr. and Ms. Sheets have standing
to challenge a fourth aspect of the Final Rule—tying benefit
amounts to the GS scale.2 Pet’rs’ Reply Br. Ex. 6; see
Government’s Suppl. Br. Ex. A ¶ 8 (noting that Ms. Sheets’
monthly stipend was reduced when the VA adopted the GS
scale). Likewise, Veteran Warriors has shown that Timothy
Chilson can challenge the Final Rule’s definition of “serious
injury.” Mr. Chilson’s 60-percent disability rating
prevents him from having a “serious injury” under the Final
Rule, despite his need for personal care services. Pet’rs’
Reply Br. Ex. 8 ¶¶ 4, 7. Veteran Warriors has also identified
one of its members who has standing to challenge the
residency requirement, John Reay. Id. Ex. 5; see also Government’s
Suppl. Br. Ex. A ¶ 7 (noting VA denied Mr. Reay
benefits based on that requirement). In addition, Veteran
2 Accordingly, the Sheets have standing to proceed
as individual petitioners.
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Warriors has proven that Jason Wright has standing to
challenge part of the Final Rule’s definition of “unable to
self-sustain in the community,” specifically the portion that
depends on a veteran being in need of continuous supervision,
protection, or instruction. Pet’rs’ Reply Br. Ex. 7
¶¶ 6–7; see also Government’s Suppl. Br. at 8. Each of
these challenges is germane to Veteran Warriors’ purposes
as a veterans advocacy organization, and no challenge requires
the involvement of an individual member. Thus,
Veteran Warriors has proven all three prongs of associational
standing for these challenges.
But Veteran Warriors has not carried its burden to
prove standing for part of its challenge to the Final Rule’s
definition of “unable to self-sustain in the community.” No
declarant has standing to challenge the “three or more activities
of daily living” pathway for satisfying that definition.
Mr. Wright’s declaration is limited to his need for
supervision, protection, or instruction. Pet’rs’ Reply Br.
Ex. 7 ¶ 6–7. Monet Gay has died, preventing her declaration
from supporting standing. Government’s Suppl. Br. at
Ex. A ¶ 4. Todd Servello, Pet’rs’ Reply Br. Ex. 3 ¶ 7, and
Kaitlyn Laycoax, id. Ex. 4 ¶ 7, claim a need for assistance
with all their activities of daily living, undermining any
claim of injury in fact. If those allegations are true,
Mr. Servello and Ms. Laycoax would be entitled to full benefits
regardless of the VA’s “three or more” language. Without
an individual member who would have standing to sue
in his own right, Veteran Warriors cannot establish associational
standing for this challenge. Thus, we dismiss Petitioners’
challenge to the “three or more activities of daily
living” requirement for a veteran to qualify as unable to
self-sustain in the community.3
3 Petitioners sought leave to file certain supplemental
declarations. Because we need not rely on those
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II. Merits
Congress delegated the VA authority to “establish a
program of comprehensive assistance for family caregivers
of eligible veterans.” See 38 U.S.C. § 1720G(a)(1)(A). We
must, therefore, defer to VA regulations interpreting the
statutory framework. See United States v. Mead Corp., 533
U.S. 218, 229 (2001) (deferring when “Congress would expect
the agency to be able to speak with the force of law”).
And we do so under the two-step framework set forth in
Chevron, 467 U.S. at 842–43. Step one asks “whether Congress
has directly spoken to the precise question at issue.”
Id. at 842. “If the intent of Congress is clear, that is the
end of the matter,” and we “must give effect to the unambiguously
expressed intent of Congress.” Id. at 842–43. If,
however, “the statute is silent or ambiguous with respect
to the specific issue,” we proceed to step two of the Chevron
framework, at which we determine “whether the agency’s
answer is based on a permissible construction of the statute.”
Id. at 843.
Petitioners challenge seven parts of the Final Rule.
For each challenge, they claim the regulatory text is both
inconsistent with and an unreasonable interpretation of
the statutory framework. The government, for its part, defends
the VA’s regulations as reasonable interpretations of
statutory silence or ambiguity. We take each challenge in
turn.4
declarations and because they do not speak to the “three or
more” requirement, we deny Petitioners’ motion as moot.
4 At various points, Petitioners argue any silence or
ambiguity in the statute must be resolved in the veteran’s
favor. See Brown v. Gardner, 513 U.S. 115, 118 (1994) (reciting
“the rule that interpretive doubt is to be resolved in
the veteran’s favor”). But they fail to develop those
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A. In Need of Personal Care Services
Petitioners’ first challenge is aimed at the VA’s definition
of “in need of personal care services.” See 38 C.F.R.
§ 71.15. The phrase “in need of personal care services” appears
only once in the statute:
(2) For purposes of this subsection, an eligible veteran
is any individual who . . .
(C) is in need of personal care services because
of—
(i) an inability to perform one or
more activities of daily living;
(ii) a need for supervision or protection
based on symptoms or residuals
of neurological or other
impairment or injury;
(iii) a need for regular or extensive
instruction or supervision without
which the ability of the veteran to
function in daily life would be seriously
impaired; or
(iv) such other matters as the Secretary
considers appropriate.
38 U.S.C. § 1720G(a) (emphasis added). A veteran who is
“in need of personal care services” may qualify as an
arguments, just asserting the rule without explanation.
See, e.g., Pet’rs’ Br. 43, 46, 48, 50, 53, 54, 57. Accordingly,
we need not consider whether or how the pro-veteran canon
applies in this case. See SmithKline Beecham Corp. v. Apotex
Corp., 439 F.3d 1312, 1320 (Fed. Cir. 2006) (when a
party does not develop an argument, we treat that argument
as waived).
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“eligible veteran,” thereby entitling his family caregivers to
benefits. Id.
In the Proposed Rule, the VA read this language and
the broader statutory context as creating a gap. 85 Fed.
Reg. at 13,359. It concluded that Congress had not spoken
to the meaning of “in need of personal care services,” leaving
that question to the VA. Id. The VA then filled that
gap with a regulatory definition. See 38 C.F.R. § 71.15.
Under § 71.15, a veteran is “in need of personal care services”
when he “requires in-person personal care services
from another person, and without such personal care services,
alternative in-person caregiving arrangements (including
respite care or assistance of an alternative
caregiver) would be required to support the eligible veteran’s
safety.”
Petitioners challenge the in-person requirement. They
claim the VA’s interpretation is inconsistent with the statutory
text, which does not establish an in-person requirement.
They also argue the VA’s interpretation is
unreasonable, preventing Chevron deference at step two.
We do not agree.5
5 For this challenge and others, Petitioners suggest
the questions at issue are of “deep “economic and political”
significance,” and thus, Congress would not have delegated
to the VA authority to resolve them. Pet’rs’ Reply Br. 12
(quoting King v. Burwell, 576 U.S. 473, 486 (2015)). But
this is not one of the “extraordinary cases” contemplated in
King, 576 U.S. at 485–86, to which the Chevron framework
does not apply. The questions presented here do not approach
the significance of the question presented in King—
which involved billions of dollars and affected millions of
people. See J.A. 396 (noting around 15,600 caregivers have
been awarded benefits). Accordingly, we apply Chevron
throughout.
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- Step One
Congress has not spoken to the precise interpretive
question at issue in this challenge—whether a veteran
must require in-person care to be “in need of personal care
services.” The statutory text does not address where personal
care services must be provided; the statutory structure
provides no additional clarity; and the legislative
history does not evidence an unambiguous congressional
intent for “in need of personal care services” to include remote
care. Put simply, there is a gap in the statute.
We start with the meaning of “in need of personal care
services.” Congress defined part of that phrase, “personal
care services,” to mean:
[S]ervices that provide the veteran the following:
(A) Assistance with one or more activities
of daily living.
(B) Supervision or protection based on
symptoms or residuals of neurological or
other impairment or injury.
(C) Regular or extensive instruction or supervision
without which the ability of the
veteran to function in daily life would be seriously
impaired.
(D) Any other non-institutional extended
care (as such term is used in section
1701(6)(E) of this title).
38 U.S.C. § 1720G(d)(4). This definition describes what
services qualify as “personal care services”—for example,
assistance with an activity of daily living. But it does not
expressly describe where those services must be provided.
That is, the definition does not directly speak to the interpretive
question at issue here.
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Nor can we infer an answer to the interpretive question
at issue from that definition. Four subsections—
§ 1720G(d)(4)(A) through (D)—delineate the universe of
services that qualify as “personal care services.” If all of
those subsections are unambiguously limited to in-person
care, the statute would compel the VA’s interpretation.6 At
least subsection (C), however, could be read broadly to include
remote services. Id. § 1720G(d)(4)(C). Instruction
and supervision—even if regular, extensive, and necessary
for a veteran to function in daily life—conceivably could be
administered remotely. A family caregiver could, for example,
instruct a veteran to take life-saving medication over
the phone multiple times a day. Under a broad interpretation
of subsection (C), then, the veteran could be eligible
based on a need for remote personal care services.
That said, the potential breadth of subsection (C)—or
any other subsection that could be read to include remote
services—does not compel Petitioners’ interpretation. The
vast majority of services that fit neatly within the statutory
definition are administered in person. Assistance with activities
of daily living—like bathing, toileting, and
6 The VA’s interpretation would not be compelled if
only a single subsection (or something less than all subsections)
were limited to in-person care because the subsections
are listed disjunctively, rather than conjunctively. To
be sure, § 1720G(d)(4) does not use conjunctive (“and”) or
disjunctive (“or”) language when listing the four statutory
categories. Context, however, shows the disjunctive applies.
The definition of “in need of personal care services”
uses the disjunctive when listing subsections very similar
to those listed in the definition of “personal care services.”
Compare 38 U.S.C. § 1720G(a)(2)(C) with id. § 1720G(d)(4).
It would be inconsistent for Congress to use the disjunctive
in § 1720G(a)(2)(C) while intending § 1720G(d)(4) to be
conjunctive.
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dressing—occurs mostly (if not exclusively) in person. See
38 U.S.C. § 1720G(d)(4)(A). See generally 38 C.F.R. § 71.15
(listing activities of daily living, including bathing, toileting,
and dressing). Protection and supervision, while perhaps
possible to provide remotely, are largely in-person
forms of assistance. It would be difficult to protect or supervise
a veteran over the telephone or a videocall. The
nature of the services suggests that “personal care services”
are meant to be in-person care. While subsections
(A) through (D) are not unambiguously limited to in-person
care, they do not unambiguously include remote care either.
Ultimately, those categories do not provide an answer
to the interpretative question at issue here.
Apart from the statutory definition, the ordinary meaning
of the phrase “personal care services” does not clarify
Congress’ intent regarding where those services must be
provided. No party has identified a relevant technical
meaning for “personal care services.” See Van Buren v.
United States, 141 S. Ct. 1648, 1657 (2021) (“[C]ourts take
note of terms that carry ‘technical meanings.’”). And the
word personal does not limit “personal care services” to
those services administered in person. The VA identified
two common meanings for that word: “done, made, or performed
in person” and “[o]f or relating to a particular person.”
See Proposed Rule, 85 Fed. Reg. at 13,360 (quoting
The American Heritage Dictionary of the English Language
1311 (4th ed. 2000)). In this context, however, the
latter definition fits more naturally. The statute discusses
various types of “services,” of which “personal care services”
is one example. See, e.g., 38 U.S.C.
§ 1720G(a)(3)(A)(ii)(II) (“mental health services”); id.
§ 1720G(a)(3)(A)(ii)(VI)(aa) (“financial planning services”);
id. § 1720G(a)(3)(A)(ii)(VI)(bb) (“legal services”); id.
§ 1720G(b) (“support services”). For the other uses of “services,”
the modifier describes what the services are, not
where they are provided. Applied to “personal care services,”
that means the second definition—of or relating to
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a particular person—controls. Of the two definitions, it is
the only one that speaks to what the services are; “personal
care services” are services that relate to a particular veteran.
In short, the ordinary meaning of “personal care services”
does not speak to where those services must be
administered.
In addition to defining “personal care services,” the
statute describes which veterans qualify as “in need of personal
care services.” See 38 U.S.C. § 1720G(a)(2)(C). It
does not, however, address the location of personal care
services in that description. In large part, § 1720G(a)(2)(C)
parrots the language contained in the definition of “personal
care services.” When it does use different language,
the changes are minor. For example, compare the relevant
provisions’ language regarding activities of daily living:
[§ 1720G(d)(4):] “[P]ersonal care services” . . .
means services that provide . . . assistance with one
or more activities of daily living.
[§ 1720G(a)(2)(C):] [A]n eligible veteran is any individual
who . . . is in need of personal care services
because of . . . an inability to perform one or more
activities of daily living.
(emphases added). The differences here show only what
“in need of” means: in this context, having “an inability to
perform.” That does not speak to where personal care services
are administered. And the other statutory differences
track this pattern, explaining what “in need of” means for
each aspect of “personal care services.” Thus, the statutory
description of “in need of personal care services” is also silent
regarding where personal care services must be administered.
Accordingly, no part of “in need of personal care services”
addresses whether personal care services must be
provided in person. The statute defines “personal care services”
and describes which veterans are “in need of
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personal care services,” but it says nothing about where
those services must be provided. Still, we must consider
the statutory context before concluding there is a statutory
gap. See Util. Air Regul. Grp. v. E.P.A., 573 U.S. 302, 320
(2014) (noting words of a statute must be read in context);
cf. Kisor v. Wilkie, 139 S. Ct. 2400, 2415 (2019) (“[A] court
cannot wave the ambiguity flag just because it found the
regulation impenetrable on first read.”). The parties identify
several provisions as relevant to where “personal care
services” are administered, but no provision resolves the
statutory silence.
First, the statutory definition of “family member” does
not speak to where personal care services are administered.
Family caregiver benefits are available only to a veteran’s
“family member[s].” And subsection (d)(3) defines
who qualifies as a family member:
The term “family member”, with respect to an eligible
veteran under subsection (a), means an individual
who—
(A) is a member of the family of the veteran,
including—
(i) a parent;
(ii) a spouse;
(iii) a child;
(iv) a step-family member; and
(v) an extended family member; or
(B) lives with the veteran but is not a member
of the family of the veteran.
Under this definition, a member of the veteran’s family
need not live with him to qualify for benefits. That does
not, however, necessarily bring remote services within the
scope of the phrase “personal care services.” There is no
statutory link between where a caregiver lives and where
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personal care services are administered. So the former provides
no insight into the latter.
Second, the general caregivers program allows for remote
support services, but it says nothing about where personal
care services are administered. The general
caregivers program provides benefits, called support services,
to veterans’ caregivers. Those benefits include:
(i) Services regarding the administering of personal
care services, which, subject to subparagraph
(B), shall include—
(I) educational sessions made available
both in person and on an Internet website;
(II) use of telehealth and other available
technologies; and
(III) teaching techniques, strategies, and
skills for caring for a disabled veteran; . . . .
38 U.S.C. § 1720G(b)(3)(A)(i) (emphases added). While
Congress expressly permitted caregivers to receive remote
training and education, that says nothing about whether
veterans can receive remote care from these caregivers.
There is no statutory link between the location of support
training services for the caregivers and the location of personal
care services for the veterans. Thus, this provision
does not fill the statutory silence regarding where personal
care services are administered.
Nor does this provision turn that silence into a proscription,
foreclosing the VA’s interpretation because Congress
called out “in-person” services in one provision while
remaining silent in another. Congress expressly defined
“support services” to include both in-person and remote
services but remained silent with respect to “personal care
services.” It did so while delegating to the VA authority to
“establish a program of comprehensive assistance for family
caregivers of eligible veterans.” 38 U.S.C.
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§ 1720G(a)(1)(A). This suggests Congress delegated the interpretive
question here—where personal care services are
administered—to the VA. “[A] congressional mandate in
one section and silence in another often suggests not a prohibition
but simply a decision not to mandate any solution
in the second context, i.e., to leave the question to agency
discretion.” Catawba Cnty., N.C. v. E.P.A., 571 F.3d 20, 36
(D.C. Cir. 2009).
Third, the statutory stipend provisions do not address
where “personal care services” are administered. Primary
family caregivers are entitled to a monthly stipend. 38
U.S.C. § 1720G(a)(3)(A)(ii)(V). While Congress delegated
to the VA authority to set the stipend amount, see id.
§ 1720G(a)(3)(C)(i), it provided certain guidelines. One
guideline uses “home health care” wages to set a minimum
compensation level:
The Secretary shall ensure, to the extent practicable,
. . . that the amount of the monthly personal
caregiver stipend . . . is not less than the monthly
amount a commercial home health care entity
would pay an individual in the geographic area of
the eligible veteran to provide equivalent personal
care services to the eligible veteran.
Id. § 1720G(a)(3)(C)(ii) (emphasis added). But that is several
steps removed from the question here: where personal
care services are administered. It is less than clear that
home health aides provide only in-person services. And
even if that were true, nothing in the statute requires a
family caregiver to provide the same services that a home
health aide provides. Without these links, the stipend provision
does not speak to where personal care services are
administered.
Fourth, the availability of “in-home” respite care also
does not fill the statutory gap. In addition to a stipend,
primary family caregivers are entitled to:
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[R]espite care of not less than 30 days annually, including
24-hour per day care of the veteran commensurate
with the care provided by the family
caregiver to permit extended respite.
Respite care provided under subparagraph
(A)(ii)(III) shall be medically and age-appropriate
and include in-home care.
38 U.S.C. § 1720G(a)(3)(A)(ii)(III), 1720G(a)(3)(B) (emphasis
added). The “in-home” language in this provision suggests
that some respite care may be intended to replace inperson
personal care services. But this does not mean personal
care services must be administered in person. Respite
care need only “include in-home” care; there is no
suggestion that respite care must be limited to such care.
A family caregiver may be providing only remote services,
in which case in-person respite care may not be “commensurate
with the care provided by [that] caregiver” or “medically
. . . appropriate.” See id. § 1720G(a)(3)(A)(ii)(III),
1720G(a)(3)(B). In such circumstances, remote respite care
might be available. It is also possible for in-home respite
care to be provided when the family caregiver only provided
remote care, e.g., replacing phone call reminders with inperson
reminders. At best, this subsection contemplates
some in-person personal care services that will be replaced
with in-person respite care. It does not, however, limit personal
care services to in-person care.
Fifth, the VA’s monitoring obligations do not limit “personal
care services” to in-person care. As part of the family
caregivers program, the VA must “monitor the well-being
of each eligible veteran receiving personal care services”
and “document each finding the Secretary considers pertinent
to the appropriate delivery of personal care services
to an eligible veteran under the program.” 38 U.S.C.
§ 1720G(a)(9)(A)–(B). And it must “establish procedures”
to satisfy those obligations that “may include . . . [v]isiting
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an eligible veteran in the eligible veteran’s home to review
directly the quality of personal care services provided to the
eligible veteran.” Id. § 1720G(a)(9)(C)(i) (emphasis added).
This language, at best, contemplates that some personal
care services may be provided in person. Indeed, the VA
could visit a veteran’s home to observe how remote services
are administered. The monitoring obligations do not answer
the interpretive question here.
Separate from the text and structure of the statute, Petitioners
claim § 1720G’s history and purpose foreclose the
VA’s interpretation. They point to the VA MISSION Act as
evidencing Congress’ intent to expand benefits. Certainly,
that Act expanded the definitions of “personal care services”
and “in need of personal care services.” See id. § 161,
132 Stat. at 1439–40. By doing so, it provided benefits to
additional caregivers. But it did not speak to where personal
care services must be administered for a caregiver to
be entitled to benefits. Petitioners have shown nothing
more than a vague congressional intent to expand benefits,
and that cannot overcome the statutory silence. See, e.g.,
Hyundai Steel Co. v. United States, 19 F.4th 1346, 1354–
55 (Fed. Cir. 2021) (holding general statements in the legislative
history did not express Congress’ intent regarding
the interpretive question at issue); In re Gateway Radiology
Consultants, P.A., 983 F.3d 1239, 1261 (11th Cir. 2020)
(noting legislative history rarely speaks with sufficient
clarity to resolve an interpretive question at step one).
All told, Congress has not spoken to the precise interpretive
question at issue. The text and structure of the
statute are silent. And the legislative history does not evidence
Congress’ clear intent. Thus, the Chevron step one
analysis is not decisive, and we must continue on to step
two.
- Step Two
The VA’s interpretation of the statutory silence—the
in-person requirement promulgated in 38 C.F.R. § 71.15—
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is a permissible construction of the statute. That interpretation
reflects the VA’s reasonable policy judgment. See
Nat’l Cable & Telecomms. Ass’n v. Brand X Internet Servs.,
545 U.S. 967, 986 (2005) (“[W]e defer at step two to the
agency’s interpretation so long as the construction is a reasonable
policy choice for the agency to make.”). And it does
not conflict with the regulatory scheme. Accordingly, we
must defer to the VA’s interpretation.
The VA promulgated its definition of “in need of personal
care services” to clarify the bounds of the family caregivers
program. It explained how the regulatory definition
of personal care services “does not delineate whether such
services must be provided in person or can be provided remotely[.]”
Proposed Rule, 85 Fed. Reg. at 13,359. Looking
to the statutory text, the VA found that the family caregivers
program “was intended to provide assistance to [f]amily
[c]aregivers who are required to be physically present to
support eligible veterans in their homes.” Id.; accord Final
Rule, 85 Fed. Reg. at 46,228. The VA, therefore, promulgated
a definition of “in need of personal care services” that
limited the family caregivers program to veterans who require
in-person care. It believed that definition “would reduce
clinical subjectivity in [the family caregivers
program’s] eligibility determination[] and thereby improve
consistency in the program.” Proposed Rule, 85 Fed. Reg.
at 13,359; accord Final Rule, 85 Fed. Reg. at 46,228. It also
noted how the definition of “in need of personal care services”
supports the VA’s decision to focus the family caregivers
program “on eligible veterans with moderate [to]
severe needs.” See Final Rule, 85 Fed. Reg. at 46,228; accord
Proposed Rule, 85 Fed. Reg. at 13,356.
This explanation shows the VA made a reasonable policy
decision in promulgating its definition of “in need of personal
care services.” It is reasonable for the VA to prefer
clear, objective rules. A clear rule can reduce costs, promote
predictability, and ensure uniform application. It is
also reasonable for the VA to focus on veterans who have
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moderate to severe needs. Indeed, the statutory text supports
such a focus. 38 U.S.C. § 1720G(a)(2)(B) (restricting
eligibility to veterans who have “serious injur[ies]”). And
the VA’s definition of “in need of personal care services”
forwards both of those goals.
Petitioners claim the VA’s definition of “in need of personal
care services” is entitled to less deference under Watt
v. Alaska, 451 U.S. 259, 273 (1981). But they have failed
to make the predicate showing necessary for Watt to apply:
that the “current interpretation [is] in conflict with [the
VA’s] initial position.” See id. Until the VA promulgated
its Final Rule, it had never considered where personal care
services must be administered. Thus, there was no “initial
position” to create a conflict, and Watt does not apply.
Petitioners also argue the VA has interpreted “personal
care services” inconsistently between the family and general
caregivers programs. Pet’rs’ Reply Br. 10. But the VA
has not interpreted “personal care services” to include remote
care for the general caregivers program. Indeed, the
VA has left that question open. See Final Rule, 85 Fed.
Reg. at 46,229 (The “VA will consider whether changes to
the regulations governing [the general caregiver program]
are appropriate in the future.”); see also Government’s
Resp. Br. at 22 (quoting Proposed Rule, 85 Fed. Reg. at
13,359). It defined where personal care services must be
administered for the family caregivers program, but it did
not address the general caregivers program. In effect, the
VA provided a partial answer to the question of where personal
care services must be administered. And the VA
“ha[s] great discretion to treat a problem partially and regulate
in a piecemeal fashion.” Transp. Div. of the Int’l Ass’n
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of Sheet Metal, Air, Rail & Transp. Workers v. Fed. R.R.
Admin., 10 F.4th 869, 875 (D.C. Cir. 2021).7
Ultimately, the VA’s interpretation of the statutory silence
is a permissible construction of the statute. The VA
made a reasonable policy choice, and we must defer to that
choice. We therefore deny the petition as to this portion of
the Final Rule.8
B. Serious Injury
Petitioners next challenge the VA’s definition of “serious
injury.” 38 C.F.R. § 71.15. That phrase appears in the
statutory provision defining “an eligible veteran”:
[A]n eligible veteran is any individual who . . . for
assistance provided under this subsection [effective
on certain dates] . . . has a serious injury (including
traumatic brain injury, psychological
trauma, or other mental disorder) incurred or
7 We understand the Petitioners’ argument that, if
the VA eventually answers that interpretive question differently
for the general caregivers program, it may be an
unreasonable interpretation of the statute. The statutory
definition of “personal care services” applies to both the
family and general caregivers program. 38 U.S.C.
§ 1720G(d)(4). And the general caregivers program, like
the family caregivers program, is limited to those veterans
“who need[] personal care services.” Id. § 1720G(b)(2). But
Petitioners have not identified a regulation adopting such
an interpretation for the general caregiver program. So
that question is not before us.
8 Because we set aside the VA’s definition of “need
for supervision, protection, or instruction,” we need not address
Petitioners’ argument that definition conflicts with
the VA’s definition of “in need of personal care services.”
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aggravated in the line of [active] duty [during certain
service dates].”
38 U.S.C. § 1720G(a)(2)(B) (emphasis added). Unless a veteran
has a “serious injury,” his family caregivers cannot receive
benefits under § 1720G(a).
From 2011 through 2020, the VA defined “serious injury”
as “any injury, including traumatic brain injury, psychological
trauma, or other mental disorder, incurred or
aggravated in the line of [active] duty [during certain services
dates], that renders the veteran or servicemember in
need of personal care services.” See 38 C.F.R. § 71.15
(2011) (interim rule); 38 C.F.R. § 71.15 (2015) (final rule).
As the VA recognized, this is “a virtually verbatim recitation
of” the statutory language. Caregivers Program,
80 Fed. Reg. 1357, 1360 (Jan. 9, 2015).
In 2020, the VA revised its definition. Proposed Rule,
85 Fed. Reg. at 13,365. Because the prior definition had
not “provid[ed] guidance or clarity” as to the meaning of
“serious injury,” the VA had problems implementing the
family caregivers program. Id. at 13,365–66. To resolve
those problems, the VA redefined “serious injury” to mean:
[A]ny service-connected disability that:
(1) Is rated at 70 percent or more by VA; or
(2) Is combined with any other service-connected
disability or disabilities, and a combined
rating of 70 percent or more is
assigned by VA.
38 C.F.R. § 71.15.
Petitioners argue that redefinition is inconsistent with
and an unreasonable interpretation of the statutory text.
We do not agree.
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Congress has not spoken to the interpretive question
rasied in Petitioners’ second challenge—the meaning of
“serious injury” in § 1720G(a)(2)(B). Petitioners have not
identified a definition for that phrase, and the surrounding
text does not completely resolve its meaning. The text provides
insight into the meaning of “injury,” but not the
meaning of “serious injury.” The statute is ambiguous, and
we must defer to the VA’s resolution of that ambiguity.
The statutory text fails to provide a definition of “serious
injury.” That term is nowhere to be found in 38 U.S.C.
§ 1720G(d), the definitional section for the family caregivers
program. In fact, no other provision in title 38 uses the
phrase “serious injury.” A slight variation—“seriously injured”—
does appear in 38 U.S.C. § 3319(h)(5)(B). But that
subsection just cross-references § 1720G(a) without further
defining “serious injury” or “seriously injured.” Id.
§ 3319(h)(5)(B). And no common meaning or dictionary
definition for “serious injury” exists in the record before us.
Accordingly, the phrase “serious injury,” by itself, lacks definite
meaning.
The surrounding statutory text, however, narrows the
universe of permissible interpretations of “serious injury.”
Congress ensured that phrase would “includ[e] traumatic
brain injury, psychological trauma, or other mental disorder.”
38 U.S.C. § 1720G(a)(2)(B). Thus, “serious injury”
must include more than just physical injuries; mental disorders
can qualify as serious. And any interpretation of
“serious injury” that excludes all mental disorders would
be unreasonable.
At the same time, the statutory language does not require
“serious injury” to include all “traumatic brain injur[
ies], psychological trauma[s], [and] mental disorder[s].”
Cf. id. Such an interpretation would lead to “unreasonable
results.” Am. Tobacco Co. v. Patterson, 456 U.S. 63, 71
(1982) (“Statutes should be interpreted to avoid untenable
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distinctions and unreasonable results whenever possible.”).
It would render the word serious meaningless for
mental disorders—every mental disorder would qualify as
a “serious injury” because every mental disorder would fall
within the “other mental disorder” category. And it would
create a disparity between the statute’s treatment of physical
and mental disorders. Only serious physical disorders,
but every mental disorder, would render a veteran eligible
under § 1720G(a)(2)(B).
Nor does the statutory text require “serious injury” to
operate as a proxy for veterans who are “in need of personal
care services.” Though much of § 1720G(a) focuses on the
need for personal care services, § 1720G(a)(2)(B) expressly
requires veterans to also have incurred or aggravated a serious
injury during active-duty service. Accordingly, “serious
injury” must be distinct from personal care services. If
not, the phrase “serious injury” would have no meaning.
For similar reasons, Petitioners’ arguments for linking
“personal care services” with “serious injury” based on the
legislative history fail. They point to an Explanatory Statement
from Senator Akaka that seems to equate “serious injury”
with the need for personal care services. 156 Cong.
Rec. S2566, S2567 (Apr. 22, 2010) (“Severely injured veterans
are defined as those who need personal care services
because . . . .”). But the statutory text makes clear that “serious
injury” and “in need of personal care services” are
separate requirements for a veteran to qualify as eligible.
And the Explanatory Statement cannot overcome the enacted
text. E.g., Church of Scientology of Cal. v. I.R.S., 792
F.2d 153, 162 (D.C. Cir. 1986) (“The factual inaccuracy in
the case as originally presented to us shows the wisdom of
relying upon the text and structure of the statute rather
than this statement by a single senator as a means of ascertaining
the Congress’[] intent.”).
Likewise, the purpose of disability ratings—quantifying
a veteran’s impairment in earning capacity—does not
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foreclose the VA’s interpretation. Disability ratings “represent
as far as can practicably be determined the average
impairment in earning capacity resulting from [serviceconnected]
diseases and injuries and their residual conditions
in civil occupations.” 38 C.F.R. § 4.1. But that purpose
does not prevent the VA from using disability ratings
to define “serious injury.” It is possible that serious injuries
are those injuries that have a great impact on a veteran’s
earning capacity. Or, perhaps, disability ratings may serve
as an easily administrable proxy for “serious injur[ies]” under
the plain meaning of that phrase. Nothing in the statutory
language, structure, or purpose forecloses that
understanding of the word serious.
Finally, Congress’ rejection of an amendment that
would have limited the family caregivers program to those
veterans who would otherwise need nursing home care
does not foreclose the VA’s interpretation. See 155 Cong.
Rec. S11523-02 (Nov. 19, 2009). To be sure, a veteran’s rating
level factors into whether that veteran is entitled to
nursing home care. 38 U.S.C. § 1710A. If the veteran has
a 70 percent or greater disability rating and “is in need of”
nursing home care, the VA must provide that care. But
this does not equate eligibility under the family caregivers
program to eligibility for nursing home care. In each instance,
the veteran must also show he is in need of the particular
care sought, either family caregiver benefits (see 38
U.S.C. § 1720G(a)(2)(C)) or nursing home care (see 38
U.S.C. § 1710A(a)(2)).
Ultimately, the phrase “serious injury” is ambiguous.
It has no statutory definition, and the parties have not
identified a common meaning for that phrase. The statutory
context provides some insight into what “injury”
means, but it does not clarify what injuries are serious. Implicitly,
therefore, Congress delegated that question to the
VA. In such circumstances, we must defer to the VA’s interpretation
of the statutory scheme.
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The VA’s interpretation of “serious injury”—requiring
a 70 percent disability rating—is a permissible construction
of the statute. That interpretation reflects the VA’s
reasonable policy judgment. Accordingly, we must defer to
the VA’s interpretation. See Brand X, 545 U.S. at 986 (discussing
step two).
The VA amended its definition of “serious injury” to
ease administration of the family caregivers program. In
the VA’s view, its prior definition lacked clarity and led to
“inconsistent eligibility determinations by VA providers.”
Proposed Rule, 85 Fed. Reg. at 13,365–66. Providers had
interpreted the word injury differently, causing inequitable
administration of the family caregivers program. Id. at
13,366. So the VA expanded its definition of “serious injury”
to include all service-connected disabilities, regardless
of whether the disability is an injury. Id. at 13,366– - It noted how this definition would be “more objective,
inclusive, and equitable,” especially for the older veterans
now included in the family caregivers program by virtue of
the VA MISSION Act. Id. at 13,367–68. And it explained
how the requirement that the injury be “incurred or aggravated
in the line of duty in the active military, naval, or air
service” is indistinguishable from the definition of service
connection. Proposed Rule, 85 Fed. Reg. at 13,370 (citing
38 U.S.C. § 101(16)).
Also, to distinguish serious injuries from non-serious
injuries, the VA required veterans to have a 70 percent or
higher disability rating. Id. at 13,369. It believed this
would help focus the family caregivers program on those
veterans with moderate to severe needs. Id. And it assessed
other rating levels—like 50, 60, and 100 percent—
finding them either too restrictive or too lax. Id.; see also
Final Rule, 85 Fed. Reg. at 46,248. Moreover, it noted how
98 percent of veterans who were participating in the family
caregivers program at that time had a 70 percent or higher
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rating. Final Rule, 85 Fed. Reg. at 46,248. Like the service-
connected disability change, the VA believed adopting
a 70 percent disability requirement “would provide a transparent
and clearly defined standard that can be consistently
applied throughout VA.” Proposed Rule, 85 Fed. Reg.
at 13,369.
Combined, these two changes decoupled the definition
of “serious injury” from the definition of “in need of personal
care services.” Proposed Rule, 85 Fed. Reg. at
13,369–70. Now, “serious injury” has a definition of its
own, rather than parroting the statutory language defining
“in need of personal care services.” The VA noted how this
tracks the statutory structure, which lists “serious injury”
and “in need of personal care services” requirements as
separate conditions for a veteran to qualify as eligible. Final
Rule, 85 Fed. Reg. at 46,246 (citing 38 U.S.C.
§ 1720G(a)(2)(B)–(C)). Again, the VA viewed this change
as eliminating inconsistent administration caused by the
complexity of conducting medical evaluations.
We cannot say the VA’s definition of “serious injury” is
an unreasonable policy choice. The VA redefined that
phrase in an attempt to provide clarity, reduce inequity,
and streamline administration. Those are, no doubt, reasonable
policy goals. And Petitioners have not persuasively
argued that the VA’s definition of “serious injury” is
an unreasonable effort at achieving those goals.
Instead, Petitioners argue the VA’s “serious injury”
definition is wholly unpersuasive and entitled to less deference
under Watt, 451 U.S. at 273. This time, Petitioners
have made the predicate showing necessary for Watt to apply:
a conflict between the VA’s current position and its
initial position on the meaning of “serious injury.” See id.
But Petitioners overstate Watt given the Supreme Court’s
more recent precedent on changed interpretations.
“The Supreme Court has rejected the argument that an
agency’s interpretation is not entitled to deference because
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it represents a sharp break with prior interpretations of
the statute in question.” Info. Tech. & Applications Corp.
v. United States, 316 F.3d 1312, 1322 (Fed. Cir. 2003) (internal
quotation marks omitted). Chevron itself involved a
changed interpretation, 467 U.S. at 862, yet the Court deferred
to the EPA’s interpretation. That is not to say we
should ignore the VA’s history of inconsistent interpretations.
See Good Samaritan Hosp. v. Shalala, 508 U.S. 402,
417 (1993) (“[T]he consistency of an agency’s position is a
factor in assessing the weight that position is due.”). So
long as the change is not “sudden and unexplained” and the
agency “take[s] account of legitimate reliance on prior interpretation,”
the “change is not invalidating.” See Smiley
v. Citibank (S. Dakota), N.A., 517 U.S. 735, 742 (1996).
The administrative record shows the VA made a reasoned
change that accounted for settled expectations. The
VA explained how its prior definition, which coupled the
definition of “serious injury” and “in need of personal care
services,” led to administration problems. Then, it set
about resolving those problems by changing its definition
of “serious injury.” There was ample explanation for this
changed position, and it was far from sudden. The change
also accounted for settled expectations. As the VA noted,
98 percent of veterans who were eligible under the legacy
program had a disability rating of 70 percent or higher.
Thus, the VA’s change of opinion is “not invalidating.”
Smiley, 517 U.S. at 742.
Nor is the VA’s definition unreasonable because it requires
veterans to apply for disability compensation. The
statutory text requires the veteran’s “serious injury” to
have been “incurred or aggravated in the line of duty in the
active military, naval, air, or space service.” 38 U.S.C.
§ 1720G(a)(2)(B). And the definition of “service-connected”
is almost identical:
The term “service-connected” means, with respect
to disability or death, that such disability was
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incurred or aggravated, or that the death resulted
from a disability incurred or aggravated, in line of
duty in the active military, naval, air, or space service.
38 U.S.C. § 101(16). It is, thus, not unreasonable to interpret
this language as requiring service connection. Nor
was it unreasonable for the VA to require veterans to take
advantage of the already-existing system for evaluating
service connection. And Petitioners have offered no reason
why a special processing system for family caregivers program
claims would not contribute to, rather than alleviate,
claim processing delays.
Finally, Petitioners claim the VA’s definition of “serious
injury” is inconsistent with other portions of the Final
Rule. They point to statements that family caregiver benefits
are “not designed to supplement or replace the disability
compensation received by the veteran.” See Final
Rule, 85 Fed. Reg. at 46,234. So they claim family caregiver
benefits cannot be contingent on a disability rating.
But that conclusion does not follow. Nothing about using
disability rating as one condition for awarding family caregiver
benefits makes those benefits a supplement to or a
replacement for disability compensation. The programs
are distinct.
In sum, the VA’s interpretation of “serious injury” in
the statute is reasonable. The VA explained its decision to
redefine that term, and it made a reasonable policy decision
in promulgating the new regulatory definition. Accordingly,
we are bound to accept the VA’s definition of
“serious injury.” Thus, we deny Petitioners’ petition on this
ground.
C. Inability to Perform
Petitioners’ third challenge is aimed at a portion of the
statutory requirements for a veteran to qualify as an “eligible
veteran.” A veteran must be “in need of personal care
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services,” and there are four avenues through which a veteran
may meet that requirement. 38 U.S.C.
§ 1720G(a)(2)(C)(i)–(iv). The first avenue is an “inability to
perform one or more activities of daily living[.]” Id.
§ 1720G(a)(2)(C)(i).
From 2011 through 2020, the regulatory scheme defined
“inability to perform an activity of daily living (ADL)”
as any one of the following:
(1) Inability to dress or undress oneself;
(2) Inability to bathe;
(3) Inability to groom oneself in order to keep oneself
clean and presentable;
(4) Frequent need of adjustment of any special
prosthetic or orthopedic appliance that, by reason
of the particular disability, cannot be done without
assistance (this does not include the adjustment of
appliances that nondisabled persons would be unable
to adjust without aid, such as supports, belts,
lacing at the back, etc.);
(5) Inability to toilet or attend to toileting without
assistance;
(6) Inability to feed oneself due to loss of coordination
of upper extremities, extreme weakness, inability
to swallow, or the need for a non-oral means
of nutrition; or
(7) Difficulty with mobility (walking, going up
stairs, transferring from bed to chair, etc.).
38 C.F.R. § 71.15 (2015). But nothing in that definition explained
how frequent an “inability” was required for a veteran
to qualify as eligible. In 2020, the VA amended its
definition of “inability to perform an activity of daily living”
to clarify that point:
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Inability to perform an activity of daily living
(ADL) means a veteran or servicemember requires
personal care services each time he or she completes
one or more of the following:
(1) Dressing or undressing oneself;
(2) Bathing;
(3) Grooming oneself in order to keep oneself
clean and presentable;
(4) Adjusting any special prosthetic or orthopedic
appliance, that by reason of the
particular disability, cannot be done without
assistance (this does not include the adjustment
of appliances that nondisabled
persons would be unable to adjust without
aid, such as supports, belts, lacing at the
back, etc.);
(5) Toileting or attending to toileting;
(6) Feeding oneself due to loss of coordination
of upper extremities, extreme weakness,
inability to swallow, or the need for a
non-oral means of nutrition; or
(7) Mobility (walking, going up stairs,
transferring from bed to chair, etc.).
38 C.F.R. § 71.15 (second emphasis added). That is, a veteran
must be consistently unable to perform an activity of
daily living to qualify as eligible. An inability that is intermittent
or occasional will not suffice.
Petitioners challenge the VA’s interpretation of “inability
to perform.” They argue the VA’s requirement that the
veteran have total inability for a single activity of daily living
conflicts with the statutory language. They also argue,
in the alternative, that the VA’s interpretation is an
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unreasonable interpretation of the statutory scheme. We
do not agree. - Step One
Congress has not spoken to the interpretive question
rasied in this challenge—the meaning of “inability to perform”
in § 1720G(a)(2)(C). The meaning of that phrase, to
some extent, is clear. But the statutory text and structure
do not speak to how often a veteran must be unable to perform
an activity of daily living. There is a statutory gap,
and we, therefore, must defer to the VA’s regulations filling
that gap.
To have an “inability to perform” an activity of daily
living, a veteran must be wholly unable to complete that
activity. It cannot be that the veteran can complete the
task, but only with great effort or time. The ordinary
meaning of “inability” prevents such an interpretation. See
Wis. Cent. Ltd. v. United States, 138 S. Ct. 2067, 2070
(2018) (“[O]ur job is to interpret the words consistent with
their ordinary meaning at the time Congress enacted the
statute.”).
But the surrounding statutory language adds a dimension
that Congress has not addressed. The statute requires
an “inability to perform one or more activities of daily living”
for a veteran to qualify as eligible under this avenue.
38 U.S.C. § 1720G(a)(2)(C)(i) (emphasis added). By using
the word daily, Congress required the relevant activities to
occur with some regularity. See also 38 C.F.R. § 71.15
(promulgating list of activities of daily living, each of which
involves regular conduct—like eating or bathing). While
the word inability requires the veteran be wholly unable to
complete the activity, it does not speak to how often that
inability must present. A veteran may be unable to bathe
all of the time, most of the time, or only some of the time.
It is not clear under the statutory text what frequency is
required. Nothing in the text, structure, or purpose of the
statute answers that question.
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Petitioners suggest the statutory text forecloses the
VA’s interpretation, which requires inability each time the
veteran attempts an activity, but their argument is not persuasive.
Petitioners focus on a single phrase—“one or
more”—for support. But the statute’s use of that phrase in
“inability to perform one or more activities of daily living”
provides no insight into how pervasive an inability is required.
It means only that, whatever inability is required,
a veteran need only show an inability for one or more activities
of daily living. This language does not undermine
the VA’s decision to focus on activities of daily living individually,
rather than as a unit.
Nor does the VA’s interpretation lead to an absurd result.
See Nat’l Ass’n of Mfrs. v. Dep’t of Treasury, 10 F.4th
1279, 1288 (Fed. Cir. 2021) (invalidating regulation at step
one based on absurdity). To be sure, the VA’s interpretation
would prevent a veteran who required assistance
99 percent of the time for all activities of daily living from
receiving benefits. But this single hypothetical, at the very
extreme of possibility, does not render the VA’s interpretation
absurd. Cf. U.S. R.R. Ret. Bd. v. Fritz, 449 U.S. 166,
179 (1980) (“[T]he task of classifying persons for . . . benefits
inevitably requires that some persons who have an almost
equally strong claim to favored treatment be placed
on different sides of the line[.]”) (internal quotation marks
omitted). And Petitioners have not meaningfully challenged
the VA’s finding that the impact of this hypothetical
will be minor. See Final Rule, 85 Fed. Reg. at 46,234 (“We
believe that if a veteran or servicemember needs assistance
with multiple ADLs, it is likely that at least one of those
ADLs requires assistance each time the ADL is completed.”).
Petitioners also suggest the VA lacked authority to resolve
the statutory silence or, at least, to resolve that question
by requiring inability each time a veteran completes
an activity of daily living. Pet’rs’ Br. 27. But Congress delegated
to the VA authority to administer the family
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caregivers program. 38 U.S.C. § 1720G(a)(2)(A). And that
delegation comes with the ability to promulgate regulations
to fill gaps in the statutory scheme. Morton v. Ruiz,
415 U.S. 199, 231 (1974) (“The power of an administrative
agency to administer a congressionally created and funded
program necessarily requires . . . the making of rules to fill
any gap left, implicitly or explicitly, by Congress.”).
Ultimately, Congress left a gap in the statute. It required
an “inability to perform one or more activities of
daily living,” but it did not speak to how often an inability
is required. The VA promulgated a regulation answering
that question, and we must defer to that interpretation. - Step Two
The VA’s interpretation of “inability to perform”—requiring
permanent inability—is a permissible construction
of the statute. It is a product of the VA’s reasonable policy
judgment, so we are bound to follow the VA’s interpretation.
See Brand X, 545 U.S. at 986 (discussing step two).
The VA interpreted “inability to perform one or more
activities of daily living” to clarify the eligibility requirements
for the family caregivers program and to ease its administration
of that program. See, e.g., Proposed Rule, 85
Fed. Reg. at 13,360–61. The VA also noted how this definition
supported its goal of focusing the family caregivers
program on those veterans who have moderate to severe
needs. See, e.g., id. at 13,360. These are reasonable policy
goals, see supra § II(A)(2), and Petitioners have offered no
persuasive arguments for why the VA’s interpretation is
not a reasonable effort at accomplishing those goals.
Petitioners claim this rule should receive considerably
less deference under Watt, 451 U.S. at 273. Yet they fail to
make the predicate showing necessary for Watt to apply:
an inconsistency between the VA’s current and former interpretations.
They claim the VA’s definition of “inability
to perform one or more activities of daily living” contradicts
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the prior regulatory framework, which they read to use pervasiveness
only in setting caregivers’ stipend levels. But
Petitioners misunderstand those regulations.
In 2015, the VA promulgated a rating scale for det ermining
t he stipend amount provided to primary caregivers.
See 38 C.F.R. § 71.40(c)(4) (2015). For each activity of daily
living, the VA assigned each veteran a score from zero to
four:
Score Veter an’s Ability
Zero completes the task/activity without assist ance
requires minimal assistance (can complete 75
One percent or more of t he task wit hout super vision
or assistance)
requires moder ate assistance (can complete 50
Two percent to 7 4 percent of the task without assistance)
requires maximal assist ance (can complete 25
Three percent to 49 percent of the task without assistance)
requires tot al assistance (can complete less than
Four 25 percent of t he task or is unable to do t he task
without assistance)
See id.§ 71.40(c)(4)(iii) (2015) (r eformatted). The VA t hen
summed those scores and assigned primary family caregivers
a stipend amount based on that sum. Id.
§ 71.40(c)(4)(iv)- (v) (2015). This framework does not , as
Petitioners suggest, address how often a veter an requires
assistance to complete an activity of daily living. It is focused
on how much assistance-minimal, moderat e, maximal,
or total-is needed for each activity. Because the
stipend schedule had nothing to say about how often a veteran
needed assistance, it cannot conflict with t he VA’s
“each time” requirement .
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Petitioners also claim the rule is unreasonable because
it excludes many veterans who deserve benefits and because
the VA could have adopted a less draconian rule—
like needing assistance 50 or 70 percent of the time—that
is still clear and administrable. But this argument does
not undermine the reasonableness of the VA’s regulation.
In effect, Petitioners believe the VA should have chosen a
different rule. They would prefer the VA to have set its
bright-line at a lower level. We cannot, however, set aside
the VA’s reasonable interpretation of the statute simply because
we (or Petitioners) might prefer a different interpretation.
Deacero S.A.P.I. de C.V. v. United States, 996 F.3d
1283, 1295 (Fed. Cir. 2021) (“The agency’s construction
need not be the only reasonable interpretation or even the
most reasonable interpretation.”). Congress delegated to
the VA the authority fill gaps in the statutory scheme. If
the VA’s interpretation is reasonable, it must be upheld.
To conclude, the VA’s interpretation of “inability to perform
one or more activities of daily living” is reasonable. In
such circumstances, we are bound to adhere to the VA’s interpretation.
So we deny the Petitioners’ petition on this
ground.
D. Need for Supervision, Protection, or Instruction
Petitioners next challenge the VA’s interpretation of
two of the remaining avenues through which a veteran may
qualify as “in need of personal care services.” 38 U.S.C.
§ 1720G(a)(2)(C). Those avenues are available to veterans
who need supervision, instruction, or protection:
For purposes of this subsection, an eligible veteran
is any individual who—
(C) is in need of personal care services because
of . . .
(ii) a need for supervision or protection
based on symptoms or
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residuals of neurological or other
impairment or injury; [or]
(iii) a need for regular or extensive
instruction or supervision without
which the ability of the veteran to
function in daily life would be seriously
impaired[.]
Id. Congress added the latter avenue, subsection (iii), in
the VA MISSION Act of 2018 in an effort to expand benefits.
After that Act, the VA promulgated a regulatory definition
aimed at implementing both subsections (ii) and (iii):
Need for supervision, protection, or instruction
means an individual has a functional impairment
that directly impacts the individual’s ability to
maintain his or her personal safety on a daily basis.
38 C.F.R. § 71.15.
Petitioners claim the VA’s regulation is inconsistent
with the statutory text, which creates two distinct pathways
that the VA has improperly combined into a single
definition. They also claim the VA’s interpretation is not
reasonable. We agree the VA’s rule fails at step one, and
therefore, we need not reach step two.
By requiring “supervision . . . on a daily basis,” the VA’s
interpretation conflicts with the statutory text. Subsections
(ii) and (iii) both relate to a veteran’s need for supervision,
but Congress used different terms when describing
that need. For subsection (ii), it required the veteran be in
need of “supervision or protection.” But for subsection (iii),
Congress required that a veteran be in need of “regular or
extensive . . . supervision.” Presumably, this change in
phrasing carries meaning. E.g., Sosa v. Alvarez–Machain,
542 U.S. 692, 711 n.9 (2004) (“[W]hen the legislature uses
certain language in one part of the statute and different
language in another, the court assumes different meanings
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were intended.”). So the VA’s decision to create a single
frequency requirement for supervision is inconsistent with
the statutory language.
The VA’s interpretation further conflicts with the statutory
language by requiring “a functional impairment that
directly impacts the individual’s ability to maintain his or
her personal safety.” See 38 C.F.R. § 71.15. To be sure,
part of subsection (ii) relates to a veteran’s need for “protection
based on symptoms or residuals of neurological or
other impairment or injury.” And by using the word protection,
Congress focused this portion of the statute on the
personal safety of veterans. But subsection (ii) also covers
a veteran’s need for “supervision . . . based on symptoms or
residuals” of an impairment or injury, and nothing in that
portion of the statute implicates personal safety. Nor is
subsection (iii) limited to personal safety concerns. It only
requires that, without instruction or supervision, “the ability
of the veteran to function in daily life would be seriously
impaired.” That phrase, while it may include personal
safety concerns, is unambiguously broad enough to encompass
impairments that do not implicate personal safety.
Thus, some aspects of the statutory language provide benefits
to veterans who need supervision or instruction but
would not risk their personal safety in the absence of that
care. Accordingly, the VA’s personal safety requirement is
inconsistent with the statutory text.
To be clear, we do not hold the VA cannot promulgate
a regulation to account for both subsection (ii) and subsection
(iii). We see nothing in the statutory text, structure,
or purpose that forecloses such an interpretation. But if
the VA chooses to promulgate a single regulatory definition,
its definition must be consistent with the text of both
statutory provisions. Because the current regulation does
not meet that requirement, we must set it aside at step one.
We, therefore, grant the petition on this ground.
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E. Geographic Residence
Petitioners’ fifth challenge goes to the VA’s imposition
of a geographic residence requirement. From 2011 until
2020, the VA had a practice of providing family caregiver
benefits only to caregivers who reside in the United States.
See Proposed Rule, 85 Fed. Reg. at 13,358. In overhauling
the regulatory framework implementing the family caregivers
program, the VA added regulatory language formalizing
that practice:
This part regulates the provision of benefits under
the Program of Comprehensive Assistance for
Family Caregivers and the Program of General
Caregiver Support Services authorized by 38
U.S.C. 1720G. Persons eligible for such benefits
may be eligible for other VA benefits based on other
laws or other parts of this title. These benefits are
provided only to those individuals residing in a
State as that term is defined in 38 U.S.C. 101(20).
38 C.F.R. § 71.10(b).
Petitioners challenge this requirement at both steps of
the Chevron framework. First, they claim the residency
requirement is inconsistent with the statutory language,
which does not impose such a requirement. Second, they
argue that requirement is also an unreasonable interpretation
of the statutory language. We do not agree. - Step One
Congress has not spoken to the precise interpretive
question at issue in this challenge—whether a caregiver
must reside within the United States to be entitled to benefits.
The statutory text is silent on that point, and the
statutory structure provides no additional clarity. There
is, in short, a statutory gap.
To begin, we look to the text of the statute. Nothing in
§ 1720G(a) compels or forecloses the VA from imposing a
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geographic residency requirement. There is no provision
directed to residency, nor is there a provision suggesting
that the caregivers who reside abroad are entitled to benefits.
That is, the statutory language is silent.
Petitioners claim the statutory guidelines for caregiver
stipends foreclose the VA’s interpretation, but we do not
agree. As described above, see supra § II(A)(1), the statute
provides guidelines for setting caregiver stipend amounts.
One guideline relates to the stipend afforded primary family
caregivers:
The Secretary shall ensure, to the extent practicable,
. . . that the amount of the monthly personal
caregiver stipend . . . is not less than the monthly
amount a commercial home health care entity
would pay an individual in the geographic area of
the eligible veteran to provide equivalent personal
care services to the eligible veteran.
Id. § 1720G(a)(3)(C)(ii) (emphasis added). To be sure, the
statute requires the VA to account for geographic location
when setting compensation. But it does nothing to resolve
the statutory silence here, which relates to the eligibility
for benefits not the amount of benefits. Moreover, that
Congress addressed geographic location in one provision
(stipends) but chose to remain silent elsewhere (entitlement)
does not prevent the VA from regulating to fill a statutory
gap. See Catawba Cnty., 571 F.3d at 36 (“[A]
congressional mandate in one section and silence in another
often suggests not a prohibition but simply a decision
not to mandate any solution in the second context, i.e., to
leave the question to agency discretion.”). No part of the
Caregiver Act suggests that silence was meant to limit the
VA’s authority—especially given Congress’ express delegation
of authority to the VA. See 38 U.S.C. § 1720G(a).
For similar reasons, Congress’ creation of the foreign
medical program does not undermine the VA’s interpretation.
That program affords the VA discretion to provide
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certain medical benefits to veterans who live abroad. See
id. § 1724(b)–(c). That is, Congress expressly addressed
how veterans’ residency affects their entitlement to certain
medical benefits. But the fact that Congress spoke in one
place (the foreign medical program), while remaining silent
in another (the family caregivers program), does not foreclose
the VA’s interpretation here. There is no reason to
believe that silence was a proscription given Congress’ express
delegation of authority to the VA. See Catawba
Cnty., 571 F.3d at 36 (discussing impact of silence); see also
38 U.S.C. § 1720G(a) (delegating authority).
Nor could the family caregivers program be administered
through the foreign medical program. The foreign
medical program allows the VA to provide “medical care,”
including “noninstitutional extended care services,” to nonresident
veterans. 38 U.S.C. § 1724; see also 38 U.S.C.
§ 1701(6)(E) (defining “medical care”). That does not mean,
however, that a caregiver can receive family caregiver benefits
through that program. The programs are aimed at
different populations and provide different benefits.
In sum, Congress has not spoken to whether a caregiver
must reside within the United States to be entitled to
benefits. And it expressly delegated the VA authority to
establish the family caregivers program. In such circumstances,
we must defer to the VA’s reasonable gap-filling
regulations. - Step Two
The VA’s imposition of a geographic residency requirement
is a permissible construction of the statute. It is a
product of the VA’s reasonable policy judgment, and it is
not entitled to less deference at step two. Thus, we defer
to the VA’s interpretation. See Brand X, 545 U.S. at 986
(discussing step two).
The VA promulgated the residency requirement to formalize
its long-standing practice of limiting benefits to
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U.S.-based caregivers. Since passage of the Caregivers
Act, the VA limited its administration to the United States.
It believed that “it [wa]s not currently feasible for [the] VA
to provide benefits [under the Caregivers Act] outside of a
State.” Proposed Rule, 85 Fed. Reg. at 13,358; accord Final
Rule, 85 Fed. Reg. at 46,227. That belief was supported by
the nature of the benefits provided under the family caregivers
program, like in-home visits and respite care. Those
benefits would be difficult to provide outside the United
States, and the VA concluded the high costs outweighed the
benefits. Id.
We cannot say the VA made an unreasonable policy
choice limiting the family caregivers program to those caregivers
who reside in the United States. Much of the family
caregivers program involves oversight and benefits that
would be difficult to administer abroad. Home health visits
and respite care, for example, would be difficult to administer
in a foreign country. See 38 U.S.C. § 1720G(a)(9)(c)
(providing VA authority to review directly the quality of
personal care services provided to the eligible veteran in
the veteran’s home); id. § 1720(a)(3)(B) (describing respite
care). And Petitioners have offered no persuasive arguments
undermining the reasonableness of the VA’s regulatory
decision.
Petitioners claim this regulation is entitled to “less deference
than usual” because it does not relate to the VA’s
substantive expertise. Pet’rs’ Br. 51 (citing Gonzales v. Oregon,
546 U.S. 243, 269 (2006); Kisor, 139 S. Ct. at 2419).
They focus on how this is a geographic requirement, and
how the VA lacks expertise in matters of geography. While
the VA may lack experience in matters of geography, Petitioners
ignore the underlying policies motivating the VA’s
interpretation. The VA promulgated its residency requirement
because of difficulties administering the Caregivers
Program abroad. Those difficulties, which relate to how
veterans’ benefits should be administered, fit squarely
within the VA’s expertise. So the geographic nature of this
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rule does not undermine our obligation to defer to the VA’s
reasonable interpretations.9
Petitioners also argue the VA’s interpretation is entitled
to less deference under Watt, 451 U.S. at 273, but they
have failed to show the requisite inconsistency. They claim
the residency requirement is inconsistent with the VA’s
current definition of serious injury. But that is not the concern
Watt is aimed at addressing. Watt is directed to agencies’
changed interpretations, i.e., when an agency’s
“current interpretation [is] in conflict with its initial position.”
451 U.S. at 273. Petitioners identify no change in
the VA’s position, which has been consistent throughout its
administration of the Caregivers program. Veterans outside
the United States have never received benefits.
Petitioners only posit an internal inconsistency in the
VA’s current regulations. Internal inconsistency can render
an interpretation unreasonable, arbitrary, or capricious.
See, e.g., Air Line Pilots Ass’n v. F.A.A., 3 F.3d 449,
453 (D.C. Cir. 1993). But Petitioners have failed to identify
any internal inconsistency. Their argument depends on
the family caregivers program being administered through
the foreign medical program—an argument we have already
rejected.
Finally, Petitioners claim the VA’s definition is unreasonable
because the VA provides other programs outside
9 It is also not clear that a lack of substantive expertise
prevents Chevron deference, rather than Auer or Skidmore
deference. See Gonzales, 546 U.S. 243, 269 (2006)
(discussing deference under Skidmore v. Swift & Co., 323
U.S. 134 (1944)); Kisor, 139 S. Ct. at 2419 (discussing deference
under Auer v. Robbins, 519 U.S. 452 (1997)). As
Justice Roberts’ concurrence in Kisor notes, these doctrines
have different concerns. Kisor, 139 S. Ct. at 2424–25. We
need not address that question here.
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the United States. It is not, however, unreasonable for the
VA to provide some programs abroad while limiting the
family and general caregivers program to U.S.-based veterans.
The VA found that it was “not feasible for [it] to
provide [those programs] outside of [the United States].”
See Final Rule, 85 Fed. Reg. at 46,227. And Petitioners
have failed to show that conclusion is unreasonable. Indeed,
each of the programs Petitioners cite recognize the
VA’s discretion to assess feasibility of administration
abroad. See 38 C.F.R. §§ 17.35 (providing the VA discretion
to provide hospital services abroad), 21.130 (affording the
VA discretion to provide educational courses abroad when
the VA determines it is “in the best interest of the veteran
and the Federal Government”), 36.4405(b)(5) (allowing VA
to provide specially adapted housing grants to be applied
to houses outside the United States if the VA “has determined
that is reasonably practicable”). So these provisions
support the VA’s ability to assess the feasibility of administering
benefits outside the United States.
In conclusion, the VA’s interpretation is reasonable. It
is the product of a reasonable policy choice, weighing the
costs and benefits of administration outside the United
States. And Petitioners have failed to identify any inconsistency
within the current regulatory framework or between
the current framework and the VA’s past
interpretation. In such circumstances, we must defer to
the VA’s interpretation. Accordingly, we deny the petition
on this ground.
F. Monthly Stipend Rate
Petitioners’ sixth challenge focuses on the VA’s schedule
for stipend payments. Congress delegated authority to
set the level of stipend payments afforded primary family
caregivers:
The amount of the monthly personal caregiver stipend
provided under subparagraph (A)(ii)(V) shall
be determined in accordance with a schedule
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established by the [VA] that specifies stipends
based upon the amount and degree of personal care
services provided.
38 U.S.C. § 1720G(a)(3)(C)(i). But it restricted the scope of
the VA’s authority by setting a minimum compensation
level, id. § 1720G(a)(3)(C)(ii), and by requiring the schedule
account for certain factors, id. § 1720G(a)(3)(C)(i), (iii).
In 2015, the VA exercised its delegated authority by
promulgating a schedule for stipend amounts. 38 C.F.R.
§ 71.40 (2015). That schedule, described in § II(D)(2), assigned
caregivers a stipend amount based on how much
care a veteran needed to complete his activities of daily living.
Id. For example, if the sum of a veteran’s clinical rating
scores was 21 or greater, his caregiver was entitled to
a stipend that approximated 40 hours of caregiver assistance.
Thus, the VA would multiply 40 hours by the caregiver’s
“combined rate” to arrive at the stipend amount.
And it defined “combined rate” as:
[T]he Bureau of Labor Statistics (BLS) hourly
wage rate for home health aides at the 75th percentile
in the eligible veteran’s geographic area of
residence, multiplied by the Consumer Price Index
for All Urban Consumers (CPI–U). The combined
rate will be determined for each geographic area on
an annual basis. For each geographic area, the
combined rate will be the higher of:
(1) The most recent BLS hourly wage rate
for home health aides at the 75th percentile
in the geographic area multiplied by the
most recent CPI–U; or
(2) The combined rate applied for the geographic
area in the previous year.
38 C.F.R. § 71.15 (2015).
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In 2020, the VA amended its schedule for stipend
amounts. It removed reliance on the clinical rating scores
and, instead, set stipend amounts based on whether the
veteran is “unable to self-sustain in the community.” If so,
the veteran’s caregiver is entitled to a full stipend amount;
and if not, the veteran’s caregiver is only entitled to 62.5
percent of the full stipend amount. 38 C.F.R. 71.40(c)(4)(i).
Rather than calculating the full stipend amount based on
a “combined rate,” the VA pivoted to using a “monthly stipend
rate.” And it defined that term:
[T]he Office of Personnel Management (OPM) General
Schedule (GS) Annual Rate for grade 4, step 1,
based on the locality pay area in which the eligible
veteran resides, divided by 12.
38 C.F.R. § 71.15.
Petitioners challenge the VA’s definition of “monthly
stipend rate.” They claim that definition, by incorporating
the GS scale, is inconsistent with the statutory framework.
They also argue it is an unreasonable interpretation of the
statute. We do not agree. - Step One
Congress expressly left a statutory gap for the VA to
fill, the schedule for stipend payments under the family
caregivers program. And Petitioners have failed to show
the VA’s decision to rely on the GS scale when filling that
gap is inconsistent with the statutory text, structure, or
purpose.
Petitioners claim the VA’s reliance on the GS scale is
inconsistent with 38 U.S.C. § 1720G(a)(3)(C)(ii), but we do
not agree. That statutory section requires the VA ensure,
“to the extent practicable,” stipend amounts are “not less
than the monthly amount a commercial home health care
entity would pay an individual in the geographic area of
the eligible veteran to provide equivalent personal care services
to the eligible veteran.” Id. Contrary to Petitioners’
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view, nothing about this statute requires the VA to use a
commercial rate. It just sets a minimum stipend amount
the VA must strive to achieve. Congress left it to the VA to
determine how to accomplish that directive, whether by
adopting a commercial rate or adopting some other rate
that is at least as great as the commercial rate. The statute
is, in other words, silent.
Petitioners also claim Congress’ choice to use the GS
scale in other circumstances, but not for the family caregivers
program, forecloses the VA’s interpretation. But Congress’
mandate in one section and silence in the family
caregivers program does not indicate a proscription. See
Catawba Cnty., 571 F.3d at 36. That is especially true
when, as here, Congress expressly provided the VA authority
to fill this statutory gap. The statutory silence is best
interpreted as a delegation to the VA.
Finally, nothing about the history or purpose of the
Caregiver Act precludes the VA’s interpretation. Petitioners
point to how the statutory text has not changed in 10
years, but that just shows that Congress has left a statutory
gap for 10 years. It is not evidence of Congress’ unambiguous
intent.
In sum, Congress left a statutory gap. It delegated to
the VA authority to promulgate a schedule for stipend
amounts, provided the VA’s schedule met certain statutory
requirements. And the VA promulgated a schedule consistent
with those requirements, using the GS scale to set
stipend amounts. Thus, we must defer to that regulation
at step two. - Step Two
The VA’s use of the GS scale is a permissible construction
of the statute. It is a product of the VA’s reasonable
policy judgment, which we are bound to follow. See Brand
X, 545 U.S. at 986 (discussing step two).
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The VA relied on the GS scale in setting stipend
amounts because it was “an appropriate reference point.”
Proposed Rule, 85 Fed. Reg. at 13,382. The GS scale “historically
tracked closely with median wage growth for
home health aides” and “accounts for variations in cost-ofliving
across the [United States.]” Id. Also, by relying on
a single grade and step, the VA “ensure[d] more consistent,
transparent, and predictable stipend payments” for primary
family caregivers. Id. To ensure the GS wage rate
tracks private sector wages for home health aides, the VA
went through an extensive analysis. Id. at 13,382–83. And
it artificially inflated the selected GS grade and step to ensure
family caregivers receive a large enough stipend. Id.
at 13,383.
Also, the VA viewed its new definition as remedying
many of the problems associated with reliance on the BLS
hourly wage rate. Id. at 13,382. The BLS rate required
manual calculations, while the GS scale allowed automation.
The VA noted how using the GS scale would also
cause less fluctuation in stipend amounts and would ensure
greater transparency than reliance on the BLS hourly
wage rate. Id.
We cannot say this was an unreasonable policy decision.
It is reasonable for the VA to prefer a clear, more
easily administrable metric for primary family caregiver
stipends. And the VA went to great lengths to ensure that
this stipend amount was at least equivalent to, if not
greater than, the annual salary paid to a home health aide
in the commercial sector. And Petitioners have offered no
persuasive arguments undermining the VA’s policy decision.
Like for their other challenges, Petitioners argue the
regulation is wholly unpersuasive and entitled to less deference
under Watt, 451 U.S. at 273. Here, Petitioners have
made the predicate showing necessary for Watt to apply: a
conflict between the VA’s current position and its initial
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position. See id. Before, the VA relied on the BLS hourly
wage rage, and now, it relies on the GS scale. But the VA
provided a reasoned, reasonable explanation for why it
adopted that change. See supra § II(B)(2) (discussing how
Watt and subsequent Supreme Court cases allow the VA to
change its policy decisions). And it accounted for settled
expectations, providing an adjustment period. See 38
C.F.R. § 71.40(c)(4). In such circumstances, the VA’s decision
to change its stipend calculation formula does not invalidate
the VA’s exercise of its regulatory authority.
Ultimately, the VA’s interpretation is a permissible
construction of the statute. Congress left a gap, and the
VA reasonably filled that gap by promulgating a schedule
for stipends. In such circumstances, we are bound to accept
the VA’s statutory interpretation. Accordingly, we deny
the petition on this ground.
G. Unable to Self-Sustain
Petitioners’ final challenge is to the VA’s standard for
providing a primary family caregiver full stipend benefits:
that the veteran is “unable to self-sustain in the community.”
If the veteran is unable to self-sustain, his primary
family caregiver is entitled to the maximum stipend
amount. If not, the veteran’s primary family caregiver is
entitled to only 62.5 percent of the maximum stipend
amount. The VA’s definition of that phrase turns on a veteran’s
need for personal care services:
Unable to self-sustain in the community means
that an eligible veteran:
(1) Requires personal care services each
time he or she completes three or more of
the seven activities of daily living (ADL)
listed in the definition of an inability to perform
an activity of daily living in this section,
and is fully dependent on a caregiver
to complete such ADLs; or
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(2) Has a need for supervision, protection,
or instruction on a continuous basis.
38 C.F.R. § 71.15.
Petitioners challenge this definition as violating both
steps of the Chevron inquiry. First, they claim this definition
conflicts with various parts of the statute. Second,
they claim the VA’s interpretation is entitled to less deference
and is an unreasonable interpretation of the statute.
We do not agree.10 - Step One
Congress expressly left a statutory gap for the VA to
fill: the schedule for stipend payments under the family
caregivers program. See 38 U.S.C. § 1720G(a)(3). And Petitioners
have failed to show the VA’s decision to establish
a two-tiered framework for benefits based on its definition
of “unable to self-sustain in the community” conflicts with
the statute. Accordingly, we cannot resolve this question
at step one.
The VA’s stipend schedule takes into account the required
statutory factors. Congress imposed certain limits
on the VA’s discretion to set the primary family caregivers’
stipend amounts:
(i) The amount of the monthly personal caregiver
stipend provided . . . shall be determined in accordance
with a schedule established by the Secretary
that specifies stipends based upon the amount and
degree of personal care services provided. . . .
(iii) In determining the amount and degree of personal
care services . . . with respect to an eligible
10 Because Petitioners lack standing to challenge the
three-or-more requirement, see supra § I, we do not address
their arguments on that front.
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veteran whose need for personal care services is
based in whole or in part on a need for supervision
or protection . . . or regular instruction or supervision
. . . , the Secretary shall take into account the
following:
(I) The assessment by the family caregiver
of the needs and limitations of the veteran[;]
(II) The extent to which the veteran can
function safely and independently in the
absence of such supervision, protection, or
instruction[; and11]
(III) The amount of time required for the
family caregiver to provide such supervision,
protection, or instruction to the veteran.
38 U.S.C. § 1720G(a)(3)(C). And the definition of “unable
to self-sustain” accounts for these factors. It looks to
whether a veteran needs assistance “on a continuous basis,”
which accounts for the extent of assistance required,
see id. § 1720G(a)(3)(C)(ii), and the time required to provide
assistance, see id. § 1720G(a)(3)(C)(iii). The VA has,
moreover, indicated that its determination of continuous
need will account for the family caregiver’s assessment.
11 This provision does not use conjunctive (“and”) or
disjunctive (“or”) language, but context makes clear the
conjunctive applies. These categories are not different avenues
for reaching the same outcome, like the paths for a
veteran to be eligible. See supra at note 6 (discussing
§ 1720G(d)(4)). They are separate considerations that supplement
one another. And there is no other provision using
the disjunctive or conjunctive to describe these considerations.
Contra id.
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Final Rule, 85 Fed. Reg. at 46,264; Proposed Rule, 85 Fed.
Reg. at 13,379.
The VA’s standard for “on a continuous basis” is also
consistent with the statutory text. The VA described that
phrase as meaning “a regular, consistent, and prevalent
need.” See Final Rule, 85 Fed. Reg. at 46,273. And it indicated
that “a continuous basis” is greater than a daily need.
Proposed Rule, 85 Fed. Reg. at 13,384. Petitioners have
failed to identify any text that conflicts with this requirement,
instead arguing nothing in the text supports the continuous
basis language. But that argument just identifies
silence in the statutory scheme, and the VA has authority
to fill the statutory silence with a reasonable regulation.
Petitioners also suggest that flaws in the VA’s definition
of “need for supervision, protection, or instruction” undermine
the VA’s stipend schedule. But nothing in that
schedule relies on the impermissible portions of the VA’s
“need for supervision, protection, or instruction” definition.
We set aside that definition because its “personal safety”
and “daily basis” requirements conflict with the statutory
text. And neither of those requirements is incorporated in
the VA’s definition of “unable to self-sustain in the community.”
To be sure, like the VA’s definition of “need for supervision,
protection, or instruction,” its definition of
“unable to self-sustain in the community” combines two
statutory subsections into a single regulatory definition.
But we see no problem with that under the statutory text.
Ultimately, Congress expressly left a statutory gap. It
delegated the VA authority to promulgate a schedule for
stipend amounts, provided the VA’s schedule met certain
statutory requirements. And the VA promulgated a schedule
that is consistent with those requirements. Thus, we
must defer to that regulation at step two.
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The VA’s reliance on, and definition of, a veteran being
“unable to self-sustain in the community” is a permissible
construction of the statute. It is a product of the VA’s reasonable
policy judgment and is entitled to deference at step
two. Thus, we are bound to follow the VA’s interpretation.
See Brand X, 545 U.S. at 986 (discussing step two).
The VA altered its stipend schedule because it found
“that utilization of the three tiers set forth in the [prior]
regulations ha[d] resulted in inconsistent assignment of
[the] ‘amount and degree of personal care services provided.’”
Proposed Rule, 85 Fed. Reg. at 13,383. The prior
regulatory framework lacked “clear thresholds that” could
be “easily understood and consistently applied,” which
“contributed to an emphasis on reassessment to ensure appropriate
stipend tier assignment.” Id. So the VA chose to
employ a two-tiered framework with a clear delineation between
the high and low tiers. Id.; see also Final Rule, 85
Fed. Reg. at 46,271. And it delineated between those tiers
using its definition of “unable to self-sustain in the community,”
which accounts for the statutory requirements. Proposed
Rule, 85 Fed. Reg. at 13,383–84. It believed that
definition would provide a clear distinction between those
veterans with moderate needs and those veterans with severe
needs. Id.
We cannot say this was an unreasonable policy choice.
The VA experienced difficulty in administering the family
caregivers program, so it altered its regulations to ease
those difficulties. Providing clear administrable rules is a
reasonable policy goal. And Petitioners have not persuasively
argued the VA’s regulation is an unreasonable effort
at achieving that goal.
They claim the VA’s definition of “unable to self-sustain
in the community” is unreasonably high. That is, the VA
should not have required a continuous need for a veteran’s
caregiver to be entitled to the full stipend amount. But
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Petitioners offer no reason why this regulation is unreasonable,
and we cannot set aside a regulation simply because
Petitioner would have preferred a lower bar. See Deacero,
996 F.3d at 1295.
Petitioners also argue the VA’s focus on moderately to
severely injured veterans does not comport with the statutory
framework. But it was reasonable for the VA to consider
focusing the family caregivers program on
moderately to severely injured veterans, as such a focus
finds support in the statute. See 38 U.S.C. § 1720G(a)(2)
(requiring serious injury). It was also reasonable, given the
VA’s focus on those veterans, for the VA to establish a twotiered
framework aimed at distinguishing moderately injured
veterans from severely injured veterans. Petitioners
have not provided any persuasive arguments undermining
this policy decision.
Petitioners finally argue the VA’s stipend schedule is
wholly unpersuasive and entitled to less deference under
Watt, 451 U.S. at 273. Like with their other challenge to
the stipend amounts, Petitioners have made the predicate
showing necessary for Watt to apply. The VA’s current stipend
calculation system is different from its former system.
But the VA provided a reasoned, reasonable explanation
for why it adopted that change. See supra § II(B)(2) (discussing
how Watt and subsequent Supreme Court cases allow
the VA to change its policy decisions). And it accounted
for settled expectations, providing an adjustment period.
See 38 C.F.R. § 71.40(c)(4). In such circumstances, the VA’s
decision to change its stipend calculation formula does not
render the VA’s exercise of its regulatory authority unreasonable.
All told, the VA made a reasonable policy choice. It
promulgated the two-tiered stipend framework in an effort
to ease administration of benefits. And though that framework
conflicts with the VA’s prior framework, it is still entitled
to Chevron deference. Applying that deference, we
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conclude the VA reasonably filled a statutory gap. Accordingly,
we are obligated to adopt the VA’s interpretation.
We therefore deny the petition as to this ground.
CONCLUSION
For all the foregoing reasons, Petitioners’ petition for
review of the Final Rule is
DISMISSED IN PART, GRANTED IN PART, AND
DENIED IN PART
COSTS
No costs.
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