GENERAL: Section 636 of the National Defense Authorization Act for Fiscal Year 2003, (enacted by Public Law 107-314, December 2, 2002) provides a new special compensation for certain combat-related disabled Uniformed Services retirees. The compensation is established in provisions set forth as a new section of title 10, United States Code -- section 1413a.

EFFECTIVE DATE: The new compensation became effective May 31, 2003, with benefits first available June 1, 2003. Payments began July 1. Payments for all approved applications, no matter when received, to the extent otherwise allowed in law and provided the applicant is otherwise qualified, will be retroactive to June 1, 2003.

ELIGIBLE MEMBERS: To be entitled to CRSC a retired member must meet a set of preliminary and final criteria. Applications are first screened to determine whether the applicant meets preliminary criteria. The Preliminary Criteria are:

1.  Have 20 or more years of service for purposes of computing retired pay (equates to 7,200 points for non-regular retirees -- Reservists starting retired pay at age 60).
2. Be in a retired status.
3.  Be entitled to retired pay, notwithstanding that such retired pay may be reduced due to receipt of VA disability compensation.
4. Have qualifying disability ratings (Percentages) of either 10% or greater for injuries if the member has been awarded a Purple Heart or a total combined VA disability rating of a least 60% otherwise.

1. Have qualified disabilities associated with a Purple Heart and for which the VA is compensating the member at a 10% rating or higher, or
2. Have qualified combat-related disabilities that would carry a combined VA rating of 60% or greater.