Supporters of the bill say it can safeguard servicemembers accessing benefits. Critics warn it could open veterans up to "financial predators."
KNOXVILLE, Tenn. — The Tennessee legislature is considering a bill that is pitting veterans from across the state against each other. Servicemembers already receive help navigating the benefit application process for free. The new legislation allows servicemembers and their families to seek help applying for benefits from private individuals or firms, while also placing limits on the fees those private entities can charge.
Senator Richard Briggs (R-Knoxville) introduced SB 0362, otherwise known as the "Safeguarding American Veteran Empowerment Act." The bill adds several rules that include barring people and companies from charging fees for referring veterans to another person to help with their veteran benefits. Those private entities would also be forbidden from helping a veteran apply for benefits less than a year out from the end of their military service.
An individual or company that wants to charge fees for helping veterans navigate their benefits would also need their signature on written terms. Any compensation would also need to be contingent on whether the veteran sees an increase in their benefits. It also limits compensation to five times the amount of the monthly increase in benefits.
The bill calls for restricting charging initial or nonrefundable fees for "advising, assisting, or consulting with an individual on a veteran benefit matter."
Furthermore, companies and individuals will not be able to guarantee any increase in benefits awards to a veteran. If the bill passes, private groups will also need to write down specific language revealing they are not affiliated with the United States Department of Veterans Affairs or the Tennessee Department of Veterans Services.
The bill is sparking sharp division among veterans in Tennessee familiar with the legislation.
Briggs, a veteran combat surgeon, said his bill offers veterans a choice about how they want to navigate the veteran benefit bureaucracy. Shane Prater, also a military veteran, now serves as the director of the Campbell County Veterans Affairs Office and told 10News he believes the bill would "only take money away" from veterans.
Prater said he is among dozens of people across the state who work for the government or nonprofit groups to help veterans access benefits they are due for free. Prater said he has helped veterans in Campbell County go from collecting no money to almost $4,000 per month.
"HB 0342 allows any person to charge veterans up to 500% of their monthly increase. I believe that is an outrageous amount," he said.
He also noted that a private firm helping the same veteran collect $4,000 per month could themselves collect almost $20,000 per year from that veteran under the new bill.
The Veterans Administration has long warned about private firms charging fees to help veterans access benefits they can otherwise get for free. Flyers and posters at the administration's offices specifically tell people — "You do not need to pay anyone to receive your benefits."
"There are companies that have taken advantage of (veterans). They are sharks, but that is exactly what this bill is intended to do," Sen. Briggs said.
He suggested his legislation is about establishing rules and punishments for people who break the law.
"Our Attorney General has said that he cannot prosecute these people who are the 'sharks,' because, in the present law, we do not have either civil or criminal penalties. And this bill also puts civil and criminal field penalties in place, so our Attorney General will be able to go after them, and we'll be able to prosecute them severely, if necessary," he said.
When asked if there is any proof that private firms can collect veteran benefits faster than an accredited advocate like a veteran service officer, Prater offered a two-word answer — "Absolutely not."
He also agrees the new bill offers veterans a choice, but said, "That choice is going to be extremely costly for the veteran."
The bill passed the Tennessee Senate and will next be discussed in the House Commerce Committee.
Prater and Briggs agreed on one part — both want Congress to take action on national rules and punishments to safeguard veterans from companies and people who maliciously charge fees to help any military veteran or family member access benefits they earned, and they are due.
Author: John Becker, Chris Salvemini
Published: 11:25 PM EDT March 24, 2025
Updated: 11:25 PM EDT March 24, 2025