- 24 - the projects as a medically therapeutic activity, and are supervised by VA medical personnel.” The VA report, appended to the committee’s report, describes the compensatory aspect of the CWT program as “[reinforcing] through the use of well-established motivational principles (‘rewards’), modifications or development of attitudes, habits, skills, and behaviors necessary to attain or maintain a maximum level of social or psychological adjustment.” S. Rept. 94-1206 (Part I), supra at 181, 1976 U.S.C.C.A.N. at 6472. We believe that, over the years, Congress has understood that the principal benefits to participants in VA therapeutic work programs are medical and not pecuniary. It is reasonable to assume that that understanding played a role in Congress’s 1986 decision to recast payments made to participants in VA therapeutic work programs as “distributions” (and not “payments”, “wages”, or “remuneration”) and to provide that those distributions not be considered income for certain pension purposes. See discussion of Veterans’ Benefits Improvement and Health-Care Authorization Act of 1986 supra in section III.F.3. of this report. While petitioner was compensated with a distribution from the VA Special Therapeutic and Rehabilitation Activities Fund for the services he rendered, we are inclined to conclude that distributions of that class are not simply payments for services rendered. There is a welfare (noncompensatory) aspect to themPage: Previous 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 NextLast modified: November 10, 2007