---
kind: "section"
citation: "38 U.S.C. § 704"
title: "38"
title_heading: "Veterans’ Benefits"
number: "704"
heading: "Waiver of pay limitation for certain employees"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/38/704"
units:
  - "Part I — General Provisions"
  - "Chapter 7 — Employees"
  - "Subchapter I — General Employee Matters"
---

# §704. Waiver of pay limitation for certain employees

- (a) **Employees of Veterans Health Administration Impacted by Closure or Realignment.—** Notwithstanding any other provision of law, the [Secretary](/usc/38/101.md?p=1) may waive any annual premium or aggregate limitation on pay for an employee of the [Veterans](/usc/38/101.md?p=2) Health Administration for the calendar year during which—
  - (1) the official duty station of the employee is closed; or
  - (2) the office, facility, activity, or organization of the employee is realigned.
- (b) **Employees Providing Care to Veterans Exposed to Open Burn Pits.—**
  - (1) **In general.—** Notwithstanding any other provision of law, the [Secretary](/usc/38/101.md?p=1) may waive any annual premium or aggregate limitation on pay for an employee of the [Department](/usc/38/101.md?p=1) whose primary duties include providing expanded care for [veterans](/usc/38/101.md?p=2) exposed to open burn pits.
  - (2) **Open burn pit defined.—** In this subsection, the term “open burn pit” has the meaning given that term in section 201(c) of the Dignified Burial and Other [Veterans](/usc/38/101.md?p=2)’ Benefits Improvement Act of 2012 (Public Law 112–260; [38 U.S.C. 527](/usc/38/527.md) note).
- (c) **Coordination With Office of Personnel Management.—** In implementing this section, the [Secretary](/usc/38/101.md?p=1) shall coordinate with the Director of the Office of Personnel Management.
- (d) **Reports.—**
  - (1) **In general.—** For each quarter that the [Secretary](/usc/38/101.md?p=1) waives a limitation under this section, the [Secretary](/usc/38/101.md?p=1) shall submit to the Committee on [Veterans](/usc/38/101.md?p=2)’ Affairs of the Senate, the Committee on [Veterans](/usc/38/101.md?p=2)’ Affairs of the House of Representatives, and the Office of Personnel Management a report on the waiver or waivers.
  - (2) **Contents.—** Each report submitted under [paragraph (1)](#d-1) with respect to a waiver or waivers shall include the following:
    - (A) Where the waiver or waivers were used, including in which component of the [Department](/usc/38/101.md?p=1) and, as the case may be, which medical center of the [Department](/usc/38/101.md?p=1).
    - (B) For how many employees the waiver or waivers were used, disaggregated by component of the [Department](/usc/38/101.md?p=1) and, if applicable, medical center of the [Department](/usc/38/101.md?p=1).
    - (C) The average amount by which each payment exceeded the pay limitation that was waived, disaggregated by component of the [Department](/usc/38/101.md?p=1) and, if applicable, medical center of the [Department](/usc/38/101.md?p=1).
- (e) **Employee Defined.—** In this section, the term “employee” means any employee regardless of the authority under which the employee was hired.
- (f) **Termination.—** This section shall terminate on September 30, 2027.

## Source credit

(Added Pub. L. 117–168, title IX, § 907, Aug. 10, 2022, 136 Stat. 1814.)

## Notes

### Editorial Notes

### Prior Provisions

A prior section 704 was renumbered section 1904 of this title.