Committee hears testimony on bill to curb paid 'claim sharks' for veterans benefits

The House Committee on Emergency Management, General Government, and Veterans heard public testimony Thursday on Senate Bill 150A, a measure that would bar paid compensation for preparing or advising on veterans benefits applications and for referring veterans to paid claim services, legislative staff told the committee.

Committee context: LPRO staff summarized the measure, saying, “Senate Bill 150A prohibits, except as applicable, compensation for preparing or advising with applications for veterans benefits or appealing decisions on such claims and for referring veterans to those providing these services.” The committee opened a public hearing and heard testimony from the bill sponsor and veterans advocates.

Why it matters: Supporters said the bill targets “claim sharking” — unaccredited consultants who charge veterans fees for paperwork that accredited Veteran Service Organizations (VSOs) already perform for free. Senator James Ivory Manning Jr., sponsor of the measure, told the committee the bill will help Oregon Department of Veterans' Affairs (ODVA) publicize no‑cost VSO services and reduce deceptive practices. "These very this VSO does a a phenomenal job of doing all this taking veterans in and doing paperwork to apply for their benefits at no cost," Manning said. "So this bill will also help, ODVA to get the word out and make sure that veterans know that they don't have to pay to file paperwork for, any claims that they may have or service connected disabilities."

Veterans groups' support: Anthony Barber, representing roughly 17,000 Oregon members of the Veterans of Foreign Wars and their auxiliary, said the VFW "does support, like Senator Manning, Senate Bridal 1 50 a. We oppose unaccredited veterans claims consultants. They unethically profit from veterans who are eligible for disability compensation and pensions." Barber described a post‑PACT Act rise in predatory advertising and said unaccredited consultants avoid oversight and charge large fees; he urged the committee to pass the bill without harmful amendments.

Questions and limits: Committee members asked whether ODVA has capacity to absorb any increased demand if veterans stop paying private firms. In response, Manning said county veteran service officers exist in all 36 counties and that ODVA connects veterans who cannot locate a county VSO: "Every county has a veteran service officer And if there's a veteran that cannot locate the veteran service officer, all they have to do is notify, ODVA. ODVA will connect them." On penalties and enforcement, Manning said the committee's immediate focus is on education and outreach and that the bill would direct ODVA to publicize no‑cost services; he did not detail a specific new penalty regime.

Details and claims in testimony: Barber noted existing VA regulations that cap fees for accredited representatives and urged parity for penalties to cover unaccredited actors; he said Oregon consumer protection law could allow civil penalties (he recalled an amount “up to $25,000” as a potential civil penalty but said he did not have the statute in front of him). The sponsor said the bill passed the Senate on a wide margin.

Process and next steps: The committee closed the public hearing on SB 150A without a recorded committee vote; the bill remains under consideration. The sponsor and veterans advocates said the measure primarily aims to educate veterans about free VSO services and to reduce deceptive, fee‑based consulting for veterans benefits.