Gazelle v. Shulkin, 868 F.3d 1006 (Fed. Cir., Aug. 22, 2017)

HELD: The Federal Circuit affirmed the CAVC’s decision in Gazelle v. McDonald, 27 Vet.App. 461 (2016), and held that 38 U.S.C. § 1114(s)(1) “is clear and unambiguous in its direction to calculate special monthly compensation using the combined ratings table.

SUMMARY: Mr. Gazelle was service connected for PTSD, rated 100%, and or multiple disabilities that combined to a 50% disability rating under VA’s combined ratings table, 38 C.F.R. § 4.25. If his disability ratings for these conditions were added, as opposed to combined, the disability rating for his physical conditions would equal 60%.

Under 38 U.S.C. § 1114(s)(1), a veteran is entitled to a higher rate of compensation – special monthly compensation (SMC) – if s/he has “a service-connected disability rated as total” and “additional service-connected disability or disabilities independently ratable at [sixty] percent or more.” Because Mr. Gazelle’s additional disabilities did not combine to a 60% rating, the Board denied SMC.

The Veterans Court affirmed the Board’s denial, holding that “consistent with the plain meaning of subsection 1114(s), the Board appropriately applied the combined ratings table to determine eligibility for SMC benefits.”

Mr. Gazelle appealed to the Federal Circuit, challenging the CAVC’s interpretation of 38 U.S.C. § 1114(s). The Federal Circuit examined the language of the statute, the legislative history, and the placement of this provision in the statutory scheme, and affirmed the CAVC’s decision, holding that “§ 1114(s)(1) unambiguously requires the veteran’s additional disabilities be rated at least at sixty percent based upon the combined ratings table and not the addition of individual disability ratings.” (emphasis in original).