Tens of thousands of Canadian veterans may have been overcharged for long-term care since at least 2005 due to a misunderstanding of federal regulations.
Veterans Affairs Canada (VAC) is conducting an investigation after a CBC News analysis found there may have been an error in how the agency calculated long-term care costs for veterans, and some lawyers are calling for a new announced that they are filing a lawsuit.
“It’s just like a slap in the face. [to] These veterans who gave their all in World War II and the Korean War are not going to be properly cared for and not be cared for the way Congress wants them to be cared for,” said retired Colonel Michel Drapeau. He is currently a lawyer in Ottawa.
With some exceptions, veterans in the department’s long-term care programs only have to pay for lodging and meals. Its cost should be set at a certain level Equal to the lowest room and board cost in the least expensive state..
According to figures provided by Veterans Affairs Canada, this year, the program will have up to $1,236.90 per month For long-term care, it’s about the same as the lowest cost available in Manitoba.
but, federal law that governs how other laws are interpreted defines “state” as “state or territory.” Long-term care prices are significantly lower in the Northwest Territories.
Long-term care rates in the Northwest Territories this year are $976. That means veterans could be overcharged by $260 a month, or more than $3,130 a year.
Figures obtained by CBC News from provinces, territories and VACs show that some veterans in long-term care programs have been in long-term care programs for at least 19 years in the lowest provinces and territories (consistently the Northwest Territories). It shows that you are paying more than the minimum cost. .
Drapeau said that based on publicly available information, the number of veterans currently in long-term care is small, about 1,500. Ten years ago, there were far more people in care, between 6,000 and 14,000, he said.
“We’re not talking about billionaires here,” he said, adding that many veterans receive pensions. “I think the average Canadian would say, ‘Wow, that’s $3,000 a year. That’s important.'”
Drapeau’s office and four other offices acted on behalf of 330,000 CAF and RCMP veterans. recent class action lawsuits It goes beyond pension and disability payments. These companies successfully argued that Veterans Affairs Canada made similar legal errors in calculating monthly disability benefits.
In that casein Manju v. Canada, the court found that the federal government underestimated pension adjustments based on the income tax rate of the province with the lowest combined federal and provincial tax rate, and that Nunavut had the lowest tax rate. concluded that it did not take into account.
The settlement orders the federal government to repay the class action participants the $528.5 million they lost as a result of the mistake, plus millions of dollars in interest dating back to 2003.
Two sources with ties to Veterans Affairs Canada told CBC News that the agency has been made aware of issues with veterans being overcharged for long-term care costs.
The ministry has known about the discrepancies “for years,” the people said. One source said it was a matter of “not if, but when” if the issue would be made public.
CBC News asked the ministry why the territory is not included in calculating long-term care costs for veterans and when the VAC was first informed about the issue. The ministry responded with a media statement.
“At Veterans Affairs Canada, we are committed to ensuring that all veterans have fair access to our programs and services. We are being asked to investigate this matter,” the statement said.
The office of Veterans Affairs Secretary Ginette Petipas Taylor declined an interview request.
“Veterans Affairs Canada has one job: to support these veterans and their families, and they fail miserably over and over again,” said the Canadian Veterans Fund. said Sandra Goodwin, a spokeswoman for the Veterans Legal Assistance Foundation, a charity set up to help. Obtain legal advice.
“Veterans and their families do not need to hire a lawyer or access the justice system to obtain the benefits they have earned.”
A class action lawsuit has been filed
After being asked about the issue by CBC News, some lawyers involved in the Manuge class action lawsuit say they plan to file another class action lawsuit accusing VAC of overcharging veterans for long-term care costs. said.
Drapeau said he believed the government made the same mistake by not taking territorial tax rates into account.
“As far as I can see, we are facing a similar situation this time as well, with interest rates not being applied properly,” he said. “It’s basically the same problem, the same principles.”
A motion was filed in federal court on Monday on behalf of the estate of Gordon Allan. The suit says the World War II veteran died in 2022 after being admitted to a long-term care facility in 2019 and paid a maximum amount for room and board for his care.
According to his statement of claim, he participated in the invasion of Normandy in June 1944 and was discharged in 1946.
The complaint was brought by Drapeau’s company and Goring WLG.
