Veterans Programs Amendments of 1996

Veterans Programs Amendments of 1996 - Adds bronchiolo-alveolar carcinoma to the list of diseases that will be considered service-connected (and therefore compensable) when occurring in a radiation-exposed veteran.

(Sec. 3) Considers any veteran age 65 or older and a patient in a nursing home as totally and permanently disabled for purposes of eligibility for veterans' disability compensation.

(Sec. 4) Authorizes the Secretary of Veterans Affairs to conduct a pilot program under which veterans' medical disability evaluation examinations may be made under contract by persons other than employees of the Department of Veterans Affairs. Requires the Secretary to report to the Congress on the program's effect on the timeliness and thoroughness of such examinations.

(Sec. 5) Increases from $5,500 to $6,000 the authorized automobile allowance provided to a disabled veteran when used to purchase an automobile containing adaptive equipment.

(Sec. 6) Provides the effective dates for: (1) the discontinuance of veterans' disability compensation, dependency and indemnity compensation, or pension benefits due to the remarriage of the beneficiary or the death of the payee; and (2) the award of DIC for which application is received within one year from the date of death of a veteran.

(Sec. 7) Increases from one to two years after the death of a primary beneficiary the authorized period for the payment of certain accrued veterans' benefits.

(Sec. 8) Reduces on a prorated basis the annual clothing allowance payable to certain disabled veterans who are incarcerated for a period in excess of 60 days and furnished clothing without charge by the penal institution.

(Sec. 9) Authorizes the American Battle Monuments Commission to enter into arrangements for the repair and long-term maintenance of war memorials for which the Commission assumes responsibility. Establishes in the Treasury a fund for such repair and maintenance expenses.