A bill to amend title 38, United States Code, to establish a grant program to provide assistance to States in providing veterans with advice and assistance concerning veterans' benefits.

Directs the Administrator of Veterans Affairs to establish a program to assist State governments in funding State established veterans' services programs which assist veterans with their benefits.

Sets forth grant application procedures, including a description of the State plan for coordination of a State veterans' services assistance program with the programs of local veterans' service organizations.

Requires a State plan to show that the delivery of services will be managed at the local level and that a State will increase the amount of matching funds it provides in each fiscal year through the third fiscal year of the grant.

Directs the Administrator to prescribe regulations to evaluate grant applications.

Authorizes appropriations for FY 1986 through 1988.