Proposed Rating Reduction: Your Due Process Rights

When VA proposes to reduce your service-connected disability rating, federal regulations give you a 60-day window to submit evidence and a separate right to a predetermination hearing. Authority: 38 CFR § 3.105(e) for the proposal procedure and § 3.105(i) for the hearing right.

What Is a Proposed Reduction?

A proposed rating reduction is VA's preliminary determination that your disability has improved enough to warrant a lower rating. It is NOT a final decision. The proposal kicks off a procedural window during which you can submit evidence, request a hearing, and persuade VA to abandon the proposal.

Proposals usually arise after:

A scheduled "future exam" (Reexamination Code 31) showing improvement.
A C&P exam tied to an unrelated claim that incidentally documented improvement.
VA's review of medical records during a different claim.

Proposal vs Final Reduction

Proposal

Reg: § 3.105(e)

Effect: Notice only. Your current rating stays in place. Pay continues at current level.

Your right: 60 days to submit evidence + 30 days to request a hearing.

Final Reduction

Reg: § 3.105(e) implementation

Effect: Issued after the 60-day window. Pay reduces effective the first of the second month following the final decision.

Your right: Higher-Level Review, Supplemental Claim, or Board appeal under AMA.

Most veterans confuse the proposal with the final decision. The proposal is the warning shot, the moment to act.

The 60-Day Notice Window

Under 38 CFR § 3.105(e), when VA proposes to reduce a rating that would result in lower compensation, VA must:

Notify you in writing of the proposed action and the reasons.
Give you 60 days from the date of notice to present evidence showing the reduction should not be made.
Give you 30 days from the date of notice to request a predetermination hearing.
Continue paying at the current rate during the 60-day window.

The 60-day window is a hard deadline. Evidence submitted after the window is considered as part of any subsequent appeal but does not delay the final reduction.

Time-sensitive. The day you receive the proposal is day 0. By day 60, your evidence must be in VA's hands. Don't wait. Schedule appointments, gather records, and file within the window.

Predetermination Hearing Right

Under 38 CFR § 3.105(i), you have a right to request a predetermination hearing within 30 days of the proposal notice. The hearing is informal, you (and your representative) appear before a VA decision-maker and present evidence and argument.

If you request a hearing, the proposal cannot become final until the hearing is held and the hearing officer considers the evidence presented. This effectively extends the procedural window.

Hearings can be conducted in person at the regional office, by telephone, or by video. The format does not affect the substantive consideration.

What Stops the Reduction

The legal standard for reducing a rating is exacting. Under Brown v. Brown, 5 Vet. App. 413 (1993) and 38 CFR § 3.344, VA must show:

Sustained improvement, not a temporary fluctuation, but lasting change.
Improvement is reflected in actual physical or mental improvement, not just lower exam findings.
Improvement under the ordinary conditions of life and work, meaning the veteran can function in everyday life and employment, not just during a controlled exam.
Examination at least as full and complete as the exam that established the higher rating.

If any of these is not met, the reduction is improper and the proposal should be withdrawn. Many proposals fail because the underlying C&P exam is shorter, less detailed, or conducted by a less-qualified examiner than the original.

Evidence That Wins

Treatment records from the past year showing the disability has not improved (or has worsened).
Treating physician statement directly contradicting the C&P examiner's findings, with specific reference to the symptoms and limitations the examiner overlooked.
Functional impact statements describing how the disability affects work and daily life, directly addressing the "ordinary conditions of life and work" standard.
Medication records showing the same or higher dose of medications used to manage the condition (improvement that requires the same medication isn't really improvement).
Witness statements from family, employers, or coworkers describing functional limitations as observed.
Expert critique of the C&P exam identifying methodological flaws (shorter than the original exam, examiner not properly qualified, exam conducted under unusual conditions).

Protected Ratings (5 / 10 / 20-Year Rules)

Some ratings are protected from reduction by federal regulation regardless of medical improvement:

5-year stabilization rule (38 CFR § 3.344(a)(b)(c)): ratings in effect for 5+ years require evidence of sustained improvement under § 3.344(a) standards.
10-year stabilization rule (38 CFR § 3.957): service connection itself cannot be severed after 10 years except in cases of fraud.
20-year continuous total rating (38 CFR § 3.951(b)): a rating that has been in effect at any level for 20+ continuous years cannot be reduced below the lowest level it held during that period, except in fraud cases.

These protections apply automatically, VA must consider them before issuing a proposal. If you have a 5+ year rating, the § 3.344 standards apply. If you have a 20+ year continuous rating, reduction below that level is essentially blocked.

See the Rating Reductions Guide for the full protection framework.

After the Final Reduction

If VA issues a final reduction despite your evidence:

Higher-Level Review (HLR): file VA Form 20-0996. A senior reviewer reexamines the same evidence under a "difference of opinion" standard. Often successful when the original adjudicator misapplied § 3.344.
Supplemental Claim: file VA Form 20-0995 with new evidence (additional treatment records, expert opinions) within 1 year to preserve the effective date.
Board appeal: file VA Form 10182 to request Direct Review (no new evidence), Evidence docket (new evidence allowed), or Hearing docket (testimony before a Veterans Law Judge).

Reduction reversals at HLR are common when the legal arguments under § 3.344 and Brown v. Brown are properly briefed.

Common Mistakes

Treating the proposal as a final decision. The proposal is a window to act, not a verdict. Use the 60 days.
Not requesting the predetermination hearing. The 30-day hearing-request window is separate from the 60-day evidence window. File both.
Missing the protection rules. A 5+ year rating triggers § 3.344 protections. A 20+ year continuous rating is essentially un-reducible. Cite the rule explicitly.
Submitting only treatment records without commentary. Records alone may not contradict the C&P exam. Pair them with a treating physician statement that explicitly addresses the examiner's findings.
Not appealing if the reduction goes through. HLR success rates on properly briefed reduction appeals are high. Don't give up after the final decision.