83_FR_32727 83 FR 32592 - Schedule for Rating Disabilities: Skin

83 FR 32592 - Schedule for Rating Disabilities: Skin

DEPARTMENT OF VETERANS AFFAIRS

Federal Register Volume 83, Issue 135 (July 13, 2018)

Page Range32592-32601
FR Document2018-14957

On August 12, 2016, VA published in the Federal Register the proposed rule for Schedule for Rating Disabilities: Skin. VA received multiple responses during the 60-day comment period. This final rule implements the Secretary's proposed rule with limited revisions.

Federal Register, Volume 83 Issue 135 (Friday, July 13, 2018)
[Federal Register Volume 83, Number 135 (Friday, July 13, 2018)]
[Rules and Regulations]
[Pages 32592-32601]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-14957]


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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 4

RIN 2900-AP27


Schedule for Rating Disabilities: Skin

AGENCY: Department of Veterans Affairs.

ACTION: Final rule.

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SUMMARY: On August 12, 2016, VA published in the Federal Register the

[[Page 32593]]

proposed rule for Schedule for Rating Disabilities: Skin. VA received 
multiple responses during the 60-day comment period. This final rule 
implements the Secretary's proposed rule with limited revisions.

DATES: This rule is effective on August 13, 2018.

FOR FURTHER INFORMATION CONTACT: Gary Reynolds, M.D., Regulations Staff 
(211C), Compensation Service, Veterans Benefits Administration, 
Department of Veterans Affairs, 810 Vermont Avenue NW, Washington, DC 
20420, (202) 461-9700. (This is not a toll-free number.)

SUPPLEMENTARY INFORMATION: 

Applicability

    In reviewing the proposed rule to prepare for publication of the 
final rule, VA determined that the statements regarding the 
applicability date in the proposed rule should be revised in order to 
avoid potential misapplication of this final rule. In the proposed 
rule, VA stated that the provisions of the new regulations would apply 
to all applications for benefits received by VA or that are pending 
before the agency of original jurisdiction on or after the effective 
date of the final rule. VA has indeed structured some regulations this 
way in the past, due to the dynamics of the regulation in question. See 
``Schedule for Rating Disabilities--Mental Disorders and Definition of 
Psychosis for Certain VA Purposes,'' 80 FR 14308 (March 19, 2015). 
However, for this final rule, VA's intent is that the claims pending 
prior to the effective date will be considered under both old and new 
rating criteria, and whatever criteria is more favorable to the veteran 
will be applied. For applications filed on or after the effective date, 
only the new criteria will be applied.

Comments Received

    Ten different commenters (including two Veterans Service 
Organizations) submitted comments in response to the proposed rule. VA 
will address their comments within the topics below.

Comments Warranting Revisions to the Proposed Rule

    VA has made five changes to the proposed rule based on comments 
received. First, two commenters noted that additional guidance 
regarding coexistent skin conditions and pyramiding might be helpful. 
VA agrees and has added a clarifying note at the start of Sec.  
4.118(b) which states: ``Two or more skin conditions may be combined in 
accordance with Sec.  4.25 only if separate areas of skin are involved. 
If two or more skin conditions involve the same area of skin, then only 
the highest evaluation shall be used.''
    Second, two commenters felt that the proposed language ``per 12-
month period'' in multiple diagnostic codes (DCs) was unclear about 
which 12-month period would be used for evaluation purposes. VA concurs 
and has revised the criteria to specify that ``over the past 12-month 
period'' is the applicable time frame for these DCs.
    Third, a commenter asserted that the evaluation criteria for eczema 
(DC 7806) should consider itching. Eczema (also known as atopic 
dermatitis) is often called ``the itch that rashes.'' The intense 
itching (without lesions at first) leads to the scratching, resulting 
in the characteristic lesions. See ``Dermatology'' 210 (Jean Bolognia 
et al. eds., 3d ed. 2012). Thus, itching is part of the pathology in 
all eczema ratings, even though only involved areas (lesions, scars) 
are considered for compensation purposes. Based on this comment, VA has 
clarified that it is the area of lesions, not the itching, that forms 
the basis of a rating, by revising in this final rule each criteria 
level in the General Rating Formula for the Skin to include the phrase 
``Characteristic lesions involving. . . .''
    Fourth, a commenter expressed concern that a long-lasting 
urticarial attack with no breaks would qualify for a 10% rating, rather 
than a 60% rating under DC 7825 (Urticaria). VA understands this 
concern and has revised the criteria in this final rule to be based on 
the condition's response to required treatment. First, VA has retitled 
the diagnostic code, ``Chronic urticaria'' and added a definition for 
chronic urticaria, which is ``continuous urticaria at least twice per 
week, off treatment, for a period of six weeks or more.'' A subset of 
patients has chronic urticaria that is unresponsive to first line 
treatment (antihistamines). If a patient is also unresponsive to second 
line treatment (e.g., epinephrine, corticosteroids, aminosalicylates), 
it is considered refractory chronic urticaria. It was, and continues to 
be, VA's intent to have evaluation levels that clearly and distinctly 
reflect increasing disability. To that end, VA has revised the 
evaluation criteria to more clearly establish three distinct levels of 
disability: (1) Chronic urticaria requiring first line treatment for 
control, (2) chronic urticaria requiring second line treatment for 
control, and (3) chronic urticaria which is refractory to both first 
line and second line treatment. A non-exhaustive list of examples for 
first line, second line, and third line treatment is given with each 
evaluation level. This should ensure, commensurate with the commenter's 
concern, that more severe and less controllable urticarial attacks 
receive higher ratings.
    Fifth, a commenter asked if active psoriatic arthritis would be 
entitled to a 60% evaluation under DC 7816 (Psoriasis) and a 100% 
evaluation under DC 5009 (Arthritis, other types), allowing for special 
monthly compensation at the ``s'' level, i.e., housebound. To clarify 
that separate ratings are permissible, VA has added the term 
``separately'' to the note in DC 7816. Special monthly compensation 
would be warranted under 38 CFR 3.350(i)(1), if the psoriasis and the 
arthritis constitute ``separate and distinct'' disabilities ``involving 
different anatomical segments or bodily systems.''
    Beyond the changes made in response to comments, this final rule 
contains several technical and non-substantive amendments to the 
proposed rule.

Comments Related to Systemic and Topical Therapy and Johnson v. 
McDonald

    A total of six comments either disagreed with or questioned VA's 
proposal for defining topical and systemic therapy in light of the 
Johnson v. McDonald decision of the U.S. Court of Appeals for Veterans 
Claims (CAVC) in 2016. That decision found that any use of a topically-
applied corticosteroid constituted ``systemic therapy'' pursuant to 
diagnostic code 7806. However, in July 2017, the U.S. Court of Appeals 
for the Federal Circuit (Federal Circuit) reversed the CAVC's 
interpretation. See Johnson v. Shulkin, 862 F.3d 1351 (Fed. Cir. 2017). 
The Federal Circuit held that the CAVC was incorrect to ``read DC 7806 
as unambiguously elevating any form of corticosteroid treatment, 
including any degree of topical corticosteroid treatment, to the level 
of `systemic therapy.''' Id. at 1354.
    Although VA's proposal for systemic and topical therapy was in part 
a reaction to the CAVC's now-reversed Johnson decision, its aim was 
also to provide clarity for raters adjudicating these claims. VA 
proposed to clarify that treatment administered through the skin is 
``topical therapy,'' while treatment administered through any route 
other than the skin (orally, injection, suppository, intranasally) is 
``systemic therapy.'' This final rule adopts VA's proposal. One theme 
of the comments was that topically-applied medications could be 
considered systemic therapy or could have systemic effects. In this 
regard, one commenter questioned why VA does not provide

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more information as to the potential systemic effects of topically-
applied corticosteroids, and another asserted that topically-applied 
medications can cause heightened effects in elderly populations.
    As noted in the supplementary information to the proposed rule, 
however, it creates a dramatic disconnect to rate a medication applied 
to the skin--affecting only the localized area to which it is applied--
as ``systemic therapy'' that affects the entire body. Rather, the 
prevailing medical understanding is that ``topical'' therapy 
``pertain[s] to a particular surface area . . . and affect[s] only the 
area to which it is applied,'' while ``systemic'' therapy ``pertain[s] 
to or affect[s] the body as a whole.'' Dorland's Illustrated Medical 
Dictionary 1865, 1940 (32d ed. 2012). VA's proposal, adopted as a final 
rule here, sets clear guidelines in accordance with this understanding: 
creams applied to the skin are ``topical therapy,'' and treatments 
applied in a way (orally, intranasally, etc.) that the medication 
circulates throughout the entire body and suppresses the immune system 
as a whole are ``systemic therapy.''
    VA also acknowledged in the supplementary information that some 
medications applied to the skin, if administered on a large enough 
scale, could have a systemic effect; but in those situations the 
veteran can obtain a higher rating due to the percentage of the body 
affected. For example, a veteran who is required to apply a cream on 
his entire body is not subject to a noncompensable rating; even though 
he is not taking systemic therapy, he would obtain a compensable rating 
under this final rule based on the percentage of his body affected by 
the condition.
    Overall, the aim of this rule is to clarify the terms used in the 
rating schedule, in order to distinguish between a condition that 
affects a large portion of the body or requires therapy affecting the 
entire body, and a condition that is localized and involves localized 
treatment. The former generally impairs earning capacity more than the 
latter. To the extent that topically-applied medications might affect 
different people (such as the elderly) in different ways, the rating 
schedule is based on the average impairment in earning capacity. 38 
U.S.C. 1155. If there is an exceptional or unusual effect of applying 
corticosteroid cream, a claimant can submit argument for an 
extraschedular rating. 38 CFR 3.321(b)(1). VA can also raise the issue 
of an extraschedular rating on its own when the evidence of record 
suggests such consideration is appropriate. This is why VA cannot 
provide more specific information on the potential systemic effects of 
topically-applied corticosteroids: the potency of the medication, the 
amount of skin affected, and the strength of the condition, will vary 
from veteran to veteran.
    One comment on this topic advocated that VA should automatically 
assume that topical corticosteroids have systemic effects based on the 
benefit-of-the-doubt standard. The benefit-of-the-doubt rule, however, 
applies to the adjudication of claims, not formulation of the rating 
schedule. 38 U.S.C. 5107(b). This commenter further stated that certain 
skin conditions cannot be cured, but only treated, and that the burden 
of applying medication with little effect is not taken into 
consideration in the proposed rule. To the contrary, frequency in 
application is a factor in the schedule for rating systemic therapy, 
but it remains VA's assessment that applying cream on the skin of less 
than 5% of the body reflects a condition that does not impair earning 
capacity at a compensable level.
    Two additional commenters viewed the proposed rule as an attempt to 
circumvent or undermine the CAVC's ruling. These comments are obviated 
by the fact that the CAVC's ruling has been reversed. See Johnson v. 
Shulkin, supra. But even if it had not been reversed, it is well 
established that a judicial interpretation of regulatory language does 
not preclude an agency from revising that language (for prospective 
application) pursuant to its rulemaking authority. See Nat'l Org. of 
Veterans Advocates Inc., v. Sec'y of Veterans Affairs, 260 F.3d 1365, 
1373 (Fed. Cir. 2001) (argument that CAVC holdings prevent revision of 
regulations ``seriously misunderstand[s] . . . the nature of the 
judicial function.''). VA may clarify the rating schedule to accord 
with its original intent in promulgating these diagnostic codes. One of 
these commenters added that skin conditions can cause real pain and 
embarrassment and should not be devalued. We understand this concern, 
but the objective criteria of (1) percentage of body affected and (2) 
mode and frequency of therapy are better suited in determining average 
impairment of earning capacity than an individual's level of 
embarrassment.
    Another commenter questioned the consistency of the proposed 
definition for systemic therapy with DC 6602 and the overall rating 
schedule. This rule is consistent with DC 6602--which defines 
``systemic'' corticosteroids as ``oral or parenteral,'' i.e., the 
corticosteroids that circulate throughout the body and affect the 
entire immune system. We are unaware, and the commenter does not 
provide further information, as to how the rule is inconsistent with 
other portions of the rating schedule.
    Finally, two commenters asserted that VA is emphasizing topical 
treatment in order to save money at the expense of quality care. This 
rule, however, should not affect how doctors treat conditions; rather, 
its aim is to clarify terms for raters adjudicating claims. We are not 
aware of any VA instruction that its doctors prescribe topical 
treatment to save money when it is not best for the patient.

Comments Recommending Revisions to Evaluation Criteria

    A number of comments recommended revisions to criteria within the 
proposed rule. VA received two comments regarding DC 7806, Dermatitis 
or eczema. One comment has been addressed above and prompted a revision 
to this final rule. The other comment requested that VA include biopsy 
results in the evaluation criteria, because eczema can occur 
sporadically over the year and a doctor might only take account of what 
is observable during the examination. VA declines to make changes based 
upon this comment. The General Rating Formula for the Skin employs two 
routes to compensation, based on either the extent of skin involvement 
or the intensity of treatment. If the condition requires constant or 
near-constant systemic therapy, then, regardless of the extent of skin 
involvement at the time of examination, the veteran would be entitled 
to the highest evaluation. It is unclear how criteria based on biopsy 
results would be more favorable to veterans than this scheme. Moreover, 
obtaining a biopsy for every ratable skin condition is not necessarily 
appropriate, and a service-connected veteran is free to request an 
additional examination if a skin disorder becomes more extensive than 
what was observed during a given examination. VA received two comments 
concerning DC 7817, Erythroderma. One comment asked why the ``treatment 
failure'' language was incorporated into the proposed criteria when the 
term ``uncontrolled'' in the evaluation criteria for diabetes (DC 7913) 
``was found to be problematic.'' VA incorporated language regarding 
``treatment failure'' here because it is easily measured and can be 
applied by rating officials with consistent results. Treatment failure 
is a common occurrence with erythroderma, and we see no connection to 
the term ``uncontrolled'' in a diagnostic code for

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a different condition (diabetes) that was revised over two decades ago. 
The second comment asked whether VA would use the new DC 7817 criteria 
for pending appeals. As explained above, VA will only apply the new 
criteria to pending appeals if it is advantageous to the appellant.
    One comment addressed DC 7824, Diseases of keratinization. The 
commenter stated that we would be underrating diseases of 
keratinization by moving them to the General Rating Formula for the 
Skin, where it would not account for systemic manifestations. While VA 
concurs that the term ``systemic manifestations'' is not employed 
within the General Rating Formula for the Skin, this change does not 
adversely affect the veteran. Under the version of DC 7824 that is 
being revised by this final rule, a veteran needs both ``systemic 
manifestations'' and ``systemic medication'' for a 30% or 60% rating if 
there is not generalized cutaneous involvement. Now, under this final 
rule, a veteran with a disease of keratinization can receive such a 
rating for taking ``systemic therapy'' even without any systemic 
manifestations. This change simplifies the evaluation for veterans with 
diseases of keratinization.
    Three comments requested changes to DC 7825, Urticaria, and DC 
7826, Vasculitis, primary cutaneous. One comment has been addressed 
above, resulting in a revision to the final rule. Another comment 
asserted that the term ``documented'' in DC 7826 should not require 
evidence of a visit to a physician, clinic, or hospital, because those 
already on medication may not seek medical attention if they are used 
to managing their condition. That commenter requested that VA clarify 
that lay evidence fulfills the ``documented'' standard.
    VA understands that lay evidence must be considered when VA 
adjudicators evaluate a claim, and nothing in this final rule is meant 
to undercut that principle. On the other hand, virtually the entire VA 
ratings schedule requires some kind of documentation or objective 
testing in order to gauge the severity of a disability. In that vein, 
this final rule requires that vasculitic episodes be ``documented'' for 
a higher rating. Though the rule does not state that the only 
acceptable documentation is a doctor's contemporaneous confirmation, a 
veteran whose disease is not under control and continues to prompt 
episodes would most likely see a provider multiple times within a 12-
month period.
    The third commenter found it problematic that the criteria would 
allow mild, frequent attacks to be rated higher than more severe and 
longer attacks. This commenter also stated that a reliance on treatment 
modality is problematic, because biologics are impossible for veterans 
with weakened immune systems and others are prescribed unevenly.
    VA's change to DC 7825 in this final rule obviates this comment, as 
the urticaria criteria are no longer reliant on the number of attacks. 
VA also disagrees that basing evaluation criteria on treatment modality 
is problematic. Each line of treatment for chronic urticaria (first 
line, second line, or third line) has more than one treatment option 
available, so the fact that one particular option is poorly tolerated 
does not imply that veterans will be inaccurately rated.
    VA received three comments involving areas of affected skin, 
including requests to add forearms and lower legs as exposed areas. One 
of the commenters explained that, in summer temperatures, veterans 
cannot be expected to work with their forearms and lower legs covered. 
A second stated that there is no equitable definition of exposed skin, 
and doctors are commonly recommending more sunlight for psoriasis. The 
third suggested the work group identify which technique for measuring 
the area of involved skin would be best suited for evaluation purposes.
    VA will not make any revisions to the final rule based on the above 
comments, as VA is unaware of any occupations that require exposed 
forearms or lower legs, i.e., mandate such exposure as part of the job. 
Furthermore, dermatologists (who are the subject matter experts when it 
comes to conditions affecting the skin) have already decided how to 
calculate involved skin area and what constitutes a routinely exposed 
area; and the established medical practice in that field is to consider 
only the head, neck, and hands consistently and truly exposed, as long-
sleeved shirts and full-length pants have customarily been considered 
part of the typical clothing used in occupational settings. There is no 
justification, medical or otherwise, to change from established 
practice. Lastly, a treatment recommendation to get more sunlight for 
psoriatic skin neither precludes nor interferes with employment, and 
thus should have no bearing on the rating criteria.
    VA received two comments about alopecia, specifically DC 7830, 
Scarring alopecia, and DC 7831, Alopecia areata. One comment asserted 
that DC 7831 should provide a compensable rating for loss of scalp 
hair, since it is an exposed area. The other comment recommended a 
higher evaluation under DC 7830 for women, because this condition is 
more socially debilitating for women and, as a result, women incur a 
higher financial responsibility to deal with the condition. VA is 
sympathetic to these issues and understands the social aspects of hair 
loss. Nevertheless, the rating schedule is based on the loss of wage-
earning capacity and no reliable evidence establishes significant 
occupational impairment with loss of body hair, or that occupational 
impairment is greater in women than in men with scarring alopecia. As 
such, VA will not revise the final rule based on these two comments.
    As to the final comments, one requested a note adding consideration 
of the effect of disfigurement on the veteran's mental health. VA 
acknowledges that secondary service connection under 38 CFR 3.310 may 
be possible for a mental health disability that is found to be causally 
related to a service-connected skin disability. However, we believe 
this is clear from 38 CFR 3.310, such that a note is not necessary 
here. The second questioned why evaluation criteria do not comment on 
conditions caused by the failure of the immune system, such as 
lymphedema, which affect the skin and may require compression therapy. 
Although lymphedema may be evaluated under diagnostic codes pertaining 
to the skin if it disfigures and/or scars the skin, see 38 CFR 4.116, 
DC 7627-7628 (evaluating lymphedema ``under the appropriate diagnostic 
code(s) within the appropriate body system''), it is ultimately a 
lymphatic condition, not a skin condition, such that its consideration 
would be outside the scope of both the proposed and final rules for the 
skin.

Comments Regarding Interplay of Regulations

    VA received a number of comments seeking clarification or guidance 
on the interplay between section 4.118 and other regulations.
    Three comments implicated the relationship between part 3 
regulations and section 4.118. One comment regarding multiple ratings 
for psoriatic arthritis has been addressed above, resulting in a 
revision in this final rule. Another comment asked if VA would service 
connect disabilities to other body systems resulting from the treatment 
of skin conditions. Generally, yes, VA may grant secondary service 
connection as long as the standards found in 38 CFR 3.310 are met.

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    A third comment questioned the consistency between the definition 
of chronic in 38 CFR 3.380 (diseases of allergic etiology) and the 
definition in DCs 7825 and 7826. No inconsistencies exist, as 38 CFR 
3.380 addresses service connection, while DCs 7825 and 7826 address 
evaluation, and none of these provisions address the term ``chronic.'' 
This commenter continued by stating: ``Confusion regarding `service 
connection' and evaluation criteria applies to the `continuous use' and 
`disabling effects of medication' to suggest that VA will concede 
secondary service connection [38 CFR 3.310] in cases with facts similar 
to those described (or are these functional impairments simply acute 
and transitory or will this be pyramiding?).'' VA finds this portion of 
the comment unclear and is unable to respond.
    The remaining comments covered the relationship between section 
4.118 and other part 4 regulations. One commenter assumed that combined 
ratings would result from DCs 7801 and 7802. To the contrary, the 
General Rating Formula for the Skin instructs the rater to use the 
relevant criteria or rate under DCs 7800, 7801, 7802, 7804, or 7805. 
Hence, the guidance precludes combining of disability criteria in this 
regard. Another comment asked about the difference between the six 
zones of the body in 38 CFR 4.118 and the five anatomic zones of 38 CFR 
4.55(b). VA intends that the six zones in this final rule are specific 
for the skin and not intended to reflect a global standard to be 
applied for all body systems. Yet another comment asked about the 
difference between ``anogenital region'' (noted in DC 7829) and 
``pruritus ani'' (DC 7337), and whether these ratings may be combined. 
``Anogenital region'' is an anatomic area that may be affected by 
chloracne (DC 7829), whereas ``pruritus ani'' is an itching near the 
rectum. VA may separately evaluate these conditions and combine them in 
accordance with 38 CFR 4.25.
    Still another assertion involving DC 7829 and other part 4 
regulations was that ``[i]ntertriginous areas and limitation of 
function are problematic. The axilla of the arm and the range of motion 
of the shoulder are similar to the facts in [Cullen v. Shinseki, 24 
Vet. App. 74 (2010)].'' We discern no problem in the language of DC 
7829 or conflict with Cullen. VA may separately evaluate disability 
related to acne (skin) and a disability affecting the shoulder 
(musculoskeletal). One last question presented by this commenter asked 
if the reference to ``skin folds of the breasts'' in DC 7829 could be 
used to justify a 20 percent evaluation by analogy under DC 7628, 
benign neoplasms. Because DC 7628 permits rating benign neoplasms as a 
skin condition, such a rating by analogy may be possible.

Comments Recommending Additional Diagnostic Codes

    VA received four comments recommending additional diagnostic codes: 
One comment recommending additional codes generally to reduce analogous 
coding, and three other comments recommending codes for lymphedema 
(and/or skin conditions caused by immune system failure), pressure 
ulcers, actinic keratoses, and rosacea. VA finds these additions 
unnecessary. As noted above, VA may evaluate lymphedema which 
disfigures and/or scars the skin under DCs 7801, 7802, 7804, or 7805. 
Furthermore, pressure ulcers normally are not considered a skin 
condition warranting compensation. Actinic keratoses and rosacea are 
not occupationally significant. VA is willing to consider adding 
diagnostic codes for skin conditions that are occupationally 
significant.

Comment Outside the Scope of the Proposed Rule

    VA received a comment asking why the Food and Drug Administration 
could not find another manufacturer for EpiPen[supreg]. The EpiPen 
question is well outside the scope of this rule, so VA will not respond 
to it.

Comment Regarding Public Access

    The last issue raised by a commenter dealt with public access to 
the materials developed by the Skin Disorders Work Group after a public 
forum in New York City in January 2012 but before the drafting of the 
proposed rule. Specifically, the commenter requested that the 
information developed and shared by the work group should be publicly 
available.
    In the SUPPLEMENTARY INFORMATION to the proposed rule, VA included 
information about the Skin Disorders Work Group. See 81 FR 53353, 53353 
(Aug. 12, 2016). As noted, the stated goals of the work group included 
improving and updating VA Schedule for Rating Disabilities (VASRD) 
criteria, and inviting public participation; this process included 
presentations on areas of expertise and interaction with the public at 
a public forum in January 2012. (A transcript of this public forum and 
all related materials are on file and available for public inspection 
in the Office of Regulation and Policy Management. Contact information 
for that office is noted in the ADDRESSES section of the proposed rule. 
See 81 FR at 53358.) The work group served as an initial call to 
various subject matter experts and Veterans Service Organizations to 
provide a preliminary review of the VASRD from both internal and 
external stakeholders.
    VA emphasizes that this review of the VASRD was not an opportunity 
for work group members to participate in the deliberative rulemaking 
process; the work group discussed the general topic of the VASRD body 
system and provided feedback on the areas that were subject to advances 
since the last major revision of the body system. To this end, where 
changes to the scientific and/or medical nature of a given condition 
were made in the proposed rule, VA cited the published, publicly-
available source for these changes. Not only did this provide the 
public with access to the source for a given proposed change, it also 
confirmed that VA relied upon peer-reviewed scientific and medical 
information to support a given change. While similar information may 
have been presented by a work group member, VA relied upon the 
published document(s) as the primary source for a change and included 
such sources in the administrative record for this rulemaking. VA did 
not propose scientific and/or medical changes to the VASRD in the 
absence of publicly available, peer-reviewed sources.
    Accordingly, references in the proposed rule to the work group 
serve as an explanatory background and introduction to the VASRD 
rewrite project; the changes made by this rulemaking are not a 
reflection of the work group or any work group member. All changes 
based on scientific and/or medical information are a reflection of 
cited, published materials which are available to the public. VA has 
made deliberative materials available (via citation in the rulemaking) 
and is providing access to materials from the public forum available 
for public inspection at the Office of Regulation Policy and 
Management.

Effective Date of Final Rule

    Veterans Benefits Administration personnel utilize the Veterans 
Benefits Management System for Rating (VBMS-R) to process disability 
compensation claims that involve disability evaluations made under the 
VASRD. In order to ensure that there is no delay in processing 
veterans' claims, VA must coordinate the effective date of this final 
rule with corresponding VBMS-R system updates. As such, this final rule 
will apply effective August 13, 2018, the date VBMS-R system updates 
related to this final rule will be complete.

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Executive Orders 12866, 13563, and 13771

    Executive Orders 12866 and 13563 direct agencies to assess the 
costs and benefits of available regulatory alternatives and, when 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, and other advantages; distributive impacts; 
and equity). Executive Order 13563 (Improving Regulation and Regulatory 
Review) emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules, and promoting flexibility. 
Executive Order 12866 (Regulatory Planning and Review) defines a 
``significant regulatory action,'' which requires review by the Office 
of Management and Budget (OMB), as ``any regulatory action that is 
likely to result in a rule that may: (1) Have an annual effect on the 
economy of $100 million or more or adversely affect in a material way 
the economy, a sector of the economy, productivity, competition, jobs, 
the environment, public health or safety, or State, local, or tribal 
governments or communities; (2) Create a serious inconsistency or 
otherwise interfere with an action taken or planned by another agency; 
(3) Materially alter the budgetary impact of entitlements, grants, user 
fees, or loan programs or the rights and obligations of recipients 
thereof; or (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
this Executive Order.''
    The economic, interagency, budgetary, legal, and policy 
implications of this regulatory action have been examined and it has 
been determined not to be a significant regulatory action under 
Executive Order 12866. VA's impact analysis can be found as a 
supporting document at http://www.regulations.gov, usually within 48 
hours after the rulemaking document is published. Additionally, a copy 
of the rulemaking and its impact analysis are available on VA's website 
at http://www.va.gov/orpm by following the link for ``VA Regulations 
Published from FY 2004 through Fiscal Year to Date.'' This rule is not 
an Executive Order 13771 regulatory action because this rule is not 
significant under Executive Order 12866.

Regulatory Flexibility Act

    The Secretary hereby certifies that this final rule will not have a 
significant economic impact on a substantial number of small entities 
as they are defined in the Regulatory Flexibility Act (5 U.S.C. 601-
612). This rule would directly affect only individuals and would not 
directly affect small entities. Therefore, pursuant to 5 U.S.C. 605(b), 
this rulemaking is exempt from the initial and final regulatory 
flexibility analysis requirements of sections 603 and 604.

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule that may result in the expenditure by 
State, local, and tribal governments, in the aggregate, or by the 
private sector, of $100 million or more (adjusted annually for 
inflation) in any one year. This final rule will have no such effect on 
State, local, and tribal governments, or on the private sector.

Paperwork Reduction Act

    This final rule contains provisions constituting a collection of 
information under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3521). Specifically, this final rule is associated with information 
collections related to the application for disability benefits (VA Form 
21-526EZ), as well as Disability Benefits Questionnaires (DBQs), which 
enable a claimant to gather the necessary information from his or her 
treating physician as to the current symptoms and severity of a 
disability (VA Forms 21-0960F-1, Scars/Disfigurement DBQ, and 21-0960F-
2, Skin Diseases DBQ). These information collections are currently 
approved by the Office of Management and Budget (OMB) and have been 
assigned OMB control numbers 2900-0749 (for the application) and 2900-
0776 (for the DBQs). VA has reviewed the impact of this final rule on 
these information collections and determined that the incremental 
information collection burden for the first year of this rule is 
$8,828.20.

Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance number and title for the 
program affected by this document is 64.109, Veterans Compensation for 
Service-Connected Disability.

Signing Authority

    The Secretary of Veterans Affairs, or designee, approved this 
document and authorized the undersigned to submit it to the Office of 
the Federal Register for electronic publication as an official document 
of the Department of Veterans Affairs. Jacquelyn Hayes-Byrd, Acting 
Chief of Staff, Department of Veterans Affairs, approved this document 
on June 28, 2018, for publication.

List of Subjects in 38 CFR Part 4

    Disability benefits, Pensions, Veterans.

    Dated: June 28, 2018.
Jeffrey M. Martin,
Impact Analyst, Office of Regulation Policy & Management, Office of the 
Secretary, Department of Veterans Affairs.

    For the reasons set out in the preamble, the Department of Veterans 
Affairs amends 38 CFR part 4, subpart B, as follows:

PART 4--SCHEDULE FOR RATING DISABILITIES

Subpart B--Disability Ratings

0
1. The authority citation for part 4 continues to read as follows:

    Authority:  38 U.S.C. 1155, unless otherwise noted.


0
2. Amend Sec.  4.118 as follows:
0
a. Remove the introductory text;
0
b. Add paragraphs (a) and (b) before the table;
0
c. Revise the entries for diagnostic codes 7801, 7802, and 7805;
0
d. Add an entry for ``GENERAL RATING FORMULA FOR THE SKIN FOR DCs 7806, 
7809, 7813-7816, 7820-7822, AND 7824'', to appear after the entry for 
diagnostic code 7805; and
0
e. Revise the entries for diagnostic codes 7806, 7809, 7813, 7815-7817, 
7820-7822, and 7824-7829.
    The revisions and additions read as follows:


Sec.  4.118  Schedule of ratings-skin.

    (a) For the purposes of this section, systemic therapy is treatment 
that is administered through any route (orally, injection, suppository, 
intranasally) other than the skin, and topical therapy is treatment 
that is administered through the skin.
    (b) Two or more skin conditions may be combined in accordance with 
Sec.  4.25 only if separate areas of skin are involved. If two or more 
skin conditions involve the same area of skin, then only the highest 
evaluation shall be used.

[[Page 32598]]



------------------------------------------------------------------------
                                                                 Rating
------------------------------------------------------------------------
 
                              * * * * * * *
7801 Burn scar(s) or scar(s) due to other causes, not of the
 head, face, or neck, that are associated with underlying
 soft tissue damage:
    Area or areas of 144 square inches (929 sq. cm.) or               40
     greater.................................................
    Area or areas of at least 72 square inches (465 sq. cm.)          30
     but less than 144 square inches (929 sq. cm.)...........
    Area or areas of at least 12 square inches (77 sq. cm.)           20
     but less than 72 square inches (465 sq. cm.)............
    Area or areas of at least 6 square inches (39 sq. cm.)            10
     but less than 12 square inches (77 sq. cm.).............
    Note (1): For the purposes of DCs 7801 and 7802, the six
     (6) zones of the body are defined as each extremity,
     anterior trunk, and posterior trunk. The midaxillary
     line divides the anterior trunk from the posterior trunk
    Note (2): A separate evaluation may be assigned for each
     affected zone of the body under this diagnostic code if
     there are multiple scars, or a single scar, affecting
     multiple zones of the body. Combine the separate
     evaluations under Sec.   4.25. Alternatively, if a
     higher evaluation would result from adding the areas
     affected from multiple zones of the body, a single
     evaluation may also be assigned under this diagnostic
     code....................................................
7802 Burn scar(s) or scar(s) due to other causes, not of the
 head, face, or neck, that are not associated with underlying
 soft tissue damage:
    Area or areas of 144 square inches (929 sq. cm.) or               10
     greater.................................................
    Note (1): For the purposes of DCs 7801 and 7802, the six
     (6) zones of the body are defined as each extremity,
     anterior trunk, and posterior trunk. The midaxillary
     line divides the anterior trunk from the posterior trunk
    Note (2): A separate evaluation may be assigned for each
     affected zone of the body under this diagnostic code if
     there are multiple scars, or a single scar, affecting
     multiple zones of the body. Combine the separate
     evaluations under Sec.   4.25. Alternatively, if a
     higher evaluation would result from adding the areas
     affected from multiple zones of the body, a single
     evaluation may also be assigned under this diagnostic
     code....................................................
 
                              * * * * * * *
7805 Scars, other; and other effects of scars evaluated under
 diagnostic codes 7800, 7801, 7802, or 7804:
    Evaluate any disabling effect(s) not considered in a
     rating provided under diagnostic codes 7800-04 under an
     appropriate diagnostic code.............................
General Rating Formula For The Skin For DCs 7806, 7809, 7813-
 7816, 7820-7822, and 7824:
    At least one of the following............................         60
    Characteristic lesions involving more than 40 percent of
     the entire body or more than 40 percent of exposed areas
     affected; or
    Constant or near-constant systemic therapy including, but         60
     not limited to, corticosteroids, phototherapy,
     retinoids, biologics, photochemotherapy, psoralen with
     long-wave ultraviolet-A light (PUVA), or other
     immunosuppressive drugs required over the past 12-month
     period..................................................
    At least one of the following............................         30
    Characteristic lesions involving more than 20 to 40
     percent of the entire body or 20 to 40 percent of
     exposed areas affected; or
    Systemic therapy including, but not limited to,
     corticosteroids, phototherapy, retinoids, biologics,
     photochemotherapy, PUVA, or other immunosuppressive
     drugs required for a total duration of 6 weeks or more,
     but not constantly, over the past 12-month period.......
    At least one of the following............................         10
    Characteristic lesions involving at least 5 percent, but
     less than 20 percent, of the entire body affected; or
    At least 5 percent, but less than 20 percent, of exposed
     areas affected; or
    Intermittent systemic therapy including, but not limited
     to, corticosteroids, phototherapy, retinoids, biologics,
     photochemotherapy, PUVA, or other immunosuppressive
     drugs required for a total duration of less than 6 weeks
     over the past 12-month period...........................
    No more than topical therapy required over the past 12-            0
     month period and at least one of the following..........
    Characteristic lesions involving less than 5 percent of
     the entire body affected; or
    Characteristic lesions involving less than 5 percent of
     exposed areas affected..................................
    Or rate as disfigurement of the head, face, or neck (DC
     7800) or scars (DCs 7801, 7802, 7804, or 7805),
     depending upon the predominant disability. This rating
     instruction does not apply to DC 7824...................
7806 Dermatitis or eczema.
    Evaluate under the General Rating Formula for the Skin...
 
                              * * * * * * *
7809 Discoid lupus erythematosus.
    Evaluate under the General Rating Formula for the Skin...
    Note: Do not combine with ratings under DC 6350..........
 
                              * * * * * * *
7813 Dermatophytosis (ringworm: Of body, tinea corporis; of
 head, tinea capitis; of feet, tinea pedis; of beard area,
 tinea barbae; of nails, tinea unguium (onychomycosis); of
 inguinal area (jock itch), tinea cruris; tinea versicolor).
    Evaluate under the General Rating Formula for the Skin...
7815 Bullous disorders (including pemphigus vulgaris,
 pemphigus foliaceous, bullous pemphigoid, dermatitis
 herpetiformis, epidermolysis bullosa acquisita, benign
 chronic familial pemphigus (Hailey-Hailey), and porphyria
 cutanea tarda).
    Evaluate under the General Rating Formula for the Skin...
    Note: Rate complications and residuals of mucosal
     involvement (ocular, oral, gastrointestinal,
     respiratory, or genitourinary) separately under the
     appropriate diagnostic code.............................
7816 Psoriasis.
    Evaluate under the General Rating Formula for the Skin...
    Note: Rate complications such as psoriatic arthritis and
     other clinical manifestations (e.g., oral mucosa, nails)
     separately under the appropriate diagnostic code........
7817 Erythroderma:
    Generalized involvement of the skin with systemic                100
     manifestations (such as fever, weight loss, or
     hypoproteinemia) AND one of the following...............

[[Page 32599]]

 
    Constant or near-constant systemic therapy such as
     therapeutic doses of corticosteroids, other
     immunosuppressive drugs, retinoids, PUVA (psoralen with
     long-wave ultraviolet-A light), UVB (ultraviolet-B
     light) treatments, biologics, or electron beam therapy
     required over the past 12 month period; or
    No current treatment due to a documented history of              100
     treatment failure with 2 or more treatment regimens.....
    Generalized involvement of the skin without systemic
     manifestations and one of the following.................
    Constant or near-constant systemic therapy such as
     therapeutic doses of corticosteroids, other
     immunosuppressive drugs, retinoids, PUVA, UVB
     treatments, biologics, or electron beam therapy required
     over the past 12-month period; or.......................
    No current treatment due to a documented history of               60
     treatment failure with 1 treatment regimen..............
    Any extent of involvement of the skin, and any of the             30
     following therapies required for a total duration of 6
     weeks or more, but not constantly, over the past 12-
     month period: systemic therapy such as therapeutic doses
     of corticosteroids, other immunosuppressive drugs,
     retinoids, PUVA, UVB treatments, biologics, or electron
     beam therapy............................................
    Any extent of involvement of the skin, and any of the             10
     following therapies required for a total duration of
     less than 6 weeks over the past 12-month period:
     systemic therapy such as therapeutic doses of
     corticosteroids, other immunosuppressive drugs,
     retinoids, PUVA, UVB treatments, biologics, or electron
     beam therapy............................................
    Any extent of involvement of the skin, and no more than            0
     topical therapy required over the past 12-month period..
    Note: Treatment failure is defined as either disease
     progression, or less than a 25 percent reduction in the
     extent and severity of disease after four weeks of
     prescribed therapy, as documented by medical records....
 
                              * * * * * * *
7820 Infections of the skin not listed elsewhere (including
 bacterial, fungal, viral, treponemal, and parasitic
 diseases).
    Evaluate under the General Rating Formula for the Skin...
7821 Cutaneous manifestations of collagen-vascular diseases
 not listed elsewhere (including scleroderma, calcinosis
 cutis, subacute cutaneous lupus erythematosus, and
 dermatomyositis).
    Evaluate under the General Rating Formula for the Skin...
 
                              * * * * * * *
7822 Papulosquamous disorders not listed elsewhere (including
 lichen planus, large or small plaque parapsoriasis,
 pityriasis lichenoides et varioliformis acuta (PLEVA),
 lymphomatoid papulosus, mycosis fungoides, and pityriasis
 rubra pilaris (PRP)).
    Evaluate under the General Rating Formula for the Skin...
 
                              * * * * * * *
7824 Diseases of keratinization (including icthyoses,
 Darier's disease, and palmoplantar keratoderma).
    Evaluate under the General Rating Formula for the Skin...
7825 Chronic urticaria:
    For the purposes of this diagnostic code, chronic
     urticaria is defined as continuous urticaria at least
     twice per week, off treatment, for a period of six weeks
     or more.................................................
    Chronic refractory urticaria that requires third line             60
     treatment for control (e.g., plasmapheresis,
     immunotherapy, immunosuppressives) due to
     ineffectiveness with first and second line treatments...
    Chronic urticaria that requires second line treatment             30
     (e.g., corticosteroids, sympathomimetics, leukotriene
     inhibitors, neutrophil inhibitors, thyroid hormone) for
     control.................................................
    Chronic urticaria that requires first line treatment              10
     (antihistamines) for control............................
7826 Vasculitis, primary cutaneous:
    Persistent documented vasculitis episodes refractory to           60
     continuous immunosuppressive therapy....................
    All of the following.....................................         30
    Recurrent documented vasculitic episodes occurring four
     or more times over the past 12-month period; and
    Requiring intermittent systemic immunosuppressive therapy         30
     for control.............................................
    At least one of the following............................         10
    Recurrent documented vasculitic episodes occurring one to
     three times over the past 12-month period, and requiring
     intermittent systemic immunosuppressive therapy for
     control; or
    Without recurrent documented vasculitic episodes but
     requiring continuous systemic medication for control....
    Or rate as disfigurement of the head, face, or neck (DC
     7800) or scars (DCs 7801, 7802, 7804, or 7805),
     depending upon the predominant disability...............
7827 Erythema multiforme; Toxic epidermal necrolysis:
    Recurrent mucosal, palmar, or plantar involvement                 60
     impairing mastication, use of hands, or ambulation
     occurring four or more times over the past 12-month
     period despite ongoing immunosuppressive therapy........
    All of the following.....................................         30
    Recurrent mucosal, palmar, or plantar involvement not
     impairing mastication, use of hands, or ambulation,
     occurring four or more times over the past 12-month
     period; and requiring intermittent systemic therapy.....
    At least one of the following............................         10
    One to three episodes of mucosal, palmar, or plantar
     involvement not impairing mastication, use of hands, or
     ambulation, occurring over the past 12-month period AND
     requiring intermittent systemic therapy; or
    Without recurrent episodes, but requiring continuous
     systemic medication for control.........................
    Or rate as disfigurement of the head, face, or neck (DC
     7800) or scars (DCs 7801, 7802, 7804, or 7805),
     depending upon the predominant disability...............
    Note: For the purposes of this DC only, systemic therapy
     may consist of one or more of the following treatment
     agents: immunosuppressives, antihistamines, or
     sympathomimetics........................................
7828 Acne:
    Deep acne (deep inflamed nodules and pus-filled cysts)            30
     affecting 40 percent or more of the face and neck.......
    Deep acne (deep inflamed nodules and pus-filled cysts)            10
     affecting less than 40 percent of the face and neck, or
     deep acne other than on the face and neck...............
Superficial acne (comedones, papules, pustules) of any extent          0
    Or rate as disfigurement of the head, face, or neck (DC
     7800) or scars (DCs 7801, 7802, 7804, or 7805),
     depending upon the predominant disability...............
7829 Chloracne:

[[Page 32600]]

 
    Deep acne (deep inflamed nodules and pus-filled cysts)            30
     affecting 40 percent or more of the face and neck.......
    Deep acne (deep inflamed nodules and pus-filled cysts)            20
     affecting the intertriginous areas (the axilla of the
     arm, the anogenital region, skin folds of the breasts,
     or between digits)......................................
    Deep acne (deep inflamed nodules and pus-filled cysts)            10
     affecting less than 40 percent of the face and neck; or
     deep acne affecting non-intertriginous areas of the body
     (other than the face and neck)..........................
    Superficial acne (comedones, papules, pustules) of any             0
     extent..................................................
    Or rate as disfigurement of the head, face, or neck (DC
     7800) or scars (DCs 7801, 7802, 7804, or 7805),
     depending upon the predominant disability...............
 
                              * * * * * * *
------------------------------------------------------------------------


0
 3. Amend appendix A to part 4 in the table under Sec. 4.118 by 
revising the entries for diagnostic codes 7801, 7802, 7805, 7806, 7809, 
7813, 7815 through 7817, and 7820-7833 to read as follows:

Appendix A to Part 4--Table of Amendments and Effective Dates Since 
1946

------------------------------------------------------------------------
                            Diagnostic
         Section             Code No.
------------------------------------------------------------------------
 
                              * * * * * * *
4.118...................            7800  Evaluation August 30, 2002;
                                           criterion October 23, 2008.
                                    7801  Criterion July 6, 1950;
                                           criterion August 30, 2002;
                                           criterion October 23, 2008;
                                           title, note 1, note 2 August
                                           13, 2018.
                                    7802  Criterion September 22, 1978;
                                           criterion August 30, 2002;
                                           criterion October 23, 2008;
                                           title, note 1, note 2 August
                                           13, 2018.
 
                              * * * * * * *
                                    7805  Criterion October 23, 2008;
                                           title August 13, 2018.
                                          General Rating Formula for DCs
                                           7806, 7809, 7813-7816, 7820-
                                           7822, and 7824 added August
                                           13, 2018.
                                    7806  Criterion September 9, 1975;
                                           evaluation August 30, 2002;
                                           criterion August 13, 2018.
 
                              * * * * * * *
                                    7809  Criterion August 30, 2002;
                                           title, criterion August 13,
                                           2018.
 
                              * * * * * * *
                                    7813  Criterion August 30, 2002;
                                           title, criterion August 13,
                                           2018.
 
                              * * * * * * *
                                    7815  Evaluation August 30, 2002;
                                           criterion, note August 13,
                                           2018.
                                    7816  Evaluation August 30, 2002;
                                           criterion, note August 13,
                                           2018.
                                    7817  Evaluation August 30, 2002;
                                           title, criterion, note August
                                           13, 2018.
 
                              * * * * * * *
                                    7820  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7821  Added August 30, 2002; title,
                                           criterion August 13, 2018.
                                    7822  Added August 30, 2002; title,
                                           criterion August 13, 2018.
                                    7823  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7824  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7825  Added August 30, 2002; title,
                                           criterion August 13, 2018.
                                    7826  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7827  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7828  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7829  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7830  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7831  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7832  Added August 30, 2002;
                                           criterion August 13, 2018.
                                    7833  Added August 30, 2002;
                                           criterion August 13, 2018.
 
                              * * * * * * *
------------------------------------------------------------------------


0
 4. Amend appendix B to part 4 under the heading ``THE SKIN'' by 
revising the entries for diagnostic codes 7801, 7802, 7805, 7809, 7813, 
7817, 7821, 7822, and 7825 to read as follows:

Appendix B to Part 4--Numerical Index of Disabilities

[[Page 32601]]



------------------------------------------------------------------------
  Diagnostic Code No.
------------------------------------------------------------------------
 
                              * * * * * * *
------------------------------------------------------------------------
                                THE SKIN
------------------------------------------------------------------------
 
                              * * * * * * *
7801..................  Burn scar(s) or scar(s) due to other causes, not
                         of the head, face, or neck that are associated
                         with underlying soft tissue damage.
7802..................  Burn scar(s) or scar(s) due to other causes, not
                         of the head, face, or neck that are not
                         associated with underlying soft tissue damage.
 
                              * * * * * * *
7805..................  Scars, other; and other effects of scars
                         evaluated under diagnostic codes 7800, 7801,
                         7802, or 7804.
 
                              * * * * * * *
7809..................  Discoid lupus erythematosus.
 
                              * * * * * * *
7813..................  Dermatophytosis.
 
                              * * * * * * *
7817..................  Erythroderma.
 
                              * * * * * * *
7821..................  Cutaneous manifestations of collagen-vascular
                         diseases not listed elsewhere.
7822..................  Papulosquamous disorders not listed elsewhere.
 
                              * * * * * * *
7825..................  Chronic urticaria.
 
                              * * * * * * *
------------------------------------------------------------------------


0
5. Amend appendix C to part 4 as follows:
0
a. Revise the entry for ``Cutaneous manifestations of collagen-vascular 
diseases'' (diagnostic code 7821);
0
b. Add in alphabetical order an entry for ``Erythroderma'';
0
c. Remove the entry for ``Exfoliative dermatitis'';
0
d. Revise the entry for ``Scars''; and
0
e. Revise the entry for ``Urticaria'' (diagnostic code 7825).
    The revisions and addition read as follows:

Appendix C to Part 4--Alphabetical Index of Disabilities

------------------------------------------------------------------------
                                                            Diagnostic
                                                             Code No.
------------------------------------------------------------------------
 
                              * * * * * * *
Cutaneous manifestations of collagen-vascular diseases              7821
 not listed elsewhere...................................
 
                              * * * * * * *
Erythroderma............................................            7817
 
                              * * * * * * *
Scars:
    Burn scar(s) of the head, face, or neck; scar(s) of             7800
     the head, face, or neck due to other causes; or
     other disfigurement of the head, face, or neck.....
    Burn scar(s) or scar(s) due to other causes, not of             7801
     the head, face, or neck that are associated with
     underlying soft tissue damage......................
    Burn scar(s) or scar(s) due to other causes, not of             7802
     the head, face, or neck that are not associated
     with underlying soft tissue damage.................
    Retina..............................................            6011
    Scars, other; and other effects of scars evaluated              7805
     under diagnostic codes 7800, 7801, 7802, or 7804...
    Unstable or painful.................................            7804
 
                              * * * * * * *
    Urticaria, chronic..................................            7825
 
                              * * * * * * *
------------------------------------------------------------------------

[FR Doc. 2018-14957 Filed 7-12-18; 8:45 am]
 BILLING CODE 8320-01-P



                                              32592                Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations

                                                 While some owners or operators of                     Government and Indian tribes. If you                  PART 165—REGULATED NAVIGATION
                                              vessels intending to transit the safety                  believe this rule has implications for                AREAS AND LIMITED ACCESS AREAS
                                              zone may be small entities, for the                      federalism or Indian tribes, please
                                              reasons stated in section V.A above, this                contact the person listed in the FOR                  ■ 1. The authority citation for part 165
                                              rule will not have a significant                         FURTHER INFORMATION CONTACT section                   continues to read as follows:
                                              economic impact on any vessel owner                      above.                                                  Authority: 33 U.S.C. 1231; 50 U.S.C. 191;
                                              or operator.                                                                                                   33 CFR 1.05–1, 6.04–1, 6.04–6, and 160.5;
                                                 Under section 213(a) of the Small                     E. Unfunded Mandates Reform Act                       Department of Homeland Security Delegation
                                              Business Regulatory Enforcement                                                                                No. 0170.1.
                                                                                                         The Unfunded Mandates Reform Act
                                              Fairness Act of 1996 (Pub. L. 104–121),                  of 1995 (2 U.S.C. 1531–1538) requires                 ■ 2. Add § 165.T13–0647 to read as
                                              we want to assist small entities in                      Federal agencies to assess the effects of             follows:
                                              understanding this rule. If the rule                     their discretionary regulatory actions. In
                                              would affect your small business,                                                                              § 165.T13–0647 Safety Zone; Willamette
                                                                                                       particular, the Act addresses actions                 River, Wilsonville, OR.
                                              organization, or governmental                            that may result in the expenditure by a
                                              jurisdiction and you have questions                                                                               (a) Location. The following area is
                                                                                                       State, local, or tribal government, in the            designated safety zone: All navigable
                                              concerning its provisions or options for                 aggregate, or by the private sector of
                                              compliance, please contact the person                                                                          waters of the Willamette River
                                                                                                       $100,000,000 (adjusted for inflation) or              surrounding the Wilsonville Wastewater
                                              listed in the FOR FURTHER INFORMATION                    more in any one year. Though this rule
                                              CONTACT section.                                                                                               Treatment Plant outfall repair vessels
                                                                                                       will not result in such an expenditure,               and machinery located in Wilsonville,
                                                 Small businesses may send comments
                                                                                                       we do discuss the effects of this rule                OR, encompassed by a line connecting
                                              on the actions of Federal employees
                                                                                                       elsewhere in this preamble.                           these points: 45°17′33.1764″ N,
                                              who enforce, or otherwise determine
                                              compliance with, Federal regulations to                  F. Environment                                        122°46′17.3886″ W; 45°17′31.1958″ N,
                                              the Small Business and Agriculture                                                                             122°46′18.1092″ W; 45°17′32.1504″ N,
                                              Regulatory Enforcement Ombudsman                           We have analyzed this rule under                    122°46′8.9544″ W; and 45° 17′ 30.1956″
                                              and the Regional Small Business                          Department of Homeland Security                       N, 122° 46′ 8.8746″ W.
                                              Regulatory Fairness Boards. The                          Directive 023–01 and Commandant                          (b) Regulations. In accordance with
                                              Ombudsman evaluates these actions                        Instruction M16475.1D, which guide the                the general regulations in part 165,
                                              annually and rates each agency’s                         Coast Guard in complying with the                     subpart C, of this chapter, no person
                                              responsiveness to small business. If you                 National Environmental Policy Act of                  may enter or remain in the safety zone
                                              wish to comment on actions by                            1969 (42 U.S.C. 4321–4370f), and have                 created in this section or bring, cause to
                                              employees of the Coast Guard, call 1–                    determined that this action is one of a               be brought, or allow to remain in the
                                              888–REG–FAIR (1–888–734–3247). The                       category of actions that do not                       safety zone created in this section any
                                              Coast Guard will not retaliate against                   individually or cumulatively have a                   vehicle, vessel, or object unless
                                              small entities that question or complain                 significant effect on the human                       authorized by the Captain of the Port or
                                              about this rule or any policy or action                  environment. This rule involves a safety              his designated representative.
                                              of the Coast Guard.                                      zone surrounding the vessels and                         (c) Enforcement period. This safety
                                                                                                       machinery being used by personnel to                  zone is in effect from July 9, 2018, until
                                              C. Collection of Information                             repair the Wilsonville Wastewater                     August 31, 2018. It will be subject to
                                                This rule will not call for a new                      Treatment Plant outfall. It is                        enforcement this entire period unless
                                              collection of information under the                      categorically excluded from further                   the COTP, Columbia River determines it
                                              Paperwork Reduction Act of 1995 (44                      review under paragraph L60(a) of                      is no longer needed. The Coast Guard
                                              U.S.C. 3501–3520).                                       Appendix A, Table 1 of DHS Instruction                will inform mariners of any change to
                                                                                                       Manual 023–01–001–01, Rev. 01. A                      this period of enforcement via Broadcast
                                              D. Federalism and Indian Tribal                          Record of Environmental Consideration                 Notice to Mariners.
                                              Governments                                              supporting this determination is                         (d) Enforcement. Any Coast Guard
                                                 A rule has implications for federalism                available in the docket where indicated               commissioned, warrant, or petty officer
                                              under Executive Order 13132,                             under ADDRESSES.                                      may enforce the rules in this section.
                                              Federalism, if it has a substantial direct                                                                        Dated: July 6, 2018.
                                              effect on the States, on the relationship                G. Protest Activities
                                                                                                                                                             D.F. Berliner,
                                              between the national government and                        The Coast Guard respects the First                  Captain, U.S. Coast Guard, Acting Captain
                                              the States, or on the distribution of                    Amendment rights of protesters.                       of the Port, Sector Columbia River.
                                              power and responsibilities among the                     Protesters are asked to contact the                   [FR Doc. 2018–14983 Filed 7–12–18; 8:45 am]
                                              various levels of government. We have                    person listed in the FOR FURTHER                      BILLING CODE 9110–04–P
                                              analyzed this rule under that Order and                  INFORMATION CONTACT section to
                                              have determined that it is consistent                    coordinate protest activities so that your
                                              with the fundamental federalism                          message can be received without
                                              principles and preemption requirements                                                                         DEPARTMENT OF VETERANS
                                                                                                       jeopardizing the safety or security of                AFFAIRS
                                              described in Executive Order 13132.                      people, places or vessels.
                                                 Also, this rule does not have tribal
                                                                                                       List of Subjects in 33 CFR Part 165                   38 CFR Part 4
                                              implications under Executive Order
                                              13175, Consultation and Coordination                                                                           RIN 2900–AP27
                                                                                                         Harbors, Marine safety, Navigation
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                                              with Indian Tribal Governments,
                                                                                                       (water), Reporting and recordkeeping                  Schedule for Rating Disabilities: Skin
                                              because it does not have a substantial
                                                                                                       requirements, Security measures,
                                              direct effect on one or more Indian                                                                            AGENCY:    Department of Veterans Affairs.
                                                                                                       Waterways.
                                              tribes, on the relationship between the                                                                        ACTION:   Final rule.
                                              Federal Government and Indian tribes,                      For the reasons discussed in the
                                              or on the distribution of power and                      preamble, the Coast Guard amends 33                   SUMMARY: On August 12, 2016, VA
                                              responsibilities between the Federal                     CFR part 165 as follows:                              published in the Federal Register the


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                                                                   Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations                                         32593

                                              proposed rule for Schedule for Rating                    same area of skin, then only the highest              commensurate with the commenter’s
                                              Disabilities: Skin. VA received multiple                 evaluation shall be used.’’                           concern, that more severe and less
                                              responses during the 60-day comment                         Second, two commenters felt that the               controllable urticarial attacks receive
                                              period. This final rule implements the                   proposed language ‘‘per 12-month                      higher ratings.
                                              Secretary’s proposed rule with limited                   period’’ in multiple diagnostic codes                    Fifth, a commenter asked if active
                                              revisions.                                               (DCs) was unclear about which 12-                     psoriatic arthritis would be entitled to a
                                                                                                       month period would be used for                        60% evaluation under DC 7816
                                              DATES: This rule is effective on August
                                                                                                       evaluation purposes. VA concurs and                   (Psoriasis) and a 100% evaluation under
                                              13, 2018.
                                                                                                       has revised the criteria to specify that              DC 5009 (Arthritis, other types),
                                              FOR FURTHER INFORMATION CONTACT: Gary                    ‘‘over the past 12-month period’’ is the              allowing for special monthly
                                              Reynolds, M.D., Regulations Staff                        applicable time frame for these DCs.                  compensation at the ‘‘s’’ level, i.e.,
                                              (211C), Compensation Service, Veterans                      Third, a commenter asserted that the               housebound. To clarify that separate
                                              Benefits Administration, Department of                   evaluation criteria for eczema (DC 7806)              ratings are permissible, VA has added
                                              Veterans Affairs, 810 Vermont Avenue                     should consider itching. Eczema (also                 the term ‘‘separately’’ to the note in DC
                                              NW, Washington, DC 20420, (202) 461–                     known as atopic dermatitis) is often                  7816. Special monthly compensation
                                              9700. (This is not a toll-free number.)                  called ‘‘the itch that rashes.’’ The                  would be warranted under 38 CFR
                                              SUPPLEMENTARY INFORMATION:                               intense itching (without lesions at first)            3.350(i)(1), if the psoriasis and the
                                                                                                       leads to the scratching, resulting in the             arthritis constitute ‘‘separate and
                                              Applicability
                                                                                                       characteristic lesions. See                           distinct’’ disabilities ‘‘involving
                                                 In reviewing the proposed rule to                     ‘‘Dermatology’’ 210 (Jean Bolognia et al.             different anatomical segments or bodily
                                              prepare for publication of the final rule,               eds., 3d ed. 2012). Thus, itching is part             systems.’’
                                              VA determined that the statements                        of the pathology in all eczema ratings,                  Beyond the changes made in response
                                              regarding the applicability date in the                  even though only involved areas                       to comments, this final rule contains
                                              proposed rule should be revised in                       (lesions, scars) are considered for                   several technical and non-substantive
                                              order to avoid potential misapplication                  compensation purposes. Based on this                  amendments to the proposed rule.
                                              of this final rule. In the proposed rule,                comment, VA has clarified that it is the
                                              VA stated that the provisions of the new                                                                       Comments Related to Systemic and
                                                                                                       area of lesions, not the itching, that
                                              regulations would apply to all                                                                                 Topical Therapy and Johnson v.
                                                                                                       forms the basis of a rating, by revising
                                              applications for benefits received by VA                                                                       McDonald
                                                                                                       in this final rule each criteria level in
                                              or that are pending before the agency of                 the General Rating Formula for the Skin                  A total of six comments either
                                              original jurisdiction on or after the                    to include the phrase ‘‘Characteristic                disagreed with or questioned VA’s
                                              effective date of the final rule. VA has                 lesions involving. . . .’’                            proposal for defining topical and
                                              indeed structured some regulations this                     Fourth, a commenter expressed                      systemic therapy in light of the Johnson
                                              way in the past, due to the dynamics of                  concern that a long-lasting urticarial                v. McDonald decision of the U.S. Court
                                              the regulation in question. See                          attack with no breaks would qualify for               of Appeals for Veterans Claims (CAVC)
                                              ‘‘Schedule for Rating Disabilities—                      a 10% rating, rather than a 60% rating                in 2016. That decision found that any
                                              Mental Disorders and Definition of                       under DC 7825 (Urticaria). VA                         use of a topically-applied corticosteroid
                                              Psychosis for Certain VA Purposes,’’ 80                  understands this concern and has                      constituted ‘‘systemic therapy’’
                                              FR 14308 (March 19, 2015). However,                      revised the criteria in this final rule to            pursuant to diagnostic code 7806.
                                              for this final rule, VA’s intent is that the             be based on the condition’s response to               However, in July 2017, the U.S. Court of
                                              claims pending prior to the effective                    required treatment. First, VA has                     Appeals for the Federal Circuit (Federal
                                              date will be considered under both old                   retitled the diagnostic code, ‘‘Chronic               Circuit) reversed the CAVC’s
                                              and new rating criteria, and whatever                    urticaria’’ and added a definition for                interpretation. See Johnson v. Shulkin,
                                              criteria is more favorable to the veteran                chronic urticaria, which is ‘‘continuous              862 F.3d 1351 (Fed. Cir. 2017). The
                                              will be applied. For applications filed                  urticaria at least twice per week, off                Federal Circuit held that the CAVC was
                                              on or after the effective date, only the                 treatment, for a period of six weeks or               incorrect to ‘‘read DC 7806 as
                                              new criteria will be applied.                            more.’’ A subset of patients has chronic              unambiguously elevating any form of
                                                                                                       urticaria that is unresponsive to first               corticosteroid treatment, including any
                                              Comments Received                                        line treatment (antihistamines). If a                 degree of topical corticosteroid
                                                Ten different commenters (including                    patient is also unresponsive to second                treatment, to the level of ‘systemic
                                              two Veterans Service Organizations)                      line treatment (e.g., epinephrine,                    therapy.’’’ Id. at 1354.
                                              submitted comments in response to the                    corticosteroids, aminosalicylates), it is                Although VA’s proposal for systemic
                                              proposed rule. VA will address their                     considered refractory chronic urticaria.              and topical therapy was in part a
                                              comments within the topics below.                        It was, and continues to be, VA’s intent              reaction to the CAVC’s now-reversed
                                                                                                       to have evaluation levels that clearly                Johnson decision, its aim was also to
                                              Comments Warranting Revisions to the                     and distinctly reflect increasing                     provide clarity for raters adjudicating
                                              Proposed Rule                                            disability. To that end, VA has revised               these claims. VA proposed to clarify
                                                VA has made five changes to the                        the evaluation criteria to more clearly               that treatment administered through the
                                              proposed rule based on comments                          establish three distinct levels of                    skin is ‘‘topical therapy,’’ while
                                              received. First, two commenters noted                    disability: (1) Chronic urticaria                     treatment administered through any
                                              that additional guidance regarding                       requiring first line treatment for control,           route other than the skin (orally,
                                              coexistent skin conditions and                           (2) chronic urticaria requiring second                injection, suppository, intranasally) is
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                                              pyramiding might be helpful. VA agrees                   line treatment for control, and (3)                   ‘‘systemic therapy.’’ This final rule
                                              and has added a clarifying note at the                   chronic urticaria which is refractory to              adopts VA’s proposal. One theme of the
                                              start of § 4.118(b) which states: ‘‘Two or               both first line and second line                       comments was that topically-applied
                                              more skin conditions may be combined                     treatment. A non-exhaustive list of                   medications could be considered
                                              in accordance with § 4.25 only if                        examples for first line, second line, and             systemic therapy or could have systemic
                                              separate areas of skin are involved. If                  third line treatment is given with each               effects. In this regard, one commenter
                                              two or more skin conditions involve the                  evaluation level. This should ensure,                 questioned why VA does not provide


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                                              32594                Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations

                                              more information as to the potential                     such consideration is appropriate. This               the body and affect the entire immune
                                              systemic effects of topically-applied                    is why VA cannot provide more specific                system. We are unaware, and the
                                              corticosteroids, and another asserted                    information on the potential systemic                 commenter does not provide further
                                              that topically-applied medications can                   effects of topically-applied                          information, as to how the rule is
                                              cause heightened effects in elderly                      corticosteroids: the potency of the                   inconsistent with other portions of the
                                              populations.                                             medication, the amount of skin affected,              rating schedule.
                                                 As noted in the supplementary                         and the strength of the condition, will                 Finally, two commenters asserted that
                                              information to the proposed rule,                        vary from veteran to veteran.                         VA is emphasizing topical treatment in
                                              however, it creates a dramatic                              One comment on this topic advocated                order to save money at the expense of
                                              disconnect to rate a medication applied                  that VA should automatically assume                   quality care. This rule, however, should
                                              to the skin—affecting only the localized                 that topical corticosteroids have                     not affect how doctors treat conditions;
                                              area to which it is applied—as                           systemic effects based on the benefit-of-             rather, its aim is to clarify terms for
                                              ‘‘systemic therapy’’ that affects the                    the-doubt standard. The benefit-of-the-               raters adjudicating claims. We are not
                                              entire body. Rather, the prevailing                      doubt rule, however, applies to the                   aware of any VA instruction that its
                                              medical understanding is that ‘‘topical’’                adjudication of claims, not formulation               doctors prescribe topical treatment to
                                              therapy ‘‘pertain[s] to a particular                     of the rating schedule. 38 U.S.C.                     save money when it is not best for the
                                              surface area . . . and affect[s] only the                5107(b). This commenter further stated                patient.
                                              area to which it is applied,’’ while                     that certain skin conditions cannot be
                                                                                                                                                             Comments Recommending Revisions to
                                              ‘‘systemic’’ therapy ‘‘pertain[s] to or                  cured, but only treated, and that the
                                                                                                                                                             Evaluation Criteria
                                              affect[s] the body as a whole.’’ Dorland’s               burden of applying medication with
                                              Illustrated Medical Dictionary 1865,                     little effect is not taken into                          A number of comments recommended
                                              1940 (32d ed. 2012). VA’s proposal,                      consideration in the proposed rule. To                revisions to criteria within the proposed
                                              adopted as a final rule here, sets clear                 the contrary, frequency in application is             rule. VA received two comments
                                              guidelines in accordance with this                       a factor in the schedule for rating                   regarding DC 7806, Dermatitis or
                                              understanding: creams applied to the                     systemic therapy, but it remains VA’s                 eczema. One comment has been
                                              skin are ‘‘topical therapy,’’ and                        assessment that applying cream on the                 addressed above and prompted a
                                              treatments applied in a way (orally,                     skin of less than 5% of the body reflects             revision to this final rule. The other
                                              intranasally, etc.) that the medication                  a condition that does not impair earning              comment requested that VA include
                                              circulates throughout the entire body                    capacity at a compensable level.                      biopsy results in the evaluation criteria,
                                              and suppresses the immune system as a                       Two additional commenters viewed                   because eczema can occur sporadically
                                              whole are ‘‘systemic therapy.’’                          the proposed rule as an attempt to                    over the year and a doctor might only
                                                 VA also acknowledged in the                           circumvent or undermine the CAVC’s                    take account of what is observable
                                              supplementary information that some                      ruling. These comments are obviated by                during the examination. VA declines to
                                              medications applied to the skin, if                      the fact that the CAVC’s ruling has been              make changes based upon this
                                              administered on a large enough scale,                    reversed. See Johnson v. Shulkin, supra.              comment. The General Rating Formula
                                              could have a systemic effect; but in                     But even if it had not been reversed, it              for the Skin employs two routes to
                                              those situations the veteran can obtain                  is well established that a judicial                   compensation, based on either the
                                              a higher rating due to the percentage of                 interpretation of regulatory language                 extent of skin involvement or the
                                              the body affected. For example, a                        does not preclude an agency from                      intensity of treatment. If the condition
                                              veteran who is required to apply a                       revising that language (for prospective               requires constant or near-constant
                                              cream on his entire body is not subject                  application) pursuant to its rulemaking               systemic therapy, then, regardless of the
                                              to a noncompensable rating; even                         authority. See Nat’l Org. of Veterans                 extent of skin involvement at the time
                                              though he is not taking systemic                         Advocates Inc., v. Sec’y of Veterans                  of examination, the veteran would be
                                              therapy, he would obtain a compensable                   Affairs, 260 F.3d 1365, 1373 (Fed. Cir.               entitled to the highest evaluation. It is
                                              rating under this final rule based on the                2001) (argument that CAVC holdings                    unclear how criteria based on biopsy
                                              percentage of his body affected by the                   prevent revision of regulations                       results would be more favorable to
                                              condition.                                               ‘‘seriously misunderstand[s] . . . the                veterans than this scheme. Moreover,
                                                 Overall, the aim of this rule is to                   nature of the judicial function.’’). VA               obtaining a biopsy for every ratable skin
                                              clarify the terms used in the rating                     may clarify the rating schedule to                    condition is not necessarily appropriate,
                                              schedule, in order to distinguish                        accord with its original intent in                    and a service-connected veteran is free
                                              between a condition that affects a large                 promulgating these diagnostic codes.                  to request an additional examination if
                                              portion of the body or requires therapy                  One of these commenters added that                    a skin disorder becomes more extensive
                                              affecting the entire body, and a                         skin conditions can cause real pain and               than what was observed during a given
                                              condition that is localized and involves                 embarrassment and should not be                       examination. VA received two
                                              localized treatment. The former                          devalued. We understand this concern,                 comments concerning DC 7817,
                                              generally impairs earning capacity more                  but the objective criteria of (1)                     Erythroderma. One comment asked why
                                              than the latter. To the extent that                      percentage of body affected and (2)                   the ‘‘treatment failure’’ language was
                                              topically-applied medications might                      mode and frequency of therapy are                     incorporated into the proposed criteria
                                              affect different people (such as the                     better suited in determining average                  when the term ‘‘uncontrolled’’ in the
                                              elderly) in different ways, the rating                   impairment of earning capacity than an                evaluation criteria for diabetes (DC
                                              schedule is based on the average                         individual’s level of embarrassment.                  7913) ‘‘was found to be problematic.’’
                                              impairment in earning capacity. 38                          Another commenter questioned the                   VA incorporated language regarding
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                                              U.S.C. 1155. If there is an exceptional or               consistency of the proposed definition                ‘‘treatment failure’’ here because it is
                                              unusual effect of applying corticosteroid                for systemic therapy with DC 6602 and                 easily measured and can be applied by
                                              cream, a claimant can submit argument                    the overall rating schedule. This rule is             rating officials with consistent results.
                                              for an extraschedular rating. 38 CFR                     consistent with DC 6602—which                         Treatment failure is a common
                                              3.321(b)(1). VA can also raise the issue                 defines ‘‘systemic’’ corticosteroids as               occurrence with erythroderma, and we
                                              of an extraschedular rating on its own                   ‘‘oral or parenteral,’’ i.e., the                     see no connection to the term
                                              when the evidence of record suggests                     corticosteroids that circulate throughout             ‘‘uncontrolled’’ in a diagnostic code for


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                                                                   Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations                                           32595

                                              a different condition (diabetes) that was                   The third commenter found it                       loss of scalp hair, since it is an exposed
                                              revised over two decades ago. The                        problematic that the criteria would                   area. The other comment recommended
                                              second comment asked whether VA                          allow mild, frequent attacks to be rated              a higher evaluation under DC 7830 for
                                              would use the new DC 7817 criteria for                   higher than more severe and longer                    women, because this condition is more
                                              pending appeals. As explained above,                     attacks. This commenter also stated that              socially debilitating for women and, as
                                              VA will only apply the new criteria to                   a reliance on treatment modality is                   a result, women incur a higher financial
                                              pending appeals if it is advantageous to                 problematic, because biologics are                    responsibility to deal with the
                                              the appellant.                                           impossible for veterans with weakened                 condition. VA is sympathetic to these
                                                 One comment addressed DC 7824,                        immune systems and others are                         issues and understands the social
                                              Diseases of keratinization. The                          prescribed unevenly.                                  aspects of hair loss. Nevertheless, the
                                              commenter stated that we would be                           VA’s change to DC 7825 in this final               rating schedule is based on the loss of
                                              underrating diseases of keratinization by                rule obviates this comment, as the                    wage-earning capacity and no reliable
                                              moving them to the General Rating                        urticaria criteria are no longer reliant on           evidence establishes significant
                                              Formula for the Skin, where it would                     the number of attacks. VA also disagrees              occupational impairment with loss of
                                              not account for systemic manifestations.                 that basing evaluation criteria on                    body hair, or that occupational
                                              While VA concurs that the term                           treatment modality is problematic. Each               impairment is greater in women than in
                                              ‘‘systemic manifestations’’ is not                       line of treatment for chronic urticaria               men with scarring alopecia. As such,
                                              employed within the General Rating                       (first line, second line, or third line) has          VA will not revise the final rule based
                                              Formula for the Skin, this change does                   more than one treatment option                        on these two comments.
                                              not adversely affect the veteran. Under                  available, so the fact that one particular               As to the final comments, one
                                              the version of DC 7824 that is being                     option is poorly tolerated does not                   requested a note adding consideration of
                                              revised by this final rule, a veteran                    imply that veterans will be inaccurately              the effect of disfigurement on the
                                              needs both ‘‘systemic manifestations’’                   rated.                                                veteran’s mental health. VA
                                              and ‘‘systemic medication’’ for a 30% or                    VA received three comments
                                                                                                                                                             acknowledges that secondary service
                                                                                                       involving areas of affected skin,
                                              60% rating if there is not generalized                                                                         connection under 38 CFR 3.310 may be
                                                                                                       including requests to add forearms and
                                              cutaneous involvement. Now, under                                                                              possible for a mental health disability
                                                                                                       lower legs as exposed areas. One of the
                                              this final rule, a veteran with a disease                                                                      that is found to be causally related to a
                                                                                                       commenters explained that, in summer
                                              of keratinization can receive such a                                                                           service-connected skin disability.
                                                                                                       temperatures, veterans cannot be
                                              rating for taking ‘‘systemic therapy’’                                                                         However, we believe this is clear from
                                                                                                       expected to work with their forearms
                                              even without any systemic                                                                                      38 CFR 3.310, such that a note is not
                                                                                                       and lower legs covered. A second stated
                                              manifestations. This change simplifies                                                                         necessary here. The second questioned
                                                                                                       that there is no equitable definition of
                                              the evaluation for veterans with diseases                                                                      why evaluation criteria do not comment
                                                                                                       exposed skin, and doctors are
                                              of keratinization.                                                                                             on conditions caused by the failure of
                                                                                                       commonly recommending more
                                                 Three comments requested changes to                   sunlight for psoriasis. The third                     the immune system, such as
                                              DC 7825, Urticaria, and DC 7826,                         suggested the work group identify                     lymphedema, which affect the skin and
                                              Vasculitis, primary cutaneous. One                       which technique for measuring the area                may require compression therapy.
                                              comment has been addressed above,                        of involved skin would be best suited                 Although lymphedema may be
                                              resulting in a revision to the final rule.               for evaluation purposes.                              evaluated under diagnostic codes
                                              Another comment asserted that the term                      VA will not make any revisions to the              pertaining to the skin if it disfigures
                                              ‘‘documented’’ in DC 7826 should not                     final rule based on the above comments,               and/or scars the skin, see 38 CFR 4.116,
                                              require evidence of a visit to a                         as VA is unaware of any occupations                   DC 7627–7628 (evaluating lymphedema
                                              physician, clinic, or hospital, because                  that require exposed forearms or lower                ‘‘under the appropriate diagnostic
                                              those already on medication may not                      legs, i.e., mandate such exposure as part             code(s) within the appropriate body
                                              seek medical attention if they are used                  of the job. Furthermore, dermatologists               system’’), it is ultimately a lymphatic
                                              to managing their condition. That                        (who are the subject matter experts                   condition, not a skin condition, such
                                              commenter requested that VA clarify                      when it comes to conditions affecting                 that its consideration would be outside
                                              that lay evidence fulfills the                           the skin) have already decided how to                 the scope of both the proposed and final
                                              ‘‘documented’’ standard.                                 calculate involved skin area and what                 rules for the skin.
                                                 VA understands that lay evidence                      constitutes a routinely exposed area;                 Comments Regarding Interplay of
                                              must be considered when VA                               and the established medical practice in               Regulations
                                              adjudicators evaluate a claim, and                       that field is to consider only the head,
                                              nothing in this final rule is meant to                   neck, and hands consistently and truly                   VA received a number of comments
                                              undercut that principle. On the other                    exposed, as long-sleeved shirts and full-             seeking clarification or guidance on the
                                              hand, virtually the entire VA ratings                    length pants have customarily been                    interplay between section 4.118 and
                                              schedule requires some kind of                           considered part of the typical clothing               other regulations.
                                              documentation or objective testing in                    used in occupational settings. There is                  Three comments implicated the
                                              order to gauge the severity of a                         no justification, medical or otherwise, to            relationship between part 3 regulations
                                              disability. In that vein, this final rule                change from established practice. Lastly,             and section 4.118. One comment
                                              requires that vasculitic episodes be                     a treatment recommendation to get more                regarding multiple ratings for psoriatic
                                              ‘‘documented’’ for a higher rating.                      sunlight for psoriatic skin neither                   arthritis has been addressed above,
                                              Though the rule does not state that the                  precludes nor interferes with                         resulting in a revision in this final rule.
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                                              only acceptable documentation is a                       employment, and thus should have no                   Another comment asked if VA would
                                              doctor’s contemporaneous confirmation,                   bearing on the rating criteria.                       service connect disabilities to other
                                              a veteran whose disease is not under                        VA received two comments about                     body systems resulting from the
                                              control and continues to prompt                          alopecia, specifically DC 7830, Scarring              treatment of skin conditions. Generally,
                                              episodes would most likely see a                         alopecia, and DC 7831, Alopecia areata.               yes, VA may grant secondary service
                                              provider multiple times within a 12-                     One comment asserted that DC 7831                     connection as long as the standards
                                              month period.                                            should provide a compensable rating for               found in 38 CFR 3.310 are met.


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                                              32596                Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations

                                                 A third comment questioned the                        analogy under DC 7628, benign                         section of the proposed rule. See 81 FR
                                              consistency between the definition of                    neoplasms. Because DC 7628 permits                    at 53358.) The work group served as an
                                              chronic in 38 CFR 3.380 (diseases of                     rating benign neoplasms as a skin                     initial call to various subject matter
                                              allergic etiology) and the definition in                 condition, such a rating by analogy may               experts and Veterans Service
                                              DCs 7825 and 7826. No inconsistencies                    be possible.                                          Organizations to provide a preliminary
                                              exist, as 38 CFR 3.380 addresses service                                                                       review of the VASRD from both internal
                                                                                                       Comments Recommending Additional
                                              connection, while DCs 7825 and 7826                                                                            and external stakeholders.
                                                                                                       Diagnostic Codes                                         VA emphasizes that this review of the
                                              address evaluation, and none of these
                                              provisions address the term ‘‘chronic.’’                   VA received four comments                           VASRD was not an opportunity for work
                                              This commenter continued by stating:                     recommending additional diagnostic                    group members to participate in the
                                              ‘‘Confusion regarding ‘service                           codes: One comment recommending                       deliberative rulemaking process; the
                                              connection’ and evaluation criteria                      additional codes generally to reduce                  work group discussed the general topic
                                              applies to the ‘continuous use’ and                      analogous coding, and three other                     of the VASRD body system and
                                              ‘disabling effects of medication’ to                     comments recommending codes for                       provided feedback on the areas that
                                              suggest that VA will concede secondary                   lymphedema (and/or skin conditions                    were subject to advances since the last
                                              service connection [38 CFR 3.310] in                     caused by immune system failure),                     major revision of the body system. To
                                              cases with facts similar to those                        pressure ulcers, actinic keratoses, and               this end, where changes to the scientific
                                              described (or are these functional                       rosacea. VA finds these additions                     and/or medical nature of a given
                                              impairments simply acute and                             unnecessary. As noted above, VA may                   condition were made in the proposed
                                              transitory or will this be pyramiding?).’’               evaluate lymphedema which disfigures                  rule, VA cited the published, publicly-
                                              VA finds this portion of the comment                     and/or scars the skin under DCs 7801,                 available source for these changes. Not
                                              unclear and is unable to respond.                        7802, 7804, or 7805. Furthermore,                     only did this provide the public with
                                                 The remaining comments covered the                    pressure ulcers normally are not                      access to the source for a given
                                              relationship between section 4.118 and                   considered a skin condition warranting                proposed change, it also confirmed that
                                              other part 4 regulations. One commenter                  compensation. Actinic keratoses and                   VA relied upon peer-reviewed scientific
                                              assumed that combined ratings would                      rosacea are not occupationally                        and medical information to support a
                                              result from DCs 7801 and 7802. To the                    significant. VA is willing to consider                given change. While similar information
                                              contrary, the General Rating Formula for                 adding diagnostic codes for skin                      may have been presented by a work
                                              the Skin instructs the rater to use the                  conditions that are occupationally                    group member, VA relied upon the
                                              relevant criteria or rate under DCs 7800,                significant.                                          published document(s) as the primary
                                              7801, 7802, 7804, or 7805. Hence, the                                                                          source for a change and included such
                                                                                                       Comment Outside the Scope of the
                                              guidance precludes combining of                                                                                sources in the administrative record for
                                                                                                       Proposed Rule
                                              disability criteria in this regard. Another                                                                    this rulemaking. VA did not propose
                                              comment asked about the difference                         VA received a comment asking why                    scientific and/or medical changes to the
                                              between the six zones of the body in 38                  the Food and Drug Administration                      VASRD in the absence of publicly
                                              CFR 4.118 and the five anatomic zones                    could not find another manufacturer for               available, peer-reviewed sources.
                                              of 38 CFR 4.55(b). VA intends that the                   EpiPen®. The EpiPen question is well                     Accordingly, references in the
                                              six zones in this final rule are specific                outside the scope of this rule, so VA                 proposed rule to the work group serve
                                              for the skin and not intended to reflect                 will not respond to it.                               as an explanatory background and
                                              a global standard to be applied for all                                                                        introduction to the VASRD rewrite
                                                                                                       Comment Regarding Public Access
                                              body systems. Yet another comment                                                                              project; the changes made by this
                                              asked about the difference between                         The last issue raised by a commenter                rulemaking are not a reflection of the
                                              ‘‘anogenital region’’ (noted in DC 7829)                 dealt with public access to the materials             work group or any work group member.
                                              and ‘‘pruritus ani’’ (DC 7337), and                      developed by the Skin Disorders Work                  All changes based on scientific and/or
                                              whether these ratings may be combined.                   Group after a public forum in New York                medical information are a reflection of
                                              ‘‘Anogenital region’’ is an anatomic area                City in January 2012 but before the                   cited, published materials which are
                                              that may be affected by chloracne (DC                    drafting of the proposed rule.                        available to the public. VA has made
                                              7829), whereas ‘‘pruritus ani’’ is an                    Specifically, the commenter requested                 deliberative materials available (via
                                              itching near the rectum. VA may                          that the information developed and                    citation in the rulemaking) and is
                                              separately evaluate these conditions and                 shared by the work group should be                    providing access to materials from the
                                              combine them in accordance with 38                       publicly available.                                   public forum available for public
                                              CFR 4.25.                                                  In the SUPPLEMENTARY INFORMATION to                 inspection at the Office of Regulation
                                                 Still another assertion involving DC                  the proposed rule, VA included                        Policy and Management.
                                              7829 and other part 4 regulations was                    information about the Skin Disorders
                                              that ‘‘[i]ntertriginous areas and                        Work Group. See 81 FR 53353, 53353                    Effective Date of Final Rule
                                              limitation of function are problematic.                  (Aug. 12, 2016). As noted, the stated                   Veterans Benefits Administration
                                              The axilla of the arm and the range of                   goals of the work group included                      personnel utilize the Veterans Benefits
                                              motion of the shoulder are similar to the                improving and updating VA Schedule                    Management System for Rating (VBMS–
                                              facts in [Cullen v. Shinseki, 24 Vet. App.               for Rating Disabilities (VASRD) criteria,             R) to process disability compensation
                                              74 (2010)].’’ We discern no problem in                   and inviting public participation; this               claims that involve disability
                                              the language of DC 7829 or conflict with                 process included presentations on areas               evaluations made under the VASRD. In
                                              Cullen. VA may separately evaluate                       of expertise and interaction with the                 order to ensure that there is no delay in
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                                              disability related to acne (skin) and a                  public at a public forum in January                   processing veterans’ claims, VA must
                                              disability affecting the shoulder                        2012. (A transcript of this public forum              coordinate the effective date of this final
                                              (musculoskeletal). One last question                     and all related materials are on file and             rule with corresponding VBMS–R
                                              presented by this commenter asked if                     available for public inspection in the                system updates. As such, this final rule
                                              the reference to ‘‘skin folds of the                     Office of Regulation and Policy                       will apply effective August 13, 2018, the
                                              breasts’’ in DC 7829 could be used to                    Management. Contact information for                   date VBMS–R system updates related to
                                              justify a 20 percent evaluation by                       that office is noted in the ADDRESSES                 this final rule will be complete.


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                                                                   Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations                                             32597

                                              Executive Orders 12866, 13563, and                       economic impact on a substantial                      to the Office of the Federal Register for
                                              13771                                                    number of small entities as they are                  electronic publication as an official
                                                 Executive Orders 12866 and 13563                      defined in the Regulatory Flexibility Act             document of the Department of Veterans
                                              direct agencies to assess the costs and                  (5 U.S.C. 601–612). This rule would                   Affairs. Jacquelyn Hayes-Byrd, Acting
                                              benefits of available regulatory                         directly affect only individuals and                  Chief of Staff, Department of Veterans
                                              alternatives and, when regulation is                     would not directly affect small entities.             Affairs, approved this document on June
                                              necessary, to select regulatory                          Therefore, pursuant to 5 U.S.C. 605(b),               28, 2018, for publication.
                                              approaches that maximize net benefits                    this rulemaking is exempt from the
                                                                                                                                                             List of Subjects in 38 CFR Part 4
                                              (including potential economic,                           initial and final regulatory flexibility
                                              environmental, public health and safety                  analysis requirements of sections 603                   Disability benefits, Pensions,
                                              effects, and other advantages;                           and 604.                                              Veterans.
                                              distributive impacts; and equity).                       Unfunded Mandates                                       Dated: June 28, 2018.
                                              Executive Order 13563 (Improving
                                                                                                          The Unfunded Mandates Reform Act                   Jeffrey M. Martin,
                                              Regulation and Regulatory Review)
                                              emphasizes the importance of                             of 1995 requires, at 2 U.S.C. 1532, that              Impact Analyst, Office of Regulation Policy
                                                                                                       agencies prepare an assessment of                     & Management, Office of the Secretary,
                                              quantifying both costs and benefits,
                                                                                                       anticipated costs and benefits before                 Department of Veterans Affairs.
                                              reducing costs, harmonizing rules, and
                                              promoting flexibility. Executive Order                   issuing any rule that may result in the
                                                                                                                                                               For the reasons set out in the
                                              12866 (Regulatory Planning and                           expenditure by State, local, and tribal
                                                                                                                                                             preamble, the Department of Veterans
                                              Review) defines a ‘‘significant                          governments, in the aggregate, or by the
                                                                                                                                                             Affairs amends 38 CFR part 4, subpart
                                              regulatory action,’’ which requires                      private sector, of $100 million or more
                                                                                                                                                             B, as follows:
                                              review by the Office of Management and                   (adjusted annually for inflation) in any
                                              Budget (OMB), as ‘‘any regulatory action                 one year. This final rule will have no                PART 4—SCHEDULE FOR RATING
                                              that is likely to result in a rule that may:             such effect on State, local, and tribal               DISABILITIES
                                              (1) Have an annual effect on the                         governments, or on the private sector.
                                              economy of $100 million or more or                       Paperwork Reduction Act                               Subpart B—Disability Ratings
                                              adversely affect in a material way the
                                              economy, a sector of the economy,                          This final rule contains provisions                 ■ 1. The authority citation for part 4
                                              productivity, competition, jobs, the                     constituting a collection of information              continues to read as follows:
                                              environment, public health or safety, or                 under the Paperwork Reduction Act of
                                                                                                       1995 (44 U.S.C. 3501–3521).                             Authority: 38 U.S.C. 1155, unless
                                              State, local, or tribal governments or                                                                         otherwise noted.
                                              communities; (2) Create a serious                        Specifically, this final rule is associated
                                              inconsistency or otherwise interfere                     with information collections related to               ■ 2. Amend § 4.118 as follows:
                                              with an action taken or planned by                       the application for disability benefits
                                                                                                       (VA Form 21–526EZ), as well as                        ■ a. Remove the introductory text;
                                              another agency; (3) Materially alter the
                                              budgetary impact of entitlements,                        Disability Benefits Questionnaires                    ■ b. Add paragraphs (a) and (b) before
                                              grants, user fees, or loan programs or the               (DBQs), which enable a claimant to                    the table;
                                              rights and obligations of recipients                     gather the necessary information from                 ■ c. Revise the entries for diagnostic
                                              thereof; or (4) Raise novel legal or policy              his or her treating physician as to the               codes 7801, 7802, and 7805;
                                              issues arising out of legal mandates, the                current symptoms and severity of a
                                                                                                       disability (VA Forms 21–0960F–1,                      ■ d. Add an entry for ‘‘GENERAL
                                              President’s priorities, or the principles
                                                                                                       Scars/Disfigurement DBQ, and 21–                      RATING FORMULA FOR THE SKIN
                                              set forth in this Executive Order.’’
                                                 The economic, interagency,                            0960F–2, Skin Diseases DBQ). These                    FOR DCs 7806, 7809, 7813–7816, 7820–
                                              budgetary, legal, and policy                             information collections are currently                 7822, AND 7824’’, to appear after the
                                              implications of this regulatory action                   approved by the Office of Management                  entry for diagnostic code 7805; and
                                              have been examined and it has been                       and Budget (OMB) and have been                        ■ e. Revise the entries for diagnostic
                                              determined not to be a significant                       assigned OMB control numbers 2900–                    codes 7806, 7809, 7813, 7815–7817,
                                              regulatory action under Executive Order                  0749 (for the application) and 2900–                  7820–7822, and 7824–7829.
                                              12866. VA’s impact analysis can be                       0776 (for the DBQs). VA has reviewed                    The revisions and additions read as
                                              found as a supporting document at                        the impact of this final rule on these                follows:
                                              http://www.regulations.gov, usually                      information collections and determined
                                              within 48 hours after the rulemaking                     that the incremental information                      § 4.118   Schedule of ratings–skin.
                                              document is published. Additionally, a                   collection burden for the first year of
                                                                                                                                                                (a) For the purposes of this section,
                                              copy of the rulemaking and its impact                    this rule is $8,828.20.
                                                                                                                                                             systemic therapy is treatment that is
                                              analysis are available on VA’s website at
                                                                                                       Catalog of Federal Domestic Assistance                administered through any route (orally,
                                              http://www.va.gov/orpm by following
                                                                                                         The Catalog of Federal Domestic                     injection, suppository, intranasally)
                                              the link for ‘‘VA Regulations Published
                                                                                                       Assistance number and title for the                   other than the skin, and topical therapy
                                              from FY 2004 through Fiscal Year to
                                                                                                       program affected by this document is                  is treatment that is administered
                                              Date.’’ This rule is not an Executive
                                                                                                       64.109, Veterans Compensation for                     through the skin.
                                              Order 13771 regulatory action because
                                              this rule is not significant under                       Service-Connected Disability.                            (b) Two or more skin conditions may
                                              Executive Order 12866.                                                                                         be combined in accordance with § 4.25
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                                                                                                       Signing Authority                                     only if separate areas of skin are
                                              Regulatory Flexibility Act                                 The Secretary of Veterans Affairs, or               involved. If two or more skin conditions
                                                The Secretary hereby certifies that                    designee, approved this document and                  involve the same area of skin, then only
                                              this final rule will not have a significant              authorized the undersigned to submit it               the highest evaluation shall be used.




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                                              32598                        Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations

                                                                                                                                                                                                                                                              Rating


                                                        *                    *                     *                     *                                 *                                *                               *
                                              7801 Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck, that are associated with underlying soft tissue
                                                damage:
                                                  Area or areas of 144 square inches (929 sq. cm.) or greater .............................................................................................................                                        40
                                                  Area or areas of at least 72 square inches (465 sq. cm.) but less than 144 square inches (929 sq. cm.) .......................................                                                                   30
                                                  Area or areas of at least 12 square inches (77 sq. cm.) but less than 72 square inches (465 sq. cm.) ...........................................                                                                 20
                                                  Area or areas of at least 6 square inches (39 sq. cm.) but less than 12 square inches (77 sq. cm.) ...............................................                                                               10
                                                  Note (1): For the purposes of DCs 7801 and 7802, the six (6) zones of the body are defined as each extremity, anterior trunk,
                                                    and posterior trunk. The midaxillary line divides the anterior trunk from the posterior trunk.
                                                  Note (2): A separate evaluation may be assigned for each affected zone of the body under this diagnostic code if there are mul-
                                                    tiple scars, or a single scar, affecting multiple zones of the body. Combine the separate evaluations under § 4.25. Alter-
                                                    natively, if a higher evaluation would result from adding the areas affected from multiple zones of the body, a single evalua-
                                                    tion may also be assigned under this diagnostic code.
                                              7802 Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck, that are not associated with underlying soft tissue
                                                damage:
                                                  Area or areas of 144 square inches (929 sq. cm.) or greater .............................................................................................................                                        10
                                                  Note (1): For the purposes of DCs 7801 and 7802, the six (6) zones of the body are defined as each extremity, anterior trunk,
                                                    and posterior trunk. The midaxillary line divides the anterior trunk from the posterior trunk.
                                                  Note (2): A separate evaluation may be assigned for each affected zone of the body under this diagnostic code if there are mul-
                                                    tiple scars, or a single scar, affecting multiple zones of the body. Combine the separate evaluations under § 4.25. Alter-
                                                    natively, if a higher evaluation would result from adding the areas affected from multiple zones of the body, a single evalua-
                                                    tion may also be assigned under this diagnostic code.

                                                        *                    *                                *                                 *                                 *                                *                               *
                                              7805 Scars, other; and other effects of scars evaluated under diagnostic codes 7800, 7801, 7802, or 7804:
                                                  Evaluate any disabling effect(s) not considered in a rating provided under diagnostic codes 7800–04 under an appropriate diag-
                                                     nostic code.
                                              General Rating Formula For The Skin For DCs 7806, 7809, 7813–7816, 7820–7822, and 7824:
                                                  At least one of the following .................................................................................................................................................................                  60
                                                  Characteristic lesions involving more than 40 percent of the entire body or more than 40 percent of exposed areas affected; or
                                                  Constant or near-constant systemic therapy including, but not limited to, corticosteroids, phototherapy, retinoids, biologics,
                                                     photochemotherapy, psoralen with long-wave ultraviolet-A light (PUVA), or other immunosuppressive drugs required over the
                                                     past 12-month period ........................................................................................................................................................................                 60
                                                  At least one of the following .................................................................................................................................................................                  30
                                                  Characteristic lesions involving more than 20 to 40 percent of the entire body or 20 to 40 percent of exposed areas affected; or
                                                  Systemic therapy including, but not limited to, corticosteroids, phototherapy, retinoids, biologics, photochemotherapy, PUVA, or
                                                     other immunosuppressive drugs required for a total duration of 6 weeks or more, but not constantly, over the past 12-month
                                                     period.
                                                  At least one of the following .................................................................................................................................................................                  10
                                                  Characteristic lesions involving at least 5 percent, but less than 20 percent, of the entire body affected; or
                                                  At least 5 percent, but less than 20 percent, of exposed areas affected; or
                                                  Intermittent systemic therapy including, but not limited to, corticosteroids, phototherapy, retinoids, biologics, photochemotherapy,
                                                     PUVA, or other immunosuppressive drugs required for a total duration of less than 6 weeks over the past 12-month period.
                                                  No more than topical therapy required over the past 12-month period and at least one of the following ..........................................                                                                     0
                                                  Characteristic lesions involving less than 5 percent of the entire body affected; or
                                                  Characteristic lesions involving less than 5 percent of exposed areas affected.
                                                  Or rate as disfigurement of the head, face, or neck (DC 7800) or scars (DCs 7801, 7802, 7804, or 7805), depending upon the
                                                     predominant disability. This rating instruction does not apply to DC 7824.
                                              7806 Dermatitis or eczema.
                                                  Evaluate under the General Rating Formula for the Skin.

                                                       *                  *                    *                                                          *                               *                               *                              *
                                              7809 Discoid lupus erythematosus.
                                                  Evaluate under the General Rating Formula for the Skin.
                                                  Note: Do not combine with ratings under DC 6350.

                                                         *                         *                                 *                                 *                                 *                                *                               *
                                              7813 Dermatophytosis (ringworm: Of body, tinea corporis; of head, tinea capitis; of feet, tinea pedis; of beard area, tinea barbae; of
                                                nails, tinea unguium (onychomycosis); of inguinal area (jock itch), tinea cruris; tinea versicolor).
                                                  Evaluate under the General Rating Formula for the Skin.
                                              7815 Bullous disorders (including pemphigus vulgaris, pemphigus foliaceous, bullous pemphigoid, dermatitis herpetiformis,
                                                epidermolysis bullosa acquisita, benign chronic familial pemphigus (Hailey-Hailey), and porphyria cutanea tarda).
                                                  Evaluate under the General Rating Formula for the Skin.
                                                  Note: Rate complications and residuals of mucosal involvement (ocular, oral, gastrointestinal, respiratory, or genitourinary) sepa-
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                                                     rately under the appropriate diagnostic code.
                                              7816 Psoriasis.
                                                  Evaluate under the General Rating Formula for the Skin.
                                                  Note: Rate complications such as psoriatic arthritis and other clinical manifestations (e.g., oral mucosa, nails) separately under
                                                     the appropriate diagnostic code.
                                              7817 Erythroderma:
                                                  Generalized involvement of the skin with systemic manifestations (such as fever, weight loss, or hypoproteinemia) AND one of
                                                     the following ......................................................................................................................................................................................         100



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                                                                          Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations                                                                                               32599

                                                                                                                                                                                                                                                            Rating

                                                    Constant or near-constant systemic therapy such as therapeutic doses of corticosteroids, other immunosuppressive drugs,
                                                      retinoids, PUVA (psoralen with long-wave ultraviolet-A light), UVB (ultraviolet-B light) treatments, biologics, or electron beam
                                                      therapy required over the past 12 month period; or
                                                    No current treatment due to a documented history of treatment failure with 2 or more treatment regimens .....................................                                                               100
                                                    Generalized involvement of the skin without systemic manifestations and one of the following.
                                                    Constant or near-constant systemic therapy such as therapeutic doses of corticosteroids, other immunosuppressive drugs,
                                                      retinoids, PUVA, UVB treatments, biologics, or electron beam therapy required over the past 12-month period; or ....................
                                                    No current treatment due to a documented history of treatment failure with 1 treatment regimen ....................................................                                                          60
                                                    Any extent of involvement of the skin, and any of the following therapies required for a total duration of 6 weeks or more, but
                                                      not constantly, over the past 12-month period: systemic therapy such as therapeutic doses of corticosteroids, other immuno-
                                                      suppressive drugs, retinoids, PUVA, UVB treatments, biologics, or electron beam therapy ..........................................................                                                         30
                                                    Any extent of involvement of the skin, and any of the following therapies required for a total duration of less than 6 weeks over
                                                      the past 12-month period: systemic therapy such as therapeutic doses of corticosteroids, other immunosuppressive drugs,
                                                      retinoids, PUVA, UVB treatments, biologics, or electron beam therapy ..........................................................................................                                            10
                                                    Any extent of involvement of the skin, and no more than topical therapy required over the past 12-month period ..........................                                                                     0
                                                    Note: Treatment failure is defined as either disease progression, or less than a 25 percent reduction in the extent and severity
                                                      of disease after four weeks of prescribed therapy, as documented by medical records.

                                                       *                   *                      *                     *                    *                     *     *
                                              7820 Infections of the skin not listed elsewhere (including bacterial, fungal, viral, treponemal, and parasitic diseases).
                                                  Evaluate under the General Rating Formula for the Skin.
                                              7821 Cutaneous manifestations of collagen-vascular diseases not listed elsewhere (including scleroderma, calcinosis cutis,
                                                subacute cutaneous lupus erythematosus, and dermatomyositis).
                                                  Evaluate under the General Rating Formula for the Skin.

                                                        *                     *                  *                  *                   *                      *            *
                                              7822 Papulosquamous disorders not listed elsewhere (including lichen planus, large or small plaque parapsoriasis, pityriasis
                                                lichenoides et varioliformis acuta (PLEVA), lymphomatoid papulosus, mycosis fungoides, and pityriasis rubra pilaris (PRP)).
                                                   Evaluate under the General Rating Formula for the Skin.

                                                        *                        *                                 *                                 *                                 *                                *                               *
                                              7824 Diseases of keratinization (including icthyoses, Darier’s disease, and palmoplantar keratoderma).
                                                  Evaluate under the General Rating Formula for the Skin.
                                              7825 Chronic urticaria:
                                                  For the purposes of this diagnostic code, chronic urticaria is defined as continuous urticaria at least twice per week, off treat-
                                                     ment, for a period of six weeks or more.
                                                  Chronic refractory urticaria that requires third line treatment for control (e.g., plasmapheresis, immunotherapy,
                                                     immunosuppressives) due to ineffectiveness with first and second line treatments .......................................................................                                                    60
                                                  Chronic urticaria that requires second line treatment (e.g., corticosteroids, sympathomimetics, leukotriene inhibitors, neutrophil
                                                     inhibitors, thyroid hormone) for control .............................................................................................................................................                      30
                                                  Chronic urticaria that requires first line treatment (antihistamines) for control ....................................................................................                                         10
                                              7826 Vasculitis, primary cutaneous:
                                                  Persistent documented vasculitis episodes refractory to continuous immunosuppressive therapy ....................................................                                                              60
                                                  All of the following ................................................................................................................................................................................          30
                                                  Recurrent documented vasculitic episodes occurring four or more times over the past 12-month period; and
                                                  Requiring intermittent systemic immunosuppressive therapy for control .............................................................................................                                            30
                                                  At least one of the following .................................................................................................................................................................                10
                                                  Recurrent documented vasculitic episodes occurring one to three times over the past 12-month period, and requiring intermittent
                                                     systemic immunosuppressive therapy for control; or
                                                  Without recurrent documented vasculitic episodes but requiring continuous systemic medication for control.
                                                  Or rate as disfigurement of the head, face, or neck (DC 7800) or scars (DCs 7801, 7802, 7804, or 7805), depending upon the
                                                     predominant disability.
                                              7827 Erythema multiforme; Toxic epidermal necrolysis:
                                                  Recurrent mucosal, palmar, or plantar involvement impairing mastication, use of hands, or ambulation occurring four or more
                                                     times over the past 12-month period despite ongoing immunosuppressive therapy .......................................................................                                                       60
                                                  All of the following ................................................................................................................................................................................          30
                                                  Recurrent mucosal, palmar, or plantar involvement not impairing mastication, use of hands, or ambulation, occurring four or
                                                     more times over the past 12-month period; and requiring intermittent systemic therapy.
                                                  At least one of the following .................................................................................................................................................................                10
                                                  One to three episodes of mucosal, palmar, or plantar involvement not impairing mastication, use of hands, or ambulation, occur-
                                                     ring over the past 12-month period AND requiring intermittent systemic therapy; or
                                                  Without recurrent episodes, but requiring continuous systemic medication for control.
                                                  Or rate as disfigurement of the head, face, or neck (DC 7800) or scars (DCs 7801, 7802, 7804, or 7805), depending upon the
                                                     predominant disability.
                                                  Note: For the purposes of this DC only, systemic therapy may consist of one or more of the following treatment agents:
                                                     immunosuppressives, antihistamines, or sympathomimetics.
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                                              7828 Acne:
                                                  Deep acne (deep inflamed nodules and pus-filled cysts) affecting 40 percent or more of the face and neck ...................................                                                                   30
                                                  Deep acne (deep inflamed nodules and pus-filled cysts) affecting less than 40 percent of the face and neck, or deep acne other
                                                     than on the face and neck ................................................................................................................................................................                  10
                                              Superficial acne (comedones, papules, pustules) of any extent ................................................................................................................                                      0
                                                  Or rate as disfigurement of the head, face, or neck (DC 7800) or scars (DCs 7801, 7802, 7804, or 7805), depending upon the
                                                     predominant disability.
                                              7829 Chloracne:



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                                              32600                     Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations

                                                                                                                                                                                                                                           Rating

                                                    Deep acne (deep inflamed nodules and pus-filled cysts) affecting 40 percent or more of the face and neck ...................................                                                30
                                                    Deep acne (deep inflamed nodules and pus-filled cysts) affecting the intertriginous areas (the axilla of the arm, the anogenital
                                                      region, skin folds of the breasts, or between digits) ........................................................................................................................            20
                                                    Deep acne (deep inflamed nodules and pus-filled cysts) affecting less than 40 percent of the face and neck; or deep acne af-
                                                      fecting non-intertriginous areas of the body (other than the face and neck) ...................................................................................                           10
                                                    Superficial acne (comedones, papules, pustules) of any extent .........................................................................................................                      0
                                                    Or rate as disfigurement of the head, face, or neck (DC 7800) or scars (DCs 7801, 7802, 7804, or 7805), depending upon the
                                                      predominant disability.

                                                          *                            *                            *                           *                            *                           *                             *



                                              ■ 3. Amend appendix A to part 4 in the                              7805, 7806, 7809, 7813, 7815 through                              Appendix A to Part 4—Table of
                                              table under Sec. 4.118 by revising the                              7817, and 7820–7833 to read as follows:                           Amendments and Effective Dates Since
                                              entries for diagnostic codes 7801, 7802,                                                                                              1946

                                                                   Diagnostic
                                                  Section          Code No.


                                                         *                             *                     *                     *                     *                     *                    *
                                              4.118 ........                  7800      Evaluation August 30, 2002; criterion October 23, 2008.
                                                                              7801      Criterion July 6, 1950; criterion August 30, 2002; criterion October 23, 2008; title, note 1, note 2 August 13, 2018.
                                                                              7802      Criterion September 22, 1978; criterion August 30, 2002; criterion October 23, 2008; title, note 1, note 2 August
                                                                                          13, 2018.

                                                          *                        *                    *                     *                  *                  *              *
                                                                              7805  Criterion October 23, 2008; title August 13, 2018.
                                                                                    General Rating Formula for DCs 7806, 7809, 7813–7816, 7820–7822, and 7824 added August 13, 2018.
                                                                              7806 Criterion September 9, 1975; evaluation August 30, 2002; criterion August 13, 2018.

                                                          *                            *                    *                       *                                        *                           *                             *
                                                                              7809      Criterion August 30, 2002; title, criterion August 13, 2018.

                                                          *                            *                    *                       *                                        *                           *                             *
                                                                              7813      Criterion August 30, 2002; title, criterion August 13, 2018.

                                                          *                            *                   *                        *                   *                                                *                             *
                                                                              7815      Evaluation August 30, 2002; criterion, note August 13, 2018.
                                                                              7816      Evaluation August 30, 2002; criterion, note August 13, 2018.
                                                                              7817      Evaluation August 30, 2002; title, criterion, note August 13, 2018.

                                                          *                            *                           *                          *                              *                           *                             *
                                                                              7820      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7821      Added     August    30,   2002;    title, criterion August 13, 2018.
                                                                              7822      Added     August    30,   2002;    title, criterion August 13, 2018.
                                                                              7823      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7824      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7825      Added     August    30,   2002;    title, criterion August 13, 2018.
                                                                              7826      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7827      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7828      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7829      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7830      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7831      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7832      Added     August    30,   2002;    criterion August 13, 2018.
                                                                              7833      Added     August    30,   2002;    criterion August 13, 2018.

                                                          *                            *                            *                           *                            *                           *                             *



                                              ■ 4. Amend appendix B to part 4 under                               entries for diagnostic codes 7801, 7802,                          7805, 7809, 7813, 7817, 7821, 7822, and
                                              the heading ‘‘THE SKIN’’ by revising the                                                                                              7825 to read as follows:
                                                                                                                                                                                    Appendix B to Part 4—Numerical Index
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                                                                                                                                                                                    of Disabilities




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                                                                           Federal Register / Vol. 83, No. 135 / Friday, July 13, 2018 / Rules and Regulations                                                                                               32601

                                               Diagnostic
                                               Code No.


                                                            *                               *                                 *                              *                               *                                *                          *

                                                                                                                                                      THE SKIN


                                                         *                          *                    *                    *                     *                    *                     *
                                              7801 .........       Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck that are associated with underlying soft tissue damage.
                                              7802 .........       Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck that are not associated with underlying soft tissue dam-
                                                                     age.

                                                         *                         *                     *                    *                  *                    *                                                                                  *
                                              7805 .........       Scars, other; and other effects of scars evaluated under diagnostic codes 7800, 7801, 7802, or 7804.

                                                         *                         *                                          *                              *                               *                                *                          *
                                              7809 .........       Discoid lupus erythematosus.

                                                         *                        *                                           *                              *                               *                                *                          *
                                              7813 .........       Dermatophytosis.

                                                         *                                  *                                 *                              *                               *                                *                          *
                                              7817 .........       Erythroderma.

                                                         *                       *                     *                   *                    *                                                                             *                          *
                                              7821 .........       Cutaneous manifestations of collagen-vascular diseases not listed elsewhere.
                                              7822 .........       Papulosquamous disorders not listed elsewhere.

                                                         *                          *                                         *                              *                               *                                *                          *
                                              7825 .........       Chronic urticaria.

                                                            *                               *                                 *                              *                               *                                *                          *



                                              ■ 5. Amend appendix C to part 4 as                                          ■ b. Add in alphabetical order an entry                                     ■ e. Revise the entry for ‘‘Urticaria’’
                                              follows:                                                                    for ‘‘Erythroderma’’;                                                       (diagnostic code 7825).
                                              ■ a. Revise the entry for ‘‘Cutaneous                                       ■ c. Remove the entry for ‘‘Exfoliative
                                                                                                                                                                                                        The revisions and addition read as
                                              manifestations of collagen-vascular                                         dermatitis’’;                                                               follows:
                                              diseases’’ (diagnostic code 7821);                                          ■ d. Revise the entry for ‘‘Scars’’; and                                    Appendix C to Part 4—Alphabetical
                                                                                                                                                                                                      Index of Disabilities

                                                                                                                                                                                                                                                       Diagnostic
                                                                                                                                                                                                                                                       Code No.


                                                      *                    *                    *                    *                             *                                *                                                                    *
                                              Cutaneous manifestations of collagen-vascular diseases not listed elsewhere .................................................................................                                                    7821

                                                       *                            *                                 *                                 *                                 *                                *                             *
                                              Erythroderma .......................................................................................................................................................................................             7817

                                                        *                             *                                 *                                 *                                 *                                *                           *
                                              Scars:
                                                  Burn scar(s) of the head, face, or neck; scar(s) of the head, face, or neck due to other causes; or other disfigurement of
                                                     the head, face, or neck .............................................................................................................................................................                     7800
                                                  Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck that are associated with underlying soft tissue
                                                     damage .....................................................................................................................................................................................              7801
                                                  Burn scar(s) or scar(s) due to other causes, not of the head, face, or neck that are not associated with underlying soft tis-
                                                     sue damage ..............................................................................................................................................................................                 7802
                                                  Retina ...........................................................................................................................................................................................           6011
                                                  Scars, other; and other effects of scars evaluated under diagnostic codes 7800, 7801, 7802, or 7804 ...................................                                                                      7805
                                                  Unstable or painful .......................................................................................................................................................................                  7804

                                                         *                          *                                 *                                 *                                 *                                *                             *
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                                                    Urticaria, chronic. ..........................................................................................................................................................................             7825

                                                            *                               *                                 *                              *                               *                                *                          *



                                              [FR Doc. 2018–14957 Filed 7–12–18; 8:45 am]
                                              BILLING CODE 8320–01–P




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Document Created: 2018-07-13 01:04:49
Document Modified: 2018-07-13 01:04:49
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesThis rule is effective on August 13, 2018.
ContactGary Reynolds, M.D., Regulations Staff (211C), Compensation Service, Veterans Benefits Administration, Department of Veterans Affairs, 810 Vermont Avenue NW, Washington, DC 20420, (202) 461-9700. (This is not a toll-free number.)
FR Citation83 FR 32592 
RIN Number2900-AP27
CFR AssociatedDisability Benefits; Pensions and Veterans

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