Citation Nr: 0006295 Decision Date: 03/09/00 Archive Date: 03/17/00 DOCKET NO. 93-22 322 ) DATE ) ) On appeal from the Department of Veterans Affairs (VA) Regional Office (RO) in Buffalo, New York THE ISSUES 1. The propriety of the initial 50 percent evaluation assigned for post-traumatic stress disorder (PTSD). 2. Entitlement to a total rating for compensation purposes based on individual unemployability (TDIU) due to service- connected disability. REPRESENTATION Appellant represented by: Disabled American Veterans ATTORNEY FOR THE BOARD C. Schlosser, Associate Counsel INTRODUCTION The veteran had active military service from February 1964 to February 1968. This matter originally came before the Board of Veterans' Appeals (Board) on appeal from a January 1993 rating decision in which the RO granted service connection for PTSD and assigned a 30 percent disability evaluation. The veteran appealed for a higher rating. The Board remanded the case in August 1995 for evidentiary development. Thereafter, in October 1995, the veteran raised the issue of whether there was clear and unmistakable error (CUE) in a September 1969 rating decision. By rating decision of January 1996, the RO increased the initially assigned evaluation for PTSD from 30 percent to 50 percent disabling, effective back to November 27, 1991 (the date assigned at the point that service connection was first granted). The January 1996 rating decision also denied a TDIU and found that CUE was not present in the September 1969 rating decision. The veteran appealed all three issues. By decision of February 1997, the Board denied CUE in the September 1969 rating decision and remanded the issue of entitlement to an increased rating for PTSD for evidentiary development. The issue of entitlement to a TDIU was deferred pending the remand development. The case has now been returned to the Board for further appellate consideration. Inasmuch as the appeal on the issue of PTSD is from an original award, the Board has framed the issue as shown on the title page of this decision. See Fenderson v. West, 12 Vet. App. 119 (1999)(appeals from original awards are not construed as claims for increased ratings). The fact that the initial evaluation was increased during the pendency of the appeal does not obviate the appeal, inasmuch as the United States Court of Appeals for Veterans Claims (Court) has concluded that the appellant is generally presumed to be seeking the maximum benefit available by law. On this basis, it follows that such a claim remains in controversy where less than the maximum benefit available is awarded. AB v. Brown, 6 Vet. App. 35 (1993). As the present claim has not been formally withdrawn by the veteran, it remains on appeal for consideration by the Board. FINDINGS OF FACT 1. Prior to December 4, 1995, the veteran's PTSD was manifested by sad and depressed mood, sleep impairment, flashbacks, flat affect and little emotion, intermittent problems with interpersonal relationships, and a history of employment difficulties. 2. On VA psychiatric examination December 4, 1995, the VA physician indicated that the veteran was unable to function from a vocational standpoint due to his PTSD symptoms including intense anger, disturbing violent thoughts, suicidal and homicidal ideation, and a total inability to trust anyone. 3. The record does not present a basis for an award of total rating based upon individual unemployability due to service- connected disability prior to December 4, 1995. CONCLUSIONS OF LAW 1. The criteria for an initial evaluation for PTSD in excess of 50 percent are not met. 38 U.S.C.A. § 1155 (West 1991); 38 C.F.R. § 4.132, Diagnostic Code 9411 (1996). 2. As of December 4, 1995, the criteria for a 100 percent schedular rating for PTSD are met. 38 U.S.C.A. § 1155 (West 1991); 38 C.F.R. § 4.132, Diagnostic Code 9411 (1996); . 3. The criteria for a total rating based on individual unemployability due to service-connected disability, prior to December 4, 1995, are not met. 38 U.S.C.A. § 5107 (West 1991); 38 C.F.R. §§ 3.340, 3.341, 4.15, 4.16, 4.18, 4.19 (1999). REASONS AND BASES FOR FINDINGS AND CONCLUSIONS A. Factual Background VA medical records reflect that the veteran was hospitalized in January 1991 for alcohol dependence and PTSD. Subsequent VA outpatient treatment records in October 1991 show that the veteran was still exhibiting symptoms of anxiety and depression. VA outpatient treatment records dated in 1994 and 1995 reveal that the veteran was continuing to have feelings of helplessness and hopelessness, with depressed mood and ongoing symptoms of his PTSD. On VA examination and social survey in March 1992, the veteran was noted to have a flat affect and a sad and depressed mood. He was cooperative but presented a mask-like face. His speech was slow and monotonous. The veteran reported engaging in combat every day during his second tour of duty in Vietnam. He related sleeping difficulties and flashbacks. He said that he had worked as dispatcher from 1988 to 1991, but left this job after threatening his supervisor with a loaded shotgun. He indicated that he was currently working as an auto mechanic. The psychiatrist diagnosed PTSD. On VA psychiatric examination in November 1995, the veteran reported having no close friends. He indicated that he was close with his son, but did not interact with his wife; he stated that they had not related to each other for twenty years other than yelling at each other, and they expected to separate when their son leaves home. The veteran indicated that he was unable to trust anyone other than his son. He noted that he had not been employed for 3-4 years. He was going to school to study electronics and was hoping to obtain a job in that field. He works with wood for relaxation, but indicated that he had been too depressed lately to do any woodworking. He reported ongoing treatment at the Canandaigua VA Medical Center for PTSD counseling. The veteran complained of trouble sleeping, interrupted sleep and nightmares for the past 28 years. He said that he had problems with intrusive thoughts that he could not get out of his head. He had experienced flashbacks, but not recently. The veteran indicated that he had difficulty experiencing pleasure and enjoyment. He denied belonging to any veterans' organizations, but maintained that he only associated with veterans. He reported that he was unable to trust anyone or get close to people; he was unable to control his anger and yelled when upset. On subsequent VA psychiatric examination in December 1995, the veteran was noted to have had psychiatric hospitalizations in 1969 and 1991. He reported that he had been receiving psychiatric treatment for approximately five years consisting of weekly PTSD counseling. The veteran reported that he was unemployed and had not worked in 3-4 years. He said that he was attending school for electronics; the examiner noted that the veteran was struggling in school due to memory and concentration problems, as well as an inability to trust people. The veteran indicated that he did not have any friends and did not trust anyone. He complained of sleeping problems and nightmares several times per week. He reported that he wakes up sweating, with his heart pounding and feeling disoriented. He reported being irritable and easily angered. The VA examiner noted that the veteran experienced no joy in life and was significantly depressed most of the time. It was indicated that he was troubled by suicidal and homicidal thoughts. The examiner indicated that the veteran dealt with his violent feelings by isolating himself. He dwells obsessively over his past experiences in Vietnam and does not trust anyone except other veterans. On examination, the veteran tried to be cooperative, but his anger and mistrust were evident to the examiner. His facial expression fluctuated from tension to anger, anxiety, and sadness. He was tearful and had his head down at least on a couple of occasions. His speech was coherent and relevant. His mood and affect reflected anger and depression and there was some obvious impairment of concentration and memory. The diagnostic assessment was PTSD and alcohol dependence. The examiner provided a Global Assessment of Functioning (GAF) score of 45, indicative of some impairment in reality testing or communication or major impairment in several areas, such as work or school, family relations, judgment, thinking, or mood. The VA examiner commented that the veteran was still suffering from active PTSD symptoms and could not function at the present time from a vocational standpoint mostly because of his intense anger, disturbing violent thoughts, and particularly because of his almost total inability to trust anyone. In January 1996, the RO granted a 50 percent rating for the veteran's PTSD, effective from November 27, 1991, the effective date of the grant of service connection. On VA psychiatric examination on March 20, 1999, the veteran reported a history of service in Vietnam with duties including being a "cave rat" who got into tunnels and encountered the Viet Cong face to face. He reported killing many people during his second tour of duty in Vietnam, but stopped counting at 75. He said that after his discharge from service, he had tried at least 36 jobs. He ultimately worked as an auto mechanic off and on for many years before he threatened his boss with a loaded shotgun in 1991 and was fired. He said that he has not worked since that incident. He was hospitalized at the VA facility in 1991 and continues to receive outpatient treatment there. On examination, the veteran appeared to be thin, nervous, shaky, and wringing both hands. He was noted to be very tense, and easily became volatile and excitable with a propensity for outbursts of rage and aggression. He was cooperative, but when asked for information about his military service, he became more upset and perturbed, sometimes on the verge of being tearful. His speech was brief and he exhibited a hypervigilant and guarded attitude at all times. The veteran was observed to be restless, shifting back and forth and not very much at ease. There were no signs suggestive of any delusional ideas during the interview and the veteran was in touch with reality. However, his general attitude was distrustful, cynical, suspicious and constantly on guard. His affect was depressed and his mood was low. The veteran's impulse control was indicated to be marginally poor. The veteran avoids interaction with others and is practically housebound. He avoids public places and is unable to tolerate noises or crowds; he is easily stunned and constantly nerve racked which results in an upset stomach. It was indicated that the veteran sleeps less than four hours per night and is constantly hypervigilant. His attention span is short, and he is easily drained and fatigued. The diagnostic impression was chronic PTSD with features of anxiety and depression manifested by a low threshold for pressure and stress, inability to mingle with others, withdrawal and feelings of detachment and hypervigilance. The VA examiner provided a GAF score of 50, indicative of serious symptoms. In commentary at the end of the report of examination, the examiner stated that the veteran had persistent symptoms and signs of PTSD. He requires continuous outpatient treatment to alleviate his anxiety and reduce the potential for acting out and reduce the risk to him and others. With his current condition, the VA examiner stated that the veteran "is not deemed as capable of maintaining gainful employment at this point due to his service-connected nervous condition." II. Analysis A. Schedular Evaluation As a preliminary matter, the Board finds that the veteran's claim regarding the propriety of the initial 50 percent evaluation assigned for his service-connected PTSD is plausible and capable of substantiation and is therefore well grounded within the meaning of 38 U.S.C.A. § 5107(a); Caffrey v. Brown, 6 Vet. App. 377, 381 (1994); Proscelle v. Derwinski, 2 Vet. App. 629, 631-632 (1992). When a claimant submits a well-grounded claim, VA must assist him in developing facts pertinent to the claim. Id. The Board is satisfied that all available relevant evidence has been obtained regarding the claim and that no further assistance to the veteran is required to comply with 38 U.S.C.A. § 5107(a). In general, disability evaluations are assigned by applying a schedule of ratings that represent, as far as can practicably be determined, the average impairment of earning capacity. In determining the current level of impairment, the disability must be viewed in relation to its history. 38 U.S.C.A. § 1155; 38 C.F.R. § 4.1. Also, where there is a question as to which of two evaluations shall be applied, the higher evaluation will be assigned if the disability picture more nearly approximates the criteria required for that rating. Otherwise, the lower rating will be assigned. 38 C.F.R. § 4.7. Before proceeding with its analysis of the veteran's claim, the Board finds that some discussion of the Fenderson case is warranted. In that case, the Court emphasized the distinction between a new claim for an increased evaluation of a service-connected disability and a case in which the veteran expresses dissatisfaction with the assignment of an initial disability evaluation where the disability in question has just been recognized as service-connected. In Francisco v. Brown, 7 Vet. App. 55, 58 (1994), the Court held that the current level of disability is of primary importance when assessing an increased rating claim. However, where, as here, a veteran has expressed dissatisfaction with the assignment of an initial rating, the Francisco rule does not apply; rather, the VA must determine whether the evidence warrants the assignment of different disability ratings at different times over the life of the claim - a practice known as "staged rating." See Fenderson, 12 Vet. App. at 126. In this case, the RO has issued a statement of the case and supplemental statements of the case that do not explicitly reflect consideration of the propriety of the initial rating, or include specific discussion of whether "staged rating" would be appropriate in the veteran's case. However, the claims file reflects consideration of additional evidence in light of the applicable rating criteria at various points during the appeal; thus, the RO effectively considered the appropriateness of its initial evaluation under the applicable rating criteria in conjunction with the submission of additional evidence at various times during the pendency of the appeal, as well as whether higher evaluations were warranted at different stages. Thus, a remand of this matter for explicit consideration of "staged rating" pursuant to Fenderson is unnecessary. New rating criteria for evaluating psychiatric disabilities were promulgated and have been in effect since November 7, 1996. Pursuant to the holding of the Court in Karnas v. Derwinski, 1 Vet.App. 308 (1991), the veteran is entitled to have his claim considered under former and the revised criteria, and to be assigned a rating under whichever criteria would be more favorable. Because the RO has considered the veteran's claim under both the former and revised criteria, there is no due process bar to the Board doing likewise, and applying the more favorable result. The Board notes, at the outset, however, that there is nothing in either Karnas or the revised regulations that authorizes retroactive application of the schedular criteria. Hence, that criteria will only be applied from November 7, 1996, the effective date of the revision. Under the former rating criteria for PTSD (38 C.F.R. § 4.132, Diagnostic Code 9411 (1996)), a 50 percent rating is assigned when the ability to establish or maintain effective or favorable relationships with people is considerably impaired, and by reason of psychoneurotic symptoms, the reliability, flexibility and efficiency levels are so reduced as to result in considerable industrial impairment. A 70 percent rating is assigned when the ability to establish and maintain effective or favorable relationships with people is severely impaired and the psychoneurotic symptoms are of such severity and persistence that there is severe impairment in the ability to obtain or retain employment. To warrant a 100 percent evaluation, the attitudes of all contacts except the most intimate must be so adversely affected as to result in virtual isolation in the community; or there are totally incapacitating symptoms bordering on gross repudiation of reality with disturbed thought or behavioral processes associated with almost all daily activities such as fantasy, confusion, panic and explosions of aggressive energy resulting in profound retreat from mature behavior; or, as a result of the psychiatric disability, the individual is unable to obtain or retain employment. These criteria represent three independent bases for granting a 100 percent schedular evaluation. See Johnson v. Brown, 9 Vet. App. 7, 11 (1996). In addition, prior to November 7, 1996, 38 C.F.R. § 4.16(c) provided that where the veteran's only compensable service- connected disability was a mental disorder that was assigned a 70 percent evaluation, and that mental disorder precluded a veteran from securing or following a substantially gainful occupation, the mental disorder must be assigned a 100 percent evaluation under the appropriate diagnostic code. These section was repealed when the regulations were revised. Under the revised rating criteria for PTSD (set forth at 38 C.F.R. § 4.130, Diagnostic Code 9411 (1999), a 50 percent rating is assigned when there is occupational and social impairment with reduced reliability and productivity due to such symptoms as: flattened affect; circumstantial, circumlocutory, or stereotyped speech; panic attacks more than once a week; difficulty in understanding complex commands; impairment of short-and long-term memory (e.g., retention of only highly learned material, forgetting to complete tasks); impaired judgment; impaired abstract thinking; disturbances of motivation and mood; difficulty in establishing and maintaining effective work and social relationships. A 70 percent rating is assigned when there is occupational and social impairment, with deficiencies in most areas, such as work, school, family relations, judgment, thinking, or mood, due to such symptoms as: suicidal ideation; obsessional rituals which interfere with routine activities; speech intermittently illogical, obscure, or irrelevant; near- continuous panic or depression affecting the ability to function independently, appropriately and effectively; impaired impulse control (such as unprovoked irritability with periods of violence); spatial disorientation; neglect of personal appearance and hygiene; difficulty in adapting to stressful circumstances (including work or a work-like setting); inability to establish and maintain effective relationships. 100 percent schedular rating is warranted when there is total occupational and social impairment, due to such symptoms as: gross impairment in thought processes or communication; persistent delusions or hallucinations; grossly inappropriate behavior; persistent danger of hurting self or others; intermittent inability to perform activities of daily living (including maintenance of minimal personal hygiene); disorientation to time or place; memory loss for names of close relative, own occupation or own name. Following a review of the claims folder, the Board finds that prior to December 4, 1995, the evidence established that no more than a 50 percent evaluation for PTSD was warranted. As noted above, on VA psychiatric examination in March 1992, the veteran exhibited a flat affect and was sad and depressed. The veteran presented a history of frequent job changes, marital difficulties, depression and heavy drinking. He reported difficulties in dealing with co-workers and in dealing with excessive rules, regulations and red tape. However, the veteran had been working for the past year as an auto mechanic and remained employed at the time of the examination. The examiner noted that the veteran appeared motivated for continued treatment and exhibited some knowledge of the impact of his stressors on his marital and occupational life. VA outpatient treatment records prior to December 4, 1995, reflect that the veteran's PTSD was manifested by intermittent periods of hopelessness and depressed mood with problems coping. Nonetheless, there are references to the veteran exhibiting some episodic improvement in symptoms on a short-term basis prior to having a return of hesitant and pessimistic thought processes. In September 1994, the veteran initiated a program of vocational rehabilitation. The veteran voiced feelings of alienation and distrust, but there was no evidence of a total social and industrial impairment that prevented him from engaging in all substantial activity. In May 1995, the veteran was noted to be making progress in his coping skills and efforts to maintain sobriety. He expressed an interest in working and was noted to have a better grasp of how to deal with his stress. The clinical treatment notes in August and October 1995 reflect a worsening of the veteran's symptoms and an increase in his feelings of mistrust, alienation and isolation. Thus, the Board finds that the evidence prior to December 4, 1995, shows that the veteran's PTSD was manifested primarily by sad and depressed mood, sleep impairment, flashbacks, flat affect and little emotion, intermittent problems with interpersonal relationships, and a history of employment difficulties. The Board finds that such symptoms are consistent with considerable social and industrial impairment, for which a 50 percent evaluation, under the criteria then in effect, is assignable. However, severe impairment in his ability to both obtain and retain employment as well as establish and maintain effective or favorable relationships, for which a 70 percent evaluation is assignable under the criteria then in effect, is not shown. Hence, the prerequisite for application of former 38 C.F.R. § 4.16(c), pursuant to which a 100 percent schedular evaluation could be assigned, is not met. Likewise, the record does not present a reasonable basis for concluding that, prior to December 4, 1995, the veteran was demonstrably unable to obtain or retain employment due to his PTSD, that the attitudes of all contacts except the most intimate were so adversely affected as to result in his virtual isolation in the community, or that his PTSD was productive of totally incapacitating symptoms that bordered on a gross repudiation of reality with disturbed thought or behavioral processes, so as to warrant a 100 percent evaluation under the former criteria. However, the Board also finds that, as of December 4, 1995, the criteria for a 100 percent schedular rating are met. As the report of the December 1995 VA examination makes clear, the symptoms identified at that time included intense anger, disturbing violent thoughts, and an almost total inability to trust anyone. The examiner also noted that despite the evidence that the veteran was in school studying electronics, the veteran had not worked in 3-4 years; he was also noted to be having problems with school due to concentration and memory difficulties and problems trusting people. The examiner also then indicated that the veteran's impulse control was marginally poor; that he avoided interaction with others and is practically housebound; that he was constantly nerve racked which results in an upset stomach; and that he was constantly hypervigilant. Suicidal and homicidal ideation as also then noted. Significantly, moreover, the examiner then concluded that the veteran's PTSD symptoms had left him unable to function from a vocational standpoint. The December 1995 examination report represents the first clear, objective indication that the veteran was considered unemployable due to PTSD. The examiner conclusion in this regard was confirmed by the May 1999 VA examiner. As such, the Board finds that, as of December 4, 1995, the criteria for a 100 percent schedular rating for the veteran's PTSD, under the criteria that was in effect prior to November 7, 1996, have been met. See Johnson, 7 Vet. App. at 97. As the veteran is deemed entitled to the maximum assignable evaluation under the former rating criteria, consideration of the veteran's entitlement since December 4, 1995, under the new criteria, is unnecessary. B. Total Rating In view of the Board's decision to grant a 100 percent schedular rating for PTSD, effective the date of the VA psychiatric examination on December 4, 1995, the issue of entitlement to a TDIU since that time has been rendered moot. However, in the August 1995 remand referring the issue of TDIU to the RO, the Board pointed to August 1993 and November 1994 statements of the veteran's representative as raising, inter alia, a claim for a total rating. Although the veteran has never filed a formal application for a TDIU, the Board's comments suggest that a claim for a TDIU has been pending since at least August 1993. As such, the Board must still address the veteran's entitlement to a TDIU between the August 1993 date of claim, and the December 1995 date of the award of the veteran's 100 percent schedular evaluation for PTSD. Generally, total disability will be considered to exist when there is present any impairment of mind or body that is sufficient to render it impossible for the average person to follow a substantially gainful occupation. 38 C.F.R. § 3.340. Total disability ratings are authorized for any disability or combination of disabilities for which the Schedule for Rating Disabilities prescribes a 100 disability evaluation, or, with less disability, if certain criteria are met. Id. Where the schedular rating is less than total, a total disability rating for compensation purposes may be assigned when the disabled person is unable to secure or follow a substantially gainful occupation as a result of service-connected disabilities, provided that, if there is only one such disability, this disability shall be ratable at 60 percent or more, or if there are two or more disabilities, there shall be at least one ratable at 40 percent or more, and sufficient additional disability to bring the combined rating to 70 percent or more. 38 C.F.R. §§ 3.340, 3.341, 4.16(a). In exceptional circumstances, where the veteran does not meet the aforementioned percentage requirements, a total rating may nonetheless be assigned upon a showing that the individual is unable to obtain or retain substantially gainful employment. 38 C.F.R. § 4.16(b). In the instant case, the veteran's only service-connected disability is his PTSD, evaluated as 50 percent disabling between August 1993 and December 3, 1995. For the reasons discussed above, no more than a 50 percent schedular evaluation was then assignable (although a 100 percent evaluation is warranted from December 4, 1995). Hence, the percentage requirements of 38 C.F.R. § 4.16(a) are not met. Under these circumstances, the veteran may only be awarded a TDIU, in an exceptional case, upon a showing that the veteran was unable to obtain or retain substantially gainful employment prior to December 4, 1995. See 38 C.F.R. § 4.16(b). Here, however, there is no objective evidence that clearly establishes the veteran's unemployability due to PTSD prior to the December 4, 1995 examiner's opinion to that effect. The record, primarily the report of VA examinations, indicates that the veteran has primarily worked as an auto mechanic Board does not doubt the credibility of the veteran's own assertions that, prior to that time, he experienced employability difficulties and frequent job changes due to problems associated with he PTSD. He has even asserted that, in 1991, he threatened his boss with a loaded shotgun and was fired. While subsequently held a job for a short period of time, for all practical purposes, he has been more or less continuously unemployed since 1991. However, unemployment, without more, is not tantamount to unemployability. Here, the veteran had been accepted into a vocational rehabilitation program suggesting that retraining was deemed possible, and the November 1995 examination report indicates that he was still hopeful, at that time, of obtaining employment. Although the December 1995 examiner indicated that difficulties with his PTSD rendered the veteran unemployable, the fact remains that this is the first objective indication of such of record. In view of the foregoing, the Board finds that the evidences does not establish that, prior to December 4, 1995, the veteran's PTSD rendered him unable to obtain or retain substantially gainful employment. As such, referral of the matter to the Director of the Compensation and Pension service for assignment of a total rating on an extra- schedular basis prior to December 4, 1995, is not warranted. ORDER An initial rating for PTSD, in excess of 50 percent, is denied. A 100 percent schedular rating for PTSD, from effective December 4, 1995, is granted, subject to the laws and regulations governing the payment of monetary benefits. A total rating based on individual unemployability due to service-connected disability, prior to December 4, 1995, is denied. JACQUELINE E. MONROE Member, Board of Veterans' Appeals