Veterans' Compensation Amendments of 1989

Veterans' Compensation Amendments of 1989 - Increases the rates of compensation, dependency and indemnity compensation, and the clothing allowance payable to veterans with service-connected disabilities and their survivors.

Authorizes the Secretary of Veterans Affairs to adjust administratively the rates of disability compensation payable to persons who are not in receipt of compensation for service-connected disability or death.

Directs the Secretary to provide for the collocation of at least three, and no more than seven, regional offices of the Department of Veterans Affairs with medical centers of the Department: (1) on real property under the jurisdiction of the Department at such medical centers; or (2) on real property adjacent to such medical centers and under the jurisdiction of the Department as a result of being conveyed to the United States for the purpose of such collocation. Authorizes the Secretary to lease property to, and facilities from, another party for such collocation purposes for up to 35 years. Outlines administrative provisions concerning leasing agreements.

Requires the Secretary, within 90 days after this Act's enactment, to issue a request for proposals with respect to three collocations and, within one year thereafter, to enter into an agreement to carry out such collocations, unless they are not economically feasible. Directs the Secretary to transmit to the Senate and House Veterans' Affairs Committees copies of the request proposals and the proposals selected. Terminates the authority to enter into such agreements as of October 1, 1992.