Is my dad entitled to any VA benefits?

I would certainly think he is, but you'll have to check with the VA. There will be a lot of paperwork involved. He may be able to get some care from a veterans hospital, he may be able to get some help in the home (only is some communities), he may get other benefits. The only way you'll know is to jump through the hoops.

I don't think his Medical discharge should keep him from receiving benefits if that's what you are worried about. I'm definitely not an expert on this, but I would suggest that you apply.
Good luck,
Carol

Thanks Carol, I am starting the VA paperwork this week I hope. Just thought someone may have been through a situation like my dad's and could give me some insight how the VA handled these situations.

Go to www.veteranaid.org.
I followed her instructions and got my vet approved in24 days in Jan 2012.
She has helped many people and there is a forum there to ask questions and see what others are saying. She has even been to Washington to testify for veterans about Aid & Attendance.