2009 NDAA Progress
6/16/08 - The House passed its version of the 2009 National Defense Authorization Act (NDAA, HR 5658) in May, rejecting the Pentagon and DoD Task Force plan to steeply raise TRICARE fees and co-pays, agreeing with May ’s Senate Armed Services Com-mittee mark-up. Also like the Senate, the House version includes a 3.9% military pay raise - 0.5% above the amount requested by the President. The House version would increase manpower levels for the Army and Marine Corps; create a tuition assist-ance program for military spouses who are pursuing portable careers and authorize a “career inter-mission” pilot program allowing those who are seeking a military career time off from active duty for a period of several years to pursue other life achievements. Unlike the Senate, the House seeks to cut long-term health costs by extending pre-ventive care programs (e.g. smoking cessation) under TRICARE to retirees under age 65. The full Senate is expected to take up this issue soon, and a few hurdles remain to complete action on the final 2009 NDAA. But at this point indications look good for military retiree health care and a 3.9% active duty pay raise. NAUS anticipates no change in these issues as the NDAA moves to final decision.

Tax Breaks for Military Families Passed
5/23/08 - Congress passed HR 6081, the Heroes Earnings Assistance and Relief Tax (HEART) Act, a $2 billion package of tax breaks. The Senate approved the 403-0 House-passed measure by voice vote. The legislation allows reservists on active duty to make penalty-free withdrawals from retirement plans and provides a tax credit for small business employers who make up the difference of wages lost to Guard/Reserve employees called to active duty. It makes thousands of veterans eligible for low-interest homeowner loans and makes permanent the ability to include combat pay as earned income for purposes of the Earned Income Tax Credit, which refunds payroll and income taxes to low-income people. The measure also clarifies that those on active duty who filed a joint tax return will be eligible for the economic stimulus rebate payment even if the spouse does not have a Social Security number. Closing a Social Security and Medicare tax loophole where federal contractors could set up front companies overseas to avoid paying these taxes makes up for the lost tax revenue.

Recent News Releases

3/13/08
NAUS Testifies Before Congress - Veterans Needs a Priority

2/07/08
NAUS Testifies on Hill for Increased Veterans Health Care Funding

11/05/07
NAUS Brochure Wins MarCom Gold Award

10/31/07
NAUS Member Nominated for VA Secretary

10/05/07
Veterans' Disability Benefits Commission Recommends Sweeping Changes

More NAUS News Releases

Don't Raise TRICARE/Pharmacy Fees
4/4/08 - The National Military Veterans Alliance, a group of more than 30 military and veterans organizations, including NAUS, urged the House Armed Services Personnel Subcommittee to reject the DoD Task Force on the Future of Military Health Care recommendations for increased TRICARE and DoD pharmacy fees and co-payments. The letter, addressed to Chairwoman Rep. Susan Davis (D-CA) and Ranking Member Rep. John McHugh (R-NY), strongly objected to the Task Force proposals, noting the inevitable adverse impact on morale, recruiting and retention if implemented. Read letter.

2.3 Percent COLA for 2008
The Cost Of Living Adjustment (COLA) for 2008 for military retired pay, Social Security and other federal annuitants is 2.3 percent. This compares to an increase of 3.3% in 2007 and a jump of 4.1% in 2006, which had been the biggest advance in 15 years. The COLA is based on the change in consumer prices from the July-September quarter of each year compared to the same period the pre-ceding year.  (Benefit payments have been tied to inflation since 1975.)  Part of the Social Security increase is eaten up by a rise in Medicare premium costs, which rose 3.1% in 2008 ($2.50 to $96.40 per month) - the lowest Medicare premium increase in six years.

Dole-Shalala Commission Reports Out
7/25/07 – The President's Commission on Care for America's Returning Wounded Warriors, headed by former Sen. Bob Dole and former Sec. of Health and Human Services, Donna Shalala, recommended "fundamental changes" aimed at simplifying the military's health care bureaucracy and overhauling the veterans' disability system. (Read the report here.) The commission also has produced a video report to be distributed through “You Tube” in an effort to reach today’s generation of uniformed service-members. View the video here.

Wounded Servicemembers Entitled to Expedited Social Security Benefits Processing
Military servicemembers can receive expedited processing of disability claims from Social Security. Benefits available through Social Security are different than those from the Department of Veterans Affairs (VA) and require a separate application. The expedited process is for servicemembers disabled while on active duty on or after October 1, 2001, regardless of where the disability occurs. For more information, visit Social Security’s website at http://www.socialsecurity.gov/woundedwarriors/.

2008 NDAA Review
Key provisions of the 2008 NDAA include:

• Rejection of the Pentagon plan for steep increases in TRICARE fees and pharmacy copayments for retirees under age 65 and their families
• 3.5% military pay raise (retroactive to Jan. 1, 2008)
• Extension of Combat Related Special Compensation (CRSC) to all combat-related disabled veterans
• Retroactive to Jan. 1, 2005, full Concurrent Receipt of Disability Pay for 100% disabled retirees rated Individually Unemployable (IU), effective Oct. 2008. 
• Lowering of Guard/Reserve retirement age by 3 months for every aggregate 90 days served on active duty under certain mobilization authorities (read more here)
• Expanded Guard/Reserve education benefits (read more here)

The bill also includes a Special Survivor Indemnity Allowance of $50 a month beginning Oct. 2008, increasing to $100 by Oct. 2012. NAUS has always supported a complete dismissal of the SBP/DIC offset and will continue to do so until it happens. The bill also, unfortunately, does not include the one year acceleration of “paid-up" SBP premiums sought by NAUS.

There are several other provisions important to many of our members.  These include:

• Guarantee combat veterans mental health evaluations within 30 days of their request.
• Require DoD to use the VA Schedule for Rating Disabilities in determining service member disabilities.
• Increase from 2 to 5 years the period during which recently separated combat veterans may seek care from the VA.
• Increase from 12 to 26 weeks, the amount of leave caregivers of seriously injured service members may take under the Family Medical Leave Act.