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By Steve White
This is TROA’s legislative update for Friday, November 2, 2001
Issue 1: Final Push on Concurrent Receipt. Rep. Michael Bilirakis (R-FL) and Sen. Harry Reid (D-NV) will hold a joint press conference on Monday, November 5 to announce a final push for concurrent receipt legislation.
Issue 2: Administration Opposes Key Retiree Initiatives. The Department of Defense has sent a message to House and Senate Armed Services Committee leaders, formally objecting to concurrent receipt and health care choice proposals in the FY2002 Defense Authorization Bill.
Issue 3: Special Disability Pay Delayed for Some Retirees. A Department of Defense legal ruling means that some members retired from service for disability reasons also may have to apply for a VA disability rating in order to receive a newly authorized $100-300 per month special compensation for severely disabled retirees.
Issue 1: Final Push on Concurrent Receipt
Rep. Mike Bilirakis (R-FL) and Sen. Harry Reid (D-NV) will hold a joint press conference on Monday, November 5 to announce a final push for concurrent receipt legislation. The Senate version of the FY2002 Defense Authorization Bill would allow disabled retirees with 20 or more years of service to keep their retired pay as well as any VA disability compensation, as of Oct. 1, 2002. The House version would do the same but only if the President includes funding in next year’s budget. As indicated in the next item below, that is unlikely to happen.
Legislators have expressed overwhelming support (84% of House members; 74% of Senators) for Bilirakis’ H.R. 303 and Reid’s S.170 concurrent receipt bills. But House leadership has hesitated at the $2.9 billion annual cost.
A final push by veterans and military associations and grassroots activists could be the difference in winning this important initiative.
You can help by:
*E-mailing your legislators via the “Action Alert” link on TROA’s Web site at http://capwiz.com/TROA/home/
*Using TROA’s toll-free line to Capitol Hill (1-877-762-8762) to call your legislators’ offices to give them the following message:
“I urge my representative and senators to work to ensure the final Defense Authorization Bill retains the Senate proposal to end the disability offset to military retired pay. Disabled retirees shouldn’t have to fund their own disability compensation from their earned retired pay. 74% of senators and 84% of representatives have cosponsored corrective legislation. But expressions of support don’t help unless legislators actually make it happen.”
Issue 2: Administration Opposes Key Retiree Initiatives
As the House/Senate conference to decide final action on the FY2002 Defense Authorization Act was getting underway, the Department of Defense sent Armed Services Committee leaders a letter formally objecting to the Senate’s proposal to end the disability offset to military retired pay and to a House proposal that would prohibit the Administration from forcing military retirees to choose between using military or veterans health care programs.
We’re disappointed but not surprised at this turn of events, since the Administration has made no secret of its opposition to any change in the law that requires disabled retirees to forfeit a dollar of their earned retired pay for each dollar received in VA disability compensation.
Earlier this year, the President’s budget included a proposal to compel military retirees who are eligible for both military and VA care to give up one or the other. The Senate bill has no similar measure.
The DoD letter claimed that eliminating the disability offset would “allow retired military personnel to receive multiple payments for their military service”. DoD argues that Congress only intended that “military retirees with service-connected disabilities should receive no less than a veteran with disabilities who is not a retired member. This interaction allows a retiree to choose the larger of the two entitlements, provided he/she waives military retired pay on a dollar-for-dollar basis.”
In essence, DoD asserts the two compensations are substitutable. This refuses to recognize any fundamental right to receive retired pay earned by decades of service if a retiree has the misfortune to become disabled, or that the government owes anything additional (beyond a modest tax
break) to a retiree who also becomes disabled from a service-connected cause. We cannot agree, and Congress shouldn’t either.
As for the health care initiative, TROA and The Military Coalition strongly denounced the administration’s spring budget proposal to force military retirees to opt out of either DoD (TRICARE) or VA care.
Partially as a result of that campaign, the leadership of the House and Senate Veterans Affairs Committees wrote Secretary Donald Rumsfeld (DoD) and Secretary Tony Prinicipi (DVA) opposing implementation of forced choice. The Administration maintains that forcing retirees to choose would “provide for better cost accounting when budgeting for that population’s health care costs.”
TROA disagrees strongly. If DoD and DVA are having budgeting problems, it’s their responsibility to work them out through better planning and programming rather than forcing benefit cuts on the backs of the beneficiaries who have earned and need access to the unique care options for each system. A retiree willing to drive 100 miles to the VA for special prosthetic or spinal injury care shouldn’t have to do that every time he gets sick, and shouldn’t be forced to give up that needed special care in order to use TRICARE to see a local doctor for routine care.
Issue 3: Ruling Delays Special Disability Pay for Some Retirees
A provision in last year’s (FY 2001) defense authorization act extends eligibility for a $100 to $300 monthly “special compensation” for members who served 20 or more years and were medically retired with a 70%
disability or higher, effective October 1, 2001. But a recent Defense
Department legal ruling that such members also must have a current VA disability rating to qualify for the special compensation will delay payments for some of the new eligibles.
The problem is that some members who receive high disability ratings from their parent service don’t apply to the VA for disability compensation, since their retired pay (which would be reduced by any amount of VA disability compensation under current law) already is not subject to income tax. For these members to receive the special compensation they are entitled to, they will have to be notified of the problem, apply to the VA, and wait several months or longer for determination of the VA rating. In the meantime, they will not receive the special compensation Congress authorized to begin on Oct. 1, 2001. If the VA makes the rating reTROActive, as often happens, qualifying members would get reTROActive special compensation.
TROA has alerted the House and Senate Armed Services Committee staffs of the problem in hopes of inserting corrective language in the currently pending defense bill, but there is no certainty that will be possible.
House and Senate conferee negotiations to work out the final design of the NDAA continue next week.
To subscribe or unsubscribe to TROA’s legislative update, send a request to legis-update@TROA.org (Provide your TROA membership number if you are a member, OR, your full name and full mailing address including city, state and zip code with a note stating NON-member if you are not a TROA member.
Without this information we CANNOT process your request.) Any requests received after Tuesday will not be processed until the following week.
If you have questions regarding the update, please address them to legis@TROA.org
Copyright © 2001, The Retired Officers Association (TROA), all rights reserved. Part or all of this message may be retransmitted for information purposes, but may not be used for any commercial purpose or in any commercial product, posted on a Web site, or used in any non-TROA publication (other than that of a TROA affiliate, or a member of The Military Coalition) without the written permission of TROA. All retransmissions, postings, and publications of this message must include this notice.
By Al Garcia
The members present at the last general membership meeting, October 16, voted unanimously to accept the recommendations of the Scholarship Committee to invest our TROA Chapter of the Year award ($1000.00) at the San Juan College Scholarship Foundation. Bill Hall, spokesman for the Committee, made a presentation explaining how the program operates. It was decided that we will go ahead and draw up the necessary documents to establish the account and get started. This is being done before the next general membership meeting, November 16.
We are embarking on a very worthwhile project which should provide a vehicle for us to unite as a Chapter. One of our goals is to aid the JROTC program. This is helping the youth of the community prepare for future careers; hopefully some will chose the military. Creating a scholarship fund, then working to make it grow will allow us to help academically deserving students acquire college degrees. This aspect will take a few years to come to fruition but we can do it.
We all need to commend Steve and Eileen White who offered to make an excellent donation to the creation of the Totah Chapter Scholarship Fund. We are all eligible to follow their lead. Donations made to the Fund are income tax deductible. We plan to go out into the community and solicit donations from businesses and folks willing to invest in helping our youth.
This endeavor is a good one. I ask your support. I am not asking you to donate money, that's your decision. But we need to be united in our verbal support of the project. Can I count on each of you to consider that this is something we need to do?
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