Legislative Update

By Steve White

This is TROA’s legislative update for Friday, December 21, 2001. There will be no TROA update next week; the next update will be Jan 4, 2002.

Issue 1: Strong Gains for Veterans in 2001

House and Senate Veterans Affairs Committee leaders capped a strong year of legislative activity on behalf of veterans’ with passage of H.R. 1291, the Veterans’ Education and Benefits Expansion Act; H.R. 2540, Veterans’ Compensation Rate Amendments of 2001; and H.R.2716, the Homeless Veterans Comprehensive Assistance Act.

House Committee Chairman Chris Smith (R-NJ) originally introduced H.R.1291 to increase Montgomery GI Bill (MGIB) education benefits over a three-year period. The final version of the bill also includes other veterans benefits sought by Senate Veterans Affairs Committee Chairman John D. Rockefeller IV (D-WV). Among many other provisions, the final version of H.R.1291:

*Boosts educational benefits under the MGIB over the next three years. The maximum monthly rate increases to $985 on 1 Oct 2003, a 46% hike over current benefits; *Increases the VA home loan guaranty from $50,700 to $60,000 and extends the VA home loan authority for Selected Reservists to year 2011. *Adds Adult Onset Diabetes Type II to the list of service-connected conditions for Vietnam veterans exposed to Agent Orange; and *Increases the monthly rates of survivors' and dependents' educational assistance.

H.R. 2540 authorizes a 2.6% COLA for disabled veterans and their survivors.

H.R. 2716 authorizes funding, housing, and related assistance for homeless veterans.

Issue 2: Long Term Care Insurance Progress

The Office of Personnel Management (OPM) has announced that The Metropolitan Life Insurance Company and John Hancock Life Insurance Company have been selected as the carriers for the government Long-Term Care (LTC) Insurance program for military and federal civilian beneficiaries that will start up late next year. Together, the two firms have formed a third corporation called Long Term Care Partners, LLC. The new company’s sole responsibility will be operating the federal program. The contract is for seven years. Premium rates and benefit options could be released in late winter (Feb 2002). Coverage will be effective on October 1, 2002, but program sign-ups could begin much sooner, according to the OPM.

In related news, the House and Senate this week approved the Long-Term Care Security Act, HR 2559, for Presidential signature, which is expected shortly. The Act makes several improvements in the law that initially authorized the government LTC insurance program discussed above. H.R. 2559 exempts federal long-term care insurance premiums from state and local income taxability. It also expands eligibility to include gray area reservists, as well as federal civilian retirees with deferred annuities. (Gray area reserve retirees have served 20 or more qualifying years and are eligible to receive retired pay when they become 60 years of age.)

13 million federal workers and annuitants – including active and retired service members and their family members – will be eligible to purchase the long-term care insurance at group-discount rates when the program commences on Oct.1, 2002. OPM expects the government program’s premiums to be lower than those of commercial plans.

Issue 3: Congress OKs Defense Spending Bill and Adjourns

Congress adjourned Thursday night after a flurry of activity to pass all the necessary spending bills for FY2002. Among the many bills approved by both the House and Senate was the FY2002 Defense Appropriations Act – which provides the funding needed to implement the programs approved earlier in the Defense Authorization Act.

Congress will not reconvene until January 23.

Issue 4: Concurrent Receipt Focus Shifts to White House

Last week, we reported our disappointment that Congress failed to take action to end the 100-year old practice of making disabled military retirees forfeit a dollar of their earned retired pay for each dollar received in VA disability compensation. The FY2002 Defense Authorization Act, now awaiting the President’s signature, specifies that this will only happen if the President includes the necessary legislation and funding in his FY2003 Budget Request (which is due to Congress in February).

The Administration is already on record as opposing any change to the current law, and it likely will be difficult to change that position in the next two months. But we won’t know if we don’t try.

You can help by using TROA’s Web site to send a message to the President urging his support to change this grossly inequitable offset law. Just visit http://capwiz.com/TROA/home/ and click on the “Action Alert” link.

Copyright © 2001, The Retired Officers Association (TROA), all rights reserved.

Top

President's Page

By Al Garcia

HAPPY NEW YEAR to each and every one of you. We had a tremendous year. Everything from recruiting some great couples to another award for the Totah News to the OUTSTANDING Chapter of the Year Award coupled with $1000.00. We had a successful summer picnic, sponsored a New Mexico Council of Chapters meeting in September, participated in the Veteran's Day Parade in Aztec and ended the year by opening a Totah Chapter Scholarship Fund and celebrating a great Christmas Social. All of you, members and spouses, take credit for the successes we have had.

The new year is ahead of us. We look forward with anticipation to things that are to come. We will again submit our Totah News for another award, we will support the JROTC Awards Ceremonies, and begin fund raising efforts for the Scholarship Fund. I hope that each of you will think about these objectives and lend a helping hand as you have done in the past.

Our Country is involved in a War Against Terror and we are winning that war. It is a credit to a Commander in Chief who has shown us the leadership and the courage to confront terrorists tactics after the 9-11 events. It is again a wonderful satisfying sense of pride in having been of service to our country as military men and women. I know that you are all feeling this pride and are willing to STAND UNITED for our Country.

On behalf of our Chapter membership, I say GOD BLESS AMERICA and GOD BLESS OUR SERVICE MEN AND WOMEN!.