MOAA Legislative Update, July 20, 2007

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July 20, 2007


Possible TRICARE Data Compromise

Defense contractor SAIC reported today the potential compromise of personal/medical information of 870,000 TRICARE beneficiaries.

Commission Decides on Concurrent Receipt, SBP

The Veterans Disability Benefits Commission made recommendations this week regarding the SBP and concurrent receipt.

First Things First

MOAA has written Congress expressing concern about legislation approved by the Veterans Affairs Committee that would dramatically increase compensation for Filipinos
who served with Allied forces or anyone who served with the Merchant Marine
in WWII.


VA Secretary Resigns

In a surprise announcement this week, VA Secretary Jim Nicholson said he would resign as head of the Department of Veterans Affairs.

Defense Bill Deferred

With the Senate deadlocked the Defense Bill has been suspended until September.

Chat Survivor and Tax Issues with MOAA
Each month, a MOAA lobbyist will take an hour to answer live and previously e-mailed questions from members about our legislative issues. Our intent is to provide an additional avenue for a member to talk directly with MOAA's Government Relations lobbyists.This month Col. Phil Odom USAF (Ret) will chat with members on the 25th of July from 12 - 1 pm (EST).

Phil is MOAA's lobbyist for survivor and military tax related issues. So, if you have any questions about legislation in the 110th Congress relating to those topics, please join us here on July 25th. To increase your chances of having a question answered, you can email your questions ahead of time to legischat@Moaa.org.


Possible TRICARE Data Compromise

SAIC announced a "security failure" today in the handling of TRICARE customer data. The company alerted MOAA that "uniformed service members, family members and others were at risk of potential compromise." The company said the situation was a "totally unacceptable failure on our part."

SAIC said that "forensic analysis has not yielded any evidence that any personal information was actually compromised; however, the possibility cannot be ruled out." SAIC is notifying approximately 580,000 households (870,000 beneficiaries) of the incident.

The SAIC's website contains additional information including a news release, questions and answers, and contact information.

MOAA is deeply troubled to learn of yet another potential breach of personal information of the uniformed services community. It is vital to the nation's security that the personal information of military families be protected at all costs. Additional updates will be provided through various MOAA media as information becomes available.


Commission Decides on Concurrent Receipt, SBP

The Veterans' Disability Benefits Commission met this week in Washington, DC to tentatively decide on two highly debated topics: survivor benefits and concurrent receipt. The commission expressed strong support for widows and widowers by endorsing an
end to deduction of Dependency and Indemnity Compensation from Survivor Benefit Plan annuities, a position MOAA has pushed for years.

Yet when the discussion turned to concurrent receipt, the commission was deadlocked over extending concurrent receipt to disabled service members that had their careers cut short before reaching 20 years of service. The Commission also validated years of MOAA and Military Coalition efforts by recommending an end to the deduction of VA disability compensation from military retired pay, at least for members with more than 20 years of service.

Specifically, the commission proposed expanding eligibility for Concurrent Retirement and Disability Pay (CRDP) to retirees with 10- to 40-percent disability ratings and implementing full payment immediately (putting an end to the ongoing 10-year phase-in period).

But MOAA was disappointed that the Commission was deadlocked, by a 6-to-6 vote, on extending concurrent receipt rules to members forced into medical retirement before attaining 20 years of service.Commissioner MG William Matz (USA-Ret) and Commissioner Butch Joeckel (USMC-Ret) voiced strong support for inclusion of chapter 61 retirees, telling other commissioners that failure to support this fix will give the impression that the commission has disregarded the cause of wounded servicemembers at Bethesda, Walter Reed, and other military hospitals who face premature medical retirement.Both urged the commission to reconsider their inclusion. MOAA couldn't agree more.

On July 19, MOAA sent a letter to the House of Representatives expressing concern about the relative funding priorities in legislation recently approved by the Veterans Affairs Committee.Among other things, H.R. 760 would significantly increase U.S. veterans' benefits for Filipino veterans, including non-US citizens living in the Philippines, who fought with Allied Forces in World War II.

H.R. 23 would authorize a $1,000 monthly annuity to anyone who served any time with the Merchant Marine during World War II, or to such person's survivor if the person has since died.While we honor those individuals' wartime service, MOAA believes there are much greater inequities that should be addressed first.

If approved, compensation for a single month of Merchant Marine service in World War II would exceed that of many wounded, disabled, and career military World War II combat veterans and their survivors:
A 20-year veteran who retired as an E-5 in 1955 receives $900 in retired pay.

The military pays a "Forgotten Widows" annuity of only $212 per month to widows of World War II vets who served 20-30 years and died before 1974.

The VA pays only $901 a month to vets with a 60% service-caused disability.

The House of Representatives, in the FY2008 Defense Authorization Bill, acknowledged the inequity of current law that deducts more than $1,000 a month from SBP payments to survivors of members who died of service-connected causes, but indicated it could afford only a $40 monthly payment to such widows as a first step toward reversing that penalty.


MOAA believes strongly that Congress has a fundamental responsibility to establish relative priorities, put first things first, and ensure that there is better proportionality between compensation and service and sacrifice rendered.back to top VA Secretary Resigns

Secretary of Veterans Affairs James R. Nicholson announced Tuesday he had tendered his resignation to President Bush with an effective date of no later than October 1. In making the announcement Nicholson said that he would turn 70 years old next February and "I feel it is time for me to get back into business, while I still can."

Nicholson assumed the job in February 2005. His early tenure was marked by controversy over exposure of veterans' personal data on a stolen laptop computer and the failure of the VA to anticipate and budget for large numbers of returning war veterans.Subsequently, Nicholson sought a $3 billion increase for VA care over the previous year, which Congress endorsed and increased even more.

Most recently, Nicholson chaired an interagency group to review care needs and delivery for wounded warriors, and has joined with the Secretary of Defense in forming top-level working groups to aggressively upgrade assistance to wounded members and families and ensure seamless transition of DoD and VA care. back to top Defense Bill Deferred

After an all-night session failed to produce any significant changes in Republican and Democratic differences on amendments proposing Iraq redeployment timelines, Senate leaders suspended any further action on the FY2008 Defense Authorization Bill until after the month-long August recess.

With a report due in mid-September on the results of the troop surge in Iraq September looks like the time frame in which the Senate might be ready to take up the defense bill again.MOAA is disappointed that the Senate didn't at least move on to consider any of the nearly 200 other amendments to the Defense bill, many of which address much-needed personnel and compensation improvements.

Among those topics are retiree TRICARE fee protections, concurrent receipt upgrades, Survivor Benefit Plan improvements, upgraded military pay raises, GI Bill fixes for the Guard and Reserve, and Reserve retirement improvements.
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Contributed,
YNCS Don Harribine, USN(ret)