Military Officer - April 2006 - (Page 28)

washingtonscene Retirees Under 65 Already Gave 10% ■ For most of the 1980s and ’90s, military pay raises were capped below private-sector pay growth. These caps already depressed retired pay an average of 10 percent for servicemembers who retired between 1984 and 2005. For an O5 who retired in 1993, that’s more than $4,000 a year. DoD ofﬁcials picked up where they left off by again emphasizing the need to “renorm” the health care cost share for retirees under 65. Pace again stressed that health care costs have almost doubled in the past ﬁve years, from $19 billion in 2001 to $37 billion in 2006, and there has been no fee increase in the past 11 years. Rep. Jerry Lewis (R-Calif.), Defense Appropriations Subcommittee chair, was surprised by the lack of adjustments and said this “needs to be reviewed” to ensure retirees pay their “fair share.” The same day, the House Appropriations Subcommittee on Military Quality of Life and Veterans Affairs (which has jurisdiction over military health funding) hosted two hearings with senior DoD and uniformed enlisted leadership. Chair James Walsh (R-N.Y.) wasted no time, telling Dr. William Winkenwerder, assistant secretary of Defense for Health Affairs, “It’s going to be politically difﬁcult for Congress to support these fee increases.” Rep. Chet Edwards (D-Texas), the ranking minority member, also generated some tough questions, asking Winkenwerder to “get the facts on the table.” His focus was on the actual number of beneﬁciaries affected by the proposal and what assumptions were included in the suggested cost savings. The subcommittee also heard from each of the services’ senior enlisted leaders. When asked point-blank by Rep. John Carter (R-Texas) if they “agree that the department should increase health care costs for retirees,” each reiterated that the need to sustain the current beneﬁt is the highest priority and that the burden should not be on those retiring due to disabilities. MOAA continues to be concerned that members of Congress are not getting the full story. A great deal of the Pentagon’s concern over rising health care costs involves the $10 billion annual deposit to the TRICARE For Life (TFL) trust fund APRIL 2006 that the administration wrongly counts against the Defense budget. Two years ago, when Defense leaders said the administration was making them take this deposit “out of hide” at the expense of other Defense programs, the Armed Services committees acted to change the law to shift that deposit from the Defense budget to the U.S. Treasury budget. The clear intent was that TFL expenses weren’t to come at the expense of other readiness needs. Congress passed that provision as part of the FY 2005 Defense Authorization Act (PL 108-375). But the Ofﬁce of Management and Budget has since conspired with the budget committees to ﬂout the clear letter of the law and continue to charge the deposit against the Defense budget. That’s why the administration has wrongly forced the Joint Chiefs of Staff to choose between retiree health funding and weapons programs. It’s a false and inappropriate choice. If the administration obeyed the law, the debate wouldn’t be necessary. Hill Staffers Question Fee Hike Plan Democratic and Republican staff members pledge a careful analysis of DoD proposal. D uring a TRICARE conference discussion forum on Jan. 30, Republican and Democratic staff members from the House and Senate Armed Services committees told TRICARE ofﬁcials they shouldn’t expect Congress to just roll over and accept the Defense Department’s plan to impose signiﬁcantly higher TRICARE fees on military retirees. [CONTINUES ON PAGE 30] 28 MILITARY OFFICER

Table of Contents Feed for the Digital Edition of Military Officer - April 2006

Military Officer - April 2006 Contents From the Editor President’s Page Your Views MOAA Directory Rapid Fire Washington Scene Financial Forum Ask the Doctor Chapter Activities Lap of Luxury Magic Carpet of the Rails Blue Ridge Wonderland Salud, Santé, Cin Cin! Cover Story: Wounded Warriors On Duty MOAA Scholarship Donors MOAA Member Services Pages of History Information Exchange Member Books MOAA Calendar Advertising Index Sounding Taps Encore

Military Officer - April 2006

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