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Master Chief Quinones,
Quote of the Week
"We'd be shooting ourselves in the head." (Defense Secretary Leon Panetta's
response when asked by Sen. Lindsey Graham if allowing the sequestration process
to cut more than $500 billion more from the defense department would be
"shooting ourselves in the foot.")


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In This Issue of September 23, 2011


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White House: Civilianize Military Benefits

On Monday, the Obama Administration unveiled its plan to cut the deficit by $3
trillion over the next 10 years. The proposal includes $27 billion in cuts to
the military health care package and a proposal that could be expected to cut
even more from the military retirement system.

First, the Administration proposes establishing a $200-per-person annual
enrollment fee for TRICARE For Life beginning FY2013. The proposal would tie
this to some unspecified health cost index so that it would increase every year
after that.

Second, it proposes changing TRICARE pharmacy copays to bring them more in line
with federal civilian coverage:

* Retail Generic: Change copay from a flat $5 to 10% of DoD Rx cost in FY13 and
raise that to 20% of Rx cost in outyears
* Retail Brand Name: Change copay from $12 to 15% of DoD Rx cost in FY13 and
subsequently to 30% of Rx cost
* Mail-order Brand Name: Raise copay from current $12 to $20 in FY13 and
subsequently to $40
* Mail-order Non-formulary: Raise copay from current $25 to $35 in FY13 and
subsequently to $40

Finally, the Administration calls for a DoD BRAC-style commission to recommend
"modernizing" the military retirement system. The commission proposal would have
to get an up-or-down vote by Congress, without any amendment options.

The language in the Administration plan makes it clear that the intent of these
initiatives is to generate large savings by making the military healthcare and
retirement system more like civilian plans. This shows a shocking insensitivity
to the radical difference between military and civilian careers and the reasons
why these military programs were built.

The whole purpose of the unique military retirement and healthcare package is to
offset the extraordinary demands and sacrifices inherent in a service career.
They were built to provide a powerful incentive for top-quality people to serve
20-30 years in uniform, despite the kind of hardships imposed on troops and
families over the last 10 years of war.

Why endure that if the reward is a benefit package similar to that provided
civilians who don't bear any such burden of arduous and extended sacrifice?

If the Administration and Defense Department won't make the case to protect
current and future military members, families, retirees, and survivors in these
tough budget times, MOAA certainly intends to.

Now is the time for all MOAA members to mobilize. Please urge your officer
friends to join MOAA and start actively working to protect their interests and
those of the current and future force.

This isn't just about equity. It's about an attack on the core elements that
sustain the quality career force that protects our national security.

Any who continue to sit on the sidelines jeopardize their own interests, the
military community's, and the nation's future capability to sustain a strong
national defense.

Start by sending this MOAA-suggested message
<http://echo4.bluehornet.com/ct/13010712:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> to your elected officials.

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Government Shutdown Looming?

The new fiscal year 2012 starts October 1, a week from Sunday.

Congress has yet to pass any appropriations bills for the new fiscal year.

Legislators can't agree on an interim continuing resolution to keep the
government from shutting down on Oct. 1.

Congress is scheduled to start a week-long recess this weekend.

What's wrong with this picture?

On Wednesday, the House of Representatives rejected its leadership's first
proposed continuing resolution (H.R. 2608).

Early this morning the House passed an updated resolution that would keep the
federal government running through November 18.

But Senate leaders called the House-passed bill "dead on arrival" because of
differences over the amount of disaster aid sought by the two chambers and
because of a controversial funding offset provision in the House bill.

Will legislators be able to work out a compromise, or will they cancel their
recess to get the job done?

Unfortunately, their funding squabbles could again put military pay in jeopardy.
Earlier this year, Congressmen Louie Gohmert (R-TX) and Jack Kingston (R-GA)
introduced the "Ensuring Pay for Our Military Act of 2011" (H.R. 1297), which
would continue pay and allowances for active and reserve component forces in the
event of a government shutdown.

The bill has 203 co-sponsors representing both sides of the aisle, but remains
stuck in two committees. So Gohmert has filed a discharge petition to force
action on the floor.

If 218 members sign the petition, the bill must be brought to the floor for
action.

Our troops and families deserve better than to be used as pawns in legislators'
political brinksmanship games.

You can help by using MOAA's suggested message
<http://echo4.bluehornet.com/ct/13010713:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> to ask your U.S. Representative to sign Rep. Gohmert's
discharge petition on H.R. 1297.

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Super Committee Gets Down to Business

On Thursday the "Super Committee" held a hearing entitled "Overview: Revenue
Options and Reforming the Tax Code." Dr. Thomas Barthold, Chief of Staff of the
Congressional Joint Committee on Taxation was the only witness.

Co-chair Sen. Patty Murray (D-WA) opened by saying "the American people are
looking at this Committee with great optimism - but also with real
skepticism...they don’t care how it impacts one party's fortunes versus the
other. They don’t care how it impacts one special interest versus another.
Their only question is, can it impact their lives? They want to know...can we
make a real dent in the deficit so their children are able to compete and
succeed."

She observed that families, economists, and every serious commission that has
studied the deficit have concluded that spending cuts alone cannot put the
budget back into balance. The Committee has to address both spending and
revenue, she said.

The testimony centered on corporate and individual tax rates. Committee members
repeatedly asked if Barthold's staff could project revenues resulting from
changes in the tax code. Barthold explained that they could offer some modeling,
but that the results should be taken critically, noting that tax policy changes
sometimes drive different and unanticipated behavior. For example, changing the
deduction for mortgage interest may alter consumer interest in buying a home and
not produce the anticipated revenue.

Co-chair Rep. Jeb Hensarling (R-TX) noted "the ability, wisdom and consequences
of addressing our debt crisis through tax increases will continue to constitute
a rigorous debate by our committee...my hope though is that we may be able to
achieve rigorous agreement that fundamental tax reform...can result in both
revenue from economic growth...and more jobs for the American people."

The committee will receive various inputs from Congressional committees in
October, as well as the White House debt proposal addressed in the article
above.

If you are a constituent of a Super Committee legislator, please do your part to
support MOAA's efforts
<http://echo4.bluehornet.com/ct/13010714:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> to generate a large volume of constituent mail to these
key individuals (the link above includes a list of who they are and highlights a
special package MOAA is sending to almost 30,000 of their MOAA-member
constituents).

For all others, your legislators will get a vote by the end of the year on what
the Super Committee recommends, or on some alternatives. Please send them this
MOAA-suggested message
<http://echo4.bluehornet.com/ct/13010715:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> .

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More from MOAA



<http://echo4.bluehornet.com/ct/13010716:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> MOAA Career Fair
Don't miss MOAA's upcoming career fair at the convention center in Washington,
D.C. on September 27. It's the largest networking event of its kind in the area.

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<http://echo4.bluehornet.com/ct/13010717:15591796904:m:1:389308638:A093BB93CB2D3\
FCECE7C27D40FC199AB:r> Do Legislators Care About Your Letters?
In his September As I See It column, MOAA Government Relations Director Col.
Steve Strobridge talks about the power of our members messages to Capitol Hill,
and why communicating with your legislators now is more important than ever.

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Legislative Update is published weekly by MOAA, 201 N. Washington Street,
Alexandria, VA 22314.

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©2011 MOAA, All rights reserved.


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MOAA - Military Officers Association of America
One Powerful Voice.®
201 N. Washington Street
Alexandria, VA 22314

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