This bulletin update contains the following articles:

AOL Advisory Update 06 (6 million customers lost.)
VA Panel Hearing Change (Detrimental to vet community.)
Gray Area Retiree Space A (Feasibility study only.)
Tricare User Fee Update 04 (Letters to the president.)
BRAC Update 20 (Commission wants another year.)
CRDP Update 39 (2006 strategy to improve.)
Overseas Absentee Voting Update 01 (Time to submit FPCA.)
Tricare Inpatient Rates Update 01 (2006 increases.)
TDP Update Update 03 (2006 premium increase.)
TRDP Update Update 03 (Premium increase 1 May.)
Reserve Personnel Cuts (Capita hill opposition.)
DeCA Bad Check Policy Change (New policy on NSF checks.)
Passport Card (Substitute for US passport.)
Veteran Employment Update 01 (Federal hiring increase 2004.)
Military Children Scholarships Update 01 (Applications due 1 MAR.)
NDAA 2007 (2006 unfinished business.)
Credit Card APR (Reduction is possible.)
Reserve Educational Program (VA now processing claims.)
Scholarships for Spouses (Applications due 14 APR.)
Tricare Prime Allotment Update 01 (Available thru retiree pay.)
Wheelchair Fishing Boat (MacDill AFB MWR.)
Army Enlistment Age (Raised to age 39.)
Tricare Tax Free Premiums Update 02 (Cosponsors needed.)
VDBC Update 02  (Public meeting 15/16 FEB.)

AOL Advisory Update 05: In an effort to curtail the steady loss of dial-up customers, AOL has announced that it would sell high-speed Internet services through AT&T, BellSouth and Qwest Communications. In the arrangement, AOL will provide the software and the phone companies provide the connection, similar to deals AOL has with Time Warner Cable and Verizon Communications. Since AOL does not operate phone networks, it has had to work with other companies to provide broadband access, which is many times faster than dial-up lines. Though AOL is likely to generate less income per subscriber by selling a rival's broadband connections, it wants to avoid the alternative: losing customers entirely to the phone and cable companies that dominate the Internet access business.

AOL, a unit of Time Warner, has lost more than six million customers since March 2003. But it still has a powerful brand, and it offers a substantial package of news, music and other entertainment on its portal. Many of its customers also want to keep their AOL e-mail address. Yet the need to work with the Bell companies has become particularly acute because they have been cutting prices. AT&T and Verizon sell broadband lines for as low as $14.95 a month, compared with $23.90 for AOL's slower dial-up service. AOL will charge $25.90 for a broadband connection from AT&T, Verizon and Qwest, and $29.90 for a high-speed line from BellSouth. Some Bell companies will offer modems free, after rebates. In some cases, customers will have to sign one-year contracts. AOL will also raise the price of its dial-up service to $25.90, from $23.90, to encourage customers to upgrade to a broadband service. AOL said it would make other offers to customers who want to keep their dial-up service or cheaper plan. The Bell companies have deals with other portals, including Yahoo and MSN.

RAO Bulletin recipients are reminded that if they decide to switch to AOL they will lose their ability to receive future Bulletin Updates. AOL treats the Bulletin and numerous other email communications as Spam, blocking them before they can reach the majority of their customer's computers. Depending on the AOL program in use their customers are not allowed any option to select what they want to receive if AOL thinks they should not receive it. Because of this and AOL's refusal to change its Big Brother policies, purging of AOL addees from the Bulletin directory continues. To date I have deleted over 6,000 and with an estimated 5,000 to go. All AOL addees are being sent a message to this effect requesting they respond. Those who do not answer are automatically deleted. To date, less than 100 have responded and been reinstated to the directory. The low number of responses is further confirmation that AOL blocking of their customers email is an ongoing practice.

[Source: NYTimes.com 28 Jan 06 ++]

VA Panel Hearing Change: An overhaul of legislative hearings announced by the chairman of the House Veterans' Affairs Committee seems deliberately designed to marginalize the influence of the nation's veterans on funding levels for the Department of Veterans Affairs and other important public policy issues, according to the Disabled American Veterans (DAV). Last November Committee Chairman Steve Buyer (R-IN.) decided to end a decades-long tradition that gave veterans groups the opportunity to present testimony regarding a wide range of legislative priorities before a joint session of the House and Senate Veterans' Affairs Committees. The DAV and other Military Coalition Organizations tried, unsuccessfully, to get Rep. Buyer to reinstate those joint hearings, which they viewed as an invaluable tool in formulating public policy toward America's veterans. Commander Paul W. Jackson (spokesman for 1.3 million disabled veterans) sent a letter of protest to Chairman Buyer when the new schedule of hearings and their format were announced in January and proved to be even more disappointing to veterans.

The first of those hearings is scheduled for 8 FEB, just two days after the anticipated release of the President's budget proposal for fiscal year 2007 on 6 FEB, and copies of written testimony from veterans' service organizations must be submitted to the Committee by noon that very day. This makes it impossible for our veterans groups to analyze and comment on the President's budget request or provide diverse points of view regarding funding levels and policy initiatives in the President's budget at the hearing. The Chairman also imposed a three-minute limit on oral remarks by representatives from veteran's organizations making it virtually impossible for veterans advocates to have any meaningful dialogue on the issues. An additional change imposed by the chairman is to limit to five the number of guests that each advocate could invite to sit in the audience and view these OPEN hearings. The net effect of changes imposed by Committee Chairman Buyer indicates the House Veterans' Affairs Committee is no longer receptive to input from the veteran community. Shutting this important window of opportunity to air the veteran concerns before congress makes it even more important for each veteran to initiate dialogue with their Congressional representatives on issues that concern them and their peers.

[Source: DAV News Release 23 Jan 06 ++]

Gray Area Retiree Space A: Under 60 reserve retirees (Gray Area) cannot travel space-a OCONUS. Presently, travel without dependants in CONUS, Alaska, Hawaii, and U.S. possessions is authorized. Dependent accompaniment is authorized after the reserve retiree turns age 60. An article was included in the recently approved 2006 National defense Authorization Act that addressed this issue. However, previous reports that Gray Area retirees were now authorized full entitlement under the 2006 NDAA appear to be in error as only a feasibility study on the issue was directed. To avoid any misunderstanding on this issue the following excerpt from the NDAA report is provided:

SEC. 359. REPORT ON SPACE-AVAILABLE TRAVEL FOR CERTAIN DISABLED VETERANS AND GRAY-AREA RETIREES.

• REPORT REQUIRED.-Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report on the feasibility of providing transportation on Department of Defense aircraft on a space-available basis for-
  (1) veterans with a service-connected disability rating of 50 percent or higher;
  (2) members and former members of a reserve component under 60 years of age who, but for age, would be eligible for retired pay under chapter 1223 of title 10, United States Code; and
  (3) dependents of persons described in paragraph (1) or (2).
• CONSULTATION.-The Secretary of Defense shall prepare the report in consultation with the Secretary of Veterans Affairs.

At present disabled vets have no eligibility to fly space A unless they are retired from service. Additional info on this issue can be found at http://reservist.atspace.com. As soon as DoD completes the feasibility study and reports the results a Bulletin Update on this issue will be provided. Concerned veteran are encouraged to provide input to their legislators prior to the submission of the report to Congress so they can know their constituents desires for approval or disapproval. At http://www.congress.org/congressorg/home/ can be found your legislator's name, district office location, telephone, and mailing address.

[Source: UTMC msg 22 Jan 06 & http://utmc.atspace.com]

Tricare User Fee Update 04: On 23 JAN 06 Rep. Steve Rothman (D-NJ) wrote President George W. Bush on behalf of veterans who are concerned about possible increases in their TRICARE health care premiums. He expressed his concern over inputs he is getting from constituents and veteran organizations regarding reports that DoD is going to raise TRICARE premiums for military retirees under the age of 65, and pharmaceutical co-pay fees for Medicare-eligibles, and Active Duty, Reserve and Guard family members. Noting that the President has consistently stated his appreciation for the sacrifices made by our servicemen and women and their families, Rothman asked him to prioritize veterans' health care. He told the president, "Government should look to improve TRICARE and provide greater funding for this important program, rather than shift the financial burden to those who have already sacrificed so much for our nation." Military experts and veterans' organizations warn that reducing retirement benefits would jeopardize long-term recruitment, retention and readiness in the armed forces, especially in wartime.

On 25 JAN House Democratic Leader Nancy Pelosi and other Democratic leaders sent a letter to President Bush informing him they were greatly concerned about recent reports that he is planning to reduce defense spending by increasing our nation's military retiree's TRICARE health care premiums. Also, that reports of an additional savings would be realized by forcing 600,000 veterans out of the TRICARE system with higher premiums. In their letter they pointed out that is unconscionable that he would even consider a fee increase on the men and women in uniform who bravely sacrificed for our country, especially during a time of war. They noted that this government must demonstrate its commitment to our troops and future veterans by assuring them that just as they protected our nation, it will take care of them when their service ends. They enclosed with their letter a copy of a report released by the National Security Advisory Group which identified serious problems in military recruiting and retention and pointed out to Bush such a move would only exasperate this situation. They then urged that, in his State of the Union Address, he disavow these reports and state forthrightly that in the budget he submits to Congress in February, adequate resources will be allocated for health care for both veterans and military retirees.

From 1976 to 1993 Congress adjusted military retirees COLA's eight times to their detriment. During this period there were three years in which there was no COLA at all. During that same timeframe dental, eye and hearing medical care was lost. In 1995, Congress took away the no-out-of-pocket-cost medical care that military retirees and family members were promised. When military retirees go on Social Security they draw less than their peers for having served with low military pay. However, with Medicare Part B now required to retain Tricare benefits upon reaching age 65 plus its annual increase in monthly cost, military retiree's retirement pay is effectively shrinking while the cost of living increases annually. Higher Tricare fees will further shrink retiree's available funds to live on. Apparently, a sufficient number of New Jersey District 9 vets have communicated with their congressional representative to get his attention on this issue. Similar action is needed from all vets to stop this proposal before it is too late. The Military Officers Association of America is providing the toll free number 1(866) 272-6622 which will get you the U.S. Capitol Switchboard where you can ask for the Senator or Representative you want to speak with. If in doubt as to who this may be you can locate the names of those in Congress of whom you are a constituent of at http://www.congress.org/congressorg/home. You can also send a MOAA-suggested message to your legislators here by simply entering your zip code. Since 13 JAN messages from over 22,000 retirees have been sent via this site.

[Source: American Chronicle Congressional Desk 24 Jan 06 ++]

BRAC Update 20: The Base Realignment and Closure Commission that recently helped decide which U.S. military bases to shutter wants another year of life and $1.2 million to study a plan that may streamline the process of closing those facilities. The nine member commission is supposed to go out of business in April. But according to documents obtained by The Associated Press, it is proposing to spend an extra year investigating whether Congress should create a new public body that would oversee the closings. Under current law, the Pentagon is in charge of shutting bases, a task it has performed in the four previous reorganizations of the military's domestic base network. The commission would examine whether a new public corporation and a foundation should take over the job. The proposal is not intended to imply that DoD's current process for closing facilities is impaired. However, they would like to pursue avenues for improvement. It has received mixed reviews at the Pentagon and approval would be up to Congress. Commissioners plan to meet with lawmakers over the next few weeks to gauge support. Lawmakers may be wary of any fresh base-closing legislation. Many of them considered the 2005 round of closures excruciatingly painful because of the large number of bases facing changes. Even some commissioners aren't convinced a corporation or foundation is the way to improve how the Pentagon gets rid of unneeded bases. Some say having a separate body managing the real estate transactions may eliminate some of the bureaucratic red tape communities and private developers go through after a facility is targeted for closure. The plan says establishing a corporation would allow the Pentagon to fully dedicate its resources to national defense rather than to the management, sale and transfer of targeted properties.

A corporation, the proposal says, also will provide one-stop-shopping for local redevelopment authorities, state government entities and private developers, and support broad-based community development, economic growth and job creation. The proposal also calls for a foundation that would have grant-making authority to pay for environmental cleanups on military properties and enter private-public partnerships to create habitats.

[Source: GOVEXEC.com 30 Jan 06]

CRDP Update 39: A dozen military and veterans associations met with Rep. Mike Bilirakis' staff on 25 JAN to discuss concurrent receipt strategy for 2006 in light of last year's very modest progress. All present shared the same concern that the ongoing deliberations of the Veterans Disability Benefits Commission (whose reporting deadline was just extended until October 2007) give Congress a ready-made excuse to put off action on Bilirakis' broad concurrent receipt bill (H.R. 303). There was general agreement that the best potential for progress lies in incremental actions to help disabled retirees suffering the clearest inequities. The organizations reached consensus that the causes with the most compelling arguments for immediate implementation are:

• The need to provide immediate payments for retirees designated by the VA as "unemployable."
• The need to extend eligibility for Combat Related Special Compensation to Chapter 61 (medical) retirees who were forced by their disabilities to retire short of attaining 20 years of service.

The FY2006 Defense Authorization Act makes unemployables eligible for full payment in 2009 (vs. the previous 2014), but that still discriminates against this group, considering that all other members paid at the 100% disabled rate have full concurrent receipt now. Rep. Bilirakis has introduced H.R. 1366 to include Chapter 61 retirees in CRDP. To urge your representative to cosponsor H.R. 1366 and H.R.303, visit http://capwiz.com/moaa/issues/bills/ scroll down to "Retirement Issues" and click on the links to those bills. Then enter your zip code to send a MOAA-suggested message to your legislator.

[Source: MOAA Update 27 Jan 06]

Overseas Absentee Voting Update 01: Members of the overseas community need to act quickly to request absentee ballots for the 2006 primary and general elections. In all, we will elect 34 senators, the entire House of Representatives, 37 state governors, and hundreds of state and local officials. Primaries begin in March, and the general election is 7 NOV. To participate in your home states' elections, overseas citizens need to complete a Federal Post Card Application (FPCA) requesting an absentee ballot. The application needs to be completed and returned as quickly as possible, to give the local election office time to mail the ballot to the citizen and then time for the ballot to be returned before the state's deadline. Anytime you move you should send another form in so the local election official has your address and the ballot will get to you in a timely manner. This year's elections are especially important because Congress controls many aspects of military life, such as housing, health care and retirement benefits. This is your opportunity to express your approval or dissatisfaction with how your representative has voted over the last few years on military retirement issues (i.e. SBP, IU, Space A, health care, etc.)

Applications are available from voting assistance officers, who are part of every military unit, U.S. Embassy, and Consulate. The forms and instructions for completing can also be accessed on the Federal Voting Assistance Program's Web Site. Voting assistance officers have access to the voting assistance guidebook which contains specific instructions for each state, including deadlines for registration and how to fill out the application form. The FPCA has been improved this year. It's sealed better, so personal information can't be seen by anyone handling it, and there is a space for citizens to include e-mail addresses so election officials can contact them quickly if there's a problem with their forms. Regardless of where you are presently located you must vote in your legal state of residence. If you have established residence in another state you can change your registration.

FPCAs can be submitted by fax in many states and some allow ballots to be faxed. A few states are even e-mailing ballots to citizens, who print them out and mail them back. Individuals who used the correct means to request a ballot but the ballot doesn't arrive on time can use a Federal Write-in Absentee Ballot to vote. These are also available from voting assistance officers, U.S. Embassy, and Consulates. The ballots allow you to write in your choice of candidates and will be counted just like a regular ballot when they are received.

[Source: Air force Retiree News 6 Jan 06]

Tricare Inpatient Rates Update 01: Effective 1 OCT 05, the daily cost of inpatient care in civilian hospitals for active duty family members under TRICARE Standard and TRICARE Extra increased from $13.90 to $14.35 per day or $25, whichever is greater. For example, if a family member of an active duty service member is an inpatient for one day, he or she will pay $25. For inpatient stays that are two days or more, the cost will be $13.90 per day. The TRICARE Standard diagnosis-related group (DRG) daily rate for most civilian non-mental health hospital admissions increased to $535, from $512 last year. This rate increase applies only to retirees, their families and survivors who use TRICARE Standard. They must pay either $535 per day or a cost share of 25% of the hospital's billed charges, whichever is less. A 25% allowable charge for separately billed professional services could also apply. There is no DRG rate increase for beneficiaries who use a civilian TRICARE network facility under TRICARE Extra. Rates for inpatient mental health care or a substance-use disorder increased from $169 to $175 per day for retirees, their families and survivors who use TRICARE Standard. They also pay 25% of the allowable charge for separately billed professional services. The inpatient mental health rate is unchanged under TRICARE Prime and Extra for family members of active duty service members, military retirees, their families and survivors. For more information about DRG payments, contact the nearest beneficiary counseling and assistance coordinator (BCAC). A BCAC directory is at http://www.tricare.osd.mil/bcacdcao/ or see a customer service representative at the nearest TRICARE service center. An online directory is located here.

[TMA News Release 26 Oct 06 ++]

TDP Update Update 03: The 2006 rates for Tricare Dental Program (TDP) premiums will be effective 1 FEB 06. The active duty single premium increases from $9.32 to $10.51 per month, and the family premium rate increases from $23.31 to $26.27. Selected Reserve (SR) single premium increases to $10.51, the SR single-family member premium increases to $26.27, and the SR Multi-family member rate increased to $65.68. For more details on TDP visit http://www.military.com/TRICARE/Dental or http://www.ucci.com/was/ucciweb/home.jsp. This program and premiums should not be confused with TRDP which is for retirees. Information on TRDP can be found at http://www.trdp.org.

[Source: Military.com Jan 06 ++]

TRDP Update Update 03: The basic Tricare Retiree Dental Program (TRDP) plan is available only to those who were enrolled in the TRDP prior to 1 SEP 00, and have chosen to remain enrolled in that program rather than upgrade their enrollment to the enhanced program. Upgrade can be accomplished at http://www.trdp.org/basic/upgrade.htm. Premium information for your region can be obtained from customer service 06-1800 PST M-F at 1(888) 838-8737 or by writing Delta Dental of California, Federal Services, P.O. Box 537008, Sacramento, CA 95853-7008. Effective 1 SEP 00 the basic program ceased accepting new enrollments. Premiums for this program are less but so are the benefits. Benefits available immediately when you upgrade to the enhanced program include:

• Second cleaning within a 12-month period
• Amalgam allowance for posterior composite fillings
• Dental accident coverage
• Additional diagnostic and preventive services

Additional coverage for major services such as cast crowns, inlays, bridges, full and partial dentures and orthodontia become available in 12 months. Enrollment for the retiree only can be accomplished online here. Enrollment for family members requires completion and mailing of an application available online to accompany substantiating document. You will need to make a prepayment of two month's premiums to ensure that you will be able to participate as soon as your coverage is effective. This can be done online using a Visa or MasterCard. Once a payment process is established for you, either through mandated automatic deduction from your retired pay or other applicable billing method, the unused portion of the premium will be refunded.

Premium rates for the enhanced TRICARE Retiree Dental Program vary depending on your location. To view the premium rate for your region, visit http://www.trdp.org/enhanced/premiums.htm and enter your five-digit ZIP Code. Region 4 (Southern CA) premiums for 1 May 05 through 30 APR 06 are presently $ 37.64, $73.12, and $122.41 for single, two member, and 3 or more member retiree families. Monthly premiums are scheduled to increase annually on 1 MAY. DoD directed implementation of further program enhancements could result in the contractual establishment of monthly premium rate changes. If you move or change your enrollment option, your monthly premium rate may also change.

[Source: TRDP Jan 06]

Reserve Personnel Cuts: The Pentagon's emerging plan to cut National Guard troops is drawing heated opposition on Capitol Hill with the Republican and Democratic chairmen of the Senate's National Guard Caucus marshalling lawmakers to thwart the effort weeks before the Bush administration delivers its fiscal 2007 budget to Congress. At least a dozen Republican and Democratic senators have signed on to a resolution that asks the Pentagon to keep state and federal lawmakers informed about emerging plans to cut National Guard troops, yet another signal that Congress is increasingly wary of efforts to downsize the state-run units. Senators Christopher Bond (R-M0) and Patrick Leahy (D-V) have asked their colleagues to sign a letter to Defense Secretary Rumsfeld arguing that personnel cuts would hinder the Guard's ability to respond to disasters in the United States and contingencies abroad. Their Wednesday "Dear Colleague" letter also says the planned cuts would not be cost-effective because part-time Guard troops provide an unrivaled level of capability when compared to the cost of maintaining a similarly equipped active duty force. "Dear Colleague" letters are official correspondence distributed in bulk to Members in both chambers of Congress.

Opposition also has come from the highest levels of Congress, making it clear that any cuts in the Guard force will be a tough sell. On 19 JAN Senate Majority Leader Bill Frist (R-TN) and fellow Tennessee Republican Sen. Lamar Alexander wrote Rumsfeld to oppose Army plans to request funds for 333,000 National Guard soldiers (17,000 below the 350,000 end-strength authorized by Congress) and cut the number of planned Guard brigade combat teams from 34 to 28. Their letter coincided with one sent by the National Governors Association, which strongly challenged the wisdom of cutting the state-run units. Leaders of the group wrote Rumsfeld arguing that the National Guard has provided nearly half of combat forces in Iraq, and 90% of troops deployed to Louisiana and Mississippi in the aftermath of Hurricane Katrina. Given their performance, at this time in history, it is inconceivable anybody would seriously consider a reduction in the National Guard force structure.

[Source: GovExec.com Newsletter 23 Jan 06 ++]

DeCA Bad Check Policy Change: The Defense Commissary Agency (DeCA) completed implementation in NOV 05 of worldwide processing procedures for returned Non Sufficient Fund (NSF) checks. Returned checks formerly routed back to commissaries for collection are now routed to a centralized processing site which will electronically deduct the amount of the checks from the customers' checking accounts and start procedures to assess the NSF administrative fee. The new process results from a collaborative effort between DeCA, the Defense Finance and Accounting Service, the U.S. Department of Treasury, Bank of America and Solutran, the firm that provides the returned check processing services. Customers who write checks for commissary purchases should be are of the following:

• Questions about the program and the collection process on the account can be addressed to DeCA's customer service liaison Judy Blair or J.D. Littman at 1(866)893-5015 between 06-1830 EST M-F or via email at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or via Fax: (804) 765-2798 Allow 5-7 business days for the check to reach the processing center.
• The central processing center will use Represented Check Entry (RCK), which utilizes the Automated Clearing House (ACH) network to transmit ACH debit transactions to your bank once a check has been returned for insufficient or uncollected funds.
• Notice is required to be posted at the point of sale stating that in the event that a check returns for insufficient or uncollected funds, it may be converted to an electronic format for collection. By writing a check after having the opportunity to read the notice at the point of sale, you agree that if your check is returned for insufficient or uncollected funds that the check may be collected electronically.
• Because the check was originally cashed as a paper item, the transaction is viewed as a Uniform Commercial Code transaction allowing a service fee to be assessed. Transactions will appear on your bank statement with the term "REDEPCHECK", the company name (DFAS) and the check number.
• Under the RCK process if a check fails to clear your account the first time it will be forwarded using the Automated Clearing House process to the central processing center within 5-7 business days.
• To determine if you are on DECA's bad checklist (negative check file) ask the customer service department to make an inquiry into the system or call the RCM toll free number at 1-866-893-5015.
• You will know if check writing privileges are suspended when you receive notification from your bank that the original payment to the commissary was unsuccessful. You can resume check writing at the commissary, 60 days from receipt of your NSF check by the centralized processor, assuming the collection on the face value of the NSF check has been obtained.
• If the first electronic collection attempt on military payday is unsuccessful, a second electronic attempt will occur on the next military payday. Presentation dates cannot be altered. If the second attempt is unsuccessful, DFAS will start collection action. Check writing privileges are suspended until resolved.
• All NSF checks written prior to the start of program will be handled under collection procedures at the commissary where the check was written, or after 30 days at DFAS, Columbus, Ohio (1-800-635-6045). You will be notified by the commissary or DFAS on the procedures for collection.
• Checks returned due to a closed account or a "stop payment" request will be forwarded by the central processing center directly to DFAS-Columbus for their collection actions. DFAS will continue to collect the face value of the check, the $25 DeCA administrative fee and the $15 DFAS fee. Questions may be addressed to the customer service liaison. Check writing privileges will be suspended until the situation is resolved.
• In the event of a bank error, DeCA will follow the standard commercial banking practice which requires the customer to recover the $25 administrative fee from their bank. In the event of a documented bank error, DeCA's return check management office will remove the customer's social security number from the negative check database upon receipt of bank notification. It is the customer's responsibility to obtain and provide to this office the bank notification, which must include the customer's name, and account, routing and check numbers. The customer or store is to fax or mail this letter to the return check management office at Defense Commissary Agency, ATTN: RCM-RMR, 1300 E Avenue, Fort Lee, VA 23801-1800. This address is for bank error letters only, not payments. Customers can contact this office between the hours of 06-1830 EST M-F.

[Source: Air Force Retiree News 20 Jan 06]

Passport Card: The State and Homeland Security departments announced new efforts to transform how people are screened and approved for entering the United States. Homeland Security Secretary Michael Chertoff and Secretary of State Condoleezza Rice outlined the initiative in a Washington news conference. A package of initiatives can be viewed here. No new requirements are being placed on people entering the country, a senior State Department official told reporters. One of the initiatives involves creating a new card the size of a driver's license that can substitute as a passport for U.S. citizens. The new passport card will have an embedded computer chip and use radio frequency identification technology to transmit information to U.S. border personnel at ports of entry. The State Department is developing the card to comply with the Western Hemisphere Travel Initiative, which requires all travelers to and from the United States, Mexico, the Caribbean, Bermuda, Panama and Canada to have documentation that establishes their identity and nationality.

Anyone wanting to enter the United States, including U.S. citizens, must present secure documents that denote citizenship and serve as proof of identity. U.S. citizens will be able to meet the requirement with either a machine-readable passport or the new passport card. The State Department plans to start testing the passport card by the end of 2006. More than 400 million inspections occur at our nation's borders each year so considerations to be addressed are affordability, easy for travelers to obtain, and delay potential of passage through U.S. ports of entrance. DHS and State are also working to create a "global enrollment network" through which information from applicants could be entered once into a database and made available to all U.S. border personnel. The administration plans to establish a government wide process by the end of 2006 for travelers to correct inaccurate information contained in screening databases.

[Source: GOVEXEC.com Daily Briefing 16 Jan 06]

Veteran Employment Update 01: The Office of Personnel Management reported that the hiring of veterans to fill federal jobs increased slightly in fiscal 2004. The percentage of veterans in the pool of employees hired into full-time federal positions rose by 0.6 points from fiscal 2003 to fiscal 2004, according to an annual report released by OPM. The percentage went from 33 to 33.6%. The number of veterans employed in the federal government grew from 449,009 to 453,725, an increase of 1.1%. The overall federal workforce grew by 0.9 percent, to 1.81 million, during that same period. The report also noted a 4.7% increase in the hiring of veterans considered "30% or more" disabled. OPM's report credited the 1998 Veterans Employment Opportunities Act with some of the improvement in veterans' representation.

According to the personnel agency, 12,205 veterans were hired in fiscal 2004 using flexibilities in this law, a 12.4% jump from the previous year. The law allows agencies to hire veterans from outside the organization under merit promotion procedures, rather than normal competition. A representative from the American Legion with 3 million members, said that while this news is positive, his organization is concerned that federal agencies are violating veterans preference rules. The American Legion and other veterans' organizations have met with OPM to discuss their worries. The government employs more than two times the percentage of veterans working in private industry, and more than seven times that of "30% or more" disabled veterans. The report also said that most of the veterans in white-collar federal jobs held General Schedule 9-12 positions. The Defense Department was the largest government employer with 50.9% of all federally employed veterans. The numbers were compiled from OPM's Central Personnel Data File.

[Source: GOVEXEC.com Daily Briefing 13 Jan 06]

Military Children Scholarships Update 01: The 2006-2007 school year application for the MOAA Scholarship Fund Interest-Free Loan and Grant Program, the American Patriot Scholarship and the MOAA Base/Post Scholarship is now open to the following applicants:

• Interest-Free Loan and Grant Program: Under-age-24, children of MOAA members (former, active, retired and Reserve/National Guard officers), and children of active-duty, Reserve, National Guard, or retired enlisted military personnel. If such a child served in a Uniformed Service before completing college, his or her maximum age for eligibility will be increased by the number of years he or she so served, up to five years Qualified students, with a cumulative GPA of 3.0 or higher on a 4.0 scale, are selected on the basis of academics, activities and financial need. Applicants must be planning to attend an accredited college or university during the 2006-2007 school year as a full-time student. The interest-free loans are renewable annually for up to five years of full-time undergraduate study. Assistance is available only to students who have not earned an undergraduate degree. The program provides $4,000 loans, which are renewable for up to five years of undergraduate study.
• American Patriot Scholarship Program: Under-age-24, children of MOAA members, and children of active-duty, Reserve, National Guard enlisted military personnel whose military parent has died on active service are eligible to apply. The amount of this award will be at least $2,500. The number of scholarships will be determined by the amount of the funds raised.
• Base/Post Scholarship: Only the dependent sons and daughters, under the age of 24, of Active Duty officers and enlisted military personnel are eligible to apply. This includes members of the Drilling Reserves and National Guard. The Base/Post Scholarship is for a one-time $1,000 scholarship grant to 25 students for the 2006-2007 school year. Recipients are selected randomly. Scholarships are disbursed in August, payable only to the student. Membership in MOAA is not a requirement nor is there a GPA requirement for this program. Children attending U.S. military academies are only eligible to apply for this scholarship if it will be their first year.

A student cannot receive both a MOAA loan and an American Patriot grant. Children attending the U.S. military academies are only eligible for the Base/Post Scholarship programs. All loans, grants, and scholarships are for students seeking their first undergraduate degree. No loans, grants, or scholarships are made for graduate study. MOAA's selection board will not consider incomplete online applications. The application for MOAA Scholarship Fund programs which must be completed and submitted no later than noon EST March 1, 2006. The online application is available here.

[Source: MOAA News Exchange 18 JAN 06]

NDAA 2007: Now that President Bush has signed into law the 2006 National Defense Authorization Act veterans need to turn their attention to encouraging their legislators to take appropriate action on their behalf in the 2007 NDAA. Two major areas of concern are CRSC/CRDP and SBP. Unfinished Business from the 2006 NDAA included CRSC/CRDP related bills H.R.303, H.R.1366, H.R.2075, S.558, & S.845 plus SBP related bills S.185 & H.R.968. These were introduced during the 1st session and are still valid for the 2nd session of the 109th Congress. Collectively, these bills would:

• Grant relief to 375,000 retired military career veterans with service connected disability who are denied the benefits of Concurrent Retirement Disability Pay (CRDP) authorized by the 2004 NDAA because they have less than 60% service connected disability. The 2005 NDAA amended this threshold to 50% service connected disability.
• Repeal the 10 year phase in of fully restored concurrent receipt for CRDP. At the minimum eliminate the last 5 years of the schedule during which the remaining 5% of balance will be restored. A numeric analysis of the CRDP 10 year phase in schedule shows in year 4 (2007) of the phase in, the maximum annual dollar increment is realized which provides 55%-65% of the total amount to be restored. After 2007, the annual dollar increments are progressively smaller for of the remaining offset. In years 6 (2009) or 7 (2010), depending upon the disability rating and the dollar amounts involved approximately 90%-95% of the total amount to be restored is realized. The remaining 5%-10% is restored over the remaining 4 or 5 years. Regardless of the percentage disability and the dollar amounts involved, in 2014, the annual increment restored will be less than $1.00 (per the original 2004 schedule the amount restored for 100% disability would have been $0.67/month). It would seem more cost effective to the Government to eliminate the last several years over which 5%-10% of the total amount will be restored. The 2005 NDAA recognized this fact by eliminating the last 3 years and 3 months from the phase in of those Individual Unemployable (IU), when in 2009, they will be paid CRDP at the 100% level.
• Authorize combat-related special compensation (CRSC) pay to ANY military retiree who is entitled to retired pay and has a combat-related disability. Currently, a retiree must meet those requirements and also have completed at least 20 years of retirement-creditable military service. HR 1366 would provide a special compensation rule for the 188,000 medical disability retirees retired under Chapter 61 with less than 20 years of service. Unfortunately, as written HR 1366 would exclude Reservists with at least 15 retirement years who are given constructive credit for 20 years for retirement because of their disability (10 USC Sec 12731b), This is correctable if enough vets convince their legislators of the need to include them.
• Grant relief to 375,000 retired military career veterans who are at least age 70 and who have paid premiums for at least 30 years from the overpayment of military survivors' benefits premiums. The original legislation that fixed the "paid in full" status for SBP premiums for those will be effective 1 OCT 08. This means that those who enrolled at first opportunity will have made 432 payments or 72 payments (20%) excess to that required by current law (save for the tardy effective date). H.R.968 would amend title 10 US Code Section 1452(j) to change the effective date for a fully paid up military survivor's benefit annuity from 1 OCT 08 to 1 OCT 05.
• Grant relief to 55,000 widows of retired military career veterans from the "VA Widow's Tax" where the survivor's benefits purchased by their deceased spouses are offset $1 for $1 received from VA DIC (Dependents Indemnification Compensation). The 2004 NDAA repealed the military SBP Social Security Offset at age 62 in 5% increments over a 3.5 year phase-in beginning April 2004 but did nothing for the survivors (victims) of the VA DIC offset. During the joint deliberations for the 2006 NDAA the Senate included Senator Nelson's amendment which would have permitted widow relief from this tax. However, this amendment was specifically rejected by the House and was deleted from the legislation which was signed into law on January 6, 2006, as PL 109-163. If ultimately approved S.185 would prohibit the payment of retroactive benefits and recovery of military retired pay amounts previously refunded to SBP participants.
• Grant 20,000 retired military career veterans rated IU (Individually Unemployable) presently denied 100% benefit under CRDP until 2009.

If you are concerned about these issues you should communicate with your congressmen regarding them at http://www.house.gov/writerep/

[Source: USDR Legislative Alerts 2, 13, 16 & 18 Jan 06 ++]

Credit Card APR: At the end of 2000, U.S. households were accruing interest on $574 billion of revolving credit card debt, or debt carried over to the next month rather than paid off entirely. The average household with a credit card balance carried revolving debt of nearly $10,000. A household making the minimum payments (commonly only 2% of the unpaid balance or $20, whichever is greater) on this debt would pay nearly $1,500 in interest just in the first year. Nationally, consumers pay interest of more than $87 billion annually on this revolving debt. Cardholders paying only the minimum balance accumulate interest on top of interest. An estimated 55-60% of Americans carry credit card balances. One recent study found that nearly half of those with balances made just the minimum payment in FEB 02 which equates to about one out of four U.S. cardholders making only the minimum payments. In the same month, about 37% of Americans who could not pay off their balances paid less than half their outstanding balance, and only 13% of consumers with an outstanding balance could afford to pay more than half the balance.

While American consumers accumulate more debt, the credit card industry's profits rose from $7.3 billion to $20 billion between 1995 and 1999. In 2000, fee income accounted for 25% of credit card companies' total income increasing from $8.3 billion to $21.4 billion between 1995 and 1999. When the Federal Reserve reduced the MAY 00 prime rate from 9.5% to 4.75% in DEC 01 the industry did not reduce theirs. Average credit card rates remained at or around a 14% annual percentage rate (APR). Numerous variable rate credit cards (cards with APRs that fluctuate with the prime rate) companies now have invoked "floor rates." Since early 2001, many of these companies have refused to reduce their APRs as the prime rate fell, arguing that their contractual floors have been reached.

A 1998 Federal Reserve survey of 2,000 credit cardholders found that 81% felt their APR was too high. In JAN 02, state Public Interest Research Groups (PIRGs) conducted a survey to show one simple action consumers can take to lower their credit card interest rates and save themselves hundreds or even thousands of dollars. Volunteers participating in the survey called their credit card company and asked for a lower APR. The results from a national spot survey of 50 consumers were the following:

• With one 5-minute phone call, 56% of consumers who called their credit card company lowered their APRs.
• Those who were successful reduced their APRs by an average of more than one-third, from an average of 16% to an average of 10.47%.
• Three consumers were able to reduce their APRs by 15 points.

The survey results also showed a correlation between the cardholder's credit history and the likelihood of receiving a reduction in the APR. Factors affecting the caller's success rate were:

• Length of time with a particular card (longer is better)
• Credit limit on that card (a higher limit is better)
• Unpaid balance-to-limit ratio on that card - how "maxed out" the cardholder is (a lower balance, making a lower ratio, is better)
• Unpaid balance-to-limit ratio on all cards (a lower balance is better)
• Number of times an individual missed or paid late on a loan or a card other than the one for which they were calling (fewer is better)

Consumers experiencing high APRs might consider making calls to see if they also can save money by obtaining lower APRs. Anyone interested in obtaining email updates on what is being done about the credit card industry's high interest/fee charges can subscribe at http://www.truthaboutcredit.org.

[Source: C-SPAN interview 7 JAN 05 & http://www.truthaboutcredit.org]

Reserve Educational Program: The Department of Veterans Affairs recently announced that they have begun processing claims for a new education benefit for Activated Guard/Reservists that was signed into law on 28 OCT 04. The new benefit (Chapter 1607) made certain individuals who were activated after 911 either eligible for education benefits or eligible for increased benefits under REAP. It provides certain Activated Reservists over $28,000 of GI Bill benefits. Retroactive REAP benefits are potentially payable to servicemembers who were activated for 90 or more days since 11 SEP 01. The full time rate effective1 OCT 04 for Reserve Members on Active Duty is:

• 90 days but less than one year $413.60
• One year but less than two years $620.40
• Two years or more $827.20

Reduced rates apply for correspondence, flight, apprenticeship/OJT and licensing and certification training. If your training was before 1 OCT 04, your monthly rate will be a percentage of the Active Duty GI Bill (3- Year Rate) in effect at the time of your training.

Each military service, Department of Defense, and Department of Homeland Security (Coast Guard) will determine eligibility. A member of a reserve component who serves on active duty on or after 911 under title 10 U.S. Code for a contingency operation and who serves at least 90 consecutive days or more is eligible for chapter 1607. National Guard members also are eligible if their active duty is under section 502(f), title 32 U.S.C. and they serve for 90 consecutive days when authorized by the President or Secretary of Defense for a national emergency and is supported by federal funds. Individuals are eligible as soon as they reach the 90-day point whether or not they are currently on active duty. DoD will fully identify combat zone operations that qualify for benefits under chapter 1607. Disabled members who are injured or have an illness or disease incurred or aggravated in the line of duty and are released from active duty before completing 90 consecutive days are also eligible. You can start the application process by filling out and following the instructions on VA form 22-1990 Application for Education Benefits which can be downloaded here. For information on how to apply for GI Bill benefits refer here.

[Source: Military.com newsletter JAN 05]

Scholarships for Spouses: The National Military Family Association's (NMFA) Joanne Holbrook Patton Military Spouse Scholarships are awarded to spouses of Uniformed Services members (active duty, National Guard and Reserve, retirees, and survivors) to obtain professional certification or to attend post secondary or graduate school. Scholarships are normally in the amount of $1,000.00, and the number awarded each year varies depending on funding. Scholarship funds may be used for tuition, fees, books, and school room and board. Scholarship selection is based on your completion of some survey questions that will help NMFA advocate for education changes on your behalf, short-answer questions, and an essay question that will help them get to know you better. To be considered, your application must be completed by midnight 15 APR 06. Applications should be submitted to: National Military Family Association, Inc., 2500 North Van Dorn St., Suite 102, Alexandria, VA 22302-1601. For additional guidance contact This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or call (703) 931- 6632 / 1(800) 260-0218.

[Source: NMFA Newsletter 18 Jan 06]

Tricare Prime Allotment Update 01: Retirees can now pay their TRICARE Prime enrollment fees through a monthly allotment from their retired pay. Retired pay allotments may be deducted from one of the following pay agencies: Defense Financial Accounting System (DFAS), U.S. Coast Guard, or U.S. Public Health Service. The allotment will be withdrawn electronically from your retired pay in increments of $38.33 for family coverage or $19.17 per individual coverage per month. Allotments are effective the first month following the quarterly payment. Allotments only can be deducted from specific pay agencies. Beneficiaries who receive survivor benefits from either retired or active duty sponsors are paid through a separate pay account and are not eligible for setting up an enrollment fee allotment. Former spouses, as well as retirees who choose to receive VA payments instead of retired pay, also are not eligible to pay by monthly allotment.

[Source: MOAA News Exchange 18 Jan 06]

Wheelchair Fishing Boat: MacDill AFB Marina in Tampa Florida has available a pontoon fishing boat modified for Veterans who use wheelchairs. Vets and their families have free use of the boat as long as they pay for the gas. The 24 foot 'Miss Beverly' is equipped with a wheelchair ramp, a 75 HP Mercury outboard motor and additional safety features for mobility-impaired individuals. Volunteers are available to meet and greet and escort users through the MacDill Entry Gate and pilot the boat. For boat reservations, call the Marina at: (813) 828-4983. For a list of volunteers and their phone numbers, call the Paralyzed Veterans of America (PVA), Florida Gulf Coast Chapter in Tampa at: (813) 935-6540. This boat was donated to MacDill by the PVA. MacDill maintains the boat and allows veterans and active duty personnel to use the boat, free of charge. The only criteria for free use is that one or more members of the boating party MUST have a mobility impairment, i.e., must be a wheelchair-user.

[Source: eFloridaVetsNews16 Jan 06]

Army Enlistment Age: The U.S. Army, which missed its fiscal 2005 recruiting goal, said 18 JAN 6 it has raised the maximum enlistment age for new soldiers by five years to age 39. Army officials said the move did not reflect desperation to reverse recruiting shortfalls, noting the Army had achieved seven straight monthly recruiting goals despite coming up 7,000 short of last year's target of 80,000 recruits. Older recruits must meet the same physical standards as the younger ones and attend the same basic training. The new age ceiling applies to recruits without prior military service. The Army, offering new financial incentives to recruits, also doubled the maximum combination of cash enlistment bonuses, up to $40,000 for the regular Army and up to $20,000 for the Army Reserve. The part-time Army Reserve and Army National Guard increased their maximum enlistment ages by the same amount in MR 05 in an action not requiring congressional approval. For the regular Army, Congress authorized an increase in the maximum enlistment age up to age 42, but the Army opted to allow enlistment by those under age 40.

[Source: Reuters Alert News 18 Jan 06]

Tricare Tax Free Premiums Update 02: Active federal employees have had the benefit of pre-tax payment of TRICARE-related health and dental premiums since 2000. Sen. John Warner (R-VA) and Rep. Tom Davis (R-VA) have introduced legislation to accomplish this for the military community. Both bills would allow TRICARE dental premiums to be deducted from active duty pay on a pre-tax basis and allow similar deductions from retired pay for TRICARE Prime enrollment fees and the TRICARE retiree dental premiums. Federal civilian retirees could have FEHBP premiums deducted from retired pay. The bills also would allow a tax deduction for TRICARE supplemental insurance premiums.

So far, S. 484 has 54 Senate cosponsors, and H.R. 994 has 290 in the House [up from 49 & 275 in NOV 05]. Both bills remain stuck in the Senate Finance Committee and the House Ways and Means Committee, respectively, despite having a majority of cosponsors in each chamber. Increasing co-sponsor support and pushing for full Committee action and a floor vote in both chambers is needed to move this issue forward. Readers can assist in doing this by urging their legislators to cosponsor the bills. Under "Health Care Issues" at http://capwiz.com/moaa/issues/bills/ can be found links to these bills. By entering your zip code you can send a MOAA-suggested message to your legislator. Those who are already cosponsors will receive "thank you" messages that urge them to keep pressing for passage of the legislation.

[Source: MOAA Update 27 Jan 06 ++]

VDBC Update 02: The purpose of the Veterans' Disability Benefits Commission VDBC) is to carry out a study of the benefits under the laws of the United States that are provided to compensate and assist veterans and their survivors for disabilities and deaths attributable to military service, and to produce a report on the study. The Commission members are appointed by the President and leaders of Congress, and the Commission is independent of the Department of Veterans Affairs and the Department of Defense. They can be contacted at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or (202) 756-7729/0229 Fax or by writing the Commission's Executive Director at 1101 Pennsylvania Ave NW, 5th Floor, Washington, DC 20004.

The Commission made public its anticipated field-hearing schedule on January 20th. The first city to be visited will be Tampa/St Petersburg, Florida on 15 -16 FEB 06 and will include participation by the entire commission. The Commission plans two sessions that will be open to the public. A town hall meeting at the Hilton Hotel scheduled the evening of the 15th from 1900 to 2100. The public meeting is scheduled for the 16th from 0845 to 1645. If you would like to make a formal presentation to the commission on the 16th, send your request to the Commission Chairman: James Terry Scott, LTG, USA (Ret) at the aforementioned address.

The Commission then plans to visit one city per month over the next eight months. At each of their stops, commissioners will meet with VA representatives, military treatment facility personnel, and interested veterans. The schedule includes visits to San Antonio (March) followed by Chicago (April), St. Louis (May), San Diego (June), Seattle (July), Boston (August), and Atlanta (September). Interested veterans, retirees, survivors, and currently serving members are encouraged to attend and be heard. Additional information on the Disability Commission and upcoming field hearings can be found at http://www.vetscommission.org/index.htm.

[Source: MOAA Update 27 Jan 06 ++]