washingtonscene
Obama Plan
lower VA disability ratings. The 10-year cost
of the expansion is estimated at $5.8 billion.
Unveiled
This new initiative represents a 180-de-
gree turnabout from the positions of all
All medical retirees would
previous administrations, regardless of
party affi liation.
be eligible for CRDP.
MOAA hopes this signals a potential
willingness to go the fi nal mile in the fu-
M
ore details surfaced in May ture to cover all disabled retirees.
regarding the administration’s
proposal to expand concurrent
receipt to servicemembers who were HAP Rules
medically retired (sometimes referred to
Reassigned, wounded get
as Chapter 61 retirees).
Under the administration’s proposal, all
mortgage help.
Chapter 61 retirees will become eligible
for concurrent retirement and disability
pay (CRDP) over a fi ve-year period start-
ing in January 2010. The expansion will I
n May, the Pentagon announced Ho-
meowner Assistance Program (HAP)
guidelines on fi nancial relief for
come in two phases. military and federal civilians, wounded
The fi rst three years of the fi ve-year warriors, and certain survivors who are
phase-in will open CRDP eligibility to the relocating and facing signifi cant fi nancial
more severely disabled Chapter 61 retirees losses by selling their homes.
with less than 20 years of service. The HAP temporarily has been ex-
Jan. 1, 2010 — Chapter 61 retirees with panded to assist homeowners relocating
less than 20 years of service and a VA rat- on federal orders during the major down-
ing of either 90 percent or 100 percent turn in the housing market. It provides
become eligible. eligible military and DoD civilians partial
Jan. 1, 2011 — Chapter 61 retirees with reimbursement for losses on the sale of a
less than 20 years of service and a VA primary residence.
rating of either 70 percent or 80 percent Under new rules, the HAP provides
become eligible. benefi ts in the following priority order:
Jan. 1, 2012 — Chapter 61 retirees with ■ wounded servicemembers relocating for
less than 20 years of service and a VA treatment or medical retirement as well as
rating of either 50 percent or 60 percent survivors of those who have died while on
become eligible. deployment;
The remaining two years of this phase- ■ military and DoD civilians affected by
in will extend CRDP to Chapter 61 retir- the 2005 base realignment and closure
ees, regardless of years of service, with a (BRAC) round (under a special temporary
VA rating of less than 50 percent. exemption, there’s no requirement to
Jan. 1, 2013 — All Chapter 61 retirees demonstrate that BRAC caused the local
with a VA rating of either 30 percent or housing market decline); and
40 percent will become eligible. ■ military and DoD civilians who suffer
Jan. 1, 2014 — All Chapter 61 retirees home losses as a result of permanent-
with any VA rating become eligible. change-of-station (PCS) moves, on a
Once this plan is completed, the only temporary basis.
disabled retirees ineligible for CRDP will Coverage is retroactive for PCS moves
be nonmedical retirees with 40-percent or from July 1, 2006, through Dec. 31, 2009,
30 MILITARY OFFICER JULY 2009
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