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COLA in the Hole The March Consumer Price Index of 231.05 increased 0.7 percent compared to February’s 229.42. It remains 1.4 percent below the FY 2014 COLA baseline. Fol- low the trends at www
.moaa.org/colawatch.
of servicemembers surveyed said they received financial information from their command or installation. The proposal also stops government con- tributions for those who serve more than 20 years of service. For those who choose to stay on past the 20-year mark, the lifetime loss in retirement value could be dramatic. House Armed Services Committee per- sonnel subcommittee Chair Rep. Joe Heck (R-Nev.) echoed MOAA’s concerns. “As Colonel Hayden pointed out, when you re- tire at 20, the amount that you are going to get paid from year 20 until you’ve reached full retirement age is going to be less than you otherwise would get — in some cases, significantly less.” Panelists also offered differing views on the MCRMC’s health care proposals. The MCRMC proposes privatizing TRI-
CARE. Family members and retirees would be moved into a health care system similar to one used by federal civilians. Active duty personnel would continue to receive care on base and would receive a health care al- lowance to pay for family plans. While some of the groups testifying
were receptive to the idea of increased ac- cess and choice, the MCRMC’s proposal envisions retirees and family members pay- ing four times more in health care costs. Moving beneficiaries into a civilian-
style health plan is detrimental to military medical readiness. In separate testimony earlier that day, Army Surgeon General Lt. Gen. Patricia Horoho said, “Any radical departure from our combat- tested system would degrade readiness in an environment where our next de- ployment could be tomorrow.” Servicemembers shouldn’t have to worry whether they’ve selected the appropriate health care coverage. They’re not in a posi- tion to absorb the risk of a plan not working. Instead of dismantling TRICARE, MOAA thinks the appropriate way for-
32 MILITARY OFFICER JUNE 2015
ward is to create a unified medical com- mand, which will save money without negatively affecting beneficiaries. “Without a unified budget or oversight
authority,” Hayden said, “TRICARE will remain stove-piped and suboptimized.” The MCRMC and MOAA both seek the same objective: to provide the pay and benefits needed to sustain the all-volunteer force more effectively and efficiently. Changes this drastic, however, demand
a measured approach to ensure the right strategy-based decisions are made for the right reasons, and MOAA appreciates the opportunity to provide analysis.
Medical Leaders
Sound Off Surgeons general rebuke proposed health care changes.
I
n testimony before the Senate Ap- propriations Committee March 25, the military’s top medical officials said
recommendations to privatize TRICARE would negatively affect military readiness. One of the recommendations of the Military Compensation and Retirement Modernization Commission (MCRMC) is to eliminate TRICARE for military families and working-age retirees. TRICARE would be replaced with a selection of commercial insurance plans similar to those available for federal civilian employees. Army Surgeon General Lt. Gen. Patricia
Horoho said, “Our hospitals are our health readiness platforms, [and] this crucial link to readiness sets us apart from the civil- ian health system.” Horoho emphasized comparisons between military medicine and civilian health programs represent some of the “biggest threats to the sys- tem” because of their drastically differ- ent purposes.
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