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Retired Activities Office Bulletins

The following bulletins are furnished to ANA as important information to retirees by LT EMO Tichacek, USN (Ret) who is the Retired Activities Director in Baguio, P.I. and are used with his permission.  If you have questions about the articles, please direct them to the cited reference in the bulletin and NOT to ANA or LT Tichacek.

15 Jun 04
CRDP Update 26 (a.k.a. Disabled Veterans Tax)
CRSC Update 20
Tricare Retail Pharmacy Program (TRRx)
TRRx Update 01
TRRx Update 02
Korean Defense Service Medal (KDSM) Update 02
Reservist Health Benefit Update 04
Cell Phone Deactivation if Stolen
Afghanistan & Iraq Medals
U.S. & Japan Social Security Agreement Signed
Air Force New Unit Medals
Congressional Salaries & Benefits
Space-A Head Tax Increase
Politics As Usual (Bush)
Airline Baggage Inspection
Legislation of Interest Update 02

CRDP Update 26 (a.k.a. Disabled Veterans Tax): According to DFAS officials, civil service retirees who combined their military time with their civil service time in order to qualify for a civil service retirement are not eligible for Concurrent Retirement & Disability Pay (CRDP). On the other hand, those who combined their military time with their civil service time in order to enhance their civil service retirements may be eligible for CRDP. Officials point out that those who are eligible will have to coordinate with the Office of Personnel Management to reverse the waiver of retired pay. If reversed, the retired member may incur a debt to the government resulting from an overpayment. The CRDP law applies to retirees who have a VA-rated, service-connected disability of 50 percent or more. Individuals who retired for disability rather than under the regular retirement law must have at  least 20 years of service. For additional info refer to  http://www.dfas.mil/money/retired/cdpfaq.htm
     Senator Harry Reid D (NV) has offered Legislation to CRDP. The Reid amendment (S.Amdt. 3175) to the Senate version of the National Defense Authorization Act for 2005 would repeal phase-in of concurrent receipt of retired pay and veterans' disability compensation for veterans with service connected disabilities rated as total. This would eliminate the 10 year phase in of CRDP for the 100% Disabled, bringing these individuals to 100% full concurrent receipt of VA disability pay and military retired pay in FY 2005. While the original format of the proposed amendment included broadening CRDP to include the 40% disabled and the Chapter 61 Medical Retirees, it is anticipated that the elimination of the phase for the 100% Disabled will probably be the only one to carry forward into the Senate NDAA.
[Source: Armed Forces News Issue & NAUS Leg Up 11 JUN 04]

CRSC Update 20: On the new CRSC form DD Form 2860 Test (V3), Apr 2004 states for Naval applicants to mail their application to: Naval Council of Personnel Boards, Combat Related Special Compensation Branch, 1111 Old Jefferson Davis Highway, Suite 703, Arlington, VA 22202-4357.

     This has changed. One reason may be that the Post Office that serves the Navy Yard is the one that was closed for anthrax after one of the Postal employees died. Some applicants have encountered problems in the U.S. Postal system's automatic forwarding system resulting in their applications being returned annotated "RETURN TO SENDER, NOT DELIVERABLE AS ADDRESSED, UNABLE TO FORWARD" . That office has moved and all applications submitted by Naval personnel should be mailed to:

     Department Of The Navy
     Naval Council Of Personnel Boards
     Combat Related Special Compensation Branch
     720 Kennon Street SE Suite 309
     Washington Navy Yard, DC 20374-5023

     The Navy office in question has a toll-free phone number 1-877-366-2772 if you want to verify your application status.
[Source: American Legion Post 1 (Sintra, Portugal) msg. 5 JUN 04]

Tricare Retail Pharmacy Program (TRRx): On June 1, 2004, the new TRICARE Retail Pharmacy (TRRx) contract took effect for TRICARE beneficiaries located in the 50 United States, the District of Columbia, Puerto Rico, the U.S. Virgin Islands and Guam. The contract, awarded last year to Express Scripts Inc. of Maryland Heights, Mo., has approximately 53,000 civilian pharmacies in the nationwide network that were previously managed by regional Tricare care support contractors to provide retail pharmacy services. Most beneficiaries should not notice the change in services with the new contract. To use the new retail pharmacy program, as with all other DoD health programs, beneficiaries must be eligible and enrolled in the Defense Enrollment Eligibility Reporting System or DEERS. The TRRx program has many new enhancements.

  * Pharmacy claims processing is now centralized and beneficiaries no longer have to mail pharmacy claims to multiple sites for processing or
call various telephone numbers to get assistance filling a prescription when using the retail network.

  * Patient safety has also been enhanced by use of the Pharmacy Data Transaction Service to process all pharmacy claims, including paper claims.

  * For a single co-payment of $3 for generic or $9 for a brand-name prescription, eligible TRRx beneficiaries may continue to receive a 30-day
supply of their prescription medication from the new network of retail pharmacies. To use this benefit, a written pharmacy prescription and a
uniformed services identification card are required.

  * TRICARE beneficiaries who used a retail pharmacy last year will receive, by mail, a pharmacy identification card, a TRRx benefit guide and
a letter listing the twelve network pharmacies close to their home.

  * The TRRx benefit is now portable. Beneficiaries traveling outside of their designated TRICARE region who need to fill a prescription are no
longer required to pay the full prescription price, or file a TRICARE claim to get reimbursed for their out-of-pocket expenses when they use a TRICARE retail network pharmacy. Pharmacy co-payments are the same in every location where the TRRx is available.

     To locate a network pharmacy, beneficiaries may use the TRICARE pharmacy locator service available on the Express Scripts Web site at  
http://www.express-scripts.com/tricare  or call (866) 363-8779 (i.e. use the letters on the telephone keypad to spell (866) "DoD-TRRx.). For eligible beneficiaries with other health insurance (OHI), Tricare pays after all other insurance plans have paid. To use Tricare as the secondary payer or to obtain reimbursement for their out-of pocket pharmacy expenses, beneficiaries will need to submit a Tricare claim form (DD Form 2642) and a receipt for their prescription medication to Express Scripts for processing. If the medication under the beneficiary's OHI is not a covered benefit or if the beneficiary's prescription coverage has ended for the year, TRICARE will pay as the primary insurance payer. The TRRx benefit is not available for beneficiaries who reside or travel outside the U.S. or its territories. These beneficiaries are encouraged to use a military treatment facility, if available, or the Tricare Mail Order Pharmacy program to fill their prescription medications. Express Scripts can mail prescription medications to any U.S. postal address or to an APO/FPO address. However, Express Scripts cannot send prescriptions to a private, foreign address. Providers who are licensed to practice in the United States must prescribe prescriptions mailed to beneficiaries in overseas locations.
     A downloadable Tricare claim form is available on the Express Scripts Web site at  http://www.express-scripts.com/tricare or on the Tricare Web site at  http://www.tricare.osd.mil/claims  Pharmacy claims filed with Express Scripts should be mailed to: Express Scripts, P. O. Box 66518, St. Louis, Mo., 63166-6518. Beneficiaries residing in overseas locations, other than Puerto Rico, Guam and the U.S. Virgin Island, do not have access to TRICARE retail pharmacy networks. Therefore, they must pay for their prescription medications up front and submit a claim with Tricare overseas claims processor to be reimbursed. For reimbursement rates or assistance processing a non-network overseas retail pharmacy claim, beneficiaries may contact the overseas TRICARE Service Center at  http://www.tricare.osd.mil/overseas/index.cfm 

[Source: NAUS Update 4 JUN 04]

TRRx Update 01: As with all new programs TRRx experienced some transitional problems upon activation. Computer and telephone glitches are being experienced resulting in pharmacies not being able to verify beneficiary eligibility. As a result claim processing is being delayed and
some beneficiaries are being asked to pay up front and re-file claims later. System improvements continue daily and system errors and "time-outs" within the communications infrastructure are being resolved. If you have experienced TRRx problems in the last few days, you might want to check back with your local pharmacy to see if they are now able to process your TRICARE prescription. In the meantime, here are some things beneficiaries need to know:

  * The Express Scripts Inc (ESI) 24/7 customer service phone line (866) 363-8779 was inundated with calls as a result of the computer glitch.
The phones are working, but high call volume has caused delays.

  * If your pharmacist experiences difficulties processing your TRICARE pharmacy claim, he or she should contact the ESI Tricare Help Desk at (866) 684-4466.

  * There has been some confusion about documentation under the new program. Your uniformed services ID card is the only documentation you need to take with you to the pharmacy. Earlier this year, each household registered in DEERS should have received a Tricare retail pharmacy ID card in the mail. Although this card is not "required," the information on the card can help your pharmacist send your claims to ESI. At the following web site you can get additional cards, but you will have to already be a member or register to become a member.
http://member.express-scripts.com/dodCustom/welcome.do  

  * Beneficiaries who experience difficulty with their prescriptions during this initial period may contact the Tricare Retail Pharmacy (TRRx)
Customer Service Center at (866) 363-8779. For those who purchased their medications at full price, they may file a paper claim (DD Form 2642,
available on the Tricare Website:  http://www.tricare.osd.mil/ Send it to: Express Scripts, PO Box 66518, St. Louis, Mo. 63166-6518

  * System improvements continue daily. The Tricare Management Activity will provide updates on its  http://www.tricare.osd.mil website  on
a 72-hour basis until fully resolved.

[Source: MOAA's Leg Up 04 JUN 04 & DoD News Release No. 565-04 dtd 10 JUN 04]

TRRx Update 02: One of the most problematic issues in the Defense Department's (DoD) pharmacy program has been the policy requirement to substitute generic drugs for brand-name pharmaceuticals whenever a generic version exists. Generic substitution is a normal cost-control policy that is a key element of almost all pharmacy plans. If the generic doesn't work for the patient, causes adverse side effects, or certain other
circumstances exist, the beneficiary's doctor can assert that there is a medical necessity to prescribe the brand-name drug. If DoD approves the
medical necessity determination, the beneficiary can get the brand-name drug for the normal $9 copay. The problem got worse with the implementation of the new pharmacy contract on June 1, when DoD, without any prior notification or discussion with beneficiary groups, arbitrarily voided all previous medical necessity rulings including those for refills of prior approved brand-name drugs. DoD does not make it easy to get a medical necessity determination. It requires the doctor to call a specific Tricare phone number and justify the decision to Tricare pharmacy contractors. Unfortunately, DoD has not made that number widely available, and frustrated doctors sometimes find themselves having to make several calls. Meanwhile, beneficiaries often have to make another appointment with their doctor (and pay another copay) to discuss the generic vs. brand-name issues and ask the doctor to make the "medical necessity" call, if appropriate. Providers often charge an extra fee (up to $100 in some cases) for these administrative efforts.
    DoD has acknowledged the no notice inequity and has initiated both short and long-term fixes. By next week, the computer systems will be updated to override the "generic substitute" rejection for any brand-name drug that has been dispensed to the beneficiary within the last 6 months. This grandfathering will be good for 120 days, to allow affected beneficiaries time to renew the medical necessity determination. For the longer term (in two to three months), DoD will send individual notifications to the affected beneficiaries, providing them information on the medical necessity determination process. In the interim, to obtain a brand named prescription that has a generic equivalent:

  * The doctor must provide the specific reason why he believes you need the brand-name medication instead of the generic (i.e., generic
medication has proven ineffective; the patient previously experienced adverse reaction to the generic; the patient has been successfully treated
on the brand-named medication and is stable, etc.). Beneficiaries and providers should be aware that merely writing a note on the prescription is
NOT sufficient to successfully process the prescription.

  * Your doctor must provide the beneficiary's name, date of birth, sponsor's Social Security Number, and home address.

  * Your doctor can call ESI at 866-684-4488 to get an immediate decision, or the information can be faxed to (866) 684-4477 for a decision
within 24 to 48 hours.

  * If the medical-necessity request is denied, you have the right to an appeal. Call (866) 363-8779 to inquire about the reason for the denial
and find out how to file the appeal.

[Source: MOAA's Leg Up 10 JUN 04]

Korean Defense Service Medal (KDSM) Update 02 Personnel seeking verification of their eligibility from the National Personnel Records Center (NPRC) to receive the Korean Defense Service Medal (KDSM) could be in for long delays and possibly disappointment taking into consideration the following:

  * Generally the tour of duty in Korea was for one year and the bulk of the personnel were Army. Considering 40,000 soldiers stationed there
each year for 50 years means about 2 million are eligible for this medal. A typical request rate would be between 10 and 30 % of those eligible, so
200,000 to 600,000 requests are projected.

  * Many of these people are no longer serving on active duty so the National Personnel Records Center will be the agency that must verify
eligibility for this medal.

  * The implementing instructions do not list specific source documents to verify eligibility thus records must be screened for evidence to meet
eligibility requirements. While records may contain assignment orders many of these orders do not specify Korea. Instead they list something like, APO SF CAL 96012 or FPO 92109. Both would indicate an assignment in the Pacific area but a list of APO/FPO zip code locations inclusive of which years they applied would be required to establish in country assignment. NPRC doe not have this list.

  * A personnel record does not contain documentation of participation as a regularly assigned air crewmember flying sorties into, out of, within,
or over the area of eligibility in support of military operations. Each day that one or more sorties are flown counts as one day toward the 30 or
60-day requirement; so verification of this requirement will be very difficult, if not impossible.

  * NPRC does not have a listing of ships that were within 12 miles of Korea and the dates, so verification for Navy personnel based on the
personnel records will be difficult. Generally, the Navy Liaison office in St. Louis will process requests for awards from former U.S. Navy, U.S.
Marine Corps., and U.S. Coast Guard personnel. That office may have ship location information.

  * Being on TDY in Korea may not meet the award criteria. TDY does not generally mean assigned, attached, or mobilized to a unit. Even if TDY is accepted as the basis for this award it will be almost impossible to verify from the personnel records because TDY orders are generally not permanent personnel documents.

  * Although verification of assignment may be possible through screening of finance records, these are not available at NPRC.

     In view of the above it is suggested that if the veteran or retiree has any supporting documentation of their time in Korea, that it be included with the request. Only one or two documents would be sufficient. Submitting more is redundant and discouraged.

[Source: NPRC E-mail 07 Jun 2004]

Reservist Health Benefit Update 04: The Senate voted in favor (70-25) of the Daschle (D-SD)/Graham (R-SC) amendment (S. Amdt 3258) to the FY05 NDAA (S. 2400) to increase federally funded health care benefits for military reservists. The measure would give members of the National Guard and Reserve access to TRICARE even when they are not on active duty. Unlike the one-year authority approved last year, the Graham-Daschle amendment would make this provision a part of permanent law. The House version of the defense bill includes authority only for a three-year test of providing premium-based TRICARE for members of the Selected Reserve who don't have access to employer-provided health coverage. Last year, the GAO reported that about 20% of the reserve forces had no health insurance coverage. That means ~174,000 of the 870,000 members of the Selected Reserve--those who routinely train--have no health benefits. Later this summer, Armed Services
Committee leaders will have to resolve differences between the House- and Senate-passed provisions in this area.
     Currently, reservists have TRICARE coverage only while on active duty and for a limited period thereafter. Reservists and their families who are facing long deployments and loss of civilian salaries carried the lobbying effort. Under the amendment, reservists would pay about 28 percent of the TRICARE premium and the government would pay the balance. A National Guard or Reserve soldier could expect to pay an annual premium of about $530 for individual coverage or $1860 for family coverage. Reserve servicemembers with employer-based health coverage could elect to continue that coverage, with the government paying part or all of the premium for that coverage during periods when the member is mobilized. DoD policy now calls for the routine activation of National Guard and Reserve units at least once every five or six years over the course of a reserve career. Most reservists never expected to serve four or more years on active duty over a twenty-year career. Some have served three or four tours already since Gulf War I. The measure was not unopposed, primarily because of the cost ($14.2 billion over the next 10 years) of permanent reserve entitlement.  [Source: NAUS & MOAA Updates for 4 JUN 04]

Cell Phone Deactivation if Stolen: Cell phone owners should be aware of how to deactivate their mobile phone if lost or stolen. This will not get the phone back but it will deny its use to whoever absconded with it and/or make it worthless to whomever they sold it. To accomplish this you need to make a record of your mobile phone's International Mobile Equipment Identification (IMEI) number before it is lost/stolen and put it somewhere where you can locate it if needed. You can locate this number by one of the following:

     a. Enter into your unit the code *#06# and the 15 digit number will be displayed, or
     b. Look for it on the printed compliance plate under the battery, or
     c. It will be printed on the box in which the unit came.

     With the IMEI your lost/stolen mobile unit can be deactivated using a free service provided by your country's National Telecommunication Commission (NTC) or equivalent government agency. Look in the phone book under government agencies to find their number/location. They will notify the cell service companies in your country (i.e Globe, Smart, & Sun Cellular in RP) who have the ability to block any calls from that unit. Once a phone is blocked it cannot be used anymore even if the Subscriber Identity Module (SIM card) is replaced. The entire process will take 3 to 6 weeks. In the Philippines the NTC will require you to:

  * Complete an "Affidavit of Ownership and Loss with Undertaking" form available at the NTC. On the form you will be required to enter your name & Address plus the Make/Model of stolen/lost unit and its IMEI.

  * Show proof of ownership. This can be a receipt, owner's certificate, or the box it came in on which the IMEI number is printed.

  * In the absence of proof of ownership a police report which contains the IMEI number in the report.

  * A copy of your Passport or Drivers license. If not available, copies of two other ID's such as company/school ID, TIN/SSS/GSIS ID, or
Postal ID.

  * Sign the form and have your signature notarized.

     An alternative way of reporting (blocking) lost/stolen cell phones in the Philippines is through their Project Text 682. You can register your phone and its IMEI annually using your cell phone to do so. Check with your phone service provider on how to do this.
[Source: NTC Philippines JUN 04]

Afghanistan & Iraq Medals: The Senate voted 98-0 for a bill H.R. 3104 that the House passed on 30 March (423-0) to authorize separate medals for participation in Operation Iraqi Freedom and Operation Enduring Freedom. The President signed it into Public Law 108-234 on 28 May 2004 even though his Administration was on record as advocating a single medal for service in the "Global War on Terrorism." . Members of the armed forces who participate in Operation Iraqi Freedom and Operation Enduring Freedom are now eligible to receive these medals.
[Source: NAUS Update 21 May & 4 June 04]

U.S. & Japan Social Security Agreement Signed: The United States and Japan have signed an agreement that will remove a double taxation burden for workers in both countries. U.S. citizens working for American companies in Japan will not have to pay social security taxes to both countries, and the same will be true for Japanese citizens working for Japanese companies in the U.S.. The agreement makes it possible for people to qualify for Social Security benefits based on combined credits from both countries. The U.S. Congress and the Japanese Diet must approve the agreement before it takes effect. The U.S. has similar social security agreements with 20 other countries, including Australia, Canada, Chile, South Korea, and nearly every country in Western Europe. Additional information on this agreement can be found at  
http://www.socialsecurity.gov/pressoffice/factsheets/US-Japan.htm  [Source: SSA E-news MAY 04]

Air Force New Unit Medals: The Air Force is designing new medals to recognize units for outstanding heroism in combat and for achievement or service in direct support of combat operations. The Gallant Unit Citation and the Meritorious Unit Award can be awarded to Air Force active-duty, Reserve and Guard units for actions or service while directly supporting combat operations. The Gallant Unit Citation will be awarded to units for extraordinary heroism in action against an armed enemy of the United States. The action must be while engaged in military operations involving conflict with an opposing foreign force on or after Sept. 11, 2001. The Meritorious Unit Award will be awarded to units for exceptionally
meritorious conduct in the performance of outstanding achievement service directly supporting combat operations for at least 90 continuous days. The military operations must be against an armed enemy of the United States on or after Sept. 11, 2001.
[Source: Armed Forces News 15 APR 04]

Congressional Salaries & Benefits: Congress is notorious for procrastination, and the tally of unfinished business on Capitol Hill is a
long one. But no one can accuse the legislative branch of dragging its heels when it comes to congressional pay. Appropriations bills may gather
dust, judicial nominations may languish, but members of Congress are johnny-on-the-spot when it comes to their own salaries. The most recent
raise is only the latest in an ongoing series: On Jan. 1, 2003, they took a raise of $4,700, on Jan. 1, 2002 $4,900, on Jan. 1, 2001 $3,800, on Jan. 1,
2000$4,600, on Jan. 1, 1998 $3,100. That comes to six raises totaling $24,500 since January 1998. The 2004 salaries and benefits follow:

     Salaries - President of the United States receives $400,000. Vice President and Speaker of the House receive $202,900. Cabinet Level Officials, the President Pro Tempore of the Senate, Majority and Minority Leaders of the Senate and House receive $175,600. Senators, Representatives, Resident Commissioner of Puerto Rico, Delegates, deputy secretaries of departments, secretaries of military departments and heads of major agencies receive $158,100 per year.

  * Members are free to turn down pay increase and some choose to do so.

  * Congressional pay rates also affect the salaries for federal judges and other senior government officials.

  * During the Constitutional Convention, Benjamin Franklin considered proposing that elected government officials not be paid for their service.
Other Founding Fathers, however, decided otherwise.

  * From 1789 to 1815, members of Congress received only a per diem (daily payment) of $6.00 while in session. Members began receiving an
annual salary in 1815, when they were paid $1,500 per year.

  * An annual Cost-of-living-adjustment (COLA) increases takes place unless Congress votes to not accept it.

  * The same rules of income from outside sources apply to both leadership and rank-and-file Members of Congress.

  * Salaries are subject to federal and, as required, state taxation.

  * Members may participate in the government-wide Thrift Savings Plan, which works like a federally managed 401(k) salary reduction plan. FERS participants are entitled to a government match of up to five percent of salary; CSRS participants may set aside part of their own salary, but they do not receive the match.

     Benefits - Members of Congress receive retirement and health benefits under the same plans available to other federal employees. They become vested after five years of full participation.

  * Health Benefits: Members elected since 1984 are covered by the Federal Employees' Retirement System - (FERS). The Civil Service Retirement System (CRSC) covers those elected prior to 1984. In 1984 all members were given the option of remaining with CSRS or switching to FERS.

  * Social Security: Public Law 98-21 required Social Security coverage for all federal employees, including Members of Congress, who
entered federal service after 1983. The law also required all incumbent Representatives and Senators to be covered by Social Security regardless of when they entered Congress. Like all other workers covered by Social Security, Members of Congress have Social Security taxes withheld from their paychecks. Members of Congress also are subject to the same benefit eligibility and payment formulas as other Social Security beneficiaries.

  * Retirement: As it is for all other federal employees, congressional retirement is funded through taxes and the participants' contributions.
Members of Congress under FERS contribute 1.3 percent of their salary into the FERS retirement plan and pay 6.2 percent of their salary in Social Security taxes. Members of Congress are not eligible for a pension until they reach the age of 50, but only if they've completed 20 years of service. Members are eligible at any age after completing 25 years of service or after they reach the age of 62. Also, Members of Congress have
to serve at least 5 years to even receive a pension. The amount of a Congressperson's pension depends on the years of service and the average of the highest three years of his or her salary. By law, the starting amount of a Member's retirement annuity may not exceed 80% of his or her final salary. Data compiled in 2003 showed 413 retired Members of Congress were receiving federal pensions based fully or in part on their congressional service. The average age of those retiring under CSRS was 75.5 and had at least 20 years of federal service. Those who retired under FERS had an average age of 68.3 years and 21.6 years of federal service. Their average
retirement payment was $3,909 a month.

[Source:  http://usgovinfo.miningco.com/library/weekly/aa031200a.htm  MAR 04]

Space-A Head Tax Increase: The International Air Transportation Tax, or "head tax," and the Federal Inspection Fee (FIS) for Space "A" passengers were increased 22 May 04. The head tax is charged to passengers traveling on patriot express missions; special assigned air missions (SAAM) and commercial contract missions; and Space "A" passengers who arrive and depart the customs territories of the U.S. (CTUS) to and from overseas locations on these missions. The head tax was increased from $12.08 to $13.70. FIS applies to Space "A" passengers who arrive in the CTUS from overseas locations on Patriot Express missions, and passengers aboard SAAM commercial contract missions. This fee increased from $11 to $12. According to Navy-AMC Air Terminal Manager Robert Hurley, the increase was mandated by federal law to offset the cost of providing customs and immigration services at U.S. ports of entry.  [Source: Armed Forces News Issue 11 JUN 04]

Politics As Usual (Bush): President Bush spent the Memorial Day weekend thanking the nation's veterans for their service, saying "we acknowledge the debt [we owe them] by showing our respect and gratitude." Yet, his rhetoric came just hours after his Administration announced new plans to slash veterans health care funding if it returns to power in 2005. Actions speak louder than words and veterans organizations and their membership have taken note of this administration's below listed veteran related actions in the last 18 months. Some have been alleviated or corrected by Congress but the pattern of lack of support by the current administration for veteran's legislation has not changed:

     1.  In late May the Bush Administration released a memo detailing a plan to cut $1 billion from the Veterans Administration in the first budget
of its second term.

     2.  The proposed cut would come on top of the White House attempts to close several veteran's hospitals throughout the country.

     3.  Veterans health care budgets have continually been submitted that have been criticized by veterans groups and the administration's Veterans Affairs secretary.

     4.  The president decided to cut off 164,000 veterans from their existing prescription drug coverage.

     5  The president threatened to veto any bill that would allow veterans to receive both the military pension they were promised, and any disability compensation to which they are entitled.

     Politics as usual should not be allowed to flourish when it comes to our benefits. The country's 26 million veterans are encouraged to register and vote this November for candidates who are willing to support veteran legislation.

    [Sources:
   Veterans Party NC msg 9 JUN 04
    Presidential Weekly Radio Address Speech, WhiteHouse.gov 05/29/04. http://daily.misleader.org/ctt.asp?u=2103574&l=38288   
   "Democrats rip Bush's outline for cuts in domestic programs." Palm Beach Post, 5/28/04 http://daily.misleader.org/ctt.asp?u=2103574&l=38289    "VA Seeks Major Hospital Overhaul", CBS News 8/05/03  http://daily.misleader.org/ctt.asp?u=2103574&l=38290
   "President Bush's Veterans' Budget Called Woefully Inadequate and Inexcusable." Senate Democratic Policy Committee 2/12/04  
     http://daily.misleader.org/ctt.asp?u=2103574&l=38291 
   "VA Cuts Some Veterans' Access to Health Care" Washington Post 1/17/03  http://daily.misleader.org/ctt.asp?u=2103574&l=38292  and      "Bush Threatens Veto of Defense Bill," Washington Post 10/7/02 p.A02 ]

Airline Baggage Inspection: Think twice about what you pack in your checked baggage. The U.S. Transportation Safety Administration (TSA) recommends you do not pack valuables in your checked baggage. Here's why:

  * Air carrier liability is limited to $2500 per ticketed passenger for travel.

  * Air carriers have no liability for photographic equipment, computers, VCRs and any other electronic equipment including software or
components, jewelry, cash, documents, furs, works of art or other similar valuable itemsOther items not covered in the air carrier liability limit include antiques, books, china, fragile items, liquids, medicines, perishable items, securities or silverware. Also avoid packing food or drinks in your checked luggage. Blocks of chocolate or cheese, jars of peanut butter or jelly, stacks of books, and thick leather shoe soles may set off luggage screening devices because they can mimic the density of plastic explosives.

     TSA is responsible for the safety and security within U.S. airports inclusive of inspecting checked and carryon baggage. They advise that you
do not lock your baggage as a screener would then have to break the lock to open the bag. TSA is not liable for damage to locks if this occurs. If
your bag is opened and searched they will place a notice inside and close your bag with a plastic seal. TSA will assess on an individual basis any
loss or damage claims made to them. Details and instructions on how to make the claim can be found at  http://www.tsa.gov/public/interapp/editorial/editorial_1028.xml  The printable claim forms in PDF format can be downloaded from the same page.

[Source: MOAA's Member Services Update MAR 04 & 35th Fighter Wing Misawa AB Newsletter JAN-MAR 04]

Legislation of Interest Update 02: The House Committee on Veterans' Affairs cleared and reported to the House the below package of six bills that would expand and strengthen a number of education, housing, health care, and disability programs for veterans and active duty military personnel.  H.R. 1716 as passed by the Committee has a number of substantive provisions concerning disability compensation, pension, housing, and burial benefits that would:

  * Establish a pilot program to furnish on-job training benefits to claims' adjudicators;

  * Require VA, DOD and Labor to coordinate so that servicemembers receive credit for OJT and apprenticeships pursued while on duty;

  * Codify a VA regulation establishing cancer of the bone, brain, colon, lung and ovary as diseases for which a presumption of service
connection is made for a veteran exposed to ionizing radiation;

  * Permit certain radiation-exposed veterans who receive payment under the Radiation Exposure Compensation Act (RECA) to be eligible for VA disability compensation;

  * Exclude life insurance proceeds from consideration of income for death pension benefits;

  * Extend vocational rehabilitation, specially adapted housing, and specially adapted automobile and adaptive equipment benefits to veterans
injured in a VA hospital due to negligence, carelessness, or similar reasons;

  * Require a report on placement, retention, and advancement of recently separated veterans in private sector employment;

  * Increase to 25 percent of the Freddie Mac conforming loan rate (currently $333,700), and annually index the maximum amount of VA's home loan;

  * Extend eligibility for specially adapted housing grants to veterans with permanent and total service-connected disabilities due to the loss, or
loss of use, of both arms above the elbow;

  * Make eligible for in-ground burial at Arlington National Cemetery a member or former member of a reserve component of the Armed Forces (and dependents) who at the time of death was under 60 years of age but, for age, would have been eligible for military retired pay, or who dies in the line of duty while on active duty for training or inactive duty training; and

  * Designate a memorial currently under construction at the Riverside National Cemetery in Riverside, California, as a Prisoner of War/Missing In Action Memorial.

     H.R. 4175, the Veterans Compensation Cost-of-Living Adjustment Act of 2004, would increase disability compensation and survivor pensions based upon the Consumer Price Index increase and would also add osteoporosis to the list of diseases presumed to be service connected for former POWs.

     H.R. 4345 would increase the maximum loan amount for loans under the VA home loan guaranty program. Under H.R. 4345, qualified servicemembers and veterans could receive a loan guaranty up to 25% of the Freddie Mac conforming loan rate (currently $333,700) to help secure mortgage financing. Also, it would o annually index the loan guaranty limit to the Freddie Mac conforming loan rate in the future.

     H.R. 4231, the Department of Veterans Affairs Nurse Recruitment and Retention Act of 2004, would provide VA with greater flexibility in
recruiting, hiring and retaining nurses. The bill would also assist States in hiring and retaining nurses in State homes for veterans. For veterans
who have become homeless or are at risk of becoming homeless, the Committee backed legislation reauthorizing the Homeless Veterans Comprehensive Assistance Act of 2001, a landmark law that authorized almost $1 billion in new and expanded programs to help eradicate homelessness among veterans.

     H.R. 4248, the Homeless Veterans Assistance Reauthorization Act of 2004 would reauthorize the programs for an additional three years. It also increased the grant and per diem program for homeless veterans from $75 million to $100 million per year. In addition the bill contained a
provision to permanently authorize VA to provide sexual trauma counseling to veterans.

     H.R. 3936, to authorize a permanent office for the U.S. Court of Appeals for Veterans Claims near Washington, D.C.

[Source: NAUS Update 4 JUN 04]

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