From: FRA NewsBytes [NewsBytes@fra.org]
Sent: Saturday, July 17, 2010 3:12 AM
To: fra@fra367.org
Subject: FRA NewsBytes -- 07-16-10
Spending Bills Begin to Move Forward
Veteran Status for Gray-Area Retirees
DFAS Reduces CRDP Payments
Congress Excludes Auto Loans from Financial Reform
Lawmakers Address Lapses in VA Patient Safety


Spending Bills Begin to Move Forward
Spending bills are moving forward in the House and Senate. Both chambers' Appropriations Committees have approved the Military Construction and Veterans Affairs (MilCon/VA) budget for FY 2011 that, in part, includes 4,000 more adjustors to help reduce the backlog of VA disability claims, increased VA health care advance 2012 funding, and funds to modernize Arlington National Cemetery record-keeping systems.

A House subcommittee and the Senate Appropriations Committee have approved the Coast Guard budget as part of the overall budget for the Department of Homeland Security. Both panels voted to eliminate funding reductions proposed by the Administration and increase spending by more than $279 million over the current fiscal year.  

The Defense budget is scheduled to be marked-up and approved by subcommittee next week.


Veteran Status for Gray-Area Retirees
FRA strongly supports "The Honor America's Guard-Reserve Retirees Act" (S. 1780) and its House companion bill (H.R. 3787) that provides veteran status for members of the Reserve Component who've served 20 years or more. These so-called "gray-area retirees" receive military retired pay and become eligible for TRICARE at age 60, but are not veterans under the law unless they have been activated under federal orders.

FRA believes that all who served 20 or more years in the Guard or Reserves should be considered veterans and eligible for associated veterans' benefits. Members are encouraged to use the Action Center (www.fra.org) to contact their elected officials on this important issue.


DFAS Reduces CRDP Payments
The Defense Finance and Accounting Service (DFAS) announced that Concurrent Retirement Disability Pay (CRDP) paid to disabled retirees will be rounded down to the nearest dollar amount, rather than paid to the exact penny.  This change has been applied to all payments after June 1, 2010, including any future retroactive computations. DFAS will not recoup previous payments made before June 1, 2010, that were not rounded down.
The law requires that all amounts computed under Chapter 71 of Title 10, including CRDP, be rounded to the next lowest dollar. A recent review, however, showed that CRDP was being paid to the exact penny. This change is being made to adhere to the legal requirements for the entitlement.  Additional information is available at: http://www.dfas.mil/rapay/changetocrdpamount.html.


Congress Excludes Auto Loans from Financial Reform
The Senate finally passed, and President Obama is expected to sign, "The Restoring American Financial Stability Act" (S. 3712) that is a massive revamp of the financial regulatory system. Despite opposition from the White House, the Pentagon, consumer groups, FRA and other military and veterans' organizations, the final bill exempts auto dealers from lending restrictions that would protect military personnel and other consumers.  The final version of the legislation excludes auto dealer loans from regulation by the newly created Consumer Finance Protection Bureau.

Since 2005, FRA has been outspoken in its opposition to predatory lending practices that impact service members. Financing an automobile purchase is a major obligation for most service members and FRA believed it was important that auto dealers financing and sales be included in the reform bill. The Association will continue its work to provide greater protections for military personnel and their families.


Lawmakers Address Lapses in VA Patient Safety
The House Veterans Affairs (VA) Committee held an oversight hearing in St. Louis, Mo., to review recent lapses in patient safety at VA facilities. The department's National Infectious Diseases Program Office revealed several incidents in which VA employees at the John Cochran VA Medical Center failed to follow proper procedures for sterilizing dental equipment. Such errors potentially exposed numerous veterans to Hepatitis B, C and human immunodeficiency virus (HIV).

The Clinical Risk Assessment Advisory Board made a determination that the risk of infection was extremely low and the VA sent disclosure letters and offered serology testing to 1,812 veterans who may have been affected by the error. Dental services at the St. Louis Medical Center were temporarily suspended and all veterans with appointments were given the option to reschedule or to receive care at a private community clinic at VA expense.

Hot Topic:  How comfortable do you feel using VA health care facilities?  Visit www.fra.org/hottopics to share your views.

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FRA is celebrating its 85th anniversary and is the oldest and largest association representing the interests of current and former Navy, Marine Corps and Coast Guard personnel. If you are not a member and are eligible, please join FRA at www.fra.org. The larger the membership base, the louder your voice is heard on Capitol Hill!