From: FRA NewsBytes [Newsbytes@fra.org]
Sent: Saturday, December 19, 2009 1:33 AM
To: fra@fra367.org
Subject: FRA NewsBytes -- 12-18-09
In this week's NewsBytes:
Defense Appropriations, Delayed Physician Payment Cuts Advance
Health Care Debate Continues in the Senate
BAH Rates for 2010
CRDP/CRSC Open Season in January
FRA Holiday Schedule

Defense Appropriations, Delayed Physician Payment Cuts Advance
The FY2010 Defense Appropriations bill (H.R. 3326), the last remaining spending measure for FY2010, was approved by the House and Senate this week. The bill authorizes $11 billion more for the Department of Defense (DoD) than the previous fiscal year, but $3.8 billion less than the Administration requested.  The measure fully funds the Defense Health Program and a larger-than-requested active duty pay raise of 3.4 percent.

A provision in the bill also delays a scheduled 21-percent cut in Medicare/TRICARE physician payments (scheduled to take effect on January 1) until February 28, 2010.  Unless this reimbursement rate cut is eliminated, many doctors may stop seeing Medicare and TRICARE patients.


Health Care Debate Continues in the Senate
The debate on national health care reform legislation (H.R. 3590) continues in the Senate as Majority Leader Harry Reid tries to line up the votes needed for passage, while opponents are working to delay the vote until January. The House-passed version of the legislation (H.R. 3962) specifically excludes TRICARE and VA health care programs and, although the Senate version does not, FRA has been assured by congressional staff that the Administration is committed to the exclusion of both programs in the reform legislation. Members can visit the FRA Action Center (www.fra.org) to weigh in on any aspect of the health care debate, including tax issues and proposed Medicare funding cuts, which may impact future physician reimbursement rates and beneficiaries' access to care.  


BAH Rates for 2010
The Department of Defense (DoD) this week released the 2010 Basic Allowance for Housing (BAH) rates. Depending on geographic assignment, military members will receive an average housing allowance increase of 2.5 percent, effective on January 1, 2010.  For members with dependents, average increases in the BAH are approximately $37 per month. A junior enlisted member with dependents, for example, will find his/her BAH about $25 per month higher than last year, while a senior non-commissioned officer with dependents will receive about $42 more than last year.

BAH rates vary by location and are determined based on median current market rent; average utilities (including electricity, heat, and water/sewer) and average renter's insurance. FRA monitors BAH rates to ensure they remain commensurate with actual housing costs. For detailed information, visit http://perdiem.hqda.pentagon.mil/perdiem/bah.html or read Tom Philpott's Military Update column (12-16-09) at www.fra.org.


CRDP/CRSC Open Season in January
Retired service members who are eligible for both Concurrent Retirement and Disability Pay (CRDP) and Combat-Related Special Compensation (CRSC) have an opportunity to select which payment they prefer to receive during the CRDP/CRSC open season. According to federal law, retirees can receive either CRDP or CRSC, but not both, and the annual open election season is January 1 through 31, 2010.

All eligible retirees will receive a CRDP/CRSC election form, a comparison of the CRDP and CRSC entitlement amounts, and information about tax implications in the mail. The election form should be returned only if the retiree wishes to make a change from CRDP to CRSC, or vice-versa. No action is required if a retiree prefers to continue receiving their current benefit.

If the form or envelope is dated after January 31, 2010, it will not be processed and the current payment will continue. Elections remain in effect unless changed in a subsequent annual open season. For additional information, visit www.dfas.mil.


FRA Holiday Schedule
Due to the Christmas and New Year holidays, the next edition of Newsbytes will be distributed on Friday, January 8, 2010. Please note that FRA's National Headquarters will be closed on Thursday, December 24th, and Friday, December 25th.  The office will also close at noon Thursday, December 31st, and remain closed on Friday, January 1, 2010.

Best wishes from the entire NHQ Team to all - particularly those serving far from home - for a safe and joyous holiday season and healthy and prosperous 2010.
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