Congress finally passed the NDAA-08 and sent it to the President on December 19, 2007. The bill is over 500 pages long with an index of about 30 pages. It contains many good things, but also some disappointments. The following depicts the final action on certain items of special interest:

Eliminate The DIC Offset To SBP: Not approved. However, a "special survivor indemnity allowance" (limited to survivors of service members who were entitled to retired pay, or would be entitled to reserve component retired pay but for the fact they were not yet 60 years of age) was enacted for those having such an offset, but doesn’t start until the beginning of FY2009 on October 1, 2008. Amount is $50/month during FY2009 and increases by $10 a month in each subsequent fiscal year until it reaches a maximum of $100/month in FY2014. Then on March 1, 2016, the special allowance terminates. (This action does provide a basic recognition of the inequity of the offset and a "placeholder" from which MOAA and The Military Coalition (TMC) can push for its elimination again next year and every year thereafter until successful.)

Accelerate The Effective Date Of Paid-Up Premiums For SBP To October 1, 2007: Not approved - Senate approved provision dropped during Joint Conference. (World War II veterans, who primarily are the ones affected in this case, should hold the House Armed Services Committee totally responsible for this abominable, ungrateful treatment of your group. In my opinion, there is no excuse for this unjust situation, which Congress easily could have rectified.)

Start Concurrent Receipt Retroactive To Jan. 1, 2005 For Those Rated 100% Disabled Due To Being Unemployable: Approved - but actual payment of amount due will not occur until October 1, 2008.

Combat Related Special Compensation - Expand Eligibility To Those Medically Retired For Combat Disability Before 20 Years Of Service: Approved - Payment eligibility starts on January 1, 2008.

Military Pay Raise - 3.5%: Approved - Rates effective Jan. 1, 2008. (Joint Conference dropped the House provision to continue increases in future years at least 1/2 % above private sector increases until comparability is achieved.)

Increased End Strength Levels For Active Army And Marine Corps And Reduced Levels For Navy And Air Force: Approved - The Joint Conference compromised between the House and the Senate provisions. Final FY 2008 authorized strengths are:

Compared to authorized strengths for FY 2007 this is an increase for the Army of 23,000, and the Marines of 9,000. It is a decrease for the Navy of 12,300 and the Air Force of 5,600.

Prohibit DoD From Increasing TRICARE Medical And Pharmacy Fees: Approved - This action simply extended for one more year, i.e. until September 30, 2008, the prohibition enacted last year on fee increases. The language that was in Section 715 of the Senate version which spelled out in some detail the up-front costs military people pay in service and sacrifice was dropped from the enacted bill. Some much watered down language was included in the Joint Conference report, which encourages DoD to find ways to reduce medical costs without loading all the increased costs onto military members. (Nevertheless, see warning below.)

Inclusion Of TRICARE Retail Pharmacy Program In Federal Pharmacy Program In Procurement Of Pharmaceuticals: Approved - Recall that this was one of the cost savings recommendations that MOAA made to allow DoD to get the same discounted prices on medicines that other Federal agencies got, but DoD didn’t do it. With this provision, Congress is mandating that DoD do it and do it quickly.

Prohibition On Further Conversion Of Military Medical Positions To Civilian Medical Positions: Approved - The bill prohibits the secretaries of military departments from converting military medical or dental positions to civilian positions between Oct. 1, 2007 and Sept. 30, 2012. The Joint Conference report expressed concern that departments lack assurance that planned conversions will not increase costs, decrease access to care, decrease quality of care, or negatively impact recruitment and retention of military personnel.

Reduce The Retirement Age Below The Age Of 60 For Certain Guard/Reserve Members: Approved - The reduction below age 60 will be by three months for each 90 days of qualifying active duty performed after enactment of NDAA-08. The eligibility age may not be reduced below age 50.

Period For Use Of GI Bill Benefits By Guard/Reserve Members Extended: Approved - Eligible personnel can use their mobilization earned GI Bill benefits up to 10 years after leaving service.

Enhance The National Guard Bureau (NGB): Approved - The bill provides for the Chief of the NGB to be a 4 star general and be the principal advisor on NG matters to the Secretary of Defense through the Chairman of the JCS. The NGB is to be established as a joint activity of DoD, but will maintain relationships with the Secretaries of the Army and the Air Force concerning their respective National Guard forces.

Disability Retirement System Reform: Approved - DoD must use VA ratings and count all unfitting injuries. In addition, DoD and VA are to implement a standard transition policy for a smooth transition of injured servicemembers from the military medical care system to the VA medical care system to include a common electronic health record and a standard DD 214 that can be electronically shared between the two agencies.

Justice For Osama Bin Laden: Approved - The bill authorizes the Secretary of State to pay a reward of 50 million dollars for the death or capture of Osama bin Laden or information leading to such.

DoD School Of Nursing: Approved - The Secretary of Defense is directed to establish a School of Nursing within the Uniformed Services University of Health Sciences, which will be authorized to award a Bachelors degree in Nursing.

1. Congress made a temporary fix for the pending cuts in payments to Medicare/TRICARE medical providers. Instead of a 9.9% payment cut in January, doctors will see a 1% increase - for 6 months. However, if not extended, an 11% payment cut will kick in on July 1.

2. Last year when Congress prohibited TRICARE fee increases, it required DoD to conduct a study of healthcare costs. The members of the study group were appointed by DoD, the very agency that was pushing for increased fees for military families, so guess what? The study group is recommending increased fees for everybody including TRICARE for Life beneficiaries and increased pharmacy co-pays, and enrollment fees, which are means tested. This will probably be the major fight for the coming year, so better gear up for it.

3. Speaking of the coming year, be sure to look at MOAA’s 2008 Goals on page 38 of January’s Military Officers Magazine.