Congress has been working to increase benefits for military survivors, especially those of servicemembers killed in the war on terrorism in Afghanistan and Iraq. The changes have increased lump-sum benefits, which will pay immediate expenses, maintain housing and schooling continuity, and upgrade resources for future education needs for deceased servicemembers’ children — an encouraging step in the right direction.

What still must be addressed is the monthly annuity that will sustain a military survivor in the long term. This annuity is important to both the survivors of servicemembers killed on active duty and the survivors of retirees who die of a service-connected cause.

One of MOAA’s top goals in 2005 is to end the deduction of VA survivor benefits from Survivor Benefit Plan (SBP) annuities. For all active duty deaths, the surviving spouse is entitled to Dependency and Indemnity Compensation (DIC) — currently $993 a month paid by the VA. The spouse also is entitled to benefits from SBP. But the law requires dollar-for-dollar deduction of DIC payments from SBP benefits. For survivors of members below the E-6 grade, this offset wipes out most or all of the SBP entitlement, leaving survivors with only the $993 a month from the VA. For more senior members, the survivor receives some residual SBP — but loses almost $12,000 a year in benefits.

Survivors of retirees who die as the result of a service-connected cause also are entitled to DIC. If SBP-eligible, they also suffer a dollar-for-dollar offset, even if the retiree paid years of SBP premiums. The surviving spouse receives a partial SBP premium refund, but with no interest. MOAA thinks DIC is what its name implies — a special indemnity payable when military service causes the servicemember’s premature death. SBP is retiree-purchased insurance. The survivor should receive both when military service caused the death.

Substituting DIC for SBP is inappropriate. Federal civilians have their own SBP program, and federal civilian SBP is not subject to offset by DIC if the civilian is a veteran and dies from a service-connected cause.

Members of Congress are beginning to recognize this inequity. Sen. Bill Nelson (D-Fla.) has introduced S. 185 to repeal the SBP-DIC offset. Rep. Henry Brown (R-S.C.) has introduced similar legislation (H.R. 808) in the House.

President George W. Bush heard about the problem earlier this year when a group of widows at Fort Hood, Texas, gave him an earful about the unfair offset. The president asked his aides to find out more. Nelson sent the president a letter pointing out the solution to the problem in his bill, S. 185.

Congress has taken a step in the right direction by increasing lump-sum death benefits for new survivors. But that does not help most current survivors. We must end the SBP-DIC offset.

Family Issues Are a Priority for the National Guard

The events of Sept. 11, 2001, increased the country’s service demands on the National Guard and Reserve. With more frequent deployments, changes in medical care, and extra requirements for family support, the National Guard is working to upgrade its commitment to family members.

The recent National Guard Family Action Plan (GFAP) Mid-Level Conference aimed at identifying problem areas within the Guard and Reserve family support system. At the top of the list was post-deployment counseling for servicemembers and their families. Attendees emphasized the need for confidential, semi-annual counseling, administered by mental health professionals and supported by commanders. They also cited a need for more government incentives for employers, income protection, and corporate financial-assistance programs to resolve financial hardships. Other needs include standardized reintegration of family support services between the Air Force and Army National Guard; adequate and affordable child care during inactive training periods; and the inclusion of parents and extended family in readiness and pre-mobilization briefings.

Army-specific issues will be integrated with other family items to be addressed at the Army Family Action Plan Conference this fall. For more information, visit the Guard Family Action Plan online at http://www.gfap.org.