July 25, 2014

At a July 23 meeting with MOAA Chairman of the Board Gen. John Tilelli Jr., USA (Ret) and MOAA President Vice Adm. Norb Ryan, USN (Ret), Sen. Mark Begich (D-Alaska) agreed to sponsor an amendment to strike proposed cuts to the Basic Allowance for Housing (BAH) benefit when the Senate takes up the defense authorization bill later this year.  

The administration’s FY 2015 budget includes a five percent increase in out-of-pocket housing costs for servicemembers over the next three years.  

Once fully implemented, these cuts would amount to a $1,200 per year loss in purchasing power for an Army sergeant (E-5) with a family of four. An Army captain (O-3) would lose nearly $1,600.   

The House rejected the administration’s proposal in its version of the defense authorization bill, but the Senate Armed Services Committee adopted it along with an active duty pay raise cap and increases in TRICARE pharmacy copays.   

MOAA continues to work with the Senate to find sponsors for these two remaining issues with the hope of rejecting all three of these short-sighted budget cutting proposals.