Categories: Armed Forces News

Administration Opposes Bill

The Bush administration expressed concern about a provision in the House 2008 defense bill that would require a one-percent reduction in retirement paychecks in September 2013, with a one-time makeup payment at the beginning of the new fiscal year the following month. The Office of Management and Budget (OMB) expressed its reservations in a May 22 policy statement that focuses on the House bill. Calling the reduction a "budget gimmick" aimed at satisfying congressional "pay-go" requirements, the white paper said the change would "put military retirement pay at risk, [undermine] the integrity of the retirement accrual process," and set a bad precedent. The action, which would kick expenses for the one-percent reduction into the next year’s defense budget, would not be necessary if Congress would have approved administration requests for a change in TRICARE fees, the OMB paper stated. 

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