
February 2, 2012
LEGISLATIVE UPDATES AND NEWS
TRICARE Fee Increases
In last Friday’s AFSA Alert we highlighted several proposals
DoD says will be included in the Presidents FY 2013 Budget Proposal to
Congress later this month. Defense Secretary Leon Panetta
released preliminary information on January 26 which includes a number
of changes (increases) in TRICARE premiums and fees.
To quickly recap, the Administration plans to raise TRICARE Prime
enrollment fees for retirees under age 65 in the TRICARE program using a
tiered approach based on retired pay; establish a new enrollment fee for
TRICARE for Life, again using a tiered approach; and raise pharmacy
copays in a manner that increases incentives for use of generics and the
Mail Order Pharmacy.
Needless to say, word of these proposals upset many of you and some
asked AFSA for more details. We don’t have any—and
won’t until the President submits his formal proposal to Congress
on or about February 13, which is a week later than required by
law. Past recommendations provide clues to what the Administration
is planning. Reports by the Task Force on the Future of Military
Healthcare in 2007, the Pentagon’s 10th Quadrennial Review of
Military Compensation in 2008 and Presidents Deficit Reduction
Commission in 2010 all called for higher fees based on income which
would increase annual TRICARE Prime premiums nearly six-fold for many
users. All three reports suggested annual fees for TRICARE
Standard and TRICARE for Life, as well as increases in pharmacy copays.
The President’s $4.4 trillion deficit-reduction plan released in
August 2011 proposed extremely large increases in TRICARE pharmacy
co-pays (doubling or tripling them), and a $200 enrollment fee for those
using Tricare for Life. The TFL fee would climb to $295 the
following year and then be indexed to a rate of healthcare inflation in
future years.
Secretary Panetta’s announcement that the Administration will
seek higher fees serves as a warning shot for a fight that will begin
once the President submits his official FY 2013 budget proposal.
Congress must still agree to whatever they propose, and their approval
or disapproval of the fee changes won’t likely be known for quite
some time. AFSA will be working to affect their decision, and call
upon our members at appropriate times to voice their opposition to these
efforts which serve as a disincentive for career military service and
shift the cost of earned healthcare onto the backs of retirees and their
families. Today, our CEO met with Congressman Walter Jones (R-NC)
to lay the groundwork for the battle ahead. Jones is the author of
H.R. 1092, the Military Retirees Health Care Protection Act. On
Monday, the CEO met with Senator Mark Begich (D-AK) to discuss the same
issue and ensuing discussions in the Senate. Senator Begich is on
both the Senate Armed Services Committee and the Senate Veterans Affairs
Committee.
SPECIAL NOTE: On 25 January 2012, a letter was sent to each
member of the House Armed Services Committee concerning defense spending
and recommendations concerning compensation, TRICARE enrollment and
deductible fees increases for retirees, and Pharmacy co-pays. All
TMC member associations received a copy of that communiqué that was
signed by each DOD service chief (4-star) and their respective senior
enlisted (i.e., USACSM, CMSAF, USMCSGM, MCPON, NGBCMS,
MCPOCG).
“Doc Fix” Update
Last December, Congress approved legislation temporarily postponing a
27.4 percent reduction in Medicare and TRICARE reimbursement
rates. The provision was part of a payroll tax-cut package due to
expire at the end of this month.
This week, lawmakers were working on a package (H.R. 3630) which
would extend the current policy through the rest of this year.
Members in both parties agree continuing current reimbursement rates are
necessary to ensure patients access to quality care. Though the
central issue is resolved—that an extension is
necessary—funding H.R. 3630 in a manner House and Senate Members
can agree on won’t come easily. Many lawmakers do not want
to raise taxes or add to the deficit with this bill so the costs must
come through savings in other government programs.
Where the money comes and the sheer cost of a permanent fix has been
major stumbling points in the past. According to the Congressional
Budget Office, the cost of simply freezing rates at their current level
through 2022 is $316 billion—up from a $290 billion price tag
calculated last year. Recently, lawmakers seem open to using
projected war savings as a way to pay for a permanent fix.
Yesterday, CBO published a budget and economic outlook report indicating
there is more than enough in projected war savings to pay for a repeal
of the sustainable growth rate (SGR) formula. The SGR is the
formula used to set payment rates for physicians who treat TRICARE and
Medicare patients. We surmise the release of this report
isn’t coincidental, and won’t be surprised if Congress taps
into some of these funds for an agreement we hope they will reach prior
to the February 29 deadline.
Access to quality care is the number one healthcare problem faced by
military members and those who serve shouldn't have to worry whether a
doctor will see them or their sick family members because of these rate
cuts. We address this concern in each of our visits with Members
of Congress and will continue to do so until a new plan is in
place. Members can support our efforts by contacting their elected
officials in Washington and urge them to pass legislation that delays
the March 1 cuts, or better yet, fixes the problem
altogether.
BRAC
Last Thursday, Defense Secretary Leon Panetta indicated the President
will also request another round of Base Realignment and Closures (BRAC)
in order to reduce excess infrastructure. Air Force Chief of Staff
Norton Schwartz recently said a case could be made for an Air Force BRAC
since the service did not close any large installations in the last
round of base closures. We assume future base closures would be
tied to the type of aircraft DoD decides to divest which right now
includes many A-10s, 27 C-5s, 65 C-130s, 28 C-27s, and the Global Hawk
program.
What do you think? Should more Air Force Bases be closed?
At the same time, let us know your thoughts on the prospect of TRICARE
premiums rising. AFSA has a full slate of Hill visits scheduled
over the next three weeks and your opinions will be helpful in our
discussions with congressional members. You can forward your
comments to us by clicking on the link at the end of this issue of On
Call.
VETERANS NEWS
National Salute to Veteran Patients
The National Salute to Veteran Patients program encourages all
Americans to visit and volunteer at VA medical centers and to send
letters of thanks or valentines to those who have protected our nation.
This year's national salute is February 12-18. Last year,
more than 328,000 valentines were received at VA medical centers, and
21,330 people visited nearly 70,000 veteran patients. You should
also consider visiting patients and their families in the Fisher House
on during this time. For more information regarding the National
Salute to Veteran Patients and volunteer opportunities at a local VA
medical center, visit the VA Voluntary Service webpage.
Mental Health Care
Getting help for a mental health problem should not be difficult or
intimidating. VA offers a variety of tools and resources to help
Veterans cope with their problems. The best place to start is the
VA Mental Health web page. Take some time to visit the site.
3 Good Questions for Your Health
Every time you talk with a doctor, nurse, or pharmacist, use the
“Ask Me 3 questions” to better understand your health.
1. What is my main problem?
2. What do I need to do?
3. Why is it important for me to do this?
When to Ask these Questions:
1. When you see your doctor, nurse or pharmacist
2. When you prepare for a medical test or procedure
3. When you get your medication.
HEALTHCARE
MHS Conference
Throughout the week, AFSA representatives have been attending the
Annual Military Health System (MHS) Conference here in the National
Capitol Region. We have been participating in workshops and
attending plenary sessions which are designed to give attendees a better
understanding of the MHS system. At the same time, we have had the
opportunity to meet with many of the healthcare contractors who provide
services to our members. These interactions afford AFSA the
opportunity to air concerns with key programs like TRICARE for Life and
the various dental programs, and receive information on changes of
interest and benefit to our members.
Got Your Flu Shot?
Getting a flu vaccine is easy and inexpensive for TRICARE
beneficiaries. You may be able to get your flu vaccine for free
from any military medical clinic or hospital, or you may choose to get
it at one of 50,000 participating TRICARE retail network pharmacies.
Use Express Scripts' pharmacy locator to find one
near you or call 1 (877) 363-1303.
AFSA MEMBER BENEFITS
Share your AFSA pride!
AFSA has a wide range of very reasonably priced caps, belt buckles,
commemorative coins, decals, medals, pins, plaques, awards and
certificates available 24/7 on our website.
Scholarships for Air Force Enlisted Members Dependent
Children and Air Force Sergeants Association Auxiliary
The Air Force Sergeants Association (AFSA) and the Airmen Memorial
Foundation (AMF) joined together to conduct a scholarship program to
financially assist the undergraduate studies of eligible, dependent
children of the Total Air Force which includes Air Force Active Duty
(AFAD), Air National Guard (ANG) , and Air Force Reserve Command (AFRC)
enlisted members in active duty, retired, or veteran status.
Applications are screened and verified for eligibility prior to
submission to the respective selection committee(s). The AFSA and AFSA
International Auxiliary programs have membership requirements, but there
are no association membership requirements for the AMF or CMSAF
programs.
Applications for the upcoming academic year will be available between
January 1 and March 31. Completed application packages
with all required documents can be sent to AFSA Headquarters between
January 1 and March 3. Incomplete packages or
packages received after March 31 are ineligible for consideration.
WORTH REPEATING
When recently asked of General Gary North, PACAF Commander,
"what are your thoughts about chiefs and what are your overall
expectations from chiefs", his reply included “Chiefs are obstacle
removers."

We want to hear your thoughts and opinions. Complete the
sentence below! What’s your top 10 list for
AFSA? Go ahead. Don’t be
bashful. Send it.
"I THINK AFSA SHOULD __________."

| Newsletter, free, news, Air Force Sergeants Association, AFSA |