The ’09 pay plans - Army News | News from Afghanistan & Iraq - Army Times

The ’09 pay plans

The 2009 pay plan taking shape in Congress holds the promise of another military raise that is bigger than wage growth in the private sector, some new forms of leave and increases in travel allowances, among other things.

The changes are part of the 2009 defense authorization bill being worked out by lawmakers, and one of the biggest unanswered questions at this point in the process is when the bill might become law.

The House of Representatives moved quickly to approve its version of the bill, HR 5658, on May 22. But things have not gone so smoothly in the Senate.

The Senate Armed Services Committee passed its version, S 3001, on April 30, but the process has bogged down since then. Senate leaders hope to get back to the bill in September so that negotiations on a final compromise version of the legislation can begin.

Optimistic plans call for quick action that would have a bill on President Bush’s desk by Oct. 1, the start of the fiscal year, but congressional aides said it’s more likely that work on the measure will drag into December, with hope of enactment in time to prevent disruption in special pays and bonuses at the end of the calendar year and time to get the troops’ pay raise into their mid-January paychecks.

Here are some of the major proposals to improve military pay and benefits that will be discussed, along with predictions on the likely outcome.

Pay

Basic pay raise

A 3.9 percent pay increase, effective Jan. 1, and applying to basic pay and drill pay for all ranks, is included in both the House and Senate bills.

The increase is more than the 3.4 percent raise proposed by the Bush administration. The extra 0.5 percentage point represents the difference between keeping pace with private-sector raises — as the Bush administration proposed — or being a little more generous to troops in order to continue whittling an estimated 3.4 percent gap between average military and private-sector pay.

Prediction: Although the Bush administration strongly opposes the bigger raise — White House officials called it “unnecessary” — this is a sure thing.

Future pay raises

Annual Jan. 1 military pay raises would remain 0.5 percentage point above average private-sector pay hikes from 2010 through 2013, under a provision of the House bill.

The Senate bill does not include a similar provision.

The formula, which has applied to military pay increases for the past nine years, would continue closing the purported pay gap between military and private-sector raises. After the 2009 raise, the gap would stand at 2.9 percent. By 2013, the pay gap — which peaked in the late 1990s at 13.5 percent — would fall to 0.9 percent under the House plan.

Prediction: The odds are 50-50 because of Pentagon opposition and a general reluctance among lawmakers to tie the hands of a new presidential administration.

Housing allowance

The House bill has a provision that would increase the basic allowance for housing for E-8s with dependents effective June 30, 2009, as a result of a change in the housing standard used to determine the monthly payment for that paygrade. The Senate bill is silent on the issue.

The change would increase allowances by about $130 a month for about 29,000 E-8s with families. They would get enough BAH to cover average rental costs for single-family homes, rather than the current standard, which bases their BAH on the rental costs of three-bedroom town houses.

Under current standards, only E-9s with dependents receive enough BAH to rent single-family homes. Among officers, O-3s and above with dependents and O-6s and above without dependents are paid allowances covering the average cost of renting a single-family home.

Everyone else is paid at a rate designed to cover rental costs for an apartment, town house or duplex.

Prediction: Updating housing standards that underpin BAH rates is not a high priority, but the delayed effective date cuts first-year costs to $11 million, which boosts the chances for this proposal.

Family separation allowance for dual-service couples

The House bill would expand payment of family separation allowance effective Oct. 1 for dual-service couples with dependents if they are both deployed at the same time. One member would get the full $250 allowance and the second would get a half allowance, or $125, if the couple is simultaneously assigned to permanent duty stations where dependents are not authorized; deployed at sea for 30 days or longer; or assigned for 30 days or more away from their permanent duty station.

Current rules limit dual-military couples to one separation allowance at a time, even if both husband and wife are deployed away from dependents.

The Senate bill contains no similar provision.

Prediction: Helping dual-service couples has not been a high priority for Congress in the past, but the continued mobilization of so many National Guard and Reserve members has led to enough instances of both husbands and wives being deployed away from children simultaneously that this is likely to be approved.

Stabilization pay

The House bill would provide pay protection when a service member accepts appointment or reappointment as an officer without a break in service. It would apply, effective when the bill becomes law, to senior enlisted members and warrant officers who accept appointments as officers and to officers in the rare circumstance when they are reappointed in a lower grade.

The provision would guarantee service members would not receive less in pay and allowances after the appointment or reappointment than they were making before, as long as there was no break in service.

The Senate bill has no similar provision.

Prediction: Has a chance, but is not a sure thing.

Income replacement

An existing income replacement program for Guard and Reserve members who have frequent or extended mobilizations would be extended under both bills.

The program, now set to expire Dec. 31, would run through the end of calendar year 2009.

Prediction: A sure thing because call-ups of Guard and Reserve units continue for service in Iraq and Afghanistan.

Leave

Midcareer sabbaticals

A Pentagon initiative in which a few people would be given the chance to take a break of up to three years in their military careers without penalty is included in both bills.

While the program is authorized to take effect when the bill becomes law, only the Navy has talked of using what Pentagon officials call a “career intermission,” and no start date has been determined.

Modeled after sabbaticals in the private sector, the six-year test program would be limited to 60 officers and 60 enlisted members, probably all Navy, who could take up to three years off for personal or professional reasons. When the breaks end, they would restart their careers at their same grade and level of responsibility, and in a similar, if not identical, job.

Those approved for the breaks would receive military medical benefits but no active-duty pay and allowances except for a monthly stipend of $100. They would be required to report once a month to a military office and to spend one day a year on active-duty evaluation. Time spent on a sabbatical would not be credited toward retirement.

For every month of sabbatical, a member would be required to serve two months of additional active service. As a result, someone granted the maximum three-year sabbatical would have to serve six additional years of active duty.

Prediction: Certain to pass, but it would be offered to only a handful of troops each year.

Paternity leave

The Senate bill would grant new fathers up to 21 days of additional leave. The House bill has no similar provision.

The paternity leave would be authorized beginning on the date the bill becomes law, but would apply only to births on or after that date. However, troops probably would not be granted the leave until the Pentagon issues rules governing its use.

A couple would have to be married for the leave to be available, and the spouse would have to give birth; adoptions or surrogate births are not covered. The leave could be used only in connection with the birth and could not be stored up for later use or sold back to the government if unused.

Like all leave, service members could take the time off only with prior permission from their command.

Prediction: A 50-50 chance of approval because of concerns about putting commanders in the difficult position of deciding who gets the time off and who doesn’t if there are several births at one time — like around nine months after the end of a long deployment.

Paid travel for leave during training

When training is expected to last for five days or longer, travel and transportation allowances would be authorized under the Senate bill for round-trip travel between a member’s temporary training duty station and permanent duty station. Eligibility would be limited to those with 30 or more days on active duty. The House bill has no similar provision.

This is designed to allow service members in pre-deployment training to travel home if there is a break in the training.

Prediction: A sure thing.

Bonuses

Expiring bonuses

A number of bonuses and special pays that expire at the end of 2008 — including enlistment and re-enlistment bonuses, bonuses for referring potential enlistees to recruiters and incentives for critical specialties — would be extended until Dec. 31, 2009, under both bills. When work on the 2008 Defense Authorization Act extended beyond the end of the calendar year 2008, bonus and special pay programs were temporarily suspended because the one-year authorization had expired. Lawmakers hope to avoid a repeat this year by getting the defense bill wrapped up and signed into law by early November.

Prediction: A sure thing.

Bonus increases

Several bonus increases are proposed. Under the House bill, some medical professionals, including psychologists, mental health practitioners and registered nurses, could receive a $100,000 bonus for one year of active service — a temporary bonus that would expire Sept. 30, 2010.

The Senate has a different bonus, just for psychologists, that would pay up to $25,000 a year for a four-year commitment, plus a $400,000 accession bonus.

Both bills propose several other increases, including doubling the accession bonus for nurses to $20,000 and boosting monthly incentive pay by $250, to a total of $1,250. Also, nuclear officer incentive pay would be authorized for service agreements of longer than three years.

To encourage training in a foreign language or culture, the bills would authorize a $12,000 annual bonus for officer candidates who become proficient in a foreign language and would create a test program to provide a skill bonus for reservists who receive language training.

The increases would take effect when the bill is signed into law, but the services have wide discretion in deciding when or whether to offer the higher amounts.

Prediction: Details remain in flux, but bonus increases, especially to get and keep badly needed psychologists, are a sure thing.

Moving Expenses

Temporary Lodging Expense

The House bill would increase the maximum payment for the benefit that covers food and lodging costs on the stateside portion of permanent change-of-station moves to $290 a day, $110 more than the current rate. The change would take effect Oct. 1.

For the one-quarter of the force that makes PCS moves each year, the increase would add up: Troops can receive up to 10 days of TLE for moves between stateside bases and five days of payments for a move from an overseas duty station to a stateside assignment.

The Senate bill does not include the increase.

Prediction: Although long overdue, this is just one of a group of travel-related benefits that has a $600 million price tag over 10 years. To trim costs, some will be left out, and this is among the more vulnerable targets.

Household goods allowance

The House bill includes two increases in household goods weight allowances. First, weight limits for enlisted members in paygrades E-5 and above would increase effective Oct. 1, with the increases ranging from 500 to 1,500 pounds, depending on rank and family status.

Second, it would allow military spouses to ship 200 pounds of professional items that would not count against the family’s weight limit. This would become effective when the bill is signed.

The Senate bill includes no increase in weight allowances for enlisted members. It does include a 500-pound weight limit for the professional items of spouses, but it would delay the effective date of that increase until Oct. 1, 2009.

Prediction: An increase for spouses, likely the 500 pounds recommended by the Senate, has a good chance of approval. Weight-limit increases for career enlisted personnel are a 50-50 proposition.

Pet evacuation

Both the House and Senate bills would have the government pay for the transport of two pets of military families evacuated from permanent duty stations overseas. This would apply to travel after the bill becomes law.

Prediction: A sure thing, although there is discussion about exactly what kind of pets would be included. Dogs under 150 pounds and cats are certain to be covered. Exotic animals, including birds, fish and reptiles, probably will not be, nor will horses, rabbits, goats or other uncommon pets.

Other Benefits

Disability Retired Pay

The House bill would change the way retired pay for disabled reservists is calculated, basing it on their total years of service, not their years of active service, if their disability is related to an incident for which they were awarded a Purple Heart. This would apply only to retirements that occur after the bill becomes law.

Prediction: A good chance for approval.

Hospital meal charges for combat veterans

Military medical treatment facilities would be permanently prohibited from charging meal fees to service members who are recovering from combat-related injury, illness or disease, under both the House and Senate bills.

Such meal charges were canceled early during Operation Iraqi Freedom after complaints from recovering service members and their families, but that was only a temporary policy. The House and Senate bills would make it permanent.

Prediction: A sure thing.

Survivor allowance

The House bill would expand a new survivor allowance created last year for survivors of service members who die on active duty. The Senate bill has no similar provision.

A $50 monthly allowance was approved last year to partly make up for the reduction in survivor benefits required of those who also receive survivor benefits from the Department of Veterans Affairs. But it was limited to deaths of military retirees, who had paid monthly premiums for survivor benefits. Survivors of people who died on active duty were ineligible for the allowance; the new House provision would change that.

Prediction: Not a sure thing. Lawmakers last year drew a distinction between active-duty and retiree deaths because survivors of service members who die on active duty receive other benefits, such as a death gratuity and group life insurance, that survivors of retirees cannot get.

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