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Proposal to Cut Housing Stipends For Dual-Military Couples

mil to mil

By Debbie Gregory.

When it comes to finding ways to save money, the last place Congress should look is at military families, especially when both spouses are active duty service members.

The Senate Armed Services Committee is considering a proposal that would require dual military couples to receive Basic Allowance for Housing (BAH) stipends at the “without dependents” rate, regardless as to whether or not they have children.

Currently, dual military couples without dependents each receive their respective BAH.  In dual military families with dependents, the higher ranking service member receives BAH at the with-dependent rate and the lower ranking service member receives BAH at the without-dependent rate.

The BAH allowance is determined by geographic duty location, pay grade, and dependency status. It provides uniformed Service members equitable housing compensation based on housing costs in local civilian housing markets within the United States when government quarters are not provided. For servicemembers stationed outside the U.S. who are not furnished with government housing, there is Overseas Housing Allowance (OHA).

If enacted, this change would affect approximately 6.4% of active duty service members in dual-military marriages.

The proposed plan would save roughly $300 million over the next five years.

The Senate believes that the current BAH is too high, since the payout rates are typically higher than the cost of living in the areas where service members are stationed. But the Pentagon argues that BAH is a necessary part of military family compensation.

“While there would be some monetary savings in the BAH program achieved through implementation of a limitation of BAH payments for dual-military couples, the department objects to any limitation based solely on housing or marriage choices,” a DoD spokeswoman said.

Military Connection salutes and proudly serves veterans and service members in the Army, Navy, Air Force, Marines, Coast Guard, Guard and Reserve,  and their families.

House Vote Reduces GI Bill Housing Stipend for Military Children

bah cut

By Debbie Gregory.

The House of Representatives approved a bill that would cut, by half, the housing stipend for children of service members going to school with transferred Post-9/11 GI Bill benefits. The bill now moves to the Senate, where it would need to pass and then be signed by the president to become law.

The language, part of the Veterans Employment, Education and Healthcare Act, cuts the payment for children of service members using the transferred funding. It would not apply to benefits already transferred or transferred within 180 days of the bill becoming law.

The housing stipend, often one of the most valuable parts of the Post-9/11 GI Bill, is typically calculated based on the Basic Allowance for Housing that active-duty service members would receive if stationed where the school is located. The housing stipend may be worth as much as the tuition and fees the benefit covers, sometimes more.

A spokesman for the House Veterans’ Affairs Committee said the cuts were necessary to offset, or pay for, other aspects of the bill. He also noted that the cuts were less drastic than those recommended from the Military Compensation and Retirement Modernization Commission.

Minnesota Democratic Rep. Tim Walz, said that while the bill has “absolutely wonderful programs,” paying for those by reducing a benefit that service members have been promised “is an egregious breach of trust.”

“Why come to the soldiers first? There’s no other place in the federal government we can find this [funding]?” Walz asked.

Veteran and military groups seem to be split on whether or not this is a good move.

Veterans of Foreign Wars and Disabled American Veterans both wrote letters favoring the overall bill.

The Association of the United States Navy and the Iraq and Afghanistan Veterans of America are against the cuts.

The measure would not affect the stipends of veterans using Post-9/11 GI Bill benefits they earned themselves.

Military Connection salutes and proudly serves veterans and service members in the Army, Navy, Air Force, Marines, Coast Guard, Guard and Reserve,  and their families.