WASHINGTON REPORT

With Congress on recess this week, we thought to enlighten some and to remind others about how the U.S. got started.  We also want everyone to know that we honor and remember the sacrifices made by members of our military from the Minute Men to the men and women still engaged in Afghanistan.  Take time this holiday to offer a prayer or a moment of silence to honor their service to America.

Independence Day

On July 4, 1776, the Declaration of Independence was adopted by the Continental Congress representing the 13 Colonies.  The document was written mainly by Thomas Jefferson and a five-member committee, made up of Jefferson, Benjamin Franklin, John Adams, Roger Sherman, and Philip Livingston. 

Among the 56 signers adopting the Declaration were farmers, lawyers, merchants, ministers, planters, doctors and men of numerous other occupations.  These men and their families were regarded as traitors by the British Government, and as the document was being signed, Benjamin Franklin said, “We must indeed all hang together, or most assuredly we shall all hang separately.”

The Declaration proclaimed: “We hold these truths to be self-evident: -- That all men are created equal; that they are endowed by their Creator with certain unalienable rights; that among there are life, liberty, and the pursuit of happiness.”  

Ever since the signing of the Declaration of Independence we have celebrated the 4th of July as Independence Day.  It is often called the Nation’s birthday, celebrated as the birth of American independence, with typical festivities ranging from fireworks, parades and concerts to more casual family gatherings and barbecues. 

NAUS is reminded on this celebration day of the great debt we owe our Founding Fathers and to the warrior soldiers who followed General George Washington into the battles that intensified followed our Declaration of Independence from Britain.  For as strong as the words that proclaimed our independence, the battles of the Revolutionary War were not decisively concluded until years later at Yorktown in 1781. 

NAUS also notes that of the 56 men who signed our great Declaration, 5 were taken prisoner, 12 had their homes sacked, 2 lost their sons, 9 died in the war itself.  Those men knew what they were doing.  In the final stirring words of the Declaration, they pledged to one another “our Lives, our Fortunes and our sacred Honor.”  And when liberty was at stake, they were willing, as generations of Americans to follow, to pay the price.  Freedom is not free.

As we take part in the festivities, fireworks and rockers’ glare, please take that precious moment to pause and think of our men and women in uniform facing real rockets, bombs and bullets in places around the globe.  We honor their service and salute the red, white and blue of Old Glory.  Happy Independence Day.

NAUS wishes our readers and all Americans a happy Independence Day.  Pleaseemail us any feedback, corrections or tips.  You can join NAUS online here.

War of 1812 Bicentennial

Thousands of sailors aboard naval ships from around the world are gathering in Boston this week to mark the 200th anniversary of the War of 1812 and the Star-Spangled Banner undefined an event that coincides with this year’s Boston Harborfest, a Fourth of July festival showcasing the city’s maritime and colonial heritage.

The War of 1812 marked the first time that the United States was threatened on its own soil. The conflict inspired Francis Scott Key to write the first edition of “The Star-Spangled Banner.”

The fleet of at least 18 naval ships converging in Boston is part of Operation Sail, or OpSail 2012, and includes sailors and Marines from the United States, Brazil, Ecuador, Colombia, Indonesia, Germany, Norway, Denmark, Canada and England.  The vessels are expected to bring 10,000 to 12,000 extra sailors as part of the Boston Navy Week’s War of 1812 bicentennial celebration.

Many cities in the U.S and Canada are having celebrations this year in remembrance of the 1812 war.  Many of the sailors mentioned above are aboard tall ships which many countries, including the U.S., use to train their naval cadets and midshipmen.  In the U.S. the Coast Guard ship “Eagle” is used to train Coast Guard cadets.

NAUS encourages you to attend one of the celebrations going on.  To learn more and to find out the nearest location to you go to this website.

Senate Defense Bill Moves Forward as CBO Scores Senate Committee Defense Act

The Congressional Budget Office (CBO) reported last Friday that the Senate Committee on Armed Services version of the 2013 National Defense Authorization Act (S. 3254), presented to the Senate on June 4, would authorize an estimated $634 billion for fiscal year 2013.  This includes $89 billion for overseas contingency operations, primarily in Afghanistan.  CBO Link here.

As currently presented, S. 3254 rejects the Pentagon plan for steep increases in TRICARE, but would allow the Defense Department to go forward with its plan for dramatic increases in pharmaceutical copays.  The full Senate has yet to schedule a time for the chamber to amend, debate and vote on the bill.  Once the Senate completes action, a House-Senate conference committee will negotiate differences between the two bills.  The House approved its version May 18, 299 in favor – 120 opposed (Roll no. 291). 

Green Fleet Steams On

The Navy is going ahead with an initiative to power ships with biofuel, despite criticism of the cost.  The “green fuel” costs nearly seven times more than conventional fuel.

This month marks the first time the Navy is using biofuel in an operational setting -- sending five ships to participate in a multi-nation exercise off the coast of Hawaii.

A Navy official said that sailing the so-called “Great Green Fleet” this month on the 50-50 blend of alternative and conventional fuel is part of Navy Secretary Ray Mabus’ plan to have half the Navy fleet on alternative fuel by 2020.

The spokesman also confirmed the fuel -- which does not require engine modifications -- costs $26 a gallon compared to $3.60 a gallon for conventional fuel. 

However, he pointed out the cost was for a one-day supply and that prices will drop when the Pentagon, among the country’s biggest fuel users, buys more. 

NAUS Note: Members of Congress have highly criticized the Mabus’ plan because they believe DoD is not in the business of developing alternative fuels.  That would be better left to the private sector.  They also criticize the high costs involved.  And, of course, we continue to hear top defense officials tell Congress and everybody else that health care costs are “eating them alive.”

Pentagon Submits Major Request to Reprogram Funds, TRICARE Funds Shifted Out

Last Friday, June 29, Congress received a reprogramming request from the Defense Department to shift more than $7 billion from specifically designated programs to other program initiatives within operations.  The request pulls from accounts where spending is less than previously estimated and reprograms increases into areas such as fuel costs (see article above), counterterrorism for several Middle Eastern countries, and to compensate for Pakistan closing ground supply routes to Afghanistan.

NAUS notes that contained in the request is the reprogramming of $708 million of available money from the Defense Health Program.  According to DOD, “funds are available because of a significant downward spike in the private sector care (PSC) cost growth rates.  Through the first 6 months of FY 2012, private sector care costs are growing at historically low rates of 0.6 percent for active duty and -2.7 percent for all other beneficiaries.” 

In its request to Congress, the Department said, “The FY 2012 budget estimate assumed private sector care cost growth rates of 12.9 percent for active duty and 8.5 percent for all other beneficiaries.”  With a negative rate of military medical inflation for beneficiaries, the Pentagon estimate for TRICARE costs becomes greatly excessive.

“These funds,” the Department said, “are excess to Defense Health Program requirements and can be used for higher priority items with no impact to the program.” 

A year ago, Congress and the Department increased beneficiary cost 13 percent for TRICARE Prime, while simultaneously moving more than $500 million from the TRICARE program to fund a number of “higher priority items,” including $350 million for non-battlefield and non-military research projects.  This year, it’s $708 million.

While seeking to shift funds, Pentagon officials continue to assert that the costs of health care earned by military retirees in prior defense of the nation “are hurtful, taking away from the nation’s ability to defend itself.”

GAO Upholds West Region Contract Award to United Healthcare

The U.S. Government Accountability Office (GAO) announced Monday that it has affirmed the Pentagon’s contract award of the TRICARE West Region to United Healthcare, a United Health Group company.

UnitedHealth is scheduled to take over the West Region contract in April 1, 2013.  The Region includes Alaska, Arizona, California, Colorado, Hawaii, Idaho, Iowa (excluding Rock Island Arsenal area), Kansas, Minnesota, Missouri (except the St. Louis area), Montana, Nebraska, Nevada, New Mexico, North Dakota, Oregon, South Dakota, Texas (the southwestern corner, including El Paso), Utah, Washington and Wyoming. 

Following the GAO decision, TriWest President and CEO David J. McIntyre, Jr., said, "We will be discussing this decision with our company's owners and the counsel who represent us, and will, in turn, be making a decision on what, if any, action we will take in response to the GAO's denial of our protest."  TriWest has managed the military’s health services for the nearly 2.9 million active duty and retired military service members and their families across the West Region for the past 16 years.

NAUS HQ

On behalf of NAUS President Jack Klimp and the entire NAUS HQ staff, we wish everyone a safe and happy July 4.  We encourage you to attend or even take part in any local Independence Day Celebrations in your area.  Of course we hope you attend the local fireworks display and OOOH and AHHH along with your family, friends and neighbors!

Reminder: NAUS HQ will close at noon on the 3^rd and will reopen, with minimal staffing on Thursday the 5^th  at 8 a.m.

NAUS Annual Meeting Week - October

This year’s Annual Membership Meeting will be held at the Hilton Hotel in Old Town Alexandria, VA, on Saturday, Oct. 20, 2012.  This year’s keynote speaker will be Vietnam War veteran and Medal of Honor recipient Paul Bucha. 

The week’s events kick-off Wednesday with the NAUS Regional Vice Presidents workshop at NAUS HQ.  On Thursday, Oct. 17, your Board of Directors and legislative staff will “Storm the Hill,” followed by the Board of Directors meeting on Friday at the hotel. 

Events for members start Friday and include a Potomac River lunch cruise, and a “Meet the NAUS Board” reception at the hotel Friday evening.  The Annual Meeting and luncheon follows on Saturday.  More details, including costs and registration information are foundonline here, or you may contact Ms. Vicki Sumner, NAUS Director of Administration.  Please plan to attend and help make this annual event a memorable and effective one as we continue to serve as The Servicemember’s Voice in Government.

Reminder: Online registration is encouraged – It’s easy and saves you and the NAUS staff time.  When you register, be sure you indicate which functions you want to attend.  If you need hotel accommodations, you will need to make those reservations separately with the hotel directly.