The COLA reductions of one percentage point, scheduled to take effect in 2015, are part of the recently approved Bipartisan Budget Act of 2013. The planned reductions have already garnered a negative response from veterans (see “Veterans Voice Pension Concerns”).
In response to this feedback from veterans, the House Oversight and Government Reform Committee announced that its chairman, Darrell Issa (R-California), has introduced a bill (H.R. 3801) to repeal the reductions. Issa explains that the bill would still achieve cost savings in other areas, namely through a modified delivery schedule for the U.S. Postal Service. This alternative, says Issa, will be an improvement over the $6.2 billion in savings over 10 years that would be achieved by the military COLA reductions.
“This legislation will restore cost-of-living adjustments for our military retirees and not only replace the savings but nearly triple them—saving $17 billion over 10 years, according to conservative U.S. Postal Service estimates,” says Issa.
Issa is not the only lawmaker to submit legislation in support of veteran pensioners, according to a news report from The Washington Post. Several other legislators have also proposed bills to restore the COLA reductions to military pensions, including Representative Rodney Davis (R-Illinois), Representative Michael G. Fitzpatrick (R-Pennsylvania), Senator Jeanne Shaheen (D-New Hampshire), Representative Ted Poe (R-Texas) and Representative Julia Brownley (D-California).
The full text of Issa’s bill (H.R. 3801) can be downloaded here.
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