DAV Statement on the Budget Agreement

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To avoid another government shutdown in January, the House and Senate reached a bipartisan budget agreement covering both fiscal years 2014 and 2015. When it was announced, both the Senate and House Budget Committees stated that the agreement contained no provisions detrimental to disabled veterans. However, it is now evident that enactment of this agreement did cut future cost-of-living adjustments (COLAs) for military retirement pay received by veterans who retired due to medical reasons, including those who suffered combat wounds. This reduction of the military retirement COLA shrinks payments to disabled veterans by hundreds of millions of dollars over the next decade.

DAV is extremely disappointed to learn that this unconscionable policy is contained in the budget agreement that passed the Senate December 18, and we urge Congress to immediately repeal this unacceptable provision. Cutting benefits for medically retired veterans in order to reduce the deficit is a major betrayal of those who have sacrificed so much for their country.

We do note that the budget agreement does not make any reductions in benefits paid to veterans by the Department of Veterans Affairs, including disability compensation payments. The full COLA for veterans benefits approved by Congress last month will not be reduced by this agreement.

However, working-age military retirees, if retired based on longevity or medically retired, would see their retirement pay increase at a slower pace than they would have received otherwise, one percent less, until they reach the age of 62, at which time these payments would revert to normal cost-of-living increases pegged to the full rate of inflation, assuming no other change in law. The reduction in COLA will not become fully effective until the end of 2015.

DAV urges Congress to take swift action to repeal any cuts to military retirement pay for veterans who are medically retired.




  • Anthony Canzater

    Is there no petition going for vets to sign to have this repealed?

  • Joseph Harrison

    isn’t it easy for those smegma like lyin Ryan to steal from the disabled vets

    • Toltepeceno Delsur

      Vote them out, 12 R’s 2 I’s and 53 d’s voted for this garbage.

  • Michelle Krueger Woznicki

    Sending letters to our Congressmen is useless. I sent letters in twice to multiple Congressmen and either got a bogus response or no response at all

  • Gary Morrison

    Not the first time! 40 years ago I was promised free medical & dental for the rest of my life!!!

  • Joseph Manny

    nobody on the hill care about us they are worried about their damn paychecks( you know the six figure pay checks) these assholes have no idea what it’s like to live paycheck to paycheck try to feed your family and hoping that there is enough left over that you can donate to help a brother or sister(Veteran) that is struggling!!!

  • Gerry Beecher

    I am just without words on this development but before the gas prices went thru the roof and it became a fight to buy food pay bills before one could take a vacation we lived a lot better then we do now! So if we were to take all the billions of dollars we put in the pockets of share holders pockets we wouldn’t have to resort to these so called cuts!! Now I see why they are trying to take away some of our freedoms like the right to bear arms.

  • David Jepsen

    also cuts in artificial limbs,new medical buildings etc.. You really have to read this article.

  • Guest

    I belive they have a Bill already introduced to elimanate this portion. That doesnt mean very much.

  • David Jepsen

    Yes ther is a BILL that i think the Senator from Wisconsin introduced to elimanate this portion. That will take forever.

  • Chris Curran

    What can us Vets do to help. The DAV must organize a petition and get it signed presenting the Vets voice to Congress. We can’t sit on our hands here. We must speak out and make our voice heard. Why is it when its time to make cuts our bennifits are always on the chopping block. You never here about welfare running out of money. This is our country that we fought for and its gunna run the way we want it to run. And if it dosent they should at least hear us load and clear. DAV, us vets see you guys as one of the most recognized voice on capital hill your alot of our voices. We pay you money to throw our lot in a hat thats respected by lawmakers. We want to do something to right this wrong now come up with a plan and implement it. If its money you need call for more, if its support you need then send out a petition for signatures, if its support you need then organize a protest. The leadership needs to make this happen. I know if the DAV called for Vets to act 50,000 Vets would assend down on this noble fight tomorrow.