- DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR 2008

[Senate Hearing 110-201]
[From the U.S. Government Publishing Office]

S. Hrg. 110-201, Pt. 6

DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR
2008

=======================================================================

HEARINGS

before the

COMMITTEE ON ARMED SERVICES
UNITED STATES SENATE

ONE HUNDRED TENTH CONGRESS

FIRST SESSION

S. 1547

TO AUTHORIZE APPROPRIATIONS FOR FISCAL YEAR 2008 FOR MILITARY
ACTIVITIES OF THE DEPARTMENT OF DEFENSE, FOR MILITARY CONSTRUCTION, AND
FOR DEFENSE ACTIVITIES OF THE DEPARTMENT OF ENERGY, TO PRESCRIBE
PERSONNEL STRENGTHS FOR SUCH FISCAL YEAR FOR THE ARMED FORCES, AND FOR
OTHER PURPOSES

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PART 6

PERSONNEL

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MARCH 28 AND APRIL 18, 2007

Printed for the use of the Committee on Armed Services

DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR
2008--Part 6 PERSONNEL

S. Hrg. 110-201 Pt. 6

DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR
2008

=======================================================================

HEARINGS

before the

COMMITTEE ON ARMED SERVICES
UNITED STATES SENATE

ONE HUNDRED TENTH CONGRESS

FIRST SESSION

S. 1547

__________

PART 6

PERSONNEL

__________

MARCH 28 AND APRIL 18, 2007

Printed for the use of the Committee on Armed Services

U.S. GOVERNMENT PRINTING OFFICE
39-440 PDF WASHINGTON DC: 2008
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COMMITTEE ON ARMED SERVICES

CARL LEVIN, Michigan, Chairman

EDWARD M. KENNEDY, Massachusetts JOHN McCAIN, Arizona
ROBERT C. BYRD, West Virginia JOHN WARNER, Virginia,
JOSEPH I. LIEBERMAN, Connecticut JAMES M. INHOFE, Oklahoma
JACK REED, Rhode Island JEFF SESSIONS, Alabama
DANIEL K. AKAKA, Hawaii SUSAN M. COLLINS, Maine
BILL NELSON, Florida JOHN ENSIGN, Nevada
E. BENJAMIN NELSON, Nebraska SAXBY CHAMBLISS, Georgia
EVAN BAYH, Indiana LINDSEY O. GRAHAM, South Carolina
HILLARY RODHAM CLINTON, New York ELIZABETH DOLE, North Carolina
MARK L. PRYOR, Arkansas JOHN CORNYN, Texas
JIM WEBB, Virginia JOHN THUNE, South Dakota
CLAIRE McCASKILL, Missouri MEL MARTINEZ, Florida

Richard D. DeBobes, Staff Director

Michael V. Kostiw, Republican Staff Director

______

Subcommittee on Personnel

E. BENJAMIN NELSON, Nebraska, Chairman

EDWARD M. KENNEDY, Massachusetts LINDSEY O. GRAHAM, South Carolina
JOSEPH I. LIEBERMAN, Connecticut SUSAN M. COLLINS, Maine
JIM WEBB, Virginia SAXBY CHAMBLISS, Georgia
CLAIRE McCASKILL, Missouri ELIZABETH DOLE, North Carolina

(ii)
?

C O N T E N T S

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CHRONOLOGICAL LIST OF WITNESSES
Active Component, Reserve Component, and Civilian Personnel Programs
march 28, 2007

Page
Chu, Hon. David S.C., Under Secretary of Defense for Personnel
and Readiness..................................................
Hall, Hon. Thomas F., Assistant Secretary of Defense for Reserve
Affairs........................................................
Jones, Stephen L., DHA, Principal Deputy Assistant Secretary of
Defense for Health Affairs.....................................
Rochelle, LTG Michael D., USA, Deputy Chief of Staff, G-1, United
States Army....................................................
Harvey, VADM John C., Jr., USN, Chief of Naval Personnel, United
States Navy....................................................
Coleman, Lt. Gen. Ronald S., USMC, Deputy Commandant for Manpower
and Reserve Affairs, United States Marine Corps................
Brady, Lt. Gen. Roger A., USAF, Deputy Chief of Staff, Manpower
and Personnel, United States Air Force.........................

Joint Hearing with the Subcommittee on Readiness and Management Support
to Receive Testimony on the Readiness Impact of Quality of Life and
Family Support Programs to Assist Families of Active Duty, National
Guard, and Reserve Military Personnel
april 18, 2007

Dominguez, Hon. Michael L., Principal Deputy Under Secretary of
Defense for Personnel and Readiness............................
Davis, Lynda C., Deputy Assistant Secretary of the Navy for
Military Personnel Policy......................................
McLaurin, John, Deputy Assistant Secretary of the Army for Human
Resources......................................................
Brady, Lt. Gen. Roger A., USAF, Deputy Chief of Staff for
Manpower and Personnel, Headquarters, United States Air Force..
McDonald, Connie, Spouse of an Army Servicemember................
Sumrall, Paula, Spouse of a National Guard Servicemember.........
Hall, Launa, Spouse of an Air Force Servicemember................
Piacentini, Mary, Spouse of an Army Reserve Servicemember........
Raezer, Joyce Wessel, Chief Operating Officer, National Military
Family Association.............................................

(iii)

DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR
2008

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WEDNESDAY, MARCH 28, 2007

U.S. Senate,
Subcommittee on Personnel,
Committee on Armed Services,
Washington, DC.

ACTIVE COMPONENT, RESERVE COMPONENT, AND CIVILIAN PERSONNEL PROGRAMS

The subcommittee met, pursuant to notice, at 4:00 p.m. in
room SR-232A, Russell Senate Office Building, Senator E.
Benjamin Nelson (chairman of the subcommittee) presiding.
Committee members present: Senators E. Benjamin Nelson and
Collins.
Majority staff members present: Jonathan D. Clark, counsel;
Gabriella Eisen, professional staff member; and Gerald J.
Leeling, counsel.
Minority staff member present: Diana G. Tabler,
professional staff member.
Staff assistants present: David G. Collins and Fletcher L.
Cork.
Committee members' assistants present: Eric Pierce,
assistant to Senator Ben Nelson; Stephen C. Hedger, assistant
to Senator McCaskill; Mark J. Winter, assistant to Senator
Collins; and Clyde A. Taylor IV, assistant to Senator
Chambliss.

OPENING STATEMENT OF SENATOR E. BENJAMIN NELSON, CHAIRMAN

Senator Ben Nelson. I'll call the subcommittee to order.
The subcommittee meets today to receive testimony on the
Active, Guard, Reserve, and civilian personnel programs in
review of the National Defense Authorization Request for Fiscal
Year 2008 and the Future Years Defense Program (FYDP).
I'd like to begin by stating how honored I am to chair the
Subcommittee on Personnel. It is a great honor, and I look
forward to my time as chairman. I'm especially grateful to have
Senator Graham as the ranking member. I am sorry he's not here
to hear all these nice things I'm going to say about him, but
I'm going to say them about him in any event. He and I have
worked together for several years. While he was chairman, I was
the ranking member, and we always worked well together.
Whatever the political divisions of the larger Senate, or
Congress, I've found it quite easy to cross the aisle during my
time on the Senate Armed Services Committee, and particularly
this subcommittee. We all want to do what's right by our
servicemembers and their families. So, I look forward to
continuing the relationship with Senator Graham.
I welcome back Senators Kennedy, Lieberman, Collins,
Chambliss, and Dole to the subcommittee. I thank them for their
continued service. This year, we welcome two new Senators to
the subcommittee, Senators Jim Webb and Claire McCaskill.
They'll bring unique insights and ideas to the subcommittee,
and I look forward to working with them.
Of course, to our witnesses, welcome, Secretary Chu. By my
count, this will be at least your ninth appearance before this
subcommittee. You probably have not been counting, but you
should be. We appreciate your service and dedication to our
servicemembers and their families. You've provided continuity
and steady leadership in your time with the Department of
Defense (DOD), and I thank you for that.
We also welcome today Dr. Stephen Jones, who hails from the
great State of South Carolina. Senator Graham is well aware of
your presence here today, and I know that he'll be joining us
shortly. Dr. Jones is the Principal Deputy Assistant Secretary
of Defense for Health Affairs.
Of course, rounding out our first panel is Secretary Thomas
F. Hall, Assistant Secretary of Defense for Reserve Affairs.
So, welcome to all of you.
The second panel will consist of the personnel chiefs from
each of the Services, and I'll introduce them when the second
panel is seated.
We meet today as the fourth year of the war in Iraq comes
to a close and we enter a fifth. Since the institution of the
All-Volunteer Force in 1973, the Nation has not faced as
protracted a conflict as the one it now faces. The force is
stressed. Both the Active and Reserve components are stretched
thin. It is all the Services can do to ensure the readiness and
mission capability of forces deploying, redeploying, and
redeploying again to Iraq and Afghanistan. Because of this
stress, soldiers and marines are not getting the training they
would normally get to ensure their readiness for missions
outside of the current conflict. The stress is not limited to
our servicemembers. We must not forget their families. The
stress on the modern military family is unprecedented.
According to a recent report by the American Psychological
Association Presidential Task Force on Military Deployment
Services for Youth, Families, and Servicemembers, 700,000
children in this country have at least 1 parent deployed away
from home. That's mindboggling to consider. In addition to
those children, there are the spouses, grandparents, aunts,
uncles, and siblings left to raise the children in the absence
of their parent or parents. We must never lose sight of the
families as we consider what measures to take to enhance the
safety and well-being of our servicemembers. Their family is
our family.
We also face issues with the physical disability evaluation
system. Between the DOD and Department of Veterans Affairs
(VA), two disparate systems exist that rate disabled veterans
differently. Moreover, the DOD system is so weighed down with
bureaucracy that our wounded soldiers have difficulty
navigating the system, as the recent hearings on the issues at
Walter Reed Army Medical Center have revealed.
Meanwhile, we're trying to increase the size of the Army
and Marine Corps. The administration has belatedly recognized
that a larger force was, and is, needed. Growing the force
raises obvious questions about recruiting and retention, as
well as the right mix of pay, bonuses, and benefits to attract
and retain America's best young men and women. Also, as we go
down this road of increasing the Army and Marine Corps end
strength, we must be sure it's not growth just for the sake of
growth. The growth in our ground forces must be tied to a
strategic analysis of the global threat in the short-term, as
well as the long-term. The growth must be directly tied to the
force that is needed to combat those threats.
Increased end strength doesn't come without a cost. While
not exactly a zero-sum game, there are budgetary tradeoffs to
growing the force. All of this reflects the reality that we
face today. Our servicemembers shoulder more responsibility and
are increasingly asked to do more. With the increased
requirements comes a cost that is difficult to bear.
We absolutely must take care of our soldiers, especially
our wounded soldiers and their families. We cannot have another
Walter Reed. We must ensure that our soldiers are properly
trained and equipped to perform the tasks we ask them to
perform, as well.
So, on these issues, there can be no compromise. The issues
we face going forward are difficult, but not insurmountable. I
look forward to hearing from our witnesses today on the
programs and priorities DOD has identified to overcome these
challenges.
When Senator Graham arrives, we'll ask him for his opening
statement, but, for the sake of the time factor, we would ask
you if you would proceed with your opening statements.

STATEMENT OF HON. DAVID S. C. CHU, UNDER SECRETARY OF DEFENSE
FOR PERSONNEL AND READINESS

Dr. Chu. Delighted to do so, sir. Thank you for your very
generous comments in your introductory statement.
I am privileged to be here today to explain the programs
proposed by DOD to sustain its people in this long conflict. I
think you've correctly noted the challenge we face. This is a
long-distance effort, and the fact that the Nation is pursuing
it with a volunteer force is a historic decision.
We do have a joint statement, for the record, which I hope
you would accept for this hearing.
Senator Ben Nelson. It will be accepted, without objection.
Dr. Chu. Thank you, sir.
It is a lengthy statement, and one might ask, ``Why is it
so lengthy?'' It is lengthy because it illustrates the
complexity of sustaining a volunteer force in a long conflict,
the many different programs that we need to pursue and support
in order to be successful; and we are very grateful for the
support that Congress has given us. It has been critical to the
success we have enjoyed to date.
I can report, sir, that your All-Volunteer Force is in good
health today. You can see that good health in the excellent
retention statistics; the people who have joined us are staying
with us, and staying with us at high levels, despite the stress
and the burdens that they and their families bear, that you so
correctly identified. You can see it also, I think, in the
success in recruiting. The four Active Services are meeting
their recruiting goals.
I do underscore the importance of broad public support for
service in the military of the United States. This is a subject
we've discussed before, a subject in which we can all be
advocates so that when the young man or young woman comes home
and discusses this prospect, he or she is met with enthusiasm
and interest, and not with skepticism and doubt. I do think
that is a challenge, in terms of national attitudes.
As you noted, sir, DOD is expanding its capabilities. The
Air Force and the Navy are doing so with a reduction in the
number of people they think they will need in order to carry
out their responsibilities. They are, importantly, using the
funds freed by those reductions in order to bolster the
investment accounts to buy the new-generation equipment that's
so essential to our long-term success.
The Army and the Marine Corps, in contrast, are increasing
their end strength at the same time the DOD is proposing
increases in their investment accounts. That does mean that the
Army, specifically, does receive a larger share of the overall
DOD budget.
We are creating additional manpower capacity through one
other route, and that is the conversion of military billets in
nonmilitary occupational areas to civil status. Through the end
of this fiscal year, we anticipate the conversion, department-
wide, of approximately 31,000 billets; and, by the end of
fiscal year 2013, we think that total will reach 55,000, on a
cumulative basis.
We do need some new authorities, sir, and let me highlight,
if I may, in the fiscal 2008 effort three areas, in particular,
that enjoy high priority in DOD's proposals.
First, some modest relief, in terms of grade restrictions
for mid-career officers and for E-9s. We find, with the advent
of additional joint headquarters, joint efforts, combined
efforts, integrated efforts, as some would describe them, where
we work with nongovernment organizations (NGOs), that we need
more of those who are equipped to deal with these complex
issues that we face today.
Second, we would very much like to seek, from Congress,
broad demonstration authority to manage officer communities in
a manner different from that which is constrained by the
Defense Officer Personnel Management Act. We would restrict
that authority, in terms of its scope, so that we can try out
on a limited basis what might be promising ideas for the long-
term for a wider section of the force.
The third area in which we'd seek new authorities has to do
with how special pays in the military are constructed and the
variety of pays and bonuses that we offer in order to provide
incentive or recompense for the duties that individuals
undertake. There are now approximately 60 different sections of
statute on this point. It's often confusing to the individual
servicemember why he or she is paid this way in this
circumstance and a different way in another circumstance. It's
also a significant administrative challenge for the DOD. My
hope would be that we can bring these separate pay authorities
under a small number of broader headings that would make them
more efficient, make them more easily understood by our people,
and that would, at the same time, make them more effective in
carrying out our responsibilities to sustain this All-Volunteer
Force.
If I may, sir, I would turn to my colleagues, Secretary
Hall and Dr. Jones, and ask them, very briefly, to say a word
about their areas of responsibility.
Thank you, sir.
[The joint prepared statement of Dr. Chu, Mr. Hall, and Dr.
Jones follows:]

Joint Prepared Statement by Hon. David S. C. Chu, Hon. Thomas F. Hall,
and Dr. Stephen L. Jones, DHA

INTRODUCTION

Mr. Chairman and members of this distinguished subcommittee, thank
you for inviting us to be here today.
We are now in the sixth year of a ``Long War.'' A necessary
condition for success is the continued viability of our All-Volunteer
Force. We all agree that the dedication and superb performance of
Active and Reserve servicemembers and Department of Defense (DOD)
civilians--our Total Force--are beyond dispute.
To that Total Force we must also add the families of those who
serve. Without their strong support and willingness to sacrifice, we
could not sustain adequate numbers of high-performing soldiers,
sailors, airmen, and marines. These men and women must go into harm's
way confident that the welfare of those they hold dear is protected.
We face two fundamental and related challenges. First, we must
continue to attract and retain high quality, motivated individuals for
Active and Reserve military service and we must maintain an
enthusiastic and skilled civilian workforce.
Second, we must make hard choices, weighing sufficiency against the
risks of an uncertain future. As we invest in our human capital, we
must do so judiciously. While our future challenges may often seem
without bounds, our resources are not. We must choose wisely.

THE ALL-VOLUNTEER FORCE

Shaping the Force. We will balance our end strength needs--
increasing where we must, decreasing where it makes sense. To that end,
we propose to permanently increase the end strength of the Army and
Marine Corps, focusing on combat capability. However, planned
reductions resulting from transformation efforts in the active Air
Force and Navy manpower programs, and the Navy Reserve, as stated in
our fiscal year 2008 President's budget request, balance risk with
fiscally responsible manpower program decisions.
To support these programmed strength reductions, we have developed
an integrated package of voluntary separation incentives. We want to
recognize the enhancement to the targeted incentive authority that you
provided us, which allows us to offer monetary incentives to shape the
military Services by offering these incentives to non-retirement
eligible officer and enlisted personnel in specific grade, skill and
year service cohorts. Voluntary incentive tools like this are of
particular importance when the Air Force and Navy are decreasing in
size while the Army and Marine Corps are increasing operating strength.
Our goal is to use these tools sparingly to make sure our forces are
sized and shaped to be the most effective, flexible and lethal. Only if
voluntary separations do not suffice would the military departments, as
a last resort, implement involuntary separation measures such as Early
Discharge Authority or Selective Early Retirement.
Military-to-civilian conversions help alleviate stress on the force
and reduce workforce costs. This initiative replaces uniformed
servicemembers in activities that are not ``military essential'' with
DOD civilians or private sector contractors. By the end of fiscal year
2007, the number of conversions should exceed 31,000. When conversions
programmed through fiscal year 2013 are completed, the total number of
conversions should exceed 55,500. In addition, DOD components have
established goals that could eventually raise this number to over
62,000.
When the Navy and the Air Force convert military billets to DOD
civilian or private sector performance, they reduce their military end
strength without any loss of combat capability. Because the average
costs of civilians are less than the average costs of military, there
are net savings that are used for force modernization,
recapitalization, and other compelling needs.
When the Army and Marine Corps convert military billets, both
Services retain the military end strength so it can be reallocated to
operating units to increase force capability, thereby reducing the
pressure on recruiting. Military-to-civilian conversions likewise offer
both Services a way to man units more quickly at the mid-grade level.
Because civilians cost less on average than their military
counterparts, military conversions provide a less expensive way of
increasing the size of the operating force than an increase to military
end strength would provide.
Active Duty Recruiting
During fiscal year 2006, the active duty components recruited
167,909 first-term enlistees and an additional 12,631 individuals with
previous military service, attaining over 100 percent of the DOD goal
of 179,707 accessions.
While meeting our quantitative goals is important, we also need to
have the right mix of recruits who will complete their term of service
and perform successfully in training and on the job. The ``quality'' of
the accession cohort is critical. We typically report recruit quality
along two dimensions--aptitude and educational achievement. Both are
important, but for different reasons.
All military applicants take a written enlistment test called the
Armed Services Vocational Aptitude Battery. One component of that test
is the Armed Forces Qualification Test (AFQT), which measures math and
verbal skills. Those who score above average on the AFQT are in
Categories I-IIIA. We value these higher-aptitude recruits because they
absorb training lessons and perform better on the job than their lower-
scoring peers (Categories IIIB-IV). These category groupings describe a
range \1\ of percentiles, with Category I-IIIA describing the top half
of American youth in math and verbal aptitudes.
---------------------------------------------------------------------------
\1\ AFQT (Math-Verbal) Percentile: I (93-99); II (65-92); IIIA (50-
64); IIIB (31-49); IV (10-30).
---------------------------------------------------------------------------
We also value recruits with a high school diploma because they are
more likely to complete their initial 3 years of service. About 80
percent of recruits who have received a traditional high school diploma
complete their first 3 years, yet only about 50 percent of those who
have not completed high school will make it. Those holding an
alternative credential, such as a high school equivalency or a General
Educational Development certificate, fall between those two extremes.
In conjunction with the National Academy of Sciences, the
Department reviewed how best to balance educational attainment,
aptitude, recruiting resources, and job performance. With an optimizing
model we established recruit quality benchmarks of 90 percent high
school diploma graduates and 60 percent scoring above average on the
AFQT. Those benchmarks are based on the relationship among costs
associated with recruiting, training, attrition, and retention using as
a standard the performance level obtained by the enlisted force cohort
of 1990--the force that served in Operations Desert Shield/Desert
Storm. Thus, the benchmarks reflect the aptitude and education levels
necessary to minimize personnel and training costs while maintaining
the required performance level of that force.
For over 20 years, the military Services have met or exceeded the
Department's benchmarks for quality active-duty recruits (Figure 1).

The quality of new active duty recruits remained high in fiscal
year 2006. DOD-wide, 91 percent of new active-duty recruits were high
school diploma graduates (against the goal of 90 percent). This
compares favorably to the national average in which only about 80
percent graduate from high school. On the AFQT, 69 percent are drawn
from the top half of America's youth (versus a desired minimum of 60
percent).
Through January, all Services have met or exceeded numerical
recruiting objectives for the active force. Army achieved 28,407 of its
26,350 recruiting goal, for a 108 percent year-to-date accomplishment
(Table 1). The Active Army did fall short of recruits with a high
school diploma (80 percent versus the desired 90 percent). Although the
Army is slightly below the desired number of recruits scoring at or
above the 50th percentile on the AFQT, we look for the Army to achieve
the DOD benchmark by the end of fiscal year 2007.

TABLE 1. FISCAL YEAR 2007 ACTIVE DUTY ENLISTED RECRUITING THROUGH FEBRUARY 2007
----------------------------------------------------------------------------------------------------------------
Quantity Quality
--------------------------------------------------------------------------
Percent Scoring
Percent High at/above 50th
School Diploma Percentile on
Accessions Goal Percent of Graduate (HSDG); AFQT (Categories
Goal DOD Benchmark = I-IIIA); DOD
90 Percent Benchmark = 60
Percent
----------------------------------------------------------------------------------------------------------------
Army................................. 28,407 26,350 107.8 80 59
Navy................................. 13,001 13,001 100.0 93 73
Marine Corps......................... 11,694 11,357 103.0 95 67
Air Force............................ 11,315 11,315 100.0 98 79
--------------------------------------------------------------------------
Total.............................. 64,417 62,023 103.9 90 68
----------------------------------------------------------------------------------------------------------------

Active Duty Retention
Overall, in fiscal year 2006 we exceeded Active duty retention
goals across the board. The Army, Air Force, and Marine Corps met
fiscal year 2006 active duty retention goals in every category. The
Navy retained in high numbers at the outset of the year, but a focus on
physical fitness test performance led to an increase in
disqualification among first-term sailors later in the year. Navy is on
a planned, controlled path to reshape the force and will continue to
monitor carefully zone behavior by skill set.
For fiscal year 2007, active duty retention continues on track
(Table 2). The Army, Air Force and Marine Corps met or exceeded their
overall active duty retention missions, although Army lags in the mid-
career category. Historically, Army begins the year slowly and finishes
strong; thus we are predicting that Army will meet its reenlistment
goals in all categories, including mid-career, for fiscal year 2007.
While Navy numbers remain below monthly goals in Zone A and Zone B,
they should meet their Zones B and C goals at the end of the fiscal
year, but will be challenged to meet their Zone A target. Navy will
take necessary actions to influence reenlistment decisions and meet
reenlistment goals.

TABLE 2. FISCAL YEAR 2007 ACTIVE DUTY ENLISTED RETENTION THROUGH
FEBRUARY 2007
------------------------------------------------------------------------
Reenlisted
Through February Mission
2007
------------------------------------------------------------------------
Army
- Initial....................... 12,442 10,384
- Mid-Career.................... 8,203 8,881
- Career........................ 6,188 6,163
Navy
- Zone A........................ 5,079 6,405
- Zone B........................ 3,977 4,432
- Zone C........................ 2,279 2,163
Air Force
- Zone A........................ 7,467 7,500
- Zone B........................ 4,347 4,583
- Zone C........................ 2,664 2,767
Marine Corps
- First......................... 5,504 3,458
- Subsequent.................... 3,389 3,250
------------------------------------------------------------------------

Of course, our retention efforts ultimately support the delivery of
seasoned performers to higher ranks. In recent years, the grade
proportions have shifted upward slightly as we continue to field weapon
systems and units with fewer lower-grade positions. This will require
legislative change to adjust some of our grade structures.
The Army is the only Service currently using Stop Loss. As of
January 2007, the Army Stop Loss program affected less than half of one
percent of the total force (7,148 Active component, 1,537 Reserve, and
2,053 National Guard soldiers). The active Army Unit Stop Loss program
takes effect 90 days prior to unit deployment or with official
deployment order notification, if earlier, and remains in effect
through the date of redeployment to permanent duty stations, plus a
maximum of 90 days. Reserve component Unit Stop Loss begins 90 days
prior to mobilization or with official mobilization alert deployment
order notification, if later, and continues through mobilization, and
for a period up to 90 days following unit demobilization. The Secretary
has directed that we minimize the use of Stop Loss.
Purpose, Missions, and Policies of the Reserve Components
The Department's use of the Reserve components has changed
significantly since 1990, and a mission-ready National Guard and
Reserve Force has become a critical element in implementing our
national security strategy. The National Guard also remains integral to
homeland defense missions and will remain a dual-missioned force,
performing Federal and State missions, exemplified by numerous National
Guard members who responded to hurricanes, floods, blizzards, and
wildfires.
The Reserve components support day-to-day defense requirements, and
portions of the Reserve have served as an operational force since
Operation Desert Shield/Operation Desert Storm. This force is no longer
just a strategic Reserve. Since September 11, 2001, an annual average
of about 60 million duty days have been provided by Reserve component
members--the equivalent of adding over 164,000 personnel to the active
strength each year.
The Reserve components support the full spectrum of operational
missions and are currently furnishing about 18 percent of the troops in
the Central Command (CENTCOM) theater of operations. The Reserve
components perform a variety of nontraditional missions in support of
the global war on terror, including providing advisory support teams in
support of the training that will allow Iraqi and Afghan forces to
assume a greater role in securing their own countries.
To assist in this transformation of the Reserve components, the
Department initiated a ``Continuum of Service'' paradigm aimed to
provide more flexibility in creating needed capabilities and to ensure
seamless and cost-effective management of military forces. It
prescribes both organizational and systemic change in order to more
effectively manage individuals throughout their military career, while
meeting the full spectrum of military requirements in peacetime and
wartime with greater efficiency and economy of resources. The continuum
of service enhances the spirit of volunteerism by providing more ways
in which military service can be performed to support DOD missions. The
continuum provides more extensive opportunities for the part-time force
to volunteer for extended service. Facilitating transitions between
levels of participation reflects the convergence of two goals: that of
an operationally integrated total force and that of a seamless force--
one where members can easily move between full- and part-time status.
Facilitating these goals was the creation of the ''Operational
Support'' strength accounting category authorized by Congress in the
National Defense Authorization Act (NDAA) for Fiscal Year 2005, which
makes it easier and less disruptive for Reserve component members to
volunteer to perform operational missions.
Recognizing that this Operational Reserve is still a Reserve Force,
our policies continue to support the prudent and judicious use of
National Guard and Reserve members--something we have emphasized since
2001. We have focused on husbanding Reserve component resources and
being sensitive to the quality-of-life of mobilized personnel, their
families, and the impact on civilian employers of reservists. Our
policies stress advance notification to aid in predictability, as well
as now enabling reservists and their families to take advantage of
early access to medical benefits.
This Operational Reserve supports ongoing missions where
appropriate, while providing the additional Reserve capacity needed to
meet surge requirements or support wartime or contingency operations.
This new construct allows greater flexibility to perform new missions
ideally suited to Reserve service, such as ``reach-back'' missions
(Intelligence, Communications, Unmanned Arial Vehicles, etc.) and
training missions.
Reserve and National Guard Utilization
There continues to be considerable discussion about the stress that
the global war on terror places on the force. Recent guidance from the
Secretary of Defense established new tenets of Reserve mobilization to
support our members, their families, and their employers better while
continuing to meet mission requirements. These principles include
limiting involuntary unit mobilizations to no more than 12 months,
followed by a 5 year dwell of no involuntary mobilizations; minimizing
the use of Stop Loss; managing mobilization of ground forces on a unit
basis; and emphasizing use of our hardship waiver programs. These
principles will provide for increased predictability and unit
integrity; focus on the extreme circumstances facing certain families;
and, ensure force availability.
Almost 565,000 Reserve component members have served in support of
the current contingency since September 11, 2001 and more than 127,000
have served more than once--with almost all (99 percent) of those
127,000 volunteering for those tours. Of the current Selected Reserve
Force of about 831,000 today, slightly more than 47 percent have been
mobilized. We are monitoring the effects of this usage using the
metrics of strength achievement, recruiting rates, attrition rates, and
employer relations through the number of alleged employer mistreatment
discussed below.
Although end strength achievement in fiscal year 2006 was less than
100 percent (97.1 percent) the downward trend of the previous 2 years
was reversed. The shortfall was primarily in the Army National Guard
and the Navy Reserve. Fiscal year 2007 projections, based partially on
first quarter fiscal year 2007 data, indicate we will see continued
improvement in end strength achievement.
Department of Labor (DOL) cases involving Reserve component member
claims of mistreatment by civilian employers have risen from 724 in
fiscal year 2001 to 1,366 in fiscal year 2006. This is not surprising
considering the mobilization of nearly a half million Reserve
personnel, and a usage rate of Reserve component members in 2006 five
times higher than in 2001 (approximately 60 million man-days in 2006
compared to 12.7 million man-days in 2001). When normalized for usage,
the rate of cases is consistent. DOD and DOL have established a
Memorandum of Understanding that enhances communication and information
sharing and mobilizes all available government resources for Reserve
component members.
Reserve Component Recruiting
In a challenging recruiting environment, the DOD Reserve components
reversed the downward trend of the preceding 3 years and, cumulatively,
achieved 97 percent of their fiscal year 2006 recruiting objectives--a
significant increase over the 85 percent achievement in fiscal year
2005. Two of the six DOD Reserve components exceeded their recruiting
objectives--the Marine Corps Reserve and the Air Force Reserve. The
Army National Guard and Air National Guard came close to making their
goals, achieving 98 percent and 97 percent, respectively. The Army
Reserve fell short by 1,653 (achieving 95 percent), and the Navy
Reserve fell short by 1,458 (achieving 87 percent). The improved
recruiting results, coupled with low attrition, have helped the Reserve
components achieve better end strength posture.
Through February of fiscal year 2007, four of the six DOD Reserve
components are exceeding their recruiting objectives (Table 3).

TABLE 3. RESERVE COMPONENT RECRUITING PERFORMANCE THROUGH FEBRUARY 2007
----------------------------------------------------------------------------------------------------------------
Percent Scoring
Percent High at or above 50th
Reserve Enlisted Recruiting, Fiscal Year Goal Accessions Percent of School Diploma Percentile on
2007 Through February Goal Graduate (HSDG) AFQT (Cat I-
IIIA)
----------------------------------------------------------------------------------------------------------------
Army National Guard..................... 25,470 26,703 105 93 58
Army Reserve............................ 11,600 10,926 94 92 57
Naval Reserve........................... 4,018 3,598 90 92 72
Marine Corps Reserve.................... 3,015 3,128 104 95 70
Air National Guard...................... 3,724 3,935 106 98 74
Air Force Reserve....................... 2,744 2,811 102 99 70
----------------------------------------------------------------------------------------------------------------

Quality marks continue to show improvement throughout the Reserve
components with only a slight shortfall in AFQT levels for the Army
National Guard (ARNG) and U.S. Army Reserve (USAR). The young men and
women being recruited today are among America's finest.
The Army is aggressively pursuing Reserve component recruiting
through three avenues: (1) extension of the quick ship bonus and
improvements in the Reserve Partnership Councils; (2) stronger
incentives, with increased enlistment bonuses for both prior service
and non-prior service recruits; and (3) increased advertising
expenditures, including targeted advertising to parents and others who
influence the decisions of young Americans. Your support of these
efforts is essential.
Reserve Retention
The percentage of reenlistment goal achieved increased in fiscal
year 2006 to 104 percent, up from 100.1 percent in fiscal year 2005.
This increase, for the fifth straight year, reflects the positive trend
that we believe will continue in fiscal year 2007, if we maintain the
course of judicious and prudent use.
Measuring all losses from the Reserve components, regardless of
reason, indicates that enlisted attrition remained below established
ceilings for fiscal year 2006, a very positive trend. The composite
(officer + enlisted) attrition rate of 18.4 percent was the lowest it
has been since fiscal year 1991. In fiscal year 2007, through January
2007, enlisted attrition is on track to remain below ceilings
established by each Reserve component. We are closely monitoring
retention/attrition, particularly for those members who have been
mobilized and deployed to support operations in Iraq and Afghanistan.

TABLE 4. RESERVE COMPONENT ATTRITION THROUGH JANUARY 2007
----------------------------------------------------------------------------------------------------------------
Fiscal Year Fiscal Year Fiscal Year
Selected Reserve Enlisted Attrition Rate (in percent) 2000 YTD 2006 YTD 2007 YTD 2007 Target
(Jan. 2000) (Jan. 2006) (Jan. 2007) (Ceiling)
----------------------------------------------------------------------------------------------------------------
Army National Guard......................................... 6.90 5.99 6.59 19.5
Army Reserve................................................ 8.97 6.54 7.29 28.6
Navy Reserve................................................ 10.36 11.56 10.13 36.0
Marine Corps Reserve........................................ 9.69 7.72 9.01 30.0
Air National Guard.......................................... 4.36 3.61 3.47 12.0
Air Force Reserve........................................... 6.94 4.65 5.60 18.0
DOD......................................................... 7.51 6.24 6.64 N/A
----------------------------------------------------------------------------------------------------------------

Of all the strategies to help reduce the stress on the force, still
the first and perhaps most important is rebalancing. Rebalancing
improves responsiveness and eases stress on units and individuals by
building capabilities in high-demand units and skills. In 2003,
rebalancing was defined to include low demand structure to high demand
structure as well as multiple initiatives such as military-to-military
conversions, technology insertions, and organization of forces. In
fiscal year 2006 (post Quadrennial Defense Review (QDR)), the
definition of rebalancing was refined and updated to reflect solely the
addition of structure (spaces) from low demand to high demand on
``stressed'' capability areas. Rebalancing can occur by adding force
structure to stressed capability areas in the Active component, the
Reserve component (Guard or Reserve), or any combination thereof.
The Services continued to improve their Active/Reserve component
mix by rebalancing approximately 19,000 spaces in fiscal year 2006, for
a total of about 89,000 spaces to date. The Services have planned and
programmed an additional 37,000 spaces for rebalancing between fiscal
years 2007 and 2012. The amount and type of rebalancing varies by
Service. By 2012, we expect to have rebalanced about 126,000 spaces.
Rebalancing is a continuous and iterative process. The Department will
continue to work closely with the Services as they review and modify
their rebalancing plans to achieve the right mix of capabilities and
alignment of force structure.
The mission of the National Committee for Employer Support of the
Guard and Reserve (ESGR) is directly related to retention of the Guard
and Reserve Force. ESGR's mission is to ``gain and maintain support
from all public and private employers for the men and women of the
National Guard and Reserve as defined by demonstrated employer
commitment to employee military service.'' Employer support for
employee service in the National Guard and Reserve is an area of
emphasis, considering the continuing demand the global war on terror
has placed on the Nation's Reserve components. The broadbased,
nationwide support for our troops by employers continues to be superb.
Through its locally-based network of 3,500 volunteers and its full-
time national staff, ESGR reaches out to both employers and
servicemembers to help ensure the requirements of the Uniformed
Services Employment and Reemployment Rights Act (USERRA), 38 U.S.C.,
(sections 4301-4334) are understood and applied. Servicemembers and
employers may resolve USERRA conflicts by utilizing the free mediation
and ombudsman services provided by ESGR. ESGR's aggressive outreach
efforts have resulted in a 50 percent reduction in the number of
ombudsman cases from 2004 to 2005. ESGR continually increases the
percentage of cases resolved through informal mediation.
We established the Civilian Employment Information database and now
require Reserve component members to register their employers. ESGR has
established a Customer Service Center hotline to provide information,
assistance and to gather data on issues related to Reserve component
service. Used together, these databases enable ESGR to develop personal
relationships with employers, measure and manage employment issues, and
advise the Department when developing policies and practices to
mitigate the impact on employers when a reservist employee is called to
military duty.

COMPENSATION AND MANAGEMENT

Compensation
The men and women of today's Armed Forces are highly motivated, of
superior quality, and extremely capable of meeting the national
security objectives associated with the global war on terror and other
operational engagements. To sustain this highly-skilled All-Volunteer
Force, we must continue to work together to ensure a robust and
competitive compensation package for our wartime professionals. We are
grateful to Congress for its commitment to improving basic pay, housing
and subsistence allowances, bonuses, special and incentive pay, and
other key benefits over the past several years. These enhancements have
been extremely beneficial to the well-being of the members of our Armed
Forces and their families.
Since September 11, 2001, the Department and Congress have worked
together to increase military basic pay by approximately 28 percent. We
are appreciative of Congress' support in the NDAA for Fiscal Year 2007
to increase pay for higher ranking enlisted personnel and warrant
officers as well as extend the pay table to encourage longer service.
We have achieved our goal of pay equal to or greater than the 70th
percentile of private sector pay for those with comparable levels of
age, education and experience. We continue our strong commitment to
provide a secure standard of living for those who serve in uniform by
requesting a 3-percent increase in military pay for all servicemembers
in the fiscal year 2008 budget. This increase is equal to earnings
increases in the private sector as measured by the Employment Cost
Index.
Servicemembers must be confident that they can afford adequate
housing when they move in the service of their country. Therefore, the
housing allowance is one of the key elements of a competitive
compensation package. The basic allowance for housing increased almost
80 percent since 2001, as a direct result of the close cooperation
between the Department and Congress. To ensure the allowance accurately
reflects the current housing markets where servicemembers and their
families reside, the Department will continue its efforts to improve
our data collection.
A top priority for the Department is ensuring servicemembers and
their families receive appropriate compensation while members are
deployed and serving their country in dangerous locations around the
world. Military personnel serving in Operation Enduring Freedom and
Operation Iraqi Freedom (OEF/OIF) in a designated combat zone, as well
as members serving in direct support of these operations, receive
combat zone tax relief benefits that exclude all pay of our enlisted
members and most of officers' pay from Federal income tax. These
servicemembers also receive $225 per month in Hostile Fire/Imminent
Danger Pay, and those who have dependents receive an additional $250
per month in Family Separation Allowance. Additionally, members
assigned in Iraq and Afghanistan qualify for Hardship Duty Pay (HDP)-
Location at the rate of $100 per month, and $105 per month in
incidental expense allowance.
The Department is grateful to Congress for its continued support of
Assignment Incentive Pay (AIP) as a flexible and responsive means for
Services to appropriately compensate members who are called on to
extend their service in demanding assignments. Continuing our
commitment to ensuring appropriate compensation for our combat
warriors, we urge Congress to support the Department's request for more
flexible tools with which to manage the deployment of servicemembers.
We request authorization to modify the definition of deployment,
eliminate statutory thresholds and management oversight mechanisms,
repeal a currently-suspended requirement to pay High Deployment
Allowance and replace it with compensation from HDP, and increase the
maximum allowed rate for HDP from $750 to $1,500.
As follow-on to a 2001 comprehensive report to Congress on the
Uniformed Services Former Spouses Protection Act (USFSPA), the
Department is requesting Congress' support for a balanced package of
proposed improvements for both military members and former spouses. Our
USFSPA proposals are grouped into four major areas: retirement pay;
Defense Finance and Accounting Service (DFAS) improvements; procedural
improvements; and Survivor Benefit Plan (SBP). Proposals include
initiatives to prohibit court-ordered payment of retired pay prior to
retirement; compute divisible retired pay based on rank and years of
service at divorce; allow direct payments from DFAS in all cases (not
just cases with more than 10 years of marriage); and allow split of SBP
between former and current spouses.
We must continue to work together to ensure we honor our Active and
Reserve members with a competitive compensation package. Successful
execution of the global war on terror demands no less. Therefore, the
Department discourages the expansion of entitlements and the creation
of new ones that do not improve recruiting, retention, or readiness in
a manner commensurate with their cost.
Last year, the Defense Advisory Committee on Military Compensation
reviewed matters pertaining to military compensation, examining
approaches to balancing military pay and benefits and incentive
structures and made suggestions for improvements that they believe will
assist us in meeting our recruiting and retention objectives. We are
using the findings and recommendations of the Advisory Committee's
report as a starting point for the Tenth Quadrennial Review of Military
Compensation (QRMC), mandated by statute.
The Tenth QRMC was tasked to pay particular attention to: (1) the
potential for consolidation of special pays and bonuses into fewer,
broader, and more flexible authorities; and (2) the potential need for
enactment of broader and more flexible authorities for recruitment and
retention of uniformed services personnel. Currently, the large number
of special and incentive pays available dilutes the effectiveness of
the pays to influence behavior, and makes the system unwieldy and
difficult to administer and oversee. The degree of flexibility among
the many different pays also varies. Most special and incentive pays
are narrowly focused, with strict statutory limits on how they are
disbursed. The QRMC is recommending a proposal which replaces the more
than 60 pays that now address relatively narrow staffing issues with 8
pay categories designed to cover a broad range of personnel needs.
Defense Travel Management Office
Since its establishment in February 2006, the Defense Travel
Management Office (DTMO) has made major strides toward consolidating
all DOD commercial travel services in one place--a first for the
Department. The DTMO serves as the one authoritative, responsible
agency for commercial travel within the DOD and as a ``single face''
both within the Department and to industry. Primary functions are
commercial travel management, travel policy and implementation, travel
card program management, travel guidance and procedures, and functional
oversight for the Defense Travel System.
Numerous benefits result from having one authoritative, responsible
agency for commercial travel within the Department. DTMO implemented a
change management process that includes governance boards to set and
execute the vision for commercial travel and provide the Services and
Defense agencies with a forum for articulating their travel needs. This
is a smart business approach, ensuring consistency and integration of
focus, policy and implementation across the Department and in dealings
with industry. We are confident that these efforts will enable us to
provide the best service to the traveler while ensuring the best value
for the government.
Sexual Assault Prevention
The Department's Sexual Assault Prevention and Response (SAPR)
Program has made great progress during the past year. The DOD Sexual
Assault Prevention and Response Office (SAPRO) has been established and
is fully staffed with permanent government employees.
The Department's implementation instruction (DODI 6495.02) was
published in June 2006. This instruction forms the framework of a
comprehensive response structure and protocol that ensures a consistent
level of care and support worldwide for military victims of sexual
assault. Both the Directive, published in 2005, and Instruction
implement a fundamental change in how the Department responds to sexual
assault with a confidential reporting structure for victims of sexual
assault. This removes a major barrier to reporting by enabling victims
to receive medical care without necessarily initiating a criminal
investigation. Confidential, or restricted, reporting has been
available since June 2005. After our first full year of restricted
reporting, analysis indicates that the program is meeting our objective
of increasing victim access to care and support.
The Department has an aggressive SAPR training and education
program that ensures training is conducted throughout every
servicemember's career at both the unit level and at all professional
military education programs. SAPRO conducted a worldwide Sexual Assault
Response Coordinators (SARC) Conference in June 2006, training more
than 350 SARCs from installations around the world. The military
Services have implemented ambitious training programs to meet this
requirement and to provide trained SARCs at all major installations.
Overall, the Services have provided prevention training to over 1
million active duty servicemembers. This aggressive training and
outreach program, along with confidential reporting, will predictably
result in an increase in the overall number of reported sexual assaults
in DOD.
The Department's next steps in 2007 will focus on continued
guidance to the Services and oversight of their implementation of the
SAPR program. The Under Secretary of Defense for Personnel and
Readiness (USD(P&R)) will chair the DOD Sexual Assault Advisory Council
in April, which is Sexual Assault Awareness Month. A Prevention Summit
is scheduled for July 2007, which will result in a collaborative
Service-wide prevention strategy for the military Services. SAPRO will
conduct site visits to Service programs at selected installations. We
will use the Defense Task Force on Sexual Assault in the Military
Services as another source to evaluate the effectiveness of the SAPR
program.

READINESS

Readiness Assessment and Reporting
The Department must track the current status and capabilities of
forces across the Department. Over the past year we have increased the
capabilities of our new Defense Readiness Reporting System (DRRS). DRRS
contains near real time assessments of military capabilities in terms
of the tasks or missions that units and organizations are currently
able to perform. These assessments are informed by the availability of
specific personnel and equipment. Over the past year, our partnerships
with United States Northern Command, United States Joint Forces
Command, United States Pacific Command, and United States Strategic
Command have produced working, scalable versions of measurement,
assessment and force management, and contingency sourcing tools. Of
special interest this year is our work with the Department of Homeland
Security to develop the National Preparedness System, which will
provide increased situational awareness and assist the Department to
integrate and coordinate our response to domestic crisis. Development
of DRRS will continue through 2008.
Transforming DOD Training
With your steadfast support, we have achieved significant advances
in joint training and education, but more progress is urgently needed
to prepare for complex multinational and interagency operations in the
future. Our forces must be capable of adapting to rapidly changing
situations, ill-defined threats, and a growing need to operate across a
broad spectrum of asymmetric missions, including stability, security,
transition, reconstruction, joint urban, information operations, and
disaster response. As a result of these and other changes, the motto
for our Training Transformation program has evolved with our
operational experience from ``Training as We Fight'' to ``Train as We
Operate.''
Following the direction of the 2006 Strategic Planning Guidance, we
conducted a Joint Training Program Review. The results of this first-
ever review focused on joint training were approved in September 2006
by the Deputy Secretary of Defense's Advisory Working Group which
directed us to consolidate Joint Training Program resources into the
Combatant Commanders Exercise Engagement and Training Transformation
(CE2T2) program. Although ``new'' in name, the CE2T2 account simply
consolidates existing joint training resources. In the past, dollars,
authorities, and responsibilities were spread over many different
organizations.
Among the top objectives for this consolidated account is providing
the combatant commanders with more direct control of their training and
exercise funding. It is not new funding or program growth. We ask for
your support of this account.
The Department's Training Transformation Program remains focused on
melding world-class individual Service competencies and training
capabilities into a cohesive joint capability. We are implementing
three joint capabilities: Joint Knowledge Development and Distribution
Capability (joint training and education for individuals), Joint
National Training Capability (joint unit and staff training), and Joint
Assessment and Enabling Capability (assessments to answer the question:
are we truly transforming training?).
The Joint Knowledge Development and Distribution Capability (JKDDC)
provides access to Service and DOD Agency learning management systems,
anywhere and anytime. Populated with over 90 joint courses for
combatant command (COCOM) staffs, training audiences in NATO,
Partnership for Peace member nations, the Joint Force Headquarters
States' Staff (National Guard Bureau staff) initiative, Individual
Augmentee Training classes, and other programs, the JKDDC Web site
addresses prioritized COCOM needs and fills individual joint knowledge
gaps and seams. We have fully integrated JKDDC with Defense Knowledge
Online and existing U.S. Joint Forces Command Joint Warfighting Center
programs, including the NATO School. Later this year we expect to
extend the reach to new learning audiences through the Internet and
other portals. Two representative courses we provide individuals are
the Joint Planning Orientation and Joint Interagency Coordination
Group.
Joint National Training Capability (JNTC) is providing realistic
distributed joint context to the Services' and COCOMs' training sites
and events. JNTC has already moved from discrete ``throw-away after one
use'' events to a more persistent ``stay-behind'' capability and a
supporting communications infrastructure. Service and COCOM training
sites and training events are now being accredited to conduct specific
Joint tasks and technically certified to Joint standards. Twenty-one
Service and combatant commander training programs are accredited, 23
sites are certified, and more are scheduled for this fiscal year. We
continue to decrease planning time for joint training and mission
rehearsal exercises. We are distributing joint training over large
distances to the right training audience for their specific mission
needs. Jointness is moving from the strategic to the tactical level--
all DOD operations in the global war on terror are joint. We are
creating a Live, Virtual, Constructive (LVC) environment that supports
efficient participation of joint forces in appropriate training across
the country and around the world. This year we are expanding this
environment to include Australia's Defence Training and Experimentation
Network. When not utilized for joint training, this LVC environment is
being used by the Services to improve their own title 10 training
capability. JNTC will also continue interoperability initiatives such
as the Open Net-centric Interoperability Standards for Test and
Training and state-of-the-art PC-enabled models and simulations.
Our Joint Assessment and Enabling Capability creates a performance
assessment architecture and uses it as a starting point for the conduct
of a block assessment and balanced scorecard assessment. Our first
block assessment will serve as a baseline set of metrics to measure
Training Transformation. Upon completion of these assessments and
outcome measurements of Training Transformation missions and programs,
we will adapt and revise our strategic guidance and programmatics.
Because of your support and these past investments in joint
training capability, our deploying forces are now able to be trained
for their upcoming assigned joint force missions prior to their
employment in the joint operations areas. Such agility, immediately
responsive to operational lessons learned from theater and changing
mission taskings, would not have been achievable a few years ago.
Training Transformation also focuses on improving DOD's integrated
operations with other U.S. Government agencies, among levels of
government, and with our multi-national partners. Integrating DOD
capabilities better with those of other Federal entities, including the
Departments of State and Homeland Security, leverages all the elements
of national power to achieve national security objectives.
Our Advanced Distributed Learning (ADL) initiative is a key enabler
of Training Transformation. The initiative is leading the way in
developing interoperability standards for online learning. While the
standards are now required within the DOD, they are also being adopted
as a global standard in education and training. We have formed
partnerships with other Federal agencies as well as other countries at
their request, to include Canada, the United Kingdom, Australia, Korea,
and a consortium of 13 Latin American countries. ADL works to form a
common framework for sharing education and training programs with
interagency and international partners.
Training Transformation has created a capability to tailor
distributed training to deploying forces. We have transformed our
training by extensive use of rigorous and relevant mission rehearsal
exercises based upon and tailored to the combat conditions the unit
will experience once deployed in theater. Our priority for joint
training is to establish mission rehearsal exercises for the deploying
force. Exercise Unified Endeavor 07-1 this past fall prepared Army's
82nd Airborne Division headquarters and staff for their current
rotation in Afghanistan to head Combined Joint Task Force 76 (CJTF 76)
in OEF operations. The exercise inserted near real-time lessons learned
from the Afghan theater of operations to improve the relevancy and
rigor of the training. Tailored, realistic joint training tasked
members of the training audience to conduct joint operations while
coordinating air, ground, and space forces with the ongoing ground
campaign and all its related cultural exigencies. The CJTF 76
leadership also had to work with senior and staff-level representatives
from NATO, coalition, Afghan, Federal (i.e., Department of State, Drug
Enforcement Agency, and others), private volunteer, and non-
governmental organizations during each phase of the training and
mission rehearsal exercise--many of whom deployed to the training
venues from their in-theater bases. Few of these joint training and
mission rehearsal capacities and capabilities were in practice pre-
Training Transformation just 4 years ago.
Defense Mishap Reduction Initiative
As a world-class military, we do not tolerate preventable mishaps
and injuries. The direct cost of mishaps is over $3 billion per year,
with estimates of total costs up to $12 billion.
We have rededicated ourselves to achieve our 75 percent accident
reduction goal and are aggressively working toward it. For example, the
Marine Corps has reduced its civilian lost day rate by 62 percent and
last fiscal year the Air Force achieved the best aviation class ``A''
mishap rate in its history.
To get to the next level in military and civilian injury
reductions, safety is now a performance element under the new National
Security Personnel System (NSPS) and in military evaluations. The
Department is implementing Occupational Safety and Health
Administration's Voluntary Protection Program (VPP) at over 80
installations and sites. This program brings together management,
unions, and employees to ensure safe working conditions. VPP and our
other accountability programs have the highest visibility and support
within the Department.
We also believe that the use of technologies to address many safety
issues has a demonstrated cost benefit. Safety technologies include
systems and processes. For example, we are pursuing the Military Flight
Operations Quality Assurance process to reduce aircraft flight mishaps.
We are exploring the use of data recorders and roll-over warning
systems as tools to help drivers avoid wheeled vehicle accidents. Our
plan is for DOD components to include these and other appropriate
safety technologies as a standard requirement in all future acquisition
programs.
Range Sustainment
Continued and assured access to high-quality test and training
ranges and operating areas plays a critically important role in
sustaining force readiness. The ability to test and train effectively
under realistic conditions, and to adapt our training to meet real-
world contingencies, are fundamental requirements. Training
transformation calls for significant advancements in the joint nature
of training and a major change in the way we use our existing training
infrastructure.
Ongoing reassignments based on the recent Base Realignment and
Closure (BRAC) round, the return of forces to the U.S. from Europe and
Korea, and anticipated increases in Army and Marine Corps total force
end strength all point to growing demands on testing and training
assets. Joint mission requirements also add to training complexity.
However, the supply of land, air, and sea space and frequency spectrum
we use to test and train effectively is not unlimited, and many other
interests compete for use of these national resources. The confluence
of these competing trends makes it clear that encroachment remains a
powerful challenge to military readiness, and requires a comprehensive
and continuing response.
The DOD has mobilized to counter encroachment. Through the DOD
Range Sustainment Integrated Product Team, the Department seeks to
mitigate encroachment's impacts and to ensure the long-term
sustainability of military readiness and the resources entrusted to our
care. Congressional action on a number of DOD legislative provisions
has provided increased mission flexibility, and at the same time has
enabled improved environment management on our test and training
ranges. The Department is now actively focusing beyond its fence lines
to engage with local, State, regional, and national stakeholders in
order to address concerns and build effective partnerships that advance
range sustainment.
As we move forward, we are emphasizing cooperative approaches to
sustainment, such as the acquisition of buffers (lands and easements)
from willing sellers around our ranges, conservation partnering with
nongovernmental organizations, increased interagency and multi-state
coordination on cooperative Federal land use, improved sustainment
policy and planning for overseas training with our allies, and more
integrated development of information and decisionmaking tools for
range management. These initiatives clearly build on our past efforts,
and will emplace enabling capabilities, tools, and processes to support
range sustainment goals well into the future.

FOREIGN LANGUAGE INITIATIVES

Foreign Language and Regional Expertise Capabilities
To win the long war the Department must embrace and
institutionalize foreign language and regional expertise into DOD
doctrine, planning, contingencies, organizational structure, and
training, as the QDR directs. The Defense Language Transformation
Roadmap provides broad goals that will ensure a strong foundation in
language and cultural expertise, a capacity to surge, and a cadre of
language professionals. We are taking deliberate steps to incorporate
language and regional expertise as core competencies into the Total
Force. Policies, practices and funding will ensure a base of officers
possessing skills in strategic languages, such as Arabic, Chinese,
Persian/Farsi, and Urdu.
Fiscal Year 2007 Current Capabilities
Through guidance in the Roadmap, we are close to completing self-
reported screening of military personnel. The Department learned that
it had a significant in-house capability not apparent to our management
systems. Even though our assessment is not yet complete, as of the
beginning of 2007, the Department had 140,653 Active component; 76,843
Reserve component; and 24,193 civilian members of the Total Force who
professed foreign language skills. Of those 8,630 are Arabic speakers,
6,929 are Chinese speakers and 7,282 are Korean speakers. Until we
undertook this assessment, the Department did not have any way to
identify this capability.
The Defense Language Institute Foreign Language Center (DLIFLC)
currently enrolls 4,000 students a year in 24 language programs.
DLIFLC's budget climbed from $77 million in fiscal year 2001 to $203
million in fiscal year 2007. One of the major DLIFLC programs, launched
in fiscal year 2006, is the Proficiency Enhancement Program (PEP). PEP
changed the basic foreign language course by reducing the student to
instructor ratio, increasing the number of classrooms, creating
improved and expanded curricula, and expanding overseas immersion
opportunities. PEP is designed to graduate students at increased
proficiency levels.
Since 2001, the DLIFLC dispatched 300 Mobile Training Teams to
provide targeted training to more than 32,000 personnel. Deployed and
deploying units received over 200,000 Language Survival Kits (mostly
Iraqi, Dari, and Pashto). Field support modules outlining the geo-
political situation, cultural facts, and fundamental language skills,
key phrases and commands are available for 21 countries on the DLIFLC
Web site. There are 127 online basic and specialized language survival
courses. Computer-based sustainment training is available as well via
the Global Language Online Support System (gloss.lingnet.org) which
supports 12 languages and 6 more language sustainment courses are
available on the DLIFLC LingNet Web site (www.lingnet.org).
Quadrennial Defense Review
The QDR provides approximately $430 million through the Future
Years Defense Program for initiatives to strengthen and expand our
Defense Language Program. These initiatives include technology,
training and education, and recruitment. The QDR targets officer
candidates for foreign language training, with regional and cultural
training to be embedded in follow-on professional military education.
It funds the enhancement of the three Service Academies' language
training of cadets and midshipmen in the strategic languages; grants to
colleges and universities with Reserve Officers' Training Corps (ROTC)
programs to incentivize teaching of languages of strategic interest to
the Department; increased grants to expand the National Security
Education Program, which provides civilians scholarships and
fellowships to undergraduate and graduate students in critical
languages to national security; and expansion and continuation of the
Army's successful 09L Interpreter/Translator recruiting program. The
QDR also directed funding for the development of a pilot Civilian
Linguist Reserve Corps, now renamed The Language Corps; increased
foreign language proficiency pay based on language in the NDAAs for
Fiscal Year 2005 and Fiscal Year 2006; enhanced technology at the
DLIFLC; and centralized accession screening to identify personnel with
language aptitude.
Pre-accession Language Programs
Pre-accession language training will focus the Department's effort
on building language skills in future officers prior to commissioning.
The three Service Academies expanded study abroad, summer immersion and
foreign academy exchange opportunities; and added instructor staff for
strategic languages. The United States Military Academy and the United
States Air Force Academy now require all cadets to complete two
semesters of language study; the United States Naval Academy requires
its nontechnical degree-seeking midshipmen to take four semesters of
language study. The United States Military Academy and the United
States Air Force Academy also established two new language majors of
strategic interest in Arabic and Chinese. The United States Naval
Academy, for the first time in history, will offer midshipmen the
opportunity to major in a foreign language. In fiscal year 2007,
Service Academies received $25.57 million to develop and implement
their language programs, including curriculum development and hiring of
staff and faculty to teach more strategic languages.
The academies are aggressively pursuing increased opportunities for
their cadets and midshipmen to study abroad and currently have programs
available in 40 countries. Four-week summer language immersion programs
are offered as well as semester exchanges with foreign military
academies. This program has also expanded to semester abroad study
programs at foreign universities. The NDAA for Fiscal Year 2007 allows
the Academies to expand foreign academy exchanges from 24 exchanges to
100 exchanges per academy per year, and this congressional support is
greatly appreciated.
ROTC cadets and midshipmen also have expanded opportunities to
learn a foreign language. The Air Force and Navy often have ROTC
students participating along with their academy counterparts during
familiarization and orientation travel opportunities.
Of the 1,321 colleges and universities with ROTC programs, 1,148
offer languages. Significantly, many of the languages we need for
current operations are not widely offered at this time. We are
beginning a pilot program to provide grants to select colleges and
universities with ROTC programs to incentivize them to offer foreign
language courses in languages of strategic interest to the Department
and the National security community. Increasing the number of less
commonly taught languages in college curricula remains a challenge in
which our Senior Language Authority is actively engaged.
Army Interpreter/Translator (09L)
The Army's 09L Interpreter/Translator program is a true success
story. The program started as a pilot but was so successful in
generating over 500 Arabic and Afghani speaking United States soldiers
that the Army made it permanent. In 2006, the Army formally established
the 09L Interpreter/Translator as a military occupational specialty
that will have a career path from recruit through sergeant major. More
than 317 heritage speakers have successfully graduated and deployed; an
additional 175 personnel are in the training pipeline. The Army
continues to expand and develop the program in response to the positive
feedback from the commanders in the field. The QDR provides $50 million
over a 5-year period, from fiscal year 2007 to fiscal year 2011, to
further expand this program.
Foreign Area Officers
The Department has spent a great deal of effort in managing its
regional expert cadre--the Foreign Area Officers. DOD Directive
1315.17, Foreign Area Officer (FAO) Programs, updated in April 2005,
established a common set of standards for FAOs. Most important, the new
policies require all of the Services to establish FAO programs that
both meet the unique demands of the Services and adhere to a common,
joint set of standards to support joint operations. FAOs shall be
commissioned officers with a broad range of military skills and
experiences; have knowledge of political-military affairs; have
familiarity with the political, cultural, sociological, economic, and
geographical factors of the countries and regions in which they are
stationed; and have professional proficiency in one or more of the
dominant languages in their regions of expertise. In fiscal year 2007,
over 150 new Foreign Area Officers are scheduled to be developed and in
the next 5 years over 800 new FAOs will meet a common set of training
guidelines, developmental experiences, and language and regional
expertise standards.
Bonus Pay
In order to encourage servicemembers to identify, improve, and
sustain language capability we implemented a new Foreign Language
Proficiency Bonus (FLPB) policy, and, with the support of Congress,
increased the proficiency bonus from $300 maximum per month, up to
$1,000 maximum per month for uniformed members. We are currently
completing the DOD Foreign Language Proficiency Bonus policy to align
payment for Reserve and Active components by increasing Reserve
proficiency pay ceiling from $6,000 to $12,000, consistent with section
639 of the NDAA for Fiscal Year 2006. The maximum FLPB rate increased
from $150 to $500 per pay period for eligible DOD civilian employees
performing intelligence duties. DOD policy allows payments of up to 5
percent of a civilian employee's salary for those civilians who are
assigned to nonintelligence duties requiring proficiency and who are
certified as proficient in languages identified as necessary to meet
national security interests.
National Security Language Initiative
At the national level, we were proud to be part of the team for the
President's announcement of the National Security Language Initiative
(NSLI). The NSLI has three broad goals: expand the number of Americans
mastering critical languages at a younger age, increase the number of
advance-level speakers of foreign languages, and increase the number of
foreign language teachers and their resources. The DOD will support
NSLI through our National Security Education Program by adding
fellowships to increase the number of graduates with proficiency in
Arabic, Chinese, Persian, Hindi and central Asian languages. The
National Flagship Language Initiative (NFLI) serves as an example of
how NSLI links Federal programs and resources across agencies to
enhance the scope of the Federal Government's efforts in foreign
language education. For example, the NFLI is leading the way in
developing model kindergarten-through-college (K-16) program that
creates a language pipeline for students to achieve higher levels of
language proficiency in our education system. We launched a Chinese K-
16 pipeline with the University of Oregon/Portland Public Schools in
September, 2005. We have also awarded a grant to Ohio State University
to implement a State-wide system of Chinese K-16 programs. Finally, we
awarded a grant to Michigan State University to develop an Arabic K-16
pipeline project with the Dearborn, Michigan, school district.
We are also implementing The Language Corps, which will organize a
cadre of individuals with high levels of language proficiency in less
commonly taught languages, who agree to be available when needed by the
Nation. A 3-year pilot has been initiated with a major marketing and
recruitment plan as we seek to meet our goal of 1,000 Language Corps
members.

THE DEFENSE HUMAN CAPITAL STRATEGY

Pursuant to the recommendations in QDR 2006, the USD(P&R) appointed
a Program Executive Officer for the Human Capital Strategy (PEO/DHCS)
in June 2006. The PEO/DHCS is responsible for developing strategies for
how to manage the entire workforce (Active and Reserve military,
civilian, and contractor) of the DOD for the long term. This governing
structure begins with an Overarching Integrated Product Team (OIPT),
works through the Defense Human Resources Board (DHRB), and reports to
the Deputy's Advisory Working Group (DAWG). The USD(P&R) chairs the
OIPT; membership includes others from within P&R, Military Department
Assistant Secretaries for Manpower and Reserve Affairs, as well as the
J-1 from the Joint Staff.
The most essential element of all human capital strategies is
inventory management. Effective inventory management requires several
critical steps:

Determination of the desired age/skill/experience mix
(career structure) that is most conducive to performing the
organization's tasks now and in the future;
Appropriate Force Generation to attract the right
personnel to execute the organization's strategies;
Executing Force Development with a functioning
education strategy that combines education, formal training,
and on-the-job learning, with the right instructors, trainers,
and mentors;
Effective Force Management with fair and workable
sorting tools that allow for the identification and proactive
management of the three most important components of the
workforce: the main body of future workers who will carry most
of the responsibility for producing the essential services of
the organization; that group of lower performers who will not
meet the organization's standards but which must be selected
out at the earliest possible point in their careers; and that
essential minority which shows potential for senior leadership
and which must be selected and groomed through special career
management and training;
Career paths and promotion systems that are fair and
balanced while also allowing the critical sorting functions to
be properly incentivized and performed on a timely basis;
A compensation and benefit structure that allows the
organization to attract and retain a critical mass of
productive personnel in a cost-effective manner, which means
being responsive to the demands and desires of the workforce;
A retirement package that aligns incentives for
individuals with outcomes that are most cost-efficient and
strategically effective for the organization while being
compatible with the known preferences of the workforce;
The ability to shape the workforce rapidly and
flexibly when demands for the organization's services are
variable, either due to short term exigencies or longer term
structural changes in demand, organizational strategies,
technologies, workforce's preferences, or competitive pressures
in the labor market.

DOD's workforce is quite complex, consisting of several
complementary and sometimes overlapping elements. Active duty military
must work with Reserve component military, and with civilians and
contractors.
On the active duty side, experience has shown that the tools we
have to shape the force through recruiting, training, assignments,
promotions, compensation, benefits, and retirement are all adequate in
a steady-state, peace-time setting. However, it is a management system
with limited flexibility, built on notions of perceived fairness and
equity, that is not readily adaptable to the realities of military
inventory requirements: the system is very cumbersome when we must grow
or decrease total authorizations in any significant numbers, and the
force needs to be made more robust and cost effective in meeting short-
term contingency demands that are likely to continue during the present
long war. For the future, changing and variable demands will continue,
and technological changes, along with severe pressure from an ever more
competitive labor market, will require imaginative rethinking and
restructuring of many military occupations.
This future will demand careers of different lengths, different
career patterns, different grade structures, different training
strategies--and therefore considerably more flexibility across Services
and occupations in how to apply and use force shaping tools to
construct effective and cost-efficient Active duty forces that attract
and retain the best qualified personnel. Similar changes will be
required on the Reserve side.
For DOD civilians, the NSPS allows managers to take constructive
steps to match the workforce to the demands of the workplace. Equally
important, we must develop methods for selecting and grooming young
civilians for future senior leadership positions. DOD needs to design
attractive career paths that allow personnel to plan their futures
better, and not just think of a career as a succession of different
jobs that happen to become available at random intervals--as is
presently the case for many civilian workers.

THE DOD CIVILIAN FORCE

Human Capital Planning
DOD civilian employees have supported the global war on terror here
and on the front-line of battle and helped build democracies in
Afghanistan and Iraq. They are a critical component as DOD works with
the Department of State to place expanded Provincial Reconstruction
Teams in Iraq. Just as agile military forces are needed to meet a
mission characterized by irregular, catastrophic and disruptive
challenges, the Department needs agile and decisive support from our
DOD civilians. It is only through the integration of DOD civilian
employees that we can realize the potential of a Total Force. At the
same time, it is important to ensure that benefits remain balanced and
commensurate with the commitments we are requesting our DOD civilians
to make.
The Department civilian strategic human capital planning focuses
human capital investments on long-term issues. Guiding principles are
continually reviewed and refreshed in the Department's Human Capital
Strategic Plan (HCSP). Our 2006-2011 HCSP recognizes the need to
refocus civilian force capabilities for the future--a civilian
workforce with the attributes and capabilities to perform in an
environment of uncertainty and surprise, execute with a wartime sense
of urgency, create tailored solutions to multiple complex challenges,
build partnerships, shape choices, and plan rapidly.
Our HCSP is based upon the 2006 QDR. As noted earlier, the QDR
calls for an updated, integrated human capital strategy for the
development of talent that is more consistent with 21st century
demands. As a human capital strategy, it aims to ensure DOD has the
right people, doing the right jobs, at the right time and place, and at
the best value. The HCSP is delineated by a DOD-wide set of human
resources goals and objectives that focus on leadership and knowledge
management, workforce capabilities, and a mission-focused, results-
oriented, high-performing, diverse workforce. These goals and
objectives incorporate a competency-based occupational system, a
performance-based management system, and enhanced opportunities for
personal and professional growth.
The NSPS provides the mechanism for implementation. This modern,
flexible human resources management system improves the way DOD hires,
compensates, and rewards its civilian employees, while preserving
employee protections and benefits, veterans' preference, as well as the
enduring core values of the civil service. NSPS provides a performance
management system that aligns performance objectives with DOD's mission
and strategic goals.
In April 2006, the Department began implementing the human
resources provisions of NSPS and converted approximately 11,000 non-
bargaining unit employees to the new system, followed by 66,000 in
October 2006 through February 2007. This spring, an additional 35,500
will transition to NSPS, for a total of approximately 113,000 employees
functioning in this results-oriented, performance-based system. The
Department placed great emphasis on communication and training--both
were critical to our transition plan. We wanted to ensure employees and
supervisors were fully informed and ready. As of February 2007, more
than a half million instances of training have occurred on the
functional elements of NSPS, performance management, as well as
behavioral skills necessary for an effective transition.
The initial 11,000 employees recently completed the first appraisal
cycle under the performance management system. As a result of feedback
we received from our workforce throughout the first cycle, we are
already making some adjustments. For instance, both supervisors and
employees expressed the need for additional training on writing job
objectives and self assessments. As a result, we expanded our training
in both of these areas to facilitate these important aspects of the
performance management system. To complement the immediate feedback we
received, we are developing a comprehensive plan for assessment and
longer term evaluation of the system.
While a lawsuit filed by some unions resulted in the labor
relations, adverse actions, and appeals provisions being enjoined, the
Department moved forward with implementing those elements of the human
resources management system that were not enjoined (classification,
compensation, performance management, staffing, and workforce shaping
provisions). The Department elected to implement these provisions to
nonbargaining unit employees until the litigation concerning the other
parts of NSPS is resolved. We expect a decision on the appeal in early
2007.
We will continue to use a spiral approach to incrementally phase-in
the rest of the eligible DOD workforce over the subsequent 2 to 3
years, upgrading and improving NSPS as we go forward. We are currently
in the early stages of designing NSPS for our blue collar workforce and
met with our unions to seek their input into the design. We will
continue to collaborate with the unions as we move forward with NSPS
design and implementation.
Acquiring, Developing, and Retaining Civilians
The Department's civilian workforce supports DOD's national
security and military missions. Technological advances, contract
oversight, and complex missions have generated the need for more
employees with advanced education and more sophisticated technical
skills. Additionally, there must be a very active campaign to recruit,
train, and develop a diverse workforce. We take seriously the
responsibility to foster and promote an environment that is attractive
to individuals from all segments of society.
In 2005, the Department launched the Hiring Heroes campaign to
reach out to the injured and disabled men and women who fought and
served on behalf of our Nation. The Department offers over 700 diverse,
challenging, and rewarding occupations for those veterans who want to
continue to serve their country as DOD civilian employees. The
Department is committed to providing disabled veterans who want to
serve our country as a DOD or Federal civil servants the opportunity to
do so. The Hiring Heroes campaign demonstrates this commitment. The
Department has hosted eight Hiring Heroes career fairs at various major
medical facilities, including Walter Reed and Brooke Army Medicals
Centers, with over 1,600 servicemembers and their spouses in
attendance. Six additional events are planned for 2007. We also
maintain the Defense Web site specifically designed for our disabled
veterans--www.DODVETS.com. This web portal serves as a resource of
employment information for veterans, their spouses, and managers.
Through our efforts, many servicemembers have been offered positions at
various DOD and Federal agencies, but more important, they have been
exposed to a network of both DOD and Federal recruiters dedicated to
helping them transition back to productive employment where and when
they are ready. We continue work with other Federal agencies, including
the Department of Veterans Affairs (VA) and the DOL, to provide job
training, counseling, and reemployment services to seriously injured or
wounded veterans.
We have dedicated an office within the Department to help us
transform the way we attract and hire talented civilian employees.
Under its lead, we have developed a comprehensive outreach program with
colleges, universities and professional and heritage associations;
reenergized our branding and marketing materials; and revamped our Web
site to align with the interests of those whom we are trying to
attract. Our nationwide recruitment campaign takes us to college and
university campuses where we personally invite talented individuals to
serve the Department. Since the fourth quarter of fiscal year 2006
through the end of February 2007, our DOD recruiters made 31
recruitment visits. An additional 26 visits are planned through fiscal
year 2007, budget permitting. In one of these visits alone, the
Department made 60 job offers to engineering students, primarily of
Hispanic origin. Efforts such as these will help ensure the Department
has the diverse, talented workforce it needs to meet the challenges of
the 21st century.
The Department launched another innovative program in fiscal year
2007, known as the DOD Student Training Academic Recruitment program.
Under this program, DOD hired two honors level students, located at the
University of Puerto Rico Mayaguez and at Michigan Tech University. The
students are responsible for developing and executing a marketing plan,
through which students with DOD mission critical skills are made aware
of and are encouraged to consider employment with the Department. We
continue to leverage technology including, importantly, the Internet,
to educate and interest talent from a variety of sources. We have
recently updated our Web site with vignettes of current Department
employees, who discuss their work and the satisfaction they realize
from it, as well as the benefits of working for the Department. We
believe these testimonials will further our efforts to have the
Department viewed as an ``Employer of Choice''.
Under the Office of Personnel Management's new ``Career Patterns''
initiative, the Department has begun a comprehensive analysis of our
workforce to identify the recruitment strategies that will enable the
Department to recruit and retain the talent we need for the 21st
century. Focusing first on our mission critical occupations, we are
analyzing the occupational demographics and are developing recruitment,
compensation and work life initiatives, which address the many
dimensions of our applicant candidate pool. In direct support of this
initiative, the Department has established policies on proficiency pay
for positions requiring language, on new approaches to telework, and on
new appointing authorities for scientists and mathematicians.
As the Chair of the Federal Chief Human Capital Officer's
Subcommittee for Hiring and Succession Planning, the USD(P&R)
personally works with a number of other Federal agencies and the Office
of Personnel Management to streamline and improve the Federal hiring
process. The subcommittee has made a number of recommendations, the
benefits of which we hope to see over the next several years.
Workforce planning takes on a special importance with the expected
exodus of Federal employees over the next decade. Significant to this
equation are DOD career Senior Executive Service (SES) members, 67
percent of whom are eligible to retire in 2008. Recently, P&R hosted a
DOD Diversity Summit for key public and private sector personnel to
discuss possible barriers to diversity in DOD executive development
processes and to identify successful practices in other organizations
that may have transferability to DOD. We also continue to conduct
outreach programs in various parts of the country in an effort to
inform students about our career opportunities and to encourage them to
enter academic programs that will help prepare them for such careers.
Our HCSP ensures the continuity of world class, civilian leaders
who are fully capable of leading DOD's efforts within a larger national
security context. To meet this goal, the Department launched an
initiative aimed at the deliberate identification, development,
management, and sustainment of senior executive leadership for the
Department's 21st century requirements. This effort will expand the
current, enduring executive leadership competencies to include
knowledge of joint matters and building an enterprise-wide perspective
acquired through a portfolio of diverse experiences. The definition of
``joint matters'' expands beyond that prescribed in Goldwater-Nichols
Act to recognize the realities of today's multinational and interagency
operating environment. Further, cultural awareness and regional
expertise are part of the required core competencies. In the conflicts
and wars faced by the Department, cultural awareness, language and
regional expertise become key skills needed by every leader.
To build a qualified and talented pipeline to sustain leadership
continuity, the HCSP provides for the identification and closing of
leadership competency gaps and strengthening of the talent pipeline to
ensure continuity of diverse and capable leaders. To ensure the
deliberate development of our current and future leaders, we are
instituting a new joint civilian leader development system that will
have at its core a future-focused framework of competencies based on
the Office of Personnel Management Executive Core Qualifications, but
strengthened with the DOD-unique requirements that will enable the
Department to accomplish its national security mission in today's
complex environment and beyond.
Our DOD joint civilian leader development framework is being
designed to produce world-class leaders with an Enterprise-wide
perspective for leadership positions across the continuum from entry to
executive level. Building upon existing programs, the framework
ultimately will include a series of DOD-sponsored courses, programs and
other learning opportunities, designed to meet the specific competency
requirements of the civilian Defense leader. These opportunities will
serve as retention incentives for high performing DOD employees and
will also support DOD initiatives to increase diversity in the senior
ranks.
The Defense Leadership and Management Program (DLAMP) will be a key
building block of the new leader development framework. Through a
comprehensive program of Professional Military Education, formal
graduate education, and courses in national security strategy and
leadership, DLAMP ensures that the next generation of civilian leaders
has the critical skills to provide strong leadership in a joint
interagency and multinational environment. In the last few years, DLAMP
has produced a pool of 435 individuals who have met program goals, thus
creating a pipeline of well-qualified senior leaders for tomorrow's
challenges.
All existing leader development programs, including DLAMP, are
currently under review to ensure alignment with the new competency-
based framework and related initiatives that are under way strengthen
the SES corps. Following implementation of program changes planned for
fiscal year 2008, DLAMP will be renamed and its successor will become
the senior-level program of the new joint leader development framework.
We are confident that ensuring alignment of our programs with the DOD-
wide competency model and best practices in private and public sector
leader development will further position us for strong civilian
leadership in the decades ahead.
The Department recently reviewed the foreign national (FN) human
resources program, which covers over 70,000 workers in some 22
countries to ensure alignment with the Department's 21st century
requirements. The Department employs the FN workforce under various
laws, treaties, and international agreements, host nation labor
policies and labor union contracts. The current FN human resources
policies have evolved over many decades. It has been over 20 years
since there was a comprehensive review of the FN human resources
program. To launch the review, the Department hosted a worldwide
conference of U.S. and FN human resources personnel. They offered
enlightened thinking and a set of recommendations to help refine the
current FN human resources program. The Department is considering these
recommendations.
The Department also has been engaged in establishing Status of
Forces Agreements (SOFAs) with new NATO partners, such as Romania,
Poland, Bulgaria, and the Czech Republic. As part of these SOFAs, the
Department has developed a new framework for FN employment which will
ensure a ready, capable and agile FN workforce.
The Department has established and fully implemented the Pipeline
Reemployment Program. The program enables partially recovered employees
with job related injuries and illnesses to return to work. The program
supports the President's Safety, Health, and Return-to-Employment
(SHARE) initiatives by assisting each Department installation in
reducing lost days resulting from injuries. DOD organizations will have
resources and funding to reemploy partially recovered injured employees
for up to 1 year. Returning injured employees to suitable productive
duty, as soon as they are able, improves that employee's sense of value
to the organization while minimizing the cost of workers' compensation
disability payments. To date, the Pipeline program has returned 400
employees to productive positions, and saved the Department
approximately $364 million in lifetime cost charges.
Civilian Force Shaping
A number of initiatives influence the size and shape of the
Department's civilian workforce. The most significant are upcoming BRAC
actions, global repositioning of deployed military and civilians,
competitive sourcing, and military-to-civilian conversions. The DOD is
committed to providing comprehensive transition tools and programs to
assist our valued employees and their families as these force shaping
initiatives are implemented.
Since the first BRAC round in 1988, the Department has reduced the
civilian workforce by more than 400,000, with less than 10 percent of
that number involuntarily separated. To mitigate the impact of these
force shaping initiatives on our civilians, the Department has
aggressively sought and obtained authority for several essential
transition tools assuring that drawdowns or reorganizations are handled
in the most efficient and humane manner possible, while ensuring we
have the talent needed to effectively continue Department operations.
Employees adversely affected by BRAC may be offered the opportunity to
separate voluntarily under the Voluntary Early Retirement Authority or
the Voluntary Separation Incentive Payment program, or both.
Involuntarily separated employees are also eligible for a number of
post-separation benefits and entitlements, including: temporary
continuation of health insurance for 18 months, with the Department
paying the employer portion of the premium; severance pay, with a lump-
sum payment option; and, unemployment compensation.
The Department will continue to seek regulatory and legislative
changes to assist employees affected by these actions in transitioning
to other positions, careers, or to private employment. We are
continuing to establish and foster employment partnerships with Federal
agencies, State, county and local governments, trade and professional
organizations, local Chambers of Commerce, and private industry. For
example, DOD is partnering with the DOL to provide BRAC installations
outplacement assistance under their Workforce Investment System (WIS).
The WIS consists of over 3,000 State One-Stop Career Centers prepared
to offer assistance such as retraining, career counseling, testing, and
job placement assistance.
Emergency Planning
We have taken great strides this past year to ensure we have plans
in place to continue our operations and safeguard our employees in
times of crisis. Significant planning has gone into Pandemic Influenza
preparedness. We have developed a human resources practitioner guide
for use by managers and human resource practitioners in planning for,
and executing actions during emergencies, which include nuclear,
chemical and biological attacks, natural disasters, as well as a
resources practitioner guide for use during a pandemic crisis. We have
supported this guide with exercise criteria to assess our plans and
refine them as needed. We plan to have a series of exercises over the
course of the next year to ensure we are prepared should an emergency
occur, particularly a pandemic.
As the Chair of the Federal CHCO Emergency Preparedness
Subcommittee, the USD(P&R) is able to leverage the expertise and best
practices of other Federal Agencies and influence the Office of
Personnel Management to ensure new policies will meet the Department's
needs.

THE MILITARY HEALTH SYSTEM

Sustaining the Military Health Benefit
The Department is firmly committed to protecting the health of our
servicemembers and to providing world-class healthcare to its more than
9 million beneficiaries.
The fiscal year 2008 Defense Health Program funding request is
$20.7 billion for Operation and Maintenance, Procurement and Research,
and Development, Test and Evaluation Appropriations to finance the
Military Health System (MHS) mission. We project total military health
expenditures, including personnel expenses, to be $40.5 billion for
fiscal year 2008. This includes payment of $10.9 billion to the DOD
Medicare Eligible Retiree Healthcare Fund.
The Department is challenged by the growing costs of the MHS. We
need important changes in our well-regarded health benefit program,
TRICARE, to sustain a superior benefit for the long term. We need the
help and support of Congress to achieve this goal. Our fiscal year 2008
budget request assumes savings of $1.9 billion from reform proposals
(as projected last year for fiscal year 2008); we await the interim
report of the DOD Task Force on the Future of Military Healthcare as a
basis for dialogue with Congress on how these should be shaped.
As the civil and military leaders of the Department have testified,
we must place the health benefit program on a sound fiscal foundation
or face adverse consequences. Costs have more than doubled in 6 years--
from $19 billion in fiscal year 2001 to $39 billion in fiscal year
2007--despite MHS management actions to make the system more efficient.
Our analysts project this program will cost taxpayers at least $64
billion by 2015. Healthcare costs will continue to consume a growing
slice of the Department's budget, reaching 12 percent of the budget by
2015 (versus 4.5 percent in 1990).
Over the last 13 years, the TRICARE benefit was enhanced through
reductions in co-pays, expansions in covered services (particularly for
Medicare-eligible beneficiaries), new benefits for the Reserve
component, and other additions, but the premiums paid by beneficiaries
have not changed. The benefit enhancements have come at a time when
private-sector employers are shifting substantially more costs to
employees for their healthcare.
The twin effect of greater benefits for DOD beneficiaries at no
change in premiums, coupled with reduced benefits for military retirees
employed in second careers in the private sector, has led to a
significant increase in military retirees electing to drop their
private health insurance and become entirely reliant on TRICARE for
their health benefit. Some employers actively encourage this shift
through incentives to their employees.
Management
The Department has initiated several management actions to use
resources more effectively and help control the increasing costs of
health care delivery. The MHS continues to implement a prospective-
payment system in a phased, manageable way which provides incentive for
local commanders to focus on outputs, rather than on historical
budgeting. We are confident this budgeting approach will ensure our
hospitals and clinics remain high-quality, highly efficient medical
institutions in service to our patients.
In addition, the MHS has recently composed a new strategic plan for
the future. Through this plan, the MHS is strengthening its commitment
to military medical forces, to our warfighters, and to our Nation's
security. The MHS strategic plan takes important steps toward
consolidating administrative and management functions across the MHS,
and it will strengthen joint decisionmaking authorities.
With implementation of the BRAC recommendations, the major medical
centers in San Antonio and the national capital area will be
consolidated. These BRAC actions provide us the opportunity to provide
world-class medical facilities for the future while streamlining our
health care system and creating a culture of best practices across the
Services.
Under the BRAC recommendations, we are also developing a medical
education and training campus (METC) that will colocate medical basic
and specialty enlisted training at Fort Sam Houston, Texas. By bringing
most medical enlisted training programs to Fort Sam Houston, we will
reduce the overall technical-training infrastructure while
strengthening the consistency and quality of training across the
Services.
In the meantime, we are doing everything we can to control our cost
growth. We are executing our new TRICARE regional contracts more
efficiently, and we are demanding greater efficiency within our own
medical facilities. However, one area--pharmacy--is particularly
noteworthy. Nearly 6.7 million beneficiaries use our pharmacy benefit,
and in fiscal year 2006, our total pharmacy cost was more than $6
billion. If we did nothing to control our pharmacy cost growth, we
project pharmacy costs alone would reach $15 billion by 2015.
To address this issue we are taking every action for which we have
authority: promoting our mandatory generic substitution policy; joint
contracting with VA; launching a home-delivery promotion campaign; and
making voluntary agreements with pharmaceutical manufacturers to lower
costs.
These efforts are working. But recent legislation passed by
Congress and other regulations limit our ability to control costs in
the fastest growing area of pharmacy--the retail sector. In the retail
venue, our top 50 brand-name medications cost twice as much as the same
drug dispensed through our military treatment facility or home-delivery
venues.
You can help us by allowing DOD to make appropriate changes in the
structure of our pharmacy benefit. These changes will accelerate use of
our new home-delivery program, enhance the use of generics, and give us
greater leverage when negotiating with pharmaceutical manufacturers.
Another area in which we need your assistance is restoring the
flexibility to manage Defense Health Program resources across budget
activity groups. Our new healthcare contracts use best-practice
principles to improve beneficiary satisfaction, support our military
treatment facilities, strengthen relationships with network providers,
and control private-sector costs.
Our civilian partners must manage their enrollee healthcare and may
control their and the system's costs by referring more care to our
military treatment facilities in the direct-care system. As noted
earlier, we have implemented a prospective-payment system that creates
the financial incentive for our military treatment facilities to
increase productivity and reduce overall costs to the Department.
Funds must flow freely between the military treatment facilities
and the private sector, based on where care is actually delivered.
Capping Defense Health Program private-sector-care funds inhibits the
Department's ability to provide the TRICARE benefit in the most
accessible, cost-effective setting.
Armed Forces Health Longitudinal Technology Application (AHLTA)--
DOD's comprehensive, global electronic health record and clinical data
repository--significantly enhances MHS efforts to build healthy
communities. AHLTA constructs a life-long, computer-based patient
record for each and every military health beneficiary, regardless of
their location, and provides seamless visibility of health information
across the entire continuum of medical care. This gives providers
unprecedented access to critical health information whenever and
wherever care is provided to our servicemembers and beneficiaries. In
addition, AHLTA offers clinical reminders for preventive care and
clinical-practice guidelines for those with chronic conditions.
In November 2006, the MHS successfully completed worldwide
deployment of AHLTA, which began in January 2004, at all 138 DOD
military treatment facilities. Additional components to AHLTA are yet
to be unveiled, including a new inpatient module. To enhance continuity
of care and save the taxpayers money, DOD and the VA will collaborate
and plan to develop a joint inpatient electronic health record system
for Active duty military personnel and veterans. A requirements study
is presently underway.
We are working with industry experts to design and develop the
government requirements for TRICARE's third generation of contracts (T-
3). The Managed Care Support Contracts are TRICARE's largest and most
complex purchased-care contracts. Others include the TRICARE Pharmacy
Program (TPharm), the TRICARE Dual Eligible Fiscal Intermediary
Contract (TDEFIC), the active Duty Dental Contract, the National
Quality Monitoring Contract, and the TRICARE Retiree Dental Contract.
The Balanced Scorecard has guided the MHS through the strategic
planning process over the last 5 years and helps the MHS manage
strategy at all levels of the organization. Military treatment
facilities remain at the core of the MHS, and the TRICARE structure
promotes increased involvement of the military commanders in
determining the optimum approach to healthcare delivery within each
region. Military commanders' accountability and responsibility for
patient care in their communities is centered on sound business
planning and resourcing to meet their planned production.
The three TRICARE Regional Directors are actively engaged in
managing and monitoring regional health care with a dedicated staff of
both military and civilian personnel. They are strengthening existing
partnerships between the Active Duty components and the civilian
provider community to help fulfill our mission responsibilities.
Force Health Protection
Force Health Protection embraces a broad compilation of programs
and systems designed to protect and preserve the health and fitness of
our servicemembers--from their entrance into the military, throughout
their military service to their separation or retirement, and follow-on
care by the VA. Our integrated partnership for health between
servicemembers, their leaders and healthcare providers ensures a fit
and healthy force and that the continuum of world-class healthcare is
available anytime, anywhere.
In 2006, we recorded remarkable war-wounded survival rates, the
lowest death-to-wounded ratio in the history of American military
operations, and the lowest disease non-battle injury rate. Our military
medical personnel have performed extraordinarily on the battlefield and
in our medical facilities in the United States. Our investments in
people, training, technology and equipment have paid major and historic
dividends. We have established new standards in virtually every major
category of wartime medicine:

Lowest Disease, Non-Battle Injury Rate. As a testament
to our medical readiness and preparedness, with our preventive-
medicine approaches and our occupational-health capabilities,
we are successfully addressing the single largest contributor
to loss of forces--disease.
Lowest Death-to-Wounded Ratio. Our agility in reaching
wounded servicemembers, and capability in treating them, has
altered our perspective on what constitutes timeliness in life-
saving care from the golden hour to the platinum 15 minutes. We
are saving servicemembers with grievous wounds that were likely
not survivable even 10 years ago.
Reduced time to evacuation and definitive tertiary
care. We now expedite the evacuation of servicemembers
following forward-deployed surgery to stateside definitive
care. We changed our evacuation paradigm to employ airborne
intensive-care units. Wounded servicemembers often arrive back
in the United States within 3-4 days of initial injury.

Our successful efforts to prevent loss of life from battle injuries
have consequences. Many of our wounded servicemembers have worked
heroically to regain their skills to the greatest extent possible. Of
particular note, among the approximately 612 individuals who have had
major limb amputations, approximately 7 percent have returned to duty.
Our most important preventive health measures in place for
servicemembers today--immunization programs--offer protection from
diseases endemic to certain areas of the world and from diseases that
can be used as weapons. These vaccines are highly effective, and we
base our programs on sound scientific information that independent
experts have verified. Insect-repellant-impregnated uniforms and
prophylactic medications also protect our servicemembers from endemic
diseases during deployments.
Since January 2003, environmental health professionals have
analyzed more than 5,000 theater air, water, and soil samples to ensure
that forces are not unduly exposed to harmful substances during
deployments.
We published a new DOD Instruction, ``Deployment Health,'' in 2006.
Among its many measures to enhance force health protection is a
requirement for the Services to track and record daily locations of DOD
personnel as they move about in theater and report data weekly to the
Defense Manpower Data Center. We can use the data collected to study
long-term health effects of deployments and mitigate health effects in
future conflicts.
We continue to monitor the health affects of our servicemembers
exposed to depleted uranium (DU) munitions. DOD policy requires urine
uranium testing for those wounded by DU munitions. We also test those
in, on, or near a vehicle hit by a DU round, as well as those
conducting damage assessments or repairs in or around a vehicle hit by
a DU round. Additionally, the policy directs testing for any
servicemembers who requests it. Each servicemember returning from a
deployment is asked about possible DU exposure. More than 2,215
servicemember veterans of Operation Iraqi Freedom have been tested for
DU exposures. Of this group, only nine had positive tests, and these
were due to fragment exposures.
Testing continues for veterans exposed to DU munitions from the
1990-1991 Persian Gulf War. Of the 74 victims of that war in a VA
medical follow-up study, only a quarter of them have retained DU
fragments in their bodies. To date, none have developed any uranium-
related health problems. This DU follow-up program is in place today
for all servicemembers with similar exposures.
Among the many performance measures the MHS tracks is the medical
readiness status of individual members, both Active and Reserve. The
MHS tracks individual dental health, immunizations, required laboratory
tests, deployment-limiting conditions, Service-specific health
assessments, and availability of required individual medical equipment.
We are committed to deploying healthy and fit servicemembers and to
providing consistent, careful post-deployment health evaluations with
appropriate, expeditious follow-up care when needed.
Medical technology on the battlefield includes expanded
implementation of the Theater Medical Information Program and Joint
Medical Work Station in support of OIF. These capabilities provide a
means for medical units to capture and disseminate electronically near-
real-time information to commanders. Information provided includes in
theater medical data, environmental hazards, detected exposures, and
such critical logistics data as blood supply, beds, and equipment
availability.
With the expanded use of the Web-based Joint Patient Tracking
Application, our medical providers should have total visibility into
the continuum of care across the battlefield, and from theater to
sustaining base. New medical devices introduced to OIF provide field
medics with blood-clotting capability; light, modular diagnostic
equipment improves the mobility of our medical forces; and individual
protective armor serves to prevent injuries and save lives.
DOD has been performing health assessments on servicemembers prior
to and just after deployment for several years now. These assessments
serve as a screen to identify any potential health concerns that might
warrant further medical evaluation. This includes screening the mental
well-being of all soldiers, sailors, airmen, and marines in the Active
Force, Reserves, and National Guard.
Servicemembers receive pre-deployment health assessments to ensure
they are fit to deploy and post-deployment health assessments to
identify any health issues when they return. The DOD maintains
deployment health records in the individual's permanent health record
and centrally archives electronic copies of the health assessment for
easy retrieval. We have an aggressive quality-assurance program to
monitor the conduct of these assessments.
Beginning in 2005, we added an additional health assessment, the
post-deployment health reassessment, or PDHRA, which we conduct 3 to 6
months after deployment. The PDHRA is designed to identify health and
adjustment concerns that servicemembers may not notice or mention
immediately upon the return from deployment. For the period of June 1,
2005, to February 12, 2007, 244,933 servicemembers have completed a
post-deployment health reassessment, with 27 percent of these
individuals receiving at least one referral for additional evaluation.
Mental health services are available for all servicemembers and
their families before, during, and after deployment. servicemembers are
trained to recognize sources of stress and the symptoms of depression,
including thoughts of suicide, in themselves and others, that might
occur because of deployment. Combat-stress control and mental
healthcare are available in theater. In addition, before returning
home, we brief servicemembers on how to manage their reintegration into
their families, including managing expectations, the importance of
communication, and the need to control alcohol use.
During redeployment, we educate servicemembers and assess them for
signs of mental health issues, including depression and Post-Traumatic
Stress Disorder (PTSD), and physical health issues. During the post-
deployment reassessment, we include additional education and assessment
for signs of mental and physical health issues. The Services began
initial implementation of this program in June 2005, and we are working
toward Department-wide implementation.
After returning home, servicemembers may seek help for any mental
health issues that may arise, including depression and PTSD, through
the MHS for Active duty and retired servicemembers, or through the VA
for non-retired veterans. TRICARE is also available for 6 months post-
return for Reserve and Guard members. To facilitate access for all
servicemembers and family members, especially Reserve component
personnel, the Military OneSource Program--a 24/7 referral and
assistance service--is available by telephone and on the Internet. In
addition, we provide face-to-face counseling in the local community for
all servicemembers and family members. We provide this non-medical
counseling at no charge to the member, and it is completely
confidential.
To supplement mental health screening and education resources, we
added the Mental Health Self-Assessment Program in 2006. This program
provides web-based, phone-based and in-person screening for common
mental health conditions and customized referrals to appropriate local
treatment resources. The program also includes parental screening
instruments to assess depression and risk for self-injurious behavior
in their children, along with suicide-prevention programs in DOD
schools. Spanish versions of the screening tools are available, as
well.
Pandemic influenza represents a new threat to national security.
With our global footprint and far-reaching capabilities, we are
actively engaged in the Federal interagency effort to help prevent,
detect and respond to the threat of avian influenza, domestically and
internationally. The President's National Strategy for Pandemic
Influenza includes the DOD as an integral component in our Nation's
response to this threat. One example of this integrated response is
DOD's medical watchboard Web site, established in 2006, to provide
ready access to pandemic influenza information for DOD servicemembers,
civilians, and their families; DOD leaders; and DOD healthcare planners
and providers. The DOD Watchboard is linked to PandemicFlu.gov for one-
stop access to U.S. Government avian and pandemic influenza
information.
Taking Proper Care of the Wounded
The Department is committed to providing the assistance and support
required to meet the challenges that confront our severely injured and
wounded servicemembers, and their families.
The Department is working on a number of measures to evaluate and
treat servicemembers affected or possibly affected with traumatic brain
injury (TBI). For example, in August 2006, we developed a clinical-
practice guideline for management of mild TBI in theater for the
Services. We sent detailed guidance to Army and Marine Corps line
medical personnel in the field to advise them on ways to deal with TBI.
The clinical-practice guideline included a standard Military Acute
Concussion Evaluation form to assess and document TBI for the medical
record. We are also conducting research in the inpatient medical area.
Furthermore, to enhance the Periodic Health Assessment, Post-Deployment
Health Assessment and Post-Deployment Health Reassessment, we directed
inclusion of questions on TBI to capture data that will contribute to a
better understanding of TBI identification and treatment. In addition,
these questions will help identify servicemembers possibly exposed to
events that caused TBI that were not documented at the time of
exposure.
Each Service has programs to serve severely wounded from the war:
the Army Wounded Warrior Program (AW2), the Navy SAFE HARBOR program,
the Air Force Helping Airmen Recover Together (Palace HART) program,
and the Marine4Life (M4L) Injured Support Program. DOD's Military
Severely Injured Center augments the support provided by the Services.
It reaches beyond the DOD to other agencies, to the nonprofit world and
to corporate America. It serves as a fusion point for four Federal
agencies--DOD, the VA, the Department of Homeland Security's
Transportation Security Administration (TSA), and the DOL.
The Military Severely Injured Center unites Federal agencies
through a common mission: to assist the severely injured and their
families. The VA Office of Seamless Transition has a full-time liaison
assigned to the center to address VA benefits issues ranging from
expediting claims, facilitating VA ratings, connecting servicemembers
to local VA offices, and coordinating the transition between the
Military and the VA systems. The DOL has assigned three liaisons from
their REALifelines program which offers personalized employment
assistance to injured servicemembers to find careers in the field and
geographic area of their choice. REALifelines works closely with the
VA's Vocational Rehabilitation program to ensure servicemembers have
the skills, training, and education required to pursue their desired
career field. The Department of Homeland Security's TSA has a
transportation specialist assigned to the center to facilitate travel
of severely injured members and their families through our Nation's
airports. The Center's TSA liaison coordinates with local airport TSA
officials to ensure that each member is assisted throughout the airport
and given a facilitated (or private) security screening that takes into
account the member's individual injuries.
The Military Severely Injured Center has coordinated with over 40
nonprofit organizations, all of which have a mission is to assist
injured servicemembers and their families. These nonprofits offer
assistance in a number of areas from financial to employment to
transportation to goods and services. Many are national organizations,
but some are local, serving service men and women in a specific region
or at a specific military treatment facility. Some of the many
organizations that are providing assistance are the Wounded Warrior
Project, the Injured Marine Semper Fi Fund, the VFW, the American
Legion, Disabled American Veterans, the Coalition to Salute America's
Heroes, and, of course, the Service Relief Societies. There are
hundreds of other nonprofits who offer assistance to military families
in general that are part of the America Supports You network
(www.americasupportsyou.mil).
The Department continues to sponsor Operation Warfighter (OWF), a
temporary assignment or internship program for servicemembers who are
convalescing at military treatment facilities in the National Capital
Region. This program is designed to provide recuperating servicemembers
with meaningful activity outside of the hospital environment that
assists in their wellness and offers a formal means of transition back
to the military or civilian workforce. The program's goal is to match
servicemembers with opportunities that consider their interests and
utilize both their military and non-military skills, thereby creating
productive assignments that are beneficial to the recuperation of the
servicemember and their views of the future. Servicemembers must be
medically cleared to participate in OWF, and work schedules need to be
flexible and considerate of the candidate's medical appointments. Under
no circumstance will any OWF assignment interfere with a
servicemember's medical treatment or adversely affect the well-being
and recuperation of OWF participants.
In 2006, 140 participants were successfully placed in OWF. Through
this program, these servicemembers were able to build their resumes,
explore employment interests, develop job skills, and gain valuable
Federal Government work experience to help prepare them for the future.
The 80 Federal agencies and subcomponents acting as employers in the
program were able to benefit from the considerable talent and
dedication of these recuperating servicemembers. Approximately 20
permanent job placements resulted from OWF assignments upon the
servicemember's medical retirement and separation from military
service.
The American public's strong support for our troops shows
especially in their willingness to help servicemembers who are severely
injured in the war and their families, as they transition from the
hospital environment and return to civilian life. Heroes to Hometowns'
focus is on reintegration back home, with networks established at the
national and State levels to better identify the extraordinary needs of
returning families before they return home. They work with local
communities to coordinate government and non-government resources
necessary for long-term success.
The Department has partnered with the National Guard Bureau and the
American Legion, and most recently the National Association of State
Directors of Veterans Affairs, to tap into their national, State, and
local support systems to provide essential links to government,
corporate, and nonprofit resources at all levels and to garner
community support. Support has included help with paying the bills,
adapting homes, finding jobs, arranging welcome home celebrations, help
working through bureaucracy, holiday dinners, entertainment options,
mentoring, and very importantly, hometown support.
The ability of injured servicemembers to engage in recreational
activities is a very important component of recovery. We continue to
work with the United States Paralympics Committee and other
organizations so that our severely injured have opportunities to
participate in adaptive sports programs, whether those are skiing,
running, hiking, horseback riding, rafting, or kayaking. We are also
mindful of the need to ensure installation Morale Welfare and
Recreation (MWR) fitness and sports programs can accommodate the
recreational needs of our severely injured servicemembers. At
congressional request, we are studying the current capabilities of MWR
programs to provide access and accommodate eligible disabled personnel.
Regarding the recent concerns about the Walter Reed Army Medical
Center, the Army and the Department have taken swift action to improve
existing conditions, enhance services provided at Walter Reed, and
identify areas meriting further study and improvement. Army leadership
initiated immediate steps to control security, improve access, and
complete repairs at identified facilities and sought to hold
accountable those personnel responsible to provide for the health and
welfare of our Nation's heroes.
On March 1, 2007, Secretary Gates commissioned an independent
review group (IRG) to evaluate and make recommendations on this matter.
The IRG will conduct its work and report its findings to the Secretary
of Defense by April 13, 2007. The report will include:

An assessment of current procedures involved in the
rehabilitative care, administrative processes, and quality-of-
life for injured and ill members, including an analysis of what
these servicemembers and their families consider essential for
a high-quality experience during recovery, rehabilitation, and
transition.
Alternatives and recommendations to correct
deficiencies and prevent them from occurring in the future.

The Department will be relentless in its actions--engaged, action-
oriented, and focused on making measurable improvements. Goals will be
clear and milestones will be established. We will regularly inform the
public and the people we serve--the soldiers, the families, military
leaders, Congress, the Secretary, and the President--on our progress.
There are a number of disturbing elements to the conditions at
Walter Reed, yet we are confident that each of these items is fixable
with sustained leadership and oversight. The Department, with the
assistance of the Secretary's independent review group, will come
forward with revised approaches to addressing the more complex
personnel and medical issues. The problems before us can be categorized
and assessed as follows:
Physical Facility Issues
In the case of substandard housing, the Army has been able to
quickly implement a corrective action plan. Some of those actions have
already occurred with facility repair and improvements. Clearly, other
facility improvements may require more comprehensive repairs that may
take longer. We are confident the Army is taking steps to ensure that
any needed improvements will be made.
Process of Disability Determinations
The critical first step in assessing this process will be to
identify the desired outcome. Both servicemembers and the Department
have expectations, including: full rehabilitation of the servicemember
to the greatest degree medically possible; a fair and consistent
adjudication of disability; and, a timely adjudication of disability
requests--neither hurried nor slowed due to bureaucratic processes.
The fundamental problems did not result from a lack of available
resources. The main effort here must be focused on the processes being
analyzed and assessed for their value and alternatives. The processes
must be redrawn with the outcomes we have in mind, with as much
simplicity and timeliness as possible. We are working hard to implement
solutions to issues identified in the March 2006 Government
Accountability Office Report 06-362. Most important, we have set forth
a process for updating DOD directives/instructions that promulgate
disability policies. We will publish a draft revised Disability
Evaluation System overarching policy before the end of April.
Process of Care Coordination
Again, the quality of medical care delivered to our servicemembers
is exceptional. Independent review supports this assertion. Yet, the
process of coordinating delivery of services for members in long-term
outpatient, residential rehabilitation needs attention. The Army will
assess, and we will review, the proper ratio of case-managers-to-
wounded servicemembers. We will also assess the administrative and
information systems in place to properly manage workload in support of
the soldiers.
The planned consolidation of health services and facilities in the
National Capital Region will enable the Department to best address the
changing nature of inpatient and outpatient healthcare requirements,
specifically the unique health needs of our wounded servicemembers and
the needs of our population in this community. The BRAC decision also
preserves a precious national asset by sustaining a high-quality,
world-class military treatment facility with a robust graduate medical
education program in the Nation's Capital. The plan is to open this
facility by 2011. In the interim, we will not deprive Walter Reed of
resources to function as the premier medical center it is. In fact, in
2005 we funded $10 million in capital improvements at Walter Reed's
Amputee Center--recognizing the immediate needs of our warrior
population. We are proud of that investment in capacity and technology.
We simply will not allow the plans for a new medical center to
interfere with the ongoing facility improvements needed in the current
hospital.
In the current spate of news reports on Walter Reed, the trust that
we have earned through our many medical achievements has been damaged.
Everyone's efforts will be focused on repairing and re-earning that
trust. Our civilian and military leaders have remained steadfast in
both their support of what we have accomplished, and their belief that
these matters can be fixed. U.S. military medicine and our medical
personnel are a national asset, representing a readiness capability
that does not exist anywhere else, and--if allowed to dwindle--could
not be easily reconstituted. We must preserve this asset.
DOD-DVA Sharing
DOD works closely with the VA at many organizational levels to
maintain and foster a collaborative Federal partnership. We have shared
healthcare resources successfully with the VA for 20 years, but many
opportunities for improvement remain. Early in this administration we
formed the DOD-VA Joint Executive Council, which meets quarterly to
coordinate health and benefit actions of the two cabinet departments.
The recently updated VA/DOD Joint Strategic Plan supports the
common goals from both the VA Strategic Plan and the MHS Strategic Plan
and incorporates them into the goals and objectives of the councils and
their associated work groups.
Health care resource sharing incorporates everything from general
and specialized patient care, to education and training, research and
development, and healthcare administrative support. At the end of
fiscal year 2006, DOD military treatment facilities and Reserve units
were involved in sharing agreements with 157 VA medical centers.
The NDAA for Fiscal Year 2003 required VA and DOD to undertake
significant collaborative initiatives. Section 721 of that Act required
that the departments establish, and fund on an annual basis, an account
in the Treasury, referred to as the Joint Incentive Fund (JIF). The JIF
is intended to eliminate budgetary constraints as a possible deterrent
to sharing initiatives, by providing earmarked funding to cover the
start-up costs associated with innovative and unique sharing
agreements. The 2006 projects cover such diverse areas of medical care
as mental health counseling, Web-based training for pharmacy
technicians, cardio-thoracic surgery, neurosurgery and increased
physical therapy services for both DOD and VA beneficiaries.
Section 722 of the same act mandated the departments execute no
fewer than three health care coordination demonstration projects over a
5-year period. There are seven sites currently testing initiatives,
such as the Bi-Directional Health Information Exchange, Laboratory Data
Sharing Initiative and Joint Market workload data analysis. The
demonstration projects will generate valuable lessons learned for
future DOD and VA sharing initiatives across the country.
The goal of seamless transition is to coordinate medical care and
benefits during the transition from active duty to veteran status in
order to ensure continuity of services and care. Seamless transition
efforts have made it possible for servicemembers to enroll in VA health
care programs and file for VA benefits prior to separation from Active
duty status.
DOD and the VA implemented the Army Liaison/VA PolyTrauma
Rehabilitation Center Collaboration program--also called ``Boots on the
Ground''--in March 2005. The intent of this program is to ensure that
severely injured servicemembers who are transferred directly from a
military treatment facility to one of the four VA PolyTrauma Centers,
in Richmond, Tampa, Minneapolis, and Palo Alto, are met by a familiar
face and a uniform. A staff officer or non-commissioned officer
assigned to the Army Office of the Surgeon General is detailed to each
of the four locations. The role of this Army liaison is primarily to
provide support to the family through assistance and coordination with
a broad array of issues, such as travel, housing, and military pay. The
liaisons also play a critical role in the rehabilitation process, by
promoting resiliency in servicemembers. Finally, it is important that
these servicemembers and their families realize that we appreciate
their service.
The next program is the Joint Seamless Transition Program,
established by VA in coordination with the military Services, to
facilitate and coordinate the timely receipt of benefits for severely
injured servicemembers while they are still on Active duty. There are
12 VA social workers and counselors assigned at 10 military treatment
facilities, including Walter Reed Army Medical Center and the National
Naval Medical Center in Bethesda. They ensure the seamless transition
of healthcare, which includes a comprehensive plan for treatment.
Veterans Benefits Administration counselors visit all severely injured
patients and inform them on the full range of VA services, including
readjustment programs and educational and housing benefits. As of
December 15, 2006, VA social worker liaisons had processed 6,714 new-
patient transfers to the Veterans Health Administration at the
participating military hospitals.
The DOD and VA information-technology communities have made
considerable progress toward and will continue joint pursuit of
information-management and technology initiatives that will
significantly improve the secure sharing of appropriate health
information.
The Federal Health Information Exchange (FHIE) supports the monthly
electronic transfer of health information from DOD to VA at the time of
the servicemember's separation. The data contained in this transfer
include: laboratory and radiology results, as well as discharge
summaries, admission, disposition and transfer information, and
patient-demographic information. Healthcare providers within the
Veterans Health Administration and benefits counselors within the
Veterans Benefits Administration access this information via the
Computerized Patient Record System (CPRS) and Compensation and Pension
Records Interchange (CAPRI), respectively. As of the end of fiscal year
2006, DOD had transmitted health data on more than 3.6 million
patients. DOD also uses FHIE to transmit data to the VA regarding VA
patients who are receiving care within military treatment facilities.
DOD has sent more than 1.8 million individual transmissions.
FHIE is also being used as a platform from which DOD transmits pre-
and post-deployment assessment information for separated servicemembers
and demobilized reservists and guardsmen. The DOD has electronically
transmitted more than 1.4 million assessments on more than 604,000
individuals to the VA. DOD added data from the post-deployment health
reassessment in fiscal year 2006.
Building from the FHIE, which is a one-way flow of information, DOD
and VA have developed and begun deployment of the Bi-Directional Health
Information Exchange (BHIE). This exchange enables near-real-time
sharing of allergy, outpatient prescription, and demographic data
between DOD and VA for patients treated in both DOD and VA. BHIE is
operational at all VA Medical Centers and at the 14 military treatment
facilities with the highest incidence of returning OEF/OIF
servicemembers and the highest number of visits for VA beneficiaries in
DOD facilities.

QUALITY OF LIFE FOR THE MILITARY AND THEIR FAMILIES

This is the sixth year of sustained combat and the resiliency of
servicemembers and their families is nothing less than remarkable. The
Department makes family support a priority and has redesigned and
boosted family support in a number of ways to recognize that families
also serve and sacrifice.
Communication with loved ones
Military spouses indicate that being able to communicate with their
servicemember is the number one factor in being able to cope with
deployments. Back home, computers and Internet service at base
libraries, family support centers, and youth centers ensure families
can send and receive e-mails from their loved ones who are deployed.
Phone banks with Internet hook ups are readily available in base camps.
Free morale calls are also regularly available in theater. Morale
programs include 145 free MWR-operated Internet cafes in Iraq and 30
Internet cafes in Afghanistan. Mobile Internet cafes offer Internet
Protocol phone service at less than $.04 per minute. The cost of phone
calls is now much reduced through work with telecom companies, and our
exchanges provide unofficial telephone service at low international per
minute rates for deployed members on land and sea.
Communication strategy
The cornerstone of our communication strategy is Military OneSource
(www.militaryonesource.com or 1-800-342-9647), which has quickly become
the trusted source of information and assistance for servicemembers and
their families. Military OneSource is a 24-hour information and
referral service. It provides information and assistance on a wide
range of issues, including parenting, child care, educational services,
financial information and counseling. Individualized assistance is
available by telephone, e-mail, or the Internet. Department survey
results indicate that one in five servicemembers used Military
OneSource in the previous 12 months. The current call volume is almost
1,000 calls per day. In fiscal year 2006, there was an average of
125,000 online visits per month. The 2006 Army Family Action Plan
Conference designated Military OneSource as the number one program in
support of mobilization, deployment and family readiness.
The second part of our communication strategy is Military
Homefront, (www.MilitaryHOMEFRONT.dod.mil). Our award-winning, ``best
in government'' quality-of-life web portal is a user-friendly site that
connects all DOD quality-of-life information on-line. The site reaches
out to our men and women in the military, to their families and to
service providers. In fiscal year 2006, there were over 25 million hits
and 1.5 million visitors.
Two new applications, Military Installations and Plan-My-Move, add
a new dimension to the Homefront. For the first time, servicemembers
can access the online Plan-My-Move; it provides tools for budget
planning, household goods inventories and much more. Military
Installations provides directions to programs, services, and facilities
for military bases, National Guard offices and VA facilities worldwide.
Counseling
Family assistance and military member counseling is in increased
demand--more than doubling over the last year. This short term,
situational and problem-solving nonmedical support is designed to help
servicemembers and their families cope with the normal reactions to
stressful situations. All military Services, including the National
Guard and Reserve component, are actively using this resource; it is
intended to augment existing military support services during the
cycles of deployment and reintegration. Up to six sessions of
counseling per situation can be requested by individuals and families.
The counseling, provided by licensed and credentialed professionals, is
confidential and optimally available within a 30 minute drive time of
the individual requesting services. Counselors are trained to assist
families with life management issues such as reunion expectations,
loneliness, stress, long separations, differences after a year apart,
effects of deployment on children, loss and grief, and how best to
reintegrate into family life. Financial counseling is also available to
help with today's complex financial decisions and the added
complication of family separations.
Child Care
Military parents rely on child care and youth programs during
deployments to help them manage their rigorous work schedules. Since
the beginning of OEF/OIF, the Department funded $228 million in
additional child care, with an end result of creating approximately
7,000 child care spaces in 37 child care centers and 42 additions/
renovations at high personnel tempo locations. Further, an additional 4
million hours of care were provided as a result of the increase in
funding. In fiscal year 2006, the Department moved forward with the
emergency intervention strategy to address the most pressing child care
needs at locations impacted by high deployments and rebasing. To
continue the effort, the Department dedicated $82 million toward the
purchase of modular facilities, renovations, and expansion of current
facilities.
DOD supports the child care needs of Reserve component families
through several initiatives: Operation: Military Child Care is a DOD
partnership with a national non-profit organization that helps
families/child guardians locate child care at reduced rates in their
own communities when they are unable to access child care on military
installations; Operation Military Kids is the Army's collaborative
effort with community agencies to support the `suddenly military'
Reserve component children and youth before, during, and after the
deployment of a parent or loved one. In fiscal year 2006, more than
29,000 youths in 34 states participated in Operation Military Kids
activities; in 2007, a new Coaching for Young Families initiative will
provide 20 full-time positions offering counseling support to families
with young children in high deployment areas. Twelve of the 20
consultants will work at National Guard and Reserve component
locations.
Casualty Assistance
Each Service has its own customs, but all see assistance to
families of the fallen as a top priority. The Army, Navy, and Marine
Corps assign a uniformed member to assist the family, while the Air
Force provides assistance through a full time civilian Casualty
Assistance Representative. The Services have developed programs to
provide personal assistance as long as the families desire contact and
stand ready to respond whenever a concern arises.
In March 2006, the Department published ``A Survivor's Guide to
Benefits, Taking Care of Our Own.'' The guide details the Federal
benefits available to families of servicemembers who die on active
duty, to include coordinated benefit information from the DOD, VA, and
SSA. This guide, that was updated last June and November, is on the
Military Homefront Web site, where it is always available in its most
current version.
For Service casualty staff and military widows, the Department
created ``The Days Ahead, Essential Papers for Families of Fallen
servicemembers,'' a tool designed to assist families in organizing the
avalanche of paper work that is necessary as a family applies for and
receives Federal benefits as a result of an active duty death.
Transportation of Fallen Loved Ones
With the enactment of section 562 of the NDAA for Fiscal Year 2007,
effective 1 January 2007, dedicated military or military-contracted
aircraft is the primary mode of air transportation of remains that are
returned to the United States from a combat theater of operations
through the mortuary facility at Dover Air Force Base (AFB). Commercial
air may only be authorized at the request of the person designated to
direct disposition. The Department has recently expanded this provision
to include transportation for all personnel who die of their wounds or
injuries sustained in a combat theater of operations regardless of
whether the remains are processed through Dover AFB.
A member of the Armed Forces, in an appropriate grade, escorts the
fallen servicemember's remains continuously until arrival at the
applicable destination. At the arrival airfield, an honor guard detail
is available to render appropriate honors and participate in the off-
loading of the flag-draped casket from the aircraft to awaiting ground
transportation for onward movement to the funeral home or cemetery.
Since families still sometimes choose the use of commercial air,
the Department continues to work with the commercial airline industry
to ensure that all actions are taken to ensure our fallen are handled
with the highest level of respect. The airline industry responded to
this request for support with a multitude of courtesies.
Expedited Citizenship
Gaining citizenship for a non-U.S. citizen servicemember is not
only a satisfying, and often a life-long goal for that individual, it
also provides a stepping stone for members of the family to become
citizens. The Department works closely with the Department of Homeland
Security's Citizenship and Immigration Service (CIS) to expedite
citizenship applications for non-U.S. citizens who serve honorably in
our Armed Forces. CIS established an office in 2002, dedicated to work
all military citizenship applications. Since this office was
established, 35,818 servicemembers have obtained citizenship and the
average processing time has been reduced from 9 months to less than 60
days. At DOD's request, CIS recently entered into an agreement with the
FBI to permit the use of military member fingerprints provided at the
time of enlistment for processing military member citizenship
applications. The Department also continues to work closely with the
CIS to conduct naturalization interviews and swearing-in ceremonies
overseas and onboard ships. Over 3,194 military members have been
naturalized at overseas ceremonies conducted since October 1, 2004.
National Guard and Reserve Family Support
This past year has seen a maturing of existing programs, new
initiatives, and integrated support systems to respond to the special
needs of families, especially National Guard and Reserve families
located significant distances from military installations. Per
direction in the NDAA for Fiscal Year 2007, the Department is designing
a regional joint family support model. Two critical components of the
model involve building coalitions and connecting Federal, State, and
local resources and nonprofit organizations to support Guard and
Reserve families. Best practices and lessons learned from 22 Inter-
Service Family Assistance Committees and the Joint Service Family
Support Network will guide the planning process. Minnesota's, ``Beyond
the Yellow Ribbon'' reintegration program will serve as a model with a
funded Community Reintegration Coordinator position. Hawaii and Oregon
have volunteered to be models. These are States where we can build on a
successful infrastructure to deliver a wide range of family assistance
to expand our reach to the Guard and Reserve.
Financial Readiness
The Department considers the personal financial stability of
servicemembers and their families a significant factor in military
preparedness. Financial readiness remains a top priority for the DOD
and we aggressively promote a culture within the military that values
financial competency and responsible financial behavior. The
Department's Financial Readiness Campaign encourages servicemembers to
achieve good credit, save on a regular basis, obtain good interest
rates on loans, and take advantage of the opportunity to participate in
the Thrift Savings Plan (TSP) and the Servicemembers' and Veterans'
Group Life Insurance (SGLI).
The Financial Readiness Campaign includes partnerships with other
Federal, corporate, and non-governmental organizations to help military
members and their families manage their finances. While trends in the
past couple of years show more servicemembers are able to save and
fewer are having financial problems, a third of E1s-E4s still indicate
that they have financial problems. It is important that we continue
efforts to provide access to cost-effective financial readiness tools
and products, and protect members from predatory lenders.
Education is our first line of defense. In 2006, the Services
provided more than 11,800 financial management classes at their
installations around the world and trained more than 324,000
servicemembers (approximately 24 percent of the force), as well as
19,400 family members. Our campaign partner organizations, such as
those represented by our on-installation banks and credit unions,
conducted an additional 1,300 classes, serving a total of 60,600
servicemembers and their families.
Our 23 financial readiness partners are invaluable in providing
both education and counseling to our servicemembers and families and in
offering affordable, easily accessible financial products. The
Financial Literacy and Education Commission provides educational and
training materials through the Web site www.mymoney.gov. The Commission
also supports a toll-free number and consolidates education and
training materials available through the Federal agencies that have
been widely advertised and linked to DOD and military service Web
sites. The InCharge Institute provides access to credit counseling/debt
management, and publishes a quarterly magazine Military Money in
partnership with the National Military Family Association. The National
Association of Securities Dealers Foundation funds a multi-year
awareness and education program to supplement programs provided by the
military Services, including a scholarship program for military
spouses, through partnership with the National Military Families
Association, to accredit them as `financial counselors' in return for
volunteer hours in military communities. Our military relief societies
continue to provide outstanding educational materials and counseling,
as well as financial assistance when our servicemembers are in need.
As we push our campaign into 2007, the Department provides free
Federal and State online tax preparation and filing through Military
OneSource for all members regardless of component or activation status.
This service includes free telephonic access to trained financial
professionals who can answer many tax questions. The Department
encourages servicemembers to add any refunds to a savings account. The
Department sponsored ``Military Saves'' Week in February, in
conjunction with the Consumer Federation of America's nationwide
``America Saves'' campaign. This was an intense week of training and
encouragement to start reducing debt and save for the future. Members
can set a savings goal by registering on www.militarysaves.org.
Predatory Lending
The Department delivered a report to Congress last August about the
impact of predatory lending practices on members of the Armed Forces
and their families. The report showed the Department is fully engaged
in educating servicemembers and their families, and that the banks and
credit unions on military installations, along with the Military Aid
Societies, are providing alternative loans. However, we also found that
we did not have adequate methods for controlling the prevalence or the
impact of high cost short-term loans.
The NDAA for Fiscal Year 2007 gives the Department an opportunity
to preclude many of the predatory lending practices from impacting
servicemembers and their families. The NDAA sent a clear message that
servicemembers should consider alternative loans and counseling to
resolve their credit problems instead of perpetuating them through
sources of high cost credit.
DOD staff has met with members of Federal regulatory agencies and
has defined a game plan to establish a regulation that can focus the
provisions of the statute on the issues associated with predatory
lending, without impacting the access of servicemembers and their
families to beneficial forms of credit.
Commercial Insurance Solicitation
DOD Instruction 1344.07, Personal Commercial Solicitation on DOD
Installations, became effective on July 10, 2006. The new Instruction
requires installations to report any withdrawal or suspension of
solicitation privileges to their Service headquarters and to the Office
of the Secretary of Defense (OSD). OSD maintains a DOD-wide list of
insurance and investment companies and agents who are barred or banned
from doing business on any DOD installation. Installation commanders
must review this list prior to approving any new requests to solicit on
the installation. Any changes to this list are also reported to
appropriate State insurance and Federal securities regulators.
The instruction also contains policy on the use of nongovernmental
organizations to provide financial education to servicemembers, and
policy to preclude commercial sponsorship of morale, welfare, and
recreation programs or events from being used to obtain personal
contact information to foster future solicitations. Of particular note,
on-base solicitors are now required to provide prospective clients with
a Personal Solicitation Evaluation form that will provide feedback to
installation officials on how the solicitation was conducted. The
evaluation form is designed to detect policy violations and will help
installations better enforce on-base commercial solicitation rules.
Domestic Violence
Domestic Violence statistics are slightly lower than last year. The
Department remains steadfast in its commitment to strengthen its
response to domestic violence and continues to make substantial efforts
to improve training of key staff. During the past year, we conducted
six domestic violence training conferences, three of which were offered
to joint gatherings of commanding officers, Judge Advocates, law
enforcement personnel, and victim advocates. We continue implementation
of the restricted reporting policy for incidents of domestic violence.
This policy offers victims the option of seeking medical and victim
advocacy assistance without making a report to the victim or abuser's
commander or law enforcement. This confidential assistance is crucial
for victims who may be concerned about their safety, the military
career of the family-member offender, or the family's financial
welfare. The Department continues to expand its victim advocacy
program, which provides access to on-call victim advocates and shelters
to assist victims of domestic violence. During the past year we
launched a Web-based domestic violence training curriculum for
commanding officers that addresses their responsibilities when
responding to incidents of domestic violence.
In partnership with the Family Violence Prevention Fund, we
developed and launched a national public awareness campaign to prevent
domestic violence. The campaign is designed as a prevention message to
educate service men and women and their families about domestic
violence and increase awareness of domestic violence prevention
resources. In partnership with the Office on Violence Against Women of
the Department of Justice, we have continued several joint initiatives,
including training for victim advocates and law enforcement personnel.
Additionally, we are conducting domestic violence coordinated community
response demonstration projects in two communities near large military
installations. The goal of the projects is to develop a coordinated
community response to domestic violence focusing on enhancing victim
services and developing special law enforcement and prosecution units.
Finally, we are participating in the President's Family Justice Center
Initiative. The initiative provides funding through the Office on
Violence Against Women for 15 centers in select communities nation-
wide. The Department partnered with four centers near military
installations to address domestic violence.
Military Children's Education
The Department shares a strong interest in quality elementary and
secondary education for military children with our partners in State
and local education systems. One of the major factors in sustaining the
All-Volunteer Force is providing quality educational experiences for
military children.
Our DOD schools have high expectations for the over 91,000 students
enrolled in our 208 schools located in 12 countries, 7 States, and 2
territories. DOD students are among the highest performing in the
Nation as measured by norm-reference assessments like the TerraNova and
the Nation's report card, the National Assessment of Education
Progress. Our students consistently score above the national average at
every grade level and in every subject area. A key ingredient to this
success is the partnership that exists among schools, parents, and
military commands, focusing on superior student achievement. DOD
schools are also leading the Nation in closing the achievement gap
between white and non-white students. African-American and Hispanic
students in DODEA schools consistently outperform their counterparts in
the 50 States in reading and math.
In January 2007, the Peabody Center for Education Policy at
Vanderbilt University provided DOD with an updated review of their 2001
study, commissioned by the National Education Goals Panel, on the high
academic achievement in the Department of Defense Education Activity
(DODEA) Schools. The Department is proud to report that 6 years after
the initial findings, DODEA student data reveals that the trend of
outstanding academic achievement among all students in general, and
among minority students in particular, enrolled in DODEA schools
continues. Using National Assessment of Educational Progress data, the
follow-up Vanderbilt University study documents that the trend of high
academic performance of students enrolled in DODEA schools persists
beyond their initial 2001 review, and, in fact, that the achievement
gap continues to grow narrower than the national average. The
achievement gaps between white and minority students remain much
smaller than the national averages. The DODEA writing scores are the
second highest in the Nation, climbing from 33 percent to 38 percent of
students at or above proficiency. Further, the DODEA reading scores
have risen to an impressive first in the Nation with 40 percent of
DODEA students scoring at or above proficiency. These results compare
favorably to the national averages at 30 percent of students at or
above proficiency in both writing and reading. The report conjectured
that the foundation upon which DODEA high achievement persists relies
upon the core and quality features embedded within the institutional
structures, instructional practices, and social and economic conditions
within the DODEA schools and communities they serve.
The DOD school system has responded to the President's National
Security Language Initiative, which promotes the study of critical need
languages in grades K-12. DODEA has launched a foreign language program
that will initially introduce DOD strategic foreign languages, such as
Mandarin Chinese, to selected elementary and secondary schools in the
DODEA system.
The NDAA for Fiscal Year 2007 directed the Department to ease the
transition of military students from attendance at DOD schools to
attendance in schools of local educational agencies (LEAs). DODEA will
share its expertise and experience in developing rigorous and
successful academic programs, teacher professional development, and
distance learning technology capabilities with stateside school
districts impacted by base closures, global rebasing, and force
restructuring. The Department identified 17 communities in 14 States
that will experience a large number of students transitioning into
their schools because of large scale relocation and rebasing. DODEA has
begun building partnerships with affected stateside school systems to
assist them in expanding quality instructional programs. The ultimate
goal of the program is to ensure that a high quality educational
program is provided to all military dependents living both inside and
outside the gates of military installations.
As an initial step in sharing best practices with LEAs, last
November the Department sponsored a Conference on Education for
Military-Connected Communities, which brought together teams comprised
of military, civilian, school and business leaders from the 17
communities that will experience an increase in military dependent
students due to the large scale rebasing effort. Over 200 participants
heard from experts who provided participants with a list of resources
for their communities to using during transition.
The Department is also sharing information on the unique
characteristics of military dependent students with military and
community leaders, military parents and school superintendents who work
with these students. To communicate effectively with military parents,
teachers and students, the Department provides information on our Web
site www.militarystudent.org about the impact of deployments on
children, resources to assist in separations and transitions, and best
practices in quality education.
Along with toolkits and outreach through DODEA, the Department is
making the Johns Hopkins Military Child Initiative available to
military-connected communities and LEAs. The John Hopkins Center for
Schools Impacted by Children of the Military focuses on meeting the
needs of children and youth least likely to feel connected to school
(i.e., children of military families who live in highly mobile
circumstances). The Center's approach is being shared with impacted
schools and military parents to improve student success, school/family/
community partnerships and student engagement.
Spouse Education and Careers
Trying to sustain a career is a major issue facing military
spouses. The majority of the 700,000 military spouses of Active duty
personnel are in the civilian workforce. In the 2006 Survey of Spouses,
83 percent of spouses report that developing a career is a personal
goal. Perhaps even more important to the Department, research indicates
that a military spouse's support for a career in the Armed Forces is a
top factor in the retention decision of a married servicemember.
Unfortunately, military spouses are a disenfranchised population,
generally not included in our Nation's major labor and workforce
development opportunities. Frequent relocations result in denial of
opportunities ranging from eligibility for in-State tuition and State
unemployment compensation to achievement of tenure. For those spouses
whose employment requires costly certification and/or licensure
requirements, the state-to-state moves are enormously expensive,
sometimes precluding a career. Military spouses are excluded from
calculation of the National unemployment rate; thus, many State and
local workforce investment boards are reluctant to serve military
spouses. The unemployment rate for military spouses, at 12 percent, is
much higher than the National unemployment rate. Further, our research
shows that military spouses earn about $3.00 per hour less than their
civilian counterparts.
At the same time, military spouses are better educated than their
civilian ``look-alikes:'' 7 of 10 spouses have some college education.
About 20 percent of spouses are enrolled in post-secondary schools;
another 51 percent would like to be in school.
The Department is committed to helping military spouses pursue
rewarding careers and achieve educational and training goals. We are
actively working with DOL to ensure military spouses can receive
education and training support via Workforce Investment Act funds.
Further, we are partnering with the DOL and national associations
around careers in high-growth industries with mobile and portable
careers, such as medical transcription, financial services, education,
and real estate. The DOD/DOL collaborative Web site
(www.milspouse.org), which assists spouses with resume development,
locating careers, identifying available training and linking to One
Stop Career Centers, continues to be a great resource for our military
spouses with almost 7 million Web site hits in fiscal year 2006.
When asked what would have helped them find work after their most
recent permanent change of station move, approximately a third of the
spouses surveyed in the 2006 Survey of Spouses indicated that easier
transition of certifications would have helped, and 27 percent
indicated that financial help with transferring certifications was
lacking. We have identified a range of popular spouse careers that have
State-specific licensing requirements and have designed strategies to
address them, initially focusing on teaching and real-estate. Six
States have now adopted the American Board for Certification of Teacher
Excellence (ABCTE), a national passport teaching credential. Spouses
with an ABCTE credential will not have to be recertified in these
States. The Department also uses the Spouse-to-Teacher program to
support military spouses in their pursuit of K-12 teaching degrees and
positions in public and private schools.
Re/MAX launched a program, Operation Re/MAX, that provides military
spouses the opportunity to achieve a career in the real estate
industry. Since August 2006, there have been almost 2,000 inquiries
from military spouses and there are over 800 Re/MAX offices offering to
hire military spouses.
Our efforts to raise employer awareness through our partnership
with military.com, a division of monster.com, have proven to be a great
success. Via this Web site portal www.military.com/spouse, 155,000
military spouses have posted their resumes and conducted over 3 million
job searches of Federal and private sector jobs. There are now over 300
spouse-friendly employers actively recruiting military spouses for
their vacant positions; these organizations can post jobs at no cost
and may search this exclusive database for military spouse candidates.
Transition Assistance Program (TAP)
Returning to private life after serving in the military is a
complex undertaking. To better meet the needs of servicemembers,
including the Guard and Reserve, DOD, with the assistance of the DOL
and VA, is designing a new dynamic automated Web-based system that will
revolutionize the delivery of transition assistance and information. We
have nicknamed the new portal: ``TURBO TAP.'' The portal architecture
will become the backbone of the DOD TAP process. The primary feature of
``Turbo TAP'' will be to allow each servicemember to receive customized
accounts of benefits from DOD, DOL, and VA. Individuals may return to
their account to refresh their memory or take advantage of a benefit at
a later date. The portal will augment the personal service provided by
our transition counselors. Further, the current preseparation guide for
active duty personnel, and a new transition assistance guide
specifically for the Guard and Reserve will be released soon.
Voluntary Education
The Department's off-duty, voluntary education program constitutes
one of the largest continuing education programs in the world. Each
year approximately 450,000 servicemembers enroll in postsecondary
courses leading to associate, bachelors, masters, and doctorate
degrees. Colleges and universities, through an extensive network,
deliver classroom instruction to hundreds of military members around
the world through traditional and distance learning instruction. In
fiscal year 2006, Service personnel enrolled in 798,972 courses and
received 43,467 degrees and diplomas. Despite the challenges of war,
degrees have increased as military personnel finish coursework in
traditional classrooms (on and off base), as well as on state-of-the-
art hand-held delivery systems such as personal digital assistants and
iPods. In support of the intent of President's National Security
Language Initiative and Defense Language Transformation, we expanded
our tuition assistance policy to allow servicemembers to take
strategically needed language courses unrelated to a degree. We also
worked with major book distributors and some of our major academic
partners to reduce out-of-pocket expenditures related to the ever-
increasing cost of text books, resulting in a savings to servicemembers
of over 30 percent annually.
State Liaison Initiatives
In 2004, DOD approached the National Governors Association to
request assistance in supporting aspects of quality-of-life for
servicemembers and their families that could be influenced best through
the actions of State governments. In the past 2 years, Governors and
State legislators have embraced these opportunities to show their
support for servicemembers and their families. The Department
concentrated discussions on 10 key issues: (1) assistance to Guard and
Reserve members and families, (2) assistance to the severely injured,
(3) in-State tuition rates for servicemembers and their families, (4)
school transition assistance for children of military families, (5)
employment assistance for military spouses, (6) unemployment
compensation for military spouses, (7) limits on payday lending, (8)
absentee voter assistance, (9) growth of foreign language education,
and (10) increases in child care assistance for Guard and Reserve
families.
Governors and other State policymakers have taken these issues
seriously: for example, 30 States are providing in-State tuition rates
to servicemembers and their families while assigned to a State as a
non-resident, and continuing this support for family members enrolled
in school if the servicemember is reassigned out of State. Additional
information on the progress of the key issues is provided to state
policymakers and others at www.USA4MilitaryFamilies.org.
Morale Welfare and Recreation (MWR)
MWR programs enhance the social fabric of a military community by
providing activities normally found in ``hometown communities,'' such
as libraries, fitness centers, bowling, golf, parks and sports fields.
Some servicemembers returning from the intensity of war miss the
adrenaline-high experienced while living in constant danger. As a
consequence, they may seek out risky and sometimes self-destructive
activities. We are providing high adventure MWR Return and Recreate
programs as safer, supervised alternatives: rock climbing, mountain
biking, jet skiing, white-water rafting, paintball, and windsurfing.
The continued vitality of military MWR programs depends on
consistent appropriated fund support to Category A (mission sustaining)
and Category B (community support) MWR activities and a predictable
nonappropriated fund revenue stream from Category C (revenue-generating
MWR activities). Each of the Service's MWR funds is currently in sound
financial condition. However, we are concerned about the impact of BRAC
and Global Rebasing: overseas locations produce a significant portion
of MWR revenues and exchange profits used to support capital
replacement programs. At current performance levels, MWR will not
generate sufficient funds to fully sustain future capitalization
requirements and we must identify and use other revenue-generating
opportunities to fill this gap.
Professional Entertainment
Entertainment helps build morale for deployed servicemembers.
Nowhere is this support more important than in the austere locations
where servicemembers are performing duty in support of the global war
on terror. Armed Forces Entertainment (AFE) continues to provide much
welcomed celebrity and professional entertainment to our forces
overseas.
In 2006, AFE conducted 118 tours with 1,433 shows in 25 countries.
Eighteen of those tours were with the United Service Organizations'
coordination. From 2002 through 2006, the Robert and Nina Rosenthal
Foundation worked closely with the Country Music industry to provide 76
celebrity entertainment shows at no cost to military personnel and
their families. The resulting Spirit of America Tour provides a brief
reprieve from the stresses of deployments at military installations
within the continental United States.
Exchanges and Commissaries
The commissary and exchange are valued contributors to the quality-
of-life of our servicemembers and their families. They provide a safe
and convenient community hub, particularly in overseas areas.
Commissaries help military families save over 30 percent on grocery
and household necessities. The Defense Commissary Agency (DECA) makes
sure that familiar name brands are available for military families at
active duty installations around the world. The Department's challenge
is to sustain the value of the commissary to our servicemembers without
increasing the cost to the taxpayer. DECA, with oversight by the
Commissary Operating Board, is becoming a state-of-the-art retail
enterprise and is increasingly efficient and effective at delivering
the benefit. Commissary customer satisfaction continues to surpass the
supermarket industry. Moving forward, DECA will pursue new ways to
support military families who don't live on or near military
installations and explore cooperative efforts with the military
exchanges that enhance overall quality-of-life.
The Armed Service Exchanges provide over $300 million to help
support morale, welfare and recreation programs. The Exchanges are
using technology--independently and with each other--to improve value
to their customers and to lower operating costs.

CONCLUSION

Mr. Chairman, we want to thank you and members of this subcommittee
for your advocacy on behalf of the men and women of the DOD.
We established our survey program to listen to our military and
civilian personnel. We believe they are telling us that we have a
stable, satisfied, and committed Total Force.
Eighty percent of active duty members believe they are personally
prepared, and two-thirds believe their unit is prepared, for their
wartime jobs. These views have held steady from the start of Operation
Iraqi Freedom (March 2003) through the latest survey (August 2006).
Although deployments can place a strain on servicemembers and their
families, two-thirds of members deployed since the start of Operation
Iraqi Freedom indicated that access to the Internet and e-mail while
away have greatly improved their quality-of-life. More than half of
members (53 percent) who used Military OneSource in the past year (most
of whom accessed the program via the Internet) were satisfied with the
resource. In terms of compensation, more than three-fifths of
servicemembers reported being financially comfortable in April 2006,
and four-fifths indicated saving a portion of their household income.
More than two-thirds of servicemembers were satisfied with their
medical (72 percent) and dental (68 percent) benefits, and more than
three-quarters (77 percent) rated their health benefits better relative
to their high school classmates. Overall, in August 2006, 57 percent of
servicemembers indicated they are likely to stay on Active duty. Based
on research using prior surveys, 90 percent of servicemembers who
indicate they are likely to stay actually do stay. Therefore, we feel
confident that almost three-fifths of our current Active duty force
will stay in the military.
After showing decreases between May 2003 and November 2004, Reserve
retention intentions have stabilized and are currently at 67 percent.
Between December 2005 and June 2006, reports of family support to stay
in the National Guard/Reserve increased, and stress levels decreased.
The June 2006 survey results show that approximately two-thirds of
members say they have not been away longer than expected, and average
nights away and time away decreasing the desire to stay in the military
decreased from December 2005. Results from this survey also show that
roughly two-thirds of reservists working for employers consider them to
be supportive of their military obligations. Where employment problems
have occurred and reservists have sought assistance, roughly two-thirds
turned to ESGR. Of those who contacted ESGR, 62 percent reported they
were satisfied with the manner in which their request for assistance
was handled.
In the past year, we also fielded special surveys to spouses so we
could fully understand the impact of deployments on the family. Results
indicate that 61 percent of Active duty spouses and 75 percent of
Reserve spouses support their husband or wife staying in the military.
These results are encouraging, as spouses' reports of their support are
even higher than members' assessments of spouse support. We plan to
continue fielding regular surveys of spouses to better understand the
issues facing today's military families.
Although we have challenges ahead managing our civilian workforce--
assimilating them into jobs previously performed by the military,
implementing a new personnel system, and replacing retiring personnel--
the outlook is very encouraging. Since we began surveying civilians in
the fall of 2003, we have learned that large majorities are satisfied,
and their satisfaction levels on a number of indicators are rising.
Roughly three-fourths are satisfied with working for their
organizations (73 percent) and their jobs (78 percent). The majority of
employees are satisfied with the type of work they do (83 percent),
quality of coworkers (67 percent), quality of supervisor (67 percent),
and total compensation (64 percent). Approximately 90 percent
consistently report they are prepared to perform their duties in
support of their organization's mission, and over half are satisfied
with management and leadership.
In conclusion, we continue to have a dynamic, energetic, adaptable
All-Volunteer Total Force. With your help we are confident we can
sustain that Total Force. These volunteers have performed magnificently
under the most arduous and perilous of circumstances. They have not
failed us; we must not fail them.

Senator Ben Nelson. Secretary Hall?

STATEMENT OF HON. THOMAS F. HALL, ASSISTANT SECRETARY OF
DEFENSE FOR RESERVE AFFAIRS

Mr. Hall. Chairman Nelson, thank you for the opportunity to
appear. I appreciate what you and the other members of the
committee have done, and continue to do, of our young men and
women serving today.
I'm not up to Dr. Chu's record of nine appearances, but I
believe this is my fifth, since I'm into my fifth year; and I
believe what I have seen is considerable progress on the way in
which we train, compensate, mobilize, and utilize our Guard and
Reserve. I'm very encouraged by the progress that we have made.
I served for 38 years of Active Duty, and I served in a
draft military. I can tell you that the young men and women
today, as all volunteers, are absolutely superb. We've
mobilized almost 550,000 since the beginning of the war. We
have 74,000 guardsmen and reservists mobilized as of today.
But, most significantly, that's 120,000 less than we had at the
highwater mark, almost five or six Army divisions less. So, we
are reducing the stress on the force.
The Secretary of Defense has also published a new
mobilization memo on January 19. Soon after coming aboard, he
received advice and counsel, and as a result, we are limiting
our total mobilizations to 1 year, we are setting metrics for
both our Active and our Guard and Reserve for how, and when,
they should deploy. We're looking at mobilizing by units. We
are looking at reducing, if not eliminating, the stop-loss
policy. For those people that might go more frequently, we're
looking at a compensation policy.
I might add, I just returned from a speaking engagement
this weekend, one of many, and I have yet to find throughout
the United States any guardsmen, reservists, family, or
employers that don't support the new mobilization policy. They
think it is a move in the right direction.
Finally, I would say that I have recently chaired the
working group appointed by the Secretary of Defense to analyze
Mr. Punaro's Commission on the Guard and Reserve. In
particular, there are 23 recommendations. Tomorrow, I will
deliver my report to the Secretary of Defense on that
commission. We were given 30 days, but we finished in 14. The
import of that is that I know that the Secretary of Defense is
anxious to quickly implement, in policy, the changes that he
agrees with, and quickly work with you on legislation to change
the things that he needs.
Thank you, again, for the opportunity to appear.
Senator Ben Nelson. Thank you.
Dr. Jones?

STATEMENT OF STEPHEN L. JONES, DHA, PRINCIPAL DEPUTY ASSISTANT
SECRETARY OF DEFENSE FOR HEALTH AFFAIRS

Dr. Jones. Thank you, Mr. Chairman. I would also like to
thank you for the opportunity to be here and discuss the
Nation's military health system.
America's military health system is unquestionably the
finest in the world. Our medical professionals have performed
superbly on the battlefield, and their efforts have given us
the lowest death-to-wounded ratio and the lowest disease
nonbattle injury rate that we have witnessed in history. Once
our medics are on the scene, a remarkable 98 percent of those
treated survive.
Today I'd like to touch basically on three areas: One, our
fiscal year 2008 budget, critical and near-term financial
issues; two, the long-term plans to strengthen our healthcare
system; and three, our efforts to provide even a more
integrated joint healthcare delivery system.
Earlier this month, as you mentioned in your statement, Mr.
Chairman, Dr. Chu and Dr. Winkenwerder appeared before the full
Senate Armed Services Committee to address the shortcomings in
the outpatient housing and care coordination for our wounded
servicemembers at Walter Reed. Due to swift action by Secretary
Gates in the establishment of an independent review group,
combined with the DOD/VA Commission led by former Senator Dole
and Secretary Shalala, we are already focusing on major
bureaucratic impediments we must remove to provide our
servicemembers and their families with the responsive, well-
coordinated, and professional healthcare services that they
expect and they deserve.
We are not confining our review to just Walter Reed, but
are conducting a broad review of all medical facilities, across
all Services. We are examining closely the disability
determination process, with the goal of ensuring fair,
consistent, and timely adjudication of disability reviews
combined with clear, regular communications with servicemembers
and their families.
Although our reviews require additional time to develop
solutions in the long-term, I do want to iterate my belief
about what has not caused the problem. The Base Realignment and
Closure (BRAC) decision to close Walter Reed remains the
correct one. Our servicemembers and all of our beneficiaries
need a modern medical facility designed for health care
delivery for the 21st century. The decision to integrate
clinical operations of both the Bethesda and Walter Reed
medical centers on the campus at Bethesda is based on a number
of compelling factors.
One, better quality. The merged medical campus will allow
us to sustain leading graduate medical education and more
easily integrate and share staff with the National Institutes
of Health, which is just across the street.
Patient access. In studying the demographics of the region,
the new Fort Belvoir and the new Walter Reed National Military
Medical Center will place our facilities where our population
lives. From patient satisfaction, there is no empty space on
Walter Reed, and if we were to increase capacity to conduct
major renovations in that medical center, we would have to go
wing by wing, and renovate while patients are being treated
there, which would be disruptive to patient care, and also very
costly because it's a very old chassis.
Secretary Gates, in a recent statement, and at the request
of Senator Warner, of course, has asked us to look at
accelerating the new Walter Reed National Military Center, and
those evaluations are underway at this time, Mr. Chairman.
In addition to addressing the critical issues that have
surfaced the last 2 months, we must still attend to operating
the rest of our health care system. With our fiscal year 2008
healthcare budget estimated at $40 billion, we need to bring
our rapidly-growing costs under control. As we discussed
earlier, Mr. Chairman, you're aware that if left unchanged, the
cost to our taxpayers, by 2015, will be $64 billion, rather
than $40 billion that we have today. This would approach 12
percent of the DOD budget, versus the present 6 percent, which
was in 2001; and we're at about 8 percent at our present
funding level.
In the meantime, we're doing everything we can to control
our cost growth internally. We are executing our new TRICARE
regional contracts more efficiently, we're demanding greater
efficiency within our own medical facilities. However, one
area, pharmacy, is particularly noteworthy. Nearly 6.7 million
beneficiaries use our pharmacy benefit. In fiscal year 2006,
our total pharmacy cost was more than $6 billion. If we did
nothing to control our pharmacy cost, we project that those
costs alone would reach $15 billion by 2015. We're taking every
action for which we have authority, promoting our mandatory
generic substitution policy, joint contracting with the VA,
launching a mail-order promotion campaign, and receiving
utilization rebates from pharmaceutical manufacturers to lower
costs. These efforts are working. Recent legislation passed by
Congress and other regulations limit our ability to control
costs in the fastest growing area of pharmacy, the retail
sector. In retail, our products cost us 50 percent more than
the same drugs dispensed through our military treatment
facilities or mail-order venues.
You can help us by allowing the Department to make
appropriate changes in the structure of our pharmacy benefit.
These changes will accelerate use of our new home-care delivery
program, enhance the use of generics, and give us greater
leverage when negotiating with pharmaceutical manufacturers.
Another area which I want to touch on is better integration
of our healthcare system. The BRAC legislation is helping us
drive and encouraging that integration. The medical
infrastructure we are creating through the BRAC will better
serve our beneficiaries through the following: improve access
to care, allow for enhanced graduate medical education, allow
for joint medical training for enlisted personnel, co-locate
our medical headquarter elements, and, through the creation of
the medical center, which we talked about earlier, create a
Walter Reed National Military Medical Center.
Senator, it's an honor for me to work with the military
medical staff members who I associate with daily. They are
exceptional and provide superb high-quality medical care, and
we are pleased that we believe they are serving our missions of
our servicemembers while they are at war.
Thank you, sir.
Senator Ben Nelson. Thank you, Dr. Jones.
Senator Collins, do you have an opening statement that
you'd like to make?
Senator Collins. No, thank you, Mr. Chairman.
Senator Ben Nelson. Okay, thank you, to the panel.
My first question will go to Dr. Chu, relating to the
physical disability evaluation system. Servicemembers with a
disability rated 30 percent or higher qualify for medical
retirement. Those with less are separated with severance pay.
The Center for Naval Analysis (CNA) reviewed the disability
ratings of all Services and reports that 26.7 percent of airmen
determined to be unfit for duty receive disability ratings of
30 percent or higher. The other Services award ratings of 30
percent or more to far fewer servicemembers. The Army awards
this 4.3 percent of the time; the Navy, 4.1 percent of the
time; and the Marines, 2.7 percent. Have you gone through a
review of each of the Services' disability evaluations systems
to see why there is such a disparity in disability ratings of
30 percent or more between the Air Force and the other
Services?
Dr. Chu. We have looked at this issue. This system is
decentralized under broad policy guidance from the Office of
Secretary of Defense. Let me start with that guidance.
We are about to issue revised guidance that I think will
bring greater uniformity of result and improved process from
the perspective of all stakeholders in this important set of
decisions.
Yes, it is decentralized; therefore, you would expect to
see some variation by Service. I'm not sure I would necessarily
agree with the specific figures that CNA has there.
I do know that it is interesting--and this is in contrast
to the recent Government Accountability Office report--that
there is a fair amount of stability within any one Service in
the pattern of decisions, year over year; plus the fact that
the bulk of decisions accrue from nonwar issues, that they are
there in peacetime. A significant fraction, of course, are
decisions about persons who have reached 20 years of service,
retiring by virtue of longevity, not by virtue of disability.
That is one reason that you will see some differences in
Service figures, because the fraction of each cohort that
reaches retirement eligibility does differ across the Services.
There is in DOD a presumption of fitness to serve, if you have
served for 20 years, in terms of offering a disability rating.
Senator Ben Nelson. Now, in regard to that, if someone came
with a 30 percent disability, and they're not retiring, would
they receive a 30 percent disability from the Army? But what
might they receive from the VA if they were unable to continue
to serve?
Dr. Chu. That's an important question, sir, as you are
suggesting. As you appreciate, the statutes governing
disability ratings for the two departments differ. Our statute
emphasizes fitness to serve. The VA statute emphasizes loss of
civilian earnings power, for which physical condition is a
proxy. So, it is not surprising that you will get different
ratings out of the two systems, particularly for those
individuals being evaluated at the retirement--normal
retirement point--in other words, people who have served 20
years or more and who are retiring by virtue of years of
service.
A further reason for differences between the two Cabinet
agencies, as you appreciate, is that the VA--ours is a one-time
evaluation, a snapshot at the time of departure; the VA
evaluation, however, is, properly, continuous. So, if the
condition worsens or the effects of age exacerbate the
condition, the VA does change the rating generally in the
upward direction over time.
I do think there is a fundamental question here, as we
testified earlier to the full committee, as I know you
appreciate, and that is: Why does the country have three
different systems to compensate for disability in military
Service? Social Security pays in some instances. There's one
set of constraints about what that benefit can look like. VA
pays in many other circumstances. DOD pays in many of those
same circumstances. I understand, from the recipient's
perspective, this is confusing. Should we be looking, long-
term, after the various review panels have reported, at some
unification of these three systems, and some clarity about the
principles that together they should follow, as opposed to
separate and different principles--is that a meritorious step?
I think that's one of the big questions out there for us to
consider.
Senator Ben Nelson. What do you think the likelihood is
that you could get a single system, given the differences?
Dr. Chu. I think this goes fundamentally to the
responsibilities on Capitol Hill and on Pennsylvania Avenue,
and that is, can we agree on the set of principles under which
the systems should run? In other words, is there a single
cohesive set of principles that they are to follow? If we can
get that agreement, I think we can devise a set of mechanisms
that would be effective, and perhaps much less confusing and,
one would hope, less frustrating to the beneficiary population.
Senator Ben Nelson. Now, is it possible to go ahead and
begin some sort of preliminary work to see what might be
developed with principles first, and then an effort toward
smoothing out the differences, to the extent possible?
Dr. Chu. Yes, sir. I think we have three important sources
of findings that can help us. In 2003, if I recall the date
correctly, Congress required there be constituted a Commission
on Veterans Disability. It has been working, under the
chairmanship of retired Lieutenant General Terry Scott, these
last several years. It has a reporting date of October 2007. I
think that will be an important set of evidentiary findings
from a group that has been working this problem for some time.
Second, of course, we have the two more recently appointed
groups, the group that is the commission created by the
President, co-chaired by Senator Dole and Secretary Shalala,
and then the group appointed by DOD, with former Army
Secretaries Marsh and West as the co-chairmen. They report much
more rapidly.
In addition, the VA Secretary chairs a task force asking
``what can we do within existing law?'' We are, likewise,
conducting similar reviews inside DOD.
But the short answer is yes, sir, I think we can begin that
task sooner rather than later.
Senator Ben Nelson. All right. Would we be able to get the
seamless transition in the process, as well? In other words, if
you get a nearly single system, will that carry over, so when
somebody becomes a veteran through retirement, as opposed to
being wounded and unable to continue in the position?
Dr. Chu. Sir, my personal belief is that, almost by
definition if we have a single system, many of the current
seams would disappear. There will still be record-transfer
issues, there will still be issues how to manage cases as you
move from one status to another. I think some of this can be
solved with existing administrative authority. We have already
been working, as I know you appreciate, with the VA for several
years now on how we can make the existing system more seamless
in character. I think we've made significant progress in that
regard with the benefits delivery and discharge program, for
example, with trying to create a single examination as the
standard going forward with memorandums of agreement at every
location in the United States now. There is more to be done on
that front.
Senator Ben Nelson. Dr. Jones, DOD has been working hard to
implement a reliable, effective electronic health record
system, called Armed Forces Health Longitudinal Technology
Application (AHLTA). In your joint written testimony, you
stated that the military health system has, ``successfully
completed worldwide deployment of AHLTA.'' If this system is so
good, why is it so difficult for DOD to provide military
medical records to the VA in a timely manner? Is the AHLTA
system ready to be merged with the VA's electronic records
system to create a joint records system? If not, what more
needs to be done to get this accomplished?
Dr. Jones. Senator, as of November 2006, we did complete
AHLTA worldwide, which means it's presently in all of our 138
facilities. AHLTA, traditionally, the first phase is an
outpatient facility, outpatient module, which, of course,
allows us to operate on the battlefield and get that
information back to the providers in Landstuhl, and, of course,
back at Walter Reed or Bethesda. The VA system traditionally
has been an inpatient system. Again, they are inpatient-based,
historically. If you look at our priorities at the military
health system, our next priority is an inpatient system, an
inpatient module, that would be placed into AHLTA. The VA,
their system, their VistA system, I understand is based on an
older operating system called MUMPS, and they will have to
rejuvenate that system. So, our two secretaries have asked that
we, between the VA and DOD, do a study to see if we can't
possibly draw up requirements where we could use the same
system, and we're presently doing that.
Then, our third challenge, Senator, would be, how do we
communicate with those private physicians and private
hospitals? Many of our beneficiaries use TRICARE, and we would
like to be able to get those medical records back into AHLTA
from the private sector. Of course, that's a longer-term
solution.
In the interim, our information technology folks in both
the VA and DOD have been working very hard to transfer data. We
have presently transferred 3.6 million records, which VA has
access to those who have retired or separated from service. We
have a number of projects ongoing which provide realtime data
back and forth in a number of facilities. We are giving that
great priority.
Senator Ben Nelson. With the effort underway to merge,
what's the timeline, if you have a hard timeline, do you
anticipate the merger?
Dr. Jones. The study that we are presently doing, we hope
that that will be completed by this summer. Of course, if we
get the green light that those requirements are like enough for
us to have one inpatient record, then we would--again,
implementing that, doing the necessary development work to make
that happen, sir.
Senator Ben Nelson. Okay.
Secretary Hall, in your capacity as Assistant Secretary of
Defense for Reserve Affairs--I'm going to read you the
recommendation from the Commission on the National Guard, some
of the recommendations, ``The Commission on the National Guard
and Reserves recently submitted its second report to Congress.
In the report, the Commission recommended that the grade of the
chief of the National Guard Bureau should be increased to four
stars, but that the chief should not be made a member of the
Joint Chiefs of Staff.'' Now, in your view and in your
position, are these your views, as well?
Mr. Hall. As I mentioned, I chaired the working group on
not only these 2, but the other 21 recommendations. I will
submit my report tomorrow with my thoughts and comments on
those, to the Secretary of Defense. I think it would be
premature for me to discuss those. But I will tell you what the
Secretary of Defense has said on the record on both of those
issues, and he's said that, I think, in testimony and before
two public forums, so these were what he said. I think I can
correctly indicate. He said that if the position of the Chief
of the National Guard Bureau has the responsibilities attached
to it that rises to the four-star rank, he would support that.
On the second one, he said he did not support membership of the
Chief of the National Guard Bureau on the Joint Staff. Those
are his two public statements on that. The rest of them, we
will have to see after the report goes in.
Senator Ben Nelson. Okay. So, your views are consistent
with that conclusion?
Mr. Hall. I support the Secretary's views on that,
certainly. [Laughter.]
Senator Ben Nelson. Just wanted to see if we could get you
to stumble.
Mr. Hall. This is my fifth hearing, so I certainly support
those. [Laughter.]
Senator Ben Nelson. You've been learning.
Senator Collins?
Senator Collins. Thank you very much, Mr. Chairman.
Dr. Jones, I want to ask you about an issue that some Guard
members in Maine have raised to me about what they believe is a
gap in our system of military health care. I'm not certain
their understanding is correct, but, if it is, it suggests
there are situations where those who serve and have been
injured fall through the cracks. So, I want to describe what
these Guard members told a member of my staff.
They pointed out that when an Active Duty servicemember
returns from overseas and requires either physical or mental
health care, he or she goes to the military medicine system and
relies upon that structure. Similarly, when a reservist or a
National Guard member who has suffered injuries--whether
they're physical injuries or mental injuries--while on Active
Duty, while they were deployed, and those are serious enough
that the Guard member or reservist is separated from the
military, he or she can turn to the VA system for treatment.
But these Guard members who talked to my staff believe that
there's a gap that occurs when a reservist or a National Guard
member returns--who has suffered physical or mental injuries,
but goes back to the civilian job and continues to drill or
participate with the Reserves or Guard. They believe that that
individual falls through the cracks, that they're not eligible
for the Active Duty military system, they're not eligible for
the VA system. Are they correct in telling me that?
Mr. Hall. I would say we--because of what Congress passed,
the Guard and Reserve--the TRICARE Select, last year, made
available to all members of the Guard and Reserve, TRICARE
Select for them and their families, regardless of whether they
are drilling, on Active Duty, whatever the status. For a pay of
28 percent, you can enroll either yourself or your family, so
you may go into that system. Prior to that, we did not have
that. But that will allow--and that's to be implemented--it's
being worked on now, will be implemented in the fall, by which
they can remain in the TRICARE system for this pay, even if
they're in a drilling status or Active Duty.
Senator Collins. I was aware of that, but that's if they
buy into the TRICARE system. I'm talking about a guardsmen who,
let's say, has post-traumatic stress disorder (PTSD), has come
back, is now re-employed in the civilian sector, does not
participate in TRICARE, let's say, is uninsured in the civilian
job. How does that person get treatment for injuries that were
suffered while that person was on Active Duty, the lingering
impact?
Dr. Chu. Senator, as I suspect you are aware, they are, on
a lifetime basis, whether drilling or not, eligible for VA care
for any service-connected disability
Senator Collins. Even though they haven't separated.
Dr. Chu. Even though they--VA care is based upon the fact
that you were injured on Active Duty. In addition, you have a
2-year window after release from Active Duty in which you do
not have to have demonstrated the ailment was service-
connected, you merely have to say, ``I think it was.'' You can
show up at the VA. The VA opens generously its services to you.
In further addition, on the TRICARE front, Congress, within the
last few years, changed the statute so you have 6 months'
coverage of TRICARE after release from Active Duty. So, taking
it from the other way around--the 6 months TRICARE coverage
after release from Active Duty--there's 2 years, essentially no
questions asked, if it is even believed to be service-
connected, VA. Once it's established it's service-connected,
then you have a lifetime entitlement to VA care. So, if you
have Maine Guard personnel who are complaining, I think the
challenge is to us, how do we communicate better?
Senator Collins. Right.
Dr. Chu. We'll certainly take that back for action. How do
we communicate better? ``Here is how we deal with the issue,''
and maybe we should start with that, ``You have a problem and
you're in this status, here's what you do,'' because there is
recourse.
Dr. Jones. Senator, we'll be glad to get with your staff
and get particulars. If there's some way that we can be of
assistance, we will do so.
Senator Collins. That would be helpful. This came to us, as
I said, from the Veterans Coordinating Committee in Maine. It
sounds like there's not a full understanding of what's
available.
Dr. Jones. Senator, I might mention one other thing.
Senator Collins. Yes.
Dr. Jones. Congress, last year, of course, mandated that we
set up a Mental Health Task Force, and that Mental Health Task
Force has been meeting now, and will be reporting, I think,
June/July, to the Secretary. We believe that we are, of course,
providing adequate mental health care and coverage; however,
this task force has been out there, been on 30 bases and
facilities, so we will look forward to their report. Of course,
again, they might bring up gaps that we need to look at, and we
will do so.
Senator Collins. Thank you.
Another issue that I'm hearing more and more about from my
constituents is the prevalence of traumatic brain injury (TBI)
from explosions in Iraq that have been misdiagnosed as PTSD. A
neurologist from Maine met with me a couple of weeks ago who
personally had a case where there was a physical injury that
had not been caught, and, thus, was not being appropriately
treated. That's very disturbing, obviously, and, because of the
number of improvised explosive devices (IEDs) in Iraq, I
suspect we're seeing more and more TBI. What plans do you have
to either do better screening for TBI or to have some other way
to make sure that we're screening for this? Because it's been
called ``The Silent Killer.'' It's difficult to detect and
diagnose, and I'm very concerned about this, based on the
conversations that I've had with this neurologist.
Dr. Jones. Senator, we, too, are concerned. As you say,
with the number of IEDs, this is getting to be a number of our
wounded warriors impacted by that. We have invested--I say
``we,'' DOD and VA--considerable resources over the last 10 to
15 years looking at TBI. But much more needs to be done. We
have added screening questions now to our post-deployment
assessments and our post-redeployment reassessment programs.
We've also charged the Army, along with our Deputy Assistant
Secretary for Force Health Protection, to look at all of the
various programs that we have in the TBI area, and to look at a
comprehensive approach. Again, the way ahead, as you suggest,
and in fact, we had the discussion with the surgeons general
this morning about that. Don Arthur, the Surgeon General of the
Navy, he had TBI, so he has a personal professional interest in
this. He also will be working with us to develop a plan,
hopefully which we will have ready by August 2007.
Senator Collins. Thank you.
Mr. Chairman, I know that you have a whole other panel, so
I'll submit my other question for the record.
But just so you know what I would have asked, it has to do
with the disparity between benefits for Guard members and
reservists versus Active Duty now that we're treating them so
much more alike than ever before. I will submit that one to the
record, because I know we're going to have more votes.
Thank you. I'm very pleased to hear about the screening
questions on post-deployment. That is exactly what this
physician suggested needed to be done, and I think that's
really going to help. So, thank you.
Dr. Jones. Thank you.
Senator Ben Nelson. Thank you, Senator. Your other
questions will be included in the record.
Senator Collins. Thank you.
Senator Ben Nelson. I've gotten the message that Senator
Graham is unable to be with us.
Also, we have received a statement from Misti K. Stevens
regarding funding for DOD schools, and if there is no
objection, her statement will be included in the record.
Thank you.
[The information referred to follows:]

To the Honorable Chairman, Minority Leader, and Members of the
Armed Services Committee, Department of Defense Education Activity
(DODEA) schools have provided a quality education for military
dependents through out their history. Nevertheless inadequate funding
is threatening the standard of education the stateside branch of this
organization, Domestic Dependent Elementary and Secondary Schools
(DDESS), is able to provide. In fact, budget cuts have resulted in
hazardous school environments and substandard learning opportunities
for military dependents. Increased funding is necessary for DDESS to
provide this crucial benefit which is well earned by our soldiers and
their family members.
As parents, educators and students we are troubled by the decreased
funding for DDESS. DODEA through DDESS provides a consistent
curriculum, a superior education as is witnessed by higher standardized
test scores, and produces a higher percentage of graduating seniors who
go on to attend college. The demands on military children are unique,
for example the average military dependent will attend three high
schools prior to graduating and will endure at least one 6-month to 12-
month hazardous duty deployment of a parent during their high school
career. The importance of the uniformity in curriculum, transition
counseling, and graduation requirements provided by DODEA schools is
essential to create an optimal learning environment for these students.
DDESS budget cuts this year are restrictive and diminish the
ability of administrators and faculty to provide the high standard of
education expected of DODEA schools. While not isolated the schools
located at Fort Campbell provide a prime example of the effects of
inadequate appropriations. Fort Campbell High School (FCHS) had an
operating budget of $85,000 for the 2005/2006 school year; the same
school has received $8,300 for operational expenses as of March 2007
for the 2006/2007 school year. The entire Fort Campbell schools which
comprise 8 schools and a populace of 4,415 students as of March 16,
2007 has received $108,000 for the 2006/2007 operating costs, $24.46
per student compared to an appropriation of $7,259 per student in the
neighboring community Clarksville County school district. Consequently,
teacher training has stopped, transportation for study trips is no
longer available, and funding for additional supplies ranging from
copier paper, sheet music for chorus and toilet paper has become a
personal economic burden to parents and administrators.
At Mahaffey Middle School, garbage cans catch water from a leaking
roof while a broken heating and air conditioning system produces sauna
like conditions in some classrooms while other classes have no heat.
These moisture problems have created issues with mold necessitating the
removal of floor tiles which cannot be replaced due to funding
restrictions and a false ceiling has been placed over the molded
ceiling of the cafeteria until funding can be found to repair the roof.
Overcrowding is yet another issue created by the lack of funding. FCHS
was built to house 490 students; current student enrollment is 594 with
as many as 641 students this year. There is an expected increase of 10
to 15 percent next year. At the same time the teacher student ratio has
increased to 1 teacher for every 30 students for the fifth grade
students at Lucas Elementary. Furthermore, the lack of appropriations
has led to the cancellation of all study trips, scholastic or
extracurricular within the Fort Campbell school system. The consequence
of budget cuts is military students are subjected to a substandard
learning environment.
As a Nation, we communicate several important messages to military
dependents. One is, ``America Supports You,'' yet another is the role
your parents play in the military is vital to the survival of our
country. We also stress the importance of an education. Senators, we
also teach students that actions speak louder than words. Inadequate
funding for DDESS schools conveys a lack of support for military
members and their families and declares that an optimal education of
military dependents is no longer important to our country. Military
students pay a high price for our country's safety and they deserve the
funding required to provide teacher training, transportation for study
trips, and the maintenance of school buildings.
Sincerely,
Misti K. Stevens

BIOGRAPHY OF MISTI K. STEVENS

Misti Stevens has her BS in History graduating summa cum laude and
her Masters degree in Secondary Education (magna cum laud). She has
worked in a variety of capacities as a teacher, AVID tutor and
volunteer in DODDs (Hanau, Heidelberg, and Darmstadt, Germany),
Leavenworth, KS; Fort Leonard Wood, MO; Edwards Air Force Base, CA; and
Fort Campbell, KY. Mrs, Stevens is a member of the Military Child
Education Coalition and has played an active role in Army Family Action
Planning in the areas of education and youth services. Mrs. Stevens has
also held a number of positions in Parent Teacher Student Organizations
across the globe and is a military spouse of 17 years with 2 children,
ages 14 and 16, who together have successfully attended 15 different
schools. Mrs. Stevens MeD includes research comparing DODEA and public
schools in the Fort Leavenworth area and IEPs. After numerous
interviews she is writing on the behalf of educators, administrators,
and parents of various ranks throughout the Fort Campbell community.

Senator Ben Nelson. I think there is one further question
pertaining to cross-leveling.
Secretary Chu, you were quoted in the Commission report
explaining the cross-leveling issue as ``a difference in
perspective between the operational chain of authority in the
military service and the personnel community.'' Maybe you can
help explain what you mean by that statement.
Dr. Chu. Yes, sir. But let me preface it by saying that the
Secretary has made the decision that, going forward for Reserve
units, we will aim at mobilizing on a unit basis; in other
words, that we should end cross-leveling as a practice, as far
as Reserve components are concerned.
The origin of my statement to the Commission is the reality
that, at any moment in time, a unit has a certain number of
people who are either missing, so a billet is not filled or
unable to deploy for whatever reason. The Army standard is that
Active units should have less than 4 percent in the last
category. So the personnel community often does have to move
people from another unit to the deploying unit, whether it's
Active or Reserve. So, from the personnel community's
perspective, cross-leveling is a natural phenomenon, done all
the time, to put the unit in the right shape.
Senator Ben Nelson. Right.
Dr. Chu. In fact, many Army units are deploying at more
than 100 percent strength, which means, by definition, you have
to move extra people into the unit.
The operational community tends to see the unit as a single
entity, and it is somewhat opaque to that community how that
came to be. In other words, how did those people show up? Why
are they here? Why, when I have a formation in the morning, is
100 percent strength standing in front of me? That was the
difference in perspective I was trying to describe. The
operational community would like to see it treated as a unit,
does not like to see movement in and out, because, of course,
that presents leadership and training challenges, but the
reality from the personnel community is that we move people all
the time.
Senator Ben Nelson. Do you think that the security of the
unit is at risk, in part because of the fact that it's a
synthetic unit, as opposed to one that has been training and
deployed, maybe, on other occasions, or having at least trained
together and have operated together?
Dr. Chu. The cross-leveling, to the extent that it was done
in the past, was typically done before the unit training--and
speaking now specifically of Reserve units--deployment of
Reserve units--before the unit training began. So, it should be
completed before the training occurs. The training by itself
provides an opportunity for the unit to come together and to
understand how it's going to work as an effective single body.
Further, this is the personnel community's perspective; it
depends, obviously, on the practice and the issues that occur
on the battlefield--but we do send replacements to units in
order to bring them back to the strength at which they need to
be in order to operate effectively. So, again, there's always
an integration and leadership challenge when that occurs.
Mr. Hall. Could I comment just a second on that?
Senator Ben Nelson. Yes, please.
Mr. Hall. In my Active Duty time, I commanded a lot of
units and a lot of squadrons, and deployed frequently, and I
never deployed with the same unit the next year that I had the
year before. I found that the single most important factor in
success of a unit, and cohesion, is leadership. You were given
new people. You were expected to exert leadership.
Senator Ben Nelson. Okay, thank you.
Do you feel that our troops being deployed have adequate
training, equipment, and preparation to be deployed now?
Dr. Chu. Yes, sir, that is our standard, that they should
have the gear they need when they are in theater. That does not
always mean they have that same gear back in the United States;
and so, there may be fewer items to train on in the training
status. They do complete, typically, training in Kuwait before
they go into Iraq. So, again, how they leave the United States
is not quite the status that they achieve when they arrive in
the actual area of operations.
But, yes, sir, that is our standard. They should be.
Mr. Hall. I might mention I went to Kuwait, up on the
Udairi Range, just before our troops pass over into Iraq, and I
went out and asked each and every one of them, ``Do you feel
you have the equipment? Do you feel you have the training?''
Then, what we do is visit the units after they come back, and
ask them, ``What training did we give you that was not so
useful? What was the most useful training?'' So, we use that as
a measure, and I'm confident that we are very close in what we
need to do, based upon their answers, that they have the right
equipment and the right training, both before and after they
go.
Senator Ben Nelson. Okay. Thank you.
Secretary Jones, in terms of what we're attempting to do to
smooth the relationships between the DOD and VA agencies, do
you think we're on the right road to getting that smooth, so
that all those differences can be either corrected or modified,
to some extent, so that they're not as burdensome to our
forces?
Dr. Jones. Mr. Chairman, I think with the Joint Executive
Council (JEC), the Health Executive Council (HEC), and the
Benefits Executive Council (BEC) we have a closer working
relationship with the VA. We have a strategic plan, which has
over 20 elements and goals in it, which we monitor every day.
If you look on the ground, as well as in headquarters, the
local folks in the markets and the local folks here in town
want to make it work, and I believe we're making significant
progress.
Senator Ben Nelson. We all understand that Dr. Chu's been
here nine times, and I suspect it'll be ten, and we'll be
asking you for an update, at that time, expecting to hear that
all these things have been resolved. [Laughter.]
Dr. Jones. Yes, sir.
Senator Ben Nelson. All right. Thank you. The first panel
is excused.
Dr. Chu. Aye-aye, sir. Thank you. [Pause.]
Senator Ben Nelson. At this time, I'd like to welcome our
second panel, consisting of the military personnel chiefs of
each of the military branches: Lieutenant General Michael D.
Rochelle, the United States Army; Vice Admiral John C. Harvey,
Jr., the United States Navy; Lieutenant General Ronald S.
Coleman, the United States Marine Corps; and Lieutenant General
Roger A. Brady, the United States Air Force.
We salute your dedicated service to your respective
Service, and to the men and women of the armed services and
their families, and I say welcome and thank you for being here
today.
At this point, we would accept your oral comments. If you
have written comments that you want to be submitted, please let
us know and we will submit them for the record, unless you
state otherwise.
General Rochelle, please let us know what's happening in
your branch.

STATEMENT OF LTG MICHAEL D. ROCHELLE, USA, DEPUTY CHIEF OF
STAFF, G-1, UNITED STATES ARMY

General Rochelle. Mr. Chairman, thank you so much for the
opportunity.
I'll respectfully submit for the record my written
comments.
Chairman Nelson and distinguished members of the
subcommittee, thank you for the opportunity to appear before
you today representing the more than 1 million young men and
women who are proudly serving in this great Army of yours. I
am, indeed, privileged and honored to represent them today.
This All-Volunteer Force is proving itself each and every
day. I say that for my comrades sitting here--and their
coastguardsmen, marines, airmen, and sailors who are serving as
well. But, as I speak to you today, nearly 600,000 soldiers are
serving on Active Duty in 80 countries, soldiers from every
State and territory, soldiers from every corner of this great
Nation and country, proudly serving the people of the United
States, and doing so with honor and distinction. We are one
Army, with Active and Reserve Forces serving together around
the globe, and we are truly Army strong.
Success of the All-Volunteer Army starts with recruiting,
Mr. Chairman. We compete today for very high quality human
resources in a tough market, a robust economy, and with
pressures from both industry and an improving economy, and very
low unemployment rates.
In 2006, the Army achieved great success, with more than
175,000 qualified men and women answering the call to duty. The
Active Army enlisted more qualified personnel, men and women,
than any previous year since 1997. This year, the total Army
recruiting mission is over 171,000 recruits; as always,
exceeding the combined recruiting missions of all the other
Services.
The Army National Guard and the Army Reserve are applying
several innovative measures to bring fully qualified men and
women into the Reserve component. Last year, the Army National
Guard achieved its best recruiting effort in the last 14 years,
and we will closely monitor Reserve component, Army Reserve
recruiting, as well as National Guard recruiting, and ensure
that they are resourced for success, employing a number of best
practices of the Army National Guard to bolster Army Reserve
recruiting efforts.
With over half the year remaining, I remain very optimistic
that we will exceed our goals in the Active component and the
National Guard.
Fiscal year 2006 presented challenges in healthcare
recruiting, and I would be delighted to address those, subject
to your questions.
Any recruiting program is most effective when equipped with
the right mix of incentives. The Army's program is no
different. Thanks to this body, sir, many new incentives
enacted include the increased enlistment age, which brought
nearly 600 new soldiers into the Army; the expansion of the
$1,000 referral bonus to $2,000, which gained us nearly 2,500
qualified soldiers in uniform; and the increase in the bonuses
above $20,000--cash bonus--which resulted in over 5,000
soldiers enlisted. Additionally, the Army implemented the first
pilot program, granted us under the National Defense
Authorization Act (NDAA) for Fiscal Year 2006--recruiting
incentive authority, called the Recruiter Incentive Pay
Program. This year, we will implement the next, and that is the
Officer Accession Bonus Program. With congressional support for
the required incentive trust fund this year, the Army expects
the Army Advantage Fund to be a large market impact for Army
recruiting.
Finally, I'd like to assure you of the quality of our
soldiers. Without exception each soldier who enlists in the
Army is qualified for his or her military occupational
speciality. Since the inception of the All-Volunteer Force, we
have maintained the DOD-quality standards which are much more
stringent than standards in statute. We do not, and will not,
seek different standards.
Thanks to your assistance with recruiting incentives, and
thanks to the patriotism of the next greatest generation, we
are meeting our recruiting goals and will grow the force to
547,000 by fiscal year 2012.
Our efforts to maintain your All-Volunteer Army require
your continued support, Mr. Chairman. For the appropriate
levels of authorities and resources, we need full support for
the funding requested in the fiscal year 2007 supplemental and
the fiscal year 2008 President's budget to support the Army
manning requirements. I ask for your continued commitment to
encourage all who are qualified to answer this Nation's call to
duty.
Once again, sir, I thank you for the opportunity to appear
before you today.
[The prepared statement of General Rochelle follows:]

Prepared Statement by LTG Michael D. Rochelle, USA

Chairman Nelson, Senator Graham, and distinguished members of the
subcommittee, thank you for providing me opportunity to appear before
you today on behalf of America's Army. The Army, over 1 million strong,
serves proudly around the globe. As our Army is growing to meet today's
demands, we are grateful to this committee for improving incentives and
bonuses to attract and retain the very best soldiers. I take tremendous
pride in this All-Volunteer Force and all it has accomplished for our
great Nation.
This is an All-Volunteer Force. We compete in a very tough market
within a robust economy. We rely on your support to help the Army grow.
Your continued support gives us the necessary tools to attract and
retain the soldiers who serve our great Nation. Through your continued
support, our Army will grow to meet the needs of the Nation and to
defend America in the long war on terrorism.
Our soldiers are this generation's heroes. They continue to make
history, demonstrating to America that her Army is the best in the
world. This generation shows that America can call upon the All-
Volunteer Force time and time again to persevere in prolonged conflict.
With your continued assistance, we will achieve the right mix of
incentives to compensate, educate, and retain the best and brightest
our Nation has to offer.
The soldier remains the centerpiece of our Army. As I speak to you
today, more than 600,000 soldiers serve on active duty. We have more
than 243,000 soldiers--Active, Guard, and Reserve--in 76 countries, and
another 8,000 soldiers securing the homeland. Soldiers from every State
and territory . . . soldiers from every corner of this country . . .
serve the people of the United States with honor and distinction.
Soldiers fight in Iraq and Afghanistan in support of the global war on
terrorism. Soldiers participate in homeland security activities.
Soldiers support civil authorities on a variety of missions within the
United States.
More than ever before, we are one Army, with Active and Reserve
Forces serving together around the globe.
Additionally, a large Army civilian workforce (over 240,000),
supports our Army--to mobilize, deploy, and sustain the operational
forces--at home and abroad. Our soldiers and Department of Army
civilians remain fully engaged around the world. They remain committed
to fighting and winning the global war on terrorism.
With help from this body, the Army continues to meet challenges in
the Human Resources environment. In recent years, your support for
benefits, compensation, and incentive packages ensured the recruitment
and retention of a quality force. Today, I will provide you with an
overview of our current military personnel posture and programs, and
the status of our benefits and compensation packages as they relate to
building and maintaining a quality force.

RECRUITING

Our Nation is blessed with the world's finest Army. It is an All-
Volunteer Army that is being recruited under conditions not foreseen
when the draft ended in 1973. Our soldiers must be confident, adaptive,
and competent. They must be able to handle the full complexity of 21st
century warfare in our combined, joint, and expeditionary force. They
are the warriors of the 21st century and they became heroes when they
enlisted.
Recruiting these qualified young men and women in a highly
competitive environment is extremely challenging. Competition with
industry, an improving economy, lower unemployment, decreased support
from key influencers, the media, and the continuing global war on
terrorism, present significant challenges. Thanks to your support and
the efforts of our recruiting force, the Army achieved great success in
fiscal year 2006. The fiscal year 2006 recruiting year ended with the
Active component making over 100 percent of its mission, U.S. Army
Reserve accomplishing 99.5 percent, and the Army National Guard
accomplishing 98.6 percent. This data reflects the U.S. Army Recruiting
Command recruiting mission accomplishments and does not include
accessions attributed to Active component to Reserve component or
Individual Ready Reserve (IRR) to Selected Reserve Transitions. These
results are a significant improvement over fiscal year 2005 recruiting
results. Although these successes are noteworthy, we must all remain
committed to meeting the challenges in the foreseeable future.
To date, the Active Army and the Army National Guard have met their
recruiting missions. The Active component finished February 2007 with a
year-to-date achievement of 108 percent. The United States Army Reserve
finished February 2007 with a year-to-date achievement of 94 percent.
The Army National Guard finished February 2007 with a year-to-date
achievement of 105 percent. Two components, Active and National Guard,
are projecting successful annual missions for fiscal year 2007. The
mission of the Army Reserve remains the most challenging of all three
Army components this year. U.S. Army Recruiting Command and the
Department, with help from the Army Reserve Command, are working
together on incentives and policy changes to mitigate risk and increase
success. With just over one half of the recruiting year remaining, the
Army is optimistic we will meet our recruiting goals.
Some Members of Congress have expressed concern over the quality of
the force, when viewed by the Department of Defense (DOD) standard of
high school diploma graduates and Test Category IV soldiers. However,
all soldiers who enlist into the Army are qualified for their
respective military occupation specialties--their jobs. No exceptions.
Across America, there is an increasing trend in alternatives to the
traditional high school. Our ability to recruit in the current
environment--which is unprecedented in the history of the All-
Volunteer-Force--requires innovation, as well as perseverance.
We must recognize that those who volunteer to serve during these
difficult times, have distinct qualities all their own. Once accepted,
the Army molds them into a precious resource--the American soldier.

INCENTIVES AND ENLISTMENT BONUSES

The Army must maintain a competitive advantage to attract high
quality applicants. Bonuses are the primary and most effective
competitive advantage the Army can use to attract quality soldiers.
These bonuses help us to compete within the market and prepare for
future conditions. The bonuses and incentives are key in filling
critical Military Occupation Specialties in an increasingly college-
oriented market and meet seasonal (``quick-ship'') priorities.
College attendance rates are at an all-time high and continue to
grow. With nearly 70 percent of the Nation's high school graduates
intent on college attendance within the year of graduation, the Army
College Fund is a proven performer. The Army College Fund allows
recruits to concurrently serve their country while meeting their
desires to attend college.
The Loan Repayment Program, with a maximum of $65,000 payment for
already accrued college expenses, is another incentive we offer within
this competitive market. This Loan Repayment Program is the best tool
for those with college education credits and student loans. Over the
past 4 years, approximately 27 percent of Army recruits have some post-
secondary education credits and we expect that trend line to increase.
Other recently passed legislation assisting our recruiting mission
includes: the increased enlistment age which brought nearly 600
soldiers into the Army; the expansion of the $1,000 Referral Bonus to
$2,000 increased accessions by nearly 2,500 qualified soldiers since
enactment last year; and the increase in bonuses above $20,000 resulted
in over 7,200 soldiers signing up.
Further assisting our efforts to attract and retain officers, is
the expanded Student Loan Repayment Program. It now includes officers,
and permits repayment of a broader variety of student loans.
The temporary Recruiting Incentives Authority under the National
Defense Authorization Act (NDAA) of 2006 permits the Department of the
Army to develop and test four new pilot programs for recruiting. The
Army implemented the first pilot program, the Recruiter Incentive Pay
Program, on June 6, 2006, and plans to implement the second, an Officer
Accession Bonus Program not later than this summer.
The Army Advantage Fund (AAF) is a third incentive. It will provide
a choice between a down payment for a home loan or seed money for a
small business loan to new soldiers. The Army expects AAF to be a major
recruiting market attraction--the next Army College Fund. Key to
establishment of the AAF is the creation of an investment fund. With
congressional support for the Army Incentive Fund, currently projected
for NDAA 2008, we will move another step in the right direction toward
growing the All-Volunteer Force.
Collectively, the authority to pilot these incentives are key to
fiscal year 2007 mission achievement, and will set conditions for
continued success in fiscal year 2008 and beyond. We rely heavily on
your continued support for the authorities and resources necessary to
recruit and retain the All-Volunteer Army.

ENLISTED RETENTION

The Active Army achieved all retention goals for the past 9 years,
a result that can be directly attributed to the Army's leadership and
the motivation of our soldiers to accept their ``Call to Duty.'' The
Active Army retained 67,307 soldiers in fiscal year 2006, finishing the
year 105 percent of mission. The Army Reserve finished the year
achieving 103 percent of mission and the Army National Guard finished
at 118 percent of mission.
In fiscal year 2007, the Active Army must retain 62,200 soldiers to
achieve overall manning levels. This year's retention mission is just
as challenging as the previous year's. We believe however, that we will
accomplish this mission. Thus far, the Active Army achieved 109 percent
of its year-to-date mission, the Army Reserve achieved 110 percent of
its year-to-date mission, and the Army National Guard achieved 127
percent of its year-to-date mission. Once again, a robust bonus program
is important to continuing success in the Army's retention goals.
We must be no less innovative in our incentives to retain soldiers
to fight the ongoing global war on terrorism. We continue to review the
impact of our Reenlistment Bonus Programs on retention and additionally
use a deployed reenlistment bonus as a tool to attract and retain
quality soldiers with combat experience. This bonus targets eligible
soldiers assigned to units in Iraq, Afghanistan, and Kuwait. Soldiers
can receive a lump sum payment up to $15,000 to reenlist while deployed
to Iraq, Afghanistan, or Kuwait. The average lump sum payment is
currently $10,400. All components benefit from this program, and
results show the highest rates of retention among deployed soldiers.
Retention rates of units engaged in Operations Enduring and Iraqi
Freedom continue to exceed 100 percent. During fiscal year 2006, the
4th Infantry Division and the 101st Airborne Division achieved 124
percent and 132 percent of their respective retention missions while
deployed. Currently, elements of the 1st Armored Division are deployed
and have achieved 137 percent of their retention mission.
Moreover, the Army has not seen a decline in retention rates from
units that have deployed multiple times. For example, the 10th Mountain
Division has deployed elements of its command several times since 2001,
and has currently achieved 162 percent of its retention mission.
Although we have seen no downward trends in overall retention, we
monitor our mid-career reenlistment rates closely. We adjusted our
incentive programs to target this population of soldiers. Multiple
deployments appear to be impacting mid-career soldiers between their
6th and 10th year of service more than any other population. Retention
rates of mid-career soldiers has increased from 82 percent to over 93
percent in March. We do know that soldiers are most concerned with the
limited time at home between deployments. They would like more
predictability on deployments, and more time, at least 24-months with
their families, before their next deployment.
Additionally, all components employ positive levers, including
Force Stabilization policy initiatives, updates to the reenlistment
bonus program, targeted specialty pays, and policy updates to
positively influence the retention program. We will achieve fiscal year
2007 retention success in the Active Army, the Army National Guard, and
the United States Army Reserve.

OFFICER RETENTION AND ACCESSIONS

To man the future force, the Army must increase company grade
officer retention to keep up with the growth brought about by
modularity. Although the fiscal year 2006 loss rates for company grade
officers was below the 10 year average of 8.5 percent, we must continue
to reduce this loss rate to 5 percent. A retention strategy focused on
near-, mid-term, and long-term retention will assist our Army to retain
more of its best and brightest officers.
The Army has successfully grown the officer corps over the last
several years through increased officer promotion selection rates and
earlier pin-on time to captain and major. For example, the captain
promotion pin-on time has dropped from 42 months to 38 months, and the
major promotion pin on time dropped from 11 years to 10 years.
Additionally, promotion selection rates to captain and major are
between 95-98 percent. While promotion rates are high, we continue to
select the ``best qualified'' officers.
The Army developed a menu of options that is available to officers
upon promotion to captain and prior to their completion of their active
duty service obligation. This menu provides officers a choice of
incentives in exchange for an additional 3 years of active duty
service. Officers can elect to get their post or branch/functional area
of choice; attend a military school or obtain language training; attend
a fully-funded graduate degree program; or receive a $20,000 Critical
Skills Retention Bonus.
Further, the Army implemented a pre-commissioning program in fiscal
year 2006, allowing cadets to select a branch, post, or graduate school
for an additional service obligation of 3 years. This program has
proven successful in just 1 year, with 1,100 participating in fiscal
year 2006 and 1,600 expected to participated in fiscal year 2007. The
Army expects this program to drop loss rates of United States Military
Academy (USMA) and Reserve Officers' Training Corps (ROTC) scholarship
source of commissioned officers beginning in fiscal year 2010 when
these officers would have completed their normal ADS0 (4 years for ROTC
scholarships and 5 years for USMA). Now, these officers will retain at
7 and 8 years respectively.
USMA cadets may agree to serve 3 years beyond their 5-year
obligation; scholarship ROTC cadets agree to serve their 4-year
obligation plus an additional 3-year of active duty service; and
nonscholarship officers agree to serve their 3-year active duty
obligation plus additional 3 years. In fiscal year 2006, over 1,100
cadets from USMA and ROTC signed up for this program. In fiscal year
2007, we expect over 1,500 cadets to sign up for one of these programs,
increasing the retention rate for USMA and ROTC year group cohort to 58
percent by year 10.
In 2006, we offered an additional 200 fully funded graduate school
opportunities to serving captains, beyond the 412 graduate school
opportunities we previously provided. Officers participating in this
program serve an additional 3 months for each month they attend school.
We plan to send another 200 officers to graduate school in academic
year 2007.
In October 2006, the Army established an Officer Retention Branch
as part of a new campaign designed to retain more of our best officers.
Unit commanders are getting more involved in officer retention. We
intend to manage this program like we manage the enlisted personnel
retention program.
The Army is confident that the implementation of these strategies
will rapidly grow the officer force and will enable us to meet our
manning needs by fiscal year 2010 vice fiscal year 2013 or later if we
relied on traditional approaches for growing the force.
To meet the long-term needs of a larger officer corps, the Army is
increasing its Army Competitive Category (ACC) officer accession
mission by up to 300 officers each year, over the next 3 years.
Accessions will increase from 4,600 in fiscal year 2006 to 4,900 in
fiscal year 2007, 5,200 in fiscal year 2008 and 5,500 in fiscal year
2009 and beyond. This increase in officer accessions will ensure the
Army has enough captains and majors 4-10 years from now.
In fiscal year 2006, IAW title 10 authority, USMA increased the
number of officers they accepted into their 4-year degree program. This
will result in an additional 100 officers produced through USMA in
fiscal year 2010 and beyond.
In addition, we are leveraging other accession programs such as the
``Blue to Green'' Inter-service Transfer Program. To date, we have
accessed over 325 officers into the Army from the Air Force, Navy, and
Marines. We expect to access another 200 officers from the other
Services in fiscal year 2007. We have also partnered with the Merchant
Marine Academy and have contacted over 10,000 former officers that have
separated in the past 24-months to offer them the opportunity to serve
again.
Through continued service, approximately 250 Reserve component
officers volunteered to transfer to the Active component. Additionally,
we encourage those who served honorably to serve again through a
retiree recall or a call to active duty. Today, we have approximately
700 retirees serving on active duty in a retiree recall status.
Our current officer accession mission is the highest in 30 years.
To assist in meeting this mission we will rely heavily on OCS. Though
we increased accessions in USMA (by 100 in fiscal year 2006) and ROTC,
those commissioning sources have longer lead times to produce officers.
OCS is critical in meeting today's manpower needs. Since it takes time
to increase production through USMA and ROTC (e.g. 2-4 years), as a
short-term measure, the Army intends to maximize production from
Federal OCS with 5 companies. Federal OCS production is expected to
increase from 1,435 in fiscal year 2006 to 1,735 in fiscal year 2007
and 1,985 in fiscal year 2008 to fiscal year 2010. The OCS bonus will
help attract NCOs to go to OCS and become officers, especially as we
increase the fiscal year 2008 OCS mission from 1,700 to 1,950. Further,
increases in ROTC production are planned over the next 4-years from
4,000 in fiscal year 2007 to 4,200 in fiscal year 2008, 4,500 in fiscal
year 2009 and 5,100 by fiscal year 2010. Provided resources continue to
flow, ROTC production is expected to reach 5,350 by fiscal year 2011.
As ROTC production increases, more officers will be sent to the Reserve
components and we project that we will be able to begin reducing
Federal OCS production by roughly 200.

STOP LOSS

The global war on terror demands trained, cohesive, and ready
units. Stop Loss is a management tool that effectively sustains a force
that has trained together, to remain a cohesive element throughout its
deployment. Stemming from statutory authority, (section 12305, title
10, U.S.C), the Army's Stop Loss policy is very limited in size and for
a very short duration on average. Losses caused by noncasualty oriented
separations, retirements, and reassignments have the potential to
adversely impact training, cohesion, and stability in Operation Iraqi
Freedom (OIF) and Operation Enduring Freedom (OEF).
Although there is not a specific end date for the current use of
Stop Loss, the Army is committed to minimizing its use. Initiatives
such as Force Stabilization (3-year life cycle managed units),
modularity, and the program to Rebalance/Restructure the Active
component/Reserve component for mix should alleviate stress on the
force and will help mitigate Stop Loss requirements in the future.

INDIVIDUAL READY RESERVE MOBILIZATION

The mission of the Individual Ready Reserve (IRR) is to provide a
pool of soldiers who are ``individually ready'' for call-up. In January
2004, the Army began our current IRR mobilization effort. We use the
IRR primarily to fill deploying Reserve component forces supporting OIF
and OEF, and to fill individual augmentation requirements in Joint
organizations supporting combatant commanders.
The IRR has improved the readiness of deploying Reserve component
units and has reduced required cross-leveling from other Reserve
component units. This effort allows the Army to preserve units for
future operations.
As of March 11, 2007, there are 2,071 IRR soldiers on active duty
supporting the global war on terrorism--234 are supporting Worldwide
Individual Augmentation requirements, 208 are supporting the 09L
Linguist Program, 2 are replacements, and 1,627 are fillers. Another
1,475 IRR soldiers have received mobilization orders, and are pending
mobilization between now and January 27, 2008.
The IRR also contributed to the manning of joint headquarters
elements such as the Multi-National Force-Iraq, Combined Forces
Command-Afghanistan, and others. This talent pool allows the Army to
balance the contributions of the Active and Reserve components in these
headquarters.
The Army will continue to use the IRR and is implementing several
initiatives to transform the IRR into a more viable and ready prior-
service talent bank.
Until now, a large number of IRR soldiers were either unaware of
their service obligations or were not qualified to perform further
service. Soldiers within the IRR are now identified as ``Individual
Warriors.'' We initiated a program where IRR soldiers will participate
in virtual musters, attend annual readiness processing, and participate
in training opportunities to maintain their military occupational
specialties.
To improve soldier understanding of service commitments, the Army
will develop and deliver expectation management briefings and
obligation confirmation checklists to all soldiers at initial
enlistments/appointments and, again, during transition beginning 3rd
quarter 2007. The Army is also conducting systematic screening to
reconcile records and identify non-mobilization assets which will
likely result in a reduction in the current IRR population and aid in
establishing realistic readiness reporting.

MILITARY BENEFITS AND COMPENSATION

A strong benefits package is essential to recruit and retain our
quality force. The administration and Congress have provided very
competitive compensation and entitlements programs for our soldiers and
their families and we sincerely appreciate this support to our soldiers
and families.
With help from Congress, the Army continues to develop programs to
address our unique challenges with recruiting and retention. Congress
has provided us the flexible tools we need to encourage our young men
and women to enlist in the Army. The referral bonus and the bonus for
servicemembers who agree to transfer between Armed Forces are two
critical authorities that provide the Army the necessary assistance to
meet its recruiting goals.
The extension of the pay table beyond 30 years and lifting the cap
on retired pay percentage multiplier has enabled additional successes
with retention.
The Army regularly looks for ways to compensate our soldiers for
the hardships they endure while serving under the most dangerous
conditions. The Department has requested an increase in Hardship Duty
Pay from $750 to $1,500 and authorized payment in lump sum. We are
continually seeking ways to appropriately compensate soldiers for the
hardships they endure.
The Army appreciates your emphasis and interest in soldiers and
families, and their need for financial support when they suffer a
combat injury or become a casualty. Soldiers perform best when they
know their families are in good care. Many of our surviving families
remain in Government housing for an extended period during their
recovery from the loss of their spouses. This facilitates a transition
from the Service, and allows their children to continue the school year
with the least amount of disruption. The changes to survivor benefits
ensure all soldiers and their families are treated fairly and
equitably. The Army also implemented the Combat-related Injury
Rehabilitation Pay (CIP) and continues to monitor pay and personnel
issues for our wounded warriors. Recent enhancements to survivor
benefits and other entitlements for our wounded soldiers demonstrate
recognition of their sacrifices and a commitment to care for our own.

WELL BEING

A broad spectrum of services, programs, and initiatives from a
number of Army agencies provide for the well-being of our people while
supporting the combatant commander in conducting Joint and coalition
warfighting missions. Our well-being efforts are focused on
strengthening the mental, physical, spiritual, and material condition
of our soldiers, civilians, and their families, while balancing
demanding institutional needs of today's Army.

SEXUAL ASSAULT

The Army continues to operate and improve its comprehensive Sexual
Assault Prevention and Response (SAPR) Program. Its primary goal is to
create a climate where soldiers live the Army Values. Such a climate
does not tolerate sexual assault crimes or attitudes and behaviors
which condone them. Further, the climate encourages soldiers who have
been victims of assault to come forward, without fear, knowing they
will receive the help and care they deserve.
Calendar year 2006 represents the first full year the Army SAPR had
Sexual Assault Response Coordinators (SARC, civilian), military
deployable SARC advocacy support, and the restricted reporting option.
These changes allow soldiers to receive medical care, counseling, and
advocacy services without undergoing a criminal investigation.
Based on the initial assessments of the program, the Army has made
significant progress, including: the publication of a comprehensive
policy; the expansion of the victim advocacy component of the program;
and the proliferation of required training throughout Army units, Army
schools, and Army response groups.
Recently reports of sexual assaults have risen within the Army.
While this overall increase in reported sexual assaults is of concern,
the Army attributes this rise partially to the implementation of the
Army's SAPR Program and the increasing culture of awareness and
response. To date, our efforts have empowered more soldiers to come
forward and report these crimes. Our leaders will continue to hold
offenders accountable and ensure victims receive the care they need.
Over 42 percent of all sexual assault investigations completed by the
Criminal Investigation Division (CID) in 2006 were dismissed as
unsubstantiated, unfounded, or lacking sufficient evidence. In 2006,
there were 1,618 reported cases across the Army. This represents a 30
percent increase over 2005, and includes 300 restricted reports. Of the
515 calendar year 2006 case dispositions where the commander could take
action, over one quarter (26 percent, 136 case dispositions) were
completed by December 31, 2006. The remaining 74 percent (379) are
still pending.
While the increase in reported cases may not represent an increase
in the number of actual assaults, it does indicate the magnitude of a
problem that continues to exist. Sexual assault has consistently been
cited as the most under-reported violent crime in the United States.
We will persist in our efforts to improve the Army's prevention
efforts in addressing sexual assault. As we execute the Army's SAPR
Program and we continue to assess its effectiveness, we will make every
effort to improve it and make further progress toward our goal of
eliminating sexual assault in the Army.

SUICIDE PREVENTION PROGRAM

The loss of any American soldier's life is a great tragedy and a
matter of concern regardless of the cause. In the case of suicide, the
United States Army is committed to providing prevention and
intervention resources.
For 2006, the Army sustained 98 active duty confirmed suicides
(with 3 possible cases still pending), 88 in 2005, 67 in 2004, 78 in
2003, 70 in 2002, and 51 in 2001. Although experiencing a relatively
high number of confirmed suicides since the beginning of the global war
on terrorism, the Regular Army average rate per 100,000 soldiers is
11.3 for the last 5 years (2001-2005), which is lower than the rate of
12.1 that existed prior to the war. The Regular Army rate is also
considerably lower than the national demographically-adjusted rate of
19.9 per 100,000.
Our goal is to provide our soldiers and families the best available
support to overcome the stresses that military service entails. We
continue to work through training, counseling, and intervention
measures to help find alternative and appropriate ways of stress
management. Our goal is to minimize suicidal behavior and subsequently
the risk of suicides across the Army.

U.S. ARMY WOUNDED WARRIOR PROGRAM

Soldiers suffering from severe injuries or illnesses in support of
the global war on terrorism deserve the highest priority from our Army
for support. These heroes need services associated with healing,
recuperation and rehabilitation, evaluation for return to duty and, if
required successful transition from active duty to civilian life. The
Army Wounded Warrior Program takes to heart the Warrior Ethos, ``I Will
Never Leave a Fallen Comrade.'' To date, the U.S. Army Wounded Warrior
Program (AW2) Program assisted over 1,500 soldiers. As soldiers
progress through their care and rehabilitation, AW2 facilitates
communication and coordination among the soldier, their families, and
relevant local, Federal, and national agencies and organizations.
The soldiers and their families gain information concerning
available resources and opportunities for their future. Additionally,
the soldiers gain priority access to services they may require through
the assistance of a dedicated Soldier Family Management Specialist
(SFMS). Since October 2005, we increased the number of SFMS from 9 to
47, with plans to hire an additional 2 SFMS. This reduces the average
caseload to 32 soldiers for every SFMS. Our SFMS are currently embedded
in 11 Military Medical Treatment Facilities and 16 VA Medical Centers
located throughout the United States. We anticipate future expansion.
This decentralization of operations allows our SFMS to co-locate with
our soldiers and families nationwide for optimal support.
To date, AW2 assisted 34 soldiers for Continuation on Active Duty
or in an Active Reserve Status (COAD/COAR). In conjunction with the
Soldier's Career Managers at the U.S. Army Human Resources Command, a
5-year assignment plan was developed for each soldier.
AW2 actively seeks employment and educational opportunities for our
soldiers and their families. During the past year, AW2 conducted more
than 120 office calls with interested employers. An interactive geo-
employment locator is included in the AW2 Web site. AW2 participated in
many Federal and State sponsored conferences and seminars to remain
current on the latest developments and programs to assist the severely
injured soldiers. Additionally, the AW2 staff networks with grass roots
community organizations to discover new possibilities for the soldiers.
To ensure soldiers receive the best treatment available, the AW2
program has several initiatives working at this time. Initiatives
include a third Wounded Warrior Symposium tentatively scheduled for
summer or fall 2007, and the implementation of a Pilot Program with the
National Organization on Disability (NOD). This program aligns an
employment expert with a Soldier Family Management Specialist to
enhance their ability to assist soldiers seeking employment.
Additional initiatives include a cooperative review with the
Department of Veterans Affairs (VA) of the current transition process
of our soldiers from the military to VA health care system. AW2 is
involved with the Veterans Advisory Committee on Rehabilitation, The
Surgeon General's Traumatic Brain Injury Task Force, the Physical
Disability Evaluation Transformation Initiative and the Office of
Secretary of Defense/Health Affairs Family Transition Initiative. AW2
is facilitating a DOD sanctioned study by the RAND Corporation to learn
about severely injured and wounded soldiers' experiences in returning
to duty.

PHYSICAL DISABILITY EVALUATION SYSTEM

Consistent with the Vice Chief of Staff of the Army's action plan
to fix the infrastructure of the current disability evaluation system,
the Army's Physical Disability Action Plan is well underway and moving
toward full implementation. We are committed to the well-being of our
soldiers and are working toward the goal of a seamless transition
between the Army and the VA. Our goal is to streamline the process and
to eliminate confusion for our soldiers and their families. The Human
Resources Community is actively engaged and focused on four objectives,
which include: equity for soldiers in the disability rating process;
disability system infrastructure support improvements; timely and
accurate administrative processing and enhanced information
dissemination. Additionally, the Army leadership established the Task
Force Med Hold Brigade and is rapidly resourcing many of the personnel,
infrastructure, and support needs originally identified by the senior
leadership. We are ensuring that our wounded warriors are treated the
way they so richly deserve and the way the Nation rightfully expects.
We are grateful to Congress for your concern and attention paid to
soldiers--and will continue to keep Congress informed as we improve
these identified challenges.

CENTCOM REST AND RECUPERATION LEAVE PROGRAM

A fit, mission-focused soldier is the foundation of our combat
readiness. For soldiers fighting the global war on terrorism in the
USCENTCOM area of responsibility, the Rest and Recuperation (R&R) Leave
Program is a vital component of their well-being and readiness.
Every day, flights depart Kuwait City International Airport
carrying hundreds of soldiers and DOD civilians to scores of leave
destinations in the continental United States and throughout the world.
Such R&R opportunities are essential when units are deployed and
engaged in intense and sustained operations. Since September 25, 2003,
a total of 460,850 soldiers and DOD civilians have participated in this
highly successful program. They benefit from a break from the tensions
of the combat environment and from the opportunity to reconnect with
family and loved ones. The R&R Leave Program is an integral part of
operations and readiness, and is a significant contributor to our
soldiers' success.

DEPLOYMENT CYCLE SUPPORT

Deployment Cycle Support (DCS) is a comprehensive process that
ensures soldiers, DA civilians, and their families are prepared and
sustained throughout the deployment cycle. It provides a means to
identify soldiers, DA civilians, and families who may need assistance
with the challenges inherent to extended deployments. The goal of the
DCS process is to facilitate soldier, DA civilian, and family well-
being before, during, and after the deployment cycle.
All soldiers deployed away from home station for 90 days or more
complete the DCS process. Services for DA civilians and families are
integrated in every stage of the process, and they are highly
encouraged to take advantage of the resources provided.
As of February 7, 2007, 480,704 soldiers completed the in-theater
redeployment stage DCS tasks.

EQUAL OPPORTUNITY

Recent newspaper reports and a Federal Bureau of Investigation
(FBI) report concerning gangs leave the impression that gang activity
in the U.S. Army is widespread and out of control. Reviews of both the
recent media and FBI reports indicate that the problem was often
overstated. In 2006, CID adopted the National Crime Information Center
definition of a Gang and Gang Activity. This led to an increase in
reporting over previous years. While the Army cannot state with
certainty that no gang members exist within our Army, within our Army
communities there are no data to support the presence of gang
activities. The overall assessment by CID of gang activity threat in
the Army remains low. CID and Military Police present awareness
briefings that identify possible gang association by soldiers.
Additionally, education, awareness, and vigilance remain the best tools
in combating gang activities and involvement by soldiers and family
members.

RETIREMENT SERVICES

Once a soldier, always a soldier. Our efforts extend beyond our
active duty population. The Army counts on its retired soldiers to
continue to serve as mobilization assets and as volunteers on military
installations. Retired soldiers are the face of the military in
communities far from military installations. As key influences they
often act as adjunct recruiters, encouraging neighbors and relatives to
become part of their Army. They speak from experience.
Retired soldiers and family members are a force of more than one
million strong with nearly 800,000 retired soldiers and their spouses
and family members receiving retired pay.

CONCLUSION

America's Army is strong. We continue to meet our worldwide
commitments and provide the best led, best trained and best equipped
soldiers to combatant commanders. We need the continued support of
Congress for the resources to maintain and grow our Army over the long
war.
Just as important is your support as national leaders to affect
influencers and encourage all who are ready to answer this Nation's
call to duty. To ensure our Army is prepared for the future, we need
full support for the issues and funding requested in the fiscal year
2007 supplemental and the fiscal year 2008 President's budget to
support the Army manning requirements given the current operational
environment.
I thank you for the opportunity to appear before you today and I
look forward to answering your questions.

Senator Ben Nelson. Thank you, General.
Admiral Harvey?

STATEMENT OF VADM JOHN C. HARVEY, JR., USN, CHIEF OF NAVAL
PERSONNEL, UNITED STATES NAVY

Admiral Harvey. Thank you, sir.
I have submitted a statement and would request that it be
entered in the record.
Senator Ben Nelson. It will be.
Admiral Harvey. Sir, again, thank you for the opportunity
to appear before you today. We are extremely grateful for your
sustained support for the United States Navy which enables us
to get the job done for this Nation every day around the globe.
The men and women of our Navy continue to perform exceptionally
well, helping to bring certainty to an uncertain world. Our
Navy total force continues to perform its traditional at-sea
role as we see today with the dual battlegroup operations being
carried out in the Persian Gulf at a particularly sensitive
time, while increasing our support in nontraditional missions,
as we see today with over 12,000 sailors on the ground in Iraq
and Afghanistan contributing to operations there. Our challenge
is clear: sustain our core capabilities and readiness while
building a future fleet increasingly capable of applying
influence from the sea, in the littorals, and ashore.
For the past 5 years, our focus has been on sizing the
force, ensuring we had the right number of billets and filling
every billet with a sailor. Today, we are focusing on shaping
and stabilizing the force, ensuring we have the right fit
between the knowledge, skills, and abilities required by a
billet and those possessed by the sailor filling that billet,
ensuring that we can easily adjust both, based on changes in
future warfighting requirements. This shift in focus from fill
to fit requires profound changes in the way we do business, in
our recruiting, personnel management, distribution, training,
and compensation processes, in order to meet the challenge of
delivering tomorrow's force.
It is one of my core beliefs that Cold War era recruiting
and retention strategies will not sustain us into our future,
given a shrinking talent pool with decreased propensity for
military service. Changing demographics reflecting significant
growth in immigrant and minority populations present both
challenges and great opportunities to capitalize on America's
growing diversity, and will yield a stronger, more cohesive,
and more capable fighting force. Low unemployment and sustained
economic growth are increasing the competition for the best and
brightest talent in our Nation. Meeting our recruiting goals
for a high quality force that we must have in the future is
becoming increasingly challenging, particularly in specific
critical skill areas.
Retention dynamics are also changing, as a new generation
of sailors, influenced by a variety of career choices, offering
portable incentive packages and exceptional training and
education opportunities are less likely to remain with a single
employer for a long career. They will opt instead for frequent
job changes over that career.
While our existing pay and compensation, personnel
management, and retirement systems have served us
extraordinarily well over many generations, it is now time to
consider comprehensive reform. It is imperative that we
establish a competitive, fair, and flexible construct
responsive to today's rapidly changing operational and market-
based environment. We seek your support for military pay
reforms essential to keeping faith with our troops and
responding to changing circumstances. Consolidating more than
60 existing special incentive pays into roughly 8 pays, with a
sufficient expenditure ceiling, would offer a host of
advantages in efficiency, flexibility, and effectiveness.
Improved agility is also needed in our personnel management
authorities, policies, and practices. For example, existing
Defense Officer Personnel Management Act (DOPMA) grade
limitations inhibit our flexibility to align our personnel to
current and projected force-structure requirements. We have
become a far more joint and senior force, reduced in size, but
with a vastly increased warfighting capability. As our end
strength stabilizes, our need for more senior and experienced
sailors to serve in this joint force continues to increase. We
are currently operating at the very limits of our statutory
control grade limits. Consequently, we are suppressing billet
grades to comply with our statutory constraints.
Similarly, adjustments to military-grade authorities are
important in recognizing the contemporary responsibilities of
our senior enlisted force, particularly those in the top two
enlisted ranks. A modest increase in authorization would
address emerging requirements for senior enlisted leadership
for an increasing number of high-tech less-manpower-intensive
units featuring robust capability.
Limited military personnel demonstration authority similar
to that authorized for civilian personnel would allow us to try
different approaches to contemporary problems, identify the
best of breed, and present the solution to you in Congress in
the course of seeking new legislation. Such pilot authority can
accelerate productive change in shaping and developing our
military force.
As we build the future Navy and prepare our people to meet
the demands of this very dynamic and dangerous world, we will
continue to improve total force readiness, stabilize our force,
and increase our capability to respond whenever and wherever
called upon.
Thank you, again, sir, for your unwavering support for our
sailors. I am now prepared to answer any questions you may
have, sir.
[The prepared statement of Admiral Harvey follows:]
Prepared Statement by VADM John C. Harvey, Jr., USN
Chairman Nelson, Senator Graham, and distinguished members of the
Personnel Subcommittee, thank you for providing me with this
opportunity to appear before you today.
The one constant in our world today is change. The post-September
11 security environment has extended Navy missions to include both
traditional and nontraditional operations. In addition to our core
missions we are responding to multifaceted security challenges related
to the global war on terror. We find ourselves working with familiar
allies, former adversaries, and an expanding set of global partners.
In the past year, 51,943 Active component officers, 293,818 Active
component enlisted, 12,740 Reserve component officers, 56,647 Reserve
component enlisted, and 174,416 civilians in our Navy helped bring
certainty to an uncertain world. They provided ``boots on the ground''
support to combat operations in Iraq and Afghanistan. They delivered
food and shelter to the victims of the earthquake in Pakistan. They
fought piracy and participated in Theater Security Operations in the
Horn of Africa. They provided medical care and comfort to citizens in
Indonesia, Malaysia, Bangladesh and the Philippines. They protected the
seas and seized illegal drugs in the Caribbean. They stood watch on
ships in the Persian Gulf providing a formidable deterrent to Iran.
They flew combat sorties in Operations Enduring Freedom and Iraqi
Freedom, provided security for oil platforms and conducted civil
affairs missions in Afghanistan.
The men and women of the Navy's Total Force--Active and Reserve
sailors, civilians, and contractors--are the United States Navy. In
2006, this nation and the world asked much of the United States Navy--
and Navy answered that call.
The challenge for Navy today is to sustain our core capabilities
and readiness while at the same time build the future naval fleet and
develop a Navy workforce that can operate, fight and lead in a variety
of challenging environments. Our goal is to ensure naval power and
influence can be applied at or from the sea, across the littorals, and
ashore, wherever and whenever required.
The rapidly expanding requirements posed by the Nation's maritime
strategy demand that Navy be composed of a more capable and versatile
workforce. This workforce is, and will be, a diverse Navy Total Force,
collectively possessing the wide array of knowledge, skills and
abilities required to deliver critical warfighting capability to the
joint force.
We recognize that this requires a profound change in the way we do
business--that the recruiting, personnel management, training, and
compensation systems of the past will not deliver the workforce of the
future.
Recruiting and retention strategies that were effective during the
Cold War, when we had a robust labor market, will not sustain us during
this long war when there is a shrinking talent pool and decreased
propensity to join the military. Major demographic shifts, reflecting
an influx of new immigrants and growth in minority populations, will
require that we focus on the talent resident in the diversity of our
population and how we gain access to that talent. To the degree that we
represent our Nation, we are a far stronger, more relevant Navy Total
Force.
A stronger economy, with low unemployment and positive economic
growth, means there will be greatly increased competition for the best
talent in our Nation. Recruiting the Total Force will become even more
challenging with slower overall population growth and an aging
workforce.
The dynamics of retention have shifted from long-term commitments
to a new generation, most of whom expect to change employers, jobs and
careers several times in their working life, and are clearly motivated
differently than previous generations. They have more choices than ever
before, and are more technologically savvy. They expect innovative and
flexible compensation policies, a commitment to continuing education
and professional development opportunities.
Our Basic Pay Table that was first conceived in 1922 and an officer
personnel management system codified in the late 1970's. Our current
military retirement compensation principles were essentially
established in 1870 based upon a voluntary retirement of officers at 30
years of service and fixed retirement pay at 75 percent of the
officer's base pay. Perhaps it is time to re-examine existing
compensation policies with an eye towards establishing a construct that
is competitive, fair, flexible, and sufficiently responsive to an ever-
changing operational and market-based environment.
As we build the Navy of the future and prepare our people to answer
the challenges of our dynamic, dangerous world, we must continue to
improve our Total Force readiness, stabilize our workforce, and develop
policies that bring forth the promise of our people, ensuring full
development of their personal and professional capabilities.

NAVY TOTAL FORCE READINESS

We are a maritime nation. Throughout American history, naval forces
have played a key role in fighting wars, defending freedom of the seas,
and providing a formidable deterrent to aggression. Our Navy is the
world's preeminent sea power. We are always ready and able--anytime,
anywhere.
America's All-Volunteer Force has been an overwhelming success.
This force has proven to be successful not only during peacetime, but
also during sustained periods of conflict. Our Navy Total Force serves
because they want to serve. Young Americans are choosing military
service, even during these trying and uncertain times. We are
attracting better educated and more highly-skilled recruits far more
representative of the diversity of our great Nation than at the end of
the Vietnam-era draft. The sailors we need are ``staying Navy.''
In 2006, Navy achieved 100 percent of our Active component enlisted
recruiting goal, and 104 percent of our Active component enlisted
retention goal. We met 88 percent of our Active component officer
accession goal, and 99 percent of Active component officer end strength
goal.
Global War on Terror-Centric Communities
While we met individual recruiting and retention goals for most
ratings and designators in the Active and Reserve components, our
engagement in the long war has increased operational tempo (OPTEMPO)
and clearly stressed the readiness of global war on terror-centric
communities. These communities include: Naval Construction Force
(SEABEEs), Naval Special Warfare (NSW) and Naval Special Operations
(NSO) (SEALs, EOD, SWCC), and our health professionals. We have been,
and continue to be, concerned about the long-term strength and health
of these communities. We have identified programs to help address the
challenges, and we are optimistic about meeting future commitments.
Naval Construction Force
Our SEABEE force is in very high demand and continues to be under
considerable stress due to the increased number and length of
operational commitments. Despite this challenge, the Naval Construction
Force (NCF) sets the example in volunteerism, as evidenced by higher-
than-planned reenlistment and retention rates, and high volunteer rates
for multiple Operation Iraqi Freedom (OIF)/Operation Enduring Freedom
(OEF) tours. On average, 18 percent of the NCF Reserve component forces
going into OIF/OEF have volunteered for a second or third mobilization
to theater. The latest approved Reserve component SEABEE rotation into
OIF had a 39-percent volunteer rate for a second or greater deployment.
Navy deployed 8 Active and 12 Reserve Naval Mobile Construction
Battalions (NMCB), with their associated regiments (2 Active and 4
Reserve). To meet global war on terror requirements, there are two
NMCBs in OIF, one in OEF, one in PACOM, and one with a nominal presence
in EUCOM. This is a Total Force deployment of both Active Duty and
Reserve NMCBs.
We have identified the need to expand the number of battalions and
enhance our Reserve mobilization plans. As a result, for 2007, Navy
added a ninth Active component NMCB. We are also pursuing a detailed,
phased remobilization plan for use by the Reserve component NMCB in
fiscal year 2009. We believe this integrated deployment plan for the
NCF is sustainable through fiscal year 2014.
Naval Special Warfare and Special Operations
Our NSW and NSO communities not only face the pressures of high
OPTEMPO, but are further stressed by specific recruiting and retention
challenges. The health of the NSW/NSO communities is critical to the
Navy's success in the global war on terror and requires us to place
special emphasis on the overall readiness of these highly specialized
communities.
In 2006, recruiting efforts resulted in NSW/NSO attaining 55
percent of a QDR based increased goal. Navy met 37 percent of Explosive
Ordinance Disposal (EOD), 59 percent of SEAL, 65 percent of Special
Warfare Combat Crewman (SWCC), and 46 percent of Diver recruiting
goals. As of December 2006, we had retained 79 percent of EOD, SEAL,
SWCC, and Diver Sailors in Zone A (between 17 months and 6 years of
service), 82 percent in Zone B (between 6 and 10 years of service), and
89 percent in Zone C (between 10 and 14 years of service).
To improve recruiting and retention in the NSW/NSO communities,
Navy doubled the size of the recruiting force whose primary mission is
NSW/NSO accession. We increased Enlistment Bonuses for each of the
communities: $40,000 (SEAL), $18,000 (SWCC), $30,000 (EOD), and $25,000
(Diver). SEAL Motivators have been assigned for all 26 Navy Recruiting
Districts (NRD) to test and mentor potential NSW/NSO applicants. Each
NRD designated a military member to assist SEAL Motivators in
supporting applicants.
In 2007, we will take additional steps to enhance NSW/NSO
recruiting efforts. Commander, Navy Recruiting Command (CNRC) will
reassign additional recruiters to the NSW/NSO recruiting effort. Six
selected NRDs will designate one recruiter per zone for NSW/NSO leads
identification. This designation realigns 52 recruiters from other
recruiting efforts. A SEAL Working Group (SWG) will address all current
and future SEAL recruiting issues. The SWG is headed by Navy's senior
SEAL officer and CNRC. We are also piloting a NSW/NSO recruit division
at Recruit Training Command to increase camaraderie, improve RTC
Physical Screening Test (PST) pass rate, and reduce program attrition.
The unique skill sets of the NSW/NSO communities demand the most
extensive Navy training, and require exceptionally bright, physically
fit and mentally tough individuals. Recently, it has been a challenge
to provide a sufficient quantity of qualified applicants able to pass
the NSW/NSO PST at Recruit Training Command (RTC). To improve readiness
in the NSW/NSO communities, Navy implemented initiatives in physical
training preparedness to ensure candidates are physically able to pass
the PST at RTC.
Health Professionals
Navy remains committed to providing quality care for all
beneficiaries and continuing to support OIF/OEF with medical personnel.
One of the main challenges has been ensuring sufficient numbers of
health professionals in critical wartime specialties. We continue to
focus on refining and shaping our force to recruit, train, and retain
the right mix of uniformed and civilian health providers thus
sustaining the benefits of our healthcare system while meeting
operational commitments.
Generally, medical professionals do not consider the military for
employment. Civilian medical professional salaries are still more
lucrative than military pay and continue to outpace the offer of
financial incentives (bonuses and loans) to our target market.
Excessive education debt load is a major concern for medical
professionals who turn to low-interest education loans outside the
military. Other challenges include concerns over excessive deployments/
mobilization, especially in meeting Reserve component goals, and fear
over the potential loss of private practices.
In 2006, the Navy achieved 75 percent of Active component medical
specialty mission, a 17-percent improvement over fiscal year 2005. We
achieved 45 percent of Reserve component medical specialty mission, a
27-percent decline from fiscal year 2005.
In the Active component, we achieved 70 percent of Medical Corps
(MC) accession goal, 75 percent of Dental Corps (DC) goal, 83 percent
of Medical Services Corps (MSC) goal, and 92 percent of Nurse Corps
(NC) goal. The Health Professions Scholarship Program (HPSP), the
student pipeline for the majority of Navy physicians and dentists, is
cause for concern. MC HPSP recruiting achieved just 66 percent of goal.
DC HPSP recruiting achieved 76 percent of goal.
In the Reserve component, we met 24 percent of MC accession goal,
46 percent of DC goal, 29 percent of MSC goal, and 85 percent of NC
goal. Five year Active component retention rates for these communities
stand at 75 percent for MC, 51 percent for DC, 83 percent for MSC, and
65 percent for NC.
We are much more optimistic with our recruiting efforts of Hospital
Corpsman (HM). We met 99 percent of Active component enlisted HM
recruiting goal and 94 percent of Reserve component enlisted HM
recruiting goal. From January 2006 to January 2007, we retained 52
percent of HM sailors in Zone A, 55 percent in Zone B, and 84 percent
in Zone C. HM is slightly below overall Navy retention rates for Zone B
but is increasing. The other two HM zones are either at or exceed
overall Navy retention rates and exceed goal.
This past year, Navy implemented numerous incentives for health
professionals, including tuition assistance, bonuses, financial aid
incentives, and loan repayment programs. Our Medical, Dental, and MSC
(Optometry) Health Professional Scholarship Program (HPSP) provides
full tuition, books, and a monthly stipend to students. Navy's
Financial Assistance Program (FAP) provides medical/dental residents a
monthly stipend and an annual grant.
Retention beyond the first career decision point is a significant
challenge for the Dental Corps. More than 70 percent of Dental Officers
leave the Navy at this point. Navy has funded, and is about to
implement, a Critical Skills Retention Bonus (CSRB) for General Dental
Officers with 3 to 8 years of service. This 2-year $40,000 bonus is
expected to address Navy's retention for these officers. With
enhancements included in the National Defense Authorization Act (NDAA)
for Fiscal Year 2007, we are contemplating implementation of future
Dental Corps Accession Bonus increases. The NDAA for Fiscal Year 2006
authorized oral surgeons a $25,000 per year Incentive Special Pay,
which 69 out of 70 eligible oral surgeons accepted in August 2006. Navy
is currently contemplating a recommendation to authorize a $60,000 4-
year CSRB to abate a shortage of clinical psychologists within our
mental health system.
Navy currently provides bonuses for the Nurse Corps Direct
Accession (DA) Program at $15,000 for a 3-year obligation, and $25,000
for a 4-year obligation. Navy has combined the 3-year accession bonus
with the Health Professional Loan Repayment Program, which offers
$32,000 for a 2-year commitment, creating an extremely successful
incentive package. Combined with a 3-year accession bonus, the officer
incurs a combined active duty obligation of 5 years. We anticipate that
Nurse Corps will meet its direct accession goal for the first time in 4
years. We also have a $20,000 Critical Skills Accession Bonus for
Medical/Dental HPSP recipients. We provide a $30,000-$60,000 sign-on
bonus and/or affiliation bonus for specific medical/dental specialties.
We appreciate congressional support for the numerous Medical
Recruiting and Retention incentive enhancements enacted in the NDAA for
Fiscal Year 2007. Such enhancements, coupled with an increase of over
$21,000 in medical special and incentive pays between fiscal year 2006
and fiscal year 2007 are expected to contribute in a significant way to
attainment of medical recruiting and retention goals.
Language, Regional Expertise and Culture
Because the global war on terror is truly global and stretches far
beyond Iraq and Afghanistan, Navy continues to focus significant effort
on transforming and enhancing our expertise in foreign language,
regional expertise and cultural awareness.
Navy implemented a Language, Regional Expertise and Culture (LREC)
strategy that galvanizes and aligns related efforts across the Navy
Total Force. We surveyed existing language proficiency within the
workforce, increased bonuses for language competencies, initiated a
focused effort in heritage recruiting, established a new Foreign Area
Officer (FAO) community, and implemented training and education
programs in regional issues.
Navy conducted a foreign language census of the workforce, which
yielded over 138,000 assessments of proficiency in over 250 different
languages, many in global war on terror-related dialects and many at
the native-level skill. To systematically capture foreign language
proficiency in the future, Navy began mandatory foreign language
screening at military accession points.
Navy has tripled foreign language bonus rates (up to $1,000 per
month for more than one language) and extended eligibility for the
Foreign Language Proficiency Bonus (FLPB) beyond Navy career linguists
(e.g., cryptologists and FAOs) to include any sailor, Active component
or Reserve component, with fluency in critical languages. Since June
2006, Navy FLPB applications have grown almost 200 percent, with
approximately 3,000 payments made each month, and increasing at a rate
of roughly 200 per month.
The Heritage Recruiting Program accesses sailors from the Nation's
immigrant communities with native-level language skill. The program
offers a special enlistment bonus of up to $10,000 for qualified
language proficiency, and attempts to place sailors in occupational
specialties offering the greatest opportunity for their use.
A forward leaning FAO community was established within the
Restricted Line, accessing an initial cadre of 74 FAOs. We plan to
access 50 officers a year with a goal of maturing the FAO community to
400 officers by 2015. We are currently exploring development of a
Reserve component FAO program and are in the early stages of defining
the Reserve component FAO requirement. We will realign and redistribute
existing PEP billets, as feasible, to accommodate new and changing
international relationships with existing and emerging partners.
The Naval Post Graduate School Regional Security Education Program,
which deploys faculty to carrier and expeditionary strike groups
underway, was expanded in scope and fully funded across the Fiscal
Years Defense Program. Naval War College (NWC) integrated regional
content into its senior and intermediate resident curricula, providing
students with the equivalent of a minor in one of five major regions of
the world. Instruction is tailored for online delivery to primary
officers (O1-O3 and CWO) and senior enlisted. NWC has programmed to
further adapt the instruction for junior and middle enlisted in fiscal
year 2008. The newly established Center for LREC in Pensacola, Florida,
coordinates delivery of culture and survival-level language training
for individual and unit deployers.
Individual Augmentation
Many communities of our Navy Total Force, beside the global war on
terror-centric communities, are supporting the global war on terror. As
of December 28, 2006, we have deployed or mobilized 45,194 sailors--
12,124 Active component and 33,070 Reserve component--as Individual
Augmentees (IAs) since the beginning of OEF. Almost 75 percent of IAs
are employed using their core Navy competencies such as, electronic
warfare, airlift support, cargo handling, maritime security, medical
support, explosives engineering, construction.
Under the umbrella of Task Force Individual Augmentation (TFIA), a
collaborative effort involving Fleet and major headquarters commanders,
we have made significant progress improving notification, processing,
deployment support, and recognition of duty for IAs. We increased
average notification time from less than 30 days to over 60 days. Navy
leveraged Active-Reserve Integration (ARI) efforts by processing all
active duty sailors on IA tours through one of four Navy Mobilization
Processing Sites (NMPS). We established an Expeditionary Combat
Readiness Center within the Naval Expeditionary Combat Command to serve
as a primary interface with IAs and their families. Navy is ensuring
Sailors serving on IA remain competitive for advancement by providing
specialty credit for IA tours, points toward advancement, and
flexibility in exam taking.
We will continue efforts to enhance predictability and stability
for IAs and their families. Our goal is to do everything we can to
enable them to plan--professionally and personally--for these tours.
Navy will give priority for follow-on assignments, preclude back-to-
back deployments and increase geographic stability. We are developing
options for shifting the sourcing of all joint warfighting requirements
into mainstream detailing processes, providing transparency, and
ensuring longer ``lead times'' to improve Sailor readiness and family
preparedness.
Sailor Readiness and Family Preparedness
Sustaining combat readiness--Fleet readiness--now and in the
future, starts with our sailors and their families. We remain committed
to ensuring that sailors are physically, mentally and professionally
prepared to fulfill their missions, and that their families are
prepared for the challenges associated with lengthy separations. As
members of the Navy community, our family members are entitled to
quality programs and resources to support them and meet their needs
while their loved ones are deployed.
Navy continues our emphasis on sailor readiness and family
preparedness through targeted efforts in fitness, education, and
professional development, financial management training, support to
disabled and injured sailors, and child and youth programs.
Fitness
Navy established new fitness standards, training and support.
Improved remedial programs assist sailors in meeting new physical
fitness assessment standards. We introduced state-of-the-art fitness
equipment and support services to all Navy afloat commands, as well as
sites ashore in the 5th Fleet area of responsibility. In the future,
all Navy fitness centers will establish programs and services to
increase physical activity and nutrition awareness for our Total Force.
Education and Professional Development
The Advanced Education Voucher (AEV) program was implemented to
provide off-duty educational opportunities and financial assistance to
senior enlisted personnel (E7-E9) in pursuit of Navy-relevant post-
secondary degrees. We increased the number of semester credit hours of
advanced education available through the Tuition Assistance (TA)
program, and continue paying up to $250 per semester hour.
Financial Management Training
With the help of congressionally-supported regulation, we are
protecting sailors and their families from predatory lending practices
through an aggressive plan to improve financial literacy. Our personal
financial management career life-cycle training continuum was revamped.
Accredited financial counselors are now positioned at all Fleet and
Family Support Centers. A series of communications and advocacy
campaigns will heighten awareness of predatory lending at all levels of
leadership. Senior Navy leadership will continually monitor trends and
partner with key financial organizations to improve the financial
literacy of sailors and their families. We will work closely with the
other Services, OSD staff, FDIC, FTC, and other regulatory agencies to
develop and implement regulations for predatory lending restrictions
enacted in the NDAA for Fiscal Year 2007.
Support to Injured Sailors
Through our Safe Harbor Program, Navy provided 114 severely injured
sailors, including 103 Active component and 11 Reserve component,
timely access to available resources and support. Currently, 92 sailors
are being actively tracked and monitored including 34 severely injured
last year in OIF/OEF. We offer pre/post separation case management and
deployment health assessments. Navy coordinates benefits with the
Departments of Veterans Affairs and Labor, and other service providers.
The Task Force Navy Family Functional Plan, based on lessons learned
from the aftermath of hurricanes Katrina and Rita, enhances our
response capabilities for future catastrophic events.
Child and Youth Programs
We are offering quality child and youth care programs to Navy
families, which meet or exceed the national accreditation standards,
and satisfy 69 percent of the potential need for child and youth
program spaces. Given the additional spaces achieved by congressional-
sponsored military construction projects and other OSD sponsored
facilities, the Navy will achieve 71 percent of the potential need for
child and youth program spaces in 2007.
The positive impact of these programs is reflected in the
stabilization of Navy's divorce rates, declining rates of alcohol and
drug abuse, as well as a lowering of the number of substantiated cases
of spouse or child abuse.
Basic Housing Allowance
We welcome Congress' decision to return funding for Basic Allowance
for Housing and Facilities, Sustainment, Restoration, and Modernization
to the traditional Defense Appropriations accounts in fiscal year 2008,
and we hope that Congress will afford us with ample transfer authority
during fiscal year 2007 to effectively manage these accounts.
Sea-Shore Rotation
Enhancements to our Sailor readiness and family preparedness are
critical because we are a sea-centric force. Navy's first priority is
to properly man sea duty and frontline operational units. This means
placing a higher priority on utilizing sailors ``at sea.'' As the
number of Navy missions and operations increases, and as we continue to
make adjustments to stabilize the Navy workforce, we have, and will
continue to, become more sea-centric.
Initial analysis indicates that while it will be possible to
sustain a more sea-centric military workforce, it will be more costly.
This is due not only to normal cost-of-living increases, but also to
increased costs of compensation, training, and recruiting and retention
incentives.
Navy continues to evaluate options for rotation of the workforce as
we become more sea-centric. We are in the early stages of determining
how to transition our current sea-shore rotation business practices to
achieve four desired outcomes for our people: geographic stability,
deployment predictability, increased professional and personal
development, and continually satisfying work.
The Navy's Total Force is ready. We are meeting most recruiting and
retention goals, addressing stress in global war on terror-centric
communities and for IAs, developing new capabilities and communities,
and preparing our sailors and their families for a more sea-centric
force.
It is not enough to be ready today. We must look forward and
predict our future requirements. We must continuously assess the size
of our total Navy workforce, and make the necessary course corrections
to shape and stabilize our workforce based on anticipated future
requirements.
sizing, shaping, and stabilizing the navy total force
For several years, our focus was on sizing the force--ensuring we
had the right number of billets, and filling every billet with a
sailor. Today, we are focusing on shaping and stabilizing the force--
ensuring we have the right fit between the knowledge, skills and
abilities required by a billet and those possessed by the sailor
filling that billet, and ensuring we can easily adjust either based on
changes in warfighting requirements.
The goal of sizing the force is to determine the right number of
billets required to meet current and future warfighting requirements.
The goal of shaping the force is to ensure we have the right type of
individual available in our workforce to fill those billets. The goal
of stabilizing the force is to have a personnel management system that
can proactively respond to changes in warfighting requirements.
Sizing the Total Force
After the initial post-September 11 workforce surge, Navy started
reducing end strength in a controlled manner commensurate with
reductions in force structure and our infrastructure. We were reducing
manpower in conjunction with a decrease in the number of ships and
aircraft. We were focused on reducing the number of people in each
component of the Total Force.
In 2006, Navy shifted from this platform-based manpower
determination approach to capability-based personnel management. Based
on extensive analysis of the current and future warfighting needs, we
forecasted that the Active component manpower required to provide the
necessary capabilities is approximately 322,000 for a force structure
of 313 ships and approximately 3,800 aircraft. As a result, we are now
``exiting the glide slope''; that is, we are planning to stabilize the
Navy Active component workforce around 322,000 by fiscal year 2013.

Our analysis also allowed us to evaluate the quality of fit between
the work that needed to be done and the skill sets of the sailors
assigned to do that work. In some cases, we identified work currently
performed by sailors that could be done more efficiently by employing
new technologies, decommissioning manpower-intensive platforms,
improving training or work processes, or altering the mix of military,
civilian, and contractor resources.
As we move toward an Active component workforce of approximately
322,000 in fiscal year 2013, we will decrease Active component strength
by approximately 14 percent between 2003 and 2008. It is extremely
important to note, however, that during this reduction, the overall
cost of our manpower will rise by almost seven percent. Not only will
accessing and retaining our Sailors be generally more expensive, but,
as skill requirements increase, the cost to train, educate and retain
them will increase, as well. It is imperative that our force be
effective and cost-efficient as we ``exit the glide slope.'' We can not
afford--operationally or fiscally--anything less.

Shaping the Total Force
In order to shape an appropriately skilled Active component
workforce sized at 322,000, Navy must utilize all force-shaping tools
at our disposal. We must also look for new strategies such as DOPMA
grade-relief and innovative compensation programs. We need to apply
both small adjustments and major course corrections in order to shape
our force into a smaller, more effective and cost-efficient Total
Force.
Rating Merger
Navy reviewed its ratings (i.e., job specialties) to ensure we
provide the fleet with the right skill mix and reduce redundancies.
Since 2003, the total number of enlisted ratings has been reduced from
81 to 77. Twelve ratings were disestablished through mergers that
better reflect sailors' skill sets and duties performed. Eight ratings
were established to align ratings to changing technology and emerging
skill sets.
Rating Conversion
Perform to Serve (PTS) is a rating conversion program that permits
sailors in overmanned ratings to switch to other ratings that are
undermanned. The goal is to align our Navy personnel inventory and
skill sets through a centrally managed reenlistment program, and to
instill competition in the retention process. Since inception 4 years
ago, more than 6,400 sailors have been guided to undermanned ratings,
and more than 98,800 have been approved for in-rate reenlistment.
Voluntary Separation
Voluntary Separation Pay (VSP), enacted in 2006, has been a useful
addition to our force shaping tools by providing a financial incentive
to elicit voluntary separations by officers in carefully targeted
communities. VSP has been used to separate 132 officers from an
eligible pool of 208. Navy greatly appreciates the additional
flexibility that Congress enacted in the NDAA for Fiscal Year 2007,
which will permit Navy to extend the use of VSP to select enlisted
personnel and apply it to members with between 6 and 20 years of
service.
MIL-CIV Conversion
Conversion of military billets, not focused on inherently military
work, to civilian billets enhances our ability to align military
personnel to warfighting functions. This year, we will target
nonwarfighting functions previously staffed and performed by military
personnel, for conversion. We will transfer some commissioned U.S.
vessels to Military Sealift Command (civilian mariners). Our focus will
be on mil-civ conversions for medical and legal services, aviation
support and maintenance, training support, and headquarters
administrative functions.
Law and Regulation
DOPMA and the Goldwater/Nichols Act, both conceived and enacted in
the Cold-war era, make it difficult to efficiently align our personnel
to current and projected force structure requirements. Navy has become
a far more joint and senior force, reduced in size, but with increased
warfighting capability. As Navy end strength stabilizes, the need for
more senior and experienced officers will continue to increase. Navy is
currently operating at, or very near, statutory control-grade limits
across the board and, consequently, is suppressing billet grades
through the programming and budgeting process in order to comply with
DOPMA constraints. In fiscal year 2008, Navy is seeking relief from
current control-grade limits to enable us to properly man our billet
structure while providing a reasonable amount of flexibility to respond
to continually emerging external control grade requirements.
Incentives
The Assignment Incentive Pay continues to be an effective market-
based incentive to elicit volunteers for difficult-to-fill jobs in
critical, but less desirable locations. Navy recoded approximately
8,800 billets from a nonmonetary incentive (overseas shore duty with
sea duty credit) to a normal shore tour with a monetary incentive.
Sea Duty Incentive Pay (SDIP) will soon be implemented as a pilot
program to incentivize enlisted Sailors in sea-intensive ratings to
volunteer for longer sea duty. Sailors will either extend their
assignment at sea, or curtail their assignment ashore, returning to sea
duty. SDIP is aimed at increasing assignment flexibility to support the
Navy's move toward a more sea-centric force.
Retention Shaping Tools
Selective Reenlistment Bonus (SRB), our primary retention tool,
allows us to optimize the Navy workforce by targeting personnel with
precise, in-demand skills and experience to reenlist. Navy's maximum
SRB payment is currently set at $75,000, allowing sufficient
flexibility to increase the bonus ceiling as retention needs dictate
over the next several years. This cap increase has been extremely
valuable in retaining experienced nuclear-trained personnel and SEALs.
Stabilizing the Total Force
In the past year we have seen remarkable developments in the global
security environment. It is clear that the security challenges of this
century will be multifaceted and wide-ranging. If we are to respond to
this rapidly-changing environment, we must have a capability-based
personnel management system that is proactive, agile and cost-
efficient. Such a system will allow a stabilized force that can rapidly
adjust to new requirements. A key to establishing this system is a
single, centralized analytical construct that is Navy-wide and balances
warfighting requirements, personnel, and costs.
In 2006, the Navy's Manpower, Personnel, Training, and Education
(MPT&E) Domain became the Single Manpower Resource Sponsor. The OPNAV
N1 organization became the single point of responsibility for oversight
of resourcing and manning all Navy, Active and Reserve, end strength.
This consolidation of planning, programming, budgeting and execution
authority places all Navy billets and positions into a single
analytical framework. Having centralized authority and accountability
enables Navy leadership to look across the entire Service to identify
and prioritize the work to be performed in delivering warfighting
capability. Our analytical framework links people to work, work to
platforms, and platforms to capabilities resulting in far better
ability to fit our people directly to warfighting capability.
In 2007, as the Single Manpower Resource Sponsor, OPNAV N1 will
assume a more robust assessment responsibility through close liaison
with Resource Sponsors, Appropriation Sponsors and the warfighting
Enterprises through all phases of the Planning, Programming, Budgeting
and Execution System process. I intend to expand our focus beyond
military personnel to include the Navy's civilian workforce as well.
The transition from FILL--a sailor in every billet--to FIT--the
right person (military, civilian or contractor) in the right position--
is just the beginning. Navy has developed strategies and action plans
to enable sustainment of the changes we have made to-date, and carry us
through to match the rapidly changing demands sure to come.

STRATEGIES FOR THE FUTURE NAVY WORKFORCE

Sometimes we still think of the 21st century as the future. It is
not. It is today. Sailors, Navy civilians, and contractors who will
respond to uncertain future missions are entering the workforce and
Navy today. What we do today--the decisions we make--will dictate our
situation tomorrow, and determine what we are capable of in the future.
To inform, guide and ensure these decisions enable us to sustain
the ready, stable Navy workforce we need in the future, we have defined
a number of strategies and action plans to transform the Navy Total
Force. These strategies address: the long term vision of Navy MPT&E;
leveraging the diversity of our Total Force; executing Spiral One Sea
Warrior; integrating education and training across Navy; better
preparing and positioning the Navy to support Joint missions, and
integrating our Active and Reserve military force.
Strategy for Our People
To sustain a stable Total Force, we must transform into a
capability-driven, competency-based, diverse, Total Force that is
agile, effective, and cost-efficient.
In 2006, we developed the MPT&E Strategic Vision. This vision sets
the course along which Navy's Total Force management will evolve over
the next 10 years. It describes our environment of uncertainty and
changing operations, a more competitive marketplace and rising fiscal
constraints. It defines six strategic goals that, when achieved, will
enable us to be responsive and effective in the future.

Our six strategic goals for 2016 are:

An Effective Total Force. Workforce components--Active
and Reserve sailors, Federal civil employees, and contractors--
will be viewed as one, integrated team that supports required
warfighting capability.
Capability-driven. Navy workforce requirements will be
based on current and future joint warfighting needs as dictated
by the national defense strategy.
Competency-based. Navy work and workforce will be
defined, described and managed by the knowledge, skills, and
abilities that enable performance required for mission
accomplishment.
Competitive in the marketplace. We will continuously
revise and update our policies and practices to deliver
necessary and comprehensive pay and compensation structures
such as life-long learning, career choice and improved family
support.
Diverse. We will have a culture of inclusion that
encourages and enables all sailors and civilians to reach their
full professional and personal potential.
Agile and cost effective. We will deliver additional
capability from a smaller, yet increasingly talented, educated,
and integrated workforce.

In 2007, we intend to define specific approaches and action plans
to achieve our six strategic goals. We will develop roadmaps that
define the specific tasks and activities that must be undertaken to
ensure we are making decisions that move us forward toward our vision.
These roadmaps will include precise objectives that enable measurement
and accountability.
Diversity Campaign Plan
Diversity is a strategic imperative for our Navy. Our diversity
program leverages the different characteristics and attributes of
individual sailors and civilians. It enhances the contribution of our
diverse force to mission readiness.
We defined the Navy's Diversity Campaign Plan. This plan consists
of three Phases: Phase I-Assessment; Phase II-Decisive Action, and
Phase III-Sustainment and Accountability. Phases I and II are complete.
We are now in Phase III.
The goals of this plan are to: (1) institutionalize a culture that
values and fully leverages the unique attributes of the Navy's
workforce, (2) attract and retain the best talent of our Nation, and
(3) provide opportunity for all to succeed and advance.
In Phase I, we took a fix--to get a Navy-wide snapshot of where we
are in diversity, specifically looking at how recruiting, retention,
and promotion practices have resulted in current demographics. As a
result, five focus areas were identified for further analysis and
action: Accountability; Outreach; Mentoring; Training, and
Communication. Our focus was on operationalizing diversity as a
frontline issue by involving all Navy leadership in the effort. We
attempted to understand why we have diversity shortfalls in some
communities, ratings and occupations, and how we can best improve and
sustain representation in those areas.
During Phase II, we performed root cause analysis and implemented
decisive corrective actions to institute enduring change. We identified
diverse affinity groups and other organizations that Navy would engage
or increase engagement with to institute an outreach regimen and build
a sustained engagement strategy. A mentoring program was conceived that
is formalized but voluntary for mentors and proteges and incorporates
one-on-one group and peer-to-peer mentoring. An overarching
communication strategy was prepared to deliver a coherent and
consistent message to the force.
In Phase III, we are committed to sustainment and accountability.
Our focus is on continuing and enduring actions which are critical to
our long term success. Navy will communicate a coordinated and
consistent strategic diversity message. There will be CNO Enterprise/
Community accountability reviews, which will improve outreach--moving
from episodic to sustained engagement. We will launch a service-wide
mentoring program, and ingrain diversity throughout the learning
continuum, empowering our leadership Navy-wide to reinforce the
strategic imperative of diversity in today's Navy.
Spiral One Sea Warrior
Our new generation of sailors expects to be more involved in making
their career and life decisions. As a result, we are moving from a
schedule-based requisition legacy system to sailor choice and
partnership, a sailor-centered model.
The Sea Warrior family of career management tools is based on
entrepreneurial efforts of Revolution in Training, Project SAIL and
Improving Navy's Workforce, which helped us precisely understand the
work that we need to do, and how we can best match the sailor to that
work.
Like other elements of Sea Power 21, Sea Warrior is a conceptual
framework to deliver a capability. Our long range vision--an easy to
use, integrated and responsive family of career management, training,
and education systems for sailors to invest in and direct their
careers, education, and professional development--remains unchanged. In
the near-term, we are focused on access and delivery, performance, and
policy to support one primary product--interactive detailing.
In 2006, Navy applied programmatic discipline to place more rigor
into specific content development. We stood up a program office within
PEO-EIS and deepened partnerships with key Navy organizations. We also
unbundled existing products (Navy Knowledge Online, SMART transcripts,
Navy Credentialing Opportunities Online (COOL)) to field Sea Warrior
Spiral One--Career Management System (CMS) with Interactive Detailing
capability.
In the future, we intend to continue to test, evaluate, and deliver
proven products to sailors. Sea Warrior will be established as a
program of record for POM-10. Testing starts this year with a tightly
defined control group to use the system and provide us valuable
feedback to improve upon this capability. The ability to apply for
billets online using CMS-Interactive Detailing (consistent with policy
and access) will be delivered to our sailors by June 2009. In future
spirals, we will build on lessons learned and as access and systems
capability improve, we will move from a policy focus to individual
sailor and access and capability focus. As each build reaches maturity
(and passes strict quality acceptance tests for accuracy, ease-of-use,
and technical robustness), we will open its use to wider audiences.
Navy Education Strategy
Developing a Total Force that is ready any time, anywhere starts
with education. Education provides the foundation for development and
enhancement of the critical thinking skills necessary to confront
uncertainty, and adapt and respond quickly and decisively. Education is
a strategic investment for Navy's Total Force. It provides preparation
for enduring missions that are well-known, plus yet-to-emerge missions
we know are certain to come.
In 2006, the Navy conducted a study that sought to establish a
requirements and career progression framework and lay the groundwork
for an education strategy within that framework. The study included
intensive discussions with Navy leaders, unintended consequence
analysis of prospective education initiatives, and a literature review
and exploratory data analysis.
In 2007, the Navy will conduct a follow-on study that includes
extensive data gathering, model building, and data analysis. The goal
is to develop a comprehensive Navy Education Strategy that: supports
the Navy Total Force, enhances warfighting proficiency; strengthens
joint, multi-national and interagency operations; addresses enduring,
emergent and future requirements, and exploits learning strategies and
best practices.
Path to Jointness
The Navy is committed to developing joint leaders--both in the
officer and senior enlisted communities. We are pursuing a ``Path to
Jointness'' that will improve how we plan, prepare and assign Navy
leadership talent to joint positions in a way that maximizes the Navy's
contribution to joint, interagency, and multi-national coalition
partners.
In 2006, we made significant progress on the policy initiatives
linking career progression and assignment with the Chairman's Vision.
We defined the professional military education (PME) requirements for
the ranks of E-1 through 0-8 across the entire Active and Reserve
military forces. Navy has revised the process to select and assign
officers who have clearly demonstrated the potential to assume
positions of strategic and operational leadership of staff
responsibilities as appropriate to their grade in Navy, Joint,
interagency and multi-national billets. The Navy now requires
completion of Intermediate PME, including JMPE Phase I for selection to
URL 0-5 Command by fiscal year 2009 screen boards (which are actually
held in fiscal year 2008).
In 2007, we intend to continue our efforts on the ``Path to
Jointness'' by expanding our efforts to the Total Force, and monitoring
our policy and process changes to ensure compliance and effectiveness.
We will expand our efforts by providing the appropriate PME to the
entire Active and Reserve Total Force, and ensuring graduates are
tracked and assigned to billets that exploit their education and
accelerate their development as joint leaders. Our effectiveness will
be tracked by the number and percentage of PME graduates assigned to
career milestone billets. We have set a requirement for 100 percent
fill of Navy resident student billets at all Joint, Service, and
foreign war colleges.
Active-Reserve Force Integration
Navy continues to make significant strides in achieving a true
Total Force through ARI. ARI aligns Active and Reserve component units
to achieve unity of command. It leverages both budgetary and
administrative efficiencies, and ensures that the full weight of the
Navy resources and capabilities are under the authority of a single
commander.
Strength planners and community managers, both Active and Reserve,
are being collocated and are implementing the same business rules and
models to manage our Navy's manpower from a Total Force perspective.
Active and Reserve regions have been aligned under the five CONUS Navy
Region Commanders and Naval District Washington, to improve
communications and provide mutual support, optimizing our resources and
making them more accessible across the Navy.
Navy Reserve Centers have been redesignated as Navy Operational
Support Centers (NOSCs). Their mission is to meet the requirements of
the fleet and combatant commanders by providing integrated operational
support to supported Navy and joint commands worldwide.

CONCLUSION

Your Navy is ready. We are ready now and we will be ready tomorrow.
We are recruiting and retaining the best and brightest talent our
Nation has to offer. Our sailors, our civilians, and their families,
are physically and mentally prepared. We have sized and shaped our
force based on current and projected warfighting requirements. We are
building a more flexible personnel management system that can rapidly
respond to the ever-changing security environment. Our strategies for
the future are defined and executing.
The United States Navy has a proud history of accomplishing its
maritime core missions-forward presence, crisis response, sea control
and power projection. This past year, our Total Force not only lived up
to, but surpassed, this standard, accomplishing our traditional
missions, as well as supporting the nontraditional missions of the long
war--counterinsurgency, counterterrorism, civil-military operations and
nation-building. We also provided desperately needed humanitarian
assistance around the globe.
The challenge before us is the uncertain world. We do not know
which of these missions we may be called upon to perform in the future.
The Nation needs a strong Navy--with unmatched capability, global
reach, persistence presence, agility and unequaled lethality. Our
Navy's Total Force must be ready today and in the future to respond
whenever, wherever we are called upon to do so. That is our heritage,
that is our tradition and that is exactly what we will do.

Senator Ben Nelson. Thank you, Admiral.
General?

STATEMENT OF LT. GEN. RONALD S. COLEMAN, USMC, DEPUTY
COMMANDANT FOR MANPOWER AND RESERVE AFFAIRS, UNITED STATES
MARINE CORPS

General Coleman. Good afternoon, sir. I have submitted a
statement.
Senator Ben Nelson. It will be included in the record.
General Coleman. Yes, sir. Thank you, sir.
Chairman Nelson, Senator Graham, and distinguished members
of the subcommittee, it is a privilege to appear before you
today to discuss the Marine Corps policy and program.
I want to first thank you for all your continued support of
our marines and their families. The commitment of Congress to
increasing the warfighting and crisis-response capabilities of
our Nation's Armed Forces and to improve the quality-of-life
for marines is central to the strength that your Marine Corps
enjoys today. I would like to make three points.
First, in fiscal year 2006, the Marine Corps exceeded its
mission in both recruiting and retention. In doing so, we
continue to exceed DOD-quality standards in recruiting. We also
achieved over 90 percent military occupational speciality match
in first-term enlistments, and over 94 percent in career force.
Second, in fiscal year 2007, the Marine Corps is off to a
strong start in both recruiting and retention. We were
initially on pace to meet or exceed our fiscal year 2006
results. As part of the plan to increase our end strength to
202,000 by fiscal year 2011, we're now planning to increase our
end strength to 184,000 by the end of fiscal year 2007.
Consequently, we recently increased both our recruiting and
retention missions significantly. These new missions will
present challenges for recruiters, commanders, and career
retention specialists, but we believe we will meet the
challenge. Key to our success will be the additional funding
that we have applied to both our enlisted bonus and Selective
Reenlistment Bonus Program.
Third, the increased Marine Corps end strength will enable
your Marine Corps to better train across the warfighting
spectrum, respond to other conflicts and crises, and reduce the
strains on our marines and units. Meeting the end strength
growth requirements will require us to continue to increase our
recruiting and retention goals. The Marine Corps will also
increase the number of recruiters, expand marketing and
advertising efforts, and increase enlistment and reenlistment
incentives. We ask for your support in authorizing and funding
these programs. With these important tools, we will be able to
continue to attract and retain the best and brightest.
Thank you. Your Marine Corps remains the Nation's force in
readiness and will continue to fill its mission of being the
most ready when the Nation is least ready.
I look forward to answering your questions.
[The prepared statement of General Coleman follows:]

Prepared Statement by Lt. Gen. Ronald S. Coleman, USMC

Chairman Nelson, Senator Graham, and distinguished members of the
subcommittee, it is my privilege to appear before you today to provide
an overview of your Marine Corps personnel.

INTRODUCTION

We remain a Corps of Marines at war with over 33,700 marines
deployed to dozens of countries around the globe. The young men and
women who fill our ranks today recognize the global, protracted, and
lethal nature of the challenges facing our Nation, and their dedicated
service and sacrifice rivals that of any generation preceding them.
Thanks to you, ladies and gentlemen, your marines know that the
people of the United States and the Government are behind them. The
continued commitment of Congress to increasing the warfighting and
crisis response capabilities of our Nation's Armed Forces, and to
improve the quality-of-life of marines, is central to the strength that
your Marine Corps enjoys today. The Nation is receiving a superb return
on its investment in the world's finest expeditionary force.
This past year, you have seen evidence of this not only in Iraq and
Afghanistan, but in Lebanon, where we were partners in the largest
noncombatant evacuation since Vietnam; in the southern Pacific, as part
of humanitarian assistance and relief efforts in the wake of multiple
natural disasters; and throughout the world in our theater security
cooperation engagements. We know the future will remain challenging--
not only in the current conflicts, but in subsequent campaigns of the
long war on terror. I am confident that with your continued support,
your corps will remain the Nation's force in readiness and will
continue to fulfill its congressionally mandated mission of being the
most ready when the Nation is least ready.

RIGHT-SIZE OUR MARINE CORPS

To meet the demands of the ``Long War'' and other crises that
arise, our corps must be sufficiently manned, trained, and equipped.
Like the Cold War, the ``Long War'' is a continuing struggle that will
not be measured by the number of near-term deployments or rotations. To
meet our challenges, we must ensure that our personnel policies,
organizational construct, and training are able to operate at a
``sustained rate of fire.''
Strain on the Individual
Marines are resilient warriors and are willing and able to absorb
increased deployment stress without outward symptoms. However, any
deployment causes stress as members are away from their families and in
dangerous environments. Families worry about their loved one's safety
and spouses have to care for their children alone. As members deploy
multiple times, these stresses are multiplied. Nevertheless, despite
the current unparalleled Personnel Tempo, the morale of our marines and
their families remains high.
To avoid an adverse toll on our marines and their families, and to
prevent a decrease in readiness, the Secretary of Defense established a
1:2 deployment-to-dwell ratio goal for all Active component forces.
This ratio relates to how long our forces are deployed versus how long
they are at home--the goal being for every 6 months a marine is
deployed, they will be back at their home station for 1 year. We need
to relieve the strain on those superb Americans who have volunteered to
fight the Nation's battles.
Strain on the Institution
The current deployment cycle requires commanders to focus on those
skill sets required to accomplish the mission in Iraq and Afghanistan.
This emphasis, along with the added requirement for individual
augments, training team requirements, and the need to deploy many units
for missions outside of their normal functions has caused deterioration
in other skill sets. The result of this strain is limitation in the
Marine Corps' ability to provide trained forces to project power in
support of other contingencies. To fulfill our mandate to be ``most
ready when the Nation is least ready,'' our deployment cycles must not
only support training for irregular warfare, they must also provide
sufficient time for recovery, maintenance, and training for other
contingency missions.
Reducing the Stress
The proposed increase to our Active component end strength to
202,000 marines by fiscal year 2011 will go a long way to reducing the
strain on the individual marines and the institution. It will enable us
to build capacity to fight the ``Long War'' and to better train and
respond to other crises. It will also help us meet the Secretary of
Defense's goal 1:2 deployment-to-dwell ratio.
Our first task will be to build 3 new infantry battalions and their
supporting structure--approximately 4,000 marines. We will then
systematically build the additional individuals and units on a schedule
of approximately 5,000 per year. This plan will gradually increase the
deployment-to-dwell ratio of some of our habitually high operational
tempo units such as ground reconnaissance, light armored
reconnaissance, assault amphibian, combat engineer, military police,
signals intelligence, unmanned aerial vehicle, helicopter, air command
and control, combat service support and explosive ordnance disposal
units.
Increasing end strength to 202,000 will be achieved by through
increased Active component accessions and increased retention. These
mission increases will be significant and will require additional
compensation incentives. We have developed a number of Assignment
Incentive Pay based initiatives that will be critical to our increased
retention missions, and we ask for congressional support for these
programs.
Reserve Component End Strength
Our efforts in the ``Long War'' remain a Total Force effort. Recent
policy changes within the Department of Defense (DOD) will allow us to
use the Reserve Forces as they were structured to be employed--to
augment and reinforce our Active component forces. To this end, our
goal is to obtain a 1:5 deployment-to-dwell ratio within our Reserve
component. We believe our current authorized Reserve component end
strength of 39,600 selected Reserve marines is adequate. As with every
organization within the Marine Corps, we continue to review the make-up
and structure of the Marine Corps Reserve in order to ensure the right
capabilities reside within the Marine Forces Reserve units and our
Individual Mobilization Augmentee program across the force.
Funding
The Marine Corps greatly appreciates the increased end strength to
180,000 in the National Defense Authorization Act for Fiscal Year 2007.
Our program of record requires that we internally fund any end strength
in excess of 175,000 marines. We are resourcing these additional costs
through supplemental funding.
Compensation
The vast majority of our personnel budget is spent on entitlements,
including compensation. Compensation is a double-edged sword in that it
is a principal factor for marines both when they decide to reenlist and
when they decide not to reenlist. Private sector competition will
always seek to capitalize on the military training and education
provided to our marines--marines are a highly desirable labor resource
for private sector organizations. The targeted pay raise effective 1
April 2007 has allowed the Department to accomplish its efforts in
bringing all pay grades up to the 70th percentile of comparably
educated civilian pay levels. We look forward to the product of the
thorough analysis being conducted by Quadrennial Review of Military
Compensation review of the Defense Advisory Committee on Military
Compensation recommendations.
The continued support of Congress for appropriate increases in
basic pay and a sound, comprehensive compensation and entitlements
structure greatly assists efforts to recruit and retain the quality
Americans you expect in your corps.

RECRUITING

Active Component
In fiscal year 2006, the Marine Corps achieved 100.1 percent of the
enlisted shipping (accession) objective. Over 95 percent of those
shipped to recruit training were Tier 1 high school diploma graduates
and 68 percent were in the I-IIIA upper mental group testing
categories. In short, we accomplished our recruiting mission and
exceeded DOD quality standards. To meet the Marine Corps' proposed end
strength increase, annual total force accessions missions must steadily
grow from 38,217 in fiscal year 2006 to 45,000 in fiscal year 2010.
Fiscal year 2007 total force accessions mission is 39,927. As of March
1, 2007, we have shipped (accessed) 13,568 recruits to basic training
which represents 102 percent of our mission fiscal year to date.
Although challenging, we anticipate meeting our annual recruiting
mission. With regard to our self-imposed contracting mission, we are
ahead of our current plan for the year and expect to meet our
objectives. Our Officer Selection Teams were also successful accessing
1,494 second lieutenants in fiscal year 2006, 101 percent of mission,
and we are on course to make our officer accession mission in fiscal
year 2007.
Reserve Component
For the Reserve component, the Marine Corps achieved its fiscal
year 2006 Reserve enlisted recruiting goals with the accession of 5,880
non-prior service marines and 3,165 prior service marines. As of 1
March 2007, we have accessed 1,874 non-prior service and 1,746 prior
service marines, which reflects 35 percent and 50 percent of our annual
mission, respectively. Again, we expect to meet our Reserve recruiting
goals this year. Officer recruiting and retention for our Selected
Marine Corps Reserve units is traditionally our greatest challenge, and
remains the same this year. To help address this issue, we have
initiated a Reserve officer commissioning program exclusively to
address the company grade officer shortfall. Under this program,
individuals will attend Officer Candidates School, The Basic School, a
Military Occupational Specialty school, and return to a Reserve unit to
serve. When coupled with the continued selected Reserve officer
affiliation bonus provided in the National Defense Authorization Act
for Fiscal Year 2007, we believe we will have established a method to
retain officers leaving active duty and attract qualified officer
applicants into the Reserve ranks.
Accomplishing the Mission
To assist in meeting our growing recruiting mission, the Marine
Corps plans to increase the number of recruiters, retain experienced
recruiters, increase enlistment incentives, and expand marketing and
advertising efforts. The recruiting environment continues to be highly
challenging. Private sector opportunities, low unemployment, declining
propensity for military service, the global war on terror, and the
higher costs in advertising require innovation in marketing the Marine
Corps. We strive to emphasize intangible benefits by projecting the
Marine Corps message of ``Tough, Smart, Elite Warrior,'' and the
``transformation'' that a young man or woman experiences in becoming a
marine. The Corps continues to explore the best means to communicate
and appeal to the most qualified young men and women of the millennial
generation. We endeavor to educate the parents of potential applicants.
Parents continue to have the greatest influence on young men and women
in their decision to serve their country, and it is important that we
inform them of the benefits of serving in the Marine Corps.
Our message is reinforced through marketing and advertising
programs--paid media, leads for recruiters, and effective recruiter
support materials. Paid advertising remains the most effective means to
communicate our message and, as a result, is the focus of our marketing
efforts. As advertising costs increase, it is imperative that our
advertising budgets remain competitive to ensure that our recruiting
message reaches the right audience. Marine Corps recruiting success in
the past is a direct reflection of a quality recruiting force and an
effective and efficient marketing and advertising program. We would
like to thank Congress for their continued support of the ``No Child
Left Behind Act'' which provides recruiters access to high schools and
student directory lists critical to recruiting quality applicants.
Finally, a very important factor in our success lies in ensuring
clear and direct responsibility and oversight. The Commanding Generals
of our two Marine Corps Recruit Training Depots also serve as the
Commanding Generals of our Eastern and Western Recruiting Regions.
Having the same individual responsible for quality recruiting and
entry-level basic training is key to recruiting and making marines.
Consistent with this, our recruiters' commitment to recruiting a
quality force is reinforced by the fact that they are held accountable
for their recruits' performance as they earn the title marine and
complete ``boot camp.''

RETENTION

Retention remains an important pillar of building and sustaining
your Marine Corps. Our manpower system must match skills to sustain the
operating forces. The Marine Corps endeavors to maintain stable,
predictable retention patterns. However, civilian opportunities abound
for marines as employers actively seek our young Marine leaders for
private sector employment. Leadership opportunities, our core values,
and esprit de corps are the reasons dedicated young men and women
reenlist after their initial commitments to defend our Nation.
Enlisted Retention
The Marine Corps is a young service by design and retaining the
highest quality marines to lead our force remains of paramount
importance. I am pleased to report that in fiscal year 2006, the Marine
Corps achieved 101.9 percent of its first-term retention goal and an
impressive 115.8 percent for the Career Force. Both goals were
accomplished in June 2006, which was 3 months before the end of the
fiscal year.
The mid-year course correction to achieve a 184,000 end strength by
the end of fiscal year 2007 will be challenging. On 4 March 2007, the
FTAP retention goal increased from 6,096 to 8,298 causing the FTAP rate
to readjust from 91.9 percent to 67.5 percent. The Marine Corps has
historically reenlisted approximately 25 percent of its first-term
force and the new target will require 33 percent this fiscal year. The
STAP retention goal also increased from 6,461 to 7,800 causing the STAP
rate to readjust from 57.2 percent to 47.4 percent. Our continuing
retention success will be largely attributed to two important enduring
themes: Marines want to stay marines because of the superb leadership
in our officer and staff noncommissioned officer ranks, and marines
desire to remain part of a `band of brothers.'
The Marine Corps makes wise use of Selective Reenlistment Bonus
(SRB) funding provided by Congress. Your Marine Corps' baseline SRB
budget last year was $53 million and the Marine Corps spent an
additional $32 million in supplemental funding to achieve its retention
goals. This fiscal year we have $55 million for SRB in the baseline.
However, because of our increased retention goals, we will need
significant additional supplemental funding; we are thankful for your
support for this funding. To support our fiscal year 2007 growing end
strength, we are supplementing the SRB Program by offering $10,000
Assignment Incentive Pay for fiscal year 2007 reenlistments. For fiscal
year 2008, the President's budget provides the Marine Corps a baseline
SRB funding of $214 million; we will again need additional supplemental
funding for our end strength retention incentives.
As we continue the ``Long War'' and grow the Marine Corps to an end
strength of 202,000, the challenge to keep the most qualified marines
must be met with increased SRB funding. Your continued congressional
SRB support with added supplemental funding will ensure the Marine
Corps has the necessary combat trained marines for the ``Long War'' and
the other contingencies that may arise in support of our great Nation.
Officer Retention
I am happy to report that the Marine Corps continues to achieve our
goals for officer retention. We are retaining experienced and high
quality officers. Our aggregate officer retention rate was 91.0 percent
for fiscal year 2006, which is above our historical average. Current
officer retention forecasts indicate healthy continuation rates for the
officer force as a whole.
Reserve Retention
Concerning our Reserve Force, we satisfied our manpower
requirements by retaining 80 percent in fiscal year 2006; the fifth
consecutive year above our pre-September 11 historic norm of 70.7
percent. For the current year, Reserve officer retention has thus far
remained above historical norms. Enlisted Reserve retention is
currently lower than has been seen in the last 2 years, and is being
monitored very closely. It is important to note that higher planned
retention in the Active component will reduce the number of personnel
transitioning into the Selected Marine Corps Reserve. To address the
potential impact of our increased retention and increased Active
component end strength, the Marine Corps Reserve is aggressively
pursing options to increase retention within the Reserve component, to
include increasing the number and dollar amount of reenlistment
incentives with a focus on units identified for future deployment in
our Long War Force Generation Model.

MARINE CORPS RESERVE

This year marks the sixth year that our Reserve component has
augmented and reinforced our Active component in support of the global
war on terror. Thanks to strong congressional support, the Marine Corps
has staffed, trained, and equipped its Reserve to respond to crises
around the world. Our Reserve component possesses capabilities to fight
across the full spectrum of conflicts to support our Marine Air Ground
Task Forces. As of 28 February 2007, 41,560 Reserve marines have been
mobilized since September 11. The Marine Corps Reserve continues to
recruit and retain quality men and women willing to serve in our
military and help our Nation fight the global war on terror. These men
and women do so while maintaining their commitments to their families,
their communities, and their civilian careers.
More than 4,700 Reserve marines are currently on active duty with
nearly 3,500 serving in Reserve ground, aviation, and combat support
units, while over 1,200 serve as individual augments in both Marine
Corps and joint commands. Seventy-four percent of all mobilized
reservists have deployed to the Central Command area of operations. To
support ongoing mission requirements for Operation Iraqi Freedom, the
Marine Corps Reserve provides approximately 10 percent of our Total
Force commitment.
We are currently working closely with the Department of the Navy
and OSD on the development of the new activation policy. This policy,
in conjunction with our Long War Force Generation Model will greatly
improve our ability to provide our Reserve marines with advance
notification of activation.
As previously mentioned, recruiting and retention remain a
significant interest as the Marine Corps Reserve continues its support
for the global war on terrorism. The funding increases and flexibility
inherent in the Reserve incentives you provided in the National Defense
Authorization Act for Fiscal Year 2007 are invaluable assets to assist
in our continued recruitment and retention mission. The increased bonus
amounts not only generate greater interest in Reserve affiliation, but
also provide financial assistance during the critical period of
transition from active duty to Reserve service.
Healthcare remains an essential part of mobilization readiness for
our Reserve component. The new streamlined healthcare benefit that
Congress authorized this fiscal year will help ensure that our Selected
Marine Corps Reserve members, and their families, have access to
affordable healthcare as they do their part to prosecute the global war
on terrorism. Increased access and flexibility to healthcare for these
families assists in alleviating one of the most burdensome challenges
facing families of deploying Reserve marines.
The long-term success and sustainability of our Reserve Forces is
directly related to our ability to prepare and employ our forces in
ways that best manage limited assets while meeting the expectations and
needs of individual marines and their families. In an effort to ensure
a well-balanced total force and address any potential challenges that
may arise, we are constantly monitoring current processes and policies,
as well as implementing adjustments to the structure and support of our
Reserve Forces.

CIVILIAN MARINES

Civilian marines continue to provide an invaluable service to the
Corps as an integral component of our Total Force. Working in true
partnership with marines, civilian marines will continue to play in
important role in supporting the mission of the Marine Corps and the
global war on terror. Our vision for the future not only defines what
the Marine Corps will offer its civilian marines, but what the Corps
expects from them.
Marine Corps Civilian Workforce Campaign Plan
Marines, more than ever before, recognize the importance of our
civilian teammates and the invaluable service they provide to our Corps
as an integral component of the Total Force. To that end we continue to
mature and execute our Civilian Workforce Campaign Plan, a strategic
road map to achieve a civilian workforce capable of meeting the
challenges of the future. We are committed to building leadership
skills at all levels, providing interesting and challenging training
and career opportunities, and improving the quality of work life for
all appropriated and non-appropriated civilian marines.
National Security Personnel System
The Marine Corps is committed to the successful implementation of
the National Security Personnel System (NSPS). The NSPS will enable the
Marine Corps to better support the warfighter by providing a civilian
workforce that is flexible, accountable, and better aligned to the
Marine Corps mission. The Marine Corps is actively participating with
DOD in the development and implementation of this new personnel system
and is cooperating with the sister Services to ensure civilian marines
and other civilian employees are afforded the training opportunities
and support necessary for a successful transition. The Marine Corps is
dedicated to providing all available resources to the NSPS
implementation effort while maintaining high operational performance.
Marine Corps implementation of NSPS began with Headquarters, Marine
Corps (HQMC) converting approximately 900 non-bargaining civilian
employees on 21 January 2007.
Military-to-civilian conversions
Military-to-civilian conversions continue to provide a valuable
source to send additional marines back to the operating force in
support of our warfighting initiatives and help reduce stress. We will
continue to pursue sensible conversions and remove marines from billets
that could be capably filled by civilian marines.

INFORMATION TECHNOLOGY

We continue to transform our manpower processes by exploiting the
unique benefits of the Marine Corps Total Force System (MCTFS), via our
fully integrated personnel, pay, and manpower system. The MCTFS
seamlessly serves our Active, Reserve, and retired members, both
officer and enlisted; provides total visibility of the mobilization and
demobilization process of our marines; and ensures proper and timely
payments are made throughout the process. This fiscal year, MCTFS
continues to obtain a pay accuracy rate of 99.9 percent for our Active
component and 99.7 percent for our Reserve component.
MCTFS is the backbone that has allowed the Marine Corps to develop
the Total Force Administration System (TFAS), a virtual administration
center that moves Marine Corps pay and personnel administration to a
predominately self-service, virtually paperless, Web based environment.
This capability allows global access to pay, personnel tools, and
personal information viewed electronically in a secure environment.
During 2006, individual marines and their leaders leveraged MCTFS'
capabilities, using TFAS via Marine Online, a Web based application, to
automatically process more than 1.4 million transactions, including
over 84 percent of our annual leave events.
MCTFS' integrated environment also directly feeds our Operational
Data Store Enterprise and Total Force Data Warehouse, a shared data
environment of current and historical individual and aggregate data.
This unique capability allows analysts to quickly respond to a myriad
of data analysis and requests. Our Manpower Performance Indicators
present this data in a tailorable, easy to read, graphical format to
operational commanders and headquarters planners, via the World Wide
Web. We continue to program technology investments that build on these
integrated capabilities, ultimately providing greater effectiveness and
efficiencies with a goal of further decreasing Marine administrative
support and redirecting this structure to warfighting capabilities.
Proper management of our manpower requirements and processes requires
continued investment in modern technologies; we remain committed to
these prudent investments.

TAKING CARE OF OUR OWN--THE ``NEW NORMAL''

Upon successful recruitment and retention of high quality marines,
the Marine Corps seeks opportunities to enhance the experience of being
a U.S. marine. It is widely recognized that lasting intangible benefits
are gained through duty and commitment. These positive experiences are
further intensified by the assurance that the Marine Corps ``takes care
of our own.''
Marines and their families have long been accustomed to rapid and
frequent deployments. Over time, the Marine Corps has developed a
flexible and evolutionary infrastructure to support our way of life and
the ``normal'' operations of our expeditionary force. Marines and their
families have been well served, but we must continuously assess our
support programs and capabilities to ensure sufficiency and relevance.
Assessment & Improvement
Going forward, it is becoming more evident that what was once
characterized as ``surge'' support requirements of Operation Iraqi
Freedom and Operation Enduring Freedom should now more appropriately be
viewed as ``normal'' operations of the Marine Corps--albeit a ``new
normal.'' With this view, in January 2007, we conducted a Wounded
Marine and Family Support Forum for the purpose of assessing the
quality and consistency of our support programs. Over 100 major command
representatives convened in Alexandria, Virginia, to examine seven
program areas for wartime applicability and consistency of support
across the Marine Corps. Areas reviewed included: wounded warrior
support, post-traumatic stress disorder, and traumatic brain injury,
casualty notification and support, marine and family pre-deployment
training, Marine and Family Services Programs, special needs families,
and the Key Volunteer Program. As may be expected, we found some
program inconsistencies that will require greater analysis, further
program development, and in some cases increased resources.
Recommendations subsequently approved for action will take advantage of
ad hoc best practices and be directed for implementation Marine Corps-
wide. Execution will remain the responsibility of our Commanders, but
they will be supported with good guidance along with standard templates
and tools that will ensure we continue the proud Marine Corps tradition
of ``taking care of our own.''
In addition to the efforts described above, the quality-of-life in
the Marine Corps survey and study will be administered later this year.
This same survey was previously conducted in 1992, 1998, and 2002. The
purpose of the survey is to gain insights from marines and their
families on their perceptions of quality-of-life. Eleven ``life
domains'' covering all aspects of quality-of-life; including pay and
compensation, military life, family life, housing, heath care, etc.
will be surveyed for levels of satisfaction. We will use the results of
the survey to support Marine Corps desired outcomes for recruitment,
retention, and readiness.
Importance and Role of Marine Leaders
Marine leaders, at all levels, have the greatest opportunity to
directly engage marines and their families through active listening and
appropriate referral to an array of support agencies and services. In
this capacity, Marine leaders set an environment where it is ``okay to
ask for help.'' As described previously, we must provide good guidance,
tools, and templates our leaders can use for immediate and lasting care
of marines and families. Our ``Leaders Guide for Managing Marines in
Distress'' is an example of an innovative tool for leaders engaged in
the ``new normal'' operation. The guide, which is updated regularly, is
an online and pocket version resource for Marine leaders in the
effective management of stress-related problems (i.e. suicide,
substance abuse, financial problems, and domestic abuse), including
combat/operational stress.
Marines and marine families have demonstrated great strength and
resiliency. In fact, for the past 5 years, our rates of domestic abuse
and child maltreatment; incidents of drug use, divorce, and suicide
have remained comparatively low. We remain vigilant in monitoring
trends and will continue to provide appropriate support mechanisms to
help marines and their families prevent and, when necessary, overcome
problems that may arise.
Casualty Assistance
The Marine Corps ethos of ``taking care of our own'' is never more
relevant than when we care for our fallen Marines and their survivors.
Whether the death is combat-related or comes after a long and well-
lived life, each marine death is a tragic or significant loss to the
survivors, the corps, and our Nation. We steadfastly endeavor to honor
their sacrifices with sincerity and continued remembrance. Our Casualty
Assistance Calls Officers are trained to treat next of kin and other
family members as they would their own family. Providing casualty
assistance always begins with the basic tenet that there is no standard
casualty call; each case is distinct and families grieve in their own
way and time. Assistance to families is carefully measured to
facilitate their transition through the stages of grief and the
completion of the casualty assistance process.
In the past few years, we have been careful to incorporate best
practices or adapt our casualty assistance process to better meet the
needs of our surviving families. In fact, over 150 key personnel
involved in the Marine Corps casualty process from commands around the
Marine Corps met in December 2006 to receive professional development
and discuss casualty assistance issues. We have also instituted a long-
term case management system for surviving families. Finally, as part of
the Wounded Marine and Family Support Forum, we also identified some
additional CACO training requirements that we will soon resolve.
We will continue to lean forward and aggressively assess our
quality-of-life and support services. As necessary, our programs will
evolve to an appropriate wartime footing.
Marine for Life--Injured Support.
The Marine For Life Injured Support program continues to assist
seriously and very seriously injured marines, sailors who served with
the marines, and their families pending the upcoming implementation of
the Wounded Warrior Regiment, whose mission will be to track and assist
wounded marines and sailors to add additional discipline and continuity
to taking care of the injured. The Marine for Life program provides
support from the time of injury through transition from military
service, or re-integration to duty. Marine For Life provides support
tailored to an individual's needs, including pre- and post-service
separation case tracking, assistance with the physical evaluation
boards' process, and an interactive Web site that acts as a
clearinghouse for all disability and benefit information. The program
also provides employment assistance through a pre-existing Marine For
Life network, which establishes local coordination with veterans,
public, private, and charitable organizations that provide support to
our injured warriors. Marine For Life integrated Marine Corps and
Department of Veterans Affairs' (VA) efforts to seamlessly transition
handling of Marine cases into the VA by assigning a Marine field grade
officer to the VA Headquarters' Seamless Transition Office. This
integrates marines into the VA system and provides service oversight of
Veterans Health Administration care and Veterans Benefits
Administration benefits delivery. The Marine For Life program provides
the direct point of contact for problem resolution for marines within
the VA system. The scope of services and capabilities that the Marine
For Life program currently delivers is expected to continue and expand
in a more robust manner when the Wounded Warrior Regiment stands up.

CONCLUSION

As we continue to fight the ``Long War,'' our Services will be
required to meet many commitments, both at home and abroad. We must
remember that marines, sailors, airmen, and soldiers are the heart of
our Services--they are our most precious assets--and we must continue
to attract and retain the best and brightest into our ranks. Personnel
costs are a major portion of the DOD and Service budgets, and our
challenge is to effectively and properly balance personnel, readiness,
and modernization costs to provide mission capable forces.
Marines are proud of what they do! They are proud of the ``Eagle,
Globe, and Anchor'' and what it represents to our country. It is our
job to provide for them the leadership, resources, quality-of-life, and
moral guidance to carry our proud Corps forward. With your support, a
vibrant Marine Corps will continue to meet our Nation's call as we have
for the past 231 years!
Thank you for the opportunity to present this testimony.

Senator Ben Nelson. Thank you, General Coleman.
General Brady?

STATEMENT OF LT. GEN. ROGER A. BRADY, USAF, DEPUTY CHIEF OF
STAFF, MANPOWER AND PERSONNEL, UNITED STATES AIR FORCE

General Brady. Mr. Chairman, thank you for the opportunity
to be here today to talk with you about your Air Force.
Let me begin by thanking you and the committee for the
tremendous support you have provided for our airmen over many
years. The Air Force has been compelled to make difficult
decisions to optimize the dollars available in our budget. Our
need to recapitalize an aging fleet, coupled with a continued
high operations tempo, led to a lesser-of-evils decision to
manage the risk of significantly reducing our end strength.
While we're not totally comfortable with this drawdown, we
cannot compromise on recapitalization.
Our modernization effort remains critical to providing
combatant commanders with the warfighting capabilities required
to prevail in the operating domains of air, space, and
cyberspace.
The Air Force has been very successful in meeting the ever-
increasing demands of the global war on terror while also
transforming into a more agile and capable force. This success
can be attributed, in large measure, to our Air Force
expeditionary force rotation construct that operates on a 20-
month life cycle. Despite a very high operations tempo, through
the Air Expeditionary Force (AEF) construct we have met all
combatant commander requirements, maximized quality-of-life by
introducing predictability, integrated Air Reserve component
forces to meet requirements, and avoided the use of stop loss.
As the U.S. Army and U.S. Marine Corps plan for significant
increases to bolster combat capability, we should be aware that
there will be a commensurate requirement for an increase in Air
Force manpower to ensure the effectiveness of the
interdependent joint team.
Our air mobility units are intrinsically tied to supporting
ground forces with the mobility required to deploy and be
supplied anywhere in the world. Our weather teams, tactical air
controllers, and other forces are embedded with, or closely
tied to, ground forces. Your Air Force provides the full range
of air assets as part of the interdependent joint fight,
including special forces and intelligence, surveillance, and
reconnaissance assets.
Critically important since inception of the global war on
terrorism has been care of our wounded in action, seriously
injured, and ill airmen and their families. Palace HART, which
stands for Helping Airmen Recover Together, is our Air Force
program for taking care of wounded warriors. Immediately upon
learning of injury to an airman, a family liaison officer from
the airman's unit is assigned to the airman's family. This
airman maintains close contact with the family and helps them
with whatever they need, and serves as a personal contact to
ensure the family and the airman can access all the support
they need. This individual is the wingman who remains with the
airman and the family from initial notification to recovery.
Palace HART follows airmen and their families for up to 5 years
beyond separation from the service, to assist with extended
transition assistance, employment applications, civilian job
searches, financial planning and assistance, relocation, and
integration back into the civilian community.
Today's airmen are performing at the high standards that
have been our hallmark for as long as there have been American
airmen. Our airmen are fully prepared and engaged today, and we
must continue to invest in the tools they need to ensure
tomorrow's air space and cyberspace dominance. Your Air Force
has taken prudent actions to ensure we remain the most
respected air and space force in the world.
We appreciate your unfailing support for the men and women
of our Air Force, and I look forward to your questions.
[The prepared statement of General Brady follows:]

Prepared Statement by Lt. Gen. Roger A. Brady, USAF

INTRODUCTION

Mr. Chairman and distinguished committee members, thank you for the
opportunity to be here today. Our airmen have been continuously
deployed and globally engaged in combat missions for more than 16
straight years--since the first F-15 touched down in Saudi Arabia in
August 1990. Today, airmen are fully engaged in the interdependent
joint fight and stand prepared for rapid response and conflict across
the globe.
Our priorities are clear: winning the global war on terror and
preparing for the next war; developing and caring for our airmen to
maintain our competitive advantage; and modernizing and recapitalizing
our aircraft and equipment to meet 21st century challenges. We have
been involved in a critical recapitalization and modernization effort
for our aging air and space force. Budgetary pressures forced difficult
choices to ensure that the Air Force would maintain the right balance
across our personnel, infrastructure, readiness and investment
portfolios.
The Air Force undertook significant personnel reductions to
generate funds to reprogram toward systems recapitalization and
modernization, congruent with our three key mission priorities. While
this has been difficult, it has also provided the impetus for a hard
look at our business processes and organizational structure. At the
same time, we have placed equal emphasis on improving the education,
training, and care of our airmen.

FORCE SHAPING

When the Air Force began to develop a long-term force structure
plan, we started with divestment of legacy aircraft. While we have
achieved some success, significant investment gaps remain. Moreover,
the costs of personnel continue to rise. Personnel costs have increased
significantly in the past decade. In early 2006, budget guidance
directed additional end strength reductions over the FYDP. We
approached force shaping with two priorities. First, the reduction will
result in a balanced force. We will increase manning in stressed career
fields and expand opportunities for career development and training.
Second, we will optimize voluntary actions before implementing
involuntary reduction programs. Our goal is a lean, more capable, more
lethal Air Force, organized, trained, and equipped for our global,
expeditionary mission.
We tailored our personnel mix to the new security environment by
using a variety of force shaping tools across the personnel inventory.
We authorized implementation of annual Force Shaping Boards (FSBs) for
officers with less than 5 years of service. The fiscal year 2006 FSB
identified officers in overage career fields for separation while
balancing career fields and officer commissioned year groups. Prior to
the board, eligible officers were offered voluntary options to
transition to other forms of service in and out of the Air Force. The
Air Force also waived most Active Duty Service Commitments (ADSC) to
allow officers to separate early. In addition, the Air Force is
offering Voluntary Separation Pay to officers in overage career fields
who have 6 to 12 years of service. The expanded authority granted in
the National Defense Authorization Act for Fiscal Year 2007 gives us
additional flexibility which we appreciate. We also convened a
Selective Early Retirement Board to identify retirement-eligible
officers for early retirement. Again, our goal was to shape the force
by using a variety of tools across the officer force rather than have
only one segment bear the brunt of reduction activity.
To achieve the required reductions of enlisted airmen, the Air
Force instituted a date of separation rollback for personnel with
limitations on their assignment or enlistment eligibility. We also
offered a limited number of ADSC waivers for eligible members in
overage career fields. These initiatives to shape the enlisted force
join the tools already in place: Career Job Reservations, reduction in
accessions, and the Noncommissioned Officer Retraining Program.
These reductions are difficult but necessary to ensure the Air
Force maintains the right size and mix of forces to meet the fiscal and
global challenges of today and tomorrow.
Our Airman & Family Readiness Flights stand ready to assist our
airmen and their families with the transition back to the civilian
community. Preparation counseling provides information and referral for
benefits, services, and resources. Assistance includes individual
transition plans, Federal and private employment resources and
recruiting events, resume preparation, and electronic job searches. Our
partnership with the Departments of Labor and Veterans Affairs also
provide for seamless assistance for VA benefits claims, disability
assistance and state employment assistance.

PERSONNEL SERVICES DELIVERY

To achieve the Secretary of Defense's objective to shift resources
``from bureaucracy to battlefield,'' we are overhauling Air Force
personnel services. Our Total Force (Active Duty, Air Force Reserve,
Air National Guard, and Civilian) Personnel Services Delivery
initiative dramatically modernizes the processes, organizations and
technologies through which the Air Force supports our airmen and their
commanders.
Our goal is to deliver higher-quality personnel services with
greater access, speed, accuracy, reliability, and efficiency. The Air
Force plans to program the resulting manpower savings to other
compelling needs over the next 6 years. This initiative enhances our
ability to acquire, train, educate, deliver, employ, and empower airmen
with the needed skills, knowledge, and experience to accomplish Air
Force missions.

NATIONAL SECURITY PERSONNEL SYSTEM

Our civilian workforce is undergoing a significant transformation
with implementation of the DOD National Security Personnel System
(NSPS). NSPS is a simplified, more flexible civilian personnel
management system that improves the way we hire, assign, compensate,
and reward our civilian employees. This modern management system
enhances the Air Force's responsiveness to the national security
environment, preserves employee protections and benefits, and maintains
the core values of the civil service.
NSPS design and development has been a broad-based, participative
process that included employees, supervisors and managers, unions,
employee advocacy groups and various public interest groups. As of 18
March 2007, the Air Force has implemented the human resource and
performance management provisions for 38,918 eligible non-bargaining
unit employees.
NSPS is the most comprehensive new Federal personnel management
system in more than 50 years, and it's a key component in the DOD's
achievement of a performance-based, results-oriented Total Force.

RECRUITING

As we prepare for an uncertain future, we are transforming the
force to ensure we have the right sized and shaped force to meet
emerging global threats with joint and battle trained airmen. We are
becoming a smaller force, with a critical need for specific skills. We
recruit, train and educate our airmen for the complex, multinational,
and interagency operations of today, and with an eye on tomorrow.
Our recruiting force has met our recruiting mission through great
persistence and dedication. From 2001 through 2006, we had a recruiting
mission of 158,533 and accessed 160,603 for 101 percent of mission
accomplishment. For 2007, the active duty mission requirement is 27,800
and 6,486 new Airman have accessed up to this point with 12,122 waiting
to enter Basic Military Training (BMT). We're on track to meet our
goals. To date for fiscal year 2007, we've accessed 100 percent of our
active duty goal, and accessed 101 percent and 104 percent of our
Reserve and Guard accession goals, respectively.
Our Recruiting Service continues to find the right person, for the
right job, at the right time and this is ever evident in our most
critical warfighter skills. Recruiting Service has filled every
requirement for Combat Controller; Pararescue; Tactical Air Control
Party; Survival, Evasion, Resistance, and Escape; and Linguist since
2001. This has been accomplished through hard work and the significant
assistance of Congress. These individuals are offered an Initial
Enlistment Bonus (IEB) ranging from $3,000 to $12,000, depending on the
job and length of enlistment.
The majority of our officer programs have met with mission success,
but medical recruiting and retention remain a challenge. We are
exploring options such as accession bonuses and enhanced college loan
repayment programs, to better attract healthcare professionals.

RETENTION

In fiscal year 2007, we continued to manage and shape the force
across and within skill sets to meet Air Force needs. Maintaining
retention at acceptable levels through targeted retention programs such
as Critical Skills Retention Bonus, Selective Re-enlistment Bonus, IEB,
and Special and Incentive pays continues to be critical to this effort.
Force shaping ensured active duty end strength met our long-term
requirements. This effort is successful in no small measure because of
your budgetary support.
Active duty Air Force and ANG met their overall officer and
enlisted retention goals for fiscal year 2006. The Air Force Reserve
met its officer retention goal but fell slightly short of its enlisted
retention goal by 0.8 percent, attaining 99.2 percent of its goal. Even
with these successes, some enlisted specialties in the active Air Force
such as Air Traffic Control, Linguist, and Survival Evasion Resistance
and Escape, for example did not achieve their overall retention goal.
We will continue to offer these specialties a myriad of bonuses in
addition to enhanced promotion opportunity.
Our most critical warfighting skills require a special retention
focus to maintain combat capability due to critical manning and
increased operations tempo demands placed on career fields including
Pararescue, Combat Control, and Explosive Ordnance Disposal. Your
budgetary support for these retention programs is critical to
effectively manage the force and retain needed warfighting capability.
Critical Skills Retention Bonus programs are judiciously and
effectively targeted to provide the most return-on-investment in both
dollars and capability.
Our warfighting airmen are committed to serving, including those
experiencing high deployment rates. Combatant commander requirements
and the global war on terrorism place high demands on pilots,
intelligence, maintenance, civil engineers, and communication officers
as well as enlisted airmen in aerospace maintenance, supply,
transportation, munitions and weapons, fire protection, services, and
security forces. Despite an increased operations tempo and deployment
rate, retention statistics for these career fields mirror the Air Force
average. A key element for our overall success in retention is our
ability to continue to offer bonuses and incentives where we have
traditionally experienced shortfalls.

FORCE DEVELOPMENT

Spanning 6 decades of Air Force history, particularly over the past
16 years, our airmen have proven themselves as the global first
responders in times of crisis--taking action anytime, anywhere. The
foundation for this well-deserved reputation is the quality and
frequency of the training and education we provide. Our Air Force
training initiatives continue to evolve, improving our ability to
develop and retain the world's best air, space, and cyberspace
warriors--expeditionary, knowledge-enabled, ethical, and prepared for
the interdependent fight.
As part of our Air Force Transformation, we changed Air Force BMT
curriculum to stress an expeditionary mindset in all phases of
training, providing airmen with more expeditionary capability from day
one. These changes are the most significant in BMT history. The Air
Force basic training experience now mirrors the AEF cycle with
predeployment, deployment, and reconstitution phases. We emphasize
basic war skills and practical application throughout BMT. Finally, we
have added ``Airman's Time,'' mentoring sessions in which our veteran
instructors share their real world experiences, relate daily training
events to warrior and airmanship qualities, and reinforce the Core
Values expected of all airmen.
We are moving beyond traditional Air Force and joint warfighting
skills development. Our educational programs provide increased
opportunities for airmen to receive focused cultural and language
training, facilitating greater professional interaction, deeper
understanding, and more effective operations.
The expanded instruction includes cultural awareness, regional
affairs, and foreign language proficiency. All Air Force Academy cadets
and Reserve Officer Training Corps (ROTC) non-technical scholarship
cadets will be required to take language courses. Additionally, both
Academy and ROTC cadets have increased opportunities for Foreign
Language and Area Studies degrees and have expanded Cultural Immersion
and Foreign Exchange Programs. Our enlisted BMT also will provide
instruction on cultural sensitivity.
Once in the Air Force, each level of officer and enlisted
professional military education (PME) provides additional cultural/
regional instruction and some foreign language instruction, developing
leaders who can articulate U.S. policy and operate effectively in
foreign settings. Furthermore, we will increase Developmental
Educational opportunities for global skills, including overseas PME and
the Olmstead Scholars Program. We will then vector these airmen into
Political-Military Affairs or Regional Affairs Strategist career
tracks, maximizing America's return-on-investment.

CARING FOR AIRMEN

The Air Force is wisely shifting a portion of funding from manpower
and base operating support to address our critical recapitalization
requirements. However, we understand that to maintain combat capability
we must continue to balance our modernization of our weapons systems
with development of airmen who are ready, willing, and able to employ
them. To that end, we are finding innovative ways to transform our
community support services and programs while avoiding unnecessary
impacts to services delivered. One way we are transforming is through
the headquarters realignment of Air Force Services from Logistics to
Manpower and Personnel. This transition opens the door to increased
efficiencies and a more seamless approach to customer service. We
remain committed to ensure the needs of our airmen and their families
are met.
Taking care of our seriously wounded, injured, or ill airmen is a
top priority. We continue to expand the Air Force Survivor Assistance
and Palace HART Programs in an effort to provide the best possible
individual service to these airmen and their families. The heart of the
Survivor Assistance Program is the Family Liaison Officer (FLO) who is
assigned to each patient for the duration of their need. The FLO serves
as a single point of contact between the airmen and the numerous
helping agencies. Our FLOs provide a critical resource to deal with the
unfamiliar routine of the recovery process and prevents the Airman from
being lost in the bureaucracy.
Similarly, the Palace HART Program assigns a Community Readiness
Coordinator (CRC) when a servicemember casualty notification is made.
The CRC works closely with the FLO to ensure the combat related injured
or ill servicemember and their family receives complete information and
entitlements. Later, if the member is not returned to active duty, the
Palace HART Program assists with Federal employment, entitlements and
benefits information, financial resources, family support, and more.
The member is tracked monthly for 5 years after separation or
retirement.
Our Fit to Fight program and food service operations are
cornerstones of combat capability. Airmen who are well-fed and
physically fit are healthier, think more clearly, handle more stress,
and are better able to complete the mission despite reduced sleep and
extended hours. This translates directly to increased combat capability
from our most important weapon system--our people.
We are also focused on providing quality, available and affordable
child and youth development programs to airmen and their families
through an extensive system of programs and services both on and off
the installations. A recent national study highlighted the DOD child
care program as leading the Nation in quality standards and effective
oversight. We are proud of the Air Force's contribution to this program
and believe that our child care program is a critical factor in helping
airmen remain focused on the mission.
Our Airman and Family Readiness professionals are helping airmen
and their families adapt to the realities of life in an Expeditionary
Air Force. They do this through personal and family readiness
counseling, personal financial management, Air Force Aid assistance,
spouse career planning, and transition and relocation assistance.
Experts in the Equal Opportunity and Sexual Assault Prevention and
Response arenas help every airman exercise positive and productive
interpersonal relationships, in both professional and personal
interactions. The Air Force is a family, and our clubs and recreation
programs foster and strengthen those community bonds, and promote high
morale and an esprit de corps vital to all our endeavors.
Additionally, we are equally committed to ensuring that all airmen
are well trained and provided with modern, safe and efficient equipment
and facilities to complete their mission. We provide life-sustaining
support, such as food service and lodging, to our troops in the field
and essential community programs to our airmen and their families back
home. Through innovative systems and programs and the hard work of our
dedicated personnel we continue to provide critical mission capability
for our commanders and vital support for our members and their
families.

CONCLUSION

Today's airmen are performing at the high standards that have been
our hallmark for as long as there have been American airmen. Our airmen
are fully prepared and engaged today, and we must continue to invest to
ensure tomorrow's air, space, and cyberspace dominance. We have taken
prudent actions to ensure your Air Force remains the most respected air
and space force in the world.
We appreciate your unfailing support to the men and women of our
Air Force, and I look forward to your questions.

Senator Ben Nelson. Thank you, General.
General Rochelle, what is the Army's actual end strength
today?
General Rochelle. The Army's actual end strength today,
sir, is 507,000.
Senator Ben Nelson. Can we reach 518,000 by the end of this
fiscal year?
General Rochelle. Sir, we can reach 518,000, and we plan to
reach 518,000, by the end of this fiscal year.
Senator Ben Nelson. If we scale down the presence in Iraq
in the next year, I think, as the American people expect, would
you believe that 547,000 will be the right number for our end
strength at that time?
General Rochelle. Sir, I wish I could predict the future
that accurately, but I'm afraid I cannot. My commitment is to
get us to 547,400, and then see where we are strategically, see
where our Nation stands with respect to the global war on
terror, and then take it from there.
Senator Ben Nelson. With respect to the recruiting goals,
as of January 2007, the Army's end strength is about 502,000,
going to 518,000, but how can the Army increase its end
strength by 7,000 per year without increasing the recruiting
goal?
General Rochelle. I'm glad you asked that question, Mr.
Chairman. It's a combination of three things.
Senator Ben Nelson. Okay.
General Rochelle. First of all, what we anticipate to be
very successful in recruiting, above the 80,000 regular-Army
mission that U.S. Army Recruiting Command has; second,
extraordinarily successful retention rates, and most
especially, those retention rates are highest across our
deployed and recently deployed forces; and third,
extraordinarily successful--success in lowering attrition in
initial-entry training, down from 2004, about 18.4 percent, to
7 percent today.
Senator Ben Nelson. I heard you say that you're not
lowering your standards. Several colleagues have raised
questions about whether or not that is the case--raising
questions, in the sense of saying, ``I hope that in changing
the admission requirements, it doesn't actually lower the
standards.'' Can you assure me and my colleagues that we're not
dumbing-down just to try to make the goals?
General Rochelle. Sir, one can make a case, depending upon
your point of departure. I had the good fortune of commanding
U.S. Army Recruiting Command in 2004, when, based upon market
conditions, based upon unemployment rates, based upon how close
we were at that point to September 11, if you will, it was easy
to bring our quality marks extraordinarily high. We are in a
different climate today. Admiral Harvey spoke to it quite well.
Propensity is declining.
Now, let me go back to the point of departure. The point of
departure should be from DOD standards with respect to high-
school-degree completion rates, I to IIIA upper-middle category
rates, and Category IV rates. We will meet all of those, as I
said in my oral statement.
Senator Ben Nelson. Okay, thank you.
General Rochelle. Yes, sir.
Senator Ben Nelson. Continuing, General Rochelle, Secretary
Gates ordered the Services to report to him, by the end of
February, their plan for--I think his word was ``minimizing''
the use of stop loss. Does the Army have a plan to minimize its
use of stop loss? Can you tell me where we are in that process
right now?
General Rochelle. Sir, we have submitted a proposal to the
Office of the Secretary of Defense laying out our plan to
minimize stop loss. There is no mandate to eliminate stop loss.
I'd like to make that a matter of the record nor is there a
mandate, as I said. But we have submitted that plan to the
Secretary of Defense. It includes many things, such as
attempting to ensure that we are not assigning individuals to a
unit that is in the ready phase. Mr. Chairman, that becomes a
challenge, however, given the fact that we are now accelerating
many of our units. But those are the types of things that we
are proposing.
Senator Ben Nelson. All right.
General Rochelle. We believe we can minimized stop loss.
Senator Ben Nelson. What would ``minimize'' consist of?
Using it less, for a shorter period of time? Or what does
``minimizing'' consist of?
General Rochelle. Excellent question, Mr. Chairman. Let me
give you my definition.
At any given time between our Active component and our
Reserve component, both elements of the Reserve component, the
Army has roughly 10,000 soldiers who are stop-lossed; 7,000 of
those are Active, 3,000 are Reserve and National Guard.
``Minimizing,'' in my definition, means that we reduce those
numbers across both components, to the optimum levels possible.
Senator Ben Nelson. Okay. Thank you.
General Rochelle. Yes, sir.
Senator Ben Nelson. Admiral Harvey and General Brady, as
you are reducing your end strength, are you of the opinion that
you're not reducing or drawing down too fast?
General Brady?
General Brady. I think that our drawdown plan has been
driven, in large measure, by our need to recapitalize a
rapidly-aging fleet. We have accelerated our drawdown to
accommodate that reality. What we have done is to make sure
that, as we draw down, we are focusing on retaining those
skills in the appropriate numbers to make sure that we support
the Air Expeditionary Force. In other words, the support of the
warfighter forward is our primary responsibility, and we've not
compromised any in that regard, nor in the training of the
people that are going forward to do that. So, as I mentioned in
my oral statement, this is a challenge, and we shouldn't fool
ourselves. We think we are managing some risk in doing this.
But it is the budgetary situation that we find ourselves in.
Senator Ben Nelson. But you do believe you're managing the
risk that this presents.
General Brady. Yes, sir, we do.
Senator Ben Nelson. Admiral Harvey, the same question.
Admiral Harvey. Yes, sir. We started down this road about 4
years ago. To the point you made in your statement about the
war being with us for 4 years, at that time we had five carrier
battle groups forward deployed, with a sixth coming out the
gate, 80,000 sailors deployed to support the opening stages,
the opening first months of Operation Iraqi Freedom. We had
300,000 sailors ashore in that force, about 385,000 total.
Today, we have 342,000 on the Active component. We have five
carrier battle groups underway, three forward-deployed, two in
training. We have the requisite number of sailors ashore to do
the work ashore. So, the drawdown has been carefully mapped
out, and we've followed that path pretty religiously for the
last 4 years. It's focused first on the work. What is it we
have to do? We now have the BRAC's infrastructure is known. We
have a fleet target of about 313 ships, about 3,800 tactical
aircraft, so we know the operational structure we have to
maintain, and we have our revolution in training that we've
been working through for 4 years that significantly reduced the
amount of support structure, support sailors we had to have to
sustain the combat capability we are deploying.
So, sir, we'll never be comfortable, but I am confident
that I can look you and our sailors in the eye and say we are
proceeding with dispatch, but we are also proceeding carefully.
We measure this out before we go. We know where we're going.
We're confident we're going to reach our end state of about
322,000 sailors and still be able to deliver the combat
capability this Nation demands, and give our sailors a quality
of service that they deserve.
Senator Ben Nelson. Managing the risk is what this is going
to be about, and I wish you well, and I certainly am hopeful
that you'll be able to do so, because we have so much depending
on it.
Admiral Harvey. Yes, sir.
Senator Ben Nelson. General Rochelle and General Coleman,
we're concerned about the continuing reports of sexual assault
on our servicemembers, especially those who were assaulted by
fellow servicemembers while deployed. The victims of sexual
assault frequently suffer long-term effects, including PTSD
from the assault. An article in the March 18, 2007, New York
Times magazine describes the impact of sexual assaults in
service and combat zones on female servicemembers. Are the Army
and Marine Corps aware of these sexual assaults occurring in
the combat zones, as I'm sure you are, but at the level that
they seem to be occurring? Are you aware of the many reports
made by the female servicemembers stating that they suffer from
PTSD as a result? Finally, what is being done to help stop the
sexual assaults, to the extent it's possible to reduce them,
and to help female servicemembers who have been victims of such
sexual assaults?
I'll start with you, General Coleman. Give General Rochelle
a break here for a little bit.
General Coleman. Yes, sir. Thank you, sir. Unfortunately,
the numbers are up. I would venture to say that part of the
reason is because we have encouraged our marines to come
forward. I would say the good news is that they are coming
forward. The bad news is that they're coming forward, because
one sexual harassment case is one too many. We are holding our
servicemembers accountable for every case that is
substantiated, and we will continue to do all that we can to
ensure that it does not happen again.
Senator Ben Nelson. Without being naive, is additional
training one of the ways to at least curb or reduce the number
of assaults?
General Coleman. Yes, sir, that's absolutely right. We are
training. I just think that you could never train too much in
those instances. I'm a father with five daughters. I don't
think that you could ever justify a sexual assault or sexual
harassment. But I can tell you, your Marine Corps is doing all
that they can to continue training and also continue to
encourage victims to come forward.
Senator Ben Nelson. General?
General Rochelle. Chairman Nelson, the Army is absolutely
committed to making sure that we do not only everything we can
to prevent sexual assault and sexual harassment, but, equally,
that we are providing victims of sexual assault with every
remedy possible to make them whole.
You mentioned training, and I think that's where the Army
is perhaps in the forefront. I make no comparison to my sister
Services and my brothers sitting here. But we have recently
prepared a very, very good training video, the opening comments
of which are given by our Vice Chief of Staff of the Army,
General Dick Cody, and the closing comments are given by the
Sergeant Major of the Army, Sergeant Major Kenneth Preston,
that is going to be incorporated in our existing training
vehicles that will be Army-wide, and we are integrating those
with a review of all of our sexual harassment and sexual
assault training vehicles and tools.
Senator Ben Nelson. Are you pursuing vigorously reporting
and prosecution, wherever appropriate?
General Rochelle. Sir, we are. We are investigating with
our Criminal Investigation Division all unrestricted reports.
Those are reports that go into our criminal systems and come up
through command channels. I'm pleased to say that the
restricted reporting procedure that went into effect in 2005
appears to have given not only greater awareness, which is what
General Coleman spoke to--greater awareness to what sexual
assault is, what it looks like, and certainly what sexual
harassment looks like.
General Coleman. Sir, if I could add, in every case in the
Marine Corps where a case of sexual assault was substantiated,
disciplinary action was taken; and, most frequently, courts-
martial.
Senator Ben Nelson. What about follow-up care to the victim
of such assaults? Is that being pursued, as well?
General Rochelle. Sir, it is, to include counseling, as
well as, obviously, any physiological care that's required,
but, most especially, counseling, and by case managers, a
little bit like we--the case-manager model that we use for our
wounded warriors, that is being provided, as well.
General Coleman. Same thing, sir.
Senator Ben Nelson. Same?
General Coleman. We do have follow-up.
Senator Ben Nelson. I have a few other questions, but I
think we could submit them for the record.
Is there anything else that you'd like to tell the
subcommittee on the record regarding preparation or other
requirements that you might think that we should be
considering?
General Rochelle. Mr. Chairman, I'd like to take an
opportunity, since you've opened the floor--and I appreciate
it. First of all, I'd just simply like to say, for the record,
that the Army is doing everything possible we can do to make
our wounded warriors whole, in every sense of the word. The
earlier panel, you addressed some questions to those
distinguished gentlemen regarding the Medical Evaluation Board
(MEB), Physical Evaluation Board (PEB)--I wish to assure you, I
wish to assure our soldiers, family members, and the American
people that we are absolutely committed, through compassion for
our soldiers, we value what they bring to the table for the
American people, and we certainly respect their sacrifices. As
General Cody has said, as the Chief of Staff of the Army has
said, as Acting Secretary of the Army Pete Geren has said, we
will get this right. We're committed to doing that. Thank you.
Senator Ben Nelson. Thank you, General.
Any other comments?
Admiral Harvey. Yes, sir. Just two points, sir, now that
you've offered the opportunity. I would just ask that we
continue to receive not only the support of this committee, but
also the support, wherever we can, for the concept of service.
This is an All-Volunteer Force, an All-Recruited Force. The
propensity to enlist, in every demographic group in this
Nation, has never been lower since we started measuring that
propensity. The propensity of those who influence these young
men and women to consider military service has also never been
lower. It is a daunting situation that we face each day, and,
certainly in my own part, the first thing I think about in the
morning when I get going is recruiting, and it's the last thing
I think about in the night when we're done. So, it is a very,
very difficult environment we're in, and we're going to need
the support, not just of this Congress, sir, but we need the
understanding of this Nation for what an All-Volunteer Force is
about, and what it takes to sustain that force.
On one smaller point, sir, I know we're going to go into
great detail on the processes that you mentioned in the earlier
panel about MEBs, PEBs. As we go through that and seek to
streamline, make it easier for the individual who is faced with
that process to navigate that process and get to the right
result, we can get it fast, and we can get it wrong. The
existing process provides an awful lot of opportunities for
each sailor to contest a finding at every point along the way.
As we seek to gain efficiency, I don't want to place at risk
that ability for every step in that tough process sometimes--
that our sailors can stand up and say, ``No, I disagree,'' and
we provide that individual counsel and counseling in how to
make that disagreement public. So, those rights need to be
protected as we seek to make this process smoother and more
efficient overall, sir.
Senator Ben Nelson. I would agree.
General Coleman. Sir, I'd like to jump on the bandwagon of
the recruiting. As the Army and the Marine Corps increase in
strength--and the four of us are all--our Services are all
after the same great young men and women--it's important that
all folks know that it's a noble thing to serve your country.
So, if we could continue to have your support in that line, I'd
certainly appreciate it.
Then there's nothing more important than the ability of
Congress to provide the funds available to ensure that our men
and women have the right equipment at the right time at the
right place. If we can continue that, that's all we can ask,
sir.
Thank you, sir.
Senator Ben Nelson. Thank you, General. There's no question
but that preparation, training, and equipping the men and women
that we ask to serve has to be one of the highest priorities
that this committee can ever consider.
General Brady. Sir, two quick points, and it gets to care
of wounded. We don't have as many wounded as the ground forces
have, but we do have what we consider a significant number. We
are aware also that despite our best efforts, there will be a
horror story out there, and we are proactively looking for that
horror story. We are having our own audit agency look at our
process, in terms of MEBs, PEBs, to make sure that we're doing
that in the best interest of the servicemember.
I'd like to also make a final statement that picks up on
the point you just made, and that is--we talk a lot about
quality-of-life, and that's important, but an important aspect
of quality-of-life is making sure that our soldiers, sailors,
airmen, marines, and coastguardsmen have the equipment and the
training that allows them to prevail in the battlespace. That
means the best equipment we can give them. So, recapitalization
and providing equipment cannot be overstated.
Senator Ben Nelson. Thank you very much, all of you, and to
all the men and women that you're recruiting and all those who
are serving abroad and at home, we appreciate very much that
service. As important as compensation and all the things that
you have to deal with in order to attract the right men and
women to join the Services, there is nothing more important
than patriotism. What we really have to do is continue to
encourage people to think of what public service is, but also
what serving their country is, when it comes to the military.
So, I thank you for what you're doing, and I wish you the best
of luck. We're all counting on you to be able to make the
military as strong as it can possibly be, with the right men
and women.
Thank you. We are adjourned.
[Questions for the record with answers supplied follow:]

Questions Submitted by Senator Claire McCaskill

PATIENT FEEDBACK

1. Senator McCaskill. Dr. Jones, the ability to freely transfer
medical records between the Veterans Affairs (VA) and the Department of
Defense (DOD) has been a long sought after capability. However, while
the DOD and the VA have developed systems for electronic medical
recordkeeping, the ability to share medical records has defied the two
agencies. When do you think the capability to share electronic medical
records will be achieved?
Dr. Jones. In fact, the DOD and the VA share a significant amount
of health information today. Beginning our electronic sharing in 2002,
the Departments constantly seek to expand the scope of our
capabilities. By the end of 2007, DOD will be sharing electronically
with VA nearly every health record data element identified in our VA/
DOD Joint Strategic Plan (JSP) for health information transfer. By
2008, we will be sharing the remaining health record data elements
identified in the VA/DOD JSP.
Currently shared electronic medical record data:
Inpatient and outpatient laboratory and radiology results,
allergy data, outpatient pharmacy data, and demographic data
are viewable by DOD and VA providers on shared patients through
Bidirectional Health Information Exchange (BHIE) from 15 DOD
medical centers, 18 hospitals, and over 190 clinics and all VA
facilities.
Digital radiology images are being electronically transmitted
from Walter Reed Army Medical Center (WRAMC) and National Naval
Medical Center (NNMC) Bethesda to the Tampa and Richmond VA
Polytrauma Centers for inpatients being transferred there for
care.
Electronic transmission of scanned medical records on
severely injured patients transferred as inpatients from WRAMC
to the Tampa and Richmond VA Polytrauma Centers.
Pre- and Post-deployment Health Assessments (PDHAs) and Post
Deployment Health Reassessments (PDHRAs) for separated
servicemembers and demobilized Reserve and National Guard
members who have deployed.
When a servicemember ends their term in service, DOD
transmits to VA laboratory results, radiology results,
outpatient pharmacy data, allergy information, consult reports,
admission, disposition and transfer information, elements of
the standard ambulatory data record, and demographic data.
Discharge Summaries from 5 of the 13 DOD medical centers and
hospitals using the Clinical Information System (CIS) to
document inpatient care are available to VA on shared patients.
Enhancement plans for 2007:
Expanding the digital radiology image transfer capability to
include images from WRAMC, NNMC, and Brooke Army Medical Center
(BAMC) to all four VA Polytrauma Centers.
Expanding the electronic transmission of scanned medical
records on severely injured patients from WRAMC, NNMC, and BAMC
to all four VA Polytrauma Centers.
Making available discharge summaries, operative reports,
inpatient consults, and histories and physicals for viewing by
all DOD and VA providers from inpatient data at all 13 DOD
medical centers and hospitals using CIS.
Expanding BHIE to include all DOD facilities.
Making available encounters/clinical notes, procedures, and
problem lists to DOD and VA providers through BHIE.
Making available theater outpatient encounters, inpatient and
outpatient laboratory and radiology results, pharmacy data,
inpatient encounters to include clinical notes, discharge
summaries, and operative reports to all DOD and VA providers
via BHIE.
Beginning collaboration efforts on a DOD and VA joint
solution for documentation of inpatient care.
Enhancement plans for 2008:
Making available vital sign data, family history, social
history, other history, and questionnaires/forms to DOD and VA
providers through BHIE.
At Landstuhl Regional Medical Center, Germany, making
available discharge summaries, operative reports, inpatient
consults, and histories and physicals to VA on shared patients.

2. Senator McCaskill. Dr. Jones, what are the major obstacles, what
resources do you need to accomplish this goal, and do you have them?
Dr. Jones. Our current and planned sharing initiatives described in
our answer to your first question are funded with one exception. We
mentioned that we are beginning collaboration efforts on a DOD and VA
joint solution for documentation of inpatient care. A comprehensive
electronic health record (EHR) to include inpatient care is DOD's goal;
however, the first priority for Armed Forces Health Longitudinal
Technology Application, the DOD EHR, was to address ambulatory care. VA
is embarking on a modernization of its EHR to include the inpatient
component.
Since each Department was planning a new inpatient electronic
record acquisition or modernization, DOD and VA have initiated this
joint assessment project. We anticipate a contract award to a study
support contractor in May 2007. A 6-month study will produce an initial
recommendation on the feasibility of a joint acquisition/development
strategy for an inpatient EHR. The Departments will then pursue follow-
on activities to evaluate alternatives for funding and for selecting a
technical solution over a subsequent 6-month period.

3. Senator McCaskill. Dr. Jones, a recent New York Times article
highlighted the challenges faced by women veterans in the wake of
combat service. What programs exist within DOD to address the unique
treatment requirements, especially in psychological treatment fields,
of women soldiers?
Dr. Jones. The following DOD programs address the unique deployment
health concerns for all servicemembers. One must note that Post-
Traumatic Stress Disorder (PTSD) and sexual assault are not gender
specific and affect both male and female servicemembers.

The PDHA is a screening program during in-theater medical
out-processing or within 30 days after returning to home
station. The purpose of this screening is to review each
servicemember's current health, mental health, or psychosocial
issues commonly associated with deployments, special
medications taken during deployment, possible deployment-
related occupational/environmental exposures, and to discuss
deployment-related health concerns. Positive responses require
further assessment and/or referrals for medical consultation
and information on other resources available to help resolve
any post-deployment issues.
The Post-deployment Health Reassessment (PDHRA) program is
designed to identify and address health concerns, with specific
emphasis on mental health, that have emerged over time since
deployment. The PDHRA provides for a second health assessment
during the 3- to 6-month time period after return from
deployment. The PDHRA is offered to all servicemembers who have
returned from operational deployment, including all Active
Duty, National Guard, and Reserve members, as well as those who
have separated or retired since their return from deployment.
The DOD Sexual Assault Prevention and Response Program is
designed to prevent and eliminate sexual assault within the
Department by providing comprehensive procedures to better
establish a culture of prevention, response, and accountability
that enhances the safety and well-being of all DOD members.
DOD established protocol to ensure a consistent level of care
and support for victims of sexual assault, and implemented a
fundamental change in how the Department responds to sexual
assault by instituting the option of confidential reporting for
victims of sexual assault. With a restricted reporting option,
the sexual assault victim can confidentially disclose the
details of the assault to specified individuals and receive
medical treatment, mental health/counseling, and advocacy
without automatically triggering the official investigative
process. Restricted reporting also provides victims the time,
care, and empowerment to consider changing to unrestricted
reporting and pursuing an investigation at a later date.
Regardless of which type of reporting is chosen, medical
services offered to victims of sexual assault include the
ability to elect a Sexual Assault Forensic Examination (SAFE)
in addition to the general medical management related to sexual
assault response. Case Management services are provided for
victims choosing unrestricted reporting, to include
coordination with the victim advocate, military criminal
investigator, military law enforcement, health care provider
and mental health/counseling services, chaplain, command legal
representative or staff judge advocate, and the victim's
commander. The team carefully considers and implements
immediate, short-term, and long-term measures to help
facilitate and assure the victim's well-being and recovery from
the sexual assault.

4. Senator McCaskill. Dr. Jones, do you think the Department has
dedicated sufficient treatment and research resources to women soldiers
in the wake of their particularized needs following combat service?
What more do you think we should be doing?
Dr. Jones. PDHA screening and the PDHRA Program reaches all
servicemembers regardless of gender. Health care issues that are
identified through screening are assessed and referrals for appropriate
care are initiated. Data from the PDHA and PDHRA are sent to the Army
Medical Surveillance Activity for inclusion in the Defense Medical
Surveillance System. Force health data, service data, and gender-
specific health data, both in-theater and in-garrison, are examined and
compared.
There are a number of research projects that have been completed or
are currently in progress that address force health protection and
readiness deployment issues. Research programs in this area are to
safeguard the health of servicemembers before, during, and after
deployment. PTSD is a major area of focus, with several studies looking
at both men and women veterans. One study investigates cognitive-
behavioral treatment for PTSD in women; however, most studies are not
gender specific.
The Defense Advisory Committee on Women in the Services is
currently conducting focus group research looking at women's health
care in Operation Iraqi Freedom (OIF)/Operation Enduring Freedom (OEF).
Research findings and recommendations for women's health care in-
theater will be provided to the Under Secretary of Defense for
Personnel and Readiness at the completion of the study.
In June 2006, the DOD Sexual Assault Prevention and Response
Program was revised to provide victims with the option of restricted or
unrestricted reporting. The restricted report allows the victim to
obtain medical services and counseling and the collection of forensic
evidence without disclosure to law enforcement or the chain of command.
Victims who come forward and report, either by restricted or
unrestricted reporting, can access medical and other services needed
for treatment and recovery. Across DOD, sexual assault response
coordinators and victim advocates were hired and trained, and are
available at all locations, including deployed areas. Resources are
available for reporting and treatment of sexual assault victims, when
they are reported.

5. Senator McCaskill. Dr. Jones, I recently proposed an amendment
to the Fiscal Year 2007 Wartime Supplemental Appropriations Bill that
would have required a study on the mental health care and readjustment
needs of servicemembers returning from service in Iraq and Afghanistan.
This study was to be conducted by the National Academy of Sciences and
was to be modeled on the landmark 1983 National Vietnam Veterans
Readjustment Study, a study that was not conducted until 15 years after
the height of the Vietnam conflict.
Can you tell me whether you think sufficient research resources are
being dedicated to studying the landmark injuries of these wars, such
as PTSD and Traumatic Brain Injury (TBI)?
Dr. Jones. Both the DOD and the VA are focused on OEF/OIF
servicemembers and veterans and their health issues, as well as health
outcomes. In DOD, we conduct health assessments as servicemembers leave
the theater of operations and 3 to 6 months after they return home.
These health assessments are scrutinized for the symptoms or concerns
that may be related to the deployment. Physical health issues such as
TBI and mental health issues such as PTSD are at the top of the list of
concerns. We are not only interested in determining if symptoms are
present, but also in determining the functional capabilities of each
individual. If further medical evaluation or treatment is recommended,
we work to track and determine health outcomes, such as return to duty
or medical retirement/separation. We share with VA the names and social
security numbers of the OEF/OIF veterans who leave Active Duty,
including those who return to National Guard or Reserve status. VA
notifies these individuals of their earned VA benefits, advises of the
availability of 2 years of VA medical care for issues that may be
related to their deployment, and tracks their use of VA medical
services.
The VA and DOD are coordinating on how to design or develop better
systems, including research initiatives by experts in and out of the
Federal Government to continue to monitor and enhance health outcomes
for these OEF/OIF servicemembers.

6. Senator McCaskill. Dr. Jones, have we sufficiently empowered
scientifically based, independent research agencies to conduct this
research?
Dr. Jones. The DOD has an aggressive research program, including
many initiatives in the Peer Review Medical Research Program, and we
actively solicit the assistance of the National Institutes of Health to
assist our research efforts.

7. Senator McCaskill. Dr. Jones, do you believe now is the time to
embark on a broad, landmark study of reintegration and mental health
treatment for our returning combat veterans?
Dr. Jones. Any executable research premise must be validated by a
scientific process. Today, some 800,000 OEF/OIF veterans have left
Active Duty after returning from theater and returned to the civilian
world. Over half of those individuals continue to be members of the
National Guard or Reserves. Some 500,000 Active Duty servicemembers
have deployed to OEF/OIF at least once and returned to their duty
stations.
To study the reintegration of these individuals would require the
development of measurable criteria for successful versus unsuccessful
reintegration, the willingness of these individuals to participate in
such a study, defining a comparison population, and then a many year or
decades long study to reach a conclusion. Locating and contacting those
individuals who are no longer on Active Duty may be problematic.
A study on mental health treatment would require developing a
definition of ``mental health treatment,'' building a centralized list
of individuals who are getting ``mental health treatment,'' and looking
at medical outcomes. Other considerations include the protection of
personal health information and potential concerns about being included
on such a national list. In our society, the majority of ``mental
health treatments'' is given in primary care, not necessarily by mental
health providers. Other related support is provided by clergy, online
resources, and telephone help centers.
The 2005 RAND Corporation study, ``How Deployments Affect
Servicemembers'', produced specific recommendations regarding family
support, communications, stress management, mental health care,
adaptive training, less ambiguity in deployment dates, and compensation
adjustments that may mitigate some adverse effects of combat
deployments, and facilitate reintegration of combat veterans.
The ongoing Millennium Cohort Study will also contribute vital
information about the long-term effects of military and combat service,
with recurring assessments of the cohort through 2022.

8. Senator McCaskill. Dr. Jones, in my review of the recent scandal
at WRAMC and within military health care, I was particularly disturbed
by the lack of empowerment of many military health care patients.
Negative feedback appeared to be insufficiently solicited and, even
more troubling, often ignored or dismissed. Knowing that patient
feedback is critical to monitoring the successes and failures in a
treatment system, has the Department considered enacting a Department-
wide patient feedback system that will both provide important feedback
to providers but also permit grading of various military medical
treatment facilities on successes and failures across uniform areas of
evaluation?
Dr. Jones. The Military Health System has long used surveys to
solicit feedback from its patient population. We are developing new
surveys to specifically study the care of our wounded warriors. The
Wounded Warrior Telephone Survey will be in the field in early May
2007. The purpose of the survey is to provide quick, ``pulse''
information to identify the health care and transitional experiences of
servicemembers and their families, post operational deployment. The
survey results are expected in late June 2007. Additionally, we are
developing a comprehensive mail/Web-based survey to gather more
detailed information from our wounded warriors. This survey will be in
the field in July 2007. The mail/Web-based survey results are expected
in early September 2007.

9. Senator McCaskill. Dr. Jones, if patient satisfaction surveys
are used within DOD hospitals, to what extent are they used, to what
extent are they uniform, and how have you used these surveys in making
management decisions?
Dr. Jones. Patient satisfaction surveys are performed on an ongoing
basis by both the TRICARE Management Activity (TMA) and the Services,
with management decisions made at the Service and TRICARE Regional
Office level. Customer (patient) satisfaction is one of the top line
measures in our Balanced Score Card that is reviewed quarterly by
senior leadership. TMA conducts patient satisfaction surveys, to
include the Health Care Survey of DOD Beneficiaries, the TRICARE
Inpatient (Obstetric, Medical, and Surgical) Satisfaction Survey, and
the TRICARE Outpatient Satisfaction Survey in Military Treatment
Facilities (MTFs) and the network. The Services currently conduct
numerous surveys, to include the provider level satisfaction survey in
MTFs.

RECRUITING IMPROPRIETIES

10. Senator McCaskill. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, I
have previously questioned General Casey, the nominee to be Chief of
Staff of the U.S. Army, about improprieties conducted by recruiters.
Specifically, I was concerned about misrepresentations made by
recruiters to potential recruits about what the nature of the recruits'
potential service would be--whether it be the dangers they will be
exposed to, the potential for overseas deployment, the job they will
receive, or otherwise. Can you please clarify what your Service is
doing to ensure that the information provided to potential recruits is
accurate and truthful?
General Rochelle. Trust is the bedrock of Army culture and a
fundamental characteristic of the Warrior Ethos. Leaders and soldiers
throughout our Army share your concern regarding the cases of improper
misrepresentation of the risks associated with answering our Nation's
call to duty during this time of sustained conflict, regardless of how
few they may be. The Army will not tolerate such behavior from our
recruiters, has made this point known to all, and commanders will take
the appropriate actions to punish those who willfully violate the
sacred trust placed in us by the American public. We fully understand
that volunteering to serve in the Army is a person's commitment to
defending this Nation and believe that each person must be made aware
of both the benefits and risks that this commitment entails.
Admiral Harvey. Navy leadership shares your concerns about
recruiter improprieties and their impact on the public trust. Recruiter
ethics and the assurance that accurate enlistment information is
provided to every Navy applicant are clearly defined in Navy
instructions, which guide the actions of our recruiting personnel. This
includes, but is not limited to, recruiting ethics and providing
enlistment information regarding military service obligation,
enlistment programs, incentives, and Navy life.
General Coleman. Our recruiters receive extensive training
concerning ethics and representing the Marine Corps truthfully. Our
Service has always had a reputation for deployments into harms way.
Therefore, we do not see this type of misrepresentation as an issue for
the Marine Corps. We do understand that misunderstandings can occur and
occasionally recruiter misconduct occurs. However, this is the
exception and not commonplace.
General Brady. Air Force Recruiting Service has a zero-tolerance
policy and will not accept any recruiter purposefully misleading an
applicant. Potential recruits are provided in writing information
pertaining to the recruiting process and a contract confirming their
selected job choice.
Every potential recruit is briefed on the job selection process and
is guaranteed either a specific job or general job area based on their
qualifications. Before being assigned a job or general area the recruit
must confirm and sign for the job offered, even if it is on their list
of choices. In addition, we have applicants read and sign a statement
confirming they understand that we are an expeditionary force, that
overseas deployment is likely, and that they have the potential of
deploying as part of an Army unit.
Through initial and recurring training, our recruiters are trained
on appropriate recruiting procedures and are consistently reminded of
how purposely providing misinformation risks morale, good order and
discipline, and unit cohesion, as well as damage Air Force image. While
the percentage of recruiters actually found to have purposely passed on
misleading information is negligible, once found, they have been
administratively disciplined, removed from position or, in extreme
cases, court-martialed.
Air Force recruiting policies and procedures are continuously
reviewed to ensure our airmen uphold the highest moral and ethical
standards. We believe our current procedures deter recruiters from
providing inaccurate information and encourage them to provide accurate
and truthful information to potential recruits.

11. Senator McCaskill. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, a
recruiting battalion in the U.S. Army has decided, on a pilot basis, to
place cameras in their recruiting stations. While I understand that
much recruiting takes place away from the recruiting station, this
endeavor strikes me as beneficial in multiple ways. For example, it
protects recruiters from any potential violence that might be directed
at them by those who might make the military a target in light of
ongoing world events. Further, it protects potential recruits who will
know that the conduct of the recruiter in their presence will be
recorded and should there be an impropriety, it will be documented. The
camera, in this sense, will also serve as a deterrent. Can you discuss
whether you think this is a valuable idea and whether it might be worth
considering expanding the pilot and/or the practice? What would the
costs be to enact such a measure?
General Rochelle. The United States Army Recruiting Command will
conduct a Security Camera Surveillance Pilot Program in its New York
City Battalion and expects to have security cameras installed in 38 of
the battalion's stations by the end of May 2007. In high-crime incident
areas, the employment of security cameras is a prudent practice;
however, the security situation across the command does not warrant the
universal installation of security cameras. In fiscal year 2006, the
Army experienced less than 30 cases of vandalism/theft at its
approximately 1,700 recruiting stations, nationwide. In light of this
relative low-incident rate, the $5 million cost to install security
cameras in all recruiting stations would exhibit poor stewardship of
the funds the American people entrust to us for the defense of the
Nation. As you have stated in your question, recruiting activities for
the most part occur away from the station and the minimal deterrent
effect that cameras will have on recruiting impropriety does not merit
the cost of the program. Furthermore, the limited assistance cameras
will provide leaders in identifying recruiting improprieties will pale
in comparison to the loss of trust that we will experience from our
subordinates. Technology will never be able to serve as a surrogate for
the Army values of Loyalty, Duty, Respect, Honor, or Integrity nor can
it replace the benefits of effective leadership.
Admiral Harvey. While there may be many advantages to installing
cameras in recruiting stations, much of the recruiting process and
associated dialogue occurs away from the station. Remote monitoring of
individual recruiting stations could improve the safety of personnel
and property, act as a deterrent to improprieties, allow for analysis
of walk-in traffic into the station, and provide use of the video
footage as a training tool. Conversely, remote monitoring can present
an appearance of distrust in honest and trustworthy personnel, and
possibly raise questions regarding the personal privacy of potential
applicants.
While installation of cameras may provide a means of increased
security at recruiting stations, the DOD currently has a security
contract with the Army Corps of Engineers, which has added security
mitigations to more than half of Navy Recruiting Stations (NRS). Under
this contract, additional stations will receive security mitigations
each year in order of priority based upon determination of associated
risk.
In some cases, installation of cameras may also deter some
recruiting irregularities; however, since the nature of the recruiting
business often calls for much of the associated dialogue to occur in
locations outside of the recruiting stations, this would not offer a
failsafe solution to mitigating improprieties.
A current Army pilot program uses local systems with Digital
Versatile Disc (DVD) recordings that are mailed to a central location
at an approximate cost of $1,800 per unit for equipment installation
and $700 annually for purchase of DVDs, mailings, et cetera. This would
equate to a start-up cost of $2.5 million, with an annual operating
cost of $1 million to equip 1,400 NRS. This system has inherent
problems associated with the possible compromise of DVDs on which
possible improprieties may have been documented. While web-based real-
time video feed would be a preferred application, the associated cost
would increase significantly. We have estimated the initial cost of
equipping 1,400 NRS with monitoring capability and video storage at
$13.7 million for hardware installation with an annual operating cost
of $370.5 million for data feed processing equipment at Navy Recruiting
Command Headquarters. This approach would also require 30 additional
personnel (26 network technicians, 2 network engineers, and 2 data
management technicians).
While I remain committed to taking all reasonable measures to
eliminate recruiter improprieties, I do not currently view the use of
video surveillance as a practical or cost effective approach.
General Coleman. We do not see this to be an effective measure for
deterring such activity. As stated in the question, much of the
recruiting and discussions with applicants take place away from the
recruiting offices. We also do not see this as a deterent to any type
of protest against recruiters. Those who protest often seek media
coverage. The cost of such a program would far outweigh any potential
benefit. The cost of such an endeavor would require extensive analysis
and is not currently available.
General Brady. Air Force recruiters maintain the highest standards
of our Service. In addition to internalizing the Air Force core values
of Integrity, Service, and Excellence, all 1,200 recruiters have taken
an Air Force Recruiter Pledge (signed and displayed in each office) to
never mislead, lie to, or take advantage of a recruit. The pledge
ensures that every recruit is treated as a future brother- or sister-
in-arms. The integrity a recruiter introduces as the first ``voice'' of
the Air Force serves as the benchmark. The stakes are high and so are
our standards. Because of these high recruiting standards and the cost
of installing and maintaining these systems, the Air Force is not
considering adding cameras in recruiting stations at this time.
The Air Force applauds the Army for taking measures it deems
necessary to ensure the safety of its soldiers. The Air Force feels it
has all the necessary measures and policies already in place to ensure
the safety of both the recruits and the recruits.
Our estimates show that camera installation cost is $300 per office
(for two cameras at each location). Based on our total number of
offices, that Air Force Recruiting Service would spend approximately
$360,000 for installation. Setup and monitoring would increase the cost
considerably, and an additional system would be required to record the
footage. In light of the cost of implementation and the high standards
our recruiters already uphold, we believe placing cameras in Air Force
recruiting stations will provide little added value.

12. Senator McCaskill. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, on
several occasions, news agencies have conducted investigations using
hidden cameras to view recruiter practices presented to a potential
recruit. Unfortunately, these investigations have uncovered troubling
practices by individual recruiters on several occasions. Does your
Service's recruiting command conduct similar investigations using fake
recruits to provide a check on recruiters?
General Rochelle. No, the United States Army does not employ this
practice.
Admiral Harvey. Navy Recruiting Command does not employ this method
as a means of monitoring the practices or performance of Navy
recruiters.
Nonetheless, we take very seriously the issue of recruiting
improprieties and have robust methods for providing recruiters with
direction, support, and counseling to reduce the likelihood of their
compromising their own personal integrity or the public trust in Navy
recruiting.
Formal opportunities are available to new recruits, upon reporting
to Recruit Training Command to report instances of, or perceived,
possible recruiter impropriety. All such allegations are thoroughly
investigated by the Navy Recruiting Command Inspector General, who
maintains a database to record, track, and identify isolated or
systemic problem areas.
Navy Recruiting Command headquarters staff personnel routinely
inspect each Navy Recruiting District to ensure that policies are being
scrupulously followed, to report any irregularities, and, where
irregularities are discovered, to initiate appropriate corrective
actions and training.
General Coleman. No, Marine Corps Recruiting Command does not do
similar investigations to check on recruiters.
General Brady. No, we do not implement that practice. While some
military recruiters have been called into question by news agencies
using hidden cameras techniques, to date, no Air Force recruiters have
been implicated during these interviews. In fact, several news agencies
have praised Air Force recruiters for being honest and ``upfront about
the dangers of enlisting and the benefits of serving.''

MILITARY PAY AND PERSONNEL PROCESSING SYSTEMS

13. Senator McCaskill. Secretary Chu, the DOD has embarked on an
expansive effort to develop a uniform personnel and pay processing
system. It is my understanding, however, that the Defense Integrated
Military Human Resources System (DIMHRS) (Personnel/Pay) has
experienced significant development problems. Can you update me on the
status of the DIMHRS system and challenges that remain?
Dr. Chu. DIMHRS has not experienced significant development
problems. It has experienced significant programmatic problems. The
DIMHRS program was initiated in February 1998. The development contract
was not awarded until September 2003. By that time, the funding stream
no longer matched the revised development schedule. The Navy was the
acquisition agent for DIMHRS from 1998 until 2005. In 2005, the DIMHRS
program was not funded and there were many critical vacancies in the
program management staff, including both the Program Manager and the
Technical Director. The Department turned the program over to the
Defense Business System Acquisition Executive (DBSAE) in the Business
Transformation Agency (BTA). At that time, the DBSAE had to completely
revalidate the program, the contracts, the costs, and the schedule. The
program is now in the process of being re-baselined.
Although there are no problems with the development, there are some
critical challenges that we face. Our legacy military personnel and pay
systems are out of date and expensive to maintain. The Department wants
to be aggressive in turning these systems off and migrating to DIMHRS--
but any migration of this type involves a lot of work that is not
related to the development of the new system. As with all migrations,
there are two primary challenges.
The first challenge is loading legacy data into the new system. All
of the data on the careers of the current military personnel must be
loaded into the new system from a large set of legacy systems. For each
piece of data that is to be loaded, the authoritative source must be
identified and an interface must be built to transfer the data from the
legacy system to the new system. Conflicting data must be reconciled
prior to loading; the more complex the legacy environment, the more
complex the task.
The second challenge is change management. DIMHRS incorporates
several transformational improvements, such as the integration of
personnel and pay, the ability to provide cross-service support, and
new self-service capabilities. The new system will look and feel
different from the old systems and there will be new, streamlined
processes. The Services are meeting the challenge with change
management programs to educate and train their personnel on the new
business rules, the new procedures, and the use of the new system.

14. Senator McCaskill. Secretary Chu, what has been done to address
concerns raised by the Government Accountability Office (GAO) about
DIMHRS?
Dr. Chu. The original report, ``DOD Systems Modernization:
Management of Integrated Military Human Capital Program Needs
Additional Improvements,'' was completed December 14, 2004. There were
a number of recommendations; the DOD did not fully concur with all of
the recommendations. The GAO began a follow-up review in December 2006
that has not been completed. However, we continue to work the original
recommendations as appropriate.
The recommendation of establishing a DOD-wide integrated governance
structure for DIMHRS that vests an executive-level organization or
entity representing the interests of all program stakeholders with
responsibility, accountability, and authority for the entire DIMHRS
(Personnel/Pay) program was addressed with the establishment of the
Defense BTA. On October 7, 2005, the Deputy Secretary established the
BTA and transferred the DIMHRS Program to the BTA. On December 1, 2005,
the Deputy Secretary directed a series of actions relative to the
DIMHRS program that included detailed analysis in the form of Service
assessments. The Army's detailed analysis was completed in September
2006. The Air Force assessment began in January 2006 and was completed
November 2006. The initial Navy assessment concluded in June 2006 and
results were presented to the Defense Business Systems Management
Council on July 26, 2006. The program is still in the process of re-
baselining with the Army scheduled to implement DIMHRS (Personnel/Pay)
in August 2008, followed by the Air Force in November 2008.
Specifically, we are working closely with the BTA, the Defense
Business Systems Acquisition Executive and the DIMHRS Enterprise
Program Manager (EPM) to jointly ensure an integrated, coordinated, and
risk-based approach to all DIMHRS (Personnel/Pay) definition, design,
development, and deployment activities is employed.
The DIMHRS (Personnel/Pay) requirements were complete and correct
to the extent that any documentation can be correct before the transfer
to the BTA. The design was fully traceable to the requirements,
including the applicable financial system and accounting requirements.
The rest of the documentation of requirements for DIMHRS was an
innovative and unprecedented effort to ensure full traceability from
documentation of requirements through design, development, and
maintenance.
The DIMHRS requirements are consistent with the Business Enterprise
Architecture for military personnel and pay. We continue to monitor
legislative and policy changes that may affect DIMHRS (Personnel/Pay)
requirements. When changes are required the appropriate change requests
are created and submitted to the EPM for the next Configuration Control
Board.
Finally, to address the recommendation for an integrated master
schedule, the EPM developed an Integrated Master Program Schedule. This
schedule is being used to guide design, development, and deployment to
the Services and the Department. The EPM is in the process of
establishing the baseline for Initial Operating Capability (IOC) and
all future requests will be queued for a release after IOC to the first
Service.

15. Senator McCaskill. Secretary Chu, it has been brought to my
attention that the Marine Corps developed an interim personnel and pay
system known as the Marine Corps Total Force System (MCTFS). I have
been informed that MCTFS has proven a very successful, integrated
system and that the Navy is interested in fielding MCTFS while they
await final development and fielding of DIMHRS. Can you comment on
whether you think the fielding of MCTFS to the Navy would be cost
effective in light of the future expected fielding of DIMHRS?
Dr. Chu. The Marines have an integrated personnel and pay system
that works very well for them. MCTFS uses Marine Corps data and Marine
Corps business rules and therefore needs a lot of enhancements and
modifications to be used by the Navy. As I understand it, the Navy
plans to use MCTFS as an interim system and then migrate to DIMHRS.
If MCTFS were to be the final Navy solution, there are
considerations in addition to the costs. One of the most critical
deficiencies of our current processes for managing military personnel
and pay is that we cannot provide cross-Service support. This is a
highly important core requirement for the integrated personnel/pay
capability--both for the servicemembers and for the joint commanders
and warfighters. When our servicemembers who are assigned to units
managed by other Services must go to their parent Service locations to
receive basic personnel and pay support, it is primarily an
inconvenience when they are at a U.S. location, but it can put them at
serious risk in a hostile environment. Similarly, at Joint Commands,
the Services must provide duplicative capabilities so that each Service
can provide personnel and pay support to its assigned personnel. This
is inefficient at best. Further, the use of different systems makes it
very difficult to get a useful view of the entire set of resources in a
theater of operations.
While the Navy could modify MCTFS for an integrated personnel and
pay capability for Navy and Marine Corps personnel, it would not
provide cross-Service support without significant and extremely complex
additional modifications.
If the Navy were to use MCTFS for its integrated personnel and pay
system while the Army and the Air Force used DIMHRS, it is clear that
cross-Service support would not be available except within the
Department of the Navy and between the Departments of the Army and Air
Force. That is not in the best interests of either the Department or
our servicemembers.

16. Senator McCaskill. Secretary Chu, do you expect DIMHRS to
provide equally successful pay and personnel processing as MCTFS has
provided to the Marine Corps? If not, have you considered employing
MCTFS in place of DIMHRS?
Dr. Chu. DIMHRS has been designed to provide integrated personnel
and pay capability that is as fully successful or more successful than
MCTFS. The Department did consider using MCTFS before embarking on the
DIMHRS program. There were several reasons why the Department decided
not to use MCTFS.
MCTFS uses Marine Corps data and Marine Corps business rules and
processes. It is very easy to note that a system works for one Service,
but very difficult to implement that same system in another Service
without extensive modification either of the system or of the
processes, data, and business rules of the receiving Service. As an
example, the Defense Joint Military Pay System (DJMS) was an Air Force
pay system, using Air Force business rules and Air Force data. In 1991,
the decision was made to use DJMS for the Army and Navy. It was first
implemented in the Army (in 1992) and Army pay essentially broke down.
It took several years to figure out all of the problems with the
imbedded business rules and data differences between Army and Air
Force. (Similar data had different meanings; the Army did not collect
some data; and many imbedded business rules were different, creating
problems in implementation.) One simple example: When Air Force
personnel were up for re-enlistment, they had to make their re-
enlistment decision 120 days before the end of their current
enlistment. Army personnel were able to make that decision at the last
minute--when Army personnel made their decision after the Air Force
cut-off date, the system prepared to cut them off and then, at the end
of their current enlistment, they were kicked out of the system. They
could not be simply re-entered into the system because of the imbedded
Air Force business rules. There were several hundred issues like this
that needed to be resolved. Since we would have to go through this kind
of process anyway, it seemed more sensible to adopt joint business rule
standards (and recognize when Service-specific rules were required)
than to be forced into decisions based on system performance rather
than the right way to do business. The Army and Navy still use
extensive manual work-arounds to use DJMS.
MCTFS does not support Guard personnel or many specific specialties
of the other Services (for instance the medical specialties). This
means that there would have to be new code written for the special
business rules associated with the Guard and associated with the
specialties not in MCTFS.
While MCTFS has some enhanced front-end access developed in recent
years, the underlying core software is still primarily the common
business oriented language and assembler language. The Department
analyses led them to decide to use commercial off-the-shelf (COTS) and
found a COTS product that could be adopted with little modification to
support military business rules.
At this point, the common business rules and data have already been
defined and coded in DIMHRS (based on joint analysis and workshops with
all 10 DOD components). It would not make sense to stop and start over.
``Equal capability'' does not mean identical processing rules. For
instance, MCTFS requires dual input of data for pay impacting
information. To mirror this capability in DIMHRS would require
extensive modification of the COTS product. In fact, DIMHRS uses the
COTS capability that is considered a best practice--to review and
correct data by exception rather than require dual entry of all data. A
comparison of capabilities should be focused on functional outcomes,
not on how the systems process data.
______

Questions Submitted by Senator Mark Pryor

MENTAL HEALTH SERVICES

17. Senator Pryor. Dr. Jones, when our soldiers who are deployed in
combat fall victim to improvised explosive devices (IEDs), many times
it is the concussion impact, not shrapnel, that causes the most
significant injury. These head traumas consequently require a lengthy
and specialized rehabilitation to return our wounded servicemembers to
a normal cognitive thought process and speech capability. What steps do
you plan to take to resolve the significant lack of psychologists and
psychiatrists to treat these servicemembers?
Dr. Jones. Professional mental health provider staffing currently
ranges by specialty from 75 to 85 percent of authorized billets in the
Service branches. The Services have, at their disposal, the use of
Critical Skills Retention Bonuses and educational loan payback
incentives to adjust incentives to retain needed personnel.
Psychiatrist retention is also incentivized with physician bonuses.
Mental health providers play a role in the management of those with
Traumatic Brain Injuries, as well as other specialized therapists who
provide intensive rehabilitation treatments such as speech and other
occupational therapies. In addition, primary care providers provide
mental health service and support in our system, often administering
psychotropic medication, including antidepressants, which are helpful
for those with mood and anxiety disorders associated with their
injuries.

SERVICE COMMITMENT

18. Senator Pryor. General Brady, a few years ago the Air Force
changed its Active Duty service commitment for pilots from 8 years to
10 years. What factors contributed to this decision?
General Brady. The Air Force has used both analysis and our
experience with pilot retention over the years to determine the best
mix of commitment and incentives to ensure we have a force ready to go
to war. Over time, pilot retention varies with ``market conditions'',
principally the hiring practice of civilian airlines. We have concluded
that for the current market conditions, a 10-year commitment followed
by a 5-year bonus/commitment combination is best for ensuring we retain
that ``go to war'' force.

19. Senator Pryor. General Brady, what is the current pilot bonus?
General Brady. The current pilot bonus is $25,000 per year in
return for a 5-year commitment.

20. Senator Pryor. General Brady, do navigators and other flight
crew members have a similar bonus?
General Brady. Navigators do not receive a bonus. Navigators were
offered a bonus from fiscal year 2003 through fiscal year 2005;
beginning in fiscal year 2006, navigators were no longer offered a
bonus due to healthy career field manning. Air battle managers receive
a bonus of $15,000 per year in return for a 5-year commitment.

EARLY SEPARATION

21. Senator Pryor. General Rochelle, what are some of the reasons
surveyed for those personnel who elect to separate before retirement
(both officer and enlisted)?
General Rochelle. The fall 2006 Sample Survey of Military Personnel
has identified (from a list of 58 aspects of Army life) the following
as the most important reasons for officers and enlisted soldiers for
leaving or thinking about leaving the Active component Army before
retirement:
Concerning the population of commissioned officers and warrant
officers, the amount of time separated from family (30.4 percent) was
the overall leading indicator of dissatisfaction with military service.
The next are of concern was amount of enjoyment from job (7.8 percent).
The third leading indicator of dissatisfaction was amount of pay
(basic) (6.3 percent). Finally the overall quality of Army life (6.0
percent) was the fourth highest reason of dissatisfaction.
For the enlisted soldier population, the amount of time separated
from family (20.9 percent) was the overall leading indicator of
dissatisfaction with military service. The next leading indicator of
dissatisfaction was amount of pay (basic) (14.4 percent). Finally, the
overall quality of Army life (11.3 percent) was the third highest area
of concern for this population.
______

Questions Submitted by Senator Lindsey O. Graham

MENTAL HEALTH SELF-ASSESSMENT PROGRAM

22. Senator Graham. Secretary Chu, last year in our oversight
hearing, I sought assurance from you and Dr. Winkenwerder that our
government was doing everything possible to ensure that our wounded,
having received the best battlefield lifesaving care in the world,
would not fall through the cracks. Where did we fail and why?
Dr. Chu. I believe our wounded servicemembers are receiving the
best battlefield lifesaving care in the world, but issues have been
raised about the challenges that these servicemembers and their
families face here at home. It is for this reason that we initiated the
Military Severely Injured Center in February 2005. Despite our best
efforts to publicize its services, it is clear we did not reach all we
should.
We are pleased that the Independent Review Group and the
Presidential Task Force have been thorough and quick in their
assessments of the challenges our servicemembers face, and have made
recommendations to improve our processes. We look forward to additional
input from the President's Commission and other ongoing reviews. We are
working to coordinate our medical, personnel, and disability evaluation
systems to work in unison to serve the needs of our wounded and ill
servicemembers.

CARE FOR THE WOUNDED

23. Senator Graham. Dr. Jones, we have heard from wounded soldiers
and their families who believe that they were prematurely moved to the
temporary or permanent retired lists as a result of their injuries. Are
you aware of these concerns?
Dr. Jones. I am aware of servicemembers and their families who
believe they were moved too quickly, I am aware of servicemembers, and
their families who believe it took too long. The important factor in
this process is communication between the care providers and the
servicemember and his or her family--communication based on the
condition of that servicemember and the time the healing will take.
When there is clear understanding by the servicemember and the family,
there should not be concern that the action is too quick or too slow.

24. Senator Graham. Dr. Jones, being placed on the temporary or
permanent retired lists can affect health care benefits. In the case of
SGT Eric Edmondson, a soldier from the 172nd Stryker Brigade in Alaska,
DOD extended him on Active Duty, so he could obtain care at a civilian
rehabilitation institute that was not available in DOD or the VA, and
would not have been available to him as a retiree. Why would we
discriminate in terms of health care between a wounded member extended
on Active Duty and a member on the temporary retired list, who are both
fighting to recover from wounds and injuries in war?
Dr. Jones. Rehabilitation therapy covered under the TRICARE Basic
Program is available to both Active Duty servicemembers and retirees,
and includes physician-prescribed therapy to improve, restore, or
maintain function, or to minimize or prevent deterioration of patient
function. Rehabilitation therapy under the TRICARE Basic Program must
be medically necessary, appropriate, and consistent with accepted norms
for medical practice in the United States. The care must be rendered by
an authorized provider, necessary to the establishment of a safe and
effective maintenance program, and must not be custodial or otherwise
excluded from coverage.
Covered rehabilitation services for TBI patients may include
physical, speech, occupational, and behavioral services. Cognitive
rehabilitation strategies may be integrated into these components of a
rehabilitation program, and may be covered under the TRICARE Basic
Program when cognitive rehabilitation is not billed as a distinct and
separate service. Under the TRICARE Basic Program, cognitive
rehabilitation defined as ``services that are prescribed specifically
and uniquely to teach compensatory methods to accomplish tasks which
rely upon cognitive processes'' are considered unproven and are not
covered when separately billed as distinct and defined services. To
provide some comparison, coverage of cognitive rehabilitation by major
health insurers is mixed. For example, Cigna, Aetna, and UniCare cover
cognitive rehabilitation for TBI when it is determined to be medically
necessary. Cigna excludes coverage of cognitive rehabilitation for mild
TBI. Regence and Blue Cross/Blue Shield consider cognitive
rehabilitation to be investigational and do not provide coverage for
it. There is no Medicare National Coverage Determination for cognitive
rehabilitation for TBI.
In determining whether a medical treatment has moved from unproven
to proven, TRICARE reviews reliable evidence, as defined in 32 Code of
Federal Regulations Part 199. Research study of cognitive
rehabilitation in neurological conditions including TBI is limited by
differences between patients, and by variation in the type, frequency,
duration, and focus of cognitive rehabilitation interventions. The
TRICARE determination that cognitive rehabilitation for TBI is unproven
is supported by a 2002 Technical Assessment performed by Blue Cross/
Blue Shield (updated in 2006), and by a 2004 Technical Assessment by
Hayes Incorporated also updated in 2006. Medical evidence is dynamic
and evolving. We know that some care that is considered unproven today
will in the future achieve the required evidence threshold and become
covered under the TRICARE Basic Program. Care that is likely to become
proven is periodically reevaluated to ensure that TRICARE coverage is
current and consistent with the latest evidence. The DOD has
commissioned a formal technical assessment of the current scientific
evidence supporting cognitive rehabilitation intervention for TBI. This
evaluation will be completed in August 2007. The Department will
reevaluate its coverage policy for cognitive rehabilitation under the
TRICARE Basic Program at that time.
Post-acute, community reentry programs, work integration training,
and vocational rehabilitation are also excluded from coverage under the
TRICARE Basic benefit.
Beneficiaries, including Active Duty servicemembers, may receive
rehabilitation services in direct or purchased care facilities. Active
Duty servicemembers may also receive TBI rehabilitation in specialized
VA treatment centers. In most cases, patients will be referred to a
rehabilitation facility that has agreed to participate in the TRICARE
network. Both Active Duty and non-Active Duty beneficiaries may be
referred for care in a non-network facility when there are no available
network facilities able to meet the identified medical needs of the
patient in the area where the patient lives or needs to receive care.
With the exception of benefit limitations based on Federal statute,
any restrictions or limitation of the TRICARE Basic Program may be
waived for Active Duty servicemembers under the Supplemental Health
Care Program (SHCP) in order to assure adequate availability of health
care services to Active Duty servicemembers or to keep or make the
Active Duty servicemembers fit to remain on Active Duty. The Department
recognizes that as a determination is made that an Active Duty patient
will not be able to return to Active Duty service, and transition is
made from Active Duty to retired status, potential coverage differences
between the SCHP and the TRICARE Basic Benefit may result in
discontinuity in care for combat-wounded servicemembers. The Department
is exploring the feasibility of testing strategies for mitigating
potential disruption in care using demonstration authority.
In our experience, the VA health benefit is intentionally
structured to provide robust care to disabled veterans with long-term
rehabilitation, and other care needs. Specific questions about VA
coverage of civilian TBI rehabilitation may best be addressed by the
VA.

DOD HEALTH CARE

25. Senator Graham. Secretary Chu and Dr. Jones, your testimony
confirms that the budget request assumed savings of nearly $2 billion
before either the GAO or the DOD health care task force weighs in with
their findings and recommendations. It is difficult to accept the
notion that you are sincere about a debate on the future of health care
benefits when you use the budget ax before that debate has begun. What
new ideas, if any, have you come up with for increasing efficiencies in
the DOD health care system before we tax our retirees with higher fees
and copayments?
Dr. Chu and Dr. Jones. No, the savings are for the next fiscal year
(2008). If we can reach agreement with Congress on how to proceed,
significant savings are possible.
At the same time, the Military Health System is continuously
pursuing opportunities to look for efficiencies to reduce the cost of
health care services. We have worked diligently on improving the
TRICARE contracts to make them more cost-effective and will continue to
do so; we have looked at our pharmacy operations and found ways to
improve our formulary management; and, we have undertaken, along with
the Service medical departments, a comprehensive look at the military
and civilian mix of personnel to find those opportunities to address
our labor costs. Of course, none of this will be sufficient to stem the
increasing rate of health care costs that the Department faces, and we,
like others in our government, need to face the challenge of balancing
the government and beneficiary cost structure.

EMPLOYER INCENTIVE FOR TRICARE

26. Senator Graham. Dr. Jones, last year, at the Department's
request, Congress enacted legislation that prohibits employers from
providing financial incentives to military retirees to use TRICARE
instead of employer-provided health care. One of the unanswered
questions was how DOD would treat ``cafeteria plans'' under this new
authority. I want to be clear that our expectation is that DOD should
implement this authority in a manner that is consistent with Medicare,
on which the legislation was modeled. Have you consulted with the
Centers for Medicare and Medicaid Services as we directed in
implementation of this authority, and will you assure this committee
that DOD will implement it in the same manner as Medicare?
Dr. Jones. As enacted, Section 707 extends to TRICARE the same
prohibition on offering financial or other incentives not to enroll in
a Group Healthcare Plan (GHP) that currently apply to Medicare under
section 1862(b)(3)(C) of the Social Security Act (42 United States Code
1395y(b)(5)). The Department has reviewed the Medicare prohibition on
GHP incentives, and intends to follow closely those rules in applying
the comparable prohibition to TRICARE. In general, CMS does not treat
cash payments to an employee as improper incentive so long as such cash
payment is based on the employee's election as part of a cafeteria plan
offered by the employer and that plan comports with section 125 of the
Internal Revenue Code (IRC). The Department intends to follow closely
the policies that CMS has instituted to address this issue.
DOD will soon issue an interim final rule (IFR) to codify all rules
and governing authorities pertinent to effectuating the requirements of
Section 707 and will include the treatment of cafeteria plans and other
employer-provided incentives under the Department's implementation of
the provision. The IFR will closely track CMS regulations. Employers
will be prohibited from offering TRICARE-eligible employees financial
or other benefits not to enroll or to disenroll from the employer's
group health plan that is or would be primary to TRICARE. Cafeteria
plans that comport with section 125 of the IRC will be permissible.

PHARMACY BENEFITS

27. Senator Graham. Dr. Jones, last year I thought we had arrived
at a consensus on the need to make better use of mail-order pharmacy in
DOD. Have you seen any increase in the rate of use of mail order?
Dr. Jones. In February 2006, TRICARE Management Activity, along
with the assistance of our various contracted partners, focused
multiple educational efforts to encourage the use of our mail-order
pharmacy point of service by our DOD beneficiaries. Over the last year,
we have seen a steady increase in the rate of use of mail order. When
comparing March 2006 to March 2007, we saw an increase from 647,921
prescriptions to 765,485 prescriptions (15.4 percent). To put this in
perspective, for the same time period, our prescription workload at the
MTFs decreased by 3.6 percent and our retail point of service increased
by 1.2 percent. In March 2006, the mail-order venue comprised 6.2
percent of all prescriptions filled, whereas in March 2007, this number
had increased to 7.3 percent. When you normalize the prescriptions to
an equivalent number of days (in this case 30 days), mail order
increased 16.4 percent, MTFs decreased 1.8 percent, and retail
increased 1.7 percent for this same period.
Another way we measure utilization of the pharmacy benefit across
our three points of service is the number of beneficiaries that use a
point of service from month to month. Many of our beneficiaries use
multiple points of service in a month due to various reasons. When
comparing March 2006 against March 2007, we see signs of encouragement.
The number of beneficiaries that utilized mail order increased by 14.8
percent, whereas the numbers of beneficiaries that utilized the MTFs
decreased by 4.9 percent and the retail utilizers increased by 7
percent. Overall, 8.2 percent of our beneficiaries that filled a
prescription in March 2007 utilized the mail-order point of service
versus 7.2 percent in March 2006. In addition, since January 2007, the
number of beneficiaries that have enrolled into the mail-order system
has averaged over 18,000 per month. We will continue to encourage
greater use of the home delivery point of service through educational
campaigns that promote its substantial benefits.

28. Senator Graham. Dr. Jones, your testimony says that you need
more help from Congress in making changes in the pharmacy benefit. What
help are you seeking?
Dr. Jones. In order to more effectively manage the DOD Pharmacy
Benefit, assistance in the form of legislative change is needed. These
changes include:

End the fiscal year 2007 freeze on adjustments to pharmacy
co-payments.
Eliminate the non-formulary cost sharing cap.

Current statutes cap the maximum beneficiary cost
share for non-formulary drugs. This limits DOD's
ability to establish a wider co-payment differential
between retail and mail-order points of service. It
also limits DOD's ability to incentivize the use of
less costly generics and preferred brand name formulary
products.

Index pharmacy cost shares to health care inflation.
Require exclusive use of TRICARE mail-order or MTFs for
filling selected generic and brand name maintenance
medications.

The current pharmacy benefit statute requires uniform
formulary drugs be generally available at all three
points of service.
In fiscal year 2006, if the top 10 maintenance
medications filled at the retail point of service had
been filled through the TRICARE mail-order program or
at MTFs, the Department's potential cost avoidance was
estimated at over $185 million.

DOD-VA TRANSITION

29. Senator Graham. Secretary Chu and Dr. Jones, as a member of the
Senate Committee on Veterans Affairs, we hear a lot of talk about
seamless transition for members from DOD to VA. But based on
information we hear from military families, this transition misses the
mark far more than it hits the mark. Why don't DOD and VA have a
universal single medical exam upon separation from the military, and
why aren't those exam results available electronically for every
separating member?
Dr. Chu and Dr. Jones. The DOD and the VA have been working
diligently to define the parameters that each Department requires a
separation physical examination for DOD and a compensation and pension
physical examination for VA. We are developing an integrated physical
examination process that would include, for many members, a single
examination as the servicemember separates from Active Duty and
registers with the VA for care and, perhaps, disability compensation.
The complexity of transition of medical care from DOD to VA is
directly related to the medical status of the individual servicemember.
Those with more complex and severe medical problems require more than
just a separation physical examination. Their ``medical exam'' includes
intense specialty evaluations particular to their medical conditions.
There is, of course, no such thing as a ``universal single medical
examination'' suitable for all patients. DOD and VA are acutely focused
on the coordinated transition of severely wounded and injured
servicemembers from inpatient care in DOD to inpatient care in VA and
often back to DOD again. The transition of paper and EHRs is a critical
part of that, as well as doctor-to-doctor information transfer. VA has
social workers and disability advisors working in 10 MTFs to help
expedite the inpatient transfer process to VA Polytrauma Centers.
Similarly, DOD has Active Duty personnel assigned to help the
servicemembers and their family members with the transition as they
arrive at the VA medical centers. The VA social workers in DOD MTFs
have assisted over 7,600 servicemembers with making outpatient
appointments at VA's medical facilities as they transition their care
from DOD to VA.

30. Senator Graham. Secretary Chu and Dr. Jones, why is DOD still
unable or unwilling in many cases to share health records with the VA
electronically?
Dr. Chu and Dr. Jones. In fact, the DOD and VA share a significant
amount of health information today. Our electronic sharing began in
2002, and the Departments are constantly seeking to expand the scope of
our capabilities. By the end of 2007, DOD will be sharing
electronically with VA nearly every health record data element
identified in our VA/DOD JSP for health information transfer. By 2008,
we will be sharing the remaining health record data elements identified
in the VA/DOD JSP.
Currently shared electronic medical record data:
Inpatient and outpatient laboratory and radiology results,
allergy data, outpatient pharmacy data, and demographic data
are viewable by DOD and VA providers on shared patients through
BHIE from 15 DOD medical centers, 18 hospitals, and over 190
clinics and all VA facilities.
Digital radiology images are being electronically transmitted
from WRAMC and NNMC Bethesda to the Tampa and Richmond VA
Polytrauma Centers for inpatients being transferred there for
care.
Electronic transmission of scanned medical records on
severely injured patients transferred as inpatients from WRAMC
to the Tampa and Richmond VA Polytrauma Centers.
Pre- and PDHAs and PDHRAs for separated servicemembers and
demobilized Reserve and National Guard members who have
deployed.
When a servicemember ends their term in service, DOD
transmits to VA laboratory results, radiology results,
outpatient pharmacy data, allergy information, consult reports,
admission, disposition and transfer information, elements of
the standard ambulatory data record, and demographic data.
Discharge Summaries from 5 of the 13 DOD medical centers and
hospitals using the CIS to document inpatient care are
available to VA on shared patients.
Enhancement plans for 2007:
Expanding the digital radiology image transfer capability to
include images from WRAMC, NNMC, and BAMC to all four VA
Polytrauma Centers.
Expanding the electronic transmission of scanned medical
records on severely injured patients from WRAMC, NNMC, and BAMC
to all four VA Polytrauma Centers.
Making available discharge summaries, operative reports,
inpatient consults, and histories and physicals for viewing by
all DOD and VA providers from inpatient data at all 13 DOD
medical centers and hospitals using CIS.
Expanding BHIE to include all DOD facilities.
Making available encounters/clinical notes, procedures, and
problem lists to DOD and VA providers through BHIE.
Making available theater outpatient encounters, inpatient and
outpatient laboratory and radiology results, pharmacy data,
inpatient encounters to include clinical notes, discharge
summaries, and operative reports to all DOD and VA providers
via BHIE.
Beginning collaboration efforts on a DOD and VA joint
solution for documentation of inpatient care.
Enhancement plans for 2008:
Making available vital sign data, family history, social
history, other history, and questionnaires/forms to DOD and VA
providers through BHIE.
At Landstuhl Regional Medical Center, Germany, making
available discharge summaries, operative reports, inpatient
consults and histories, and physicals to VA on shared patients.

REDUCTION IN AGE OF RETIREMENT FOR RESERVES

31. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, what
is your view of the potential impact on recruitment, retention, and
manpower management of the Reserve and Guard should Congress legislate
lowering the age of retirement?
General Rochelle. The Army is continuing to analyze projected
impact of lowering the retirement age for Reserve component soldiers
but our initial review of the numbers shows that there are over 4,000
Army Reserve and over 7,000 ARNG soldiers spread across all specialties
who would become immediately eligible for retirement once such a change
was approved. If all of them chose to retire from service there would
be a significant impact on our Reserve component mission.
From a manpower management standpoint, reducing the retirement
eligibility age will decrease the predictability of soldier inventory
size and increase the potential turbulence when distributing and
employing the Reserve component. Although the increased amount of time
between retirement eligibility and pension payout may encourage service
beyond the eligibility age, there is no data on which to base projected
inventory.
From the perspective of recruiting, it is possible that the lower
retirement eligibility age will be attractive to Reserve component
soldiers with civilian careers that continue beyond military service.
At this time it is speculative until the Army surveys soldier's
attitudes in the present Reserve Force or the population of eligible
candidates for Service.
Admiral Harvey. Reducing the age at which a reservist can collect
retirement pay would inhibit the Navy Reserve's ability to meet force
management objectives.
A recent study conducted by RAND found that reducing the age for
the receipt of retired pay only marginally affects retention, and
overall reduces the number of years a reservist will serve. This
proposal would substantially increase costs--funds that could be put to
better use to improve readiness and purchase much needed equipment.
Reserve members who volunteer for extended periods of Active Duty
already receive a substantial increase in their military retired pay
because of their additional service. Moreover, the Uniformed Services
Employment and Reemployment Rights Act requires employers to credit,
for the purpose of qualifying for an annuity under a retirement plan
offered by the employer, periods of military service as serving with
the employer. This allows reservists to use the same period of time to
qualify for a retirement under two separate retirement systems.
General Coleman. Recruiting does not use retirement as a selling
point. We sell the intangibles of being a marine: pride of belonging,
tough, smart, elite, warrior. We feel this would have little to no
effect on recruiting.
General Brady. Changes to retirement eligibility for Reserve and
Guard must be considered in the context of the Total Force, to include
the effect on recruiting and retention and the larger issue of what it
does to the growing cost of manpower. Some analysis has indicated that
lowering the age of retirement would increase overall costs, and there
could be adverse impacts on retention of highly-experienced airmen.
This issue requires further study.

DOD POLICY RESOLUTION AND IMPLEMENTATION

32. Senator Graham. Secretary Chu, with respect to the Joint
Executive Committee (JEC) and injured servicemembers, would you please
provide a list of policy issues that have been addressed by the JEC and
the resolutions that have been implemented based on their work?
Dr. Chu. The JEC has established a Coordinated Transition Working
Group to examine and make recommendations for improvements to the
transition process. For example:

The Joint Seamless Transition Program is a collaborative
effort between the Services and the VA to facilitate and
coordinate a more timely receipt of benefits for severely
injured servicemembers while they are still on Active Duty.
There are 12 VA social workers and counselors assigned at 10
MTFs, including WRAMC and the NNMC in Bethesda.
The Army Liaison/VA PolyTrauma Rehabilitation Center
Collaboration is a ``Boots on the Ground'' program stood up in
March 2005 to serve severely injured servicemembers who need a
long recovery and rehabilitation period. These individuals are
transferred directly from an MTF to one of the four VA
PolyTrauma Centers in Richmond, Tampa, Minneapolis, or Palo
Alto.
The Transition Assistance Program is an integral part of the
pre-separation counseling program, in which VA counselors
advise separating servicemembers on VA health care and
compensation.
The Cooperative Separation Physical Examination and Benefits
Delivery at Discharge (BDD) program addresses the disadvantages
of the previous procedures, in which servicemembers were
required to undergo two physical examinations within months of
each other. Servicemembers can begin the claims process with VA
up to 180 days prior to separation through VA's BDD program at
any of the 140 sites where local agreements have been
established.
The jointly staffed Military Severely Injured Center,
established in February 2005, operates a hotline center which
functions 24 hours a day, 7 days a week. Servicemembers or
family members can call a toll-free number and speak to a care
manager, who becomes their primary point of contact over time.
The DOD has also successfully added the capacity to send
electronic pre- and PDHA information to the monthly patient
information being sent to the VA. The PDHRA is also being
electronically transmitted to VA.
DOD transmits a monthly list to the VA Office of Seamless
Transition containing the demographic and contact information,
and a brief explanation of medical condition of servicemembers
who have been referred to a Physical Evaluation Board. As of
the end of fiscal year 2006, DOD has transmitted information on
over 13,000 individuals.
The Center for the Intrepid is a jointly staffed state-of-
the-art outpatient facility to rehabilitate wounded OEF/OIF
servicemembers and veterans who sustain severe traumatic or
burn injuries and subsequent functional loss, with resultant
amputations or limb salvage procedures.
DOD electronically transmits radiology images for
servicemembers being transferred from WRAMC and NNMC to all
four VA Polytrauma Centers. WRAMC currently transmits to the
Tampa, Richmond, and Palo Alto VA Polytrauma Centers, with
plans in place to add Minneapolis. NNMC currently transmits to
the Tampa and Minneapolis VA Polytrauma Centers; testing will
soon be in place with Richmond and Palo Alto. This capability
will also be added to BAMC within the next 2 months.

Scanned medical records are being electronically transmitted from
WRAMC to three of the four VA Polytrauma Centers, with plans to soon
add Minneapolis. Next steps are to add this capability to NNMC and
BAMC.

33. Senator Graham. Secretary Chu, is there an entity within the
DOD that is empowered to resolve service-wide policy problems that
arise on a day-to-day basis with regard to injured servicemembers? If
so, please explain in what way and how often they communicate with the
VA office of seamless transition.
Dr. Chu. Each military Service has specific entities (Army Wounded
Warrior Program, Navy Safe Harbor Program, Marine Injured Marines for
Life Program, and Air Force Palace Hart Program) that respond to
injured servicemembers and their families on problems or day-to-day
concerns that are raised.
In addition, the DOD Military Severely Injured Center serves as a
safety net to these Service programs, providing services for any
military member. All of these programs communicate regularly and
frequently with the VA Office of Seamless Transition. There are DOD
personnel assigned to the VA Office of Seamless Transition to expedite
this communication.

NATIONAL GUARD AND RESERVE FAMILY SUPPORT

34. Senator Graham. Secretary Chu, in last year's conference
report, we required DOD to establish new regional centers to increase
family support for members of the Guard and Reserve. Where do you stand
on implementation of that authority?
Dr. Chu. DOD appreciates the support of Congress on this initiative
and has aggressively begun implementation of the Joint National Guard
and Reserve Family Assistance Program (Yellow Ribbon Reintegration
Program). Several governors are on board and support this new program.
States most interested are Arkansas, Nebraska, Minnesota, Oregon, Ohio,
Indiana, Hawaii, New Hampshire, Virginia, West Virginia, and Colorado,
as well as the National Capital Region. We have conducted focus groups
with high stake individuals representing various State National Guard
programs, Reserve programs, and Active Duty family programs. We have
placed a full-time counselor in Minnesota to begin the preliminary
needs assessment and to begin strengthening and integrating the local
and State support systems into a comprehensive support community that
will guide our practice for other locations. We plan to provide mobile
support services and delivery systems to reach families throughout the
area. Further, we plan to connect the right resources to the right
people at the right time through a ``high-tech, high touch'' Web-
enabled community that will connect military families with each other
and with supportive resources 24/7 regardless of where they live.

35. Senator Graham. Secretary Chu, are families of the Guard and
Reserve better off today than they were 5 years ago?
Dr. Chu. Yes, Guard and Reserve families are much better off and
more strongly supported than they were 5 years ago.
The families of our National Guard and Reserve members who are
being called upon to support the war on terrorism, homeland defense,
and other military operations have access to many more Federal, State,
and local resources than were available 5 years ago.
The operational tempo for today's National Guard/Reserve is higher
than at any time since the Korean War. This not only affects the
member, but also his or her family.
The mission of National Guard and Reserve family programs is to
prepare, support, and sustain families when the military member is
activated and/or deployed. Support is facilitated through education,
outreach services, and partnerships by leveraging resources, training,
and constantly capitalizing on new capabilities, concepts, and
technological advances.
The National Guard has a strong Joint service family support
network, organized in each State and territory by the National Guard
State Family Program Director, and reinforced by a Wing Family Program
Coordinator at each Air National Guard Wing. The Joint Forces
Headquarters within each State, territory, and the District of Columbia
are responsible for coordinating family assistance for all military
dependents, regardless of service and component, within the State and
in the geographically dispersed areas beyond the support capability of
military facilities.
Vital to a unit commander's family support program are volunteers
and the Family Readiness Network-unit level Family Readiness Group
volunteers provide the vitality of the program.
The Family Assistance Centers (FACs) are regionally based and are
the primary entry point for all services and assistance that any
military family member may need during the deployment of the
servicemember. Services are provided regardless of the sponsor's
service or component. Services include the preparation (pre-
deployment), sustainment (actual deployment), and reunion phases
(reintegration). The primary services provided by the FACs are
information, referral, outreach, and follow-up to ensure a satisfactory
result.
Military Family Life Consultants (MFLCs) are another resource
available to National Guard and Reserve families. The goal of the MFLC
is to prevent family distress by providing education and information on
family dynamics, parent education, available support services, and the
effects of stress and positive coping mechanisms.
Military OneSource (www.militaryonesource.com) is a key resource
available to National Guard/Reserve members and their families.
Military OneSource supplements existing family programs with a 24-hour,
7-day a week, toll-free information, and confidential referral
telephone line and internet/web-based service. It is available at no
cost to Guard and Reserve members and their families regardless of
their activation status. Military OneSource provides information
ranging from everyday practical advice to deployments/reintegration
issues and will provide referrals to professional civilian counselors
for assistance.
Regional Joint Family Support Model. This model is being designed
as required by the National Defense Authorization Act for Fiscal Year
2007. Critical components of the model involve building coalitions and
connecting Federal, State, and local resources and nonprofit
organizations to support Guard and Reserve families. Best practices
learned from 22 Inter-Service Family Assistance Committees and the
Joint Service Family Support Network will guide the planning process.
Minnesota will serve as a model.

TRICARE FOR RESERVES

36. Senator Graham. Secretary Hall, I have heard from Reserve and
Guard senior officers that word is slow in getting out about new
TRICARE benefits that are supposed to be available by October 1, 2007.
Some even speculate that the Department may be deliberately holding
back as a way to save money. What are the extent of your activities to
make sure that every eligible member of the Guard and Reserves receives
timely information on new TRICARE benefits?
Secretary Hall. The Department closely monitored the National
Defense Authorization bill as it evolved throughout the legislative
cycle last year, and planning began in earnest before the President
signed it into law on October 17, 2006, with the revised program taking
effect on October 1, 2007. We have provided information to the Reserve
component personnel community so they can begin informing their
members.
Additionally, the Department is drafting implementing rules and
regulations, revising departmental policy, modifying the TRICARE
regional contracts, reprogramming information systems, developing
informational materials, updating website content, training the Reserve
personnel community, and training TRICARE customer service personnel.
Once the infrastructure is fully operational so Reserve and Guard
members can complete TRS request forms online through the Guard/Reserve
Web portal, TRICARE regional contractors will be ready to receive and
process them as well as have customer service staff fully trained to
assist members. We anticipate reaching this milestone this summer. At
that time, the Department will formally announce the revised program
and formally release information to Selected Reserve members so they
may apply for the benefit if they are interested. Our concern is that
announcing the program much earlier would only frustrate members who
may be interested in purchasing their healthcare through the TRS
program when the application process has not been fully
operationalized. There is no attempt to conceal this new benefit; and
in fact many members are already aware of the forthcoming changes to
the program.

DOD SCHOOLS

37. Senator Graham. Secretary Chu, the committee has received
testimony that describes hazardous school environments in DOD schools,
both in the continental United States and overseas, due to budget cuts.
Have you directed a survey of DOD school facilities to identify
conditions in DOD schools?
Dr. Chu. The DOD Education Activity (DODEA) conducts two different
types of surveys to determine the condition of school facilities. In
addition to these surveys, the local installation conducts two
inspections per year focusing on life safety, physical security,
sanitation, and bioenvironmental issues identifying all deficiencies
and their relative priority for repair.

1. Triennial Facility Survey: This thorough survey reviews
over 30 building and exterior components (i.e., roofs,
plumbing, electrical, sidewalks, et cetera.) based upon an up-
to-date industry standard process. Included is an inspection of
the condition of existing asbestos in the schools. From this
assessment, a condition code is calculated and converted to the
Department's Quality Rating format for reporting, and funding
prioritization purposes.
2. Annual Project Development Process: Every year, the school
administrator, the Area DODEA Facilities Engineer, and a
representative from the base community engineering office, walk
through the schools to develop a list of facilities
requirements. These requirements are prioritized and funded
based upon their urgency.

DODEA balances facilities requirements along with core educational
requirements when developing funding levels. There remains a facilities
requirements listing, but all safety and security projects are given
priority.

38. Senator Graham. Secretary Chu, we have been informed that Fort
Campbell budget cuts have resulted in reduction in teachers, sharing
text books, and cancellation of after school activities, in spite of
increasing enrollments. Are you aware of these concerns, and what steps
have you taken to improve funding for DOD schools?
Dr. Chu. The Department recognizes the DODEA's fiscal year 2007
shortfall, and we are working with DODEA to correct it. A reprogramming
request for $35 million is forthcoming which will provide the funding
needed to keep textbook purchases, teacher professional development,
and other school activities on schedule.
When developing the fiscal year 2007 President's budget 2 years
ago, the Department expected savings from the closure of overseas
schools, but force re-stationing did not keep pace with the plan. The
reprogramming request referenced above will better align DODEA's
funding level with its actual requirements.
The instructional program delivered by DODEA educators remains at
the highest quality level even under a constrained budget environment.
There has been no reduction in the number of teachers as a result of
budget concerns.
DODEA's fiscal year 2008 President's budget request contains $2.5
million in additional funding to accommodate the increased enrollment
at Fort Campbell schools. This funding will go towards temporary
classrooms and other educational support costs.

NATIONAL SECURITY PERSONNEL SYSTEM

39. Senator Graham. Secretary Chu, the committee is concerned that
the Services are being forced to absorb training and implementation
costs associated with implementation of National Security Personnel
System (NSPS), and that the Department has not requested new funds to
ensure effective implementation. What visibility do you have into the
actual implementation costs of NSPS within the components?
Dr. Chu. The Department is funding the NSPS development,
implementation, and life cycle maintenance costs within the DOD's top
line. DOD policy requires the components to track NSPS implementation
costs. Reporting occurs in the following categories:

Design and Implementation
Training Development and Delivery
Design of Modifications to the DOD automated Human Resources
System
Program Evaluation
Program Office Operations

Components track costs within their official accounting systems and
report costs to the Program Executive Office NSPS on a quarterly basis.
The following costs have been reported:

[In millions of dollars]
------------------------------------------------------------------------
Fiscal Fiscal
Year 2005 Year 2006
------------------------------------------------------------------------
Design and Implementation....................... 7.098 7.713
Training Development and Delivery............... 9.767 21.820
Modifications to DOD HR System.................. 4.345 8.167
Program Evaluation.............................. .303 1.131
Program Office Operations....................... 10.993 21.183
-----------------------
Total Implementation Costs.................... 32.506 60.014
------------------------------------------------------------------------

Collection of NSPS Implementation costs for fiscal year 2007 is
ongoing.

40. Senator Graham. Secretary Chu, what kinds of training and
professional development needed for a high quality workforce are being
sacrificed as components absorb the cost of implementation of NSPS?
Dr. Chu. A portion of component training dollars has traditionally
been set aside to address new program requirements. NSPS is a new
program and workforce training is critical if the DOD employees are
going to successfully adapt to the new system. As such, DOD managers
and supervisors are ensuring NSPS training is given equal focus and
attention with other mission related training priorities. We are
committed to funding delivery of training without sacrificing other
required programs.
NSPS implementation supports and encourages a high performing
workforce and organizations are providing even more opportunities for
employees at all levels to learn new skills and behaviors. Overall, the
intensified focus on the technical as well as the behavioral training
needed to fully succeed in the workplace is a win-win for employees and
managers.

41. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady,
employee buy-in is the most important factor in the success of NSPS.
What are you doing to track the outcome of the initial implementation
of NSPS so that we can honestly tell employees whether they are better
off under NSPS?
General Rochelle. The NSPS is a significant change for employees
and supervisors. We did not expect rapid acceptance with initial
implementation or after a single performance rating cycle. It will take
more experience than we have thus far among the relatively small Spiral
1.1 workforce to see effects. The DOD is centrally monitoring component
implementation activities and collecting data about workforce attitudes
and personnel actions under NSPS. We look forward in the coming months
to seeing the results of the Department-wide attitude survey conducted
late last year. Army's first organization, the Civilian Human Resources
Agency, some 2,400 employees, converted last April. Preliminary results
on the first payout under NSPS indicate supervisors made distinctions
in performance and rewarded employees based on their contributions.
Admiral Harvey. The DOD and Department of the Navy are collecting
and monitoring a large variety of information to determine if the
desired outcomes and guiding principles identified in the Requirements
Document were met. Information gathering will include statistics, and
will be supplemented by surveys that allow employees, supervisors, and
leadership to comment on the NSPS processes and implementation.
These first surveys and statistics will serve as initial data
points for a baseline evaluation that is timely communicated to the
workforce. It will provide an analysis of employees' performance
ratings to salary growth, and indicators on how the workforce is faring
under NSPS. In addition, the evaluations will address other matters
such as:

Retention and loss rates for higher and lower performers.
Usage patterns for NSPS hiring, assignment, and conversion
authorities.
Equity analyses of performance, pay, and selection patterns.
Supervisor opinions about pay flexibility and candidate
quality.
Employee opinions about performance expectations, feedback,
and links to organization goals and rewards.
Comparison of average compensation increases under NSPS to
estimated increases had employees not converted to NSPS.

It will take more than one performance cycle for us to truly
evaluate how well NSPS is working and where adjustments may be needed
for long-term sustenance.
General Coleman. In conjunction with the DOD and Department of the
Navy evaluation plans, the Marine Corps will be tracking and collecting
a large variety of information from which detailed assessments will be
made of the NSPS initiatives to determine if they provide the desired
outcomes and meet the guiding principles set forth in its requirements
document. Evaluation is a long-term activity to ensure there is
sufficient experience with the system before judgments are made. Short-
term analyses let DOD and the Navy monitor implementation and make
minor adjustments.
The first surveys and the first statistics serve as initial data
points; it will take more than one performance cycle for us to truly
evaluate how well NSPS is working and where adjustments will be needed
for long-term sustenance. In the meantime, we will collect data and be
prepared to make a comprehensive evaluation. This evaluation will
include the relationship of employees' performance ratings to salary
growth and whether they are better off under NSPS as well as other
matters such as:

Retention and loss rates for higher and lower performers.
Usage patterns for NSPS hiring, assignment, and
conversionauthorities.
Equity analyses of performance, pay, and selection patterns.
Supervisor opinions about pay flexibility and candidate
quality.
Employee opinions about performance expectations, feedback,
and links to organization goals and rewards.
Comparison of average compensation increases under NSPS to
estimated increases had employees not converted to NSPS.

General Brady. NSPS is a major cultural change for DOD and it will
take more than one performance cycle to truly evaluate how well NSPS is
working and where adjustments will be needed for long-term sustainment.
Employee buy-in evolves over time as the workforce sees NSPS working as
designed. As NSPS is embedded in our management processes and the
workforce gains greater experience and understanding of it we expect to
see an upward trend in acceptance. We are measuring employee acceptance
via attitude surveys, focus groups, and targeted interviews. We are
tracking a variety of workforce and financial data and publicizing such
data for employees' information.

ARMED FORCES RETIREMENT HOME

42. Senator Graham. Secretary Chu, the committee is deeply
concerned about continuing reports of quality of care problems at the
Armed Forces Retirement Home (AFRH). The Department's stance is
defensive. Timothy Cox, the Chief Operating Officer for the AFRH, said
that the accusations are ``without merit,'' and he has blasted the GAO
for making ``inflammatory allegations'' without investigating them. We
expect a thorough and independent review of quality of care issues at
the AFRH. What are you doing to achieve that?
Dr. Chu. The Comptroller General noted in his letter dated March
19, 2007, that the allegations by unnamed ``health care professionals''
were not conclusions or findings resulting from a GAO investigation.
Nevertheless, the Department has oversight responsibility for AFRH and
takes these allegations very seriously. Michael Dominguez, Principal
Deputy Under Secretary of Defense for Personnel and Readiness, assumed
personal responsibility for investigating them. This is an update on
actions that have been taken to date.
On March 20, Mr. Dominguez asked the Assistant Secretary of Defense
for Health Affairs to assemble an experienced medical team to conduct
an unannounced inspection, within 24 hours, to identify and fix any
medical care practices deemed to be substandard, deficient, or that
would jeopardize resident health care. He directed Tim Cox, the Chief
Operating Officer, to provide full access to AFRH facilities, staff,
records, and the residents. On March 21, a four-person medical team
from the DOD's TRICARE Management Activity conducted this unannounced
inspection beginning at 9 a.m. We received their report on March 22.
During their inspection, the team could find no evidence to corroborate
inferior care; the facility appeared clean and well run with well
cared-for residents. The team suggested that the allegations will
likely be discredited, except for that of a maggot-infested pressure
sore--AFRH investigated this one incident last year, and appropriate
disciplinary action was taken and properly documented.
The medical team also recommended a more thorough and detailed
inspection take place as soon as possible. The Department then notified
the Joint Commission on Accreditation of Healthcare Organizations
(JCAHO)--an independent non-governmental organization--and welcomed a
no-notice review by them. JCAHO arrived unannounced on March 23 to
conduct an independent review. We received their report on April 9.
There were four unrelated findings but the JCAHO surveyor did not
substantiate any of the serious allegations listed in the GAO letter.
Also on March 21, in cooperation with DOD Public Affairs,
interested news media were given access to AFRH. Staff were made
available for walking tours and interviews with Tim Cox, Chief
Operating Officer, as well as with residents. We are mindful that AFRH
is our residents' home and have tried to be as unobtrusive as possible.
On March 22, Mr. Dominguez sent a letter to each resident and
immediate family members/concerned parties informing them of the
allegations and actions taken. He reminded them of the AFRH complaint
hotline--1-866-769-2068--and encouraged use of this anonymous reporting
mechanism to register concerns and noted that he personally reviews
these calls. To date, the hotline has not received any calls related to
the allegations.
On March 23, Mr. Dominguez and Leslye A. Arsht, the Deputy Under
Secretary of Defense for Military Community and Family Policy, along
with Phil Grone, the Deputy Under Secretary of Defense for
Installations and Environment, conducted an on-site review at AFRH with
professional staff members from the House and Senate Armed Services
Committees and House Veterans Affairs Committee. We are following up on
the feedback from the congressional staff, however, we saw no evidence
of the substandard conditions alleged in the GAO letter, and we found
the facilities and grounds to be clean and well-maintained.
Finally, we asked the DOD's Inspector General (IG) to conduct
follow-up interviews with the health care professionals who made the
initial allegations to better determine their source. In an April 19,
2007, briefing, the Acting Deputy Director, DOD IG reported that the
health care professionals had repeated their allegations to the IG
investigators, but again they have not been substantiated, and the DOD
IG is continuing the investigation. Simultaneously, Mr. Dominguez
tasked his staff to identify and compare standard business practices
related to the medical and nonmedical allegations. He is also awaiting
a recommendation from Tim Cox, Chief Operating Officer, AFRH, as to
whether to seek additional independent accreditation/review (similar to
JCAHO) for independent and assisted living, and will expedite this
decision.
Based on our preliminary review, we do not see a crisis at AFRH,
and most of the allegations that were made to the GAO had been surfaced
before. In an old historic facility such as AFRH there are many
structural problems we need to work on, and plans are in place to move
forward on these. I will provide updates as our investigation unfolds
and our follow-on recommendations.
We are grateful for our veterans' dedicated service to our Nation
and can assure you we put their safety, health, and security first and
foremost.

HEALTH CARE BENEFIT CHANGES UNDER TRICARE

43. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, last
year the Vice Chiefs of Staff of each Service testified in support of
Secretary Rumsfeld's plan to rapidly increase TRICARE fees for military
retirees. Have challenges in recruitment and retention, or the problems
at WRAMC, caused you to rethink the wisdom of making health care
entitlements more expensive for retirees? If so, why? If not, why not?
General Rochelle. The growing costs of health care and the TRICARE
program continue to challenge the DOD. Important changes are needed to
sustain TRICARE as a superior healthcare program. DOD healthcare costs
have nearly doubled in the past few years--from $8.6 billion in fiscal
year 2001 to $15.9 billion (requested) in fiscal year 2008. This growth
is primarily do to unfinanced expansion of health benefits for all
beneficiaries; advances in medical practice, including new technologies
and pharmaceuticals; and, healthcare inflation. Additionally, the DOD
will contribute $10.9 billion to the Medicare-eligible Retiree
Healthcare Accrual Fund in fiscal year 2008 to pay for future retirees'
healthcare within the TRICARE program. Note that most of DOD's health
spending is not for Active Duty military and their families or for
deployed medical operations. These beneficiaries generally rely on DOD
as the sole provider of healthcare. Most of our health spending is for
health benefits for military retirees and their beneficiaries.
To address the projected growth in healthcare spending, the
administration proposed increasing fees on retirees in fiscal year
2007. Although these proposals were rejected by Congress, health care
spending will continue to consume a larger portion of the Department's
total obligation authority unless action is taken to address the
expansion of health benefits. We support DOD's ongoing dialogue with
Congress to ensure continuation of our superior military healthcare
benefit. The interim report from the DOD Task Force on the Future of
Military Health care is due May 31, 2007; the Task Force' work is to be
completed in December 2007. We, along with others within the
Department, await the interim Task Force report, which will address the
issue of TRICARE cost-sharing. This will serve as a basis for our
continued work with Congress on how TRICARE benefit changes should be
shaped.
Admiral Harvey. The DOD is firmly committed to protecting the
health of our servicemembers and to providing world-class healthcare to
its more than 9 million beneficiaries.
However, the Department is challenged by the growing costs of the
Military Healthcare System (MHS), requiring important changes in
TRICARE to sustain a long-term superior benefit. This will require the
help and support of Congress. My understanding is that the Department
is awaiting receipt of an interim report of the DOD Task Force on the
Future of Military Healthcare as a basis for dialogue with Congress on
what shape these changes will take.
DOD leadership remains resolute in the commitment to place the
health benefit program on a sound fiscal footing to preclude the
otherwise inevitable consequences. Costs have more than doubled in 6
years--from $19 billion in fiscal year 2001, to $39 billion in fiscal
year 2007--despite MHS management actions to make the system more
efficient. DOD projects program costs to taxpayers of at least $64
billion by 2015. Further, healthcare costs may be expected to consume a
growing slice of the Department's budget, reaching 12 percent by 2015
(as compared to 4.5 percent in 1990).
General Coleman. The Military Health System provides the Nation's
best health benefit program for those who continue to wear the uniform,
retirees, and their families. TRICARE is the ``gold standard'' health
care benefit, which must be sustained. Healthcare is not without cost.
Military Health Program costs have doubled from $19 billion in fiscal
year 2001 to $38 billion in fiscal year 2006, representing an increase
from 6 percent to 8 percent of total DOD spending. Estimates indicate
these costs could reach $64 billion in 2015, more than 12 percent of
the DOD budget, an increase that is unsustainable without major impacts
in other areas of current and future force readiness. Such growth is
clearly faster than overall budget growth and could affect future
investments in manpower end strength, readiness, warfighting and
infrastructure. It is critically important that we place the health
program on a sound fiscal foundation for the long-term, so that we can
sustain the benefit and the vital needs of our military to recruit,
train, equip, and protect our servicemembers who support daily our
national security responsibilities throughout the world.
However, we ``cannot/should not'' break our promises to our
``retirees'' with respect to ``their perceived/promised'' health care
benefit. There are approximately 76,000 retired Active Duty and Reserve
Marines under the age of 65 who potentially would be affected by
increased premiums and shoulder an ``unfair'' burden.
We are also concerned about the impact of increased TRICARE fees on
our ``future'' retirees, many of whom we are now trying to retain as
the Marine Corps grows to 202,000. One of the primary reasons for
reenlisting is ``quality health care'' and increasing premiums for
retirees will have a negative impact on current reenlistments.
Additionally, the military's life-time medical benefits, as well as the
military retirement system, are strong motivational forces for the
thousands of young men and women who join our ranks each year. We
should not lose sight of these aspects. Today's high operational tempo/
wartime environment would be a poor time to ``devalue'' the retirement
benefits for our current or future retirees and send a negative signal
about the value of their retirement benefit.
General Brady. Challenges in recruitment and retention or the
problems at WRAMC are unrelated to and should not be directly linked to
any effort focused on raising premiums for health care entitlements.
The fiscal year 2008 budget request assumes savings of $2.2 billion
from reform proposals (as projected last year for fiscal year 2008); we
await the interim report of the DPD Task Force on the Future of
Military Health Care as a basis for dialogue with Congress on how these
should be shaped.

REDUCTION IN AGE OF RETIREMENT FOR RESERVES

44. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, what
is your view of the potential impact on recruitment, retention, and
manpower management the Reserve and Guard of lowering the age of
retirement?
General Rochelle. The Army is continuing to analyze projected
impact of lowering the retirement age for Reserve component soldiers
but our initial review of the numbers shows that there are over 4,000
Army Reserve and over 7,000 ARNG soldiers spread across all specialties
who would become immediately eligible for retirement once such a change
was approved. If all of them chose to retire from service there would
be a significant impact on our Reserve component mission.
From a manpower management standpoint, reducing the retirement
eligibility age will decrease the predictability of soldier inventory
size and hence increase the potential turbulence when distributing and
employing the Reserve component. Although the increased amount of time
between retirement eligibility and pension payout may encourage service
beyond the eligibility age, there is no data on which to base projected
inventory.
From the perspective of recruiting, it is possible that the lower
retirement eligibility age will be attractive to Reserve component
soldiers who tend to parallel civilian careers that continue beyond
military Service. That possibility will remain speculative until we
have been able to survey soldier attitudes in the present Reserve Force
or the population of eligible candidates for service.
Admiral Harvey. A recent study conducted by RAND found that
reducing the age for the receipt of retired pay only marginally affects
retention, and overall reduces the number of years a reservist will
serve. This proposal would substantially increase costs--funds that
could be put to better use to improve readiness and purchase much
needed equipment.
Reserve members who volunteer for extended periods of Active Duty
already receive a substantial increase in their military retired pay
because of their additional service. Moreover, the Uniformed Services
Employment and Reemployment Rights Act requires employers to credit,
for the purpose of qualifying for an annuity under a retirement plan
offered by the employer, periods of military service as serving with
the employer. This allows reservists to use the same period of time to
qualify for a retirement under two separate retirement systems.
General Coleman. The Marine Corps has reviewed several proposals,
both internal and external, to reduce the Reserve retirement age. The
most recent was April 2006 under S. 2449 in the 109th Congress. The
Marine Corps did not concur with the proposal to reduce the Reserve
retirement age to 55 based on the cost, impact of the force, and lack
of evidence that the proposal would have on shaping the force.
At the time of that proposal, the DOD projected cost would be $600
million in the first year and $6.6 billion over the next 10 years. If
health care entitlements were included with the decrease in retirement
age, the costs would increase to $900 million and $10.6 billion
respectively according to the 2004 DOD Report to Congress titled
Reserve Personnel Compensation Review.
Proposals that gradually reduce the retirement age for service in
support of contingency operations have certain merit and
philosophically support the continuum of service concept. However,
further study is required. While it may serve as a retention incentive,
it might also negatively affect promotion opportunities of mid-career
personnel.
Currently, there is no evidence that the proposals that call for
the lowering the retirement age to 55 will help shape the force or
increase recruitment. In fact, during recent years, attrition has
remained below historic norms.
General Brady. Changes to retirement eligibility for Reserve and
Guard must be considered in the context of the Total Force, to include
the effect on recruiting and retention and the larger issue of what it
does to the growing cost of manpower. Some analysis has indicated that
lowering the age of retirement would increase overall costs, and there
could be adverse impacts on retention of highly-experienced airmen.
This issue requires further study.

RESTRICTED REPORTING OF SEXUAL ASSAULT

45. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, the
committee has heard of instances in which State law may limit
implementation of the DOD policy on restricted reporting of sexual
assault. Are you aware of any instance in which State law governing
mandatory reporting of sexual assault has placed military personnel at
a disadvantage in not being able to exercise the option of restricted
reporting as permitted under DOD policy?
General Rochelle. The Army is not aware of any specific instance
where a soldier was unable to exercise the restricted reporting option
due to a State law which required mandatory reporting. However, the
Army is aware that some States do have mandatory reporting requirements
for rape, and/or injuries that may be sustained in conjunction with a
sexual assault. California enacted one of the most restrictive of these
State laws. California law requires medical personnel who treat a rape
victim to make a report to their local law enforcement agency. A legal
review of the California law by the DOD General Counsel office
determined that it does apply to health care providers who are working
in DOD military medical treatment facilities in that State.
The California law, and other less stringent State laws, may
prevent servicemembers from exercising their restricted reporting
option. One of the means used throughout DOD to mitigate this issue is
the use of memoranda of agreements (MOA) between our installation and
local civilian medical facilities, law enforcement agencies, and rape
crisis centers. In some States where the reporting requirements are
less stringent, these MOAs are sufficient. However, local MOA either
may not be sufficient to mitigate the strict California and similar
statutes or local authorities may decline to enter into MOAs.
Admiral Harvey. Commander, Navy Installations Command advises that
the Navy is unaware of specific members who were placed at a
disadvantage in not being able to exercise the restricted reporting
option. However, Navy restricted reporting data suggests that State
mandatory reporting laws by medical providers may have a suppressive
effect upon reporting by Active Duty victims who might otherwise make
restricted reports under DOD policy. For example, the rates of
restricted reporting per 10,000 Navy members for CY06 were 1.8 reports
in Virginia, in contrast with 0.13 reports in California. Analysis of
State laws conducted for the DOD Sexual Assault Prevention and Response
Office indicated that California law requires medical providers to
report treatment of any physical injury resulting from assaultive
conduct to law enforcement, in contrast with Virginia, where medical
providers are required to report only treatment of wounds inflicted by
specific weapons.
General Coleman. The majority of the States have various degrees of
statutory reporting requirements and there is potential for medical
personnel to interpret these statutes to require sexual assault
reporting to local law enforcement. Three States (Massachusetts,
California, and Kentucky) have laws which mandate sexual assault
reporting. The California law is of particular concern to the Marine
Corps in view of the number of Marine Corps installations in the State.
California law eliminates restricted reporting and, therefore,
disadvantages Marine Corps personnel. California Penal Code requires
medical personnel to report sexual assault to local law enforcement
personnel as a condition to legally practice medicine. Accordingly,
victims may not seek medical care in California without having their
case reported to law enforcement. Other States that could present an
obstacle to restricted reporting are Florida, Georgia, Ohio, Michigan,
New Hampshire, and Pennsylvania. In these States, if a victim suffers
non-accidental or intentional injuries in addition to the sexual
assault, medical personnel must report the incident to law enforcement.
However, we are not aware of any case where Marine Corps personnel
could not take advantage of restricted reporting. We recommend
coordination with DOD's Sexual Assault Prevention and Response Office
for information on the individual States' reporting requirements.
General Brady. A conflict can arise between State statutes and the
restricted reporting option when it is necessary to have a SAFE
conducted in a civilian facility off the installation. While restricted
reporting offers the option to have a SAFE completed without command
and law enforcement being notified, the civilian hospital conducting
the SAFE must comply with any State reporting statutes. These statutes
can require law enforcement be notified when specified conditions
exist. Several major commands have reported instances where this
conflict has occurred.
Laws that require medical personnel to report that they have
treated a competent, adult sexual assault victim fall into four
categories: (1) laws that require medical personnel to report treatment
of rape victims; (2) laws that require reporting of non-accidental or
intentional injuries, that may include rape; (3) laws that require
reporting certain specified injuries, such as injuries caused by
weapons, that may pertain to sexual assault victims; and (4) laws
regarding SAFEs that may also contain reporting requirements. In
addition, there are State licensing requirements for medical
professionals which may contain reporting obligations.
Our Sexual Assault Prevention and Response professionals have been
and will continue to partner with Air Force legal and medical personnel
on how best to resolve this important issue. In some States, resolution
of the conflict between the State reporting requirements and restricted
reporting has not been possible. If that occurs, we ensure the victim
is fully advised of the situation so that the victim can make an
informed decision as to whether to have a SAFE completed.

CIVILIAN CONVERSIONS OF MEDICAL PERSONNEL

46. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, in
spite of certifications provided by each Service Secretary that
civilian conversions have not eroded the quality of military health
care, we continue to hear that such conversions result in unfilled
medical positions. Major General Pollack, Acting Surgeon General of the
Army, recently informed the committee that the inability to hire
civilian medical personnel for converted military billets at WRAMC
contributed substantially to staffing shortages at WRAMC. Is it time to
stop and reassess the validity of this process for medical personnel?
General Rochelle. We do not want to stop the backfilling of
military positions with civilians when operational demand requires us
to realign the military. However, we recognize the need to reassess our
plans and programs and are currently re-evaluating select medical
military-civilian conversions. Military-civilian conversions play a key
role in increasing Army operational capabilities. Backfilling medical
positions in the Institutional Army with civilians and realigning the
military positions to the operational Army affects dwell times and
helps reduce stress on the force. Eliminating military-civilian
conversions as a tool for retaining civilian capability in our medical
facilities when military are realigned to meet operational requirements
as required by operational demand could lead to shortfalls in medical
capacity. We have, to date, filled 30 converted positions for fiscal
year 2007. We currently have 41 unfilled nursing assistant and health
aid technician positions, for which we have commitments to hire for 17.
We are taking steps to fill the remaining positions by expanding our
use of recruitment, retention, and relocation incentives. The average
fill time for converted military positions at WRAMC has been 70 days in
administrative, nursing, dental assistant, operating room technician,
medical supply specialist, and engineering technician positions.
Admiral Harvey and General Coleman. Navy has certified that
continuing conversions planned for fiscal year 2005 and fiscal year
2006 will not adversely affect cost, quality, or access. To date,
military to civilian conversion success has been 84 percent for fiscal
year 2005 and 53 percent for fiscal year 2006. Navy cannot forecast,
with confidence, the future market of health professionals. As the
medical labor market tightens, we anticipate hiring will become
increasingly difficult.
Since 2005, Navy has experienced difficulty in hiring qualified
individuals for certain specialties such as dentists, dental
assistants, nurses, lab technicians, and pharmacists. The market for
these specialties is especially constrained. Some medical specialties,
such as radiology, are expensive, while others include mid- to low-
paying jobs in which the applicant pool cannot support the increasing
demand. Failed security screenings, physical disqualifications, and
hiring lag issues have all exacerbated the situation. Hiring into some
specialties may become so difficult in the civilian market that
reconsideration of some conversions may become necessary.
Navy is constantly reassessing its military-to-civilian conversion
process. We have adopted a forward looking approach to investigating,
requesting, and implementing hiring flexibilities to include title 38,
U.S.C., special hire, and direct hire authorities. Navy is currently
reviewing hiring policies and procedures in an attempt to streamline
the process. If the labor pool is available, cost effective, and does
not adversely impact operational readiness or quality or access to
healthcare, we would plan on continuing to convert positions.
General Brady. As of March 31, 2007, the Air Force Medical Service
(AFMS) has filled 245 of 403 positions converted in fiscal year 2006
and 230 of 813 positions converted in fiscal year 2007. An additional
963 positions will be converted in fiscal year 2008. The AFMS has the
following concerns regarding the process:

A hiring freeze during fiscal year 2006 negatively impacted
AFMS ability to fully execute military-to-civilian conversions.
The ability to execute military to civilian conversions is
dependent on the location of conversion and availability of
potential candidates.
Under-execution causes decreased production yielding less
efficient MTFs.

Given these concerns, we do not believe additional military to
civilian conversions should be pursued until we can accurately assess
the effectiveness of the process. The AFMS is requesting the Air Force
Audit Agency perform an audit of the fiscal year 2006-fiscal year 2008
Enhanced Planning Process to review and assess effectiveness of
recruitment, ability to access interested and available candidates;
timeliness of backfilling vacancy after initial military to civilian
hire; access to care, and net savings (MILPERS versus O&M Civilian Pay)
at hospitals, medical centers, and designated clinics.

47. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, how
close to reality for the medical professions is Dr. Chu's testimony
that ``the average costs of civilians are less than the average costs
of military?''
General Rochelle. Analysis conducted during the Department's most
recent Medical Readiness Review (MRR) showed that the conversion of
11,949 medical military billets to civilian performance (to include
1,288 physicians, 794 dentists, 837 nurses, and 840 other medical
officers) would produce average savings of $22,900 per year short-term,
and $30,100 per year long-term, for each billet converted. The average
savings of a civilian replacement for other Government agencies is
$4,500 per year short-term and increases to $20,700 per year long-term.
The analysis includes a full accounting of the costs of military and
civilian medical personnel that has both: short-term costs such as pay,
health insurance, retirement, education, training, and recruitment; and
deferred costs such as health benefits, separation pay, and
unemployment and survivor benefits. In their 2006 report on ``Military
Personnel: Military Departments Need to Ensure That Full Costs of
Converting Military Health Care Positions to Civilian Positions Are
Reported to Congress,'' the GAO endorsed the Department's approach for
costing military to civilian conversions. However, it is important to
note that the Army is doing military-to-civilian conversions to
increase operational capability.
Admiral Harvey and General Coleman. Based on the hiring experience
in fiscal years 2005 and 2006, Navy Medicine found that the conversions
did not increase cost overall and access to care has stayed within
standards.
The issue with military-to-civilian conversions is not as much a
matter of pricing accuracy as it is rather the availability of labor in
the local markets where Navy Medicine is hiring. Between 2005 and
present, Navy Medicine has experienced difficulty in hiring medical
professionals in certain specialties, to include dentists, dental
assistants, nurses, lab technicians, and pharmacists. The market for
these specialties is especially constrained. Other converted positions
include mid-to-low paying jobs and we are finding that the labor supply
cannot support the increasing labor demand. Other aspects such as
failed security screenings, physical qualifications, and hiring lags
contribute to the hiring challenges.
General Brady. In general terms this may be true for enlisted
specialties, nonprofessionals, and paraprofessionals. However, for
professional capabilities and skill sets (i.e., Physicians, Nurses, and
Dentists) civilians may actually be more expensive particularly in high
cost markets (Seattle, Washington D.C., Bay Area, Denver) or in low
density specialties areas. The ability to execute military to civilian
conversions is also dependent on the location of conversion and
availability of potential candidates.

DRUG AND ALCOHOL USE BY SOLDIERS IN MEDICAL HOLDOVER

48. Senator Graham. Dr. Jones, what are the issues of drug use by
soldiers in medical holdover?
Dr. Jones. Soldiers in medical holdover are subject to the same
regulations as all military members on Active Duty. Illegal drug use is
not an accepted behavior. Routine random urine drug screening and
command-directed urine drug screening programs are in place.

49. Senator Graham. Dr. Jones, what are the issues of alcohol abuse
by soldiers in medical holdover?
Dr. Jones. Alcohol abuse by servicemembers on Active Duty,
including those in medical holdover, is a DOD concern because it may
affect the health and safety of those individuals who abuse alcohol.
Programs to deglamorize alcohol use and educate servicemembers to seek
care and counseling for alcohol abuse are prominent in each Service,
installation, and unit.

50. Senator Graham. Dr. Jones, regarding use of illegal drugs, is
there a drug problem at WRAMC?
Dr. Jones. Although any wrongful use of illegal substances is
problematic, the overall statistics for the Medical Hold (MH) and
Medical Holdover (MHO) group of servicemembers are about the same as
the rest of the Army. In fiscal year 2006, the combined data collected
from MH and MHO was:

Total Samples Collected: 773
Total Positive Results: 14
Percentage Positive: 1.8 percent

The comparable statistic for total Army was 1.7 percent.
Statistically, the MH and MHO positive rate for illicit drugs was
essentially a match to the total Army rate in fiscal year 2006.
The fiscal year 2007 combined data shows that the positive rate was
cut in half for MH and MHO during the first half of the fiscal year.

Total Samples Collected October 2006 through March 2007: 353
Total Positives: 3
Percentage Positive: 0.8 percent

The Army Substance Abuse Program at WRAMC attributes the reduction
in positive testing results to the increased vigor of the Medical
Center Brigade testing program. Deterrence of drug usage in response to
an increased possibility of detection through random drug testing is a
well known outcome in Army drug testing programs. The Army Substance
Abuse Program at WRAMC provides a number of services to support the MH
and MHO soldiers.

A quality Outpatient Treatment Program for substance abuse
disorders
Referral as needed to higher levels of care in the military
and civilian communities
Coordination with Inpatient Psychiatric services to support
servicemembers who have both a substance problem and
psychiatric issues
Close coordination with commanders to manage servicemembers
who are enrolled in the substance abuse treatment program
Alcohol and Drug Awareness Education Classes for MH and MHO
staff and patients on request
Participation in the orientation of MH and MHO soldiers
Installation campaigns which focus on alcohol and drug abuse

51. Senator Graham. Dr. Jones, how many soldiers have tested
positive for using illegal drugs while in a medical hold or medical
holdover status?
Dr. Jones. Soldiers in medical hold and medical holdover are
subject to the same regulations as all military members on Active Duty.
Illegal drug use is not an accepted behavior. Routine random urine drug
screening and command-directed urine drug screening programs are in
place. However, at the DOD level, we do not track positive drug tests
by the individual's presence on a medical hold or medical holdover
list.

52. Senator Graham. Dr. Jones, what actions did the Army take in
cases of those who tested positive, if any, for use of illegal drugs?
Dr. Jones. The Army processes all incidents of illegal drug use in
strict compliance with the Uniform Code of Military Justice--regardless
of a soldier's duty status. Medical holdover soldiers are held to the
same standards as their Active Duty counterparts.

53. Senator Graham. Dr. Jones, is there a pervasive problems of
illegal drug use in medical holdover throughout the Army?
Dr. Jones. There is no pervasive problem of illegal drug use in
medical holdover throughout the Army.

RECRUITMENT AND RETENTION OF MEDICAL PERSONNEL

54. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, we
are now more than a year into the debate about how to improve
recruiting and retention of medical personnel in both the Active and
Reserve components. What actions have you undertaken in fiscal years
2007 and 2008 to address this critical need within the Services?
General Rochelle. Currently, the Army employs health professional
scholarship, financial assistance, loan repayment, and Reserve
component specialized training assistance programs in conjunction with
student stipends, accession bonuses, and Incentive Specialty Payments
(ISPs) to augment our recruiting efforts to achieve medical personnel
accession goals for fiscal year 2007. Likewise, we utilize ISPs and
Critical Skill Retention Bonuses (CSRBs) to assist in retaining those
health professionals currently answering the Nation's Call to Duty.
Additionally for fiscal year 2008, the Army plans to implement the
following initiatives: 1) expand the Referral Bonus Program to include
AMEDD applicants upon congressional authorization approval, 2) increase
health professional scholarship stipends, and 3) increase outreach for
accessioning (i.e., touring with the new Team Medic Support Vehicle).
Specifically to address the concerns with nursing shortfalls, the Army
plans to increase the Army Nurse Accession Bonus from $25,000 to
$30,000; allow officers serving in other Army specialties to obtain an
entry-level nursing degree while remaining on Active Duty; and expand
the CSRB for nurses to include other nursing specialties.
We continue to review the benefits of implementing a AMEDD Officer
Accession Bonus Pilot Program that would pay applicants up to $6,000
for completing the entire accession process within 90 days, expanding
or increasing targeted incentives, and offering civilian doctors the
opportunity to serve a reduced 2-year military service obligation in
lieu of the statutory 8-year service obligation term.
Admiral Harvey and General Coleman. Navy has established a focused
Medical Capabilities Working Group (MCWG) to develop a strategy for
building and sustaining the necessary medical capability for the Navy
of 2013. Rising civilian sector competition and wages caused by the
surge in demand for health care services to support an increasingly
aging national population adds difficulty to the recruiting and
retention of medical professionals. While this MCWG develops a
comprehensive strategy, we have:

deployed a Medical Speaker's Bureau to send Navy doctors,
dentists, and Medical Service Corps (MSC) officers in critical
skills to meet and recruit prospects at medical university
campuses (BUMED provided $100,000 in Temporary Additional Duty
funds to support this effort);
hired, trained, and put in place 22 medical officer
recruiters on Active Duty for Special Work (ADSW) orders to
bolster our total force (Active and Reserve) medical officer
recruiting efforts;
refocused advertising/marketing plans on medical recruiting.
These included email, direct mailings, influencer packages, job
postings on Monster.com, and new print ads for Nursing,
Dentistry, and Physicians;
expanded Reserve component (RC) eligibility for the $10,000
Affiliation Bonus to all health professions officers
(physician, dentist, nurse, and MSC) in non-wartime critical
specialties;
initiated a Critical Skills Accession Bonus (CSAB) for Health
Professional Scholarship Program (HPSP) students on a limited
basis due to resource constraints.

Current medical professional retention incentives include:

Medical Corps: Multiyear Special Pay (MSP), Incentive Special
Pay (ISP), Variable Special Pay (VSP), Additional Special Pay
(ASP), and Board Certified Pay (BCP);
Dental Corps: Dental Officer Multiyear Retention Bonus
(DOMRB), Incentive Special Pay (ISP) for Oral and Maxillofacial
Surgeons, Additional Special Pay (ASP), Critical Skills
Retention Bonus (CSRB) for general dentists, and Board
Certified Pay (BCP);
Nurse Corps: Nurse Anesthetists Incentive Special Pay (ISP),
and Board Certified Pay (BCP);
Medical Service Corps: Optometry Pay, Optometry Retention
Bonus (ORB), Pharmacy Officer Special Pay (POSP), and Non-
Physician Healthcare Provider Board Certified Pay (BCP).

We have also recommended the designation of Clinical Psychologists
and junior Nurse Corps Officers within selected year groups as having a
critical skill for the purposes of establishing a critical skills
retention bonus.
Congress also included additional authorities in the National
Defense Authorization Act (NDAA) for Fiscal Year 2007. Within resource
constraints, we are moving forward to put many of these authorities in
place to confront the mounting readiness challenges we face in the
health professions. These include:

Increase in the Health Professions Scholarship Program (HPSP)
stipend from $15,000 to $30,000;
Direct accession bonus of up to $400,000 for physicians and
dentists;
Increase in the Health Professions Loan Repayment (LRP) from
$22,000 to $60,000;
Increasing the Financial Assistance Program (FAP) grant from
$30,000 to $45,000.

We also note, with appreciation that both House and Senate
introduced versions of the NDAA for Fiscal Year 2008 include the
following additional authorities we requested to address health
professions readiness concerns:

Increase in incentive special pay and multiyear retention
bonus for medical officers of the Armed Forces;
Increase in dental officer additional special pay;
Accession bonus for participants in the Armed Forces health
professional scholarship and financial assistance program.
General Brady. We have allocated our available special and
incentive pay dollars to optimize return on investment during the
period. Supported by the Air Force Recruiting Service and AFMS, the Air
Force Personnel Directorate (AF/A1) has also championed the need for
additional dollars for medical accession bonuses and health professions
scholarships at both the Air Force and OSD/(Health Affairs) levels. AF/
A1 is also in the process of standing up the Recruitment and Retention
Investment Strategy Council, which will oversee medical personnel
investment strategies, balance recruiting and retention, to provide a
total mission-ready force.

55. Senator Graham. Lieutenant General Rochelle, Vice Admiral
Harvey, Lieutenant General Coleman, and Lieutenant General Brady, are
any additional authorities needed to assist you?
General Rochelle. We do not foresee requiring additional
authorities for fiscal year 2007 or fiscal year 2008; however, your
assistance in ensuring the current proposed initiatives are approved
and fully funded is critical in taking the right steps towards
addressing the medical personnel requirements of the Army.
Additionally, the Army's ability to compete with the civilian market
requires that you remain receptive to future requests that may arise to
ensure we remain postured to meet the medical needs of our soldiers
during this sustained conflict.
Admiral Harvey. I appreciate the outstanding support Congress
provided through enactment of new or enhanced authorities included in
the NDAA for Fiscal Year 2007, intended to bolster medical recruiting,
such as new accession bonuses, increased limits for loan repayment, and
increased stipends for participants in the health professional
scholarship and financial assistance programs. Within resource
constraints we are moving forward to put many of those authorities in
place to confront the mounting readiness challenge we face,
particularly within the health professions.
I also note, with appreciation, that Senate- and House-introduced
versions of the NDAA for Fiscal Year 2008 include the following
additional authorities we requested to address specific health
professions readiness concerns:

increase in incentive special pay and multiyear retention
bonus for medical officers,
increase in dental officer additional special pay,
accession bonus for Armed Forces health professional
scholarship and financial assistance program participants.

We are continuing to evaluate other possible initiatives that would
assist in health professions recruiting, such as:

initial accession bonus for Clinical Medical Service Corps
Officers,
increase in the accession bonus cap for registered nurses
accepting a commission,
increase in the accession bonus cap and stipend for nursing
students,
bonus for successful referrals into Navy medical programs,
and
utilizing the Health Professional Scholarship Program (HPSP)
for certain undermanned Clinical Medical Service Corps
communities.

General Coleman. USMC M&RA needs several new authorities in order
to better carry out its mission:
First, we need the authority to pay IRR marines for taking the time
to complete electronic screening. This is a NDAA for Fiscal Year 2008
initiative that would compliment our current in-person muster program.
It will enable us to pre-screen members of the IRR without the high
cost and time commitment of a muster. We are thankful for its inclusion
in H.R. 1585 and S. 567, as introduced.
Second, we would also like to see tax-free Selective Re-enlistment
Bonus (SRB) authority. This would remove the current inequities in the
SRB program. Currently, some marines are denied the tax-free benefit
solely because their deployment time does not coincide well with their
end of active service date, neither of which is in their control; one
day may very well make the difference between a marine being taxed on
his or her SRB or not. Most marines will have deployed during their
prior enlistment so the date of that deployment should not be a limiter
to the tax-free benefit, and those few marines who do not deploy during
their current enlistment will inevitably deploy in support of the
Commandant's program to get ``every marine into the fight.''
Furthermore, many marines currently try to delay their decision to re-
enlist until they are in a tax-free status, reducing the predictability
of reenlistments which complicates manpower planning. SRB is a tool to
increase retention. As such, all marines entitled to SRB should be
entitled to the tax-free benefit.
Third, USMC M&RA would like expanded authority to pay a regular re-
enlistment bonus. This would assist with our retention efforts, made
even more challenging by the recent increase in authorized end
strength. This bonus would be significantly less than the current SRB
we offer for special skills. Marines who qualify for both would only be
entitled to the higher of the two.
Finally, the USMC needs a permanent increase in General Officers
(GOs) in order to more effectively carry out its mission. An increase
in Active GOs from 80 to 90 and in Reserve GOs from 10 to 12 is
requested. This will enable us to fill all of our GO requirements, some
of which are currently gapped, and to enable all of our GOs better
opportunity to compete for joint positions.
General Brady. At this time, our limiting factors are more
frequently dollars for execution than shortfall in authority. As
mentioned above, we are pursuing additional dollars to support both
accession bonuses for medical personnel and an increased number of
Health Professions Scholarships. Both initiatives, when funded, should
have a substantial impact on our medical personnel shortages.
______

Question Submitted by Senator Susan Collins

BENEFITS

56. Senator Collins. Secretary Hall, on March 15, outgoing Army
Chief of Staff General Schoomaker told this committee that 55 percent
of our Nation's total Armed Forces are now National Guardsmen and
reservists. That to me is a staggering statistic. If we are going to
rely so heavily on these citizen soldiers, at least in the short-term,
I believe we need to reevaluate the benefits provided to these men and
women.
I, along with a number of my colleagues in the Senate, am concerned
with the growing disparity between Active Duty and Reserve component
educational benefits. We have mobilized National Guardsmen and
reservists serving side-by-side with Active Duty servicemembers in Iraq
and Afghanistan, and I have heard a number of senior defense officials
say that you simply cannot tell the difference between Active Duty
servicemembers and Reserve component forces in theatre.
Yet, today, Selected Reserve educational benefits pay 29 cents to
the dollar compared to those of the Active component. Moreover, many
National Guardsmen and reservists today don't have time to use the
educational benefits available to them because they are being mobilized
so frequently.
What are your thoughts on this issue and are there any changes you
think may be warranted given how much we are asking of the Reserve
component forces today in the global war on terror, both at home and
abroad?
Secretary Hall. The Reserve components have comprised over 50
percent of our Armed Forces for several years. There is no doubt that
they are an integral and vital component of our military capability.
They have been called upon in unprecedented numbers beginning with the
first Persian Gulf War, and they have performed magnificently.
Moreover, they are enlisting and reenlisting during these challenging
times such that the Department is meeting its strength goals.
One of the incentives that has helped us in meeting our strength
goals since 1984 is the Montgomery GI Bill for the Selected Reserve
(MGIB-SR). This educational assistance program not only provides a
strong recruiting incentive, it also helps us retain personnel because
to use the benefit, an individual must serve a minimum of 6 years and
continue to serve. However, there is an exception to the requirement
for continued service in the Selected Reserve for a member who has
served on Active Duty. Not only is the delimiting date extended by the
amount of time served on Active Duty plus 4 months, but the MGIB-SR
benefit can be used following separation from the Selected Reserve as
well for a period of time that equals the amount of time served on
Active Duty plus 4 months. Thus, a member who is called away from his
or her studies does not lose that period of eligibility because of
military service. Moreover, the rotation goals set by the Secretary of
Defense are designed to provide a significant period between
involuntary mobilizations--5 years. This provides ample time for
Selected Reserve members to use the educational assistance programs
available to them. While a member may voluntarily perform more duty,
the minimum training requirement prior to the year leading up to
mobilization is only 39 days a year.
______

Questions Submitted by Senator Saxby Chambliss

MILITARY HEALTH SYSTEM

57. Senator Chambliss. Secretary Chu and Secretary Hall, you
mention in your written statement regarding Reserve component retention
that you ``are closely monitoring retention/attrition particularly for
those members who have been mobilized and deployed to support
operations in Iraq and Afghanistan.'' At this point, what type of
information are you finding as you monitor this situation and do you
see any trends that are noteworthy?
Dr. Chu and Secretary Hall. Measuring all losses, regardless of
reason, from the Reserve components, we are pleased to report that
enlisted attrition remained below established ceilings for fiscal year
2006, continuing a very positive trend. As a matter of fact, the
composite (officer + enlisted) attrition rate of 18.4 percent was the
lowest it has been since fiscal year 1991. Through February 2007,
enlisted attrition is on track to remain below established ceilings for
each Reserve component. We are closely monitoring retention/attrition,
particularly for those members who have been mobilized and deployed to
support operations in Iraq and Afghanistan and have seen a propensity
by these veterans to continue to serve. A recent study revealed that
Reserve members who were mobilized and deployed into the theater of
operations were retained at similar rates to those not mobilized, and
at higher rates than those mobilized but not deployed.

DOD SCHOOLS

58. Senator Chambliss. Secretary Chu, I am pleased to see that you
focus on education of military children in your written statement, and
that you note the challenge that DOD is creating for numerous local
communities who will be absorbing thousands of military dependent
students as a result of Base Realignment and Closure (BRAC), global
rebasing, and force restructuring. I note that the President's fiscal
year 2008 budget request includes $2.4 million to allow DOD to share
expertise and experience with local, non-DOD schools impacted by these
changes, to help these schools properly prepare for and educate these
military dependent students. However, I also note that the Department
also lists a $62.6 million unfunded requirement for this issue. In my
home State of Georgia, Fort Benning will experience an influx of
approximately 6,000 DOD personnel plus associated contracts as a result
of BRAC. This influx is going to severely strain the local school
districts that do not have the resources to construct new schools or
hire new teachers in advance of arriving students. What specifically
would this $62.6 million unfunded requirement pay for?
Dr. Chu. The 2006 NDAA authorized the DODEA to establish
partnerships with local and State educational agencies to promote
quality education for military dependent students. The DODEA fiscal
year 2008 budget includes $2.4 million of the unfunded requirement of
$62.6 million to conduct initial assessments of school district needs
and to begin developing partnerships with the affected school systems.
Of course, DOD cannot build schools, estimated to cost billions of
dollars, to help with this influx. Instead, DODEA will share its
expertise in the areas of high quality educational programs, academic
support, educator placement, and implementation of the President's
Foreign Language Initiative to increase foreign language proficiency
(especially in Mandarin Chinese and Arabic) in local education
agencies.

59. Senator Chambliss. Secretary Chu, why is it an unfunded
requirement versus in the budget request?
Dr. Chu. The 2006 NDAA recently authorized the DODEA to establish
partnerships with local and State educational agencies to promote
quality education for military dependent students. In response, the
$2.4 million requested in the DODEA fiscal year 2008 budget provides
start-up funding for this effort.

60. Senator Chambliss. Secretary Chu, is DOD planning to fund this
effort in future years in order to further address this issue?
Dr. Chu. The Department will request funding in subsequent years to
coincide with planned troop movements to assist with the transition of
military children by sharing educational excellence with local
education agencies. The goal of this effort will be to ensure that a
high quality educational program is provided to all military dependents
living both inside and outside the gates of military installations.

MANNING AND STRESS ISSUES

61. Senator Chambliss. General Brady, some Air Force specialties
such as security forces are experiencing deployment stress due to heavy
deployed requirements. What is the Air Force doing to alleviate manning
shortages and career-field stress related to increased deployments?
General Brady. The Air Force is aggressively balancing assigned
personnel across specialties while we size the overall force in
accordance with our modernization/recapitalization plans. We have
determined to fund manpower needs to meet future core Air Force mission
capabilities while filling combatant commander needs in lieu of (ILO)
Army and other sourcing requirements. In other words, the Air Force is
not growing personnel inventories in heavily sourced specialties, like
security forces, just to fill ILO taskings. The Air Force is also
maximizing the number of qualified people eligible to deploy to reduce
the tempo in stressed specialties across force. In particular for
security forces, schoolhouse production is currently maxed-out,
training roughly 5,000 new students each year to enter the Total Force.
Re-enlistment bonuses are being offered to two of the three security
forces specialties, and to other stressed specialties to improve
retention in these crucial warfighting skills.

[Whereupon, at 5:35 p.m., the subcommittee adjourned.]

DEPARTMENT OF DEFENSE AUTHORIZATION FOR APPROPRIATIONS FOR FISCAL YEAR
2008

----------

WEDNESDAY, APRIL 18, 2007

U.S. Senate,
Subcommittee on Personnel and
Subcommittee on Readiness
and Management Support,
Committee on Armed Services,
Washington, DC.

JOINT HEARING WITH THE SUBCOMMITTEE ON READINESS AND MANAGEMENT SUPPORT
TO RECEIVE TESTIMONY ON THE READINESS IMPACT OF QUALITY OF LIFE AND
FAMILY SUPPORT PROGRAMS TO ASSIST FAMILIES OF ACTIVE DUTY, NATIONAL
GUARD, AND RESERVE MILITARY PERSONNEL

The subcommittees met, pursuant to notice, at 3:07 p.m. in
room SR-232A, Russell Senate Office Building, Senator E.
Benjamin Nelson (chairman of the Subcommittee on Personnel)
presiding.
Committee members present: Senators E. Benjamin Nelson,
Akaka, Inhofe, Chambliss, and Graham.
Majority staff members present: Jonathan D. Clark, counsel;
Gabriella Eisen, professional staff member; Gerald J. Leeling,
counsel; and Michael J. McCord, professional staff member.
Minority staff members present: Derek J. Maurer, minority
counsel; Lucian L. Niemeyer, professional staff member; Diana
G. Tabler, professional staff member; and Richard F. Walsh,
minority counsel.
Staff assistants present: David G. Collins and Benjamin L.
Rubin.
Committee members' assistants present: Darcie Tokioka,
assistant to Senator Akaka; Benjamin Rinaker, assistant to
Senator Ben Nelson; Gordon I. Peterson, assistant to Senator
Webb; Clyde A. Taylor IV, assistant to Senator Chambliss; and
Adam G. Brake, assistant to Senator Graham.

OPENING STATEMENT OF SENATOR E. BENJAMIN NELSON, CHAIRMAN

Senator Ben Nelson. The Personnel and Readiness and
Management Support Subcommittees of the Senate Armed Services
Committee meet together this afternoon to consider the impact
of quality of life and family support programs on the readiness
of Active Duty, National Guard, and Reserve personnel.
We're holding this joint hearing of our two subcommittees
at the recommendation of Senator Akaka, who is chairman of the
Subcommittee on Readiness and Management Support. I think,
Senator Akaka, this is a great idea, and I appreciate very much
your suggesting it.
We all understand that our military personnel cannot focus
on the mission at hand if they are distracted with worries
about whether their families are being taken care of. Taking
good care of military families translates directly to improved
military readiness. It's our intent to support policies and
programs that foster a family-friendly environment for our
military families. So, Senator Akaka, thank you for your
leadership on this.
It's certainly appropriate that we hold this hearing on
family readiness during April, as April is the month of the
military child. Military parents have the very difficult and
challenging task of raising children during these highly
stressful times of deployment, redeployment, extended
deployment, and reintegration into home life upon return from
deployment. The Secretary of Defense just recently announced
that the Army combat tours will be extended from 12 to 15
months. What impact will this have on our military families?
I'll be interested in hearing whether the Army is making a
special effort to address the needs of the families of the
servicemembers who just learned that they will be coming home 3
months later than they had planned. What will the families have
to say about this recent change? Parenting is challenging
enough without these additional stresses. Military parents need
help, especially during these trying times, and that's what
this hearing is all about.
Today, we'll hear from Senator Chambliss about his proposal
to reduce the age at which certain National Guard and Reserve
retirees are eligible to receive retired military pay.
Next, we will hear from the Department of Defense (DOD) and
from the military services about programs and policies that
they have in place to help our military families.
Following their testimony, we will hear from military
spouses, who have a great deal of experience in dealing with
the challenges faced by military families, and the National
Military Family Association (NMFA), as well.
We hope to hear from them about the effectiveness of the
various programs for dealing with the unique stresses of
military life, especially during deployments. We also would
like to hear about other programs, including programs sponsored
by civilian communities that reach out to our military families
and contribute to their quality of life and financial
readiness. Then, finally, we'd like to know if there are any
gaps, or areas that these programs don't address.
I plan to introduce our witnesses as their panel is called
to testify.
Senator Akaka, do you have an opening statement?

STATEMENT OF SENATOR DANIEL K. AKAKA

Senator Akaka. Yes, Mr. Chairman, but I'd be willing to go
after the ranking member.
Senator Graham. No, it's fine.
Senator Akaka. Thank you very much, Mr. Chairman.
Chairman Nelson, I want to thank you for agreeing to hold
this joint Personnel and Readiness and Management Support
hearing today. I'm very, very pleased that the members of the
Readiness and Management Support Subcommittee are joining today
with Senator Graham, the ranking member, and Senator Inhofe,
here, and another witness, Senator Chambliss, to participate in
this hearing in support of our military families in order to
illustrate how important family readiness is to the readiness
of our military forces and to examine what we can do to improve
family readiness.
We have a large military population, from all four
Services, living in Hawaii, and I was glad to see that the four
Services and the National Guard and Reserves are represented
here by spouses. They are valued members of our community. I
know that it is not only our men and women in uniform, but also
their families, who serve our Nation and who bear the brunt of
the heavy demands placed on our military.
Just as we are responsible for the well-being of our
servicemembers, likewise we have a responsibility for their
families. As chairman of the Readiness and Management Support
Subcommittee, I asked that we hold this hearing today, because
I'm convinced that how well we care for the families of our
servicemembers directly affects the quality of our military. I
really believe our military leaders understand this, as well.
Two days ago, the Army announced a series of belt-
tightening measures to deal with the unexpected costs of the
President's so-called ``plus-up'' of forces to Iraq. The Army
specifically exempted family support programs from any
reductions.
I also know that our Personnel Subcommittee, chaired by
Senator Ben Nelson, has the most expertise on the programs that
affect our families. So, I'm very pleased that we could work
out this joint hearing with them, and want to thank, again,
Senator Ben Nelson and Senator Graham for agreeing to hold this
hearing with us.
I want to welcome the witnesses for all of our panels this
afternoon, especially those of you that have traveled far to be
with us today. We have three panels and many witnesses today,
so I will not take up valuable time by mentioning everyone
individually, but I want you all to know, especially witnesses
on the final panel, how much we appreciate both your being with
us today and how much you do for your country through your
families.
I look forward to hearing from our colleague Senator
Chambliss, our witnesses from DOD, and spouses, on our third
panel. We have a wide range of issues to discuss today, from
childcare and schools to counseling services to housing, and I
could list many more.
I hope that our witnesses today will be able to speak to
two topics of particular interest to me:
First, the unique financial stresses that military
families--Active Duty personnel, National Guard, and Reserves--
may face, in particular due to deployments, and whether
financial planning services are widely available to these
military families to meet these challenges.
Second, I think we need to discuss not only what is the DOD
doing for military families, but what role does the local
community play in supporting military families, both in the
Active Duty, as well as National Guard and Reserves. What role
should it play? How much community involvement do military
families really want?
I will be especially interested in hearing from our final
panel on this. Do our military families want as much
interaction with, and assistance from, the civilian community
as possible, or do they prefer to take care of their own?
So, with these questions, let me say that I look forward to
discussing this with our witnesses during our course of this
hearing.
Again, Mr. Chairman, I want to thank you so much for
holding this hearing.
Senator Ben Nelson. Thank you, Senator Akaka.
Senator Graham, you're no stranger to this. If not for the
change in November, you would still be the chairman and I would
be the ranking member. Senator Chambliss has also been the
chairman when I was the ranking member, so you certainly are no
stranger, either.
So, Senator Graham, do you have some opening remarks?

STATEMENT OF SENATOR LINDSEY O. GRAHAM

Senator Graham. Yes, thank you.
To our panel members, welcome, and I look forward to
hearing from you and having some questions.
To Senators Akaka and Nelson, congratulations for taking
over the respective subcommittee gavels. It was an honor and a
pleasure to have chaired the Personnel Subcommittee and to work
very closely with Senator Nelson, who is an absolute joy to
work with. I have a feeling that even though our titles may
have switched, the work product will be the same.
We accomplished a lot in the 109th Congress, and I look
forward to continuing that, because the fight is stronger. The
pressure on families is stronger in this Congress than it was
in the last Congress, with no end in sight. So, that's why this
hearing is so important, that we have a ready force, and you
can't have a ready force without their families being well
taken care of. The two go together.
As to Senator Chambliss, I am very pleased that he was able
to come here today to talk about a measure that he's been
championing. He's the co-chairman of the Senate Reserve Caucus,
with Senator Pryor. It's about the dilemma the country faces
with our National Guard and Reserves. They're being used in
historic numbers, in multiple deployments, akin only to World
War II. We have a system that hasn't changed in 30 years, in
many ways, and now is the time to look at the retirement system
for the Guard and Reserve, in light of the war that's going to
go on for a very long time in Iraq, that I believe is just one
battlefront on this war. You could not win the war, and
maintain our national security, without the Guard and Reserves.
It's long overdue that we've looked at changing the benefits.
The Guard Commission has been formed, and they've made
recommendations. But Senator Chambliss's idea of lowering the
retirement age, based on participation by the Guard member and
reservist, is a great idea, and we need to embrace it as a
Congress.
It's been 5 years since the attacks on September the 11th.
We have an All-Volunteer Force. There's 1,600 citizens of South
Carolina in the 218th Brigade Combat Team, Army National Guard,
going off to Afghanistan. I was in Iraq recently, and there's a
lot of South Carolina roots in our military, both civilian and
military members serving. Every State has been touched. The
Guard and Reserve are indispensable. But the active duty
families have gone through very difficult times, multiple
deployments, no end in sight, and this is the opportunity for
this country--I'm always asked, What can we do? What can we do?
How can we help the military? Well, today is about finding out
what we can do better than we're already doing. If it takes
more money, so be it. This is the best investment America will
ever make. Keeping families intact and safe and secure while
their loved ones are off on the battlefield, that's the least
we can do, and I am committed, working with my colleagues, to
make sure we do it in a way that will make America proud.
Thank you very much, Mr. Chairman.
Senator Ben Nelson. Well, thank you, Senator Graham.
Senator Inhofe, do you have an opening statement?
Senator Inhofe. Yes, just very brief.
What Senator Graham said, I agree with. We have that
commitment to the quality of life. I chaired the Readiness and
Management Support Subcommittee, with Senator Akaka, back in a
previous life when we were in the majority. So, we've been
living with these issues for a long time.
The personnel issues, the quality-of-life issues, are, in
fact, readiness issues and very significant. What I want our
witnesses, particularly on the second panel, to address is two
things. First of all, in the beginning of this administration,
what, 6 years ago, plus, one of the commitments was to do
something about eliminating inadequate family housing, in order
to revitalize housing. Then, along came September 11, and we
had to make up for what we lost back in the 1990s, when we
dramatically cut back on our funding. I can remember--they call
them sustainment, restoration, and modernization (SRM) accounts
now; they used to be real property maintenance (RPM) accounts--
they were actually robbing those accounts, not putting roofs on
barracks in order to buy enough bullets to train with. So,
that's how critical it was, and so, I say--a lot of times,
where you have to take the money from is quality-of-life, and
we can't afford to do it. But I hope that the second panel will
address that, because the funding is going to be very difficult
to increase funding there, because everything else is bleeding
at the same time--our modernization program, our force
strength, and other accounts that have to be funded.
So, it's a difficult task, and I think all of us--all five
of us--realize how important quality-of-life is to sustain this
force that we have.
Thank you, Mr. Chairman.
Senator Ben Nelson. Thank you, Senator Inhofe.
Our first witness today has already been introduced, but
not sufficiently. Senator Chambliss has special status here
today, because he's a member of both the Personnel and the
Readiness and Management Support Subcommittees. As I mentioned,
at one time he chaired the Personnel Subcommittee.
In fact, I understand that, in June 2003, he actually
chaired a hearing on family issues, very similar to this
hearing, except that that hearing was held at Warner Robins Air
Force Base in Georgia.
So, Senator Chambliss, we're glad to have you here as a
witness, and we're very anxious to learn about your
legislation.
Senator Chambliss. Chairman Nelson, thank you very much for
that generous introduction there.
I'm just very pleased to be here on the same dais today
with these other two panels, particularly this third panel. All
of us who serve on the Armed Services Committee know and
understand that the commitment by individuals who join the
military is a family commitment, and certainly these spouses
here are military heroes, just like their husbands. So, I'm
very pleased to have the opportunity just to be in their
presence.
Ladies, thank you all very much for what you do for
America.
Chairman Nelson, Chairman Akaka, Senator Ensign, Senator
Graham, and Senator Inhofe, I do remember our days on the
Personnel Subcommittee together. Ben, you were a great ally,
and we got a lot accomplished back then, and you're doing a
terrific job in starting out in the right direction here as the
new chairman. Danny, congratulations to you, also. As a member
of the Readiness and Management Support Subcommittee, I have
significant interest, parochially and otherwise, in readiness
issues. So, you've been a great ally, and I certainly look
forward to working with you.
I am here today to talk about my bill, which is S. 648, the
National Guard and Reserve Retirement Modernization Act. The
retirement benefit for members of the Reserve components is a
readiness issue, and it is a family issue, and it's appropriate
that we discuss this issue today at this joint hearing.
During the Cold War and up until 1989, the Reserve
components were activated for an average of approximately 1
million man-days per year. This represented the steady state
for our reservists, who contributed primarily through weekend
and 2-week drills, with occasional longer deployments in
support of operational missions.
During the 1990s, the Reserve components were activated for
an average of 13 million man-days a year. This increase
reflected President Clinton's focus on global peacekeeping and
peace enforcement in places like Bosnia and Haiti, but also
Operations Northern and Southern Watch, patrolling the no-fly
zones in Iraq. The Air Force, in particular, was taxed during
this time, and began, during that time, to transition from a
strategic to an operational Reserve Force.
In his statement before this committee on March 28, 2007,
Under Secretary of Defense for Personnel and Readiness, Dr.
David Chu, stated, ``Since September 11, 2001, an annual
average of about 60 million duty days have been performed by
Reserve component members, the equivalent of adding over
164,000 personnel to the Active strength each year. This
represents almost a fivefold increase since the 1990s, and a
6,000-percent increase since the end of the Cold War. Almost
565,000 Reserve component members have served in support of the
current contingency since September 11, 2001.''
DOD's decision to increase the Active Force in the Army and
Marine Corps might relieve some of this stress on the Guard and
Reserve; however, no one, including myself, believes that the
way we use our Guard and Reserve Forces is going to return to
anywhere close to its previous levels.
In fact, yesterday, General Barry McCaffrey testified that
we cannot view our Reserve Forces as an alternative force that
is not engaged in operational missions, as we did in the past.
They are part of the fight, and, according to General
McCaffrey, will likely grow to 20 to 30 percent of our deployed
combat forces over the long term.
Individuals who sign up to join the Guard and Reserve today
do so knowing that they are going to combat. They sign up
expecting that their Reserve assignments will call them away
from their home for significant periods of time. That was not
true 15, nor even 5, years ago. It is a testament to the
quality of people in our Nation, and to the leadership of the
DOD, that, generally speaking, the military has done an
admirable job of managing, recruiting, and retention in the
Reserve component since the beginning of the global war on
terrorism. However, I believe the Reserve components will be
operating in an extremely challenging recruiting and retention
environment from now on. I believe that it is going to get
harder and harder to recruit and retain the necessary personnel
that our Nation requires in the National Guard and Reserve.
As recent studies on this issue have articulated, the long-
term effects on the increased deployments and utilization will
have on Guard and Reserve recruiting and retention are almost
completely unknown. But I would wager that the effect will be a
significant increase in the difficulty of attracting new
recruits, as well as an increase in retaining mid-career
personnel over the long haul.
Given these factors, it would be shortsighted and
irresponsible for us not to plan ahead. Several defense experts
have testified, before the full committee, that we must use
every tool at our disposal to recruit and retain the troops we
need to defend our Nation. Now is the time to do that, not
several years from now, when we are trying to fix a problem
that could have been fixed if we had been proactive when we
should have been.
Conceptually, the nature of the Reserve retirement benefit
is based on at least two factors:
The first factor is, what is the adequate compensation, in
terms of a financial annuity and nonfinancial benefits, for
those servicemembers who have successfully completed 20 years
of service in the Reserve component? This is basically a
question of, what is fair, given the role we have asked these
personnel to play, and the role they have carried out in
service to our Nation?
The second factor is, what kind of benefit will effectively
shape the Reserve Force in a way that allows us to meet the
requirements we have placed on the Reserve components without
creating any unintended side effects, such as negatively
affecting the makeup of the Active-Duty Force? This is a
pragmatic question that is based largely on what we want the
force to look like, and who and what kind of people we want to
retain.
In this new world of an operational, versus a strategic,
Reserve, the answer to both of these questions has changed.
That is why we need to modernize the retirement for National
Guard and Reserve personnel.
First, and as I stated earlier, the rate at which our
Nation is using members of the Guard and Reserve has not
increased linearly over the last 15 years, it has increased
exponentially. The role of the Guard and Reserve has
fundamentally changed, and what constitutes a fair compensation
should fundamentally change as a result.
Second, the Guard and Reserve Force structure is clearly
being shaped by our servicemembers' response to deployments and
the risk of deployments. When deciding whether to stay in the
Reserve component or not, servicemembers are asking a different
set of questions, such as: ``Will I be deployed? How often will
I be deployed? For how long will I be deployed?'' Members of
the Guard and Reserve serve voluntarily, but they expect
compensation for their service, and they expect compensation
that takes into account the disruption in their personal and
professional lives. As this disruption grows, which it has, the
compensation should grow, as well.
Some studies have indicated that the most effective tool to
attract and retain personnel, particularly more junior
personnel, is through cash bonuses. In fact, these bonuses have
been effective in recent years in helping the Services meet
their recruiting and retention goals. I support continuing cash
payments to these folks in order to sign them up, as well as to
retain them.
However, in terms of a long-term strategy that is good for
our military and good for our country, I have fundamental
problems with this approach. Cash bonuses can motivate
behavior. However, I would much rather motivate behavior over
the long term by providing an early retirement benefit based on
continuous service and deployments than motivate it by
appealing to someone's impulses.
In my mind, a deferred benefit that incentivizes
participation and retention over the long term and rewards
personnel for extended separations from their jobs and family
is the right approach. This will have the added benefit of
retaining the people who we truly need to retain, and that is
mid-career experienced personnel who have been deployed and
whose experience we need to keep in the Guard and Reserve. The
people who, in all likelihood, have competing demands on their
life, without an additional incentive, will leave the service.
Currently, National Guard and Reserve members are the only
Federal retirees--and I emphasize this--they are the only
Federal retirees who must wait until age 60 to collect
retirement pay. My bill would reduce the age for receipt of
retirement pay by 3 months for every 90 days a Guard or Reserve
member spends on Active Duty in support of a contingency
operation or on Active Duty for purposes of responding to a
national emergency. The maximum age reduction would be down to
age 50, and the adjustment would include volunteers, as well as
those involuntarily activated. The bill would include any duty
performed since September 11, 2001.
As you can see, this is a targeted benefit which rewards
those who have served for significant periods in support of a
contingency operation. It is not a handout to members of the
Guard and Reserve for simply showing up.
Soon after he was sworn in as Secretary of Defense,
Secretary Gates announced that he would mobilize Guard and
Reserve personnel as units, rather than individuals, and that
it would be the Department's policy to not mobilize them for
more than 2 consecutive years, rather than 2 cumulative years,
as the policy had been under Secretary Rumsfeld.
In light of this fundamental change in policy, we don't
really know--and, more importantly, reservists, themselves,
don't really know--how often they're going to be used. This
uncertainty will clearly have an effect on both recruiting and
retention, something my bill aims to address.
There is an additional reason why an enhanced retirement
benefit is the right approach, and that is because the Guard
and Reserve members who we are mobilizing are sacrificing their
civilian careers, including their retirement benefit, by being
called away from their civilian jobs. I believe that, in large
part, employers are understanding and supportive of Guard and
Reserve members. But, nevertheless, for a Reserve member who
spends significant time away from his or her civilian job, that
job is going to be affected. The right compensation for that
effect is an improvement in the Reserve retirement benefit to
offset the long-term effect on a servicemember's civilian
career.
The largest source of recruits for the Reserve components
has historically been people leaving Active Duty. However,
given the current role of the Reserve components, many
personnel leaving Active Duty are going to choose not to
affiliate with the Guard and Reserve, because they simply stand
to be deployed again. My bill addresses this problem by
providing an additional incentive in the event a servicemember
does get deployed. This is especially essential for older
servicemembers, who are not as incentivized by cash bonuses,
and are, instead, looking for a longer-term benefit.
For members with significant time in the Active Force, my
bill will provide an additional incentive for them to join the
Reserve component, and stick with it over the long haul, so our
Nation will not lose the benefit of their experience.
One argument I have heard against this bill from DOD, and
even from some of my fellow Senators, is that we should not
equalize the benefits of the Active and Reserve components. I
agree that these benefits should not be equalized. However, I
think that any objective observer would, without question,
conclude that my bill does not even come close to doing this.
For example, under my bill, a servicemember who completes
20 years of total service, 10 of them in the Reserve, would
have to deploy for 5 years to collect a retirement annuity at
age 55. The same person who spent 20 years of total service,
all in the Active component, could retire as early as age 40,
and would receive almost twice the annuity the Reserve member
would receive. That is the case for a reservist who is
mobilized for 5 years. The average reservist would get a far
lesser retirement benefit.
My bill would not equalize the benefits, but would,
instead, provide an incentive for prior Active Duty personnel
to join the Reserve, and, for current reservists to stick with
it until at least the 20-year point.
Gentlemen, I would have to tell you since we have been
actively promoting this, I cannot go anywhere, either inside of
Georgia or outside of Georgia, that a member of the Guard and
Reserve does not come up to me, introduce themselves, and say,
``I know what you're trying to do to help out our Guard and
Reserve from an early retirement standpoint. I'm in the Guard
or Reserve, and it is the number-one issue for me and my
family.''
Mr. Chairman, the topic of today's joint Subcommittee
hearing is the readiness impact of quality-of-life and family
support programs to assist families of Active Duty, National
Guard, and Reserve military personnel. In the end, we are here
today to determine how we can best support our military
personnel and their families. That is what my bill does. An
improved retirement benefit for the National Guard and Reserve
will produce a higher quality-of-life, leading to better
recruiting and retention trends, and a better-shaped Guard and
Reserve Force.
Cash bonuses can be effective, and they are effective, but
they are not the way to provide a better quality-of-life over
the long term for our Reserve component personnel who, today,
are sacrificing their civilian careers, and the benefits they
accrue through those careers, for the sake of our Nation. This
legislation represents the right approach at the right time.
The Naval Reserve Association, the Reserve Enlisted
Association, the Reserve Officers Association, and the National
Guard Association of the United States have all extended
support for this bill. For the record, Mr. Chairman, I would
like to include a copy of a letter signed by the 33 members of
the Military Coalition in support my bill.
Senator Ben Nelson. Without objection.
[The information referred to follows:]

Senator Chambliss. Mr. Chairman, thank you for the
opportunity to testify. I'm happy to answer any questions that
you or any member of the committee might have.
Senator Ben Nelson. Thank you, Senator Chambliss.
Do any of the members of the committee have any questions?
[No response.]
I think you've laid it out very well. I think we fully
understand it and appreciate very much your leadership in this
area. Thank you for your kind comments, and we appreciate your
being here with us today.
Senator Chambliss. Thank you, Mr. Chairman.
Senator Ben Nelson. In Senator Ensign's absence, due to a
prior obligation, without objection I'm adding his questions to
be submitted for the record.
Now, let's see, the second panel will be coming forward
now.
Today, we have witnesses from the DOD and from the military
Services to describe the programs that are available for
military families. We welcome the Honorable Mike Dominguez. Am
I close? Dominguez?
Mr. Dominguez. Dominguez.
Senator Ben Nelson. That's it, Dominguez, the Principal
Deputy Under Secretary of Defense for Personnel and Readiness;
Dr. Lynda Davis, Deputy Assistant Secretary of the Navy for
Military Personnel Policy; John McLaurin, Deputy Assistant
Secretary of the Army for Human Resources; and Lieutenant
General Roger Brady, Deputy Chief of Staff of the Air Force for
Manpower and Personnel.
We have your prepared statements, which will be included in
the record, and what we would like is if you would take the
opportunity to make a brief opening statement, then we will go
to the questions.
Secretary Dominguez?

STATEMENT OF HON. MICHAEL L. DOMINGUEZ, PRINCIPAL DEPUTY UNDER
SECRETARY OF DEFENSE FOR PERSONNEL AND READINESS

Mr. Dominguez. Chairman Nelson and Chairman Akaka, I thank
you and the distinguished members of the subcommittees. Thank
you for the opportunity to meet with you today and discuss the
programs we have to support military families.
I want to start first with some current events.
Earlier today, I held a press conference announcing
Secretary Gates' decisions on the awarding of administrative
absence to members of the Armed Forces that are deployed or
mobilized in advance of the 1-year for Active service, ``1 year
deployed and 2 years back home'' standard; and, for the Guard
and Reserve, it was the standard he set of 1 year mobilized for
every 5 years back home. So, he committed to doing a program to
recognize people when he was forced, through national security
demands, to break that contract. I announced that today, and I
had given a heads-up to your staff that that was happening.
The second is that, as Senator Chambliss recognized, we
have a recent decision to extend Active Duty Army deployments
in Iraq and Afghanistan to 15 months. The thing that did for
military families, though, is provide predictability.
Predictability's important to our servicemembers, and this
decision provides that planning stability for our families.
Next, we are fully investigating the care provided to our
wounded, including the component of that care that is outreach
and support for their family members. We're taking measures to
correct problems, as we identify them. We are working with and
supporting the reviews to the presidential commission,
Secretary Gates's independent review group, Secretary
Nicholson's task force, and General Scott's Veteran's
Disability Commission.
Now, that's the summary of current events. I just wanted to
get you up to date on those.
The Social Compact, which we published in 2002 and
modernized in 2004, describes the array of programs we have in
place to support the men and women in uniform and their
families. DOD has worked aggressively to transform services to
families facing the challenges of war. We understand how hard
it is for military families to cope with the high pace of
deployments and extensions.
Communications between troops and families back home have
been made more affordable and more available.
Military OneSource is an incredible toll-free and Internet
resource that offers both troops and family members the option
of speaking to a qualified counselor or consultant, 24 by 7,
from any location in the world. It is a portal, providing
access to a vast array of useful information, tools, and
assistance.
We have addressed the stressful effects of repeated
deployments and extensions through increased availability of
family assistance counseling, to include financial counseling.
For the families back home, we have moved forward with an
emergency intervention strategy to address the most pressing
childcare needs at locations affected the most by high
deployments and rebasing.
Providing the same level of support to the geographically
dispersed Guard and Reserve component families as we provide to
families living near military installations is challenging.
Technology is a part of the solution, as so many military
families obtain information over the Internet. Military
OneSource has been an enormous support to the Guard and Reserve
families.
A joint family readiness program is being implemented,
modeled after Minnesota and New Hampshire National Guard
programs. Six pilot programs are in progress.
States are forming integrated interservice family
assistance committees to facilitate access to information
services and resources.
The recently announced extension of current and future
tours to 15 months will be hard on families, and we are
stepping up the availability of training and counseling support
for volunteers to ameliorate that challenge and deal with it.
Much of this has been made possible by your support of the
emergency supplemental funding for the war effort. We
particularly appreciated the expanded authority to build
childcare centers that you have provided in the past.
In the past year, we also fielded special surveys to
military spouses, so we could more fully understand the impact
of deployments on families. Results indicate that 61 percent of
Active Duty spouses, and 75 percent of Reserve component
spouses, support their husband or wife staying in the military.
These results are encouraging. They're not adequate, but they
are encouraging.
The partnership between the American people and the noble
warfighters and their families is built on the understanding
that families also serve. We appreciate the service and
sacrifice of our military families. They sustain our troops on
the battlefield.
Before I close, I want you to know that we are in the
process of implementing the predatory lending law that you have
been so instrumental in establishing. We appreciate your strong
support, and it will make a difference to the financial well-
being of the force.
Sir, I look forward to your questions.
[The prepared statement of Mr. Dominguez follows:]

Prepared Statement by Hon. Michael Dominguez

Mr. Chairman and distinguished members of this subcommittee, thank
you for this opportunity to discuss our programs supporting the well-
being of military families. Let me begin by addressing issues recently
in the news.

CURRENT EVENTS

Last week, Secretary of Defense Gates announced his decision to
extend from 12 to 15 months the tours for Active Army soldiers in
Central Command. That was a difficult decision for the Secretary as
these longer tours will be hard on Army families. While a 15-month tour
is an unpleasant prospect, we hope this decision will allow most
soldiers a full year at home between deployments and will preclude the
need for unplanned tour extensions during a deployment. As a result,
Secretary Gates was able to provide a measure of predictability and
stability for soldiers and their families.
We are fully investigating the care provided to our wounded,
including outreach to and support for families. Earlier this week, we
received the report of the Independent Review Group established by
Secretary Gates. We appreciate their work and are moving quickly to
evaluate their recommendations. We also await the findings of the
President's Commission on Care for America's Returning Wounded
Warriors, Secretary Nicholson's Interagency Task Force on Returning
Global War on Terror Heroes, and the Veterans' Disability Benefits
Commission. As these or our own investigations identify areas demanding
improvement we will act--and that includes seeking legislation from the
Congress, should that be necessary.
Last year, Congress passed legislation to eliminate predatory
lending to members of the Armed Forces. Last week, the regulations
called for in the law were published in the Federal Register, beginning
a 60-day comment period. We are on track to have those regulations in
effect by October 1, 2007, as intended by Congress. Elimination of
predatory lending will make a big difference to the financial well-
being of our young enlisted families. Thank you for your strong
support.
families: the heart and soul of troops on the battlefield
This is the sixth year of sustained combat and the resiliency of
servicemembers and their families is nothing less than remarkable.
Our military families are the heart and soul of troops on the
battlefield and when they call back home they want to hear, ``We're
doing fine . . . we miss you but we are doing fine.'' The Department
made family support a priority and redesigned and boosted family
support in a number of ways to recognize the crucial role families play
in supporting servicemembers on the battlefield.
Of paramount importance to those deployed is to know that their
families have good support and someone to reach out to while they are
away. Without a doubt, families also serve and sacrifice.

WHAT MAKES A DIFFERENCE FOR FAMILIES BACK HOME

Communication with their loved ones:
Military spouses indicate that being able to communicate with their
loved one is the number one factor in being able to cope with
deployments. Back home, computers and Internet service at base
libraries, family support centers, and youth centers ensure families
can send and receive e-mails from their loved ones who are deployed.
This communication is essential to morale and to our ability to sustain
deployments.
In the deployed environment, phone banks with Internet hook ups are
readily available in base camps. Free morale calls are also regularly
available in theater. Morale programs include 145 free morale welfare
and recreation (MWR)-operated Internet cafes in Iraq and 30 Internet
cafes in Afghanistan. Mobile Internet cafes offer Internet Protocol
phone service at less than 4 cents per minute. The cost of phone calls
is now much reduced through work with telecom companies. Telephone
calls once a dollar or more a minute are now down to 19 cents a minute.
Our exchanges also provide unofficial telephone service at low
international per minute rates for deployed members on land and sea (19
cents in Iraq and Afghanistan and 45 cents aboard ship).
Communication strategy:
In partnership with the military Services, the Department leveraged
the power of technology to provide servicemembers and their families
with reliable information, as well as someone to talk to 24/7. Our new
capability is two pronged. Through our Military Homefront web portal
and our toll-free call center and interactive Web site, Military
OneSource, we provide credible, confidential support in a convenient
and efficient manner. The success of our technological outreach
services has been phenomenal.
The cornerstone of our communication strategy is Military OneSource
(www.militaryonesource.com or 1-800-342-9647). Military OneSource has
quickly become the trusted source of information and assistance for
servicemembers and their families. Military OneSource is a referral
service that provides information and assistance on a wide range of
issues. Topics include parenting, child care, educational services,
financial information, and counseling. Individualized assistance is
available by telephone, email, or the Internet. Department survey
results indicate that one in five servicemembers used Military
OneSource in the previous 12 months. The current call volume is almost
1,000 calls per day. In fiscal year 2006, there were on average 125,000
on-line visits per month.
The 2006 Army Family Action Plan Conference designated Military
OneSource as the number one program in support of mobilization,
deployment, and family readiness. The organization praised Military
OneSource as a benchmark program that is not dependent on family
geographic location or branch of Service, or component (Active or
Reserve) within a Service.
The second part of our communication strategy is Military
Homefront, (www.MilitaryHomefront.dod.mil). Our award-winning, ``best
in government'' quality-of-life web portal is a user friendly site that
provides easy access to all of the on-line information about the
Department's quality-of-life programs. In fiscal year 2006, there were
over 25 million hits and 1.5 million visitors.
Two new applications, Military Installations and Plan-My-Move, add
a new dimension to the Homefront. For the first time, servicemembers
can access the on line Plan-My-Move, interactive moving program that
provides tools for budget planning, customized calendars, household
goods inventories, and much more. Military Installations provides
directions to programs, services and facilities for military bases,
National Guard offices, and Department of Veterans Affairs (VA)
facilities worldwide. Military Installations allows families to find
relocation information tailored to their specific needs, whether they
are moving overseas, moving a family member with special needs, moving
with children, or seeking employment for a spouse after a move. These
programs are part of our commitment to military families, and provide
information families need to deal with their mobile military lifestyle.
These services can also be accessed through Military OneSource.
Counseling:
Demand for family assistance and military member counseling more
than doubled over the last year. The Department is aggressively and
very successfully addressing the stressful effects of repeated
deployments by increasing availability of family assistance counseling.
This short-term, situational, non-medical problem-solving support is
designed to help servicemembers and their families cope with normal
reactions to stressful situations. All the military Services use this
resource that is intended to augment existing military support services
during the cycles of deployment and reintegration. Counseling support
is available both on and off military installations in the United
States and overseas. Up to six sessions of counseling per situation can
be requested by individuals and families. The counseling, provided by
licensed and credentialed professionals, is confidential and optimally
available within a 30-minute drive time of the individual requesting
services. Counselors are trained to assist families with life
management issues such as reunion expectations, loneliness, stress,
long separations, differences after a year apart, effects of deployment
on children, loss and grief, and how best to reintegrate into family
life. Financial counseling is also available to help with today's
complex financial decisions and the added complication of family
separations.
Counseling support is designed to be extremely responsive and
flexible in order to meet emergent needs. For example, during the
recent extensions of the Stryker Brigade at Fort Wainwright and Fort
Richardson, AK, the 1st/34 Brigade from the Minnesota Army National
Guard, and the Third Brigade of the 10th Mountain Division at Fort
Drum, counselors were immediately deployed--at the request of the home
station commanders--to support the families.
Counselors are also available to meet returning aircraft when
servicemembers arrive at home from deployment. Counselors speak at
Family Readiness Support Groups and townhall meetings. Psycho-
educational presentations are provided by counselors to help
servicemembers and families understand the emotional challenges they
may experience during the current high-stress military environment. The
counselors also provide support to the Department's summer youth
programs, the National Guard Summer Programs, and the National Military
Family Association Operation Purple camps. Services are available to
children, parents, and staff.
Our families are managing successfully. New research shows that
divorce rates are no higher than they were 10 years ago, when demands
on the military were less intense. Commitment remains strong from both
family members and servicemembers. Still, even resilient warriors and
families sometimes need professional assistance to sustain continued
deployments. Non-medical counseling is helping young families cope and
is often that necessary ounce of prevention that enables them to cope
successfully with the challenges of military life.
Child Care:
Military parents rely on child care and youth programs during
deployments to help them manage their rigorous work schedules. Upon
deployment, the remaining parent becomes a single parent. Forty-two
percent of E1-E4 servicemembers reported that managing child care
schedules was a moderate to very serious concern during their last
deployment. Therefore, having affordable, available child care is an
important stress reliever for many families.
In fiscal year 2006, the Department moved forward with the
emergency intervention strategy to address the most pressing child care
needs at locations affected by high deployments and rebasing. To
continue the effort, the Department dedicated $82 million toward the
purchase of modular facilities, and to renovation and expansion of
existing facilities. This intervention will create approximately 7,000
additional child care spaces in 37 new child care centers and
additions/renovations to child care centers at 42 high personnel tempo
locations.
Providing child care for the Reserve and Guard presents challenges.
Difficulties arise because of many factors; families do not generally
receive services from an Active Duty installation and support systems
available in the community may not be sufficient when a servicemember
deploys. The Department supports the child care needs of Reserve
component families through several initiatives to include:
Operation: Military child care is a Department partnership with a
national nonprofit organization that helps families/child guardians
locate child care at reduced rates in their own communities when they
are unable to access child care on military installations.
Operation Military Kids is the Army's collaborative effort with
community agencies to support the `suddenly military' Reserve component
children and youth before, during, and after the deployment of a parent
or loved one. In fiscal year 2006, more than 29,000 youths in 34 States
participated in Operation Military Kids activities.
In 2007, a new Coaching for Young Families initiative will provide
20 full-time positions offering counseling support to families with
young children in high deployment areas. Twelve of the 20 consultants
will work at National Guard and Reserve component locations.

CHALLENGES OF DEPLOYMENT AND WAR

Extensions of deployments are particularly stressful to families
who desire predictability of return and to troops who do not want to
disappoint their families. Properly handling notification of military
members and families in case of an unplanned deployment extension is
essential and every effort is made to notify members and then,
expeditiously, families. The speed with which the news media can
disseminate information can make it difficult for the chain-of-command
to provide the first notification to families of a deployment
extension. We are reviewing our processes to ensure that we get news to
the families first whenever we can.
Health Care:
We know that everyone who goes to war changes. We also know that
families, particularly those who live far away from a military base,
may feel alone and worried about their loved ones who are deployed,
injured, wounded or sick.
In addition to the TRICARE Prime and TRICARE Standard benefit,
TRICARE beneficiaries who need assistance with depression, stress-
related illness, chemical dependency, alcohol-abuse problems or other
related issues should know that TRICARE offers a wide range of mental-
health care services. Access to those services, also known as
behavioral health care, is easy and convenient.
To supplement the TRICARE benefit, the military health system added
the Mental Health Self-Assessment Program (MHSAP) in 2006. This program
provides military families, including National Guard and Reserve
families, Web-based, phone-based and in-person screening for common
mental-health conditions and customized referrals to appropriate local
treatment resources. The program includes screening tools for parents
to assess depression and risk for self-injurious behavior in their
children. The MHSAP also includes a suicide-prevention program that is
available in Department schools. Spanish versions of these screening
tools are available.
For families who are visiting a loved one who is severely injured,
wounded or sick, the military health system is developing the Family
Transition Initiative. Working jointly with the VA, our mission is to
improve the transition process for families of seriously injured
inpatient servicemembers who are transferring to VA Polytrauma Centers.
The Department and VA will recommend a systematic approach to prepare
and support patients and families during the transition of inpatient
care between the two departments. We are currently conducting an
inventory of existing Department and VA family support programs and
will base recommendations on the programs that work best.
The Family Transition Initiative is also addressing the
communications gaps and addressing such issues as allowing family
members to meet staff members from a new facility before transition. We
are also addressing the fact that family members may also have health
care needs while visiting their loved ones. Family members may not be
eligible for TRICARE or VA benefits, and we must ensure their health
care needs are met.
The Department and VA will deliver a report to the Health Executive
Council with recommendations for the Family Transition Initiative by
June 2007.
Casualty Assistance:
The Department takes very seriously its responsibility to provide
assistance to families of fallen servicemembers and continues to
explore new methods, procedures, and policies to enhance the current
level of assistance. Each Service has its own customs, but all see
assistance to families of the fallen as a top priority. The Army, Navy,
and Marine Corps assign a uniformed member to assist the family, while
the Air Force provides assistance through a full time civilian Casualty
Assistance Representative and a family liaison officer. The Services
have developed programs to provide personal assistance as long as the
families desire contact and stand ready to respond whenever a concern
arises.
The Department collaborates with the VA, the Social Security
Administration (SSA) and multiple non-governmental agencies and family
advocacy groups to improve support to families. In March 2006, the
Department published ``A Survivor's Guide to Benefits, Taking Care of
Our Own''. It was subsequently updated in June and in November. This
guide is on the Military HOMEFRONT Web site, and is always available in
its most current version. The guide details the Federal benefits
available to families of servicemembers who die on Active Duty, to
include coordinated benefit information from the DOD, VA, and SSA.
For Service casualty staff and military widows, the Department
created ``The Days Ahead, Essential Papers for Families of Fallen
servicemembers'', a tool designed to assist families in organizing the
avalanche of paper work that is necessary as a family applies for and
receives Federal benefits as a result of an Active Duty death. Spouses
who receive ``The Days Ahead'' notebook will also receive a print copy
of the most recent version of ``A Survivor's Guide to Benefits'' and
another excellent resource, ``The Military Widow'' by Joanne Steen and
Regina Asaro; the first book specifically focused on the unique
challenges women face when they become military widows.
Transportation of Fallen Loved Ones:
The Department believes that the return of the remains of our
fallen to their families must be handled as expeditiously as possible,
with the utmost care, dignity and respect. In the past, when the return
of the fallen included air transportation, the primary mode of air
transportation was scheduled commercial service. With the enactment of
section 562 of the John Warner National Defense Authorization Act for
Fiscal Year 2007, effective 1 January 2007, dedicated military or
military-contracted aircraft is the primary mode of air transportation
of remains that are returned to the United States from a combat theater
of operations through the mortuary facility at Dover Air Force Base
(AFB). Commercial air may only be authorized at the request of the
person designated to direct disposition. The Department has recently
expanded this provision to include transportation for all personnel who
die of their wounds or injuries sustained in a combat theater of
operations regardless of whether the remains are processed through
Dover AFB.
A member of the Armed Forces, in an equal or higher grade, escorts
the fallen servicemember's remains continuously until arrival at the
applicable destination. At the arrival airfield, an honor guard detail
is available to render appropriate honors and participate in the off-
loading of the flag-draped casket from the aircraft to awaiting ground
transportation for onward movement to the funeral home or cemetery.
Since families still sometimes choose the use of commercial air,
the Department continues to work with the commercial airline industry
to ensure that all actions are taken to ensure our fallen are handled
with the highest level of respect. The airline industry responded to
this request for support in a very positive way. Examples include: seat
upgrades for escorts for easy exit to perform their duties, airplane
access for honor guards to participate in the off-loading of the flag-
draped casket from the aircraft, coordinated access to the airport
tarmac for the escort, honor guard details, family members, the funeral
home hearse, and in many cases community based support groups wishing
to show their respect and participate in the arrival of a local hero.
When such access to the airplane or tarmac has not been possible
because of security or safety requirements, several airlines responded
by producing transport carts dedicated specifically for the movement of
servicemember remains.
Recently, the Department initiated an ``Honor Cover'' for the
standard air tray required in the transport of caskets. The honor cover
has a rendering of the American flag on the top and the Department's
seal on each end. This cover provides greater visibility and conveys
the appropriate level of respect to the fallen while in transit.
Expedited Citizenship:
Gaining citizenship for a non-U.S. servicemember is not only a
satisfying, and often a life-long goal for that individual--it also
provides a stepping stone for members of the family to become citizens,
an opportunity that will benefit generations to come. For those who
serve their country, obtaining citizenship should be achievable in a
reasonable amount of time. The Department works closely with the
Department of Homeland Security's U.S. Citizenship and Immigration
Services (USCIS) to expedite citizenship applications for non-U.S.
citizens who serve honorably in our Armed Forces. USCIS established an
office in 2002, dedicated to work all military citizenship
applications. Since September 11, 2001, nearly 32,000 servicemembers
have obtained citizenship as of March 19, 2007, and the average
processing time has been reduced from 9 months to less than 60 days.
USCIS has entered into an agreement with the FBI to permit the use of
military member fingerprints provided at the time of enlistment for
processing military member citizenship applications. This eliminated
the need for servicemembers to travel, in some cases hundreds of miles,
to be fingerprinted at a USCIS office and has further reduced
citizenship application processing time.
The Department also continues to work closely with USCIS to conduct
naturalization interviews and swearing-in ceremonies overseas and
onboard ships. As of March 19, 2007, over 3,400 military members have
been naturalized at overseas ceremonies conducted since October 1,
2004.
Military Severely Injured Center:
The Department is committed to providing the assistance and support
required to meet the challenges that confront our severely injured and
wounded servicemembers and their families during the difficult time of
transition. Each Service has programs to serve severely wounded from
the war: the Army Wounded Warrior Program (AW2), the Navy Safe Harbor
program, the Air Force Helping Airmen Recover Together (Palace Hart)
program, and the Marine4Life (M4L) Injured Support Program. DOD's
Military Severely Injured Center augments the support provided by the
Services. It was established in December 2004 and continues to be even
more robust today. It reaches beyond the DOD to coordinate with other
agencies, to the nonprofit world, and to corporate America.
It serves as a fusion point for four Federal agencies--DOD, the VA,
the Department of Homeland Security's Transportation Security
Administration, and the Department of Labor.
Federal Partners. The Military Severely Injured Center unites
Federal agencies through a common mission: to assist the severely
injured and their families.

The VA Office of Seamless Transition has a full-time
liaison assigned to the Center to address VA benefits issues
ranging from expediting claims, facilitating VA ratings,
connecting servicemembers to local VA offices, and coordinating
the transition between the military and the VA systems.
The Department of Labor (DOL) has assigned three
liaisons from its Recovery & Employment Assistance Lifelines
(REALifelines) program which offers personalized employment
assistance to injured servicemembers to find careers in the
field and geographic area of their choice. REALifelines works
closely with the VA's Vocational Rehabilitation program to
ensure servicemembers have the skills, training, and education
required to pursue their desired career field.
The Department of Homeland Security's Transportation
Security Administration has a transportation specialist
assigned to the Center to facilitate travel of severely injured
members and their families through our Nation's airports. The
Center's TSA liaison coordinates with local airport TSA
officials to ensure that each member is assisted throughout the
airport and given a facilitated (or private) security screening
that takes into account the member's individual injuries.

Nonprofit Coordination. The MSI Center has coordinated with over 40
nonprofit organizations, all of which have a mission to assist injured
servicemembers and their families. These nonprofits offer assistance in
a number of areas from financial to employment to transportation to
goods and services. Many are national organizations, but some are
local, serving service men and women in a specific region or at a
specific Military Treatment Facility. Some of the many organizations
that are providing assistance are the Wounded Warrior Project, the
Injured Marine Semper Fi Fund, the VFW, the American Legion, Disabled
American Veterans, the Coalition to Salute America's Heroes, and, of
course, the Service Relief Societies. There are hundreds of other
nonprofits who offer assistance to military families in general that
are part of the America Supports You network
(www.americasupportsyou.mil).
Operation Warfighter:
The Department sponsors Operation Warfighter (OWF), a temporary
assignment or internship program for servicemembers who are
convalescing at military treatment facilities in the National Capital
Region. This program is designed to provide recuperating servicemembers
with meaningful activity outside of the hospital environment that
assists in their wellness and offers a formal means of transition back
to the military or civilian workforce. The program's goal is to match
servicemembers with opportunities that consider their interests and
utilize both their military and non-military skills, thereby creating
productive assignments that are beneficial to the recuperation of the
servicemember and their views of the future. Servicemembers must be
medically cleared to participate in OWF, and work schedules need to be
flexible and considerate of the candidate's medical appointments. Under
no circumstance will any OWF assignment interfere with a
servicemember's medical treatment or adversely affect the well-being
and recuperation of OWF participants.
In 2006, 140 participants were successfully placed in OWF. Through
this program, these servicemembers were able to build their resumes,
explore employment interests, develop job skills, and gain valuable
Federal Government work experience to help prepare them for the future.
The 80 Federal agencies and subcomponents acting as employers in the
program were able to benefit from the considerable talent and
dedication of these recuperating servicemembers. Approximately 20
permanent job placements resulted from OWF assignments upon the
servicemember's medical retirement and separation from military
service.
The core of OWF is not about employment, however; placing
servicemembers in supportive work settings that positively assist their
recuperation is the underlying purpose of the program. The Department
works very closely with DOL's REALifelines program in this effort.
Heroes to Hometowns:
The American public's strong support for our troops shows
especially in their willingness to help servicemembers who are severely
injured in the war and their ever-supportive families, as they
transition from the hospital environment and return to civilian life.
Heroes to Hometowns' focus is on reintegration back home, with networks
established at the national and State levels to better identify the
extraordinary needs of returning families before they return home. They
work with local communities to coordinate government and non-government
resources necessary for long term success.
The Department has partnered with the National Guard Bureau and the
American Legion, and most recently the National Association of State
Directors of Veterans Affairs, to tap into their national, State, and
local support systems to provide essential links to government,
corporate, and nonprofit resources at all levels and to garner
community support. Support has included help with paying the bills,
adapting homes, finding jobs, arranging welcome home celebrations, help
working through bureaucracy, holiday dinners, entertainment options,
mentoring, and very importantly, hometown support.
Many private and nonprofit organizations have set their primary
mission to be support of severely injured veterans. One example, the
Sentinels of Freedom in San Ramon, California recruits qualifying
severely injured to their community with ``scholarships'' that include
free housing for 4 years, an adaptive vehicle, a career enhancing job,
educational opportunities, and comprehensive community mentoring.
Through a coordinated effort among local governments, corporations,
businesses, nonprofits, and the general public, six scholarships have
already been provided in the San Ramon Valley and in March, Sentinels
of Freedom announced plans to expand the program nationwide.
The ability of injured servicemembers to engage in recreational
activities is a very important component of recovery. We continue to
work with the United States Paralympics Committee and other
organizations so that our severely injured have opportunities to
participate in adaptive sports programs, whether those are skiing,
running, hiking, horseback riding, rafting, or kayaking. We are also
mindful of the need to ensure installation Morale Welfare and
Recreation (MWR) fitness and sports programs can accommodate the
recreational needs of our severely injured servicemembers. At
congressional request, we are studying the current capabilities of MWR
programs to provide access and accommodate eligible disabled personnel.
National Guard and Reserve Family Support:
Families who previously had limited exposure to military systems
now must deal with the likelihood of multiple and longer deployments
for the servicemember. This past year has seen a maturing of existing
programs, new initiatives, and integrated support systems to respond to
the special needs of families, especially National Guard and Reserve
families located significant distances away from military
installations. Connecting Reserve Component families with the services
they need presents a particular challenge. Whether those services are
family support, child care or transition assistance (including
assistance for the severely injured), the Department is bridging the
gap between services provided for Active Duty members and Guard and
Reserve.
Per direction in the National Defense Authorization Act for Fiscal
Year 2007, the Department is designing a regional joint family support
model. Two critical components of the model involve building coalitions
and connecting Federal, State, and local resources and nonprofit
organizations to support Guard and Reserve families. Best practices and
lessons learned from 22 Inter-Service Family Assistance Committees and
the Joint Service Family Support Network will guide the planning
process. Minnesota's, ``Beyond the Yellow Ribbon'' reintegration
program, researched by the University of Minnesota, will serve as a
model with a funded Community Reintegration Coordinator position.
Hawaii and Oregon have volunteered to be models. These are States where
we can build onto a successful infrastructure to deliver a wide range
of family assistance to expand our reach to the Guard and Reserve. We
appreciate the opportunity to bridge the gaps and augment existing
programs, and thank Congress for recognizing this need.

THE BACKBONE OF MILITARY COMMUNITY AND FAMILY SUPPORT

Quality of life programs for servicemembers' and their families'
lives have made great strides during the past few years. The Department
recognizes that military members have difficult, complicated jobs to do
under extremely arduous conditions. We continue to explore ways to
improve programs in support of quality of life. Any or a combination of
the following initiatives could raise the quality of life for military
families and, therefore, affect readiness, recruiting, and retention.
Financial Readiness:
The Department considers the personal financial stability of
servicemembers and their families a significant factor in Military
preparedness--financial stability equates to mission readiness. As
such, financial readiness remains a top priority for the Department and
we are aggressively promoting a culture within the military that values
financial competency and responsible financial behavior. The
Department's Financial Readiness Campaign encourages servicemembers to
achieve good credit, save on a regular basis, obtain good interest
rates on loans, and take advantage of the opportunity to participate in
the Thrift Savings Plan (TSP) and the servicemembers' and Veterans'
Group Life Insurance (SGLI).
The Financial Readiness Campaign includes partnerships with other
Federal, corporate, and non-governmental organizations to support both
military members and their families on how to manage their finances.
Key techniques include proactive and preventive measures: encouraging
savings and reducing debt. We know that being free of credit card debt
is a goal for 79 percent of military spouses who must often hold the
financial reins of the family during deployment. However, while trends
in the past couple of years show more servicemembers are able to save
and fewer are having financial problems, a third of E1s-E4s still
indicate that they have financial problems. It is important that we
continue efforts to provide access to cost-effective financial
readiness tools and products, and protect members from predatory
lenders that can place servicemembers in a dangerous and sometimes
unrecoverable spiral of debt. For example, 10 percent of E1s-E4s
reported they obtained a payday loan in the past year. As we have seen,
the personal and professional stressors of poor financial management
can dramatically affect family quality of life, and ultimately, our
mission readiness.
Education is our first line of defense. In 2006, the Services
provided more than 11,800 financial management classes at their
installations around the world and trained more than 324,000
servicemembers (approximately 24 percent of the force), as well as
19,400 family members. Our campaign partner organizations, such as
those represented by our on-installation banks and credit unions,
conducted an additional 1,300 classes, serving a total of 60,600
servicemembers and their families. These classes help equip our men and
women with the necessary tools to achieve financial freedom and avoid
the financial traps that befall many of their contemporaries outside of
the military.
Our 23 financial readiness partners are invaluable in providing
both education and counseling to our servicemembers and families and in
offering affordable, easily accessible financial products. The
following highlights some of this organizational support:

- The Financial Literacy and Education Commission provides
educational and training materials through the Web site
www.mymoney.gov. The commission also supports a toll-free
number and consolidates education and training materials
available through the Federal agencies that have been widely
advertised and linked to the Department's and military service
Web sites.
- The InCharge Institute provides access to credit
counseling/debt management, and publishes a quarterly magazine
called Military Money in partnership with the National Military
Family Association.
- The National Association of Securities Dealers Foundation
has funded a multi-year awareness and education program to
supplement programs provided by the military services. Included
are multimedia public service announcements through sources
such as Armed Forces Radio and Television Services, Service
command information publications, magazines and radio; an
interactive Web site--www.saveandinvest.org; sponsorship of a
scholarship program for military spouses through partnership
with the National Military Families Association to accredit
them as `financial counselors' in return for volunteer hours in
military communities; and education for military service
financial counselors and educators.
- Our military relief societies, of course, continue to
provide outstanding educational materials and counseling, as
well as financial assistance when our servicemembers are in
need.

As we push our campaign into 2007, the Department provides free
Federal and State on-line tax preparation and filing through Military
OneSource for all members regardless of component or activation status.
This service includes free telephonic access to trained financial
professionals who can answer many of the tax questions that our
servicemembers and families may have. The Department encourages
servicemembers and their families to use the Military OneSource free
tax preparation service and to add any refunds to a savings account.
The Department sponsored ``Military Saves'' week in February, in
conjunction with the Consumer Federation of America's nationwide
``America Saves'' campaign. This is an intense week of training and
encouragement for our military members and families to start reducing
their debt and saving for their future. Members can set a savings goal
by registering on www.militarysaves.org.
Domestic Violence:
Domestic violence statistics are slightly lower than last year. The
Department remains steadfast in its commitment to strengthen its
response to domestic violence and continues to make substantial efforts
to improve training of key staff. During the past year, we conducted
six domestic violence training conferences, three of which were offered
to joint gatherings of commanding officers, Judge Advocates, law
enforcement personnel, and victim advocates. These conferences
addressed each group's responsibilities in responding to domestic
violence in accordance with new domestic violence policies issued by
the Department.
We continue implementation of the restricted reporting policy for
incidents of domestic violence. This policy offers victims the option
of seeking medical and victim advocacy assistance without making a
report to the victim or abuser's commander or law enforcement. This
confidential assistance is crucial for victims who may be concerned
about their safety, the military career of the family-member offender,
or the family's financial welfare. The Department continues to expand
its victim advocacy program, which provides access to on-call victim
advocates and shelters to assist victims of domestic violence.
During the past year we also launched a Web based domestic violence
training curriculum for commanding officers that addresses their
responsibilities when responding to incidents of domestic violence.
Commanding officers may now log-on anywhere in the world and receive
training on responding to domestic violence.
In partnership with the Family Violence Prevention Fund, we
developed and launched a national public awareness campaign to prevent
domestic violence. The campaign is designed as a prevention message to
educate Service men and women and their families about domestic
violence and increase awareness of domestic violence prevention
resources.
In partnership with the Office on Violence Against Women of the
Department of Justice, we have continued several joint initiatives,
including training for victim advocates and law enforcement personnel.
Additionally, we are conducting domestic violence coordinated community
response demonstration projects in two communities near large military
installations. The goal of the projects is to develop a coordinated
community response to domestic violence focusing on enhancing victim
services and developing special law enforcement and prosecution units.
Finally, we are participating in the President's Family Justice Center
Initiative. The initiative provides funding through the Office on
Violence Against Women for 15 centers in select communities nation-
wide. The Department partnered with four centers near military
installations to address domestic violence.
Military Children's Education:
The Department shares a vested interest in quality elementary and
secondary education for military children along with our partners in
State and local education systems. One of the major factors in
sustaining the All-Volunteer Force is providing quality educational
experiences for military children.
The Department's schools have high expectations for the over 91,000
students enrolled in our 208 schools located in 12 countries, 7 States,
and 2 territories. The Department's worldwide school system serves as a
model education system for the Nation and is without question a
``career satisfier'' and high priority for servicemembers and families.
The Department's students are among the highest performing in the
Nation as measured by norm-reference assessments like the TerraNova and
the Nation's report card, the National Assessment of Education
Progress. Our students consistently score above the national average at
every grade level and in every subject area. A key ingredient to this
success is the partnership that exists among schools, parents, and
military commands that focus on superior student achievement.
Department schools are also leading the Nation in closing the
achievement gap between white and non-white students. Diversity is one
of the strengths of the system. African-American and Hispanic students
in DODEA schools consistently outperform their counterparts in the 50
States in reading and math.
The Department's school system has responded to the President's
National Security Language Initiative, which promotes the study of
critical need languages in grades K-12. The DODEA has launched a
foreign language program that will initially introduce strategic
foreign languages (e.g., Mandarin Chinese) to selected elementary and
secondary schools in the DODEA system.
Public Law 109-364 recently directed the Department to ease the
transition of military students from attendance at DOD schools to
attendance in schools of local educational agencies (LEAs). DODEA will
share their expertise and experience in developing rigorous and
successful academic programs, curriculum development, teacher
professional development, and distance learning technology capabilities
with stateside school districts impacted by base closures, global
rebasing, and force restructuring. The Department identified 17
communities in 14 States that will experience a large number of
students transitioning into their schools because of large scale
relocation and rebasing. DODEA has begun building partnerships with
affected stateside school systems to assist them in developing
instructional programs similar to those in the DODEA schools. The
ultimate goal of the program is to ensure that a high quality
educational program is provided to all military dependents living both
inside and outside the gates of military installations.
As an initial step in sharing best practices with LEAs, the
Department sponsored a Conference on Education for Military-Connected
Communities, which brought together teams comprised of military,
civilian, school and business leaders from the 17 communities that will
experience an increase in military dependent students due to the large
scale rebasing effort. Over 200 participants heard from experts who
provided participants with a list of resources for their communities to
using during transition.
The Department is also sharing information on the unique
characteristics of military dependent students with military and
community leaders, military parents and school superintendents who work
with these students. To communicate effectively with military parents,
teachers, and students, the Department has included helpful information
on our Web site: www.militarystudent.org about the impact of
deployments on children, resources to assist in separations and
transitions, and best practices in quality education. A toolkit was
developed by a joint service task group and disseminated on compact
discs and the Web site to help families, military commanders and school
leaders understand education options and help schools provide a smooth
transition for military dependent students.
Along with toolkits and outreach through DODEA, the Department is
making the Johns Hopkins Military Child Initiative (MCI) available to
military-connected communities and LEAs. The John Hopkins Center for
Schools Impacted by Children of the Military focuses on meeting the
needs of children and youth least likely to feel connected to school
(i.e., children of military families who live in highly mobile
circumstances). Their approach is being shared with impacted schools
and military parents to improve student success, school/family/
community partnerships and student engagement.
Family Members with Special Needs:
The Exceptional Family Member Program has operated for over 20
years to ensure that the needs of family members who have specialized
medical requirements or who require special education are considered
during the assignment process. The EFMP identifies family members who
have specialized medical or educational needs, and documents their
specific requirements (medication, specialty care, special education
requirements, physical accommodations). The military health system and
the DOD schools coordinate all overseas assignments to ensure that the
necessary medical and educational services are available to meet the
family members' needs prior to approving overseas travel.
Exceptional Family Member Program managers operate in all Army and
Marine Corps family centers to assist military families with special
needs. The EFMP managers help families identify and access resources.
Additionally, the Army has instituted a new respite care program to
mitigate deployment related stress for families with special needs.
The Department has published the DOD Special Needs Parent Toolkit,
which is available on-line at the MilitaryHomefront Web site and
through Military OneSource. The toolkit provides families with an
introduction to services available to them both through the military
and through State and local community programs. We have provided a
series of Military OneSource webinars aimed at families with special
needs that have covered topics such as the Parent Toolkit, record
keeping, advocacy, and moving with a special needs child. The
MilitaryHomefront publishes a monthly newsletter to families with
special needs who have registered for the newsletter. The newsletter
provides families with up to date information about programs and
services available to them, and about other issues of interest to
families with special needs.
Spouse Education and Careers:
Trying to sustain a career while serving the country is a major
issue facing military spouses. Nearly half of all spouses report their
job or education demands were a problem during their spouse's
deployment. Military spouses are not unlike their civilian counterparts
as they are major contributors to the family's financial well-being.
The majority of the 700,000 military spouses of Active Duty personnel
are in the civilian workforce. In the 2006 Survey of Spouses,
regardless of their current employment status, 77 percent of spouses
report they want and/or need to work to supplement their family income
or stay in the career of their choice. The vast majority (83 percent)
of spouses report that developing a career is a personal goal. Perhaps,
even more important to the Department, research indicates that a
military spouse's support for a career in the Armed Forces is a top
factor in the retention decision of a married servicemember.
Unfortunately, military spouses are a disenfranchised population as
they are generally not included in our Nation's major labor and
workforce development opportunities. Frequent relocations result in
denial of opportunities ranging from eligibility for in-State tuition
and State unemployment compensation to achievement of tenure. For those
spouses whose employment requires costly certification and/or licensure
requirements, the State-to-State moves are enormously expensive,
sometimes with the expense of discontinuing a career. The unemployment
rate for military spouses, at 12 percent, is much higher than the
national unemployment rate. Further, our research shows that military
spouses earn about $3.00 per hour less than their civilian
counterparts.
At the same time, military spouses are better educated than their
civilian ``look-alikes'', as seven of ten spouses have some college
education. While about 20 percent of spouses are enrolled in post-
secondary schools, another 51 percent would like to be in school.
However, the overwhelming majority of these spouses, nearly three-
fourths, cite the cost of education as the reason they are not in
school.
While the Department is committed to helping military spouses
pursue rewarding careers and to achieve educational and training goals,
we realize that these issues can only be addressed by partnering with
the States, the private sector, and other Federal agencies. We are
actively working with DOL to ensure military spouses can receive
education and training support via Workforce Investment Act funds.
Further, we are partnering with DOL and national associations around
careers in high-growth industries with mobile and portable careers such
as medical transcription, financial services, education, and real
estate. The DOD/DOL collaborative Web site (www.milspouse.org) which
assists spouses with resume development, locating careers, identifying
available training and linking to One Stop Career Centers, continues to
be a great resource for our military spouses with almost 7 million Web
site hits in fiscal year 2006.
When asked what would have helped them find work after their most
recent permanent change of station (PCS) move, approximately a third of
those spouses surveyed in the 2006 Survey of Spouses indicated that
easier transition of certifications would have helped, and 27 percent
indicated that financial help with transferring certifications was
lacking. We have identified a range of popular spouse careers that have
State-specific licensing requirements and have designed strategies to
address them, initially focusing on teaching and real-estate. Six
States have now adopted the American Board for Certification of Teacher
Excellence (ABCTE), a national passport teaching credential. Spouses
with an ABCTE credential will not have to be re-certified in these
States, which will result in less unemployment time. The Department
also implemented the Spouse-to-Teacher program that supports military
spouses in their pursuit of K-12 teaching degrees and positions in
public and private schools. We are also working closely with colleges
and universities to offer more scholarships, grants, and reduced
tuition for servicemembers' spouses.
Re/MAX launched a program, Operation Re/MAX, which provides
military spouses the opportunity to achieve a career in the real estate
industry. Since August 2006, there have been almost 2,000 inquiries
from military spouses and there are over 800 Re/MAX offices offering to
hire military spouses.
Our efforts to raise employer awareness through our partnership
with military.com, a division of monster.com, have proven to be a great
success. Via this Web site portal: www.military.com/spouse, 155,000
military spouses have posted their resumes and conducted over 3 million
job searches of Federal and private sector jobs. There are now over 300
spouse-friendly employers who are actively recruiting military spouses
for their vacant positions; these organizations can post jobs at no
cost and may search this exclusive database for military spouse
candidates. Spouses may search public and private sector jobs by
military installation locations.
Advisory Groups:
At the OSD level, we take advice and counsel from internal
organizations on which military families serve, to include the DODEA
advisory councils on dependents education, a commissary council and an
exchange council. The Defense Advisory Committee on Women in the
Services (DACOWITS), whose charter includes quality of life support and
membership includes military spouses, has advised us on such programs
as child care services.
At the Services level, the Army Family Action Plan (AFAP) is a well
organized grass roots program that has reached down to installation
level and brought issues to Army and OSD leadership for the past 25
years. The AFAP process, which is highly prized and respected within
the Department, has resulted in numerous legislative and policy changes
impacting military families. Both the Army and the Marine Corps have
chartered family readiness advisory councils, whose membership is
comprised solely of military spouses and volunteers. These councils
assess and recommend solutions for evolving family issues.
Finally, several non-governmental organizations serve to advocate
for military families and influence family policies. Prominent among
these is the National Military Family Association who has an excellent
track record of working with Congress as well as with the Department.
Youth Partnerships:
Last year, eKnowledge Corporation, a leading supplier of
interactive test preparation products for college entrance exams, along
with a group of patriotic NFL players, donated $6.9 million to pay for
multimedia SAT/ACT test preparation products worth $200 to military
servicemembers and their families. During 2006, more than 48,000 free
SAT/ACT multimedia CD & DVD test preparation programs were donated to
servicemembers and their families worldwide. Over the past several
months, eKnowledge and the NFL players have received tens of thousands
of letters and emails from servicemembers expressing appreciation for
the valuable SAT/ACT test preparation projects. Based on the tremendous
response from servicemembers and their families, eKnowldege and the
participating NFL players announced that they will extend the free SAT/
ACT donation program through 2007, with a total financial commitment of
$10 million.
It is with great pride that Military Youth programs worldwide can
now take advantage of their affiliation with the Boys & Girls Clubs of
America by participating in the Major League Baseball S.T.A.R. Award
program. This MLB award program is designed to recognize youth ages 10
to 18 year-round for their youth sports, fitness, and social recreation
achievements. Any youth who demonstrate the four MLB S.T.A.R. Award
characteristics: Sportsmanship, Team spirit, Achievement and
Responsibility is qualified to be nominated. Whether on the baseball
field, at the swimming pool, in the games room or in the dance studio,
it is these attributes that help our military youth succeed at anything
they do regardless of where they live around the world. Each
participating youth program will be allowed to select one outstanding
youth who best embodies all four characteristics. That youth will
receive a trophy and become eligible for State, regional, and national
competition. Later this year, six deserving youth, one from each of
BGCA's five regions and an overseas military site representative, will
be selected to attend the MLB All-Star Game. One national winner will
be invited to the MLB World Series game.
State Liaison Initiatives:
In 2004, the Department of Defense approached the National
Governors' Association to request their assistance in supporting those
aspects of quality of life for servicemembers and their families that
could be influenced best through the actions of State governments. In
the past 2 years, the Department has found Governors and State
legislators have embraced these opportunities to show their support for
servicemembers and their families.
The Department has concentrated discussions on 10 key issues at the
State level: (1) assistance to Guard and Reserve members and families,
(2) assistance to the severely injured, (3) in-State tuition rates for
servicemember and their families, (4) school transition assistance for
children of military families, (5) employment assistance for military
spouses, (6) unemployment compensation for military spouses, (7) limits
on payday lending, (8) absentee voter assistance, (9) growth of foreign
language education, and (10) increases in child care assistance for
Guard and Reserve families.
Governors and other State policymakers have taken these issues
seriously and provided support through State resources. For example,
the States are providing over 720 benefits to members and families of
the Guard and Reserve--an increase of over 200 benefits since 2004; for
example, a total of 30 States (an increase of 9) are providing in-State
tuition rates to servicemembers and their families while assigned to a
State as a non-resident, and continuing this support for family members
enrolled in school if the servicemember is reassigned out of State.
Additional information on the progress of the key issues is provided to
State policymakers and others at www.USA4MilitaryFamilies.org.
Several Governors have established councils and committees to
advise them on establishing initiatives to support the military
community within their States. Many Governors have also initiated
legislative packages to enhance quality of life for servicemembers and
their families on a number of the 10 key issues.
Additionally, the Department is partnering with national
associations representing State governments to obtain support. For
example, the Department is working with the Council of State
Governments to establish an interstate compact designed to assist
children of military families with the challenges that come from
frequent transfers between school systems. This compact is designed to
ameliorate differences in school systems ranging from differing age
requirements to start kindergarten through varying requirements to
graduate from high school.
The Department has found its collaboration with Governors and State
legislators to be an important aspect to supporting servicemembers and
their families who make daily sacrifices to fulfill their commitment to
defending the Nation. We anticipate these collaborative relationships
will continue to produce important benefits for servicemembers and
their families.
Morale Welfare and Recreation (MWR):
MWR programs enhance the social fabric of a military community by
providing activities normally found in ``hometown communities,'' such
as libraries, fitness centers, bowling, golf, parks, and sports fields.
These programs and activities impact the quality of life of our
military families each and every day.
Fitness Programs
All of the military Services continue to expand robust fitness
programs designed to sustain a physically fit, healthy force. Long term
plans are being made to modernize the fitness infrastructure. The
Services requested 79 fitness center construction projects between
fiscal year 2007 and fiscal year 2013.
Libraries
Virtual resources, such as the Army's General Library Information
System, and the Air Force's Learning Resource Centers provide access to
academic materials regardless of location.
Five Department recreational libraries will participate in the
National Endowment for the Arts (NEA) ``Big Read'' initiative. The Big
Read is a community reading project which began 1 year ago and is
expanding to encompass military bases located in close proximity to
civilian communities that have already agreed to participate. These
communities were provided funding by the NEA for a month long festival
in which interested participants are encouraged to read the same novel.
Military bases will be provided 100 copies of the selected books for
base library circulation.
Exchanges and Commissaries:
The commissary and exchange are among the most valued contributors
to the quality of life of our servicemembers and their families. They
provide a safe and convenient community hub, particularly in overseas
areas.
Commissaries would help military families save over 30 percent on
grocery and household necessities, even including the commissary
surcharge and commercial sales taxes. The Defense Commissary Agency
makes sure that familiar name brands are available for military
families at active duty installations around the world. The
Department's challenge is to sustain the value of the commissary to our
servicemembers without increasing the cost to the tax payer. The
Defense Commissary Agency, with oversight by the Commissary Operating
Board, is becoming a state-of-the-art retail enterprise and continues
to make steady progress toward becoming increasingly efficient and
effective at delivering the benefit. Commissary customer satisfaction
continues to surpass the supermarket industry. Moving forward, DeCA
will pursue new ways to support military families who don't live on or
near military installations and explore cooperative efforts with the
military exchanges that enhance overall quality of life.
The Armed Service Exchanges provide military families with
merchandise and services at a 16 to 20 percent savings, not including
sales tax savings, and provide over $300 million to help support
morale, welfare and recreation programs. The Exchanges operate on
military installations, on board ships, in deployed locations,
contingency operations, disaster relief areas, and through catalog and
internet shopping. The Exchanges are re-engineering using technology--
independently and with each other--to improve value to their customers
and to lower operating costs. Moving forward, the exchanges are
concentrating on improvements to logistics, systems, and supply chain
management, where there are many opportunities for cooperative efforts.

CONCLUSION

The Social Compact, published in 2002 and modernized in 2004,
reiterated the compact between the Department of Defense, its
warfighters, and those who support them--one that honors their service,
understands their needs, and encourages them to make national defense a
lifelong career. The array of quality of life programs covered by the
Social Compact recognizes the challenges of military life and the
sacrifices servicemembers and their families make in serving their
country. The partnership between the American people and the noble
warfighters and their families is built on a tacit agreement that
families also serve. Our military families are the heart and soul of
our troops on the battlefield. Without a doubt, families also serve and
sacrifice.

Senator Ben Nelson. Thank you, Mr. Secretary.
Dr. Davis?

STATEMENT OF LYNDA C. DAVIS, DEPUTY ASSISTANT SECRETARY OF THE
NAVY FOR MILITARY PERSONNEL POLICY

Dr. Davis. Thank you, Senators.
Chairman Nelson, Chairman Akaka, Senators Graham and
Chambliss, thank you for the opportunity to speak with you
today on behalf of the Department of the Navy. I'll be speaking
to you about the Navy and the Marine Corps, as I have
responsibility for oversight of both services, their Active
Duty personnel, and the support for their families.
I'd like to mention, also, that I'm speaking as a former
soldier who was deployed and had to have the experience of my
son and, at that time, my two sons and my spouse react to my
deployment, also, as someone who chose to curtail her military
career at the point at which we adopted a child, and as someone
who's a very proud mother of a member of the Pennsylvania Army
National Guard. It's my honor to be here today.
You raised several questions about the effectiveness of our
quality-of-life programs, and I'd like to address those, just
briefly. But, first of all, I think it's important to discuss
something Senator Akaka alluded to, in terms of the community
support and what constitutes family support.
We believe, in the Department of the Navy, that support
services are important to be delivered before, during, and
after deployment, depending on the specific needs of the
family, but they're delivered in concentric circles of care.
They start at the unit level. That is the level, after all, at
which the commander is the most aware of the requirements of
the individual sailor, soldier, in our case, or marine, and
also at which we have unique special programs, like the Navy
Ombudsman Program and the Marine Corps Key Volunteer Programs.
Our commanders are very engaged in family support; in fact,
extending letters regularly to the family members from Iraq,
with a variety of information, including some on predatory
lending.
As we move out from this concentric circle of family
support beyond the unit, it extends to the installation, and
that's where you have the excellent programs through Fleet
Family Support Services or the Marine Corps Service Centers. We
also draw on the support that's provided through the Navy or
the Marine Corps, generally, through things such as our 145
Navy Reserve Centers that are in every single State. Each of
your States have one of those centers that serve not only the
Navy reservists, who are geographically remote, their families
are oftentimes, but it also serves the Marine Corps. We
consider them to be purple assets, in that they're available to
any servicemember. We certainly see that this concentric
circles of support for the family would not be possible without
all the assets Mr. Dominguez mentioned, in terms of those
directly from the DOD.
Also, we feel that the support is essential to the family
from the other Federal agencies, such as the Department of
Veterans' Affairs (VA) and Department of Labor, and also from
State agencies, such as the State rehabilitative directors, if
that becomes necessary during a member's service.
Finally, our partnership in these concentric circles of
care, or what I like to allude to as a web of inclusion for the
family, can't be achieved without our veterans benefit
organizations, our veterans service organizations, and our
community-based organizations. So, they are essential for us to
provide the full continuum of care to our family members.
Addressing the effectiveness of our quality-of-life
programs, we also had a recent Navy spouse survey that showed
that 59 percent of enlisted spouses, and 81 percent of officer
spouses, their family members felt that they were prepared for
deployment; however, those numbers are not quite sufficient to
what we'd like, and we are engaging in making sure that our
deployment support is especially strong for unique communities
that experience a high operations tempo (OPTEMPO) personnel
tempo (PERSTEMPO), or our high-impact communities. That would
be groups like the corpsmen, the 8404s who deploy with the
Marines, our SEAL communities, and our individual augmentees.
Those and a few others experience high stress, and we need to
make sure they receive all the support they need.
In keeping with looking at our effectiveness, our Secretary
has recently, in March, instituted a Department Inspector
General (IG) assessment of all facilities, health care, medical
care, and administrative activities that relate to support for
those in combat during deployment, for those wounded, and for
the families. That is ongoing, in addition to the IG reviews of
the quality-of-life programs when they visit the installations.
The Marine Corps is also doing a quality-of-life survey,
this year, which they administer regularly, to make sure that
we're keeping pace with the effectiveness of our programs.
The stresses of deployments was another issue you raised in
your letter of invitation. To effectively operate this web on
inclusion for quality-of-life I referred to, we recognize that
there are special stresses during deployment, and those
stresses have to do with not only the general cycle-of-life
issues, like, ``Are you aware of your benefits?'' but, because
of the high OPTEMPO and PERSTEMPO, there's additional stresses,
particularly to the dependent children and the spouse. So, we
have programs that we have, for instance, Senator Inhofe
mentioned the childcare issue, and I'm conducting an assessment
of the military construction (MILCON) prioritization of funds
for childcare and other quality-of-life programs right now to
make sure that it does not get shortchanged in our requirements
for our primary mission, which is defense.
Also, when there is a deployment, we recognize that the
children oftentimes do exhibit stress reactions. We have, at
our military treatment facilities, our 60 Fleet Family Support
Centers and our 18 Marine Corps installations, a triage
approach to making sure that if we haven't thoroughly been able
to prevent challenge to the child, in terms of a stress
reaction, that they're seen immediately by the mental health
civilian and military professionals in mental health, and, if
necessary, they're referred through TRICARE, to specialists in
the community.
The Marine Corps Lifestyle Insights, Networking, Knowledge,
and Skills program also provides assistance to family
dependents for preparation for the 15- to 17-year-old children
for the challenges of deployment. The Navy and Marine Corps
partners with the Boys and Girls Clubs to provide youth
programs for them so that they're active and engaged with peers
during the deployment cycle.
We also are very appreciative of the relationship with the
Association for Child Care Resources and Referral Agency, which
has allowed us to have additional childcare to support the
spouse of the deployed individual during the times when they
may be employed or just need a break.
Financial hardships was an issue that was mentioned. We
recognize this is a greater challenge during deployment,
oftentimes. Our Navy-Marine Corps Relief Society is an
essential partner with us, and they provide grants to parents
of the wounded, for instance, on invitational travel orders.
They provide support for spouses and families who have lost
wages. In Hawaii, for instance, the Fleet Family Support at
Pearl Harbor, in order to address financial hardships, has a
Million Dollar Sailor program that they have a special 2-day
program to provide education and consumer awareness issues.
Predatory lending is one of the issues they specifically
address. The Navy leads in enrollment of Active Duty sailors in
the Thrift Savings Plan.
Finally, I'd just like to wrap up my comments by saying
that, when we discuss families, I like to emphasize that
families are not simply the spouses and dependent children. As
I've been able to visit, especially, those who are combat
wounded at Bethesda and other medical treatment facilities,
I've been able to see the parents. A lot of our marines are
single, and the family is their nondependent parent. Sometimes,
in our community of care for the family or the wounded
individual, that may even extend to siblings or to close
friends. So, I think we have to look at what constitutes the
notion of a family.
I thank you very much for your leadership and your caring
and our joint commitment as we work to make sure family support
services are quality, and delivered on time.
Thank you.
[The prepared statement of Dr. Davis follows:]

Prepared Statement by Dr. Lynda Davis

Chairmen Nelson and Akaka, Senators Graham and Ensign,
distinguished members of the Personnel and Readiness & Management
Support Subcommittees, thank you for the opportunity to appear before
you today.
Support and services for our Navy and Marine Corps families is a
fundamental function of the Department of the Navy (DON) and the
cornerstone to ensuring quality of life and mission readiness of our
sailors and marines. Family support is a DON Objective recently
reinforced by the Secretary of the Navy, the Chief of Naval Operations
and the Commandant of the Marine Corps in a 23 August 2006 tri-signed
memo. Its realization is supported not only by the Services but through
a network of partnerships with our Veterans Service Organizations,
Veterans Benefits Organizations and Community Based Organizations.
Successful family support programs require this ``web of inclusion.''
The DON has outstanding family support programs to assist our
families as they navigate through the military life cycle. Our programs
address everyday life issues through services such as life skills
education classes, spouse employment assistance, counseling services,
information and referral, relocation and transition assistance, as well
as the specialized assistance needed before and after deployment and
when a sailor or marine is wounded. Key to the delivery of this myriad
of family support services are the Navy and Marine Corps delivery
centers. The Navy has 60 delivery sites serviced by a Fleet and Family
Support Center (FFSC) or a satellite office. The Marine Corps Community
Services (MCCS) provides Marine and Family Service assistance at all of
their 18 installations. I'd like to highlight a few of the programs we
offer our families.

OMBUDSMAN/KEY VOLUNTEER NETWORK PROGRAMS

The Navy's Ombudsman Support and the Marine Corps' Key Volunteer
Network (KVN) and Lifestyle Insights, Networking, Knowledge and Skills
(L.I.N.K.S.) Programs are important resources for our families,
especially during deployments. The Navy currently has approximately
2,200 trained Ombudsmen and the Marine Corps has approximately 3,000
KVNs. Ombudsmen and key volunteers facilitate the flow of information
between commands and family members. The Navy's recently revised
Ombudsman Instruction and Manual expands training for our Ombudsmen to
include providing assistance to families of sailors who have been
deployed as Individual Augmentees (IAs) as well as information on how
to recognize combat operational stress and resources available to
families requesting assistance. To support the enhanced training needs
of the Ombudsman Program, the Navy provides priority child care for
spouses who attend required Ombudsman training.
For Reserve families, the Marine Corps KVN and L.I.N.K.S., as well
as the Navy Ombudsmen, provide training guides to address Reserve
families' remote access requirements. These special military spouse/
family volunteer initiatives have attracted the support of many Navy
and Marine Corps national service organizations (e.g., Navy-Marine
Corps Relief Society) who are important service delivery partners.

NEW PARENT SUPPORT

Our FFSCs and Marine and Family Service Centers have programs in
place for new parent support and training. Parenting for a young couple
can be daunting in conjunction with the rigors of military life, so the
family centers provide educational programs to assist sailors, marines,
and their spouses in adjusting to parenthood. About 1,500 parents are
served per year through these programs.

CHILD AND YOUTH PROGRAMS

Taking care of our young family members requires a broad spectrum
of programs and dedicated, professional staff. The DON offers child
development programs, school-age care and youth programs. To meet the
unique needs of our children and youth coping with deployed parents, we
have partnered with community based organizations and programs such as
``Military Child Care in Your Neighborhood'' for children ages zero to
5 years and the ``Mission Youth Outreach Program'' for children ages 6
through 12. For parents who work extended hours, shift work, or serve
as watch standers, Navy and Marine Corps have expanded child care
facility hours of operation on base and provide extended child care
opportunities through our family child care homes. Options include
emergency drop-in child care at no or reduced cost, respite care for
parents needing some time away from their children and our Navy 24/7
Child Care Homes located in Norfolk and Hawaii. Both Navy and Marine
Corps have also been able to provide spaces through temporary modular
child care center facilities funded by your support of DOD's emergency
intervention program. Navy and Marine Corps also have strong programs
reaching out to our youth. We are affiliated and very active with the
Boys and Girls Clubs of America. The Navy is providing teen employment
opportunities during summer months with our on base programs such as
our child development and youth centers, morale, welfare and recreation
programs and the Navy's Fleet and Family Support Centers.

FAMILY MEMBER EMPLOYMENT ASSISTANCE

Due to the mobile lifestyle and expeditionary roles of our Sailors
and Marines, our spouses face unique employment challenges. We
recognize that spouse employment is a key quality of life issue as well
as a retention consideration. Our Navy and Marine Corps family centers
provide an employment assistance program that includes workshops on the
status of the current labor market, salary and wage trends in
particular areas, career counseling, resume writing, job interview
techniques and job searches.

PROFESSIONAL COUNSELING

The Navy FFSCs and the Marine and Family Service Centers provide a
range of counseling services for families to assist them in coping with
deployment, everyday issues, and the special challenges of a mobile
force. Our centers have licensed counselors who provide short-term,
individual, couples, family and group counseling to address
relationships, crisis intervention, stress management, substance abuse,
occupational issues, as well as grief support after the loss of a loved
one. We are experiencing an increase in counseling services to families
during the post-deployment phase. In support of the increased
deployment and longer deployment cycles, these counseling services are
an invaluable supplement to the counseling services provided by our
uniformed mental health personnel.

DEPLOYMENT SUPPORT

Our centers play a key role in preparing our families for
deployment. Pre-, mid- and post-deployment programs are offered to
sailors, marines, and their families. The Navy sends ``return and
reunion'' teams out to meet ships returning from deployment. The teams
stay with the ship until it arrives at its home port. These teams
provide sailors and marines a variety of programs to include: how to
reintegrate into their families, the techniques of stress management,
how to adjust to a new baby, and money management. The Navy FFSP is
working with our Special Warfare and Expeditionary Forces (e.g., SEALs)
to place support staff onsite to assist families in these high
operational tempo (OPTEMPO) communities. The FFSCs are now providing
services to civilian families who have a civilian deployed spouse in
support of the global war on terrorism.

INDIVIDUAL AUGMENTEES

Many sailors and marines are supporting the global war on terrorism
when deployed or mobilized as IAs. The Navy has established an
Expeditionary Combat Readiness Center within the Naval Expeditionary
Combat Command to serve as a primary interface with IAs and their
families. We continue to address key issues of predictability and
stability for our Service families, especially those of the IAs. The
Navy FFSP has developed IA handbooks for both the commands that are
deploying sailors as well as for their families. These comprehensive
handbooks provide information on how to successfully manage these
deployments, resources for assistance, and guidance provided to
families of all deployed servicemembers on recognizing the signs of
Combat Stress and Post Traumatic Stress Disorder. Again, the Navy
provides priority child care for families of IAs when they attend
command-sponsored meetings.

CARE FOR FAMILIES OF WOUNDED

Our family support programs are expanding in real time to meet the
needs of our wounded sailors, marines, and their families. Caring for
sailors and marines who have been injured, sometimes very severely, is
requiring knowledge on medical care, administrative processes, and
rehabilitative services that has never before been needed by our
families and their loved ones. Additional programs and resources for
our injured and their families include: the Navy Safe Harbor program
and the Marine Corps Wounded Warrior Regiment (Marine 4 Life). In
addition to these two cornerstones of service care and continuity
throughout the treatment process, the Marine Liaisons based in our
Military Treatment Centers provide personalized support for injured
servicemembers and their families, helping them navigate the continuum
of care from inpatient to outpatient status and from the DOD Military
Treatment Facility to the VA facility. As an example of our ongoing
partnerships with non-governmental agencies, the Navy-Marine Corps
Relief Society is a key partner providing an important ``Visiting Nurse
Program.'' The visiting nurses go to the homes of our wounded and
provide education and arrange for respite care for family members.

FINANCIAL MANAGEMENT

Because our Services are comprised of many young members who may
not yet have sound financial management skills, financial readiness is
an important part of military readiness. Ensuring families are
financially stable prior to deployment enhances mission readiness for
our sailors, marines, and their families. Our family support centers
offer robust personal financial management programs that provide
education, training and counseling emphasizing long-term financial
responsibility. DOD and the Services have developed partnerships with
Federal, corporate and private organizations to assist families in
managing their finances. Training for financial responsibility begins
at recruiting commands and extends throughout the servicemember's
career. Navy-Marine Corps Relief Society, Navy Mutual Aid, and our
Veteran's Service Organizations provide financial assistance to
families who may experience financial difficulty.

ADDITIONAL RESOURCES

Since family needs may arise at anytime of the day or night, DOD
and the DON have numerous Web sites and hotlines to help fill the gap.
An excellent resource is a Web site created by the Deployment Health
Clinical Center which provides services and resources online as well as
by phone to help close the gap for families who may not be able to
access family support centers. Both the Navy and Marine Corps family
centers have robust Web sites easily accessible by families. The links
are: Navy--www.ffsp.navy.mil. Marine Corps--www.usmc-mccs.org/family.

CONCLUSION

Department of the Navy family programs are a vital part of our
overall personnel readiness and are key to recruiting and retention.
When a sailor or marine knows that his/her family is being cared for he
or she can concentrate on their mission. This is the primary objective,
thus our sailors, marines, and their families will continue to have our
commitment to the highest levels of the full range of quality support
services. The DON will provide Navy and Marine Corps families the
support programs to help them cope successfully with the challenges
they may encounter during their spouses' military career.

Senator Ben Nelson. Thank you, Dr. Davis.
Mr. McLaurin?

STATEMENT OF JOHN McLAURIN, DEPUTY ASSISTANT SECRETARY OF THE
ARMY FOR HUMAN RESOURCES

Mr. McLaurin. Chairman Nelson, Chairman Akaka, Senator
Graham, and Senator Chambliss, good afternoon. I appreciate the
opportunity to testify before you today to discuss family
readiness.
In an All-Volunteer Force, caring for Army families plays a
vital role in sustaining the commitment of our soldiers. For
deployed soldiers, it is essential they know that their
families have strong support networks while they're away.
Our leaders, from installation level to the Chief of Staff
of the Army, recognize the importance to not only sustain our
robust family programs, but also to augment them as necessary,
to address emerging needs. We continuously analyze feedback
from a variety of soldier and family surveys, senior spouses,
and commanders to ensure our soldiers' and families' needs are
met.
Recognized as a driving force behind hundreds of
legislative, regulatory, and policy changes, as well as program
and service improvements over the last 24 years, the Army
Family Action Plan is one of our most significant and effective
ways for soldiers and families to raise issues to senior
leadership for resolution.
At the November 2006 worldwide conference, we added another
work group to this vital process, to identify the concerns and
issues of our wounded warriors and their families.
Recognizing the significant impact of deployment extensions
on families, the Army is dedicated to providing the highest
level of support to soldiers and family members upon the
announcement of involuntary extensions. In light of the recent
policy change to extend all Army tours to 15 months, General
Casey has directed an immediate assessment of the impact of
this extension on all Army programs and policies.
When troop deployments were extended on very short notice
last year, headquarters Army quickly established and deployed a
multidisciplinary tiger team to Fort Wainwright, AK, and Fort
Drum, NY, to support commanders' efforts to successfully deal
with the resulting myriad of soldier and family issues.
Incorporating lessons learned, the Tiger Team SmartBook is
now used as a tool by commanders at every level to anticipate
and determine the support necessary in the event of a
deployment extension. The headquarter's Tiger Team stands ready
to immediately assist commands faced with extended deployments.
As articulated in the 2007 Army Posture Statement, the Army
honors our commitment to care for our soldiers and their
families, and to continually work to match the quality of life
that our soldiers and families enjoy to the highest quality of
service that they now provide to the Nation.
I'd like to highlight a few of our key programs and
services.
Our Army Community Service (ACS) Organization has the
primary responsibility to provide personal and family readiness
support to commanders, soldiers, and families. Proactive in
preparing and sustaining families, family readiness groups
provide mutual support and assistance in a network of
communications among the family members, chain of command, and
community leaders.
For geographically dispersed units, the Virtual Family
Readiness Group Web System provides all the functionality of a
traditional family readiness group in an ad hoc and online
setting.
We recognize our programs and services cannot be solely
installation-centric. By consolidating Active and Reserve
component program information and cross-training staff, we seek
to reduce duplication and confusion.
When fully implemented, the integrated, multicomponent
Family Support Network will provide a comprehensive approach
for community support and services to meet the diverse needs of
Active and mobilized Guard and Reserve families.
By utilizing the wealth of resources available in the
civilian sector, we have established partnerships with 26
corporate and military employers through the Army Spouse
Employment Partnership. This initiative focuses on improving
spouse employment opportunities, especially for our career
spouses, who often must quit their jobs to accompany their
soldier spouse to the next assignment. We believe increased
spouse employment opportunity supports retention and
contributes to family financial stability by helping spouses
maintain careers.
One partner, Dell Incorporated, established a Virtual Call
Center pilot at Fort Hood, TX, back in 2005, allowing spouses
to work from home. Dell has now implemented a from-home
program, hiring 29 spouses to provide customer service from
their homes. In 2006, our partners hired over 5,000 military
spouses, bringing the total number employed by the partners to
16,000.
Family readiness, Senator Akaka, also entails providing
soldiers with financial readiness training and counseling.
Classes in personal financial management are provided during
basic and advanced training, and again at a soldier's first
duty station. During 2006, the ACS conducted over 14,000
classes, with close to 320,000 in attendance. Soldiers who
completed this course were significantly less likely to need
financial counseling. Those who completed the counseling showed
a significant decrease in indebtedness and increased savings.
Taking care of families includes ensuring access to
quality, affordable, available, and predictable child and youth
programs. Soldiers can focus on the mission, knowing their
children are thriving in our child and youth programs, and are
adjusting as they move from school to school. As the need for
child and youth programs continues to increase, the Army has
taken a number of actions to assist in meeting this need.
We have provided over 2 million hours of free and reduced-
patron-fee hourly and respite childcare to families of deployed
soldiers. Installation child development centers and family
childcare homes have extended operating hours, beginning as
early as 4:30 in the morning and ending late in the earning,
and even into the weekends. Active Duty geographically
dispersed and Reserve component deployed families are able to
access child care support and pay reduced childcare fees.
Operation Military Child Care helps families locate childcare
at reduced rates in their local community, when they're unable
to access childcare on the installations. At present, the Army
has over 2,200 children receiving the childcare subsidy.
In closing, I thank you for this opportunity to appear
before you today to discuss family readiness. On behalf of the
acting Secretary of the Army, the Chief of Staff of the Army,
myself, and, most especially, Army families all over the world,
I thank you for your already strong support. On all of our
behalfs, I ask only for your continued strong support.
I look forward to answering your questions.
[The prepared statement of Mr. McLaurin follows:]
Prepared Statement by John P. McLaurin III

INTRODUCTION AND BACKGROUND

Good afternoon Chairmen Nelson and Akaka, Senators Graham and
Ensign, and distinguished members of the Subcommittees. I appreciate
the opportunity to testify before you today to discuss the family
readiness for Army families of Active Duty, Army National Guard, and
Army Reserve personnel.
In an All-Volunteer Force, caring for Army families plays a vital
role in sustaining the commitment of our soldiers. As General Casey,
Chief of Staff Army, stated when speaking to the Army on April 11,
``You and your families carry a heavy burden in today's war, with a
hard road ahead.'' For deployed soldiers, it is essential that they
know that their families have strong support networks while they are
away. Our leaders from installation level to the Chief of Staff Army
recognize the importance to not only sustain our robust family
programs, but also to augment them as necessary to address emerging
needs. One of General Casey's initiatives is to ``Enhance quality
support to soldiers and families to preserve the strength of an all
volunteer force.'' We continuously analyze feedback from a variety of
soldier and family surveys, senior spouses, and commanders to ensure
our soldiers and their families are well taken care of and their needs
are met.
In light of the recent policy change to extend all Army tours to 15
months, General Casey has mandated an immediate assessment of the
impact of this extension on all Army programs and policies. We
recognize that never has the importance of family readiness and
supporting programs been greater. It is even more critical that Army
Family Programs and Child and Youth Services continue to meet the needs
of our Active Duty and Reserve component families. As articulated in
the 2007 Army Posture Statement, the Army honors our commitment to care
for our soldiers and their families and unceasingly works to match the
quality of life that our soldiers and families enjoy to the quality of
service they provide to the Nation.
Continued engagement in the long war is transforming the way the
Army delivers family readiness programs, particularly for those
families not living on or near military installations. Our programs can
no longer be solely installation centric.
We have integrated numerous Army-wide well-being functions into a
comprehensive framework to better enable us to focus resources, measure
success, and address the needs of an Army at war that is simultaneously
transforming. These programs help to reduce the stress of daily
challenges as well as provide assets to assist families to cope
successfully and sustain their resilience.

FAMILY READINESS

Services delivered through Army Family Programs are critical to the
well-being of soldiers and families, and directly influence the Army's
ability to sustain mission readiness during times of peace, war and
national crisis. We do not want to put soldiers in a position of having
to choose between the profession they love and the well-being of the
families they love. The successes of our past in responding to the
diverse needs of soldiers and families, along with our roadmap for the
future, create an environment where soldiers have confidence in the
systems we have developed to provide that support. The following serves
to highlight a few of our key programs and services.
Our Army Community Service (ACS) organization has the primary
responsibility to provide personal and family readiness support to
commanders, soldiers, and families. Extremely proactive in preparing
and sustaining families, the ACS staff teaches life skills and provides
ongoing training for the Unit Family Readiness Team (unit commander,
rear detachment commander, Family Readiness Group (FRG) leaders, and
family members). FRGs provide mutual support and assistance, and a
network of communications among the family members, chain of command
and community resources. FRGs conduct activities that support the
unit's mission, ease the strain and stress associated with separations
due to military missions, and provide a communication network. We have
published guidance on FRG operations and provided useful and practical
techniques for handling deployments for commanders, soldiers, spouses,
and children.
The Operation Resources for Educating about Deployment and You (OP
READY) training program assists commanders in meeting family readiness
objectives. Training programs include: Family Readiness Group Leader,
Rear Detachment Commander, Family Assistance Center Operations, Army
Family Readiness, Trauma in the Unit, Soldier/Family Deployment
Survival, Reunion and Homecoming and Children and Deployment. OP READY
is available through ACS and Reserve Component Family Program staff.
Each OP READY topic includes separate materials for units, families,
and instructors.
Family Readiness Centers are places where families of deployed
soldiers can gather for meetings, receive the latest information, and
socialize with other family members. Facilities may contain computer
equipment with web and e-mail access to facilitate family member
communication with the deployed soldier, as well as video
teleconferencing equipment linking on a coordinated schedule with the
deployed unit. These are controlled and manned by either the ACS or the
major deployed unit's rear detachment, or a combination of both, and in
some communities are co-located with ACS.
Implemented Army-wide in February 2006, the Virtual Family
Readiness Group (vFRG), currently supports about 650 Army units and
continues to receive positive feedback from users. The vFRG web system
provides all of the functionality of a traditional FRG in an ad-hoc and
on-line setting to meet the needs of geographically dispersed units and
families across all components of the Army. The unit's vFRG links the
soldier, family, FRG leader, unit commander, rear detachment, and other
family readiness personnel on their own controlled access Web portal to
facilitate the exchange of information and provide a sense of
community, using technology to automate manual processes and provide
enhanced services and communications. The unit commander is responsible
for maintaining the vFRG content and user access.
The Army Family Team Building Program builds stronger, more self-
reliant families by providing education and readiness training that is
particularly targeted to family members at every level, to include
junior enlisted spouses who are new to the Army and its ways. Demand
for classes increases during deployment and times of crisis when
families need current information and strengthened coping skills.
Our 95 garrison ACS directors reach out to the Army National Guard
and Army Reserve units in their geographic areas of responsibility to
assist Reserve Component family program personnel with providing
information, training, and other deployment readiness assistance. Our
Integrated Multi-Component Family Support Network (IMCFSN) provides a
seamless customer-focused network of services to Army families,
regardless of component. The IMCFSN delivery concept is accomplished by
training Active Army, Army National Guard, and U.S. Army Reserve
service providers on all authorized services and programs available to
soldiers and families by each component. When fully implemented, the
IMCFSN will provide a comprehensive multi-agency approach for community
support and services to meet the diverse needs of Active and mobilized
Guard and Reserve Army families. It will reduce duplication of effort
and provide geographical support where families live. Networked systems
will contribute to information superiority by providing families access
to online knowledge sources and interconnecting people and systems
independent of time, location, or Service component. The IMCFSN will
ensure services are available throughout the Army for predictable full
spectrum support.
One of our concerns is that the Army's current deployment posture
has taxed the resources of Rear Detachment (RD) and FRG leaders.
Although spouse volunteer leaders are using a variety of strategies to
share the workload, the nature of today's expeditionary Army makes
running FRGs a daunting task. Family Readiness Support Assistants
(FRSAs) provide administrative and logistical support to volunteer FRG
leaders, (e.g., maintaining telephone trees, family data cards,
scheduling speakers for FRG meetings, etc), which allows FRG leaders to
focus on assisting families. Commanders are currently absorbing the
cost of these assistants. The Army is working to institutionalize this
support resource and establish battalion level FRSA positions Army-
wide.
Another valuable online tool for families is MyArmyLifeToo.com.
Launched in 2005, it provides single portal access to current
information about Army life. Heavily used by families, the site has had
over 28 million ``hits'' since its inception. In addition, over 55,000
soldiers and families have signed up to receive the monthly e-
newsletter. Military families also have two additional Department of
Defense (DOD) resources--Military Family Life Consultants (MFLC) and
Military OneSource (MOS). The MFLCs provide much needed, on-demand
personal support to soldiers and families by providing outreach through
direct consultation, classes, groups, and individual sessions.
Extremely flexible, the program allows the Army to deploy and redeploy
these consultants where and when needed for up to 90 days. Topics
include: emotional well being; relationships; marriages; parenting;
deployment; change management; stress management; and grief and loss.
When an installation identifies specific needs, they may request
consultants with these specific skills. The consultants also provide
assistance to ACS and Child and Youth Services staff to alleviate
emotional burnout and family distress.
Another DOD resource, Military OneSource (MOS), is a 24/7 toll free
information and referral telephone line and Internet/Web based service
that is available to soldiers, and their families. This service
augments our installation family support services by providing
telephonic and Internet access to families living off installations.
MOS can also arrange for up to six face-to-face counseling sessions if
requested. A very valuable resource, MOS staff disseminated information
at 384 Army pre- and post-deployment briefings and events attended by
more than 150,000 soldiers and family members last year.
We also recognize the wealth of resources available in the civilian
sector. As a result, we have aggressively cultivated partnerships to
improve services to families. For example, the Army Spouse Employment
Partnership (ASEP) initiative focuses on improving spouse employment
opportunities for our Army spouses, especially our career spouses who
often must quit their jobs to accompany their Active Duty soldier
spouse to the next assignment. We believe increased spouse employment
opportunities support soldier retention and contribute to family
financial stability by helping spouses maintain careers. Since its
inception in 2003, ASEP has linked 26 corporate and military employers
with us to provide job and career opportunities to military spouses.
Current Partners are: Adecco USA; Affiliated Computer Services, Inc.;
Army and Air Force Exchange Service (AAFES); Army Career and Alumni
Program (ACAP); Army Civilian Personnel Office; BellSouth; Boys & Girls
Clubs of America; Computer Sciences Corporation; Concentra, Inc.; CVS/
pharmacy; Defense Commissary Agency (DeCA); Dell, Inc.; EURPAC Service
Inc.; H&R Block; Home Depot; Humana Military Healthcare Services;
Lockheed Martin; Manpower, Inc.; Sabre Holdings/Travelocity; Sears
Holdings; Social Security Administration; Sprint; Starbucks Coffee Co;
Stratmar Retail Services; Sun Trust Bank; and United Services
Automobile Association. One ASEP partner, Dell, Inc., established a
Virtual Call Center pilot at Fort Hood, TX, in 2005 allowing spouses to
work from home. The company has now implemented a ``From Home
Program'', hiring 29 spouses and providing them training and equipment
to work in virtual customer service from their homes. MyArmyLifeToo.com
and the military spouse job search Web site, www.msjs.org, provide
portals for military spouses to develop their resumes and apply for
jobs. In fiscal year 2006, ASEP partners hired over 5,000 military
spouses, bringing the total of spouses employed by ASEP partners to
16,000. The Council of Better Business Bureaus, a key community
partner, works with military installations and local Better Business
Bureaus to resolve consumer issues affecting military personnel and
their families.
Recognized as a driving force behind hundreds of legislative,
regulatory and policy changes, and program and service improvements
over its 24-year history, the Army Family Action Plan (AFAP) enables
our soldiers and families to raise issues to senior leadership for
resolution. AFAP is recognized and strongly supported by local commands
as well as senior Army leadership. Installations and headquarters
monitor issues and their progress through regular guidance, direction,
and leadership approval. AFAP recognizes that as the operational tempo
of the Army changes, we need to adapt our programs and policies to
continue to meet the needs of our soldiers and families. Each year, the
conference pursues resolution of critical quality-of-life issues. For
example, at the November 2006 worldwide AFAP conference, we added a
workgroup to this vital process to represent our wounded warriors. Our
soldiers and families know AFAP is their ``voice'' in the Army's
future.
Another program the Army has initiated to obtain relevant and
current feedback from families is the Army Family Readiness Advisory
Council (AFRAC). Meeting twice yearly, the AFRAC is co-chaired by the
spouses of the Chief of Staff Army and Vice Chief of Staff Army.
Membership is comprised of the following: spouses of Army Command
Deputy Commanders/Chief of Staff; Command Sergeants Major; Director,
Army National Guard and Chief, Army Reserve; Army National Guard and
Army Reserve Command Sergeants Major; rotating Army Service Subordinate
and Direct Reporting Units reps (Commander, Command Sergeants Major
Spouses); rotating Army 2-star Joint Command representatives (Commander
and Command Sergeant Major Spouse); Sergeant Major of the Army (DA-
level) representative; and a selected junior spouse. The AFRAC members
look at issues that impact quality of life from a strategic and global
Army-wide perspective and advise senior leadership on the direction of
Army Family Programs; assess and recommend solutions for evolving
family issues; establish short and long range goals and objectives;
serve as advocates for Family Program services, initiatives and
volunteers; and assist in the implementation of family programs. The
Council serves to enhance soldier readiness, retention and mission
efficiency, increase program effectiveness, and connect families to the
Army.
The Survey of Army Families (SAF) is another tool the Army uses to
gauge the attitudes and behaviors of civilian spouses of Active Duty
soldiers. Recent in-depth analyses of 2004/2005 SAF V data, provided by
the U.S. Army Research Institute for the Behavioral and Social Sciences
and the Army's Family and Morale Welfare and Recreation Command
(FMWRC), confirm the importance of MWR and family programs to soldier
readiness and retention. Significant findings include:

Spouse knowledge and use of Army support assets and
being comfortable dealing with Army agencies are keys to
positive deployment adjustment.
Army recreation services are the second most commonly
used non-medical service during deployment, with 42 percent of
spouses using this installation program. Thirty-four percent
indicated they increased their use during the deployment, and
62 percent said they are satisfied with the services they
received.
Sixty-eight percent of spouses who used ACS personal
and financial assistance programs during deployment found these
services helpful, the highest rating of satisfaction for
deployment related services in the survey.
As a result of deployment, depression and school
problems affect about one in five children. Parents believe
their youngest children cope most poorly with the deployment
separation, especially preschoolers under age 6.
Perceptions about the Army as a good place for younger
children are linked to soldier retention: 86 percent of the
spouses who think the Army is good for younger children want
their soldier to stay in the Army, while only 51 percent of
spouses who think the Army is not good for their children want
their soldier to remain in the Army.

The Army's Recreation program provides a variety of activities
designed to support the families of deployed soldiers. Begun at
Schofield Barracks when the 25th Infantry Division was notified that
they would be deploying, Army libraries now offer ``Read to the Kids.''
This program allows the families to stay connected through a deployed
parent recorded story time during their months of separation. Soldiers
deployed in Iraq and Afghanistan and their families are also able to
share ``video messages'' during the deployments. Automotive centers
provide auto storage areas where spouses can store vehicles with
problems until their spouse returns. Some installations also provide
auto repair and towing services for family members of deployed soldiers
to insure they have safe, reliable service. Sports and fitness offers
targeted classes for family members, scheduled at times and locations
which best meet their needs.
To support our Wounded Warriors, the Army Wounded Warrior (AW2)
program employs specially trained personnel in the role of Soldier
Family Management Specialists (SFMS). As the soldier's primary
advocate, the SFMS assists in meeting the soldier and family's needs
throughout the treatment, rehabilitation, and transition processes.
Support offered includes assistance with financial issues, pay
problems, administrative support requirements, and explanation of the
physical disability evaluation process. When the soldier transitions
from the Army into the community, the SFMS serves as the soldier's
Veterans Affairs (VA) advocate. They also provide a link for the
soldier and family to various Federal, State, and local aid programs,
benefits, and support organizations. After the soldier and their family
have completed transition, the SFMS continue to reach out to the
soldier and family to ensure continued advocacy and support.
The Department of the Army is dedicated to providing the highest
level of support to soldiers, family members, and installation
infrastructures upon the announcement of involuntary extensions. Army
deployed a multi-disciplinary Tiger Team from Headquarters Army to
172nd Stryker Brigade at Fort Wainwright, AK, and 10th Mountain
Division at Fort Drum, NY, to support these commander's efforts to
successfully deal with the myriad of family issues resulting from the
unit deployment extensions. Incorporating lessons learned, we have
developed a Tiger Team Smart Book as a tool for commands at every level
to anticipate and determine the support necessary in the event of a
deployment extension. The primary objective of the Tiger Team Smart
Book is to synchronize, standardize, and streamline procedures to
effectively and efficiently support soldiers and families through this
difficult time. The Tiger Team will continue to provide assistance as
needed to the additional units facing extended deployments.
Although families are resilient, they are not on their own. They
are part of the Army family and we take care of them by providing
support and meaningful opportunities for social bonding. There must be
sufficient infrastructure, independent of volunteer support, properly
resourced to deliver consistent quality services in a seamless manner.
The Army will continue to offer quality programs and services to
families, which will positively affect retention. Family well-being and
quality-of-life are critical to the readiness of our soldiers and have
a profound effect on decisions regarding whether the soldiers will
remain in the Army or leave it when their enlistments or obligations
are over. Adaptive and resilient, the Army family will continue to
thrive as the expeditionary Army sustains an operational tempo that
continues to be challenging.

CHILD AND YOUTH SERVICES INITIATIVES

Quality, available, affordable, and predictable child and youth
programs, delivered in an integrated system of facility based, home-
based and off-post programs, allow soldiers to focus on their missions,
knowing their children are thriving in our child and youth programs and
are adjusting as they move from school to school. As a quantifiable
force multiplier, these programs are crucial in reducing the conflict
between soldiers' parental responsibilities and unit mission
requirements. The 2005 Survey of Army Families indicated that the
``predictable and consistent services provided by Army Child and Youth
Programs reduce the stress children and youth experience when a parent
is deployed''. Further, parent responses in the Survey indicate the
``Army provides a supportive environment and services designed to
promote positive adjustments and strengthen child well-being during the
period of deployment separation''.
There are many military-unique factors that make child care and
youth supervision options a necessity to support our soldiers. For
instance, military families are often younger families with children
and are living away from their own extended families and neighborhoods.
Military families need care for infants and toddlers which is the very
age group that care is least available off post. Military duties
require child care and youth supervision options 10-14 hours per day
including early morning, evenings, and weekends as well as round-the-
clock care--sometimes for an extended period of time. The lack of care
options at remote sites and overseas creates challenges between mission
requirements and parental responsibilities. Parents who are either
single and dual military and those families whose spouses are deployed
making them temporarily single parents have distinctive needs. One
additional military unique factor includes the mobile military
lifestyle with its frequent relocations resulting in challenging school
transitions--especially for teens.
Child and youth programs play a vital role in supporting families
affected by the global war on terror. Families tell us that the
extraordinary efforts our child and youth staff and family child care
providers make a difference in their ability to cope with the stress of
family separation. Telling, too, is the fact that many of the staff and
providers are also dealing with the deployment of their own spouses.
As the need for child and youth programs for both deployment
support and day-to-day workforce child care continue to increase and
change, the Army has taken a number of actions not only to meet this
need but also to meet extended deployment needs and close installations
in Europe.
The Army has provided over 2 million hours of free and reduced
patron fee hourly and respite child care to families of deployed
soldiers since the beginning of Operations Enduring Freedom and Iraqi
Freedom. Installation child development centers and family child care
homes have extended operating hours. Often beginning as early as 4:30
a.m. and going until late into the evening to support shift workers,
child and youth employees and family child care providers support
families of deployed soldiers. The staff often works at night and on
weekends to provide care during family readiness group meetings and
special events held by the installation to support families of deployed
servicemembers.
Family child care providers frequently provide additional evening
hours of care taking the children to ball practice, choir, helping with
homework, and volunteering to coach youth sports teams whose coaches
are deployed. In short, child and youth employees and family child care
providers are making every effort to provide a predictable and
consistent level of program availability to enhance the lives of
children who desperately need this support. The respite care provided
gives parents time to attend to personal needs or take breaks from the
stresses of parenting. Partnerships with organizations like the Boys
and Girls Clubs of America and 4-H enhance School Age Services
programs, and Teen and Youth Centers and offer value-based programs to
help youth deal with the stress associated with parental deployments.
Army also responded to the child and youth requirements resulting
from the deployment extensions of the 172nd Stryker Brigade at Fort
Wainwright, AK, and 10th Mountain Division at Fort Drum, NY. At each
location, child and youth services programs and hours of operation were
expanded to meet the unique needs of these families. In Alaska, Child
and Youth Services staff from other Army installations volunteered to
be temporarily assigned to Fort Wainwright to ease the burden and
stress of the existing child and youth staff, many of whom had spouses
who were extended. The lessons learned are applicable to the recently
announced 15 month deployment requirements.
To support deployment requirements, Active Duty geographically
dispersed and Reserve component deployed families are able to access
child care support and pay reduced child care fees when soldier parents
deploy. Operation: Military Child Care, a DOD partnership initiative
with a national nonprofit organization, helps families locate child
care at reduced rates in their local community when they are unable to
access child care on military installations. Since the inception of
Operation: Military Child Care in February 2005, over 5,000 DOD
children have participated. Army currently has over 2,200 children
receiving the child care subsidy.
In conjunction with the National 4-H Office, the Army's Operation
Military Kids (OMK) initiative is a collaborative effort in 34 States
to support the children and youth of our Reserve component soldiers.
This vital Army partnership with the Department of Agriculture is a
success story that engages main stream America in directly supporting
our military youth. Most recently, the OMK team in Minnesota responded
to the child and youth needs of families affected by the extension of
its National Guard soldiers. Mobile Technology labs are used to
communicate with deployed parents, provide professional development for
school personnel, and support other OMK activities to help ease the
stress on families. In fiscal year 2006, more than 29,000 youth
participated in OMK events and services conducted in their local
communities.
While providing extensive deployment support to Active and Reserve
component families, Army transformation and the expeditionary force is
altering the way the Army has traditionally delivered child care
services. Increasingly, we find the on-post, Army-operated child care
programs insufficient to meet the growing demand for services. To
increase child care availability, several community initiatives have
been developed to meet the child care needs of our families.
Military Child Care in Your Neighborhood assists geographically
dispersed Active Duty families locate child care spaces in their
community. These child care spaces are targeted to meet the child care
needs of recruiters, Reserve Officer Training Corps instructors, MEPCOM
personnel and soldiers on independent duty assignments living in
communities that are not within reasonable commuting distances to
military installations.
Army Child Care in Your Neighborhood supports families living in
the immediate catchment areas surrounding some of our installations
where there are long waiting lists for care on the installation. Army
has programs underway at the most heavily impacted transformation
installations: Fort Riley, KS; Fort Carson, CO; Fort Drum, NY; Fort
Hood, TX; Fort Campbell, KY; and Fort Bliss, TX.
Under these programs, services are outsourced through a national
nonprofit organization that assists families locate child care when
they are unable to access child care on military installations.
Families pay reduced fees based on total family income for child care
services delivered through state licensed/regulated and nationally
accredited or credentialed community child care programs.
As part of the 2006 DOD emergency intervention strategy, nine
highly impacted Army transformation locations procured 18 Child Care
Interim Facilities to serve as a viable solution to meet the child care
needs until permanent facilities can be constructed (a total of 1,800
additional spaces). The facilities are located at Fort Bliss, TX; Fort
Campbell, KY; Fort Carson, CO; Fort Drum, NY; Fort Hood, TX; Fort
Lewis, WA; Fort Riley, KS; Fort Stewart and Hunter Army Airfield, GA.
Permanent construction projects are programmed in the Future Years
Defense Plan to replace these interim facilities by 2013. Using the
authority granted by section 2810 of the National Defense Authorization
Act for Fiscal Year 2006, Army is adding 10 permanent modular child
care facilities at Fort Bragg, NC; Fort Lee, VA; Fort Lewis, WA; Fort
Polk, LA; Fort Sill, OK; Tobyhanna Army Depot, PA; Anniston Army Depot
and Redstone Arsenal, AL; Detroit Arsenal, MI; and Picatinny Arsenal;
NJ.
Another factor in retention of soldiers and families is the
availability of quality schools in the civilian community. Army is
working with the DOD and Department of Education to ensure that its
families are prepared for successful school transitions from one
location to another in support of the mobile and transforming Army.
Developed in 2005 to address Base Realignment and Closure and Army
transformation needs, the Army School Transition Plan includes
strategies for successful transition of more than 55,000 Army-connected
students from schools in continental United States and overseas
locations to be able to adapt to the mobile and changing military
lifestyle. Better transitions mean a smoother move and settling in for
the family, which in turn supports their stability and security. The
soldier, therefore, can concentrate upon the unit's mission.
The plan focuses on coordination with national, State, and local
education agencies to integrate military-connected students into local
school systems. The Army, the DOD and Department of Education are
working in partnership with affected local education agencies to
identify best practices on how to accommodate the influx of
transitioning students.
During the past few years, many school systems have demonstrated
their commitment to respond to the needs of our Army children.
Superintendents, principals, and counselors welcome information about
how to support our children, including military support services
available for their use. Teachers and counselors are extremely positive
and demonstrate a genuine interest in the well-being of our Army
children.
Army Child and Youth Programs are vital to the readiness, retention
and well-being of soldiers and their families. Army must continue on a
path to meet the enduring child care and youth supervision needs of a
transforming and growing Force and also meet the mobilization and
contingency child and youth needs of an Army at war. To do this
requires robust programs delivered by a system of Army operated
programs on post and by Army sponsored programs provided off post. Only
through this integrated approach can Army provide the child and youth
services and programs our soldiers need and deserve.

CONCLUSION

Army family readiness and child and youth programs are absolutely
essential to the well being of our soldiers and their families and
ultimately the sustainment of the force. Army leadership is committed
to providing a comprehensive framework of predictable and available
programs and services on and off the installation that prepare and
support soldiers and families to successfully meet the challenges of
current and future deployments.
The Nation has received an excellent return on its investment in
our families. On behalf of Army families all over the world, I ask for
your continued strong support of our family, child and youth programs.
I thank you for the opportunity to appear before you today, and I
look forward to answering your questions. Army Strong!

Senator Ben Nelson. Thank you, Mr. McLaurin.
General Brady?

STATEMENT OF LT. GEN. ROGER A. BRADY, USAF, DEPUTY CHIEF OF
STAFF FOR MANPOWER AND PERSONNEL, HEADQUARTERS, UNITED STATES
AIR FORCE

General Brady. Chairman Akaka, Chairman Nelson,
distinguished committee members, I appreciate the opportunity
to appear before you today to talk about Air Force family
readiness programs.
Let me begin by thanking you for the tremendous support you
have consistently provided for our airmen and their families.
The sacrifices our airmen, their spouses, and children make
throughout a typical career are enormous. As our operations
tempo increases and deployments lengthen, our Air Force
families are presented with many unique challenges not often
experienced by their civilian counterparts.
We have over 30,000 total-force airmen deployed in support
of the global war on terror. In many respects, the families of
these deployed airmen are at war, also. To meet their needs, we
support our Air Force community with programs and services for
both married and single total-force airmen, whether at home or
deployed. From childcare and youth programs to reintegration
programs for returning deployers and their families, your Air
Force remains committed to ensuring our airmen and their
families have the right tools to cope with the many challenges
they face.
I would agree wholeheartedly with Dr. Davis that support to
families is important before, during, and after deployments. In
fact, it's my belief that the programs that we provide after
deployment are sometimes the most important in dealing with the
stresses that reunited families have.
I am extremely proud of the hard work and dedication put
forth by our support personnel to make our mission, and,
therefore, the Air Force mission, happen every day all over the
world. We recognize this would not be possible without the
tremendous support from these subcommittees, and we thank you.
You have my written statement, and I welcome your
questions.
[The prepared statement of General Brady follows:]

Prepared Statement by Lt. Gen. Roger A. Brady, USAF

Thank you, Chairman Akaka and Chairman Nelson and distinguished
committee members for the opportunity to appear before you today to
discuss Air Force Family Readiness Programs. The statement ``We recruit
the member, but we retain the family'' is not a cliche but has been a
reality in the Air Force for many years. The quality of life we provide
for our airmen and their families is a distinct determining factor in
how long they remain in our service.
The sacrifices our airmen, their spouses, and children make
throughout a typical career are enormous. As our operations tempo
increases and deployments lengthen, our Air Force families are
presented with many unique challenges not experienced by their civilian
counterparts. We have over 30,000 Total Force airmen deployed in
support of the global war on terror, and in many respects, the families
of these deployees are at war too. To meet their needs, our Air Force
community support programs and services are there for both married and
single Total Force airmen, whether at home or deployed.
In particular, the Air Force developed the Heritage to Horizon
initiative to strengthen all predeployment, deployment, and post
deployment airmen and family wellness programs. Specific areas of
improvement include a standardized predeployment checklist and
education, mandatory, comprehensive redeployment services, post-
deployment health assessment and reassessment, non-clinical counseling,
and reunion challenges that the airman and family face. Many of these
programs are outlined in more detail below. Together they demonstrate
the Air Force's strong commitment to ensuring our airmen and their
families have the right tools to cope with the challenges that may
arise from deployments.

CHILD CARE

Readily available, high quality and affordable child care and youth
programs are a workforce issue with direct impact on mission readiness.
Airmen must balance the competing demands of parenting and military
service. This is particularly challenging in today's environment of
higher operations tempo, increased mobilization, and longer periods of
time away from home. We are committed to serving these airmen and their
families by reaching out and assisting all members of the total force
through robust child and youth programs wherever the member resides.
Our Air Force Home Community Care program reduces out-of-pocket
expenses for Air Reserve component members by providing free in-home
quality child care during their scheduled drill weekends. This program
provides the same quality child care available to airmen assigned to or
living on a military installation. This past year, the Home Community
Care program provided more than 10,000 child care hours, enabling our
Air Reserve and Air Guard's mission readiness. As one Air Guard member
concluded, ``This is an invaluable asset to a dual military couple!
Drills have always been a headache for child care and it is great to
have someone to count on for these times! Thank you, Thank you, Thank
you!'' Another Air Guard member shared, ``The Air Force's Home
Community Care program is greatly appreciated. If not for this program,
I would have to consider leaving the Air National Guard.''
Air Force Active Duty families are also eligible for the Military
Child Care in Your Neighborhood program designed to meet the child care
needs of servicemembers living in areas where on-base military child
care is not available. This program supports military families with
locating and paying the cost of high-quality child care outside
military installations. It also provides eligible members with a
subsidy for 60 days while a nonmilitary spouse is looking for work.
Similarly, the Air Force Expanded Child Care programs provides
18,000 hours each month of child care during nontraditional work hours
at no cost to the military member. These programs enable airmen to
obtain high quality child care even when the mission requires duty
hours at night or on weekends. In addition, the Returning Home Care
program provides 16 hours of free child care per child to Active Duty,
Air National Guard, and Air Force Reserve members returning to their
home stations after deployment in support of contingency operations.
The Air Force Family Child Care Subsidy program saves families an
average of $143 per child per month by subsidizing the care received in
an Air Force home when a slot is unavailable at the child development
center. This program is of particular help to those airmen with
children under the age of 3 or children with special needs, and to
those airmen who work shifts outside of a normal duty day.
A recent national study highlighted the Department of Defense (DOD)
child care program as leading the Nation in quality standards and
effective oversight. We are proud of this honor and believe that our
child care is extremely important to our single and dual military
parents, enabling them to focus on the mission. Unfortunately, we still
have approximately 5,000 children on our waiting lists. To reduce this
shortfall for our airmen, we are adding 2,176 child care spaces using
emergency intervention funding from the Office of the Secretary of
Defense. Child and youth programs are vital to our readiness and we ask
for your continued support.

YOUTH PROGRAMS AND SERVICES

Our youth programs focus on children elementary age through teens.
They are a key component of our strategy to support the quality of life
of airmen and their families. Our two ongoing partnerships with Boys &
Girls Clubs of America and the U.S. Department of Agriculture's 4-H
program provide additional means to reach families living both in
communities and on active installations. The Mission: Youth Outreach
program provides a 1-year free membership in a local Boys & Girls Club.
Through this important program, Active Duty, Guard, and Reserve
families who do not live near a military installation still have a safe
and positive place for their youth to spend their out-of-school time.
Our partnership with 4-H fosters the development of 4-H clubs on Air
Force bases, and specially appointed State Military Liaisons reach Air
Guard and Reserve families with these quality youth programs.
We offer a variety of summer camp opportunities including
residential camps, specialty camps, and other base specific camp
programs. For the Guard and Reserve youth, our base youth programs have
partnered with the National Military Family Association to provide
residential youth camps during the summer. Over 5,000 Air Force youth
participated in camps last year designed to help them achieve their
potential, develop their self-esteem and build their resistance to
negative pressures.

OUTREACH PROGRAMS

Taking care of our Air Force family members back home and helping
to keep them in contact with the deployed member is extremely important
to the morale and well being of our airmen. The Air Force provides
numerous programs to assist airmen and their families cope with the
stresses of deployment. Our support for spouses and families during
deployment includes free e-mail access, phone and video calls, support
groups within units or at central locations, and newsletters. These
important programs help to keep families connected with their deployed
spouse and up-to-date on programs offered by the installation. In
addition, we provide workshops and seminars on topics such as financial
survival during deployment, career planning and development for
spouses, ``suddenly single'' parenting skills, and how to keep long-
distance relationships healthy. Airman & Family Readiness Centers
(A&FRCs) work with Family Member Programs and other support units on
installations to sponsor special activities for children such as Junior
Personal Deployment Functions which help young family members adapt
better to their parents deploying by understanding what their parent
experiences in preparation for deployment.
Our A&FRCs also sponsor Heart Link Spouse Orientations designed to
``blue'' spouses who are new to a military life style. This day-long,
fun-filled program helps spouses understand the Air Force mission and
how they and their military spouse support that mission. Through games
and interactive events, they learn about all the benefits and services
provided to them by the Air Force. Our installation commanders open the
program by giving a mission briefing and then close the day with the
presentation of a Heart Link spouse coin and the singing of the Air
Force song! The success of this program has been tremendous as measured
by pre- and post-assessments, as well as a 90-day follow-on survey to
ask if the program impacted their opinions about the Air Force. One
spouse of a pilot said, ``After learning about how the Air Force took
care of me and my family, I now support my husband's continuation with
an Air Force career.''
Our Stay Connected deployment kits provide children and parents
with a way to maintain a solid connection while they are separated
during deployments. Since April 2006, over 13,000 of these kits have
been provided to airmen and their families. In the words of one Reserve
spouse, ``Thanks again from all of us who are trying to make their
deployment over there easier. I know my husband enjoyed the message I
made him on the recorder pen, and I play the one from him almost
everyday.''
Providing free calling cards is another way we are facilitating
better communication between deployed airmen and their loved ones. The
Air Force Aid Society distributed almost 79,000 $20 calling cards to
Air Force Active Duty, Guard, and Reserve personnel during fiscal year
2006--a total value of $1.6 million. These cards were vital in helping
families not only stay in better contact, but also saved them money on
telephone bills. During the same period, the Veterans of Foreign Wars
distributed approximately 19,000 additional calling cards to Air Force
personnel at an estimated value of $135,000.
The Give Parents A Break program offered through Child Development
Programs provides senior leadership and others in the referral network
a way to offer no-cost child care to help support military members
needing relief from the demands of parenting and military life such as
deployment-related stress. The Child Care for PCS Program helps relieve
some of the stress felt by families (E-5s and below) in the process of
a PCS move. Families receive 20 hours of child care before departing
and after arriving at the new base. Supporting the need for family
members to be contributing citizens, the Child Care for Volunteers
program provides child care services for individuals engaged in
supporting activities that benefit the Air Force community.
As part of a DOD-wide deployment support initiative, Whiteman Air
ForceB will test the Parents as Teachers (PAT) Heroes at Home program.
PAT Heroes at Home is an early childhood parent education program aimed
at improving parenting practices and increasing school readiness and
success. This free program involves monthly personal visits with a
certified parent educator. During these visits, the educator shares age
specific information and activities that encourage development. Group
parent meetings are held to discuss popular parenting topics along with
weekly playgroups. At least once each year developmental and health
screenings are conducted using standardized screening tools and vision
and hearing checklists. Parent educators also link families to service
providers, agencies and other local resources that offer services
beyond the scope of PAT/Heroes at Home.
At Eglin Air Force Base, FL, we are also testing another DOD-wide
program: the Coming Together Around Military Families initiative. This
program is designed to strengthen the resilience of young children and
their families who are experiencing trauma, grief, and loss as a result
of a servicemember's deployment. The program provides training for
professionals working in child care, mental health, health care and
A&FRCs. These professionals play an important role in supporting
families with very young children who experience the emotional or
physical loss of a parent due to deployment, illness, injury, or death.
This program will also provide parent resources and training for base
professionals as well as outreach efforts to Guard and Reserve
communities. Activities include a coming together campaign that will
include messages to parents on supporting young children through
deployment, relocation and other transitions.

COMMUNITY PARTNERSHIPS FOR SUPPORT

Within the DOD, our Exchange and Commissary partners also provide
numerous services for families of those deployed. The commissaries
actively participate in all pre-deployment briefs and at A&FRC
briefings aimed at Guard and Reserve families. In addition, the new
Defense Commissary Agency Internet initiative, the Virtual Commissary,
is primarily designed to take the commissary to those Guard and Reserve
families who do not live near a commissary and to those deployed to
forward areas. This program when fully operational will allow
authorized patrons to order from a selection of commissary items at
commissary prices, plus a fee for shipping, handling, and delivery, to
be delivered to their location.
The Army and Air Force Exchange Service (AAFES) provides support
directly to deployed personnel with approximately 450 associates
currently deployed in support of Operation Enduring Freedom and
Operation Iraqi Freedom. AAFES also offers programs that allow family
members and other U.S. citizens to show their patriotic spirit. AAFES
sells prepaid calling cards at www.aafes.com to anyone wishing to
donate to ``Help Our Troops Call Home.'' Since the inception of the
program in 2004, more than 192,000 cards have been purchased to help
servicemembers stay in touch with family and friends. There is also a
link on the Web site for purchasing gift certificates for deployed
troops that can be redeemed in any military exchange in the world.
Americans have generously contributed in excess of $1.7 million for
these ``Gifts from the Homefront.'' AAFES also provides the Patriot
Family Connection which allows the American public to send troops
messages of support that are seen and heard in exchanges throughout the
contingency theater and overseas.
Working in partnership with the civilian community, Operation
Military Child Care (OMCC) provides child care fee assistance for
National Guard and Reserve who are activated or deployed and whose
children are enrolled in non-DOD licensed child care programs. OMCC
provides help in locating licensed child care options in the member's
community and offers reduced child care fees through a subsidy. Members
are eligible to participate during the period of deployment and for 60
days after their return. OMCC also provides a subsidy for 60 days while
a nonmilitary spouse is looking for work
Also in partnership with the civilian community and DOD, Air Force
programs provide families of severely injured military members with
assistance to find and pay for safe, licensed child care services for a
period of 6 months during their period of recuperation. The program is
available nationwide wherever the injured member is receiving either
in-patient or out-patient medical care.

SPOUSE EMPLOYMENT

Military families often require two incomes to achieve their
aspirations, similar to American families as a whole. Frequent moves
can inhibit a military spouses' ability to start and sustain a career,
even though approximately 80 percent of military spouses have some
college. Our spouses often suffer long periods of unemployment and,
therefore, loss of income.
Another issue that affects the financial stability of military
families is that spouses are often not eligible for unemployment
compensation after PCS moves. Statutes or policies of many States view
a spouse leaving a job due to a military move as a voluntary separation
when, in fact, they have no choice in the matter. Granting eligibility
to working spouses who relocate due to PCS provides a much needed
financial bridge for military families both during mandatory moves and
while spouses seek suitable employment at the new location. Of the
States with Active Duty Air Force bases, 12 offer full unemployment
compensation to military spouses who PCS, others evaluate on a case-by-
case basis, and 5 offer no unemployment compensation to PCSing spouses.
DOD, through the quality-of-life liaisons, is working with senior
military leadership to educate State legislators on the need to promote
legislation that will support full unemployment benefits for PCSing
military spouses.
Differing licensing requirements can limit advancement or deter re-
entry into the workforce at a new location. DOD has identified
locations where there are licensing barriers and is developing policy
recommendations for licensing and credentialing requirements across
States for high demand, or shortage of, careers and jobs. We need to
encourage states to sponsor model programs to assist military spouses
and develop policies that promote timely transfer of employment,
including elimination of cross-State certification barriers, and
adopting high quality alternative certifications when possible.
To assist spouses in the employment process, the Air Force Spouse
Employment Program provides consultation and resources to help spouses
quickly reenter the job market at new locations. A&FRC staff provide
information and referral at both the losing and gaining installations
to prepare spouses for each new job search. Staff network with local
employers and human resource professionals to insure the most up-to-
date job search information is available. For young spouses, the
program assists in career planning for a mobile lifestyle and provides
resource information and education on virtual career potentials.

FINANCIAL MANAGEMENT

The A&FRC Personal Financial Management Program provides education
and one-on-one counseling for all financial related issues from basic
budgeting to consumer education to investing. Nationally certified
financial consultants on staff at the A&FRCs provide mandatory
financial education during basic training and at First Term Airman
Centers. Information on payday lending and other interest-based loans
are part of that training. Additional education opportunities are
provided during transition and relocation seminars. A myriad of
workshops for other audiences and the general public include investment
planning and the Air Force Thrift Savings Plan.
The Air Force Aid Society is the official charity of the Air Force.
In addition to emergency financial assistance, the Air Force Aid
Society provides education grants for spouses and family members. They
also provide over $2 million of Community Enhancement Programs yearly.
As well as the phone cards for deploying members, those programs
include: Bundles for Babies (financial planning for parenthood), Car
Care (preventive vehicle check-up and oil changes for deployee's
spouses), Wellness and Respite Care, Youth Employment Skills, Spouse
Employment Training, and numerous child care programs.

COUNSELING

The A&FRC professionals offer services that provide information,
foster competencies and coping skills, and offer consultation and
assistance that help airmen and their families deal with the competing
demands of the Expeditionary military mission and family
responsibilities. Additional services offered enhance the well-being
and readiness of airmen and family members and include personal and
family readiness counseling, financial planning and management,
emergency financial assistance, spouse career planning and development,
and transition and relocation assistance.
To help ensure they are prepared, all deployed airmen are required
to attend pre-deployment counseling. Spouses are strongly encouraged to
attend. These one-on-one or group sessions are focused on personal
planning, combat stress education and prevention, dealing with
separation, children's issues and community resource access. A&FRCs
also provide one-on-one and small group consultation as requested for
airmen, spouses, and families during the entire redeployment process.
In addition, many installations, through combined efforts of A&FRCs,
Chaplains, and Family Member Programs, offer day-long or weekend
retreats and other events as part of redeployment for families and
couples.

REINTEGRATION PROGRAMS

Reintegration and redeployment support begins for airmen while in
the area of responsibility when chaplains or mental health staff
provide initial information and resources and airmen complete a post-
deployment health assessment. Families can begin reintegration planning
by working within spouse support groups and with A&FR staff focusing on
developing communication skills and realistic expectations for the
reunion process and homecoming. At home station airmen complete formal
redeployment processing and take advantage of programs and services to
help them reconnect with family workplace, and community.
The need for an airman and family readiness presence in the AOR has
long been a subject of discussion. As a pilot program we have deployed
two members, one civilian and one military, for a period of 120 days to
Al Udeid AB, Qatar. Their focus is on deployment support issues,
reintegration, connectivity with families back home, Air Force Aid
Society issues and relationship building. They work in close concert
with chaplains and life skills to provide reintegration services to
assigned personnel, as well as to personnel returning from Iraq and
processing through Al Udeid. Significant work will also be done in the
area of personal financial management--both one-on-one counseling and
classroom instructions--and in other areas such as Transition,
Relocation, Employment Assistance counseling and skill building. The
positive impact of this initiative cannot be overemphasized. Not only
will we be able to assist our airmen and their families with common
deployment issues, we will also provide a significant resource to
deployed leadership and airmen by providing standard A&FRC support in a
myriad of areas where assistance is needed even at a deployed location.
Our presence will be a force multiplier and, ultimately lessen the
workload on A&FRCs Air Force-wide and facilitate a smooth transition
back to home station for our deployed airmen.

AIR FORCE SURVIVOR ASSISTANCE PROGRAM AND PALACE HELPING AIRMEN RECOVER
TOGETHER

The Air Force Survivor Assistance Program aims to provide the best
possible individual service to airmen who are seriously wounded,
injured, or ill and families who have lost a loved one. The heart of
this program is the family liaison officer (FLO) who is assigned to
each patient for the duration of their need. The FLO serves as a single
point of contact between the family and the numerous helping agencies.
Our FLOs assist the family in arranging transportation, child care, or
even care for a family pet. They do whatever is needed for as long as
needed to help reduce the stress on the airmen and families during this
difficult time.
When an airman is wounded, ill, or injured in the war zone the
Survivor Assistance Program swings into action. Within hours, we begin
tracking medical status and evacuation plans to regional medical
facilities or back to the United States for treatment. At each stop
along the way we ensure a FLO is there to meet the airman and assist
with any needs he or she may have. This often includes arranging local
transportation and accommodations for family members, working through
required paperwork, as well as being a friendly face for the airman.
When families travel to visit their seriously wounded or injured
relative in a strange town, the FLO is there to provide needed
assistance. The FLO is not expected to be the expert in each area, but
is trained to find the right answers for the families he or she is
working for. Our FLOs provide a critical resource to deal with the
unfamiliar routine of the recovery process and prevent the airman from
being lost in the bureaucracy.
Our service reaches worldwide to ensure all of our wounded, injured
and ill members are equally well cared for. For example, then Staff
Sergeant Israel Del Toro was badly burned as the result of an IED
attack in Afghanistan. He was in intensive care and in a coma at Brooke
Army Medical Center in San Antonio, TX, and remained in that condition
for 4 months. In the meantime, his wife and family needed to be
relocated from Italy, where Sergeant Del Toro was stationed. His wife
was not a U.S. citizen and her application for registration, which had
been filed at the U.S. Embassy in Italy, could not be located. In
keeping with the motto of ``whatever the family needs,'' the FLO worked
with the State Department to locate immigration paperwork for the
spouse, worked to process her application, made housing arrangements
for the family, and provided temporary lodging for other relatives. The
FLO also secured permanent housing for the family on Randolph Air Force
Base, arranged the shipment of their household goods, organized a crew
to assist placing their furniture in their new home, and picked up
their car from the port. In addition, the FLO retrieved the family dog
from the airport, enrolled the spouse in driver education and English
classes, and arranged transportation for hospital visits, shopping
trips and many other needs. Sergeant Del Toro's story illustrates how
important the FLO can be to a family and is typical of the dedication
and devotion our Air Force FLOs exhibit when they are taking care of
one of their own.
Unfortunately, the extent of some injuries does not allow our
wounded heroes to remain on Active Duty status. We have taken steps to
alleviate many concerns these brave warriors have regarding their
future careers after they suffer debilitating injuries. The Air Force
began the Palace Helping Airmen Recover Together (HART) program a few
years ago to provide long-term case management assistance to severely
wounded Air Force members who are not able to remain on active duty.
Like the FLO, the Palace HART program assigns a Community Readiness
Coordinator (CRC) when servicemember casualty notification is made. The
CRC works closely with the FLO to ensure the combat related injured or
ill servicemember and their family receives complete information and
entitlements. Our CRCs provide these airmen and their families with
individual transition, employment, relocation, financial, and other
forms of assistance, and ensure Palace HART members and their families
are referred to the correct benefit agencies for assistance.
Additionally, the CRCs advocate for these members with government and
civilian agencies to ensure they are making a successful transition to
civilian life. We have made a commitment to follow-up on our medically
separated or retired wounded members for a period of 5 years. This will
help ensure they are receiving the assistance they deserve for the
sacrifices they made for all Americans.
We continue to work through the Services, the Department of
Veterans Affairs (VA), and other agencies, both governmental and
nonprofit, to ensure a seamless transition from Active Duty service and
the military medical system to their communities and VA and local
medical services. Some medically separated or retired members do not
desire continued employment with the Air Force. However, these men and
women in uniform have much to offer their communities. The Air Force
will keep its commitment to these members and their families.
I am extremely proud of the hard work and dedication our personnel
put forth daily to not only prepare our airmen for deployment but also
ensure we are supporting their families before, during and after. The
stories and insights I've shared with you today demonstrate that our
professionals never forget the importance of what we are charged with
accomplishing. Through innovative systems and programs, the hard work
of our dedicated personnel, and the support of the community, we
continue to provide critical mission capability for our commanders and
vital support for our members and their families. The entire Air Force
support team makes our mission, and therefore the Air Force mission,
happen every day all over the world. We recognize this would not be
possible without tremendous support from the Readiness and Management
Support and Personnel Subcommittees. We thank you and look forward to
working with you as we press forward in helping to sustain America's
Air Force.

Senator Ben Nelson. Thank you, General Brady.
Senator Akaka, I think I'd like to have you start with your
questions first.
Senator Akaka. Thank you very much, Mr. Chairman.
I would like to ask some questions about cost-saving
measures with the Army. As I mentioned in my opening statement,
earlier this week the Army announced it was beginning a series
of cost-saving measures to deal with the needed costs of plus-
up of forces in Iraq until additional supplemental funding is
enacted. The Army took similar measures last year, when a
supplemental was not enacted until mid-June.
The Notice to Congress we received 2 days ago stated that
the Army would ensure, ``uninterrupted support to the families
of our deployed soldiers.'' This could be read in two ways. Mr.
McLaurin, is the Army position that these belt-tightening
measures will exempt only family support programs for deployed
soldiers, or does the Army intend to exempt family support
programs for all Army families from funding cuts and
restrictions?
Mr. McLaurin. Senator Akaka, it is my understanding that,
in fact, we are exempting the family support programs. As I
think everyone understands and appreciates, all of our force
supports the global war on terrorism, and it's just a question
of when, and not, particularly now, they're going to be
deployed. It is almost impossible, in my view, to maintain an
effective family support readiness program if you have to
ratchet it up and down, depending on who is involved with it.
Those programs need to be there for all our soldiers and their
families all of the time.
Senator Akaka. I'm concerned that the DOD, in particular
the Army, is developing a habit of making major changes in
force structure and basing without adequate planning. We have
seen this in the so-called modular conversion of brigades and
the relocation of forces from overseas. We are seeing it again
in the Army and Marine Corps grow-the-force proposals before us
now. At best, facilities such as schools and housing may be
ready just in time, but the DOD now seems to view the use of
temporary facilities as normal and even preferable to taking
time to build permanent facilities and new housing before the
troops arrive.
Mr. McLaurin, what input does the family support, human
resources, and community has the Army planned for such actions?
Are the Army's plans based entirely on operational needs, or is
any consideration given to the impact on families? Can you give
us an example of how any of the basing and force structure
plans I just mentioned was changed to take account of family
considerations? Finally, did your office attempt to put family
considerations on the table inside the Army?
Mr. McLaurin. Sir, those family considerations are, and
have been, on the table for quite some time. Both the previous,
and now the current, Chief of Staff of the Army are very
family-oriented, and they actually personally ensure that those
items are taken into consideration.
I cannot give you a specific example, as you request.
However, I can assure you that, from the Installation
Management Command CG to the G-4 of the Army and the G-1 of the
Army, as well as the Family and Morale Welfare and Recreation
Command representatives, all have their voices heard. When the
considerations were given to what the requirements were for the
new brigades, for example, there is a specific component in
there for quality-of-life programs. So, they are, in fact,
taken into consideration.
Senator Akaka. My final question, Mr. Chairman.
I understand that the Services do provide some family
assistance to the National Guard and Reserves. However, what
I've noticed is that this support tends to be in the form of
brochures, pamphlets, or Web sites. What method, or methods,
are being used by the DOD and Services to ensure that Active
Duty personnel, National Guard, and Reserves know about this
information. For instance, it is my understanding that some
families are unaware that there are programs and organizations
that may be of assistance to them as their servicemember is
deployed, even though there are these informational documents
and Web sites available.
Mr. McLaurin. Sir, I can answer for the Army, and I'm sure
my colleagues here can answer for the other Services. We make a
very concerted effort to ensure that the Reserve components are
included in our planning. The Integrated Multicomponent Family
Support Network that is being put together now has
representatives from both the Reserve and the Guard on it to
ensure, in fact, that not only are they part of the planning
process, but the goodness that they offer, because they have
very good robust programs, themselves, out there, and they can
actually reach out to the various States who have
individualized programs and find the best practices out there.
Hopefully we can incorporate them into the overall Army
support. Because, after all, sir, we are one Army.
Senator Akaka. Thank you for your responses.
Mr. Chairman?
Senator Ben Nelson. Thank you, Senator Akaka.
Secretary Dominguez, an August 2006 DOD report identified
several types of lending practices it considered predatory. One
is the military installment loan. Now, DOD asked for
legislative authority to regulate predatory lending practices
that target military personnel and their families, and Congress
gave DOD that authority. DOD has just published draft
regulations implementing this authority. However, these draft
regulations will still permit military installment loans. So,
my question is fairly simple. Why do the DOD draft regulations
allow military installment loans, a practice that DOD has
described previously as predatory?
Mr. Dominguez. Sir, we, in compliance with the legislation,
consulted with the Federal agencies that regulate the financial
industry, and, with them, drafted regulations which are in the
Federal Register now for comment. So, we're in the process of
receiving those comments and considering them.
It's important to understand that in the regulations we
drafted, it also put the issue of predatory lending and
predatory practice on the agenda for oversight by the Federal
agencies that have regulatory oversight, so this is now one of
the things they must check, and will check, in the industries
that they regulate. It allows for us to go back and tighten the
regulations if we miss something or if behavior out there
warrants it. We had to walk a pretty fine line to try and
preclude people exploiting servicemembers, at the same time
allow and enable the financial services industry to offer
products that were of use to members of the Armed Forces and
the wider consumer community. There are places where that's a
fine line to walk, and we tried to strike that balance.
The bottom line is, the regulations are still amendable to
change, and we designed into the regulatory process our ability
to go back and tighten a hole if the behavior and financial
management of the financial services industry warrants it.
Senator Ben Nelson. Well, I understand that, but doesn't it
seem a bit inconsistent to identify installment loans as a
predatory practice, or a practice to probably avoid for your
own financial security, and yet, you're treating them as okay?
I guess maybe I'm still confused. I know what your authority
is, and I know what regulatory bodies try to work with it, as
well--banking regulations, insurance regulations on insurance
products. But what did the DOD find out about installment
loans, that they didn't know when they thought they were bad?
Mr. Dominguez. Right. Sir, I'll take that one for the
record, and get back to you on that.
[The information referred to follows:]

Prior to engaging in drafting the regulation, the Department
requested input from the public on the statute. Trade associations and
financial institutions advised that the regulation needed to be clear
concerning when the provisions of the statute applied and how to
identify the covered borrower. During our consultation with the Federal
Regulatory Agencies, they reiterated the need for ``clear lines''
around definitions of covered consumer credit and the impacted
creditors, or the Department risk unintended consequences that could
negatively impact favorable financial products for servicemembers and
their families.
The initial version of the regulation has focused on credit
products that have, in general practice, terms that can be detrimental
to military borrowers. There are installment loans with favorable terms
and some with terms that can increase the interest rate well beyond the
limits prescribed by 10 United States Code Sec. 987. Isolating these
detrimental credit products without impeding the availability of
favorable installment loans was of central concern in developing the
first iteration of the regulation. No sufficiently succinct definition
could be developed for ``military installment'' loans that did not also
include other installment loan companies.
Including installment loans as covered credit required all
financial institutions to accomplish several additional actions that
could cause them to limit their credit offerings to military consumers:

Identify the military borrower. The Department is
working on the first iteration of the process to identify
covered borrowers. Experience will tell us where we may have
problems associated with the proposed process.
Limits on refinancing. This would create several
unintended consequences for military borrowers seeking
consolidation loans and favorable terms through refinancing.
Limits on use of deposits, savings, allotments, and
electronic funds transfers. Military borrowers could lose
favorable loan conditions as a result of these restrictions.

The Department's intent is to balance protections with access to
favorable credit. The protections posed in the statute can assist
servicemembers, if applied prudently. The first iteration of the
regulation applies these protections to forms of credit that have
proven to be accessed by servicemembers who need forms of financial
assistance other than high cost short term loans to resolve their
financial problems. These loans can be succinctly defined in order to
preclude potential unintended consequences.
The Department will continue to pursue protections for
servicemembers and their families through surveillance of the
marketplace, asking for feedback from counselors, and through surveys.
This review will provide evidence of how best to apply the protections
in the statute to problematic credit products.
Additionally, the Department will continue to work with State and
Federal regulatory agencies to ensure that other existing protections
are applied to negative circumstances experienced by servicemembers and
their families. Situations where installment companies exceed state
usury caps can be brought to the applicable state agencies for review
and action.
Through a combination of the Department of Defense regulation and
assistance from State and Federal regulators, the Department will
continue to pursue appropriate protections for servicemembers and their
families.

Senator Ben Nelson. I don't want to burn up all of our
time, but I appreciate it.
Mr. Dominguez. All right.
Senator Ben Nelson. I'm not trying to put you on the spot.
Mr. Dominguez. No, that's quite all right, sir.
Senator Ben Nelson. Okay.
Mr. McLaurin, the Secretary of Defense recently announced
this extension of service for Iraq and Afghanistan. Can you
tell me how the families were notified of the decision? Were
they told before the Secretary of Defense announced it in a
press conference? Just let me know exactly how they were
informed.
Mr. McLaurin. Sir, it's my understanding that they----
Senator Ben Nelson. I'm sure they'll tell me, when they get
here, but I just wanted to----
Mr. McLaurin. I have no doubt whatsoever, sir. [Laughter.]
Senator Ben Nelson. Yes.
Mr. McLaurin. To my knowledge, I don't believe that they
were informed beforehand. I know that afterwards there was
communication directly with the commanders in the field. I
would presume, although I do not know and I would not want to
misstate, that the commanders in the field were the ones that
informed them. However, the news networks are very good, so it
would not surprise me if they did not learn from the news
sources before they actually learned from the unit commanders.
Senator Ben Nelson. They are very good. Either that or
we're very bad.
Mr. McLaurin. Sir, there are two ways to look at that.
Senator Ben Nelson. General Brady and Dr. Davis, as both
the Air Force and Navy reduce the size of your Active and
Reserve Forces, airmen and sailors will face unique stress as
their military careers come to an end much earlier than many of
them expected or hoped would happen. What programs do you have
in the Air Force and Navy to address the needs that this early-
out has created?
General Brady. Go ahead, ma'am.
Dr. Davis. One of the things we're doing, Senator, is
accelerating the participation of the members in the Transition
Assistance Program (TAP) that we have now available for them,
so they get career counseling, they get financial advice, they
get housing, they get job placement support, resume, et cetera,
et cetera, to help them. Also, for those who might be Navy
personnel who are wounded, we have special relations with the
Department of Labor and with employers, such as Northrop
Grumman, to make sure that we are giving them every opportunity
to develop skills, have the access to the employment and
training that they need, and then to be able to be placed in a
partnership with an industry like Northrop Grumman. Or, in
Cisco--we've done it--we've just established a relationship,
last week, with Cisco for that type of training.
Senator Ben Nelson. Is there a follow-up to see how many of
them are actually placed or find additional employment once
they leave? Do we have any statistics as to----
Dr. Davis. We don't----
Senator Ben Nelson.--how successful----
Dr. Davis. I do not have those statistics yet, sir. It may
be too early, but I will make sure that you have that as we
move along with this, as we have the drawdown and we deliver
the services to see if they're effective and what the outcome
is for the individual sailor.
Senator Ben Nelson. I'd like to know how that works. There
are placement programs and there are placement programs.
Dr. Davis. Right.
Senator Ben Nelson. So, we want to be able to evaluate it.
Dr. Davis. Yes, sir.
Senator Ben Nelson. General Brady, what about yours?
General Brady. Much like Dr. Davis said, we have TAPs, as
well, that provide all kinds of counseling, resume preparation,
all of that sort of thing that you would expect in a transition
program, which has been very effective.
Regarding our wounded, we have also committed to any of our
wounded that when it is finally determined that they cannot
medically stay on Active Duty, if they want to stay with us and
work, they can, and several of them have. We have several of
our seriously wounded airmen now serving with us as civilians,
some of them in very close to the same capacity that they were
on Active Duty, security forces, et cetera. So, that's been a
successful program that some of our young folks that have been
wounded have taken us up on.
As the personnel guy in the Air Force, I get calls from all
kinds of retired generals who want to hire bright young people
that are getting out. So, they're always trying to get me to
put them in touch with those people. Obviously, there are
Privacy Act issues there, but what we have done is, we have
made sure that our young people who may be leaving, if they are
willing to put their contact information on a Web site where
industry can find them, we are doing that. That's working, as
well. We--just like the Navy does, we have some very bright
people who are leaving, and they're going to continue to serve
in the civilian community, and there are employers out there
who want them.
Again, we do not, either, at this point--I think it is--as
Dr. Davis suggested, we don't have statistics, really, on
employment. But we'll provide them as we get them.
Mr. Dominguez. Sir, if I might----
Senator Ben Nelson. Secretary?
Mr. Dominguez. One of the employers who wants these people
is the DOD, and, in particular----
Senator Ben Nelson. I know, they're going from blue to
green.
Mr. Dominguez. Yes, sir.
Senator Ben Nelson. I know.
Mr. Dominguez. Right. That's what I was going to mention,
is that that blue-to-green option is available. The Congress
provided financial incentives to do that. We have some fabulous
people who want to continue to serve and want to make the Armed
Forces a career, and have made the transition, and are making
great contributions to the Army and the Marine Corps, and we're
very grateful for their willingness to take that extra
challenge.
Senator Ben Nelson. Dr. Davis, do you know about, from the
Marine Corps' point of view?
Dr. Davis. Oh, yes, sir. I do not have the statistics on
the blue-to-green effort, but I will provide those for you,
sir.
[The information referred to follows:]

The total Blue-to-Green program statistics, as of May 8, 2007, are
as follows:
Enlisted: Army reported 811 enlistments (Air Force: 305; Marine
Corps: 79; Navy: 410; Coast Guard: 17).
Officers: Army reported 364 interservice transfers (Air Force: 229;
Marine Corps: 5; Navy: 119; Coast Guard: 2; Health Professional
Services: 1; Service Academy Cross Commission: 8).

Dr. Davis. Another employer is the civilian side of the
DOD, as well as the other Federal agencies, and we're working
on a program with that. Of course, as veterans, or in a veteran
capacity, they get special points for employability.
Senator Ben Nelson. Sure.
Dr. Davis. We're also watching, sir, the effect of the
drawdown on our diversity missions within the Department.
Senator Ben Nelson. Secretary Dominguez, can you get us the
information from the Army, so we can have both the----
Mr. Dominguez. On the blue-to-green, sir?
Senator Ben Nelson. Blue-to-green.
Mr. Dominguez. Oh, yes, sir. We'll be able to provide the
total statistics. I think the last time I looked at it, it was
somewhere around 300 people had transitioned. So, what--and
it's not a huge number.
Senator Ben Nelson. Okay.
Mr. McLaurin. I can give you----
Mr. Dominguez. Is it more than that now?
Mr. McLaurin.--the figures for the Army now. It's around--
the last time I looked, about 320 captains and lieutenants. I
personally sign off on each one of those, so I do keep track of
that.
Senator Ben Nelson. Okay.
Mr. McLaurin. But there is a great number that have
volunteered to come over to the Army, and we're proud to have
them.
Senator Ben Nelson. As the transition has occurred--it is
not over yet--you would expect that there would be more as you
get toward the end, that they might be willing to take it, too.
Mr. McLaurin. Yes, sir. We welcome them.
General Brady. For the Air Force, there is a whole range of
things that people can do. Obviously, we would like for them to
go to our Guard and Reserve. Some of them are going to other
Government agencies. Other agencies in the Government who like
people who show up on time and are drug-free and have a
security clearance, are attractive to lots of Government
agencies, and as well as the blue-to-green program, which
several hundred of our people have taken. So, there are a range
of options, including Civil Service, as was mentioned, that are
available to our people.
Senator Ben Nelson. Let's see, any further questions,
Senator Akaka?
Senator Akaka. No further questions.
Senator Ben Nelson. Thank you. I appreciate it very much.
Oh, excuse me, I didn't see Senator Chambliss.
Senator Chambliss?
Senator Chambliss. I was trying to be obscure over here,
Mr. Chairman. [Laughter.]
Senator Ben Nelson. Sure. You were.
Senator Chambliss. I just have a couple of questions.
Secretary Dominguez, the Army requires each soldier who
redeploys from theater to undergo a postdeployment health
reassessment 90 to 180 days after they return. These health
assessments are not always done in person, but can be done over
the phone and by contractors, versus a military person. This is
not ideal, and allows for many conditions to be overlooked and
go unreported which might surface, months or years later.
Specifically related to some of the most common conditions,
such as post-traumatic stress disorder (PTSD) and traumatic
brain injury (TBI), it is hard, if not impossible, to diagnose
those conditions over the phone. Do you believe DOD should
require these assessments to be conducted in person by military
personnel? How can we ensure that soldiers actually complete
these health assessments? Should DOD require predeployment
screening for PTSD and TBI, in an attempt to determine which
personnel might be predisposed to these conditions?
Mr. Dominguez. Sir, let me start with a little bit of the
facts, as I know them. We do a predeployment screening. So,
that predeployment health assessment is accomplished for
everyone before they go over. That's a face-to-face, nose-to-
nose thing. Then they get a postdeployment assessment. So,
that's--as they come back, very shortly after their return,
there is that. What you're talking----
Senator Chambliss. That's face-to-face.
Mr. Dominguez. To my knowledge, sir, it is face-to-face.
Now, I'll have to take this for the record and get back to you
on this, because it was my understanding these programs were
face-to-face, that there was a human being talking to another
human being and evaluating them against several criteria that
are contained on that health assessment form.
[The information referred to follows:]

The Post-Deployment Health Assessment (PDHA) and the Post-
Deployment Health Reassessment (PDHRA) must be completed by all
servicemembers returning from deployment. Both require a trained health
care provider to review the concerns identified on the questionnaire
and discuss with the servicemember his or her responses, along with
general physical health and mental health concerns. For the PDHA, the
health care provider interview will be direct, face-to-face. For the
PDHRA, 3 to 6 months later, the health care provider interview will be
face-to-face, whenever possible, but it isn't always possible because
of the multiple locations of the Reserve component servicemembers
across the United States and territories. However, health care
providers are required to contact each returning servicemember.
Another program available to both Active and Reserve component
servicemembers and their families is the Mental Health Self-Assessment
Program. An innovative tool in the Defense Department's ``Continuum of
Care Toolbox,'' it provides a guidepost to help direct users to the
next step of care, but does not involve in-person contact with a health
care provider. It offers anonymous, self-directed mental health and
alcohol screening by web and phone, as well as through special events
held at installations and Reserve units.

Mr. Dominguez. The one you are particularly speaking of is
the one that's again, it's a postdeployment reassessment, done
up to 6 months later, and it was specifically in place in order
to be able to pick up those items that might take longer to
mature.
Now, I think the more important issue is that the
reassessments are done by someone who has the clinical skills
to be able to pick it up, whether they're a military person, a
Government civilian, or a contractor, as long as they are
capable of understanding what's presenting themselves in this
human being that they're engaged with.
It does seem to me that the face-to-face piece of this is
important, and I was under the impression that that is, in
fact, how that was conducted.
I do want to point out that we have deployed, recently, a
self-assessment that's available to people over the Internet
that's actually been used, because it's private and
confidential, and it can help you understand yourself, what
you're feeling, what's happening, and whether or not you need
help. Then it guides you to where you can get that. That's
turned out to be a tool that many of our people are using.
Senator Chambliss. Yes. Well, if you will, check that,
because my understanding that what you refer to is the
reassessment.
Mr. Dominguez. Right.
Senator Chambliss. In a number of instances, it is being
done by telephone versus face to face.
Mr. Dominguez. Dr. Davis may know something more about
that, sir.
Dr. Davis. Sir, the screening tools, themselves, can be
done online or by the individual, paper-to-pencil, but they are
not a diagnostic tool, they are the first screen that the
individual completes so we have a continuity of record of
change in behavior. So, the individual is able to identify some
symptoms for themselves. As soon as anyone identifies a ``yes''
that would indicate they have a problem sleeping, they have a
problem with loss of memory, that individual is immediately
referred to a licensed, certified clinician, who then has a
face-to-face meeting with them to start the process of
diagnosis and treatment referral, et cetera. So, we do not rely
on that as the only method for----
Senator Chambliss. All right. Well, my main point is, I
want to make sure we have confidence in that system and that
we're not letting something slip through the cracks there. If
somebody's not--I don't know how you would respond at a--
somebody looking at it over the Internet. A response over the
Internet might not pick it up. But I sure want to make sure
that we have all the confidence in the world that's going to
work and is working.
Mr. Dominguez. You were right on target with that, Senator,
and the chain of command is important here, including for Guard
and Reserve members--right?--so that one of the concerns of
commanders is making sure you're coming to muster after your
time away so that we can get eyes on you and we can talk to
you. So, there's been a lot of talk in the Department about
making sure we have commanders and first sergeants and whatever
reaching out and talking to people after they've been deployed.
Particularly important in the Guard and Reserve, where you're
not coming to work every day for us. So, we share your concern
there, that that's working.
I think we have reasonable confidence, but I'll get more
information for you, sir.
[The information referred to follows:]

It is the Department of Defense's (DOD) policy that all
servicemembers complete the Post-Deployment Health Reassessment (PDHRA)
3 to 6 months after returning from deployment using a standard
questionnaire. A trained health care provider will review and discuss
with the servicemember his or her responses on the PDHRA form, along
with general physical health and mental health concerns. The health
care provider interview will be direct, face-to-face, whenever
possible, but it is not always possible because of the multiple
locations of the Reserve component servicemembers across the United
States and territories. However, we offer a call center to ensure that
we reach those servicemembers who are unable to complete a face-to-face
interview.
The DOD has implemented a Deployment Health Quality Assurance
program, which soon will expand to a more thorough Force Health
Protection Quality Assurance program. In this program, the Services
monitor and evaluate their compliance with the policies, including the
completion of the PDHRA forms and the health care provider interviews.
In addition, the Force Health Protection and Readiness office monitors,
reviews, and oversees the Services quality assessment programs, to
include site visits. These efforts allow us to ensure that
servicemembers complete the actions required by our policy. Rosters
generated from individuals completing the Post Deployment Health
Assessment (PDHA) are used to track compliance with completing a post
deployment health assessment 3 to 6 months later.
The Department does screen for conditions that would limit
deployment. More importantly, we want to screen for Traumatic Brain
Injury (TBI) during the interdeployment period, not at the last minute
during the predeployment assessment, to allow for adequate evaluation
and treatment. Therefore, we are adding a full suite of TBI screening
questions to every servicemember's annual periodic health assessment.
This allows us to identify issues prior to deployments, causing less
operational impact. In addition, we are adding the same TBI screening
questions at the time of accession, as well as to the PDHA and the
PDHRA.
The DOD issued a Deployment Limiting Mental Health Conditions
Policy in November 2006 that requires screenings for mental health
issues before deployment. These screenings require a medical records
review and a brief predeployment interview that asks the servicemember
if there are conditions or concerns they might want to disclose that
are not already in their medical records.

Senator Chambliss. Okay.
Currently, DOD does not offer attractive enough incentives
to hire the doctors and nurses they need to execute their
mission, and it has an overly burdensome bureaucratic hiring
and contracting process that prevents military bases from
getting the military, civilian, and contract health providers
they need, when they need them. My staff visited three Army
hospitals in Georgia the week before Easter, and every hospital
commander mentioned this as a major problem that limits their
ability to treat soldiers at their posts.
Do you agree that this is a problem and that a fundamental
change is necessary? What recommendations do you have for
streamlining this process and providing the necessary
authorities to get the personnel required? Do you believe that
existing law regarding service obligations for new physicians
should be changed?
Mr. Dominguez. Sir, let's see, there are many different
aspects of that question, but I think Congress recently helped
us with the ability to do bonuses for members of the medical
profession. So, this is something we do watch pretty carefully.
It is a challenge to get the physicians and nurses and these
medical professionals in. Dentists are a challenge. But we do
have some tools, and I think at present, it's up to us to use
those aggressively. Now, we are looking at this issue right now
in the Department, and haven't come to any particular
conclusions on it.
With regard to hiring Federal civilians, we are excited
about the prospect of conversion to the National Security
Personnel System (NSPS), because that system allows us to move
to market-sensitive pay. It's much more flexible, in terms of
being able to pay a market rate in a specific locale for a
shortage specialty. So, we're hopeful that the conversion to
NSPS will actually help us with the Federal civilian side of
the thing.
I've not heard any problems with our ability to get
contract help. In addition to that, I think commanders of
hospitals all across this country have established
extraordinarily imaginative and innovative relationships with
the health care network around the base to try and tap into
that network through TRICARE, to be able to take advantage of
health care when there is a shortfall in our internal military
treatment facilities.
Senator Chambliss. As I say, my staff picked up on this
when they were down at Fort Benning, Fort Gordon----
Mr. Dominguez. Right.
Senator Chambliss.--and Fort Stewart. So, you might touch
base with those medical commanders.
Mr. Dominguez. Sure will.
I do want to make one point, this came up in a discussion
of the Secretary's Independent Review Group yesterday, in their
testimony over in the House, and this is an idea we've been
intrigued by for a while, which is this issue of allowing
medical professionals to join the Armed Services with a shorter
service obligation, and not worry about being able to serve to
a 20-year retirement, because, for many of them, that's not
what they're after; they've already had their successful
profession, and now they're seeking an opportunity to give
service back to the Nation. Our rules can preclude them from
doing that. That's something that I think does need some
thought, and I promise to work with you on that, Senator, to
find a way to enable those patriots to help us out, where we
need it.
Dr. Davis. Senator, the Department of the Navy's retiree
council is looking at a way in which we can return medical
personnel to some form of service to the country, and one of
them is modeling after the Department of Health and Human
Services Retiree Medical Corps, to specifically use them to
augment the services we provide. But I would just--even though
the bonuses and additional incentive pay for high-skilled,
stressed, specializations--child psychiatry--have been very
beneficial, I think it's incumbent upon all of us to look at
the personnel needs that will go along with your first question
about the diagnosis and sufficient treatment of the PTSD. It's
lucky that the Navy's Surgeon General is heading a servicewide
group with the VA to look at all mental health issues and how
we can recommend to make sure that we're adequately screening,
pre- and post-deployment, that we have the baselines, and that
we're treating with the right number of personnel. But it is a
challenge.
Senator Chambliss. Clearly, one of the largest problems
confronting our wounded troops returning from theater is
diagnosing and treating TBI. I'm concerned that no established
procedures or validation process exists for effectively
diagnosing TBI. Would it be helpful for health care providers
conducting post-deployment health screening to ask a list of
specific questions to ascertain whether a servicemember is
suffering from TBI? Or what else can DOD do to more effectively
detect, monitor, and treat TBI?
Mr. Dominguez. Sir, the first item is that this is an area
that will require a lot more research. We are way into the
leading edge of our science and knowledge right now about TBI,
and there's a lot of work that has to be done. Dr.
Winkenwerder, the former Assistant Secretary of Health Affairs,
initiated a lot of things, took action to get some of this
underway. What he has done already is, together with the VA, he
has promulgated some clinical-practice guidelines for PTSD
assessments and for TBI assessments. So, those guidelines for,
``Here's what you look for,'' have been put out in the field to
physicians in both VA and the DOD to do exactly what you have
said, which is to help cue them into what to look for, so they
can begin to make an assessment about the potential for mild
TBI and PTSD.
We have established a TBI Task Force to look at this. Then
there's a Mental Health Task Force that Congress commissioned a
year ago that is due out in May. This TBI Task Force is to try
and coordinate and integrate all of the things we're doing
across DOD and VA and other Federal agencies to make sure that
the research is aligned and practices--the best practices in
the current clinical practices are disseminated, and that we
have a feedback loop that we know that what we are doing is
effective, and we're growing and learning as we understand more
about this particular injury. A lot of work to be done yet,
sir.
Senator Chambliss. I have had the privilege of visiting
Bethesda and Walter Reed from time to time, and it seemed like
every one of those soldiers, marines I talked to, has either a
low-grade or severe TBI, and, when you hear how they got
injured, it's pretty easy to understand why.
I would just caution us to make sure that, particularly on
this reassessment online that we make sure we're doing
everything possible there to plug in the right kinds of
questions for symptoms on late-developing TBI.
Mr. Dominguez. Yes, indeed. Now, one of the things that
we're also doing is trying to capture and record in theater
when you are subject to an event that might have produced TBI.
That is a hard thing to do, and the battlefield is chaotic, but
we're trying to implement procedures now. So, we know that
Private Dominguez was subjected to a blast. We'll know if he
had a concussion or if he was knocked out or if they just rang
his bell for a while, and now--he's back into the fight. So,
we're trying to capture that and document that stuff about the
servicemember, so that goes back and then gets incorporated
into the medical record. Tough challenge, but it's one of those
things we need to do, because that's a trigger or a cue to the
health professionals, say, ``Okay, this person is at risk for,
maybe, demonstrating some of these symptoms for--so, get your
antennae out here and watch this person.''
Senator Chambliss. Thank you, Mr. Chairman.
Senator Ben Nelson. Thank you, Senator Chambliss.
Secretary Dominguez, Senator Ensign was unable to be here
because of a prior commitment. He has asked that a couple of
his questions be submitted for the record, and they'll be sent
to you. One is on the funding for schools. He notes that the
sustainment, restoration, and modernization of schools has
fallen short by up to 36 percent of the goals established by
DOD, and obviously he's asking why. On military construction
funding for schools, the actual funding for the military
construction, as opposed to the modernization, has decreased by
over 60 percent, from $99.4 million in 2006 to $37.9 million in
the budget request for fiscal 2008. So, these will be submitted
to you for a response.
Mr. Dominguez. Be glad to answer those, Senator.
Senator Ben Nelson. Sure.
I want to thank the panel for your indulgence today, and
for your questions. Dr. Dominguez, it seems like you were in
the barrel for a little while this afternoon, but I'm sure
you'll acquit yourself very well on these answers that you
submit for the record.
Mr. Dominguez. Oh, yes, sir. I look forward to it. I really
appreciate the opportunity to be here, sir.
Senator Ben Nelson. Okay, thank you. Thank you, General.
Now, our third panel, of spouses, consists of Joyce Raezer,
who is the recently promoted chief operating officer of the
NMFA. Congratulations, Ms. Raezer, on your promotion; I'm
delighted that you're willing to be here, testify today, even
though your role in the NMFA has changed. The NMFA is one of
the most active organizations focused on the needs of military
families, and we give great credence to your views, so we're
looking forward to that.
We also have several spouses of servicemembers, who have a
great deal of experience in dealing with the kinds of issues
our military families are facing today.
Connie McDonald is an Army spouse of 27 years, and
currently lives at Fort Hood, TX. The McDonalds have two
children. Connie has served as a volunteer and as a staff
member with several ACS programs, including Army Family Action
Plan, Army Family Teambuilding, and Family Readiness Groups.
Her husband is a brigadier general on his second deployment to
Iraq.
Welcome.
Mrs. McDonald. Thank you.
Senator Ben Nelson. Paula Sumrall is the wife of an Alabama
National Guardsman who currently serves as the assistant to the
Chairman of the Joint Chiefs of Staff for National Guard
matters. Ms. Sumrall brings a career's worth of experience as a
National Guard family member.
Welcome.
Mrs. Launa--is that right?
Mrs. Hall. That's right.
Senator Ben Nelson. Launa Hall grew up as a family member
in the Air Force, and is married to an Air Force officer
currently assigned to the Pentagon. Mrs. Hall is an active
family member volunteer. Her husband has just returned from his
second deployment, so she'll have some, I think, really current
experiences that she may be willing to share with us.
Mrs. Mary Piacentini?
Mrs. Piacentini. Piacentini.
Senator Ben Nelson.--Piacentini--Piacentini?
Mrs. Piacentini. Piacentini.
Senator Ben Nelson. Welcome, Mary. [Laughter.]
She's the spouse of an Army Reserve Command sergeant major,
and is also the mother of a servicemember. She'll be able to
give us a great deal of perspective on the issue facing Army
Reserve families, based on her long association with the Army
Reserve, at many levels.
Now, Ms. Raezer has submitted a prepared statement on
behalf of the NMFA, and it'll be included in the record. In
light of their volunteer status, we didn't ask the other
witnesses to submit written statements, but if anyone has a
written statement, you might mention that so it can be
submitted for the record.
Mrs. McDonald, you're first up.

STATEMENT OF CONNIE McDONALD, SPOUSE OF AN ARMY SERVICEMEMBER

Mrs. McDonald. Thank you very much, Senator Nelson. It's a
privilege to be here, and Senator Akaka, I appreciate your
interest in Army families, for sure.
Thanks for the introduction. I'm going to add a little
caveat, that, in that 27 years, that's consisted of 17 moves to
10 different Army installations, 3 outside of the United
States. Currently, Fort Hood is home.
But I will tell you, amongst all of those changes, one
thing hasn't changed, and that's--the Army is people. How the
Army cares for its people has remained a top priority.
You've heard, from previous testimony, that the Army has an
extensive array of support and services, refined over years, as
a result of lessons learned from prior deployments and other
family separations. Our Army family programs work very
effectively and remain a mainstay in the family support
network.
One of the most important sources of support for families
comes from the imaginative ideas of family members working with
supportive garrison command staffs at installations across the
Army. ACS staffs at each installation provide training to
support family readiness groups, rear detachment commanders.
From deployment briefings to reunion training, ACS programs and
services assist family readiness groups and rear detachment
commanders in their support to families.
The addition of the family readiness support assistance has
been crucial in helping to alleviate the strain on these
dedicated folks. The power of this collective creative strength
combined with the willingness to serve others is making a
positive difference each and every day. Family members and
community staff are readily assisting each other and families
during this difficult and challenging time.
I do want to reiterate that Mr. McLaurin's testimony spoke
to many of the programs that we have within the ACS and outside
of that, as well. One, in particular, that he spoke of was the
Army Family Action Plan, and that's where I have a lot of
background. It's a proponent for change and progress, and that
proponent is talked--it's interesting, in the testimonies
today, to hear that some of the things that--questions that you
all have asked actually have come up through the Army Family
Action Plan. One of those examples is, our last conference, we
included the--our great heroes, the American wounded warriors,
and in--the first issue that came up as a priority for our
delegation--and our delegation comes across the Army and
represents the demographics of our Army family is--the TBI
rehabilitation program was our number-one issue. That was--
Army, delegationwide, considers this an important issue.
Among those other: traumatic servicemembers group life
insurance, annual supplement, a copay for replacement parts for
our wounded soldiers who have lost their limbs. There is also
an issue on convicted sex-offender registry for outside the
continental United States, specifically. Our list of strengths
and challenges we do at the conference, where we ask for our
constituency to turn around and say what is good now and what
is hard now. We have a list of those, as well, and we have that
in the packet for you. Indeed, we have a written statement for
you that I have, on my impressions on how the programs are
going.
I do want to tell you that our process in the Army Family
Action Plan starts at the installation, but comes all the way
up to a General Officer Steering Committee that is chaired by
our Vice Chief of Staff of the Army. In that process, it's
always interesting to see the passion that comes up with
prioritization. It's not asking for the moon. It's, ``This is
what we'd like most.'' Each conference also identifies four
most valuable services provided by the Army, the most critical
issues that are currently being worked, again, the strengths
and weaknesses of what we've been going through as deployments.
This information is given to the commanders as a snapshot of
how things are right now. What does it look like? A dipstick
to, say, a customer's comment card. That information is used,
and it's brought to the forefront.
Because this program is set up the way it is, it's one of
the few programs--and I think maybe the Army may be unique in
this--that it's a grassroots program, where the customer talks
directly to senior leadership, and senior leadership responds
back. That's a wonderful program, and we're very thrilled with
it, and glad to hear that a lot of the things that you have
concerns about, we also have involved in that program.
It's recognized across the Army as a vital program for
leadership. The folks who are the constituents of it know that
they have a voice to leadership, and that is important to us.
So, again, in your packet, there's some information about that
program.
One of the other programs we have, that meets twice yearly,
is the Army Family Readiness Advisory Council, or AFRAC. It's
consisting of senior spouses to include the spouse of the Chief
of Staff of the Army and the Vice Chief of Staff of the Army,
spouses of Army commands and command sergeants major spouses,
Reserve component included. That program does a lot of looking
into how are we doing and getting back feedback. It's a two-way
street.
Again, I want to reiterate Mr. McLaurin's testimony about
the many programs we have, and it is an impressive list. But
one thing I would like to let you know is that, although Army
families are resilient and have a great history of getting
things done, we can't do it alone, and we shouldn't have to.
Army family programs enhance that resiliency by providing care,
support, training, and meaningful opportunities for social
bonding. There must be a sufficient infrastructure, independent
of volunteer support, properly resourced to deliver consistent
quality services to all components in a seamless manner.
Our families and family program staffs are doing heroes'
work, and they are tired. Continued support from our country is
imperative. Every day, I see the toll this operational tempo is
taking on families and supporting staff. I have concern about
compassion fatigue among our families and our invaluable family
program staff members. Everyone's heart is with us, and family
program staffs continue to do what they can with what is
available, but their fight should be for our soldiers and our
families, not for resources.
I did want to let you know that there are a lot of
community supports. Senator Akaka, you had questioned about
that. I will tell you, the great town of Killeen has a grouping
of programs called ``Beyond the Yellow Ribbon.'' One of the
things that is a great initiative that they've taken on, that
is very useful, is the local water company, on their bill every
month, sends out the ACS programs that are available to Army
families. That was just an initiative on their part. The great
town of Lawton, Oklahoma, is a phenomenal support for the
military families at Fort Sill, as well.
So, there's tremendous community resources out there, and I
do believe that our families do want to be a part of the
community, as well as part of the installation.
I appreciate your interest in Army families, and I look
forward to any questions you may have.
[The prepared statement of Mrs. McDonald follows:]

Prepared Statement by Connie McDonald

Good afternoon, I'm Connie McDonald, the wife of BG Mark McDonald
who is currently with III Corps serving his second tour in Iraq. Today
I am here to talk with you as a military spouse of 27 years, and I
appreciate the opportunity to share with you what I think are some
great programs the Army has put in place to support families. As a
military spouse I have moved 17 times, calling 10 different Army
installations ``home'', right now ``home'' is Fort Hood, TX. Our two
children have grown up in the Army culture during a time of dramatic
change for this country and the world. But over the years there is one
thing that has not changed--and that is--that the Army is people--and
how the Army cares for its people remains a top priority.
You have heard from previous testimony that the Army has an
extensive array of support and services, refined over years as a result
of lessons learned from prior deployments and other family separations.
Army family programs work very effectively and remain a mainstay in the
family support network.
One of the most important sources of support for families comes
from the imaginative ideas of family members working with supportive
garrison commanders' staff at installations across the Army. Army
Community Service staff at each installation provides training to
support Family Readiness Groups, and Rear Detachment Commanders. From
deployment briefings to reunion training, ACS programs and services
assist FRGs and Rear Detachment Commanders in their support to
families. The addition of the Family Readiness Support Assistants has
been crucial in helping to alleviate the strain on these dedicated
folks. The power of this collective creative strength, combined with a
willingness to serve others, is making a positive difference each day.
Family members and community staff are readily assisting each other and
families during this difficult, challenging time.
I would like to tell you about a program I consider to be one of
the strongest tools a commander has at his or her disposal, I'd like to
take a few minutes to tell you about this unique program--The Army
Family Action Plan (AFAP). The AFAP began as the result of spouses who
believed that the voice of the Army family needed a platform to be
heard by senior leadership--these spouses called together people from
various demographic groups and solicited their views regarding the most
significant issues affecting the well-being of Army families. Quickly
this grew to include soldiers, Active as well as Reserve component,
Department of the Army Civilians, and retirees. Its 24-year history of
success is a testament to the commitment the Army has made to its
family. No other service has a process like this--where the grassroots
can identify a concern and recommend a solution directly to leadership
for resolution--a customer comment card, if you will.
How does the Army do this? With dedicated staff and a host of
volunteers the process begins at the installation where forums are held
to identify issues and concerns affecting standards of living on the
installation. Delegates, who are selected as a cross section of the
installation's population, gather in workgroups to discuss and then
prioritize issues for leadership to resolve. Issues cross a variety of
categories from medical and dental concerns, pay and entitlements, to
child care and family support. Not surprisingly, about 85 percent of
the issues are truly local installation issues for the garrison
commander and his/her staff to ``fix''.
When issues are determined to be out of the local resources ability
to resolve, they are sent to the next level where Army Commands, Army
Service Subordinate Commands and Direct Reporting Units convene forums
to discuss and prioritize issues that will then be submitted to
Headquarters Department of Army for the annual worldwide symposium.
Again, the workgroup discussion and prioritization process is repeated
adhering to the delegate model used at the installations. Those issues
are presented to the most senior Army leadership for resolution. Each
year, the conference pursues resolution of critical quality of life
issues. In this testimony for the record, a chart showing the diversity
of these issues is available for you. It is impressive. The
headquarters monitors the issues and their progress through a strict
protocol of regular guidance, direction, and leadership approval at
semi-annual General Officer Steering Committee meetings. Itself a
proponent for change and progress, AFAP also recognizes that as the
operational tempo of the Army changes, there is a need to adapt
programs and policies to continue to meet the needs of our soldiers and
families. Two examples of that flexibility are: 1) Outside the
continental United States commanders may submit concerns directly to
the General Officer Steering Committee for consideration; 2) at the
November 2006 HQ conference, a Wounded Warrior workgroup was added to
address concerns/issues impacting their quality of life. Each
conference also asks delegates to identify the four most valuable
services provided by the Army, the most critical issues currently being
worked from earlier conferences and strengths and challenges associated
with deployment and family support. This information is used to give
commanders a ``snap shot'' of what is important to his constituents and
allows commanders to have real-time information the ``people's
perspective'' of adjustments and improvements that will increase
recruitment, retention, and work-life satisfaction.
AFAP is recognized and supported by local commands as well as
senior Army leadership and is the force behind hundreds of legislative,
regulatory and policy changes, and program and service improvements.
Our soldiers, retirees, civilians, and families know AFAP is their
``voice'' in the Army's future. Leadership has embraced this innovative
program.
A second program the Army has initiated to obtain input from
families is the Army Family Readiness Advisory Council (AFRAC) which
meets twice yearly. The AFRAC is co-chaired by the spouse of the Chief
of Staff and Vice Chief of Staff of the Army. Membership is comprised
of the following: spouses of Army Command Deputy Commanders/Chief of
Staff; Command Sergeants Major; Director, Army National Guard and
Chief, Army Reserve; Army National Guard and Army Reserve Command
Sergeants Major, rotating Army Service Subordinate and Direct Reporting
Units reps (Commander, Command Sergeants Major Spouses); rotating Army
2-star Joint Command representatives (Commander and Command Sergeant
Major Spouse); SMA (DA-level) representative, and select volunteers.
The AFRAC members look at issues that impact quality of life from a
strategic and global Army-wide perspective. Advise senior leadership on
the direction of Army Family Programs, assess and recommend solutions
for evolving issues; establish short and long-range goals and
objectives, serve as advocates for family programs. The council serves
to enhance soldier readiness, increase program effectiveness, and
connect families to the Army.
Although Army families are resilient, and have a history of getting
things done, we can't do it alone and shouldn't have to. Army family
programs enhance that resiliency by providing care, support, training,
and meaningful opportunities for social bonding. There must be
sufficient infrastructure, independent of volunteer support, properly
resourced to deliver consistent quality services to all components in a
seamless manner.
Our families and family program staffs are doing ``heroes work''
and they are tired. Continued support from our country is imperative.
Every day I see the toll this operation tempo is taking on families and
supporting staff. I have concerns about compassion fatigue among our
families and our invaluable family program staffs. Everyone's heart is
still with us and family program staffs continue to do what they can
with what is available--but their fight should be for our soldiers and
Army families, not for resources.
This concludes my prepared testimony, I am happy to address your
questions.

Senator Ben Nelson. Thank you. The packet that you
mentioned will be made part of the record, without objection.
Mrs. Sumrall?

STATEMENT OF PAULA SUMRALL, SPOUSE OF A NATIONAL GUARD
SERVICEMEMBER

Mrs. Sumrall. First, let me say that I come from a
background that is perhaps a little bit different from a lot of
the folks here who are full-time military spouses. My husband
is a full-time guardsman, at this point, but previously he was
a traditional guardsman. He's been in the Guard for 40 years.
During that time--we've been married 19 years--we've moved 11
times, because he's been full-time Guard. I taught school for
30 years, a good number of those years with DOD schools in
Germany. So, I'm very familiar with military children, both
from the Active component, as well as working in the public
school system with Reserve component children.
I am the training coordinator for the Northern Virginia
ESGR, so that means--Employer Support for Guard and Reserves--
and that means that I have also dealt somewhat with the job
issues of our military members, Reserve components, who are
coming back, looking for employment or looking to change jobs.
I'm also in contact with a lot of parents of guardsmen, in
that I am currently writing a book for the parents of
guardsmen, like Vicki Cody did for Big Army. So, I have had a
tremendous influx of e-mails from a lot of these folks,
especially from the Red Bull Brigade, out of Minnesota, that
extend it. So, I get it from all angles here.
I'm a little concerned that I hear Guard mentioned in a lot
of things, but I don't really know that their concerns and that
their problems are fully understood, much less addressed.
Geography always creates a big problem for the National
Guard members. We may have people--for example, in the 20th
Special Forces, we draw people from nine different States. In
2002 when they first deployed to Afghanistan, it was very
difficult to stay in touch with all of the family members, just
simply because of the wide spread of where they were. Even
within States, you may have someone, say, that drills in
Montgomery, Alabama, but they live in Mobile. That means that
those families probably have never even met. So, when you talk
about the continuity and the flow of what goes on within the
Active component family programs, in the Guard we just simply
don't have that, and probably never will, despite the fact that
we tend to pull together and make the best of a bad situation.
I will give you an example of some of the things I've seen
the Guard have to go through.
Prior to my husband's current position, he was at Central
Command, in Florida, deployed most of the time. I had the
privilege of sitting in Tampa with four hurricanes, one right
after the other--Charlie, Frances, Jean, and Ivan. I saw any
number of Florida guardsmen that were activated for this--
whichever one, sent off. Their families were left wherever they
were, no power, the trees dumped across the cars, the roof
missing. They were unable to get to their families to assist
them. Now, I point this out, because a lot of the focus is on
deployment, which is, of course, a very significant and
important thing. But the Guard serves another function, and
when you stop and you think that you have families that are
sitting there with no power, they can't keep the baby's milk
cool, all of this kind of stuff, this impacts on our families.
If you come from an area where you've had to go and deal with
the tornados or the floods or the snowstorms or the forest
fires, it's not just a certain area of our country that's
impacted, it's all of our guardsmen.
When you look at most of the programs that focus on
families, the focus is the spouse and the kids, not the
parents. This is the reason I'm writing the book, and there's
obviously a big need for this, to include not only the
immediate family that's right there, physically, with the
soldier or the airman, but the extended family. This is another
issue that Guard faces.
I will tell you right now that one of the primary things I
think that I would say that needs to be fixed is that we hear a
lot of this about the coming back, the transition assistance
when our soldiers and airmen first come back. One of the
biggest problems that the National Guard has is the time spent
at the demobilization station is simply too brief. They don't
have people there who understand the situation in the area that
they're coming from.
For example, Fort Dix, NJ, you arrive. They--let's say,
maybe, 4 in the morning. By 7 or 8 o'clock, they're starting
briefings. Someone at Fort Dix, NJ, cannot tell you what the
job opportunities are in Wetumpka, AL. They don't know.
We need someone, back at the home level, that can address
job issues, that can address medical issues that are pertinent
for that area. We need an extended time for that. Now, this
would require money, of course. But to--and one of the things,
too, that I've heard big complaints about is that at least 50
percent--and that's a modest estimate, because I have heard as
high as 85--at least 50 percent of the DD-214s are incorrectly,
incompletely done at that demobilization site. So, that creates
another problem when our guardsmen return home.
The fact that the soldier is not usually right there,
located immediately with their family members, they're unable
to make the best decisions with regard to health and dental
care. I don't know who handles that type of thing at your
house, but, I guarantee you, at my house, I do it. If I were
not there to tell my husband, ``Oh, no, honey, you'd better
sign up for this, or you'd better look at this,'' there could
be a problem. So, that's another one of the problems about
that.
When you have people coming in, especially Guard folks, who
are not used to this military mindset, the main thing they want
to do is get home. They're tired. I, frankly, don't see how the
Active component manage to digest all of what they need to when
they come back at a demobilization. So the Guard really has it
tough, because it's just a different thing.
Recently, there was a poll taken of Guard families, and
most of them, surprisingly--to us even--that they don't
consider themselves military families. They're part of
communities. Their churches, their schools, their places of
business are somewhere other than Fort Hood, Fort Dix, Fort
Campbell. They're part of a community, and they're feeling a
disconnect there, when they come in, because their coming home
is different from when the Active component does.
I think that's probably about the most that I could say. I
mean, I would like to be able to tell you great and wonderful
things. I can tell you some great and wonderful things. But I'd
rather you know what needs to be fixed.
Senator Ben Nelson. Yes.
Mrs. Sumrall. Thank you.
Senator Ben Nelson. Thank you.
Mrs. Hall?

STATEMENT OF LAUNA HALL, SPOUSE OF AN AIR FORCE SERVICEMEMBER

Mrs. Hall. Good afternoon, Senators. Thank you so much for
this opportunity to speak with you. I'm very honored to be
here.
My name is Launa Hall. I've seen military life from a lot
of angles, beginning with my birth, at Webb Air Force Base. My
father flew C-130s in Vietnam, and went on to serve for 20
years. I served, myself, for almost 6 years, as a junior
officer. I met my husband in Reserve Officer Training Corps,
and he's currently an Active Duty Air Force officer. He's
deployed twice, and has just returned from one of those
deployments.
The Air Force has moved me 19 times in my life. I've lived
on base, off base, in geographically remote locations,
stateside and overseas. I've used the facilities and services
at scores of bases. My friends, neighbors, the people I work
with and volunteer with are largely military families. I'm
comfortable saying that I know this lifestyle. In fact, it's
the only life I've known.
This lifestyle is increasingly characterized by
deployments, as I don't need to tell you. The more our airmen
deploy, the more likely they are to miss major events in their
families' lives, such as the birth of their children. That's my
special area of concern, is women giving birth while their
servicemembers are deployed.
Typically, this woman is not only separated from her
husband, but she's far from her own family, too. Also,
typically, Air Force spouses will rally to her side, with
meals, babysitting for any older children, and maybe even labor
support during her birth, because that's the way we care for
each other.
But I feel that this is too important an issue to rely upon
the bigheartedness of volunteers. It's too much to assume other
military spouses are just going to cover it when they're
dealing with the deployment of their own airmen or they're in
the middle of a move or they're at least enduring a scorching
operations tempo.
A pregnant deployed military spouse needs a doula. That's
d-o-u-l-a, doula. New term. Very old concept. It's a labor
assistant to be with that woman when we've taken her husband
away. A birth doula is a certified labor support professional,
trained and experienced in childbirth, who accompanies the
mother in birth and provides emotional support, physical
comfort, and information. Study after study show that parents
who receive doula support feel more secure and cared for during
their birth, they're more successful in adapting to their new
family dynamics, and they have less postpartum depression. Ask
a woman who's employed the services of a doula, and she's
likely to tell you that her doula was essential.
The unusually high stress of a birth in a family divided by
deployment demands the professional quality support of a birth
doula, and, furthermore, a postpartum doula who's trained and
certified to assist that new mother in baby-care and self-care,
and identify a mom who needs treatment for postpartum
depression. If this sounds like a lot of support, I agree, it
is, and spouses in these special circumstances need no less.
I'm not the first one to think of this. Naval Hospital
Charleston trained corpsmen to be doulas. The reports I read
indicated great success with that program, though it was
eventually discontinued, as many good ideas are, for lack of
staffing.
Operation Special Delivery is a network of certified doulas
who give away their professional services for free to pregnant
spouses of deployed servicemembers. Because military spouses
who are also doulas tend to be the ones who's hearts lead them
to this kind of volunteer work, what we're basically talking
about here is military spouses giving away their income as
doulas. While this group does phenomenal work for free--and we
should send flowers to every last one of them--they are too few
to meet the number of requests they receive. In fact, in the
larger military communities, they don't come anywhere close.
It's an unmet need, Senators.
Instead of expecting a pregnant spouse to cobble together a
supported birth with volunteers and untrained friends, and
maybe her mom flying in for a few days, let's fund a doula for
her. Let's mitigate the stress she's under. Let's allow the
father-to-be, that deployed airman, to relax and to focus on
his mission knowing that a trained labor support professional
is at his wife's side before, during, and after the birth of
their baby.
On a different note, my personal experience of base support
during my husband's deployment was outstanding. Programs at the
Airman and Family Readiness Center and the Youth Center kept me
well informed of resources available to me, and kept my
husband, our two children, and me in contact with calling cards
and access to morale calls. An Internet cafe at his deployed
location, where we could hook up our Web cams. While I didn't
end up needing a lot of the resources available to me, I
absolutely knew that I could have picked up the phone with any
issue, and I knew who to call, and I would have been flooded
with assistance. More to the point, my husband knew that,
allowing him to focus on his mission.
The Air Force has a reputation of solid support for their
families, and it's well-deserved. I'd like to see it furthered
in the special circumstances of deployed families having
babies.
Thanks for listening. I'd be honored to answer any
questions about this issue I brought up regarding doulas, any
specific military hospital issue that I'd like to let you know
about, if I have the chance, and any other family support
topics. Thanks, again.
Senator Ben Nelson. Thank you.
I'm going to try it again.
Mrs. Piacentini. Okay.
Senator Ben Nelson. Mrs. Piacentini?
Mrs. Piacentini. Perfect.
Senator Ben Nelson. Thank you. [Laughter.]

STATEMENT OF MARY PIACENTINI, SPOUSE OF AN ARMY RESERVE
SERVICEMEMBER

Mrs. Piacentini. Thank you for giving me the opportunity to
be here this afternoon. I appreciate that.
I am the spouse of an Active Reserve soldier for the
Military Intelligence Reserve Command. He is at Fort Belvoir.
We've been here for 6 months. Prior to our coming to the
Virginia area, he was the Command Sergeant Major at the United
States Army Reserve Command in Atlanta, Georgia, Fort
McPherson.
At that time, I was given the opportunity to be a full-
fledged volunteer and part of the family programs for the Army
Reserve, being a representative for them and also for the
families. I was able to come in contact with family members,
not just spouses, but parents, grandparents, aunts, uncles, and
siblings. Over 4 years, I traveled extensively to meet with
them to see what their issues were, how things were going, what
was good, what was not good.
From all of my travels, I found that in the Army Reserve
we're geographically dispersed, as the Guard is, and we don't
have access to the same facilities and resources that the
Active Army has, and the other military institutions.
Our Family Programs Office does the best they can with the
resources that they have, of having personnel out there, but I
found, in the field, the communication wasn't the best, because
they just cannot stretch their arms far enough and wide enough.
That does come down to resources in the way of money, of
getting enough personnel out there.
The Army Reserve has recently been able to bring onboard,
in their family programs, about 100 or so new individuals to
help with family programs, and that will be a tremendous boost
for families. But my concern is, as the families' concern is,
that the information and the one-on-one contact with the Army
Reserve is not being made with the families, because there
aren't enough people, bottom line, face to face.
Another issue that affects them is the medical resources
and not understanding the medical resources. I have also had a
current experience with the Army medical system. I am a medical
professional, myself--working in the private sector--and I have
found that dealing with the military health institution is not
quite user-friendly, not only for the soldier--they're used to
it--but for the civilian and family member. Being a health
professional, I feel that standard of care is the same whether
it's an Army hospital or a private hospital, and I think the
Army falls short there.
I am also the mother of a first lieutenant. He is with the
4th Infantry Division out of Fort Hood. His last deployment was
a very stressful time for me, but I got through it with a lot
of communication. As a seasoned Army Reserve spouse and now
Army mother, I was able to ask my son the questions I needed,
to get the resources I needed. But those questions aren't out
there for the average Army military family to use and to get
the help they need.
We need to do a much better job in getting information out
to everyone, not just Active Army, but the Army Reserve,
National Guard, everyone. It's not always getting out there.
As I have noticed, living on an Army installation through
different periods of our Active Army life, that resources are
dwindling on the installations, and I'm seeing quality-of-life
activities cut or curtailed. I see that as being unfortunate
for the military families. So much is being taken away from
them to fund other things, and that's understandable, but when
you do cut the available resources and activities for military
families, you are actually cutting off the leg or the line that
will connect the soldier to the military. Family readiness is
soldier retention.
I want to thank you for your time today. I, too, didn't
want to be a downer on important issues, but these are the
major issues. A lot of good is being done, but there is also a
lot of work to be done. I hope that the funds are there, and
they increase, for both the soldier and the families. We need
to keep our families intact so our soldiers can do their
mission.
Thank you.
Senator Ben Nelson. Thank you.
Ms. Raezer? Welcome back, and congratulations.

STATEMENT OF JOYCE WESSEL RAEZER, CHIEF OPERATING OFFICER,
NATIONAL MILITARY FAMILY ASSOCIATION

Ms. Raezer. Thank you, Senator Nelson. I appreciate the
kind words. I also appreciate this invitation from you and
Senator Akaka, on behalf of the NMFA and the families we serve,
to sit on this panel with these wonderful spouses to talk to
you about the state of military family readiness today.
These spouses--and, in fact, all the other military family
volunteers--are on the front lines of family readiness. As they
prepare for deployment, endure the challenges of deployment,
which include deaths and injuries in the unit, and then recover
from a deployment, even while they know it's soon time to
prepare for another deployment, they remain the glue that holds
their community together.
They, and all families, are force multipliers, and, as
such, families need and deserve a military support structure
that ensures a consistent level of resources to provide robust
quality-of-life, family health, and family readiness.
I'd like to echo Connie McDonald's remarks about the
importance of the community. Families also need the help and
comfort of their local communities and, indeed, the whole
Nation, so that everyone understands and supports their
sacrifice.
NMFA's extensive written statement details many things that
we hear from families about what programs are working well,
what gaps must be filled, what new challenges are emerging.
NMFA has been gratified to see the emergence of a broad
spectrum of programs and initiatives designed to improve family
readiness and reach out to families. You've heard about many of
those today. Military OneSource, expanded access to child care
services, increased counseling resources, outreach to National
Guard and Reserve families are making a difference in
connecting families with each other and appropriate support--
not reach everybody, but definitely making a difference.
But, while wonderful, many of these programs and the
offices and agencies responsible for them are not yet well
coordinated, often leaving families confused about where to go
for the appropriate information and assistance. Multiple
deployments, repeated extensions, a lack of predictability, and
diminished time at home between deployments continue to take
their toll on military families.
In measuring that toll, NMFA often looks at two segments of
our community: family volunteers and the children of
servicemembers. We believe the training and support system for
volunteers, like these spouses we have here today, has not kept
pace with the demands placed on them by our military, by other
families, and by our volunteers themselves. In addition to a
more robust training and support structure, these military
officer and enlisted spouses, and the parents who volunteer
with many of our Guard and Reserve units, must be able to
depend on professional support personnel tasked to back them up
and ensure families in crisis receive appropriate assistance.
Military parents are increasingly concerned, not just for
the well-being of their children today while dealing with
deployment, but also for the unknown in the future. They ask,
``What will the long-term effects of multiple deployments,
frequent separations from their parent, and the worry for their
deployed parent safety be for military children?''
NMFA is doing its small part to support the children of
deployed servicemembers through it's Operation Purple camps. In
the summer of 2007, we will be serving 3,500 children of
deployed servicemembers in 26 States. We're pleased the
military services have stepped up their child and youth support
services. But we need more research to help all of us
understand the effects of deployment on children, anticipate
the long-term issues, and develop better support programs to
help parents help their children. Parents and children need
better access to the full spectrum of mental health services.
These services must also be available for the most vulnerable
of our families, those whose servicemember has been injured or
wounded, or whose servicemember has paid the ultimate sacrifice
for our Nation.
While all of us in the family readiness arena must focus on
deployment and crucial family needs related to a long war, we
cannot forget that, in times of war, the military's bedrock
quality-of-life programs become even more vital to families and
contribute to their readiness. To ensure servicemembers remain
focused on the mission, families must have: quality, affordable
housing in a safe neighborhood; high-quality, caring schools
for their children; access to a doctor's appointment when they
need it. I'm sorry Senator Chambliss is gone, because we, too,
have heard problems about contracting issues in military
hospitals, and believe that's why so many of our families have
such a hard time getting an appointment when they need it. So,
we congratulate him for his work in researching this issue.
Families also need topnotch affordable childcare, and
education and career opportunities for the military spouse.
They must be assured that when the military orders them to
move, their valued possessions will be handled with care, and
their out-of-pocket costs are low. They not only must have
opportunities to improve their financial savvy, but also be
protected from the predators who take advantage of their youth,
arrogance, and trusting nature to separate them from their
hard-earned pay.
Senator Nelson, we, too, share the concerns you voice about
the proposed regulations for the Talent-Nelson Act, and we
appreciate your continued interest in that. We have included
some of our thoughts on those regulations in our statement, on
page 11.
We especially ask you to see that critical base operations
and quality-of-life programs are not robbed to meet war needs.
Please ensure that the measures undertaken today in the
interest of cutting costs and improved efficiency do not also
destroy the military community.
Given that our military has been in war status for more
than 5 years, NMFA also thinks it's time for the Office of the
Secretary of Defense and the Services to evaluate all those new
programs and initiatives they've created to meet wartime needs,
and that they currently fund through those wartime supplemental
appropriations. Military family readiness programs and quality-
of-life facilities require dedicated, ongoing funding, not
emergency funding. Thus, we hope DOD would incorporate the most
effective of the initiatives created to meet war emergencies
into the ongoing array of military quality-of-life programs,
and budget for them through the regular DOD budget process.
NMFA is concerned that if these programs remain tied to wartime
funding, they might go away while families still need them.
The NMFA appreciates your understanding that strong
families equal a strong force and that family readiness is
integral to servicemember readiness. The cost of that readiness
is a cost of the war and a national responsibility. We thank
you for shouldering that responsibility, just as servicemembers
and their families are shouldering theirs.
Thank you, again.
[The prepared statement of Ms. Raezer follows:]

Prepared Statement by Joyce Wessel Raezer

Chairman Akaka, Chairman Nelson, and distinguished members of these
subcommittees, the National Military Family Association (NMFA) would
like to thank you for the opportunity to present testimony today
discussing the tie between military readiness and the readiness of
military families. Once again, we thank the members of the Senate Armed
Services Committee for your focus on the many elements of the quality
of life package for servicemembers and their families: access to
quality health care, robust military pay and benefits, support for
families dealing with deployment, and special care for the families of
those who have made the greatest sacrifice.

READINESS

Webster defines readiness as ``the quality or state of being
prepared or capable of promptly reacting.'' Military readiness must
include quality training, state-of-the-art equipment, highly motivated
personnel, and a strong commitment to the ideals of service and
country. Developing quality training and procuring equipment are fairly
straightforward processes. Benchmarks are easily determined and results
are easily measured. Motivation, dedication, and commitment, however,
are not so simply procured. Servicemembers must have faith in their
leadership in order to willingly step into harm's way for the good of
the Nation. This faith is cultivated in a variety of ways. Perhaps none
is as important as the belief that the family will be taken care of
while the servicemember is supporting the mission and defending the
Nation. A key component of readiness is motivation. A key component of
motivation is family support and security.
As we speak, policy changes are being implemented that will affect
many military families. The Army is extending Active Duty deployments
by 3 months, from 1 year to 15 months. Several National Guard units are
being readied for a second deployment, on an accelerated timetable from
the guideline calling for 1 year deployed and 5 years at home.
Readiness is threatened because of a shortage of equipment for training
and the fact that training itself is being shortened. The readiness of
the world's greatest fighting force is being threatened. How does
family readiness work to make a difference, to make our warriors ready?
Servicemembers and their families feel that they are partners with
DOD and the Federal Government in their service to the Nation. DOD
recognized this partnership several years ago in its development of the
social compact. It is important for servicemembers and families to see
that promises are kept, that families have time to rebuild
relationships after deployment, that retirees have access to affordable
military health care, that the wounded and their families are well
cared for, and that the survivors of those who have made the supreme
sacrifice are cherished and honored.
We often hear of how the military ``grows their own''. Many
children of military families follow their parents into a life of
military service. If they perceive a degradation of benefits and
programs for their parents' generation, if they remember their
childhood as a time of stress and separation from their parent, will
they continue to volunteer for this life of selfless service? NMFA
asserts that keeping promises and setting realistic expectations is
essential to maintaining the readiness of a quality force.

HOW DO FAMILIES CONTRIBUTE TO READINESS?

Families are an integral part of the military readiness equation,
as supporters of the servicemember and of his/her mission. It has
become common for speakers before this committee to highlight that
today's military ``recruits the servicemember and retains the family.''
Spouses also point out this link. As one applicant for this year's NMFA
spouse scholarship program wrote: ``Who holds down the fort while our
soldiers and sailors are deployed? Who gives them encouragement and
support as they face the daily challenges of the military? The spouse.
Happiness often lies in personal development, and one happy military
couple means one motivated who is ready to respond to the call of
duty.''
The Nation has an obligation to support the quality of life for
servicemembers and their families not only because it is the right
thing to do, but because strong quality of life programs aid in the
retention of a quality All-Volunteer Force. At a recent hearing, Master
Chief Petty Officer of the Navy Joe R. Campa, Jr. summed up the
importance of caring for families: ``Quality of life does affect
retention and it impacts recruiting. Young Americans deciding whether
the Navy is right for them look at quality of life initiatives as
indicators of the Navy's commitment to sailors and their families. Our
goal is to leave no family unaccounted for or unsupported. Our vision
of today's Navy family is one who is self-reliant yet well connected to
our Navy community and support programs.''
Military families are proud of their servicemembers and of their
service to the Nation. Family members serve as well. Last year, General
Peter Pace, Chairman of the Joint Chiefs of Staff, told a group of
military families: ``Spouses and families serve this country as well as
anybody that's ever worn the uniform. In some ways it's harder for the
folks back home than it is for the troops deployed in places like
Afghanistan and Iraq.''
Family members serve in a myriad of ways even while existing in
their own constant state of readiness. As they prepare for deployment,
endure the challenges of deployment, and then recover from a deployment
even while they know it will soon be time to prepare for another, they
remain the glue holding their community together. Among the hardest
working are the family members who volunteer as family support staff in
commander's programs--the Family Readiness Group Coordinators, Key
Volunteers, Ombudsmen, and Key Spouses. The family readiness volunteers
do not work alone, but enlist the help of other volunteers to make
phone calls, plan meetings, organize fund raisers, and gather folks to
fill the never ending parade of care packages to their deployed
servicemembers. In addition to providing support to their unit and its
families, military family volunteers continue to serve the installation
community in ways they always have: as Red Cross workers, home room
moms, thrift shop volunteers, chapel religious education teachers,
spouse club members. They perform these duties as single parents, who
have the added job of providing a sense of normalcy and comfort to
others dealing with the stress of deployment. Those left behind step up
and take over as soccer coaches, scout leaders, and serve in other
community support positions left vacant by deployed servicemembers.
General and Flag Officer spouses serve as advisors to family groups and
mentor younger spouses. Military family volunteers come forward, not
only on military installations, but in towns and cities across the
country, to serve in their local armories or Reserve centers, work with
National Guard youth programs and reach out to other families in their
units. In these communities, parents and siblings of deployed National
Guard and Reserve members serve with spouses in many volunteer
positions.
Deployed servicemembers rely on their families for individual
support. Letters and packages from home, phone calls, and e-mails help
improve the morale and ease the concerns of servicemembers, allowing
them to better deal with the chaos and danger of the combat zone.
Servicemembers are reassured when their families feel secure, are well
informed, and aware of support resources. If problems occur, the
families know where to turn for help and don't need to burden the
deployed servicemember with worries that he or she can do nothing
about. Without these tools, if a crisis arises the alternative is for
the servicemember to return to solve the problem.
The Army's recently-released Third Mental Health Advisory Team
report documents the need to address family issues as a means for
reducing stress on deployed servicemembers. The team found the top non-
combat stressors in theater were deployment length and family
separation. They noted that soldiers serving a repeat deployment
reported higher acute stress than those on their first deployment. They
found that multiple deployers felt they were better prepared due to
improved pre-deployment training, but they also acknowledged their
families are experiencing more stress. The study also determined that
leading suicide risk factors were relationship issues at home and in
theater.

NMFA believes our Nation must make a commitment to ensure
military families remain strong and resilient, with the tools
to handle deployments and the problems that emerge so their
servicemembers may remain focused on the mission, secure in the
knowledge their families are safe and secure, both physically
and emotionally.

CHALLENGES TO FAMILY READINESS

In this sixth year of the global war on terror, as many
servicemembers and families are experiencing their second or third
deployments, family readiness is more imperative than ever. The needs
of and support required for the family experiencing repeated
deployments are often different than those of the first deployment. The
family that was childless in the first deployment may have two toddlers
by now. Middle schoolers have grown into teenagers with different
needs. Parents age and the requirements of the ``sandwich generation''
grow. Commanders cannot assume that ``experienced'' families have the
tools they need to weather each new deployment successfully. The end
strength increases in the Army and Marine Corps will bring many new
families needing to learn the basics of military life and family
support while experiencing their first deployments.
The effect of multiple deployments is burning out many volunteers
and families. At high operational tempo installations such as Fort
Bragg, Camp Pendleton, and Fort Drum, volunteers and staff are
constantly on alert, dealing with families at multiple stages of
deployment. Sustaining a high level of engagement with families at rear
detachment and installation commands is extremely draining. New
challenges seem to constantly appear, including: the grief of unit
families when a servicemember is wounded or killed, extensions, and
reductions in funds and support staff. Many spouses who hear military
and political leaders' pronouncements of a long war wonder if there is
ever a light at the end of the tunnel.
NMFA is especially concerned with the burnout of the most
experienced family volunteers and the command spouses who often must
shoulder much of the burden for the well-being of families within their
servicemembers' commands. Senior spouses have stated to NMFA that
training has not kept up with the challenges they encounter. Although
the Services do a good job of providing educational opportunities for
spouses of newly-appointed commanders, much of the training received at
various Army senior Service courses, for example, has not changed since
the start of the global war on terror. The reliance on military family
member volunteers as the front line of family support and readiness has
not changed, either, despite the increased complexity of the challenges
they face. Military families know they now must exist in a ``new
normal,'' in which servicemembers' repeated deployment to combat zones
is a given. The spouse leaders they turn to for guidance and mentorship
must have the tools and support they need to assist others. They need a
clear picture of what is expected of them and assurance there are
professional resources available to them.
NMFA believes creating a three-pronged approach to unit family
readiness might be the solution. The family readiness triad would
consist of volunteer, Active Duty, and civilian components. The
volunteer, such as a Key Spouse, Family Readiness Group leader, Key
Volunteer, or Ombudsman needs standardized training from professionals
in order to play an integral role in the command team and provide the
communication conduit to military families. The Active Duty military
member who is charged by the commanding officer with taking care of
families must be trained and committed to that duty. Professional
support by trained civilians tasked specifically to provide counseling
and relieve the burden challenging the family volunteers must be the
third prong of the support network.
High operational tempo and frequent family separations test the
mettle of military families on a daily basis. That military families
carry a special burden is especially apparent after every announcement
of unit extensions in a combat zone, earlier-than-scheduled
deployments, or a surge in the number of troops into theater. When the
deployment of the 172nd Stryker Brigade from Fort Wainwright, AK, was
extended just before the brigade was to return home last summer,
families experienced a myriad of emotions and crises. How did the Army
respond to the needs of these families? It began with a 90-minute
conference call from the brigade commander in Iraq talking with the
family readiness group leaders, who in turn passed the information on
to the family members in their groups. Communication and rumor control
were crucial in this situation. The Army brought extra staff from other
installations to help in the support and allay some of the affected
families' stress. New family assistance centers opened at Fort
Wainwright and Fort Richardson to help families deal with nonrefundable
airline tickets, powers of attorney that were about to expire,
relocation concerns, and mental health issues. The Army augmented local
support staff with child psychologists, adolescent counselors, and
specially-trained chaplains with advanced degrees in family counseling.
Families appreciated the extra measure of support. These initiatives
became a template on how to rally resources and support for units and
installations when future unexpected events happen.
But what happens when a surge affects National Guard or Reserve
families who cannot rely on a military installation? Following the
President's January announcement of the troop surge to Iraq, the
Minnesota National Guard reached out aggressively to support affected
families. A robust family readiness and training network had already
been in place, supported by Minnesota Governor and Mrs. Tim Pawlenty.
The Guard augmented this network with additional military family life
consultants and a full-time mental-health coordinator who encouraged
mental-health providers across the state to support deployed National
Guard members' families. DOD also generated a Tiger Team to analyze
needs and allocate resources to support families affected by the surge.
With the announcement of more extensions, additional Tiger Teams were
stood up to augment medical services, counseling resources, and legal
services and to help with commercial obligations.
Individual Augmentees (IAs) and their families are especially
vulnerable to falling through the cracks. Military families who
previously knew how to navigate their unit chain of command become
confused about who will provide information and support when their
servicemembers become IAs. Is it the command giving up the
servicemember or is it the gaining command--or both? This confusion can
lead to frustration when a problem arises and the resolution does not
come quickly. NMFA commends the Navy for its recognition of the
challenges faced by IA families when their servicemembers have been
deployed as individuals or small groups in support of ground combat
operations. The Navy is implementing a policy to address the IA
``support'' issue. The original command support system and unit
Ombudsman remain responsible for supporting the IA family. The
Expeditionary Combat Readiness Center, a component of Naval
Expeditionary Combat Command, was created to provide the communication
link between family members and the IA. Families receive a toll free
number and access to a Web site providing information and a comment
section for family questions related to the deployment. The Navy
Reserve has hired a full-time Family Support Manager to oversee Reserve
military families' support. Five additional Family Support Managers
will be in the field providing support to the ``Prairie Navy.'' This
new support structure has been hard-fought because of funding
challenges. Yet, without these innovations in Navy family support,
servicemembers who are serving in harm's way would have to work harder
to resolve pay problems, housing issues, and family concerns.
NMFA is pleased to note that access to information and support has
improved overall since the start of the war on terror. For example, the
National Guard continues to promote the state Joint Family Assistance
Centers as a resource for all military families. The Guard Family
Program Web site, www.guardfamily.org, provides lists of many local
resources. Training for Guard and Reserve family volunteers has
improved and, in the case of the Marine Forces Reserve, Key Volunteers
attend training side by side with the Marine Family Readiness Officers.
This training helps to create realistic expectations on both the part
of the professional and the volunteer.
Recently, top military family program leaders from across the
Services gathered at a Family Readiness Summit, convened by Assistant
Secretary of Defense for Reserve Affairs Thomas Hall, to answer tough
questions on how to work better together. While focusing on the Reserve
component, delegates agreed that communication across the Services and
components is key to bringing families the best support possible.
Effective use of technology and partnerships with community agencies
were listed as best practices, along with Military OneSource and the
use of volunteers. Challenges identified include the need for
consistent funding for family programs and full-time support personnel
to help avoid burnout for the full-time staff and volunteers. Some
participants expressed concern that current funding is tied to current
operations and worried those funds will not always be available to
address the long-term needs of servicemembers and families.
Participants also identified the need for clear, non-confusing
nomenclature for programs that families could recognize regardless of
Service or component. Everyone saw reintegration as a challenge and
expressed the concern that the single servicemember not be forgotten in
the process. Outreach to parents, significant others, and other family
members is essential in helping the servicemember recover from the
combat experience. The concerns raised at this summit mirror those
raised to NMFA by families since the beginning of Operations Enduring
Freedom and Iraqi Freedom. NMFA has reported these findings in our
annual congressional testimony and in the Association's published
reports in 2004 and 2006 on families and deployment: Serving the
Homefront and The Cycles of Deployment Survey Report. These reports are
available in the Publications section of the NMFA Web site:
www.nmfa.org.
NMFA regards Military OneSource (www.militaryonesource.com), DOD's
version of an employee assistance program, as an solid resource for
military families, regardless of Service affiliation or geographical
location. While DOD agencies and the OneSource contractor have
increased their outreach efforts this year, NMFA remains disappointed
that families' usage of OneSource is low and that OneSource is not yet
well-integrated into other Service, component, and installation support
systems. This integration is important not just to meet the wide-
ranging needs of today's military families, but also to make the best
use of increasingly scarce resources at the installation level. More
efforts must be made to enable family center personnel and unit family
readiness volunteers to become the ``experts'' on OneSource so they can
then encourage more families to take advantage of the service.
OneSource must also do a better job of connecting families to support
services already provided by DOD and the Services.

NMFA urges these subcommittees to direct the Services to
develop a training system and support structure to meet the
needs of the senior officer and enlisted spouses who bear the
heaviest burden for supporting other military family unit
volunteers. It is essential that professional support personnel
are tasked to serve as back-up to unit volunteers to ensure
families in crisis receive appropriate assistance. The Services
must recognize their responsibility to reach out to families to
ensure families understand how to access available support
services.

CUT BACKS IN BASE OPERATIONS

Families and the installation professionals who support families
tell NMFA that shortfalls in installation operations funding are making
the challenges of military life today more difficult. Families are
grateful for the funding increases Congress has provided since the
start of the global war on terror for deployment-related programs, such
as counseling, family assistance for Guard and Reserve families, and
expanding access to child care services. However, the military families
who contact NMFA, as well as many of our more than 100 installation
volunteers, also tell us they are worried about consistent funding
levels for these programs, as well as for core installation support
programs: family center staffing, support for volunteer programs,
maintenance on key facilities, and operating hours for dining halls,
libraries, and other facilities.
Shortages in base operations funding are nothing new. What seems to
make the crisis worse now is that war needs have exacerbated the
negative effects of a long history of cutbacks. Deployed servicemembers
expect their installation quality-of-life services, facilities, and
programs to be resourced at a level to meet the needs of their
families. Cutbacks hit families hard. They are a blow to their morale,
a sign that perhaps their Service or their nation does not understand
or value their sacrifice. They also pile on another stressor to the
long list of deployment-related challenges by making accessing services
more difficult. Families are being told the cutbacks are necessary in
order to ensure funds are available for the war, and in the case of
Army communities, the ongoing Army transformation. Just when they need
quality-of-life programs most, families should not be asked to do
without. Their commanders should not have to make the choice between
paying installation utility bills or providing family support services.
NMFA asks Congress to direct DOD to maintain robust family
readiness programs and to see that resources are in place to accomplish
this goal. We ask these subcommittees to exercise their oversight
authority to ensure critical base operations programs are maintained
for the servicemembers and families who depend on them.

CARING FOR MILITARY CHILDREN AND YOUTH

At a recent hearing, the Service Senior Enlisted Advisors put child
care as one of their top two quality-of-life concerns. Frequent
deployments and long work hours make the need for quality affordable
and accessible child care critical. We thank Congress for making
additional funding available for child care since the beginning of the
global war on terror. We also applaud several of the innovative ways
the military Services have attempted to meet the demand, including:

the Navy's 24 hour centers in Virginia and Hawaii;
the purchase of additional child care slots in private
or other government agency facilities;
partnerships with provider organizations to connect
military families with providers; and
use of additional funding provided by Congress to make
improvements to temporary facilities to increase the number of
child care slots on military installations.

While these efforts have helped to reduce the demand for child
care, more is needed. NMFA understands that the House and Senate have
included in their versions of the fiscal year 2007 Supplemental
Appropriations bill the $3.1 billion previously cut from the fiscal
year 2007 continuing resolution. This funding is critical to ensuring
that the additional child care spaces required by BRAC and rebasing can
be in place when families begin to arrive at new duty stations. In
addition to being disappointed that the Supplemental Appropriations
bill has not yet become law, NMFA remains concerned that, in the
reality of scarce resources and delayed funding, child care centers
will take a back seat to operational funding priorities. Even with
these new centers, the Services--and families--continue to tell NMFA
that more child care spaces are needed to fill the ever-growing demand.
Multiple deployments have also affected the number of child care
providers, both center and home based. Child and Youth Service (CYS)
programs have historically counted heavily on the ranks of military
spouses to fill these positions. Service CYS programs report a growing
shortage of spouses willing to provide child care as the stress of
single parenting and the worry over the deployed servicemember takes
their toll. The partnerships between the Services and the National
Association of Child Care Resource and Referral Agencies (NACCRRA) are
helping and have grown over the past 2 years; however, not all families
qualify for the subsidies and not all programs are the same. As always,
getting the word out to families that such programs exist is
challenging. Military OneSource must do a better job of putting the
NACCRRA programs at the top of their list when referring families to
child care services within their neighborhood. Too often, a family will
call OneSource and receive the closest child care option to their home
address, NOT to the program that is currently working with the military
and providing subsidies.
Unexpected extensions also wreak havoc on the availability of care.
NMFA applauds the Army's efforts to address this shortage with an
innovative program: CYS Transition Mobile Teams (TMT). The Army created
the TMTs as a response to the emergency shortage of child care
providers due to the extension of the 172nd Stryker Brigade Combat Team
from Fort Wainwright, AK. The Army organized teams of volunteers within
the CYS department willing to ``deploy'' to Fort Wainwright for a
limited time to fill those shortages. This program was so successful it
has been incorporated as a permanent aspect of the Army's CYS program.
Innovative strategies are also needed when addressing the
unavailability of after hour (before 6 A.M. and after 6 P.M) and
respite care. Families often find it difficult to obtain affordable,
quality care, especially during hard-to-fill hours and on weekends.
Both the Navy and the Air Force have piloted excellent programs that
provide 24-hour care. The Navy has 24-hour centers in Norfolk and
Hawaii, which provide a home-like atmosphere for children of sailors
working late night or varying shifts. The Air Force provides Extended
Duty Child Care and Missile Care (24 hour access to child care for
servicemembers working in the missile field). These innovative programs
must be expanded to provide care to more families at the same high
standard as the Services' traditional child development programs.
Older children and teens cannot be overlooked. School personnel
need to be educated on issues affecting military students and be
sensitive to their needs. To achieve this goal, schools need tools.
Parents need tools too. Military parents constantly seek more resources
to assist their children in coping with military life, especially the
challenges and stress of frequent deployments. Parents tell NMFA
repeatedly they want resources to ``help them help their children.''
Support for parents in their efforts to help children of all ages is
increasing but continues to be fragmented. New Federal, public-private
initiatives, and increased awareness and support by DOD and civilian
schools educating military children have been developed; however,
military parents are either not aware that such programs exist or find
the programs do not always meet their needs.
In their report: ``The Psychological Needs of U.S. Military
Servicemembers and Their Families: A Preliminary Report''(Feb. 2007),
the American Psychological Association states: ``Having a primary
caretaker deployed to a war zone for an indeterminate period is among
the more stressful events a child can experience. Adults, in the midst
of their own distress are often anxious and uncertain on how to respond
to their children's emotional needs. The strain of separation can weigh
heavily on both the deployed parent and the caretakers left behind.
Further, reintegration of an absent parent back into the family often
leads to complicated emotions for everyone involved.'' These emotional
challenges are further exacerbated when the servicemember's time at
home between deployments is shortened, leaving precious little time for
reintegration before preparations for the next deployment begin.
NMFA is working to identify the cumulative effects multiple
deployments are having on the emotional growth and well-being of
military children and the challenges posed to the relationship between
deployed parent and child in this very stressful environment. The NMFA
Operation Purple summer camp program, currently in its fourth year,
provides a free camp experience to military children, with priority
given to children of deployed servicemembers. Unique in its ability to
reach out and serve military children of different age groups (8-18),
Operation Purple provides a safe and fun environment in which military
children feel immediately supported and understood. Its curriculum
focuses on giving children the tools to cope with deployment. This
year, NMFA will also host a camp specifically for children of the
wounded. This first of its kind camp will focus on the special needs
and challenges faced by military children whose lives have been forever
altered. It is our hope to reinforce coping skills and begin to collect
data which will add to the scant literature on this subject.

NMFA urges Congress to ensure resources are available to meet
the child care needs of military families. NMFA also strongly
requests that Congress add funding for further research on the
effects deployments have on children of all ages, birth through
teen, and support programs that increase the resiliency of the
military family, especially of the military spouse who plays a
key role in how children cope with deployments and any
unfavorable outcomes.

EDUCATION OF MILITARY CHILDREN

As increased numbers of military families move into new communities
due to Global Rebasing and BRAC, their housing needs are being met
farther away from the installation. Thus, military children may be
attending school in districts whose familiarity with the military
lifestyle may be limited. Educating large numbers of military children
will put an added burden on schools already hard-pressed to meet the
needs of their current populations. Impact Aid has traditionally helped
to ease this burden; however, the program remains underfunded. NMFA was
disappointed to learn the DOD supplement to Impact Aid was funded at a
compromise level of $35 million for fiscal year 2007. An additional $10
million was provided to school districts with more than 20 percent
military enrollment that experience significant shifts in military
dependent attendance due to force structure changes, with another $5
million for districts educating severely-disabled military children.
While the total funding available to support civilian schools educating
military children is greater than in recent years, we urge Congress to
further increase funding for schools educating large numbers of
military children. This supplement to Impact Aid is vital to school
districts that have shouldered the burden of ensuring military children
receive a quality education despite the stresses of military life.
NMFA also encourages Congress to make the additional funding for
school districts experiencing growth available to all school districts
experiencing significant enrollment increases and not just to those
districts meeting the current 20 percent enrollment threshold. We also
urge you to authorize an increase in the level of this funding until
BRAC and Global Rebasing moves are completed. The arrival of several
hundred military students can be financially devastating to any school
district, regardless of how many of those students the district already
serves. Because military families cannot time their moves, they must
find available housing wherever they can. Why restrict DOD funding to
local school districts trying to meet the needs of military children
simply because they did not have a large military child enrollment to
begin with?

NMFA asks Congress to increase the DOD supplement to Impact
Aid to $50 million to help districts better meet the additional
demands caused by large numbers of military children,
deployment-related issues, and the effects of military programs
and policies. We also ask Congress to allow all school
districts experiencing a significant growth in their military
student population due to BRAC, Global Rebasing, or
installation housing changes to be eligible for the additional
funding currently available only to districts with an
enrollment of at least 20 percent military children.

FINANCIAL READINESS

Financial readiness is a critical component of family readiness.
NMFA applauds the passage of the Talent/Nelson Amendment (Sec. 670) to
the National Defense Authorization Act (NDAA) for Fiscal Year 2007.
This legislation was desperately needed to protect servicemembers and
their families from unscrupulous business practices. We are concerned,
however, that some lenders are attempting to create loopholes to allow
them to circumvent the intent of this important legislation. NMFA is
very disappointed with the draft regulation recently released by DOD to
implement this legislation. The regulation appears to be more focused
on protecting the ability of creditors to function than with ensuring
servicemembers and their families are protected from unscrupulous and
predatory lenders. As currently drafted, the regulation is so narrow in
scope that even payday lenders may be able to continue business as
usual with only a few minor changes to their practices. Some of the
most damaging products--privilege pay, overdraft protection, and credit
cards with exorbitant fees--are completely excluded from the
regulation. While DOD has not carved out banks and credit unions by
name, the Department has certainly chosen to carve them out completely
by product. While NMFA fully recognizes the Military Lending Act could
impede the ability of some servicemembers and their families to obtain
short-term loans, we believe this risk is justified given the negative
impact of the use of predatory loans. We also believe better education
about other available resources and improved financial education for
both the servicemember and spouse will also reduce the risk.
The chief complaint among lenders centers on the breadth of the
protections. Lenders contend the legislation as written will result in
the denial of credit to military members and their families. NMFA
contends that legitimate lenders have no need to fear an interest rate
cap of 36 percent. We encourage DOD to continue to make military
families aware of the need to improve their money management skills and
avoid high cost credit cards and other lenders. The Department must
continue to monitor high cost, low value financial products targeted at
military families.

NMFA asserts that the protections provided under the Talent/
Nelson amendment must be implemented in their entirety as
written. We urge Congress to oppose strongly any changes to the
statutory provisions enacted in the NDAA for Fiscal Year 2007
and to monitor DOD's implementation of the legislative
provision to ensure full protections are made available to
military families.

SPOUSE EDUCATION AND EMPLOYMENT

Today's military is comprised of predominantly young adults under
the age of 35. Sixty-six percent of military spouses are in the labor
force, including 87 percent of junior enlisted spouses (E-1 to E-5).
For many, working to pay bills and cover basic expenses is the primary
reason for working. Studies show the gap between the financial well-
being of military families and their civilian peers is largely due to
the frequent moves required of the military family and the resulting
disruptions to the career progression of the military spouse. In a 2005
report by the RAND Corporation: Working Around the Military: Challenges
to Military Spouse Employment and Education, researchers found that
military spouses, when compared to their civilian counterparts, were
more likely to live in metropolitan areas and are more likely to have
graduated from high school and have some college. Yet the RAND study
found that all things being equal, military spouses' civilian
counterparts tended to have better employment outcomes and higher
wages. Surveys show that a military spouse's income is a major
contributor to the family's financial well-being and that the military
spouse unemployment rate is much higher (10 percent) than the National
rate. The loss of the spouse's income at exactly the time when the
family is facing the cost of a government ordered move is further
exacerbated when the spouse is unable to collect unemployment
compensation. Lacking the financial cushion provided by the receipt of
unemployment compensation, the military spouse must often settle for
``any job that pays the bills'' rather than being able to search for a
job that is commensurate with his or her skills or career aspirations.
This in turn hurts morale and affects recruitment and retention of the
servicemember
With a concern that spouses desiring better careers will encourage
servicemembers to leave the military, DOD is acknowledging the
importance of efforts to support spouse employment. Recent DOD
initiatives include the collaboration between DOD and Department of
Labor (DOL), which focuses on:

establishing Milspouse.org, a resource library for
military spouse employment, education and relocation
information,
establishing One Stop Career Centers near major
military installations (Norfolk, Virginia; San Diego,
California; Fort Campbell, Kentucky),
expanding opportunities for Guard and Reserve members
and military spouses to access training and education grants,
exploring options with states to offer unemployment
compensation to military spouses when unemployment is the
result of a permanent change of station (PCS) move, and
improving reciprocity for State certifications and
licensing requirements.

Unfortunately, funds for this promising collaboration have run out
and are not due to be reinstated. NMFA believes this lack of funding is
a significant blow to the promise of these early initiatives. We also
believe the DOL is best positioned to provide the coordination
necessary with states and other agencies to promote opportunities for
military spouse employment.
DOD has also sponsored a partnership with Monster.com to create the
Military Spouse Career Center (www.military.com/spouses) and recently
announced the availability of free career coaching through the Spouse
Employment Assessment, Coaching and Assistance Program (SEACA).
However, with more than 700,000 Active Duty spouses, the task of
enhancing military spouse employment is too big for DOD to handle
alone. Improvements in employment for military spouses and assistance
in supporting their career progression will require increased
partnerships and initiatives by a variety of government agencies and
private employers. NMFA applauds current partnerships through the Army
Spouse Employment Partnership (ASEP) where currently 26 corporate and
government partners have pledged to provide solid employment
opportunities to military spouses. Although marketed as an Army
initiative, all military spouses may take advantage of this program.
Unfortunately, without the ability to track the actual hiring numbers,
it is difficult to determine the success of these partnerships.
Despite greater awareness of the importance of supporting military
spouse career aspirations, some roadblocks remain. In addition to their
inability to qualify for unemployment compensation in many states,
military spouses may not be eligible for the many labor and workforce
development opportunities offered in the states in which their
servicemember is assigned. As the military streamlines operations and
contracts out many services, military spouses may find the contract
positions have significant disadvantages over positions as non-
appropriated fund (NAF) or civil service employees. While one could
argue that the ability to be a contractor provides a spouse with some
flexibility, this ``opportunity'' also brings significant monetary
implications for the military spouse. What many spouses do not realize
until it is too late is that, as a contractor, a spouse enjoys none of
the regular employee benefits available through NAF or civil service
positions. In addition, they must file quarterly tax statements to pay
self-employment tax. NMFA asserts it is time to take a closer look at
the efficiencies of contracting and the resulting impact on military
spouses who frequently fill these contractor positions.
Many military spouses trying to improve their employment prospects
encounter another set of barriers as they seek further education. As
one spouse stated in a recent NMFA on-line spouse education and
employment survey: ``My resume looks like I cannot hold a job, never
mind that I have worked since I was 15! Low salary, no time to accrue
seniority, no time for education to improve skills all lead to low self
esteem. Never mind that when my husband retired he had access to the
MGIB and subsequently has finished two masters' degrees while my
options are still limited.''
In the 2006 DMDC Survey for Military Families, 87 percent of
spouses report education/training is a personal goal and 54 percent
report training would have helped during their last relocation. The
high cost of education, the lack of uniformly-authorized in-state
tuition, and the high cost of transferring certifications and licenses
from State to State are challenges that must be addressed.
NMFA has also been aware of these challenges. In 2006, the
Association's Joanne Holbrook Patton Military Spouse Scholarship
Program garnered slightly over 8000 applicants! An analysis of
responses reaffirmed that military spouses have a strong commitment to
educational advancement even as they struggle to juggle school, work
and family, especially with today's current deployments. They
understand that service life brings unique educational challenges,
which often influences their career choices as well. NMFA is developing
educational tools to enhance a spouse's ability to navigate through the
frustrating years it can take to complete a degree. The NMFA Military
Spouse Education Resource Guide is now in its second printing. In
January 2007, NMFA launched its new on-line Military Spouse Education
web section, a comprehensive resource about higher education tailored
for the military spouse. (http://www.nmfa.org/spouseeducation). But
even with all these initiatives and scholarship opportunities the need
continues to be great. As one spouse put it: ``I have searched for
education or tuition reimbursement for military spouses and I have
found no help. I don't qualify for grants or financial aid because my
spouse makes too much money . . . I see many scholarships for military
children or children of the fallen but very little for spouses. How can
a spouse further her education when there is very little help for us?''
NMFA is pleased to report that some States are examining their in-
State tuition rules and licensing requirements to ease spouses' ability
to obtain an education or to transfer their occupation as they move.
NMFA is appreciative of the efforts by DOD to work with States to
promote the award of unemployment compensation to military spouses,
eligibility for in-State tuition, and reciprocity for professional
licenses. DOD has also recognized that it is imperative that programs
be developed to move the 22,500 military spouses without a high school
degree towards General Education Development (GED) certificates and
address the 52,000 military spouses with a high school diploma who need
to move toward an Associate or technical degree.

NMFA asks that the partnership between DOD and DOL be
realigned to give DOL the authority to serve military spouses
through legislative changes designating military spouses as an
eligible group for funds for training and education.
Furthermore, NMFA asks Congress to promote Federal and state
coordination to provide unemployment compensation for military
spouses as a result of Permanent Change of Station (PCS)
orders. NMFA asks Congress to promote Federal and State
coordination to make college credits and fees more easily
transferable and adopt State education policies that permit a
military spouse to qualify for in-State tuition regardless of
servicemember's duty location. NMFA also supports programs or
legislative changes that would give local Workforce Investment
Boards the opportunity to provide education and training
assistance to military spouses. Private sector employers who
protect employment and/or education flexibility of spouses and
other family members impacted by deployment should be applauded
as role models.

MENTAL HEALTH CHALLENGES

As the war continues, families' need for a full spectrum of mental
health services--from preventative care to stress reduction techniques,
to individual or family counseling, to medical mental health services--
continues to grow. In a recent meeting in Alaska with Chairman of the
Joint Chiefs of Staff General Peter Pace, military spouses asked him
for more counseling resources to help them recognize potential
difficulties their servicemembers were facing as a result of combat
experience. They also asked these services be made available to
servicemembers and commanders grappling with these problems. The recent
press reports on Walter Reed Army Medical Center also emphasized the
need for additional counselors and mental health services for both
wounded servicemembers and their families.
NMFA was dismayed to learn recently that Medicare reimbursement
rates for mental health services were lowered, thus also lowering
TRICARE reimbursement rates. These cuts for mental health service can
be as high as 9 percent. Currently, California, North Carolina, and
Kentucky have implemented the rate change. All three of these states
contain military installations experiencing high operational tempos.
NMFA is hearing psychiatrists will continue to see current patients,
but will be reluctant to accept additional TRICARE patients. Given the
shortage of mental health specialists, rate cuts will only further
erode access to quality mental health services for military families
during a time of war when they need them most.
As servicemembers and families experience numerous lengthy and
dangerous deployments, NMFA believes the need for confidential,
preventative mental health services will continue to rise. It will also
remain high for some time even after military operations scale down in
Iraq and Afghanistan. NMFA has seen progress in the provision of mental
health services, access to those services, and military servicemember
and family well-being. However, the progress is ongoing and barriers to
quality mental health care remain.

PROGRESS MADE

NMFA has been impressed with the increased range of mental health
support offered in theater for servicemembers, especially with the use
of combat stress teams. Combat stress teams move out when needed to the
unit level to provide advice, support, and counseling to soldiers who
are having some adjustment problems or issues related to combat. They
assess the troops, work at preventive mental health, find out what
stresses they are struggling with, and assist the commander in helping
the servicemembers deal with that stress.
NMFA has often expressed concern about the deployment of
servicemembers who had been diagnosed with mental health conditions. We
have been especially concerned about the use of psychiatric medications
in theater and the ability of mental health providers to monitor
servicemembers' use of these medications and address possible side
effect issues in a combat environment. We congratulate DOD for issuing
policy guidance on the deployment of servicemembers with mental health
diagnoses and the monitoring of their conditions (http://
www.ha.osd.mil/policies/2006/061107--deployment-limiting--psych--
conditions--meds.pdf). We hope this guidance will provide consistency
among the Services in how they determine servicemembers' fitness for
deployment and the support available to them in theater.
Some communities have also adopted the combat stress team model to
support the families of the deployed during periods when they know the
unit is engaged in combat or has experienced casualties. In NMFA's
Cycles of Deployment survey report (http://www.nmfa.org/site/DocServer/
NMFACyclesofDeployment9.pdf?docID=5401), respondents stated
professional mental health resources need to be directed to support the
volunteer leadership of the Family Readiness/Support Groups (FRGs). The
Rear Detachment of the 1st Brigade of the 1st Armored Division, based
in the Freidberg/Giessen area of Germany, made providing this support a
community priority. It established a Combat Operational Stress Team
made up of social workers, Alcohol and Substance Abuse Counselors, and
other mental health providers and assigned them as resources to the
various battalions' FRGs. By bringing these available community-based
mental health resources to the battalion volunteers, the team could
identify problem areas more quickly and target their support efforts.
For example, when it was apparent that several of the survivors of
active duty deaths were choosing to remain in Germany rather than
immediately go back to the United States, the rear detachment formed a
Bereavement Support Group, assisted by members of the stress team.
The 1st Armored Division communities were also among the handful of
Army installations to create care teams to assist families when the
unit has a casualty. The concept behind the care team is that rear-
detachment commanders and Family Readiness Group leaders have
volunteers ready to provide immediate support as the notification teams
leave, rather than scrambling around. Care teams--each with two or
three members--train to do everything from looking after children, to
anticipating potential crises, to fending off ``concerned'' neighbors
at a vulnerable time. Each care team goes through careful screening and
training, then undergoes debriefings after helping families to make
sure they do not suffer themselves from what is always an emotional
test.
As deployments have continued, the military Services have refined
programs dealing with the return and reunion process. Families worry
about how the reunion will go even as they are worrying about the
servicemember's safety in theater. Recent concerns about military
divorce rates have prompted even more programs aimed at couples'
reunion and reintegration. The Services recognize the importance of
educating servicemembers and their families about how to achieve a
successful homecoming and reunion and have taken steps to improve the
return and reunion process. Information gathered in the now-mandatory
post-deployment health assessments may also help identify
servicemembers who may need more specialized assistance in making the
transition home. Successful return and reunion programs will require
attention over the long-term.
Multiple deployments are no longer the exception but rather the
norm. Families experiencing a second or third deployment never start
from the same place. Along with skills acquired during the first
deployment, there are unresolved anxieties and expectations from the
last. New families are entering the cycle, whether they are new
recruits, servicemembers deploying with new units, or families whose
life situations have changed since the last deployment. An example of
the progress made in supporting the more complicated readjustments now
becoming commonplace is the Army's new Battlemind program
(www.battlemind.org). The Battlemind training videos, currently
available for post-deployment training provide servicemembers with
common scenarios they might face on their return home, as well as show
them how skills developed on the battlefield to keep themselves alive
may make their readjustment more difficult. NMFA is pleased future
Battlemind programs will be aimed at helping family members with their
readjustment.
According to the NMFA Cycles of Deployment survey report, families
are also concerned about the relationships among other family members
during this critical reunion phase. How children, especially the very
young or the teenagers, will re-connect with a parent was a common
theme. NMFA would like to see the concept behind the couples' programs
extended to focus on the reintegration of the entire family. As pointed
out in the recently-released American Psychological Association report,
(http://www.apa.org/releases/MilitaryDeploymentTaskForceReport.pdf),
scholarly research is needed on the short- and long-term effects of
deployment on military families, especially the children. We urge
Congress to direct DOD to enter into research agreements with qualified
research organizations to expand our Nation's knowledge base on the
mental health needs of the entire military family: servicemembers,
spouses, and children. Special attention must be paid to issues
affecting wounded servicemembers and their families, as well as
surviving spouses, children, and other family members. Solid research
on the needs of military families is needed to ensure the mix of
programs and initiatives available to meet those needs is actually the
correct one.
Because military families look to schools for support and because
schools have a vested interest in ensuring children are able to focus
on learning, NMFA recommends more resources be targeted to provide
counseling and make available mental health services in the schools. To
determine what is needed, an assessment should be made of existing
mental health services provided by DOD and civilian schools serving
large populations of military children. This assessment should also
attempt to validate anecdotal reports that disruptions and stress among
military children related to deployments are resulting in increased
medication use, behavioral problems, or declines in educational
performance.
Information gathered in the now-mandatory post-deployment health
assessments may also help identify servicemembers who may need more
specialized assistance in making the transition home. Successful return
and reunion programs will require attention over the long term, as well
as a strong partnership at all levels between the various mental health
arms of the DOD and VA.
The DOD contract for Military OneSource enables servicemembers and
families to receive up to six free face-to-face mental health visits
with a professional outside the chain of command. NMFA is pleased DOD
has committed to funding the counseling provided under the OneSource
contract. This counseling is not medical mental health counseling, but
rather assistance for family members in dealing with the stresses of
deployment or reunion. It can be an important preventative to forestall
more serious problems down the road.
Since May 2004, MHN, the behavioral health division of HealthNet,
has provided under contract with DOD short-term, solution focused, non-
medical family and daily living counseling to active duty, National
Guard and Reserve members, and their families (continental United
States (CONUS) and outside CONUS (OCONUS). The Military and Family Life
Consultant (MFLC) program is preventative in nature and designed to
reach out proactively to service personnel and their families with
assistance as they cope with the stressors of deployment and reunion.
The program complements existing installation resources, including
medical, social services, alcohol and substance abuse programs,
schools, and chaplains. Support is provided to all Service branches,
although the greatest utilization has been by the Army, followed by the
Marines. The program also makes available behavioral and financial
consultants at a number of Navy installations in Hurricane Katrina-
affected areas and supports airmen and their families at a number of
OCONUS locations. Currently, there are approximately 150 licensed
consultants providing support in Europe, the Pacific Rim and stateside.
While the consultants are equipped to address various needs, a
significant amount of support is focused on coping with stress and
marriage and family issues. Counselors generally work out of the
military centers and are available to assist units or family readiness
groups. They try to be visible when servicemembers are returning to
their installations or during drill weekends for recently-returned
Guard and Reserve members. While many servicemembers and their families
are able to benefit solely from the support offered through the
consultants, there are, on occasion, instances when more extensive
support is required. In such cases, the consultants (all licensed
social workers or psychologists) guide the member to the clinical and
professional resources available at military installations, as well as
via TRICARE.
NMFA has found that families and family support professionals have
generally welcomed these additional counseling resources to their
communities. We believe the Marriage and Family Life Consultants are
most effective when fully integrated into ongoing support activities on
an installation. Thus, their success is dependent on the buy-in from
the family center personnel. The consultants working in overseas
communities experience a greater challenge in integrating their
services with other installation programs. Host-nation rules generally
limit the time these counselors may work in one location to only a few
weeks. Thus, their effectiveness is dependent on both the willingness
of local family center staff to use them and on the consultants'
ability to do a smooth hand-off with their replacements. While
important in enhancing the preventative mental health capabilities in a
community, these consultants are not a replacement for the mental
health providers who have been deployed. Families continue to raise
concerns that more providers who can do long-term counseling and
treatment are needed.

We ask Congress to encourage DOD to expand research into the
emotional, educational, and deployment-related challenges
affecting military families. NMFA also requests that Congress
investigate the effects of recent TRICARE mental health
reimbursement rate cuts on military families' access to care.

BARRIERS TO CARE

The military offers a variety of mental health services, both
preventative and treatment, across many helping agencies and programs.
On a typical installation, families can access stress management
classes through the family center staff, the military and family life
consultants, chapel programs, hospital, family readiness group
meetings, or through orientation programs such as Army Family Team
Building. They can find marriage and family counseling through the
family centers, chaplains, or social workers at the military hospitals.
They can call Military OneSource and request a visit with a counselor
outside the military system paid through that contract. If a medical
condition, such as depression or an anxiety disorder, is suspected,
families can receive services, where available, through military
treatment facilities or TRICARE civilian providers.
As outlined above, DOD and the individual Services have added many
deployment-related support, counseling, and stress management programs
to supplement existing mental health programs. These programs, however,
are primarily stand-alone. Coordination across the spectrum is rare.
Families tell NMFA that the proliferation of programs, while beneficial
to those who seek them out or are able to take advantage of them, has
increased their confusion about where to go or who to see to get the
help they need. A first step in this needed coordination would be to
integrate training among OneSource counselors, installation-based
family support professionals, and Family Assistance Center employees of
the Guard and Reserve to facilitate information, collaboration, and
counseling efforts to best support military families. A second step
would be to increase linkages at the local level between military
installation mental health providers, civilian providers, and school
personnel to enhance training and access to care.
Timely access to the proper provider remains one of the greatest
barriers to quality mental health services for servicemembers and their
families. NMFA and the families it serves have noted with relief that
more providers are deployed to theaters of combat operations to support
servicemembers. The work of these mental health professionals with
units and individuals close to the combat action they experience have
proved very helpful and will reduce the stress that impedes
servicemembers' performance of their mission and their successful
reintegration with their families.
While families are pleased more mental health providers are
available in theater to assist their servicemembers, they are less
happy with the resulting limited access to providers at home. Families
report increased difficulty in obtaining appointments with social
workers, psychologists, and psychiatrists at their military hospitals
and clinics. The military fuels the shortage by deploying some of its
child and adolescent psychology providers to the combat zones.
Providers remaining at home stations report they are frequently
overwhelmed treating active duty members who either have returned from
deployment or are preparing to deploy to fit family members into their
schedules. A recent survey on counseling conducted by the European
Command documents the access problems NMFA has heard from military
families both CONUS and OCONUS. Many respondents stated that
appointments are difficult to obtain, that chaplains and family center
staff are also overworked, and that the specialized care needed for
children and adolescents is persistently difficult to obtain.
National shortages in this field, especially in child and
adolescent psychology, are exacerbated in many cases by low TRICARE
reimbursement rates, TRICARE rules, or military-unique geographical
challenges: large populations in rural or traditionally underserved
areas. Over the past year, several groups of civilian mental health
providers who are willing to donate their services to servicemembers
and family members have contacted NMFA. One of these groups is SOFAR,
the Strategic Outreach to Families of All reservists
(www.sofarusa.org). SOFAR providers, mostly based in New England,
provide stress management sessions to Family Readiness Groups and
individual counseling to family members, to spouses and children, as
well as non-military-ID card holders, such as parents and significant
others. The nonprofit Give an Hour (www.giveanhour.org) asks mental
health providers to donate 1 hour per week for a year to assist
servicemembers or family members who need these services. NMFA applauds
the spirit to help military families that drives these ventures and
believes that well-trained providers in these organizations can
supplement local support services available to family readiness groups
and unit rear detachment/party personnel, especially for isolated Guard
and Reserve units. However, we are concerned about the difficulties in
coordinating care provided outside the TRICARE system in case more
serious issues emerge and the patient must come back into the system.
While willing to see military beneficiaries in a voluntary status,
these providers often tell us they will not participate in TRICARE
because of what they believe are time-consuming requirements and low
reimbursement rates. More must be done to persuade these providers to
participate in TRICARE and become a resource for the entire system.
NMFA also believes a legislative change is needed to expand the
TRICARE provider base. Currently, by law, clinical social workers and
marriage and family therapists can independently treat TRICARE
beneficiaries for TRICARE-covered mental health conditions. Licensed
mental health counselors are professionals with master's or doctoral
degrees in counseling or a related discipline, training similar to that
of clinical social workers and marriage and family therapists. They
were excluded from the legislative authority to treat TRICARE patients
as independent providers and may only see TRICARE patients under the
supervision of a physician. This requirement increases the difficulty
for TRICARE patients in accessing care, limits their choice of
provider, and may, by providing an additional step in the process of
obtaining care, discourage beneficiaries from seeking care. A provision
to grant licensed mental health counselors independent practice
authority under TRICARE was included in the House version of the NDAA
for Fiscal Years 2006 and 2007, only to fall out of the final
conference versions. NMFA asks Congress to try again this year to
achieve this necessary change to expand the military medical facility
and TRICARE provider base by authorizing independent practice by
licensed mental health counselors.
NMFA continues to hear that some servicemembers and families feel
the stigma against seeking mental health care and choose to try to
``ride out'' the rough spots on their own. We believe, however, based
on our survey data and conversations with family members that the
increased stress caused by multiple deployments is causing more
families to seek help. While this increased stress in the military
family is bad news, the good news for family support professionals who
believe military families are reluctant to seek help for mental health
issues is that many now recognize counseling is an option for them.
Families perceive counseling and mental health support as especially
helpful if it is confidential and with a professional familiar with the
military. One spouse who met recently with General Pace in Alaska noted
what she felt she and her servicemember spouse needed most: ``When my
husband talks to me, I don't even know how to respond to some of the
things he says. If they can talk among themselves, without fear of
repercussion, maybe that would help.''
To measure the stigma associated with seeking behavioral health
care, the Army's Third Mental Health Advisory Team (MHAT) asked
soldiers five different questions. The team found that the number of
soldiers who agreed there was stigma associated with seeking this care
decreased significantly from MHAT I to MHAT III. While these findings
are encouraging, we include the persistent stigma as a barrier that
must still be addressed. Commanders must be engaged in this process to
model behaviors that promote the seeking of counseling and support.
Many mental health experts state that some post-deployment problems
may not surface for several months or years after the servicemember's
return. NMFA is especially concerned that not as many services are
available to the families of returning Guard and Reserve members and
servicemembers who leave the military following the end of their
enlistment. They may be eligible for transitional health care benefits
and TRICARE Reserve Select. The servicemember may seek care through the
Veterans' Administration, but what happens when the military health
benefits run out and deployment-related stresses still affect the
family? Reports of Vietnam and even World War II veterans showing up at
VA facilities in need of counseling after viewing news reports of the
war in Iraq remind all of us that PTSD and other mental health effects
of the war can linger for years, thus requiring the availability of
care for many years in the future. Congress must address not just the
current needs of the force and families, but also their long-term need
for continued access to services.
We ask Congress to also address the distance issues families face
in linking with military mental health resources and obtaining
appropriate care. Isolated Guard and Reserve families do not have the
benefit of the safety net of services provided by military treatment
facilities and installation family support programs, however strained.
They look to resources in their communities. Often, however, these
local providers may not have an understanding of military life or an
appreciation of the servicemember's choice to serve. Especially when
dealing with the mental health consequences of deployment, families
want to be able to access care with a provider who understands or is
sympathetic to the issues they face. More education to civilian health
care providers, as well as religious and education professionals, will
help to broaden the support base for military families and improve the
quality of the mental health services they receive. Alternative methods
for providing mental health services to rural areas should be explored,
such as telemental health.
In the sixth year of the war on terror, care for the caregivers
must become a priority. NMFA hears from the senior officer and enlisted
spouses who are so often called upon to be the strength for others. We
hear from the health care providers, educators, rear detachment staff,
chaplains, and counselors who are working long hours to assist
servicemembers and their families, known as compassion fatigue. Unless
these caregivers are also afforded a respite and care, they will be of
little use to those who need their services most.
NMFA also sees a need for specific training in bereavement and
other counseling for family readiness group leaders, ombudsmen, and key
volunteers. Many widows say they suddenly felt shut out by their old
unit or community after the death of their servicemember. Often the
perceived rejection is caused by a lack of knowledge on the part of
other families about how to meet the needs of the survivors in their
midst. Because they find contact with survivors difficult, they shy
away from it. In some communities, support groups outside the unit
family support chain have been established to sustain the support of
the surviving families in the days and months after the death of the
servicemember. As part of the standardization and improvement of the
casualty assistance process, more effort needs to be placed at the
command level on supporting the long-term emotional needs of survivors
and of communities affected by loss. The implementation of the Care
Team process on a broader scale not only supports survivors, but also
those community volunteers who bear the burden of support.
Because the VA has as part of its charge the ``care for the widow
and the orphan,'' NMFA was concerned about recent reports that many Vet
Centers did not have the qualified counseling services they needed to
provide promised counseling to survivors, especially to children. DOD
and the VA must work together to ensure surviving spouses and their
children can receive the mental health services they need. New
legislative language governing the TRICARE behavioral health benefit
may also be needed to allow TRICARE coverage of bereavement or grief
counseling. While some widows and surviving children suffer from
depression or some other medical condition for a time after their loss,
many others simply need counseling to help in managing their grief and
helping them to focus on the future. Many have been frustrated when
they have asked their TRICARE contractor or provider for ``grief
counseling'' only to be told TRICARE does not cover ``grief
counseling.'' Available counselors at military hospitals can sometimes
provide this service and certain providers have found a way within the
reimbursement rules to provide needed care, but many families who
cannot access military hospitals are often left without care because
they do not know what to ask for or their provider does not know how to
help them obtain covered services. Targeted grief counseling when the
survivor first identifies the need for help could prevent more serious
issues from developing later.
Many of the issues facing survivors also face servicemembers who
were wounded or injured and their families. Because many of these
servicemembers are medically retired and will continue to access
military health care benefits, in addition to VA assistance,
appropriate mental health services must be available in both systems to
them and their families. Counselors working with these families must
understand the effects of trauma and help them deal with the ongoing
challenges involved in the care of the servicemember, as well as the
upheaval that injury has caused to the family as a whole. Mental health
professionals must have a greater understanding of the effects of mild
Traumatic Brain Injury in order to help accurately diagnose and treat
the servicemember's condition. They must be able to deal with
polytrauma--PTSD in combination with multiple physical injuries.

DOD must balance the demand for mental health personnel in
theater and at home to help servicemembers and families deal
with unique emotional challenges and stresses related to the
nature and duration of continued deployments. Rear detachment
personnel and family readiness volunteers need mental health
professionals dedicated to assist them in supporting families
of the fallen and injured and others who may become overwhelmed
by the stresses of deployment. We ask Congress to encourage DOD
to step up the recruitment of uniformed mental health providers
and the hiring of civilian providers to assist servicemembers
in combat theaters AND at home stations to care for the
families of the deployed and servicemembers who have either
returned from deployment or are preparing to deploy. TRICARE
contractors should be tasked with stepping up their efforts to
attract mental health providers into the TRICARE networks and
to identify and ease the barriers providers cite when asked to
participate in TRICARE.

ACCESS TO HEALTH CARE

NMFA thanks members of these subcommittees for their continued
support for a robust military health care system. We ask you to
remember the multi-faceted mission of this system. It must meet the
needs of servicemembers and the Department of Defense (DOD) in times of
armed conflict. The Nation must also acknowledge that military members,
retirees, their families, and survivors are indeed a unique population
with unique duties, who earn an entitlement to a unique health care
program. We ask you to recognize that the military health care system,
which showed signs of stress even before the start of the global war on
terror, is now significantly taxed.
NMFA and the families it serves have been gratified to see the
medical improvements on the battlefield and in military hospitals,
which have raised the survival rate of casualties. NMFA asserts,
however, as we have done for several years, that access to care remains
the number one problem facing TRICARE beneficiaries, especially those
who depend on military treatment facilities (MTFs). We were dismayed,
but unfortunately not surprised, by the recent press reports
highlighting the problems wounded servicemembers face in accessing care
at Walter Reed Army Medical Center. As we have stated in previous
testimonies before the Personnel Subcommittee, military families often
cite problems accessing care at MTFs. What was particularly disturbing
to us was that we know families are willing to wait longer than they
should for care so that servicemembers can receive first priority.
Families have every right to be horrified, therefore, when they find
those who bear the scars of battle are having the same or worse access
issues.
Recent statements by the Service Surgeons General before the new
Task Force on the Future of Military Health Care highlighted the
funding problems facing the direct care system. These shortfalls are
experienced first-hand by military families enrolled in TRICARE Prime
when they find their MTF cannot meet prescribed access standards. No
one is more cognizant of the need for superior health care to be
provided to servicemembers in harm's way than their families. In
addition, no one is more willing to change providers or venues of care
to accommodate the need for military health care providers to deploy
than the families of those deployed. However, a contract was made with
those who enrolled in Prime. Beneficiaries must seek care in the manner
prescribed in the Prime agreement, but in return they are given what
are supposed to be guaranteed access standards. When an MTF cannot meet
those standards, appointments within the civilian TRICARE network must
be offered. In many cases, this is not happening and families are told
to call back next week or next month. In other cases, MTFs must send
enrolled beneficiaries to providers in the civilian network, thus
increasing costs to the system as a whole.
Because operational requirements have reduced the number of
uniformed health care personnel available to serve in the MTF system, a
more coordinated approach is needed to optimize care and enable MTFs to
meet access standards. We continue to hear that difficulties in the
Service contracting process prevent MTFs from filling open contract
provider slots and thus optimizing care within their facilities.
Efficient contracting for health care staffing could increase the
amount of care provided in the direct care system, thereby reducing the
overall cost of care to the military health care system. NMFA suggests
Congress direct DOD to reassess the resource sharing program used prior
to the implementation of the T-Nex contracts and take the steps
necessary to ensure MTFs meet access standards with high quality health
care providers.
MTFs must have the resources and the encouragement to ensure their
facilities are optimized to provide high quality, coordinated care for
the most beneficiaries possible. They must be held accountable for
meeting stated access standards. If funding or personnel resource
issues are the reason access standards are not being met, then
assistance must be provided to ensure MTFs are able to meet access
standards, support the military mission, and continue to provide
quality health care.

NMFA asks all Members of Congress to hold DOD accountable for
providing access to quality care to all TRICARE beneficiaries
and to ensure the system is adequately resourced to provide
that access.

HELP FOR FAMILIES FAR FROM HOME

NMFA is concerned with the inequity of health care options being
offered to pregnant spouses of servicemembers who are stationed at
remote embassies in Africa, Eastern Europe, Asia, and other overseas
areas. Appropriate medical care for the delivery does not exist at
their duty station. As their delivery date approaches, pregnant women
at remote sites in Africa and Eastern Europe are often sent to
Landstuhl Military Medical Center in Germany to await the birth of
their child. They may arrive as early as 6 weeks before their due date.
They are put up in the ``Stork's Nest''--a Visiting Officers' Quarters
in Landstuhl with other waiting mothers-to-be. If they have other
children, they must find care for them at their home station or bring
them with them at their own expense to Landstuhl. They endure a long
bus ride to the hospital for appointments and another long bus ride
back.
What's wrong with this picture? The wife of the ambassador, consul
or staffer working for the State Department can choose to go back to
the States at government expense and stay with family until the birth
of their child. So can military spouses who are stationed in Central
and South America. In some cases, spouses in other locations will
receive permission and funding to travel back to the states to have
their babies; however, families report no consistency in how the policy
is followed and who might be ``lucky'' enough to receive permission and
funding to go to the states. Until recently, NMFA had been told this
issue could be settled by policy within DOD Health Affairs. Now, we are
hearing legislation is needed to give pregnant military spouses the
choice of coming back to the states to have their child or staying
alone in Landstuhl at the Stork's Nest while they wait to deliver.

NMFA requests that Congress investigate the policy governing
OB care given military spouses in remote locations and require
that pregnant military spouses stationed in these locations be
given a choice as to where to deliver their children at
government expense.

SUPPORT FOR FAMILIES WITH SPECIAL NEEDS

NMFA is grateful to Congress for directing DOD, in Section 717 of
the NDAA for Fiscal Year 2007, to develop a plan to provide services to
military dependent children with autism. This complicated condition
places a burden on many military families. Unfortunately, current
TRICARE policies increase that burden because families cannot access
the care their children need. Frequent military moves make it difficult
for these children to receive a consistent level of services.
Deployment of a servicemember removes a caregiver from the home, making
managing therapy and doctors' appointments, negotiating with school
officials for suitable services, and caring for other children in the
family difficult for the parent remaining behind. In the NDAA for
Fiscal Year 2002, Congress authorized the Extended Care Health Option
(ECHO) to provide additional benefits to active duty with a qualifying
mental or physical disability in recognition of extraordinary
challenges faced by active duty families because of the servicemember's
deployment or frequent relocations that often make accessing services
in the civilian community difficult.
As we stated last year, families with autistic children reported
difficulties in obtaining Applied Behavioral Analysis (ABA) therapy
since the implementation of ECHO. We appreciate your support of section
717 and its recognition that DOD was not fulfilling its obligation to
these families. We thank Congress for requiring the Department to seek
family member input in developing its plan and are monitoring this
process closely. DOD sought parent input through a special e-mail
address and is also working with selected parents on aspects of the
plan. NMFA is also gathering additional input from parents, which it
has shared with the TRICARE Management Activity. We will be working to
ensure the concerns of these military servicemembers and spouses are
addressed in the plan. We also thank Service leaders, especially in the
Marine Corps, for their interest in this issue and in ensuring the plan
will be responsive to family and mission needs.
We remain concerned that military servicemembers with special needs
family members continue to battle a lack of information or support and
are often frustrated by the failure of the military health care and
family support systems to work together and with civilian agencies to
support their families' needs. Like the servicemembers featured in the
recent press reports of problems at Walter Reed, special needs military
families often experience a system that relies on them to connect the
dots and seek out resources rather than providing the care coordination
they need.

NMFA requests this subcommittee monitor DOD's development of
a plan to support military family members with autism and to
ensure servicemembers with special needs family members are
provided the support they need.

MILITARY MOVES

NMFA is gratified that Congress set a deadline in the NDAA for
Fiscal Year 2007 for DOD to implement the ``Families First'' program
for Permanent Change of Station (PCS) moves. This program is long
overdue. It will provide much needed protections to military families
entrusting their most precious possessions to movers, as well as full
replacement value reimbursement for goods lost or damaged in a move. We
implore you to continue to hold DOD's feet to the fire to deliver this
long awaited program for military families.
We also ask Congress to recognize that military spouses accumulate
professional goods over the course of a military career. Frequent moves
make it difficult to establish and maintain professional materials used
for a job or volunteer activities that will ultimately count against
the family's weight allowance when the time to move arrives. Military
members are permitted a professional goods weight allowance to
compensate for the computers, books, and equipment that must accompany
them from duty station to duty station. We request that spouses be
provided this professional courtesy as well.
Finally, a PCS move to an overseas location can be especially
stressful. Military families are faced with the prospect of being
thousands of miles from extended family and living in a foreign
culture. At many overseas locations, there are insufficient numbers of
government quarters resulting in the requirement to live on the local
economy away from the installation. Family members in these situations
can begin to feel extremely isolated; for some the only connection to
anything familiar is the local military installation. Unfortunately,
current law permits the shipment of only one vehicle to an overseas
location, including Alaska and Hawaii. Since most families today have
two vehicles, they sell one of the vehicles. Upon arriving at the new
duty station, the servicemember requires transportation to and from the
place of duty leaving the military spouse and family members at home
without transportation. This lack of transportation limits the ability
of spouses to secure employment and the ability of children to
participate in extra curricular activities. While the purchase of a
second vehicle alleviates these issues, it also results in significant
expense while the family is already absorbing other costs associated
with a move. Simply permitting the shipment of a second vehicle at
government expense could alleviate this expense.

NMFA requests that Congress ease the burden of military PCS
moves on military families by authorizing a professional goods
weight allowance for military spouses and by authorizing the
shipment of a second vehicle for families assigned to an
overseas location on accompanied tours.

WOUNDED SERVICEMEMBERS IN TRANSITION

As revealed in the series of articles about Walter Reed Army
Medical Center, post-deployment transitions to and from a variety of
DOD, VA, and civilian medical facilities and between military and
civilian life can be especially problematic for injured servicemembers
and their families. NMFA asserts that behind every wounded
servicemember is a wounded family. Spouses, children, parents, and
siblings of servicemembers injured defending our country experience
many uncertainties. Fear of the unknown and what lies ahead in future
weeks, months, and even years, weighs heavily on their minds. Other
concerns include the injured servicemember's return and reunion with
their family, financial stresses, and navigating the transition process
to the VA. The system should alleviate, not heighten these concerns,
and provide for coordination of care that starts when the family is
notified the servicemember has been injured and ends with the DOD and
VA working together to create a seamless transition as the injured
servicemember transfers from active duty status to veteran.
Interruption in their continuity of care can occur when the transfer of
medical records between the two health care systems does not occur
smoothly. The lack of a standardized DOD and VA electronic health
record prevents the seamless transfer of information, which effects the
quality of care given and received by wounded services members. NMFA
urges Congress to request status reports on DOD and VA's partnership
initiatives.
Traumatic Brain Injury (TBI) is the signature wound for Operation
Enduring Freedom and Operation Iraqi Freedom injured servicemembers.
Long-term effects and appropriate treatment for this condition have not
been adequately assessed. NMFA is concerned with DOD's decision to cut
funding for basic research by 9 percent and 18 percent for applied
research. Accurate diagnosis and proper treatment for TBI requires
forward leaning initiatives by DOD and VA founded on solid research.
When designing support for the wounded/injured in today's conflict,
the ``government''--whether in the guise of commander, noncommissioned
officer, Service personnel office, a family assistance center, an MTF,
or the VA--must take a more inclusive view of military families and
remember that a successful recovery depends on caring for the whole
patient and not just the wound. Those who have the responsibility to
care for the wounded servicemember must also consider the needs of the
spouse, children, and the parents and siblings of single
servicemembers. It is time to update TRICARE benefits to meet the needs
of this population by allowing medically-retired wounded servicemembers
and their families to retain access to the set of benefits available to
active duty families during a transitional period following the
servicemember's retirement. These benefits would include the ability to
enroll in TRICARE Prime Remote and to continue coverage of a disabled
family member under the ECHO.
In the past, the VA and the DOD have generally focused their
benefit packages for a servicemember's family on his/her spouse and
children. Now, however, it is not unusual to see the parents and
siblings of a single servicemember presented as part of the
servicemember's family unit. In the active duty, and Reserve
components, almost 50 percent are single. Having a wounded
servicemember is new territory for many families. Regardless if the
servicemember is married or single; their families will be affected in
some way by the injury. As more single servicemembers are wounded, more
parents and siblings must take on the role of helping their son,
daughter, sibling through the recovery process. Family members are an
integral part of the health care team. Their presence has been shown to
improve their quality of life and aid in a speedy recovery.
Spouses and parents of single servicemembers are included by their
husband/wife or son/daughter's Military command and their family
support and readiness groups during the deployment. When that
servicemember is wounded, their involvement in their loved one's life
does not change. Spouses and parent(s) take time away from their jobs
in order travel to Walter Reed Army Medical Center or the National
Naval Medical Center at Bethesda to be by their loved one. They learn
how to care for their loved one's wounds and navigate an often
unfamiliar and complicated health care system.
The DOD and each military Service have developed unique programs to
assist wounded servicemembers and their families: US Army Wounded
Warrior Program (AW2), the Marine For Life (M4L), the Navy Safe Harbor,
Air Force's Palace HART and the DOD Military Severely Injured Center
(MSIC). When working well, these programs deliver information and
provide support services for the injured and their families while still
on active duty status. NMFA thanks the Services and the DOD for their
efforts, but believes more must be done to ensure these programs are
working the way they were intended to meet the needs of the growing
number of wounded servicemembers and their families. The role of the
DOD and the VA must be clearly explained and delineated and joint
efforts between the Services and the VA in support of the wounded
servicemember and their families continue as a priority.
Because the increased number of wounded and the severity of wounds
have strained Service programs, NMFA believes the Service wounded
servicemember programs must be augmented with expanded case management
support. A case manager could provide individual assistance for a
wounded servicemember and their family while moving between the DOD to
the VA health care systems. These individuals must have an
understanding of the unique aspects presented in these cases, such as
DOD and VA health care systems, eligibility for benefits and services,
and the wounded servicemember's individual health care needs.
To support wounded and injured servicemembers and their families
NMFA recommends Congress:

Extend the 3-year transitional survivor health care
benefit to servicemembers who are medically retired and their
families and direct DOD to establish a Family Assistance Center
at every MTF caring for wounded servicemembers.
Allow for the wounded servicemember and family to have
input into the location of rehabilitation and recovery care.
The health care team would provide alternative sites, other
MTFs, VA hospitals, and civilian center of excellence in which
to choose. The wishes/desires of the wounded servicemember must
be kept in mind (i.e. close to home) along with a discussion of
the potential positive/negative aspects each place offers for
treatment and care.
Create a ``case manager'' assigned to individual
wounded servicemembers and their families to assist in the
coordination of care during recovery and rehabilitation phases
and transition from active duty to veteran status.
Establish requirements for ``case workers'' to be
familiar with the unique aspects presented with these cases and
receive standardized training to aid in maintaining the
continuity of care and improve the servicemember's quality of
life.
Remove the TGSLI disparity for eligible servicemembers
enabling all those who served in support of OIF and OEF
regardless of location after October 1, 2001 receive this
benefit.

PAY AND COMPENSATION CHALLENGES

NMFA thanks members of these subcommittees for their recognition
that servicemembers and their families deserve a comprehensive benefit
package consistent with the extraordinary demands of military service.
We ask you to continue to evaluate changing circumstances that may
diminish the value of that package and threaten the retention of a
quality force. We also ask you to recognize the interaction between the
various elements of the compensation package and how they affect
families' eligibility for certain state and Federal programs.
Despite regular annual pay increases, in addition to targeted
raises, over the past several years, military pay for some
servicemembers still lags behind civilian pay. NMFA recommends a pay
increase of not less than 3.5 percent for fiscal year 2008. We further
urge that future increases remain at least one-half percentage point
above private sector pay growth until the estimated 4 percent pay gap
is eliminated.

MILITARY ALLOWANCES AND SAFETY NET PROGRAMS

In congressional testimony since 2003, NMFA has raised a long-
standing frustration for military families: the confusion involved in
how and when military allowances are counted to determine eligibility
for military and civilian programs. NMFA again reinforces the need for
Members of Congress, as well as state officials, to assist in bringing
a sense of order in how military allowances are counted for Federal and
state programs. We ask you to help ensure equitable access to these
safety net services and protect families against disruptions in benefit
eligibility caused by the receipt of deployment pays. No family should
have to face the prospect of losing valuable benefits for a disabled
child because a servicemember has received deployment orders.
Families living off the installation are often there only because
of insufficient on-base housing, yet endure higher expenses than
families living on an installation. Ideally, therefore, NMFA believes
tax free allowances such as BAH should not be counted under any safety
net program, which is how they are now treated in determining
eligibility for the Earned Income Tax Credit (EITC). NMFA understands
this could increase the number of military families eligible for some
of these programs, but believe this increase is justified given the
need for equitable treatment of all servicemembers, as well as the loss
of spouse income due to military relocations and high operations tempo.

Inconsistent treatment of military allowances in determining
eligibility for safety net programs creates confusion and can
exact a financial penalty on military families. A start in
correcting this inequity would be to adopt a common standard in
how BAH should be counted in eligibility formulas and to ensure
that the receipt of deployment-related allowances do not cause
military family members to become ineligible for support
services, such as the Supplemental Security Income (SSI), for
which they would otherwise be eligible.

COMMISSARIES AND EXCHANGES

The commissary is a key element of the total compensation package
for servicemembers and retirees and is valued by them, their families,
and survivors. NMFA surveys indicate that military families consider
the commissary one of their most important benefits. In addition to
providing average savings of more than 30 percent over local
supermarkets, commissaries provide an important tie to the military
community. Commissary shoppers get more than groceries at the
commissary. They gain an opportunity to connect with other military
family members and to get information on installation programs and
activities through bulletin boards and installation publications.
Finally, commissary shoppers receive nutrition information and
education through commissary promotions and educational campaigns
contributing to the overall health of the entire beneficiary
population.
The military exchange system serves as a community hub, in addition
to providing valuable cost savings to members of the military
community. Equally important is the fact that exchange system profits
are reinvested in important Morale Welfare and Recreation (MWR)
programs, resulting in quality of life improvements for the entire
community. We believe that every effort must be made to ensure that
this important benefit and the MWR revenue is preserved, especially as
facilities are down-sized or closed overseas. Exchanges must also
continue to be responsive to the needs of deployed servicemembers in
combat zones.

TRICARE FEES--WHAT'S THE ANSWER?

Last year's proposal by DOD to raise TRICARE fees by exorbitant
amounts resonated throughout the beneficiary population. Beneficiaries
saw the proposal as a concentrated effort by DOD to change their earned
entitlement to health care into an insurance plan. NMFA appreciates the
concern shown by Members of Congress last year in forestalling any
premium increase, emphasizing the need for the Department to institute
more economies, and suggesting further investigation of the issue
through a report by the Government Accountability Office and the
creation of a task force on the future of military health care. We
appreciate your recognition of the need for more information about the
budget assumptions used by DOD, the effects of possible increases on
beneficiary behavior, the need for DOD to implement greater
efficiencies in the Defense Health Care Program (DHP), and the adequacy
of the DHP budget as proposed by DOD. We appreciate the continued
Congressional oversight responsibilities of these issues, but ask for
your help in avoiding a funding train wreck that could impede military
families' access to quality care. NMFA urgently requests that Congress
reinstate the $1.9 billion deducted by DOD from the budget proposal for
the Defense Health Program to reflect its savings due to their proposed
policy initiatives, such as increased TRICARE fees.
As we stated last year, NMFA believes DOD has many options
available to make the military health system more efficient and thus
make the need for large increases in beneficiary cost shares
unnecessary. NMFA urges Congress to request status reports on DOD's
implementation of the cost-cutting measures included in recent NDAAs
and to ensure the Department is exhausting all reasonable measures of
economy prior to seeking beneficiary fee increases. We encourage DOD to
implement cost saving measures such as: a systemic approach to disease
management; an ongoing, aggressive marketing campaign to increase use
of the TRICARE Mail-Order Pharmacy (TMOP); eliminating contract
redundancies; delaying the re-competition of the TRICARE contracts;
speeding implementation of the Uniform Formulary process; and
optimizing MTFs.
NMFA remains especially concerned about what we believe is DOD's
continued intention to create a TRICARE Standard enrollment fee. The
precursor to TRICARE Standard, the basic benefit provided for care in
the civilian sector, was CHAMPUS, which was then, as TRICARE Standard
is now, an extension of the earned entitlement to health care. Charging
a premium (enrollment fee) for TRICARE Standard moves the benefit from
an earned entitlement to an opportunity to buy into an insurance plan.
Standard is the only option for many retirees, their families, and
survivors because TRICARE Prime is not offered everywhere. Also, using
the Standard option does not guarantee beneficiaries access to health
care, which beneficiaries opting to use Standard rather than Prime
understand. DOD has so far not linked any guarantee of access to their
proposals to require a Standard enrollment fee.
In the ongoing debate about whether or not to raise TRICARE
beneficiary fees, NMFA believes it is important for everyone
participating in that debate to understand the difference between
TRICARE Prime and TRICARE Standard and to distinguish between creating
a TRICARE Standard enrollment fee and raising the Standard deductible
amount. TRICARE Prime has an enrollment fee for military retirees;
however, it offers enhancements to the health care benefit. These
enhancements include: lower out-of-pocket costs, access to care within
prescribed standards, additional preventive care, assistance in finding
providers, and the management of one's health care. In other words,
enrollment fees for Prime are not to access the earned entitlement, but
for additional services. These fees, which have not changed since the
start of TRICARE, are $230 per year for an individual and $460 per year
for a family.

------------------------------------------------------------------------
Prime Standard
------------------------------------------------------------------------
Enrollment fees................. $230/year for an None
individual; $460/
year for a family.
Annual Deductibles.............. None.............. $150/individual;
$300 for a family
Outpatient co-payment (Prime)/ $12............... 25 percent of
cost share (Standard) for allowed charges
individual providers. 1,2
Inpatient co-payment/cost share None.............. 25 percent of
for individual providers. allowed charges
1,2
Daily inpatient hospitalization Greater of $11 per Lesser of $535/day
charge. day or $25 per or 25 percent of
admission. billed charges if
treated in non-
network hospital
3
Emergency Services co-payment/ $30............... 25 percent of
cost share. allowed charges
Ambulance Services co-payment/ $20............... 25 percent of
cost share. allowed charges
Preventive Examinations (such None.............. 25 percent cost
as: blood pressure tests, share 1,2
breast exams, mammograms,
pelvic exams, PAP smears,
school physicals) co-payments/
cost shares.
------------------------------------------------------------------------
\1\ Providers may charge 15 percent above the TRICARE allowable and the
beneficiary is responsible for this additional cost, making the
potential cost share 40 percent.
\2\ If care is accessed from a TRICARE Prime/Extra network provider the
cost share is 20 percent.
\3\ If care is received in a TRICARE Prime/Extra network hospital, the
daily hospitalization rate is the lesser of $250/day or 25 percent of
negotiated charges.
(For a more detailed comparison of TRICARE costs, go to: http://
www.tricare.mil/tricarecost.cfm)

DOD's proposal last year to increase TRICARE Prime enrollment fees,
while completely out-of-line dollar wise, was not unexpected. In fact,
NMFA had been surprised DOD did not include an increase as it
implemented the recent round of new TRICARE contracts. While increases
were at least temporarily forestalled by Congress last year, NMFA
believes DOD officials continue to support large increased retiree
enrollment fees for TRICARE Prime, combined with a tiered system of
enrollment fees and TRICARE Standard deductibles. NMFA believes any
tiered system would be arbitrarily devised and would fail to
acknowledge the needs of the most vulnerable beneficiaries: survivors,
wounded servicemembers, and their families.
Acknowledging that the annual Prime enrollment fee has not
increased in more than 10 years and that it may be reasonable to have a
mechanism to increase fees, NMFA last year presented an alternative to
DOD's proposal should Congress deem some cost increase necessary. The
most important feature of this proposal was that any fee increase be no
greater than the percentage increase in the retiree cost-of-living
adjustment (COLA). If DOD thought $230/$460 was a fair fee for all in
1995, then it would appear that raising the fees simply by the
percentage increase in retiree pay is also fair. NMFA also suggests it
would be reasonable to adjust the TRICARE Standard deductibles by tying
increases to the percent of the retiree annual COLA.
NMFA is dismayed DOD has taken only small steps to encourage
migration to the TMOP. Its marketing effort to promote the use of the
TMOP came only after NMFA and other associations raised the issue in
congressional testimony last year in their push for the implementation
of significant cost-saving measures prior to any increase in TRICARE
fees. Promoting use of the TMOP makes sense, as it provides significant
savings to beneficiaries as well as huge savings to the Department. If
some additional cost share for the TRICARE Retail Pharmacy (TRRx) is
instituted, NMFA believes it should not be implemented until all of the
medications available through TRRx are also available through TMOP.
Finally, it is well understood, and NMFA has no great argument with the
premise, that the process of establishing a Uniform Formulary was to
provide clinically appropriate drugs at a cost savings to the
Department. We believe information must be gathered to determine if the
Uniform Formulary process is meeting the desired goals.

NMFA believes tying increases in TRICARE enrollment fees to
the percentage increase in the retiree COLA is a fair way to
increase beneficiary cost shares should Congress deem an
increase necessary. We encourage Congress to direct DOD to
continue efforts to gain real efficiencies, improve the quality
of care, and access. NMFA requests the Government
Accountability Office be asked to conduct a review to see if
the Uniform Formulary process is producing the savings
projected and the extent, if any, beneficiaries believe they
have been denied medications they and their provider believe
would be more clinically appropriate for them.

SURVIVORS

Recently, a story in the Washington Post raised concerns about some
of the difficulties families encounter in the awarding of survivor
benefits to the children of single servicemembers. NMFA has always
emphasized that servicemembers and families must understand there is a
package of survivor benefits. The death gratuity was originally
intended to act as a financial bridge, to help with living expenses
until other benefits such as the Dependency and Indemnity Compensation
(DIC) payment, the Survivor Benefit annuity, and Social Security
benefits begin to be paid. The Servicemembers Group Life Insurance
(SGLI), is, as its name implies, an insurance. The death gratuity is
not an insurance payment, even though its $100,000 payment is bigger
than many civilian life insurance plans. Servicemembers may thus regard
it as just another insurance plan.
As the law is currently written, the death gratuity must be awarded
to the next of kin. The servicemember may designate multiple
beneficiaries for the SGLI. If the parent or sibling of a servicemember
is named as the single beneficiary or one of multiple beneficiaries,
there is no stipulation in the SGLI regarding the use of that money for
any particular purpose. It is of utmost importance, in light of the
increased value of the survivor benefits, that the servicemember be
informed about the difference between the death gratuity and the SGLI
payment. It is also important that servicemembers and their families
discuss the implications and disposition of these payments, especially
when there is a minor child involved. With the increased amount of
survivor benefits, it is incumbent upon single servicemembers with
children or dual servicemember couples with children to create not only
a family care plan, but an estate plan as well.
NMFA is concerned that the legal necessities of appointing a
guardian for a minor child upon the death of their single servicemember
parent may cause a delay in accessing the death gratuity at a time when
the family may need this bridge payment the most. Legislation to change
the way the death gratuity is awarded must meet two goals: preserving
the intent of the death gratuity as a payment to assist with immediate
financial needs following the death of the servicemember AND protecting
the benefits due the minor child. NMFA would support legislation to
allow the designation of a parent or sibling of the servicemember as
the recipient of a portion of the death gratuity payment if there is a
guarantee the payment would be used as that financial bridge for the
minor child until other benefits are awarded, with the remainder placed
in trust for the child. The protection of the financial future of the
child is paramount. If the servicemember wants to provide for other
family members, the proper mechanism is to designate those family
members as beneficiaries of all or part of the SGLI.
NMFA appreciates the work being done by DOD and the Services to
provide training to casualty assistance officers and to make sure
survivors are receiving accurate information in a timely manner. The
survivor guide published by DOD and available on-line, A Survivor's
Guide to Benefits: Taking Care of Our Own, has already been updated
several times as new benefits were implemented or needs for information
identified. The Army set up the Families First Casualty Call Center,
recently renamed Long Term Family Case Management (LTFCM), a one stop
resolution center to assist surviving family members with questions
concerning benefits, outreach, advocacy and support. This call center
is available for immediate and extended family members. The DOD/VA
committee on survivors is still meeting and reviewing concerns as they
arise. NMFA has surfaced concerns from family members who have reached
out to us and have been pleased at the response of all the specific DOD
and Service casualty assistance offices to these families.
Unfortunately, we still occasionally hear of widows or parents who
still do not know who to call when there is a concern.
NMFA still believes the benefit change that will provide the most
significant long-term advantage to the financial security of all
surviving families would be to end the DIC offset to the Survivor
Benefit Plan (SBP). Ending this offset would correct an inequity that
has existed for many years. Each payment serves a different purpose.
The DIC is a special indemnity (compensation or insurance) payment paid
by the VA to the survivor when the servicemember's service causes his
or her death. It is a flat rate payment of $1,067 for the surviving
spouse and $265 for each surviving child. The SPB annuity, paid by DOD,
reflects the longevity of the service of the military member. It is
ordinarily calculated at 55 percent of retired pay. Military retirees
who elect SPB pay a portion of their retired pay to ensure that their
family has a guaranteed income should the retiree die. If that retiree
dies due to a service connected disability, their survivor becomes
eligible for DIC.
Four years ago, survivors of servicemembers killed on Active Duty
were made eligible to receive SBP. The amount of their annuity payment
is calculated as if the servicemember was medically retired at 100
percent disability. The equation is the basic pay times 75 percent
times 55 percent. The annuity varies greatly, depending on the
servicemember's longevity of service.
Surviving Active Duty spouses can make several choices, dependent
upon their circumstances and the ages of their children. Because SPB is
offset by the DIC payment, the spouse may choose to waive this benefit
and select the ``child only'' option. In this scenario, the spouse
would receive the DIC payment and the children would receive the full
SBP amount until each child turns 18 (23 if in college), as well as the
individual child DIC until each child turns 18 (23 if in college). Once
the children have left the house, this choice currently leaves the
spouse with an annual income of $12,804, a significant drop in income
from what the family had been earning while the servicemember was alive
and on Active Duty. The percentage of loss is even greater for
survivors whose servicemembers served longer. Those who give their
lives for their country deserve more fair compensation for their
surviving spouses. We urge Congress to intensify efforts to eliminate
this unfair ``widow's tax'' this year.
NMFA believes several other adjustments could be made to the SBP.
These include allowing payment of SBP benefits into a trust fund in
cases of disabled children and allowing SBP eligibility to switch to
children if a surviving spouse is convicted of complicity in the
member's death.
NMFA applauds the enhancement of medical benefits included in the
NDAA for Fiscal Year 2006 making surviving children eligible for full
medical benefits to age 21 (or 23 if they are enrolled in college)
bringing them in line with the active duty benefit for dependent
children. To complete the benefit package we ask Congress to allow
surviving children to remain in the TRICARE Dental Program until they
age out of TRICARE and, in cases where the surviving family had
employer-sponsored dental insurance, treat them as if they had been
enrolled in the TRICARE Dental Program at the time of the
servicemember's death.

NMFA recommends that surviving children be allowed to remain
in the TRICARE Dental Program until they age out of TRICARE
eligibility. NMFA recommends the DIC offset to SPB be
eliminated to recognize the length of commitment and service of
the career servicemember and spouse and relieve the spouse of
making hasty financial decisions at a time when he or she is
emotionally vulnerable. The surviving children of single
servicemembers who die on active duty require special
protections to ensure the proper financial disposition of the
enhanced survivor benefits. NMFA asks Congress to provide the
proper protections for the child(ren) if allowing a guardian to
receive the death gratuity and to remember the original intent
of the death gratuity payment was to serve as a financial
bridge until the initiation of the payment of the survivors'
benefits.

STRONG FAMILIES--STRONG FORCE

Higher stress levels caused by open-ended and multiple deployments
require a higher level of community support. We ask Congress to ensure
a consistent level of resources to provide robust quality of life,
family support, and the full range of preventative and therapeutic
mental health programs during the entire deployment cycle: pre-
deployment, deployment, post-deployment, and in that critical period
between deployments.
Military families share a bond that is unequaled in the civilian
world. They support each other through hardship, deployments, PCS
moves, and sometimes, the loss of a loved one. The military community
is close knit and must be so. It is imperative our Nation ensure the
necessary infrastructure and support components are in place to support
families regardless of where they happen to be located geographically.
More importantly, we ask you and other Members of Congress to ensure
that the measures undertaken today in the interest of cutting costs and
improving efficiency do not also destroy the sense of military
community so critical to the successful navigation of a military
lifestyle.
Educating families on what support is being provided helps reduce
the uncertainty for families. Preparation and training are key in
reaching families and making sure they are aware of additional
resources available to them. While NMFA appreciates the extraordinary
support that was made available to address the special needs of the
families during deployment extensions and the recent ``Surge'', our
Nation must ensure this level of support is available to all families
day in and day out. Military family support and quality-of-life
facilities and programs require dedicated funding, not emergency
funding. Military families are being asked to sustain their readiness.
The least their country can do is make sure their support structure is
consistently sustained as well. Strong families equal a strong force.
Family readiness is integral to servicemember readiness. The cost of
that readiness is an integral part of the cost of the war and a
national responsibility. We ask Congress to shoulder that
responsibility as servicemembers and their families shoulder theirs.

Senator Ben Nelson. Thank you.
I want to personally thank all of you for being here,
sharing your experiences, because they are not simply unique,
but they're terribly important for us to understand as we look
at the family part of the service. So, I just want to thank you
for your articulate presentations of your experiences.
I'm going to ask my colleague, Senator Akaka, to start with
the questions again.
Senator Akaka. Thank you very much, Mr. Chairman.
I, too, want to echo what you just said about responses to
the statements that have been made. We wanted to hear directly
from you and people who have the experience.
My first question is to Mrs. Hall. I would say that I would
invite other witnesses to comment, if they wish. But because
you were a dependent of a servicemember, growing up, and before
becoming a servicemember yourself, and a military spouse later
in life, whether you feel the stresses military families are
facing today are new or unique, or are today's challenges
similar in mind, though perhaps not in degree, to the stresses
you have seen throughout your lifelong connection with the
military? In other words, do we have new problems now which
require new solutions, or are you seeing the same issues now
that you have seen before, in which case we should expect that
we should have effective family support programs in place?
Mrs. Hall. Thank you for your question, Senator.
Of course, I'm a parent now, and I didn't used to be, when
I was a military brat, and that makes these issues feel more
pertinent. But my perception is that the OPTEMPO is higher, and
the need is greater, and it feels much more pertinent for
family support than even when I was Active Duty, several years
back, not even going back to my childhood, but just from my
early adult years. The need for good, solid family support to
meet the OPTEMPO that we're at right now feels more pertinent
than ever, sir.
Senator Akaka. Does anyone want to comment on that?
Mrs. Piacentini. I would, Senator Akaka.
Senator Akaka. Yes.
Mrs. Piacentini. I was also raised in the military. My
mother had a great support system with the spouses around her.
She became a great mentor for those around her. But she didn't
face, again, the OPTEMPO that our soldiers are facing. My
father, of course, was through the second World War, Korean
War, the Cold War, and Vietnam. But the OPTEMPO was different,
and I think that our families now, especially engaging so many
Reserve and Guard members, the resources are not there for them
to maintain and be successful military families.
So, I feel it's much more difficult now, even with a lot of
the Internet resources. People are still people, they still
need other people to communicate with to get the information
that they need.
Senator Akaka. Thank you for that, Ms. Piacentini.
I would--and, as I mentioned in my opening statement, I
wanted to know your feelings about involving a community,
whether caring for military families is strictly the role of
DOD and the military Services, or is there not also a role for
the larger civilian community as citizens, and especially in
cities and counties with military installations as neighbors.
Ms. Raezer, you did mention the community in your
testimony, and you quote a master chief petty officer who used
the phrase, ``self-reliant, yet well-connected.'' So, let me
start with you.
Are the issues we are discussing today issues the DOD,
Congress, the military families, and groups like yours should
solve by taking care of their own, or is there a role for the
larger community? Do we need more help from the rest of our
fellow citizens? Do military families want more help from their
fellow citizens?
Ms. Raezer. Senator Akaka, the military community does a
wonderful job of taking care of its own. These spouses here are
a good example of military families taking care of their own.
But military families, to us, are our Nation's families.
Military children are our Nation's children. Military families
are a part of the greater community. Most of our military
families live off the installation. Our Guard and Reserve folks
are scattered throughout the Nation. Over 80 percent of our
military children go to civilian public schools. We need those
schools to embrace our children, and they have.
One of the initiatives that our association has praised is
DOD's America Supports You Program that highlights all of those
community organizations, corporations, kids groups, mom-and-pop
initiatives to support our troops. I talk to families. These
outpourings of support, the help, whether it's quilts, whether
it's people having a bake sale to support families and buy
phone cards, it means a lot, because our military families are
part of this Nation, and they want to feel that the rest of the
Nation is behind what they do. Whether or not they agree with
the war, they are that connection with our larger community,
and they need that connection with the larger community. So,
it's our responsibility, as a Nation, to reach out to these
folks.
Senator Akaka. Let me ask another question.
Senator Ben Nelson. Sure.
Senator Akaka. Military families have some unique
challenges in financial planning--and that was mentioned, too--
especially during deployments, when the servicemembers'
allowances go up, but so do the families' expenses. You also
mentioned the words ``predatory lenders.'' This is especially
true for Guard and Reserve families who may see their health
care coverage change, depending on the deployment status.
Recently, I organized a seminar on financial planning
assistance just for military families in Hawaii. With an
admiral, we worked this out, and it was a huge success. We had
a huge turnout, which confirmed my belief that there is a big
demand for help in managing finances.
Do you have access to quality financial planning assistance
from people who are familiar with both best practices in this
area, as a whole, as well as the unique issues military
families face?
Mrs. Piacentini, let me start with you on that, because as
a Reserve component family, you may not have had the support
structure an Active Duty installation provides. Would you make
some comment about this?
Mrs. Piacentini. Well, absolutely. Since we are so
geographically dispersed, we don't have access to military
installations that often. Some areas do, but, for the most
part, we don't, and we have to rely on our Family Programs
Offices to send out that information. They would have
deployment briefings, where they would bring in the financial
experts to the units to educate those that would attend. But,
for the most part, so many of them wouldn't attend, because
there's a part of them that's in denial as to the fact that
they're soldiers being mobilized and deployed. They just don't
always--at the time that you have the resources, they're not
always there to take the information in. Unfortunately, we
don't have that continual follow-up to reinforce, all the time.
The smaller communities embrace the military, I have found,
in a much larger way throughout the community than larger
communities. Because they are small, they know their people and
they take care of them from all areas. So, the Army Reserves,
unfortunately, we don't always connect often enough with
those--and we do need the resources out there.
Senator Akaka. Thank you.
Mr. Chairman?
Senator Ben Nelson. Thank you, Senator Akaka.
I want to ask a question about Military OneSource. I've
been told it's a very valuable resource, and it's accessible by
military families, no matter where they're located or what
Service they belong to. NMFA reports that Military OneSource is
underutilized by military families. Ms. Raezer's already told
us that. So, Ms. McDonald, have you used Military OneSource, or
is it part of the tools that you use with your fellow spouses?
Mrs. McDonald. It's absolutely part of the kit bag, but I
don't dial for them. I do reference. We have military life
consultants on Fort Hood, who use it as a reference, as well. I
will tell you--I have a chart in front of me that can break
down for you what kind of calls I get, but I'll tell you that
what I'm impressed with the chart is that not as many of them
are about deployment questions as they are about living-life
questions. Some of them, healthcare; some of them, mental
healthcare. Where they get referenced is not necessarily a
phone call and I reference Military OneSource; it's when
Specialist Jones' wife gets a success story for herself, and
she tells Specialist Smith's wife that she had a success. So,
it's mouth-to-mouth marketing on Military OneSource.
Flooding the market with information is absolutely the
first step, but confidence in the program is the second step,
and that happens customer-to-customer. I think the senior
leadership is very aware of it and references it often, but I
think it's actually kind of an impressive thing that you can
call them, from how to look for scholarships to how to change
your tire in a rainstorm on the highway by yourself. It's an
impressive program. I will tell you that I agree that it's
underutilized, but I think as we continue with this, it's going
to be mouth-to-mouth-to-mouth-to-mouth success stories that is
going to make the next person call.
Senator Ben Nelson. Thank you.
Ms. Sumrall, you're stranded, by comparison. Have you had
any experience with Military OneSource?
Mrs. Sumrall. As a matter of fact, I have. Military
OneSource is probably the most often-mentioned resource that
some of these parents that have been e-mailing me have said,
``I'm unable to, because of, I'm not close to my son or my
daughter's unit to be able to participate in their family
readiness group,'' and, even though they try and do this via e-
mail, to stay in touch, they have been going onto Military
OneSource, because the word has gotten out--the Guard really
pushes Military OneSource--and they've been able to access a
lot of different things, and they're really, I think, intrigued
by the fact, just like Connie said, that we have, if you need
to find somebody to groom your dog, you can go on there and do
that.
I was in a meeting recently with Secretary Hall and some of
the senior Reserve component spouses, and he asked, he said,
``Well, is it true that they have to answer by the third
ring?'' So, we tested it, and, sure enough, the phone was
answered by the third ring.
I would say it's a valuable resource, especially for Guard,
where you have people who are in isolated communities.
Senator Ben Nelson. Thank you.
Anybody else have a comment about it, Military OneSource,
or a different experience?
Mrs. Piacentini. I've not used it, but I talk to many
individuals who have, and they've appreciated the fact that
they have it available to them.
Senator Ben Nelson. Ms. Raezer?
Ms. Raezer. What we hear from families who have used
OneSource is that they've been very satisfied. We still
encounter families who have never heard of it or have not used
it. We haven't seen usage numbers in a while, but that may be
something you could ask the Services for, for the record,
because it's a wonderful resource. The marketing seems to go
slow, and I think a lot of folks don't realize it's there.
I think it's interesting, in terms of some of the things
that folks have talked about, that people use it, and that gets
back to that bedrock support for families. It might not be a
deployment question that's prompting them to call, this time,
for Military OneSource, it may be just that life-skill issue.
But if the deployed spouse is the one who handled the life-
skill issue, who handled finding the vet for the dog when
you've moved, then having that resource for that family is very
important. If they're satisfied with finding the dog groomer,
they may call back when they have another deployment-related or
more serious problem. So, we encourage folks to use it, but
continue to be disappointed that we still hear from many
families who don't know about it.
Senator Ben Nelson. I hope you'll share that number with me
before I leave.
Mrs. Hall. I just wanted to say, I knew about it, as well,
when my husband recently deployed. I knew about it. I was
briefed on it shortly before he went, and not this deployment,
but previously, I had gone online, and surfed around and
checked it out, and see it as a great resource. I'm inclined to
think that perhaps younger troops, who are more used to getting
information by surfing for it, might be more interested in it
and more excited about it. [Laughter.]
Senator Ben Nelson. Better than the yellow pages,
sometimes, huh? [Laughter.]
Senator Ben Nelson. I've been hearing that there are--and
you've all mentioned--money shortfalls in military services,
resulting in cutting funds, in some cases, for family programs
on military installations.
Ms. McDonald, have you noticed any cutbacks at Fort Hood?
Mrs. McDonald. Sure. [Laughter.]
Senator Ben Nelson. Okay.
Mrs. McDonald. It's the Army's largest installation. I'm
sure I am going to see them.
I came into Fort Hood as a new person. In 27 years, we
had--well, in 26 years, we hadn't been at Fort Hood, so I come
in with a lot of experience as an Army spouse, but it is a new
place to me. So, I guess, coming in with new eyeballs, it adds
a good thing to it.
Some of the cuts--the intent is that families don't see the
cuts, but what I do is, as a volunteer who has worked with
family programs, so I'm in there with them, and the staff
members, if you reference something that you knew was there
before as a volunteer, and the answer is, ``Oh, we can no
longer get that,'' or, ``We don't have a staff member who does
that anymore. Someone else has taken on that hat,'' my
concern--big word, ``my'' concern--is that the ACS staff
members are wearing way too many hats for the one person that
they may be. We have a lot of one-person programs that need to
be deeper. As you're getting into--and with that become--bless
their hearts, they're in there. I mean, they have a heavy
rucksack, and they refuse to put it down, but they're starting
to droop. As volunteers come in, they have the same thing,
they're living it and breathing it personally, and then coming
in to help the programs that help folks like themselves. With
that, I can definitely see it, but I think I see it maybe a
little quicker than someone who's coming in to use the program,
because they're coming in to use the program, and, as soon as
they walk in the door, they're greeted, their questions are
answered, I'm in the wings and can see what's going on behind
stage. Yes, I see the cuts. They're definitely there.
Senator Ben Nelson. Is that just generally what your
thoughts are, as well, the rest--anyone else like to comment on
it?
Ms. Raezer. Our installation volunteers from across all the
Services report things such as Mrs. McDonald mentioned, the
Family Center staff that's not replaced when somebody leaves,
so that people are wearing multiple hats, cutbacks in
janitorial services and routine maintenance, and hours that are
changed or diminished. When you're dealing with communities
under as much stress as our communities are under, that can be
very hard for a community.
Senator Ben Nelson. Well, I think Senator Akaka has some
other questions. As the co-chair here today, I'm going to turn
it over to him, because I have to be somewhere else at 6 p.m.
I want to thank all of you for being so frank and candid,
but also want to thank you for your service, and for your
spouses' service, as well. The American people support our
military, and we want to be sure that the budget and the
resources reflect that, as well as the attitude of the American
people. There probably is no better way to do it than to be
sure that the resources are there, and that the programs are
there for families, that the compensation is appropriate for
families. We're committed, with the Readiness and Management
Support and the Personnel Subcommittees, to do our very best to
get that done.
Thank you very much, and may God bless you and keep you,
and thank you, as I walk out the door here.
Thank you. It's all yours.
Senator Akaka [presiding]. Yes. Let me say, thank you very
much, Chairman Nelson, for agreeing to hold this hearing and
for creating it so that it has been such a success, at this
time. So, thank you very much, Ben.
I just have a few questions. This is something that has
been on my mind, and this has to do with mental health
counseling and the stigma that's attached to it. I would like
to ask any of you who can respond, do you think servicemembers,
spouses, or dependents feel free to seek mental health
counseling when they need it, or is there still a stigma in our
society, or in our military culture, that inhibits people from
asking for this kind of help?
Mrs. McDonald. At Fort Hood, where----
Senator Akaka. Ms. McDonald?
Mrs. McDonald.--I should tell you that Fort Hood puts the
``hoo'' in ``hooah.'' [Laughter.]
We have military life--Military Family Life Counselors. We
call them MFLCs. Of course, we can't use regulars, we have to
create an acronym. But--and we have a pilot program at Fort
Hood, as well, on coaching young families, that's come in. Both
of those are nonmedical models for support and counseling.
I will tell you that the answer--I would love to tell you,
Senator Akaka, the answer is simple on that, but I think it's
as varied as our military families themselves are. I don't
think it's the stigma within the military community alone. It
will also be the stigma that may--they have grown up with in
the community they're from. We are very diverse. There could be
the idea that--I spent time as a staff member at Fort Bragg,
and went through the--assessments of what it was like for--
mental health assessment--what did that mean for the soldier?
The idea that you couldn't--if you can't keep your family
happy, how can you do your mission? I think we've come a long,
long way from that. I won't say we're done, by a longshot. But
I do believe that the MFLCs are the step in the right
direction, and the fact that it is a nonmedical model.
I can call one of these folks, who rotates every 45 days--
we have three of them at Fort Hood, but we would like to have
more--I can call one of them, and they will meet at Starbucks
downtown. I don't have to go on the installation, and they will
chat with me. They are almost like traffic cops to decide
whether or not what I need is support or I need medical model
help. It's a first step, and it's instigated by me. No one
would know it but me. They do not keep records. I think it's a
step in the right direction for, I think, maybe what your
concern is. But, again, that answer is very difficult, because
we are so very different, as human beings. The community that
we work within, live within, would know if one of these
counselors stayed with us the whole time, then, if I do happen
to meet them at Starbucks for coffee, they're going to want to
know, has Connie got problems, or has Connie got a friend that
she's having coffee with? One of the nice things about this is
the rotation. This program doesn't have a face, it has a
reputation. I think that's a step in the right direction. At
least that's the way it's sounding like at Fort Hood. We've
just been working with this, but I do know this program--and,
Joyce, I don't know if I'm right on this--but this program had
great, great strengths coming out of Alaska, with the extension
notice there.
Senator Akaka. Yes.
Ms. Raezer. We still see and hear about the stigma, but we
also hear, even more often, that the issue is access to mental
health providers. There's a national shortage of child and
adolescent psych providers. So, that's been a concern for many
of our families. We agree with Connie's assessment of the
MFLCs. They're a wonderful addition to that mix on an
installation to provide support.
One thing that we hear, in terms of the servicemember
seeking help, is the tone is set by the command. If the general
comes back from deployment and says, ``I'm going to go see a
counselor, just to talk things out,'' there's no stigma for his
subordinates, because if the general can do it, it's okay for
the captain and the colonel and the sergeant and the specialist
to do it. So, we've been really excited when we hear a general
say, ``When my folks and I come back from deployment, we are
all going to seek counseling, just to talk to someone.'' So,
the command has a big influence on that stigma, and getting rid
of that stigma.
Senator Akaka. Well, another interest that I had, I would
like to ask anyone on our panel who can respond with your views
on programs such as contracting out and military/civilian
conversions. What is the impact, if any, on the families who
depend on these services, if the provider of those services is
a military member or a Government civilian or a contractor?
Does it matter to you? Does service get better or worse when
service provider positions are connected or converted from a
military to a civilian person, or from a Government civilian to
a contractor? I think you understand what I'm asking here, and
would like to have your comments on that.
Mrs. Piacentini. If I might comment.
Senator Akaka. Mrs. Piacentini?
Mrs. Piacentini. Yes. There is a difference. If you have a
civilian contract or--to buy positions for a Family Programs
Office to slot in those civilian contractors, if those civilian
contractors have no military experience, no education in the
military, they can't communicate with military families
appropriately. They don't understand the lifestyle and where
they're coming from. So, it can be a real disaster if they
aren't the right people for those jobs. Many times, they aren't
and the families suffer.
Senator Akaka. Any other comment?
Ms. Raezer. There are some things that have been a benefit
because of the contracting out or the privatization. There's a
lot of new housing on military installations that wouldn't have
been there if we'd have waited for MILCON dollars to build that
housing. The privatization initiative has helped. Many of the
family centers, as they've done a conversion from DOD or
service civilian employees, they've gone to contractors--we
have many military spouses who are working as contractors--
there are sometimes some issues for them in learning how to be
a contractor. But that has helped.
What I said about mental health also applies to
contracting. It goes back to the oversight and the willingness
of the person in charge to set and enforce standards in those
contracts.
Senator Akaka. Yes.
Ms. Sumrall, would you make a comment on that?
Mrs. Sumrall. I would have to say that having lived on
military installations, and had the services of military
facilities and military personnel, and then to make that
transition either of necessity or by choice, in some cases, I
would have to say that going with someone who is not totally
familiar with military and how things work, it does pose a
problem sometimes. They don't understand, for example, the
TRICARE. They may have signed up for TRICARE, and may not
understand the difference between TRICARE Prime and TRICARE
Standard. Then, you have a hassle about your medical claim. Or
if you have--I know of one person who went to her private
physician, and she made the comment about, ``Well, my husband
is now deployed as a guardsman.'' The doctor immediately said,
``Oh, well, let me give you some type of tranquilizer, or
whatever, because I know you're having a rough time.'' So, I
would say that and, to me, the thought of someone who might be
dispensing drugs to calm someone's nerves is perhaps not the
best thing, especially if the person doesn't need them. So, I
think, there, that--even with Guard, that having that
connection with someone who at least does understand the
military, perhaps with prior military service themselves, or
military family members or something, does make a difference.
That's not to say that all contractors would do things like
that. I'm sure there are some excellent ones out there. But I
think it is something that we do need to be concerned about.
The privatization, in some cases, of things, say, like the
medical, is maybe a little bit scary.
Senator Akaka. Well, this has been excellent. I just want
to open it up, in case any of you want to make any closing
statements. I would certainly ask for that, if you do. [No
response.]
Otherwise, let me tell you that this has been a great
hearing for us, the Subcommittee on Personnel and the
Subcommittee on Readiness and Management Support has set up
this hearing to hear directly from you. This has been helpful
to us. I want to also tell you that we commend you for your
spirit and for your sacrifices and for the support that you
give our military, because you have made a huge difference in
the successes that we've had.
What's coming about now is that I feel that families are so
important to the life of our troops that we need to pay
attention to it. This is what we're trying to do. What has
happened here will help us determine what to do next.
I look forward to your continuing contact, in case you do
have other offers to make to us about helping families.
But this is what it's all about, and I want to thank you
again, and thank Chairman Nelson for his part in this.
We may have another hearing on this, but I'm not certain
about that because we're looking at particular points and areas
here.
Let me finish with this one, and this is about the
predictability of deployments.
The Army has just changed its policy on deployments to Iraq
or Afghanistan from 12 months to 15 months. I would like to ask
anyone on this panel to give me your view as to the importance
of predictability of deployments. If you know upfront that it
will be 15 months, does that help, or does that not really make
that much difference in meeting all the challenges of that
separation?
Mrs. McDonald. Senator Akaka, if you don't mind, I'm a
spouse of exactly one of those soldiers.
Senator Akaka. Yes.
Mrs. McDonald. He will be gone two Christmases, which
wasn't the original plan. If you guys don't mind?
Ms. Raezer. Go for it.
Mrs. McDonald. I will tell you--living at Fort Hood with
two divisions that are on a rotating basis, they replace each
other--I will tell you that I would rather, right now, that my
servicemember be extended to 15 months than ask the 4th
Infantry Division to turn around and go back in less than 9. I
think the mental health, the physical health of the soldier
first, the family members second, and the overall health of the
post, has to call for that.
It takes the--the original plan was not to rotate every
year, it was--if I remember--if I have this right, it was 2
years home, 1 year down, 2 years home, 1 year down. At Fort
Hood, we're not getting 2 years home. At this point, they're
not getting 1 year home if we don't do this extension. So, if
that's the answer, if that's the purpose of this, I think the
guys downrange, the guys and gals downrange would rather be
where they are, let the folks rest who need to rest, because
one day they're going to be the ones who need to rest.
If the predictability factor is that you tell me, as a
family member, that there's a possible extension, which will--
by the way, no surprise--that if we got that, I would rather
know that that extension is a possibility, and you turn around
and guaranteeing me on predictability, that he's home for 12
months, where I can give him chicken noodle soup and I can get
him off on R&R, and we can use our camper, and he can be at
home, and see some of the kids' stuff. Absolutely, the
predictability, for me, is more--of when he's home than how
long he's deployed. That is personal, my view, but I'm sitting
in that hotseat, so I'm taking it on.
Senator Akaka. Thank you.
Mrs. McDonald. Okay.
Senator Akaka. Mrs. Sumrall?
Mrs. Sumrall. From the standpoint of the National Guard and
from my volunteer service with the ESGR, I can tell you that
knowing that the Guard and the Reserves are now going to have a
designated time to be deployed makes a tremendous difference
from the standpoint of the employer. Of course, that impacts on
the family, because so many of our employers--we have some that
are absolutely wonderful and totally supportive--but we have
people who own small businesses, we have people who are afraid
their company's going to downsize, we have farmers, we have a
lot of people that, being gone for extended periods of time,
and not knowing for sure how long that will be, if and when
they do deploy the next time, is a very frightening factor in
the security of the family and how they are provided for. So--
and, like I say, some of the employers are not happy at all
about it, and we are running into situations where they're
somewhat leery of hiring people who have any type of
affiliation with the Guard or Reserves.
So, I would say, from the standpoint of the financial
security of the family, as well as job security of the deployed
servicemember, that knowing how long a deployment is going to
be is, just, a tremendous gift to that family, to know what to
expect.
Senator Akaka. Mrs. Hall?
Mrs. Hall. When you hear about anyone else being extended,
you think it might happen to your servicemember, too. The
entire time my husband was gone, people would ask me, ``Oh, so
when is he coming back?'' Every single time, I'd say, ``well,
we think January,'' because that's the best you can do when you
know that the possibility of an extension is out there.
I think it has a larger effect on, just, your ability to
plan the future and your ability to think your way through what
this deployment's going to mean to your family. It has a larger
effect than you even realize at the time. I think, only in
retrospect do you realize, ``Wow, I really had no idea when
that was going to end.'' That might be overstating it. I had a
good idea, but I wasn't certain when it was going to end.
In our case, he came home on time. But we certainly know
lots and lots of Air Force people who did not come home on
time. It sounds to me like the Air Force has a slightly
different deployment model, in that instead of large battalions
going out, we tend to go out one person at a time from
different shops. So, that deployment has--if it's extended, has
an effect more on that individual family, perhaps, than in the
larger community. Just a perspective from the Air Force, there.
Yes, extensions, big impact on family feeling about how
that deployment is going.
Senator Akaka. Ms. Piacentini?
Mrs. Piacentini. Predictability is essential. If the Army
Reserve can use the model that they are trying to develop, then
the families can certainly count on when that soldier's going,
when he or she will be home, and what they'll be doing in that
period when they are home. As a mother of a 4th Infantry
Division soldier, I don't want him over there longer, because
he's my son, but if he has to go, he goes. So, as a parent,
it--I think I look at it a little bit different than as a
spouse, probably.
Senator Akaka. Ms. Raezer?
Ms. Raezer. The only thing predictable for our families
since this war started is that the tour length is
unpredictable. I think it has been hard. Families have been
promised, in the past, ``The tour length will be this long.''
The savvy families aren't circling that end date anymore,
they're counting off the number of days that servicemember has
been gone, but they're not circling the end date, they are
still going to be looking for the other shoe to drop, even with
this latest extension.
We are concerned about predictability. We are also
concerned about tour length. In our surveys, families have told
us long tour lengths, missing the two Christmases, is hard.
We've seen information that was presented on some of the Army
mental health studies that graphs problems in theater with
servicemembers and their concerns, and those mental health
issues affecting servicemembers in theater go up dramatically
the longer the tour is.
So, we are worried about tour length and what that will do
to the servicemembers. How long will those servicemembers need
to recover after being gone for 15 months? So, I think we have
to be really careful about announcing an extension and saying,
``This is going to make us more predictable,'' because I think
the families are very wary, and we have to be careful about
expectations. Somebody needs to be looking at tour lengths.
Senator Akaka. Well, again, I want to say thank you to all
of you. This has been tremendous. It will be helpful, again, as
I said.
This hearing is adjourned.
[Questions for the record with answers supplied follow:]

Questions Submitted by Senator Robert C. Byrd

FAMILY SUPPORT SERVICES

1. Senator Byrd. Secretary Dominguez, Dr. Davis, Mr. McLaurin, and
Lieutenant General Brady, taking care of the families of our deployed
National Guard and Reserve servicemembers is just as important as
buying the equipment they need in the field. Many feel that these
servicemembers are underserved in comparison to our Active-Duty Forces,
not only when it comes to equipment, but also when it comes to benefits
and family support services. In the past, what has been of paramount
concern to the families of the West Virginia National Guard is seeing
that their deployed family member receive proper body and vehicle
armor. But in addition to making sure these individuals have proper
equipment, what efforts are currently underway to improve the quality
of family support services to the families and, in particular, what
efforts are underway to improve access to those living in rural or
remote areas?
Mr. Dominguez. The operational tempo (OPTEMPO) for today's National
Guard/Reserve is the highest it has been since the Korean War. This not
only affects the member, but also their families. The mission of
National Guard and Reserve family programs is to prepare, support, and
sustain families when their military member is activated and/or
deployed. Support is facilitated through education, outreach services,
and partnerships by leveraging resources, training, and constantly
capitalizing on new capabilities, concepts, and technological advances.
The National Guard Joint Force Headquarters Commands (JFHC) within
each State, territory, and the District of Columbia are responsible for
coordinating family assistance for all military dependents, regardless
of Service and component, within the State and in the geographically
dispersed areas beyond the support capability of military facilities.
To coordinate family assistance, each JFHC is authorized one State
Family Support Director. The National Guard has a strong Joint Service
family support network, organized in each State and territory by the
National Guard State Family Program Director, and reinforced by a Wing
Family Program Coordinator at each Air National Guard Wing. Family
Assistance Centers are regionally based and are the primary entry point
for all services and assistance that any military family member,
regardless of Service or component, may need during the deployment
process. This process includes the preparation (pre-deployment),
sustainment (actual deployment), and reunion phases (reintegration).
In addition, the following services are available to provide
support to families living in remote or rural areas:

Military OneSource (www.militaryonesource.com) is a
key resource available to National Guard/Reserve members and
their families. One Source supplements existing family programs
with a 24-hour, 7 days a week, toll-free information and
confidential referral telephone line and internet/web-based
service. It is available at no cost to Guard and Reserve
members and their families regardless of their activation
status. OneSource provides information ranging from everyday
practical advice to deployments/reintegration issues and will
provide referrals to professional civilian counselors for
assistance.
Military Family Life Consultants (MFLCs) are another
resource available to National Guard and Reserve families. The
goal of the MFLC is to prevent family distress by providing
education and information on family dynamics, parent education,
available support services, and the effects of stress and
positive coping mechanisms.
As a result of section 675 of the National Defense
Authorization Act for Fiscal Year 2007, Joint Family Support
Assistance Programs are in the design phase. Critical
components of the model involve building coalitions and
connecting Federal, State, and local resources and non-profit
organizations to support Guard and Reserve families. Best
practices learned from 22 Inter-Service Family Assistance
Committees, the Joint Service Family Support Network, and
exemplary State models, such as Minnesota and New Hampshire,
will guide the planning process.

Dr. Davis. The Navy has initiated a number of efforts to support
and sustain the members and families of the Reserve community during
this time of Reserve call-ups for the ongoing war on terrorism. The
challenge within Navy is that Reserve members are often activated
individually from units and are deployed solely or with one or two
others from the same Reserve unit. The Navy calls these sailors
``Individual Augmentees (IAs).'' This situation often leaves IA
families in mid-America without a nearby support system of other
families whose loved one is also activated and deployed. To address
this, the Navy has developed three separate IA handbooks, one targeted
for the servicemember, one for the family, and one for the command.
These handbooks, which have been widely distributed throughout the Navy
community, are excellent resources to support the families of the IAs.
IAs, Reserve families, and commands have provided very positive
feedback on the handbooks, noting their valuable resources and tips.
Family readiness is a key enabler of sailor readiness. Navy Reserve
Force family programs are continually improving with the assistance of
Command Ombudsmen and the Family Support Team. One of our biggest
challenges is the wide dispersion of Reserve component families
throughout all States and territories, often without convenient access
to the services provided by Navy Fleet and Family Support Centers. To
extend services to those families, the Navy Reserve hired a full-time
Family Support Program Manager on the Commander, Navy Reserve Forces
Command, headquarters staff. Specific emphasis is placed on partnering
with National Guard Family Assistance Centers. This liaison and
improved cooperation with other Reserve components has greatly
increased the availability and level of support for all Service
personnel and their families. One program hosted mainly by the National
Guard is the Inter-Service Family Assistance Committees (ISFAC). An
ISFAC is a committee that facilitates ongoing communication,
involvement, support, and family readiness between all branches of the
Service in a geographic area. These committees meet on a quarterly
basis. The goal of an ISFAC is to increase communication between all
branches of the Service to strengthen family well-being.
Through the ISFAC meetings, many ombudsmen and senior leadership
become more familiar with the types of resources and services available
at the military commands within the State and are able to provide
families with more options on services. Many of our Navy Reserve
families are in the Heartland of America and are not close to a Navy
installation. Joining resources and sharing ideas with other Reserve
components in an effort to reach out to families of all Services has
proven to be an important aspect of family readiness throughout the
Navy Reserve.
The Fleet and Family Support Program Regional Directors and Center
Site Directors continue to reach out to Reserve IA families. The
outreach includes pre-deployment briefs to members and families,
offering tips in terms of how to stay connected with the deployed
sailor, outlining Navy and civilian resources available to them during
the deployment, and assuring them that they are available for the
families if they have any needs.
The Command Ombudsman is another valuable resource for Reserve
families. The Reserve Ombudsman program has grown into a robust program
assisting families of all Reserve members and, in particular, the
Reserve IAs and their families. Key ombudsmen from the Reserve
community recently participated in a major ``train the trainers''
conference. Much of the conference addressed the unique needs of
Reserve IAs and their families. The ombudsmen, in turn, will now train
other Reserve ombudsmen so that all will have current, state-of-the-art
information, resources, and tools to better serve the Reserve family.
Educating the family is a key aspect in retaining sailors. An
educated family is more apt to encourage the servicemember to continue
their career in the military. Reserve ``Family Days'' are a vital link
in assisting families to be ready. Navy Operational Support Centers
hold Family Days to provide ``one stop shopping'' of services and
support for sailors to get family issues in order. Family Days include
administrative support to update family member data, SGLI, family
member identification card processing, legal assistance (simple wills
and powers of attorney), presentations on Military OneSource, TRICARE,
and American Red Cross, and representation from Veterans Service
Organizations. Family Days give family members a much better
understanding of the benefits and entitlements available to them. This
is a venue where ombudsmen are able to market the ombudsman program and
educate families on the services they provide. In addition, ombudsmen
market their program through a newsletter or introductory letter sent
to the families.
The Navy has also partnered with the National Association of Child
Care Resource and Referral Agencies (NACCRRA) to provide accessible,
affordable, and quality child care where Navy programs are not
operated. Navy Reserve personnel often come from cities and towns
across America that are not close to a military installation where
affordable, quality child care is available. Consequently, there is a
need for short-term deployment child care spaces in local communities
where families of deployed servicemembers reside. NACCRRA is the
national network of more than 850 child care resource and referral
(CCR&R) agencies located in every State and most communities across the
country. CCR&R centers help families, child care providers, and
communities provide and plan for affordable, quality child care. This
partnership will assist Reserve families who live in remote and
isolated areas with no access to military child care. Subsidies may be
available to eligible patrons depending upon total family income,
geographic location, Navy child care fee policy, and availability of
military funding.
The Navy continues to identify ways to better assist our Reserve
members and their families who serve our country with their
contributions and sacrifices.
Mr. McLaurin. The Army provides assistance to all soldiers and
families through a variety of methods. The Army National Guard (ARNG)
has operated family readiness groups and family assistance center
operations for over 20 years. Additionally, in fiscal year 2002, the
ARNG enhanced their Family Assistance Centers program to provide
families with information, referral, and limited outreach to support
families throughout the mobilization cycle regardless of component or
Service. The Army Reserve (USAR) has a web site that allows family,
friends, employers, volunteers, and staff to access current
information, take online training, and locate paid staff near their
home for assistance. There is also a feedback feature that allows
questions and concerns to be raised and addressed. The Department of
Defense (DOD) operates Military OneSource, which provides 24/7 contact
with personnel to assist in providing families with required support.
Chaplains and MFLCs are also accessible to families in the event of
crisis situations.
The Army has developed the Integrated Multi-Component Family
Support Network (IMCFSN), which capitalizes on the strengths of each of
the Army components to establish a comprehensive multi-agency approach
for community support and services to meet the diverse needs of Active
and mobilized Guard and Reserve Army families. The IMCFSN delivery
concept is accomplished by training Active Army, ARNG, and USAR service
providers on all authorized services and programs available to soldiers
and families by each component; marketing services to families; and
unifying collaboration of military and civilian service providers
through an ISFAC. A pilot project confirmed that the IMCFSN can be used
to meet the needs of geographically dispersed families. The data
suggested that the IMCFSN provides providers, soldiers, and families a
better understanding of services available and enhances networking
between service providers of each component/Service. It also will
reduce duplication of effort and provide geographical support where
families actually live. Networked systems will provide families access
to online knowledge sources and interconnect people and systems
independent of time, location, or Service component. The IMCFSN will be
implemented in fiscal year 2008.
General Brady. As operations tempo increases and deployments
lengthen, Guard and Reserve families are presented with many unique
challenges not experienced by their civilian counterparts. Just as
reservists are participating at far greater rates, family readiness
work has grown to a 365-day a year program. The Reserves and Guard are
working toward improving family readiness programs by making
connections with families stronger, helping them become better
prepared, and having a proactive outreach program to meet the needs of
units and individuals.
Family Readiness Offices work with other on-base organizations, as
well as those in the community for access to child care and youth
resources and to sponsor special activities for children and spouses of
deployed reservists, such as family dinners, holiday events,
recreational fairs, family days, etc.
In particular, the Air Force Reserve is focusing on strengthening
all predeployment, deployment, and post deployment airmen and family
wellness programs. Reserve Family Readiness Offices provide pre-
deployment ``must know and must do'' information in preparing for
activations and mobilizations. They also provide support for spouses
and families during deployment that includes 100 percent contact with
each spouse and family through phone calls, newsletters, postcards,
free phone and video calls, and Key Family Member Support Groups. These
important programs help to keep families connected with their deployed
spouse and up-to-date on programs offered by the home station.
For the geographically dispersed population of Guard and Reserve
communities, methods of service delivery need to be quite flexible.
Active Duty Airman and Family Readiness Centers and Reserve Family
Readiness Offices are engaged in an active partnership to ensure all
families are receiving services. This includes a range of support from
individual and family life situations, crisis assistance, transition
and employment assistance, combat-wounded to mass casualty, natural
disaster response, relief and recovery.
MFLCs, licensed counselors funded via a DOD contract, are used
extensively by the Guard to provide an on-demand readiness support
presence during drill weekends, mobilizations, or family events.
Counselors are available to provide educational seminars for children
and/or adults, or to meet with individuals on readiness related stress
and issues.
Information and education is distributed via email and websites for
Guard and Reserve, and through Military OneSource on topics such as
``suddenly military,'' financial survival during deployments, parenting
skills, and how to keep long-distance relationships healthy. DOD-funded
Military OneSource uses toll-free telephone numbers and a website to
deliver information and services 24 hours a day, 7 days a week, from
any location in the world. Military OneSource provides access to pre-
paid family assistance counseling services on issues ranging from
parent-child communications to reunion and reintegration of the family
following deployments. A separate section of Military OneSource now
includes a page where community and military support organizations can
post sponsored events to help connect families in their communities.
Through partnerships with three national organizations, Air Force
has expanded its capability to provide other family support services to
families in remote and rural areas not served by an Active Duty, Air
National Guard (ANG), or Air Force Reserve (AFR) base. The greatest
challenge to providing support for airmen living in remote areas lies
in the difficulty of identifying the family members and their needs as
well as continued funding to support these efforts. Families are rooted
in their local communities and use those support networks and services
and do not necessarily identify themselves as ``military'' families.
However, even with this challenge, Air Force Services has offered
several successful programs to reach out and provide opportunities for
these ANG and AFR members and their families.
Air Force Home Community Care (HCC) program is an expanded child
care initiative offered at 15 stateside locations. The Air Force HCC
program provides free in-home quality child care services to ANG and
AFR members during their scheduled drill weekends. HCC helps reduce the
airman's out-of-pocket expenses by providing quality child care
services to ANG and AFR members similar to those available to military
members assigned to or living on a military installation.
Mission Youth Outreach is a partnership between Air Force Services
and Boys & Girls Clubs of America that provides 1-year free membership
for youth to attend any local Boys & Girls Club in their community.
This program provides much needed support to youth in families of AFR,
ANG, and Active Duty military personnel who may not live near a
military installation and need a safe and positive place for youth to
spend their out-of-school time.
4-H State Military Grants: Air Force Services Family Member
Programs (FMP) partners with National 4-H Headquarters and Army Child
and Youth Services to fund grants to States and territories
establishing 4-H clubs on military installations, as well as providing
support for youth of ANG and AFR members who are geographically
dispersed. Since 4-H is located in every county in the United States,
this partnership helps Air Force installations expand their reach and
fosters stronger community partnerships for ANG and AFR families.
Operation Purple Youth Camps 2006: National Military Family
Association (NMFA) developed this free summer camp program in response
to the need for increased support for military children, especially
those whose parents are or will be deployed. This year, NMFA Operation
Purple Camps hosted more than 2,500 deserving youth at 26 locations
across 22 States. Air Force youth programs conducted 7 of these camps:
Eglin/Hurlburt, Hill, McChord, Mountain Home, Tinker, Wright-Patterson,
and Nellis. As a result, Air Force bases hosted 22 percent of the total
participants.
Military Child Care in Your Neighborhood (MCCYN) is a DOD-sponsored
initiative designed to meet the child care needs of servicemembers
living in off-base areas where on-base military child care is not
available. Eligible members include recruiters, Reserve Officer
Training Corps instructors, Military Entrance Processing Station
personnel, and geographically dispersed members on independent duty
assignments that cannot access the high quality, affordable care
available on military installations. In the past, these families bore
the full cost of their child care. Through MCCYN, Air Force families
pay reduced fees for child care in their neighborhoods.
Operation Military Child Care (OMCC) addresses the need for greater
child care availability and affordability for the Total Force during
times of increased OPTEMPO. OMCC is a DOD-funded child care subsidy
program designed to assist all activated ANG/AFR members with child
care costs in their local communities, in State-licensed, off-
installation family child care homes. Military members such as
recruiters, those who are geographically dispersed, on special duty
assignments, and all military members in Active Duty status not
assigned near a support base are eligible for subsidized child care.
OMCC allows the Air Force to reach numerous families and assist our
warfighters with the high cost of off-base child care in civilian
communities.

PROGRAMS FOR FAMILIES OF THE NATIONAL GUARD AND RESERVES

2. Senator Byrd. Secretary Dominguez, what challenges are currently
being experienced by the families of the National Guard and Reserves,
specifically as they relate to access to health care services?
Mr. Dominguez. Families of National Guard and Reserve members
ordered to Active Duty for a period of more than 30 days are made
eligible in Defense Enrollment Eligibility Reporting System for TRICARE
on the same basis as Active Duty family members (ADFM), and may
experience challenges that are common to any ADFM. The TRICARE network
of providers, institutions, and suppliers is established near Military
Treatment Facilities (MTFs) and in other TRICARE Prime Service Areas
(PSAs). Families who reside outside PSAs are offered the opportunity to
enroll in TRICARE Prime Remote for ADFMs, as long as they were residing
with their Reserve sponsor at the time of activation. However, they may
need to rely upon non-network TRICARE authorized providers,
institutions, and suppliers where they live. Scientifically, rigorous
surveys show that 9 out of 10 civilian providers are aware of TRICARE
and 8 of 10 accept new patients in TRICARE Standard.
Any inpatient facility that accepts Medicare is required by law to
accept TRICARE for inpatient care. A Medicare approved individual
provider is considered to be TRICARE approved unless the provider has
been sanctioned. Although access problems are rare, we continue our
efforts to link up providers and beneficiaries.
Any family member beneficiary may encounter challenges in learning
to use TRICARE, but we have extensive informational materials available
and constantly push them out in print and on the TRICARE Web site.
These initiatives are further supported by TRICARE customer service
personnel at MTFs and at call centers. Also, TRICARE provides briefings
to Reserve and National Guard units.

3. Senator Byrd. Secretary Dominguez, when our National Guardsmen
and reservists are wounded, their families often are required to travel
great distances to support and be with them. What programs are in place
or are being established to make this challenge more manageable?
Mr. Dominguez. When the National Guard and Reserve are in combat,
they have been mobilized under Federal law and are entitled to travel
and transportation benefits under title 37, chapter 7, section 411h.
The military Services contact the families, arrange for their travel,
and assist them as much as possible once they have arrived at the
servicemember's bedside.
Response should incorporate references to the relevant Dole-Shalala
Commission recommendations (see family support action steps--i.e.
establish standby plan for family support, etc).

4. Senator Byrd. Ms. Raezer, you are in contact with the
individuals affected by these programs and this hearing is being held
to determine what is being done poorly, and what is being left undone
in the support of our National Guard and Reserve families. What are the
specific shortcomings of the current support initiatives that have come
to your attention and how might they be addressed?
Ms. Raezer. While support for National Guard and Reserve has
improved dramatically since the beginning of the global war on terror,
the challenges of distance, isolation, and unfamiliarity with the
military lifestyle must continually be addressed. Geographically-
isolated Guard and Reserve families depend on a growing but sometimes
still patchy military support network. These families often find
themselves a great distance from traditional military installation-
based support facilities. They may also be far from the Guard armory or
Reserve center where their servicemember trains. How then does the
family learn about all their Active Duty benefits or receive answers
about how to follow the rules? How do their children manage the stress
of deployment when none of their classmates is experiencing the same
thing? What happens when a deployment extension or ``surge'' affects
National Guard or Reserve families who cannot rely on a military
installation?
Following the President's January announcement of the troop surge
to Iraq, the Minnesota National Guard created the model of how States
can and should support their military families. It reached out
aggressively to support affected families, beefing up an already-robust
family readiness and training network. The State Guard augmented this
network with additional military family life health providers across
the State. DOD also generated a Tiger Team to analyze needs and
allocate resources to support families affected by the surge. With the
announcement of more extensions, additional Tiger Teams were stood up
to augment medical services, counseling resources, and legal services
and to help with commercial obligations.
IAs (whether Guard, Reserve, or Active Duty) and their families are
especially vulnerable to falling through the cracks. NMFA commends the
Navy for its recognition of the challenges faced by IA families when
their servicemembers have been deployed as individuals or small groups
in support of ground combat operations. Families receive a toll-free
number and access to a Web site providing information and a comment
section for family questions related to deployment. The Navy Reserve
has hired a full-time Family Support Manager to oversee Reserve
military families' support. Five additional Family Support Managers
will be in the field providing support to the ``Prairie Navy.'' This
new support structure has been hard-fought because of funding
challenges. Yet, without these innovations in Navy family support,
servicemembers who are in harm's way would have to work harder to
resolve pay problems, housing issues, and family concerns.
Because Guard and Reserve families do not have access to military
support services, programs such as Military OneSource are essential.
NMFA encourages DOD to expand outreach about this 24-7 resource for
servicemembers and their families.
Guard and Reserve families also need help from their communities.
Several States have established military assistance funds. Community
organizations provide moral support and assist when financial problems
are caused by either a decrease in their household income or by
paperwork complications. NMFA believes efforts to link community
organizations--both public and private--with military families are
critical. We applaud initiatives such as the North Carolina Citizen
Soldier Support Program for building a network of support for isolated
Guard and Reserve families.

ELECTRONIC TRANSFER OF RECORDS

5. Senator Byrd. Secretary Dominguez, when our National Guardsmen
return wounded or injured they have to tackle the DOD, National Guard,
and Veterans Affairs (VA) bureaucracy when transitioning from DOD
medical care to VA medical care and in obtaining their disability and
compensation ratings. The electronic transfer of records between these
agencies would dramatically expedite this process. Congress has been
funding electronic record keeping and interoperable electronic transfer
programs since the 1980s. Since the establishment of such a program
would mitigate the length of time these individuals spend in
transition, and improve the quality of their lives and the lives of
their families, when can we expect to see an effective electronic
records transfer program being fully implemented?
Mr. Dominguez. The DOD and the VA share a significant amount of
health information today. Beginning electronic sharing in 2002, the
Departments are constantly seeking to expand the scope of their
capabilities. By the end of 2007, DOD will be sharing electronically
with VA nearly every health record data element identified in our VA/
DOD Joint Strategic Plan (JSP) for health information transfer. By
2008, we will be sharing the remaining health record data elements
identified in the VA/DOD JSP.
Currently shared electronic medical record data:
Inpatient and outpatient laboratory and radiology
results, allergy data, outpatient pharmacy data, and
demographic data are viewable by DOD and VA providers on shared
patients through Bidirectional Health Information Exchange
(BHIE). BHIE data are available from 15 DOD medical centers, 18
hospitals, over 190 clinics, and all VA facilities.
Digital radiology images are being electronically
transmitted from Walter Reed Army Medical Center (WRAMC),
Brooke Army Medical Center, and National Naval Medical Center
(NNMC) Bethesda to the Tampa, Palo Alto, Minneapolis, and
Richmond VA Polytrauma Centers for inpatients being transferred
there for care.
Electronic transmission of scanned medical records on
severely injured patients transferred as inpatients from WRAMC
and NNMC to the Tampa, Palo Alto, Minneapolis, and Richmond VA
Polytrauma Centers.
Pre- and Post-deployment Health Assessments and Post-
deployment Health Reassessments for separated servicemembers
and demobilized Reserve and National Guard members who have
deployed.
When a servicemember ends their term in service, DOD
transmits to VA laboratory results, radiology results,
outpatient pharmacy data, allergy information, consult reports,
admission, disposition and transfer information, elements of
the standard ambulatory data record, and demographic data.
Discharge summaries from 8 of the 13 DOD medical
centers and hospitals using the Clinical Information System
(CIS) to document inpatient care are available to VA on shared
patients. These sites include the facilities in the National
Capitol Area, WRAMC, Malcolm Grow Medical Center, Dewitt Army
Community Hospital, and NNMC Bethesda.
Enhancement plans for 2007:
Expanding the electronic transmission of scanned
medical records on severely injured patients from WRAMC, NNMC,
and BAMC to all four VA Polytrauma Centers.
Making discharge summaries, operative reports,
inpatient consults, and histories and physicals available for
viewing by all DOD and VA providers from inpatient data at all
13 DOD medical centers and hospitals using CIS.
Making encounters/clinical notes, procedures, and
problem lists available to DOD and VA providers through BHIE.
Making theater outpatient encounters, inpatient and
outpatient laboratory and radiology results, pharmacy data,
inpatient encounters to include clinical notes, discharge
summaries, and operative reports available to all DOD and VA
providers via BHIE.
Beginning collaboration efforts on a DOD and VA joint
solution for documentation of inpatient care.
Enhancement plans for 2008:
Making vital sign data, family history, social
history, other history, and questionnaires/forms available to
DOD and VA providers through BHIE.
Making discharge summaries, operative reports,
inpatient consults, and histories and physicals available to VA
on shared patients at Landstuhl Regional Medical Center,
Germany.
______

Questions Submitted by Senator Mark L. Pryor

SPOUSE EMPLOYMENT

6. Senator Pryor. Lieutenant General Brady, spouse employment can
be quite a problem for military families, especially when personnel are
required to move frequently. New communities with different economies
present a unique challenge to working spouses, and can be even more
difficult when a military family is stationed overseas. What programs
are available for military households who seek two incomes either
domestically or abroad?
General Brady. The Department is committed to helping military
spouses pursue rewarding careers and achieve educational and training
goals by partnering with the States, the private sector, and other
Federal agencies. We are actively working with Department of Labor
(DOL) to ensure military spouses receive education and training support
via Workforce Investment Act funds.
Further, we are partnering with national associations and employers
around careers in high-growth industries with mobile and portable
careers, such as medical transcription, financial services, education,
and real estate to establish spouses as a target employee pool and to
remove career licensing barriers at the State level. We have created
``Spouses as Teachers,'' and this year expanded it beyond the United
States to the United States European Command and United States Pacific
Command.
We have established a collaborative DOD/DOL Web site
(www.milspouse.org) to assist spouses with resume development,
identifying career opportunities, identifying and finding available
training, and linking to One Stop Career Centers which support the
local workforce economy for each respective location.
To help spouses find employment when they move, we have also
partnered with military.com, a division of monster.com, in developing
the Web site portal: www.military.com/spouse, where spouses can post
their resumes and conduct job searches for Federal and private sector
jobs near their new installation.
Spouse employment overseas continues to be a challenge, due to
limited opportunities and Status of Forces Agreement requirements.
Spouses are encouraged to contact their local legal office for guidance
for home-based businesses, telework, and host nation employment.

REINTEGRATION PROGRAMS

7. Senator Pryor. Secretary Dominguez, the war on terror has
created horrific trauma to our troops engaged in combat. Many are
returning with severe, life altering injuries that require a difficult
and extremely challenging rehabilitation process. Reintegration
programs are a critical factor in overcoming the adversity of being
physically wounded, and a seamless transition for these troops is
vitally important. In addition to survivor assistance initiatives, what
other programs are available to support personnel who, for example, are
confined to a wheelchair and now require wheelchair accessible housing?
Mr. Dominguez. An integrated team of medical, social work, and
support staff engage in discharge planning early in the hospitalization
and recuperation phase. Each plan is tailored to meet the individual
needs of each servicemember and his or her family. The team conducts an
assessment-based effort to address medical care and quality of life
issues such as:

Housing (is adaptive housing needed?)
Transportation (will vehicles need to be adapted to
accommodate special needs?)
Civilian employment of the servicemember or family
Child care
Counseling
Family support
Follow-on health care and access to appropriate health
care resources, as needed
Integration of benefits and services at the Federal
level by the DOD, VA, and Labor; State, regional, and local
level; and community-based nonprofit and volunteer
organizations

``Heroes to Hometowns'' is a DOD program in partnership with the
American Legion, State Directors of VA, and communities across the
Nation. The transition program for severely injured servicemembers
returning home from Operation Enduring Freedom/Operation Iraqi Freedom
establishes a support network and coordinates resources for severely
injured servicemembers returning home. Information is made available
through the Internet and other outreach activities.
One example of this type of community involvement is the
California-based Sentinels of Freedom. The organization created a
program that, through local donations of time, money, goods, and
services, scholarship recipients receive housing, transportation,
employment, and education assistance, and connects severely injured
servicemembers and their families to a team of caring volunteers who
provide guidance, mentoring, and friendship during a 4-year program. To
date, four servicemembers have been assisted with this long-term
support; other candidates await placement.
Other private non-support organizations provide housing (Homes for
Our Troops), adaptive transportation (Roll-X `Vans for Vets'), therapy
dogs (Paw-Pals.org), assistance with air travel (Hero Miles), and
temporary lodging at military and VA facilities (Fisher House). These
are only a few of many organizations that have partnered to provide
support and services at the community level for severely injured
servicemembers and their families.
Some useful Uniform Resource Locators are:

www.legion.org/?content=heroes2hometown
cs.itc.dod.mil/files/content/AllPublic/Workspaces/QOL-
LIBRARY-PUBLIC/MilitaryHOMEFRONT/186199.html
www.sentinelsoffreedom.org/
www.homesforourtroops.org/site/PageServer
www.paw-pals.org/page/page/1426468.htm
www.fisherhouse.org/

ACCESS TO HEALTH PROFESSIONALS

8. Senator Pryor. Mr. McLaurin, traumatic brain injury and post-
traumatic stress disorder have created an increased demand for mental
health services. In addition to clinical social workers, marriage and
family therapists, ombudsmen, case managers, and counselors, do you
believe there are enough licensed mental health professionals to
provide adequate assessment, referral, and counseling for those
servicemembers seeking mental health treatment?
Mr. McLaurin. There are adequate counselors to provide family and
marital counseling through MilitaryOneSource, family support, chaplain,
and family advocacy systems. As of January 2007, the DOD total branch
uniformed mental health clinical staffing levels are as follows:
psychiatrists = 85 percent; clinical psychologists = 78 percent; social
workers = 75 percent; psychiatric nurses = 129 percent; and psychiatric
technicians = 98 percent. These statistics do not include military to
civilian conversions, highly significant in one branch where, for
example, civilian psychologists outnumber uniformed by almost 3:1. They
also do not include contracted services within our MTFs or reflect the
role of the managed care support contractor network providers.
The final report from the Task Force on Mental Health, expected in
June 2007, will include recommendations regarding DOD staffing of
mental health professionals.
______

Questions Submitted by Senator Saxby Chambliss

RECRUITMENT

9. Senator Chambliss. Secretary Dominguez, at our Armed Services
Committee hearing yesterday, General McCaffrey commented that the DOD's
recruitment numbers are skewed for several reasons, including a lack of
standardization in how recruits are counted, and that DOD is meeting
recruitment goals because, among other reasons, recruitment standards
have been lowered. Do you agree with this assessment?
Mr. Dominguez. No, I do not agree with this assessment. DOD
standards are explicit and stable. In fact, we have not lowered our
quality standards since they were established in 1990. The Department's
recruit quality benchmarks require 60 percent of the fiscal year non-
prior service accessions to score at or above average on the enlistment
aptitude test and 90 percent of those accessions to be high school
diploma graduates.
With respect to our numeric counting system, the Department
measures and reports recruiting in a standard way--total accessions
against goals.

10. Senator Chambliss. Secretary Dominguez, is there a standardized
way in which DOD measures recruiting and retention for Active-Duty and
Reserve component personnel, and if not, why not?
Mr. Dominguez. Yes, the Department does have a standardized way in
which it measures recruiting and retention.
Recruiting: The Department measures and reports total accessions
against goals. With regard to enlistment standards, the Department has
not changed the recruit quality enlistment standards since 1990. The
Department's recruit quality benchmarks require 60 percent of the
fiscal year non-prior service accessions to score at or above average
on the enlistment aptitude test and 90 percent of those accessions to
be high school diploma graduates.
Retention: Measuring and reporting retention is standard within
each Service and component. The Active components measure retention
rates, while the Reserve components assess attrition rates as a measure
of losses.

CASE MANAGERS

11. Senator Chambliss. Secretary Dominguez, at this point, I
understand that DOD only has regulations related to the number of case
managers required to manage personnel in a medical hold status.
Consequently, there are no regulations for the ratio of case managers
to personnel for Active-Duty personnel in a medical hold status. Should
DOD establish a requirement and a standard for case managers for
Active-Duty personnel in medical hold?
Mr. Dominguez. The ratio for case management to personnel is not a
one-size-fits-all answer. The DOD Medical Management Guide, dated
January 2006. outlines a suggested caseload for case managers. The
ratio is determined by several factors, to include the experience of
the case manager, MTF, community-based resources, and other variables.
Currently, DOD supports the Case Management Society of America's
recommendations that are based on acuity of the patient as illustrated
in the following table:

------------------------------------------------------------------------
Level Amount Type
------------------------------------------------------------------------
Acute........................... 8-10 cases........ Early injury/
illness stages
(case manager
performs all
coordination).
Mixed........................... 25-35 cases....... Acute and chronic
cases (some
requiring semi-
annual or annual
follow-up, some
needed full-time
CM coordination).
Chronic......................... 35-50 cases....... Cases requiring 1-
2 hours follow-up/
month.
------------------------------------------------------------------------

12. Senator Chambliss. Secretary Dominguez, should DOD establish
prescribed regulations related to the duties and responsibilities of
DOD case managers of medical hold and holdover personnel, to include
being an advocate for the patient during the process?
Mr. Dominguez. The DOD TRICARE Management Activity Medical
Management Guide, dated January 2006, provides guidance for case
managers on duties and responsibilities, including special
considerations for Active Duty servicemembers. Additionally, DOD has an
instruction (DODI 6025.20, Medical Management (MM) Programs in the
Direct Care System (DCS) and Remote Areas) which gives specific
guidance on responsibilities for not only case management, but disease
and utilization management. Additionally, there are Web-based modules
available for case management training.

13. Senator Chambliss. Secretary Dominguez, should there be a
required training program for case managers and regulations that govern
their specific responsibilities on behalf of servicemembers?
Mr. Dominguez. Yes, the TRICARE Management Activity (TMA) provides
MM training, which includes case management. Additionally, the DOD has
an instruction (DODI 6025.20, MM Programs in the DCS and Remote Areas)
which provides MTFs, case managers, and leadership specific guidance on
responsibilities for not only case management, but disease and
utilization management. Additionally, there are web-based modules
available for case management training.

14. Senator Chambliss. Secretary Dominguez, should there be a
regulation requiring a certain percentage of case managers to be DOD
civilians or military personnel as opposed to contractors, and in the
event that contractors are utilized, what should be done to ensure the
medical holdover mission is not compromised and that our soldiers
receive the necessary advocacy when they are in a medical holdover
unit?
Mr. Dominguez. The need for case management services can be
expected to change over time. Contracting creates flexibility to match
the workforce to the local workload. Contracting for case management
services does present a risk for relatively sudden and simultaneous
disruptions in continuity of care as contracts are re-bid. Careful
planning and oversight by military or civilian personnel is
appropriate. It seems important to have a core of DOD civilian or
uniformed case managers, potentially augmented by contractor case
managers, depending on the OPTEMPO and clinical intensity of needs for
the population to be served. The optimal mix of DOD uniformed, DOD
civilian, and contractor case managers may need to be determined
locally.

MEDICAL EVALUATION BOARD AND PHYSICAL EVALUATION BOARD PROCESS

15. Senator Chambliss. Secretary Dominguez, at this point VA
personnel are rarely embedded within the Medical Evaluation Board and
Physical Evaluation Board (MEB/PEB) process to help with the transition
process. How might embedding VA personnel affect the MEB/PEB process
and from our servicemembers' perspective, that this would be a good
idea?
Mr. Dominguez. VA participation in the process could be helpful,
and we are working with the VA to increase their involvement. We are
looking at increasing VA liaison personnel in our MTFs, involving the
VA in the process to determine a single disability rating, and more VA
visibility in case management and tracking. We are also reviewing the
Navy's recently released Severely Injured Marines and Sailors Pilot
Program, which examined the pros and cons of an accelerated disability
retirement program in order to maximize compensation and benefits to
the most severely injured. The Navy conducted this pilot program in
collaboration with the VA.

16. Senator Chambliss. Secretary Dominguez, how could VA personnel
begin working with soldiers and possibly take charge of their paperwork
and medical requirements once it is clear that a servicemember cannot
be retained in the Service?
Mr. Dominguez. We are looking at increasing VA liaison personnel in
our MTFs, involving the VA in the process to determine a single
disability rating, and more VA visibility in case management and
tracking. We are also reviewing the Navy's recently released Severely
Injured Marines and Sailors Pilot Program, which examined the pros and
cons of an accelerated disability retirement program in order to
maximize compensation and benefits to the most severely injured. The
Navy conducted this pilot program in collaboration with the VA.

17. Senator Chambliss. Secretary Dominguez, the MEB/PEB process
that was established in the 1970s is out-dated and is extremely
bureaucratic. For an Active-Duty servicemember, the process requires
between 22 and 27 pieces of paper (although I understand you are
whittling that down), and even more for a National Guard or Reserve
member. How can we streamline the MEB/PEB process and what can we
change to make it more efficient and cause it to better serve our men
and women in uniform?
Mr. Dominguez. The Disability Evaluation System (DES), which
consists of the MEB and PEB processes, is complex, sometimes
adversarial, and burdensome. Much of that is related to the statutory
imperative for a fair and impartial system that affords due process
protections (boards, legal representation, witnesses, an appellate
process, etc.). The DES, as set forth in statute, allows the Department
to provide additional guidance, but ultimately, the Secretaries of the
Military Departments operate their DES consistent with their roles and
missions, and apply ratings in accordance with how they interpret
application of the VA Rating Schedule for Disabilities (VASRD).
The complex and adversarial nature of the DES is partially a result
of the magnitude of the benefits associated with the decisions on the
rating. The disability rating determines whether the individual will
separate with severance or with retirement benefits. For many, there is
strong motivation to be declared fit to remain in uniform, despite
injuries that would suggest otherwise.
There are concerns that the VASRD has not kept current with the
knowledge and service job environment, especially for brain injuries
and pain as compared to other more physical injuries.

WOUNDED WARRIOR PROGRAM

18. Senator Chambliss. Secretary Dominguez, the Army has
established the Wounded Warrior hotline for soldiers and families to
call to discuss any issues related to their care, and to consolidate
issues/lessons learned. Are you satisfied with how DOD is collecting
lessons learned in this area?
Mr. Dominguez. Yes! The military Services continue to evaluate and
adjust service delivery programs as the needs arise. This is most
visible with the advent of specialized programs that, in the past 2
years, have evolved into robust, responsive programs to support the
severely injured: the Army's Wounded Warrior Program, the Navy's Safe
Harbor Program, the Marine Corps' Marine4Life-Injured Support Program,
and the Air Force's Palace Helping Airmen Recover Together Program.
The establishment of the new United States Army's helpline is a
good case in point. While other feedback programs were available, it
appears that some soldiers may have been reluctant to use them. The new
program provides avenues where soldiers can identify individual needs
and the Army can address those needs quickly and efficiently. In the
event systemic issues arise, the Army and other military Services
maintain a close working relationship with the Office of the Secretary
of Defense's Military Severely Injured Center and the Military
Community and Family Policy office. These offices serve as a conduit
for implementing change.

19. Senator Chambliss. Secretary Dominguez, do you believe a
confidentiality statement should be required?
Mr. Dominguez. Privacy and confidentiality are essential to reduce
the fear of stigmatization when seeking counseling services and
support. For that reason, it is a key component of all short-term,
situational, problem-solving, nonmedical counseling services provided
in the DOD.
To encourage the widest level of participation, all counseling is
private and confidential, with the exception of mandatory State,
Federal, and military reporting requirements such as child abuse and
``duty to warn'' situations. Situations that meet clinical diagnostic
criteria are referred to military medical health care providers or
TRICARE.

20. Senator Chambliss. Secretary Dominguez, what is DOD's feedback
system for ensuring that lessons learned actually get acted upon and
how lessons learned are communicated across not only the Army, but
Defense-wide?
Mr. Dominguez. Reviewing lessons learned to ensure corrective
action is an integral part of military operations. At the unit level,
after action reviews are the norm following any operation. Each of the
military Services has robust Centers for Lessons Learned to ensure that
systemic issues are addressed in order to benefit all who serve.
Prior to the standup of the DOD-VA Senior Oversight Committee (SOC)
the Office of the Secretary of Defense (OSD) Military Severely Injured
(MSI) Center acted as a central repository of information and lessons
learned. The MSI Center would receive and disseminate information as
appropriate to the Services to ensure they were up to date on issues
involving the severely injured. ``Purple issues'' or issues which
applied to injured across the Services, were analyzed by OSD to be
resolved through improved coordination, revised policy, and/or
legislative relief. Today, the Service severely injured programs are in
frequent contact with one another, sharing all pertinent information
that might benefit the injured and their families.
The SOC, which meets weekly, and the supporting DOD Task Force are
now the logical venues by which lessons learned are vetted and
distributed to both the Services and to our counterparts in VA. Each
SOC Line of Action is supported by the work of a joint, multi-
disciplinary working group, which provides additional avenues for
ensuring the latest is passed through the Department.
Finally, the Joint Executive Council and its subordinate groups,
the Health Executive Council and Benefits Executive Council, all joint
groups with membership from DOD, the Services, and the VA, have been
formal focal points for the collection of lessons learned since their
inception. These are the organizations specifically established to
ensure collaboration among the member agencies for addressing health,
benefits, and other significant issues affecting all our servicemembers
and veterans, to include the severely injured and their families.

LANGUAGE AND CULTURAL TRAINING

21. Senator Chambliss. Secretary Dominguez, there is a desperate
requirement for language and cultural training for servicemembers
deploying to the U.S. Central Command area of responsibility. During
Vietnam, I understand that some soldiers were required to receive 90
days of immersion training. What is the current DOD requirement in this
area and do you believe more training in this area is necessary?
Mr. Dominguez. All troops receive the appropriate language and
cultural awareness training prior to deploying. Approaches to this
training vary based on mission requirements and include focused
training provided by Mobile Training Teams and Defense Language
Institute Foreign Language Center materials to provide tailored just-
in-time training for short-term needs. Cultural awareness (CA)
instruction highlights the differences between Middle Eastern and
American cultures. Language training (either Iraqi or Pashto/Dari) is
provided to familiarize servicemembers with common phrases they will
hear in theater. ``Smart Cards,'' laminated, tri-fold, CA information
cards are issued to troops prior to deployment. Information on the
cards consists of common phrases, cultural tips, instant two-way
communications via picture symbols, etc. Combat Training Centers, home
stations, and mobilization sites integrate CA training and language
into Situational Training Exercises. These scenarios incorporate
native-speaking role players to replicate the contemporary operating
environment. Online training options, such as downloadable language and
cultural training modules, are also available to the force.
Language training and CA programs in support of operational
deployments are in place. The Services are monitoring to ensure long-
term benefits, but it is still too soon to fully assess some of the
programs' effectiveness. A general consensus reveals there is a
positive effect, but until the programs reach full maturity, results
will remain hard to measure. We will continue to monitor the
effectiveness of the cultural and language training provided to
deploying forces. Additional training will be instituted based on
ongoing assessments of the results achieved by these programs.

BASE REALIGNMENT AND CLOSURE

22. Senator Chambliss. Secretary Dominguez, the convergence of Base
Realignment and Closure (BRAC) implementation, global restationing, and
Army transformation is creating concerns and responsibilities for
impacted communities. Although community growth is generally a welcome
problem, it does bring with it some issues that need to be addressed.
Roughly 30,000 school-aged children will be transitioning to these
communities over the next few years, and I am greatly concerned about
the effect on the school systems in these communities regarding the
teacher-to-student ratio, school supplies, access to technology, space
and classroom facilities, and basic school infrastructure. There is
some relief through Impact Aid, but that is just a drop in the bucket
toward making a difference in what these communities really need.
Although the responsibility to take care of these communities doesn't
fall specifically on DOD, the welfare of military families is a great
concern to DOD. What discussions have gone on in relation to the issue
of planning and assistance to local communities who will be impacted by
BRAC and the other factors I have mentioned, and what is your office
doing to ease this transition and ensure that the welfare of our
military families is not compromised?
Mr. Dominguez. Even though elementary and secondary education is
the jurisdiction of the State and local governments, the Department
realizes that one of the major factors in retaining the most capable
personnel is providing quality educational experiences for
servicemembers and their families. Therefore, the Department has a
vested interest in quality education for military families.
The Department is eager to support school systems that are highly
impacted by base realignments. However, the Department recommends the
name be changed to: ``Educational Assistance to Highly Impacted Local
Education Agencies (LEA) per Public Law 109-364, section 574.'' In
addition, that funding is placed in the Department of Defense Education
Activity (DODEA) budget line for Collaboration/Presidential Initiatives
that are intended to share educational excellence with local
communities impacted by realignment to mitigate the pressure on LEAs.
This is authorized by a new Public Law 109-364, section 574--``Plan and
authority to assist local educational agencies experiencing growth in
enrollment due to force structure changes, relocation of military units
or base closure and realignments.'' DODEA is recognized as a high-
quality school system with exceptional student performance.
The Department is committed to working with and assisting LEAs to
ensure that the welfare of our military families is not compromised.
The Department has funded such resources as the Johns Hopkins Military
Child Initiative, to help communities and school districts provide
support to children of military families in transition and promote
opportunities for success.
DODEA has also developed expertise to address the issues of both
transition and quality education for military students. It has been
given the legislative authority to begin providing technical assistance
and expertise to meet some of the challenges of providing quality
education opportunities for military students. This is available to any
LEA that is receiving a large number of military students which
requests this assistance.
In addition, DOD has collected best practices from communities that
experienced growth and offered communities and schools a wide range of
ideas and technical assistance in identifying resources for financial
and facilities planning that have been used successfully by growth
communities. These practices and expertise were shared with teams from
17 impacted communities at a November 2006 Conference on Education in
Atlanta, GA.
Finally, the Department's Office of Economic Adjustment is planning
visits to impacted communities to include experts on school expansion
and transition to be able to continue its assistance to communities who
will receive additional military students.

MILITARY TREATMENT FACILITY SURVEYS

23. Senator Chambliss. Secretary Dominguez, I understand that both
the TMA and the individual Services conduct surveys to determine the
level of satisfaction that servicemembers have with the healthcare they
receive. I am concerned that the surveying being done to date occurs at
only specific times of the year, is not ongoing, and that this critical
feedback is not made available in a timely manner to professionals at
the individual MTFs who could in turn use the data to make quality
improvements as needed. What can DOD do, going forward, to gather this
critically important patient satisfaction data on a more frequent basis
and to ensure that the results are made available to supervisors at the
MTFs in a timely manner?
Mr. Dominguez. Beneficiary satisfaction surveys are currently
conducted by TMA in the outpatient and inpatient selling in both the
direct care and purchase care environments. Additionally, TMA surveys a
representative sample of all 9.2 million beneficiaries with regard to
many aspects of the health plan. All of these surveys use questions
that are nationally validated and can be used to benchmark the
performance of the Military Health System (MHS) to national health
plans. The results are tied to nationally recognized and proven methods
for effecting change, i.e., improving satisfaction.
For all of these surveys, feedback is provided to the MTFs and
included in the survey on at least a quarterly basis. In addition, the
Services conduct provider level surveys that furnish outpatient, direct
care feedback to the MTFs.
TMA is working with the Services and the TRICARE Regional Offices
(TROs) to develop a survey program that will continue to provide
leadership with an organizational perspective of beneficiary
satisfaction (currently required quarterly). In addition, TMA will soon
begin working with the Services and the TROs to survey on a more
frequent, granular level to provide detailed and frequent feedback on
beneficiaries' perspectives of their health care.

24. Senator Chambliss. Secretary Dominguez, does DOD have any plans
to ensure administrators and supervisors in positions to affect change
at the MTFs have access to not only their quality scores but also to
evidence-based information and guidance they can use to make
improvements for the benefit of the 9.3 million servicemembers and
dependents who rely on the MHS?
Mr. Dominguez. Health care executives, providers, and purchasers
seek performance measures to determine the quality of care provided by
the health care organizations in the United States. MHS staff members
actively participate in the development, review, and acceptance of
quality measures established by organizations such as the National
Quality Forum and the Agency for Health Care Research and Quality. The
DOD utilizes these nationally recognized clinical quality measures as
well as accreditation by external agencies with industry accepted
standards to assess the care provided in the MHS. Within DOD, the
direct care system utilizes multiple modalities to assist
administrators, supervisors, and clinical leaders in assessing the
delivery of quality health care, using evidenced-based guidelines to
improve care, and monitoring the health status of DOD beneficiaries.
Health outcomes are the end results of health care interventions.
Currently, DOD uses four separate and distinct programs to evaluate
health outcomes and health care quality:

Joint Commission on Accreditation of Health Care
Organizations ORYX Performance Measures
National Perinatal Information Center (NPIC) Benchmark
Database
National Quality Management Program (NQMP) Special
Studies
The MHS Population Health Portal and Health Plan
Employer Data and Information Set (HEDIS)

The ORYX and NPIC programs use recognized and validated measures
that allow DOD to compare its performance to national norms. NQMP
Special Studies use a combination of DOD-specific norms and national
norms to assess the care provided. The availability of nationally
comparative data allows systems to focus effort and resources on the
areas with the greatest opportunity for improvement. It also allows
organizations, such as the MHS, to identify, understand, and reproduce
best practices and high functioning micro-systems. The use of consensus
measures to identify strengths and weaknesses is only a first step.
Consensus measures are most effective when they are closely linked to
leadership-directed performance improvement.
The National Committee for Quality Assurance developed the HEDIS
to provide reliable, comparative data about health care quality, using
data from health plans across the country. The MHS Population Health
Portal uses methodologies similar to HEDIS to monitor how well MTFs
deliver preventive care (e.g., breast cancer screening, cervical cancer
screening), and how well members with acute illnesses (e.g., acute
myocardial infarction) or chronic diseases (e.g., asthma, diabetes) are
managed to avoid or minimize complications. Current clinical
performance measures based on HEDIS methodologies include:

Cervical cancer screening rates (Pap tests)
Breast cancer screening rates (mammography)
Use of appropriate medications for people with asthma
Diabetes care (HbA1c testing and control, retinal
exams, low density lipoprotein screening and control)

The data for these clinical performance metrics were gathered from
an MHS electronic central database, which includes inpatient,
outpatient, and pharmacy information. Reports on the clinical
performance measures, with comparative data internal and external to
the MTF, are provided to MTF and MHS leadership. Clinicians can
continually monitor the status of the patients they serve to ensure
their health care needs are met.
The ready availability of performance measures through the MHS
Population Health Portal permits visibility of clinical performance
information at all levels of the MHS, from providers through senior
leadership. Actionable information permits providers to deliver timely,
evidence-based medical services. Aggregate data permit MHS leadership
to assess the performance of the health care delivery system overall.
Incorporation of HEDIS and ORYX measures into the MHS Balanced
Scorecard demonstrates the importance of these measures to the
Department.

25. Senator Chambliss. Secretary Dominguez, what plans, if any,
does DOD have to ensure patient satisfaction surveys are done in a more
integrated and efficient process between the different branches of
Service?
Mr. Dominguez. Currently, representatives from the Services meet
quarterly, and on an ad hoc basis as required, with TMA to integrate
and increase the efficiency of a multi-layered beneficiary satisfaction
survey program. Recent efforts have focused on the development of a
common instrument to be used at the MTF provider level across the
Services and to include specific questions common to the Services and
TMA level surveys. TMA will continue to work with the Services to
further integrate the important perspectives of our beneficiaries
relative to care provided across the MHS.
______

Questions Submitted by Senator John McCain

DOD SCHOOL CONSTRUCTION AND RECAPITALIZATION

26. Senator McCain. Secretary Dominguez, over the past 3 years,
military construction funding for schools within the DODEA has
decreased by over 60 percent from $99.4 million in 2006 to $37.9
million in the budget request for fiscal year 2008. Even more
disturbing, none of the funds requested for fiscal year 2008 will be
used to replace an existing school, only to expand facilities, mostly
overseas. Furthermore, only $2 million of the $34.5 million for new
construction in fiscal year 2008 will be for domestic schools at a time
when DOD plans to realign over 100,000 personnel and their families
back to the United States from overseas locations. Why is the
Department's military construction investment plan for DOD schools
decreasing at a time when requirements as a result of force structure
realignments and end strength increases are expanding, particularly for
schools in the United States?
Mr. Dominguez. DODEA's military construction program is developed
from two major types of projects: (1) those that support existing
requirements, and (2) those that support a change in requirements due
to the troop realignment of the military Services.
In fiscal year 2008, the projects that support DODEA's existing
requirements had program funding of $34.5 million. Funding for existing
requirements totaled $65.6 million in fiscal year 2006 and $46.2
million in fiscal year 2007. Most of the requested $34.5 million in
fiscal year 2008 is targeted for projects to replace the following
existing facilities:

Wiesbaden High School ($15.4 million): Project replaces the
existing gym, whole classroom building, and converts small gym
facility into cafeteria.
Brussels Elementary/High School ($5.9 million): Project
replaces existing gym, music, and art facilities.
DeLalio Elementary School, Camp Lejeune ($2.0 million):
Project replaces existing gym and art facilities.

The other two projects provide multi-purpose facilities in Europe
that support the existing educational program.
The change in military construction requirements that support
military troop realignments explains the more significant decrease in
funding across the past 3 fiscal years. In fiscal year 2006 and fiscal
year 2007, $35.8 million and $47.3 million were programmed,
respectively, for these types of requirements. In fiscal year 2008,
only $3.4 million is programmed for design efforts related to troop
realignments.
DODEA works closely with the military Services on all troop
movements that impact DODEA school locations. Projects requiring new
capacity as a result of military troop relocations, including
relocations to the United States, are scheduled and funded in the
appropriate timeframe. Note that only troop rotations to the DOD
domestic school locations will warrant new school construction. All of
the fiscal year 2008 projects are requirements coordinated with the
military Services and are located on enduring installations.

27. Senator McCain. Secretary Dominguez, does DOD maintain a set of
standards by which all schools in the DODEA system are assessed? If so,
can you provide those standards and an assessment of whether the
schools in the DODEA inventory meet those standards?
Mr. Dominguez. The Department uses Quality Ratings (Q-Rating) as a
standard or measure to assess the condition of all of its facilities,
including the schools in DODEA. A Q-Rating is calculated as the ratio
of current maintenance and repair needs to plant replacement value. The
resulting percentages are then aligned against the Department's Q-
Rating guidance to determine the overall rating of the facility. DODEA
has been an active participant in the Q-Rating Working Group since its
formation and has contracted independent architectural and engineering
firms to assess school facilities since 2002. The table below provides
a breakout of Q-Ratings for DODEA school facilities:

------------------------------------------------------------------------
Percent of
Rating General Description DODEA Buildings
------------------------------------------------------------------------
Q-1.............................. Facility new or well 24.1
maintained.
Q-2.............................. Facility is 11.6
satisfactorily
maintained.
Q-3.............................. Facility is under 25.5
maintained.
Q-4.............................. Facility should be 38.8
considered for
replacement.
------------------------------------------------------------------------

28. Senator McCain. Secretary Dominguez, does the budget request
for fiscal year 2008 for DODEA meet the budget goal established by DOD
to invest in the recapitalization (renovation and replacement) of
facilities at a rate equal to a 67-year total replacement cycle? If
not, why not?
Mr. Dominguez. When developing the fiscal year 2008 budget, the
Department balanced DODEA's facilities requirements along with its core
educational requirements, resulting in a shortfall in funding for
recapitalization. There remains a facilities requirements backlog, but
all safety and security projects are given priority. If additional
funding becomes available, it will be directed towards DODEA's
recapitalization requirements.

29. Senator McCain. Secretary Dominguez, what would be the required
annual level of investment in military construction, restoration, and
modernization by DODEA to meet DOD's recapitalization goal?
Mr. Dominguez. Based on the current DOD 67-year recapitalization
goal, DODEA would require an additional $51 million in fiscal year 2008
and $37 million in fiscal year 2009.

FACILITY SUSTAINMENT FUNDING FOR SCHOOLS

30. Senator McCain. Secretary Dominguez, over the past 3 years,
funding for schools within the DODEA to support facility sustainment,
restoration, and modernization has fallen short, by up to 36 percent,
of goals established by the DOD for a minimally acceptable annual level
of funding required to sustain facilities. This means that projects to
fix roofs, repair air conditioning, and to correct critical safety
deficiencies are being deferred in order to pay for other priorities.
This is the same type of problem that affected Building 18 at WRAMC,
only this time, it is the children of our servicemembers who are
subjected to deteriorated conditions. Currently, DODEA has an unfunded
backlog of over $33 million for critical repair projects, such as
asbestos removal, radon and lead testing, replacement of fire doors,
suppression and alarm systems, repair of heating boilers, in addition
to roof replacements, floor repairs, etc. As an aside, DODEA receives
about $1.5 billion annually in operations and maintenance funds for
DODEA schools worldwide and, of that amount, has averaged about $65
million annually for facility sustainment funding. Given the relative
impact to DODEA's overall operating budget, is this risk to our
military's children posed by deteriorated school conditions acceptable
to the Department? If not, what is the Department's plan to address
these critical facility requirements immediately in fiscal year 2007?
Mr. Dominguez. The Department manages risk by conducting regularly
scheduled inspections of DODEA school facilities. The military
community helps inspect all DODEA facilities twice a year; once prior
to school opening in August and the second in the spring timeframe. All
life-safety concerns are corrected as recommended by the military
inspectors. In addition, triennial inspections are conducted by an
independent architectural engineering firm which assesses over 30
building and exterior components based on an up-to-date industry
standard process. From these annual and triennial inspections,
deficiencies are identified and projects are funded based on critical
life safety factors.
There remains a facilities requirements backlog, but all safety and
security projects are given priority. If additional funding becomes
available during fiscal year 2007, more identified projects will be
completed.

31. Senator McCain. Secretary Dominguez, what would be the required
annual level of investment in facility sustainment by DODEA to meet the
DOD goal to include in the budget request funding for 100 percent of
the total sustainment requirement?
Mr. Dominguez. An additional $30 million annually would be required
to meet 100 percent of the total sustainment requirement based on the
DOD sustainment model.

CHILD DEVELOPMENT CENTERS

32. Senator McCain. Secretary Dominguez, I noted in your witness
statement on the subject of child care that you describe an emergency
intervention strategy to address the most pressing child care needs at
locations affected by high deployments and rebasing. The Department
dedicated $82 million in part towards the purchase of modular
facilities for 7,000 additional spaces in 37 child development centers.
The use of modular, temporary facilities are intended to be an interim
solution until permanent facilities, which are safer and more
efficient, can be constructed. Can you provide a list of the locations
where modular facilities were used to satisfy child care requirements?
Mr. Dominguez. The Department is very appreciative of the
flexibility this authority allowed us in increasing spaces on a rapid
basis. The temporary program to use minor military construction
authority for the construction of child development centers provides a
means to increase the availability of quality, affordable child care
for servicemembers and their families to support the global war on
terror and an increased OPTEMPO. In addition to the 37 child
development centers you address, spaces were also added using 42
addition/renovation projects. The construction project locations are
listed below (by Service):

Army projects:

Fort Drum, NY (2 projects)
Fort Lewis, WA (3 projects)
Fort Riley, KS (2 projects)
Fort Carson, CO (3 projects)
Fort Stewart, GA
Fort Hood, TX
Fort Campbell, KY (4 projects)
Fort Bliss, TX (3 projects)
Hunter Air Field, GA
Walter Reed, Washington, DC
Detroit Arsenal, MI
Fort Bragg, NC
Fort Lee, VA
Tobyhanna, PA
Anniston Army Depot, AL
Fort Sill, OK
Picatinny Arsenal, NJ
Redstone Arsenal, AL
Fort Polk, LA

Navy projects (Modular Facility Construction):

San Diego, CA
NYS Norfolk, VA (2 projects)
NYS Pearl Harbor, HI
Dallas-Reserve site, TX
Gulfport, MS
Pensacola, FL

Marine projects (Modular Facility Construction):

Camp Lejeune, NC
Camp Pendleton, CA

All Air Force projects, with the exception of the project at
Eglin Air Force Base (AFB), are permanent spaces as a result of
a renovation or addition to an existing facility. The project
at Eglin is modular facility construction:

Nellis AFB, NV (2 projects)
Seymour Johnson AFB, NC
Mountain Home AFB, ID
Offutt AFB, NE (2 projects)
Holloman AFB, NM (2 projects)
Little Rock AFB, AR
Moody AFB, GA
Hurlburt AFB, FL
Eglin AFB, FL
Edwards AFB, CA (2 projects)
Tinker AFB, OK (2 projects)
Hanscom AFB, MA
Travis AFB, CA
United States Air Force Academy, CO
Vogelweh Air Base (AB), Germany (2 projects)
Lakenheath AB, United Kingdom
Kadena AB, Okinawa
Osan AB, Korea
Yokota AB, Japan
Hickam AFB, HI (3 projects)
Ramstein AB, Germany (2 projects)
Columbus AFB, MS
Kirtland AFB, NM
Beale AFB, CA
Buckley AFB, CO
Arnold AFB, TN
Eielson AFB, AK
Geilenkirchen AB, Germany (2 projects)
Elmendorf AFB, AK

Eighteen of the Army projects were constructed for immediate use in
fiscal years 2006-2007 as a means to address the most pressing child
care needs at locations impacted by high deployment and rebasing troop
movements. These facilities are linked to Future Years Defense Program
Military Construction projects and will remain operational through
fiscal year 2013. All other modular construction under the expanded
authority has a 50-year lifespan.

33. Senator McCain. Secretary Dominguez, can you also provide the
Department's investment plan to replace those temporary facilities with
permanent construction?
Mr. Dominguez. The National Defense Authorization Act for Fiscal
Year 2006 expanded authority allowed the Services to construct
facilities using operation and maintenance funds, providing commanders
the ability to respond to urgent situations and to an increased OPTEMPO
for the global war on terror. The Army constructed 18 interim Child
Development Centers for immediate use in fiscal years 2006-2007. The
intent was to address the most pressing child care needs at locations
impacted by high deployment and rebasing troop movements. These
facilities are linked to Future Years Defense Program Military
Construction projects and will remain operational through fiscal year
2013. All other construction under the expanded authority is either
permanent modular construction or renovation/addition of an existing
facility.
There are 742 child care centers across the DOD. In order to
recapitalize this large child care system, we estimate we need
approximately 18-20 centers per year. DOD still needs approximately
30,000 spaces.

34. Senator McCain. Secretary Dominguez, in fiscal year 2006, this
committee proposed a temporary authority, which later became law, to
permit the Department greater flexibility in the use of operations and
maintenance funds to construct child development centers. This
authority is set to expire on September 30, 2007. Does the Department
have a position on whether Congress should extend this temporary
authority?
Mr. Dominguez. All of the military Services would like an extension
of the expanded child care construction authority contained in section
2805 of the National Defense Authorization Act for Fiscal Year 2006. We
will continue to submit those projects to you as required by the
authority.
The Department moved forward with an emergency intervention
strategy to address the most pressing child care needs at locations
impacted by high deployments and rebasing. We will continue to address
child care with emergency supplemental actions.

35. Senator McCain. Secretary Dominguez, what projects and
locations has this authority been used?
Mr. Dominguez. The temporary program to use minor military
construction authority for the construction of child development
centers provides a means to increase the availability of quality,
affordable child care for servicemembers and their families to support
the global war on terror and an increased OPTEMPO. Commanders can use
operation and maintenance funding to respond to urgent situations.
The construction projects and locations are listed below (by
Service):

Army projects (Modular Facility Construction):

Fort Lewis, WA
Detroit Arsenal, MI
Fort Bragg, NC
Fort Lee, VA
Tobyhanna, PA
Anniston Army Depot, AL
Fort Sill, OK
Picatinny Arsenal, NJ
Redstone Arsenal, AL
Fort Polk, LA

Navy projects (Modular Facility Construction):

NAS JRB Fort Worth, TX
CBC Gulfport, MS
CNET Pensacola, FL

Air Force project is an addition to an existing facility:

Ramstein Air Base, Germany (2 projects)

The Department is appreciative of the flexibility this authority
allowed us in increasing spaces on a rapid basis. The DOD is committed
to expanding the child development system in order to meet the child
care demand due to high deployments and OPTEMPO. Under the temporary
minor military construction authorization, the Services initiated
projects, which will result in an increase of 1,785 child care spaces.
By supporting DOD families' need for child care, we contribute to the
efficiency, readiness, and retention of the total force. Without
extension of this authority, unmet child care needs will create stress
on families. Specific future need for the authority is unknown, since
Commanders use this in urgent situations, particularly as rebasing
demographics fluctuate.

impact of 2005 defense base realignment and closures on schools in the
local community
36. Senator McCain. Secretary Dominguez, I have a question about
the impact of the 2005 BRAC round on schools in the local communities
around bases that will see a significant increase in student
populations. As a result of BRAC, many military bases around the
country are expected to see increases in military and civilian
populations that exceed 5,000 personnel. Recent plans by the President
to grow the Army and Marine Corps end strength in the next 5 years by
about 91,000 personnel will result in greater population growths. As a
result, local communities who have always worked hard to support their
military bases, are faced with the daunting challenge of providing
housing and schools for the incoming students. Ideally, these
communities would like to have these additional schools constructed and
ready to go as the student population arrives. In order to do this,
these communities need accurate data and timelines for the student
population's arrival into the area.
Many communities raised a problem to the level of Congress last
year that this planning information was not forthcoming from the DOD.
This committee requested and received a DOD report on projected student
populations at each location, but some of the numbers in the report
conflict dramatically with numbers being provided to local communities
by installation commanders. These discrepancies are paralyzing the
local community's planning efforts and attempts to raise funds through
bond issuances. What can the Department do right now to assist the
local communities in their planning efforts to provide schools for our
military's children?
Mr. Dominguez. The data provided to Congress in the November 7,
2006, ``Report on Assistance to Local Educational Agencies for Defense
Dependent Education,'' was reported by each respective Service,
calculated by the total movement of servicemembers. However, when using
military servicemember data to evaluate the number of school age
children of military and civilian employees who will potentially be
moving to a particular military installation, the numbers need to be
evaluated in the proper context. The number of military servicemembers
moving to a particular installation may not be a true indicator on what
is actually happening in a particular community concerning the number
of dependents. There are many factors which go into a military member's
decisions to move and/or when to move their dependents to the new
location.
The most accurate accounting of the number of students occurs
between the local command and the local community. Housing locations
and availability, housing construction timelines, specific demographics
of the military members moving to a location, impact of deployment, and
an evolving mission of the Armed Services are factors in determining
accurate numbers of arriving students. Therefore, the Department always
encourages the local community to plan carefully with the installation
command to ensure the most accurate number and timeline.
To answer the question, ``What can the Department do right now to
assist the local communities in their planning efforts,'' the
Department's Office of Economic Adjustment (OEA) assists communities to
plan and carryout community activities in response to significant
impacts associated with Defense program changes. OEA's project managers
are currently working with 20 communities impacted by BRAC and Global
Defense Program Review actions. The assistance includes technical, and,
in some cases, grant assistance to local and State governments as they
prepare to organize, plan, and implement community development
activities in response to Defense personnel growth associated with
military installations. Additionally, OEA is working with other Federal
agencies to send teams to these designated communities to discuss
community growth plans, and will include a representative from the
Military Community and Family Policy Office in the teams, whenever
there are concerns about school expansion.

37. Senator McCain. Secretary Dominguez, are financial resources
from the Federal Government available to local communities for school
construction?
Mr. Dominguez. The Department does not have funds that would assist
communities in the construction of schools. School construction is
under the jurisdiction of the local and/or State government. However,
the Department is committed to identifying both Federal and private
financial alternatives for communities to consider when expanding
schools and/or districts.
The DOD collected the best practices from communities that
experienced growth and held a November 2006 conference in Atlanta, GA,
that offered communities and schools a wide range of ideas and
technical assistance in identifying resources for financial and
facilities planning.
Some of the information shared with the communities included
Federal resources, such as the United States Treasury Department's
program where LEAs can receive no-interest bonds through its Quality
Zone Academy Bond (QZAB) Program, primarily to support facility
renovation and repair projects. QZAB can assist LEAs in accommodating
additional students as a result of DOD force realignments through
renovations that increase capacity. For instance, one LEA renovated a
building that had not previously been used as a school, converting it
into a school building. QZAB also provides additional support, which
can potentially alleviate the pressure on other revenue sources
currently being programmed to accomplish repair and renovation
projects.
Additionally, the Department of Education shares its support for
public school programs, such as public charter schools, and gives
grants to States to assist the start-up costs and facilities costs of
charter schools. Other Federal grants may provide support to LEAs,
depending on specific community circumstances, such as the Qualified
Public Education Facility Bond Program.
Schools are encouraged to work with their local communities and
develop business plans. Military impacted schools who have worked with
their communities and examined traditional and alternative ways of
financing have found growth to be both a positive and rewarding
experience for military families and students.

[Whereupon, at 6 p.m., the subcommittees adjourned.]