[Congressional Record (Bound Edition), Volume 151 (2005), Part 1]
[Extensions of Remarks]
[Page 1452]
[From the U.S. Government Publishing Office, www.gpo.gov]




          THE MILITARY FAMILIES FINANCIAL SECURITY ACT OF 2005

                                 ______
                                 

                          HON. SUSAN A. DAVIS

                             of california

                    in the house of representatives

                      Wednesday, February 2, 2005

  Mrs. DAVIS of California. Mr. Speaker, I rise today to introduce the 
Military Families Financial Security Act of 2005. This bill will ensure 
the brave men and women who serve our country will not have to worry 
about losing critical services their dependent children need.
  The men and women who serve in our Armed Forces are everyday heroes. 
I know about the valor of military families from my own experience as a 
military wife when my husband was stationed in Japan during the Vietnam 
War. As a wife and mother in a foreign country with two young children, 
I observed that many servicemembers were also mothers and fathers and 
were making the same sacrifices I was. Just as these brave men and 
women are working to protect our nation, we must likewise protect them 
and their loved ones through the laws and policies we enact.
  In San Diego and around the country, some military families rely on 
the Supplemental Security Income program (SSI) for means-tested 
financial assistance. This safety net program is designed to protect 
qualifying families from poverty and provides access to valuable social 
services such as Medicaid. Without SSI, some special-needs families 
would not be able to cover their medical expenses.
  Current regulations threaten some military families' eligibility. 
They face a unique risk of losing benefits due to the way military pay 
is treated under SSI rules. The Social Security Administration (SSA) 
considers anything outside basic pay as ``unearned income.'' This 
method hurts servicemembers and their families since there are more 
than 30 types of military pay in addition to basic pay. These different 
pays, considered unearned income, result in higher countable income and 
affect eligibility. Just a few dollars can make all the difference in 
the world to these military families.
  My legislation would change how the SSA calculates income for SSI 
eligibility by treating most military compensation as earned income. 
This simple change will keep families eligible for SSI benefits and 
simplify the administration of this program.
  Last year, in testimony before the Human Resources Subcommittee of 
the Ways and Means Committee, Social Security Commissioner JoAnne 
Barnhart stated her support for such a proposal, which was part of the 
President's FY05 budget.
  As Commissioner Barnhart stated, ``The provision would treat cash 
military compensation and civilian wages alike, and thus eliminate the 
present unfair and disadvantageous treatment of cash military 
compensation other than basic pay under SSI. The proposal would 
increase SSI benefits for most military families with disabled 
children, which are currently about 3,000 families. It would be a 
significant program simplification in these cases and would have a 
relatively small program cost of only $2 million over 10 years.''
  She also mentioned how ``determining the difference in the types of 
military pay is time consuming and error prone, and the guidelines for 
making such determinations covers 14 pages in SSA's operating 
instructions.''
  As a proud member of the House Armed Services Committee, I am 
committed to improving the quality of life of the men and women who 
serve our country. This legislation is fair, overdue and demonstrates 
our nation's appreciation. This legislation will give servicemembers 
peace of mind from knowing that their duties will not jeopardize their 
families' eligibility for SSI benefits and related services.
  I urge you, Mr. Speaker, and all of my colleagues to pass this 
critical legislation into law.

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