United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 2006-07-26 monographic deposited born digital 18 p. GA 1.13:GAO-06-837R https://www.govinfo.gov/app/details/GAOREPORTS-GAO-06-837R P0b002ee180386275 f:d06837r DGPO 2010-08-12 2011-03-28 GAOREPORTS-GAO-06-837R machine generated eng fdlp REPORT GAOREPORTS-GAO-06-837R GAO-06-837R Beneficiaries Federal funds Federal legislation Financial analysis Financial statement audits Military dependents Program evaluation Veterans benefits Military Retirement Fund Survivor Benefit Plan Correspondence A57582

This report responds to a legislative mandate to report on the effects of certain program changes on the actuarial soundness of the Survivor Benefit Plan (SBP) program, which is part of the Department of Defense's (DOD) Military Retirement Fund (Fund). The primary purpose of the SBP is to provide benefits to the surviving dependents of deceased members or retirees of the armed forces. In certain cases, individuals other than dependents can be designated recipients of survivor benefits. The Fund accumulates financing resources in order to fund, on an actuarially sound basis, the liabilities of the military retirement and SBP programs. The SBP was created by legislation enacted on September 21, 1972, and has been modified various times by subsequent legislation. The fiscal year 2006 National Defense Authorization Act requires that we report to Congress on (1) the effect of recent significant SBP program changes on the actuarial soundness of the program, (2) the effect of these significant SBP program changes by the various categories of participants and in total on (a) DOD normal cost payments for the program and (b) Department of the Treasury (Treasury) payments to amortize the unfunded liability amounts, (3) the potential effects to Treasury and DOD payments that would result from the following two legislative changes: (a) the enactment of a law permitting participants in the program to designate an insurable interest if a previously designated beneficiary dies and (b) the enactment of a law repealing the Dependency and Indemnity Compensation (DIC) offset (10 U.S.C. 1450(c), 1451(c)(2)) for beneficiaries, and (4) the effect that each of the two potential legislative changes would have on the actuarial soundness of the SBP. https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-06-837R/html/GAOREPORTS-GAO-06-837R.htm https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-06-837R/pdf/GAOREPORTS-GAO-06-837R.pdf GAO-06-837R https://www.govinfo.gov/app/details/GAOREPORTS-GAO-06-837R Correspondence GAO-06-837R; Financial Management: Implications of Significant Recent and Potential Changes for the Actuarial Soundness of the Department of Defense Survivor Benefit Plan Program; Beneficiaries Federal funds Federal legislation Financial analysis Financial statement audits Military dependents Program evaluation Veterans benefits Military Retirement Fund Survivor Benefit Plan Title 10 Section 1450(c) Title 10 Section 1451(c)(2) 10 U.S.C. 1450(c) 10 U.S.C. 1451(c)(2) Title 38 Chapter 13 38 U.S.C. Chapter 13 Volume 70 Page 857 70 Stat. 857 Volume 86 Page 706 86 Stat. 706 Volume 97 Page 614 97 Stat. 614 Volume 99 Page 583 99 Stat. 583 Volume 112 Page 1920 112 Stat. 1920 Volume 114 Page 1654 114 Stat. 1654 Volume 115 Page 1012 115 Stat. 1012 Volume 117 Page 1392 117 Stat. 1392 Volume 118 Page 1811 118 Stat. 1811 Volume 119 Page 3136 119 Stat. 3136 Public Law 84-881 Public Law 92-425 Public Law 98-94 Public Law 99-145 Public Law 105-261 Public Law 106-398 Public Law 107-107 Public Law 108-136 Public Law 108-375 Public Law 109-163