MIL News Weekly

MIL News Weekly 8-14 Mar 2026 (Episode 41)
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[00:00:00] Weekly Briefing Intro
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Welcome to the MIL News Weekly for 8-14 March 2026, your essential guide to the latest news impacting the military and veteran community. Whether you're currently serving in uniform, a military retiree, a veteran, or a family member, this is your source for the critical updates you need to know.

Each week, we cut through the noise to bring you the most important developments from the Pentagon, Capitol Hill, and the Department of Veterans Affairs. We’ll cover everything from new policies and pay raises affecting active and reserve forces, to changes in healthcare and benefits for retirees, and the latest on VA services and legislation for our veterans. Let's get you informed. Here’s what’s happened this past week.

[00:00:39]  Issues That Affect Active and Reserve Military Personnel
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Issues That Affect Active and Reserve Military Personnel

As stated previously, we will not cover Operation Epic Fury in this podcast. Use other sources for that information.

[00:00:49] Warrior Dividend and BAH
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During a national address, the President announced the "Warrior Dividend"—a one-time, tax-free payment of $1,776 for roughly 1.45 [00:01:00] million service members. While the administration initially suggested the funds were derived from tariff revenue, it has since been clarified that the $2.6 billion disbursed was sourced from supplemental Basic Allowance for Housing (BAH) funds appropriated in the "One Big Beautiful Bill Act" passed in July 2025.

Eligibility for this dividend is broad but specific. It applies to active-duty members in pay grades O-6 and below, as well as Reserve and Guard members who were on active-duty orders of 31 days or more as of 30 November 2025. Because it is structured as a BAH supplement, the IRS confirmed on 16 January 2026 that these payments are "qualified military benefits" and are entirely exempt from federal, state, and Social Security taxes. Speaking of housing, the 2026 BAH rates officially took effect on 1 January 2026, with a national average increase of 4.2%. High-cost areas have [00:02:00] seen even steeper climbs, such as an 8% increase in San Francisco and 5% in Seattle and Staten Island.

[00:02:06] Force Growth and Marksmanship
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A key protection to remember is the "Individual Rate Protection." This policy ensures that as long as you remain at the same duty station with uninterrupted eligibility, your BAH will not decrease, even if local market rents fall. Looking at the broader force structure, the 2026 National Defense Strategy (NDS) signals a period of strategic growth. Congress has authorized an increase of 30,000 active-duty personnel this year, with the Army set to reach an end-strength of 454,000 and the Navy 334,600. This growth is paired with a slight decrease of 1,400 positions in the Reserve and Guard, reflecting a "strategic bet" on active component capacity.

[00:02:48]  Issues That Affect Retired Military Personnel
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Issues That Affect Retired Military Personnel

As we pivot to the issues facing our retired community, the dominant topic this week remains the implementation of the 2.8% cost-of-living adjustment [00:03:00] (COLA) that took effect on 1 December 2025. While this increase is helping retirees keep pace with inflation, it has highlighted a long-standing disparity between the various retirement systems. For instance, those who retired under the Civil Service Retirement System (CSRS) received the full 2.8% increase, but those under the newer Federal Employees Retirement System (FERS) saw their COLA capped at 2.0%. This "diet COLA" occurs because FERS rules cap adjustments at 2% when inflation is between 2% and 3%. To address this, Senator Alex Padilla reintroduced the Equal COLA Act on 3 March 2026.

[00:03:40] Social Security Fairness Fallout
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This bill, cited as S. 624, aims to standardize COLAs across both systems, ensuring all federal retirees receive the full inflationary adjustment regardless of when they were hired. Another major legislative implementation story this week involves the Social Security Fairness Act (SSFA), which repealed the [00:04:00] Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). The Social Security Administration (SSA) began issuing lump-sum retroactive payments in late February 2026 to return benefits withheld since January 2024.

However, as of 10 March 2026, many retirees are still waiting on these funds. The SSA has processed nearly 3.2 million cases, but they are asking beneficiaries to wait until April 2026 to inquire about delays, as complex cases must be handled manually. There is also a growing concern regarding the "six-month retroactivity limit" for new applicants under the SSFA. Senators Bill Cassidy and John Fetterman have urged the SSA to waive this limit for retirees who did not file for benefits previously because the WEP/GPO penalties made it financially unfeasible. Furthermore, retirees should be aware of a "windfall shock" this tax season.

Because these retroactive lump-sum payments are [00:05:00] taxable in the year received, some seniors could find themselves in a higher tax bracket or facing higher Medicare Part B and D premiums due to the IRMAA adjustment. In some states like Illinois, this income spike has even caused some seniors to lose their low-income property tax freeze.Healthcare costs for retirees have also seen notable changes for 2026.

[00:05:22] TRICARE Fees and OPM Backlog
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TRICARE Prime enrollment fees for retirees increased to $381.96 for individuals and $765 for families. TRICARE Select fees rose to $186.96 for individuals and $375 for families. Perhaps the most significant hike was for TRICARE Young Adult Select, which saw premiums jump by 7% to $363 per month. On the administrative front, the Office of Personnel Management (OPM) reported on 7 March 2026 that the retirement application backlog has nearly doubled since last October, reaching over 65,200 pending [00:06:00] cases.

This delay often leaves new retirees waiting months for their full annuity payments, relying on smaller "interim" checks in the meantime.In response to these challenges, we are tracking several key bills in Congress:

Federal Retirement Fairness Act (H.R. 1522) ( https://www.nalc.org/government-affairs/legislative-updates)

Reintroduced on 24 February 2025 by Representatives Nikki Budzinski and Gerry Connolly, this bill allows federal employees who began their careers in temporary or "non-career" positions to make catch-up contributions so those years count toward their retirement.

Equal COLA Act (H.R. 491 / S. 624) ( https://www.padilla.senate.gov/newsroom/press-releases/padilla-introduces-bill-to-standardize-cost-of-living-adjustment-for-retired-federal-employees/)

Aims to eliminate the disparity between CSRS and FERS COLAs, ensuring all retirees receive the full adjustment based on the Consumer Price Index.

No Tax on Restored Benefits Act ( https://www.narfe.org/narfe-bill-tracker/)

A bipartisan bill referred to the House Committee on Ways and Means on 4 February 2026 that would exclude the retroactive lump-sum payments from the Social Security Fairness Act from being counted as gross income, protecting seniors from a massive tax bill in [00:07:00] 2026.

[00:07:00]  Issues That Affect Veterans Affairs
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Issues That Affect Veterans Affairs

This week, VA Secretary Doug Collins traveled to the Georgia State Capitol on 12 March 2026 to announce a major effort to simplify the disability claims process. Collins noted that the current 18-page application is being reduced to just three or four pages.

[00:07:17] Dole Act Care and Housing
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The Secretary also reported that the disability claims backlog has dropped below 100,000 for the first time since May 2020, with the average processing time falling from 137 days to 77 days. A significant legislative implementation milestone was discussed during a House subcommittee hearing on 4 March 2026 regarding the Elizabeth Dole 21st Century Veterans Healthcare and Benefits Improvement Act (Public Law 118-210).

This law, signed in 2025, is now actively changing how care is delivered. For instance, as of 12 January 2026, the VA has officially increased the expenditure cap for non-institutional care alternatives from 65% to 100% of the [00:08:00] cost of nursing home care. This change is specifically designed to allow veterans with conditions like ALS or spinal cord injuries to remain in their homes rather than being forced into institutional settings. Additionally, under Section 402 of the Dole Act, the VA increased the maximum per diem rate for homeless veteran transitional housing from 115% to 133% of the state home rate.

The VA also now has the authority to waive this cap entirely, allowing for payments up to 200% in high-cost areas or during natural disasters to ensure these critical services remain available. We are also seeing a major shift in veterans' Second Amendment rights.

[00:08:38] New Bills
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Several new bills were introduced or advanced between 8 March 2026 and 14 March 2026 that could significantly impact the veteran community:

H.R. 7908: Individuals with 20 or More Years of Service Educational Assistance ( https://www.congress.gov/bill/119th-congress/house-bill/7908)

Introduced on 12 March 2026, this bill provides an additional 36 months of educational entitlement (similar to the [00:09:00] Post-9/11 GI Bill) for those who serve 20 or more years in the Armed Forces, effectively granting a second GI Bill for career retirees.

H.R. 7841: Infertility and Toxic Exposure ( https://www.congress.gov/bill/119th-congress/house-bill/7841)

Referred to committee on 5 March 2026, this bill seeks to include infertility as a condition presumed to be incurred or aggravated by toxic exposure during military service.

H.R. 7112: Veterans’ Bill of Rights Act of 2026 ( https://trackbill.com/bill/us-congress-house-bill-7112-veterans-bill-of-rights-act-of-2026/2777503/)

Debated this week after a 15 January 2026 introduction, this act requires the VA to clearly inform veterans of their rights to healthcare, benefits, and dignified service.

H.R. 7838: Veterans Artwork Procurement Act ( https://legiscan.com/US/pending/house-veterans-affairs-committee/id/2316)

Actioned on 5 March 2026, this allows VA medical centers to directly procure original artwork from veteran patients, supporting therapeutic programs and veteran income.

H.R. 7795: Veteran-Owned Small Business Database ( https://legiscan.com/US/pending/house-veterans-affairs-committee/id/2316)

Referred on 4 March 2026, this requires the VA to maintain a database of certified veteran-owned small businesses [00:10:00] to ensure they meet subcontracting goals.

[00:10:02] VA Apportionment Rule Change
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The VA has stopped granting new need-based apportionments of disability benefits, where a portion of a veteran's check is paid directly to a dependent. The VA stated that state family courts are better equipped to handle these complex family law issues. Apportionments will now only be granted in cases where the veteran is incarcerated or institutionalized at government expense.

[00:10:24] Wrap Up and Subscribe
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And that's your Weekly Briefing. Staying on top of these changes is key to navigating your career, your retirement, and your benefits.

Thank you for tuning in. Be sure to subscribe wherever you get your podcasts, so you never miss an update. We’ll be back next week with another roundup of the news that matters most to the military and veteran community.