Newsbytes February 28, 2025
In this Issue:
2025 Legislative Survey Results
VA Sets New Record
Trump Initiates Major Pentagon Leadership Overhaul
Navy Secretary Nominee Hearing
DoD Introduces FSA
2025 Legislative Survey Results
The Fleet Reserve Association (FRA) has unveiled the results of its 2025 legislative survey. Representing enlisted personnel from the Navy, Marine Corps, and Coast Guard, the FRA surveyed active-duty members, reservists, retirees, veterans, and their families to pinpoint critical issues. The findings highlight healthcare access, retirement benefits, and quality-of-life concerns as key areas of focus. These results will not only shape FRA’s advocacy but also be weighed against the legislative agendas of the sea services to ensure alignment and impact.
Healthcare remains a cornerstone issue for FRA members, particularly retirees who form the largest respondent group. Access to and quality of TRICARE and VA healthcare topped their concerns, with strong resistance to fee increases and privatization of VA services. Many expressed frustration over unfulfilled promises of free lifetime healthcare, a sentiment echoed by veterans who oppose limiting VA care to service-connected conditions. FRA aims to push for policies that maintain robust, affordable healthcare options, ensuring the sea services’ legislative plans address these pressing needs.
Retirement benefits also emerged as a critical focus, especially for retirees who dominate the survey’s demographic. Protecting cost-of-living adjustments (COLA) for retired pay and securing concurrent receipt of military retired pay and VA disability compensation are top priorities. Members overwhelmingly believe these benefits are earned through decades of service, a view FRA will champion in discussions with lawmakers and sea service leadership. This emphasis seeks to safeguard financial stability for those who’ve dedicated their careers to the nation.
Quality-of-life benefits, from commissary privileges to burial options, round out FRA’s agenda. Active-duty respondents, though few, stressed the importance of housing allowances and education benefits, while retirees valued caregiver support and exchange privileges. A notable proposal—creating a second national military cemetery to complement Arlington—gained traction, reflecting a desire to preserve military honors without restrictive burial policies. FRA will advocate for these enhancements, ensuring they resonate with the broader goals of the Navy, Marine Corps, and Coast Guard.
These member-driven priorities will guide FRA’s advocacy efforts and dialogue with sea service leaders. By aligning its advocacy with the legislative agendas of the Navy, Marine Corps, and Coast Guard, FRA aims to amplify its influence on Capitol Hill and within the Department of Defense. The survey’s clear message—honoring service with tangible support—sets the stage for a year of focused action to uphold the promises made to sea service personnel and their families.
VA Sets New Record
The Department of Veterans Affairs (VA) has reached a significant milestone by processing over one million disability claims in Fiscal Year 2025, achieving this feat nearly two weeks earlier than in FY24. This marks the fastest claims processing rate in the department's history, despite a 15.6% increase in claims submissions compared to the previous year.
Notably, the VA recorded its ten highest claims processing days within the last month alone, with February 12 setting an all-time record—over 12,000 claims processed in a single day. Of the more than one million claims completed so far in FY25, over 60% were granted, leading to $62 billion in compensation and pension benefits distributed to approximately 6.9 million veterans and survivors. The department’s claims accuracy rate has also risen to over 92%, demonstrating a commitment to precision and fairness in evaluating claims.
VA Secretary Doug Collins credited this achievement to the leadership of President Trump, stating, "Under the leadership of President Trump, we are strengthening the department so it works better for Veterans, families, caregivers, and survivors." He emphasized the VA's commitment to enhancing service levels and ensuring timely benefits for those who have served the nation.
This milestone reflects the VA’s ongoing efforts to improve efficiency and responsiveness in handling disability claims. By leveraging streamlined processes and technological advancements, the department is ensuring that veterans receive the support they deserve with unprecedented speed and accuracy.
Trump Initiates Major Pentagon Leadership Overhaul
On February 21, 2025, President Donald Trump announced the dismissal of several top military officials, marking a significant shakeup within the Department of Defense. The firings, detailed in a statement from Defense Secretary Pete Hegseth, include Chairman of the Joint Chiefs of Staff Gen. Charles Q. Brown, Chief of Naval Operations Adm. Lisa Franchetti, and Air Force Vice Chief of Staff Gen. Jim Slife. This move, reported by Navy Times on February 22, 2025, reflects an effort to realign military leadership with the administration’s priorities.
Gen. Brown, the second Black chairman in U.S. history, was replaced by retired Air Force Lt. Gen. Dan Caine, nominated by Trump as the next Joint Chiefs chairman. Hegseth praised Caine’s “warfighter ethos,” noting his suitability for current challenges, though no immediate replacements were named for Franchetti or Slife. Hegseth indicated that nominations for these roles, along with the judge advocates general for the Army, Navy, and Air Force—also removed in the purge—are being sought, signaling further changes ahead.
The purge follows Trump’s earlier appointment of Brown as Air Force chief of staff in 2020, a tenure that saw unanimous Senate confirmation. Franchetti, the first woman to serve as Navy chief, and Slife, a seasoned Air Force officer, were both lauded by Hegseth for their distinguished careers despite their abrupt exits. The dismissals coincide with plans to cut 5,400 Pentagon civilian jobs, part of a broader effort to streamline the department amid budget and deployment shifts.
This leadership overhaul comes less than 18 months into Brown’s term as chairman, a role he assumed under President Joe Biden in 2023 with bipartisan support. Caine’s nomination, pending Senate approval, breaks tradition as he is not a current four-star officer, raising questions about experience requirements typically mandated for the position. The administration’s actions suggest a focus on reshaping the military’s upper ranks to align with its strategic vision.
As Hegseth assumes control, the military faces potential disruption while adapting to new leadership and reduced staffing. The coming months will reveal how these changes impact operational readiness and policy direction.
Navy Secretary Nominee Hearing
John Phelan, President Donald Trump’s nominee for Secretary of the Navy, outlined significant challenges facing the Navy during his Senate confirmation hearing on February 27, 2025. Speaking to the Senate Armed Services Committee, the businessman with a background in real estate and finance described the fleet’s issues—such as shipbuilding delays and maintenance backlogs—as “deep systemic problems.” Lacking military experience, Phelan emphasized his private-sector expertise as key to improving naval operations.
The hearing proceeded without major contention, differing from earlier Pentagon nomination disputes. Phelan highlighted his success in business as preparation for tackling the Navy’s logistical and operational difficulties, citing a shrinking fleet amid growing global demands. Chairman Sen. Roger Wicker (R-Miss.) and other committee members responded positively to his focus on efficiency, suggesting strong support for his confirmation.
Phelan addressed recent developments, including the dismissal of Chief of Naval Operations Adm. Lisa Franchetti and proposed Pentagon budget cuts that could eliminate 5,400 civilian positions. He avoided detailed responses, deferring to Defense Secretary Pete Hegseth, but committed to evaluating the cuts’ effects on Navy readiness. His approach blended a promise of accountability with recognition of broader Pentagon leadership.
His proposed priorities include streamlining shipyard operations, updating aging ships, and improving recruitment efforts, all aimed at enhancing fleet preparedness. While some senators noted his lack of military service, his emphasis on practical solutions gained traction across the committee, positioning him as a likely appointee.
The hearing coincided with the FRA’s release of its 2025 legislative priorities, which focus on sailor and retiree benefits, highlighting workforce issues Phelan may need to address. If confirmed, he will confront the task of implementing his plans within a complex Navy framework. His testimony laid out a clear intent to prioritize operational improvements.
DoD Introduces FSA
The Department of Defense (DoD) has introduced the Health Care Flexible Spending Account (HCFSA), a new benefit for active-duty service members. Announced on February 27, 2025, this program allows troops to set aside pre-tax dollars to cover out-of-pocket medical expenses, providing greater financial flexibility. While TRICARE offers comprehensive coverage, service members often face additional health care costs. The HCFSA helps alleviate this burden, making essential medical care more accessible and affordable.
Through the HCFSA, service members can allocate up to $3,200 annually for qualified health expenses, including co-pays, deductibles, prescription medications, and eligible over-the-counter items. Funds are accessed via a debit card, simplifying payments at pharmacies and medical providers. Enrollment occurs during the Federal Benefits Open Season, typically from mid-November to mid-December, with contributions taking effect on January 1 of the following year.
This initiative is part of the DoD’s broader efforts to improve the quality of life for its 1.3 million active-duty personnel. Financial stress can impact mission readiness, and the HCFSA is designed to ease that burden. “Our service members deserve every tool we can provide to stay focused and healthy,” a DoD official stated. The program also aligns military benefits more closely with those of federal civilian employees, who have long had access to similar flexible spending accounts.
The response to the HCFSA has been positive, with service members recognizing its value for expenses such as orthodontics and unexpected medical costs not fully covered by TRICARE. Military family advocacy groups have also welcomed the initiative, noting its potential to benefit spouses and dependents. However, the DoD cautions that unspent funds do not carry over year-to-year, emphasizing the importance of careful planning when selecting contribution amounts.
The Fleet Reserve Association (FRA) strongly supports this initiative, recognizing its vital role in enhancing health benefits for service members. By addressing a key financial stressor, the HCFSA strengthens individual well-being and overall force resilience. Service members are encouraged to explore details on the TRICARE website or through local benefits offices to ensure they maximize this valuable new resource.