Gates Seeking to Contain Military Health Costs

Gates Seeking to Contain Military Health Costs
By ELISABETH BUMILLER and THOM SHANKER
Published: November 28, 2010

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Of nearly 4.5 million military retirees and their families, about three-quarters are estimated to have access to health insurance through a civilian employer or group. But more than two million of them stay on Tricare. As the costs of private health care continue to climb, their numbers are only expected to grow.

Now, as part of a broad offensive to cut Pentagon spending, that group is once again in the sights of Defense Secretary Robert M. Gates, who is seriously considering whether to ask for Tricare fee increases in next year’s budget — and perhaps start one of the last fights of his public career.

Already, he has met with the chairmen of President Obama’s bipartisan fiscal commission, which faces a deadline this week for getting an agreement on a plan to address the federal budget deficit.

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The battle over Tricare pits the efforts of the Pentagon to contain the exploding cost of health care for nearly 10 million eligible beneficiaries against the pain and emotions of those who say they have already “paid up front” with service in uniform, particularly those who deployed to America’s two current wars. The 10 million figure includes active-duty personnel, retirees, members of the National Guard and Reserves and their families.

The arguments reflect the broader debate over the huge Pentagon budget that will intensify next year when Mr. Gates, who says he will step down in 2011, continues his campaign to cut off what he calls the “gusher” of defense spending. Total health care costs for the Pentagon, which is the nation’s single largest employer, top $50 billion a year, a tenth of its budget and about the same amount that it is spending this year on the war in Iraq. Ten years ago, health care cost the Pentagon $19 billion; five years from now it is projected to cost $65 billion.



unhappycamper comment: Balancing the needs of our veterans against the needs of the MIC machine is not a good choice, Mr. Gates.

the military has that don't work or work poorly.

They got hurt in the military, then the military should have to pay for it. It is a shame that asshole Gates is going to try to cut the budget by placing it on the backs of retired and wounded soldiers.

why should that end when they get out?

P.S.-my partner is one of those pond scum(aka veteran of Vietnam and Persian Gulf Wars) who is on Tricare.He'll be pleased.