Newsbytes March 27, 2026
 

In this issue:
Shutdown Eroding Coast Guard Operations  
Military Financial Literacy Act t 
TRICARE and VA Community Care  
VA Modernizes Home Loan Program  
The Major Richard Star Act
Written Consent Survey

Shutdown Eroding Coast Guard Operations  
In a sobering testimony before the House Homeland Security Committee on March 25, Coast Guard Vice Commandant Adm. Thomas Allan warned that the ongoing 41-day Department of Homeland Security (DHS) shutdown is causing deep and potentially lasting damage to the service’s operational capabilities. While active-duty members have remained paid through the use of emergency administrative funds, Adm. Allan emphasized that families are operating under a “grim uncertainty” regarding their upcoming April 1 paycheck. This marks the third time in just 176 days that Coast Guard personnel have been caught in a funding stalemate, a cycle that Allan says is fundamentally eroding the "sacred trust" the government holds with its defenders. 

The operational fallout of the 40-day funding lapse is staggering. The service has been forced to halt routine maritime patrols and fisheries enforcement, focusing only on "life-saving" and national security missions. Furthermore, the shutdown has stopped the processing of merchant mariner credentials for over 16,000 applicants, creating a ripple effect that could cost the U.S. economy billions of dollars. Adm. Allan estimated that the service has already incurred over $200 million in unpaid bills, leaving critical infrastructure in "imminent danger" of utility shutoffs and fuel delivery refusals. 

Perhaps most damaging is the long-term impact on the Coast Guard’s workforce and industry partnerships. The service is currently unable to pay the vendors who feed recruits at the Cape May training center, and ship maintenance contractors are increasingly voicing their unwillingness to work without pay. Adm. Allan warned that these companies may soon stop bidding on Coast Guard contracts entirely, choosing instead to work with the Navy or Marine Corps, where funding is secure. This "contractor flight" could leave the Coast Guard with a multimillion-dollar maintenance backlog that Allan estimates will take two and a half days to recover for every single day the shutdown continues. 

The Association views this testimony as a clarion call for immediate legislative action. As recruitment and retention already face significant headwinds, the added stress of financial instability is a "readiness killer" that our sea services cannot afford. The FRA is utilizing these specific data points, the $200 million debt, the 16,000 stalled credentials, and the July recovery timeline, to press Congressional leaders for an immediate resolution. We maintain that the men and women executing dangerous missions and rescue operations should not have to worry about whether they can afford groceries because of political gridlock in Washington. 

Military Financial Literacy Act  
In a significant move to strengthen the financial readiness of the force, Representatives Kristen McDonald Rivet (MI-08) and Pat Harrigan (NC-10) introduced the bipartisan Military Housing Financial Literacy Act. This legislation would require the Department of War (DoW) to partner with credentialed counseling organizations to provide personalized, one-on-one guidance to service members on complex housing issues. The Association views this as a vital step in protecting Navy, Marine Corps, and Coast Guard families from the financial pitfalls often associated with frequent Permanent Change of Station (PCS) moves. 

The bill addresses a critical gap in current military training, where "housing literacy" is often relegated to a quick, non-mandatory briefing. Under the new proposal, the DoD would provide expert counseling on topics including budgeting for a new home, understanding VA home loan benefits, and identifying predatory lending practices. Congressman Harrigan, a veteran himself, emphasized that "a quick briefing just doesn't cut it" for service members who are constantly on the move and are often seen as easy targets by unscrupulous lenders in new markets. 

The FRA has long advocated for improved financial education, and this bill specifically targets the "housing instability" that damages force readiness and retention. By providing service members with a "real expert" to walk them through credit management and their legal rights under the Servicemembers Civil Relief Act (SCRA), the DoW can reduce the significant stress that housing decisions place on military families. The Association believes that financial readiness is a core component of mission readiness, and this bill provides a mission-focused solution for those serving on active duty and those transitioning to civilian life. 

The Military Financial Literacy Act is currently supported by a broad coalition of advocacy groups. As this bill moves to the relevant committees for consideration, the FRA will be actively lobbying for its inclusion in the upcoming legislative cycle. We maintain that our heroes in uniform deserve safe, dignified, and financially sustainable housing options, and providing them with the tools to navigate the modern housing market is a common-sense step to strengthen the total force. 

TRICARE and VA Community Care  
The TRICARE program and the Department of Veterans Affairs’ Community Care Network continue to demonstrate the growing scale and importance of outsourced healthcare delivery for servicemembers, retirees, and veterans. According to March updates, TriWest Healthcare Alliance has processed more than 36.7 million TRICARE claims totaling over $8.3 billion, alongside 17.8 million VA community care claims since March 2025. Beneficiaries and veterans have collectively received tens of millions of appointments and encounters, underscoring the increasing reliance on private-sector provider networks to meet demand across the total force. 

Access to care remains a central focus, with both systems advancing policies and tools to improve the patient experience. The Defense Health Agency has implemented a new policy allowing patients to request chaperones during medical or dental visits at military treatment facilities, reinforcing transparency and trust within the Military Health System. On the VA side, TriWest is supporting the rollout of the External Provider Scheduling system, a digital platform that enables real-time appointment booking with community providers. This system is designed to reduce delays by issuing referral authorizations at the exact time of scheduling, addressing a long-standing pain point for veterans. 

Digital modernization efforts are also being paired with a heightened focus on cybersecurity risks. TRICARE officials are currently warning beneficiaries about fraudulent websites designed to mimic the MHS GENESIS patient portal to steal sensitive personal and medical information. These scams highlight the need for extreme vigilance as more healthcare services shift online. Simultaneously, the VA’s scheduling modernization effort reflects a broader push to streamline digital access while safeguarding patient data by strictly limiting the sharing of electronic health records to authorized providers only. 

Both systems are also expanding support services that address the broader well-being of beneficiaries and veterans. TRICARE has introduced virtual community groups focused on chronic conditions such as mental health and diabetes, creating peer support networks led by trained facilitators. Meanwhile, TriWest is partnering with organizations like America’s Warrior Partnership to improve quality of life and reduce veteran suicide. The FRA will continue monitoring these developments to ensure both TRICARE and VA community care programs deliver timely, secure, and high-quality care for the sea services and veteran communities. 

VA Modernizes Home Loan Program  
The Department of Veterans Affairs (VA) has announced a sweeping modernization of the VA Home Loan Guarantee Program, aimed at simplifying the path to homeownership for veterans and service members. This initiative focuses on digitizing the application process and streamlining the appraisal requirements that have historically caused delays in competitive housing markets. By transitioning to more agile, technology-driven systems, the VA intends to ensure that the VA home loan remains the premier financing tool for those who have served. 

A cornerstone of this modernization is the enhancement of the Certificate of Eligibility (COE) system, which will now provide real-time updates and more automated processing. Previously, many veterans faced frustrating administrative hurdles just to prove their eligibility to lenders. The new digital interface is designed to reduce the "paperwork burden" on both the veteran and the lender, making VA-backed offers more attractive to sellers who are often wary of the perceived complexities of government-backed financing. 

The Association views these administrative improvements as a vital complement to our ongoing legislative efforts. These updates, which include more flexible appraisal options and digital signatures for key disclosures, directly address those competitive disadvantages. We believe that modernizing the delivery of this benefit is essential to maintaining the "earned value" of the home loan program for the modern sea service family. 

This modernization effort also includes increased oversight of participating lenders to ensure that veterans are receiving the best possible terms. The VA is implementing new data analytics tools to monitor loan performance and lender compliance with VA standards. The FRA will continue to work with the VA Loan Guaranty Service to ensure that these technological shifts do not leave behind older veterans who may require more traditional support. Our goal is to ensure that every eligible Navy, Marine Corps, and Coast Guard veteran can leverage this benefit to achieve long-term financial stability through homeownership. 

Major Richard Star Act:
The Major Richard Star Act (H.R.2102/S.1032) has become the primary legislative target for the Association as we push for its inclusion in the National Defense Authorization Act (NDAA) for Fiscal Year 2027. This bipartisan bill is designed to end the "wounded veteran tax", a dollar-for-dollar offset that forces over 54,000 combat-injured veterans to forfeit their earned Department of Defense (DoW) retirement pay to receive VA disability compensation. The FRA will be visiting the offices of the military personnel committee members of both chambers to advocate for the bill in the upcoming April 23rd Hill Visit. 

Currently, the bill holds an overwhelming 315 cosponsors in the House and 77 in the Senate, yet it requires a formal hearing in the Armed Services Committees to move into the final NDAA base text. The Association is specifically working to counter the "double-dipping" myth used by some legislators to block the bill. We maintain that retirement pay is earned for a career of service, while disability compensation is an indemnity for the loss of future earning potential due to injury; they are two distinct benefits that should never be offset against one another. 

Inclusion in the NDAA base text, expected this summer, is the only feasible path for the bill this legislative cycle. To support this, CLICK HERE

Your Health. Your Right to Know. Your Voice Matters.
You served with honor and made high-stakes decisions with full awareness of the risks. You deserve that same transparency in your healthcare. Currently, many veterans receive powerful medications without full written disclosure of risks, side effects, or alternatives.

H.R. 4837, the Written Informed Consent Act, puts control back in your hands. This legislation ensures written informed consent is required not just for opioids, but also for antidepressants, antipsychotics, stimulants, and anxiolytics.

This means:
Full information before treatment begins.
Clear understanding of risks and alternatives.
The power to make informed decisions for your body and future.

This is about accountability and protecting those who have given so much. We need your voice. Take a moment to complete this survey and stand in support of stronger protections. You fought for this country; now fight for your right to informed care.

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