Newsbytes October 3, 2025 
 

In this issue:
VA Operations Amid Government Shutdown
U.S. Military Faces Pay Delays
VA Extends Support for Family Caregivers 
New Fitness and Training Reforms
Navy Achieves Historic Recruiting Milestone
Pentagon Weighs Privatization of Commissaries 

VA Operations Amid Government Shutdown
According to House Veterans’ Affairs Committee staff, 96% of VA employees will remain on duty, ensuring continuity in medical care, benefits processing, and other essential operations. Out of 458,699 employees, 440,878 will stay on the job, with only about 17,821 expected to be furloughed. 

Critical services such as VA health care, suicide prevention efforts, homelessness programs, caregiver support, and the Veterans Crisis Line will continue without interruption, thanks to advance appropriations for the Veterans Health Administration. Likewise, the Veterans Benefits Administration will carry on with disability claims, pension payments, education benefit claims, and loan guaranty programs, while the National Cemetery Administration will continue providing interment services and scheduling burials. 

However, not all VA operations will continue. A shutdown would suspend the GI Bill call center, veteran readiness and employment services, Transition Assistance Programs (TAP), headstone installations, and grounds maintenance at national cemeteries. Investigations into misconduct within the VA, as well as most outreach and media engagement, would also halt. 

More concerning are programs that require congressional reauthorization. The Fox Suicide Prevention Grant Program, which funds community mental health providers, would be frozen, potentially disrupting services for veterans at risk of suicide. Other lapses would affect homelessness reintegration services, supportive housing assistance, and specialized mental health treatment for veterans with serious illnesses. Additionally, benefits such as co-pay collections, adapted housing grants, and the Manila VA Regional Office could see disruptions. 

The Fleet Reserve Association (FRA) strongly urges Congress to work together to pass full appropriations to fund the federal government. FRA emphasizes that while health care and benefits payments remain secure, many vital support programs for veterans face serious risks under a shutdown. Veterans with questions can continue to reach VA specialists through MyVA411 at 800-698-2411, which will remain staffed around the clock during any lapse in funding. 
 

U.S. Military Faces Pay Delays
The U.S. government officially entered a shutdown on October 1 after Congress failed to pass a federal funding bill, triggering significant concerns for military personnel and operations. While essential functions continue, the shutdown has placed thousands of active-duty service members, National Guard and Reserve troops, and Department of Defense civilian employees in a financial limbo. 

Active-duty personnel are required to maintain all duties despite the halt in pay. Under the Government Employee Fair Treatment Act of 2019, they are entitled to retroactive compensation once the shutdown concludes, but immediate financial strain is unavoidable. National Guard and Reserve members on active duty face similar pay delays, and essential civilian employees remain on duty without compensation, while many others are furloughed. 

Financial institutions historically supportive during shutdowns, such as Navy Federal Credit Union and USAA, have stepped in to offer assistance. Programs including 0% APR loans and emergency financial aid aim to help service members manage delayed paychecks, a pattern seen in previous shutdowns. However, these measures provide short-term relief rather than a long-term solution. 

Operationally, the impact has been mixed. Essential military missions, including overseas deployments and munitions transport from key hubs like Travis Air Force Base, continue uninterrupted. Public-facing events, however, have been affected, with the Pacific Airshow in Huntington Beach proceeding without U.S. military aircraft, highlighting the tangible effects of the shutdown on morale and public engagement. 

Legislative efforts to secure timely pay, such as the "Pay Our Troops Act of 2026" introduced by Rep. Jen Kiggans, stalled before the House recessed. The Fleet Reserve Association (FRA) is urging members and supporters to contact Congress to advocate for passage of the bill, emphasizing that active-duty service members should receive timely compensation. Without immediate congressional action, service members continue to face uncertainty, though back pay is guaranteed once funding resumes. 

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VA Extends Support for Family Caregivers 
The Department of Veterans Affairs (VA) has finalized a rule extending eligibility for certain participants in the Program of Comprehensive Assistance for Family Caregivers (PCAFC). The extension ensures that legacy participants, legacy applicants, and their Family Caregivers will remain eligible through September 30, 2028, honoring VA’s earlier commitment announced in July. 

Under this extension, those in the legacy cohort will continue to receive PCAFC benefits without a reduction in their monthly stipend due to reassessment, with limited exceptions. This decision provides stability for caregivers who rely on the program to support the needs of severely injured and ill veterans. 

VA is taking steps to ensure broad awareness of this update, including direct communication with members of the legacy cohort. By extending the transition period, VA aims to give caregivers and veterans continued security while longer-term policy updates are considered. 

The Fleet Reserve Association (FRA) strongly supports VA’s action and urges continued collaboration on long-term improvements to PCAFC. FRA believes that caregivers are vital to the health and well-being of our nation’s veterans, and extending program protections through 2028 is an important step in providing the stability and support they deserve. 

New Fitness and Training Reforms 
Secretary of War Pete Hegseth announced a series of reforms on September 30 aimed at strengthening readiness and reducing administrative burdens across the armed forces. Speaking to senior leaders at Marine Corps Base Quantico, he outlined 10 directives that will go into effect immediately or within 60 days. The changes emphasize combat preparedness, streamlined training, and greater accountability in leadership. 

Key reforms include new fitness requirements. Active-duty service members will now complete two annual fitness tests, one standard and one combat-focused for combat arms occupations. Personnel in combat roles must meet gender-neutral male standards at a 70% minimum, while daily physical training becomes mandatory for the active force. Grooming standards will also tighten, including a ban on beards with limited medical exemptions. National Guard and Reserve members will take one annual test. 

The directives also reduce the number of mandatory online training modules, shifting focus to hands-on military skills such as range time and equipment maintenance. Promotion policies will prioritize merit-based advancement, with underperforming personnel subject to quicker removal. Definitions of “toxic leadership” will be reviewed to ensure leaders are not penalized for enforcing high standards, and minor infractions will not automatically derail careers. 

While reactions have varied, the reforms are intended to streamline training, reduce bureaucracy, and reinforce a warrior ethos across the joint force. Early implementation may bring both opportunities and challenges, particularly in balancing higher standards with ongoing recruitment needs. 

The Fleet Reserve Association (FRA) will closely monitor these developments and advocate to ensure that changes strengthen readiness without creating unintended barriers for service members or veterans. FRA remains committed to supporting policies that preserve fair opportunities, uphold high standards, and provide stability for those who serve. 

Navy Achieves Historic Recruiting Milestone
The U.S. Navy has surpassed its recruiting goals for fiscal year 2025, enlisting 44,096 future sailors, nearly 3,500 more than the target of 40,600. This marks the highest number of accessions since 2002. Rear Adm. James Waters, head of Navy Recruiting Command, attributed this success to increased recruiter staffing and streamlined administrative processes, including a more efficient tattoo approval system. These efforts have contributed to surpluses in officer, enlisted, and Reserve categories, with the Delayed Entry Program poised to support a quarter of the fiscal 2026 recruiting mission. 

The FRA commended the recruiters for their tireless efforts in meeting and exceeding recruitment objectives. Additionally, the association has plans to implement further initiatives to support and enhance the effectiveness of recruiters in the field. 

The Navy's recruitment success is also attributed to the elimination of previous policy concerns, such as the inclusion of recruits with Armed Forces Qualification Test scores below 30%. The current strategy focuses on maintaining high standards and meeting Department of Defense quality metrics, ensuring that new sailors are well-prepared for service. 

This accomplishment highlights the Navy's commitment to building a strong and capable force, reflecting the collective efforts of recruiters and support organizations like the FRA. 

Pentagon Weighs Privatization of Commissaries 
The Pentagon has taken its first step toward the potential privatization of military commissaries, issuing a Request for Information (RFI) to commercial grocers and investment firms to assess whether they could assume operations of 178 stores across the continental U.S., Alaska, Hawaii, and Puerto Rico. 

Officials stated the goal is to determine if a private industry can manage commissaries “with no government subsidy or with a materially reduced subsidy,” while still maintaining the required 23.7% average savings for military patrons. Commissaries currently receive more than $1.4 billion in taxpayer funding each year to cover salaries and operations. 

The inquiry follows an April 7th Defense Department directive prioritizing privatization of non-inherently governmental functions, including retail sales and recreation. Options under review include either maintaining commissary operations under private management or allowing grocery chains to extend the 23.7% discount to eligible patrons at their existing commercial locations. 

Military advocates have long opposed privatization efforts, questioning whether private companies could sustain commissary benefits while remaining profitable. The RFI also highlights a major obstacle: a $2.4 billion backlog in facilities maintenance, which the Pentagon is asking industry to address through a five-year, $500 million-per-year infrastructure investment, in addition to covering $250 million annually in upkeep. 

The Fleet Reserve Association (FRA) has concerns over the proposal, stressing that commissaries are a critically earned benefit for service members and their families. FRA further recommends exploring alternatives, such as expanding commissary shopping privileges to civilian DoD employees to boost foot traffic and revenue, while maintaining guaranteed savings for military patrons. Responses to the RFI are due October 21.