Resolution Title | BAH Types (I/II/Transit/Non-Locality/BAH Reserve) |
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Resolution Description (Short) | Change wording from “BAH 2”/RC-Transit/Non-Locality/BAH Reserve to BAH 1 and BAH Prorated. |
Proposal Type | Initial |
Business Case | BAH for our reserve members and families stationed in their respective states needs to change to increase their service benefits and make it easier for the individuals that process their finances. BAH reserve is based on a national average. As we know, housing prices nationwide have drastically changed in the last couple of years. We are proposing a name change and a fundamental change to BAH. BAH 1 should stay the same. What is referred to in the past as BAH II (RC-Transit/Non-Locality/BAH Reserve), should change to read BAH Prorated. BAH Prorated would be based on the member's current home station’s BAH 1, with or without dependents, depending on the circumstance. BAH Prorated would be exactly what it is intended to be. If a member is on order for ten days, Their BAH should be prorated for ten days of BAH 1. In Alaska alone, a reserve member loses over 50% of BAH benefits on orders less than 30 days. The full BAH 1 prorated amount should be entitled to the member. |
Recommendation | What is referred to in the past as BAH II (RC-Transit/Non-Locality/BAH Reserve), should change to read BAH Prorated. The reserve member would then be entitled to full BAH 1 on a daily prorated basis. The current or future DOD financial management regulation 7000.14 must be rewritten to reflect the changes. |