Washington, DC  -  Thousands of Alabama widows and seniors could see their monthly retirement benefits increase under a bill approved by the House Armed Services Committee last night, Congressman Mike Rogers said today. The bill, which funds military programs for 2005, would gradually eliminate the current reduction in benefits for widows under the Survivor Benefits Plan (SBP), and ultimately help the financial security of many seniors.

“For too long many Alabama seniors have suffered unnecessarily and unfairly under the Widow’s Tax,” Rogers said. “I am delighted Congress has made this important first step towards its elimination, and I will work tirelessly to help ensure it is ultimately signed into law.”

Under the current plan, survivors are faced with a 20% drop in their annuity once they reach age 62, and the unexpected loss of income is often financially devastating. H.R. 4200, the Fiscal Year 2005 National Defense Authorization Act, would eliminate this offset under the Survivor Benefit Plan (SBP) by increasing the annuities paid to survivors of military retirees. The plan would cost approximately $2 billion over four years.

Rogers said this was another way Congress is working to help Alabama’s military retirees and veterans. “Last year we worked hard to increase veterans’ payments under Concurrent Receipt, and this year we should fix the inequity of the Survivor Benefits Plan.”

Armed Services Committee Chairman Duncan Hunter (R-CA) thanked Rogers for co-sponsoring the legislation, and for helping ensure its passage. “Mike worked hard at the committee level to make this happen, and I am thankful for his continuing efforts on behalf of America’s veterans.”
 Rogers said the bill will be debated on the House floor next week and then sent to the Senate for further consideration.