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Friday, January 14, 2011

DOD seeks $7 billion increase in Tricare rates over the next five years

Pentagon Pushes for TRICARE Fee Increases

WASHINGTON -- End strength cuts and the demise of the Expeditionary Fighting Vehicle program dominated the headlines of the this week's defense budget conversations, but the financial projections also call for another controversial cost-saving measure: increases in TRICARE fees for military retirees.

On Thursday, Defense Secretary Robert Gates called the military's future health care costs "unaffordable" and said the department could save up to $7 billion over the next five years with modest increases in TRICARE fees for working-age retirees. Active-duty troops and their families would not be affected by the plan.

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