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SAN FRANCISCO, CA

Legislation Report

March 2008

Sadly, one of NARFE's biggest supporters and one of the Congressional Representatives for our area, Tom Lantos, just passed away at the age of 80. I called the San Mateo County Registrar's office, and they said that the special election to replace him would be held on April 8th, but so far no one has filed to run for that office. I assume I'll know who has filed by the next meeting.

On February 13th, the President signed the economic stimulus, or tax rebate, legislation, H.R. 5140. This package was first negotiated by House leaders of both parties and President Bush in late January. The Senate adopted an amended version (81-16) on February 7th. The Senate version (380-34) then passed the House the same day. This law will provide tax rebate payments to most taxpayers, and Federal retirees will be entitled to these rebates on the same basis as everyone else.

The Administration's final budget message, released February 4th, contains no major changes in programs directly affecting the income or health care security of Federal retirees. The President's budget does propose pay disparity, with a 3.4 percent pay raise for military and a 2.9 percent raise for civilian workers. The budget also includes a plan to expand Health Savings Accounts (HSA's) in the Federal Employees Health Benefits Program (FEHBP). As in recent years, the Administration's budget would allow Blue Cross/Blue Shield (BC/BS), the largest and most popular plan in the FEHBP, to offer Health Savings Accounts coupled with a high deductible health plan.         Beatrice Bertwell

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