Bill Overview
Title: BAH Restoration Act
Description: This bill increases the monthly amount of the basic housing allowance for members of the uniformed services inside the United States. Specifically, the monthly amount of allowance for a member must be the amount of the monthly cost of adequate housing in the area, as determined by the Department of Defense, for members of the uniformed services serving in the same pay grade and same dependency status as the member.
Sponsors: Rep. Strickland, Marilyn [D-WA-10]
Target Audience
Population: Members of the uniformed services in the United States
Estimated Size: 1600000
- The bill affects members of the uniformed services, which include the Army, Navy, Air Force, Marine Corps, Coast Guard, and other services authorized by the President.
- The target population includes those stationed inside the United States as the bill specifies housing allowance adjustments within the country.
- Members of the uniformed services have varying pay grades and dependency statuses, which affect their housing allowances currently.
- The change in housing allowance will financially impact service members by potentially increasing their disposable income if their housing costs are currently greater than their allowances.
Reasoning
- The policy primarily affects members of the uniformed services; thus, the simulated interviews focus on various branches and roles within the military.
- The target population includes individuals of different ranks, pay grades, and dependency statuses, as these factors influence housing allowance adjustments.
- Not everyone is equally impacted; some may see substantial gains in financial stability, while others might experience little to no change due to pre-existing compensation levels that already cover their housing needs.
- Considering the policy's potential to increase disposable income, the interviews also reflect a mix of opinions regarding financial freedom and overall quality of life improvements.
- A small number of interviews with indirectly impacted individuals or with common neutral responses are included to represent the broader diversity of the population.
Simulated Interviews
Army Specialist (Fort Hood, TX)
Age: 28 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 15/20
Statement of Opinion:
- My allowance barely covers the rent as it is, so an increase would help a lot.
- I might be able to save a bit or reduce my debt with this change.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Navy Officer (San Diego, CA)
Age: 34 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 10/20
Statement of Opinion:
- Housing costs are tough here compared to the allowance, so this policy would relieve some stress.
- I worry less about finances and can focus more on my work and family.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 5 |
Marine Corps Gunnery Sergeant (Virginia Beach, VA)
Age: 39 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 12/20
Statement of Opinion:
- This increase won't make much of a difference for me since I already own my house.
- It's good for those who rent, but my financial situation won't change drastically.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Air Force Airman (Seattle, WA)
Age: 24 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 15/20
Statement of Opinion:
- I live on base, so this won't affect me unless my situation changes.
- It's still reassuring knowing the system is being improved for others.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Coast Guard Petty Officer (Boston, MA)
Age: 45 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- Rent here in Boston is high, and the allowance doesn't quite match up.
- Any increase helps manage the gap and reduces financial anxiety.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Air Force Captain (Omaha, NE)
Age: 30 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 14/20
Statement of Opinion:
- It's a decent change that will help balance our budget a bit better.
- Housing in Omaha isn't too bad, but every bit helps.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 7 |
Public Health Service Officer (Miami, FL)
Age: 50 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 20.0 years
Commonness: 5/20
Statement of Opinion:
- My mortgage is more than BAH, so any increase helps make ends meet.
- I am appreciative; this will provide more financial breathing room.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 9 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Space Force Guardian (Colorado Springs, CO)
Age: 23 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 20.0 years
Commonness: 13/20
Statement of Opinion:
- With the rent covered, any extra will just help with savings.
- I think it's a good improvement especially with future uncertainties.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 9 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 8 | 7 |
Army Major (Washington, D.C.)
Age: 38 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 8/20
Statement of Opinion:
- An increase would mean I don't have to dip into savings just to cover housing.
- It's challenging balancing everything with a single income, so this is quite beneficial.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 7 | 6 |
Navy Chief Petty Officer (Honolulu, HI)
Age: 31 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 5.0 years
Commonness: 7/20
Statement of Opinion:
- Living in Hawaii is expensive, and every little bit helps somewhat.
- Despite the increase, the cost gap is still there, but this provides a cushion.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Cost Estimates
Year 1: $2448000000 (Low: $1968000000, High: $2880000000)
Year 2: $2485000000 (Low: $2000000000, High: $2921000000)
Year 3: $2522000000 (Low: $2032000000, High: $2962000000)
Year 5: $2597000000 (Low: $2093000000, High: $3046000000)
Year 10: $2784000000 (Low: $2247000000, High: $3265000000)
Year 100: $4468000000 (Low: $3600000000, High: $5257000000)
Key Considerations
- Housing costs vary greatly across the United States, which will influence how much the BAH needs to be increased depending on location.
- The policy assumes a proportionate increase in housing costs over time; if housing market dynamics change significantly, it could affect future cost estimates.
- The Department of Defense will need resources to accurately assess housing costs continuously and promptly adjust allowances.