The Canary in the Coal Mine for Veteran’s Disability Compensation

On August 7th, 2014, the Congressional Budget Office released a report entitled,Veterans’ Disability Compensation: Trends and Policy Options. The ranking member of the House Veterans Affairs Committee (HVAC), Rep Mike Michaud (D-ME) requested the report. The purpose of the report is to develop proposals to reduce payments for disability compensation for veterans, in response to “budgetary pressures.” The report itself is incomplete – amazingly, absent from the CBO report’s proposals is “Don’t enter into long-term wars of aggression under false pretenses” – that is the first way to reduce disability compensation payments. Curiously, the CBO does not offer as a way to pay for the disability compensation of disabled veterans repealing the Bush tax cuts of 2001, and 2003, which cost the country more than $2.2 trillion in tax revenues from the wealthiest people in the country. In truth, there are no budgetary pressures; there are only political pressures from constituents who don’t want to pay for the sacrifices of veterans who fought for their freedom and to defend the Constitution.

The report begins with a summary of how veterans disability benefits payments have changed since 2000. To wit, the report mentions that the number of veterans receiving disability benefits from the Veterans Benefits Administration (VBA) has increased from 2.3 million to 3.5 million, while disability compensation payments have increased from $20 billion per year in 2000 to $57 billion per year in 2013. Although the report recognizes that our nation has been at war in two countries for more than a decade, the report fails to correlate the increase in disability benefits to the actual increase in veterans of the wars in Iraq and Afghanistan accessing the Veterans Administration system for health care, and applying for disability benefits; or to the severity of disabling conditions those veterans with which those veterans are returning.

 

The non-partisan veterans advocacy group Veterans for Common Sense did a Freedom of Information Act for the quarter ended on March 31st, 2014.  As of that date, more than 2.6 million Americans have served in Iraq and Afghanistan from 2001. More than 2 million are in the VA system, and more than 1 million have sought healthcare through the VA. Of the more than 1 million veterans seeking healthcare, more than 969,000 have filed claims, more than 890,000 claims have been adjudicated, more than 875,000 have a service-connected disability, and finally, more than 816,000 are receiving disability benefit compensation.

A casual back-of-the-envelope calculation will show that the VBA has increased its rolls by 1.2 million. A second casual back-of-the-envelope calculation will show that nearly 75% of the increase of veterans receiving disability benefits are veterans of the so-called Global War on Terror. The VA has a demographic projection that the veteran population in the US will decline by 33% by 2040 to 15 million from a current 22 million total. This is an important consideration when the CBO proposes implementing a “statute of limitations” on submitting a disability claim, or implementing a lifetime cap on disability compensation.

This report comes at a most inauspicious time. In the very recent past, Secretary of the VA General Eric Shinseki was forced to resign over the ongoing scandal that has engulfed the agency. Indeed, this recent article at the National Journal “The VA Scandal Just Keeps Spreading,” shows that the scandal is systemic, that more than 100,000 veterans have been systemically denied access to healthcare without due process in violation of their constitutional rights per the 9th Circuit Court decision, and veterans are dying while waiting for healthcare.

The optics of this report are terrible. In February 2014, Republicans in the Senate filibustered the Veterans Omnibus Bill, effectively killing it, despite the bill being endorsed by 20 major veterans organizations. The bill would have cost $21 billion over 10 years, and provided for infrastructure improvements, opening new Vets centers, and hiring healthcare professionals and staff. In attempting to justify their “no” votes, Senator Richard Burr (R-NC) of the Senate Veterans Affairs Committee said “That is more money we were going to spend that we haven’t spent, that we never had because we were borrowing it.”

Then the scandal broke in the spring, and the politicians scrambled to do something. They resurrected the Veterans Omnibus Bill, re-named it the Sanders-McCain Veterans Bill, and passed it in June. Three republican senators voted against, it, Bob Corkey (R-TN), Ron Johnson (R-WI), and Jeff Sessions (R-AL). Senator Sessions (R-AL) put the cost-benefit analysis explicitly, “I feel strongly we’ve got to do the right thing for our veterans. But I don’t think we should create a blank check, an unlimited entitlement program.” The bill was passed by the HVAC and the House – their last vote prior to the August recess – and signed into law by President Obama on Aug 7th – interestingly, the same day the CBO report was released.

Virtually at the same time, the Iraqi Army has collapsed, in the face of the onslaught by the terrorist organization ISIS; and an Afghan soldier murdered the US Army major general who responsible for the training of Afghan security forces. Former President Bush stated his gambit for winning the wars in Iraq and Afghanistan “And that is why we are on the offense. And as we pursue the terrorists, our military is helping to train Iraqi security forces so that they can defend their people and fight the enemy on their own. Our strategy can be summed up this way: As the Iraqis stand up, we will stand down.”

These events may appear to be unconnected, but to the contrary, they are profoundly connected. This series of events is a twin scandal and crisis. First, our country’s leadership manifests a failure of political will to win wars. Our elected politicians have essentially come up with a way to “outsource” winning wars to third country labor, similar to corporations that outsource manufacturing to lowest-cost labor countries; this is politically palatable to the electorate and creates political capital for the politician to be re-elected as a “war-time” politician. At the same time, no one has questioned the risk involved in trusting our nation’s geopolitical strategic interests with non-American troops whose motivations and interests are very very different from our own. In short, trusting third-country national troops to fight and win our wars is a recipe not just for losing, but for disaster. It was a failure in Viet Nam, it is a failure in Iraq, and it is failing in Afghanistan.

Secondly, and at the same time, those same politicians now express a failure to live up to President Lincoln’s words in his 2nd Inaugural address, which have since become the VA’s motto “to care for him who shall have borne the battle and for his widow, and his orphan.” Without the Bush doctrine, there would be no Iraq war, and there would be no strategy ‘as they stand up, we will stand down.” Had the American electorate been told the truth about the wars, hundreds of thousands of Americans and American families would not now be living with the long-term health effects of disabilities incurred as a result of service in Iraq and Afghanistan. The Iraq war has been estimated to cost $3 trillion dollars (this just happens to be the same amount the Bush tax cuts cost us) by the Nobel-prize winning economist, Joseph Stiglitz and economist Linda Bilmes. If the VA is fully funded every year, for the next fifty years, the cost for caring for the veterans of Iraq and Afghanistan will be $1 trillion a decade for the next five decades. To add insult to injury, recent reports from the University of Minnesota and from Feeding America, show that 28% of veterans and military families now rely on food assistance programs; while at the same time, the HVAC is asking for, and the CBO is offering policy proposals to reduce disability compensation payments.

Put it all together, and our nation is in real trouble. Our politicians no longer have the political courage to win wars, no longer have the will to pay for the care of veterans of our wars, and have inoculated the rest of the country from the true cost of war. Outsourcing wars, training foreign armies to fight our wars, refusing to pay the healthcare and disability costs of the veterans of those wars, shielding the 99% of civilian population from the costs of war for political efficacy is a recipe for disaster. It is a recipe for empire. It is a recipe for perpetual war.

 

The CBO report is the canary in the coal mine. They are looking for ways to reduce the costs of caring for veterans with disabilities who served in the longest wars our nation has fought, in Iraq and Afghanistan. As the military downsizes through 2020, and more than 1 million veterans leave active service by the end of the decade, the politicians will continue to try to find ways to “respond to budgetary pressures” by taking out those pressures on the less than 1% of Americans, fewer than 3 million total, who served and sacrificed for more than 310 million American citizens. Politicians have come up with a way to outsource wars and build political capital with the American electorate, and effectively inoculate the American taxpayer from the true costs of the war. As well, this toxic combination combines to create a disincentive for Americans to take the oath of service. There is no upside if our nation’s politicians consider veterans usable assets, and once the veteran is no longer military useful, veterans are on their own for any disabilities that they may suffer in combat.

 

All Americans should agree that it is morally wrong and a betrayal of the social and legal obligation that the nation has to its veterans, to respond to “budgetary pressures” on the backs of the less than 1% of Americans who have served and sacrificed in defense of the Constitution. George Washington wrote in 1781 to the first governor of CT Jonathan Trumbull, “Permit me Sir to add, that Policy alone in our Present Circumstances, seem to demand that every Satisfaction which can reasonably be requested, should be given to those Veteran Troops who, ‘thro almost every Distress, have been so long and so faithfully serving the States . . .” That intent remains as fresh and immediate today, in light of the present VA scandal and the explicitly stated unwillingness to pay for veterans disability benefits, as when it was written. Service in defense of the Constitution is special. Veterans are truly the best and brightest our nation has to offer in its defense. There is no such thing as budgetary pressure, only what our nation is willing to pay for, and what it’s not willing to pay for. If our nation is not willing to pay for veterans, this two-centuries-old experiment in democracy will not last.

In a letter George Washington wrote to our own illustrious Governor Jonathan Trumbull of Connecticut on 28 June 1781:

Because of his role during the American Revolution, Jonathan Trumbull is one of Connecticut’s best-known governors, and many historians regard him as one of its greatest leaders. He was the only governor of an English colony to side with the colonists, and his opposition to England’s encroachments into the colonies made him the only colonial governor to remain in office throughout the war. Thus, he became Connecticut’s last colonial governor and its first state governor.

“Permit me Sir to add, that Policy alone in our Present Circumstances, seem to demand that every Satisfaction which can reasonably be requested, should be given to those Veteran Troops who, ‘thro almost every Distress, have been so long and so faithfully serving the States . . .”

In the spirit of George Washington’s words on this 4th of July, the recent progress on veterans issues the federal government has made towards policy satisfying every demand of our nations veterans…

On June 4th, the House passed the fiscal year (FY) 2014 Military Construction and Veterans Affairs (MilCon/VA) Appropriations bill. The bill funds homeless programs within the Department of Veterans Affairs at the highest levels in history, meeting President Obama’s FY 2014 budget request for those programs. These funding levels include $300 million for the Supportive Services for Veteran Families Program and $250 million for the Grant and Per Diem Program.

As well, the Obama administration announced the completion of a new online application that completely enables an electronic, online, disability claim to be filed with the VA. The availability of the joint VA-Department of Defense Web portal eBenefits marks a major milestone in VA’s transformation from paper claims records to a fully digital operating environment, one of the keys to VA’s goal to eliminate the disability claims backlog by the end of 2015.

Taken together, the these two developments lay in place the pieces to revolutionize the processing of disability claims and benefits for veterans and their dependents, at once bringing the system into the 21st century and working to resolve the two major and synergistic complaints plaguing veterans today: the enormous backlog in disability claims (more than half of them from Viet Nam or “other era” veterans) and veteran homelessness. There currently are just over 851,000 claims filed with the VA, with most of them — about 565,000 — past the 125-day period that VA Secretary Eric Shinseki set as a resolution time. In some parts of the country, the wait time is past 600 days.

These twin developments in the month of June promise to solve these problems by the end of 2015!

On Monday, Feb 11^th, former SSgt Clinton Romesha was awarded the Congressional Medal of Honor by President Obama for his heroic actions in the Oct 3^rd, 2009 Battle of COP Keating (also known as the Battle of Kamdesh), during which the position was nearly overrun. It would have been the first time a US unit was overrun since the Viet Nam war. The COP was attacked by a force that outnumbered the US forces by almost 10:1. The COP occupied the low ground, and was surrounded by ridges. The COP has since been called “indefensible.”

American, allied,  and Afghanistan forces, including the Observation Post about 2 km away and the mortar pit, included 57. The Taliban attacked with more than 300. The attack was a complex, supported attack. Breaches occurred at a latrine area close to the perimeter wire; the main entrance where civilian guards, Afghan Security Guards were overwhelmed; and from the eastern side—where Afghan National Army soldiers were stationed. Despite the efforts of two Latvian military advisors, who tried to convince the Afghan National Army forces not to flee, the Afghan defenders quickly broke and ran. US soldiers reported that none of the Afghan soldiers held their ground. Once the perimeter was breached, the Taliban set fire to numerous buildings, while the Americans and allied soldiers formed an internal defensive perimeter around two buildings. From there, the Americans counter-attacked to retake the COP and restore the integrity of their base.

The insurgents began to retreat later in the day. Quick reaction forces from 1st Battalion, 32nd Infantry Regiment did not reach the outpost until 7:00 pm that day, while insurgents remained in parts of the outpost as late as 5:10 pm. On October 5 and 6, coalition troops conducted operations in the area in an attempt to locate and destroy the Taliban forces responsible for the attack on the outposts. Another 10 Afghan soldiers and 4 Taliban fighters were killed during these operations.

American forces had already planned to pull out of the area as part of a plan to move forces to more densely populated areas, so closure of the base was imminent when the attack occurred. The attack accelerated those plans, with the troops’ departure taking place quickly after the battle that some munitions were abandoned. The outpost was evacuated two days later, and bombed on October 6 by a B-1 bomber to prevent insurgents from looting the munitions abandoned in the hasty withdrawal. The outpost’s depot was promptly looted by the insurgents and bombed by American planes in an effort to destroy the lethal munitions left behind.

Eight US soldiers were killed and 22 wounded; eight Afghan soldiers were wounded, along with two Afghan private security guards. The US military estimated that 150 Taliban militants were also killed as a result of repulsing the assault. The US soldiers killed in the battle were: Justin T. Gallegos, Christopher Griffin, Kevin C. Thomson, Michael P. Scusa, Vernon W. Martin, Stephan L. Mace, Joshua J. Kirk, and Joshua M. Hardt.  Twenty-seven purple hearts were awarded, as well as 18 Bronze stars for valor, 9 Silver Stars, 8 Distinguished Flying Crosses, and 1 Medal of Honor.

SSgt Romesha’s combat has been called epic. According to his citation, Romesha moved uncovered under intense enemy fire multiple times to muster reinforcements and fire on attackers. He took out an enemy machine gun team and, while engaging a second, was wounded by shrapnel when a generator he was using for cover was struck by a rocket-propelled grenade. He fought on undeterred, exposing himself to “heavy enemy fire” while moving “confidently about the battlefield. Romesha engaged and destroyed “multiple enemy targets.” He also directed air support to destroy more than 30 enemy fighters and saved other wounded troops.

“Staff Sergeant Romesha’s heroic actions throughout the day long battle were critical in suppressing an enemy that had far greater numbers. His extraordinary efforts gave Bravo Troop the opportunity to regroup, reorganize and prepare for the counterattack that allowed the troop to account for its personnel and secure Combat Outpost Keating,” according to his award citation.

On Tuesday, Feb 12^th, Adam Burke of Veterans Farm and the Farmer Veteran Coalition will receive the Presidential Citizenship Medal from President Obama. Connecticut’s own Working Vessels for Veterans works closely with Veterans Farm and the Farmer Veteran Coalition to help veterans learn about farming and start their own farms. Adam Burke is a Purple Heart recipient who started Veterans Farm in 2009 in Jacksonville FL. It is planning to expand to our state in the near future.

I find it very interesting that two veterans are receiving such important Presidential recognition in such close proximity, and so close to the 2013 State of the Union address. I have long believed that this current generation of combat veterans would lead the way in the next decade for solving some of the economic ills that have beset our nation. At the same time, in grand scheme of things, this generation of veterans are creating both social value and economic value by committing to reintegrate veterans into the workforce and American economic life.

It takes a special mindset to volunteer to join the military in times of war. To leave the comforts of home, to leave family and friends, to go into harm’s way in far off foreign lands creates a complex mindset. It takes a certain mentality to brave the dangers of combat, to go outside the wire and engage the enemy on their grounds.

What is it, ultimately, that makes veterans different from civilians? I have been interested in this question since 1994 – my first recruiting tour of duty. Why did some people sign on the dotted line for four years or more, and some not? What was the unmoved mover that prompted the best and brightest of America’s youth to raise their right hand and take a solemn oath to support and defend the Constitution? Over 6 years and two recruiting tours of duty, I never could put my finger on it. It remains a mystery to me, even now.

We have to recognize the difference between transitioning from the military to civilian life, and transformation from a warrior to an entrepreneur. Transition is merely a change of position. Transformation is a change of substance. It takes a specific attitude to make a transformation. There is a world of difference, and we should celebrate that difference.

I read a book entitled Mindset by Carol Dweck, a psychologist who studies success. In her book, she posits two fundamental mindsets, Growth vs Fixed. Growth mindsets have a tendency to learn experientially, a willingness to take on new challenges and explore new opportunities, and maybe most importantly, a proclivity for hard work. In other words, qualities we most often associate with successful entrepreneurship.

A body of academic research exists about why veterans the world over tend to be successful entrepreneurs. In their book Start-up Nation, Dan Senor and Saul Singer explore the factors contributing to the entrepreneurial success of Israel, on a per capita basis, the most entrepreneurial country in the world. They assert one of the key reasons is Israel’s compulsory universal military service, which creates a common language and outlook for mission accomplishment and – once again – hard work.

Hard work, mission bias, and problem solving skills are at the heart of the veteran-entrepreneur transformation. Here in CT, we have a population of greater than 250,000 veterans; but more than 40,000 veteran-owned businesses, about a 1-in-6 ratio.

Today, as I speak, the unemployment rate among disabled veterans is 15.8 in CT, and here among the current generation of Iraq and Afghanistan veterans, the unemployment rate is greater than 30%.

Approximately 2.5 million Americans have served in overseas  theaters of operations in the Global War on Terror since 9/11. As the wars in Iraq and Afghanistan draw to a close, and as budgets are cut and the military draws down over the next decade, more than 600,000 service members a year will leave the military and transition to civilian life; as many as 10,000 veterans a year will return to CT.

If 1-in-6 of those veterans started businesses – our nation would create more than 100,000 veteran start-ups per year. We could create more than 1,000 veteran start-ups here in CT. We veteran-entrepreneurs, with our Growth mindset, as we transform from warrior to entrepreneur – we are part of the solution to the present economic situation.

We can create a start-up state, and a start-up nation.

A decorated Marine who runs the University of Connecticut’s program to help other military members become entrepreneurs has been appointed to lead veterans’ outreach and support initiatives at the School of Business.

Michael Zacchea, a Purple Heart and Bronze Star recipient who holds an MBA from UConn, will coordinate programs to recruit and support veterans and help them with job placement, continuing education, career planning, and other services.

Zacchea also continues in his role as director of the Entrepreneurship Bootcamp for Veterans with Disabilities, which welcomes a new group of participants to UConn this fall. UConn is among eight prominent business schools offering the bootcamp in collaboration with the Whitman School of Management at Syracuse University.

“We are thrilled to have Mike Zacchea on board for this very important post. His outreach to the veteran community is vital to our continued support of veterans in regard to continuing education and job placement,” says James R. Lowe, assistant dean of the UConn School of Business.

“This, coupled with Mike’s leadership of the Entrepreneurship Bootcamp for Veterans with Disabilities (EBV), completes a robust offering of services to this valued community,” Lowe says.

Zacchea, a native of Long Island, N.Y., who now lives in Brookfield, will work with programs and veterans at all of UConn’s campuses.

Zacchea also received the U.S. Small Business Administration’s award as 2012 Veteran Small Business Champion of the Year for his work with the Entrepreneurship Bootcamp for Veterans with Disabilities.

“I’m very happy to tell the story about UConn and its service to veterans because UConn has been so good to me in terms of returning and re-integrating and planning my future,” Zacchea says.

“We’re doing so much at UConn to re-engineer the student veterans’ experience and recognize them as a specific constituency with unique needs,” he says. “Both UConn and Connecticut as a whole have a story to tell returning veterans about their opportunities here and the support we can provide.”

Zacchea was commissioned a 2nd lieutenant in the U.S. Marine Corps in 1990 and served in Somalia and Haiti before being deployed in 2004 as a major to Iraq for Operation Iraqi Freedom II.

His team and the Iraqi army battalion it trained were involved in heavy combat many times. They included an incident in which he was wounded by a rocket-propelled grenade and received shrapnel in his shoulder and a traumatic brain injury, which required him to undergo several years of rehabilitation.

His military awards include the Bronze Star Medal for Valor, the Purple Heart Medal, a Navy and Marine Corps Achievement Medal, a Combat Action Ribbon, and many unit and campaign awards.

Zacchea, who held a master’s degree from Hawaii Pacific University and a bachelor’s from Notre Dame, earned his MBA in May from UConn and has been active in veterans’ groups on campus, statewide, and nationally.

He was an analyst for Morgan Stanley before enrolling in UConn’s MBA program, where he specialized in entrepreneurial marketing.

He says some specific goals in his new position with the School of Business include creating coherent policies to help veterans locate educational opportunities, job training, and other services they need.

He also wants to advocate for creating certain non-degree certificate programs to help veterans bolster their knowledge and give them an edge in the job market, and to work with others at UConn in its efforts to offer strong support to veterans throughout their college careers and once they are alumni.