July 2012 NARFE Magazine by NARFE

For Active and Retired Federal Employees

RETIREMENT LIFE

JULY 2012, Volume 88, Number 7

LEGISLATIVE REPORT 8 10 12 14

Feds Hit Again in Budget Reconciliation Bill FY 2013 Appropriations Process: Another Pay Freeze in Sight? Senate Passes Postal Reform Bill, Reduces Workers’ Comp Benefits for Feds Civics 101: Helping NARFE Members Vote

COVER STORY 18

Congressional Record.A look back at NARFE legislative advocacy activities thus far in the 112th Congress. PLUS: Check out our new Legislation Tracker.

Cover design by Jim Richards

COLUMNS 6 Message From the National President

22 Managing Money 24 Live Well 42 National Officer Columns

44 Report From the Regions

SPECIAL SECTIONS 34 National Convention Update

DEPARTMENTS 28 41 47 50

38 Candidates’ Statements

Questions & Answers NARFE News Out & About For the Record: TSP Investments, COLA Chart

NARFE Resources Life MembershipApplication . . .41 MembershipApplication . . . . . .45 DuesWithholdingApplication . .46 Alzheimer’s Coupon . . . . . . . . .47 NARFE Member Perks . . . . . . .48

‘Like’ us on Facebook (NARFE National Headquarters) visit us online at www.narfe.org

NATIONAL OFFICERS

Here’s How to Contact NARFE ...

JOSEPH A. BEAUDOIN, President; natpres@narfe.org PAUL H. CAREW, Vice President; natvp@narfe.org ELAINE C. HUGHES, Secretary; natsec@narfe.org RICHARD G. THISSEN, Treasurer; nattreas@narfe.org

If you want to: • Join NARFE Call (toll-free):

800-627-3394 or 800-456-8410 Or go to: www.narfe.org

If you want to: • Change your address • Check your membership status • Find out dues owed • Provide a death notification Call (toll-free):

800-456-8410 Email:

memberrecords@narfe.org If you want to: • Add your email address to your record (to receive GEMS email messages, the Legislative Hotline and NARFE NewsWatch): Call (toll-free):

800-456-8410 Email:

memberrecords@narfe.org

REGIONAL VICE PRESIDENTS REGION I Augie Stratoti (Connecticut, Maine, Massachusetts, New Hampshire, New York, Rhode Island and Vermont) Tel: 603-889-1073 Email: augrs@juno.com REGION II Ronald P. Bowers (Delaware, District of Columbia, Maryland, New Jersey and Pennsylvania) Tel: 410-308-0420 Email: narferbowers@msn.com REGION III Donald Stewart (Alabama, Florida, Georgia, Mississippi, Puerto Rico, South Carolina and Virgin Islands) Tel: 305-442-6388 Email: dejs33149@aol.com REGION IV Paul E. Johnson (Illinois, Indiana, Michigan, Ohio and Wisconsin) Tel: 812-306-5137 Email: pejohnson@tds.net REGION V Carol R. Ek (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and South Dakota) Tel: 620-241-1131 Email: ek617@att.net

REGION VI Jerome S. Smith (Arkansas, Louisiana, Oklahoma, Republic of Panama and Texas) Tel: 903-534-5849 Email: retiredjer@aol.com REGION VII Betty Lucero-Turner (Arizona, Colorado, New Mexico, Utah and Wyoming) Tel: 719-583-0910 Email: blturner2311@aol.com REGION VIII Helen L. Zajac (California, Guam, Hawaii, Nevada and Republic of Philippines) Tel: 707-644-7565 Email: hlz17@aol.com REGION IX Lanny G. Ross (Alaska, Idaho, Montana, Oregon and Washington) Tel: 360-692-9741 Email: lannyjean@comcast.net REGION X William F. Martin (Kentucky, North Carolina, Tennessee, Virginia and West Virginia) Tel: 540-872-3345 Email: narfe2065@hughes.net

E-mail: memberrecords@narfeorg

If you want to:

• Hear the Legislative Hotline Call (toll-free):

877-217-8234 If you want to: • Get materials to recruit members: Call (toll-free):

800-627-3394 Email:

rr@narfe.org

For any other NARFE matter: Call NARFE Headquarters

703-838-7760 Email: hq@narfe.org Fax:703-838-7785 Write: NARFE 606 N. Washington St. Alexandria,VA 22314

NARFE MAGAZINE Volume 88,Number 7 Editor, Margaret M. Carter Assistant Editor, Donna J. St. John Editorial Administrator, Toni Vallario Graphic Designer, Beth Bedard Contributing Designers, Charlene Gridley, Jim Richards Editorial Board: Joseph A. Beaudoin, Paul H. Carew, Elaine C. Hughes, Richard G. Thissen Editorial Office: NARFE, Attn: NARFE magazine, 606 North Washington St., Alexandria, VA 22314-1914; Phone: 703-838-7760; Fax: 703-838-7781; Email: rl@narfe.org Advertising Sales: Warren Berger, Media People Inc., 122 East 42nd Street, Suite 725, New York, NY 10168; 212-779-7172, ext. 223; Email: wberger@mediapeople.com

NARFE for the Visually Impaired On the Telephone: This publication can be heard on the telephone by persons who have trouble seeing or reading the print edition. For more information, contact the National Federation of the Blind NFB-NEWSLINE® service at 866-504-7300 or go to www.nfbnewsline.org. On Tape: Issues of NARFE magazine are also available on cassette through the National Library Service for the Blind and Physically Handicapped. To find out about availability in your area, call 800-424-8567 and ask for the Reference Section. The Association, since July 1970, has been classified by the IRS as a tax exempt labor organization [not a union]; however, dues and gifts or contributions to the Association are not deductible as charitable contributions for income tax purposes.

NARFE (ISSN 1948-4453) is published monthly by the National Active and Retired Federal Employees Association (NARFE), 606 N. Washington St.,Alexandria,VA 22314. Periodicals postage paid at Alexandria,VA, and additional mailing offices. Members: Annual dues includes subscription. Non-member subscription rate $45. Postmaster: Send address change to: NARFE Attn:Member Records,NARFE 606 N.Washington St.,Alexandria,VA 22314.To ensure prompt delivery,members should also forward changes of address without delay. Because of the volume involved, NARFE cannot acknowledge nor be responsible for unsolicited pictures and manuscripts, although every reasonable precaution is taken. All submissions become the property of NARFE. Copyright © 2012, NARFE. Advertisements in the magazine are not endorsements of products and/or services by NARFE, unless officially stated in the ad. We shall accept advertising on the same basis as other reputable publications: that is, we shall not knowingly permit a dishonest advertisement to appear in NARFE, but at the same time we will not undertake to guarantee the reliability of our advertisers.

JULY 2012 | NARFE

Limited To ONE Per Customer! As Santa and his reindeer joyously fly into the Christmas night, the Wonderland Express slowly chug, chug, chugs its way ‘round and ‘round the peaceful little village nestled amongst the snow-kissed evergreen boughs. Now, inspired by Thomas Kinkade, the “Wonderland Express Christmas Tree” Masterpiece Edition captures this wondrous night in a very special collectible available exclusively from Hawthorne Village. Featuring four levels of rotating movement—including Santa and his sleigh—you’ll watch as the Wonderland Express “climbs” ever higher up the tree. With 12 brilliantly illuminated buildings and over 30 figurines, this meticulously handcrafted, hand-painted masterwork lavished with a blanket of glitter- touched snow— and playing a medley of beloved holiday carols— is certain to be the ever-so-perfect addition to your holiday decorating.

Exceptional value; attractively priced. This delightful Masterpiece Edition can be yours for $149.99*, payable in 4 easy payments of only $37.50, the first due before shipment. But don’t wait to order. Strong demand is expected, and orders are limited to one edition per customer. Send no money now. Just complete and mail the attached coupon today!

9210 N. MARYLAND ST., NILES, IL 60714-1322 Limited-time Offer—Please Respond Promptly.

Yes!

Please enter my order for one Thomas Kinkade “Wonderland Express Christmas Tree” Masterpiece Edition as described in this announcement. I need SEND NO MONEY NOW. Certificate of Authenticity and 365-Day Money-Back Guarantee Signature

Mrs. Mr. Ms. Name (PLEASE PRINT CLEARLY)

Address

Apt. No.

City

State

Zip

14-00328-001-E40932 *Plus $19.99 shipping and service, subject to change. All sales are subject to acceptance and product availability. Allow 4-6 weeks after initial payment for delivery. ©2012 Thomas Kinkade ©2012 Hawthorne Village 14-00328-001BI3R

www.hawthorne.com/tktree

Santa and his reindeer really “fly” ‘round and ‘round!

Tree Lights Up! with Music and Motion!

A Message From the National President

Issues and Updates

f you were one of the thousands of NARFE members who attended a state federation convention this spring, you no doubt engaged in discussions about membership, eNARFE chapters, the revision of NARFE’s Bylaws, NARFE magazine and the upcoming National Convention. In this month’s column, I’d like to address these issues. The first topic is the success of our two eNARFE chapters: 2363, the National eNARFE chapter; and 2364, the Florida eNARFE chapter. Both of these chapters were chartered a little over a year ago, and both are growing in membership. The growth of these eNARFE chapters is contrary to what is happening with most of our nearly 1,400 traditional NARFE chapters. Since the inception of eNARFE, there have been a few naysayers who claim that, by offering prospective members the option of joining an electronic chapter, we are trying to get rid of traditional chapters. I want to state emphatically that those naysayers are wrong. The reason we started the eNARFE chapter was to be able to offer an option to those prospective members who would not have joined NARFE if they had been required to join a traditional chapter. Some people do not want to attend, or are unable to attend, chapter meetings. The eNARFE chapters do not have traditional-style meetings (other than electronic meetings), and they do not receive any paper information, except for NARFE magazine. As of April, eNARFE chapter 2363 had more than 3,600 members, and eNARFE chapter 2364 had more than 100 members. Approximately 43 percent of eNARFE chapter 2363 members are active federal employees – the very group that we are targeting for recruitment. I believe that the eNARFE chapters are definitely in our future, and they will continue to flourish. The next topic I want to address is the National Conven-

tion that will be held in Reno-Sparks, NV, August 26-30, and what will take place there. As I have mentioned in previous articles, the delegates at this convention will be voting on a complete revision of our Bylaws (which can be viewed on the NARFE website, www.narfe.org, by clicking on the convention link, or in the March issue of NARFE magazine). By the time you receive this issue, the National Convention Resolutions Book will be in the process of being printed and mailed to delegates and chapter secretaries. Chapter members should be included in the discussions of all proposed resolutions so that delegates and proxy carriers, who will be voting at the National Convention, know the views of chapter members. In addition, there will be training sessions at the convention. Five will be “lunch and learn” sessions – on Tuesday, Wednesday and Thursday. In addition, service officer training will be offered on Monday evening of convention week. Information on the “lunch and learn” topics can be found on p. 35 and on the convention link on the NARFE website. My final topic is NARFE magazine. In an effort to make the magazine more appealing to all NARFE members, we conducted an email survey of members who have supplied NARFE with their email addresses to find out what they like about the magazine. Based on the responses we have received, as well as focus group discussions and other input, we will make changes to the magazine some time after the National Convention. I’d like to close with a few comments about membership. Through your efforts and the work of the National Secretary’s office (with assistance from Marketing General Incorporated), we are seeing a flattening out of our membership decline, with a small increase. By working together, we should be able to bring our membership back up to more than 300,000. Remember: We’re in this together, and we all need to work together for a strong, united NARFE.

eNARFE CHAPTERS are definitely in our future,and they will continue to flourish.

Joseph A. Beaudoin natpres@narfe.org

JULY 2012 | NARFE

RECOVERED GOLD INDIANS SET FOR AT-COST PUBLIC RELEASE

DER

GOD

RECOVERED GOLD

tarting today, the National Bullion & Currency Depository will release 500 authentic, recently recovered, $2.5 Gold Indian Heads for the incredible price of only $375. This at cost, completely free of dealer mark up offer, is a rare opportunity to own these pieces of American history at this level. These rare pieces of gold are a wonderful way to safely and privately invest in the asset of the 21st century... Gold! Decreed by Theodore Roosevelt In 1908, the Indian Head design of Bela Lyon Pratt was placed on the nation’s $2.5 quarter eagles and $5 half eagles. Pratt’s design was unlike any other seen in American coinage, in that the features of the coin were incused (meaning indented or recessed), as opposed to risen above the surface. To this day these coins are the only two in American history to have this special design. In 1929 Black Tuesday began The Great Depression and the Gold Indian coins ceased being minted. Then in 1933 Franklin Roosevelt, Theodore Roosevelt’s fifth cousin, put in the Gold Confiscation Act and most of these golden antiquities disappeared forever. We at the National Bullion & Currency Depository want as many individuals as possible to take advantage of this offer. Due to extremely limited supplies, there will be a limit of ten coins per household. Inflation is on the rise, and gold is trading around a high of $1,600oz. People across the world are responding with insatiable hunger for the only tangible asset that protects wealth from further financial turmoil. Call now to order. CALL TODAY (877) 231-6201.

THE GLOBAL CURRENCY he commodity super-cycle has pushed gold prices up fivefold since the year 2000 and this is just the beginning. If gold was simply just a commodity, then supply and demand would dictate the price. Gold is now being looked at as global currency rather than a commodity. Leading financial experts are now predicting gold to jump to anywhere from $3,500/oz to $5,000/oz. Many people are reading today’s economic news and asking themselves “What do I do and when?” The time to buy gold is now. Don’t wait any longer. This truly is a once in a lifetime opportunity to own early 1900’s gold at cost. Call one of our gold specialists to place your order today. CALL NOW (877) 231-6201.

B U LL

E NATIONAL TH

NBCD

THE NATIONAL BULLION & CURRENCY DEPOSITORY

R R ENC Y

P DE

PROMO CODE: GINF 1206

CALL 24 HRS A DAY, 7 DAYS A WEEK

1.877.231.6201 CHECK

Coins enlarged to show detail

MINIMUM ORDER 2 COINS

LEGISLATIVE REPORT

FedsHit Again in Budget Measure Avoids Reconciliation Bill Deep Cuts in

he House of Representatives has passed legislation to

Defense Budget

stop the automatic cuts in defense spending scheduled to take effect in January 2013 as part of the debt deal

agreed to last year. The Sequester Replacement Recon-

ciliation Act, H.R. 5652, was required by the Budget Resolution (also

known as the Ryan budget) passed in March. NARFE strongly opposed this reconciliation bill, passed May 10, which contains provisions that would amount to a 5 percent pay cut for federal employees. The reconciliation instructions in the Ryan budget required six House committees to find more than $331 billion in savings over the next 10 years. The House Oversight and Government Reform Committee was responsible for finding $78.9 billion of those savings. The prevention of automatic cuts to the Pentagon budget, totaling $243 billion, would be paid for through cuts to safety-net programs, health care reform and federal employee benefits. The primary source for the savings would come from requiring federal workers to contribute more toward the Civil Service Retirement and Disability Fund without an increase in benefits. Federal employees would see a 5 percent increase over the next five years, for a total contribution of 12 percent for employees in the Civil Service Retirement System and 5.8 percent for

those in the Federal Employees Retirement System (FERS). Those hired after January 1, 2013, with less than five years of vested service would see the 5 percent increase at once, and members of Congress and their staffs would be required to contribute a higher amount, too. The result essentially would be a 5 percent payroll tax on federal employees and, when added to all of the other attacks on federal worker pay and benefits, would add up to about $75,000 per federal employee. During floor debate, Rep. Darrell Issa, R-CA, chairman of the House Oversight and Government Reform Committee, acknowledged: “After this goes into effect, they will, in fact, not have as much take-home as they did the day before.” That reduction in takehome pay could further impact total retirement savings because FERS em-

■ Congress is in recess the week

of July 2 to celebrate Independence Day. ■ Congress declared July 4th a

national holiday in 1941. ■ According to the U.S. Census

Bureau, 2.5 million people lived in the United States in July 1776. In July 2010, there were an estimated 309.6 million people in the country. ■ John Philip Sousa’s march

“The Stars and Stripes Forever” has words associated with it. The chorus is: “Other nations may deem their flags the best; “And cheer them with fervid elation; “But the flag of the North and South and West; “Is the flag of flags, the flag of Freedom's nation.”

LEGISLATIVE HOTLINE Toll-free! (24 Hours): 877-217-8234 Legislative Action Center: www.narfe.org JULY 2012 | NARFE

Experience the Rose Parade with YMT Vacations!

10 Days

Rose Parade & Coastal Tour Plus...San Francisco

Join other NARFE members departing December 29, 2012

from $1348*

Get away from the colder weather during the first week in January and enjoy the best New Year’s Eve and New Year’s Day you have had in years! Start in Los Angeles (4 nights) with a city tour of L.A., Hollywood, Beverly Hills, and an exclusive, pre-parade, after public hours, float building and viewing at the Rosemont Pavilion with included dinner. Watch the artists put the “finishing touches” on the floats unencumbered by public crowds! On Tuesday, January 1, 2013, enjoy your reserved grandstand seats at the Rose Parade! On Wednesday, January 2, depart for Central California along the coast. Visit Santa Barbara and its Camino Real Mission; the Danish Village of Solvang; tour the Hearst Castle, with its considerable collection of art and antiques and travel along Big Sur and California’s famous Scenic Highway One, to Monterey. Next, spend three nights in San Francisco with an included city tour plus tour of Alcatraz Island!

Rose Parade & Las Vegas Tour Plus...the Grand Canyon

10 Days

Travel with other NARFE members departing December 29, 2012

from $1348*

Start in Los Angeles (4 nights) with a city tour of L.A., Hollywood, Beverly Hills, and an exclusive, pre-parade, after public hours, float building and viewing at the Rosemont Pavilion with included dinner. Watch the artists put the “finishing touches” on the floats unencumbered by public crowds! On Tuesday, January 1, 2013, enjoy your reserved grandstand seats at the Rose Parade! On Wednesday, January 2, depart for Laughlin for two nights on the Colorado River. On Thursday take the included YMT sightseeing tour to the Grand Canyon with included lunch. Spend your final three nights in Las Vegas at leisure with optional tours to Death Valley and/or Zion National Parks.

Rose Parade, Palm Springs & San Diego Tour +PTIVB /BUJPOBM 1BSL t 5FNFDVMB 8JOF 5BTUJOH

9 Days

Join other NARFE members departing December 29, 2012

from $1298*

Start in Los Angeles (4 nights) with a city tour of L.A., Hollywood, Beverly Hills, and an exclusive, pre-parade, after public hours, float building and viewing at the Rosemont Pavilion with included dinner. Watch the artists put the “finishing touches” on the floats unencumbered by public crowds! On Tuesday, January 1, 2013, enjoy your reserved grandstand seats at the Rose Parade! On Wednesday, January 2, depart for the resort town of Palm Springs (2 nights). Along the way you will visit the beautiful desert landscape in Joshua Tree National Park and the famous Joshua Tree. Then head to San Diego (2 nights). En route you will travel through the wine region of Temecula county where you will enjoy a tour and wine tasting at a local winery. In San Diego see Coronado Island, Seaport Village and Balboa Park on your included city tour.

Rose Parade Tour 5 Days

Travel with other NARFE members departing December 29, 2012

from $848*

Enjoy the first 5 days of the itinerary above in Los Angeles. On Wednesday, January 2, depart for home.

Hawaiian Kings Tour The Best 2-Week, 4-Island Vacation Available At The Most Affordable Price!

15 Days

Join other NARFE members departing February 25, 2013

from $1998*

“Carefree” best describes your vacation starting with your Polynesian tour director meeting you at the Honolulu airport. Spend 5 nights in Waikiki Beach (Honolulu) on Oahu; 3 nights on Kauai; 2 on Maui; 1 night in Hilo and 3 in Kona, on Hawaii (“the-big-island”). Escorted sightseeing includes a city tour of Honolulu, Punchbowl Crater and Pearl Harbor, the Wailua River Boat Cruise, The Old Whaling Capital of Lahaina, the Iao Valley, Hilo Orchid Gardens, Rainbow Falls, Black Sand Beaches, Volcanoes National Park and more. Includes: hotel accommodations, taxes, inter-island flights, baggage handling, escort, & sightseeing.

*Price per person, based on double occupancy. Airfare is extra.

For details & itinerary call 7 days a week:

1-800-736-7300

Legislative Report ployees would not have the ability to contribute as much of their earnings to the Thrift Savings Plan, contributions that are matched by their employing agencies up to 5 percent. Additional savings would come from eliminating the FERS Annuity Supplement for new hires. The FERS Annuity Supplement allows people to retire and still receive their full retirement benefits package until their Social Security benefits begin at age 62. The total savings made by the House Oversight and Government Reform Committee was $82 billion over 10 years. In a letter to all 435 House members opposing the reconciliation package, NARFE President Joseph A. Beaudoin reminded Congress: “Although federal employees make up less than 2 percent of the nation’s workforce, this bill would take more than 30 percent of an estimated $261 billion in spending reductions from their pockets.”

STORY HIGHLIGHTS ■ The House passed a bill that identifies enough

cuts in the federal budget to avoid automatic across-the-board budget cuts beginning in January 2013. ■ More than 30 percent of the savings would come from requiring federal employees to pay more for their retirement. ■ NARFE opposed the bill in a letter to the House. ■ The bill is not likely to move in the Senate.

The House bill passed by a vote of 218-199, mostly along party lines. While the bill is not likely to move forward in the Senate, it does lay the House’s base point for negotiations in the fall to prevent a government shutdown.

By Sarah Holstine, Legislative Specialist

FY 2013 Appropriations Process: Another Pay Freeze in Sight?

t press time, Congress was heading into late spring and early summer with hopes of moving the 12 annual appropriations measures for fiscal year (FY) 2013. These measures keep the doors of federal agencies open, and programs, projects and activities funded once FY 2013 begins on October 1. The House of Representatives started considering measures in early May. The Senate Appropriations Committee leadership signaled its intention to begin considering companion measures shortly thereafter. Despite some progress, few observers expect any final compromise on funding bills to be reached before the fiscal

Coalition Correction

n a story on the Federal-Postal Coalition that appeared on p. 16 of the May issue, the American Federation of Government Employees was inadvertently left off the list of members of the Coalition. NARFE regrets the omission.

STORY HIGHLIGHTS ■ Although the process for funding government

agencies in fiscal year 2013 has begun, it is not expected to be completed before the fiscal year begins on October 1. ■ However, a showdown over shutting down the government is not anticipated.

year ends on September 30. At the same time, few expect any sort of “shutdown showdown,” such as those in 2011 and previous decades. For federal employees, uncertainty over these appropriations measures is compounded by continuing efforts to limit federal pay and benefits. The annual appropriations process has frequently been the vehicle for implementing a freeze on federal pay. After a two-year pay freeze and President Obama’s proposed 0.5 percent raise for civilian employees, feds may see yet another effort to freeze pay on a must-pass appropriations bill to keep the government running.

By Alan Lopatin, Legislative Counsel

JULY 2012 | NARFE

$OES YOUR HEL P BUT T ON /., 9 WOR K AT HOME 3WI T C H T O -OBI L E(EL P ) T WOR KS !.97(%2% h (EL L O

T HI S I S -OBI L E(EL P (OW MA Y ) A S S I S T Y OU v

4HE !NYWHER E (EL P "UT T ON 4-

4 O BE T R UL Y I NDEPENDENT Y OUR PER S ONA L EMER GENC Y DEV I C E NEEDS T O WOR K WHER EV ER Y OU A R E 5NL I K E @ S T A Y A T HOME @ HEL P ME ) V E F A L L EN EMER GENC Y S Y S T EMS -OBI L E(EL P PR OT EC T S Y OU

!T (OME /N A 7AL K ) N T HE #AR !T T HE 0AR K /N 6AC AT I ON 3HOPPI NG 3 T OP PA Y I N G F OR A H E L P BU T T ON T H A T /., 9 WOR K S A T H OME !S S EEN ON

#AL L T ODAY AND S ET Y OUR S EL F &2%%

WWW -OBI L E(EL P.OW C OM &RGH 0*)(

, ) -) 4%$ 4) -% /&&%2 6A L UE !C T I VAT I ON

&2%%

!NNUA L 0L A N $UO 3OL O 3Y S T EMS

6A L UE ,EAT HER 0OUC H &2%% 6A L UE 3HI PPI NG &2%%

/6%2 ) . 3!6) .'3 DAY 2I S K F R EE 4 R I AL s .O #ONT R AC T S

.O (I DDEN &EES

.O 2I S K .AT I ONWI DE '03 , OC AT I ON $ET EC T I ON s %MER GENC Y 2ES PONS E #ENT ER &OR ANNUAL PL AN -OBI L E(EL P $UO 3Y S T EM OR -OBI L E(EL P 3OL O 3Y S T EM C US T OMER S ONL Y 3ER V I C E !V AI L ABI L I T Y AND !C C ES S #OV ER AGE ON T HE !4 4 NET WOR K I S NOT AV AI L ABL E EV ER Y WHER E AND AT AL L T I MES #UR R ENT '03 L OC AT I ON MAY NOT AL WAY S BE AV AI L ABL E I N EV ER Y S I T UAT I ON &R EE AC T I V AT I ON WI T H ANNUAL PL AN -OBI L E(EL P I S A R EGI S T ER ED T R ADEMAR K AND 4HE !NY WHER E (EL P "UT T ON I S A T R ADEMAR K OF -OBI L E(EL P 0AT ENT ED T EC HNOL OGY ."#

#"3 .EWS

4HE %AR L Y 3HOW AND 4HE .EW 9 OR K 4I MES AR E R EGI S T ER ED T R ADEMAR K S 4HE US E OF T HE L OGOS DOES NOT I MPL Y ENDOR S EMENT OF -OBI L E(EL P F R OM T HOS E OR GANI Z AT I ONS

Legislative Report

Senate Passes Postal Reform Bill, Reduces Workers’Comp Benefits

he Senate has passed major postal reform legislation, S. 1789, that includes substantial reductions to the insurance benefits provided to any federal worker – postal and nonpostal – disabled by a work-caused injury or illness. At retirement age, injured federal employees would face a 25 percent reduction in their Federal Employees’ Compensation Act (FECA) benefits, and injured federal employees with dependents would no longer receive the 8.33 percent augmented compensation currently provided. Current FECA recipients who have already reached Social Security retirement age would not face the 25 percent reduction (from 66.67 percent to 50 percent of monthly pay at the time of injury). Also, current recipients who have been receiving total wage-loss compensation for three years or more, or have lost two or more appendages, or are receiving custodial or full nursing home care will experience no reduction in their benefits. On a vote of 53-46, the Senate rejected an amendment offered by Sen. Daniel K. Akaka, D-HI, that would have prevented the reductions in benefits levels. Instead, the amendment would have replaced those provisions with a Housepassed bill, H.R. 2465, that focuses on achieving cost savings through preventing fraud, recouping overpayments and lowering the cost of health care for the injured employee.

FEHBP AND RETIREMENT PROCESSING S. 1789 also contains provisions affecting health benefits for postal employees and retirees. As introduced, the bill contained a provision that would have required all Medicare-eligible U.S. Postal Service (USPS) employees and retirees to enroll in Medicare and provided them with a separate Federal Employees Health Benefits Program (FEHBP) plan. NARFE expressed its concerns regarding how the proposal could affect FEHBP premiums and the choice of health plans for postal retirees. Enough senators shared those concerns, and the provision was stripped at the committee level. But a revised provision, allowing for voluntary enrollment in Medicare (waiving any late enrollment penalties) and creation of a separate FEHBP plan option for Medicare-enrolled postal employees and retirees, was put back into the bill as it was brought to the Senate floor. Al-

STORY HIGHLIGHTS ■ Senate-passed postal reform legislation would

significantly reduce workers’ compensation benefits for federal employees at retirement age. ■ It allows the postal service and unions to bargain to form a separate postal employees’ health plan. though the new provision had the benefit of maintaining choice between health care options for postal retirees, Office of Personnel Management (OPM) staff provided analysis suggesting the provision could create instability for FEHBP plans, raising premiums by as much as 35 percent for one plan. NARFE supported an amendment by Sens. John D. Rockefeller, D-WV, and Benjamin L. Cardin, D-MD, that removed the problematic provision from the bill. The amendment was approved by a voice vote. Another provision in the bill allows the USPS to negotiate with postal employee collective bargaining representatives to form a separate postal employees’ health benefits plan. Rockefeller introduced an amendment, approved by voice vote, that ensures that any postal health benefits plan provide benefits comparable to current FEHBP benefits. The Senate also approved by voice vote an amendment by Sen. Mark Warner, D-VA, that requires USPS and OPM to report statistics regarding the timeliness and status of applications for retirement annuities. Warner has been a leader in pushing OPM to reduce delays in processing retirement benefit applications. The primary intent of the bill, the 21st Century Postal Service Act, is to make significant changes to laws governing the USPS. It provides immediate financial relief to the postal service by allowing for a refund of about $11 billion in USPS overpayments to the Federal Employees Retirement System (FERS). It directs the money refunded from overpayments to be used to offer financial incentives to about 100,000 employees to encourage retirement. It also relaxes the prefunding requirement for future retirees’ health benefits. NARFE supports these provisions. The House has not acted on postal reform. If it does pass legislation, the two chambers likely will attempt to reconcile their differences through a conference committee.

By John Hatton, Legislative Representative JULY 2012 | NARFE

Safety never felt so good

™

Safe Step Tubs are commended by the Arthritis Foundation®

A Safe Step Walk-In Tub will offer independence to those seeking a safe and easy way to bathe right in the convenience and comfort of their own home. Constructed and built right here in America for safety and durability from the ground up, and with more standard features than any other tub.

A carefully engineered dual hydro-massage and air bubble jets– both strategically placed to target sore muscles and joints, offering life-changing therapeutic relief

A built-in support bar and an industry leading 4-inch

N THE U.S.A EI

MA D

LIFETIME LIMITED WARRANTY

W IT

H P RID

Financing available with approved credit

www.safesteptub.com Fill out and mail back for your FREE Safe Step Walk-In Tub Information

step up*

The highest quality tub complete with a lifetime

Name________________________________________________

warranty

Top-of-the-line installation and service, all included at

Phone _______________________________________________

one low, affordable price You’ll agree – there just isn’t a better walk-in tub on the market. So take your first step towards feeling great and stay in the home you love. Give us a call today!

Email ________________________________________________

Call Today Toll-Free

City ______________________ State _______ Zip ___________

1-888-685-5933 for FREE Information and for our Senior Discounts Promo Code 4466

Address ______________________________________________

Mail to: Safe Step Walk-In Tub Company 1650 Elm Hill Pike, Ste. 5 Nashville, TN 37210 Promo Code 4466 *On uninstalled tub, actual height may vary based upon installation

Legislative Report CIVICS 101:

THE INFORMED CITIZEN

Helping NARFE MembersVote

oting is both a right and a responsibility. To help every NARFE member exercise his or her right to vote, we have listed the following information below, by state: 1. Voter registration deadlines for the November 6 General Election; 2. The early voting window, if any, and absentee ballot application deadline; and 3. Poll hours. While subject to change, the information was compiled using material from the Election Assistance Commission, the National Association of Secretaries of State and individual state government websites.

ABSENTEE AND EARLY VOTING Current and future federal retirees will continue to see their earned benefits debated and threatened in Congress. Voting is one powerful way to hold lawmakers accountable. Using the proliferation of no-fault absentee and early

STORY HIGHLIGHTS ■ Requirements and opportunities to vote vary by

state. Individual and chapter planning is needed. ■ NARFE members, eager to vote, may need help

from fellow chapter members. ■ Voter registration deadlines come as early as a

month before an election. Most states offer no-fault absentee voting; many have instituted early voting. Poll hours provide 11 to 15 hours to vote in person on election day.

voting statutes, NARFE chapters should resolve to make sure that every member votes – whether early, absentee or at the polls. Planning and transportation are the keys to maximum turnout and impact. October chapter meetings are ideal for executing a well-planned “vote assistance” program.

By Christopher Farrell, Legislative Representative

State-by-StateVoting Deadlines, Opportunities State AL AK AZ AR CA CO CT DE DC FL GA HI ID IL IN IA^ KS KY

Voter Registration Deadline 10/6 10/7 10/8 10/29 10/22 10/9 10/23 10/13 10/9 10/9 10/8 10/8 10/12 10/9 10/9 10/27 10/16 10/9

Early Voting Window (EVW) or Absentee Ballot Application (ABS) Deadline ABS: 10/31 EVW:10/23-11/5 EVW: 10/11 (begins) ABS: 10/30 ABS: 10/30 EVW: 10/22-11/2 ABS: 10/23 ABS: 11/5 EVW: 10/22-11/3 EVW: 10/27-11/3 EVW: 10/15 (begins) EVW: 10/23-11/3 ABS: 10/31 EVW: 10/15-11/1 ABS: 10/29 EVW: 10/17-11/5 ABS: 10/30

Polling Hours 7 a.m.-7 p.m. CST 7 a.m.-8 p.m. AST 6 a.m.-7 p.m. MST 7:30 a.m.-7:30 p.m. CST 7 a.m.-8 p.m. PST 7 a.m.-7 p.m. MST 6 a.m.-8 p.m. EST 7 a.m.-8 p.m. EST 7 a.m.-8 p.m. EST 7 a.m.-7 p.m. in both EST & CST 7 a.m.-7 p.m. EST 7 a.m.-6 p.m. HST 8 a.m.-8 p.m. in both CST & MST 6 a.m.-6 p.m. CST 6 a.m.-6 p.m. in both EST & CST 7 a.m.-9 p.m. CST 7 a.m.-7 p.m. in both CST and MST 6 a.m.-6 p.m. in both EST & CST JULY 2012 | NARFE

State-by-StateVoting Deadlines, Opportunities State LA ME^ MD MA MI MN^ MO MS MT^ NE

Voter Registration Deadline 10/9 10/19 10/17 10/9 10/16 10/10 10/6 10/9 10/18

Early Voting Window (EVW) or Absentee Ballot Application (ABS) Deadline EVW: 10/23-10/30 ABS & EVW: Contact local govâ&#x20AC;&#x2122;t clerk EVW: 10/27-11/1 ABS: 11/5 ABS: 11/3 ABS & EVW: Varies by location ABS: 10/31 ABS: Contact county ABS: 11/5 EVW: 11/5 (ends)

10/7

EVW: 10/20-11/2

NV NH^ NJ NM NY NC ND^^ OH OK OR PA RI SC SD TN

10/16 10/9 10/12 10/12

ABS: 10/30 ABS: 11/2 ABS: 10/30 EVW: 10/18-11/3

10/9 10/12 10/16 10/9 10/6 10/6 10/22 10/9

ABS: 11/2 EVW: 11/2-11/5 Mail Only ABS: 10/30 ABS: 10/16 ABS: 11/5 ABS: 11/5 EVW: 10/17-11/1

TX UT VT

10/9 10/9 10/31

EVW: 10/22-11/2 EVW: 10/23-11/2 ABS: 11/5

Polling Hours 6 a.m.-8 p.m. CST 6 a.m.*-8 p.m. EST 7 a.m.-8 p.m. EST 7 a.m.*-8:00 p.m. EST 7 a.m.-8 p.m. in both EST & CST 7 a.m.*-8 p.m. CST 6 a.m.-7 p.m. CST 7 a.m.-7 p.m. CST 7 a.m.-8 p.m.* CST 8 a.m.-8 p.m. CST & 7 a.m.-7 p.m. MST 7 a.m.-7 p.m. PST 6 a.m.*-7 p.m.* EST 6 a.m.-8 p.m. EST 7 a.m.-7 p.m. MST 6 a.m.-9 p.m. EST 6:30 a.m.-7:30 p.m. EST 7 a.m.*-7 p.m.* in both CST & MST

VA ^^^ WA 10/8 WV 10/16 WI^ WY^

ABS: 10/31 Mail Only ABS: 10/31 ABS: 11/1 ABS: 11/5

6:30 a.m.-7:30 p.m. EST 7 a.m.-7 p.m. CST Mail Receipt Deadline 8 p.m. PST 7 a.m.-8 p.m. EST 7 a.m.*-8 p.m. EST 7 a.m.-7 p.m. EST 7 a.m.-7 p.m. in both CST & MST 8 a.m.-8 p.m. EST & 8 a.m.-7 p.m. CST 7 a.m.-7 p.m. in both CST & MST 7 a.m.-8 p.m. MST Open varies bet. 5-10 a.m. All polls close at 7 p.m. EST 6 a.m.-7 p.m. EST Mail Receipt by 8 p.m. PST 6:30 a.m.-7:30 p.m. EST 7 a.m.-8 p.m. CST 7 a.m.-7 p.m. MST

ABS Absentee Ballot EVW Early Voting Window *Some Variations ^ State with Election Day registration ^^ North Dakota does not have voter registration ^^^ Virginia: Contact local electoral board Source: National Association of Secretaries of State and Election Assistance Commission and linked websites NARFE | JULY 2012

FOR A LIMITED TIME: MEMBERSHIP FEE SAVE $108 AND THOUSANDS ON

TRUHEARING IS A NATIONAL VENDOR THAT PROVIDES DISCOUNTS ON HEARING AIDS

Enroll online: www.TruHearingMemberPlus.com or call (877) 360-2432 M- F, 8am-8pm Central. USE GROUP NUMBER: HP2R-A365

* Fitting and programming of the hearing aids, and three adjustment visits are included. Price shown does not include discounted comprehensive hearing exam of $75 (which is covered by the Service Benefit Plan). Service Benefit Plan members get the MemberPlus membership fee waived through December 15, 2012. $108 is the regular yearly cost for MemberPlus membership. Must be a member to access MemberPlus discounted pricing. § The Service Benefit Plan will pay up to $1,250 per ear in a 36-month period, up to a maximum of $2,500 per pair purchased (2012 benefit). Blue365® offers access to savings on items that you may purchase directly from independent vendors, which may be different from items that are covered under your Service Benefit Plan policy or any other applicable federal healthcare program. For hearing aids, acupuncture, chiropractic and vision services, you must exhaust your Service Benefit Plan benefits

MEMBERPLUS WAIVED FOR FEP. HUNDREDS TO HEARING AIDS. Cost Example: ReSound® Alera 5 Wireless Avg. retail $4,200 per pair—MemberPlus® price $2,190 per pair MemberPlus Membership + Shipping*:

MemberPlus Price (save $2,010 off retail):

+ $ 2,190

FEP covered hearing benefit (up to $2,500 § ):

− $ 2,190

Hearing Aid Cost Per Pair:

$ 10

OFFER VALID THROUGH 12/15/2012

first. To find out what is covered under your policy, contact the Service Benefit Plan. The products and services described herein are neither offered nor guaranteed under any local Blue company’s contract with the Medicare program. In addition, they are not subject to the Medicare appeal process. Any disputes regarding these products and services are not subject to the Service Benefit Plan’s Disputed Claims process. Blue Cross and Blue Shield Association (BCBSA) may receive payments from Blue365 vendors. Neither the Service Benefit Plan, BCBSA, nor any local Blue company recommends, endorses, warrants or guarantees any specific Blue365 vendor or item. The Service Benefit Plan reserves the right to change, modify, or terminate any items and vendors made available through Blue365, at any time.

Congressional

AS THE LEGISLATIVE DAYS REMAINING in this Congress dwindle, it is a good time to review what the Association has done over the last year and a half to influence Congress and mitigate the attacks on the pay and benefits of federal employees and retirees. Since the 112th Congress convened in January 2011, federal employees have

RECORD been targets of debate. From the debtceiling debate last August to the extension of the Social Security payrolltax holiday passed last December, feds have been in the discussion. But one thing is certain: NARFE’s voice is being heard loud and clear on Capitol Hill. The following is a list of many of NARFE’s actions over the last year and a half:

✔ NARFE MEETINGS ON CAPITOL HILL With several lobbyists on staff, NARFE frequently is on Capitol Hill. Since the 112th Congress began, NARFE lobbyists have held more than 100 in-person meetings with members of Congress and their staffs. In addition, NARFE staff members are in nearly constant telephone and email communication with congressional staff. Meetings have focused on such issues as the ongoing attacks on federal pay and benefits, NARFE’s legislative agenda and reforms to the Federal Employees’ Compensation Act (FECA).

✔ NARFE TESTIMONY As the leading organization representing federal employees and retirees, NARFE frequently is asked to testify before Congress. NARFE President Joseph A. Beaudoin has appeared before congressional committees three times in the 112th Congress, presenting NARFE’s views on the Office of Personnel Management’s retirement backlog, FECA and the Thrift Savings Plan (TSP). In addition, NARFE’s Federal Benefits Service Director David Snell testified on behalf of the Federal-Postal Coalition on the NARFE | JULY 2012

federal government’s retirement package and how it compares to the private sector. NARFE also submitted two additional statements for the record on FECA and “rightsizing” the federal workforce.

✔ NARFE LETTERS TO CONGRESS Since January 2011, NARFE has sent more than 25 letters to Congress expressing the Association’s views on legislation moving through Congress. Topics of these letters included proposals to increase retirement contributions, the proposed elimination of step increases, initiatives that could affect Federal Employees Health Benefits Program premiums, support for phased retirement and FECA reform. When Congress proposes changes in federal pay and benefits, NARFE responds quickly, sending letters to Capitol Hill. All of the letters are available on the NARFE website, www.narfe.org. In addition to these Association efforts, the Federal-Postal Coalition, of which NARFE is a member, sent numerous joint letters to Congress on issues such as the payroll-tax holiday extension, reductions to workers’ compensation benefits and proposals to increase employees’ share of their retirement contributions.

✔ NARFE-PAC EVENTS Over the course of the last year and a half, NARFE-PAC has contributed $320,000 to congressional campaigns across the country, and NARFE staff and members have attended more than 150 events for candidates.

By Jessica Klement, Communications and Legislative Representative

✔ CONFERENCE CALLS WITH REGIONS In June 2011, the NARFE legislative staff began holding conference calls with leaders in NARFE’s 10 regions to provide updates on legislation moving through Congress and to help NARFE officers answer questions from NARFE members. In all, staff has made 60 calls, engaging hundreds of NARFE leaders.

✔ ADVOCACY IN THE FIELD Meanwhile, NARFE members have been busy, serving as the Association’s grass-roots advocates around the country and complementing the NARFE staff work in Washington.

✔ EMAILS AND PHONE CALLS NARFE members have sent a whopping half a million email messages to members of Congress and the White House since January 2011 — and these are only the ones we have been able to track because they have come through the NARFE Legislative Action Center. Most came in response to nearly 60 NARFE Legislative Hotline messages sent to NARFE members, as well as frequent email alerts. Additionally, members made more than 30,000 phone calls to congressional offices, according to our tracking of the Association’s toll-free lines to Capitol Hill.

✔ CHAPTER AND FEDERATION EFFORTS In addition to individual efforts, NARFE’s chapters and federations have engaged in advocacy efforts. Photos on p. 20 document some recent activities. Here are just three re-

the House, four meetings with staff of two members of Congress. Three chapters hosted representatives at meetings. NARFE members also submitted numerous letters to the editor and oped articles to their local newspapers on federal employee and retiree issues. LEFT: Rep. Daniel Webster, R, speaks to a meeting of Chapter 95 in Orlando, FL. RIGHT: Officers of the Washington Federation meet with Sen. Patty Murray, D, in her state office. Left to right: front row, Sandra Cagle, federation president; Sen. Murray; Frances Titus, District vp; back row, Ray Brunson, District vp; Robert Rust, Chapter 43; Mike Teefy, federation legislative chair; and Paul Shell, federation secretary.

ports from states: • The California Federation met once with staff of Sen. Barbara Boxer, D, and had 14 meetings with representatives or their staff in their district offices. Five chapters hosted representatives or their staffs. • The Idaho Federation met three

times with Sen. Michael D. Crapo, R, and participated in eight of Crapo’s telephone town hall meetings. It also met twice with Sen. Jim Risch, R. Five chapters hosted representatives or their staffs. • The North Carolina Federation held seven meetings with members of

✔ FOLLOW LEGISLATIVE ISSUES WITH THE TRACKER In the period leading up to the November elections and in the ensuing lame-duck session, NARFE will remain focused on protecting the earned pay and benefits of employees and retirees as these benefits continue to be a target for cost savings. For a preview of the legislative issues NARFE is following, please see the new Legislation Tracker, below. ■

NARFE LegislationTracker Bill Number / Name /

RETIREM ENT H.R. 3813: Securing Annuities for CONTRI BUTIONS/ Federal Employees Act / Rep. CALCULATI ON Dennis A. Ross, R-FL

Requires federal employees to pay 1.5% more toward their retirement, requires new federal employees to contribute 4% to their retirement, bases retirement calculations on the highest five years of service instead of the current high three, and eliminates the Federal Employees Retirement System Annuity Supplement

Approved by Committee on Oversight and Government Reform 2/7/2012 (Likely to be considered by full House)

Requires federal employees to pay 5% more toward their retirement

Passed by House 3/23/2012 Failed in Senate 5/16/2012

H.R. 5652: Sequester Replacement Requires federal employees to pay Reconciliation Act / Rep. Paul D. 5% more toward their retirement Ryan, R-WI

Passed by House 5/10/2012 (See story, p. 8)

H.Con Res. 112: Establishing the Budget for the United States Government for Fiscal Year 2013 / Rep. Paul D. Ryan, R-WI

JULY 2012 | NARFE

NARFE LegislationTracker ISSUE

Bill Number / Name /

What Bill Would Do

Latest Congressional

FEDERAL PAY FREEZE

H.R. 3835: To Extend the Pay Limitation for Members of Congress and Federal Employees / Rep. Sean P. Duffy, R-WI

Extends the federal pay freeze for one more year (until Dec. 31, 2013)

Passed by House 2/1/2012

PHASED RETIREMEN T

H.R. 4363: Federal Employee Phased Retirement Act / Rep. Darrell Issa, R-CA

Allows federal employees to phase into retirement by working part time and collecting an annuity

Approved by Committee on Oversight and Government Reform 4/18/2012

S. 1813: Moving Ahead for Progress in the 21st Century / Sen. Barbara Boxer, D-CA

Allows federal employees to phase into retirement by working part time and collecting an annuity

Passed by Senate 3/14/2012

S. 1789: 21st Century Postal Service Act / Sen. Joseph I. Lieberman, I-CT

Reduces benefits by 25% at retirement age for federal workers disabled by a work-related injury or illness; eliminates 8.33% augmented compensation for dependents

Passed by Senate 4/25/2012 (See story, p. 12)

H.R. 2465 : Federal Workers’ Compensation Modernization and Improvement Act / Rep. John Kline, R-MN

Streamlines claims process, ensures injured workers receive adequate compensation, enhances program efficiency, improves program integrity and modernizes benefits

Passed by House 11/29/2011

Various bills (H.R. 235, H.R. 408/S. 178, H.R. 657, S. 1476, H.R. 2114, H.R. 3029/S. 1611, H.R. 3662/S. 2065)

Decreases the size of the federal workforce by various percentages (usually 5-15%)

Referred to various committees (Likely to be part of deficit-reduction talks)

H.R. 1332: Social Security Fairness Act / Rep. Howard P. “Buck” McKeon, R-CA S. 2010 : Social Security Fairness Act / Sen. John Kerry, D-MA

Repeals the Government Pension Offset (GPO) and Windfall Elimination Provision (WEP)

Referred to Subcommittee on Social Security 4/7/2011 Referred to Committee on Finance 12/16/2011 (Unlikely to be considered)

S. 2196: Congressional Health Care for Seniors Act / Sen. Rand Paul, R-KY

Phases out Medicare and requires Medicare participants to enroll in the FEHBP

CHANGES TO THE FEDERAL EMPLOYEES? COMPENSAT ION ACT (FECA)

WORKFORC E REDUCTION S

REPEAL OF GPO AND WEP

Referred to Committee on Finance 3/15/2012 (Unlikely to be considered)

CHANGES NARFE | JULY 2012

Managing Money

Home Equity’s Role in Retirement By Mark A. Keen, CFP®

hen the topic of reverse mortgages is brought up in conversation, the initial reaction of most people is to cringe and let out an emphatic “no way.” In fact, the conventional wisdom for both retirees and financial planners has been to use reverse mortgages only as a last resort. But as the headwinds for retirees strengthen, and the goal of a comfortable and secure retirement becomes increasingly more difficult, home equity and reverse mortgages may play more of an active role in achieving a successful retirement. If reverse mortgages are to be used, what’s the optimal way to use them? Is it the conventional and reactive “only as a last resort” approach? Or does it make sense to use home equity and reverse mortgages more proactively as part of a retirement income distribution strategy? There is some refreshing research coming from the financial planning and academic communities, investigating how reverse mortgages may help certain retirees, who have built up a nest egg that will supplement other retirement income, enhance their retirement security. Reverse mortgages are designed to convert the equity you have accumulated in your home into spendable cash without having to move or sell. A reverse mortgage, like a traditional mortgage, is a loan against your home, but unlike a traditional mortgage, you do not have to make monthly payments or pay back the loan for as long as you, or any co-owner, continue to live there.

When a borrower obtains a reverse mortgage, he or she may receive the cash in one, or a combination, of the following three payout methods: a single lump sum; regular monthly payments; or a line of credit that the borrower decides when and how much to draw down (this is the payout of choice and focus in the recent studies). In the retirement planning world, we financial planners advise clients on

verse mortgages, along with two proactive strategies, and compares their effect on cash-flow survival probability (the likelihood that your money doesn’t run out). The first proactive strategy simply uses the reverse mortgage first by funding the early years of withdrawals from the credit line until it’s exhausted before continuing withdrawals from the liquid investments. The second proac-

FINANCIAL PLANNERS advise clients on the amount of money they can safely take from their portfolios as income each year without incurring a high risk of running out of money. the amount of money they can safely take from their portfolios as income each year without incurring a high risk of running out of money. Without getting into too much detail, the generally accepted safe initial withdrawal rate (assuming a properly invested portfolio) for an expected 30-year retirement horizon is approximately 4 percent. For example, a couple retiring at age 62 has a joint life expectancy of 30 years. Assuming they have $500,000 in investment assets, their first year’s withdrawal would be $20,000 when using the safe initial withdrawal rate of 4 percent. In subsequent years, this amount would be increased to account for inflation. A study by Barry Sacks, J.D., Ph.D., and Stephen Sacks, Ph.D., looks at the conventional, reactive approach to re-

tive strategy is a coordinated approach, which involves taking out a reverse mortgage at the onset of retirement but only drawing on it when the rate of return on the investment portfolio fails to meet a predetermined rate. The Sacks study compared the three reverse mortgage strategies to determine the cash-flow survival probabilities when taking more than the safe withdrawal rate, such as an initial withdrawal equal to 5, 6 or 7 percent of the portfolio’s value. The study concluded that the probability of cashflow survival increased substantially when using one of the two proactive strategies, rather than the conventional, reactive approach. For example, if taking an initial withdrawal rate of 6 percent, the cash flow JULY 2012 | NARFE

survival is only 55 percent when using the conventional, reactive reverse mortgage strategy. However, when either of the two proactive strategies is used, the cash-flow survival probability jumps to just over 80 percent. The study also showed that the retiree’s residual net worth after 30 years of withdrawals is about twice as likely to be greater when using one of the two proactive strategies than it is when using the conventional, reactive approach. In other words, it may make sense to use a proactive reverse mortgage strategy even when trying to maximize the amount of wealth passed on to future generations. Other studies coming from the retirement planning community have yielded similar results. You might be asking yourself, how

can I have an increasing mortgage and still have a higher net worth at the end? Short answer: The reverse mortgage credit line reduces the likelihood that you’ll have to sell investments when they perform below expectations. Rather than selling investments at discounted prices, you can take money from the credit line and wait for the investments to recover before selling any shares. The primary focus of this article is to provide a glimpse into the work being done by the financial planning community to help retirees achieve a more secure retirement. But if you want to learn more about the nuts and bolts of reverse mortgages, visit www.hud.gov or www.aarp.org and search for reverse mortgage. Note, however, that you are unlikely to find

any cutting-edge, unconventional thinking on these two websites. To that point, achieving better results oftentimes requires “outside the box” thinking, and I believe that the new research coming from the academic and financial planning communities is doing just that. Perhaps this is just the beginning of looking into how we reframe home equity’s role in retirement planning.

Mark A. Keen, CFP®, is president and owner of Bennett Financial Advisors, 3600 Chain Bridge Rd., Fairfax,VA, and an investment adviser representative and registered principal of The Strategic Financial Alliance, Inc. (SFA). Securities and advisory services are offered through SFA. Email: mkeen@tributaryadvisors.com.

If you or a loved one struggles with the stairs...

Then call the EXPERTS! Helping people stay in their homes for over 20 years! U / i Ü À ` i>`iÀ ÃÌ> À vÌÃ U "ÛiÀ Óxä]äää V À -Ì> À vÌÃ ÕÃi `> Þ U ÕÞ ` ÀiVÌ vÀ Ì i > Õv>VÌÕÀiÀ U / i ÃÌ ÌÀÕÃÌi` > i Ì i `ÕÃÌÀÞ U ÕÌ ÕÌ Ì i `` i > > ` Ã>Ûi U Ü i`}i>L i > ` V>À } ÃÌ>vv lists Specia ding n are sta swer an by to your ons! questi

NARFE | JULY 2012

LiveWell

Lyme Disease By Marilyn S. Radke, M.D.

yme disease is the most commonly reported tickborne illness in America. It is a bacterial infection spread through the bite of a blacklegged tick infected with bacteria called Borrelia burgdorferi. Left untreated, it can spread to joints, heart and nervous system. In America, most Lyme disease infections occur in northeastern states (from Virginia to Maine), north-central states (especially Wisconsin and Minnesota) and the west coast (particularly northern California). The first stage is called early Lyme disease. Symptoms begin days or weeks after the tick bite and may include: • Body-wide itching; • Fever; • Chills; • General ill-feeling; • Headache; • Light-headedness or fainting; • Muscle pain; and • Stiff neck. There also may be swollen lymph nodes and a characteristic skin rash called erythema migrans. Erythema migrans starts as a small red spot at the site of the tick bite and gets larger over a period of days or weeks, forming a circular or oval-shaped red rash. There may be a red ring around a clear area, with a red center like a bull’s-eye. The second stage is known as early disseminated Lyme disease. This stage occurs weeks to months after infection.

Symptoms include: • Weakness or paralysis in muscles of the face (Bell’s palsy); • Muscle pain, and pain or swelling in the knees and other large joints; and • Heart problems, such as skipped heartbeats (palpitations). Muscle and joint pain are the most common symptoms of the third stage of Lyme disease – late disseminated Lyme disease. This stage can occur months or years after infection. Other symptoms may include: • Abnormal muscle movement; • Muscle weakness; • Numbness and tingling; and • Speech problems. Late disseminated Lyme disease can cause long-term joint inflammation (Lyme arthritis), heart rhythm problems, and brain and nervous system problems, such as: • Decreased concentration; • Memory disorders; • Nerve damage; • Numbness; • Pain; • Paralysis of the face muscles; • Sleep disorders; and • Vision problems. Doctors use history of possible exposure to ticks, signs and symptoms, and blood tests to diagnose Lyme disease. A two-step blood testing process is recommended to detect whether the patient has antibodies to the Lyme disease bacterium. An enzyme immunoassay or immunofluorescent

assay, followed by a Western immunoblot, is done to confirm the diagnosis. The following tests may be done when the infection has become more widespread: Electrocardiogram and echocardiogram to look at the heart; spinal tap to examine spinal fluid; and MRI of the brain. A two-to-fourweek course of antibiotics is prescribed to treat the erythema migrans and keep symptoms of Lyme disease, such as arthritis and nervous system problems, from developing. Generally, the sooner treatment begins, the quicker and more complete the recovery. Ibuprofen or other pain medications are sometimes used to relieve joint stiffness. Rarely, a person will continue having symptoms that interfere with daily life even after they have been treated with antibiotics. The ticks that carry Lyme disease Continued on p. 26

To Learn More

or more information, write to the National Institute of Allergy and Infectious Diseases, Office of Communications and Government Relations,6610 Rockledge Drive, MSC 6612, Bethesda, MD 20892;call 866-284-4107 (TTY:800877-8339); or visit the website at www.niaid.nih.gov. Also visit the Centers for Disease Control and Prevention website at www.cdc.gov.

JULY 2012 | NARFE

Why run around town when we have the values and selection you want? Enjoy the convenience of one-stop shopping at Haband — you’ll find an extensive collection of men’s & women’s clothing, shoes, and home goods — all at The Lowest Prices! Your comfort is our priority, which is why we carry everything from nationally famous brands like Dr. Scholl’s®, Dockers®, and Alfred Dunner® to items found nowhere else! Shop anytime, day or night… our easy website and 24-hour customer hotline are always available.

Flip to the back cover of this magazine or visit Haband.com to check out our incredible deals, and be sure to take advantage of the savings offers below!

On Your Entire Purchase — No Matter How Much You Order! To redeem, enter Promo Code

XMW

Your Entire Purchase of $40 or More! To redeem, enter Promo Code

XMV

online at Haband.com, give it to the phone operator, or return this coupon with your mail-in order.

Cannot be combined with any other coupon or offer. Not valid towards previous purchases. No cash value. Offer expires 9/30/2012.

Mr. Mrs. Ms.________________________________ Address ___________________________________ Apt. #_______ City __________________________ State______________________ Zip ____________ Phone_____________________________________ Email______________________________________

Technology Breakthrough

Safe, comfortable bathing from Jacuzzi®

Enjoy A Bath Again… Safely and Affordably

Continued from p. 24

The Jacuzzi® Walk-In tub is luxurious, feature-packed and affordable! here is nothing like the simple air ratio to massage thoroughly yet pleasure of taking a warm bath. gently. Some swirl, some spiral, The cares of the day seem to some deliver large volumes of water fade away, along with the aches and and others target specific pressure pains of everyday life. Unfortunately points. They are all arranged in for many aging Americans with precise locations designed to deliver mobility issues, slipping into a bath a therapeutic massage, yet they are can result in slipping onto the floor. fully adjustable so that your bathing The fear of falling has made the simple experience can be completely unique. act of bathing and its therapeutic benefits a thing of the past… until Jacuzzi® now. firstSTREET, the leader in products Designed for Seniors® has partnered with Jacuzzi®, Other the company that perfected Brands hydrotherapy. Together, they’ve created a walk-in tub that offers more than just safe bathing, SEE THE JACUZZI® DIFFERENCE Laboratory tests clearly show how Jacuzzi® peace-of-mind and independence, outperforms other manufacturers’ jet it can actually help you feel better. systems, producing a deeper and wider Unlike traditional bathtubs, our plume of revitalizing bubbles. Best of all, Jacuzzi® Walk-In Tub features a it doesn’t cost you a penny more! leakproof door that allows you Why spend another day wishing to simply step into the tub rather than stepping precariously over the you could enjoy the luxury and side. It features a state-of-the-art pain-relieving benefits of a safe, acrylic surface, a raised seat, and comfortable bath. Call now and the controls are within easy reach. No you’ll get an unsurpassed limited other Walk-In Tub features the patented lifetime warranty. Knowledgeable Jacuzzi® PointProTM jet system. These product experts are standing by to high-volume, low-pressure pumps help you learn more about this feature a perfectly balanced water to product. Call Today!

New! Jacuzzi®

Walk-In Tub For information call:

1-888-959-8545 Call now Toll-Free and mention your special promotion code 45091.

80407

Third-party financing available with approved credit. Not Available in Hawaii and Alaska

are so small, they are very hard to see. Take these precautions to prevent Lyme disease: • Avoid exposure to ticks, especially during the summer months; • Avoid wooded or bushy areas, or areas with high grasses and leaf litter; • Walk in the center of trails; • Wear light-colored clothing to make it easier to spot ticks; • Tuck shirts into pants and pant legs into socks to keep ticks out; • Spray all exposed skin and clothing with insect repellent containing 20 to 30 percent DEET (read manufacturer’s instructions); • Treat clothing, such as boots, pants and socks, with a product containing the insect repellent permethrin, which remains protective for several washings; • Once indoors after being outside, check for ticks (especially in the hairy areas of the body), shower and wash all clothing; and • Check pets for ticks before you let them indoors. An infected tick must be attached to the body for 36 hours in order to transmit Lyme disease. If you find a tick, grab it close to the skin with fine-tipped tweezers and pull up gently to remove all parts of the tick. Wash hands afterwards with soap and water or alcoholbased hand cleanser, and clean the area with rubbing alcohol or soap and water. Place the tick in a tightly closed container for examination by the local health department or your doctor. Seek medical attention if you have a bull’s-eye rash or symptoms of Lyme disease and may have been exposed to ticks.

Marilyn S. Radke, M.D., is board certified in preventive medicine and practices in Atlanta, GA. JULY 2012 | NARFE

Donate to NARFE-PAC Today! • Fight Back Against Attacks on Federal Workers • Amplify Our Voice on Capitol Hill

NARFE-PAC provides opportunities to talk face-to-face with members of Congress and is one of NARFE’s most important tools. Please Donate Now to Fuel Our Fight! See insert for form and envelope.

Only members of the National Active and Retired Federal Employees Association may contribute to NARFE-PAC. NARFE will neither favor nor disadvantage anyone based on the amount of a contribution or the failure to make a voluntary contribution to this nonpartisan political action fund. NARFE-PAC contributions are not deductible for federal income tax purposes.

Questions & Answers NOTE: The following Questions & Answers were compiled by Federal Benefits Service Department staff. These are real questions received by the Department, based on the members’ personal circumstances. The answers are not universal and may include information that is relevant to the correspondent’s particular situation. NARFE does not provide legal advice or assistance, does not provide financial planning advice or assistance, and does not provide tax advice or assistance. For legal, financial planning or tax advice/assistance, NARFE recommends that members contact an attorney, financial planner or certified public accountant/tax adviser.

RETIREES TAX WITHHOLDING QUESTION:How do I change federal and state income tax withholdings? Response: Use the Office of Personnel Management’s (OPM’s) Services Online to: • Start, change or stop federal and state income tax withholdings; • Request a duplicate tax-filing statement (1099R); • Change your personal identification number (PIN) for accessing OPM’s automated systems; • Establish, change or stop an allotment to an organization; • Change your mailing address; • Start direct deposit of your payment or change the account or financial institution to which your payment is sent; • Establish, change or stop a checking or savings allotment; and

• View a statement describing your annuity payment. You also can call 888-767-6738 for these and other voluntary withholdings. When using OPM’s self-service systems, you need your claim number, PIN and Social Security number. You will be issued a PIN when your annuity is made final. If you do not have a PIN, call OPM to request one.

GPO QUESTION: What is the government pension offset (GPO)? Response: Some of an individual’s spousal Social Security benefit may be offset by the GPO if the employee has a government pension from work not covered by Social Security. The offset does not apply to the employee’s own Social Security benefit – only the benefit that comes from a spouse’s employment. If the GPO applies, the spousal Social Security benefit would be reduced by two-thirds of any federal pension, based on employment not covered by Social Security. Some individuals are exempt from the GPO. They are individuals who are automatically covered by the Federal Employees Retirement System (FERS) and Civil Service Retirement System (CSRS) Offset, and those who elected to transfer to FERS before January 1, 1988, or during the belated transfer period, which ended June 30, 1988. Employees who were covered by the CSRS and who elected FERS coverage after June 30, 1988, must have five years of federal employment covered by Social Security to be exempt from the GPO.

fice of Workers’ Compensation Program (OWCP) payments increase as the cost of living rises? Response: Yes. If a beneficiary has been entitled to compensation for more than a year, the law provides for a yearly increase based on the Consumer Price Index. OWCP applies this increase to all eligible cases each March 1. However, the maximum payment per month cannot exceed three-fourths of the highest rate of basic pay provided for Grade GS-15. Basic pay excludes locality pay.

SURVIVOR BENEFITS I QUESTION:When do benefits end for a former spouse? Response: Survivor annuities are payable through the end of the month prior to the date of the event that caused the loss of eligibility. For example, if the event occurred in April, benefits would end on March 31. Survivor annuities may be elected by the retiree or ordered by a divorce decree. If the benefits are voluntarily elected, survivor annuities payable to widows, widowers and former spouses end if the survivor remarries before age 55 and was not married for at least 30 years to the deceased employee or annuitant. Widows, widowers and former spouses who remarry after they reach age 55 continue to be eligible for survivor annuity benefits. The survivor annuity for a former spouse who is entitled because of a court order ends if the terms of the court order are satisfied. Thus, the court order must specify the termination date of former spouse benefits; and, if no date is specified, the former spouse would receive them until death.

QA &

OWCP QUESTION:Does the amount of Of-

JULY 2012 | NARFE

SURVIVOR BENEFITS II QUESTION: I am getting a divorce and want to provide survivor benefits for my spouse.How can I do this? Response: Survivor benefit elections for current and/or former spouses can be made only at retirement, or based on a qualifying event after retirement. Retirement applications provide detailed information and instructions about these elections. If the marriage terminates after retirement, you must contact the Office of Personnel Management (OPM) and tell OPM that you want to elect to provide a survivor benefit for a former spouse. OPM will send the necessary explanation and forms to elect the benefit if you are eligible to make the election.

MEDICARE PART B I QUESTION: I realize that I am eligible for Medicare Part A because I had Medicare taxes withheld from my salary while I was employed. Am I also eligible for Part B,and is my mother-inlaw eligible for Part B?

who is younger than age 65. Why am I being discriminated against? Response: As a result of changes in the Medicare law, effective January 1, 1995, annuitants age 65 and older who don’t have Medicare Part B must be treated the same as those who do have Part B for benefit payment purposes. That is, the amount doctors and other providers may charge a federal retiree age 65 or older is limited to 15 percent more than the Medicare-approved fee. For more details, see the FEHBP brochure section, “When you are age 65 or over and you do not have Medicare.” Here is an example of how this works. You go to a doctor who charges you $140 for a medical expense. If you are under age 65, your plan requires that you pay a percentage of $140. If you are retired and over age 65, your

plan contacts Medicare to determine what expenses Medicare would pay for this same procedure. Medicare says that it will pay $100 for the procedure. Because you are limited to 15 percent of the Medicare-approved amount, which equals $115, you will pay a percentage of $115 – not $140. Therefore, you actually save money.

SS & MEDICARE WITHHOLDING QUESTION: Are Social Security and Medicare taxes withheld from Federal Employees Retirement System (FERS) annuity and supplement checks? Response: Social Security and Medicare taxes are not withheld from FERS or Civil Service Retirement System annuities or from the FERS Annuity Supplement.

Response: Part B is available to anyone who is age 65, and who is either a U.S. citizen residing in the United States or a lawfully admitted alien who has continuously resided in the United States for five years prior to filing an application. You do not have to be eligible for monthly Social Security benefits or Part A in order to obtain Part B.

MEDICARE PART B II QUESTION: I am an annuitant with Blue Cross/Blue Shield Standard coverage. I did not elect Medicare Part B. My Federal Employees Health Benefits Program (FEHBP) brochure says that retirees age 65 and over are limited to 15 percent more than the Medicare-approved amount.Because of this provision,I have to pay more for my medical expenses than someone NARFE | JULY 2012

Questions & Answers ROTH TSP QUESTION: I am retired and have a Roth IRA.Can I place this money into my Thrift Savings Plan (TSP)Account? Response: If you are retired or separated, you can transfer Roth money into your TSP account directly from eligible plans: Roth 401(k)s, Roth 403(b)s or Roth 457(b)s only. Note: The year after you turn age 701/2, the Internal Revenue Service (IRS) requires that you begin receiving a minimum amount of money from your account (unless you are still working). This is your required minimum distribution (RMD), and it is calculated based on your account balance and IRS lifeexpectancy tables. IRS requirements for RMDs apply to employer-sponsored retirement plans such as the TSP. RMDs, therefore, will apply to Roth money in your TSP account, even though they do not apply to Roth IRAs.

DENTAL INSURANCE QUESTION:I am enrolled in a self +1 dental insurance plan.If I get a divorce, can I make a change to self-only outside of Open Season? Response: Yes. You can change to selfonly once the divorce is final, as your spouse is no longer eligible. Contact your dental plan to make the change.

SURVIVING CHILDREN I QUESTION: Are recurring monthly benefits payable to the children of a deceased retiree? Response: Unmarried children who are dependent upon the retiree may receive recurring monthly benefits. A child is considered a dependent if he or she: • Were born within marriage to the retiree; • Were an adopted child who meets all of the following three conditions: ° The child lived with the deceased retiree; and

° The deceased had filed a petition to adopt the child; and ° The child were adopted before the retiree’s death or by the surviving spouse after the retiree died; • Were a stepchild or recognized child born out of wedlock who was living with the retiree in a parent-child relationship when the retiree died; or • Were a recognized child born out of wedlock for whom a judicial determination of support has been obtained. The Office of Personnel Management considers the child dependent if there is proof that the deceased made regular and substantial contributions to the child’s support.

SURVIVING CHILDREN II QUESTION: How much would my children get in benefits when I die? Response: When the child has a living parent who was married to the employee or retiree, the benefit payable to the child is the lesser of: • $486 per month per child; or • $1,460 per month divided by the number of eligible children. When the child does not have a living parent who was married to the employee or retiree, the benefit payable to the child is the lesser of: • $584 per month per child; or • $1,752 per month divided by the number of eligible children. The rates above are payable from December 1, 2011, through November 30, 2012. They will be increased by future Civil Service Retirement System (CSRS) cost-of-living adjustments. If the deceased is under the Federal Employees Retirement System (FERS) or CSRS Offset, the combined benefit of all the children is reduced by the total amount of the children’s benefits that are payable (or would, upon proper application, be payable) under Title II of the Social Security Act for the

same month to all children of the deceased, based on the total earnings of the deceased. In many cases, the FERS and CSRS Offset children’s benefit is reduced to $0. Children will lose their benefits under the Social Security Administration when they turn 18. The child may be entitled to a survivor benefit from the Office of Personnel Management if he or she is a full-time student at that age and must apply for the benefit.

ACTIVE EMPLOYEES LEAVE WITHOUT PAY QUESTION: I am a GS-11, step 9. How will leave without pay (LWOP) affect my advancement to step 10? Response: You need to check with your human resources office. It appears that you will receive your next step increase if you have six workweeks or less of LWOP. According to the Office of Personnel Management website: An aggregate of no more than two workweeks in nonpay status in a waiting period is creditable service for advancement to steps 2, 3 and 4 of the General Schedule; four workweeks for advancement to steps 5, 6 and 7; and six workweeks for advancement to steps 8, 9 and 10 [5 CFR 531.406(b)]. For prevailing rate employees (WG, WL and WS schedules), an aggregate of one workweek in nonpay status is creditable service for advancement to step 2; three workweeks for advancement to step 3; and four workweeks for advancement to steps 4 and 5 [(5 CFR 532.417(c)].

COURT ORDERS QUESTION: Where can my attorney find the rules that apply to court orders affecting Civil Service Retirement System (CSRS), Federal JULY 2012 | NARFE

NARFE SERVICE OFFICERS are available to answer questions and to assist in Employees Retirement System (FERS), Federal Employees Health Benefits Program (FEHBP) and Federal Employeesâ&#x20AC;&#x2122; Group Life Insurance (FEGLI) benefits? Response: The provisions of law that govern CSRS benefits are in sections 8341, 8342, 8345 and 8346 of Title 5, U.S. Code. The law governing FERS benefits is in sections 8401, 8424, 8445, 8467 and 8470 of Title 5, U.S. Code. The regulations covering both CSRS and FERS court-ordered benefits are in part 838 of Title 5, Code of Federal Regulations (CFR). The regulations contain extensive model language that the Office of Personnel Management (OPM) encourages attorneys to use in preparing court orders. A former spouse may be able to continue coverage under the FEHBP if he

NARFE | JULY 2012

helping with a variety of benefit matters. Check your chapter newsletter for the name and phone number of your service officer. Call NARFE toll-free at

800-456-8410 for the nearest service officer. NARFE Service Centers are also available in some areas. Use the Service Center listings on the NARFE website, www.narfe.org.

or she meets the requirements in sections 8901 and 8905 of Title 5, U.S. Code, concerning health benefits. The regulations are in Subpart H, Part 890, Title 5, CFR. Assignments of FEGLI benefits are authorized by Section 8706 of Title 5, U.S. Code. Regulations are found in Subpart I, Part 870, of Title 5, CFR. These provisions of law, along with the retirement, health insurance and life insurance regulations, are contained in RI 38-116, A Handbook for

Attorneys on Court-ordered Retirement, Health Benefits and Life Insurance Under the Civil Service Retirement Benefits, Federal Employees Retirement Benefits, Federal Employees Health Benefits and Federal Employeesâ&#x20AC;&#x2122; Group Life Insurance Program. The handbook is available on the OPM website at www.opm.gov/retire/pubs/pamphlets/ ri83-116.pdf. A different agency, the Federal Retirement Thrift Investment Board, administers the Thrift Savings Plan (TSP)

Questions & Answers for federal employees. The Board’s regulations governing court orders are in Subparts G and I, Part 1650, Title 5, CFR. Pamphlet TSP BK 11, “Court Orders and Powers of Attorney,” is available from the Thrift Savings Plan, P.O. Box 385021, Birmingham, AL 35238. The TSP website is www.tsp.gov.

ROTH TSP I QUESTION:I am trying to decide if I want to contribute to the RothThrift Savings Plan (TSP). Any advice? Response: Generally, the Roth TSP might be a good fit for those who expect their tax rate to be higher in retirement than it is now. But it is not that simple. When you make Roth contributions, there is no reduction in your adjusted gross income (as there is when you make traditional pretax contributions). This is an important factor in establishing your tax bracket, and the tax deductions and credits that you can take. You should consider these factors as you decide on making Roth contributions. If you are in doubt, consult a qualified financial or tax adviser to be sure that you consider all the complexities of the tax law as they apply to you.

ROTH TSP II QUESTION: How do I get Roth money into my Thrift Savings Plan (TSP) account? There are only two ways: • From your future pay: You need to notify your agency or service that you want to make Roth contributions; or • Transfer Roth money into your account directly from eligible plans: Roth 401(k)s, Roth 403(b)s or Roth 457(b)s only.

ROTH TSP III QUESTION: I plan to place some money into a RothThrift Savings Plan (TSP). How will TSP transactions 32

work with Roth money? Response: If you make Roth contributions or transfer Roth money into your TSP account, you will have a Roth “balance” in your account, in addition to any traditional “balance.” Traditional and Roth money must be kept separate in your account for tax purposes, but the two “pots” of money together make one TSP account balance. Any transactions you make – such as interfund transfers, contribution allocations, loans, beneficiary designations and withdrawals – will apply in equal proportions to the Roth and traditional balances. For example, you would not be able to make an interfund transfer, and put all your Roth money into the G Fund and all your traditional money into the C Fund. For example: Suppose you have a $100,000 TSP account balance, and 10 percent of your account is Roth ($10,000), and 90 percent is traditional ($90,000). If you do an interfund transfer to put 10 percent of your account into the G Fund and 90 percent into the C Fund, here’s how it would be done: • Roth Balance = $1,000 into the G Fund and $9,000 into the C Fund; and • Traditional Balance = $9,000 into the G Fund and $81,000 into the C Fund.

SURVIVOR BENEFITS QUESTION: What choices do I have in order to provide a survivor benefit for my spouse when I retire? Response: You can make one of the following elections: • No survivor benefit; • A partially reduced annuity; or • A fully reduced annuity. These elections may provide the following benefits, as long as they do not exceed 55 percent of your annuity if covered under the Civil Service RetireJULY 2012 | NARFE

Make the right decision at the right time. ment System (CSRS), or 50 percent of your annuity if under the Federal Employees Retirement System (FERS): • No survivor benefit; • A full or partial annuity for a spouse; • A full or partial annuity for a former spouse; or • A combination of the two. Things to consider when making the election include: • Your current spouse must consent to an election of less than full survivor benefits; • Your spouse’s future retirement benefits based on his or her own employment; • Other sources of income; • Whether the other sources of income are protected against inflation with cost-of-living adjustments; and

NARFE offers an online retirement calculator and other financial planning tools for members only. Find out more about this membership benefit at www.narfe.org.

• Your spouse’s need for continued coverage under the Federal Employees Health Benefits Program. You will be required to pay for survivor benefits for your spouse or former spouse at the following rates: • Under the CSRS, your annuity is reduced by 2.5 percent of the first $3,600 of the amount you choose as a basis for the survivor annuity, plus 10 percent of any amount over $3,600. • Under FERS, your annuity is re-

duced by 10 percent for a full survivor annuity or 5 percent for a partial survivor annuity.

To obtain an answer to a federal benefits question, call 703-838-7760 and ask for the Federal Benefits Service Department; send your question by postal mail to NARFE Headquarters, ATTN: Federal Benefits; or submit it by email to retbenefits@narfe.org.

Where we are. It’s just as important as who you are. Extraordinary living in McLean, Virginia! Vinson Hall Retirement Community, in McLean, Virginia, g , is a quiet q enclave of civic-minded residents. The vibrant culture of nearby Washington, D.C. expands our vistas and our opportunities, making life here quite extraordinary. At Vinson Hall, you’ll discover our lifestyle, great amenities and onsite access to a continuum of health care should you need it. And with a new community center and 75 elegant, independent living apartment homes on the way, choice is the order of the day.

Call today and arrange a tour.

703-536-4344

Dignity # Security # Friendship Home since 1969 to commissioned military officers and their immediate family members, Vinson Hall is now also open to select GS-14 and above federal employees. NARFE | JULY 2012

6251 Old Dominion Drive McLean, Virginia 22101 www.vinsonhall.org NARFE1Q12

NARFE: Our Best Bet for the Future

32nd National Convention RENO-SPARKS, NV AUG 26-30, 2012

Opening Ceremonies Feature Speakers From Alzheimer’s Association

arry Johns, president and CEO of the Alzheimer’s Association, will speak August 26 at the opening ceremonies of the NARFE National Convention. Since 1986, NARFE members have donated almost $10 million for Alzheimer’s research (see latest total, p. 47). Joining Johns will be Manny Najera, a member of Manny the Alzheimer’s Association’s Early Stage Advisory Group. Najera is a retired federal employee and a member of NARFE Chaper 1473 in El Paso, TX. Najera was diagnosed with Alzheimer’s

in 2010 at the age of 75. After serving in the U.S. Air Force for four years, Najera joined the U.S. Customs Service, where he had a 38-year career. He was the District Director of Customs in several major cities, including San Diego, CA; Houston, TX; San Juan, Puerto Rico; and St. Thomas, U.S. Virgin Islands. In 1999, he was elected to the Texas State House of RepresenNajera tatives. During his four years in office, he assisted in the passing of the Silver Alert Law, permitting law enforcement personnel to immediately commence looking for people with

FOR MEMBERS WITH MEDICAL NEEDS... These firms offer medical rentals (wheelchairs,scooters and oxygen): • Bennett Medical Services, 2600 Mill St., Ste. 600, Reno, NV, 89502, 775329-0799; • Medtech Services,555 GentryWay, Reno,NV 89502,775-826-2022.

DEADLINES Registration: Postmarked by August 2 Proxy Form: August 11 More National Convention information is available at www.narfe.org. Sign in as a member and click on the 2012 Convention logo.

Alzheimer’s who wandered, instead of waiting for 24 hours before starting their search. More National Convention news appears on p. 41.

NationalAutomobile Museum Dinner August 29 Registration for this optional convention event is available at www.conventionactivities.com. See that site for details. Registration deadline is August 3.

HOTEL RESERVATIONS Hotel reservations may be made by phone with the convention hotel (to get the NARFE rate,you must mention the NARFE Convention) or online at www.januggetsecure.com/jump/1190/.

JOHN ASCUAGA’S NUGGET CASINO RESORT 1100 Nugget Ave., Sparks, NV 89431 800-648-1177 - www.janugget.com HOTEL RATE: $95 single/double + 13.5% county tax. Triple and quad occupancy rates are an additional $10 per person over the quoted rate. Rates apply three days before and three days after the arrival and departure dates, based on availability. PARKING: Valet and self-parking;rate included in the $3 per room per night resort fee. RESERVATION CUTOFF DATE: July 20 CHECK-IN: 3 p.m. / CHECK-OUT: 11a.m.

JULY 2012 | NARFE

NATIONAL CONVENTION SCHEDULE OF EVENTS t

SATURDAY, AUGUST 25, 2012 8:30 a.m.-5 p.m. Noon-4 p.m.

Federation Presidents Meeting Registration / Onsite Registration / Banquet Tickets / Credentials

8 a.m.-4 p.m. 8:30 a.m.-3 p.m. 2-3:30 p.m. 4:30-6:30 p.m.

Registration / Onsite Registration / Banquet Tickets / Credentials Federation Presidents Meeting (1-3 p.m. Joint meeting with National Executive Board) Delegates Orientation / Electronic Voting Orientation Opening Ceremonies: Special guest presentation to Mike Causey, Federal News Radio; Report of NARFEAlzheimer’s National Committee; Remarks by Alzheimer’s Association President and CEO Harry Johns; Talk by Manny Najera, early-stage adviser, Alzheimer’s Association

8 a.m.-4 p.m. 9 a.m.-12:30 p.m. 12:30-6 p.m. 2-5 p.m. 7-8 p.m.

Registration / Onsite Registration / Banquet Tickets / Credentials General Session: Keynote Address by OPM Director John Berry, Committee Rpts, State of the Association Rpts Electronic Voting Practice Sessions General Session: Committee Reports Service Officers Training

7:30-8:30 a.m. 8 a.m.-4 p.m. 9 a.m.- Noon 12:30-1:30 p.m. 2-5 p.m. 4-6 p.m. 7 p.m.

NARFE-PAC Breakfast: Keynote Address by Mike Causey, Federal News Radio Registration / Onsite Registration / Banquet Tickets / Credentials General Session: Nominations, Convention Site-Selection Committee 2016 Report Lunch and Learn Session (Online Activities Module) Regional Caucuses Electronic Voting Practice Sessions Nevada Night

7-9:30 a.m. 8 a.m.-5 p.m. 9 a.m.-Noon

Election Polls Open Onsite Registration / Banquet Tickets General Session: Report of Regional Caucuses, Acceptance Remarks by Regional VPs, Legislative Review, Committee Reports, Election Results Lunch and Learn Sessions (How to sell NARFE to prospective members / Communicating as it applies to volunteer organizations) General Session: Committee Reports

SUNDAY, AUGUST 26, 2012

MONDAY, AUGUST 27, 2012

TUESDAY, AUGUST 28, 2012

WEDNESDAY, AUGUST 29, 2012

12:30-1:30 p.m. 2-5 p.m.

THURSDAY, AUGUST 30, 2012 7-9 a.m. 9 a.m.-Noon 12:30-1:30 p.m. 6-7 p.m. 7-11 p.m.

Election Polls Open (in case of run-off election) General Session: Acceptance Remarks by National Officers, FEEA Update, FEEA and Alzheimer’s Raffle Results, Service Officer Awards, Recruiting/Retention Awards, Federal Long-Term Care Report, Installation of Officers Lunch and Learn Sessions (Motivation: How does this relate to NARFE? / Direct-marketing super hints revealed) Banquet Social Hour Banquet

Exhibit Hall (vendors and candidate booths) Sunday, August 26: Noon-4:30 p.m. Monday, August 27: 8-9 a.m. / Noon-2 p.m. / 5-6 p.m. Tuesday, August 28: 8-9 a.m. / Noon-2 p.m. NARFE | JULY 2012

Convention Committees Appointed o comply with RuleV of the NARFE Standing Rules, T the names of members appointed to convention committees are published here. BALLOT & TELLER Region I Anna Pike, ME Region II Cathy Hobbs, MD Martha Strombotne, MD Region III Mary Pierson, MS Jimmy Coleman, GA, Chair Region IV Diana Diller, OH Yvonne Terrell, OH Gary White, IL Region VI Marilyn Componation, OK Linda Richards, TX Rodney Smith, TX Region VII Janice Baker, NM Carolyn Clark, CO Clyde Gumbmann, AZ Region VIII Leland Lucero, CA Mary Martinez, CA Ann McCraw, CA Region IX Johanna Caylor, WA, Vice Ch. Kathleen Freund, OR Region X Michael Cornelison, KY Robert Hardesty, WV Betty Warren, VA

BYLAWS COMMITTEE Region I Stephen Shurtleff, NH Region II Michael Demski, NJ Region III Larry Shaff, SC, Vice Ch. Region IV David Adams, MI Region V Linda Kurz, MO Region VI Jefferson Vaughan, OK Region VII Dorothy White, CO

Region VIII Larry Enomoto, HI Region IX Mary Williams, MT, Chair Region X Gaston Gianni, VA

CREDENTIALS Region II Jeanette Green, MD, Chair Region IV Joyous Bowen, WI Region VIII Vivian Nathanson, CA Region IX Richard Wilson, WA Region X Pat Taylor, VA, Vice Ch.

LEGISLATION Region I William Wayne, MA Region II Evelyn Kirby, MD, Vice Ch. Region III Larry Harper, GA Region IV Edward Konys, OH, Chair Region V Lois Schneider, ND Region VI Marshall Richards, TX Region VII Rodney Adelman, AZ Region VIII Lenore Manak, CA Region IX Arnold Hartigan, ID Region X Pierce Johnson, VA

MEMBERSHIP Region II Betty Robinson, PA Region III Tom McKinney, GA, Vice Ch.

Region IV John Kibler, MI Region V Mary Burkett, MN Pamela Swanson, NE Region VI Winston Wolfe, AR Region VIII Robert Davidson II, CA Region IX Michael Devich, MT Region X Kathy Arpa, VA, Chair

RESOLUTIONS Region II Alan Weinstein, DC Region V Cindy Renee Blythe, KS Region VI Nancy Vaughan, OK Region VII Jerry Makowski, NM, Chair Region IX Malin Babcock, AK, Vice Ch. Region X Samuel Crain, Jr., NC

RULES Region V Richard Daggett, MO, Chair Region VII Mary Ellen McKay, NM Region VIII Robert Davidson, CA, Vice Ch. John Priolo, HI Region X Mary K Parker, VA

SECRETARY Region VIII Clifford McCraw, CA, Vice Ch. Region X Richard Giangerelli, VA, Chair

Region II Lorraine Kearney, NJ John Henry Wheeler, DC Region III Barbara Boomershine, AL Margaret Pappa, FL, Vice Ch. Donald Pierson, MS Region IV Casey Jalowiec, IN Donald Wiese, OH, Chair Region V Jonathon Green, MN Ronald Larsen, IA Region VI Dora Cordray-Green, OK Gertrude Green, OK Rosalie Landry, LA Region VII Karen Dockter, WY John Light, UT Betty Newman, AZ Marcele Skelton, NM Region VIII James Crandall, CA Forney Lundy, CA Jack Mires, CA Region IX Malcolm Freund, OR Helen Quirino, OR Region X Larry Minniear, TN

TIMEKEEPER Region II Jacqueline Voorhees, DC Region V Robert Hecker, MO, Vice Ch. Region VI Daniel Jenner, OK Region VII Carol Williams, CO Region VIII Julia Wald, CA Region X William Shackelford, VA, Chair

SGT AT ARMS Region I Robert Gruver, NY Arthur Pike, ME

JULY 2012 | NARFE

Online Registration Is Available at www.narfe.org. Sign in and click on the Convention logo.

NARFE 2012 NATIONAL CONVENTION PREREGISTRATION FORM NARFE ID #:

32ND NATIONAL CONVENTION August 26-30, 2012 PLEASE CHECK: ■ (Guest) Member ■ (Guest) Nonmember

Name:

■ Delegate* ■ Delegate-at-Large* ■ Alternate*

*NOTE: This is NOT a voter registration form. Voter registration is confirmed by your chapter on Form C/12-2.

Address:

Mail Preregistration Form to: NARFE, Treasurer’s Office 606 N. Washington St. Alexandria, VA 22314-1914

Name for badge: Chapter #:

■ A nonrefundable fee of $65 (payable to NARFE) must accompany this form. ■ Onsite registration fee will be $80 in Reno-Sparks. ■ Each attendee must complete a separate registration form. ■ Form must be postmarked by August 2, 2012.

Location:

■ Charge to my credit card

Notify in case of emergency:

Card type: ■ MasterCard ■ Visa ■ Discover ■ AMEX

Name:

Card# __________________________________________ Phone Number:

Expiration Date_______ / _______ (mm) / (yy)

Name on card (Print) _______________________________ Signature ________________________ Date __________

Form C/12-4

BANQUET RESERVATION FORM August 30, 2012

32ND NATIONAL CONVENTION August 26-30, 2012 ■ Tables will be assigned on a first-come, first-served basis. Tables seat 10 people. ■ RESERVATIONS LIMITED TO 2,000 PEOPLE. ■ Groups wishing to sit together should submit only one request specifying number of seats desired. Please attach name list. ■ A receipt will be mailed to you by August 2 acknowledging payment and showing your table assignment. ■ All banquet tickets will be held for pickup at the convention registration area at John Ascuaga’s Nugget Casino Resort. ■ BANQUET REFUNDS AVAILABLE ONLY IF RESERVATIONS ARE CANCELLED 72 HOURS PRIOR TO THE BANQUET.

NARFE ID #: Name: Address:

Chapter #: Nonmember Guest: Please reserve _____ tickets at $50 each, total $_____.

■ Charge to my credit card Card type: ■ MasterCard ■ Visa ■ Discover ■ AMEX

Make check payable to NARFE and send to: NARFE, Treasurer’s Office 606 N. Washington St. Alexandria, VA 22314-1914

Card# __________________________________________ Expiration Date_______ / _______ (mm) / (yy)

Name on card (Print) _______________________________ Signature ________________________ Date __________

Form C/12-16

CANDIDATES’ STATEMENTS NARFE NATIONAL ELECTIONS ARTHUR G. PIKE Candidate for Region I Vice President

his is to announce that I am a candidate for Region I Vice President. I have been a NARFE member since 1994 and a Life Member since 1996. I have served in NARFE chapter 2132 as 2nd VP & Legislative Chair, 1st VP & Membership Chair, Service Officer and currently Chapter President. I have held Maine Federation Offices as 2nd Vice, 1st Vice, President and currently as Federation Secretary. I attended National Conventions in Greensboro, Albuquerque, Louisville, and Grand Rapids. I served on the Sergeant at

Arms committee in Grand Rapids. I have a BS degree in management, numerous completion certificates for military and civilian schools and many hours of continuing education credits. I served in the Army on active duty from September 1961 through September 1963, in the US Army Reserve from 1963 through August 1964 and in the Maine Army National Guard from 1964 through September 1995. While in the National Guard, I worked full time as an AST, Property Book Officer, Warehouse Supervisor and as an Auditor. I attained the rank of 1SG E-8 and later ac-

cepted a direct appointment as a Warrant Officer. I retired in 1995 with the Rank of CW-4. I am married to my wife Anna and we have two adult sons and two grandchildren. My desire as Region I Vice President will be to work with Federations as liaison between them and National Headquarters. I will work to grow membership in Region I and am especially interested in assisting Service Officers at Federation and Chapter levels. ■

RONALD P. BOWERS Candidate for Region II Vice President

UMMARY: As RVP-II, I have represented the interests of the five Federations and 46,000 members in Region II. I have attended nearly every meeting of the 5 Federations to answer questions and learn more about each Federation. I have held 2 Regional meetings of the Federation Presidents. I have been an active and outspoken participant in the meetings of the NEB where I have tried to help fulfill the important duty of the NEB to conduct the business of the association between conventions and to set policy. I will continue to advocate for insuring the required participation of the entire NEB in setting policy and

making important decisions that affect recruitment and retention and other management issues facing NARFE. Participation of the Federations before major changes is also essential to NARFE’s success. KNOWLEDGE AND EXPERIENCE: My approach to the RVP role has reflected my 24 years in various offices and committees in my Chapter and Federation, including being president of each. I also have experience and skills developed during my 30-year employment career, especially during 18 years in the Social Security Administration bureau that managed the 7 payment centers in various cities. For my last 7 years

I was director of the headquarters staff covering every subject for that organization. Before that, I was head of the budget and workload management branch and led a complete redefinition and revision of casework control systems for the centers. Next, as Planning Staff Director, I led the design and testing of an entirely new organization structure and its installation in every center. Those quite radical changes affected 12,000 employees; they were done with participation of people who would be affected by or have to implement the changes. And both are still in place. I participated in negotiations and consultaJULY 2012 | NARFE

tions with AFGE considering these changes. I have been an officer and committee person in PTAs in 3 different schools, my neighborhood association, my condo association, 2 Democratic clubs, and the MD State Democratic Central Committee. DEMONSTRATED SKILLS:

• Managing and assigning complex subjects for effective results • Planning and conducting seminars and meetings, large and small • Writing or rewriting of by-laws (5 different organizations) and instructions manuals (SSA Budget Manual and a manual for a reorganized audit func-

tion in the SSA centers) • Analysis and redesign of organization structures Ronald P. Bowers 404 Kilree Road #301 Timonium, MD 21093 410 308 0420 narferbowers@msn.com ■

BARRY P. GRIER Candidate for Region II Vice President

ou might consider Region II the “Mother-Lode” of federal employees and retirees with a vast pool of prospective members for NARFE. And, the very fact that our region is bursting with potential members, I am confident that Region II is more than strong enough to MAKE A DIFFERENCE. My belief that Region II can MAKE A DIFFERENCE in increasing its influence and continuing to be at the forefront of this organization nationally has prompted me to run for the position of Region II Vice President. When I think of the enormous potential of members coming from the active and retired federal employees in our respective areas, it troubles me that we haven’t made enough significant gains when the handwriting on the wall is asking: “Why not?”

Each federation in Region II is unique. Each has its own characteristics and demographics which means each should have its own strategic plan and this plan should be unique to that specific federation. “One size does not fit all.” It seems we have been tailoring our federations in Region II with a one size fits all mentality. I am particularly proud of Region II and believe it has the potential to MAKE A DIFFERENCE in the overall success of NARFE. In an effort to consolidate a more aggressive strategy CHAPTER COALITIONS may be the answer. Specifically, chapter coalitions would consist of chapters meeting together in nearby zip code areas, to complement their strategies. This strategy is best for metropolitan areas where zip codes overlap. NARFE should also be well known in every federal HR office

in all areas of operation. DIVERSITY within our organization should mirror the federal employment. This is easily remedied by developing an outreach program of focus groups to develop a strategy in attracting minority federal employees and retirees. We are missing a huge recruitment opportunity. I am currently the 2nd Vice President and Membership Chair for the Maryland State Federation, and past president of Chapter 1466. My federal career with HUD included seven years as President of Local 3122 of the American Federation of Government Employees. My federal service also included three years military. I joined HUD after a number of years as a Mortgage Banker. Please consider MAKING A DIFFERENCE by electing me Region II Vice President. Thank you. ■

PAUL E. JOHNSON Candidate for Region IV Vice President

t has been a great honor to serve as the Region IV Vice President the past four years. I am announcing my candidacy for re-election. My main goal these next two years is to work on Recruiting & Retention. I ask all members in Region IV to help me in this endeavor.

NARFE | JULY 2012

NARFE is a grass roots organization and its elected officers must represent the will of those who elect them. This organization pursues legislative issues in the best interest of its members and provides guidance concerning member benefits. My NARFE experience and background consist of this:

Became a NARFE member in 1995 Joined Chapter #0578 in Bedford, Indiana Elected chapter vice president in 1996 and attended my first National Legislative Conference in 1997 Attended my first Indiana Federation Convention in 1997 and was

elected Indiana Federation President and served five years Attended National Federation Presidents Conference in San Antonio, Texas Served on the Region IV FEEA Scholarship Committee Chaired Indiana Federation Legislative and Public Relations Committee Elected Indiana Area 6 vice president 2008 Attended all Indiana Federation conventions, all NARFE National Conventions and National Legislative Conferences since becoming a NARFE member Elected Region IV National Vice

President at the National Convention 2008 & 2010 National Audit Committee (20082012) Served 2012 as Chairman Serving on the National Site Selection Committee for the 2016 National Convention I served in the U.S. Air Force from 1962 to 1966 with a tour of duty in Vietnam. In 1966, was employed at the Naval Weapons Support Center in Crane, Indiana. I retired as supervisory program manager for the Department of the Navy in 1995. I believe my experience qualifies me to continue as your Region IV Vice

President. I will continue to bring your concerns and views to the National Board and will work for and with you to make our Association grow and better represent legislative issues that will affect NARFE members now and in the future. Please join me at the NARFE National Convention. A matter of importance to the future of NARFE will be the discussion of the proposed rewrite of the National Bylaws. Attend and make your vote count. I would appreciate your vote and support so I may continue serving you as Region IV Vice President. ■

EDWARD J. KONYS Candidate for Region IV Vice President

embership in NARFE has been declining yearly since 1995. Since 2001, membership losses are averaging 12,000 members per year. Consequently, 44% of the members in Region IV are 80 years old or older, while baby boomer membership is only 23%, leaving the region with a 6,300-member deficit. If NARFE continues going down this path, in 8 to 10 years it will no longer be effective and most likely cease to exist. This is a leadership issue. If elected, I will advocate new and innovative management approaches. My platform, based on my education and work experience consists of instituting revenue-performance business management along with transforming organizational practices. The first step is to start focusing on revenue – expenses are limited by revenue; revenue is driven by membership; and membership is a function of recruiting and retention. Fixing recruiting and retention will rectify operating revenue shortfalls. Secondly, to ensure increases in recruitment and retention

the NEB must establish performance the closed chapters goals. Performance goals clearly define due to the fact they what is important and acts as a forcing have no affiliation or function for integrating people and affinity for their new chapters. Why processes. Without goals, yearly mem- not designate a single gaining chapter bership losses will continue. Thirdly, at to establish a “branch chapter” like the federation level, NARFE has little bank branches, thereby retaining or no name recognition, which seri- chapter cohesion and thus keeping ously handicaps recruiting. If elected members. Finally, we need to bring the Region IV Vice-President, I will estab- Association into the 21st century inlish a regional recruiting and retention ternet world. If we want to have any council comprised of Region IV feder- chance of recruiting the current genation presidents and membership eration of federal and postal workers chairs. To assist them I will provide and baby boomer retirees, we need a each chapter president with informa- vastly improved internet web site. Our tion about retirees down to the 5-digit site today is simply a bulletin board zip code. Using this data and local ex- and hinders our recruiting. Our web perience, we can develop an R&R plan message to non-members should be – for the region. Fourth, I propose that “If not NARFE, who?” ■ we take a hard look at how our chapters operate. We need to Additional Candidate Statements start employing inno- Appear on the NARFE Website vative chapter manandidate statements for all positions are available agement. For exon the NARFE website,www.narfe.org (click on ample, as we close the Convention logo). All statements appear as submore chapters we mitted and are unedited. lose members from

JULY 2012 | NARFE

NARFE News Convention Goers: FindOut Who PaysWhat

f you have been chosen by your chapter or federation to represent them at NARFE’s National Convention August 26-30 in Reno-Sparks, NV, did they preregister you and pay your $65 registration fee? Some do, but some don’t. If they did, all of your convention material will be waiting for you when you arrive. If they didn’t and you didn’t, you’ll have to go to onsite registration, wait for your convention material to be prepared, and pay $80, instead of the $65 preregistration fee. There are members at each convention who visit onsite registration. Most say they thought that their chapters or federations had preregistered them and paid the fee. Some members then be-

come upset because they have to pay the extra $15 fee for onsite registration. So, avoid the hassle. If you are in doubt about whether your registration fee has

been paid, contact your chapter or federation to find out. Preregistration forms are available on p. 37 of this issue of NARFE magazine. ■

Discussion of Online Activities Module

ARFE has added a fifth opportunity to lunch and learn at the NARFE National Convention. Because of the many requests for information, NARFE will offer a presentation on the Online Activities Module (OAM).The OAM provides a series of online, real-time reports designed to make the jobs of chapter and federation officers easier by providing timely reports. Pat Dempsey, chair of the NARFE Configuration Advisory Board, and Fred Hamidzada, director of information technology, will discuss and demonstrate the OAM on Tuesday, August 28, from 12:30-1:30 p.m.The OAM Lunch and Learn session joins four previously announced sessions on recruitment and retention topics. See Convention schedule, p. 35, for more information.

NARFE National Life Membership Application National Life Membership offers a hedge against future dues increases and affirms a member’s ongoing support of NARFE’s mission to serve federal employees and retirees. National dues are paid for life; applicable chapter dues are billed annually. Life Membership Fee Schedule

Membership Information

Contact Information

Ages

(Active NARFE members)

Member Number:_______________________

Full Name: Mr./Mrs./Miss/Ms.

Street Address

Single or Quarterly Payment Installments

Apt./Unit

City/State/ZIP

Email Address

30-39 $1,796 40-50 1,408 (New members) Membership is open to civilians in 1,127 any agency of the federal or D.C. (before Oct. 1, 1987) 51-55 56-60 960 governments eligible for a federal annuity. 61-65 801 Check one: 66-70 653 Retiree Active federal employee 71-75 514 Spouse Former federal employee 76-80 392 Former spouse Survivor 81-90 251 91-100+ 127

Payment Information Single payment

$450.25 353.25 283.00 241.25 201.50 164.50 129.75 99.25 64.00 33.00

Quarterly Installments (4 payments)

Life Membership fee amount: $____________

Date of Birth

Credit card

Check or money order (payable to NARFE)

Credit Card Info: MasterCard

Discover

Visa

AMEX

Recruiter’s ID # (if applicable)

Card Number:______________________________ Exp. Date:_____/_____ Chapter Number (call 800-456-8410 for chapter information)

Name on Card: (print) ___________________________________________________ Signature: __________________________________________ Date:______________

Thank you for becoming a National Member for Life. You will receive a membership card, certificate and special lapel pin. Please allow six weeks for processing. Dues payments & gift contributions to NARFE are not deductible as charitable contributions for income tax purposes.

Mail application and payment to: NARFE, Attn: Member Records, 606 N. Washington St., Alexandria, VA 22314 NARFE | JULY 2012

Vice President’s Views Information Tech Progress Report By Paul H. Carew National Vice President natvp@narfe.org

ARFE Headquarters has been conscientiously working to improve significantly the quality and timeliness of information provided to federations and chapters. Beginning in December 2010, the NARFE Information Technology Advisory Committee (NIAC) was formed to recommend a 21st-century information technology strategic vision for NARFE by analyzing major operating systems, and reviewing policies and procedures. NIAC accomplished its task in an exemplary manner, focusing on a cost-effective and affordable architecture initially to address recruitment, retention and legislation. The committee presented its report to the federation presidents joint

meeting in RenoSparks, NV, in July 2011. An adjunct committee recommended by NIAC and created by the Information Technology (IT) Department is the Configuration Advisory Board (CAB). Comprised of an IT-savvy member from each region, CAB is charged with making recommendations that increase the operational efficiency, stability and much-needed transparency of the NARFE IT infrastructure and baseline management. A major feature of the new NARFE IT architecture is the implementation of the Online Activities Module (OAM), which provides interactive applications in real time. OAM was created to assist the chapters, federations and regions by providing multiple levels of information on demand. A few examples include:

• Maintenance and updating of F-7s and F-7As; • Retrieving membership data via 11 specific criteria, including potential members, new members, lapsed members, dropped members and deceased members; • Second notices sent to members; • Recording chapter and federation meeting times and locations; • Chapter dues change requests; and • Monitoring all chapter and federation roster changes. OAM is an ongoing project and will expand as time goes on. I urge all federations and chapters to take advantage of this module and explore all of the available options. Furthermore, you are encouraged to contact your regional CAB representative and make recommendations regarding the OAM that will better serve chapter and federation operations. For information about the OAM and CAB representatives, go to narfe.org/OAM. (See p. 41 for story on OAM training.) ■

From the Secretary’s Desk Membership! Membership! Membership! By Elaine C. Hughes National Secretary natsec@narfe.org

hen thinking about what to write for this article, I thought that no one wants to hear again and again that “we must grow membership in order to survive.” We are very much aware of this fact. So you – our members – probably want to know what is behind these words from

the perspective of NARFE Headquarters. “Membership” for NARFE is more than just a word to be batted around in conversation. We are constantly discussing what it means to us. We are constantly debating the ramifications, the impact, who’s doing what to help our numbers, etc. Of course, when all is said and done – and as we all know – membership is the life blood of NARFE. Working at NARFE Headquarters

provides a unique and wonderful opportunity, and it comes with a great deal of responsibility. Please know that it is an opportunity that is not being squandered and a responsibility that is not taken lightly. In January, we kicked off implementation of the 2012 Membership Plan. As you are already aware, we are working in conjunction with Marketing General Incorporated (MGI). With the company’s expertise, as well as the knowledge and expertise of our Recruitment and Retention staff, we have begun strategically to move ahead in several areas to grow membership. The following briefly JULY 2012 | NARFE

describes the projects currently being undertaken: • Direct Mail Campaign – In March and April, we dropped close to 300,000 mailings, which represent a combination of prospective members, lapsed members and selected outside mailing lists. • Renewals – The percentage of membership renewals (82-84 percent) is outstanding; however, it is not enough to offset the number of lapsed members. In an attempt to increase our success, the renewal notices have been redesigned, and additional notices – both mail and email – have been added. • “Member Get A Member” Campaign – This project enhances the recruiting efforts of our federations and chapters. We targeted several areas across the country and will be able to report the results soon. • Telemarketing Campaign – Through this ongoing activity, launched last fall, we are targeting lapsed members. To date, we have

reinstated close to 2,000 members and will continue this campaign throughout the year to help stabilize our membership numbers. I have highlighted only the most recent activities. We are well under way with several other projects, including the eConnect newsletter series for new members, the online lead generation project (which helps us identify active federal employees and new retirees) and redesigning the materials (informal preretirement seminar kits) used by recruiters. As the year progresses, we will be launching several additional projects that are projected to boost our results. They are: • “Who Do You Know” Campaign – Will assist us in obtaining contact information for active federal employees. • NARFE Membership Toolkit – Will be similar to the Protect America’s Heartbeat Toolkit. • Membership Materials

Repository on the NARFE Officers Home Page on the Website – Will offer an online place for chapter and federation leaders to share successful materials and programs. • Membership Webinar – Will focus on the basics of recruitment and retention, the toolkit and other membership information. • Promotion Campaign for Federal Human Resources Directors and Managers – Will help us leverage access to federal human resources directors and managers. We are pursuing the best opportunities for us to grow membership and maintain our numbers moving forward. With this in mind, I want to thank wholeheartedly those of you who recognize the importance of recruiting new members and who are working hard to keep our members. And, of course, thanks to all who have chosen to maintain your membership in NARFE. ■

Treasurer’s Report Dues, Renewals and Records By Richard G. Thissen National Treasurer nattreas@narfe.org

’d like to take this opportunity to go over a few important issues that mostly affect chapter and federation officers but also should be of interest to all NARFE members. Dues Withholding for Active Federal Employees (AFEs): We are unable to offer dues withholding to AFEs because we do not have the necessary agreements with the numerous budget systems that process payroll across the federal community. That said, AFEs may

NARFE | JULY 2012

want to check with their local finance office to see what the allotment rules are (a one-time annual deduction from their pay may be permitted). In these cases, AFEs may be able work with their local bank or credit union to set up an annual renewing payment. NARFE also offers an auto-renew option. Under this plan, members pay with a credit card the first time and then have future payments made automatically. Multi-Year Renewals: These renewals can be made through the mail or online for those renewing their one-, two- or three-year

memberships. Life members do not currently have the option to renew chapter dues for more than one year. However, they can remit payment for as many years as they wish by mail. Life members also can pay the chapter treasurer directly and have the chapter treasurer notify NARFE Headquarters of the amount paid. Membership records will be adjusted accordingly. Autorenew also is another option. If opting for auto-renew, please help us by keeping your credit card information up to date. Changes to Member Records: For years, concerns have been raised that changes are submitted to NARFE Headquarters and nothing happens. We have instituted new

procedures to ensure that changes are, in fact, posted and done so in a timely manner. If you have a question or concern about whether changes you have submitted were acted upon, please contact me so we can look into it. Occasionally, we receive calls about errors in member records. If you believe there is an error, notify me, and we will fix it. Please let us know if you are now retired and are enrolled in NARFE under the “grandfathered” special dues rate for AFEs or if we have made a mistake in your dues notice. We know that these situations exist. Remember: A 0.1

percent error rate on 300,000 records results in 300 errors (most would consider 99.9 percent a near perfect rating). Life Members Who Have Stopped Paying Chapter Dues: There are many life members in this category who are listed in each chapter’s records. Some of these members, if asked, would agree to restart paying chapter dues. I am recommending that each chapter make a one-time effort to reach out to these members. These dues payments would directly benefit the chapter’s treasury. IRS Form 990N: Chapters and federations are required to file this

form electronically every year. We recently provided procedures on how to file this form. It is extremely easy and takes less than five minutes. Some chapters have failed to file the 990N yearly and, if not filed for three consecutive years, the chapter loses its nonprofit tax exemption. Once lost, it is a very complicated and timeconsuming task to regain taxexemption status. More problematic: NARFE Headquarters cannot help because the Internal Revenue Service no longer considers that entity under the NARFE “umbrella” for tax-exempt status. ■

Report From the Regions Raising Awareness Of NARFE By Helen L. Zajac Region VIII Regional Vice President hlz17@aol.com

hat are members doing to increase NARFE awareness in their communities? What are you doing to increase NARFE membership? Many members don’t feel that it is their job to promote NARFE or increase membership – but every member is a recruiter! We appreciate your continued NARFE membership, but we need each and every one of you to reach out and help with member recruitment, and we need your help now. NARFE is probably not the only organization that you belong to, but keep in mind that there are potential members in these other

organizations. In nearly every community service, fraternal or social organization, there are federal employees and retirees. Groups of federal retirees get together for annual reunions. They are in your church, on the golf course, in the malls – and we need to reach out to them. Your NARFE magazine is a great recruiting tool. We need to enlist every NARFE member to talk about NARFE with neighbors, friends and acquaintances, telling them what NARFE has done for the federal community over the past 91 years. Many of the benefits that retirees enjoy today are due in part to the work of NARFE and NARFE members, working together as a team, to enhance the benefits in years gone by into the benefits we have today. In this current political climate, our role has changed from the enhancement to the retention of benefits, and we need you to help raise awareness of NARFE, thereby

gaining new members. It’s easier to recruit someone you already know. Encourage them to join with us in our efforts. With your support, we can grow our membership. ■

‘Like’ Us On

FACEBOOK! Do you want to receive the latest legislative updates and other breaking news from NARFE Headquarters? Go to the “NARFE National Headquarters” page on Facebook and click “Like” to begin receiving the latest posts on your news feed. NARFE Headquarters’ Facebook page does not accept Friend requests. We just need you to Like us! You can also link to our Facebook page from the NARFE website. On the left side of the Main Home Page, click “ Find Us on Facebook.”

JULY 2012 | NARFE

Join

NARFE

Who can join?

Today!

To apply:

Membership is open to civilians in any agency of the federal government including: • Retirees • Active federal employees • Spouses and former spouses of active and retired federal employees • Former employees eligible for deferred annuity • Survivors of those eligible to join NARFE

Check out eNAR FE, ou r new electronic m embership option, at www.NAR FE .org

• Complete the application below. • Enclose payment information, bill pay, check or money order payable to NARFE, or request to be billed. • Or go to our website at www.narfe.org. • Or call us at 800-627-3394 and join today!

Enrollment includes membership in a local chapter and the national association, plus a subscription to NARFE’s monthly publication, NARFE magazine.

NARFE MEMBERSHIP APPLICATION For Active and Retired Federal Employees 1. Choose all that apply: Retiree Spouse Survivor

Active employee Former spouse Former employee

2. Also enroll my spouse __________________________

www.narfe.org

Contact Information:

Full Name: Mr./Mrs./Miss/Ms.

full name

3. Please enroll me in NARFE chapter ______________

Street Address

4. __________ $45 x __________ Membership Fee # of People Per Person Enrolling

City/State/ZIP

= __________ Total Payment

Total payment (check, bill pay or money order payable to NARFE) Bill me (Membership starts when payment is received) Charge to my credit card The first year membership fee includes national and chapter dues. Credit Card Information: MasterCard Card type: Discover

VISA AMEX

Card No. ___________________________________________

Apt./Unit

Phone Number Email Address Date of Birth Spouse’s Date of Birth (if applicable) Recruiter’s Membership and Chapter Number

Expiration Date ________________ (MM)

(YY)

Name on Card (Print) ________________________________ Signature ____________________________ Date __________

NARFE | JULY 2012

MAIL TO:

NARFE Member Records 606 N. Washington St. Alexandria, VA 22314-1914 Fax: 703-838-7783

1Q 45

NARFE Dues Withholding Application Retired Federal Employees Only If you are a Retired Federal Employee and you would like your NARFE dues to be deducted from your annuity payments, fill out the form below.

Dues Withholding Application (Retirees Only) Fill out this form completely and mail to: Attn: Member Records, NARFE, 606 N. Washington St., Alexandria, VA 22314 (Do Not Send Money With This Form). (Please Print) —

—

Civil Service Annuity Number

Social Security Number (9-digits)

(Include prefix CSA or CSF) (Include any applicable suffix)

(Mr., Mrs., Miss, Ms.) Address

Telephone

City, State, ZIP

E-mail

Date of Birth

NARFE Membership Number

NARFE Chapter Number

Authorization I authorize the United States Office of Personnel Management to make appropriate deductions from my annuity payments, not to exceed the amount certified by the National Active and Retired Federal Employees Association as the amount of dues for which I am annually obligated, in accordance with elections I make below and to pay the deducted sum to the National Active and Retired Federal Employees Association (NARFE). This authorization shall also apply to any and all dues changes certified by NARFE membership in accordance with elections I make below:

Do You Authorize Your Spouse’s Dues to Be Withheld from Your Annuity? If YES, enter your spouse’s name and membership number below.

Name

Number

❑ Yes

❑ No

You authorize: Annual NARFE dues of $34.00 plus Chapter dues of record to be withheld annually.

I understand that this authorization shall be valid until NARFE receives & processes my written notice of cancellation in accordance with its agreement with the Office of Personnel Management & that any disputes regarding this authorization shall be a matter between NARFE & myself. I hold the Office of Personnel Management harmless for any erroneous allotment deduction made pursuant to this authorization. Signature of Annuitant or Survivor-Annuitant

Date

Dues payments & gifts or contributions to NARFE are not deductible as charitable contributions for federal income tax purposes.

JULY 2012 | NARFE

Out & AW bout ith the Chapters Saluting Tuskegee Airmen NARFE MEMBER IS TUSKEGEE AIRMAN. James A. Sheppard, right, a member of Chapter 206 in Cosco Bay-Portland, ME, served as a member of the famed Tuskegee Airmen in World War II. He is shown in front of a poster for the movie “Red Tails,” which tells the story of the African-American fighter squadron. Sheppard served as a crew chief with the 100th Fighter Wing.

TUSKEGEE AIRMEN SPEAK TO MARYLAND FEDERATION.Two members of the Tuskegee Airmen spoke at the Maryland Federation’s miniconvention. From left, Tuskegee Airmen Byron “Wingman” Morris and William “Wild Bill” Broadwater, and NARFE WWII veterans Bernie Goldsborough, Chapter 969 in St. Mary’s County, and Gordon Brown, former National Secretary.

SERVING THOSE WHO SERVE US. 1st Lt. Kyle E. Litchfield, second from right, on leave from a deployment in Iraq, visited with members of Chapter 1694 in the Lakes Region-Mount Washington Valley, NH. Led by President Marjorie Bonneville, second from left, the chapter sent gift boxes to Litchfield and his company at their forward observation base. Other chapter officers pictured are Larry and Rita Pelland.

HONORS. Wayne Mitchell, second vp of the West Virginia Federation, presents Angelina Grbac with a Distingished Member Certificate and a Certificate of Achievement in honor of her service to Chapter 2226 in Princeton, WV. Currently president of Chapter 2226, she has been a NARFE member for 32 years.

To submit a photo: Email it to rl@narfe.org or send it by postal mail to NARFE Headquarters, ATTN: Out & About. NARFE members contributed for Alzheimer’s research:

SUPPORT ALZHEIMER’S RESEARCH

$10 Million Fund

$9,721,023* *Total as of April 30, 2012 100% of all contributed funds go to Alzheimer’s research. If you have any questions, write to: National Committee Chairman Jane Rodgers, P.O. Box 234 Wadesville, IN 47638-0234 Email: ajrodgers@tds.net

Enclosed is my NARFE-Alzheimer’s contribution: $ ___________. Every cent that is contributed is used for research. Please circle:

Mr.

Mrs.

NARFE-Alzheimer’s Research and mail to: Alzheimer’s Association 225 N. Michigan Ave., 17th Floor Chicago, IL 60601-7633 NARFE | JULY 2012

Ms.

Address _____________________________________________________________ City _______________________________ State _________ ZIP ______________ Chapter number _______________________ Credit Card Information: ❑ Visa

Your charitable contribution is tax-deductible to the fullest extent allowed by law. Write your chapter number on check; make it payable to:

Miss

Name _______________________________________________________________

❑ MasterCard

❑ Discover

❑ AMEX

Card Number: __________________________________________________________ Expiration Date:________(mm)/_________(yy) 3-Digit Security Code: _________ Name on Card: (print) ___________________________________________________ Signature:_________________________________________ Date: _______________

NARFE Perks NARFE Perks are designed to provide NARFE members with a quality option in their search for commonly used products and services. NARFE makes no guarantee on any products and services listed below and encourages its members to shop and compare before making a decision on any financial matter.

MOVING SERVICES

INSURANCE

HEARING BENEFITS

NARFE INSURANCE SERVICES NARFE MEMBER HOMEBENEFITS 1-800-666-9203 http://narfe.myhomebenefits.com • Earn thousands in cash-back rewards when you buy or sell a home* • Shop competitive mortgage rates, receive discounts on closing costs, plus take advantage of your VA Loan Benefits • Receive preferred pricing on interstate moving services with the nation’s most trusted moving company – Allied Van Lines! *State restrictions apply. Call or visit website for details.

BEKINSVAN LINES 1-800-456-6832 (M-F, 8 a.m.-5 p.m. CT) narfe@bekins.com All NARFE members will receive discounted pricing for all interstate shipments. Discount will apply to packing and moving services and valuation protection. All intrastate shipments, locals and international moves will be competitive in cost based on your geographical location. Mention you are a NARFE member and transportation agreement #00930.

VACATION RENTALS

Government Employees Travel Opportunities® Offers government employees, retirees and their families 7 Night Stays for ONLY $349 on accommodations worldwide. Book online at www.gettravelop. com/narfe and save on your next vacation stay.

1-800-233-5764 Designed and administered by Marsh U.S. Consumer, a service of Seabury & Smith, Inc., exclusively for NARFE members: Senior Whole Life, Term Life, Medicare Supplements, Hospital Income Plan, Short Term Recovery Insurance, Pet Insurance, Accidental Death & Dismemberment, Cancer Care, Enhanced Dental Insurance and Long Term Care. Go to www.narfeinsurance.com for more information on these programs.

GEICO:1-800-368-2734 NARFE members with good driving records may be eligible for quality automobile insurance from GEICO. Ask about the NARFE discount available to members in many states. Call today for your free, no-obligation rate quote. Be sure to mention that you’re a NARFE member! • Discount amount varies in some states • Discount not available in all states or in all GEICO companies • One group discount applicable per policy.

Two discount programs to choose from: ValueAdd® or MemberPlus®. Similar to a warehouse membership, MemberPlus saves hundreds more for a $108 yearly membership.

MemberPlus also includes: • 45-day, money-back guarantee on membership fee and all purchases • 48 batteries, 3-year warranty, and onetime loss and damage for 3 years (small manufacturer deductible applies) on each purchased hearing aid • Guest membership for up to four extended family members (siblings, parents, etc.) for only $79 each • Combine with an existing health plan hearing benefit to maximize savings Visit TruHearingMemberPlus.com for more information, or call 877-360-2442 Mon-Fri, 9 a.m.-9 p.m. East Coast Time

EMERGENCY SERVICES SINCE 1974 1-800-423-3226 Medical Air Services Association has been the industry leader in prepaid emergency assistance services for more than 30 years. NARFE members have experienced MASA’s “peace of mind” services since 2001. Now NARFE members are entitled to even more: air ambulance transportation, helicopter transportation, ground ambulance, vehicle return, mortal remains transport, and much more! Call MASA Today. It Could Save Your Life!

JULY 2012 | NARFE

HOTELS

CAR RENTALS

CREDIT UNION

CHOICE HOTELS INTERNATIONAL With 6,000 hotels in the United States and throughout the world, Choice Hotels® offers something for everyone. Join the Choice Privileges® rewards program and earn points with every qualifying stay toward free nights, Airline Rewards, gift cards and more. As a NARFE member, receive 20% off your next stay at participating hotels when you use Special Rate ID 00801967. This offer is subject to availability and cannot be combined with any other offer. Advance reservations required. To book, visit choicehotels.com or call 800-258-2847.

ALAMO Drive Happy® with Alamo® where NARFE members receive year-round discounts. Call 1-800-462-5266 and reference Contract ID 262544.

NATIONAL You Drive A Hard Bargain. Receive up to 20% off rentals at National Car Rental. To make a reservation call National Car Rental at 1-800-CAR-RENT® and reference Contract ID 5282909.

NARFE’s OFFICIAL CREDIT UNION As a member of NARFE, you have the privilege of joining NARFE Premier Federal Credit Union, which has been serving members since 1935. We offer extensive services at competitive rates to members nationwide. Your savings are federally insured to at least $250,000 and backed by the full faith and credit of the United States Government. For more information, call 800-3281500, e-mail jparish@narfepremierfcu. org or visit us at NARFEpremierfcu.org.

CREDIT CARD AVIS:1-800-331-1441

WYNDHAM HOTEL GROUP As a member of NARFE, you will receive up to 20% off the “Best Available Rate” at participating locations when you travel. Call and give agent your special discount ID number, 8000002694, at time of booking to receive discount. Whether you are looking for an upscale hotel, an all-inclusive resort or something more cost-effective, we have the right hotel for you... and at the right price. So start saving now. Call our special memberbenefits hotline 1-877-670-7088 and reserve your room today at one of these fine hotels: Wyndham Hotels and Resorts®, Days Inn®, Ramada Worldwide®, Super 8®, Wingate By Wyndham®, Baymont Inns and Suites®, Hawthorn Suites® By Wyndham, Microtel Inns and Suites®, Howard Johnson®, Travelodge® and Knights Inn®.

NARFE | JULY 2012

The employees/owners of Avis offer guaranteed low rates and quality services to members of NARFE. Mention ID# A991900.

HEALTH SCREENING

LIFE LINE SCREENING

Bank of America now offers the officially approved credit card program for NARFE, featuring the Platinum Plus® MasterCard® with WorldPoints. This is the only credit card that helps support NARFE every time you use it to make a purchase–at no additional cost to you. Call toll-free 1-866-438-6262 Use NARFE’s full name, not NARFE.

Life Line Screening, America’s leading provider of community-based NARFE MERCHANDISE preventive health screenings, will conduct the following screenings using NARFE state-of-the-art ultrasound technology GENERAL STORE in your neighborhood: 1. Stroke/Carotid Artery 2. Abdominal Aortic Aneurysm 3. Atrial Fibrillation 4. Peripheral Arterial Disease. You will receive a confidential written report within 21 days. Life Line Screening Order Official NARFE name badges, and NARFE encourage you to share customizable NARFE logo products these test results with your doctor. All four and plaques. screenings cost just $135. To schedule an www.narfegeneralstore.com appointment, please call 1-800-324-9906 Call toll-free and give the operator code number: 855-99NARFE BKHN075 or visit www.lifelinescreening. (855-996-2733) com/NARFE. Coverage may vary and may not be available in all states.

For the Record The chart below tracks the CPI-W, the monthly inflation change, and the cumulative percentage gain for the next CSRS and Social Security COLA. CPI-W October 2011 November December January 2012 February March April May June July August September

223.043 222.813 222.166 223.216 224.317 226.304 227.012

MONTHLY % CHANGE % CHANGE FROM 223.2 -0.29 -0.10 -0.29 +0.5 +0.5 +0.89 +0.31

Stock Decline Strengthens ByTracey Ray

he minor stock market decline that began in April gained strength in May. Investors are on edge, worried day to day about world issues, such as European debt and Chinese growth. Perhaps the biggest psychological damage was caused by fears of a run on Greece’s banks, as Greeks withdrew hundreds of millions of euros. The I Fund was the worst performer for the month, falling more than 11 percent, its largest decline since January 2009. But the U.S. stock markets fell as well, as investors believe that if Greece leaves the eurozone, financial contagion and crisis will spread. The F Fund rose for the 10th time in 12 months as money moved from stocks into bonds.

Tracey Ray is chief investment officer of the Thrift Savings Plan. 50

-0.09 -0.19 -0.48 -0.01 +0.49 +1.38 +1.69

April CPI-W Inches Up

he Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 0.31 percent in April. To calculate the 2013 cost-of-living adjustment (COLA), the indices of July, August and September 2012 will be averaged for a thirdquarter determinant, which will be compared with the 2011 thirdquarter base of 223.233. The April index of 227.012 is up 1.69 percent from the base. Benefits awarded under the Federal Employees’ Compensation Act (FECA) to individuals suffering work-related injuries or illnesses are adjusted according to each calendar year’s percentage change in the CPI-W. April’s index is 2.18 percent higher than the December 2011 base index of 222.166. ■

Thrift Savings Plan Investments* Month G Fund 0.21% 2011 June July 0.22% August 0.19% September 0.16% October 0.14% November 0.14% December 0.15% 2012 January 0.13% February 0.12% March 0.14% April 0.15% May 0.14% Last 12 Months 1.91%

F Fund (0.30%) 1.59% 1.45% 0.73% 0.11% 0.01% 1.01% 0.88% 0.05% (0.61%) 1.12% 0.91% 7.16%

C Fund (1.67%) (2.04%) (5.44%) (7.03%) 10.93% (0.21%) 1.04% 4.50% 4.34% 3.30% (0.62%) (5.99%) (0.32%)

S Fund (2.35%) (3.14%) (8.12%) (10.73%) 14.09% (0.51%) (0.04%) 7.59% 3.99% 2.30% (0.71%) (6.91%) (6.88%)

Month 2011 June July August September October November December 2012 January February March April May Last 12 Months

L 2020 (0.84%) (0.94%) (3.69%) (4.73%) 6.18% (0.34%) 0.11% 3.03% 2.53% 1.23% (0.38%) (4.20%) (2.57%)

L 2030 (1.10%) (1.25%) (4.63%) (5.92%) 7.68% (0.49%) 0.09% 3.77% 3.10% 1.49% (0.52%) (5.23%) (3.79%)

L 2040 (1.30%) (1.49%) (5.37%) (6.85%) 8.83% (0.62%) 0.07% 4.34% 3.54% 1.68% (0.63%) (6.00%) (4.82%)

L Income (0.18%) (0.14%) (1.10%) (1.51%) 2.31% 0.02% 0.20% 1.18% 0.98% 0.54% 0.01% (1.38%) 0.86%

I Fund (1.16%) (1.60%) (9.03%) (10.55%) 9.48% (2.46%) (2.03%) 5.36% 5.14% 0.13% (1.87%) (11.40%) (20.16%) L 2050 (1.48%) (1.75%) (6.16%) (7.80%) 9.92% (0.78%) (0.01%) 4.87% 3.99% 1.86% (0.78%) (6.85%) (6.23%)

*This chart is provided as a service to NARFE members who enrolled in the Thrift Savings Plan while employed by the federal government. Retirees are not eligible for enrollment. These returns are net of the effect of accrued administrative expenses and investment expenses/costs. Percentages in ( ) are negative. Source: tsp.gov.

JULY 2012 | NARFE

Finally, a cell phone that’s… a phone

e ic ed Pr uc 48 d Re by $

o t N trac n Co

with rates as low as $3.75 per week! “Well, I finally did it. I finally decided to enter the digital age and get a cell phone. My kids have been bugging me, my book group made fun of me, and the last straw was when my car broke down, and I was stuck by the highway for an hour before someone stopped to help. But when I went to the cell phone store, I almost changed my mind. The phones are so small I can’t see the numbers, much less push the right one. They all have cameras, computers and a “global-positioning” something or other that’s supposed to spot me from space. Goodness, all I want to do is to be able to talk to my grandkids! The people at the store weren’t much help. They couldn’t understand why someone wouldn’t want a phone the size of a postage stamp. And the rate plans! They were complicated, confusing, and expensive…and the contract lasted for two years! I’d almost given up until a friend told me about her new Jitterbug® phone. Now, I have the convenience and safety of being able to stay in touch…with a phone I can actually use.” Sometimes I think the people who designed this phone and the rate plans had me in mind. The phone fits easily into my pocket, and flips open to reach from my mouth to my ear. The display is large and backlit, so I can actually see who is calling. With a push of a button I can amplify the volume, and if I don’t know a number, I can simply push “0” for a friendly, helpful operator that will look it up and even dial it for me. The Jitterbug also reduces background noise, making the sound loud and clear. There’s even a dial tone, so I know the phone is ready to use.

Monthly Minutes

Monthly Rate Operator Assistance 911 Access Long Distance Calls Voice Dial Nationwide Coverage Friendly Return Policy1

100

$14.99 24/7 FREE No add’l charge FREE Yes 30 days

$19.99 24/7 FREE No add’l charge FREE Yes 30 days

More minute plans available. Ask your Jitterbug expert for details.

locked in for years at a time or subject to termination fees. The U.S. Based customer service is second to none, and the phone gets service virtually anywhere in the country. Call now and receive a FREE gift when you order. Try Jitterbug for 30 days and if you don't love it, just return it1. Why wait, the Jitterbug comes ready to use right out of the box. If you aren’t as happy with it as I am, you can return it for a refund of the purchase price. Call now, the Jitterbug product experts are ready to answer your questions.

Available in Graphite and Red.

Call now and receive a FREE gift just for ordering. Hurry…this is a limited time offer. Call now!

Aﬀordable plans that I can understand – and no contract to sign! Unlike other cell phones, Jitterbug has plans that make sense. Why should I pay for minutes I’m never going to use? And if I do talk more than I plan, I won’t find myself with no minutes like my friend who has a prepaid phone. Best of all, there is no contract to sign – so I’m not

Jitterbug Cell Phone Call today to get your own Jitterbug phone. Please mention promotional code 44705.

1-877-566-2259 www.jitterbugdirect.com 47526

We proudly accept the following credit cards. IMPORTANT CONSUMER INFORMATION: Jitterbug is owned by GreatCall, Inc.Your invoices will come from GreatCall. All rate plans and services require the purchase of a Jitterbug phone and a one-time set up fee of $35. Coverage and service is not available everywhere. Other charges and restrictions may apply. Screen images simulated. There are no additional fees to call Jitterbug’s 24-hour U.S. Based Customer Service. However, for calls to an Operator in which a service is completed, minutes will be deducted from your monthly balance equal to the length of the call and any call connected by the Operator, plus an additional 5 minutes. Monthly rate plans do not include government taxes or assessment surcharges. Prices and fees subject to change. 1We will refund the full price of the Jitterbug phone if it is returned within 30 days of purchase in like-new condition. We will also refund your first monthly service charge if you have less than 30 minutes of usage. If you have more than 30 minutes of usage, a per minute charge of 35 cents will apply for each minute over 30 minutes. The activation fee and shipping charges are not refundable. Jitterbug is a registered trademark of GreatCall, Inc. Samsung is a registered trademark of Samsung Electronics America, Inc. and/or its related entities. Copyright © 2012 GreatCall, Inc. Copyright © 2012 by firstSTREET for Boomers and Beyond, Inc. All rights reserved.

Get high-tech cool with — the moisture-wicking fabric that refuses to wrinkle!

Blue

Black Light Grey

Taupe

Aqua

Brick Machine Care, Polyester Knit.

3 for 29.97

Haband #1 Bargain Place, Jessup, PA 18434-1834

4 for 39.96

5 for 49.95

**Regular credit terms apply. You may be assessed interest if your previous balance was not zero.

Card # ___________________________________________ Exp.: ____/____ Mr. Mrs. Ms.____________________________________________________ Address _________________________________________ Apt. # _________ City & State _______________________________________Zip ___________ Phone/Email _____________________________________________________

I enclose $____________ purchase price, and only $5.99 Get FREE shipping and handling for my entire order. In GA add tax. useSHIPPING! coupon on ad inside

Haband

Blair

Visa

Regular Sizes: S(34-36) M(38-40) L(42-44) XL(46-48) *Big Men ($3 more each): 2XL(50-52) 3XL(54-56) 4XL(58-60)

100% Satisfaction Guaranteed or Full Refund of merchandise purchase price. When you pay by check, you authorize us to use information from your check to clear it electronically. Funds may be withdrawn from your account as soon as the same day we receive your payment, and you will not receive your check back from your financial institution.

Call: 1-800-543-4810 or Go Online: www.

AmEx

Ø5 6A 13 FY KG Ø1

Discover ® Network

Check

–17V31

Imported

WHAT HOW SIZE? MANY?

BLUE LIGHT GREY TAUPE AQUA BRICK BLACK

.com/bestdeals