Military Housing: Actions Needed to Improve the Process for Setting Allowances for Servicemembers and Calculating Payments for Privatized Housing Projects
Abstract
DOD spent about $20 billion in fiscal year 2019 on BAH - often one of the largest components of military pay. BAH is designed to cover a portion of service members' housing rental and utility costs in the private sector. Starting in 2015, DOD reduced BAH rates so that servicemembers share a portion of housing costs. The majority of servicemembers rely on the civilian housing market, while others rely on government housing or privatized housing projects. These projects rely on BAH as a key revenue source. In 2018-2020, Congress required DOD to make payments to these projects to help offset the BAH reduction. Senate Report 116-48 included a provision for GAO to review DOD's BAH process. This report evaluates, among other things, the extent to which (1) DOD established a process to determine BAH and (2) DOD's congressionally mandated payments to projects lessened the effects of BAH reductions. To conduct this work, GAO reviewed relevant guidance and other documents, analyzed key data, and interviewed cognizant DOD officials.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 2021
- Accession Number
- AD1147465
Entities
People
- Christopher Gezon
- Cynthia Grant
- Dawn Godfrey
- Elizabeth A. Field
- John Van Schaik
- Khristi Wilkins
- Lori Atkinson
- Richard Powelson
- Stephanie Moriarty
- Stephanie Santoso
- Terrence Lam
- Terry Richardson
- Vincent Buquicchio
Organizations
- United States Government Accountability Office