May 2025 NARFE Magazine

A NARFE PUBLICATION FOR FEDERAL EMPLOYEES AND RETIREES

MAY 2025 VOLUME 101 ★ NUMBER 4

P. 22

Overtourism and Its Effects P. 30

Understanding President Trump’s Federal Workforce Initiatives

CONTROL WHAT YOU CAN. INSURE WHAT YOU CAN’T. You can control many things in your life — diet, exercise, even on-demand TV — but life has its own plans.

A serious accident or illness can happen at anytime.

The high cost of a hospital stay, and the expense of home recovery afterward can take a serious toll on your personal and retirement savings.

NARFE Hospital Indemnity and Short Term Recovery Insurance Plan This plan can help you manage how life’s surprises affect what you’ve worked so hard for. It pays cash benefits directly to you, to use the money as you see fit. Use the cash benefits to stay more in control of your health care choices, maintain your self reliance, and receive the level of care you’ve earned and deserve.

Benefits include: Guaranteed Acceptance to NARFE Members and Spouses Age 65–99.*

• In-Hospital cash benefits paid to you starting the first day you’re hospitalized for a covered injury or illness.

• At-Home cash benefits paid to you after your physician prescribes home recovery treatments.

• Cash benefits paid in addition to any other coverage you may have.

• Coverage cannot be canceled because of your health or your age.

• Economical group rates specifically negotiated by NARFE for our members.

To learn more or enroll in the NARFE Hospital Indemnity and Short Term Recovery Insurance Plan, call 1-800-233-5764 or visit us at www.narfeinsurance.com *This policy is guaranteed acceptance, but it does contain a Pre-Existing Conditions Limitation. All benefits are subject to the terms and conditions of the policy. Policies underwritten by Hartford Life and Accident Insurance Company detail exclusions, limitations, reduction of benefits and terms under which the policies may be continued in full or discontinued.

Plans may vary by state.

The Hartford Financial Services Group, Inc., (NYSE: HIG) operates through its subsidiaries, including underwriting company Hartford Life and Accident Insurance Company under the brand name, The Hartford®, and is headquartered at One Hartford Plaza, Hartford, CT 06155. For additional details, please read The Hartford’s legal notice at www.thehartford.com.

Hospital Indemnity Form Series includes GBD-2800, GBD-2900 or state equivalent.

Program Offered by Association Member Benefits Advisors, LLC (AMBA).

In CA d/b/a Association Member Benefits & Insurance Agency CA Insurance License #0I96562 • AR Insurance License #100114462

102959 (5/24), 103240 (10/24) Copyright 2024 AMBA. All rights reserved.

Contents

IN

NK

E OB T E

V DA Y B

MAY 2025

COVER STORY PAGE 22

FEATURE PAGE 30

OVERTOURISM AND ITS EFFECTS Thanks to mass tourism, some favorite global travel spots can get crowded quickly. We take a look at the reason for this and what to know when planning your next trip.

UNDERSTANDING PRESIDENT TRUMP’S FEDERAL WORKFORCE INITIATIVES All sides of the political spectrum agree that civil service reforms are needed. Is the Department of Government Efficiency the answer?

Washington Watch

Columns

8 NARFE Files Lawsuits to Block

4 From the President

Executive Actions

9 House Passes Budget

Resolution Targeting Federal Benefits

20 Benefits Brief 40 Managing Money

10 Are You Signed Up to Advocate

Departments

11 Trump Executive Order Directs

16 Questions & Answers

at NARFE’s Virtual LEGcon25?

Large-Scale Reductions in Force

12 Government Funding Battle Continues

14 NARFE Weighs in on “Right-

Sizing” Government Hearing

15 Bill Tracker

A NARFE PUBLICATION FOR FEDERAL EMPLOYEES AND RETIREES

MAY 2025 VOLUME 101 ★ NUMBER 4

P. 22

Overtourism and Its Effects P. 30

Understanding President Trump’s Federal Workforce Initiatives

6 NARFE Online ON THE COVER Illustration by TGD

17 Countdown to COLA 42 NARFE News 46 NARFE Perks 48 The Way We Worked

Connect with us!

Visit us online at www.narfe.org NARFE MAGAZINE www.NARFE.org

31

Like us on Facebook NARFE National Headquarters Follow us on Twitter @narfehq

Follow us on LinkedIn NARFE

NARFE MAGAZINE www.NARFE.org

1

MAY 2025 VOLUME 101 ★ NUMBER 4

REGIONAL VICE PRESIDENTS

EDITORIAL DIRECTOR Jenn Rafael

REGION I Jeff Anliker

CREATIVE SERVICES MANAGER Beth Bedard CONTENT MANAGER Matt Sanderson ADDITIONAL GRAPHIC DESIGN TGD EDITORIAL BOARD William Shackelford, Cindy Reneé Blythe

CONTACT US NARFE Magazine 606 North Washington St. Alexandria, VA 22314-1914 Phone: 703-838-7760 Fax: 703-838-7781 Editorial: communications@narfe.org Advertising Sales: advertising@narfe.org

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 NFBNEWSLINE® service at 866-504-7300 or go to www.nfbnewsline.org.

ON DIGITAL AUDIO: Issues of NARFE Magazine are also available in audio format through the National Library Service for the Blind and Physically Handicapped (NLS). For availability, call 202-727-2142 or your local NLS service provider.

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.

NATIONAL OFFICERS WILLIAM SHACKELFORD President; natpres@narfe.org CINDY RENEÉ BLYTHE Secretary/Treasurer; natsectreas@narfe.org

TO JOIN NARFE, RENEW YOUR MEMBERSHIP OR FIND A LOCAL CHAPTER: CALL (TOLL-FREE) 800-456-8410 OR GO TO www.narfe.org TO CHANGE YOUR ADDRESS, PHONE NUMBER OR EMAIL LISTING:

CALL (TOLL-FREE) 800-456-8410 EMAIL memberrecords@narfe.org OR GO TO www.narfe.org, log in and click on “My Account”

TO REACH A FEDERAL BENEFITS SPECIALIST:

EMAIL fedbenefits@narfe.org

(Connecticut, Maine, Massachusetts, New Hampshire, New York, Rhode Island and Vermont) Tel: 413-813-8136 Email: jeff.anliker@outlook.com

REGION II Paul Schwartz (Delaware, District of Columbia, Maryland, New Jersey and Pennsylvania) Tel: 240-838-2200 Email: schwartzpaul02@gmail.com

REGION III Lynn Harper (Alabama, Florida, Georgia, Mississippi, South Carolina and Puerto Rico) Tel: 478-951-3260 Email: Lynn_harper@msn.com

REGION IV Ed Konys (Illinois, Indiana, Michigan, Ohio and Wisconsin) Tel: 937-207-6087 Email: rvpkonys@outlook.com

REGION V Linda Sawvell (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and South Dakota) Tel: 563-340-4823 Email: Lsawvell262@gmail.com

REGION VI Patsy Ashton (Arkansas, Louisiana, Oklahoma, Republic of Panama and Texas) Tel: 504-452-3870 Email: rvp6@narfe.org

REGION VII Sharon Reese (Arizona, Colorado, New Mexico, Utah and Wyoming) Tel: 575-649-6035 Email: sreese346@gmail.com

REGION VIII John Almquist

NARFE HEADQUARTERS

606 N. Washington St. Alexandria, VA 22314 703-838-7760 Hours of operation: Monday-Friday, 8 a.m.-5 p.m. ET

(California, Hawaii, Nevada and Republic of Philippines) Tel: 949-246-4378 Email: almquistjw@yahoo.com

REGION IX Steven Roy (Alaska, Idaho, Montana, Oregon and Washington) Tel: 425-344-3926 Email: stevenroy1@yahoo.com

REGION X Robert Allen (Kentucky, North Carolina, Tennessee, Virginia and West Virginia) Tel: 757-404-3880 Email: rvp10@narfe.org

NARFE Magazine (ISSN 1948-4453) is published monthly except in February and July 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. Nonmember subscription rate $48. Postmaster: Send address change to: NARFE Attn: Member Records, 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 © 2025, 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 Magazine, but at the same time we will not undertake to guarantee the reliability of our advertisers.

2

NARFE MAGAZINE MAY 2025

N OR TH A MER I CA’S

Int

A

r o d d van u c i ce d ng Air Mi Syst c ro em So – ot h e!

1 Selling Walk-In Tub

#

Financing available with approved credit

CSLB 1082165 NSCB 0082999 0083445 13VH11096000

The best walk-in tub just got better with breakthrough technology! Presenting the all new Safe Step Walk-In Tub featuring MicroSoothe.® An air system so revolutionary, it oxygenates, softens and exfoliates skin, turning your bath into a spa-like experience. Constructed and built right here in America for safety CALL TODAY AND and durability from the ground up, and with more standard features than RECEIVE EXCLUSIVE SAVINGS any other tub. ✓ Heated seat providing warmth from beginning to end ✓ Carefully engineered hydro-massage jets strategically placed to target sore muscles and joints ✓ High-quality tub complete with a comprehensive lifetime warranty on the entire tub ✓ Top-of-the-line installation and service, all included at one low, affordable price You’ll agree – there just isn’t a better, more affordable walk-in tub on the market.

For your FREE information kit and our Senior Discounts, Call Today Toll-Free

FREE SAFETY PACKAGE

PLUS $1500 OFF* FOR A LIMITED TIME ONLY

Call Toll-Free 1-800-992-2877

www.YourSafeStepTub.com

1-800-992-2877

*With purchase of a new Safe Step Walk-In Tub. Not applicable with any previous walk-in tub purchase. Offer available while supplies last. No cash value. Must present offer at time of purchase. Cannot be combined with any other offer. Market restrictions may apply. Offer available in select markets only.

From the President NARFE’S MISSION STATEMENT To support legislation and regulations beneficial to federal civilian employees and annuitants and potential annuitants under any federal civilian retirement system and to oppose those detrimental to their interests.

To promote the general welfare of federal civilian employees and annuitants and potential annuitants, to advise and assist them with respect to their rights under retirement, health and other employee and retiree benefits laws and regulations, and to represent their interests before appropriate authorities.

To cooperate with other organizations and associations in furtherance of these general objectives.

Remember NARFE’s Mission EMERGING THREATS

Each time you read my monthly column, you probably notice that the mission statement of NARFE is at the top of the page. As your national president, I believe that NARFE needs to respond to all threats against all active and retired federal employees, spousal annuitants and survivors.

The federal community is at a crossroads, and I am asking for your help to fight back.

In February, a lawsuit was filed regarding merit-based civil service. NARFE has been working tirelessly to counter these actions by utilizing tactics such as legal action, grassroots advocacy, and lobbying to ensure our members and federal employees/retirees remain protected during the 119th Congress and beyond.

Pursuant to an engagement with lawyers from Protect Democracy and Selendy Gay, PLLC, to provide pro bono legal services on behalf of NARFE and co-plaintiff, the Government Accountability Project (GAP), NARFE filed a lawsuit in the U.S. District Court for the District of Columbia to block the implementation of Schedule P/C [Policy/Career], formerly Schedule F, asking the court to find that the President cannot simply ignore Congress’s dulypassed laws to convert the meritocratic civil service into a spoils system for political supporters. Protect Democracy is a nonpartisan organization without an underlying ideological agenda. It is dedicated to promoting free and fair elections, the rule of law, and democratic institutions. GAP defends the rights of government whistleblowers.

Efforts have been undertaken to dramatically downsize the federal workforce and eliminate meritbased civil service protections: encouraging workers to resign; carrying out mass layoffs of probationary employees and preparing for large-scale reductions in force; firing senior executive service members; and reclassifying employees into at-will positions through Schedule P/C. Many members of Congress

4

NARFE MAGAZINE MAY 2025

have been silent on these executive actions while preparing to cut federal benefits.

We are coordinating regularly with our FederalPostal Coalition (FPC) allies through monthly meetings, joint meetings with members of Congress, congressional staff, letters, etc. Right now, much of the FPC work is focused on fighting against threats to federal benefits. NARFE is addressing the issues as they arise and will continue to do so, trying to prioritize actions that have the most impact. We will continue to inform our members about the consequences of these actions. Ultimately, a change in public opinion would be our most powerful tool in this fight. Regarding specific actions, we advise federal employees/retirees dealing with difficult decisions. There are three webinars on demand currently on NARFE’s website covering key legal, benefits, career and advocacy topics about these emerging threats.

Thank you for your support and continued NARFE membership. If you have any further questions, please reach out.

LEGcon25 With the emerging threats to the federal community, John Hatton, staff vice president for the policy and programs department and the headquarters advocacy staff, prepares for robust advocacy engagement in 2025. NARFE members in the chapters and federations need to prepare for engagement at the local level. Please register and participate in LEGcon25, our legislative training conference, which will be held virtually in June.

During the conference, you will receive training to prepare for future face-to-face meetings with your members of Congress or their staff. .

WILLIAM SHACKELFORD NARFE NATIONAL PRESIDENT natpres@narfe.org

Do you love being a member of NARFE but dislike receiving renewal notices?

GO PAPERLESS! Dues Withholding is for retired members and is only $42 annually ($3.50/monthly annuity withholding). To apply, see NARFE’s Dues Witholding application on pg. 29 of this issue of NARFE Magazine or on the back of your next renewal notice.

It takes about 4-5 months to get members onto dues withholding.

Or anyone can sign up for AutoPay! Sign up for AutoPay for a 1-year, 2-year or 3-year membership rate and save.

1 yr – $48 2 yr – $92 3 yr – $126

Login to our website at https://members.narfe.org/ and click on My Account and then My Settings and click on My AutoPay Account to preauthorize your card today!

Call 800-456-8410 and dial 1 for membership assistance to update your rate.

Stay in your chapter and don’t worry about forgetting to renew!

NARFE Online TRACKING RETIREMENT CLAIMS FIND OUT how many retirement claims OPM Retirement Services receives and processes each month, with average processing times and total inventory, at www.narfe.org/ opm-processing.

Stay Informed With News That Matters to You

W

ant to stay on top of key federal news and benefits information?

Subscribe to NARFE Daily News Clips. This newsletter features breaking news and informative articles from various

media outlets curated just for NARFE members, as well as NARFE media statements, op-eds and more. NARFE Daily News Clips is delivered to inboxes every weekday morning, except for federal holidays. Sources

A NARFE PUBLICATION FOR FEDERAL EMPLOYEES AND RETIREES

and content found within NARFE’s Daily News Clips do not necessarily represent the views or policies of NARFE or its leaders, staff or members To join the mailing list, visit www.narfe.org/clips.

SHARE NARFE MAGAZINE

MARCH 2025 VOLUME 101 ★ NUMBER 2

P. 22

The Federal Service Is Under Attack, and NARFE-PAC Is Our Best Defense

P. 30 Preparing for a Revived Schedule F: Replacing Angst With Action

Interested in sharing NARFE Magazine with a friend to show them the value of membership? Request a digital download at www. narfe.org/communications/ narfe-magazine/.

MISS A WEBINAR? Catch up on past NARFE Federal Benefit Institute presentations with NARFE’s Webinars On Demand. Find them at www.narfe.org/ webinar-archive.

READ NARFE MAGAZINE ONLINE Log in and read current and previous issues of NARFE Magazine on your computer, phone or tablet—or download it to browse later. Visit www.narfe.org/magazine-issues.

6

NARFE MAGAZINE MAY 2025

TSP UPDATED ONLINE

Get the most recent monthly and annual Thrift Savings Plan returns (G, F, C, S, I and L Funds) online at www.narfe.org/tsp-funds.

Donate

to NARFE programs

Donate to NARFE

Enclosed is my NARFE Contribution: $ __________________

MAKE CHECK PAYABLE TO: NARFE

Name: ___________________________________________________________

All donations go to the NARFE General Fund to support NARFE Programs and operations.

PLEASE MAIL COUPON AND CHECK TO: NARFE / 606 N. Washington St. / Alexandria, VA 22314 or donate online at www.narfe.org/ donate With NARFE’s thanks, you will receive a NARFE Photo Calendar

Address: _________________________________________________________

NARFE safeguards the earned pay and benefits of America’s five million federal workers, retirees, their spouses, and survivors. NARFE is YOUR legislative voice and tireless advocate.

Card Number: ____________________________________________________

NARFE contributions are NOT tax-deductible.

City:_____________________________________________________________ State:______________________________ ZIP: _________________________

Credit Card Information: q M/C q VISA q Discover q AMEX Expiration Date: ______ (mm)/ _____ (yy)

Security Code: ______________

Signature: ___________________________________ Date: ____ / ___/____ Name: (please print) _______________________________________________

Support Alzheimer’s Research NARFE members contributed for Alzheimer’s research: $17 Million Fund $16,597,594.16 *Total as of February, 28, 2025. All contributions go directly to Alzheimer’s research, with the exception of funds given to the Walk to End Alzheimer’s or The Longest Day.

If you have any questions, write to: National Committee Chair Olivia Williams PO Box 2175 Columbia, SC 29202 OR EMAIL: oeashf3@gmail.com MAKE CHECK PAYABLE TO: NARFE-Alzheimer’s Research (write your chapter number on memo line)

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

Name: ___________________________________________________________ Address: _________________________________________________________ City:_____________________________________________________________ State:______________________________ ZIP: _________________________ Chapter number: __________________________________________________

PLEASE MAIL COUPON AND CHECK TO: Alzheimer’s Association 225 N. Michigan Ave., 17th Floor Chicago, IL 60601-7633

Credit Card Information: q M/C q VISA q Discover q AMEX

Your charitable contribution is tax-deductible to the fullest extent allowed by law.

Signature: ___________________________________ Date: ____ / ___ / ______

Give to the

NARFE-FEEA Fund MAKE CHECK PAYABLE TO: NARFE-FEEA Fund PLEASE MAIL COUPON AND CHECK TO: FEEA 1641 Prince St. Alexandria, VA 22314

Your charitable contribution is tax-deductible to the fullest extent allowed by law.

Card Number: ____________________________________________________ Expiration Date: ______ (mm)/ ____(yy)

Security Code: _______________

Name: (please print) _______________________________________________

The NARFE-FEEA Fund supports NARFE members during disasters; provides scholarships to their children, grandchildren and great-grandchildren; and funds other programs to support NARFE members at the direction of NARFE and FEEA. Enclosed is my NARFE-FEEA Fund Contribution: $ ________ Name: ___________________________________________________________ Address: _________________________________________________________ City:_____________________________________________________________ State:______________________________ ZIP: _________________________ Email: ___________________________________________________________

To make credit card or e-check contributions, visit www.feea.org/givenarfe.

Washington Watch Washington Watch

NARFE Files Lawsuits to Block Executive Actions

N

ARFE has expanded its advocacy to the courts, filing lawsuits to block objectionable executive actions: one to block the implementation of Schedule

Policy/Career, formerly Schedule F, and another to block the unauthorized disclosure of the personal data of federal retirees and employees. In both cases, NARFE is partnering with lawyers from Protect Democracy, a nonprofit organization dedicated to promoting free and fair elections, the rule of law, and democratic institutions.

SCHEDULE P/C LAWSUIT NARFE filed suit in the U.S. District Court for the District of Columbia to block the implementation of President Donald Trump’s Executive Order 14171 creating Schedule Policy/Career (or Schedule P/C), formerly known as Schedule F. Protect Democracy and Selendy Gay, PLLC, are representing NARFE and its co-plaintiff, the Government Accountability Project (GAP), in this lawsuit.

The suit argues that the actions of Defendants President Trump, the Office of Personnel Management (OPM) and its acting director, Charles Ezell, violate the Civil Service Reform

8

NARFE MAGAZINE MAY 2025

Act (CSRA) and thereby the power of Congress to establish, define, and regulate the civil service system to protect the

public interest in ensuring Americans have a federal workforce grounded in merit and free from corruption, political bias, and improper influences. It also argues that the president did not have the authority to revoke regulations issued after extensive notice and comment rulemaking unilaterally.

“Schedule P/C would erode or eliminate merit-based civil service protections that ensure the basic operation of government is carried out by nonpartisan, professional public servants instead of political loyalists,”

MAY ACTION ALERT: URGE MEMBERS OF CONGRESS TO SUPPORT THE SAVING THE CIVIL SERVICE ACT! Visit NARFE’s Legislative Action Center at www.narfe.org to send a message to your lawmakers urging them to cosponsor the Saving the Civil Service Act, H.R. 492/ S. 134, to block the implementation of Schedule P/C, formerly Schedule F. Implementation of Schedule P/C would reclassify potentially tens of thousands of federal positions into a new excepted service category without competitive service protections that ensure that hiring and firing is based on merit. President Donald Trump issued an executive order reinstating Schedule F soon after taking office, threatening the nonpartisan nature of federal service.

MYTH VS. REALITY MYTH: Only 6% of federal employees were working full-time in their offices prior to 2025.

REALITY: An August 2024 study by the Office of Management and Budget found that 54% of the federal workforce was required to work full-time in their office every day, and only 10% of federal employees worked from home full-time.

said William “Bill” Shackelford, NARFE’s national president.

PRIVACY ACT LAWSUIT

NARFE and a coalition of labor unions representing over two million workers filed suit in federal court in Maryland on Monday, February 10, to prevent the disclosure of private data by three separate federal agencies to certain individuals associated with the Department of Government Efficiency (DOGE).

The suit alleges the Department of Education (ED), the Office of Personnel Management (OPM) and the Department of Treasury (DOT) improperly disclosed the sensitive records of millions of Americans to DOGE staff who lack appropriate security clearances and have not been properly vetted, and granted access to some of the

government’s most sensitive and closely guarded data systems, in violation of the Privacy Act. DOGE employees include a 19-year-old who has previously leaked proprietary information.

“Steamrolling into sensitive government record systems has led to a massive data breach that threatens to upend how these critical systems are maintained and seriously compromises the safety and security of personal identifying information for Americans all across the country,” the suit, filed in the U.S. District Court for the District of Maryland, reads. “It also violates federal law.”

As of press time, the district court issued a temporary restraining order prohibiting the Department of Education (ED) and OPM from disclosing sensitive personal information

to employees affiliated with DOGE. “This restraining order protects the abuse of the personal data of federal employees and retirees, including those who have worked in sensitive and secure positions on behalf of their country,” said Shackelford.

“The judge ruled that DOGE’s so-called workplace reform measures did not require access to sensitive personal information of current and former federal employees, and that the government never explains why DOGE needed such access in the first place. In other words, this order protects abuse of sensitive data without impeding any legitimate government operation.”

—BY JOHN HATTON, STAFF VICE PRESIDENT, POLICY AND PROGRAMS

House Passes Budget Resolution Targeting Federal Benefits

T

he House of Representatives passed a Republican budget resolution, H.Con.Res.14, on February 25 along party lines, 217-215, that sets the stage for budget reconciliation to enact $4.5 trillion in tax cuts, increased spending on border security and immigration enforcement, and $2 trillion in spending cuts, including $50 billion aimed at earned federal retirement and health benefits.

NARFE opposed the budget resolution because it instructed the House Committee on Oversight and Government Reform to cut at least $50 billion in mandatory spending under its jurisdiction. Given that the only major mandatory spending under the committee’s jurisdiction is federal retirement and health benefits, cuts of such a magnitude would necessarily come from cuts to federal retirement and health benefits.

In his letter to the House, NARFE National President William “Bill” Shackelford argued, “At a time when the current administration is conducting massive and indiscriminate reductions in force and attempting to eliminate—or at least greatly erode—the merit-based civil service system, cuts to federal benefits would pile onto an SEE BUDGET RESOLUTION ON P. 12 NARFE MAGAZINE www.NARFE.org

9

Washington Watch

NARFE GRASSROOTS ADVOCACY LEARN MORE about how you can take action to protect your earned pay and benefits by reviewing NARFE Grassroots materials at www.narfe.org/advocacy.

Are You Signed Up to Advocate at NARFE’s Virtual LEGcon25?

R

egistration is still open for NARFE’s virtual legislative training conference, LEGcon25. The event will take place fully online June 9 through June 11, and you can sign up and learn more on the conference webpage, https://legcon.narfe.org.

At LEGcon25, NARFE’s premier grassroots training event, NARFE members will receive training on how to advocate for NARFE’s legislative priorities, resulting in attendees becoming educated defenders of their rights and earned benefits.

After the initial two days of the conference, filled with panels, breakout sessions, and more, the conference culminates in a virtual day of lobbying on the Hill. On the last day of LEGcon25, members will use what they have learned during meetings with lawmakers and/ or their staff to advocate for themselves and their federal community. In addition, the experience members gain from their day of lobbying, paired with their knowledge from the first two days, will allow attendees to leave the conference as more influential advocates after building stronger relationships with key decision-makers.

Before the official beginning of LEGcon25, NARFE will hold a “Know Before You Go” session on Tuesday, June 3, from 2 to 4:30 p.m. ET. This

10

NARFE MAGAZINE MONTH 2025

pre-conference meeting will give attendees an overview of the schedule, instructions for utilizing the Zoom webinar platform, and a walkthrough of

THE EXPERIENCE MEMBERS GAIN FROM THEIR DAY OF LOBBYING, PAIRED WITH THEIR KNOWLEDGE FROM THE FIRST TWO DAYS, WILL ALLOW ATTENDEES TO LEAVE THE CONFERENCE AS MORE INFLUENTIAL ADVOCATES AFTER BUILDING STRONGER RELATIONSHIPS WITH KEY DECISION-MAKERS. the advocacy day platform they will log into for their lobbying meetings. Registrants who participate in the advocacy day will receive instructions on how to log in, access lobbying materials, view their lobbying schedule, and learn background details from each lawmaker.

LEGcon25 then officially kicks off on Monday, June 9, at 1 p.m. ET, marking the beginning of two days filled with congressional panels, advocacy

training, and other sessions with legislative and policy leaders. On the final day, attendees will be grouped based on geographical region to meet virtually with lawmakers and staff throughout the day, supported by NARFE staff every step of the way.

NARFE’s LEGcon is a biennial conference that has been vital in developing member advocacy skills and creating a unified front to bring attention to the federal community’s concerns. It is essential this year as we navigate a new Presidential administration with an agenda that is particularly unfavorable to the federal community, and the relationships we build with Members of Congress will be critical in rallying allies against attacks on our federal family. Additionally, a new Congress is in session with newly elected members just beginning their careers in office. LEGcon is an opportunity to meet with these elected officials, veterans, and freshmen in an organized group setting to develop these critical contacts.

NARFE hopes you will join your fellow members June 9-11 by registering for LEGcon25 if you have not done so already or urge your colleagues to join you if you are already signed up.

Visit https://legcon.narfe.org to learn more and register today.

We look forward to seeing you in June!

—BY NICOLE BLACKSTONE, MANAGER, GRASSROOTS AND POLICY MANAGER

Trump Executive Order Directs Large-Scale Reductions in Force

O

n February 11, President Trump signed an executive order titled “Implementing the President’s ‘Department of Government Efficiency’ Workforce Optimization Initiative” to reshape the federal workforce by eliminating federal employee positions and hiring limitations. The order directed agencies to prepare for large-scale reductions in force (RIFs) and established a policy to limit hiring to one new employee for every four who leave nonexempt roles.

This hiring freeze, an extension of a previous executive order, includes exemptions for positions in “public safety, immigration enforcement, or law enforcement.”

Additionally, agencies must consult with the Department of Government

Efficiency (DOGE) before making any new hires. The DOGE team leader at each agency has the authority to block hiring unless overridden by the agency head. The order also specified that the hiring freeze at the Internal Revenue Service remains in full effect.

The planned reductions in force through attrition involved separating temporary employees, reemployed annuitants, and probationary employees with low performance ratings. Agencies are required to submit reports within 30 days, detailing which units are legally required and which could potentially be eliminated as part of this large-scale reduction in force plan.

This reduction in force executive order follows the

CONTRIBUTE TO

Trump administration’s “deferred resignation” offer. The White House claims that a total of 75,000 federal employees accepted this offer. The White House released no further information on which agencies these employees worked for.

NARFE National President William “Bill” Shackelford issued a media statement in response to the order, arguing: “The administration’s act first, think later mentality in reducing the size of the federal workforce will lead to disruption of critical government operations as they chart an aggressive path towards firing hundreds of thousands of dedicated public servants.”

—BY MISSY LOVE, POLICY AND PROGRAMS ASSOCIATE

NARFE Member #: ____________________________________ Name:______________________________________________ Address: ___________________________________________

Contribute monthly through your annuity or by credit card. Get started at ww.narfe.org/pac-sustainer.

OR

Monthly contributors of $10 or more receive a sustainer lapel pin

Make a one-time contribution:

City: _____________________________________________ State: _________________

ZIP:__________________

Occupation: _________________________________________ Employer: ___________________________________________

q Charge my credit card q MasterCard

q VISA

q Discover

q AMEX

q $25 – Basic lapel pin

Card #: ____________________________________________

q $50 – Bronze lapel pin

Exp. Date: _____ /_________

q $100 – Silver lapel pin q $250 – Gold lapel pin q $500 – Platinum lapel pin q Other: _________ Contribution totals are cumulative for the 2025-2026 election cycle

n No pin for me. I’d like 100 percent of my contribution to go to NARFE-PAC.

Mail coupon and/or check payable to NARFE-PAC to: NARFE-PAC Budget & Finance | 606 North Washington St. | Alexandria, VA 22314

mm

yyyy

Name on Card: ______________________________________ Signature: __________________________________________ Date: _____________________

To comply with federal law, we must use our best efforts to obtain, maintain and submit the name, mailing address, occupation and name of employer of individuals whose contributions exceed $200 each calendar year. NARFE-PAC is for the benefit of political candidates and activities on a national level. NARFE members have the right to refuse to contribute without reprisal, and NARFE will neither favor nor disadvantage anyone based on the amount of a contribution or failure to make a voluntary contribution. The suggested amounts are only suggestions and not enforceable. Only members of NARFE may contribute to the PAC. Contributions from non-members will be returned. NARFE-PAC contributions are not deductible for federal income tax purposes.

NARFE MAGAZINE www.NARFE.org

11

Washington Watch

Government Funding Battle Continues

A

s of this writing, congressional Republicans and Democrats remained at an impasse over how to proceed with government funding legislation, with funding extended through March 14. Up to that point, the government has been operating on a continuing resolution that extends the fiscal year 2024 funding levels into fiscal year 2025.

Adding complexity to the situation is the chaos stirred by recent actions from the Trump Administration—precisely, unilaterally cutting back spending on appropriated programs violating appropriations law. As foreshadowed by the confirmation

hearing of Office of Management and Budget Director Russell Vought and Project 2025, the administration is advancing a constitutional argument, contrary to existing precedent, that it has the power to impound or decide not to spend funds that Congress directs it to spend.

While it appeared that congressional Democrats and Republicans might be able to agree on the overall amount and contours of a spending bill, Democrats were pushing for assurances— including specific legislative language—that the Trump Administration would carry out any agreement they signed onto.

At press time, Republicans did

not appear willing to provide such assurances, creating additional tension and uncertainty in the process. It also remained unclear whether Republicans could pass government funding on their own through the House or Senate, given fractures within their own party.

The prospect of a government shutdown loomed as Congress moved toward the March 14 deadline, with the possible alternative of a full-year continuing resolution. Please stay informed on late-breaking news via NARFE’s website, social media and weekly e-newsletter.

BUDGET RESOLUTION FROM P.9

with no additional benefit, a substantial increase from the current 0.8% contribution for pre-2013 hires.

• Ending annuity supplement payments for FERS retirees who retire before age 62, • Basing annuities of future retirees on a High-5 instead of the current High-3, • And more options that take aim at middle-class public servants.

These proposals would either (i) reduce the value of hard-earned federal retirement benefits promised to federal employees in exchange for their service to this country, breaking the government’s end of the bargain after the work has been performed; (ii) effectively reduce the take-home pay or overall compensation of current federal

employees, hampering the government’s ability to recruit and retain valuable employees necessary to ensure effective government operations; (iii) undermine the merit-based system that guards against the politicization and corruption of the civil service; or (iv) combine elements of the above.

House passage of the budget resolution tees up negotiations with the Senate for a conference agreement. Once both chambers pass a joint budget resolution, they begin developing specific legislation language to include in budget reconciliation legislation.

Those policies are developed by the relevant committees pursuant to the resolution instructions.

already beleaguered and underassault workforce, further undermining the appeal of public service on behalf of this nation.”

Specific proposals that could be enacted under the budget resolution include the following: • Shifting substantial heath care costs onto enrollees by changing the Federal Employees Health Benefits (FEHB) program’s premium share model to a voucher system where the government would pay a flat amount that would not increase at the same rate as premiums, • Requiring all Federal Employee Retirement System (FERS) employees to contribute 4.4% of their salary towards retirement 12

NARFE MAGAZINE MAY 2025

—BY RJ THACKER, POLITICAL AND LEGISLATIVE AFFAIRS MANAGER AND JOHN HATTON, STAFF VICE PRESIDENT, POLICY AND PROGRAMS

—BY JOHN HATTON, STAFF VICE PRESIDENT, POLICY AND PROGRAMS

LEGISLATIVE RESOURCES NARFE NewsLine – A weekly newsletter that goes out to NARFE members on Tuesdays and includes weekly recaps of legislative news, compiled by NARFE’s advocacy and communications teams.

LEGISLATIVE ACTION CENTER – A one-stop site to send a letter to Congress, and more, at www.narfe.org.

Sen. Tim Kaine Hosts Roundtable With Feds at NARFE Headquarters; Share Your Fed Work Story

O

ver a dozen federal employees met with Sen. Tim Kaine, D-VA, NARFE National President William Shackelford, and NARFE staff at its Alexandria headquarters for over an hour on February 7 to discuss the difficult impacts from the new Trump Administration.

Kaine is on an information-gathering spree to hear from active federal worker constituents from a variety of agencies and levels of government who may be affected by recent decisions made by the Trump Administration’s executive orders, such as the implementation of Schedule P/C, formerly known as Schedule F. Are you a federal employee from Virginia?

Kaine said you can submit your story on his website at https://www.kaine.senate.gov/ federalworkerstory. His office has received hundreds of personal stories.

“The administration wants to, in [Office of Management and Budget Director] Russ Vought’s words, traumatize, shrink and politicize the federal workforce, and relocate portions outside of the DMV region,” said Kaine.

The roundtable was a safe space for Virginiabased federal employees to describe what the last few weeks have been like, including the anxiety and uncertainty surrounding jobs they’ve held most of their careers.

A common thread was that no human resources department is able to quell concerns, answer questions or provide reassurances about what’s going on with civil service protections.

“It just hurts when I hear from my former [FBI] colleagues to hear that the agency is coming under attack, and at other agencies,” said Shackelford. “It really hits home. It really hurts.”

Are you a fed with a story to tell about the current situation with the federal workforce? You can also let NARFE know by telling your story here https://www.narfe.org/testimonial-web-form/.

SEN. TIM KAINE, D-VA, MET WITH NARFE NATIONAL PRESIDENT WILLIAM SHACKELFORD, STAFF AND FEDERAL EMPLOYEES ON FEBRUARY 7, 2025, AT NARFE HEADQUARTERS IN ALEXANDRIA, VA TO DISCUSS EMERGING THREATS AGAINST THE CIVIL SERVICE UNDER THE TRUMP ADMINISTRATION

—BY MATT SANDERSON, CONTENT MANAGER NARFE MAGAZINE www.NARFE.org

13

Washington Watch

NARFE Weighs in on “Rightsizing Government” Hearing

N

ARFE shared its concerns with the House Committee on Oversight and Government Reform in advance of its “Rightsizing Government” hearing in the form of a statement for the record. The statement urged lawmakers to reconsider the current approach to workforce reductions, often labeled as “right-sizing.” Instead of arbitrary cuts, NARFE calls for a smarter approach focused on “smartsizing”—a strategy that involves thoughtful planning, stakeholder input, and an unwavering commitment to preserving the experience and expertise within the federal workforce. Such a strategy may be just as likely

to lead to increasing the size of the workforce – and reducing the number of contractors – as reducing it.

NARFE highlighted several key concerns, including the impact of staff reductions on mission delivery, the loss of invaluable institutional knowledge, and the negative effect on employee morale. NARFE stressed that downsizing too aggressively can lead to backlogs, delays, and inefficiencies, ultimately harming the public we serve.

Furthermore, the rise in contractor reliance, often seen as a cost-saving measure, can lead to increased costs and diminished accountability, making it essential

to prioritize qualified federal employees for critical functions.

NARFE’s recommendations include proactive workforce planning, data-driven decisionmaking, and a focus on investing in federal employees’ professional development. The association also advocates transparency in rightsizing decisions and urges Congress to ensure that any reforms are approached thoughtfully, with long-term effectiveness in mind.

In conclusion, NARFE remains committed to advocating for a strong, efficient, and dedicated federal workforce that continues to serve the American people with integrity and expertise. We will continue working closely with Congress to ensure any workforce changes are implemented responsibly.

—BY RJ THACKER, POLITICAL AND LEGISLATIVE AFFAIRS MANAGER

MEMBERS, PAY $0* OUT-OF-POCKET! Blue Cross and Blue Shield Service Benefit Plan members may be eligible for two fully covered hearing aids with zero out-of-pocket cost*. Call 1-855-252-0025 to discover more or visit www.blue365deals.com/fep.

Members have access to the latest hearing aid models, styles and technology, including the New Signia Silk Charge&Go IX. Book a Complimentary Hearing Evaluation Today.

855-252-0025 HearUSA.com

WHY HearUSA? We are a national network of Hearing Care Professionals who are happy to help at one of our centers, online, or over-the-phone.

Signia Silk Charge&Go IX Comfortable and discreet, this tiny hearing aid provides on-the-go, convenient rechargeability.

We have the largest selection, with more than 250 models from the highest-rated hearing aid models like Signia, Widex, and Rexton.

Your insurance, our experts. We’ll help you make the most of your valuable insurance benefits at every step.

©2025 HearUSA. All Rights Reserved. *The Service Benefit Plan will pay a hearing aid benefit for Standard and Basic Option up to $2,500 total every 5 calendar years for adults age 22 and over, and up to $2,500 total per calendar year for members up to age 22. FEP Blue Focus does not have a hearing aid benefit. Do not rely on this communication piece alone for complete benefit information. All benefits are subject to the definitions, limitations, and exclusions in the Blue Cross and Blue Shield Service Benefit Plan brochure. Blue365® offers access to savings on health and wellness products and services that members may purchase from independent vendors, which are not covered benefits under the Blue Cross and Blue Shield Federal Employee Program, Blue Cross Blue Shield FEP Dental and/or Blue Cross Blue Shield FEP Vision. These products and services will be offered to you through the entire benefit year. During the year, the independent vendors may offer additional discounts on these products and services. To find out what is covered under your policy, contact the customer service number on your member ID card. Any disputes regarding your health insurance products and services may be subject to your plan’s grievance process. BCBSA may receive payments from vendors providing products and services on or accessible through the Site. Neither BCBSA nor any Blue Company recommends, endorses, warrants, or guarantees any specific vendor, product or service available under or through the Blue365 Program or Site.

14

NARFE MAGAZINE MAY 2025

NARFE BILL TRACKER

THE NARFE BILL TRACKER IS YOUR MONTHLY GUIDE TO LEGISLATION NARFE IS FOLLOWING. CHECK BACK EACH ISSUE FOR UPDATES. ISSUE

FEDERAL BENEFITS

FEDERAL PERSONNEL POLICY

BILL NUMBER / NAME / SPONSOR

WHAT BILL WOULD DO

LATEST ACTION(S)

H.Con.Res.14: Establishing the congressional budget for the United States Government for fiscal year 2025 and setting forth the appropriate budgetary levels for fiscal years 2026 through 2034 / Rep. Jodey Arrington, R-TX

Sets federal government spending Passed by the House of Representatives by a 217-215 vote. 2/25/25 levels and instructs committees to reduce or increase deficits via changes in taxes and spending under their jurisdictions. Instructs the Committee on Oversight and Government Reform, which has jurisdiction over federal employment benefits, to reduce deficits by $50 billion.

H.R.492/S.134: Saving the Civil Service Act of 2025 / Rep. Gerry Connolly, D-VA-11 / Sen. Tim Kaine, D-VA

Prohibits the establishment of schedule F of the excepted service, to ensure merit-based hiring and firing of civil servants.

Referred to the House Committee on Oversight and Governmental Reform 1/16/2025 Read twice and referred to the Committee on Homeland Security and Governmental Affairs. 1/16/2025

Cosponsors: H.R. 492: 58 (D) 2 (R) S. 134: 19 (D) 2 (I)

Read twice and referred to the Committee on Homeland Security and Governmental Affairs. 1/16/2025

FEDERAL COMPENSATION

H.R. 493/ S. 126: The Federal Adjustment of Income Rates (FAIR) Act / Rep. Gerry Connolly, D-VA / Sen. Brian Schatz, D-HI

Referred to the House Committee on Oversight and Accountability 1/16/2025

Provides federal employees with a 3.3 percent across-the-board pay raise in 2026, plus a 1.0 percent average increase to locality pay rates.

Read twice and referred to the Committee on Homeland Security and Governmental Affairs 1/16/2025

Cosponsors: HR 493: 20 (D) S. 126: 12 (D) 1 (I)

FEDERAL ANNUITIES

H.R. 491: Equal COLA Act/ Rep. Provides full cost-of-living Gerry Connolly, D-VA adjustments, based on the relevant change in consumer prices, to Federal Employees Cosponsors: Retirement System annuities.

H.R. 491: 42 (D) S. 4221: 5(D) 1(I)

Referred to the House Committee on Oversight and Government Reform 1/16/2025

NARFE’s Position:

Support

Oppose

No position

NARFE ADVOCACY PRIORITIES NARFE develops a set of advocacy priorities every two years, aligning with each Congress but applicable to legislative and executive actions. Before adopting the priorities, the NARFE National Executive Board (NEB) adopts NARFE’s advocacy positions, which provide an extensive and specific enumeration of public policies NARFE supports and opposes. The NEB adopts the positions upon the recommendation of NARFE’s Advocacy Committee. The committee reviews the prior years’ positions, assesses staff recommendations, and considers proposals from NARFE members (with the support of at least five members), chapters and federation boards. For more information, visit https://www.narfe.org/blog/2025/01/06/ narfe-advocacy-priorities-for-2025-26-aim-to-protect-benefits-merit-based-civil-service/ NARFE MAGAZINE www.NARFE.org

15

Questions Questions&&Answers Answers

EMPLOYMENT & RETIREMENT

THE FOLLOWING QUESTIONS & ANSWERS were compiled by NARFE’s Federal Benefits Institute experts. NARFE does not provide legal, financial planning or tax advice or assistance.

FEDERAL EMPLOYEE HEALTH BENEFITS My wife and I are federal government employees. I currently have the Federal Employee Health Benefits (FEHB) health insurance through my federal employment that covers both of us (Self+1). Our children age out of the FEHB plan at age 26. We are both eligible for retirement. My wife will most likely retire in less than one year, while I may continue to work for a few more years. Please see my three-part question below:

Q

Part 1: While we are both employed, if I were to die, would my wife still be covered by our health insurance? What would she have to do to have coverage moved to her paycheck or retirement?

Yes, your wife could continue coverage if you predecease her. If employed, she will go to her human resources department and elect FEHB enrollment, transferring it from your name to hers.

This is considered a qualifying life event (QLE) and, therefore, can be done outside of an Open Season.

There are time limits for all QLEs. She would need to make this change within 60 days of your death. If she misses the 60-day window, she must wait for the next Open Season, so timing is crucial.

If you should pass away as an active employee, she would be entitled to a Federal Employee Retirement System (FERS) spousal survivor annuity and a Basic Employee Death Benefit (BEDB). The BEDB equals $42,607.52 (2025) plus half of your basic pay rate (deceased employee must have 18 months of civilian federal employment for this benefit to be payable). Recurring monthly payments are made to the surviving spouse if the deceased employee completed at least 10 years of creditable service (18 months of which must be civilian service). In this case, she would have the option to have FEHB as a survivor annuitant or through her active federal employment. If she is still actively

A

16

NARFE MAGAZINE MAY 2025

employed, carrying the coverage would make financial sense because she would pay premiums pre-tax (this is called “premium conversion and does not continue in retirement). Annuitants have their health insurance premiums deducted on a post-tax basis.

• Changes You Can Make Outside of Open Season https://www.opm.gov/healthcareinsurance/healthcare/plan-information/ changes-you-can-make-outside-of-open-season/ • FERS Information/Survivors: https://www. opm.gov/retirement-center/fers-information/ survivors/.

Part 2: If she retires first and I am still working and die, can she transfer the FEHB from me to her retirement annuity?

While you are alive and currently employed, keeping the FEHB premiums deducted from your paycheck makes sense. You will reap the benefit of the pre-tax deduction for premiums. Once she retires, your wife will not be entitled to have pre-tax premium payments. Once you both have retired, you can split the self plus one enrollment into two selfonly plans. This can be less expensive and allow you to choose the plan that meets your needs.

If you pass away as an employee and she is retired, she will contact the Office of Personnel

A

Management (OPM). OPM will verify her enrollment on your FEHB coverage, and again, she would have the option to have FEHB as a survivor annuitant or through her retired annuity.

Part 3: If we are both retired and I die, and I have chosen not to have a survivor’s benefit, could she still have the FEHB coverage moved to her?

Great question! If no survivor benefit is payable and you carried self plus one coverage at the time of your death, coverage would cease from your annuity benefit. If your wife is eligible for coverage through her own FERS or CSRS retirement, the coverage can be transferred to her. Each spouse must meet the “five-year” coverage and retire with immediate annuity benefits to carry FEHB under their retirement.

Coverage under a spouse’s self plus one or family enrollment counts toward the coverage requirement.

For more information, read the FEHB Handbook/ Annuitants: https://www.opm.gov/healthcareinsurance/healthcare/reference-materials/reference/ annuitants/

A

EMPLOYMENT “MRA PLUS 10” RETIREMENT

Q

I plan to resign from federal employment at my Minimum Retirement Age (MRA) with 15 years of federal service. If I apply for an immediate “MRA Plus Ten” retirement, would I be entitled to maintain FEHB coverage?

Yes! You are eligible for an immediate, reduced, FERS retirement benefit at your MRA (56 and 10 months if you were born in 1969). As long as you were covered under FEHB for the five years immediately preceding your separation, you would meet the requirements to maintain your coverage. If you retire younger than 60 with less than 30 years of service, your FERS benefit will be reduced by 5% per year that you are under age 62 or five twelfths of 1% per month.

There is a second option in this scenario of an MRA Plus 10 type of retirement. If you want to reduce or eliminate the penalty for being under age 62, you may choose to postpone applying for the benefit.

The reduction will depend on your age when your postponed FERS benefit begins. With less than 20 years of service, the age reduction would be eliminated if you started your annuity at least two days before your 62nd birthday (be sure to apply at least 60 days before turning 62).

With 20 or more years, you could avoid the age reduction by applying to begin your benefit on the first day of the month after turning 60. Suppose you

A

postpone applying for your FERS annuity and meet the eligibility requirements to carry your FEHB coverage into retirement. In that case, your coverage will end 31 days after your last day of employment, and you would be eligible for up to 18 months of Temporary Continuation of Coverage (TCC). Under TCC, you would be responsible for the employee and the employer share of the premium plus a 2% administrative expense. You would be able to reenroll after you begin receiving your annuity. If you do not apply to your death, the rights of your surviving family members would be protected because you would be considered a retiree.

DISCONTINUED SERVICE RETIREMENT

Q

There is a good chance that I might be terminated from my position due to a reduction in force (RIF) very shortly. I understand I could retire under a Discontinued Service Retirement (DSR) option (early retirement). Can you please explain the DSR option to me?

An involuntary separation from federal employment is often eligible to apply for a DSR if you are age 50 with a minimum of 20 years of service, or any age, with at least 25 years of creditable service.

“Involuntary separation” means any separation against the will and without the employee’s consent, other than for cause on charges of misconduct and delinquency.

The most common cause of involuntary separation is a RIF.

A

COUNTDOWN TO COLA The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 1.21% in February. To calculate the 2026 cost-of-living adjustment (COLA), the 2025 third-quarter indices will be averaged and compared with the 2024 third-quarter average of 308.729. The percentage increase determines the next COLA. February’s index, 312.460, is up 0.4% from the base. As a reminder, CSRS annuities received a 2.5% COLA for 2025, while FERS annuities received a 2.0% COLA. The CPI represents purchases of food and beverages, housing, apparel, transportation, medical care, recreation, education and communication, and other goods and services.

MONTH

CPI-W

Monthly % Change

% Change from 308.729

OCTOBER 2024

309.358

0.1

0.2

NOVEMBER

308.998

-0.1

0.08

DECEMBER

309.067

0.1

0.11

JANUARY 2025

311.172

0.68

0.79

FEBRUARY

312.460

1.21

0.4

FECA beneficiaries will receive a 2.8% COLA in March 2025.

NARFE MAGAZINE www.NARFE.org

17

Questions & Answers Another frequent reason for involuntary separation is when the location of an office or unit is moved to an area outside the commuting area of the old worksite. Employees who decline reasonable offers of other positions are not eligible for DSR benefits. The DSR provides agencies with a valuable tool to lessen the impact of an involuntary separation on a long-service employee.

NOTE: Employees can use their annual leave to meet age and service requirements beyond the stated separation date on their involuntary separation notice. For more information, read the Annual Leave Fact Sheet/General Information: https://www.opm.gov/policy-data-oversight/ pay-leave/leave-administration/fact-sheets/ annual-leave/ Additional requirements for a DSR: 1. Minimum of five years of civilian service.

2. Separation from a position subject to Civil Service Retirement System (CSRS) or FERS coverage.

3. If you retire under CSRS, you must be covered under CSRS for at least one out of the last two years before retirement. Does not apply to FERS employees.

4. You did not decline a reasonable job offer.

For more information on OPM/Early Retirement, visit https://www.opm.gov/ retirement-center/fers-information/ types-of-retirement/#url=Early-Retirement.

CALCULATING MY ANNUITY

Q

I can retire under FERS at age 61 with 31 years of federal service. If I were to separate before I reach age 62 but then elect to delay applying for FERS annuity until after I turn 62 (a few months after separation), will OPM then calculate my annuity using the 1.1% multiplier, or will my annuity calculation use the 1.0% multiplier?

Unfortunately, to qualify for the 1.1% multiplier to compute your FERS annuity benefit, you must be age 62 or older at the time of your separation from federal employment. At age 61, with 31 years of service, you would qualify for approximately 31% of your high-three average salary. By working one more year and retiring at age 62 with 32 years of service, your retirement would be computed as 32 x 1.1% or 35.2% of your high three average salary. If your average high-three were $100,000, at age 61, your retirement would be about $32,000/year, and at age 62, with 32 years of service, it would increase to $35,200/year, an increase of $3,200 or $267/ month. Other benefits of retiring after age 62 are that you would be entitled to immediate cost-of-living adjustments (COLAs) in your first year of retirement,

A

18

NARFE MAGAZINE MAY 2025

and you would be old enough to receive Social Security retirement benefits.

The FERS supplement replaces Social Security with an unreduced FERS retirement benefit if you retire younger than 62. Still, the supplement is only computed on your civilian federal employment and receives no COLAs.

REDUCTION IN FORCE

Q

I have a question about the RIF. If we get RIF’ed, we should get severance pay. Immediately after the RIF, will I still get the severance package if I am qualified and apply for a retirement?

You may be eligible for severance pay, unemployment compensation or immediate or deferred retirement. These are three separate benefits with different guidelines. To learn more about unemployment compensation, contact your state’s unemployment office; you can also learn more about eligibility at the U.S. Department of Labor at https://www.dol.gov/general/topic/ unemployment-insurance.

OPM has a “Fact Sheet on Severance Pay” to help you understand this benefit that your agency administers at https://www.opm.gov/policydata-oversight/pay-leave/pay-administration/ fact-sheets/severance-pay/.

To be eligible for severance pay, an employee must be serving under a qualifying appointment, have a regularly scheduled tour of duty, have completed at least 12 months of continuous service, and be removed from federal service by involuntary separation for reasons other than inefficiency (i.e., unacceptable performance or conduct). Also, you must not receive workers’ compensation benefits for wage loss due to an on-the-job injury.

An employee is not eligible for severance pay if they are serving under a nonqualified appointment; declines a reasonable offer of assignment to another position; is serving under a qualifying appointment in an agency scheduled to be terminated within 1 year after the date of the appointment; is receiving injury compensation under 5 U.S.C. chapter 81, subchapter I; or is eligible upon separation for an immediate annuity from a Federal civilian retirement system or the uniformed services. The employment agency must determine whether an employee received a reasonable offer, as defined in 5 CFR 550.703.

A “qualifying appointment” means a career or career-conditional appointment, a career Senior Executive Service (SES) appointment, or an excepted appointment without time limitation (except under Schedule C or an equivalent

A

appointment for similar purposes). Unless they follow qualifying appointments within three calendar days, time-limited appointments are not “qualifying” for this definition.

“Continuous service” means the employee must not have had a break in service of more than three calendar days between qualifying appointments.

“Involuntarily separated” means the employee resigns or is separated after receiving a specific notice of separation or a general notice of reduction in force or transfer of function.

Severance pay accrues daily following the recipient’s separation from federal employment.

Severance payments must be made at the same pay period intervals as salary payments if the recipient were still employed. The amount of the severance payment is computed using the recipient’s rate of basic pay, which is in effect immediately before separation. Severance payments are subject to appropriate deductions for income and Social Security taxes. The agency that employs you during your involuntary separation is responsible for paying severance pay. You can find a worksheet to help compute the amount of severance allowance by searching “severance worksheet” at www.opm.gov.

RETIREMENT TRICARE PRIME AND FEHB

Q

I am covered under TRICARE Prime through my military spouse and have my FEHB as a federal employee (my spouse is also covered under this), and it looks like we will have to sign up for Medicare A+ B at age 65. When you turn 65, you must have Medicare Part A and Medicare Part B to keep your TRICARE benefits, or you must have proof that you aren’t eligible for premium-free Medicare Part A. Is there a reason why we would want to keep my FEHB when I retire? I am retiring in 2025 and will be entitled to an Immediate FERS annuity. If I understood correctly, if I drop my FEHB after I retire and sign up for Medicare B at 65, I can no longer get FEHB again, correct? Would there be an option of “suspending” (not dropping/resigning) my FEHB while retired and under TRICARE and Medicare B to keep my option open for getting FEHB again?

If yes, how long can I keep my FEHB “suspended’ and do I pay any premiums for this FEHB during the “suspension” period? Thank you!

If you cancel your FEHB coverage after retirement, this is a permanent loss of coverage; you may never reenroll; this decision is irrevocable. Instead, since you are retiring in the next few months, continue your FEHB coverage

A

into retirement and immediately “Suspend” your FEHB enrollment. You will complete Form RI 79-9, “Health Benefits Cancellation/Suspension Confirmation,” at https://www.opm.gov/forms/ pdf_fill/ri79-9.pdf to suspend your FEHB coverage in retirement. To suspend your FEHB coverage, you must provide OPM with evidence of your eligibility for TRICARE, TRICARE for Life, Peace Corps, or CHAMPVA. If you are over age 65, OPM also needs a copy of your Uniformed Services Identification (I.D.) card and a copy of your Medicare card showing enrollment in both Medicare Parts A & B. Once OPM suspends your FEHB coverage, you will not be able to use the FEHB plan or will you pay any monthly premiums.

TIP: This form may accompany your retirement package so your agency can send it to OPM. Suspending, rather than canceling, your FEHB coverage provides you with more options in the future. Annuitants and Survivor annuitants who have suspended their FEHB coverage: • You are eligible to reenroll in the FEHB program during an Open Season or immediately following an involuntary loss of coverage, or • If an annuitant or survivor is involuntarily disenrolled from TRICARE coverage, they can reenroll (unsuspend) in the FEHB program immediately • No limits on how often an annuitant or survivor may suspend FEHB coverage.

There is no time limit on how long your FEHB coverage can be suspended. If you cancel the suspension of your FEHB coverage during an open season as a retiree, you can suspend it again at any time.

Other reasons that allow an annuitant to suspend, rather than cancel, FEHB coverage include: • Enroll in a Medicare Advantage plan not sponsored by your FEHB coverage. You can get a complete Medicare Advantage plan without suspending your FEHB coverage. Most FEHB plans have made it easier by offering these plans through your FEHB enrollment. See your FEHB plan brochure or website to learn more about this coverage.

• Eligibility for coverage under Medicaid or a similar state-sponsored medical assistance program for people in need. .

To obtain an answer to a federal benefits question, NARFE members should call 800-456-8410 and select option 2 for the Federal Benefits Institute; send the question by postal mail to NARFE Headquarters, ATTN: Federal Benefits; or submit it by email to fedbenefits@narfe.org.

NARFE MAGAZINE www.NARFE.org

19

Benefits Brief

Taxes and Your Federal Benefits

B

BENEFITS RESOURCES NARFE OFFERS MEMBERS a wide range of information on federal benefits. Visit www.narfe.org/federal-benefits-institute.

y now, you most likely have completed your 2024 federal and state tax returns, and based on the outcome, you might find that you need to make a change to your federal or state

tax withholdings. Here’s what to consider when changing your tax withholdings and how to initiate changes for each benefit program.

CIVIL SERVICE RETIREMENT SYSTEM (CSRS)/FEDERAL EMPLOYEES’ RETIREMENT SYSTEM (FERS)

Are you aware that some of your retirement is “tax-free” because retirement deductions withheld from your salary have already been taxed? Don’t get too excited. Most of your retirement benefits are taxable on the federal level and in many states.

A portion of each month’s CSRS or FERS retirement represents the recovery of your previously taxed contributions. Retirement contributions are shown on Internal Revenue Service (IRS) Form 1099-R, received annually from the Office of Personnel Management.

If you are currently receiving a CSRS or FERS annuity, you can elect to have federal and/or state taxes withheld from your monthly annuity payments. Visit your state tax revenue website to determine how federal pensions are treated. Most annuitants set up federal tax withholding when applying for retirement. State tax withholding is elected through OPM. You can view, stop, or change the amount you withhold by following these steps: 1. S ign in to your OPM Retirement Services Online account at https://www. servicesonline.opm.gov/.

20

NARFE MAGAZINE MAY 2025

2. Click on “Federal Tax Withholdings” to view, stop, or change your current federal withholdings.

3. Click on State Tax Withholdings to view, stop, or change your state withholdings.

Important: Make sure you save your changes before leaving the page.

Other ways to make changes: • Call 1-888-767-6738 • Write a letter to OPM, including your claim number and a completed Form W-4P with your federal tax elections.

OPM’s Guide to changing your tax withholdings: https://www. opm.gov/support/retirement/ how-to/change-your-federal-andstate-income-tax-withholdings/.

OPM’s Tax Information for Annuitants: https://www. opm.gov/retirement-center/ tax-information-for-annuitants/ You may want to use the tax withholding estimator available at https://www.irs.gov/individuals/ tax-withholding-estimator.

IRS Publication 721, Tax Guide to U.S. Civil Service Retirement Benefits, https:// www.irs.gov/forms-pubs/ about-publication-721.

SOCIAL SECURITY BENEFITS Social security benefits are taxable on the federal level

for many FERS and CSRS annuitants. Thee IRS uses your “combined income,” which is your adjusted gross income (AGI) plus nontaxable interest and half of your Social Security benefits from the year (minus certain deductions and exclusions).

Generally, up to 50% of your benefits will be taxable. However, up to 85% of your benefits can be taxable if the following situations apply to you.

• The total of one-half of your benefits and all your other income is more than $34,000 ($44,000 if you are married and filing jointly).

• You are married, filing separately, and lived with your spouse at any time during 2024.

To have federal tax withheld from your Social Security payments, you may elect to withhold 7%, 10%, 12%, or 22%.

To initiate, change, or stop withholding, call Social Security to speak with a representative (1-800-772-1213 or TTY 1-800325-0778) or download Form W-4V: Voluntary Withholding Request from the IRS’ website.

Then, fax or mail the completed form to the Social Security office closest to your home. To use the Social Security office locator, visit https://secure.ssa.gov/ICON/ main.jsp.

Social Security will not withhold state taxes from your federal benefits because most states do not tax it. In 2024, only nine states tax Social Security income: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah,

Vermont and West Virginia. Midway through 2024, Kansas joined that list.

IRS Publication 915, Social Security and Equivalent Railroad Retirement Benefits https://www.irs.gov/pub/ irs-pdf/p915.pdf

THRIFT SAVINGS PLAN (TSP)

How payments from your TSP account get taxed depends on whether you have traditional money, Roth money, or both (Members of the uniformed services may also have tax-exempt pay earned in a combat zone).

You should consider the following when taking distributions from your TSP: • You will pay taxes on contributions and earnings in the withdrawal year.

• The tax withholding varies depending on your withdrawal type (payments the last 10 years or more, partial distributions, etc.).

• Whether your withdrawal comes from your Roth, traditional, or a proportional mix of both.

Depending on your withdrawal method, you may be permitted to increase, decrease, and/or eliminate the federal tax withholding from your payments. The TSP will not withhold state or local income tax.

Important: Your withdrawal may be subject to a 10% early withdrawal penalty tax and the regular income tax

on the portion of taxable distributions not transferred or rolled over. If you separate from service in the year you turned 55 or later, you will be exempt from this penalty (distributions taken directly from the TSP).

There are other exceptions, such as retired public safety officers who separate from service in the year they turn 50 or later. Refer to the TSP publication, Tax Rules about TSP Payments, by visiting https://www.tsp.gov/ publications/tspbk26.pdf.

The IRS requires that you receive a portion of your TSP account called, Required Minimum Distributions (RMDs) beginning when you reach a specific age and are separated from service. Secure Act 2.0 made changes to RMDs: Roth balance no longer subject to RMDs, reduced excise tax on missed RMD amount and RMD age increases. For more information, visit https://www. tsp.gov/news-and-resources/secure-2-0-and-the-tsp/.

Taxes are not an easy topic for most of us. It is essential to read TSP publications and consult a tax professional to avoid costly mistakes. NARFE federal benefits expert Mark Keen, CFP®, walks you through retiree tax planning in the archived presentations that can be found at the NARFE Federal Benefits Institute at www.narfe.org.

—MERCEDES JOHNSON IS A RETIREMENT AND BENEFITS SPECIALIST WITH RETIRE FEDERAL.

Did you recently join NARFE and looking for a way to get involved with local feds in your community? Are you missing the friends you used to work with every day in the office?

Find a local chapter convenient to you!

New member s receive t heir first yea r of chapter dues FREE!

Visit www.narfe.org/chapters to find the chapter that’s right for you, and then call us between 8 a.m.-5 p.m. ET at 800-456-8410. Then dial 1 for membership and we’ll get you signed up right away.

NARFE MAGAZINE www.NARFE.org

21

OVER

TOUR

22

NARFE MAGAZINE MAY 2025

What’s the problem, how are some countries dealing with it, and what you can do to help.

ISM AND ITS EFFECTS

BY EVERETT A. CHASEN

In Barcelona, residents carrying water guns have targeted tourists sitting at cafes in protest over the number of visitors overwhelming the city. In Athens, crowds at Greece’s most popular archaeological site, the Acropolis, have gotten so large that people can only visit the location with timed tickets.

NARFE MAGAZINE www.NARFE.org

23

Barcelona’s 1.6 million residents hosted at least 13 million visitors in 2024, according to The New York Times. A Times reporter wrote, “Their impact includes skyrocketing housing prices, dirty beaches, crowded thoroughfares and the transformation of historic neighborhoods into what locals refer to as ‘theme parks.’”

24

NARFE MAGAZINE MAY 2025

Thanks to mass tourism, Phuket, Thailand, one of the world’s most geographically stunning places, is now overcrowded and polluted. In Miami, unruly visitors have forced local authorities to restrict the hours when alcohol can be consumed and to enforce noise restrictions in the city’s entertainment district.

Each of these issues and similar problems in locations worldwide have the same cause: overtourism.

Overtourism happens when too many people visit a location, but no longer have a quality experience because the location is unable to deal with their demands for access to the most desirable attractions without crowding; has lost a number of authentic places to stay or dine; and offers only overcrowded assets that have become unreliable and increasingly unattractive to visitors or locals.

To most tourists, overtourism is an inconvenience.

Visitors to over-touristed areas must cope with hordes of other travelers in locations that don’t have the capacity to handle those numbers, resulting in large gatherings at scenic vistas, long waits to enter popular attractions, and bad behavior on the part of some of their fellow tourists.

Tourists, however, are not the only ones who must deal with this problem; those who live in popular destinations do, too. Left unaddressed, overtourism leads to resentment on the part of locals towards visitors, whether it’s through increased levels of litter, higher crime rates, difficulty getting into their favorite cafés, or significant environmental issues like global warming and water quality problems—all of which impact the experience of both tourists and residents.

Megan Epler Wood, managing director of the Sustainable Tourist Asset Management Program (STAMP) at Cornell University, part of the Center for Sustainable Global Enterprise at the school’s Samuel Curtis Johnson College of Business, looks at the issue from the viewpoint of countries and regions who have to deal with crowds of tourists and the environmental and social impacts they cause. She believes the local impacts from overtourism have become a “global emergency”.

“Places around the world have long promoted tourism as a form of economic development, without looking at the cost and expense of managing tourism,” she said.

This often leads to issues like environmental degradation, a loss of local culture, rising living costs for residents, and a diminished quality of life for those who live at tourist destinations.

“You can see this in so many places that are presently in the headlines,” she said. “In the Philippine Islands, we’ve recently had a huge buildup of hotels without any sewage treatment associated with that construction. Many such destinations also have no waste treatment and just burn trash, systems that

Norway has established national standards for sustainable tourism, emphasizing lowemission practices across all tourism operations. were deemed sufficient until hundreds of thousands of tourists came.”

Inadequate sewage and waste treatment pose a significant risk to human health and aquatic ecosystems.

Epler Wood argues for “sustainable tourism,” defined by the United Nations World Tourism Organization as “tourism that takes full account of its current and future economic, social and environmental impacts, addressing the needs of visitors, the industry, the environment and host communities.”

STAMP, the organization she leads at Cornell, seeks to increase collective knowledge and understanding of managing tourism destinations more effectively over time. Epler Wood believes a “full range of costs” stems from the growth of tourism. Therefore, local tourism authorities, business leaders, and travel professionals need to use science-based data-driven measures to fully understand what she calls the “invisible burden” of tourism.

What Are Governments Doing About the Problem?

People throughout the world are traveling more than ever before. Cheap flights and new budget airlines enable tourists to visit destinations they formerly could not afford. Airbnb, VRBO, and other online lodging services make inexpensive beds available to travelers, which, unlike hotels, are not subject to planning decisions, permit requirements, and sometimes even taxes.

Barcelona’s 1.6 million residents hosted at least 13 million visitors in 2024, according to the New York Times. A Times reporter wrote, “their impact includes skyrocketing housing prices, dirty beaches, crowded thoroughfares and the transformation of historic neighborhoods into what locals refer to as ‘theme parks.’”

Demonstrations and marches protesting the problem have taken place throughout the city. In response, city officials introduced a strategic plan focusing on sustainable tourism to distribute tourists

more evenly across the city and promote neighborhoods outside the city center.

The city charges a tourist tax on overnight hotel stays and short-term rentals that helps fund infrastructure improvements, tourist management and community administration. It has limited the number of cruise ships that can dock daily; implemented ticketing systems at popular tourist sites, regulating the number of people who can enter; improved its public transport network; and promoted cultural events and activities during the off-season to reduce the pressures of tourism during the spring and summer.

Finally, Barcelona requires short-term rental properties such as those listed on Airbnb to be licensed to keep permanent residents from experiencing housing shortages. Illegal rentals are fined, and platforms must remove unlicensed listings. New licenses have been frozen to limit the expansion of short-term rentals.

Mateu Hernandez, managing director of the Barcelona Tourism Consortium, told the Times, "Barcelona has developed more tools to manage tourism than maybe any other city.”

Epler Wood cited two other tourist destinations that have innovatively managed the environmental aspects of overtourism. Greenhouse gas emissions are the release of gases into the atmosphere that contribute to global warming. Norway, a northern European nation, is mainly concerned by greenhouse gas emissions because of its proximity to the Arctic Circle. The Arctic parts of the country are especially vulnerable to climate change impacts like melting glaciers and decreased biodiversity.

As a result, Norway and other Scandinavian countries have made major efforts to reduce these emissions in their industries and the nation’s tourism efforts. Norway is becoming a “low-carbon economy,” significantly reducing greenhouse gas emissions, particularly carbon dioxide, through adopting sustainable practices and technologies.

NARFE MAGAZINE www.NARFE.org

25

“Places around the world have long promoted tourism as a form of economic development, without looking at the cost and expense of managing tourism” –Megan Epler Wood, managing director of the Sustainable Tourist Asset Management Program (STAMP) at Cornell University

“They are really going after reductions in greenhouse gas emissions in ways that are practical,” Epler Wood told us. Most of the nation’s rental cars are electric, with many charging stations available, and Norway promotes train travel or electric ferries as the best way to get around the country. By 2026, cruise ships emitting greenhouse gases will not be permitted to sail in its World Heritage fjords.

Norway has established national standards for sustainable tourism, emphasizing low-emission practices across all tourism operations. They calculate and track the carbon footprint (the total emissions caused by an individual, organization, event, or product) of all tourism activities, enabling them to target emission reduction strategies. Finally, Norwegians have decided to limit marketing tourism to people who travel a long way to get to their country, like Americans, in favor of those who live closer, like residents of Great Britain.

“They want to have a lower volume of tourism with low emissions and an excellent infrastructure for the tourists that do come there,” Epler Wood said.

She cited another nation for its efforts—one far away from Scandinavia. Rwanda is a landlocked country in east-central Africa. It is a popular tourist destination, known for its natural beauty, wildlife and national parks. Volcanoes National Park, one of four national parks in the country, is home to the endangered mountain gorilla species.

Tourism is a significant part of Rwanda’s economy.

It and its neighbor Uganda are the only countries in 26

NARFE MAGAZINE MAY 2025

the world where mountain gorillas can be seen in their natural habitats.

“We have identified tourism as a key driver of economic growth and employment,” Rwanda’s president, Paul Kagame, said in 2023.

To make growth from tourism sustainable, the country successfully protected and increased its mountain gorilla population and preserved the animal’s habitats. Conservationists reintroduced other threatened and endangered species like lions, elephants, buffalos, leopards and rhinos. New laws protect endangered wild animals, and the country has a policy to spend 10% of all income from tourism activities on initiatives to support local communities. These activities include gorilla tracking, safaris, and entrance fees to the national parks.

“They are constantly innovating there to come up with new ways to manage tourism,” said Epler Wood. “They really care about that. [During my visit] I saw some of the most innovative examples of the management of tourism I’ve ever seen. It’s really, really impressive!”

What Can Tourists Do?

Rick Steves is a popular public television host who encourages Americans to take European trips that are fun, affordable and culturally broadening. He publishes a series of guidebooks and a syndicated travel column and runs a small-group tour program that takes 30,000 travelers to Europe annually.

In a 2024 interview broadcast on National Public Radio (NPR), Steves offered several ideas to help

Become a Silver Circle Contributor Today NARFE offers members a way to give to the association’s General Fund through its donor recognition program, the Silver Circle.

Your contribution to the Silver Circle supports the direct work of NARFE as we continue to provide you resources and advocacy that you rely on and that member dues alone cannot support.

When you donate to the Silver Circle, you are ensuring that NARFE has the resources to continue to fight for the financial security and earned benefits for you and the federal community.

NARFE appreciates all financial support you provide to us and would like to recognize you for your generous contributions to our cause.

Donate now to the Silver Circle at www.narfe.org/silvercircle.

With NARFE’s thanks, you will receive: •

A Silver Circle pin and recognition on NARFE.ORG with a donation of $100 or more.

•

A Silver Circle pin, your name plate placed on the Silver Circle plaque at NARFE Headquarters, recognition on NARFE.ORG and recognition at the NARFE yearly conference with a donation of $1,000 or more.

To learn more about the Silver Circle donor recognition program or how to recommend an outstanding NARFE member to the Silver Circle, please visit www.narfe.org/silvercircle or email us at donatenow@narfe.org. q CHECK ENCLOSED (payable to NARFE) Enclosed is my NARFE donation: $ __________________

q Mr. q Mrs.

q Miss q Ms.

Name: ______________________________________________ Address: _____________________________________________ City: ________________________________________________ State: _______________________________________________ ZIP:_________________________________________________ Member Number: ______________________________________

FR-SILVERCIRCLE

OR CREDIT CARD INFORMATION:

q MasterCard

q VISA

q Discover

q AMEX

Card Number: _____________________________________ Expiration Date: __________(mm)/ ________ (yy) 3-Digit Security Code: __________ Date: _______________ Signature:_________________________________________ Name: (please print) _________________________________

PLEASE MAIL COUPON AND CHECK TO: NARFE, Attn: Silver Circle, 606 N. Washington St., Alexandria, VA 22314

Donations to NARFE are not tax-deductible for federal income tax purposes.

Don’t go where social media tells you to go. Overtourism is a big issue only if you let information bully you into going places where everybody else is going. tourists avoid being in overcrowded situations. Here are some of his suggestions: • Don’t go where social media tells you to go.

Overtourism is a big issue only if you let information bully you into going places where everybody else is going, said Steves. Instead of tourist-plagued restaurants, he suggests looking for mom-and-pop family-run eateries, which offer great value—and are rarely crowded.

• Avoid tourist sites when cruise ships are around.

“You’ve got to realize,” he told NPR, “that when the cruise ship is in town, 3,000 tourists just got off that ship, and they’re all hellbent on going to the same place. You want to kind of avoid that during the hours the cruise ship is dropping its hook.” He used the Acropolis as an example. “Don’t go between 10 and 4 when all the cruise groups are there. If the Acropolis is open until 8 p.m., go at 6 p.m. You’ll get two hours all alone.”

• Don’t do what everyone else is doing. Popular Instagram spots and locations that are visually appealing and interesting enough to be photographed and shared on that social media app tend to attract Americans, resulting in “mob scenes.” Steves suggests finding other locations that are just as beautiful—but not as popular. He also recommends visiting what he calls “second cities” in areas you’re interested in, like Glasgow instead of Edinburgh and Porto instead of Lisbon. “You’ll get a different side of Europe if you go to some of the towns that aren’t so darn trendy,” he said.

• Go off-season. Steves suggests not traveling in summer, if that’s possible. There are more crowds in the summertime, and climate change has made Europe and the world hotter than ever. Instead, pack an extra sweater and avoid peak season.

28

NARFE MAGAZINE MAY 2025

Epler Wood also has some suggestions for worldwide travel.

“One of the most positive things travelers can do, in my opinion, is visit national parks—but don’t do it without guides,” she said. “It’s so important to get local expertise, make sure they’re managing your trip in ways that you will avoid crowds, and enjoy the camaraderie of a small group. It’s much more responsible to travel in small groups.”

Also, be sure to pay entry fees that support conservation efforts.

“In many countries, you may go through an entry gate that isn’t staffed, or there just isn’t a good system for collecting those fees,” she said. “Sometimes, guides think they’re doing you a favor (by helping you avoid paying), but if you insist you’d like to pay, that will inspire local people and make them feel more respect for their own system.”

She suggested that government employees, both active and retired, have a unique role to play in combating overtourism.

“One of the things people don’t think about that much when they visit places is, ‘How is the government working?’” she said. “It’s interesting to observe how the country is managing tourists. You can notice it at the airport, you can see how well they are doing at customs, and in how they are managing transportation.”

Finally, “people can be observant and make comments to people that they may meet, and write about what they’ve seen in Tripadvisor types of forums,” she added. In this way, Epler Wood hopes federal employees and retirees can improve everyone's tourism experience.

—EVERETT A. CHASEN IS A FREELANCE REPORTER BASED IN THE GREATER WASHINGTON, D.C. AREA.

NARFE’s Dues Withholding Program What is dues withholding?

It is a dues-payment method available to retired NARFE members, their spouses and annuitant survivors giving them the option to have their annual NARFE membership dues deducted from their annuities each month.

Advantages • Save more than 10% off your annual NARFE dues • Sign up your spouse and double your savings • You’ll never get another dues reminder from us • Your monthly payment is affordable and convenient • You may cancel your dues withholding at any time

How does it work?

One-twelfth of your total dues is automatically deducted from your monthly annuity. Your monthly deduction is determined by the following formula: ($42 NARFE dues ÷ 12) + (Chapter dues - if applicable ÷ 12) = total monthly deduction How do I sign up?

Complete the Dues Withholding Application below. Send no payment. It may take 60 to 90 days before auto-deduction starts.

Your membership starts as soon as your application is received.

To learn more about dues withholding, call 800-456-8410.

NARFE Dues Withholding Application for NARFE Members who are Retirees, Spouses of Retirees or Annuitant Survivors STOP! Complete this section ONLY if you are signing up for Dues Withholding. If so, DO NOT send payment

o YES. I want to enroll in NARFE’s Dues Withholding Program. NARFE dues of $42* and chapter dues, if applicable, to be withheld annually. (*Dues-withholding members save more than 10% off the regular NARFE dues rate.)

Civil Service Annuity Number

Social Security Number (9-digit number)

–

C S

–

–

–

–

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

o Mr. o Mrs. o Miss o Ms.

NARFE MEMBERSHIP INFORMATION

Full Name ____________________________________

NARFE Membership ID _______________________________

Street Address ________________________________

NARFE Chapter Number ______________________________

Apt./Unit _____________________________________

o YES. I also authorize my (NARFE member) spouse’s dues to

City ________________________________________

be withheld from my annuity. (Additional annual dues of $42 and chapter dues, if applicable, to be withheld annually. If YES, enter spouse’s information below.)

State ___________ ZIP _________________________ Phone (__________) ___________________________ Email _______________________________________ Date of Birth _________ /_________ /__________________ mm

dd

yyyy

Spouse’s Name ____________________________________ _________________________________________________ Spouse’s Membership ID _____________________________ Spouse’s Email _____________________________________

AUTHORIZATION (Withholding will begin in 60-90 days). Send NO PAYMENT with Dues Withholding Application!

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 made above, 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 made. Please allow 60-90 days for processing.

I understand that this authorization shall be valid until NARFE receives and processes my written notice of cancellation in accordance with its agreement with the Office of Personnel Management and that any disputes regarding this authorization shall be a matter between NARFE and 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 and gifts or contributions to NARFE are not deductible as charitable contributions for federal income tax purposes.

MAIL THIS FORM TO: NARFE, ATTN: Member Services, 606 N. Washington St., Alexandria, VA 22314-1914 800-456-8410

memberrecords@narfe.org

Do not send money with this form

(DW-2 01/21)

R E D UN G N I D N STA

s ’ p m u r T t n e d i s Pre ce r o f k r o W l a r e d Fe s e v i t a i t i In ects p s a t a h gree t a r e t n l, but ce a d c i n t i a r , c t h re how d Left, rig vice reform a n a , ued. t, how ser s a l r i h u v i w p c n e f o o ould b differ h s n e s t f m o r they h refo c u s y l ve extensi

30

NARFE MAGAZINE MAY 2025

KIN

E AV D BY

N BE

TO

NARFE MAGAZINE www.NARFE.org

31

For decades, federal workforce experts have called attention to shortfalls in the existing design and operation of the federal civil service, in no small part reflecting the inability of the U.S. Congress to enact comprehensive civil service reform legislation since the passage of the landmark Civil Service Reform Act of 1978.

In addition, for decades, many federal leaders, and Republicans in particular, up to and including President Donald Trump, have criticized the size and performance of the federal government and called for drastic downsizing of the same. And yet, the status quo has largely remained the same.

That, of course, has changed dramatically since President Trump took office on January 20, with the federal administration launching the most aggressive downsizing and restructuring of federal government agencies in decades. What is different this time around are the following factors: • President Trump is prioritizing and aggressively pursuing these reforms early in this new term.

• Trump selected seasoned agency policy leaders with experience in effecting such reforms, such as former and now reappointed U.S. Office of Management and Budget head Russell Vought.

• Republicans control both houses of Congress, which potentially could allow passage of some form of civil service reform legislation— though much legislation would require 60 votes in the Senate to pass, which would require at least some support by at least

a few Democratic legislators. So far, Congress has allowed Trump to take workforce actions that many view as testing the far reaches of executive branch power; and • More conservative justices in the Supreme Court could blunt court challenges to reform legislation and executive branch actions, though some lower case courts have blocked some Trump workforce initiatives for the time being.

But perhaps the most significant difference is the presence of the Department of Government Efficiency (the DOGE), a temporary governmental organization established at Trump’s direction, headed by tech billionaire Elon Musk, instituted by executive order, and staffed by personnel who have been dispatched across the federal bureaucracy, in some cases from Musk organizations. The DOGE aggressively pursued federal workforce policies aimed at agency workforce downsizing, and eliminations of entire agencies, with a speed and unilateral approach more often pursued in the private sector, particularly in the tech sector, than in the public sector, all with extensive backing from President.

The Need for Reform

Left, right, and center agree that aspects of civil service reform are critical, but they often differ on what, how, and how extensively such reforms should be pursued.

Over the years, key weaknesses in the performance of federal agencies and the civil service systems identified by non-governmental organizations focused on good government include the Partnership

s as a r a e y three r blem o o r o p w a t g nt “I spe er separatin can be all t manag ee, and tha eriod.” p y a emplo during that Public , O E o C you d ders, n a S ld

32

NARFE MAGAZINE MAY 2025

–Rona LLC Virtu

for Public Service, the National Academy of Public Administration, and many others—include: • The complexity and slow speed of hiring federal employees.

• Challenges to discipline and remove problematic federal employees.

• A byzantine classification system for federal jobs that is outdated with workplace realities.

• Inefficient, bureaucratic work processes with too many layers of management that are out of step with the private sector.

• A career-long employment model that may be out of step with the need for shorter-term careers in which employees cycle in and out of the government; • A poor job adopting and adapting new technology generally, and information technology in particular, in government; • Individual pay increases that have become automatic and not tied to performance; and

Do you have the NARFE Visa® Platinum credit card in your wallet?

• General, governmentwide pay levels tied to an obsolete, “one size fits all” comparability model that results in overcompensation of some employees and insufficient compensation for others.

Now, the Trump Administration has linked individual and agency performance to civil service reforms and made that linkage a high-priority item, including through executive orders, executive actions, Office of Personnel Management (OPM) and Office of Management and Budget (OMB) actions seeking to: • Reduce the size of the federal government’s workforce.

• Ensure presidential control of agency policy, in part by eliminating many of the protections afforded by current federal employees (especially those in policymaking or influencing positions) so that they could be fired more easily.

• Reduce remote work and telework.

• Relocate a large subset of the 15% of federal civil service jobs located in the Washington, D.C.

Apply for your NARFE Visa Platinum credit card today and receive a $25 statement credit1 towards your next purchase!

More reasons to keep the NARFE Visa Platinum credit card at the top of your wallet: »

Earn six (6) points per $1.00 spent on all streaming services, and one (1) point per $1.00 spent on all other purchases2

»

No annual fee, no balance transfer fees, no cash advance fees, and no foreign transaction fees3

»

Credit limits up to $25,000

»

Protect your card with Visa Secure and Visa Secure Remote Commerce (SRC)

$25 Visa statement credit applies to new applicants only. The credit expires after six months if it is not used. All loans are subject to credit approval.

1

2

There is a 60-point monthly cap on streaming services.

Other fees such as late fees, returned check fees, and an over-the-limit fee may apply.

For the full list of fees SFCU charges, please visit SignatureFCU.org/FeeSchedule. Annual Percentage Rate (APR) ranges from 12.99% - 18.00%. Rates, terms, and conditions may vary based on credit worthiness and qualifications. Your actual APR will be determined at the time of application and will be based on your application and credit information. Not all applicants will qualify for the lowest rate. Rates are set by the Board of Directors and may change without notice.

3

Ready to get started?

Scan the QR code to your left, visit SignatureFCU.org/NARFE to apply today, or contact our Member Services Department at (800) 336.0284 ext. 684 to get started today.

Not a member of SFCU? Open your account today at SignatureFCU.org/JoinNow Signature Federal Credit Union (800) 336.0284 newaccounts@signaturefcu.org FOLLOW US /SignatureFCU

NARFE MAGAZINE www.NARFE.org

33

metropolitan area to locations elsewhere within the country and • Eliminate or combine some federal agencies On January 28, OPM sent an email to full-time federal employees, with some exceptions, offering them a deferred resignation plan under which, if they agreed to leave federal service, they would be placed on administrative leave and receive pay and benefits up to September 30, 2025. The email gave federal employees until February 6 to state they agreed to participate. It warned that a reduction in the size of the federal workforce and related reforms meant their jobs might be eliminated. Federal unions and NARFE questioned the plan’s legality, including whether the large severance promised can be legally paid. The White House subsequently said about 75,000 federal employees took the deferred resignation offer.

A February 26, 2025 memorandum from OPM and OMB directed federal agency heads to work with DOGE personnel to develop agency [reduction in force] and reorganization plans and submit them to OMB and OPM by March 13 to downsize their workforces, consolidate operations, and refocus their operations to only focus on statutorily “We required c

o inclu ntinue to sio ad mana n of fede vocate f or ra g outd ers, who l executi ve ate kn and r d proces ow we h s and av eg se and w ulations s and law e th s a a par nt to cha at hold u , rules, sb ng to assis f the cha e them, ack to tin ng mod g the ad e proce be ss min ern the m ize, rathe istration by to r erit s ystem than elim inate .”

– Ma , rcu of th s Hill, p Assoe Senior residen t ciatio Exec n (SE utives A)

34

NARFE MAGAZINE MAY 2025

operations. Largescale layoffs had already occurred at a number of agencies even before the March 13 deadline.

The Trump administration imposed a federal employee hiring freeze but has subsequently made several exceptions. It has also taken steps to set aside some collective bargaining agreements with federal labor unions.

There is clearly some overlap between the Trump reform agenda and the perennial problem areas described earlier, perhaps most notably in the call to expedite the termination of poorly performing or misbehaving federal employees.

While unions, NARFE, and some other federal employee professional association leaders have noted it is possible to discipline federal employees and a significant number are fired, it can be difficult and time-consuming in practice, says Ronald Sanders, a former senior executive at several agencies involved in civil service reform efforts who is currently president and CEO, Publica Virtu LLC. When he was an agency executive, Sanders says he struggled to remove poor performers: “I spent two or three years as a manager separating a problem employee, and that can be all you do during that period,” Sanders says. He also notes that past Federal Employees Viewpoint Surveys have identified failing to deal with poor performers as perennial criticism by federal employees themselves.

Still, he and others have criticized Trump’s Schedule Policy/Career, formerly named Schedule F, the new civil service schedule for policy-related positions that reduces civil service protections for federal employees reclassified into it.

Many, including Sanders and NARFE, see that reclassification as problematic because it could return the federal civil service to a spoils system in which newly elected Presidents appoint their partisan supporters to civil service positions, resulting in a politicized civil service, less institutional expertise at agencies, and less professionalism. They note that was the case before the passage of the Pendleton Act of 1883, which created the current merit-based federal civil service. The executive order establishing Schedule Policy/Career did state that there was no obligation for federal employees to personally or politically pledge allegiance to President Trump or his policies.

The National Treasury Employees Union (NTEU) and the American Federation of Government Employees

“The Rep ublicans, whe Congress or the Wh ther you're looking ite House at the time to re , don't ha form civil ve a lot o service, a some, in m f nd I think y view, illt h a t 's a dvised pr likely get led to oposals t challenge h d and sto at will the court pped, eith s or by th er by e Congre ss.”

–Ronald

Sanders

(AFGE), jointly with the American Federation of State, County, and Municipal Employees, filed lawsuits challenging the legality of President Trump’s Executive Order 14171, the executive order’s legality establishing Schedule Policy/Career. On February 6, NARFE and the Government Accountability Project (GAP) filed a separate lawsuit seeking to block the implementation of President Trump’s Executive Order 14171.

NARFE Magazine published a more extensive analysis of Schedule F in the October 2024 magazine issue and provides more guidance on Schedule F and Schedule Policy/Career at https://www.narfe.org/magazine-issues/ narfe-magazine-october-2024/.

NARFE, federal labor unions, and other organizations have also criticized and/or challenged a variety of other Trump administration actions that they say are unlawful.

Some federal employee organizations continue to press the Trump Administration to include them in civil service reform efforts.

“We continue to advocate for inclusion of federal executives and managers, who know we have outdated processes and laws, rules, and regulations that hold us

NARFE Webinars

Answers for the Federal Community Don’t miss these upcoming webinars!

THURSDAY, MAY 22, 2 P.M. ET Family Benefits: Spouse, Children, and Former Spouse THURSDAY, JUNE 26, 2 P.M. ET Retirement Processing Prep THURSDAY, JULY 17, 2 P.M. ET Thrift Savings Plan: Should You Stay or Should You Go? Online Q&A sessions follow each webinar. For details and to register, visit www.NARFE.org/webinars.

NARFE FEDERAL BENEFITS INSTITUTE

Questions? Members can call 800-456-8410 x2 or email NARFE’s federal benefits specialists at fedbenefits@narfe.org.

Not a member? Join NARFE today at NARFE.org/Join.

NARFE MAGAZINE www.NARFE.org

35

back and want to change them, to be a part of the change process by assisting the administration to modernize, rather than eliminate, the merit system,” says Marcus Hill, president of the Senior Executives Association (SEA), which represents Senior Executive Service agency executives and retirees. “SEA has a 40-year track record of advocating for making the civil service better, stronger and more responsive to the needs of the American people, and we can help the administration and legislators achieve their overall objectives in the most lawful and smartest way.”

Addressing Trump criticisms of senior agency leaders as having defied his directives during his first term, Hill notes that SEA hosted a January 16 legal roundtable discussion for senior executives on the legal obligations of civil servants to fulfill their roles and responsibilities during the presidential transition and on federal career civil servant employment rights related to various civil service reform scenarios.

Some Trump administration civil service reforms may be difficult to effect through executive actions rather than legislation. Sanders

is skeptical that even a relatively friendly Supreme Court would allow significant executive branch intrusion into legislative functions vested in Congress by the Constitution, such as the authority to combine or eliminate federal agencies.

Jason Briefel, SEA director of policy and outreach, notes that unheeded SEA warnings regarding overreach in executive orders concerning union reforms during the first Trump administration were followed by court reversals. One outstanding matter is whether an executive action directing federal employees to return to work five days a week can override existing union collective bargaining agreements with agencies that provided union members rights for remote work

s could e v i t a i t omen, i n w i t e c s a e p h T m “ s more ely i t e a e n y o o i l t r p o nger em al government, disprop u o y d n s, a der minoritie ught into the fe y the most bro rive awa d ment.” recently o y s o l l a p d m l e u ral y co and the plicants for fede ap talented ers

36

NARFE MAGAZINE MAY 2025

Sand –Ronald

and telework, as well as an existing 2010 statute that required federal agencies to establish policies authorizing eligible employees to telework.

“The Republicans, whether you're looking at the Congress or the White House, don't have a lot of time to reform civil service, and I think that's led to some, in my view, ill-advised proposals that will likely get challenged and stopped, either by the courts or by the Congress,” Sanders says.

However, legislation has also been introduced supporting the Trump reforms. If enacted, a package of new civil service reform legislation introduced by Sen. Marsha Blackburn (R-Tenn.) in December would provide a firmer statutory backbone than executive orders. Among the elements of that were the following components: • A one-year freeze on federal hiring and salaries (much like previous Administrations have done) • Reintroduction of individual, performance-based compensation • Codification of Schedule F • Cuts in federal agency discretionary funding There are some signs of bipartisan Congressional convergence, such as the participation of one Democrat, Rep. Jared Moskowitz, D-FL, in the DOGE Congressional caucus, despite its Trump-oriented leadership, as well as federal agency cost-cutting measures floated by other Democratic legislators.

Some Trump priority reforms, such as the executive action ordering most federal employees to return to their offices five days per week, may be complicated by changes to on-the-ground realities, such as the fact that some agencies have leased out their building space to other agencies and moved to “hoteling” arrangements whereby workers reserve space on a day-by-day basis, meaning their buildings no longer have room for all their federal employees.

Sanders says the price of some other reforms, such as drastically reducing the number of federal employees through funding cuts, hiring freezes, or voluntary separation incentives and early retirement authorities, could result in reduced performance by agencies, resulting in such things as fewer offices and experienced customer service agents at the Social Security Administration and the Internal Revenue Service. Moreover, when coupled with seniority-based involuntary separation (RIF) rules, these initiatives

could disproportionately impact women, minorities, and younger employees more recently brought into the federal government, and they could also drive away the most talented applicants for federal employment, Sanders adds.

Sanders questions whether such employee reductions will result in sufficiently worthwhile budget savings given the time and expense it would take to implement them, especially with seniority-based ‘bump and retreat’ rules, severance pay and pay/save grade entitlements.

That is especially the case compared to the far more significant component of the federal budget dedicated to nondiscretionary (and historically politically untouchable) federal entitlement programs like Social Security and Medicare that are allocated through statutorily mandated formulas.

—DAVID TOBENKIN IS A FREELANCE REPORTER BASED IN THE GREATER WASHINGTON, D.C. AREA.

NARFE MAGAZINE www.NARFE.org

37

L VIRTUANCE RE CONFE

-11

JUNE 9

NARFE’S 2025 LEGISLATIVE VIRTUAL TRAINING CONFERENCE

Join NARFE members across the country to: • Improve your advocacy skills • Make your voice heard by engaging with lawmakers • Build and strengthen relationships with your legislators and congressional staff • Make an impact on NARFE’s key issues with online advocacy training Don't miss NARFE's premier virtual grassroots training conference!

Attend grassroots advocacy training sessions and “Advocacy Day” where you join your fellow NARFE members in bringing our message directly to lawmakers and their staff.

Register today!

Registration fee: $160 for members $195 for non-members Group registration is also available to Federations.

Information can be found on the website.

legcon.narfe.org

“

I was impressed with the event. It was organized and easy to participate.

—Mary Andres, Chapter 0262 Metro Louisville

ENGAGE WITH YOU LEGISLAT R ORS At LECcon25, NARFE’s premier grassroots training event, NARFE members learn to advocate for NARFE’s legislative priorities and be an active participant in protecting and defending their federal benefits.

Discussion with congressional staffers to give you the inside scoop on being a powerful advocate

Panel of former and current members of congress giving their thoughts on effective grassroots strategies

Crash course presentation from an expert in advocacy on how to use your voice amidst an ever- changing landscape

LEARN F R O M TO P E X P E RTS

Regsiter now at legcon.narfe.org

“

The value per cost was excellent. I am not likely to be able to afford an actual trip to DC to attend LegCon so really appreciated the chance to participate in this virtual presentation.

—Elizabeth Bowers, NARFE Chapter 1192 Tri-Cities

Managing Money

M

Parents, Are You Aware That May 29 Is National 529 Day? ay 29 is National 529 Day. The date—5/29—is a clever nod to these tax-advantaged investment accounts designed to help parents, grandparents, and

others save for future education expenses. In honor of National 529 Day, let’s explore how 529 plans work, their key benefits, and strategies to maximize savings for future education.

Before getting into the details, it’s important to clarify that there are two types of 529 plans. The first is the 529 prepaid tuition plan. The second type—and the focus of this article—is the 529 college savings plan, which functions like an investment account and allows savers to invest their contributions in an array of investment options, such as mutual funds, exchange traded funds (ETFs), certificates of deposit (CDs), and other fixed investments.

A 529 tax-advantaged savings plan provides tax-free growth and withdrawals when used for qualified education expenses.

When 529 Plans were originally introduced in 1996, qualified education expenses were limited to higher education tuition and fees, but the potential use of 529 Plan funds has been greatly expanded, making them a versatile tool for education savings.

For example, Funds can be used for a wide range of educational expenses, including K-12 tuition (up to $10,000 per year), college and university costs, trade schools and vocational programs, and even student loan repayment (with a $10,000 lifetime limit per beneficiary).

Additionally, if the original beneficiary does not use the funds, you can transfer the

40

NARFE MAGAZINE MAY 2025

account to another eligible family member without penalty to help

A 529 PLAN IS AN EXCELLENT OPTION FOR PARENTS, GRANDPARENTS, OR OTHER RELATIVES WHO WANT TO SAVE FOR EDUCATION TAX-EFFICIENTLY.

ensure the funds are used for qualified education expenses.

Unlike other tax-advantaged accounts, 529 plans allow for large contributions, often exceeding $300,000 per beneficiary, depending on the state. Notably, 529 plan contributions are considered completed gifts for gift and estate tax purposes. This means donors must be contentious to follow the gift tax rules to avoid unintended consequences.

This includes being mindful of the annual gift exclusion limit, which for 2025, allows someone to gift any individual up to $19,000 ($38,000 for a married couple) without any gift tax consequences. 529 plans offer

a unique “super funding” rule, allowing contributors to frontload up to five years’ worth of the annual gift tax exclusions in one year without triggering gift taxes. To take advantage of this strategy, the contributor must file IRS Form 709 to report the election, but doing so prevents the contribution from counting against their lifetime estate and gift tax exemption.

Grandparents who have been reluctant to open a 529 plan for fear of impacting financial aid eligibility take note. With the FAFSA Simplification Act (effective for the 2024-2025 school year), withdrawals from grandparent-owned 529 plans are no longer treated as student income, making them a much more attractive option for education savings.

529 plans are state-sponsored, which means individual state governments or educational agencies administer them.

However, you can enroll in any state’s 529 plan and use any 529 Plan at eligible colleges, universities, and vocational schools nationwide. This includes public and private institutions in all 50 states and some international schools.

Many states provide a tax benefit through tax deductions or credits for contributions to 529 Plans, and your 529 Plan of choice will likely hinge on your state’s tax benefits. In most cases, deductions and credits are limited to residents contributing to their own state’s plan, but there are currently nine states offering deductions for contributions made to any 529 plan, regardless

BENEFITS RESOURCES NARFE OFFERS MEMBERS a wide range of information on federal benefits. Visit www.narfe.org/federal-benefits-institute.

of whether it’s the home state’s plan or another state’s plan.

Not all plans are created equal, and tax benefits shouldn’t be the only consideration. Fees, expenses, and investment options are a few of the other important factors that should be considered. You may find that these other factors outweigh your state’s tax benefits.

529 Plans are not without drawbacks. For starters, they offer a limited menu of investment options compared to other investment accounts.

Perhaps the biggest drawback is that if funds are not used for qualified education expenses, earnings are subject to income tax and a 10% penalty (contributions are always returned tax and penalty-free).

Another recent option, which took effect in 2024, that can help to avoid tax and penalties

on the earnings is the option to roll over unused funds to a Roth IRA for the 529 Plan beneficiary.

There are many rules governing this option, but it does allow the potential to transfer, tax-free, up to $35,000 per beneficiary to a Roth IRA. A 529 plan is an excellent option for parents, grandparents, or other relatives who want to save for education tax-efficiently.

MARK A. KEEN, CFP®, PARTNER, KEEN & POCOCK. SECURITIES OFFERED THROUGH THE STRATEGIC FINANCIAL ALLIANCE, INC. (SFA), MEMBER FINRA/ SIPC. ADVISORY SERVICES OFFERED THROUGH STRATEGIC BLUEPRINT, LLC AND THE STRATEGIC FINANCIAL ALLIANCE, INC. MARK KEEN IS A REGISTERED PRINCIPAL OF SFA AND AN INVESTMENT ADVISOR REPRESENTATIVE OF SFA AND STRATEGIC BLUEPRINT, LLC. SFA AND STRATEGIC BLUEPRINT ARE AFFILIATED THROUGH COMMON OWNERSHIP BUT OTHERWISE UNAFFILIATED WITH KEEN & POCOCK. NEITHER STRATEGIC BLUEPRINT NOR SFA PROVIDE TAX OR LEGAL ADVICE.

NARFE MAGAZINE www.NARFE.org

41

NARFE News

Fall Recruitment Drive

I

MARIANNE P. POLO SHOWS OFF HER NEW NARFE JACKET AND TUMBLER PRIZES WON FROM 2023 RECRUITING.

t is time for our Fall Recruitment Drive (FRD) update! The FRD started on September 1, 2024, and concluded on December 31, 2024. Below are our recruiting superstars who achieved

the three or more new member target: 14 NEW MEMBERS

5 NEW MEMBERS

• Marianne P. Polo

• Lisa Eittreim • Don L Schluter

10 NEW MEMBERS • Deborah Fredericksen • Yoggi Riley

8 NEW MEMBERS • Arnie Endick • Chieko Higuchi • Joanne Smith

7 NEW MEMBERS • Linda Silverio

4 NEW MEMBERS

• Laurenao De Jesus • Ronald G Richey • Dana Howe

3 NEW MEMBERS

• Willaim A. Douglas • Mary Geneva Leon • Lawrence E. Palecek • Linda A Suchocki • Richard Zuck

In 2024, the Fall Recruitment Drive resulted in 317 new members!

The NARFE Membership Engagement Department is currently revamping the recruiting rewards program.

This year, we will offer gifts to NARFE recruiters who recruited four or more new members by outfitting them with NARFE swag as a small token of our appreciation for your efforts and support.

Thus, if you recruited four or more members, keep an eye out for your gift coming soon in the mail!

—BY KYEBA JACKMAN, MEMBERSHIP MARKETING SPECIALIST

NARFE Member Services Researcher Retires After 30 Years

W

ith mixed emotions, the NARFE Headquarters staff said farewell to Myra Moore, member services researcher, who retired on February 21, 2025, after nearly 33 years of service to the organization.

Throughout her time at NARFE, Myra has been a cornerstone of the member services team, embodying the values of dedication, professionalism and care for our members. Her contributions helped shape the department into what it

42

NARFE MAGAZINE MAY 2025

is today, and she was always fully committed to ensuring the best service for NARFE members, touching the lives of countless individuals.

Member Engagement Director Nora MacDonald and Chapter Relations Director Sandra Lawing echoed bittersweet sentiments on Myra’s retirement, thanking her for the high level of service she gave NARFE members and saying she will be missed dearly. Thank you, Myra, and best wishes for a wonderful retirement!

CONFERENCES AND MEETINGS Information as of March 3, 2025.

REGION X: conference October 20-23, Staybridge Suites, Pigeon Forge, TN. Please contact Region X Vice President Robert Allen, rvp10@narfe.org, for more information.

ALASKA: virtual federation annual meeting Sept. 27. Please contact Federation Secretary David Epstein, dave1013@gmail.com, for more information.

COLORADO: federation conference June 20, Winsor Gardens, Denver, CO. Visit http://www. narfe-colorado.com or contact Federation President Frank Impinna, impinna@gmail.com CALIFORNIA: conference June 23-25, Silver Legacy, Reno NV. Please contact Federation President Ronald Griffin, rsdgriffin@sbcglobal. net, for more information.

FLORIDA: federation election August 19-31.

Please Federation President Evelyn J. Seabrook, brooklyn_seav48@hotmail.com, for more information.

GEORGIA: biennial conference June 9, Hilton Garden Inn, Columbus, GA. Please contact Conference Chair C. Jacquie Beatty-Sammons, 404-290-0815 or jacquie3613@comcast.net, for more information.

HAWAII: 38th biennial state conference May 14. Japanese Cultural Center of Hawaii, 2454 South Beretania Street, Honolulu, HI. Please visit http://tinyurl.com/narfehi or contact Federation President Joyce Matsuo, jmatsuo368@gmail. com, for more information.

ILLINOIS: annual federation conference and election Sept. 16-17, Thelma Keller Convention Center, Holiday Inn, Effingham, IL 62401. Please contact Corresponding Secretary Linda Glasgow, glasgowljg43@aol.com, or visit www.narfe.org/il/ for more information.

INDIANA: annual federation conference, September 24-25, 2025, Hilton Garder Inn 5255 Noggle Way Indianapolis, IN 46237. Please contact Federation President John Triplett, email johntriplettnarfe@gmail.com.

IOWA: conference and election September 16-17, Meskawki Casino & Conference Center, Tama, Iowa. Please contact Federation

President Droman Otte at 515-971-0290 or email dormanotte@gmail.com.

MARYLAND: biennial conference May 5-7, Aloft Hotel, 4501 Coastal Highway, Ocean City, MD. Please contact conference chair Larry Walton, lrwalto@yahoo.com, for more information. Voting for federation officers April 7-29. Please contact P.A. Jeffries, pjeffries2010@comcast.net, for more information.

MASSACHUSETTS: virtual federation conference, May 8; virtual annual meeting, June 19. Please contact Federation Secretary and Elections Committee Chairperson W. G. Holt, Jr., wgholtjr@verizon.net, or visit www.narfe.org/ma for more information.

MICHIGAN: conference, election and board meeting May 20-22, Doherty Hotel, Clare, MI. Please contact Federation Secretary Sallye McGill, mcgill-s@sbcglobal.net or 248 561-4385, or visit www.narfe.org/mi/ for more information.

MINNESOTA: conference May 20-21, Holiday Inn Alexandria, 5637 MN-29 S., Alexandria, MN 56308. Election of officers online/by mail March 1 to May 10. Please contact Federation President Jim Ryan, ryangv@msn.com, or visit www.narfe. org/mn/ for more information.

NEW HAMPSHIRE: 54th Annual Conference annual conference, October 29, 2025, Governor’s Inn, 78 Wakefield St, Rochester NH 03867. Please contact Joseph J. Kowalik III, 603-485-2082 or email jjkowalik3@gmail.com.

NEW YORK: annual conference May 7, Century House, 997 Loudon Rd, Latham, NY. Please visit www.narfe.org/ny or contact Federation Secretary Linda Suchocki, narfenyfederation@ gmail.com, for more information.

OHIO: conference and election May 2-3, Der Dutchman, 720 St Rt 97 W., Bellville, Oh 44813.

Please contact Federation President Tim Gartner, narfetim48@gmail.com, or visit www.narfe.net/site/OH for more information.

OKLAHOMA: conference May 2-3, St, Luke’s Methodist Church, 900 N Sooner Rd, Edmond, OK. Please visit www.narfe.org/ok or contact Federation President Pamela Burnett, lwb1940@ fidnet.com, for more information.

OREGON: conference/annual meeting & election, May 18-20, Agate Beach Inn Newport, OR. Voting via mail, email or in-person at

Continued on next page

NARFE MAGAZINE www.NARFE.org

43

NARFE News

It’s Time to File Those Pesky 990 Forms—Again

T

he National Active and Retired Federal Employees Association (NARFE) is qualified as an exempt organization under Internal Revenue Code Section 501(c)(5). NARFE has a group exemption letter from the Internal Revenue Service dated June 17, 2005, signed by Janna K. Skufca, director, TE/GE Customer Account Services, IRS TE/GE division, Exempt Organizations. Under the exemption, chapters and federations must file the IRS 990-N Electronic Notice for TaxExempt Organizations Not Required to File Form 990 or Form 990-EZ. Form 990-N is submitted electronically, there are no paper forms.

To file, the preparer is required to have a Login. gov or ID.me account. Instructions to create the Login.gov account are available here: Create your account | Login.gov at https://secure.login.gov.

SUBMITTING THE 990-N REQUIRES THE FOLLOWING:

• Employer identification number (EIN), also known as a Taxpayer Identification Number (TIN) https://www.irs.gov/charities-non-profits/ employer-identification-number

Continued from previous page

conference; ballots will be available no later than April 1 for download in the Oregon Federation FEDHub community. Please contact Federation Secretary Colleen Hewes, hewcol@gmail.com, for more information.

PENNSYLVANIA: federation general membership meeting May 12-13, Harrisburg, PA. Please contact William Krouse, 717-774-4031 or email BKrouse. narfe@gmail.com.

REGION III REGIONAL TRAINING CONFERENCE: conference October 10-12, Saint Simons Island, GA. Please contact Region Vice President Lynn Harper, 478-951-3260 or email lynnlarry79@outlook.com

44

NARFE MAGAZINE MAY 2025

• Tax year (calendar or fiscal filer) https:// www.irs.gov/charities-non-profits/exemptorganizations-annual-reporting-requirementsfiling-procedures-tax-year • Legal name and mailing address • Any other names the organization uses • Name and address of a principal officer • Website address if the organization has one • Confirmation that the organization’s annual gross receipts are $50,000 or less • If applicable, a statement that the organization has terminated or is terminating (going out of business) Form 990-N is due every year by the 15th day of the 5th month after the close of your tax year.

You cannot file the e-postcard until after your tax year ends.

Example: If your tax year ends on December 31, the e-Postcard is due May 15 of the following year.

If the due date is on a Saturday, Sunday or a legal holiday, the due date is the next business day.

—BY CINDY RENEÉ BLYTHE, NATIONAL SECRETARY/TREASURER

SOUTHWEST (formerly ARIZONA and NEW MEXICO): conference May 16-17, The Las Cruces Village, Las Cruces, NM. Please contact Federation President Mark Mickelsen, mmickelsen@aol.com, for more information.

WASHINGTON STATE ANNUAL MEETING October 28, 2025, Virtual. More information to come.

WEST VIRGINIA: Annual meeting, May 21, Bridgeport, WV. Please contact Barbara J. Kuenneck, 571-215-9030 or email bkuennecke@ yahoo.com For the complete list, visit https://www.narfe. org/2025-chapter-conferences-and-meetings/.

NARFE MEMBER BENEFITS

Active and Retired Federal Employees– Join NARFE (or Renew) Today!

The only organization dedicated solely to protecting and preserving the benefits of all federal workers and retirees, NARFE informs you of any developments and proposals that affect your compensation, retirement and health benefits, AND provides clear answers to your questions.

Who Should Join NARFE? If your future security is tied to federal retirement benefits—federal retirees, current employees, spouses and individual survivors—you should join NARFE. Membership expiring? Renew now!

• Understand benefit changes and key aspects to stay on top of with NARFE’s monthly webinars, held on a variety of topics such as TSP’s, health insurance options and long term care insurance updates • Direct access to Federal Benefits Institute experts who can answer your most pressing questions and help you get answers you need from OPM • Topical and robust articles on new legislation, and topics like car buying tips and finding your path in retirement, and the ever popular Q&A section addressing your most burning benefit questions in NARFE Magazine • Support from your peers with access to FEDHub, the only national online community for the federal community, and local chapters, where you can meet feds in a neighborhood near you • Weekly news roundup email called Newsline, with helpful tips and updates from NARFE on the work we are doing to support you • Discounts on popular national brands with NARFE Perks • Powerful advocacy and alerts to take action on important legislation pending in Congress and our advocacy team that protects your benefits every day!

NARFE MEMBERSHIP APPLICATION

1Q6

PAYMENT OPTIONS

o Yes. I want to join NARFE for o Renew my membership the low annual dues of $48

o Check or Money Order (Payable to NARFE) o Charge my: o MasterCard o VISA o Discover o AMEX

o Mr. o Mrs. o Miss o Ms.

________________________________________________ Card No.

_____________________________________________________ Full Name

Expiration Date _______/_______ (MM/YY)

_____________________________________________________

________________________________________________

_____________________________________________________

________________________________________________

_____________________________________________________

________________________________________________

Street Address City

Apt./Unit

State

ZIP

Phone

_____________________________________________________ Email

_____________________________________________________ Retirement date (or expected)

_____________________________________________________ Membership ID if renewing (ID # can be found on cover of magazine)

I am a (check all that apply) o Active Federal Employee o Active Federal Employee Spouse o Annuitant o Annuitant Spouse o Survivor Annuitant

o Please enroll my spouse _____________________________________________________ Spouse’s Full Name

_____________________________________________________

Name on Card Signature Date

TOTAL DUES $48 annual dues x ________=_________ per person

#enrolling

total dues

Dues payments are not deductible as charitable contributions for federal income tax purposes.

LOOKING TO MEET OTHERS in the federal community? Go to www.narfe.org/chapters to find a chapter near you.

Are you a new member who wants to receive a FREE one-year chapter membership? Choose one: o Chapter closest to home OR o Chapter #____________ Renewing members can call 800-456-8410 x1 to inquire about your chapter dues amount or to join a NARFE chapter today.

Spouse’s Email

THANK YOUR RECRUITER Did someone introduce you to NARFE? Please provide their name and member ID. THREE EASY WAYS TO JOIN/RENEW 1. Complete this application and mail with your payment to NARFE Member Services / 606 N Washington St / Alexandria, VA 22314-1914.

2. Join online at www.NARFE.org.

3. Call 800-456-8410, Monday through Friday, 8 a.m. to 5 p.m. ET.

________________________________________________ Recruiter’s Name

________________________________________________ Recruiter’s Membership ID

NARFE respects the privacy of our members. Personal information is used to provide content and relevant communications to our members. Some NARFE member benefits are provided by third parties (NARFE Perks), and not NARFE.

NARFE MAGAZINE www.NARFE.org

45(02/24)

Use your NARFE Perks and your membership will more than pay for itself!

See how much you can save at www.NARFE.org/memberperks

PRODUCTS ADT/Bulldog Security Services | https://bulldogsecurityservice.partnerlinks.io/urns4ejdlhns

Exclusive Offer for NARFE Members: NARFE members can enjoy discounted monthly monitoring rates, $0 installation fees, reduced activation fees, and a $500 equipment voucher for customizing their security and smart home systems with ADT monitoring. Enhance your home security with these exclusive benefits tailored just for you. Select the link for more details and fill out the contact page to speak to a security expert and place your order.

NEW

!

BMG Money | https://www.narfe.org/narfe-perks-for-members/bmg-money/

BMG Money is the better loan solution for federal government employees and retirees who are working on improving their credit scores. Apply in minutes regardless of credit score with instant funding available. All credit scores are encouraged to apply with higher acceptance rates.

GE Appliances Store | Use the link below to start shopping!

Save with NARFE members-only access to the GE Appliances Store! You will enjoy up to 25% off MSRP every day on the latest in high-quality appliances. *Orders can not be shipped to P.O. boxes, APOS, Canada, Puerto Rico, HI, AK or U.S. Territories. https://www.myapstore.com/GEStore/Appliances/Registration?AuthCode=MONARFE21

HP – The Association Member Store | 1-888-678-9620 | www.narfe.org/hp-perk-2024E

N

EW! NARFE members enjoy exclusive discounts via a private store environment. Save up to an additional 10% on Desktops, Laptops, Printers, and Accessories; and save an additional 5% on Care Packs and Services. Access to exclusive member-only promotions. Simply log on and purchase your options with a dedicated US Sales Support team to assist you. HP has Business Account Managers based in Boise, ID, and Rio Rancho, New Mexico. Call 1-888-6789620, Monday - Friday 7:00am -7:30pm CST.

ODP Business Solutions | 1-800-650-1222 | www.officediscounts.org/narfe

Because you’re a member of NARFE, you now have access to exclusive members only discounts at ODP Business Solutions (previously Office Depot/Office Max). Members save up to 75% off on ODP Business Solutions Best Value list of preferred products and can take advantage of products discounted off the officedepot.com regular prices.

Restrictions may apply so visit officediscounts.org/narfe for details. Product and service discounts may no longer be available for in-store purchases.

(Previously Office Depot/Office Max)

Purchasing Power | https://www.purchasingpower.com/?domain=narfe

While not a discount program, Purchasing Power is an exclusive purchase program helps members buy brand-name computers, electronics, appliances and furniture via annuity allotment when cash is not an option. No credit check or down payments.

Signature FCU Visa Platinum Card | www.SignatureFCU.org/NARFE

Signature FCU is a full-service, nationwide federal credit union operating since 1970. Membership starts with just a $5 deposit into a standard savings account—no membership fees and no minimum balance requirements to enjoy all the products and services we have to offer, including the NARFE Visa® Platinum Credit Card. This special card gives back to your organization and gives you one point for every $1 you spend to redeem for cash, travel, and merchandise.

WELLNESS Active&Fit Direct | https://www.narfe.org/narfe-perks-for-members/activefit-direct/

Stay active from anywhere for $28/mo. Active&Fit Direct includes 12,200+ Gyms, 9,300+ On-Demand Videos and 1:1 Well-Being Coaching. A fitness program with no annual fees and no long-term contracts. Switch gyms anytime. Membership options for your spouse. No Enrollment Fee With Promo Code: STAYSTRONG

Brookdale Senior Living Communities | 877-713-2762 | www.brookdale.com/narfe

As the largest operator of senior living communities in the US, Brookdale has over 1,000 locations all across the country. Members are eligible for 7.5% discount at Brookdale Independent Living, Assisted Living and Memory Care communities and 10% discounts on Brookdale Private Duty Home Care. Discounts are for new move-ins/ customers only.

R

Life Line Screening | 800-324-9906 | www.lifelinescreening.com/NARFE

Life Line Screening, America’s leading provider of community-based preventive health screenings, will conduct health screenings using state-of-the-art ultrasound technology in your neighborhood. Operator code BKHN075.

MOVING SERVICES 1-800-GOT-JUNK? | 800-468-5865 | www.narfe.org/1-800-got-junk

NARFE Members Save 10% with 1-800-GOT-JUNK? Do you have old furniture, appliances, electronics, construction debris, yard waste or other junk you need to make disappear? 1-800-GOT-JUNK? can take away almost any material we can fit in our trucks, without you ever lifting a finger—all you have to do is point! Use code NARFE10 when you book. To get started, give us a call or book online.

Wheaton World Wide Moving | 800-248-7960 | narfe@wvlcorp.com

At Wheaton, we know interstate relocation is much more than trucks and boxes. With a network of top-quality agents throughout the United States, Wheaton provides peace of mind with every relocation.

TRAVEL, TRANSPORT & ENTERTAINMENT

Choice Hotels International | 800-258-2847 | www.choicehotels.com

With 6,400 hotels throughout the world, Choice Hotels offers something for everyone. As a member, receive 20% off your next stay at participating hotels when you use Special Rate ID 00801967.

Collette Travel | 844-311-6563 | www.narfe.org/gocollette

With over 160 tours to all 7 continents and travel styles varying from small group to river cruising, Collette offers something for everyone. As a NARFE member, you receive an additional $50-$100 off all tours including sales and offers! Just use your member benefit code NARFESAVE or let our reservation agent know you are a NARFE Member when booking.

Enterprise Rent-A-Car® | Book Now! | https://partners.rentalcar.com/narfe

When you’re ready to go, Enterprise Rent-A-Car makes it easy. We offer everyday low rates on a great selection of cars, trucks and vans and customers are picked up at no extra cost*. See website for exclusions.

Heroes Vacation Club | www.HeroesVacationClub.com

Heroes Vacation Club is your NARFE member-exclusive travel club with discounts on hotels, resorts, cruises, car rentals, airfare, and more.

NEW

!

Hotel Engine | www.hotelengine.com/join/24530f9

Hotel Engine, a private booking platform, connects organizations and their members to deeply discounted hotel rates.

Member Deals | https://memberdeals.com/narfe/?login=1

MemberDeals is your one stop for great discounts on nationwide travel and entertainment! Find exclusive discounts, special offers, preferred seating, and tickets to top attractions, theme parks, shows, sporting events, hotels, and much more. Visit MemberDeals and find savings such as up to 40% on top theme parks nationwide and preferred access tickets to your favorite concerts, sports & more!

National Car Rental® | 800-CAR-RENT | https://partners.rentalcar.com/narfe/

NARFE members receive great rates with National Car Rental! At National, we pride ourselves on always providing you with unsurpassed convenience and choices. To make a reservation, call National Car Rental and reference Contract 5282909.

INSURANCE NARFE Insurance Services | 800-233-5764 | www.narfeinsurance.com

Designed exclusively for NARFE members, (plans administered by AMBA Administrators, Inc.) Senior Age Whole Life Insurance, Senior Term Life Insurance, Hospital Indemnity and Short Term Recovery Insurance, Dental Insurance, Vision Insurance, AssistPlus, Discount Prescription Plan and Pet Insurance.

Member Options | 833-378-8224 | https://www.member-options.com/narfe

Member Options Auto and Home Insurance Program - Save Money with Multiple Quotes! Get quotes from top-rated insurance carriers on Auto, Home, Renters, Pet insurance and more in a matter of minutes. Answer a few simple questions online or over the phone with our licensed insurance experts to compare multiple options that meet your specific needs. To review and choose what’s best for you, go to the link above or call 833-378-8224.

ADDITIONAL PERKS

The Way We Worked

Ensuring Federal Motor Carrier Safety Capitol Police Officers participated in the Federal Motor Carrier Safety Administration’s (FMCSA) Strike Force demonstration in Washington, D.C. This passenger carrier safety inspection removed 289 unsafe buses and drivers from the roadways. The demonstration took place from March 28 to April 6, 2010, and involved more than 2,700 surprise inspections conducted by the FMCSA and its state and local law enforcement partners.

Established in 2000 as part of the U.S. Department of Transportation, FMCSA’s mission is to prevent commercial motor vehicle-related fatalities and injuries.

PHOTO from the Records of the National Archives, courtesy of the National Archives History Office, in collaboration with the Society for History in the Federal Government (SHFG), bringing together government professionals, academics, consultants, students and citizens interested in understanding federal history work and the historical development of the federal government. To join, visit www.shfg.org.

48

NARFE MAGAZINE MAY 2025

DID YOU KNOW? Motor carriers account for 64% of the total freight weight moved in the U.S. Throughout the years, that percentage has steadily increased and is expected to continue. In 1986, Congress enacted the Commercial Motor Vehicle Safety Act (CMVSA) to improve commercial motor vehicle safety. It was intended to improve highway safety by removing unsafe CMVs and unqualified and unsafe drivers from the roads. The CMVSA standardized the minimum requirements for obtaining and retaining a commercial driver’s license (CDL) and prohibited drivers from holding more than one CDL. In 1999, Congress passed the Motor Carrier Safety Improvement Act, which quickly led to the creation of the FMCSA. Visit https://www.fmcsa.dot.gov/ registration/commercial-driverslicense/motor-carriers

NARFE Recruiter Rewards Help NARFE Grow!

Did you know that NARFE rewards our members for recruiting new members?

Think of it as a special thank you from Headquarters for increasing our numbers and voices. $8 for every active fed!

Enrollment Submission Requirements: • Recruiter’s Membership ID must be included on each application.

HOW DOES THIS AWESOME INCENTIVE WORK? January-August • Recruiter receives $8 for any new (never joined) active federal employee enrollment only September-December —Fall Membership Recruitment Drive • Recruiter receives $10 for new enrollment (any member type—active or retired federal employee)

New members can join by: • Mailing in the application from the F-135 brochure • Going online to narfe.org/join • Calling us at 800-456-8410 Ext 1, Monday through Friday, 8 a.m. to 5 p.m. EST. • Mailing in the application that appears in every issue of NARFE Magazine

Find this and other great deals on fepblue.org/blue365

Made available through:

Get more with TruHearing®.

When you use your allowance through TruHearing, it goes further with discounts on top hearing aids.

Blue Cross and Blue Shield Service Benefit Plan members also get TruHearing's unmatched service on everything from obtaining prior authorization to a dedicated Hearing Consultant.

August is wearing a custom TruHearing Premium hearing aid.

Example savings (per pair) on a few of the many brands, styles, and models available.

TruHearing Advanced

Widex® SmartRIC™ 220

Signia® 5IX

Average retail price: $5,440 TruHearing price: $2,500 Allowance: Up to $2,5001 You pay2: $0

Average retail price: $4,524 TruHearing price: $2,700 Allowance: Up to $2,5001 You pay2: $200

Average retail price: $5,800 TruHearing price: $3,390 Allowance: Up to $2,5001 You pay2: $890

Rechargeable | Listed products are smartphone compatible.3 TruHearing purchases include • 60-day, risk-free trial period • 1 year of follow-up visits • 80 free batteries per non-rechargeable hearing aid • 3-year manufacturer warranty

Call TruHearing to get started.

1-855-739-7048 | TTY: 711 Learn more at TruHearing.com/Blue365 or scan the code with your smartphone camera.

The Service Benefit Plan may pay a hearing aid benefit for Basic and Standard Option of up to $2,500 total, with prior approval, every 5 calendar years for adults age 22 and up to $2,500 total per calendar year for members up to age 22.

1

Price shown does not include cost of comprehensive hearing exam. Examination and testing for prescribing of hearing aids is covered under the Service Benefit Plan. The member should confirm that the provider rendering the hearing exam is a Preferred provider. If the provider is Non-preferred, the member may be charged a maximum fee of $75 for the exam, and the member may need to submit a claim for reimbursement.

2

3 Smartphone-compatible hearing aids connect directly to iPhone®, iPad®, and iPod® Touch devices. Some TruHearing models connect to Android® phones directly. Connectivity also available to many Android phones with use of an accessory.

Do not rely on this communication piece alone for complete benefit information. All benefits are subject to the definitions, limitations, and exclusions in the Blue Cross and Blue Shield Service Benefit Plan brochure. Blue365 offers access to savings on health and wellness products and services that members may purchase from independent vendors, which are not covered benefits under the Blue Cross and Blue Shield Federal Employee Program, Blue Cross Blue Shield FEP Dental® and/or Blue Cross Blue Shield FEP Vision®. These products and services will be offered to you through the entire benefit year.

During the year, the independent vendors may offer additional discounts on these products and services. To find out what is covered under your policy, contact the customer service number on your member ID card. Any disputes regarding your health insurance products and services may be subject to your plan’s grievance process. BCBSA may receive payments from vendors providing products and services on or accessible through the Site. Neither BCBSA nor any Blue Company recommends, endorses, warrants, or guarantees any specific vendor, product or service available under or through the Blue365 Program or Site. TruHearing is offered through Blue365 which provides exclusive health and wellness deals and is a program of Blue Cross Blue Shield Association, an association of independent Blue Cross and Blue Shield companies.

All content ©2024 TruHearing, Inc. All Rights Reserved. TruHearing® is a registered trademark of TruHearing, Inc. All other trademarks, product names, and company names are the property of their respective owners. Savings and retail pricing based on a survey of national average retail hearing aid prices compared to average TruHearing pricing. Listed hearing aid prices are subject to change. Confirm hearing aid pricing at your appointment with your provider.

Retail pricing of TruHearing-branded aids based on prices for comparable aids. Follow-up provider visits included for one year following hearing aid purchase. Free battery offer is not applicable to the purchase of rechargeable hearing aid models. Three-year warranty includes repairs and one-time loss and damage replacement. Hearing aid repairs and replacements are subject to provider and manufacturer fees. For questions regarding fees, contact a TruHearing Hearing Consultant. 504400_2024_BCBS_FEP

TruHearing is an independent company that provides discounts on hearing aids.