Your Commissary and Exchange Benefits are in Jeopardy

Recent activities by Congress threaten to eliminate the saving you get when you shop at the Commissary. If passed, these actions could also significantly reduce the money set aside to pay for MWR (Morale, Welfare, and Recreations) activities for military families.

How could this happen? In an environment focused on reducing the deficit, law makers must cut expenses from the budget before agreeing to pay for new programs. Why does this affect the commissary? Unlike other grocery stores, the commissary does not make a profit. By law, commissaries can only charge consumers 5% more than the item costs to stock the shelves. This unique pricing allows military families to save more than 30% on their grocery bill. This works because the costs to operate the commissary is paid by a subsidy in the federal budget.

  • Earlier this year, the Senate Veterans’ Affairs Committee voted to eliminate the federal subsidy for military commissaries and recommended the Department of Defense (DoD)consolidate the operations of the commissaries and exchanges in order to pay for the Caring for Camp Lejeune Veterans Act of 2011 (S.277). We strongly believe these families’ health care needs must be met, but we are adamantly opposed to doing so at the expense of other military families. There is still time to act. This bill still needs to be voted on by the entire Senate and then approved by the House, but it poses a very real threat. 
  • Senator Tom Coburn’s (R-OK) “Back to Black” report also calls for consolidating military commissaries and exchangesinto a single, nonsubsidized retail system over five years.
  • There is growing concern that the $1.3 billion subsidy to operate the commissary will be targeted by the Joint Committee on Deficit Reduction or “super committee” tasked to find at least $1.2 trillion in savings over the next decade.

If this bill is passed, prices in the commissary and exchanges will go up in order to make up for the loss of federal funds. You’ve told us how important your commissaries and exchanges are, especially those of you who live overseas or in remote locations, and we’ve shared your thoughts with Congress. You can also tell Congress what you think. Share your story at www.saveourbenefit.com.

If the additional step to consolidate the behind the scenes operations of the commissaries and exchanges takes place, the $300 million earned to pay for MWR programs that support critical quality of life programs could go away. In 2006, after spending $17 million to study the issue, the Department of Defense determined that consolidation was not the answer to budget concerns. It wasn’t the answer then and it is not the answer now.

For more information on the Commissary benefit, we suggest you read Tom Philpott’s article, Commissary boss: Critics overlook the efficiencies. We have also provided a list of important facts on the commissary and exchange.   

Important Facts:

  • Military families currently save an average of 31% by shopping in the Commissary.
  • Military families save an average of over 20% by shopping in the Exchanges.
  • The commissaries and exchanges pay $800 million to more than 50,000 military family members employed by them.
  • Exchanges generate $300 million in dividends which are used to support Morale, Welfare and Recreation (MWR) programs for service members and military families.
  • For the $1.5 billion spent annually, commissaries and exchanges generate $5.6 billion in savings.

We urge you to let Congress know how much you value your Commissary and Exchange Benefit! Please leave your comment below.

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Comments

Thanks for submitting your feedback. If your comment is personal in nature, please email info@MilitaryFamily.org.

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Comment: As a military wife and a volunteer at the local food bank I help a lot of young military families get food boxes because the don't have enough food to make it to pay day and they make too much to qualify for foodstamps. The savings we get by shopping at the commissary helps the military family so much. I hope thoses of you making decisions in congress will take off your rose colored glasses and look into the lives of these young military families who have enough to worry about; they or should I say we shouldn't have to worry about taking food off a table that is already hard to set.
Submitted by: Trisha on April 26, 2012
Comment: Let's see...AAFES takes over, prices go up, patrons shop elsewhere...cheaper, say Amazon or Walmart, costs overtake revenue, and ...what happens then?
Submitted by: Tman on March 14, 2012
Comment: TAKE OUR BENEFITS,RAISE OUR PAY" Benefits are not something that is a favor or just doing something nice for the workers it "benefits". It is in LURE of payment. Military wages are very low because of the benefits we are supposed to receive. Benefits are factored into the salary charts and the recruiting and retention programs used to entice members of the military. So actually if you are not using the "Benefits" you are not receiving your entitled payment for your service. (your choice) However if the benefits are reduced or removed it is like reducing actual payment. If congress cancels benefits the money should then go to the salary's of those who received the benefits because now the wages need to be raised to equal the loss of the benefit to assure the same quality of life...for the same service. BUT the problem with this is that the cost of the benefit favors the employer, usually not costing as much as the benefit offers the individual. (That is why the employer gives benefits in the first place) In the long run the government is saving money by using benefits in lure of payments. The first place civilians look to save money is reducing benefits to military personnel because they think we don't deserve it and we are "Volunteers" and can give more as Obama has stated. What if we stop federal funding of the housing projects that have crushed many of our cities? Many of the people that occupy those areas don't work at all and don't contribute a dime to society. Stop their payments and "benefits"(why do you have a benefit for nothing???) I agree with some of the others...just because we are in the military doesn't mean we don't have a voice. We are loud enough to the rest of the world not to mess with the US! Make our Voices (votes, letters,emails, letters,) known directly to the Government. We need to stand up for ourselves as we stand up for the United States!
Submitted by: "TAOB ROP" on March 2, 2012
Comment: I see all of the comments below and yet I wonder how many of these people took the time to send an email, write a letter to their elected official, or picked up their telephone and made a phone call...I hope every single one of them did. Also, please consider writing a letter to the editor of your local newspaper. Peace.
Submitted by: Lori in FL on February 25, 2012
Comment: Our Commissaries are a great value to us. Without them our quality of life would be greatly reduced. The stores are much neater and cleaner than the civilial stores. This issue will greatly imfluence our votes in the upcoming elections.
Submitted by: Jerry on January 29, 2012
Comment: When are you Senators going to realize that an enormous amount of militay are already on food stamps to make ends meet,NOW THIS!! COME-ON-MAN,Give them your pay raise that you don't deserve.
Submitted by: Jim on January 6, 2012
Comment: I am not going to say please or be kind to the military. Instead I will conduct a well thought out operation to spend as little as possible anywhere off post. When your constituents feel real economic pain that will result from passing this bill. You will certainly hear about it and see it in drops in campaign funding. In short 1. I will not patronize franchise eateries on post. 2. I will not spend any discretionary money locally. 3. If I need something amazon is a mouseclock away. Time to do what we do so well, organize , improvise and deliver pain unto our foes. Money speaks louder than words , so fight back with a closed wallet.
Submitted by: M on December 17, 2011
Comment: I drive almost an hour every week just to shop my nearest Commissary. My husband is a career (17 year) Marine, soon to be a Lt Colonel. If my benefits are reduced I will certainly push him to get out of the service at his 20 year mark & retire. We sacrifice enough as it is following our husband's careers around. If anything, benefits should be increasing in this area...prices are not nearly as good as I've seen in previous years.
Submitted by: Andrea on December 9, 2011
Comment: after 46 years serving his country, that is the least the country an do for the soldiers. Shame on these men that make these decisions. How many served themselves? Do the job then tell us how "easy" it is!!
Submitted by: sitalevy on December 8, 2011
Comment: I am a retired military that served in Korea and nam. I am also now a disabled vet.I Thought the commissary and Exch privilege would always be there for me and families in the Service. We have all seen the comparisons made between the military and civilian pay scales and the Comm and Exch is one of the things that help make up some of the difference. IMO If it is changed or eliminated it would be a great disservice to all of the military that put it all on the line for our country! I know this benefit has been threatened before, And hopefully our supporters will come forward again!
Submitted by: Don on December 6, 2011
Comment: We're retired Air Force. The combination of inflation and fixed income makes our commissary a much appreciated benefit, and one that we use all the time.
Submitted by: comshopper on December 2, 2011
Comment: Please keep the benefits of the Commissaries and our Navy Exchanges. The military forces depend greatly on the benefits of both. The commissary is the only place that my family utilize, because the prices elsewhere are too expensive. Please reconsider and listen to our voices.
Submitted by: Pamela on December 1, 2011
Comment: I am a wife of a retried Navy. If congress the current saving we are getting at the Exchang and Commissary it will make it very hard for us to pay our monthy bills.I urge Congress not to pass this bill that will change our benafits.
Submitted by: Rumel on December 1, 2011
Comment: I would like to apologize (about my earlier comments) to those who have served in harms way, in particular to Senator John McCain. Still, it is appalling to even consider taking away these privileges. Thank You.
Submitted by: MacAllen on November 29, 2011
Comment: This is an outrage! First of all, why is that Congress NEVER gets any cut backs in order to balance the budget? Leave the military alone! My husband did not serve in the submarine community for 31 years just to be treated this way! And don't even get me started on those we are currently sending into harms way. (My son has served in Iraq and will go to Afghanistan early next year.) You should be ashamed! You wallow in all your benefits and pay for life and you want to cut the commissary and exchange benefits for our military, and their families, who sacrifice so much. Maybe I will consider letting you have your way if you would put into law an exchange program for our military - sort of like they had in the Civil War, but the reverse. You let my son stay home and instead send one of your congressmen or senators in his place and then you can take away their commissary and exchange.......Yea, right. I didn't think you would want to go there, live in those conditions, suffer in the heat, put your life on the line, and watch your buddies die. Yea, I'm angry. Start with your own benefits Mr. Congressman.
Submitted by: MacAllen on November 29, 2011
Comment: Please keep our commisary!
Submitted by: Juanita Carlton on November 28, 2011
Comment: I would urge congress to not forget how much we already sacrifice. Their pay is not the greatest and some of us have children who require special needs like my son and I can not work since daycare is so expensive for such a child. We are barely surviving to say the least and for congress to slap us in the face with cuts that directly affect our children is just not acceptable at all. I save so much money and heavily rely on being able to shop at the commissary especially since it is only a mile away it crucial to militiary families survival and I can tell you we love the commissary and the great discounts that we get to benefit from.
Submitted by: Heyli on November 28, 2011
Comment: We find it extremely helpful to be able to save on items such as meat, bread and other necessities for our family of 5. Please support our commissaries and exchanges.
Submitted by: Carbru on November 28, 2011
Comment: My husband served the National Guard for 27 years, through many deployments over seas and stateside. Because he is 46 and retired we fall in that "gray area". We had to come off the health insurance until actual retirement age (or pay FULL price which no one can afford), he can't draw his retirement until then as well. The only benefit we have for 27 years of service is the Commissary and Exhange benefits. He has served this country since he was in High School. He is self employed and this last deployment has really hurt his business of 20+ years. Soldiers make so many sacrifices for their service...and yet you keep taking away the small benefits they do receive. CUT SOMEWHERE ELSE!! DON'T TAKE AWAY THE ONLY BENEFIT WE HAVE.
Submitted by: Spouse of Retired Service Member on November 28, 2011
Comment: As a military wife I rely heavily on the Commissary and the Exchange please do not cut off these benefits - I am a registered Republican and my husband has proudly served in the Navy for over 14 years and counting.
Submitted by: Corie Sullivan on November 27, 2011
Comment: It would drasticly effect our family if the BX & Commissary were to increase their prices. Military life is difficult and you must provide families benefits to keep them fighting the good fight. If families are worried about bills sevicemen and women will find it difficult to be focused at work not to mention the lowering of morale.
Submitted by: Hope on November 26, 2011
Comment: I don't understand why you would eliminate a benefit that actually employs people and makes good sense commercially?? There are thousands of other programs to look into that are not self sustaining. Go find real waste, that is what we elect you people to do. Leave this one alone. Military families deserve this "benefit".
Submitted by: Navywife on November 24, 2011
Comment: i am not in the military, but my boyfriend is, i believe that this is such a horrible ideah.. i am sadden on how america shows our military men and women how much they appreciate our freedom. the ONLY REASON YOU are able to even vote for this, and have the freedom to choose is because of them. the sacrifice many people make to join and serve is not fair.. i have not seen my boyfriend in over 8 months i miss him so much. the sacrifices people make to not see there families. people that cannot come home for the holidays. and yet take away there benifits? less people would want to join the military, or shop at the commissary. put yourselfs in there shoes, and realize what you are doing.i doubt they all want to lose there freedom so we can have ours and not have any benifits. its not fair. it sadens me. take away some money from the rich. where all they buy is expensive cloths, shoes. purses.. and the military families is just survive.. some with out ther spouses for months. and to buy food for there children because there husbands or wifes are not home to support you.. think twice america..
Submitted by: women on November 23, 2011
Comment: please leave our benefits alone. we sacrifice so muc already.
Submitted by: hil on November 22, 2011
Comment: As a reservist I lose a big part of my civilian salary when deployed or on active duty. Shopping at the commissary is a great benefit that helps lessen the burden on my family as they deal with a loss in income while I serve. The commissary is a huge benefit that all military families rely on and should be left alone.
Submitted by: Boomer on November 22, 2011
Comment: Clearly our congressional represenatives have already forgoten the sacrafices of the servicemen\women and more over their dependants. This act is not responsible and does not represent the interest of those that serve to protect this nation. I would hope that a dedicated congressional represenative would have the moral fortitude to stand up to specail interest and represent our Military families.
Submitted by: on November 22, 2011
Comment: I'm a Marine Gunnery Sergeant with 17 years in and 2 kids. I shop at the commissary because it saves me time and money even though it doesn't carry the variety and supply that off-base retailers do. AAFES and DECA are 2 different organizations and AAFES is run poorly. If the commissary is combined with AAFES, everyone will lose, including the taxpayer. The subsidy paid for the commissaries is a tiny cost for the taxpayer to pay for the American defense establishment. I say cut costs at AAFES facilities and MWR programs on bases that are near large metro areas and only provide them at isolated bases.
Submitted by: Malcom, on November 22, 2011
Comment: Being able to buy nutricious food at a reasonable price at the commissary is critical to families. If there wasn't such a price savings then many would opt to eat fast food every day and then our health care costs would rise. The 31% saved at commissaries help. The exchanges are tied to the local community prices and even though the statistics say you save 20% I do not believe it. Even with the no tax benefit it is cheaper to buy things at WalMart or Amazon (with the exception of high end items offered at MEX). If you combine the commissary and exchange there will be mismanagement, overhead will go higher, the food selection and quality will go down and we will have no cost savings. Keep the federal subsidy for commissaries and do not combine them with the exchanges! Furthermore, do not combine AAFES with NEX or the Marine Corps Exchange. The quality of items at AAFES sucks compared with Navy/Marine Exchanges, but all serve their own military communities well.
Submitted by: Hawaii Families on November 22, 2011
Comment: Do not eliminate the federal subsidy for military commissaries.
Submitted by: Dani on November 22, 2011
Comment: It seams to me that this government always wants to take away military benetits and we are the service mambers who put our lives on the line every day for YOU. If you cut all the pork out of the budget then YOU IN CONGRESS can leave our benefits alone and still balance the budget. This of course will not help YOU get reelected because the PORK YOU spread around YOUR DIISTRECT HELPS and we the military can't help YOU that way. STOP BALANCING THE BUDGET ON THE BACKS OF THOSE WHO PROTECT YOU EVERY DAY. Please look some were else and leave our commissary and exchanges alone. They are a great part of our benefits.
Submitted by: hugh06 on November 22, 2011
Comment: Let's stop the insanity of digging in the military, our benefits, and let us remember, there are many people in the world who mean us harm and want us to fail... taking cuts in the military will enable their efforts. Defense is the key to all other program success, and we can't do it right without a volunteer force. Taking benefits will impact our ability to sustain the all volunteer force. The volunteer force is what makes us so different.
Submitted by: Rangermp25 on November 22, 2011
Comment: Lots of military families depend on the savings at the commissary to provide nutritious meals for their families. Many of us do not qualify for assistance such as food stamps, however our military pay is barley enough to make ends meet. This dilemma is compounded when spouses have to leave jobs to relocate with the member. Why make it more difficult for military families? Our country depends on the our members, but how can they focus on their jobs when their families are in debt and starving?
Submitted by: Coast Guard Wife on November 22, 2011
Comment: Taking away this privilege will only hurt the military since those, especially E-6 and below, on Active Duty barely make the equivalent of minimum wage. Sure there is BAH (meant to offset housing), Subsistence (meant to offset meals), and Tri-Care (in jeopardy as well) but, take these away and the Active Duty individual doesn’t even make minimum wage.
Submitted by: Guardsman on November 22, 2011
Comment: Taking away our AAFES and DECA benefits will put military families in deeper financial jeopardy! Military members get paid less than minimum wage and with operation tempos still going strong and the downturn in the economy, spouses can't find jobs that help support the family AND pay for childcare.
Submitted by: Military Families in Jeopardy on November 22, 2011
Comment: The commissary and the exchange provide stable pricing to military families and allow us some certainty in a very uncertain world of spouses deploying and being in very real danger. These benefits are one of the factors that go into deciding to "stay in" or not. If congress keeps threatening (and perhaps really does) to take away retirements. medical, and now our commissary I can honestly say that when my husband's commitment is up we will not be signing back on for another tour.....it's just not worth it. The job is hard enough without having your own Congress essentially spit in your face by sending the message that your service is nothing and you don't deserve the extra benefits. Shame on Congress, and shame on the American people as a whole who still don't get it that our country is at WAR.
Submitted by: NavyFamilyoffive on November 22, 2011
Comment: I just urge you not to take away these privilege that we have earn over the years. It would affect the lives of so many. Look to get more from the rich people in the US.
Submitted by: Jesse Jay on November 22, 2011
Comment: Commissary, PX, and MWR are basic benefits which extend the quality of life for the military. The Commissary and PX extends the purchasing power of military families allow them to cover essential needs. MWR allow military families more than just recreation, it allows them much needed down time to regroup and reenergize. Altering or eliminating these benefits from us will cost the country more in the end where morale will plunge, and unhappy military personnel are distracted personnel who will leave the service; and recruitment will become a much more difficult task. The members of Congress enjoy a variety of exclusive benefits. Our military personnel and their families deserve no less.
Submitted by: Army Wife on November 22, 2011
Comment: Being the father of a career soldier who has dedicated his life to our country I find it hard to believe that the congress of the United States is trying to kill the the military benefits of our protectors. If some of the fat hogs sucking on the teat of the nation would lop off some of the perks and do-nothings in the house and senate and a few of the presidential aides there would be plenty enough to keep these benefits.If congress was to meet every other year and limit them to two terms, knock off the congressional pensions and have them contribute to 401K's like the common fodder, think of the savings.
Submitted by: bluto on November 22, 2011
Comment: We are an enlisted family of 4. Congress know's that we barely make any money as it is. If it wasn't for the commissary I wouldn't be able to stretch my dollar as much as I can. All the local stores,Even walmart is too darned expensive! If you want to cut something how about looking at your own pay first!!
Submitted by: Samantha on November 21, 2011
Comment: Please do not allow these cuts to be made. As military families, we rely on the savings received at the commissaries, especially when living in areas where the cost of groceries is astronomical.
Submitted by: Leah on November 21, 2011
Comment: It's sad to know that I fought for this country because I love being free....the Army says "FREEDOM ISN'T FREE" So I guess this is how those who served get repaid! Such sadness!
Submitted by: Keep Military Benefits on November 21, 2011
Comment: leave the military benefits alone. We give not only our life, but that of being with our family to keep america safe. Our benefits are worth that to all or you, even you who sit in congress and seem to be doing nothing.
Submitted by: airdale143 on November 21, 2011
Comment: As a family of 6, it would be very difficult for us to afford groceries if we didn't have the commissary to rely on. I have tried shopping at other stores but it just costs too much. Please stop trying to take benefits away from military families. We already deal with enough without worrying if we will be able to feed our children.
Submitted by: armywife on November 21, 2011
Comment: The commissary and the exchange are important to us as it is hard for us to afford to buy groceries and other items off post. When we lived in Hawaii, there would have been no way we would have survived if we ddn't have these services. We shop almost exclusively the commissary and if possible, the exchange.
Submitted by: huhnerhaus on November 21, 2011
Comment: PLEASE think twice before u do this to the military families. Service members do not need to worry about whether their spouses or children will have what they need or whether their families are going to bed hungry as they go off to war or maneuvers. These are benefits that most lower ranking military personnel and thier families rely on to make it from pay day to pay day. If our Military is to remain strong we must not put any extra burdens on the family by taking away these precious benefits.
Submitted by: military wife on November 21, 2011
Comment: Please, (in the name of all that is decent and right!) Do not touch the commissary\exchange benefits! Surely this is one area which really helps us military families to have a quality of life above POVERTY levels! I am sure that our members of congress could afford to pay for their own health insurance. Why don't we use the funds used to pay for their health insurance and put THAT $ towards Caring for Camp Lejeune Veterans act?
Submitted by: mzmom on November 21, 2011
Comment: I cannot believe that any military benefits should be touched at all!! What these soldiers do for our country is something you do not find in other countries. These soldiers are not paid enough at all and should be given much more in perks in benefits from the government and their community so STOP touching the military if we want to continue to see strong military support and more young men and women to sign into the military.
Submitted by: ma on November 21, 2011
Comment: Please leave the exchanges and the commissaries alone. Military families, especially the enlisted, the junior officers and those deployed overseas or to remote areas, need these benefits to continue to insure their families' quality of life. Please show that you care about the quality of life for those in the military who are putting their lives on the line for the benefit af all Americans.
Submitted by: Janie on November 21, 2011
Comment: how dare you even consider this? you in the congress and senate vote yourself full medical benefits and substantial raises while the rest of the "working class" is scraping to get by, now you`re considering removing benefits from the very people who risk and give their lives so you can carry on. SHAME ON YOU.
Submitted by: al b on November 21, 2011
Comment: As a military family we need the savings we can get from the commissary and exchange. Our Airmen and Soldiers don't get paid super well and we need to save every penny in every way we can to get by.
Submitted by: Lara on November 21, 2011
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