PolicyBrief
H.R. 1956
119th CongressMar 6th 2025
BAH Restoration Act
IN COMMITTEE

The BAH Restoration Act ensures that uniformed service members receive a basic housing allowance that covers the full cost of adequate housing based on location, pay grade, and dependency status.

Marilyn Strickland
D

Marilyn Strickland

Representative

WA-10

LEGISLATION

BAH Restoration Act Boosts Housing Allowance for Military Members: Rates to Reflect Local Housing Costs

The BAH Restoration Act is straightforward: it changes how the Basic Allowance for Housing (BAH) is calculated for uniformed service members stationed in the United States. Instead of a fixed, potentially outdated amount, the bill ties the monthly housing allowance directly to the actual cost of "adequate housing" in a given area, as determined by the Secretary of Defense. (SEC. 2)

What's Changing and How

The core change is in how your BAH is figured out. The bill amends section 403(b) of title 37, United States Code. The monthly allowance will now reflect what it really costs to live in your area, based on your pay grade and whether you have dependents. This means if you're stationed in a high-cost city, your BAH should better reflect those steeper rents, while those in lower-cost areas will receive an allowance appropriate for their locale.

For example, imagine a Sergeant (E-5) with a family stationed in San Diego. Under the current system, their BAH might not fully cover the high cost of renting a suitable home. This bill aims to fix that by having the Secretary of Defense assess what "adequate housing" actually costs in San Diego for an E-5 with dependents, and setting the BAH accordingly.

Real-World Ripple Effects

This change could be a significant quality-of-life improvement for many service members. Think about a young airman stationed near a base where housing costs have skyrocketed. This adjustment could mean the difference between struggling to make ends meet and having a bit more breathing room in their budget. It might also mean military families can afford to live closer to base, cutting down on commute times and giving them more time together.

The "Adequate" Question

One potential sticking point is the phrase "adequate housing." The bill leaves it to the Secretary of Defense to define what that means in each location. While the intent is clearly to provide a realistic allowance, how "adequate" is interpreted will be crucial. It will be important to ensure that the definition keeps pace with the market and truly reflects the cost of safe, suitable housing for service members and their families.