Privatized Housing Profits

SMSgt Private RallyPoint Member — Fri, 27 Dec 2013 11:51:31 -0500

Anyone else notice that when the BAH rate goes down for your ZIP, and you previously had the higher rate, the Privatized company keeps the extra taxpayer money under the term "rate protected"? With sequestration and other budget cutbacks, one would think the DOD would want to collect these overpayments. I live between two officers, we have the same floorplan, but one will pay $700 more than I do and the other $500 more than I do in CY 2014, all for the same house.

Response by SSG Robert Burns made Dec 27 at 2013 12:11 PM

SSG Robert Burns — Fri, 27 Dec 2013 12:11:25 -0500

I think that contract is just a legal mafia. It is the biggest scam hiding in plain sight. It makes no logical sense and I am certain there is something illegal going down to which we may see someone fall for it in the future for kickbacks or illegal contract bidding or something.

Response by LTC Private RallyPoint Member made Dec 27 at 2013 12:19 PM

LTC Private RallyPoint Member — Fri, 27 Dec 2013 12:19:48 -0500

It's still less wasteful than when the government ran it
I assure you.

Response by SFC Private RallyPoint Member made Dec 27 at 2013 12:41 PM

SFC Private RallyPoint Member — Fri, 27 Dec 2013 12:41:59 -0500

Yes I would like to see things done that way also. If Im not mistaken, didnt the military use to give a portion of the BAH back to the soldier when they wanted a smaller place. This is when housing was run by the military.

Response by LTC Private RallyPoint Member made Jan 23 at 2015 8:32 AM

LTC Private RallyPoint Member — Fri, 23 Jan 2015 08:32:02 -0500

Disclaimer: I am an Army Brat and my parents lived "on-post" for 15 years (or so) at six different bases/post (all before 1993). I have lived in "on-post" housing for 10 years at four different locations with only one year pre-privitization. We prefer to live on post when possible for the neighbors, convenience and lack of hassle finding a rental or buying a house.
We have had great and mediocre experiences with privitized housing. When the company seemed to be improving not only the individual houses through either new construction or remodels, but also the overall neighborhood amenities (fitness centers, pools, playgrounds, green spaces, business centers, etc) I was fine giving my entire BAH to them even though I knew I was paying more than others for the same floorplan/house.
When the privitized company acts as if you are the customer and are important, living on post has been great. When the company acts as if they are doing you a favor when you ask about upgrades, or improvements, or plain old maintenance requests, then I lose faith in the system.