AIDefense personnel posture: TRICARE pharmacy conflicts, mold, and policy shifts

Defense Posture and Global ThreatsSenate Armed Services Subcommittee on Personnel · 2026-05-20 · 119th Congress
The Senate Armed Services Subcommittee on Personnel held this posture hearing to review Department of Defense personnel policies and programs under the Fiscal Year 2027 defense budget request. Begins at 0:18:33
Transcript
Highlights

Title

Defense personnel posture: TRICARE pharmacy conflicts, mold, and policy shifts

Purpose

The Senate Armed Services Subcommittee on Personnel held this posture hearing to review Department of Defense personnel policies and programs under the Fiscal Year 2027 defense budget request. Four DoD officials — Under Secretary Anthony Tata, Assistant Secretary Tim Diehl, Assistant Secretary Keith Bass, and Assistant Secretary Marise Todd — testified on recruiting, retention, health care, and readiness issues, and senators questioned them on the TRICARE pharmacy contract, vaccine policy, military housing mold, university partnerships, and civilian pay. Begins at0:18:33

Who spoke

Chair Tommy Tuberville (R-AL)0:18:33: Opened by citing improved recruiting and retention but warned against complacency amid demographic and private-sector competition0:19:19; later pressed witnesses on traumatic brain injury progress1:02:23 and mold funding commitments1:19:011:26:21.

Sen. Elizabeth Warren (D-MA), Ranking Member0:21:41: Said Secretary Hegseth and President Trump "badly mismanaged" the military budget, citing a reported $4–6 billion Army shortfall tied to the Iran conflict and border deployments0:22:33; said Hegseth blocked promotion of four Army officers to one-star general, two Black and two women0:23:49; pressed Assistant Secretary Bass extensively on Express Scripts' TRICARE pharmacy contract, citing a reported $484 average overcharge on generic drugs and nearly 13,000 pharmacies leaving the network since 20220:47:390:47:39; secured Bass's commitment to annual audits of the contract0:53:24.

Mr. Anthony Tata, Under Secretary of Defense for Personnel and Readiness0:30:57: Touted "Project Patriot Pipeline" to retain talent in high-demand, low-density skills like cyber and aviation maintenance0:41:40; defended realigning senior service college fellowships away from schools including Yale and William & Mary0:41:581:10:29; said he doesn't know the exact mold remediation funding figure but committed to follow up1:19:13.

Mr. Tim Diehl (called "Mr. Dill" in transcript), Assistant Secretary of Defense for Manpower and Reserve Affairs0:34:07: Highlighted record military recruiting and over 90,000 cash awards processed0:35:05; described his own ACL waiver experience as evidence the medical accession review is working1:08:01; defended the chaplain rank-insignia change as aimed at approachability for junior troops1:35:14.

Mr. Keith Bass, Assistant Secretary of Defense for Health Affairs0:36:10: Said the department "continues to evaluate" the TRICARE pharmacy contract but repeatedly said he was "not aware" of the $484 cost discrepancy0:50:28; ultimately committed to annual audits and to sharing results with the committee0:53:240:53:48.

Ms. Marise Todd, Assistant Defense of Defense for Readiness0:38:47: Described the Aviation Mishap Task Force and blast-overpressure mitigation efforts, including cognitive baselines and "smart" mouthpieces that record blast exposure1:04:22; said FY27 blast-overpressure requirements are estimated at $85 million and urged services to budget for them1:44:17.

Sen. Mazie Hirono (D-HI)0:54:57: Questioned Tata on the reversal of the mandatory flu vaccine, noting it had been DoD policy since roughly the 1950s, and pressed for peer-reviewed evidence behind the change0:55:210:59:24; got Tata to agree that any qualified service member, regardless of gender, should be able to serve in any role meeting physical standards1:02:17.

Sen. Richard Blumenthal (D-CT)1:11:04: Challenged Tata on removing Yale from military fellowship programs despite its ROTC and national-security programs1:11:04; cited a survey finding 97% of service members reported housing habitability issues like mold, with half of complaints unresolved1:13:09; noted the Iran conflict has cost $29 billion and roughly $1 billion per day1:16:22.

Sen. John Kennedy (R-LA)1:27:49: Questioned why the College of William & Mary was cut from the senior service fellowship program despite being named a "Gold Level" military-friendly school weeks later1:28:411:30:34.

Sen. Tim Kaine (D-VA)1:31:27: Pressed on the "weak and woke" characterization of William & Mary's removal1:31:54; questioned the rationale for requiring chaplains to remove rank insignia, comparing them to lawyers and medical professionals who keep theirs1:33:151:37:15; criticized the budget's lack of any pay raise for 800,000 DoD civilian employees despite a jump to a $1.5 trillion topline1:39:15.

Key moments

Warren said Express Scripts, which has held the TRICARE pharmacy contract for 20 years, both runs a competing mail-order pharmacy and sets reimbursement rates for rival pharmacies — a conflict of interest she said cost taxpayers an average $484 more per generic drug and drove nearly 13,000 pharmacies out of the network since 20220:47:390:47:39.

Bass repeatedly could not answer Warren's cost questions ("I'm not aware of the cost discrepancy"0:50:28) but ultimately committed on the record to annual audits of the contract and to sharing results with the committee0:53:240:53:48.

Warren cited a GAO finding of "persistent inconsistencies" in Express Scripts' data provided to DoD and an OPM Inspector General audit finding a separate ~$45 million overcharge to postal workers0:52:170:52:49.

Hirono pressed Tata on the rationale for ending the mandatory flu vaccine (in place since the 1950s per Hirono, since 1945 per Warren) and got him to concede the decision was not based on peer-reviewed literature but on restoring "trust and faith" after COVID-vaccine mandates0:59:241:00:36.

Tata agreed under direct questioning from Hirono that any service member meeting physical standards, regardless of gender, should be permitted to serve in any role including combat1:02:17.

Kennedy detailed William & Mary's military credentials — 1,600 military-connected students, a Gold Level military-friendly ranking, and a top-ranked veterans MBA program — questioning why it was cut from the senior fellowship program as "too woke"1:28:411:30:34; Tata replied the school's ROTC and other programs remain intact and it was "an objective assessment"1:30:40.

Blumenthal cited a survey finding 97% of service members reported housing habitability issues such as toxic mold, with half of complaint requests going unresolved1:13:09, and noted total war spending of $29 billion (about $1 billion/day) that he argued could instead fund housing fixes1:16:22.

Kaine challenged the new policy requiring chaplains to remove rank insignia, comparing it unfavorably to how JAG lawyers and mental health professionals retain theirs while serving troops1:37:15; Diehl and Tata defended it as emphasizing chaplains' ministerial role over officer rank1:34:291:36:20.

Kaine noted the FY budget jumps from $800 billion to $1.5 trillion yet includes no pay raise for the roughly 800,000 DoD civilian employees, many of them veterans1:39:15.

Todd said FY27 blast-overpressure mitigation requirements are estimated at $85 million and warned that continuing resolutions and reduced flying-hours programs undermine both safety and aviator retention1:44:171:45:14.

Metadata

Official titleHearings to examine the Department of Defense personnel policies and programs in review of the Defense Authorization Request for Fiscal Year 2027 and the Future Years Defense Program.
CommitteeSenate Armed Services Subcommittee on Personnel
Chamber / CongressSenate · 119th Congress
Date2026-05-20
TypeOpen Hearing
Witnesses
(none listed in event metadata)
Videosenate-isvp
Transcript255 caption blocks · 11,231 words · 1:46:17 runtime
EventCongress.gov 338364