all the time. There are many discussions in the LGBT group (of which I'm a co-host) on how blatantly homophobic comments are allowed to stand. Those who aren't (fill in the blank) often don't understand how certain phrases or terms are hurtful and/or offensive to those who are (fill in the blank).
I am also a veteran. I hadn't seen the comment you linked to until I arrived here in this thread. If I had been on the jury I absolutely would have voted to hide. No question at all.
IIRC, the only way admins weigh in is if the TOS box is checked on the initial alert and the comment is hidden. MIRT has its own mechanism (which isn't entirely clear to me) but there is no way to alert MIRT directly. (Ref numerous posts on the hosts forum and H&M.)
Have you opened a post on H&M? I would participate. Bringing the attention of wider-DU to comments that are over the top can make for a teachable moment. That has worked somewhat for the LBGT group.
Just tossing ideas out.