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Tuesday, February 2, 2010

Veterans Medical Care: FY2010 Appropriations

Sidath Viranga Panangala
Specialist in Veterans Policy

The Department of Veterans Affairs (VA) provides benefits to veterans who meet certain eligibility criteria. Benefits to veterans range from disability compensation and pensions to hospital and medical care. The VA provides these benefits through three major operating units: the Veterans Health Administration (VHA), the Veterans Benefits Administration (VBA), and the National Cemetery Administration (NCA). 

This report focuses on the VHA. The VHA is primarily a direct service provider of primary care, specialized care, and related medical and social support services to veterans through the nation's largest integrated health care system. Veterans generally must enroll in the VA health care system to receive medical care. Eligibility for enrollment is based primarily on previous military service, disability, and income. VA provides free inpatient and outpatient medical care to veterans for service-connected conditions and to low-income veterans for nonservice-connected conditions. On February 26, 2009, the President submitted a preliminary budget outline for FY2010, and submitted his full FY2010 budget proposal to Congress on May 7. The Administration requested a total of $45.1 billion for VHA (excluding collections). This is a 7.5% increase over the FY2009 enacted level. Including total available resources (including medical care collections), the President's budget would provide approximately $48 billion for VHA. 

Based on the President's preliminary budget outline, on April 29, 2009, the House and Senate agreed to the conference report to accompany the FY2010 budget resolution (S.Con.Res. 13, H.Rept. 111-89). The conference agreement provides $53.4 billion in discretionary budget authority and $53.1 billion in mandatory budget authority for VA programs. Sections 402 and 424 of the conference agreement included language exempting the medical services, medical support and compliance, and medical facilities accounts from a point of order against advance appropriations. Furthermore, the conference agreement states that VHA is not and should not be authorized to bill private insurance companies for treatment of health conditions that are related to veterans' service-connected disabilities. 

On July 10, the House passed its version of the Military Construction and Veterans Affairs Appropriations Act, 2010 (H.R. 3082, H.Rept. 111-188). The House-passed bill provided a total of $45.1 billion for VHA. H.R. 3082 also provided $48.2 billion in advance appropriations for VHA to be available in FY2011. On November 17, the Senate passed H.R. 3082 as amended. H.R. 3082 as amended by the Senate provided a total of $45.2 billion for VHA, a $160.0 million increase over the House-passed amount, and $157.6 million over the President's request. 

The Consolidated Appropriations Act was signed into law on December 16, 2009 (P.L. 111-117, H.Rept. 111-366). Division E of the Consolidated Appropriations Act 2010 included a compromised version of the House and Senate passed versions of Military Construction and Veterans Affairs and Related Agencies Appropriations Act, 2010. The Consolidated Appropriations Act provides a total of $45.1 billion for VHA, same as the Administration's request for FY2010, and 7.4% over the FY2009 enacted amount. P.L. 111-117 includes an advance appropriation of $48.2 billion for the medical services, medical support and compliance, and medical facilities accounts to be available in FY2011. 

With the enactment of the Consolidated Appropriations Act, 2010 (P.L. 111-117), the FY2010 appropriations process for VHA was completed by Congress. This report will not be updated.


Date of Report: January 21, 2010
Number of Pages: 44
Order Number: R40737
Price: $29.95

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