Veterans’ Medical Care: FY2012 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.

The President submitted his FY2012 budget request to Congress on February 14, 2011. The Administration’s FY2012 budget request for VHA (medical services, medical support and compliance, medical facilities, and medical and prosthetic research) was $51.4 billion. The President’s budget proposed to set up a $953 million contingency fund that would have provided additional funds up to $953 million to become available for obligation if the Administration determined that additional funds were required due to changes in economic conditions in 2012. Furthermore, as required by the Veterans Health Care Budget Reform and Transparency Act of 2009 (P.L. 111-81), the President’s budget requested $52.5 billion in advance appropriations for the three medical care accounts (medical services, medical support and compliance, and medical facilities) for FY2013.

On June 14, the House passed the Military Construction and Veterans Affairs and Related Agencies Appropriations bill (MILCON-VA Appropriations bill) for FY2012 (H.R. 2055; H.Rept. 112-94). The House-passed measure provided $51.1 billion for VHA for FY2012. The Senate passed its version of the MILCON-VA Appropriations bill for FY2012 (H.R. 2055; S.Rept. 112- 29) on July 20. The Senate-passed version of H.R. 2055 provided a total of $51.2 billion for VHA. The House and Senate-passed versions of the MILCON-VA Appropriations bill for FY2012 provided $52.5 billion in advance appropriations for FY2013. Furthermore, both the House and Senate versions of the MILCON-VA Appropriations bill for FY2012 (H.Rept. 112-94; S.Rept. 112-29) did not approve the President’s proposal to set up a $953 million contingency fund.

Congress did not pass the MILCON-VA Appropriations bill for FY2012 before the fiscal year began on October 1, 2011, and funded most of the VA through a series of short-term continuing resolutions (CRs). On December 15, 2011, House and Senate conferees of H.R. 2055 reported a conference agreement (H.Rept. 112-331), which was titled the Consolidated Appropriations Act, 2012, and included nine appropriations bills. Division H of this measure contained the MILCONVA Appropriations Act, 2012. The Consolidated Appropriations Act, 2012 (P.L. 112-74; H.Rept. 112-331) was enacted into law on December 23, 2011. P.L. 112-74 provides a total of $51.2 billion for VHA for FY2012 and $52.5 billion in advance appropriations for FY2013. Consolidated Appropriations Act, 2012 (P.L. 112-74), did not approve the President’s proposal to set up a $953 million contingency fund.


Date of Report: January 6, 2012
Number of Pages: 25
Order Number: R41944
Price: $29.95

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