Overdue VA spending bill falls short.

Delays in passing fiscal year 2007 appropriations bills have kept many federal agencies, including the Department of Veterans Affairs, operating under last year's funding levels since October. As of this writing, the outgoing 109th Congress had yet to finalize the 2007 Military Construction and Veterans Affairs and Related Agencies Appropriations Act (H.R. 5385).

Both the House and Senate versions of the bill would provide $77.9 billion for the VA, $6 billion above the 2006 funding level. Included in the total is $38 billion for disability compensation and pensions. Also included is $32.6 billion for the Veterans Health Administration (VHA), which falls some $1.3 billion short of what the DAV believes is needed to fund medical services for sick and disabled veterans.

"With sick and disabled veterans already facing long waits for health care and decisions on their compensation claims because of budget constraints, delays in funding the VA only make matters worse," said National Adjutant Arthur H. Wilson.

H.R. 5385 passed the House in May, but the Senate delayed a vote on its version until after the mid-term election in November, leaving lawmakers little time to resolve differences and approve a final bill before adjournment. Any left-over legislation would have to be reintroduced in the 110th Congress.

"Only once in the past 12 years has the VA's appropriation been enacted before the start of the new fiscal year," said National Legislative Director Joseph A. Violante. "That makes it impossible for the VA to plan for the coming year when it does not know when it will get its allocation. The resulting strain on medical services, delays in processing disability claims and staff shortages all have an adverse impact on disabled veterans and their families."

Another serious concern is that the VA's annual budget request continues to assume congressional approval of Administration policy and legislative proposals before Congress has done so. The VA assumed nearly $79.5 million in revenue and savings as part of its 2007 budget request. That meant the budget request actually was $79.5 million less than the VA's true needs to care for sick and disabled veterans. The Senate Appropriations Committee noted that the practice of under-requesting funds, with a mandate that Congress either impose additional fees, short-change veterans health care or make up the difference, is not responsible budgeting.

"Not only has the VA's budget been delayed time and again, the level of funding has not kept pace with the rising demand and increased costs of health care," said Violante. "The benefits delivery system also lacks the resources needed to ensure timely, accurate decisions on veterans' claims and the backlog continues to get worse."

"What's more," Violante said, "the DAV is very concerned that next year's budget will fall well short, as well. There are forecasts that the VA medical services budget faces a 3 percent cut in 2008, which would have a severe impact on our nation's veterans."

"The DAV and other veterans service organizations are united in calling for an overhaul of the VA health care budget," said Violante. "One way to ensure adequate funding, and that those funds are available on the first day of the new fiscal year, is to change the VA's health care funding from a discretionary to a mandatory program."

Legislation to revamp veterans health care funding was introduced during the 109th Congress, but no hearings were scheduled in either the House or the Senate Veterans' Affairs Committees. "The DAV is confident that similar legislation will again be introduced in the 110th Congress and that we will have the opportunity for an open and frank discussion about the VA appropriations process and how it could be improved to better serve our nation's sick and disabled veterans," Violante said.