VA Gets $4B for Private Care Program & New Facilities

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President Donald Trump signed the VA Choice and Quality Employment Act, a spending bill that addresses a budget shortfall at the Department of Veterans Affairs. It allocates a total of $3.9 billion over the next six months, and will be paid for by reducing pensions for some Medicaid-eligible veterans and collecting fees for housing loans.

The bill includes $2.1 billion to continue funding the Veterans Choice Program, which allows veterans to receive private medical care at government expense if they have to wait at least 30 days for an appointment or drive more than 40 miles to a VA facility. The program was put in place in 2014, after it was discovered that some veterans were waiting months for appointments.

Also included in the bill: $1.8 billion for core health programs including 28 leases for new VA medical facilities.

VA Secretary David Shulkin announced the budget shortfall for the Choice program last month, and warned that it would run out of money by mid-August without legislative action. He blamed the shortfall on unexpected demand for private care and poor budget planning.

Today, more than 30% of VA appointments are with private providers, up from less than 20% in 2014. The VA has an annual budget of roughly $180 billion.

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