Congress approves $3B lifeline to prevent delay in vet benefits

Senate lawmakers authorized a $3 billion funds stopgap for the Division of Veterans Affairs on Thursday, stopping a threatened delay within the supply of some veterans advantages checks subsequent month.

The transfer got here simply two days after Home lawmakers superior the identical appropriations measure, which additionally mandates a report from division officers on the explanations behind the division’s funds shortfall inside a month. The laws is anticipated to be signed into regulation by President Joe Biden earlier than the top of Friday.

Sept. 20 was the deadline given by VA leaders earlier this month for after they wanted cash authorized by Congress to keep away from advantages delays beginning in October. On Wednesday, Below Secretary for Advantages Joshua Jacobs instructed members of the Senate Veterans’ Affairs Committee that schooling assist and month-to-month incapacity payouts may very well be delayed days or even weeks with out the emergency funds.

“The vast majority of the funds that we offer are delivered by way of direct deposit … and we’re working carefully with the Treasury to seek out methods to compress that timeline,” he stated.

“The most important threat is the two% of veterans and survivors with out that, 140,000 of probably the most susceptible of our prospects, many dwelling in rural areas with extra well being situations, who would have a delay of as much as two weeks [for paper checks].”

Jacobs and different VA leaders stated the funds shortfall got here because of record-high advantages approvals and medical providers utilization by veterans within the final fiscal 12 months, a lot of it because of the PACT Act. That laws, handed in August 2022, dramatically expanded eligibility for these providers to veterans who suffered poisonous publicity accidents whereas within the service.

Below that laws, administration officers had as much as 10 years to implement the entire new advantages and assist. However the White Home opted to speed up that timeline earlier this 12 months, which officers stated led to the upper, surprising funds pressures.

By means of the primary 10 months of fiscal 2024, VA workers granted incapacity compensation advantages to greater than 1.1 million veterans and survivors, a brand new file. Practically 413,000 veterans newly enrolled in VA well being care providers over the earlier 12 months, up 27% from the identical time-frame a 12 months earlier.

Regardless of approving the $3 billion lifeline, quite a few Republican lawmakers criticized the division for not recognizing the funds points sooner, resulting in a close to emergency state of affairs.

Home lawmakers included the oversight report language to “maintain the administration accountable for its budgeting errors,” in accordance with Speaker Mike Johnson, R-La. Invoice sponsor Rep. Mike Garcia, R-Calif., stated the measure “calls for accountability with actual oversight to ensure each greenback is spent proper.”

Forward of Thursday’s Senate vote, lawmakers blocked proposals from Sen. Dan Sullivan, R-Alaska, to withhold bonuses for senior VA executives in circumstances of budgeting points and from Sen. Rand Paul, R-Ky., to rescind $2.9 billion from the Division of Power to pay for the VA funding patch.

However Democrats within the Home and Senate have downplayed the budgeting downside, saying that whereas the specifics weren’t recognized till just lately, the additional expense from elevated participation of veterans in division providers was not a shock.

“This isn’t the time for partisan politics,” Senate Veterans’ Affairs Committee Chairman Jon Tester, D-Mont., stated throughout Wednesday’s listening to. “It’s time to act to make sure that 7 million veterans and their households who’re questioning whether or not they’ll obtain their profit checks within the subsequent 13 days get them.”

VA officers have additionally requested for a further $15 billion within the fiscal 2025 funds to cowl elevated advantages and medical care prices. Lawmakers are anticipated to debate that request after the November elections.