The Department of Veterans Affairs is facing a $15 billion budget shortfall due to unforeseen service demands and prescription drug costs.
Unforeseen Demands for Services and Prescription Drugs Put Veteran Benefits at Risk
The Department of Veterans Affairs (VA) under President Joe Biden is facing a big budget shortfall, expected to be around $15 billion over this year and next year. This shortfall could put veteran benefits at risk. The main reason is that more veterans than expected are using the VA’s services, partly because of the PACT Act. The VA says its benefits accounts could be $2.9 billion short this year and health care accounts might be $12 billion short next year due to unexpected costs for prescription drugs and staffing, according to the report of American Military News.
(photo: MOAA)
Lawmakers Demand Answers Amid Financial Shortfall Threatening Veteran Benefits
VA officials have said they are working with Congress and the White House to fix these budget problems without hurting the veterans who rely on their health care and other services. Veterans Affairs Press Secretary Terrence Hayes said the VA is providing more care and benefits than ever before and thanks to the PACT Act which has greatly helped veterans and their families. The VA is dedicated to making sure veterans get the care and benefits they need.
But this budget shortfall has led to criticism from Congress. Rep. Mike Bost (R-Ill.), who leads the House Veterans Affairs Committee, has accused the VA’s leadership of poor financial management. He says this shortfall is the largest under any administration and has demanded answers from Veterans Affairs Secretary Denis McDonough. Bost is worried that payments to over 7 million veterans and survivors as well as benefits for over 500,000 individuals scheduled for October 2024 could be at risk.
