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R42747

Veterans Affairs: Health Care, Benefits, and Services

Federal & State Law Editorial TeamLast reviewed: April 2026
Sidath Viranga PanangalaJuly 15, 2025
veteransva healthcaremilitarybenefits

Summary

This report provides an overview of the Department of Veterans Affairs (VA) and its three major administrations: the Veterans Health Administration, Veterans Benefits Administration, and National Cemetery Administration. It describes VA healthcare enrollment, eligibility criteria, and community care programs.

The report examines VA disability compensation, pension programs, and education benefits under the Post-9/11 GI Bill. It discusses the implementation of the MISSION Act, which expanded veterans' access to community care providers, and the PACT Act, which extended benefits for veterans exposed to toxic substances.

Congressional considerations include VA budget and appropriations, electronic health record modernization, wait time and access to care issues, mental health and suicide prevention programs, and oversight of VA claims processing timelines.

Full Report Analysis

Key Findings

The Department of Veterans Affairs is the second-largest federal department by budget, with annual discretionary spending exceeding $130 billion and mandatory spending of approximately $170 billion for disability compensation, pensions, and education benefits.
Approximately 9 million veterans are enrolled in VA healthcare, with the VA operating the nation's largest integrated healthcare system encompassing 171 VA medical centers, over 1,100 outpatient clinics, and 134 national cemeteries.
The PACT Act of 2022 was the most significant expansion of veterans' healthcare and benefits in decades, extending VA healthcare eligibility and disability compensation to millions of veterans exposed to toxic substances including burn pits, Agent Orange, and contaminated water.
VA disability compensation expenditures have grown substantially, with over 5.5 million veterans receiving disability payments totaling approximately $135 billion annually.

Background

The Department of Veterans Affairs was established in 1989 as the successor to the Veterans Administration (created in 1930), consolidating federal veterans' programs under a cabinet-level department. The VA's three major administrations address distinct aspects of veterans' services: the Veterans Health Administration (VHA) provides healthcare; the Veterans Benefits Administration (VBA) administers disability compensation, pension, education, home loan, and life insurance programs; and the National Cemetery Administration (NCA) manages burial and memorial benefits.

VA healthcare eligibility is determined by a priority group system based on factors including service-connected disability ratings, income, and exposure to specific hazards. The VA has transitioned from a primarily inpatient system to one emphasizing outpatient care, telehealth, and community partnerships. The 2014 wait time scandal at the Phoenix VA medical center led to the Veterans Access, Choice, and Accountability Act and ultimately to the MISSION Act of 2018, which consolidated and expanded veterans' access to community care providers.

Current Law

The MISSION Act established the Veterans Community Care Program, which allows eligible veterans to receive care from non-VA providers when VA care is not feasible due to wait times, geographic inaccessibility, or specific clinical needs. Access standards define when veterans are eligible for community care based on drive time and appointment wait time thresholds. The VA also operates the Caregiver Support Program, which provides stipends, training, and respite care to caregivers of eligible veterans.

The PACT Act of 2022 created a presumptive framework for service connection of conditions associated with toxic exposures, including 23 conditions linked to burn pit exposure and expanded the list of conditions presumptively associated with Agent Orange exposure to include hypertension and monoclonal gammopathy of undetermined significance. The Act phased in VA healthcare eligibility for all combat veterans of the post-9/11 era, established a toxic exposure screening for all veterans, and created the Cost of War Toxic Exposures Fund with mandatory spending authority.

Policy Options

Congress continues to consider reforms to VA healthcare delivery, including expanding telehealth access, improving mental health and suicide prevention services, addressing workforce shortages through recruitment and retention incentives, and modernizing VA facilities. The electronic health record modernization program, intended to transition VA from its legacy VistA system to Oracle Cerner, has faced significant cost overruns, deployment delays, and patient safety concerns, prompting congressional review of the program's future.

Benefits reform proposals include streamlining the disability claims process, reducing the claims backlog, updating the VA disability rating schedule, and reforming concurrent receipt rules that affect military retirees. Education benefit proposals include expanding Post-9/11 GI Bill coverage and addressing quality oversight of educational institutions receiving GI Bill funds. Housing proposals focus on preventing veteran homelessness through the HUD-VASH program and supportive services grants.

Recent Developments

PACT Act implementation is ongoing, with VA processing a record volume of toxic exposure claims. The electronic health record modernization program has been paused at several deployment sites following reports of patient safety issues and provider dissatisfaction. VA suicide prevention efforts continue through the Veterans Crisis Line and community-based outreach programs, with veteran suicide remaining a critical concern. Congressional oversight has focused on VA budget adequacy, claims processing timeliness, community care program management, and the department's response to the growing demand for services driven by PACT Act enrollment.

Note: This is a summary of a Congressional Research Service report. CRS reports are prepared for Members of Congress and their staffs. This summary is provided for informational purposes and does not constitute legal advice.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.