FOR RELEASE:  July 16, 2002

Veterans Panel Explores Potential Funding Source to Fortify Struggling VA Health Care System
Bush Administration Witnesses Reject Plan  

Washington, DC - Lane Evans (D-IL), the senior Democrat on the House Veterans Affairs Committee, today criticized the Bush Administration and the House of Representatives Republican leadership for “grossly underfunding medical care for veterans.”  Evans’ comment came in response to testimony presented to the House Committee on Veterans Affairs by a representative of the Bush Administration.  The veterans’ panel met to hear testimony on a bipartisan proposal to transfer Medicare Part B premiums to the Department of Veterans Affairs (VA) for each Medicare eligible veteran receiving Part B services from VA.  Today, VA provides medical services to Medicare eligible veterans, but receives no funding from Medicare for the care provided to veterans.  

The bipartisan proposal to transfer veterans’ premiums for the Part B program from the Medicare trust fund to VA has been advanced by the Committee’s Chairman and Congressman Evans.  VA estimates the proposal would channel about $1.4 billion to the VA coffers. 

In explaining his support for the legislation introduced by the panel’s Chairman, Christopher H. Smith, Evans stressed his frustration with the GOP leadership’s repeated failures to act upon the veteran panel’s funding recommendations.  For the next fiscal year (2003), the panel recommended an increase of $2.8 billion over the fiscal year 2002 budget for the Veterans Health Administration.   

“While I believe this Committee….has repeatedly demonstrated its willingness to provide adequate funding for our veterans’ health care, it is disappointing to be continually foiled ‘where the rubber hits the road’ in the appropriations committees.  Indeed, there is much at stake if the GOP fails to produce an adequate budget for our veterans,” said Evans. 

Evans enumerated some reasons for the need to provide additional funds for VA.  “Congress wisely rejected, on a bipartisan basis, a very controversial Bush Administration proposal to charge many middle class and near-poor veterans $1500 to access their health care system.  By charging veterans a fee to access VA health care, the Bush Administration had planned on generating revenues of $1.1 billion that will not be collected.  In addition, many of us (in Congress) are hearing continuing problems with waiting times for health care and confronting growing numbers of veterans who cannot access any VA care.” 

Evans referenced a survey conducted at his request on July 1, 2002.  The survey found 132,278 veterans who had been waiting more than six months for their first VA health care appointment and another 177,976 veterans have been waiting at least six months for follow-up care. 

“The Bush Administration wants it both ways,” stated Evans, “it calls on VA to continue to treat every veteran who wants care, but refuses to request adequate funding needed by VA to meet this goal.  Many of these veterans have multiple eligibilities for federal and private sector benefits including Medicare.” 

Evans indicated that his support for Medicare reimbursement was due to the inability of House GOP leadership to fund VA sufficiently.  “In order to assure that our veterans can access the health care they have earned through service to their nation, we must look to alternatives, other than appropriations,” Evans concluded.

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