Senate Approves Multi-Billion Dollar Aid for Veterans—Find Out Why

The Senate has passed a $3 billion emergency funding bill for the Department of Veterans Affairs, but the story does not end there.

At a Glance

Veterans’ benefit payments scheduled for Oct. 1 will be undisrupted.
The Senate addressed a $3 billion funding shortfall in the VA for disability and education benefits.
The bill passed by voice vote and now awaits President Joe Biden’s signature.
The VA faces a $12 billion shortfall in its medical budget for the next fiscal year starting Oct. 1.
The shortfall is attributed to benefits claims under the PACT Act and GI Bill payments exceeding projections.

Senate Passes Emergency VA Funding Bill

The Senate passed a $3 billion emergency funding bill on Thursday to address a budget shortfall within the Department of Veterans Affairs (VA). This crucial measure ensures that disability and education benefits for veterans will continue without interruption. The decision comes in response to escalating demand for veteran services and limited funding.

The passage of this bill by voice vote occurred just before the Friday deadline, averting any delays in veterans’ benefits payments scheduled for Oct. 1. This bill comes as a testament to the government’s commitment to veterans’ welfare, especially during a time when such services are in critical need.

🚨 JUST PASSED 🚨 My bill to protect benefits for 7 million veterans has now cleared the Senate!

With a $2.883 billion VA budget shortfall threatening their benefits, this fix is essential. Our veterans deserve accountability and the care they’ve earned.

It's time for @POTUS… pic.twitter.com/XrN3isEqmy

— Rep. Mike Garcia (@RepMikeGarcia) September 19, 2024

Reason for the Shortfall

The primary cause of the budget shortfall is attributed to an unexpected surge in benefits claims under the PACT Act and an increase in GI Bill payments exceeding projections. The PACT Act expanded eligibility for services to veterans with toxic exposure injuries, contributing to a record number of benefits approvals. VA staff granted disability compensation benefits to over 1.1 million veterans and survivors in fiscal 2024 alone.

“We’re for that. Veterans are entitled to benefits. We want them to receive them. But here’s what troubles me, is the lack of budgeting accountability, knowing the facts in time to make better decisions. And what is really troubling to me is the lateness in which this issue arose.” – Sen. Jerry Moran, R-Kan., the ranking member of the committee

The PACT Act isn’t solely responsible for the funding issues plaguing the VA. The VA has also seen nearly 413,000 veterans newly enroll in its health care services over the past 12 months, marking a 27% increase from the previous year. The record-high benefits approvals and medical services usage signal the VA’s growing role in veterans’ lives.

Future Challenges for the VA

While the emergency funding bill addresses immediate concerns, the VA is not out of the woods yet. The agency still faces a $12 billion shortfall in its medical budget for the next fiscal year starting Oct. 1. VA officials have requested Congress to include medical funding in a stopgap spending bill to prevent a government shutdown.

“This is not the time for partisan politics,” Senate Veterans’ Affairs Committee Chairman Jon Tester, D-Mont., said during Wednesday’s hearing. “It is time to act to ensure that 7 million veterans and their families who are wondering whether they’ll receive their benefit checks in the next 13 days get them.”

The House had advanced the same measure two days prior, with provisions requiring a report on the budget shortfall within a month. However, an initial House GOP proposal for the stopgap bill did not include the $12 billion for VA medical funding and was voted down over unrelated issues. Lawmakers will debate the additional funding request after the November elections.