Noteboom The Law Firm

The House Appropriations Committee Slashes The VA’s IT Budget

February 25, 2011 - The Department of Veterans Affairs' (VA) budget proposal included increases in many fields, but especially mental health treatment. Healthcare and medical treatments are becoming more advanced and many cutting edge treatments demand the support of a strong information technology (IT) base and team. The two technologies would work best if they had the ability to develop with and off each other. This is not to be, however.

The House Appropriations Committee just carved $160 million out of the VA's IT budget for 2011. The cut was part of a much larger plan to ultimately eliminate $100 billion from the federal budget under the panel's expansive spending plan. The VA requested $3.307 billion for their IT department for the year, but the continuing resolution granted only $3.147, which is 5.1% less than requested. In making the elimination, the Appropriations Committee commented the cut was reflective of the VA saving money by cancelling projects not developing on schedule.

While under Democrat control, the committee's cuts totaled $144.5 million in their failed continuing resolution. Now under Republican control, the committee has taken an additional $15.5 million from the VA budget for canceled programs. The final budget sent back to the VA included a $460 million increase to be used for processing disability claims, which is what was in the VA's petition.