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HOUSE COVERS VA BUDGET SHORTFALL

August 4, 2005

The House voted earlier this week to provide $1.5 billion to cover a shortfall in veterans' health care funding this year. The shortfall, which has increased, was first identified in a Committee hearing last month.

The $1.5 billion for the VA in the FY 2006 Interior Appropriations bill (H.R. 2361) provides desperately needed funding for the next two months, as well as a portion of carry-over funding for the next fiscal year. The Administration first admitted last month that it needed $1 billion in additional funding this year. Subsequently, the VA acknowledged that it needed $1.2 billion for veterans' health care this year, and close to $3 billion for next year. Although the need was recognized, the Administration still put forth a request well below the $3 billion level.