To prevent delays in veterans’ benefits, Congress has approved a $3 billion emergency budget stopgap for the Department of Veterans Affairs (VA).
The Senate passed the measure on Thursday, following the House’s approval earlier in the week.
VA officials had warned that without the funds, veterans’ payments could be delayed starting in October.
Under Secretary for Benefits Joshua Jacobs had alerted lawmakers earlier that the VA would face significant delays in distributing education support and monthly disability payouts without this emergency funding.
In particular, veterans and survivors receiving paper checks — about 140,000 people, often living in rural areas and facing health challenges — could have seen delays of up to two weeks.
The budget shortfall stems from an unexpected rise in the number of veterans seeking benefits and medical services, a situation largely driven by the PACT Act passed in 2022.
The law expanded benefits for veterans exposed to toxic substances during their service.
Initially, the implementation timeline for these benefits was set for 10 years, but the White House fast-tracked the rollout earlier this year, leading to a surge in claims and a higher-than-expected financial burden on the department.
Over the past fiscal year, VA staff approved disability compensation for over 1.1 million veterans and survivors, setting a new record. Additionally, nearly 413,000 veterans enrolled in VA health services, marking a 27% increase over the previous year.
Despite the emergency funding, many Republican lawmakers criticized the VA for failing to foresee the budget shortfall.
Speaker Mike Johnson (R-LA) noted that the measure includes oversight provisions to ensure accountability.
The bill’s sponsor, Rep. Mike Garcia (R-CA), noted that this is meant to hold the administration responsible for its budgeting mistakes, stating that “every dollar must be spent right.”
Efforts by Republicans like Sen. Dan Sullivan (R-AK) and Sen. Rand Paul (R-KY) to introduce amendments that would withhold bonuses from senior VA executives or redirect funds from the Department of Energy to cover the VA budget were blocked.
Democratic lawmakers downplayed the accusations of budgeting mismanagement, arguing that while the exact numbers were only recently made clear, the surge in veteran service participation was anticipated.
Senate Veterans’ Affairs Committee Chairman Jon Tester (D-MT) stressed the urgency of the matter, saying, “This is not the time for partisan politics.”
Looking ahead, VA officials have requested an additional $15 billion for fiscal year 2025 to keep pace with growing demand for veteran services, a debate that Congress is expected to take up after the November elections.
The passage of this $3 billion stopgap is seen as a vital measure to ensure that 7 million veterans and their families receive their benefits on time.