Grassley learned today that the Department of Veterans Affairs has approved $9.8 in supplemental funds for this fiscal year for health care services and the conversion of $6.5 million in capital funds for use in providing health care services, for a total of $16.3 million. The request made by VISN 14 was for $17 million.
"This is good news for Iowa veterans," Grassley said. "It's important that our veterans continue to receive quality service from the veterans health care system, and that resources keep up with new enrollment. This additional money will help a lot toward those goals."
The number of Iowa veterans enrolled in the Veterans Affairs health system increased 20.4 percent from Fiscal Year 1998 to Fiscal Year 1999, Grassley said. Overall medical inflation, an 18 percent to 20 percent increase in pharmaceutical costs and a 4.8 percent federal pay raise have contributed to the need for additional funds.
Grassley has worked for several months to help secure the supplemental funds. He sent a letter on July 2, 1999, urging the regional director, Vincent Ng, to apply for supplemental funds. Grassley also wrote to Secretary Togo West on Jan.13, urging that the Secretary approve the request. Grassley's staff also called the Undersecretary's Office to express interest in and concern about the status of the request.
Grassley said he plans to examine ways to put VISN 14 on more stable financial footing that will not depend as much on supplemental funds. VISN 14, headquartered in Omaha, contains most of Iowa and Nebraska and parts of other states.