Funds for Veterans to Top $90 Billion in '04

Federal funding for veterans' benefits will top $90 billion in 2004, an increase of over $3 billion from 2003 and $600 million more than requested by President Bush.

Highlights of the FY2004 VA-HUD appropriations bill (H.R. 2861), recently released by the House Appropriation Committee, show a significant increase in several areas of veterans' benefits.

The bill provides $27.2 in total budgetary resources for the Veterans Health Administration, a $1.4 billion increase over last year and approximately the President's request. For first time the bill categorizes funding for medical care by providing separate appropriations for the various components of the Veterans Health Administration budget.

The largest component, $15.8 billion, funds medical services for veterans with service connected health needs. The second largest component, $5.1 billion, is for VA's medical administrative costs. The bill provides the following for the remainder of the Veteran's Health Administration budget:

$4 billion for VA medical facilities.

$2.2 billion for medical care for non-service connected veterans, offset by $1.5 billion from the Medical Care Collections Fund.

Increases veterans medical and prosthetic research by $11million over FY03, bring FY04 funding to $408 million.

Fully funds the Bush Administration's request to expedite claims processing at the Veterans Benefits Administration bringing total FY04 funding is $1 billion.

Fully funds the President's request for the National Cemetery Administration, bringing FY04 funding to $144 million, $12 million above last year's level.

Fully funds the President's request for Veterans State Extended Care Facilities bringing total funding to $102 million, $3 million above last year's level.

In addition, the bill has been amended to eliminate new fees for non-service connected veteran's benefits proposed by President Bush.

The bill should be ready for consideration by the full House and Senate in August.