IMMEDIATE RELEASE
SMITH LEGISLATION ACCELERATES VA-DoD HEALTH CARE SHARING
July 27, 2001


Improved health care for veterans and military, Millions in savings for American taxpayers


WASHINGTON, D.C. - House Veterans' Affairs Committee Chairman Chris Smith (NJ-4) introduced legislation Wednesday to establish a five-site demonstration project to speed up the sluggish pace at which the VA and Pentagon share their health care resources.

"It's been 19 years since Congress called for greater cooperation between these two huge agencies with combined health care budgets of $35 billion, " Smith said when introducing his Department of Defense-Department of Veterans Affairs Health Resources Access Improvement Act of 2001 (H.R. 2667). "There has been some progress, but the pace needs to be increased if we are to achieve the dual goals of improving health care for veterans and the military, and saving taxpayers millions through increased efficiency," he said.

"We're taking a new approach with this bill," Smith said. "Currently, sharing between the VA and DoD is optional and, unfortunately, neither department has mtaken full advantage of this option. We need to give both departments new incentives and tools to insure that they move more expeditiously to achieve the benefits of sharing their health care resources," he said.

Smith's bill would direct VA Secretary Anthony J. Principi and Defense Secretary Donald Rumsfeld to agree on five sites where the two agencies have health care facilities close enough to permit cooperative operations. Such joint operations would include unified budget systems, staffing, compatible software, and graduate medical education programs. The projects would be designed to demonstrate the advantages and challenges of integrating the largest health care systems in the federal government.

The bill would authorize $10 million for each department for fiscal year 2002 and $25 million for each succeeding year of the demonstration project. Both secretaries would be given authority to waive regulations and policies that might impede the project. They would be required to submit a joint "prospectus" within two years for the construction of a new, more accessible and unified federal health care facility in an area where both agencies need a replacement facility.

"As Chairman of the Veterans' Affairs Committee, I am committed to insuring that we knock down every barrier that prevents greater sharing and take advantage of every opportunity to improve health care for veterans and the military community," Smith said. "This not only fulfills our sacred obligations to care for those who have, and continue to defend our freedom, it also has the added benefit of enormous savings to American taxpayer," he said.

Please visit http://veterans.house.gov, the House Committee on Veterans' Affairs web site, named 'One of the Best Web Sites in Congress' by the Congressional Management Foundation, May 3, 1999.

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