ANNUAL VETERANS DAY REPORT

House Committee on Veterans’ Affairs
Subcommittee on Oversight and Investigations
Corrine Brown, Ranking Democratic Member
First Session, 106th Congress -- 1999

November 11, 1999

In eleven focussed, insightful hearings, the Subcommittee on Oversight and Investigations has advanced programs and prompted legislation. With oversight of all operations of the Department of Veterans Affairs (VA) and the Veterans Employment and Training Service (VETS) of the Department of Labor (DOL), the O&I Subcommittee examined these critical issues:

House Committee on Veterans’ Affairs
Subcommittee on Oversight and Investigations
Corrine Brown, Ranking Democratic Member
First Session, 106th Congress -- 1999

"As the new Ranking Democratic Member, Corrine Brown has focused the Oversight and Investigations Subcommittee’s efforts on finding systemic problems in programs and services for veterans, and addressing solutions. I’ve been very proud of her work this first year. Corrine has re-energized the tradition of the Oversight and Investigations Subcommittee as a tool for representing the unrepresented veteran, finding what is being done well so we can give best practices the funding and the coverage they deserve, and rooting out the built-in flaws. She works as a team player with Chairman Everett and our own staff. The Subcommittee has held some excellent hearings this year, and has done important work outside the hearing room as well."

                                       Lane Evans
                                       Ranking Democrat
                                       House Committee on Veterans' Affairs

Calendar of Hearings

March 11:              Hearing on whistleblowing and retaliation in the
                                Department of Veterans Affairs

"Congress has zero tolerance for retaliation against whistleblowers," Congresswoman Brown told top Department of Veterans Affairs (VA) officials. Building on investigative work at several VA facilities, the Subcommittee conducted senior-level interviews and presented the testimony of the head of the Office of Special Counsel and VA's own Inspector General. Six whistleblowers who documented their own mistreatment for protected reporting of fraud, mismanagement and abuse within VA facilities testified on their mistreatment.

Results: VA took several steps, which it reported at the hearing --

  1. VA sent a memo to all employees detailing whistleblower rights and procedures for filing complaints about reprisal, listing avenues for redress.
  2. VA also sent administration heads a parallel memo, outlining management's responsibilities for reviewing complaints of reprisal.
  3. A page entitled "Whistleblowing" is being added to the VA Intranet for employees, linked to the home page, as a resource for both employees and managers.
  4. VA decided all senior employees will receive annual reminders of whistleblowers' rights and prohibitions against retaliation.
  5. The Secretary assigned two key staffers, the General Counsel and the Assistant Secretary for Human Resources and Administration, to establish an employee task force on whistleblowing and retaliation issues.
  6. Investigations capped by this year's whistleblower retaliation hearing resulted in the firing or reassignment of a system director and associate director after VA's Office of the Inspector General (OIG) found 74 violations and needed changes in their areas of responsibility, including retaliation against employees for reporting problems and violations.
  7. . The Subcommittee on Oversight and Investigations has initiated a further study by the General Accounting Office (GAO) into the culture and prevalence of retaliation against whistleblowers at VA.
  8. Subcommittee investigators continue to monitor VA for whistleblower retaliation cases, working with VA's OIG on new reports.

March 25:              Hearing on the Department of Veterans Affairs management
                                of the Federal Employees' Compensation Act (FECA) program

"A sound disability review process can decrease fraud and abuse. However, it is important that such a process not harass, chill, or impede workers from using the workers' compensation benefits to which they are entitled," Congresswoman Brown pointed out to VA Human Resources officials. She was responding to VA's adoption of an Office of Inspector General protocol and handbook on workers' compensation designed for fraud detection. "VA should publish equally strong central guidance on ways to improve employee health and safety programs, early claimant assistance, and timely agency processing," she concluded.

In support of Congresswoman Brown's more balanced approach to reducing the high cost VA's worker's compensation claims ($141 million in FY 1999), the Department of Labor testified that VA would get a greater bang for its administrative buck if it concentrated its resources on the front end of a workers' compensation claim.

Results: The hearing documented VA's accomplishments in workers' compensation --

  1. VA is automating its workers' compensation program initial claims forms and developing a workers compensation program tracking system. VA plans to have its automated forms linked with the Department of Labor soon.
  2. VA will sponsor the First Annual Federal Workers' Compensation Conference and Exposition in the summer of 1999.
  3. The hearing promoted a new level of communications between key players in the important federal program of workers' compensation.

April 15:                 Hearing on VA Readiness for the Year 2000

At the Subcommittee's fourth hearing in two years on VA readiness for the Year 2000, Congresswoman Brown observed that "the VA - sometimes called the 'sleeping giant of the federal bureaucracy' - seems to have gotten its wake-up call regarding the Y2K risks." She noted that the chairman of another House Subcommittee had recently recognized VA's Year 2000 progress with an "A," the only "A" he awarded to a Cabinet-level department.

Witnesses from the General Accounting Office, the VA's Office of Inspector General, the Food and Drug Administration, and the drug industry all spoke highly of VA's leadership role in alerting others - especially those in the health care industry - to the Y2K risks they faced, and in finding national solutions. Noting issues that were still in progress and unresolved, Congresswoman Brown, however, cautioned her fellow Subcommittee members that "as we get closer to the finish line on this Y2K race, we must not relax our diligence nor let VA rest on its press notices."

April 21:                 Hearing on the suspension of medical research at the
                                West Los Angeles and Sepulveda VA medical facilities

The Oversight and Investigations Subcommittee held an urgent hearing after VA closed down medical research at its West Los Angeles and Sepulveda VA medical facilities due to procedural violations that raised serious questions about the safety of veteran patients and the validity of research projects. "VA research has made major contributions to health care for veterans and to health care in general," Congresswoman Brown told a packed hearing room. "VA medical care, supplemented by VA research, is a significant part of any intelligent discussion of health care in America." But, she cautioned, "veterans check into the VA to be cared for, not to give scientists help with experiments."

After aggressive examination of the problems with human research inside and outside VA, Subcommittee investigators brought together witnesses including

Results: VA took several steps on its own, including the suspension of medical research at the West Los Angeles and Sepulveda VA medical facilities. At the hearing, VA reported -

  1. The Veterans Health Administration (VHA) will establish an independent Office of Research Compliance and Assurance (ORCA), to assure that VA research is conducted with maximal regard for human and animal subject protection, safety of research personnel, and research integrity.
  2. VHA will also establish an external accreditation program for VA research, especially that involving human subjects.
  3. The Subcommittee on Oversight and Investigations chartered a follow-up study currently being conducted the General Accounting Office to determine how widespread concerns about VA research may be.

Furthermore, the attention given to the VA's research problems and the Subcommittee's hearing have increased the scrutiny given to non-VA medical research across the nation. The hearing documented the need for additional funding and staffing for the NIH Office for Protection from Research Risks.

May 20:                  Hearing on National Cemeteries, including Arlington National Cemetery "

Today nearly one-third of America's veterans are not being served by a burial option in a national or state veterans cemetery within a reasonable distance - 75 miles - of their residence. This is unacceptable," Congresswoman Brown told VA officials. She noted that "by the year 2008, VA projects that the veterans death rate will peak at 620,000 a year, yet for FY 2000, the Administration did not request a single dollar to even plan for more national cemeteries. This is distressing, especially in my State of Florida that has long been identified by the VA as one of the top areas in the country in which needed burial space for veterans is greatest."

With witnesses from the Department of Army, Congresswoman Brown examined the maintenance needs at Arlington National Cemetery and expressed her concern over reports of such maintenance being deferred because of inadequate funding. With Directors of Veterans Affairs from several states, to include Florida, along with representatives from veterans and military service organizations, Congresswoman Brown pursued her interest in VA's state cemetery grants program as a viable means of complementing the national cemetery system for burial-space planning.

Results: A Subcommittee Report on the hearing was sent to the Appropriations Committee, with the following recommendations --

  1. That VA be required to submit a cemetery construction plan and identify new national cemetery locations, based upon demographic priority.
  2. That the VA's National Cemetery Administration budget for fiscal year 2000 be increased by $6.55 million to provide for interments, daily maintenance and staff increases, new equipment, long-term deferred maintenance projects, and equipment replacement.
  3. That there be an evaluation of an increase in the plot allowance amount.
  4. That the fiscal year 2000 budget for Arlington National Cemetery be increased by $3 million to fund (a) the design and construction of a storage garage, (b) studies for repair and renovation of the Memorial Amphitheater and Kennedy gravesites, and (c) repairs to the roads and columbarium walkways.

June 24:                   Hearing on federal programs to assist homeless veterans

"Imagine 17 infantry divisions camped in the streets of America," Congresswoman Brown challenged the hearing participants. "On any given night, that is how many homeless veterans huddle for warmth in our grate-filled nation. This quarter million men and women were not lost when the armed forces released them. Few would survive the decades of homelessness that would represent. Rather, they are a constantly changing mix of people with problems - veterans with problems."

The Subcommittee invited VA, the Department of Labor (DOL) and the Department of Housing and Urban Development (HUD) to testify on how their efforts effect homelessness among veterans. In addition, GAO, representative care providers, a Xerox executive who was a homeless veteran aided by homeless veteran programs, the National Coalition for Homeless Veterans (NCHV) and the leading veterans service organizations (VSOs) testified on the effectiveness of federal programs.

Results: There was general agreement in the hearing that America's homeless veterans can be helped to become working citizens. Testimony established --

  1. The grant programs through which VA and DOL fund community-based organizations -- VA's Homeless Provider and Per Diem Grants and DOL's Homeless Veterans Reintegration Program (HVRP) - are singularly effective means for tailoring federal funds to community needs. They assist organizations with proven records to expand their capacity to provide for veterans with the complex array of problems that lead to homelessness.
  2. Both the VA and DOL grant programs are significantly under-funded, and are more cost-effective than programs which are not aimed at veterans.
  3. Veteran-specific programs take advantage of veterans' successful experiences and understandable means of organization which veterans already understand.
  4. Linkage to the parent organizations - VA for mental health and substance abuse problems and DOL for employment services - grounds these grant programs in services already available, providing outreach to the homeless veterans.
  5. In FY1997, the Republican majority did not appropriate anything for HVRP; in FY1998 and FY 1999, HVRP received $3 million each year. In the FY 2000 Appropriation, $10 million was provided for HVRP, $5 million above the request. In the Veterans Benefits Improvement Act of 1999, the House authorized appropriations to the Department of Labor for HVRP of $10 million for fiscal year 2000, $15 million for fiscal year 2001, $20 million for fiscal year 2002, $25 million fiscal year 2003, and $30 million for fiscal year 2004.
  6. On the other hand, HUD continues to be unwilling to support veteran-specific programs. The major source of federal dollars for eradicating homelessness, HUD was widely criticized for providing nothing for the third of the homeless who are veterans other than a web site and a directory of contacts, neither of which is generally accessible to people on the street.

July 22:                   Hearing on VA physical asset use

"It is terrible to think that VA might be short-changing the delivery of health care services so that they can heat empty, obsolete buildings," lamented Congresswoman Brown as she challenged VA officials to not delay the Department's planning process for realigning its capital assets. Observing that "one-fourth of VA's health care budget is spent on operating, maintaining, and improving its property," Congresswoman Brown emphasized that capital asset planning "was a real case of 'time is money.'"

The General Accounting Office testified that VA could be spending a million dollars or more a day to operate and maintain unneeded assets. Congresswoman Brown recognized the enormity of VA's task, with over 4,700 buildings -- 40 percent of which are more than 50 years old. In asking that VA bring Congress a credible plan in a timely fashion, Congresswoman Brown voiced her concern that budget resources for health care next year would be scarce and may well fall short of the mark necessary for even adequate service. She noted it was important that VA protect those programs that are so special to its mission, such as traumatic brain injury, spinal cord injury, and blind rehabilitation.

July 29:                  Hearing on the Department of Labor's Veterans'
                                Employment and Training Service (VETS)

"Employment is a major incentive for disabled veterans to go through rehabilitation programs, and for veterans with mental illness, substance abuse and homelessness to keep their eyes on the prize," Congresswoman Brown said at this hearing into VETS' program effectiveness and strategic planning. The Subcommittee worked for several months with VETS staff to develop this hearing.

"Strategic planning - as envisioned by the Government Performance and Results Act (GPRA) - calls for a ruthless look at where an agency is, and a clear-eyed vision of where it needs to go, with an understanding of what steps are necessary in between," commented Congresswoman Brown. "Employment services have changed drastically in the past several years. The old model of the job service is giving way to more federal-state grant programs as power devolves to the states. This is a mixed blessing at best."

Results: The Veterans Benefits Subcommittee envisions writing significant legislation next year that will depend upon the testimony of this hearing to help develop a picture of whether changes are needed, and what they would be.

  1. Strong support in Congresswoman Brown's opening statement from her personal knowledge of how VETS serves veterans in her district, and in the testimony of the veterans service organizations, frustrated an attempt to portray VETS as an agency in shambles.
  2. Testimony from GAO on problems with the VETS Strategic Plan led VETS to rework their plan completely, with GAO help, to provide a more cohesive and usable working document.
  3. The veterans service organizations testified that VETS is working well, regardless of its need for better planning.
  4. Staff of the Oversight and Benefits Subcommittees jointly visited Boston August 17-18 to review veterans employment programs in the field. They met with the VETS Regional Administrator and Assistant Regional Administrator, the Massachusetts Employment Services Commissioner and Program Director, VETS Director of Veterans Employment and Training and Massachusetts Veterans Program Coordinator. They toured sites, and learned about the link between VETS and the New England Shelter for Homeless. Interviews generally corroborated testimony of the July 29 hearing.
  5. Testimony from the July 29 Oversight and Investigations hearing formed legislative concepts that were the basis of a Benefits Subcommittee hearing October 27 on several proposed changes in how VETS is structured. Witnesses generally supported testimony of the July 29 hearing.

Sept 23:                   Hearing on Department of Veterans Affairs financial management

In a hearing that was called to examine several management issues within the VA, Congresswoman Brown commented, "I take these problems very seriously. The first issue is the loss of money VA cannot afford to lose. More important is the integrity of the system."

The hearing was intended by Majority staff to attack VA, and was originally titled "VA Fraud and Mismanagement." Democrats insisted successfully on making it an examination of VA financial management issues. The hearing explored the testimony of the General Accounting Office, VA's Office of the Inspector General, and VA officials with regard to:

Results: Oversight and Investigations Subcommittee staff worked for several months with GAO and OIG to develop this hearing. Testimony and questioning established that:

  1. OIG worked with subcommittee staff on a list of 18 vulnerabilities to fraud of the Veterans Benefits Administration, and is now conducting a comprehensive audit of VBA's Compensation and Pension section.
  2. The ongoing inability of the VA's Medical Care Collections Fund to recoup budgeted revenues from health care reimbursements from third party insurers has left the VA with financial shortages in recent years. Congresswoman Brown noted that both the budget and appropriations committees are "far too willing to plan on MCCF as a money river, and then to appropriate too little funding to VA."
  3. VA is making progress in improving collections through more aggressive work with health insurance providers.
  4. VA's recent introduction of reasonable prices for services billed to providers is expected to cut the rate of insurers refusing to pay as billed.
  5. Even so, GAO notes that VA will not collect as much money as hoped for a variety of demographic reasons.
  6. Since FY1994, OIG has recouped over $130 million and has recommended another $250 million in cost avoidance.
  7. There is bipartisan agreement based on performance that adding staff to VA's Office of the Inspector General will more than pay for itself by cutting losses due to theft and fraud, and by recouping monies through examination and renegotiation of Veterans Health Administration procurement contracts.
  8. The hearing's investigation of VHA procurement contracts provides a platform for further Subcommittee on Oversight and Investigations examination of contracting problems and savings opportunities.

Sept 30:                  Hearing on Equal Employment Opportunity complaint resolution

"Employment discrimination is a plague on America's workforce," declared Congresswoman Brown at the outset of the Subcommittee's assessment of how successfully VA had restructured its complaint processing operation in response to a 1997 congressional mandate for reform. An independent contractor and the Equal Employment Opportunity Commission testified that it was too early to assess the full impact of the legislation. Both, however, agreed that VA is headed in the right direction in ridding its house of employment discrimination and providing a work environment where employees are able to give veterans the service they deserve without fear of reprisal.

Congresswoman Brown saw VA's organizational restructuring as a good start but said, "at best it addresses only part of the total problem." She expressed strong interest in VA developing fully operational programs of Alternative Dispute Resolution at all of its facilities and informing all of its employees about the values of ADR. She said, "eradication of employment discrimination is a work-in-progress that requires Department commitment to the use of every weapon in its arsenal."

Oct 28:                   Hearing on VA Year 2000 readiness: a last look

"Here we are again, trying to reassure America's veterans and their families that VA hospitals will operate normally on New Year's morning, and that all checks will be delivered on time." With that, Congresswoman Brown opened the Subcommittee's fifth and final hearing on VA's readiness to roll its extensive, complex computer systems over into the next century. A June 1999 audit by VA's Office of Inspector General had found the "VA's Y2K efforts well organized and focused on those mission critical systems that must be compliant to ensure that veterans receive uninterrupted services."

Congresswoman Brown proudly noted the work of the Subcommittee over the past two years - "first sounding the clarion call to readiness and then sticking doggedly to the challenge of making the federal government's second largest department Y2K compliant." She closed with her observation that because of the work of the Subcommittee, "America's veterans and their families have had the VA benefits and services, upon which they depend, inoculated against the worst effects of the feared Y2K bug. Now, even if VA's computers become infected through their interaction with the 'other children in the neighborhood', I think the Department would get but a mild case of the 'glitches'. I am confident, also, that the prognosis would be good for a quick and full recovery."

Legislative Initiatives for Veterans

Congresswoman Brown introduced or cosponsored 33 legislative initiatives in 1999 to recognize or assist members of the Armed Forces, America's veterans, and their families. Those initiatives would --

A special concern of Congresswoman Brown in 1999 has been the veterans cemetery needs of Florida. To this end, she --

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