Products...As-Is...Business Line...VA Business Lines

The Acquisition and Materiel Management (A&MM) is a complex set of functions supporting the VA enterprise supply chain and supply-chain management for U.S. veterans, the American citizenry, and the highly diversified Department of Veterans Affairs organizational base.  The A&MM supports our nation’s veterans by providing acquisition and logistical support services for a wide range of products, services, and financial and investment services for internal and external customers.  These products and services are delivered through an effective and efficient organizational base, enabled by an operational framework that leverages process, information, and expertise in delivering the best products and services, in the most convenient form, in a timely fashion, for a reasonable price, and at the right place.

Compensation is a monetary benefit administered by the VA codified in the following laws and regulations: (1) for disability benefits 38 USC 101 (13); 38 USC 1110; 38 USC 1155 and 38 CFR 3.321, and (2) for survivor benefits, 38 USC 1121 and 38 USC 1310(a).

The VA is responsible for administering benefits in a timely, efficient, and compassionate manner.  As of the end of March 2002, there were 2,349,165 veterans in receipt of disability benefits totaling more than $20,000,000,000.  Additionally, payments were made on 307,526 separate accounts to survivors of veterans whose deaths were related to their service disabilities.  For FY2002, VA expected to receive more than 150,000 original disability claims.  It also expected to receive more than 420,000 claims for increased disability benefits.

Compensation payments are made at 57 regional offices.  There is one office in each state, except for Texas and New York that have two and California with three.  VA also operates regional offices in the District of Columbia: San Juan, Puerto Rico: and Manila in the Republic of the Philippines.  Additionally, the Veterans Benefits Administration (VBA ) operates more than 114 Benefit Delivery at Discharge sites in the United States, and one site each in Germany and Korea, that handle initial disability claims from certain separating service members.

The Educational Assistance Program (EAP) honors and rewards veterans, service members, reservists, survivors, and eligible dependents for sacrifices made in military service to the United States by assisting them in achieving their educational or vocational goals.  This mission is accomplished by providing financial assistance, generally in the form of monthly benefit payments, as mandated in Title 38 USC.  Educational benefits became available under the Servicemen’s Readjustment Act of 1944.  This law has made possible the investment of billions of dollars in education and training for millions of veterans, and the nation has in return earned many times its investment in increased taxes and a dramatically changed society.

Stakeholders and customers of the programs administered by the Education Service include veterans, service persons, reservists, dependents of certain service disabled or deceased veterans, National Guard, State approving agencies, Congress, Departments of Defense, Labor and Education, Office of Management and Budget, and other VA elements.

Education Service also provides support and training to educational institutions with Education Liaison Representatives that are out-based or located at one of the VBA’s Regional Offices.  Other locations where education activities are conducted include Contract Site (State Approving Agencies), Board of Veterans Appeals, Central Office, Out-based Employees, and DOD.

The Finance and Accounting is an integrated financial function that provides for a strong supporting infrastructure for VA that enables it to care for veterans and their families.  Without this strong support system, the delivery of benefits and services to veterans is weakened.  An effective finance and accounting system permits improved customer service, decreases overhead system costs, and creates a better workforce.  The finance and accounting function provides the staff of the Veterans Affairs Central Office (VACO) and its supporting offices, the VHA, VBA, and the NCA with accurate data in support of financial and logistics management information needs.  Specifically, the functional areas supported are budget, accounting (e.g., general ledger, payables, and receivables), travel management, grants, cost accounting, supplier management, and external reports.

The Office of Human Resources Management (OHRM) provides exceptional leadership and support through human resources best practices and programs which enable VA to attract, develop, and retain the people who provide quality services to veterans and their families.

HRM encompasses the following areas:

• General administration
• Classification
• Staffing
• Pay administration
• Benefits
• Work-life program
• Performance mgmt
• Employee recognition and awards
• Employee management relations
• Labor relations
• Workforce planning
• Records maintenance

The Assistant Secretary for Human Resources and Administration (HR&A) is responsible for providing direction and oversight to a diverse group of programs and serves as the Department's principal advisor on related matters.  These programs, all with VA-wide responsibilities, include human resources management, diversity management and equal employment opportunity, discrimination complaint resolution, labor-management relations, and general administrative support (primarily services to VACO).  The Assistant Secretary serves as the Department’s Designated Agency Safety and Health Official and is responsible for administration of the Occupational Safety and Health and Workers’ Compensation Programs.  The Assistant Secretary also oversees the Shared Service Center, which is located in Topeka, Kansas.

Human resources management is an integral part of overall management.  It is carried on within the framework established by statutes, Executive orders, regulations and directives, and without discrimination for reason of race, religion, color, sex, national origin, age, non-disqualifying physical or mental disability, lawful political affiliation, or any other irrelevant factors.  Human resources management will be conducted in keeping with the highest public trust, interest, and public policy objectives.

The VA HRM program exists to help management accomplish the agency missions and programs by assisting directly and effectively in the recruitment, development, utilization, and management of human resources.

HRM officials advise and assist management on all aspects of human resources management, labor relations, and the regulatory and technical considerations of HRM programs.  Assistance to management will be planned and carried out on a continuing basis as an essential part of the human resources management program at each installation.

Authority pertaining to human resources management matters is decentralized to the level of management where human resources management operations are performed, except as limited for control purposes.

Information Technology (IT) is an important enabler of more efficient and effective business processes.  In order to take advantage of the opportunities and benefits provided by information technology, it is necessary to have a vision of the future and a framework for how information technology will be used to support VA's business operations.
As the Department heads into the 21st century, VA will need to meet the needs of the Nation’s veterans and their families today and tomorrow.  VA will become an even more veteran-focused organization, functioning as a single, comprehensive provider of seamless service to the men and women who have served our Nation.  VA will continuously benchmark the quality and delivery of our service with the best in business and use information technology to support the delivery of world-class service.

VA will need to rely on IT to support mission functions and to improve the way VA delivers benefits and health care.  Information technology will enable VA employees and the veterans they serve to have vastly improved access to information about their benefits, and will improve VA’s ability to deliver veteran services.  VA has critical responsibilities under the Federal Response Plan, to provide services as contingency medical support in the event of a national emergency or natural disaster that will rely on Information Technology support.  VA is also a participant in the National Continuity of Government (COG) and Continuity of Operations Plans (COOP).
In addition to the development, operation, maintenance, and protection of an effective Information Technology Infrastructure that serves the needs of the veteran and his and her family, the Clinger-Cohen Act requires agency Chief Information Officers (CIOs) to develop, maintain, and facilitate “the implementation of sound and integrated information technology architecture”.  The revised OMB Circular A-130, Management of Federal Information Technology, provides guidance on the development and implementation of the Enterprise Architecture and its relationship to the Capital Planning.  Additionally, within the Federal government there are numerous regulations and guidelines that govern the development and execution of information technology policy in order to better manage strategic plans, enhance IT acquisition, justify IT expenditures, measure IT performance, integrate new technologies, and manage information resources.  To this end, it is the purpose of IT to plan, design, develop, and implement key enabling information technology - computers, networks, and applications - to support and improve the delivery of benefits and health care to our Nation’s veterans, spouses and dependents.

The War Risk Act of 1914 established the Insurance Program in order to provide Marine insurance protection for merchant ships supplying the allies.  The War Risk Act was amended to authorize insurance programs to provide life insurance benefits to veterans and service members that are not available from the commercial insurance industry due to lost or impaired insurability resulting from military service.

The mission of the Insurance benefits program is to provide benefits in an accurate, timely, and courteous manner at the lowest achievable administrative cost.  Insurance coverage will be provided in reasonable amounts at competitive premium rates.  A competitive, secure rate of return will be ensured on investments held on behalf of the policyholders.

There are eight life insurance programs.  Six of the programs are administered directly at the Insurance Center in Philadelphia, PA.  The remaining two programs, which provide coverage for current military service members and recent veterans, are supervised by the Insurance Center and administered by Prudential Financial, Inc.

The programs provide approximately $761 billion in insurance coverage to over 4.6 million veterans, service members, and their families.  The Insurance Center is the fourth largest life insurance provider in the United States.  The Insurance Center is responsible for $15 billion in trust funds, and had an operating budget of $42.5 million in FY2002.

The Insurance Center develops new service and product offerings through our interaction with stakeholders and suppliers.  Our primary customers are veterans, service members, and their survivors.  Their customer requirements include reasonable premium rates, adequate amounts of coverage, timely and accurate communication, and flexible service options.  In serving our primary customers, we must also serve the needs of DOD, Veteran Service Officers, and Congressional committees.  The military service components represent service members’ interest.  The Insurance Center works in partnership with DOD on a regular basis to develop new initiatives and handle current concerns.  The Veteran Service Officers and Congressional committees also represent the needs and interests of service members and veterans and communicate them to our program managers.

The Home Loan Guaranty Service (LGY) program was originally conceived in 1944 as a part of an attack on the harsh aftermath associated with wars.  The overall objectives of this attack were to diminish to the greatest possible extent the economic and sociological problems of post war readjustments of millions of men and women then serving in the Armed Forces.

The program was one of the major innovations and a most important part of the original Servicemen's Readjustment Act of 1944, Public Law 78-346.  The first legal framework was set forth in Title III of that Act.  In a way, the loan guaranty program was advanced as an alternative device to a cash bonus, because it would be vastly less expensive to the Government, and because it would better serve the needs of veterans.

Credit was viewed as one of the cornerstones of a program to aid the veteran in their effort to readjust to civilian life.  In the opinion of the supporters of the original legislation, the Federal Government should provide the means whereby the veteran could obtain favorable credit, which would permit them to shelter their family or begin a business or farming venture.  This concept arose because of the feeling that veterans, in view of their service in the Armed Forces, had missed an opportunity to establish a credit rating, which could be the basis of borrowing to acquire a home or to establish a business.  The establishment of the loan guaranty program was an attempt to place the veteran on par with their non-veteran counterpart.

The VA home loan program has made mortgage credit available to veterans whose loans otherwise would not have been made.  In this connection, although VA borrowers have been directly favored by the more liberal terms on those loans, it is also likely that these terms have induced a competitive liberalization of the terms on conventional mortgages, whose recipients have benefited as well.  As a result, the impact of the VA home loan programs on the economy and on the mortgage market vastly exceeds the actual volume of VA home loans.

The LGY program provides housing credit assistance to veterans and service persons.  VA provides assistance using a partial guaranty of VA loans made by the private lenders.  VA loans may be used to purchase a home, to build a home, to repair a home, to refinance an existing loan, or to buy a manufactured home.  In addition to guarantying loans, direct loans of up to $80,000 are provided directly to Native American veterans.  The LGY program also assists veterans with certain disabilities in acquiring a new or existing home through the Specially Adapted Housing program.

The Health Administrations Center’s (HAC’s) mission is to deliver medical benefits to Veterans families.

The mission of the Veterans Health Administration (VHA) is established by U.S.C Title 38 § 7301, "to provide a complete medical and hospital service for the medical care and treatment of veterans." VHA serves the health care needs of America’s veterans through a comprehensive, integrated health care system providing primary care, specialized care, and related medical and social support services offering excellence in health care value, excellence in service as defined by its customers, and excellence in education and research.  Subsequent sections of USC Title 38 define other specific medical services including:

• § 1710.  Hospital, nursing home, and domiciliary care.
• § 1711.  Care during examinations and in emergencies.
• § 1712.  Dental care; drugs and medicines for certain disabled veterans; vaccines.
• § 1712A.  Readjustment counseling and related mental health services.
• § 1712B.  Counseling for former prisoners of war.
• § 1713.  Medical care for survivors and dependents of certain veterans.
• § 1714.  Fitting and training in use of prosthetic appliances; seeing-eye dogs.
• § 1716.  Hospital care by other agencies of the United States.
• § 1717.  Home health services; invalid lifts and other devices.
• § 1718.  Therapeutic and rehabilitative activities.
• § 1719.  Repair or replacement of certain prosthetic and other appliances.
• § 1720.  Transfers for nursing home care; adult day health care.
• § 1720A.  Treatment and rehabilitative services for persons with drug or alcohol dependency.
• § 1720B.  Respite care.
• § 1720C.  Non-institutional alternatives to nursing home care.
• § 1720D.  Counseling and treatment for sexual trauma.
• § 1720E.  Nasopharyngeal radium irradiation.
• § 1751.  Sickle cell anemia screening, counseling, and medical treatment.
• § 1752.  Sickle cell anemia research.
• § 1771.  Treatment and rehabilitation for seriously mentally ill and homeless veterans
• § 1803.  Healthcare for children of Vietnam veterans who are born with Spina Bifida.

The Health Professions Education Mission is one of the congressionally mandated missions of the Veterans Health Administration (VHA) established by USC Title 38 § 7302.

“In order to carry out more effectively the primary function of the Veterans Health Administration and in order to assist in providing an adequate supply of health personnel to the Nation, the Secretary shall “...develop and carry out a program of education and training health personnel...”  (38 USC 7302 [a])”

Title 38 USC mandates that VA assists in the training of health professionals for its own workforce needs and for those of the nation.  By means of its long-standing partnerships with affiliated academic institutions, VA conducts the largest education and training effort for health professionals in the nation.  VHA’s “Health Professions Education Mission” contributes directly to patient care and to the quality of that care.  Currently over 80,000 individual trainees (medical residents, medical students, and associated health students) participate in VA patient care as part of their clinical training every year.

VA is actively involved in reshaping the education of future health professionals to meet the changing needs of the nation’s health care system as well as to identify and develop new specialized areas of clinical training and care.

Medical and Prosthetic Research is one of the congressionally mandated missions of the VHA — USC Title 38 § 7303.  The Mission Statement of the Research Program asserts that the purpose of the program is to “discover knowledge and create innovations that advance the health and care of veterans and the nation.”

The Office of Research and Development Strategic Plan establishes the following goals for the Research Program:

1. Sustain a superior environment of inquiry conducive to the highest quality research, education, and patient care.
2. Effectively integrate basic, clinical, and applied research to best meet veterans’ health care needs.
3. Effectively transfer research results to advance veterans’ health care.
4. Capitalize on VHA’s value as a national research asset.
5. Lead and manage an effective and efficient research enterprise.
6. Increase awareness and understanding of the value of VHA’s research contributions.

These strategic goals were developed in 1998 to establish a clear direction for the research program and, at the same time contribute to the achievement of the mission and goals of VHA.

General Order 75 was issued by the War Department on September 11, 1861 directing commanders to take care of those that died in the war.  In the Act of July 17, 1862, Congress enacted legislation authorizing the President to purchase “cemetery grounds” to be used as national cemeteries “for soldiers who shall have died in the service of the country” in order to ensure a dignified final resting place for the fallen warriors of the Civil War.  By 1873, all honorably discharged veterans became eligible for burial in national cemeteries.

Not only did a grateful Nation wish to provide a burial space for those who had served with honor, but there was also a concern that no veteran should lie in an unmarked grave.  The provision of permanent (stone) headstones and markers began in 1876.  Public Law 80-871, signed on July 1, 1948, consolidated all previously enacted laws and general orders so that the government could furnish an appropriate headstone or marker for the unmarked graves of any eligible veteran.

In 1973, Congress transferred 82 national cemeteries from the Department of the Army to the Veterans Administration, joining 21 veterans’ cemeteries located at hospitals and nursing homes.  Public Law 93-43, June 18, 1973, established the National Cemetery System .

In 1999, Public Law 106-117, The Veterans Millennium Health Care and Benefits Act, required the VA to undertake an independent assessment of several aspects of burial benefits.  Section 611 of that legislation mandated that VA establish six new national cemeteries in areas where veterans were in greatest need of a national cemetery.  Accordingly, National Cemetery Administration (NCA) is in the process of establishing new national cemeteries in Atlanta, GA; Oklahoma City (Fort Sill), OK; Pittsburgh, PA; Miami, FL; Detroit, MI; and Sacramento, CA .  Section 613 of the Act requires VA to contract for an independent study of national cemeteries.  The independent study addresses the following:

The one time repair needs at each national cemetery maintained by the NCA.

• The feasibility of making standards of appearance of active and closed national cemeteries commensurate with standards of appearance of the finest cemeteries in the world.
• The number of additional national or state veterans’ cemeteries required to meet future burials needs of veterans until 2020.
• The advantages and disadvantages of using flat grave markers and upright headstones in national cemeteries.
• The condition of flat grave marker sections in national cemeteries.

The honor accorded veterans includes the following legislative privileges:

• Provide burial space for veterans and eligible family members, including burial in a national cemetery; establishing new national cemeteries; expanding existing national cemeteries; and administering grants for establishing, improving, or expanding state veterans cemeteries.
• Provide a memorial that commemorates the veteran’s service, including headstone and/or marker and Presidential Memorial Certificate.
• Maintain national cemeteries as national shrines.

The legal authority for non-service connected disability pension and survivor pension is found in Chapter 15 of Part II of 38 USC .  Implementing regulations for these programs are found in Parts III and IV of 38 CFR .  The procedural guidance to administer the programs is found in the C&P procedures manual M21-1.  Office of General Counsel Precedent Opinions and Precedent Opinions of the Court of Appeals for Veterans Claims, the Appeals Court for the Federal District, and the United States Supreme Court further affect the administration of pension benefits.

The pension benefits currently administered by the VA are codified in 38 USC 101 (15) and PL 95-588.  The Department currently administers the following five needs based programs:

1. Old Law Pension (both veteran and survivor).
2. Section 306 Pension (both veteran and survivor).
3. Improved Law Pension (both veteran and survivor).
4. Death compensation.
5. Parents Dependency Indemnity Compensation (DIC ).

Pension is paid to disabled wartime veterans whose conditions are not related to service and who have income below specified levels.  Needs based Programs 1, 2, and 4 are "protected" programs where the rates are frozen and little activity occurs.  They are also rapidly declining programs since the average age of the beneficiaries is over 80 years.

Improved pension is a complex program that is offset dollar for dollar with income from other non-welfare sources.  Adjustments to benefits are made the month following the month in which the change in income or dependency status occurs.  There is significant secondary handling of these claims.  Due to their complexity and the short time frames to adjust accounts, administration of these programs is also error prone and overpayments are common.

Pension payments are currently made at 57 regional offices.  VA is currently transitioning to three Pension Centers located in Philadelphia, PA ; Milwaukee WI; and St.  Paul, MN.  This change is being made because the pension programs are characterized by aging populations and declining rolls.  VA anticipates that the pension rolls will level off at approximately 350,000 beneficiaries within the next five years.  Specialization in the needs based programs, all of which are extremely complex and error prone, at a limited number of sites has been determined to be the best method of delivering these programs.

The Department of Veterans Affairs offers programs for expanding employee skills and abilities, enhancing individual and team performance, and creating a climate of continuous learning in support of the Department's strategic initiatives.  USC Title 38, Section 7302, and Title 5, 5CFR Chapter 410, “requires” VA to provide education and training of health personnel to better serve America’s veterans”.  One of the goals in the Department of Veterans Affairs Strategic Plan for Employees (2001-2006) is to provide consistent, reliable, and accurate information to its employees.  Training and education are integral to helping employees develop competencies for success within their job function.

In order to support a diverse workforce, VA provides a variety of training programs and solutions that meet the needs of its employees.  VA endorses and supports educational programs which train all VA staff for flexibility and that will give employees a greater role in the development of their careers by leveraging resources across the Department, the private sector, federal agencies and academia.

These business lines enable the VA mission business lines.

The VA mission business lines deliver services and benefits directly to Vererans.  These business lines are supported by the enabling business lines.

The Vocational Rehabilitation and Employment (VRE ) Service provides benefits and assistance to eligible service-connected disabled veterans to help them obtain and maintain suitable employment or independence in daily living.

The VRE Service mission is accomplished by providing a range of direct and supportive services.  These services include: Comprehensive evaluation of rehabilitation needs (vocational or independent living); training and employment services to obtain/maintain suitable employment; and independent living services (to include training and specialized equipment) to attain independence in activities of daily living.

The VRE Service provides rehabilitation services to approximately 65,700 disabled veteran participants per year.