VA Health Care: Challenges and Options for the Future (Testimony,
05/09/95, GAO/T-HEHS-95-147).

The Department of Veterans Affairs (VA) lags far behind the private
sector in improving the efficiency of its hospitals. During the past
decade, GAO has highlighted a series of management problems limiting
VA's ability to (1) improve the efficiency and the effectiveness of its
hospitals and (2) shift more of its inpatient care to less costly
ambulatory settings. Although VA plans a major reorganization and other
initiatives to improve its management capabilities, GAO remains
concerned that some of the actions may not go far enough.  Even if it
improves the efficiency of its hospitals, VA is at a crossroads in the
evolution of its health care system.  The average daily work load in its
hospitals dropped about 56 percent during the past 25 years, and further
decreases are likely.  At the same time, however, demand for outpatient
care, nursing home care, and some specialized services is expanding,
taxing VA's ability to meet veterans' needs.  GAO concludes that a
complete reevaluation of the VA health care system is needed.  Absent
such an effort, use of VA hospitals will likely continue to decline to a
point at which VA's ability to provide quality care and support its
secondary missions will be jeopardized.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-HEHS-95-147
     TITLE:  VA Health Care: Challenges and Options for the Future
      DATE:  05/09/95
   SUBJECT:  Veterans benefits
             Health care services
             Veterans hospitals
             Health insurance
             Health services administration
             Eligibility criteria
             Health care programs
             Management information systems
             Long-term care
             Nursing homes
IDENTIFIER:  VA Resource Allocation Methodology System
             VA Resource Planning Methodology System
             VA Decision Support System
             VA Veterans Integrated Service Network
             Medicare Program
             Medicaid Program
             
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