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<classification authority="sudocs">GA 1.13:T-HEHS-99-173</classification>
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 <subject>Veterans hospitals</subject>
 <subject>Federal downsizing</subject>
 <subject>Veterans benefits</subject>
 <subject>Health resources utilization</subject>
 <subject>Health services administration</subject>
 <subject>Federal agency reorganization</subject>
 <identifier>VA Veterans Integrated Service Network</identifier>
 <identifier>VA Capital Asset Realignment for Enhanced Services</identifier>
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 <title>VA Health Care: Challenges Facing VA in Developing an</title>
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<abstract>During the last decade, hospital use by the Veterans&apos; Health
Administration&apos;s (VHA) has dropped about 58 percent, or by 28,000
patients a day. It is expected to continue to decline during the next 20
years, primarily because of a projected 36-percent decrease in the
veteran population. About one in three VHA hospitals serves markets with
the highest declines in the veteran population and the lowest VHA
hospital utilization. VHA&apos;s limited progress toward establishing an
asset realignment process needlessly delays the reinvestment of scarce
resources to enhance veterans&apos; health care. Potential shortcomings in
VHA&apos;s proposed process�locally led steering committees that have heavy
stakeholder involvement�do not instill confidence that VHA will be
significantly closer to having a restructuring plan by this time next
year than it is today. It seems that a better option would involve a
more centralized planning model that is based on consultant or field
information and that is free from undue influence from local
stakeholders. Without firmer leadership, VHA might take many years to
decide on, much less accomplish, systemwide asset realignment. The daily
cost of unduly delayed decisions is unacceptably high, given that the
Department of Veterans&apos; Affairs could be spending $1 million or more a
day to operate and maintain unneeded assets.</abstract>
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<identifier type="preferred citation">GAO/T-HEHS-99-173</identifier>
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<note>Testimony</note>
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 <topic>Veterans hospitals</topic>
 <topic>Federal downsizing</topic>
 <topic>Veterans benefits</topic>
 <topic>Health resources utilization</topic>
 <topic>Health services administration</topic>
 <topic>Federal agency reorganization</topic>
 <topic>VA Veterans Integrated Service Network</topic>
 <topic>VA Capital Asset Realignment for Enhanced Services</topic>
 <topic>Initiative</topic>
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