Congressman questions VA contracts canceled by Secretary Collins impacting veteran care

Concerns over the cancellation of critical veteran service contracts took center stage during the U.S. Senate Committee on Veterans' Affairs meeting on March 4, 2025. Secretary Collins faced intense scrutiny as he announced the cancellation of 875 contracts, a number that has since reportedly dropped to 600. This abrupt decision has raised alarms among committee members, particularly regarding the impact on essential services for veterans.

One of the most significant cancellations is the veteran-directed care program, which allows aging and disabled veterans to receive care in their homes. This program, established through bipartisan efforts in the Dole Act, is vital for providing long-term care alternatives to nursing homes. Committee members expressed frustration over the lack of transparency from Secretary Collins, who has not shared the specifics of the canceled contracts, leaving many to question the implications for veteran care.

Senator advocates highlighted the real-world consequences of these cancellations, citing the experiences of Army veteran Neil Riley, whose federally certified service-disabled veteran-owned business lost all its VA contracts last week. Riley described the Secretary's claims that these cuts would not affect veteran care as "specifically a lie," emphasizing the layoffs of hundreds of employees, many of whom are veterans themselves.

The meeting also revealed broader issues within the VA, including the termination of critical researchers and the potential derailment of the PAC Act implementation due to canceled contracts. Reports of delayed facility openings and reduced inpatient beds further underscore the challenges facing the VA.

In response to these developments, committee members are pushing for accountability and have indicated plans to introduce resolutions aimed at reversing the firings of VA employees. The ongoing situation highlights the urgent need for clarity and support for veterans as the fallout from these contract cancellations continues to unfold.