Lawmakers, Omaha partners push to make Chip In public‑private VA building pilot permanent

Supporters of HR 217 told the House Veterans' Affairs Subcommittee on Health on the record that making the CHIP In for Veterans pilot permanent would enable more communities to partner with the Department of Veterans Affairs to deliver cost‑efficient VA facilities.

The bill would make permanent the authority that allowed local public, philanthropic and private entities to finance, develop and donate VA health care facilities; Representative Don Bacon and witnesses told the committee the Omaha ambulatory care center is a model. "That is why this bill is so so important," Representative Bacon said, noting community, state and philanthropic contributions reduced the VA's cost for the ambulatory project.

The nut graff: proponents said the pilot yielded faster delivery and sizable taxpayer savings. Doctor Jeffrey Gold, president of the University of Nebraska Medical Center, described a project that replaced an aging VA outpatient facility using private financing, philanthropic support and VA operations, and said the partnership produced a facility built on schedule and under the federal cost estimate. "This opportunity led to remarkable improvement in care for local veterans in our community," Gold said.

In committee testimony and questions, witnesses and members described the mechanics and savings. Representative Bacon said the VA originally budgeted $135 million for the Omaha ambulatory project but the community‑led effort completed it for about $85 million. Sue Morris, president and CEO of Veterans Trust, testified the philanthropic contribution was $30 million, that Veterans Trust owned the project during development and donated the facility to VA at completion, and that value engineering and a careful review of VA construction and security standards yielded approximately $23 million in savings.

VA officials expressed conditional support. Doctor Thomas O'Toole, VA Deputy Assistant Undersecretary for Health for Quality and Field Operations, told the committee the department "supports this bill" and noted two pilot projects have been undertaken under existing authority, one completed in Omaha and another hospital under construction in Oklahoma.

Supporters recommended several technical changes to broaden the tool's flexibility: allow construction on leased land, permit use for minor construction, and authorize non‑health projects such as veteran housing or community centers. Sue Morris suggested the committee convene a small working group of VA and private‑sector participants to recommend best practices.

Ending: Committee members pressed for safeguards and for clarity about the scope and replicability of the model. No formal action or vote occurred at the hearing; proponents asked members to advance HR 217 to make the pilot permanent and to incorporate the suggested refinements.