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Lawmakers and VSOs warn VA workforce cuts and contract cancellations risk disrupting veteran care

2496840 · March 5, 2025

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Summary

Members of Congress and veterans service organizations told a joint House–Senate hearing that recent mass firings, hiring freezes and contract cancellations at the Department of Veterans Affairs are creating service interruptions and threatening programs veterans rely on, and urged greater transparency and targeted oversight.

Members of Congress and veterans service organizations told a joint House–Senate hearing that recent mass firings, hiring freezes and contract cancellations at the Department of Veterans Affairs are creating service interruptions and threatening programs veterans rely on.

At the hearing the Senate ranking member, Richard Blumenthal, summarized reports that Secretary Collins announced the cancellation of hundreds of contracts and said veterans and small businesses have already been harmed. Blumenthal said a contractor told him, quoting a veteran business owner, that the secretary’s claim that the cancellations "would not impact veteran health care or benefits in any way" was "specifically a lie." He asked the committee to press the department for a full list of affected contracts.

Why it matters: Witnesses said the personnel and contracting moves are not being implemented with the detailed planning needed to maintain care. Veterans groups and witnesses described canceled or paused contracts that underpin research, scheduling, home‑based services and outreach; they said abrupt staffing reductions have left vet centers and other front‑line offices unable to meet veterans’ needs.

Veterans of Foreign Wars National Commander Al Lippard said the VA must be held to its commitments to veterans and warned against broad cuts that treat veterans "like trash on the road to some waste removal." He urged that workforce changes be done carefully and that VA remain staffed to deliver benefits and care. "Honor the contract," Lippard said, repeating a theme that surfaced widely across witnesses.

Several witnesses and members described concrete service impacts. Paralyzed Veterans of America reported that one spinal cord injury center is using only half its beds because staffing vacancies exceed 50 percent and leadership had denied a request to backfill a resignation. The National Coalition for Homeless Veterans and other groups described grant recipients and providers scrambling to understand whether paused contracts or grant freezes will interrupt housing subsidies and case management.

Members of both parties asked for greater transparency from VA. Representative Michael Bost and Senator Blumenthal said congressional oversight should verify the department’s accounting for personnel and contract decisions to prevent avoidable service gaps.

Ending note: Witnesses encouraged careful, surgical workforce and contract reviews rather than broad, rapid terminations; lawmakers said they would pursue follow‑up requests for the department to provide lists, timelines and assurances that veteran care will not be interrupted.