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HRD-85-63 1 (1985-05-03)

handle is hein.gao/gaobabnrc0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE '4u WASHINGTON, D.C. 20548 HUMAN RESOUCES May 3, 1985 DI VISION B-218494 lIIHIi The Honorable Harry N. Walters 126920 Administrator of Veterans Affairs Dear Mr. Walters: Subject: Information on Veterans' Ability to Defray the Cost of Their Inpatient Care (GAO/HRD-85-63) The administration's fiscal year 1986 budget proposes a comprehensive reform of eligibility for Veterans Administration (VA) medical care which will include an income-based test (means test) for veterans with no service-connected disabilities. Several years ago, we began an effort to determine the potential effects that several alternative means tests might have had on veterans who were discharged from VA hospitals during fiscal year 1981. This work involved a complex and costly methodology and the use of several extensive VA and Internal Revenue Service (IRS) computerized files to gather and analyze the data neces- sary to determine these effects. Because of the additional costly and resource-intensive steps to determine precisely the reliability of the data in the computerized files we used for our analyses, we terminated our work last fall. But we believe that, notwithstanding certain data-related limitations discussed in this report, the information we developed will be a useful starting point in projecting the number of veterans who may be affected by changes in laws and regulations related to the ad- ministration's proposal for a means test. WHO CAN GET CARE AT A VA HOSPITAL? The eligibility criteria for veterans seeking VA medical benefits are set forth in sections 610 and 612, title 38, United States Code. To be eligible for VA medical benefits, an indi- vidual must have served on active duty in the armed forces and have been discharged under other than dishonorable conditions. Eligible veterans are classified into two broad categories: those with disabilities resulting from their military service and those without such disabilities. Veterans with service- connected disabilities are afforded highest priority when seek- ing medical care at VA facilities and are eligible to receive free inpatient and outpatient care for treatment of such dis- abilities. (401915)

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