Research Highlights
Administration Announces FY 2003 Budget
Taken from the Veterans Health Administration Highlights dated February 8, 2002
VA Secretary Anthony J. Principi announced details of President Bush’s proposed $58 billion VA budget, which recommends $25.5 billion for the VA health care system. Other features of the proposed budget include:
An almost $366 million increase for pharmaceuticals, that would bring the total to $2.9 billion in 2003
$409 million for medical and prosthetics research, a $38 million increase from this year’s spending level
$537 million for construction and grants
The FY 2003 budget proposes to establish a $1,500 yearly deductible for medical services for higher income, non-service-connected veterans. This would not be a standard deductible that must be paid upfront. The veteran would be charged 45 percent of VA’s "reasonable charges" each time care is provided until the $1,500 annual ceiling for deductible expenses is reached.
If the veteran has third-party health insurance, VA would bill the insurance company first, for the full cost of care. Payments from the insurance companies would be applied to the deductible amount owed by the veteran.
Medication copayments would not count toward the deductible amount, but would be charged at the existing rate of $7 for each 30-day prescription. Deductible charges would not be made for visits for preventive care only. After the $1,500 deductible limit is met, the veteran would then pay the normal copayments that are charged for outpatient and inpatient care.
"This initiative denies care to no one. It does ask those veterans who have the means and who incurred no disabilities on active duty, to pay a larger portion of their health care," Secretary Principi said. "That seems fair to me and allows VA to provide the best care possible to our higher priority veterans."