VA procurement reform plan wins approval

The House Veterans' Affairs committee approved legislation Tuesday that would require the Department of Veterans Affairs to purchase health care items through national contracts at reduced costs.

Rep. Lane Evans of Illinois, the bill's sponsor and the committee's ranking Democrat, said the VA, which spends billions on drugs and other health care items, does not effectively use its purchasing power to obtain lower rates.

"There remains a need to prevent wasteful practices in law," said Chairman Chris Smith, R-N.J. The legislation (H.R. 3645) cleared the committee by voice vote.

Procurement of medical supplies would now only be permitted through nationally negotiated contracts, such as the Federal Supply Schedule, and not those negotiated by local vendors and individual VA hospitals. Medical emergencies or necessary supplies that are not listed in a national contract would be exempt from the requirement, as would joint contracts with the Defense Department that demonstrably save money in comparison to the supply schedule.