On May 21, 2025, the United States Senate Committee on Veterans’ Affairs held a legislative hearing which included consideration of S. 1591, the Acquisition Reform and Cost Assessment Act of 2025. We were honored to be asked by Chairman Jerry Moran to provide a statement for the record discussing the proposed legislation concerning Department of Veterans Affairs (VA) procurement. We stand ready to assist the legislative and executive branches in their efforts to efficiently and effectively provide our veterans best value products and services, including healthcare.
Two of the most important aspects of the proposed legislation would be the consolidation of procurement management under an Assistant Secretary of Veterans Affairs and other transaction authority (OTA) for the VA.
The proposed legislation would create an Assistant Secretary of Veterans Affairs for Acquisition and Innovation, who would serve as the VA’s Chief Acquisition Officer and be responsible for managing the VA’s logistics, innovation, and procurement offices. The legislation places all VA contracting officers and acquisition centers under the Assistant Secretary. Elevating acquisition management to the Assistant Secretary level corresponds to the importance of the goods and services needed to care for and service our veterans.
The consolidation of procurement operations will result in standardize operating procedures and improved communication with industry. This should reduce lead times, inject greater consistency in requirements and interpretation of policies and procedures, make it easier to add products to contracts, and streamline solicitations, modifications, and awards. These efficiencies should lower administration costs for the VA and for vendors, which will result in lower prices and best value. This will be a win-win-win for veterans, taxpayers, and industry.
The VA should adopt an online ordering system — a standard practice in the commercial market — to maximize purchases under VA contracts with negotiated prices and reduce use of government purchase cards. An online ordering system tied to existing contract pricing will save the government money by maximizing volume buying; give the VA better data on its buying patterns and trends; and protect the healthcare of the veteran from the potential purchase of counterfeit and lower quality goods that can be acquired, often from our adversaries, on the open market via government purchase card. With one Assistant Secretary responsible for procurement, the VA will be better positioned to manage its resources and workforces to ensure that VA acquisition policies and procedures are being followed and applied consistently across the agency, and to adapt to changing needs and emergency situations. Such flexibility is especially critical in the current environment as the VA goes through a transformation.
Consolidating procurement operations will also provide the Assistant Secretary with an opportunity to examine whether the VA should adopt General Services Administration (GSA) best practices associated with the Multiple Award Schedule (MAS) for its VA administered Federal Supply Schedule (FSS) contracts. This should lead to a more streamlined, transparent and collaborative approach resulting in vital healthcare products and services reaching veterans more quickly.
Of course, it is imperative that the centralized contracting organization and its personnel respect and honor clinician input when making contracting decisions to ensure that veterans receive the best possible healthcare outcomes.
Finally, OTA for the VA would enable the VA to acquire cutting-edge technologies and solutions. As mentioned in our statement, the VA wants the best products and services for veterans, so OTA opportunities should be open to all potential contractors, without limitation. Limiting the parties that participate will limit the benefits achieved. To achieve the maximum possible benefits, bureaucratic approvals and other funding limitations should be avoided to the maximum extent practicable. If the VA needs something that will benefit veterans, the priority should be getting what the VA needs when it needs it. OTAs will provide the VA with the flexibility to efficiently and effectively acquire cutting-edge solutions to provide veterans the care they deserve.
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