Veterans' Health Care

Efforts to Make VA Competitive May Create Significant Risks Gao ID: T-HEHS-94-197 June 29, 1994

GAO is undertaking several studies of the potential effects of health care reform on the Department of Veterans Affairs (VA) health care system and options for restructuring veterans' health benefits. This testimony draws on the preliminary work of one of those studies and discusses (1) legal and structural barriers that could limit VA's ability to restructure its health care facilities into managed care plans and compete with private-sector health plans, (2) the extent to which the Health Security Act would overcome these barriers, and (3) the potential risks associated with efforts to make VA competitive with private-sector managed care plans. competitive with private-sector managed care plans.



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