FY 2026 Budget, PACT Act & Homelessness Programs
$441B VA Budget 2026: PACT Act, BRAVE & EHR Priorities
The VA's FY 2026 budget requests $441.2 billion across all funds, combining $134.6 billion in discretionary operations with $301.2 billion in mandatory benefits. The Toxic Exposures Fund accounts for $52.7 billion. Key priorities include mental health expansion, PACT Act care delivery, electronic health record modernization at $3.5 billion, and a $1.1 billion BRAVE rental assistance program targeting Veteran homelessness.
Next step:
Check Your VA Loan Eligibility
Frequently Asked Questions
What is the total VA budget request for 2026?
The VA requested approximately $441.2 billion across all funds, including $134.6 billion in discretionary operations and $301.2 billion in mandatory benefits. The Toxic Exposures Fund accounts for $52.7 billion of the total.
How does PACT Act funding affect Veterans?
The Toxic Exposures Fund finances expanded care and benefits processing for Veterans exposed to burn pits and other toxins. It covers clinical staffing, IT systems, and claims processing without reducing core medical services funding.
What is the BRAVE rental assistance program?
BRAVE is a proposed $1.1 billion program combining rental assistance with case management services to prevent and end Veteran homelessness. It would expand flexible housing tools beyond existing HUD-VASH vouchers.
What does VA’s FY 2026 budget request include?
It requests about $441.2 billion across all funds, combining $134.6 billion discretionary operations with $301.2 billion mandatory benefits.
Operational needs include $52.7 billion from the Toxic Exposures Fund, $3.495 billion for the federal EHR, and $1.1 billion for BRAVE homelessness assistance. These figures are requests; Congress sets final appropriations. Public budget materials explain the proposal; execution depends on enacted levels, operating plans, and timing of projects and contracts.
- The request anticipates roughly 7.7 million patients and about 162.6 million outpatient visits, while strengthening mental health, substance use treatment, women’s health, rural access, and telehealth to keep pace with demand for timely, coordinated care across facilities and authorized community providers.
- VA forecasts 455,874 full‑time equivalents supported across health, benefits, IT, and oversight functions, with targeted shifts to meet PACT Act workload and improve core operations, while continuing oversight and performance management needed to execute large, multi‑year investments responsibly.
- Numbers in the Budget in Brief reflect requested budget authority and planned obligations; execution can differ based on enacted appropriations, transfers, carryover, and operating plans that refine timing, contracting, and staffing once appropriations become law and projects are ready to start.
- Start by separating totals across all funds from the discretionary operations and mandatory entitlements; this clarifies how much funds operations versus payments directly owed to beneficiaries under statute and the Toxic Exposures Fund.
- Identify major drivers: community care, mental health, homelessness initiatives, and EHR modernization. These shape access, processing capacity, technology readiness, and the pace of facility improvements across the system.
- Remember that congressional action can adjust levels, directions, and timelines. Review enacted bills and agency operating plans to understand where and when dollars will actually be applied within the fiscal year.
| FY 2026 Top‑Line Snapshot | Requested amount |
|---|---|
| Total (all funds) | ≈ $441.2B |
| Discretionary operations (excl. collections) | ≈ $134.6B |
| Mandatory (benefits + TEF) | ≈ $301.2B |
| Toxic Exposures Fund (operations) | ≈ $52.7B |
| Electronic Health Record Modernization | ≈ $3.495B |
| BRAVE rental assistance proposal | ≈ $1.1B |
Amounts reflect VA’s request; enacted appropriations will set final levels.
How do discretionary and mandatory funding differ—and why does TEF matter?
Discretionary dollars run VA’s operations; mandatory dollars pay entitlements; TEF covers PACT Act–related costs without squeezing base care.
Discretionary accounts fund care delivery, IT, construction, and administration. Mandatory programs pay disability compensation, pensions, education, and credit subsidies according to statute. TEF, a mandatory fund, finances costs above 2021 levels tied to toxic exposures, ensuring expanded care and benefits do not reduce core medical services.
- Discretionary funding supports staff, clinics, maintenance, research, and program oversight that keep facilities operating and modernize systems; it is set annually and managed to meet access and performance targets across VA’s portfolio.
- Mandatory funding adjusts with eligibility and caseload—disability compensation, pensions, and education payments are legal entitlements, so funds scale to meet obligations regardless of discretionary caps or operational constraints.
- TEF—established in statute—insulates base medical appropriations by covering new costs from expanded toxic‑exposure eligibility, including clinical staffing, IT, and benefits processing demands associated with the PACT Act.
- Identify the program’s nature: if it pays benefits under law it is mandatory; if it operates services and systems it is discretionary, even when both are within the same line of business.
- Trace how TEF investments support care and claims tied to exposures, reducing pressure on core medical appropriations that fund clinics, facilities, and modernization efforts across the enterprise.
- Check enacted language each year. Discretionary levels can change in appropriations, while mandatory programs continue meeting obligations; TEF levels may also be adjusted legislatively to match evolving workloads.
| Funding type | Purpose | Illustrative examples |
|---|---|---|
| Discretionary | Runs operations and modernization | Medical services, community care administration, IT systems, EHR deployments, construction projects, research |
| Mandatory (benefits) | Pays legally required benefits | Disability compensation, pensions, GI Bill education, credit program reestimates, insurance obligations |
| Toxic Exposures Fund | Funds PACT Act–driven costs above 2021 levels | Care, staffing, IT, and benefits delivery for eligible Veterans affected by toxic exposures |
This distinction helps explain how VA funds both day‑to‑day operations and large, caseload‑driven obligations.
What changes should Veterans expect in health care access?
Expect more mental‑health capacity, faster residential treatment admissions, and community care when standards are met, plus targeted growth in women’s and rural health services.
The request supports more outpatient visits and targeted investments where demand is greatest. Residential treatment access is prioritized, with added community placements when in‑house capacity cannot meet access standards. Women Veterans’ services, rural initiatives, and telehealth strengthen care closer to home, while continuity remains a central focus.
- Mental health funding emphasizes residential rehabilitation and substance use care, centralizing admissions when appropriate to reduce delays and align Veterans with the first clinically appropriate bed—whether at VA or an authorized community provider.
- Women Veterans remain a fast‑growing user group; resources fund designated providers, equipment, training, and maternity coordination so comprehensive, gender‑informed care is offered in‑house with referrals for advanced specialties when necessary.
- Rural health and connected care reduce travel and improve continuity through telehealth, remote monitoring, and local partnerships, giving Veterans options that protect access without compromising coordination or clinical quality.
- Discuss treatment options with your VA team, including residential programs and timing; ask whether community placement is warranted based on clinical need and access standards in your area.
- Confirm assigned women’s health providers and available services; clarify referral pathways for obstetrics, gynecology, and specialty care to minimize delays, especially during pregnancy or complex treatment planning.
- If experiencing or at risk of homelessness, request immediate assessment for prevention, rapid rehousing, or supportive housing options integrated with clinical services and case management to sustain stability.
Expect communications from facilities about any local capacity expansions and how to access them.
What will VA’s Electronic Health Record Modernization deliver in 2026?
VA plans to sustain six live sites, bring 13 more live (19 total), and begin implementations at 26 additional medical centers for future go‑lives.
The request includes funding for the EHR contract, infrastructure readiness, and the program office. Priorities include site readiness, identity and access management, cybersecurity, training, and post‑go‑live support. The goal is an interoperable, longitudinal record with DoD and authorized partners, improving coordination and safety.
- Infrastructure readiness funds end‑user devices, testing, interfaces, and security services, ensuring sites are technically prepared for deployment and supported after go‑live without compromising clinical performance or data integrity.
- The program office supports change management, training, release management, and specialized staff to manage the deployment waves and continuous improvement needed for a complex, nationwide health IT program.
- Interoperability aims to reduce fragmentation across VA, DoD, and community settings so clinicians and Veterans can rely on a more complete, up‑to‑date record wherever care is delivered.
- Before your facility’s go‑live, follow local notices explaining training and appointment logistics; note contacts for assistance if you encounter access or portal issues during the transition period.
- During rollout, keep medications, allergies, and outside provider information handy to help clinicians verify data as workflows stabilize and teams adopt new documentation processes.
- After go‑live, report usability or safety concerns quickly; user feedback guides release management and targeted fixes that improve clinical reliability and patient experience.
Deployment plans can shift based on site readiness and testing outcomes; facilities will communicate timelines and support options.
How does the request affect benefits, appeals, and education?
VBA seeks operational resources to process disability and pension claims, deliver education benefits, and oversee loan programs while driving backlog reduction through staffing, automation, and overtime.
The request positions VBA to handle PACT Act–driven receipts and maintain progress on appeals timeliness. It also funds education and workforce programs and supports credit programs, including Native American Direct Loans. Payment rates and eligibility follow statute; VA publishes rates and updates periodically.
- Backlog reduction relies on improved management, automation that accelerates evidence review, and surge overtime; outcomes depend on incoming receipts, claim complexity, and the effectiveness of tools as they scale.
- Education benefits support training for more than a million students across GI Bill programs; operational resources address systems, adjudication, and compliance tasks that protect students and taxpayers.
- Loan program oversight sustains outreach, subsidy needs, and portfolio monitoring while expanding support for direct loans where warranted and maintaining responsible underwriting and servicing standards.
- When filing a claim, submit complete evidence packages and track status; if you disagree with a decision, choose the review lane that best fits your case and timeline.
- Coordinate GI Bill benefits with your school’s certifying official, comparing program length, housing stipends, and transferability rules to avoid delays or overpayments as terms begin and end.
- For home loans, compare guarantee and direct options, understand appraisal and occupancy rules, and ask about counseling support before you sign a purchase agreement.
Processing times vary with receipts, staffing, and system performance; follow official updates for operational changes and timelines.
What’s planned for cemeteries and construction?
NCA requests resources to operate national cemeteries and expand capacity; construction funding—augmented by RETF—modernizes facilities and advances projects such as St. Louis, West Los Angeles, and Riverside National Cemetery.
The plan supports dignified burials and sustained access to a burial option within reasonable distance for most Veterans. Construction priorities follow VA’s capital planning process to address safety, capacity, and modernization needs. Examples include gravesite development and significant medical center improvements.
- NCA operations include grounds care, headstones and markers, outer burial receptacles, and memorial certificates—sustaining national shrines that commemorate service while meeting rising perpetual‑care obligations.
- Major and minor construction address critical deficiencies, develop new gravesites and columbaria, and support facility upgrades that improve safety, access, and clinical reliability across the enterprise.
- State, territory, and tribal cemetery grants remain important complements, expanding access where national coverage is limited and ensuring communities can maintain high‑quality, local memorial options.
- For burial planning, contact a preferred cemetery to review eligibility, interment options, honors, and headstone selections; staff help coordinate scheduling and documents needed for your family.
- Community partners should explore NCA grants to establish or expand cemeteries, closing geographic gaps and ensuring long‑term maintenance and access near underserved Veteran populations.
- Monitor facility and construction notices to understand temporary impacts on services; programs typically coordinate interim measures to preserve access during renovations or expansion projects.
The Bottom Line
The bottom line: VA’s FY 2026 request seeks robust resources to deliver care, benefits, technology, and memorial services while insulating core medical operations through the Toxic Exposures Fund. For Veterans, the practical impacts are faster access to mental health and residential treatment, more consistent community care when authorized, and better data sharing as the federal electronic health record expands. For families, the plan preserves cemetery access and improves facility quality through targeted construction and the Transformational Fund. For claimants, VBA investments target backlog reduction with staffing, automation, and review options tailored to evidence. These are proposals; final outcomes depend on enacted appropriations, operating plans, and each facility’s readiness to execute efficiently and transparently. Your timeline and experience may vary locally.
Resources Used
VA Budget Materials (Budget portal)
Honoring our PACT Act of 2022 (Public Law 117‑168)
Veterans Community Care Program
VA Electronic Health Record Modernization
Federal EHR Modernization (FEHRM)
Decision Reviews (Appeals Modernization)
Office of Construction & Facilities Management






