For the second time this year, lawmakers passed a budget extension for the controversial Denver Veterans Affairs medical campus project just a few dozen hours before funding shortfalls would have forced contractors off the job.
The latest move, approved by the Senate on Thursday evening and the House on Friday afternoon, would authorize another $150 million in spending on the overdue and overbudget project. It follows a monthlong authorization extension last month by lawmakers.
The new spending cap is expected to keep work on the project solvent through the end of the fiscal year on Sept. 30, and give VA officials a few more months to present a long-term funding plan for the embattled project. Planners expect the final cost of the medical campus to rise another $625 million to a total of over $1.7 billion, more than double the project's original estimates.
Lawmakers expressed concerns about VA mismanagement of this and other construction projects, and earlier in the year pushed the department to turn over management of the work to the Army Corps of Engineers.
But they also said that the construction project needs to continue to ensure the best possible care for the almost 400,000 veterans in the greater Denver area. Contractors on the project had threatened to leave the job as early as Monday if agreement on a funding extension could not be reached.
"VA's mismanagement of this project is inexcusable and we intend on holding those responsible for the mistakes accountable," said Rep. Mike Coffman, R-Colo., one of the leading critics on the issue. "But our veterans should not suffer for VA's mistakes and I am proud that we were able to keep this project going through September while we develop a long-term solution."
Sen. Johnny Isakson, R-Ga., chairman of the Senate Veterans' Affairs Committee, called the funding authorization an important step ahead.
"Congress has now done everything that it can to ensure the continuation of this project," he said. "The VA and the administration must now clean up the mess they've made."
VA leaders did offer a long-term funding plan earlier this week, either by deferring work on 109 other construction and maintenance projects in fiscal 2016 or by trimming $625 million evenly off all other department discretionary accounts.
They warned that both options would hurt VA operations, but said options are limited after lawmakers rejected plans earlier this year to tap into a $5 billion fund to expand veterans' access to medical care through new leases and construction.
Congressional leaders have argued that money is needed for new projects and outreach, not to pay for the department's past mistakes.
In a statement, VA officials praised Congress' action to continue the work and reiterated the department's commitment to finishing the project and providing better access to area veterans.
Leo covers Congress, Veterans Affairs and the White House for Military Times. He has covered Washington, D.C. since 2004, focusing on military personnel and veterans policies. His work has earned numerous honors, including a 2009 Polk award, a 2010 National Headliner Award, the IAVA Leadership in Journalism award and the VFW News Media award.
