United States Department of Veterans Affairs
Based on Wikipedia: United States Department of Veterans Affairs
Abraham Lincoln stood before a war-torn nation in March 1865 and made a promise. "To care for him who shall have borne the battle," he said, "and for his widow, and his orphan." Those words, delivered in his second inaugural address just weeks before his assassination, would become the mission statement for an agency that wouldn't exist for another sixty-five years—and wouldn't become a cabinet department for more than a century after that.
Today, the United States Department of Veterans Affairs is the second-largest federal agency by employee count, with over 400,000 workers spread across 170 medical centers, hundreds of outpatient clinics, and 135 national cemeteries. Its annual budget approaches $300 billion. Its long-term financial obligations—the money it will eventually owe to veterans and their families—exceed $2.5 trillion.
How did a nation that began with no standing army build the largest integrated healthcare system in the country?
The Revolutionary Bargain
The deal was simple: fight for independence, and if you're wounded, the new government will take care of you.
In 1776, the Continental Congress was desperate for soldiers. The British army was professional, well-equipped, and backed by the world's most powerful empire. The colonists had farmers with muskets and idealism. To encourage enlistments, Congress offered something concrete: pensions for soldiers disabled in service.
Three weeks later, they sweetened the deal further. Anyone who served in the Continental Army for the entire war would receive grants of public land. This wasn't just compensation—it was a strategy to populate the western territories with men who had proven their loyalty to the new nation.
But here's what Congress didn't provide: actual medical care. If you were wounded at Bunker Hill or Valley Forge, your treatment came from your home state or local community. The federal government paid benefits, but states handled the healing.
This arrangement persisted for decades. It wasn't until 1811 that Congress authorized the first federal medical facility for veterans, and even then, the building didn't actually open until 1834—twenty-three years later. The federal government moved slowly when it came to directly caring for wounded soldiers.
The Civil War Changes Everything
The scale of the American Civil War shattered all previous assumptions about veterans' care.
Consider the numbers. The Revolutionary War produced an estimated 8,000 casualties. The Civil War killed over 218,000 Union soldiers alone—and that's just combat deaths, not counting the hundreds of thousands who survived with missing limbs, chronic illnesses, and what we would now recognize as post-traumatic stress disorder.
A volunteer nurse named Delphine Baker saw the problem coming before the war even ended. She lobbied Congress to create a national home for disabled veterans, modeled on two existing facilities: the Soldiers' Home in Washington, D.C., and the Naval Asylum in Philadelphia. Both served active-duty military members; Baker wanted something for the men returning home broken.
Congress passed her bill on March 3, 1865. The next day, Lincoln delivered his second inaugural. Within six weeks, he was dead. But the National Home for Disabled Volunteer Soldiers lived on, eventually growing to eleven campuses across the country.
Meanwhile, pension numbers exploded. By 1893, nearly a million Americans were receiving Civil War pensions—more than triple the number from just three years earlier. The surge came partly from an 1890 law that expanded eligibility beyond combat wounds to include any disability that prevented a veteran from performing manual labor. The Bureau of Pensions grew so large it needed its own building, completed in 1885, a massive brick structure in Washington that served as the agency's home for four decades.
The Great Consolidation
By the early twentieth century, veterans' benefits had become a bureaucratic maze. Different agencies handled pensions, medical care, insurance, vocational training, and cemetery services. Veterans from the Civil War dealt with different offices than veterans from the Spanish-American War. Nobody was in charge of the whole picture.
Then came World War I.
More than four million Americans served in what was then called the Great War. When they came home, they found a system completely unprepared for them. To get benefits, a veteran might need to navigate three separate federal agencies: the Bureau of War Risk Insurance handled insurance and compensation, the Public Health Service provided medical care, and the Federal Board for Vocational Education managed job training. Veterans from earlier wars still used the old Bureau of Pensions and National Homes system.
The dysfunction was obvious. During the 1920 presidential campaign, Republican nominee Warren G. Harding made veterans' care a central promise. "It is not only a duty, it is a privilege," he declared, "to see that the sacrifices made shall be requited."
After winning the election, Harding appointed a committee to fix the problem. By August 1921, he signed the Sweet Act, creating the Veterans' Bureau. The new agency absorbed the War Risk Bureau and the vocational rehabilitation programs. A year later, it took over veterans' hospitals from the Public Health Service.
One provision of the new law proved especially important. For tuberculosis and neuropsychiatric disorders—two conditions affecting huge numbers of World War I veterans—the legislation removed the burden of proof. Veterans no longer had to demonstrate that their illness was connected to their service. The government would presume the connection. This concept of "presumptive conditions" would later expand to cover many more illnesses.
But the consolidation wasn't complete. Three agencies still shared responsibility: the Veterans' Bureau, the Bureau of Pensions, and the National Home system. It took another decade to merge them all.
On July 21, 1930, President Herbert Hoover signed Executive Order 5398, creating the Veterans' Administration. Frank T. Hines, who had run the Veterans' Bureau since 1923, became the first Administrator of Veterans Affairs. He would hold the job for fifteen years.
World War II and the GI Bill
Nothing in American history prepared the Veterans' Administration for what came next.
World War II created sixteen million veterans almost overnight. Add them to the four million from World War I—many now aging and requiring more care—and the VA's client base increased fivefold. The agency that had emerged from the 1930 consolidation was designed for a much smaller population.
Even during the war, the strain was evident. The military desperately needed doctors, and those doctors had to come from somewhere. Between 1942 and mid-1944, sixteen percent of VA employees left for military service. The Army and VA worked out a creative solution: some doctors were inducted into the Army but assigned to remain at VA hospitals, wearing a distinctive shoulder patch while serving veteran patients. One of the most famous wearers of that patch was General Omar Bradley, who would later run the VA himself.
But the real transformation came from legislation, not administration.
On June 22, 1944, President Franklin Roosevelt signed the Servicemen's Readjustment Act—better known as the GI Bill. The law has been called the most consequential domestic legislation of the twentieth century, rivaled only by the Homestead Act of the 1860s.
The GI Bill didn't just expand benefits. It changed how America thought about veterans.
Previous veterans' programs focused on the wounded and disabled. The GI Bill offered something to everyone who served: education benefits, job training, unemployment insurance, and low-interest home loans. A nineteen-year-old who served two years in the Pacific and came home without a scratch could use the GI Bill to attend college, then buy a house in the suburbs with a government-backed mortgage.
Millions did exactly that. The GI Bill helped create the postwar middle class, funded the expansion of American universities, and drove the suburban housing boom. It also, crucially, required that all these benefits be administered by a single agency: the Veterans' Administration.
The VA's pre-war structure, highly centralized in Washington, couldn't handle the volume. Delays and bottlenecks multiplied. In response, the agency decentralized, giving more authority to regional offices. It was a fundamental restructuring driven by sheer necessity.
From Administration to Department
For nearly six decades, the Veterans' Administration remained an independent agency—important, but not quite at the top tier of government. The administrator reported to the president but didn't sit in the cabinet alongside the secretaries of Defense, State, and Treasury.
That changed in 1988. President Ronald Reagan signed the Department of Veterans Affairs Act, elevating the VA to cabinet status. The change took effect on March 15, 1989, under Reagan's successor, George H.W. Bush. The administrator became the Secretary of Veterans Affairs, and the agency became a department.
The promotion reflected the VA's size and importance. By then, it was one of the largest organizations in the federal government, serving millions of veterans from World War II, Korea, Vietnam, and the Cold War. Cabinet status gave veterans' issues a permanent seat at the most important policy discussions.
The Electronic Revolution
In the mid-1990s, the Veterans Health Administration underwent a transformation that the rest of American healthcare is still trying to replicate.
The key was a system called VistA—the Veterans Health Information Systems and Technology Architecture. It was one of the first comprehensive electronic health record systems in the country, developed in-house by VA programmers starting in the 1970s.
Between 1995 and 2000, the VHA used VistA to implement universal primary care across its entire network. The results were remarkable. Patient volume increased by 24 percent. Ambulatory care visits—outpatient appointments—jumped by 48 percent. And the workforce actually shrank by 12 percent.
By 2000, the VHA had 10,000 fewer employees than it did in 1995, yet it was treating more than twice as many patients. During the same period, costs at other healthcare systems rose 30 to 40 percent. The VA's cost per patient-day stayed flat.
This period is sometimes called the "VHA miracle." It demonstrated that an integrated system with electronic records could achieve both better outcomes and lower costs—the holy grail of healthcare reform. The rest of the American healthcare industry, fragmented among thousands of independent hospitals and insurance companies, has struggled to follow the example.
The Post-9/11 Generation
The wars in Afghanistan and Iraq created the first major generation of combat veterans since Vietnam. They also created new kinds of injuries.
Improvised explosive devices—IEDs, the roadside bombs that became the signature weapon of both conflicts—produced a wave of traumatic brain injuries and complex blast wounds. Advanced body armor meant soldiers survived explosions that would have killed them in earlier wars, but often with devastating injuries. Meanwhile, the psychological toll of repeated deployments to combat zones led to epidemic rates of post-traumatic stress disorder and suicide.
In 2008, Congress passed the Post-9/11 Veterans Educational Assistance Act, essentially a new GI Bill for the new generation. The legislation, authored by Senator Jim Webb, more than doubled educational benefits—from about $40,000 to roughly $90,000. It covered full tuition at public universities, plus a monthly housing stipend for veterans who had served at least three years.
The new GI Bill also allowed service members to transfer unused benefits to their spouses or children. A soldier who reached ten years of service could pass educational benefits to the next generation.
The Wait Time Crisis
In 2014, the Department of Veterans Affairs faced the worst scandal in its modern history.
It started in Phoenix. A retired doctor reported that veterans were dying while waiting for appointments at the Phoenix VA medical center. An investigation revealed that staff had been manipulating scheduling data to hide the true length of wait times. Veterans who should have been seen in days were waiting months. Some died before receiving care.
The investigation expanded beyond Phoenix. The VA Inspector General opened investigations at 93 facilities and found that wait time manipulation was "prevalent throughout" the system. It wasn't a local problem. It was systemic.
On May 30, 2014, Secretary of Veterans Affairs Eric Shinseki resigned. A retired four-star general who had lost part of his foot to a land mine in Vietnam, Shinseki had devoted his post-military career to veterans' issues. His resignation statement was blunt.
"That breach of integrity is irresponsible, it is indefensible, and unacceptable to me. I said when this situation began weeks to months ago that I thought the problem was limited and isolated because I believed that. I no longer believe it. It is systemic. I was too trusting of some and I accepted as accurate reports that I now know to have been misleading."
The scandal led to sweeping reforms, new leadership, and ongoing debates about whether the VA should provide care directly or pay for veterans to see private doctors. Those debates continue today.
The Scope of the Promise
The numbers help convey the scale of what the United States has promised its veterans.
The VA estimates that its total long-term financial obligation—the money it will eventually pay to living veterans and their families—exceeds $2.5 trillion. That includes about $2.49 trillion for disability compensation, $59.6 billion for education benefits, and $4.6 billion for burial benefits.
Those obligations grow with every war. The eight deadliest conflicts in American history—from the Revolution through Afghanistan—produced over 650,000 combat deaths. But death tolls don't capture the full picture. For every soldier killed, many more are wounded. And for every physical wound, there are invisible injuries: trauma, chronic pain, toxic exposures that might not manifest for decades.
The VA maintains detailed records of war wounded precisely because those records predict future demand. A veteran injured in Afghanistan in 2010 might need VA services for the next sixty years. Planning for that future is the agency's perpetual challenge.
An Unusual Mission
The Department of Veterans Affairs occupies a strange position in American government.
It runs the nation's largest integrated healthcare system—but only for a specific population. It provides disability payments, education benefits, home loans, and life insurance—but again, only for those who served. It maintains 135 national cemeteries, but burial there is a privilege earned through military service.
Since 1982, the VA has also had a secondary mission that few Americans know about. In a national emergency, the agency can be called upon to care for civilians. Its network of hospitals, its stockpiles of supplies, its trained medical staff—all of this represents a reserve capacity that the nation might need if disaster overwhelms the private healthcare system.
But the primary mission remains what Lincoln articulated in 1865: to care for those who have borne the battle. The promise has grown more complex over 150 years. The bureaucracy has expanded from a few pension clerks to over 400,000 employees. The budget has grown from modest outlays to hundreds of billions annually.
Yet the core obligation is unchanged. When someone volunteers to defend the country, the country promises to take care of them afterward. The Department of Veterans Affairs exists to keep that promise—imperfectly, sometimes scandalously, but persistently across two and a half centuries of American history.